Entrepreneurship and Regional Development

Analyzing Growth Models in Emerging Markets

Rajagopal, Ramesh Behl, Rajagopal, Ramesh Behl

• Publisher: Palgrave Macmillan
• Year: 2020
• Print ISBN:
  9783030455200
• eBook ISBN:
  9783030455217
• Topic: Business
• Subtopic: Business General
• Index: Business

This edited volume brings together research onsymbiotic themes of entrepreneurship, resource planning, and regional development and their impact on global-local business imperatives. Discussions in this volume critically analyze the convergence of entrepreneurship, innovation, technology, business practices, public policies, political ideologies, and consumer values for improving the global-local business paradigm to support regional development. This book alsodelves into contemporary entrepreneurship models, converging business strategies towards entrepreneurial and industrial alliance in manufacturing, services, and marketing organizations. It contemplates the development of new business models and hybrid entrepreneurial perspectives to match the changing priorities of regional economic development in developing countries. This volume offers scholarsnew entrepreneurial visions and business perspectives of industries in emerging markets, while presenting amoreintegrated view to enable companies to innovate for long-term profitability and sustainability.

Part IEntrepreneurial Development, Economics, and Management

© The Author(s) 2021

Rajagopal, R. Behl (eds.)Entrepreneurship and Regional Developmenthttps://doi.org/10.1007/978-3-030-45521-7_1

Begin Abstract

1. Entrepreneurship, Education, and Economics: A Helix Effect on Business Growth

Rajagopal¹

(1)

EGADE Business School, Mexico City, Mexico

Rajagopal

Email: [email protected]

End Abstract

Introduction

Educational programs for entrepreneurs of micro, small, and medium size enterprises (MSMEs) disseminate knowledge and skills for the existing businesses. This chapter aims to contribute to the effect of macroeconomic factors comprising innovation, technology, cost factors, and public policies on entrepreneurial promotion. The functional aspects of enterprises such as market competitiveness, design-to-market business modeling, and socio-economic wellbeing of small entrepreneurs in developing economies have been critically examined in this chapter. In particular, the double and triple helix effects concerning the business performance of the small enterprises have been discussed in the context of strategic alliances, innovation, technology, public policies, and the role of entrepreneurial education. Discussion in the chapter analyzes how these components related to MSMEs are being structured to improve their business performance and drive them competitive in the regional or global marketplace.

Entrepreneurship Education

Entrepreneurship education has emerged as a new area of teaching and research in view of its applied significance and contributions in expediting the socio-economic wellbeing. It is characterized by interactive learning within business and community initiatives, which builds a sense of convergence of industry and market with entrepreneurship education. Therefore, it is largely an experience-based learning approach (Boon et al. 2013). Entrepreneurship in individuals evolves cognitively with the personal abilities to turn ideas into action and build a contextual business model. It is a pool of practice-led knowledge, innovation, and business vision among the entrepreneurs, which they either inherit or learn among social interactions. Entrepreneurs are innovative, and they take the initiative and risks, to plan and manage business projects to achieve predetermined goals. Entrepreneurial competencies are learnt regardless of their current position in business or their professional prospects. Entrepreneurship education helps in enhancing their competencies and capabilities (Strauti et al. 2018). Diffusion of entrepreneurial knowledge promoted through public–private management training modules and social interactions, which is being governed by public policies in the developing countries. Despite the popularity of applied education, the modes of imparting applied education to the entrepreneurs still need to be fully understood within the society. The nature and ability of entrepreneurship education needs a crowd-based diffusion model with a distinctive goal to transform society (Turner and Gianiodis 2018). The design cube explores applied education for entrepreneurship promotion in the context of design-to-market, design-to-society thinking, and design-to-value. Such effort requires substantial investments in entrepreneurship education in terms of money, time, and effort by the public and private organizations, besides the governmental programs. New pedagogies have emerged on digital and workshop-based teaching platforms, which are shifting the entrepreneurial learning from conventional modes to market-oriented domains (Longva and Foss 2018).

Most small and medium enterprises (SME) serve as feeder industries and play key role in the value chain of the large companies. Thus, these enterprises establish industry connection and seek support on entrepreneurship education through experience-based learning approach. The experience-linked entrepreneurial education drives organizational change with increasing usage of social media (Chawinga 2017). The taxonomy of entrepreneurship education categorically explains causal and effectuation approaches. The causal approach is related to economic plans and strategies as it focuses on entrepreneurial education models that affect business growth and performance. The effectuation approach comprises entrepreneurial experiences that have grown through the uncertain business environments. However, in both the approaches of entrepreneurial education, the underlying challenge is the systematic diffusion and learning of entrepreneurial models (Ilonen and Heinonen 2018). The pedagogic approaches are designed to deliver mixed knowledge on refining entrepreneurship in tune to Industry 4.0 revolution and develop market-oriented approaches based on practical entrepreneurial needs. Working along the automation trend and following digital marketing practices are the most dominating problems for SME entrepreneurs for the survival and growth of their businesses (Amjad et al. 2020). The failure of SME entrepreneurs not only diminishes their business growth, but also damages the initiatives taken by the governments and private institutions for entrepreneurship development as a socio-economic goal (Ogbari et al. 2019).

Most SME entrepreneurs develop design-to-market strategies in view of the lessons learned from market competition and their experience in managing niche market strategies. The design-to-market strategies over time become a common practice as entrepreneurial marketing. Accordingly, entrepreneurs follow bottom-up approach by choosing the target market or segment in the beginning, and later explore the needs and demands of their targeted segment through personal relations to serve them efficiently (Stokes 2000). The entrepreneurial marketing approach involves cost-effective activities by avoiding formal market research or involving mass promotions strategies to promote business. However, entrepreneurs of small and medium business segment significantly depend on their personal networks to collect information about consumers and the market. These entrepreneurs heavily use consumer psychodynamics and the interpersonal communication such as word-of-mouth to promote their products and services (Copley 2013). The social facet of entrepreneurship education has closer proximity to innovation diffusion and business modeling than the formal teaching pedagogy or regulatory education to entrepr...

Table of contents

• Cover
• Front Matter
• Part I. Entrepreneurial Development, Economics, and Management
• Part II. Enterprise Modelling: Innovation and Technology
• Part III. Socio-Economic and Cultural Perspectives in Emerging Markets
• Part IV. Global Business
• Part V. Education, Entrepreneurship, and Organizational Behavior
• Part VI. Entrepreneurial Case Studies
• Part VII. Epilogue
• Back Matter