Modern Management: concepts and skills, 14/e

Challenge Case Summary

The Challenge Case describes how Yvon Chouinard turned his ideas for climbing equipment and apparel into a well-respected, socially responsible business. The story of Patagonia provides an example of how entrepreneurship can fundamentally change an industry as well as the way people think about running a business responsibly. Chouinard saw the way rock climbing was carried out and thought of better ways to perform it. This kind of thinking led him to an opportunity that other climbers valued. Satisfying the resulting demand then turned out to be profitable. Accurate identification of an opportunity is not a guarantee of success, however, because research suggests that most new businesses fail.

According to Schumpeter’s ...