Topic: Critical Thinking and Application questions

Order Description

1. Submit written answers to review questions #1, 2, 3, 4, 6 and 7 on p. 395.

2. Write a response to Critical Thinking and Application Question #3 on p. 396. Be prepared to present the innovation in class for discussion.

INNOVATION AN!) (:(mmnATE ENTREPRENEURSI HI’
0 Innovation is a top strategic priority for senior managers. It is often defined as the
invention of a new service, product, process, or idea.
0 Innovation also includes existing ideas that are reapplied or deployed in different
settings for different customer groups. A recombination of old ideas or a unique
approach that is perceived as new by the individuals involved are also ways to think
about innovation.
0 Firms innovate in a number of ways, including business models, services, processes and
marketing channels.
0 Corporate entrepreneurship, or intrapreneurship, involves the creation of new prod-
ucts, processes, and services within existing corporations.This sort of entrepreneur-
ship is niore common in organizations that foster innovation.
0 Some of the factors associated with intrapreneurial firms include a well-supported
vision that includes an emphasis on innovation and a culture that supports this vision,
top-management support, organizational champions, teamwork and collaboration, a
flat management hierarchy, a decentralized approval process, respect for everyone’s
ideas, excellent communications, adequate resources devoted to entrepreneurial
activities, a reward system that encourages innovation, and a focus on learning.
0 Firms are using the Internet for e-tailing, exchanging data with other businesses,
business-to-business buying and selling, and e-mail communications with a variety of
stakeholders.
The hospitality industry extensively uses the Internet, as online travel intermediaries
along with others continue to innovate in new travel services and offerings.
As social networks and new technologies evolve, even more innovations in travel distri-
bution are expected.While it is difficult to predict the future of the Internet, it is clearly
an increasingly important tool for the exchange of information, goods, and services.
1.What is entrepreneurship, and why is it important?
2.What are some of the characteristics of entrepreneurs? Are you that sort of person?
Do you know anyone who would be a good entrepreneur?

3. Describe the entrepreneurial tasks.

4.What does a business plan contain? Is a business plan the same as a strategic plan for
an existing business? If not, how are they different?

5.What is the difference between business-format franchising and traditional
franchising?

6. Is franchising more or less risky than starting one’s own business?

CHAP’I‘ER ‘) I S’I’REVI EGIES FOR EN’I’REI’RENEUKSHH’ AND INNCWVA’I‘ION

7.What are the primary reasons why new business ventures fail?

8.What are some of the typical activities of an entrepreneur during the first year of a
venture?

9. Describe the sources to which an entrepreneur can turn for venture capital.

10. How can established firms foster innovation?

11.What are the different business models available to tourism organizations for lever-
aging the Web? How well do you think the industry is doing at balancing the inte-
gration and coordination of databases and Web interface?

1. Find a local entrepreneur and interview him or her. Discuss with your classmates
what you learned from your interview. Following are some suggested questions:

Could you tell me about your early career experiences as an entrepreneur?

What were some of your greatest professional successes and failures? What did
you learn about being a successful entrepreneur?

What advice would you offer students who want to become entrepreneurs?
Perhaps you can offer advice about starting up a firm, obtaining capital, moving
forward with growth.What should they think about before becoming an entre-
preneur? Should they wait? How long? When is the right time to start you own
hospitality business?

Are entrepreneurs made or born? Do you believe entrepreneurial skills can
be taught? If there are key skills that students can develop now, how might they be
nurtured in college? business practices with philanthropy?

0 Looking to the future, what is next on your business agenda?

2. You have decided to start your own small hospitality business. Begin by briefly
describing the venture and why it is likely to be successful. Before you begin the
process of devising a business plan, use the simple economic model shown in Figure
9.1 to determine the profitability of your business. Does your proposed business
have high margins? high volumes? product/ service variety? low operating leverage?
How could you enhance the profitability of your new venture?

3. Identify an example of a recent hospitality innovation.What type of innovation is it?
What are the characteristics of this innovation? Are innovations in services different
from product-based innovations in manufacturing? How? Give examples.