Conceptualizing Corporate Entrepreneurship Strategy

Abstract

Our knowledge of corporate entrepreneurship (CE) continues to expand. However, this knowledge remains quite fragmented and non-cumulative. Herein, we conceptualize CE strategy as a useful focal point for integrating and synthesizing key elements within CE's intellectual domain. The components of our CE strategy model include (1) the antecedents of CE strategy (i.e., individual entrepreneurial cognitions of the organization's members and external environmental conditions that invite entrepreneurial activity), (2) the elements of CE strategy (i.e., top management's entrepreneurial strategic vision for the firm, organizational architectures that encourage entrepreneurial processes and behavior, and the generic forms of entrepreneurial process that are reflected in entrepreneurial behavior), and (3) the outcomes of CE strategy (i.e., organizational outcomes resulting from entrepreneurial actions, including the development of competitive capability and strategic repositioning). We discuss how our model contributes to the CE literature, distinguish our model from prior models, and identify challenges future CE research should address.

The Effect of Pro-Entrepreneurship Architecture on Organisational Outcomes

“…While corporate venturing entails company involvement in the creation of new business, SE corresponds to a broader array of entrepreneurial initiatives, which involve organizational consequential innovations adopted to pursue competitive advantage (Morris et al 2008). Thus, while evidence of entrepreneurial initiatives can be located in many and perhaps most established organizations, the mere presence of those initiatives should not be interpreted as evidence that a CE strategy is in use (Ireland et al 2009). …”

“…In Ireland's et al (2009) CE strategy model, pro-entrepreneurship architecture is the organizational context through which the entrepreneurial strategic vision is translated into specific entrepreneurial processes and behaviors. The success of a CE strategy is more probable when a firm has the skills required to structure (accumulate and strategically divest), bundle (successfully combine), and leverage (mobilize and deploy) its resources (Sirmon et al 2007).…”

“…According to Ireland et al (2009), EO may be subsumed within the CE strategy (which specifies where to look for evidence of entrepreneurship within the organization). CE strategy is distinct from prior models of entrepreneurial phenomena (e.g., EO) in established organizations in four important aspects: the behavioral dimension, the locus of entrepreneurship, the philosophical justification, and CE as a unique and identifiable strategy.…”

“…This article expands upon the notion that corporate entrepreneurship strategy can be regarded as a specific type of strategy, which is relevant to small businesses, where firms must significantly display the three foundational elements of: an entrepreneurial strategic vision, a pro-entrepreneurship organizational architecture, and entrepreneurial processes and behavior as manifested throughout the organization (Ireland et al 2009). Subsequently, corporate entrepreneurship can be very suitable with the reality of small firms (Aloulou, Faylolle 2005).…”

Defining the Entrepreneurial Capital Construct

“…A corporate entrepreneur is someone who engages in identifying and developing new opportunities relative to operations, methods, products or markets, sets the strategic vision for the organization or persuades the top management to adopt these opportunities, and motivates others to implement them (Ireland, Covin, & Kuratko, 2009). In more general terms, corporate entrepreneurs are managers or employees who demonstrate key entrepreneurial attributes or behaviors within an established firm.…”