Intrapreneur Vs Entrepreneur Pt 1: A Deep Dive

Summary

This video explores the key differences and similarities between entrepreneurs and intrapreneurs. Entrepreneurs launch and run their own companies, taking on all the risks and rewards, while intrapreneurs innovate within an organization, using the company’s resources with less risk but also limited rewards. Both require leadership, innovation, and problem-solving skills. The video also touches on real-world examples like Gmail's creation at Google. It's part one of a two-part series, setting up a deeper dive into the benefits of intrapreneurship in the next episode.

Takeaways

• 📈 Entrepreneurship involves starting and managing one's own business, taking on all associated risks and rewards.
• 💡 Intrapreneurship refers to innovation and entrepreneurial activities within an existing organization, using the company's resources.
• ⚖️ Entrepreneurs have full control and autonomy over their business decisions, while intrapreneurs operate within the guidelines and systems of their employer.
• 💰 Entrepreneurs bear all the financial risks but also have unlimited potential for rewards. In contrast, intrapreneurs have reduced risk but also limited rewards.
• 🚀 Examples of successful entrepreneurs include Mark Zuckerberg (Facebook), Elon Musk (Tesla, SpaceX), and Arianna Huffington (Huffington Post).
• 🏢 A notable example of intrapreneurship is the creation of Gmail by a Google employee using the company’s '20% time' policy.
• 🧠 Both entrepreneurs and intrapreneurs are innovative, problem-solvers, and leaders, with a drive to create or improve products and services.
• 📉 Most entrepreneurs fail, and this risk is not as publicized as the potential rewards of being your own boss.
• 🔄 Intrapreneurship offers a middle ground between the stability of a 9-to-5 job and the innovation of entrepreneurship, with companies increasingly promoting it.
• 📊 A key difference between the two roles is that entrepreneurs use their own capital, while intrapreneurs leverage the resources of the company they work for.

Q & A

What is the primary difference between an entrepreneur and an intrapreneur?

An entrepreneur launches and runs their own company, taking on all the risks and rewards, while an intrapreneur works within an organization to innovate, using the company's resources, and taking on less risk.

What are some of the risks entrepreneurs face that intrapreneurs do not?

Entrepreneurs face the full financial risk of starting and running a company. In contrast, intrapreneurs work within an organization that bears the financial risks, although they risk being fired if they underperform.

How do entrepreneurs and intrapreneurs differ in terms of rewards?

Entrepreneurs have unlimited potential rewards as they own their business and profits. Intrapreneurs, however, receive limited rewards since the majority of the benefits go to the company they work for, though they may receive raises, promotions, or recognition.

Can intrapreneurs choose what projects to work on as freely as entrepreneurs?

No, intrapreneurs have less autonomy compared to entrepreneurs. They must work within the company’s processes, expectations, and systems, while entrepreneurs have full autonomy over vision and decision-making.

What is an example of successful intrapreneurship mentioned in the video?

A well-known example is the creation of Gmail by a Google employee, who used Google’s policy of allowing 20% work time for personal innovation projects to develop the product.

What similarities do entrepreneurs and intrapreneurs share?

Both entrepreneurs and intrapreneurs are innovative, curious, problem-solvers, flexible, resilient, and optimistic. They also require leadership skills and manage teams to execute their ideas.

How do the sources of capital and resources differ between an entrepreneur and an intrapreneur?

Entrepreneurs use their own capital and resources to fund their ventures, while intrapreneurs leverage the capital, resources, and relationships of the company they work for.

What might motivate someone to become an intrapreneur instead of an entrepreneur?

Intrapreneurs might be motivated by the opportunity to innovate without taking on the full financial risk associated with starting a company, while still receiving recognition, promotions, and other rewards.

What is the potential downside of being an intrapreneur?

The downside for intrapreneurs is the capped reward potential. Even if they come up with a billion-dollar idea, the company they work for will take the majority of the benefit, limiting their personal gain.

How might intrapreneurship prepare someone for entrepreneurship?

Intrapreneurship allows individuals to develop entrepreneurial skills like innovation, leadership, and problem-solving within the safety net of a company. This experience can serve as a stepping stone toward eventually becoming an entrepreneur.