Kun Wang (Brother Kun): Four Models of Internal Entrepreneurship

20 17-04- 17 ? Everyone is in partnership? Kun Wang (Brother Kun)? The third phase of book training camp? Article 59 Homework

At present, internal entrepreneurship has become a common phenomenon. Traditional enterprises try to innovate and transform by means of internal entrepreneurship, with controllable risks and affordable costs. Platform-type or eco-type enterprises, internal entrepreneurship or "big platform+small front end" is their management mode.

To sum up, from the perspective of ownership structure and control, internal entrepreneurship can be divided into the following four main modes:

Mode 1: wholly-owned subsidiary mode

This model is more common in traditional enterprises, hiring professional managers and paying dividends or bonuses at the end of the year. This model, for the team, is only the positioning of the executor, not the entrepreneur in essence.

Practice has proved that this model is not conducive to mobilizing the entrepreneurial enthusiasm of the team, and the probability of success is relatively small.

This is also an important reason why many traditional enterprises are difficult to transform. Without the innovation of mechanism and incentive mechanism, it is impossible to successfully transform.

Mode 2: The parent company holds 5 1%-90% of the shares, and maintains substantial control all the time. 10%-49% of the shares are used to motivate the team.

This model is the most common one in internal entrepreneurship.

Benefits: 1 The parent company plays a leading role, controls the development of the company and gives considerable resource support; 2. It has a considerable incentive effect on the team.

Question: 1. The team can't lead the development of the company; 2. At a certain stage of development, when there are differences in major decisions of the company, the stability and sustainability of the operation will be challenged.

The biggest challenge of this model is positioning conflict: positioning as an independent company to maximize the company's interests; Still positioned as a subsidiary to maximize the interests of the parent company. This is the position conflict between the actual controller of the parent company and the subsidiary team in the later stage.

Of course, if the ownership, income rights and decision-making rights can be separated, the parent company has most decision-making rights and the team has most income rights, which is also a more suitable model.

This model needs to deal with the positioning conflict between the parent company and the subsidiary company, as well as the handling principles when their interests are not completely consistent.

Mode 3: the parent company does not actually hold shares (less than 5 1%), and the control right is in the team.

It is possible that in the initial stage of the venture, the holding is 565,438+0%-80%, while the nominal holding is not less than 565,438+0% (financial consolidation), and the parent company is only nominally holding.

But in essence, the dominance and interests of startups have always been in the team. In order to motivate the team, the usual practice is to bet on the performance and gradually reduce the holdings. The team holds more than 565,438+0% shares to motivate the team.

Case: A subsidiary of a group company nominally holds 5 1%, but in fact the group only pays dividends of 20%.

Mode 4: The parent company invests in venture capital mode and does not hold shares, usually not higher than 40%.

In this mode, the parent company is only positioned as a financial investor, and the subsidiaries are completely operated by independent third-party companies in the market, and life and death are decided by themselves.

The advantage of this model is complete independence, but the disadvantage is also complete independence, which may not give full play to the synergy and resource integration advantages of internal entrepreneurship. At the same time, for entrepreneurs, it may not be much different from starting a business independently.

There are only a few such models.

At present, internal entrepreneurship is mostly mode 2 and mode 3, and mode 2 is the most common.

59 assignments in the third phase of the book publishing training camp? Everyone is in partnership? Kun Wang (Brother Kun)