MGT 386 – What have we learned?

Concepts of entrepreneurship

• Who is an entrepreneur?

• What is an opportunity?

• What are the attributes of entrepreneurial opportunities?

• How do entrepreneurs recognize and pursue opportunities?

• The process model of entrepreneurship

Opportunity Entrepreneur

Resources

Fits & GapsBusiness plan

Uncertainty Uncertainty

Uncertainty

A framework for evaluating opportunities: The Timmons Model for Entrepreneurial

Success

Bygrave & Zacharakis

PERSONAL PERSONAL SOCIOLOGICAL PERSONAL ORGANIZATIONAL

Achievement

Locus of Control

Risk Taking

Personal ValuesEducation

Experience

INNOVATION TRIGGERING EVENT IMPLEMENTATION GROWTH

ENVIRONMENTENVIRONMENTENVIRONMENT

OpportunitiesRole Models

Creativity

Competition

Resources

Incubator

Government policy

CompetitorsCustomers

Suppliers

Investors

Bankers

Lawyers

Resources

Government policy

Risk Taking

Job Dissatisfaction

Job Loss

Education

Age

Commitment

Networks

Teams

Parents

Family

Role Models

Entrepreneur

Leader

Manager

Commitment

Vision

TeamStrategyStructure

CultureProducts

A model of the entrepreneurial process

Ambiguity Tolerance

Based on Carol Moore's Model (Moore 1986)

Opportunity recognition

Gender

Resources

Economy

Advisors

Economy

Bygrave & Zacharakis

Adding the environment…

Analytical frameworks for entrepreneurship

• Lean startup

• Business model canvas

• Value proposition canvas

• Attributes of an MVP

• Customer development

• Approaches to successful crowdfunding campaigns

Lean startup concepts

3 components of the lean method

• Business model design

• Customer development

• Agile engineering

https://www.youtube.com/watch?v=sOkmAbZNTik&list=PLkplm4nc4fY9SXanjrWQuRCi0-aw6sh5e

There are no facts inside your building – get outside!

Why not a business plan?

• Business plans are full of untested assumptions and rarely survive first contact with customers

• Nobody, aside from venture capitalists and the former Soviet Union, requires five-year plans to forecast a series of unknowns.

• Startups are not smaller versions of large companies. Successful startups go quickly from failure to failure while adapting, testing new iterations, and improving ideas with continual feedback from customers

The business model canvas

Minimum viable product

• "version of a new product which allows a team to collect the maximum amount of validated learning about customers with the least effort."

• Goal of an MVP is to test fundamental business hypotheses (or leap-of-faith assumptions) and to jump start learning process as quickly as possible.

Value proposition Customer segment

Customer development

Module 2: Getting out of the building

Founder versus salesperson in customer development

Founder

• Job: Discovery

• The founder is the first person to get out of the building – this is your idea!

• Founders lead the customer development team and use information to iterate and pivot in real time

Salesperson

• Job: Execution

Run an insanely successful campaignCraig Armstrong, Ph.D.

https://www.kickstarter.com/projects/1778393222/alabama-garage-surf-and-punk-compilation?ref=home_location

Tools you learned how to use