BUSINESS: Corporate Entrepreneurship (04) – Definitions part III

Posted on by

Hierarchy of terminology in Corporate Entrepreneurship

It can be interesting to classify the different terms used in the field of Corporate Entrepreneurship according to a hierarchical system. The goal of this grading is to identify some characteristics and dimensions of population and groups, characteristics which can define discrete types of entrepreneurial processes. On a high level, entrepreneurship can be divided in two main categories: internal and external processes (with the company as reference). You can find below the complete overview of this hierarchy of terminology:

[1]

For the Internal Corporate Venturing process, we identify specifically four dimensions:

  • Structural autonomy: defines the type of relationship with the parent (e.g.: integrated, separate profit center).

  • Degree of relatedness: defines whether the business is quite the same as the parent or a new one (reference = the existing company).

  • Extent of innovation: defines the degree of innovation (reference = the existing market).

  • Nature of sponsorship: defines whether the process is formal and induced entrepreneurial process or an informal and autonomous one (in the Burgelman’s sense).

    • ————-

    Bibliographical references:

    [1] Toward a reconciliation of the definitional issues in the field of Corporate Entrepreneurship

    Pramodita Sharma, James J. Chrisman, In: Entrepreneurship theory and practice, 1999

    Leave a Reply