Historical Entrepreneurial Development

Question: Discuss about the Historical Entrepreneurial Development. Answer: Introduction: The article delves into the historical entrepreneurial development of SMEs in China from 1978 to 2014. These enterprises have undergone tremendous improvements as a result initiatives by the Beijing governments. The article is explorative in nature as it utilizes government statistics and other literature in business development phases of SMEs in China. The article argues that from the year 2002 onwards the government embarked on reforms targeting mainly the government owned SMEs. The reforms also was aimed at helping the privately owned SMEs and encouraging more SMEs to be privately owned as opposed to state- owned. The reforms included restructuring, leasing, joint-partnerships contracting and sale-off and merger and acquisition all aimed at reducing state-ownership of SMEs. It further finds that the market role in resource allocation and effecting self-operation status of SMEs is fundamental and should be left to be at play freely. That it is also fundamental for the SMEs to be encouraged to optimize industrial and handle the matter of the state owned SMEs properly to avail level playing ground to all SMEs in China. The Government should always strive to ensure that no SME receive/takes undue advantage against the other SMEs. (Murphree, Tang, Breznitz, 2016) The strength of this paper is that it advocates for fair competition across the industry and that there shouldnt be companies that have unfair advantage against the others simply because it is state-owned or have government connections. This is a fundamental and integral part of any market it is to witness growth and business development of all players in the market. However it should have conducted its own investigation as opposed to only depending on government statistics. This can be met by interviewing SME owners to get their views on the market and business development in general. (Murphree, Tang, Breznitz, 2016) The three main concepts of Chapter 4 of the book; Diversity in Entrepreneurship: The Role of Women and Ethnic Minorities that the author advocates here are; economic equality across all groups of people, diversification of business among all groups and inclusivity of all in matters of common interest. This is because the writer has put Women and other marginalized groups as agents of affirmative change in entrepreneurship. (Deakins Freel, 2012) On chapter five of his book; social entrepreneurship, the three main concepts that the authors brings out strongly are, community development, welfare and diversification of entrepreneurship. The author here espouses the need for setting up business not only for the purposes of profit making but also to solve social challenges that faces the society. The reason for this is that the authors largely develops their plots here on community welfare as opposed to profit. (Deakins Freel, 2012) On chapter six; Corporate Entrepreneurship, three main concepts that the authors advocate are, profit making, expansion and gaining competitive advantage. They argue that business here is not about community or affirmative actions but rather making money of the business. This is the main goal of the business venture and other responsibilities such corporate social responsibility comes secondary to the profit making. (Deakins Freel, 2012) References Deakins, D. Freel, M. (1999). Entrepreneurship and small firms. London: McGraw-Hill. Deakins, D. Freel, M. (2012). Entrepreneurship Small Firms (6th ed.). McGraw Hill Higher Education. Hisrich, R., Peters, M., Shepherd, D. (2005). Entrepreneurship. Boston: McGraw-Hill/Irwin. Murphree, M., Tang, L., Breznitz, D. (2016). Tacit local alliance and SME innovation in China. International Journal Of Innovation And Regional Development, 7(3), 184. https://dx.doi.org/10.1504/ijird.2016.079456.