Question

Technological entrepreneurs possess a number of distinctive features that set them apart from so-called traditional entrepreneurs. Discuss the three (3) factors affecting new venture formation, specifically from a technological entrepreneur's perspective. Discuss at least 10 facts in total.

Answer 1

Hi,

Today in this developing world competition is high for getting job in any companys or any other firms.So many people turn to busness.An enterpreneur is the people who create business.An enterpreneur start business themselves ,it is high risk factor,but the aim is to make profit.

In the present world technology is developing faster.Technology enterpreneur mainly uses the internet technology.With the development of internet and computers,introducing more technological enterpreneurs.Technology is always moving that is more and more ideas are devoloping.so this helps the technological enterpreneurs to develop.

For technological enterpreneurs there will be a team and it is managed by the main enterpreneur.The enterpreneur have many responsabilities: They have to take risk,ability to recognize information about opportunities,recombine resources to generate profit.

In a competitive market place,starting a business is high risk.But inorder to earn profit a person who undertake control,coordinate and assume the risk of business in a competitive market place is a traditional enterpreneur.Traditional enterpreneur is great risk taker but also claims the great rewards.

The distinctive feature of tehnological enterpreneur from traditional enterpreneur :

• Technological enterpreneurs are mostly the use of internet services.
• They provide many failities and are in favour of customers.
• As technology changes customers are also changing with the technology,and the services of tecnological enterpreneur is used by the people.
• Many services like online shopping is provided by technological enterpreneurs that is very useful for customers as they can shop from home,no need to go ouotside for purchasing.
• Many communication services are also provided by the technological enterpreneurs.So the customers can communicate with friends and relatives even from far distances.

So a technological enterpreneurs not only aim on profit but also they aims customer need.This is the main reason for getting more profit for the technological enterpreneur.

Factors Affecting Venture Formation:

New venture formation means developing new technology by proper planning and organizing.A technology enterpreneur consist of Technology developers,who develop a unidue technology capable of driving a new business and a Technology user who see a new technology development and understand how it can be applied to meet a market need.

The factors are :

1. External factors: The factors such as technological advancement ,market opportunity competition,customer demand etc are come under this factors.
2. Region's development: It is a major factor as developing technology in the regions where gretest opportunite has to be selected.
3. Approaches to generate revenue and reduce cost: To make business successfull customer satisfaction is more important.A good relationship with customer is to be made,fro that cost need to be reduced.
4. Operation and transformation of small firms: These technological enterpeneurship is mainly done on small firms in the first phase and then applied to large firms.
5. Interdependence:They must be interdependent they are concerned with how to create and capture value.
6. Corporate enterprenuership: These enterpreneurs have exceptional skill or distinctive competencies that enable coperate enterpreneurship.
7. Contribution to another field: Technology enterprenurship has not contributed substantially to other fields.
8. The team: This technology enterpreneurship consist of a team foe devoloping a technology.The team should be perfect inorder to achieve a goal.
9. Execution: If there is a plan then it should executed successfully then only it will complete.
10. Response to crisis: It is an importan factor that in business it is sure that there crisis happen ,so without any panic all the crisis should avoid and respond positively.

These are the factors affecting the new venture formation.

Thank you.....