Entrepreneur

The digital future of the diversification of the economy to new generation businesses, and the development of the entrepreneurship community took center stage at the first edition of ArabNet’s conference in Kuwait held on October 4-5, 2016.

Held under the patronage and in the presence of H.E. Sheikh Salman Sabah Al-Salem Al-Homoud Al-Sabah, Minister of Information and Minister of State for Youth Affairs, the event welcomed around 650 attendees from across 25 countries, including government officials, business leaders, entrepreneurs, investors and others.

The conference hosted over 50 expert speakers, who discussed digital businesses and shared insights with the startup community, with participants including Tarek Sultan, CEO and Vice Chairman, Agility, Abdulla Elyas, co-founder, Careem, Benjamin Ampen, Head of Revenue, Twitter MENA,  co-founder and CEO, BECO Capital, and Editor in Chief, Entrepreneur Middle East.

ArabNet also hosted its signature competitions Startup Demo and Ideathon, where entrepreneurs presented their business to a jury panel. Qatar-based Meddy (a portal connecting doctors and patients), Lebanon e-commerce startup SoukDesigner, and Kuwait price discovery platform Pricinity were the top three winners of Startup Demo. Kuwait-based parking discovery platform My Spot won the Ideathon challenge.

For its next digital businesses-focused event, ArabNet heads to Saudi Arabia with set to be held on December 12-14, 2016 in Riyadh.

“Discuss the relationship between entrepreneurship, innovation and economic development. What role does sustainability play in this relationship? Refer to both theory and examples from the business world to support your discussion. ” Introduction In today’s business world, the increasing focus on entrepreneurship education, innovation, economic development and sustainability are issues interrelated to business success.

Although an optimal balance between these relationships is hard to attain, the cooperation among nations is undeniably crucial to preach the importance of a balance between economic development and the environment, and raise people’s awareness of our future world. The following analysis will first start with clear definitions on entrepreneurship and innovation, and the Apple Company, which is well known as the most innovative company, will be used to demonstrate the relationships between them.

Then move on to define economic development and analyze its relationship with innovation by citing interpretation on developing and developed countries, and then followed by the importance of sustainability, and finally ended with a conclusion. Definition of Entrepreneurship Kappa, F. (2007) explained that “Entrepreneurship denotes the whole process where the entrepreneur becomes aware of the opportunities that exist to empower themselves, take the risk, develop ideas, and take personal responsibility and initiative. Therefore, in short, entrepreneurship is the process concerning being innovative and detecting opportunities, which an agile entrepreneur is focusing on in managing the business. Definition of Innovation While creativity is the core of the entrepreneurship, innovation refers to the ability to array out and realize those creative ideas. It can basically be divided into incremental innovation and radical innovation, where the former one is an improvement based on existing knowledge, whilst the latter one refers to creative destruction, creating a dramatic change in transforming the existing market into a new industry.

A leader in the development of management education believed that “In business, innovation rarely springs from a flash of inspiration. It arises from a cold-eyed analysis of seven kinds of opportunities”. (Peter, D. 2002, p. 95) , and his support in incremental innovation is opposite to Summerset’s contention in radical innovation, believing that new combinations generally do not evolve from the old ones but in a sudden sense, with a complete change (Schumacher, J. , 1983).

The choice of innovation, however, varies under different situation, and no definite answer has concluded. Relationship between entrepreneurship, innovation and economic development By ergonomic Apple could be said to be the most innovative company in these years, and its achievement is greatly credited to success in its entrepreneurship. So in the allowing, Apple Company will be used to help illustrate the relationship between entrepreneurship, innovation more concretely.

Steve Jobs is the entrepreneur of the Apple Company, and he had always been the core of the whole business. Because of Steve Jobs, Apple changed the way where computers were only for professionals, and through various evolutions, computers have now become portable, concise but powerful for everyone. Despite the initial curiosity in inventing Apple l, Apple II, and ‘pad, Macro recently, Steve Jobs had always been an entrepreneur who is an agent f change, as he focused much on creativity and innovation, and it can be seen by the advertising slogan of Apple,” think different”.

Thinking too differently may sounds like a fantasy, such as when Steve Jobs was introducing his idea about Macdonald. His competitors in cellophane industry laughed at him, teasing him that without a keyboard, the cellophane would not be a good email machine and no business customer will appeal to it. However, smartened then turned out to be a great breakthrough and success in not only the cell phone industry, but also in music industry, and in people’s lives.

Relationship between innovation and economic development Moving on to innovation and economic development, innovation is a superb motivator for development. Economic development is defined as the growth in an economy, for both quantitative, such as per capita GAP and inflation and qualitative measurement, such as standard of living, of this progress. (Seen, A. 1983). Whilst according to Schumacher, p. 6), innovation can be classified into five cases: “the introduction of a new method of production, the introduction of a new method of production, the opening of a new market, the conquest of a new source of supply of away materials or half-manufactured foods and the carrying out of the new organization of any industry’, which are the ways of that could help increase competitiveness in the industry and enhance economic development as a result.

However inversely, the choice of innovation could also be influenced by the state of economic development that a country is in. The quantitative side of economic development of a country can be shown on the graph of Production Possibility Frontier(APP) of a country, while APP demonstrates the maximum combination of two goods that a country can produce, using existing resources and technology.

In the following there will be an interpretation of innovation upon economic development in both developing and developed countries. In reference to a research done by the United Nations University(Nude, W. Et al, 2011), in developing countries, businesses will usually practice incremental innovation as they are normally producing within the APP, which means they could think of efficient ways to utilize their resources and existing technology more fully to attain the maximum production efficiency of a country. Read about the business and society relationship

Besides, incremental innovation is a low-risk approach, as firms can move award by importing the radical innovation built by the developed countries, while the developing countries can benefit the most due to its additional development to developed countries, the competition is intense and most of the industries are producing on the APP, indicating the difficulty in further development with existing possession. This will then encourage firms to undergo radical innovation, trying to discover more resources and invent new technology to increase the capability of the country, and hence shift the APP outwards.

Therefore, it shows that the developing entry is more likely to adopt incremental innovation, while the developed country will incline to focus on radical innovation. For example, the Apple Company is sited in the United States which is a developed country. Because of Steve Job’s insistence in radical innovation, touch screen is now an inevitable trend, while this technology will continuously permeate people’s lives, which helps boost the economic developments, such as product development, technology development, market development and Job creation.

The emerge of Apple products demonstrates new combinations of product and technology, while it has rated the drift of smart technology in people’s lives, forming new needs for customers and producers in pursuing a better life, encouraging investment in many industries, such as phone applications development and increase Job opportunities which statistically is shown on the official website of Apple Company that 600,000 jobs for US workers, from engineers to delivery men, are created.

Inversely, economic development could also affect innovation. According to the business cycle, a business will usually go through the process slump, recession, recovery and boom repetitively. When the business is experiencing slump and recession, it creates disincentive to the society to invest in innovation, while recovery and boom will stimulate people’s willingness in investment. Sustainability Nevertheless, sustainability should be claimed as the most critical factor in business world currently.

Sustainable development is defined as “development which meets the needs of the present without compromising the ability of future generations to meet their own needs” (Our Common Future, 1987 p. 54). Most businesses nowadays have noticed the importance of sustainability, as there is n interdependent relationship between business and society, and the balance between the environment protection and the economy development is notably essential for a long term economic growth.

Sustainable development has been incorporated into one of the business’s Corporate Social Responsibility (CARS) which has become a prominent issue in recent times and business is expected to consider the wellbeing of their stakeholders, as it will affect the businesses immensely. Imagining a dyeing industry disposing waste in the river throughout its operation, the eluted river will reduce the amount of water supply, and hence increase the price of water, which will in turn increase its costs of production. In addition, its sales revenue may drop because of its irresponsible behavior, which affects its reputation in the public.

However, if the business could shoulder up the responsibility, includes water, it can then build up a positive and respectable image in the public, which can be a non-current asset for the company in generating benefits, while the extra cost it applied would then be comparatively immaterial. Furthermore, sustainability results nearly a lower cost in production in the long term, which is shown as a seductive reason persuading businesses for firms to pursue sustainability especially for profit- making companies. There is a piece of reading showing how sustainability can help the world.

Emory Loving, who was a consultant in environment, energy resources, development and security, invented ultrahigh-hybrid cars, which are fully recyclable, 20 times more energy efficient, 100 times cleaner, and cheaper than existing cars, and his creativity has been brought into practice as an innovation, while it also concerns the saving of sources and the increase in productivity and efficiency. The ultraist-hybrid cars can help reduce severe car pollution, especially in China, cut the resources usage, and foster the economic development by increasing productivity. (Hart, S. 1996 p. 75).

All in all, sustainability can bring eternal benefits to the people and to the world. Reciprocally, to move towards sustainability, the satisfaction of human needs and aspirations is the major objective, which indicates the importance of innovation and economic development to maintain a stable economy or even a progressive economy, s poverty deprives people’s capability to use resources in a sustainable way, and they have no choice but to intensify pressure on environment in order to survive. For example, a drought may encourage farmers to slaughter animals in the subsequent years for the basic need to maintain living.

Furthermore, the culture of creativity and innovation in business can also help reduce vulnerability in the economy state. For instance, the invention and evolution of technologies could help businesses to increase their capacities, ability to cope with market fluctuations, and even enhance market development. Therefore, entrepreneurship, innovation and economic development are chief factors affecting the accomplishment of sustainability. (Our Common Future, 1987, p. 64, 69) Conclusion In conclusion, there are many factors affecting a successful business, from entrepreneurship, innovation, economic development to sustainability.

Aiming to provide exposure to business ideas of the tech startup community (regardless of location), TED plays host to DSO’s annual pitch competition, which offers cash prizes up to US$10,000 and free incorporation and incubation support in DTEC for the winners. DTEC invites seed-stage tech startups belonging to Smart city, IoT, ICT, Islamic economy, fintech, travel-tech, and health tech sectors to for the competition before October 20, 2016. Commenting on the number of startups that stand to benefit from the challenge,  says, “Each year we receive 200+ applications from around the world. We shortlist 10 to come pitch on the day to a top-notch judging panel.” Fadoul adds that a few top criteria that will be used to screen the applications are “innovation, market fit and great teams.” As for the onstage pitches, she says that competing startups will be judged based on “the concept and its market fit, and the team and its ability to execute a solid and data-driven go-to-market plan.” In a first for the event, TED 2016 extends to a second day to include workshops for entrepreneurs. TED also makes space for a startup showcase area for businesses to exhibit and network, and startups shortlisted to pitch also get a free showcase space at the event.

Not everyone is born for the traditional 9-to-5 job. And not everyone is a born entrepreneur. While many Americans prefer the security of working for others, others prefer the risk of starting their own businesses and positioning themselves for substantial rewards.

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But is entrepreneurship a smart choice? It can be, but only for the right kind of person.

Here are some reasons you might be better suited to be a business-builder than a rank-and-file employee.

You crave an open-ended job description.

When you work for an employer, only those at the very top have much say in how the company is run. You’re more likely to have a set of daily tasks, with virtually no control over the big picture. Some people prefer the safety and clarity of such a defined role. But for those with a more entrepreneurial mindset, an unvarying routine can lead to stifling .

When you start your own business, you determine the company’s strategy. Your job description is limited only by your imagination, and that challenge enables born entrepreneurs to thrive.

You believe in ‘everything ventured, everything gained.’

It’s important to feel appreciated. Unfortunately, very few top-performing people feel truly valued in their workplaces. In the dog-eat-dog world of , people sometimes rush to take credit for others’ ideas.

When you own your own business, it’s clear where the ideas originate. Every success depends on your hard work and ability to pick the right staff members to carry out your vision. Not to mention that no one has anything to gain by downplaying the boss’ successes.

While many startups struggle at least initially, you can end up making substantially more money than you ever could at an office job. If your idea is a good one or your product fills a genuine need, you will find a solid market.

Those who stick with the 9-to-5 route always will face obstacles as they try to advance in the company: competition from peers, salary ceilings or even a frustrating lack of vision from company management. Frankly, some top executives believe they have more to gain if they keep high achievers in career pigeonholes.

If you’re the one building the business, however, you stand to earn the . That’s not to say you shouldn’t share the wealth with those who help make your vision a reality — just the opposite. Smart bosses reward committed, high-quality employees. But the buck stops with you in every aspect of your business, and those who shoulder the risk deserve to reap the benefits.

You answer to the toughest boss: yourself.

No one likes answering to a supervisor, particularly if you believe your higher-ups lack real vision. But it’s not enough to simply chafe at authority. You must know you can do better and — perhaps counterintuitively — have a solid grasp of your limitations, as well.

No one excels at every element in business, so it’s crucial to recruit those whose skills fill in your gaps. Suppose you’re a genius at developing, marketing and selling products. But maybe you lack the “soft” skills to manage a team. It takes real emotional intelligence to strike a balance between demanding excellence from your team and applying diplomacy that makes for a cohesive, motivated workforce. Knowing your deficits and identifying the best people to correct those shortcomings is vital to lasting success.

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You learn from every failure.

succeed. The odds of success get a little better with each fresh try, but not by much. The entrepreneur’s road certainly is no place for lightweights.

“It’s not easy, and it’s definitely not for everyone,” says Trevor Gerszt, founder and CEO of , a fast-growing gold IRA company. “But if you have both the vision and, most vitally, the day-to-day discipline to achieve that vision, there’s actually no limit to how big you can become.”

Here are some of the qualities you’ll need to succeed as an entrepreneur.

• Tireless work ethic. You must be ready to work harder than all your friends and willing to give up free time (even ) to meet your goals. Your customers don’t care that you’re just getting started. They need product. In the years before you can afford to hire support staff, you’ll be the one running every department, late into the night. The rewards will come, but the universe will make you earn them.
• Authentic leadership. There are many different leadership styles, and you shouldn’t try to mimic one that doesn’t ring true for you. But even introverts must be able to evangelize the benefits of their company’s products or services. The one great key? Harness the power of your belief in what you’ve created and the value it represents to your customer.
• Unquestionable integrity. A jaded public is one of the greatest challenges to business success. A segment of your customers have learned through bitter experience to approach every transaction with caution. If you want to gain customers for life, treat them with the same degree of integrity you expect to see in business relationships. Don’t upsell them if the more expensive product isn’t right for them. Integrity shows you respect your customer, employee, suppliers, partners and yourself. And cutting corners is ultimately a betrayal of your business brand.
• Empathy. If a customer has a problem, listen and make it right. Too many businesspeople view each customer as a single transaction. Understand that a customer who trusts you isn’t one customer; he or she is the potential source of enthusiastic recommendations to friends, family and colleagues. The converse is also true — and social media gives dissatisfied customers a longer reach than ever before.

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The true entrepreneur is a rare breed: a mix of dreamer and tireless bulldog, working every day to create something that exists only in the individual’s mind and heart. So, again, business-builder or rank and file? It’s a tough choice to make, but it could be the life-changer you’ve been searching for.

is a series designed to bring to our readers the best books we’ve found to help motivate your entrepreneurial drive. Follow us on  and  to be notified of new features.

We’ve asked successful entrepreneur, university professor and Entrepreneur Press author for his favorite books that he believes our readers will enjoy.

Glauser: When Elon Musk was asked how he became the chief technology officer of a rocket ship company he replied, “I read a lot of books . . .” Like Musk, many of the thriving entrepreneurs I have worked with during my career are voracious readers. In addition to business books, they read about science, technology, wars, religion, history, and world leaders. Great books keep us informed about our world, introduce us to inspiring role models, and teach us important concepts we can apply in life and business. Although I spent a lot of years in college and earned three degrees, I feel that reading has been my greatest source of learning during my career. Here are 10 books I highly recommend for aspiring entrepreneurs and business owners.

Man’s Search for Meaning by Viktor E. Fankl

This is the best book I have read on the power of purpose and meaning in life. Frankl shows how having a powerful “why” can help us overcome any “how.”  Having a strong and engaging purpose is the first step for every entrepreneur – it is the foundation for building a successful company.

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Endurance by Alfred Lansing  

Building a business is hard work. This book shows that there is always a way out of difficult and seemingly impossible situations. You learn how the Antarctic explorer Ernest Shackleton created a vision, inspired hope, managed dissent, created strong teams, and orchestrated a miraculous rescue.

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 The E-Myth Revisited  by Michael E. Gerber

Every aspiring entrepreneur and small business owner should read this book. It is all about creating processes and systems to help you stabilize and grow your business without burning yourself out. You learn how to work “on your business” rather than “in your business.” The book is a classic.

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The $100 Startup by Chris Guillebeau 

This book is an excellent tool for the solopreneur. It’s about starting a small business or side gig with very little money. The message is simple: everyone can do something to create income and take care of themselves.

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The Lean Startup by Eric Ries  

This book started the hubbub about minimal viable products, small experiments, constant evaluation, and pivoting. It captures what innovative entrepreneurs actually do to build successful companies. Read it to ensure that your venture takes and grows.

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The Boys in the Boat by Daniel James Brown

This is an excellent book about the power of teamwork. It is the inspiring true story of how the University of Washington’s rowing team won the gold medal at Hitler’s Olympics in 1936. It shows how everyday individuals like you and me can accomplish great feats when we get in sync in both attitude and effort.

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Shoe Dog by Phil Knight  

This is a remarkably transparent book about the realities of entrepreneurship. You see how a group of misfits scrambled, stumbled, pivoted, and persisted to build something they believed in. You learn how Knight and his team got into the game by selling another company’s shoes, later creating their own products, and eventually building one of the most recognizable brands in the world.

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Lincoln on Leadership by Donald T. Phillips

This book has a lot to teach us about leading organizations. It contains powerful principles practiced by one of our greatest presidents. You will learn how Lincoln created an inspiring vision, persuaded rather than coerced, built strong alliances, created innovative solutions to problems, managed a very diverse team, overcame insurmountable odds, and ultimately saved the union.

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The City of Joy by Dominique Lapierre  

This book is about a band of heroes with limited resources who make a huge difference in one of the largest slums in the world. I read it early in my career and it inspired me to build a social component into each of my companies. I firmly believe we can solve many of the problems in the world through the organizations we create, and giving back significantly improves the quality of our own lives.

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Main Street Entrepreneur by Michael Glauser  

This must seem a bit self-serving, but I wrote this book to clarify the road map successful entrepreneurs follow to create thriving companies. To make the book more interesting, I rode my bike 4,000 miles across America to collect the stories it contains. I truly believe the book outlines the key factors that make the most difference between success and failure when building a new venture.

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Celebrity branding or endorsements can do wonders to brands – is what most marketing companies tell their clients.

Today almost every brand is being endorsed by a celebrity, be it a sports star or an actor. Celebs help upcoming companies stand out among others in the field. To put it simply, “brand ambassadors” endorse your brand and services as well as become one of the many faces of your company.

But the question remains: Is celebrity branding really necessary to sell your product and do celebrity endorsements lead to greater sales?

We caught up with key figures from the beauty & wellness industry at the recently organized Franchise India Summit 2016 to tell us the role brand ambassadors play in boosting brand awareness and making brands a success.

Face value – The biggest boost to your brand

Dhanush Reddy,Managing Director of Eden Spalicious Private Limited says if you are happy with your business and generating enough customers with whatever marketing you are doing without a face then it’s okay. In his opinion, it depends on two factors – How happy are your customers and how happy you are with your business.

“If you are still growing and you can see your growth in front of your eyes then face value is not at all required,” said Reddy.

To explain further he said, “Making use of a face value is what can give the boost to your brand. Take Chisel gym as a brand, it is just another gym but the co-founder Virat Kohli’s brand name adds all the zing that the brand needs.”

Brand – Instant recognition in instant world

Darpan Sanghvi, CEO of MyGlamm believes by bringing a celebrity on board you get instant recognition because people recognize a celebrity even if they don’t recognize a brand.

“Ultimately it is your product that matters as you can have the best celebrity to endorse your product but if your product is crap it will not sell,” said Sanghvi.

If the celebrity goofs up, your product could suffer Sanghvi cautions.

For Example, Aamir Khan lost Snapdeal contract as brand ambassador after he made a controversial comment on rising intolerance in the country. Following the controversy, thousands of people uninstalled the app and even its ranking went to down on Google play store.

Work  – Speaks loud and clear

According to Nikhil Pradeep, Director of Adara Ayurveda, a face value does not do much to your brand. It is actually your work and product that keep your customers happy.

“We have few celebrity clients who follow our brand but we have never asked them to promote our product. We don’t need a face value and it will only be our product which will reflect our brand,” he explained.

Corporate social responsibility (CSR), the term given to companies’ efforts to deliver economic, social and environmental benefits alongside great products and services, is not always a favorite topic in business meetings.

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The idea of “giving back to the community” certainly has its appeal, and there’s no doubt that it makes for a great press release. But contributing to society at large is often a much lower priority for companies than turning a profit. Frankly, the idea can even sound kind of hippie-dippy, at first. I know I was skeptical.

But that was before I began implementing elements of CSR into my own business strategy. It didn’t take long to realize that, although I did find those elements personally fulfilling, the benefits stretched far beyond making me feel good. They made my company better, stronger and more relevant, too — and not just from a P.R. standpoint.

CSR might be the last thing on an entrepreneur’s mind when he or she sets out to start a successful business, but I’m now convinced it should be part of a company’s culture from Day 1. Not just because it’s the “right thing to do,” though it is, but because it gives you a competitive edge, too. Philosopher Henry David Thoreau said that “Goodness is the only investment that never fails.” Here are five reasons why:

1. A healthy society breeds a healthy business. 

Guess what? If the communities that you rely upon for your business are struggling, your business is going to struggle, too. After all, a successful world is necessary for your products or services to grow and mature in a healthy economic environment.

Good luck founding a successful startup if the economy is in crisis. You can’t engage with customers if they’re so worried about paying the bills and societal issues that they don’t have time to consider your innovative offerings. Promoting a happier, healthier society makes sense for any business, because a peaceful and prosperous society is a prerequisite for a thriving business.

2. Responsible practices result in cost savings.

Cost-efficiency is one of the first responsibilities of any entrepreneur, and engaging in responsible, sustainable practices can be a great way to cut costs. Using less packaging or slashing energy waste doesn’t just help conserve environmental resources — it helps conserve spending, too.

simply by eliminating all fluorescent bulbs in its headquarters and replacing them with energy-efficient ones. That was an environmentally responsible choice, sure, but the decision also saved the company money. It’s what I’d call a win-win.

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3. CSR results in brand differentiation.

Giving back in a tangible way can be a terrific way to set your company apart from your competition. A great example is TOMS. For every pair of shoes the footwear company sells, it to a child in an impoverished region. TOMS call this its “One For One” business model, which also immediately differentiates the company from its myriad competitors selling slip-on shoes.

The company is doing something good that others in its industry aren’t willing to do, and some that has made TOMS a recognized brand.

4. Making your company stand for something creates employee buy-in.

In most industries, can get fierce. Making your company stand for more than profits gives employees an easy reason to believe in your corporate vision, and when prime job candidates see your business tangibly contributing to society, they’re more likely to want to be a part of what you’re doing.

I’ve also found that employees give more of their heart and soul to your business when your business does work that actually touches their hearts and souls.

5. CSR pumps up consumer demand.

More and more, consumers simply expect businesses and corporations to help make the world a better, nicer place. That might seem, to many would-be entrepreneurs, like a strange burden to place on a money-making enterprise, but it’s essential to see CSR as an opportunity.

How many marketing dollars are you willing to spend to positively connect with consumers? Often, responsible giving and conservation can help accomplish the same task more effectively for far less cost. Millennials, in particular, are very committed to the idea that businesses should be good citizens, and their age segment now represents about a quarter of the entire U.S. population, with . Best to keep them happy!

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So, if corporate social responsibility makes you feel good and makes your customers feel good, why aren’t you making it part of your core company values?