Question

Jake is an innovative engineering graduate who works for a large company that makes adhesive products for commercial and consumer use. One of his primary responsibilities is to initiate and develop new products to complement the firm's current product line. Jake's company is ___________.

A. intrapreneurial
B. entrepreneurial
C. an outside consultant for other firms
D. at a disadvantage because it is trying to operate like a small business

Answer 1

Jake's company is intrapreneurial because it encourages innovative product development within the organization, fostering an environment similar to entrepreneurship.

Step-by-step explanation:

Jake's company can be described as intrapreneurial. This term refers to a situation within a large company where employees, like Jake, are encouraged to behave like entrepreneurs by initiating and developing new products or services. The company empowers employees to act as innovators, fostering an environment where new ideas can lead to the creation of new products that complement the firm's existing product line.

While the term entrepreneurship is often associated with starting a new business, intrapreneurship occurs within the confines of an already established organization. In doing so, the company takes on aspects commonly associated with entrepreneurship such as innovation, risk-taking, and seeking to improve productivity and generate profits by creating products that consumers want or by producing goods more efficiently.