Rama is an example of a ‘Business Entrepreneur’. Explain what is meant by this term.

Management

MGT101 Entrepreneurship & mission statements

PART I

Read the given case information and answer the questions that follow.

[Source: business.timesonline.co.uk (adapted)]

Bangalore Enterprise Blossoms

Rama Karaturi had the idea for his rose-growing business. When he searched the city of Bangalore, in India, without success, for a bouquet of roses for his wife’s birthday. The city was a rose-free zone, so he decided to start growing them himself. He had wanted to take decisions for himself for some time and he also wanted to earn much more than his current salary. In 1996, he opened two greenhouses growing just roses. He used his own savings so took a considerable risk, but his confidence in the growth of ‘flower giving’ at times of major festivals encouraged other investors too. He sold the flowers in India, but his business also became one of the first in India to start exporting flowers on a large scale. Rama worked long hours to make his business a success. The business, called Katuri Networks, has grown at a tremendous rate, helped by Rama’s all-round business skills. He recently bought out a large rose grower in Kenya and his business is now the world’s largest cultivator of roses – and Rama achieved this in a little over ten years.

Questions

  1. Rama is an example of a ‘Business Entrepreneur’. Explain what is meant by this term. [3]
  2. Explain any two problems Rama’s business might have experienced during the set-up stage. [4]

 

 

Part II

A mission statement is a brief description of why a company or organization exists. It tells the purpose of being. It explains what the company does, who it serves, and what differentiates it from competitors. It’s used to provide focus, direction, and inspiration to employees while it tells customers or clients what to expect from the business.

Mission statements vary widely from one company to another. One mission statement could be better than the other.

Questions

Q 3. Using the Internet, find and write the mission statements of three different organizations, (it can be Profit or Non-Profit Organizations).

Evaluate any one mission statement which you find best using the following questions. [5]

  • Is the statement easy to read? Mention the scope of the mission statement.
  • Does the statement define a business domain and explain why it is attractive?
  • Does the statement describe the company’s responsibility to its stakeholders?
  • Does the statement give a portrait of the company, capturing the culture of the organization?

Q 4. Which mission statement you find the best among the three? Why? [3]