Before I even start to talk about this disgraceful act of a british magazine, let me give you the definition of an entrepreneur. An entrepreneur is, “a person who organizes, and manages any enterprise, especially a business, usually with considerable initiative and risk” (Nelson).  In another dictionary,it is known as “one who organizes, manages and assumes the risks of a business or enterprise” (Nelson).  In both cases, it outlines and enforces the word of ‘”risk.”  Taking a risk is almost an entrepreneur’s middle name, and many risks must taken to create a successful business.  In the article I founded at LinkedIn, it talked about why Victoria Beckham is not an entrepreneur, and I completely stand behind his statement.

Victoria Beckham may look nice, but she is no entrepreneur.

Management Today, a famous business magazine from the U.K, named Victoria Beckham or so called “spice girl” as the entrepreneur of the year.  This, and the idea of it, is absolutely disgraceful.  She may have a successful business in which is currently widely known today, but we have to ask ourselves: what risks has she taken to create this business?  She has millions of dollars at her disposal and to create this business was almost a breeze. She could have thousands of dollars in losses and they would be completely irrelevant to her and her business.  As a man who is inspired by and admires fellow entrepreneurs, she would not be anywhere close to that list.

Entrepreneurship and Risk-Taking are synonyms.

This title that the British magazine has given Mrs. Beckham is offensive to any entrepreneur who has taken so many risks to create their business.  Many entrepreneurs risk their own life savings in order to create businesses, and I admire that risk.  They truly believe in their product, disregarding the fact that this may be successful or a failure.  That is the true meaning of entrepreneurship.

Sources

Marks, Gene. LinkedIn. Web. 12 Nov. 2014. <http://www.linkedin.com/today/post/article/20141111185212-2474348-why-victoria-beckham-is-not-a-successful-entrepreneur?trk=mp-reader-card>.

Nelson, Brett. “The Real Definition Of Entrepreneur—And Why It Matters.” Forbes. Forbes Magazine. Web. 12 Nov. 2014. <http://www.forbes.com/sites/brettnelson/2012/06/05/the-real-definition-of-entrepreneur-and-why-it-matters/>.

Pictures

https://www.dosomething.org/blog/celebsgonegood/nominee-profile-victoria-beckham

Risk That Entrepreneurs Encounter

Costco and their lowest turnover rates in the industry.

Costco has an amazing business model in where they provide consistent hours, better wages, and health benefits for all the employees that work for them.  They have one of the lowest turnover rates compared to others companies, with “17% overall and just 6% after one year’s employment”(Cascio). You may think that lower turnover rates would cost more money to keep the employer’s happy, but it does also cost money to the firm to replace workers who leave.  In Carolyn’s Blog Post, she explains the advantages that Costco currently has that other companies don’t.

A great work environment leads to great productivity.

In question of Costco’s amazing ‘reputation,’ I decided to look into it a bit to see if Costco has any dirt on their reputation.  I could barely find anything.  There were a couple of articles regarding why not to buy at Costco, including reasons such as transportation costs, membership fees, and impulse buying.  However, there was not many that addressed Costco’s business transactions.  They have all mentioned that “Costco gets one of the most loyal and productive workforces in all of retailing,” and that is absolutely unbelievable (Cascio). It almost reminds me of Zappos, who also provided their employees with great respect and care.  These two businesses truly showed the outcomes of providing a generous workplace for the employees, and it really outlined  the importance of learning about human resources at the Sauder School of Business.

Sources

Cascio, Wayne. “The High Cost of Low Wages.” Harvard Business Review. Web. 12 Nov. 2014. <https://hbr.org/2006/12/the-high-cost-of-low-wages/ar/1>.

Pictures

http://pusitiboo.com/how-do-you-improve-working-relationship-with-colleagues/

http://en.wikipedia.org/wiki/Costco

Retail Store of Hotel Chocolat.

I came to Sauder to learn about entrepreneurship. After a class on Innovation and Entrepreneurship, it made me enjoy the field even more.  Learning about the successful businesses that these entrepreneurs have created is absolutely inspiring. I recently came upon an article about Angus Thirlwell, “the man who built the Hotel Chocolat Empire”().  He started with a one store in 2004 which has grown into a gigantic company today.  His passion regarding chocolates and his diligent work has brought him this far, and I admire anyone who has created their own business with passion.

Superman also needed Intrapreneurship.

With a big company like this, I lead to believe that there are many intrapreneurs within that company creating new types of chocolates on the daily basis.  As they may not have the face and courage to be a leader, they have the mind to create and innovate.  A large business like Hotel Chocolat requires not only a leader but the addition of small intrapreneurs who would be willing to pitch their idea for the business.  As it may be that Mr. Thirlwell receives the majority of the recognition, I will always believe that there are others who are creating small, but relevant ideas which are all for the benefit of the business.

With entrepreneurship showing great results from hard word and smart decisions, I have never hoped to learn more about this option.  As inspired by many of the Sauder Alumni and Mr. Thirlwell, I hope to create a business too.  The one thing I will do differently is give credit to all the intrapreneurs within the business, whether they look to be a leader or not.

Sources:

Hope, Katie. “The Man Who Built a Chocolate Empire.” BBC News. Web. 12 Nov. 2014. <http://www.bbc.com/news/business-29689340>.

Pictures

http://www.retail-week.com/stores/store-of-the-week-hotel-chocolat-victoria/5010589.article

http://live.surveyshack.com/blog/bid/49176/Transform-Your-Business-With-Intrapreneurs

With the current shift of the market turning to online transactions, Alibaba capitalized on a huge opportunity, with their sales for the Single’s day “exceeding predictions at $9.3 billion”(Alibaba).  China’s online retail giant has had great success on the e-commerce market by supplying the consumers a new way to receive their products at a click of a button.

80% of online transactions in China

In any case, this outlines the importance of the role of market research before you create a product.  Alibaba is one of the biggest online commerce companies in which they successfully created a marketplace for consumers and business owners.  They identified the problem of the lack of a centralized online market place and here they are now, ruling with “80% of all online sales in the world’s second biggest economy”(Alibaba). I believe that this successful increase in revenue was generated by the successful marketers of the company.

A successful e-commerce company.

However, that does not mean these marketers will always make the right speculations.  Currently, they are pushing to become more international and expand their company to overseas.  This could be a great idea, but an entry to a new market always comes with risks and uncertainty.  There are already websites such as Amazon and ebay, which are popular among the western civilization.  The existence of the company has already created competition, and moving the general company forward to overseas will create even more.  Alibaba can make this bold move, but I sure hope that they have done their market research beforehand, or they could lose money just as fast as it came in for them.

Sources

“Alibaba Singles’ Day Sales Pass $9bn.” BBC News. Web. 11 Nov. 2014. <http://www.bbc.com/news/business-29999289>.

Bloomberg. “How Alibaba Sold Nearly $7 Billion in Merchandise in 14 Hours | Toronto Star.” Thestar.com. Web. 12 Nov. 2014. <http://www.thestar.com/business/2014/11/11/how_alibaba_sold_nearly_7_billion_in_merchandise_in_14_hours.html>.

Pictures/Videos

http://www.stockwatchweekly.com/daily-news/alibaba-ipo-invest-invest-question/

http://immpolicy.com/2014/09/02/eb-5-quota-reached-for-china/

One of my favourite hobbies during my childhood and even until today: video games. Within “The 66 billion video-game industry,” there are many famous names: Treyarch, Nintendo, Electronic Arts, Square Enix, and one of the more common ones I have known as Ubisoft (Nayak).  They are planning to release two new games of “Assassin’s Creed Unity” and “Far Cry 4”, in which they “look to entertain while swelling the Ubisoft bottom line” (Davidson).  I am a humongous fan of these two series, and it’s understandable that there is a huge crowd waiting for the release.  But the problem that I would like to address involves a bit more than just a little petty game awaiting the gamers.

Ubisoft’s Famous Title: Assassin’s Creed

In the current situation, there are many of these video games that involve series.  The majority of the people know Super Mario, which was a game a game that was released in the 1980’s, which led to a big hit the market, even until today (Muldoon).  Same with Call of Duty, where there are over 10 series under the same name.  The question is, how long do they have until this scheme will be ineffective?

Sooner or later, some person will create a completely new game, not within a series, that will create a whole new revolution that will impact the video game industry.  This firm who takes this opportunity will instantly have a competitive advantage among competitors, and the others who are stuck in the wave of transient advantage will have to change to counter this firm’s movement.  There will be a change in the near future, and if these companies are not ready for it, that’s their loss.

Sources:

Davidson, Neil. “Ubisoft Montreal Ships Blockbuster Video Games Just One Week – but Worlds – Apart.” The Globe and Mail. Web. 11 Nov. 2014. <http://www.theglobeandmail.com/report-on-business/ubisoft-montreal-ships-blockbuster-video-games-just-one-week-but-worlds-apart/article21525314/>.

Muldoon, Kevin. “The Evolution Of Mario.” Noupe. Web. 11 Nov. 2014. <http://www.noupe.com/inspiration/showcases/the-evolution-of-mario.html>.

Nayak, Malathi. “FACTBOX – A Look at the $66 Billion Video-games Industry.” | Reuters. 10 June 2013. Web. 11 Nov. 2014. <http://in.reuters.com/article/2013/06/10/gameshow-e-idINDEE9590DW20130610>.

Pictures

Why Competitive Advantage Matters. Even for Nonprofits

http://assassinscreed.ubi.com/en-us/news/news_detail.aspx?c=tcm:19-115724&ct=tcm:6-231-32

Profit Maximizing at a large scale.

The fundamental theory you place on a firm from an economic perspective is the idea that they are always trying to maximize their profits.  The truth is that any company who is merely focused on profits will fall to greed in the long term.  Large corporations and the first nations are currently head-to-head on a variety of disputes, with the majority regarding aboriginal land claims.

Are they truly ethical?

External factors that impact the company, such as the land claims, must be taken into consideration even before the project has commenced.  BC Hydro has made the mistake by “downplaying the impact on the First nations” and disregarding the true environmental footprint left behind by the 8 billion dollar project (O’Neil).  Brian Battison from Taseko Mines has underestimated the value of land claims, even admitting to not “knowing what a tribal park is, how it’s constituted, and what may or may not be allowed”(Pynn).  The external factors are currently hindering the company’s ability to flourish and expand its horizons.

Increasing awareness of ethics in business.

But is this the real problem that is being addressed for the company? BC Hydro and Taseko mines both breached the ethical code of conduct; that is, they lack the corporate social responsibility they should be obliged to. Whether the actual problem hinders the company’s potential is irrelevant because the First Nation’s deserve their titled land received within their treaty.   The awareness for the need of businesses to create shared value in the society has greatly increased. At this rate, these companies with large monopolies in the industry will not last for the long-term.   Unless they find a way to further expand their territory without the disruption of First Nation’s claims, there may be another large conflict in the future.

Sources:

O’Neil, Peter. “First Nations Chiefs to Stage Site C Showdown.” The Vancouver Sun. Web. 11 Nov. 2014. <http://www.vancouversun.com/life/First Nation chiefs stage Site showdown/10215965/story.html>.

Pynn, Larry. “Tsilhqot’in Set to Declare Site of New Prosperity Mine a Tribal Park.” The Vancouver Sun. Web. 11 Nov. 2014. <http://www.vancouversun.com/news/metro/Unilateral park declared Tsilhqot includes Prosperity mine/10192766/story.html>.

Pictures:

http://www.realcommunications.co.za/blog/

http://www.stlawu.edu/economics/economics-minor

http://www.happycapitalism.com/2010/11/taseko-mines-limited-needs-to-go-back-to-the-drawing-board/