ABSTRACT
In the recent past decades, entrepreneurial developments in the service sector have been receiving attention in the academic literature. Even though the concept of entrepreneurship has a long history, the field of economics had difficulty in measuring the contribution of an entrepreneur. The economist Schumpeter suggested that the entrepreneur is a factor in explaining economic growth and explained the role the entrepreneur plays in the business cycle. His main contention was that innovation is the core element of economic change causing gales of ‘creative destruction,’ a term that he coined. Other economists of the 20th century also elaborated on how the contribution of an entrepreneur can be measured and its significant impact on the economy through innovation can be observed.
As services have become the major economic activity around the world, they have become the crucible for the development of new ideas (innovations) for entrepreneurs. The approach that is suggested in service leadership takes a holistic view of the role that leadership plays in what is called the entrepreneurial cycle. The basic premise of the entrepreneurial cycle is to identify the needs of the customer, deconstruct the process of meeting the needs, and recognize the elements that will contribute to the entrepreneurial endeavor. Furthermore, the entrepreneur has to articulate the idea, design a solution, create a prototype, implement or operate the idea, and finally upgrade the process to make sure the needs of the customer are met.
