Entrepreneur and Entrepreneurial Activity: an interview
This paper reports about a question-answer and semi-formal interview session with an entrepreneur who considers his self as a manager. It also presents the whereabouts of his small business. There is also a brief personal background of the interviewee. In the discussion, information and facts from management authors are included so as to provide support on the answer provided by the interviewee. The questions asked were used as the topic headings.
Personal Background
The interviewee requested to keep his identity private. He is on his late 20s and holds a college degree in Communications. As a person who is very inclined in literature, arts and humanities particularly in books, he decided to venture on this entrepreneurial activity not because of profitable interests but for just the love of books and to share it to many people. His passion for books is his primary motivation in putting up his business. He originally intended to operate as a rental book shop but along the way, he saw the promising opportunity of selling first- and second-hand books. At the moment, he dreams to have a bigger collection of books – from classics to academic references – that are affordable and easily accessible for almost all people – students and hobbyists alike. He actually intends to open the business commercially yet the urge of his family members made him decide to push through with it. The support of his family and some friends pave way to a small stall in front of his house. The business is operating for almost a year now. With the inherent interest of the owner as well as his budding entrepreneurial abilities, the book shop will grow more.
What are your motivations in starting the business?
Motivation is usually considered as the reason or the force behind a person’s action or reaction on what he or she does. It may also refer on the mechanism that makes a person perform better or best and more efficient. As identified, the interviewee is much inclined into books. Since he learned reading at 7, he was able to collect as much books as possible. He actually maintains a collection of old books that is displayed in the book shop. The passion for books and reading is his main motivation in starting the business. The nature of the business is too personal as it is rooted on the entrepreneur’s outlook towards books and collecting massive number of such. It is nothing profitable in the first place. He considers this aspect as bonus. In all aspects of the operations, he is on the look out for old and new additions to the offerings of the book shop. He thought of adding magazines on the collection as some people are asking for it. As he dreams of owning one of the most complete book shops in town, he continuously increases the product offerings. This also serves as a motivation. The inspiration from his family is also an important source of strength to go with the book shop operations. During the day, a family member helps him in the operations. The support of the family is indispensable. In general, his passion for books and reading, his dream of having one of the most complete book shops in town, and his family are his motivations in starting and continuing the business.
What is (are) the use(s) of contacts and networks in the business?
Most clients of the book shop are students and hobbyists. The use of contacts is minimal yet there are plans of extending the networks. More often than not, a bigger bookstore is the main contact and network when it comes to the operations. It is supplies most books. In customer networks, the number is growing since the popularity of the book shop is communicated by existing customer base. Every business person is determined to know what kind of work they would and would not do for their customers and, in turn, they carefully learn how to fulfill the needs of each kind of customer in their target markets. This is among the attitudes of the entrepreneur. It is also considered as the winning formula in providing service to the customers. The use of contacts and networks is for the business to gain popularity and to acquire some sources of books for the shop. Considering the trends in book publishing particularly the role of online technologies, the owner is on the verge of looking for alternatives in order not to be affected by the decreasing interest of the reading public. Just any other entrepreneur, he believes that extending more contacts and larger network will be beneficial to the operations of the book shop. However, it is also acknowledge that there are many considerations that are taken at hand like the ability of the book shop to deal with the terms and conditions of potential business contacts and networks. This is among the troubles that the entrepreneur is looking over. He is asking his self if it is worth a try or will it threaten the currently stable business operations. All choices are available but the best decision is still to be picked up.
How easy or otherwise was it to establish credibility?
The issue of credibility is basic in any entrepreneurial activity. Credibility is very important in starting up a small business. It is very tantamount to trust. On the case of the interviewee, he is a man of interest and honor. According to him, there is no trouble in gaining the trust of the people that patronizes his books and the whole book shop. Communication is his best armor in building up and maintaining his credibility. He entertains customers as friends. Credibility is always important not only in the business but on his personal life.
Describe yourself as entrepreneur?
Surprisingly, the interviewee is very intelligent. It is presumed that an entrepreneur and a manager are both same and different. On this case, he avers that an entrepreneur is also a manager or a person who oversees the whole business. Practically, the tasks of the manager provide the effective application of what is known as the functions of management: planning, organizing, directing/leading, coordinating and controlling (David 2003, 2001; Drejer 2002). The management functions are goal-directed, interrelated and equally interdependent with each other. This is also his views. The performance of the management functions is the critical and universal basis on who is an effective manager for all levels of management – from supervisor to CEO in all kind of organizations, private or public, may it be corporate, public administration, educational, charitable, etc., regardless of any size (Pearce and Robinson 2000). Most businesses and its key people use the management functions and its application yield results depending on manager’s output. This notion is usually called as the universality of management. It is the where the basic process of management is similar, albeit the framework in which it is practiced is far different from each management levels and from each business (Robbins and Judge 2007). The management of the book shop is related to these identified functions.
As stated, an entrepreneur is a manager. Talking on this context, Robbins and Judge (2007) simply describe managers as individuals who “get things done through other people” (p. 4). They are the ones who are take charge in decision making, resources allocation, and administration of business activities through people and towards the achievement of deliberate goals. The management functions are the ways in which businesses can achieve their goals. In achieving these goals, there is a need for someone who can define the most appropriate means and oversee the process of execution.
Who is an effective entrepreneur or manager? What are the needed qualities – both professional and personal?
As mentioned, the effective manager is the one who exemplifies the performance of the management functions. It consists of planning, organizing, directing/leading, coordinating, and controlling all relevant resources of the business. Such resources include money, human labor, knowledge or information, jobs or positions, technologies, facilities and equipment, materials and supplies, and many others (Newstrom 2002). Managers are always dealing with a dynamic environment, anticipate changes, and adapt to it. Moreover, managers build and sustain an internal environment, commonly called the business organization, by making it a suitable place where others can work efficiently and at their best (Robbins and Judge 2007).
An effective manager is good in planning. The planning function is directly associated with the coming up of business goals, designing a strategy to reach goals, and implementing a comprehensive set of plans to integrate and direct business activities. Either dealing with the situation or on the individual or business level by which planning is occurring, the process progresses according to the prevailing attitudes, beliefs and goals that are involve. Roney (2004) avers that the business objectives should reflect standards of success in financial and competitive performance, as well as acceptable levels of risk and rates of long-term growth. The planning process is very important because it is the first step towards implementation of any business operations. In order for a manager to be effective, he/she must be able to see beyond future and foresee challenges that may affect the entire business including its immediate environment and circumstances. In planning, there is the process of devising and maintaining a workable scheme to accomplish in response to a need or demand (Baird et al. 1993). Thus, managers are entitled to develop written plans for all significant undertakings and document and distribute the plan to all people concerned. In several cases, the participation of an identified team in planning functions, decision-making, and using planning tools effectively make up a successful outcome.
An effective manager holds excellent organizing skills. While it is true that managers are that ones who are in-charge in designing business structure, organizing function is crucial. According to Morgenstern (1998), organizing is the simple act of setting similar elements following one or more set of standards or rules. In a larger organizational point of view, organizing is the manager’s function that usually follows after the planning process. Generally, organizing includes the arrangement and distribution of tasks to appropriate departments and people. Specifically, it encompasses the identification of tasks that are needed to be done, the people to do these tasks, how they can be grouped accordingly, delegating individuals for responses, and pointing out where decisions are to be prepared (Robbins and Judge 2007). It is also the assignment of authority and allocation of resources. Some identified processes and decision models are useful to the manager in organizing the work and intellectual contributions to be drawn from all levels of the business management (Roney 2004). The manager is effective if he/she is able to sustain the objectives and other factors considered and based on planning. Continuity is required Organizing is crucial in developing inputs to planning, making planning decisions, and implementing strategy. The said ways are the immediate responsibilities of an effective manager.
An effective manager is an able leader. All businesses are composed of human labor and it is the job of the manager to direct and ensure arrangement with people (Robbins and Judge 2007). This function is subject to the development and implementation of plans made. In specific functions, directing/leading functions of manager includes motivation, learning, communication, conflict management, and others. It is important that the manager must consider cost-effective and time-efficient ways in leading (Roney 2004). His/her leadership abilities and managerial prowess is necessary. The leadership styles the manager chooses to employ is also a vital determinant of effective directing process. Managers should identify the relevant application of certain leadership styles. It is encouraged that effective managers are able to adapt participative approaches to directing/leading to facilitate successful business operations that are useful for its overall success.
An effective manager is keen in coordinating business elements and factors. In the coordinating, the manager regulates all the various aspects of the business into integrated and harmonious operations. It is the integrating and establishing of linkages to different business sections with the aim of accomplishing a communal set of objectives (Lok and Crawford 2004). In order to be effective, the manager is consistent in terms of linking business operations and pinpoint essential conditions that can affect business success. Communication is the key mechanism. This means that members of the business including the suppliers, contacts, networks and customers are subjected to two-way communication process to provide a well-functioning operation inside and outside the business setting.
An effective manager performs well in controlling functions and other operations. Robbins and Judge (2007) identify controlling as the final function that the manager performs. This is for ensuring the flow of important business plans, activities, and operations. Managers manage by controlling and limiting the efforts of their subordinates (Witzel 2003). As a manager, it is a sole responsibility to achieve objectives through identified process but at the same time limiting the possibility of negative consequences. Monitoring is the key task particularly on the aspect of business’ performance. When the manager is able to succeed in a particular business or management function or operation, he/she can be considered effective. The end-product counts most.
Somewhere in the execution of the managerial functions, there are other qualities that are needed by every manager to be considered effective. Among these are the following:
· Managerial roles – interpersonal, informational and decisional
· Managerial skills – technical, human, and conceptual (Robbins and Judge 2007).
Looking on the requisites of an effective manager, it is basic to understand that managers manage people (Butcher and Clarke 2003). Thus, it is clear that every manager, regardless of whatever it is called, needs to develop constantly and also improve their people especially on skills that are relevant to business success.
Why are these important?
The important role of managers in business success is rooted on the factuality that they are the ones who plan, organize, direct/lead, coordinate, and control the management function of the business. It is understood that the management functions are the basic operations in any working business or organization (Thierauf 2001). Failure to execute any of these functions may endanger the possibility of achieving goals and business success. It is then argued that managers need both instrumental and conceptual knowledge in their everyday practice because this serves as their guiding mechanism in the effective implementation of specific managerial functions. Every manager needs to keep themselves well-versed of the management philosophy in performance of responsibilities as it allows them to work based on the proven, tested and acceptable concepts and universal theories. Similarly, it is where managerial actions are based. The knowledge of the manager about management theory and practice serves as a critical success factor (CSF) that creates a spill-over effect to all areas covered by the manager and his/her functions (Jacoby 2004). Managers need to keep themselves informed on the theory and practice of management in order to avoid managerial mistakes, minimize risks, and increase the productivity of the people and the business as a whole. The success of the business is based on the knowledge and application of the manager of the given principles and fundamentals of management.
References
Butcher, D and Clarke, M 2003, ‘Redefining Managerial Work: Smart Politics’, Management Decision, vol. 41, no. 5; pp. 477-487
David, FR 2003, Strategic Management, Pearson Education, Upper Saddle River, NJ
David, FR 2001, Strategic Management: Concepts and Cases, 8th ed., Prentice Hall, Inc., Upper Saddle River, NJ
Drejer, A 2002, Strategic Management and Core Competencies: Theory and Application, Quorum Books, Westport, CT
Jacoby, SM 2004, Employing Bureaucracy: Managers, Unions, and the Transformation of Work in the 20th Century, Lawrence Erlbaum Associates, Mahwah, NJ
Lok, P and Crawford, J 2004, ‘The effect of organizational culture and leadership style on job satisfaction and organisational commitment: A cross-national comparison’, Journal of Management Development, vol. 23, no. 40; pp. 321-338
Morgenstern, J 1998, Organizing from the Inside Out, Owl Books, New York.
Newstrom, JW 2002, ‘Making Work Fun: An Important Role for Managers’, SAM Advanced Management Journal, vol. 67, no. 1; pp. 5
Pearce, JA and Robinson, RB 2000, Strategic Management: Formulation, Implementation and Control, Irwin/McGraw Hill, Boston
Robbins, SP and Judge, TA 2007, Organizational Behavior 12th ed., Pearson Education, Upper Saddle River, New Jersey
Roney, CW 2004, Strategic Management Methodology: Generally Accepted Principles for Practitioners, Praeger, Wesport, CT
Thierauf, RJ 2001, Effective business intelligence systems, Quorum Books, Westport, CT
Witzel, M 2003, Fifty Key Figures in Management, Routledge, New York
Personal Reflection
In this interview session, I was able to explore the management ability of my interviewee. I met a new friend in him. He is a man worthy of admiration as I learned many things about him and the business. At 20-something, he already mastered the management functions and utilized it towards the advantage of his book shop. I am also inspired with his passion and commitment to books and reading because through these, he was able to learn many things particularly in managing the book shop. He is a Communications graduate yet he excels in his managerial job. He is very flexible. The knowledge that he shared to me in a less than an hour conversation is very important to me as it serves as potent example on my part especially when the time comes that I will also be opening a business – may it be of similar or different kind. All information as supported by a collection of literatures as product of my research is factual and reflects on this person. He is the embodiment of the theories and concepts written in management books and journals.
He is a dreamer. I was also fascinated on his dream of having the most complete book shop in town. An entrepreneur has a vision like his. There is a dream to be achieved. This is a sort of business objective. The dream of every person must be realized by hard work and perseverance. He is also an innovator because he provides solution to the combat the current trend of online publishing in his own little yet interesting ways. He enjoys books and reading and these two identical things are his most powerful weapons to convince people that books are far different than those in the Internet. The feeling of holding and reading a book page per page is very rewarding. I so admired him on his passion. His innovations extend on his interest to have magazines as additional products of the book shop. He is risk taker on this aspect. Although he is more on books, he acknowledge the possibility of including magazines on the product offering even if there are only limited people who requested for such. He is very committed to his job as the owner of the book shop. He continuously learns the act of management as more and more problems must be addressed based on the existing conditions and capabilities of the small business.
Looking on his brief background, I came to realize that his person is destined to be an entrepreneurial role model. His small book shop that originated on his passion for book and reading leads him to a profitable endeavor. He makes money out of his interest. The support from his family is also amazing. Considering that the business has a limited market, it manages to survive as the whole family supports the interviewee all throughout the business ups and downs. He admitted that it was never easy but the hope he holds in his hands is very persuasive that he is willing to continue the business no matter what. He jokingly said that he can transform the book shop as a museum provided that there will be no people who are interested in his books and even reading. As I ended the short interview, I was touched and inspired by this man – an entrepreneur and manager with lots of skills to share and acquire. Meet my new idol, Mr. Bookworm!
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