MODULE 2 Flashcards
(37 cards)
SME entrepreneur
Small and medium enterprise, manage business by expecting stable sales, profits and growth
IDE
Innovation driven entrepreneurs, focus on innovation profitability and sustained growth
High growth startup
Type of IDE, goal is grow quickly and generate substantial financial returns
Intrapreneurship
Startup inside larger companies that develop new products
Entre opportunities
-new product for an existing company Ex. Opening a McDonald’s in a country that doesn’t have one -new product for an existing market Ex. Apple AirPods -new product for a new market
ABEL/BLEA
The test and learn approach
Ask>build>experiment>learn>
Build>launch>evaluate >adapt
Design thinking
Definition and benefit
-process for creative problem solving that includes empathy/human centredness, ideation, and experimentation
Benefit: -reduce risk, users help create ideas and see them before they launch
- innovative ideas, user is always thinking about what they want/need
- organizational learning, continuous understanding of what customers want
Design thinking process
EDIBT
empathize, define, ideate , prototype, test
Causal reasoning
Thinking of desired outcome and then coming up with a plan to achieve the outcome
Effectual thinking
Consider what a person had and arrive at a possible outcome from a range of possible outcome
Trend
Source of potential entre ideas
Of movement in a field
Societal trends
Ex. Aging demographics, health and fitness growth
Technology trends
Mobile tech, e-commerce, internet advances
Government trends
Increased regulations, terrorism
Sources of ideas for new ventures
- work experiences, more than half of new ventures stem from this
- hobby or personal interest
- chance happening/ serendipity
- perceptual changes, people’s interpretation of facts and concepts
- education and expertise
- industry and market changes, shifts in marketplace caused by consumer attitudes and advances in tech
Problem definition process
Establish the need for a solution
- what is the need/ desired outcome
- who benefits
Justify the need
- is it worth it?
- how will we ensure solution is implemented
Contextualize the problem
- what have others tried
- external and internal constraints
Write the problem statement
- many problems or one problem?
- what incentives are needed, what do solvers need to submit?
Affordable loss principle
Upper and lower bound entrepreneurs are willing to lose
Can be zero
Strategic partnerships principle
Focus on building partnerships instead of compatible analysis
Leveraging contingencies principle
Dealing with surprises to determine entrepreneurial direction
Causal versus effectual thinking
Logic:
C; extent we can predict the future and control it
E; extent to which we can control future (need not predict it)
Causal versus effectual thinking
Where to start
C; given goals and assembling the means to achieve them
E; subject to resource constraints
Causal versus effectual thinking
Attitude towards risk
C; expected return and risk management
E; affordable loss principle
Causal versus effectual thinking
Attitude toward others
C; competitive
E; cocreational (customers, suppliers and prospective competitors)
Causal versus effectual thinking
Attitude toward unexpected
C; avoid surprises
E; leverage surprises to offer new opportunities and innovation
