Entrepreneurship Theories

The field of entrepreneurship is generally defined by the pursuit of opportunities to add value. However, for social entrepreneurs , the stakes are different. This unique breed of business leader aims to tackle complex social issues—often in different cultural contexts—in addition to producing economic value.   But what drives someone to take on this double burden? Research into the motivations of social entrepreneurs reveals a complex psychological landscape that goes far beyond simple charity. The Traditional View: Altruism vs. Self-Interest There are two prevailing theories regarding what sparks a social venture: Prosocial Motives: The most common explanation is that altruism and compassion inspire social entrepreneurs to provide social benefits. According to Miller et al. (2012), this "heart-led" approach is the primary engine for social change. Self-Interest: Conversely, other academics hypothesize that ego is a necessary component. Motivations ma...

Corporate entrepreneurship (also known as intrapreneurship) is the process by which established firms behave like startups to drive strategic renewal and competitive advantage. It involves the formal or informal cultivation of entrepreneurial spirit within a large organization, encouraging employees to identify and exploit new opportunities that fall outside the company’s traditional scope. Rather than simply maintaining the status quo, firms practicing corporate entrepreneurship actively disrupt themselves by developing new products, entering untapped markets, or completely reinventing their internal business models. Internal Corporate Ventures (ICVs) are specialized entities created within an established firm to explore and develop new businesses that fall outside the company’s core operations. Unlike standard R&D projects, which typically aim to improve existing products, ICVs operate like "startups in a suit," designed to pursue radical innovations or enter entirely n...