Entrepreneurial articles - Burgelman: designs for corporate entrepreneurship

7 important questions on Entrepreneurial articles - Burgelman: designs for corporate entrepreneurship

Define corporate entrepreneurship (Burgelman)?

Extending the firm's domain of competence and corresponding opportunity set through internally generated new resource combination.

Describe the induced strategic behavior loop and the autonomous strategic behavior loop (Burgelman)?

1 Induced strategic behavior loop: tradtional top-down strategy making
2 Autonomous strategic behavior loop: bootom-up entrepreneurial initiatives creating a strategic context to influence corporate strategy. 

How can, according to Burgelman, management asses the strategic importance of entrepreneurial initiatives?

Substantive interaction (middle management educates corporate management) between different management levels is likely to improve top management's capacity to make strategically sound assessments.
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How is operational relatedness defined? (Burgelman)

As the degree to which the entrepreneurial proposal requires capabilities and skills that are different from the core capabilities and skills (proposals may be driven by or they drive the development of new capabilities/skills, proposals are typically based on new combinations of capabilities what reveals potential opportunities).

Corporate management must choose an organization design for structuring the relationship between the new business and the corporation. How can this be determined (2) according to Burgelman?

1 Determining administrative linkages 
(high importance: strong linkages = new business folded into existing context of firm. 
Low importance > spun off new business
Unclear importance > relax the cultural context)
2 Determining operational linkages 
(High relatedness: strong coupling of the operations of new/existing business
Low relatedness: complete decoupling
Unclear relatedness: loose coupling)

Which 3 steps help with implementing the design alternatives? (Burgelman)

1 Corporate management and entrepreneur should use framework as tool to clarify interests and interdependencies and to structure a non-zero sum game
2 Both must establish measurement and reward systems
3 As development unfolds, strategic importance and operational relatedness may modify which may require a renegotiation of the organization design.

The traditional top-down strategy induces (veroorzaakt) strategic behavior. What are the differences with autonomous strategic behavior? (Burgelman)

Autonomous is bottom-up: entrepreneurial initiatives creating a strategic context to influence corporate strategy. Autonomous strategic behavior poses a management challenge: how to deal with it?

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