Many individuals become confused between Entrepreneurship and Intrapreneurship. This blog will aim to clarify their respective differences by detailing why each one differs. Intrapreneurship has often been touted as an effective and risk-free means to start up new companies, yet there can be many differences among its various forms. Below we discuss these concepts further. As you consider starting up your own company, understanding these key terms and their differences is imperative to success.
What Is Entrepreneurship?
Entrepreneurship refers to creating original concepts or businesses from scratch while taking risks associated with investing funds and taking on risks associated with doing so.
- Entrepreneurs are people who start businesses. Risk takers with an entrepreneurial spirit, these visionaries often come equipped with great ideas that they are willing to risk in pursuit of creating something new
- Discover a new business opportunity
- Be ready for challenges and risks associated with investing your funds.
- Determine what, when, and how you wish to sell.
- Enhance business expansion and maximize profit generation.
- Entrepreneurs come in various forms.
Here are a few common ones:
1. Innovators
Inventors bring brand-new ideas that transform them into successful businesses; their passion lies within this venture they created from nothing.
2. Hustlers
Entrepreneurs who pursue their goals relentlessly. Initially, their idea might start small but will flourish over time.
3. Imitators
Imitators copy an idea while adding their own twist, searching for more ways to enhance it, and being confident about their approach.
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Before beginning their ventures, entrepreneurs develop original business plans and brainstorm all relevant data sources before gathering them all to form their strategy.
5. Buyers
Investors looking for businesses to invest in tend to be buyers; others then manage and grow the businesses on their behalf.
Read also, Entrepreneurship in India - History, Evolution, and Transformation.
What Is Intrapreneurship?
Intrapreneurship involves creating innovative concepts within an established business or product/services portfolio to expand on them; also taking risks into consideration during this process.
Intrapreneurs are driven and passionate individuals. While most companies provide them with funding or other resources for intrapreneurship initiatives, others act independently in this regard.
Entrepreneurs focus on initiating and turning an idea into reality while taking risks to make that vision become a reality, taking on risks in doing so. There are various kinds of intrapreneurs depending on the processes they employ -
Intrapreneurs may include individuals such as:
1. Advocates
Advocates play an integral part in solving customers' issues by outlining their characteristics and offering effective solutions.
2. Creators
Innovators and creators share many similarities. Creators act as innovators by designing prototypes to bring business concepts to fruition; quickly learning as changes come about, they embrace change easily, are open-minded workers that prefer working without many rules, etc.
3. Change Makers
Individuals known as Change Makers specialize in attracting business and investment for organizations. Usually, these individuals possess strong networking abilities with strong confidence levels allowing them to function at any level within an organization.
Why is Difference Between Entrepreneurship and Intrapreneurship
Entrepreneurship
- Intrapreneurship tends to be less risky because it takes place within an already established business. Entrepreneurship can also be seen as the process of uncovering unexploited market opportunities that other businesses do not respond to. Entrepreneurship and intrapreneurship demand different skill sets; for example, business owners require the ability to strategically plan the launch of a company; someone acting as an entrepreneur within an existing firm may only require basic leadership or management abilities.
- Note that intrapreneurship and entrepreneurship should not be seen as exclusive of each other; many successful entrepreneurs began as intrapreneurs within an organization before transitioning into independent ventures.
Intrapreneurship
- Intrapreneurship can foster innovation and lead to growth. Intrapreneurs usually enjoy greater resources and freedom compared to their colleagues within an organization, as well as being recognized with promotions or bonuses for their hard work. Intrapreneurship offers organizations numerous advantages over the more glamorous form of entrepreneurship, allowing new strategies and ideas to be tested within a safer setting.
- Intrapreneurship can serve as an integral stepping-stone toward entrepreneurial activity. According to many, intrapreneurship offers one of the best means of learning how to establish their own company and launch it successfully. There are, however, various distinctions that distinguish intrapreneurship from entrepreneurship.
Conclusion
What distinguishes intrapreneurship and entrepreneurship? Intrapreneurship and entrepreneurship differ primarily by their motives, Entrepreneurs seek to innovate while intrapreneurs aim to enhance what already exists. An intrapreneur takes a more measured approach, preferring to remain within their company rather than venture out on his or her own.
At its heart lies a fundamental distinction between intrapreneurship and entrepreneurship, entrepreneurs pursue opportunities while intrapreneurs act out of necessity. Entrepreneurs possess an inherent ability to make the most out of any situation. Entrepreneurialism can be an excellent way to advance an existing business.