Entrepreneurs’ creativity

Entrepreneurs creativity

Entrepreneurs’ creativity – This article explores what creativity is and how entrepreneurs’ creativity occurs.

It also explores factors that contribute to entrepreneurs creativity occurring.

Entrepreneurs creativity

What is creativity?

Creativity is the generation of new, imaginative ideas that lead to the initiation of a product or process that is useful, correct, appropriate, and valuable to the task at hand.

It is a personal resource that can be further developed in all of us.

Creativity is critical to being able to use opportunities to ones advantage.

How does entrepreneurs’ creativity occur?

Some people are good at finding out ways to improve how things are done, that is, to do things better. There are also people who are good at finding new and novel solutions to problems, that is, ways to do things differently.

Factors that contribute to creativity occurring are:

  • Personal traits.
  • Knowledge attributes.
  • Context.

Entrepreneurs’ creativity– personal traits

Personal traits refer to psychological factors. Entrepreneurship research has shown that psychological factors influence people’s ability to use opportunities to their advantage.

These personal traits influence the decisions of whether to exploit opportunities or not.

Examples of the psychological factors that contribute to creativity occurring are: internal locus of control, tolerance of ambiguity, self-efficacy and the risk-taking traits of the individual.

Other factors are curiosity, intelligence, openness to new experiences, dispositions, independence of judgment, sensitivity to problems, flexibility and originality.

How does internal locus of control influence entrepreneurs creativity?

Entrepreneurs creativity

Internal locus of control influences entrepreneurs creativity through the belief of individuals who strongly think that they are in control of their destinies (higher internal locus of control). Those with a strong internal locus of control, believe that they can understand and control the outcome of events. These people are more likely to exploit entrepreneurial opportunities. These individuals are more likely to be creative because creativity is important to being able to exploit entrepreneurial opportunities. They are more likely to exploit entrepreneurial opportunities because they believe that their ideas, actions, imaginations and ability to recombine resources will have positive outcomes.

How does tolerance for ambiguity influence entrepreneurs’ creativity?

Entrepreneurs creativity

Creative contexts are characterized by incomplete information and uncertainty. Tolerance for ambiguity is the tendency for individuals to find uncertainties, lack of clear solutions and unclear circumstances attractive. Therefore, it influences creativity in the sense that people with a higher tolerance for ambiguity are more likely to exploit entrepreneurial opportunities. Given that, entrepreneurship leads to growth or gains under conditions of risk and uncertainty.

How does risk-taking influence entrepreneurs’ creativity?

Entrepreneurs creativity

Risk-taking is the willingness to commit significant levels of time, money and effort to pursue an activity with a reasonable chance of failure. The process of generating a new or imaginative idea and pursuing it to the point of profitability is a risky process. The creative process is shrouded in uncertainties, as such, risk-taking individuals are more likely to be creative and exploit opportunities compared to the risk-averse individuals.

How does self-efficacy influence entrepreneurs’ creativity?

Entrepreneurs creativity

Self-efficacy is the extent to which an individual believes he or she has the ability to achieve a desired effect or a certain level of achievement for a given task. Individuals with high self-efficacy are more likely to creative because they have confidence in their ability to generate and execute the exploitation of opportunities successfully.

Entrepreneurs’ creativity– knowledge attributes

The knowledge attributes refer to the individual’s imagination and motivation as influenced by the domain of knowledge within which they are immersed.

Whether sciences, arts or business, the combination of an understanding of a knowledge base with skills to manipulate the knowledge base influence the creative process.

In fact, creativity is actually more about assembling prior knowledge in new ways than about dreaming up something totally new.

How does knowledge influence entrepreneurs’ creativity?

Entrepreneurs creativity

Knowledge influences entrepreneurs creativity at the point of critical thinking. Critical thinking contributes to creativity – the ability to critically accept premises, assumptions, and values of a particular knowledge base. Individuals who have the ability to critically assess knowledge are creative because they are able to easily produce divergent thinking. That is, create new ideas, modify existing ideas or substitute conventional wisdom.

Entrepreneurs’ creativity– context

The context describes the environment or social field within which the creativity occurs and within which the merits of the work or product produced are evaluated and judged.

Context could describe the entrepreneurial communities and organizations, family business and social and sustainable entrepreneurship.

It encompasses the encouragement from others, time pressure, and physical structures.

How does context influence entrepreneurs’ creativity?

Entrepreneurs creativity

Context influences creativity in the sense that it is a frame of reference for forming an opinion. Ideas or products are judged as being creative or otherwise within a context. Internally, the perception of and judgement of creativity differs. In some contexts, creativity is appreciated and encouraged, even when it does not sell. In other contexts, creativity is stifled and only accepted when an idea sells. Externally, context also influences creativity in terms of how a product or an idea can engage with the consumer. Context effects influence people’s judgements of products and this vary vastly in different markets.

Mofoluke Akiode