ENT 526 Lecture Notes - Lecture 1: Exponential Growth, Mental Models, High Standard Manufacturing Company

• School: Ryerson University
• Department: Entrepreneurship and Strategy
• Course: ENT 526
• Professor: Agostino Menna

Document Summary

T(cid:449)o (cid:272)riti(cid:272)al fa(cid:272)tors are i(cid:374)flue(cid:374)(cid:272)i(cid:374)g toda(cid:455)"s e(cid:454)po(cid:374)e(cid:374)tial gro(cid:449)th of e(cid:374)trepre(cid:374)eurship i(cid:374) our complex, rapidly changing global environment: I(cid:374)(cid:272)reased (cid:374)eed for e(cid:374)trepre(cid:374)eurial tale(cid:374)t to deal (cid:449)ith toda(cid:455)"s e(cid:373)ergi(cid:374)g glo(cid:271)al realit(cid:455): the i(cid:374)di(cid:448)idual"s (cid:272)o(cid:374)s(cid:272)ious a(cid:449)are(cid:374)ess of a (cid:374)eed to dis(cid:272)o(cid:448)er o(cid:374)e" (cid:373)ea(cid:374)i(cid:374)g i(cid:374) a (cid:449)orld of rapidly increasing discontinuities. Model 1 uses efficiency as the source of competitive advantage and is mainly operated by multinationals. Goal lowest cost production with sacrifices in the areas of social programs, government investment in education, research and development as well as quality of life, in order to drive down taxes. Model 2 based on innovation and growth in order to meet the individualized needs of the consumer. Three major factors that separate successful firms from the unsuccessful: successful competitors thrive on niche markets, a firm must produce goods that command premium prices on world markets, relentless innovation and change equals increased productivity.