Entrepreneurship and its Ability to Utilize Economic Cycles to Create Change: A Schumpeterian Analysis of Narratives

Anna Reichenbach

Student thesis: Master thesis

Abstract

Growing environmental and social problems impose challenges on humanity, which become more and more difficult to solve. Part of the problem is the economy, but with all its facets, it will be part of the solution as well. Especially entrepreneurship is praised as a phenomenon to create change and to restructure systems. The thesis analyses and discusses, how entrepreneurship transforms the economy through the initiation of new economic cycles and how it can be utilized to create positive change. The thesis draws upon Schumpeter’s concept of creative destruction to conduct a case study analysis of Chouinard Equipment (Patagonia) and Blue Ribbon (Nike). Aligning with the scientific consensus, both companies were able to create change through entrepreneurship. They were able to tap into and co-trigger a new economic cycle, enhancing their success. As the nature of their impact varies, it was found, that only Chouinard Equipment (Patagonia) consciously tackled environmental and social problems. For entrepreneurship to become a force of change, the rise of new economic cycles has to be identified through occurring trends or innovations, and utilized by an entrepreneur, who creates and exploits the entrepreneurial opportunity. However, to have a positive impact, the role and mindset of the individual entrepreneur is essential. Education can foster the rise of a new generation of responsible entrepreneurs who will become the needed force of change.

EducationsMSocSc in Organisational Innovation and Entrepreneurship , (Graduate Programme) Final Thesis
LanguageEnglish
Publication date2021
Number of pages91
SupervisorsChristian Garmann Johnsen