Class Notes (1,100,000)
CA (650,000)
UW (20,000)
REC (200)
REC101 (50)
Lecture 4

Lecture #4 - Entrepreneurship Typed Filled in notes for lecture 4 - unit 1 Entrepreneurship - The prof gives lecture notes with blanks which needs to be filled during the lecture, I have provided a filled in lecture note, plus extra comments if any

Recreation and Leisure Studies
Course Code
Troy Glover

of 2
REC 101
September 22, 2010
Entrepreneurs are . . .
"People who, often habitually, create and innovate to build something of recognized value
around perceived opportunities" (Bolton and Thompson, 2000).
Entrepreneurship is . . .
"The process of adding something new [creativity] and something different [innovation] for
the purpose of creating wealth for the individual and adding value to society” (Kao, 1993).
An Entrepreneur is . . .
“An individual who searches for change, responds to it, and exploits it as an opportunity”
(Drucker, 1985).
Opportunity is at the heart of entrepreneurial activities
Entrepreneurship Literature
Divided into two schools of thought:
Supply-side school
Demand-side school
Supply-side Perspective
- A traits-oriented approach
- Assumes special types of individual create entrepreneurship
- Entrepreneurship is attributed to differences in psychological, social, cultural & ethnic
characteristics of individual
Supply-side Research
- Supply-siders ask if entrepreneurs have psychological traits & backgrounds that differentiate
them from other populations
- Such research has examined individuals' need for achievement, locus of control, risk-taking
propensity, problem-solving style and innovativeness, leadership style, values, and
socialization experience
Supply-side at Issue
Supply-side perspectives by themselves are too simple:
- The make economic activity too much a function of individuals
- They underplay the role of external structural influences
Demand-side Perspective
Defined as an
"opportunity structure, an 'objective' structure of economic opportunity and a structure of
differential advantage in the capacity of the system's participants to perceive and act upon
such opportunities."
what do entrepreneurs actually do ?
What decisions do they make within social settings that are changing over time?
Demand-side at Issue ( both sides have an influence on an individual )
Lacks a theory of agency
Luecke & Katz (2003) defined “innovation” as . . .
“. . . the introduction of a new thing or method . . . Innovation is the embodiment, combination, or
synthesis of knowledge in original, relevant, valued new products, processes, or services."
Innovation & Creativity ( important for exam )
Innovation typically involves creativity, but is not identical to it
- Creativity implies “ coming up with ideas ”
- Innovation implies “ bringing ideas to life ” ( in order to make money they exploit it )
Innovation in the Commercial Sector
An innovation is not an innovation until someone successfully implements & makes money on an
For this reason, in the commercial sector, innovation is often equated with value creation
Note: Entrepreneurs find the opportunities, doesn’t have to be creative , but actually they bring
ideas to life
Value = commercial value