Entrepreneurial Mindset and Opportunity Recognition Flashcards
a mental attitude or inclination
mindset
self-perception / ‘self-theory’ people hold about themselves.
mindset
character, intelligence and creativity are static givens.
Fixed
abilities can be developed through commitment and hard work.
Growth
A way of thinking that enables an individual to overcome challenges, be decisive, and accept responsibility for their outcomes.
Entrepreneurial Mindset
An attitude, disposition or mood best described as an inclination for change.
Entrepreneurial Mindset
The mind of an entrepreneur is always looking for novel ideas and innovations. The basic life cycle of any entrepreneurial product stems from the conception of an idea.
Creative
ability to think outside the box and improvise, when necessary, examine issues from multiple angles and provide multiple solutions and cultivate critical thinking.
Adept at problem-solving
explore multiple perspectives and present an innovative solution
Innovative
8 Essential Characteristics
1) Focus on providing value instead of creating wealth, which is the result of a long process
2) Long-term vision
3) Personal growth and understanding the world around you
4) Understanding the power of habits and small wins
5) Time management and prioritization
6) Money management
7) Balancing freedom and responsibility
8) Associating with the right people
a habit that is naturally innovative and craves being in the constant process of discovery
Visionary
a habit that puts them one step ahead of stress
Early Riser
a habit to increase efficiency
Scheduled
a habit that never undervalues the importance of sleep because they desire to be sharp, emotionally available, and on the ball in their career.
Sleep
a habit that creates and lives by simple yet practical routines and is most productive when not overwhelmed by stress. (Secret Weapon)
Simplicity
a habit that increases effectivity (writing lists, goals, or to vent frustrations)
Journal
a habit that needs to be fully engaged with the world around them.
Curious
a habit that believes in his abilities, is unafraid to explore unchartered territories, take risks, and make difficult decisions, to be successful.
Confident
a way of generating value through unique, novel, or desirable products, services, and even processes that were previously unexploited in a particular context
Opportunity
Three central characteristics related to opportunity
Value
Novelty or Newness
Perceived Desirability
a value that has a capacity to generate profit
Economic Value
a value that helps a social need
Social Value
a value that the opportunity protects or preserves the environment
Environmental Value
a cognitive process that allows people to learn to be more effective at recognizing opportunities by changing the way they think about opportunities and how to recognize them.
Opportunity Recognition
a strategy that states thinking carefully about a problem by breaking it up into parts and looking at it in a more general way, to generate ideas on how certain products or services can be improved or made more innovative.
Analytical Strategies
a strategy that states using a stimulus to retrieve memories and make links/connections based on personal experiences that are relevant to the current problem.
Search Strategies
a strategy that states challenging deep-rooted assumptions and rejecting the tendency to assess new innovations and opportunities by our current systems and standards.
Imagination-based Strategies
a strategy that states breaking out of fixed mindsets to bring about creative insights.
Habit-breaking Strategies
a strategy that states consciously making links between concepts/ideas that are normally not associated with each other.
Relationship-seeking Strategies
a strategy that states enhancing and modifying existing ideas to create better alternatives and new possibilities.
Development Strategies
a strategy that states generating ideas with a group and building on each other’s ideas.
Interpersonal Strategies
a favorable opportunity that states that there is a market of customers.
Valuable
a favorable opportunity that states entrepreneurs offer some novelty that doesn’t currently exist for customers.
Rare
a favorable opportunity that creates barriers to entry to other entrepreneurs.
Costly to Imitate
a favorable opportunity that aligns with the skills and knowledge of the entrepreneur.
Fit
Assumes that opportunities exist independent of entrepreneurs and are waiting to be found.
Find Pathway
It is used when entrepreneurs are not quite sure what type of venture they want to start, so they engage in an active search to discover new opportunities.
Search Pathway
involves using what you have to uncover an opportunity that uniquely fits you, more about creating opportunities rather than simply uncovering them.
Effectuate Pathway
Entrepreneurs’ role is to take action and see how the market responds, recognize patterns, and learn from iteration to define the opportunity as it evolves.
Effectuate Pathway
One of the most complex, yet it can be the most value-creating approach.
It can uncover high-value opportunities because the entrepreneur is focusing on the unmet needs of customers – specifically, latent needs.
Design Pathway
The opportunity exists and is waiting to be found
Find and Search Pathway
The entrepreneur creates the opportunity
Effectuate and Design Pathway
Entrepreneurs should be alerted to scan the environment. (Pathway)
Find and Search Pathway
Entrepreneurs should take action, build, iterate
Effectuate and Design Pathway
The level of experience and prior knowledge needed to identify and potential value of opportunity is low
Find and Search Pathway
The level of experience and prior knowledge needed to identify and potential value of the opportunity is high
Effectuate and Design Pathway
Risky action orientation (Pathway)
Find and Search Pathway
Uncertain action orientation (Pathway)
Effectuate and Design Pathway
ability an entrepreneur must have to identify opportunities.
Alertness
The information gained from a combination of life and work experiences
Entrepreneurs knowledgeable in the market and industries, with a broad network, are more likely to recognize opportunities than those who have less experience.
Prior Knowledge
Process of identifying links or connections between unrelated things or events, then building on opportunities.
The patterns they perceive in the changes in technology, demographics, markets, government policies, suggest ideas for new products or services.
Pattern Recognition
production of ideas for something new
Idea Generation
production of ideas for something new and useful
Creativity
recognizing new and potentially useful ideas to generate economic value
Opportunity Recognition
an empirically proven method for identifying and selecting high-potential ideas that can be converted to new opportunities
IDEATE Model
IDEATE Model - Identifying problems that customers are trying to solve and identifying their underlying causes.
Identify
IDEATE Model - Actively searching for ideas in problem-rich environments.
Discovery
IDEATE Model - Taking ideas and expanding them to new applications or adding innovative twists.
Enhance
IDEATE Model - Studying change and analyzing future scenarios.
Anticipate
IDEATE Model - Defining and understanding a particular target market.
Target
IDEATE Model - Evaluating whether the solution solves a problem, size of the target market, degree of personal interest by the entrepreneur, and his skills and abilities.
Evaluate
