Challenges with New Ventures, Sudden Changes in the Market Free Essay Example, 2000 words

The entrepreneur upholds a managerial mindset that not only unlearns traditional management principles, and new structural forms that not only allow for change but help create it. New businesses ventures contain a certain level of risk. Entrepreneurial risks are assessed by taking into account the demographic and market positions of the economy. It is not necessary that all business succeeds or all business fails, it depends upon the investment and economic consequences which are crucial for the entire surrounding economic community. Risks are assessed in the light of possible operating obstacles and threats that are external to the enterprise and are often less controllable by operating management. These include prevailing economic conditions, market uncertainty, unpredictable results and Government attitudes. The geopolitical attitude of the government can also pose unpredictable situations and threats to a newly formed venture, like unwillingness to accept market liberalisation, retaining its reliance on the continuation of trade barriers and protectionist policies. A newly formed enterprise can be affected by the socio-political atmosphere of the country with respect to future commercial development. Other factors affecting new ventures performance includes the extent and pervasiveness of crime and corruption, market fluctuations etc. We will write a custom essay sample on Challenges with New Ventures, Sudden Changes in the Market or any topic specifically for you Only $17.96 $11.86/page