problems in creative entrepreneurship by amritraj d bangera

7/28/2019 Problems in Creative Entrepreneurship by Amritraj D Bangera

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PROBLEMS IN CREATIVE ENTREPRENEURSHIP

Authors : Amritraj D. Bangera, Renston J. Crasta, Manoj R.

Organization : M. S. Ramaiah Institute of Technology, Bangalore

Contact Details : +918123949008, +919844991280, +919886988415.

Email ID : [email protected]

[email protected]

[email protected]

ABSTRACT

Every successful business involves creative and unique ideas. Creativity is using art

and skills present in a person to create something unique that has a significant use to general

people, it might be anything new that adds value to the general people and the society. The

focus of the creative entrepreneurship differs from that of the typical

general entrepreneurship. Creative entrepreneurship is the practice of setting up a business or

setting yourself up as self-employed in one of the creative avenues in the industry.

Entrepreneurs many times cannot implement their creative ideas due to lack of funds,

opportunities and threats from the business environment. Since business environment

changes with time and people, hence these changes also pose some threats to the entrepreneur

as they cannot cope to the change. These changes are both due to the micro and macro factors

of the business environment.

Our objective in this topic is to highlight the problems faced by creative entrepreneurs

and we have generated some ideas and the measures to overcome these barriers of the

industries. Through our interactions with some of the creative entrepreneurs we have found

out all the barriers that they face and also the remedies in their quest to reach out to the

general people and setup a successful business venture.


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INTRODUCTION

Creativity is nothing but creating new things from the wants of others and creative

entrepreneurship is using these wants of others to establish ones own business enterprise.

Creative-Entrepreneurship is needed by each and every type of business without creative

entrepreneurship nothing can change, for new ideas to develop and get noticed there must be

a unique idea behind it. Sometimes new and unique ideas come up in the least expected

places it could come from anything and from any person. Thus the scope of creative

entrepreneurship is to motivate people with the unique ideas. Creativity is a continuous

activity for the entrepreneur, always seeing new ways of doing things with little concern for

how difficult they might be or whether the resources are available. But the creativity in the

entrepreneur is combined with the ability to innovate, to take the idea and make it work in

practice.

Ford Motor Company has been leading the automotive industry in design innovation

for more than 100 years. In their basic corporate value statement, Ford Motor Company

writes, "Our business is driven by our consumer focus, creativity, resourcefulness, and

entrepreneurial spirit." sometimes even though the entrepreneurs are creative still they cannot

apply their new ideas. The reason for failure are many also with many practically solution to

the problems. Here in this topic our primary focus is to highlight the problem a creative

entrepreneurs faces to practically bring out there creative ideas and also to find solutions and

remedies to help bring out the creative entrepreneur out into the open business environment

and help future creative entrepreneur of tomorrow to setup an independent enterprise without

facing the difficulties of today in the business environment.

WHY IS THERE A NEED FOR CREATIVE ENTREPRENEURSHIP?

1. Unemployment is a major social and economic problem.2. Corporate and public sectors cannot provide the jobs required to sustain the

unemployed persons.

3. Creative thinking is required to create the new jobs or to be self-employed.4. Investing in young people and creativity will show economic and social returns.

CREATIVITY IS REQUIRED IN ALL ORGANISATIONS

1. Creative problem-solving is part of major business houses.2. Creating opportunities requires creative thinking and entrepreneur skills.


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3. Designing and innovating new products, services, experiences, business ideas.4. Creative communications and marketing channels.5. Creative uses of new technology.6. Creative social enterprises & social spaces.

THREE MAJOR STEPS USED BY CREATIVE ENTREPRENEURS

1. Use of initiative and innovation: The person must have an inside desire to bring up theidea. They must not worry about the outcome of their ideas. The idea what so ever if

useful must be brought into the open for other to view and evaluate. Without proper

criticisms an idea can never be worth, all good idea needs criticism to bring out even

better result.

2. Use of managerial skills, ability and knowledge to achieving of result: The personmust use his inner ability, knowledge and skills to work out all the negative part of the

idea and transform these negative into positive ideas. These can be achieved only

through constant self practice and self improvement. Remarks from other on the idea

must be noted and not looked down upon. Since people outside are the ultimate users

of the idea and there insight are very much necessary for the idea to succeed.

3. Ones ability to take reasonable risk: The most important step is the ability to takerisk. Entrepreneurship is not for the faint hearted person, especially creative

entrepreneur as they work on their creative ideas that are sometime not part of

common mans daily need so it may never come up rather than just an idea. So the

entrepreneur must be ready to face constant failure and ridicule from the business

environment.

PROBLEMS FACED BY CREATIVE ENTREPRENEURS

Pre-Establishment Problems

Given that only about one-half of new business ventures survive five years, and 95 percent of

all businesses are small, we need to learn as much as possible to positively impact the success

rate for new businesses.


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Finance

A sound understanding and knowledge of business finance, capital structuring, and

relationships with creditors are necessary to the success of any business. When starting a

business, most of the entrepreneurs find cash flow, finance, insufficient sales volume, and

pricing goods or services to be the most problematic. Same goes to creative entrepreneurs

they also need the understanding and knowledge for their business to come up, without which

coming up is practically impossible even for a very creative person with the best unique idea

in hand.

Management

In beginning in every business, the entrepreneurs stated that their management problems were

diverse and focused on themselves. They faced problem such as controlling their own time,

setting goals and measuring their performance and comparing it with others ideas, and

accessing useful information on their ideas to be more effectively implemented into their own

product or ideas.

Marketing

The top problems in the marketing area focus on demand forecasting and estimating the right

customer number to sell the product or idea to. Other marketing problem are ability to cost

effectively sell the product or the service, develop a proper plan to market the ideas, find the

right market, find the right buyer, and to find ways to handle the large competition from other

business houses.

Technology

The most important and major problem that a creative entrepreneur faces is that of

technology transformation. Every day new and better product comes up in the market, so the

entrepreneur must constantly monitor the technology around them to generate ideas that are

advanced in operation and of much better quality then the present available technology.

Creating something that is of outdated technology or outdated ideas is a big setback for a

creative entrepreneur.


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Post-Establishment Problem

Political Instability

Due to political instability many investors may not invest in the economy even if they have

invested, they might decide to fold up due to the prevailing hostile economic and political

climate. Thus political instability can hamper the growth of creative entrepreneurship due to

its negative effect on the business environment. Many of the entrepreneurs depend on policies

and funds from the government, especially from rural and small cities to start their

businesses. Thus political and government support is very much essential for these creative

entrepreneur to survive in the long run success of their business.

Presence of Inflation

Inflation is economically harmful to suppliers because of unstable quoted market prices.

Businesses that run on credit and on borrowed money cannot survive for long in inflation hit

market. Many loan givers and lender would refrain from investing in creative business due to

their low returns and uncertain growth.

Inadequacy of Information

Many a time the information collected from the source can be wrong leading to heavy loss to

the business. Thus information must be very accurate as it is the blood line for a new business

under heavy competition. Creative business soul is its ability to collect information, without

proper information about the market, can hamper the growth of the business.

Inadequate Infrastructural Facilities

To run a successful business proper infrastructure is very important it like the backbone of

every business. Thus the business must be located in properly planned locality without these

the growth of the business might be hampered. Business must be in place where there is

plenty of market to sell and buy the goods for the business needs.

REMEDIES FOR CREATIVE ENTREPRENEURSHIP

Professional Development and Training

The government should provide professional development and training to young and

upcoming entrepreneur in the field of creative art both from the rural and the cities put

together. Special school for young and budding artists must be given training to be the future


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creative entrepreneur. Give scholarship to the best ones to keep them to continue their

creative work and continuous motivation.

Financial and Work Support Mechanisms

Many of the beginner struggle to make ends meet financially. They would like to increase the

sales of their work, secure grants, and find arts-related jobs to support themselves. To make

their careers viable and sustainable, financial competency and access to diversified income

streams, including grants, loans and earned income can be given by the organization or the

government.

Access and Funds towards Equipment and Workspace

The large organizations and government can provide these creative entrepreneurs with the

equipment and workspace or with the financial support to carry their operation on the basis of

offering their support and using their technology for the betterment of the surrounding.

Availability of Loan through Banks and Other Governmental or Private Organizations

The government and other organization have provision for amount rewarded to these creative

entrepreneurs on their ideas and they can use these rewards to further develop the ideas and if

the ideas are good then even can be funded for further and future benefits that can be

generated from these idea.

Reaching New Markets, Customers

The ultimate objective of every entrepreneur is to reach the customer in the new market or the

existing market and to sell their ideas to the buyers. Thus these help can be provided by the

organizations through the organizing of fairs and through exhibitions conducted for these

creative entrepreneurs where they can meet there future investor and future customers and

showcase their ideas and product.

STEPS FOR SUCCESSFUL CREATIVE ENTREPRENEURSHIP

Futuristic thinking

Thinking about the future is the most important thing to be focused on by the creative

entrepreneur.


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Generation of new and unique ideas

New and unique ideas are the prime focus and the key to establishment of a successful

business.

Complete knowledge and skill set

To be successful in the field of entrepreneurship complete knowledge and unique skill set is

required; these can be done through proper education and constant motivation from other

around the budding entrepreneur.

Creative thinking and mindset

Creativity is the ultimate tool to be a successful entrepreneur without this ability there can be

no future to any find of business to be a successful business.

CONCLUSION

Thus to be a successful creative entrepreneur and to set up a successful creative enterprise

one need full knowledge and complete understanding of the surrounding business

environment, along with these also are necessary creative mind set and understanding of the

working and the practices followed in the business world. Thus we can conclude that

creativity is the ultimate tool to be a successful entrepreneur.

problems in creative entrepreneurship by amritraj d bangera

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