1. Entrepreneurship for AllManuel Forjaz 2011

2. My Goals designing this PRESENTATION
Understanding the basic universal concepts on Entrepreneurship History, Theory and Practice; get into the lives, processes and key decisions for relevant entrepreneurs;
Build on ideas that you have learned in other classes (e.g. teams, leadership, networks etc.); serve as the foundation for other courses on entrepreneurship;
Provide action-relevant knowledge & skills to go into a firm and diagnose its and your challenges & to organize your own innovative projects;
To help students, THINKERS AND ENTREPRENEURS create a framework for their entrepreneurial energy;
Nice to have - Analyze the key elements that together make entrepreneurial organizations more effective at technological innovation;
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3. Whynotter vs Yesbutters
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Why never becoming an entrepreneur (more relevant in certain societies)
Failure fear
Sales oligopolies
Capital crisis and shortages
Consumption competitivity
Entrepreneur social representation
Lack of sales skills
Judicial system
4. Whynotter vs Yesbutters
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Why never becoming an entrepreneur (more relevant in certain societies)
Start-up costs
Technical soft skills
World distance
Corporate solitude
Myths internet, software, biotech
Fiscal, treasure
Associative miopia
5. Yes, what happens when you do not consider options? We tend to follow-up mainstream!
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6. 6
Introduction Flying over a Syllabus Nest; Becoming an Entrepreneur?
On the generation of Ideas;
On choosing and evaluating ideas; (Case 1, Student to Entrepreneur)
Elevator Pitch and Business Planning
The business Plan (cont.)
Marketing, Sales Defining Products and Services
Marketing, Sales Cont.
Finantial, capital, teams, leadership
The Business Plan (final)
Growth, Expansion, Internationalization
Managing Innovation and Entrepreneurship in the Corporate World;
Legal, Administrative, Planning your Entrepreneurial Life; Wrap-up!
7. Me
You
Trends, The Future
Planning your future Options, Careers
Meanings and Substances of Entrepreneurship
Readings
A Bela, Belmiro e Empreendedores, Manuel Forjaz
Life Entrepreneurs: Ordinary People Creating Extraordinary Lives , Christopher Gergen
Leaving Microsoft to Change the World, John Wood
25 Common Characteristics of Successful Entrepreneurs Online text in www.entrepreneur.com
Five Bad Reasons To Become An Entrepreneur Online text in www.forbes.com
Schumpeters Plea: Rediscovering History and Relevance in the Study of Entrepreneurship HBS Online Paper
Watchings
The Social Network, David Fincher
The Pursuit of happyness, Gabriele Muccino
Forrest Gump, Robert Zemeckis
Do What you love! (no excuses!), Gary Vaynerchuk, TED TALK
How to start a movement Derek Sivers, TED TALK
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8. Designing outcomes clears entrepreneurial drives
Always think the future...
Older; more urban; more natural; more philosophical/spiritual; more available time; slower; new family formats; smaller houses; more connected; more confortable, convenient; more packaged; more confrontational;
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9. Hunting the future, identifying opportunities, search for business ideas..
Springwise> http://www.springwise.com/
Trendwatching> http://trendwatching.com/
The Cool Hunter > http://www.thecoolhunter.net/
Influx > http://www.influxinsights.com/blog/weblog.do
Fastcompany> http://www.fastcompany.com/
Inventorspot> http://inventorspot.com/
Wefind> http://www.wefind.pt/index.php
Psfk> http://www.psfk.com/
Technorati> http://technorati.com/
Ezinearticles> http://ezinearticles.com/
Wired > http://www.wired.com/
Stumbleupon> http://www.stumbleupon.com/
Ideo> http://www.ideo.com/
Project Syndicate > http://www.project-syndicate.org/
TED > http://www.ted.com/
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10. the future
provides context;
focus you on relevant data;
creates entrepreneurial purpose;
makes choices clearer;
builds hope!
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11. This Is A Good World: A journey into the homes and hearts of people across the globe
TIAGW
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2011 Manuel Forjaz
12. TIAGW inspired by the traveling Saint Tiago
I asked myself, what will I contribute to the world?
And so,
I will travel around the world by motorcycle with no money, staying in peoples homes for food, shelter, and conversations about life.
For six months I will seek to reveal common threads of goodness across cultures and continents and broadcast my experience to the world.
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13. The value of ideas!
We can buy ideas
http://www.newideatrade.com/
http://www.creativitypool.com/
http://www.ideabounty.com
http://www.innocentive.com
http://www.springwidse.com
http://ideabounty.com
http://www.marketingprofs.com/ (subs.)
http://creativeideasforyou.com/
www.ideiateca.com
A lot of businesses are born with observation and chance, not work and a creative process.
Because ideas are critical for the beginning of new businesses, not for its development.
Because behind any idea one entrepreneur is needed!
Because there are businesses on request.
Because would you need them, there are several ideas suppliers.
14. Business ideaspresented for the first time in November, 1997, during the Entrepreneur Fair ANJE.
So far 4 were tested and did not work and 14 are being implemented.
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15. Business and ideas generated at school!
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16. Business and ideas motivated by talent!
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17. Business and ideas that came from experiences!
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18. Business and ideas motivated by observation and ability to take a new turn!
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19. Business and ideas motivated by focus!
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20. Business and ideas generated by chance and hard working!
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21. Business and ideas motivated by a personal need!
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22. On the generation ofideas
Readings
Books

Altshuller, Henry. 1994. The Art of Inventing (And Suddenly the Inventor Appeared). Translated by Lev Shulyak. Worcester, MA: Technical Innovation Center. ISBN 0-9640740-1-X;

23. New Venture Creation, Jeff Timmons 24. Rhodes, M. (1961). "An analysis of creativity". Phi Delta Kappan 42: 305-311; 25. Wallas, G. (1926). Art of Thought.; 26. Edward de Bono, Lateral Thinking: Creativity Step by Step, Harper & Row, 1973, trade paperback, 300 pages, ISBN 0-06-090325-2. Papers

Lurie, Neal. "From Student to Entrepreneur," 27 pg's including exercises, MBA independent study project, Leeds School of Business;

27. Razeghi, Andrew. "Why Didnt I Think Of That? Seven Symptoms of Incremental Thinking and How to Treat Them" 47 pgs, Managing Director of StrategyLab, Inc.; 28. Booze Allen Hamilton, "Global Innovation Report" ...aligning innovation strategy to corporate strategy and listening to customers...18 pg's; 29. Miller, William F. "The "Habitat" for Entrepreneurship" 16 pg's , Stanford. This paper focuses on the business environmentor habitat, as I call itfor high tech entrepreneurship. In particular, it describes a habitat for the creation of new companies and new industries.other

A different way to think about creative genius - Elizabeth Gilbert(2009) (video)http://www.ted.com/talks/podtv/id/453

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30. On selecting Ideas
First Blood Finger
SmichardsonEntrepreneurial Driven
Concept Screening: Comparing options against a baseline benchmark.
Delphi Method: Explore ideas or gain consensus with remote group.
Force-field Analysis: Exploring forces for and against an idea.
The Hundred Dollar Test: How will you spend $100 on your ideas?
The Kipling method (5W1H): Ask simple questions for great answers.
Negative Selection: Sort out the 'definitely nots' first.
NUF Test: Check idea is New, Useful and Feasible.
Pause: Reflect for a minute before deciding.
PINC Filter: Evaluate pros and cons of ideas.
Six Thinking Hats: Look at ideas from different viewpoints.
Swap sort: Sorting a short list by priority swapping.
Voting: Democratic casting of votes for the best idea.

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31. On the selection of Business Ideas
1. Does it satisfy or create a market need?
2. Will the product maintain market appeal?
3. How unique is your product?
4. How useful is your product?
5. How much competition exists?
6. Have you priced your product competitively?
7. What is the level of difficulty in the creation or implementation of the product?
8. What are the growth possibilities?
9. Can I get backend sales?
10. Is the product safe.
11. Can my product be promoted with strong advertising copy?
12. Will you be left with an inventory?
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32. Key Concepts on Ideas Generation

We all have an unlimited capacity to generate business ideas (Renoir);

33. There are several creative methods to foster creativity (Edward Bono 6 hats); 34. Ideas/business opportunities can be created in laboratory, simply observed, derive from an accident, result of a surprising response to the absurd,; 35. There are several scientific/managerial methodologies to select and rank ideas; 36. The resulting rank is always entrepreneurs biased; 37. There is a hard to find link between the quality of an idea and the potential for a business development; 25
38. Snapshot on Entrepreneur Concepts
Can capitalism survive? No. I do not think it can." Thus opens Schumpeter's prologue to a section of his 1942 book, Capitalism, Socialism and Democracy. One might think, on the basis of the quote, that Schumpeter was a Marxist. But the analysis that led Schumpeter to his conclusion differed totally from Karl Marx's. Marx believed that capitalism would be destroyed by its enemies (the proletariat), whom capitalism had purportedly exploited. Marx relished the prospect. Schumpeter believed that capitalism would be destroyed by its successes.
Capitalism would spawn, he believed, a large intellectual class that made its living by attacking the very bourgeois system of private property and freedom so necessary for the intellectual class's existence. And unlike Marx, Schumpeter did not relish the destruction of capitalism. He wrote: "If a doctor predicts that his patient will die presently, this does not mean that he desires it.
Capitalism, Socialism, andDemocracywasmuch more than a prognosisofcapitalism'sfuture. Itwasalso a sparkling defense ofcapitalismonthegroundsthatcapitalismsparkedentrepreneurship. Indeed, Schumpeterwasamongthefirst to layout a clearconceptofentrepreneurship. Hedistinguishedinventionsfromtheentrepreneur'sinnovations. Hepointedoutthatentrepreneursinnovate, notjustbyfiguringouthow to use inventions, butalsobyintroducingnewmeansofproduction, newproducts, andnewformsoforganization. Theseinnovations, heargued, takejust as muchskillanddaring as does theprocessofinvention.
Innovationbytheentrepreneur, arguedSchumpeter, led to gales of "creativedestruction" as innovationscausedoldinventories, ideas, technologies, skills, andequipment to becomeobsolete. Thequestion, as hesawit, wasnot "howcapitalismadministersexistingstructures,... [but] howitcreatesanddestroysthem." Thiscreativedestruction, hebelieved, causedcontinuousprogressandimproved standards ofliving for everyone.
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39. Snapshot on EntrepreneurConcepts
One of the first academic theorists to investigate the work of the entrepreneur was Joseph Schumpeter. He argued that the defining characteristic of entrepreneurial ventures was innovation. By finding a new "production function" in an existing resource, a previously unknown means through which a resource could produce value, the entrepreneur was innovating. Innovation was broadly conceived; an innovation could take place in product design, organization of the firm, marketing devices, or process design. Nevertheless, innovation was what separated the entrepreneur from others who undertook closely related endeavors;
Arthur Cole, defined entrepreneurship as purposeful activity to initiate, maintain, and develop a profit-oriented business. The important part of this definition is that creating a new business organization is considered entrepreneurial. Cole's entrepreneur was a builder of profit-minded organizations and sought financial gain.' Whereas Cole's definition was concerned primarily with the monetary profits of the business world, Schumpeter made room for all organizational activities by broadly defining profits. That is, according to Schumpeter, profits do not have to come in dollars and cents;
Shapero and Sokol (1982) argued that all organizations and individuals have the potential to be entrepreneurial. They are at odds with those who try to describe entrepreneurship in terms of what makes an entrepreneurial organization different than others. Rather than focusing on the nature of an entrepreneurial organization, the object of Shapero and Sokol's study was the range of entrepreneurial activities themselves. They focused on what happens when an individual or an organization acts like an entrepreneur. Shapero and Sokol contend entrepreneurship is characterized by an individual or group's initiative taking, resource gathering, autonomy, and risk taking. Their definition could theoretically include all types and sizes of organizations with a wide variety of functions and goals. By defining an "entrepreneurial event" instead of entrepreneurship itself, Shapero and Sokol avoid the pitfalls inherent in trying to delineate what types of organizations can or cannot be entrepreneurial;
In Innovation and Entrepreneurship, Peter F. Drucker took the ideas set forth by Schumpeter one step further. He argued that Schumpeter's type of innovation can be systematically undertaken by managers to revitalize business as well as nonbusiness organizations. By combining managerial practices with the acts of innovation, Drucker argued, business can create a methodology of entrepreneurship that will institutionalize entrepreneurial values and practice. Drucker's definition of entrepreneurshipa systematic, professional discipline available to anyone in an organizationbrings our understanding of the topic to a new level. He demystified the topic, contending that entrepreneurship is something that can be strategically employed by any organization at any point in its existence, whether it be a startup or a 200-year-old business. Drucker understood entrepreneurship as a tool to be implemented by managers and organizational leaders as a means of growing a business.
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40. Entrepreneurs MindSet
The link between my experience as an entrepreneur and that of a politician is all in one word: freedom, Slvio Berlusconi.
A real entrepreneurissomebodywhohasno safetynetunderneaththem, Henry Kravis.
Mostnewjobswont come fromourbiggestemployers. Theywill come fromoursmallest. Weve got to do everything we can to make
entrepreneurialdreams a reality, Ross Perot.
Nobody talks of entrepreneurship as survival, but that's exactly what it is and what nurtures creative thinking,Anita Roddick.
My son is now an "entrepreneur." That's what you're called when you don't have a job, Ted Turner.
I didsomethingthatchallengedthebankingworld. Conventionalbankslook for therich; welook for theabsolutelypoor. Allpeople are
entrepreneurs, butmanydon'thavetheopportunity to findthatout, Muhammad Yunus.
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41. EntrepreneursMindSet
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I wantedto bean editor or a journalist, I wasn'treallyinterestedinbeinganentrepreneur, but I soonfound I had to becomeanentrepreneurinorder to keepmy magazine going, RichardBranson.
Theentrepreneurinusseesopportunitieseverywherewelook, butmanypeopleseeonlyproblemseverywheretheylook. Theentrepreneurinusis more concernedwithdiscriminatingbetweenopportunitiesthanheorsheiswithfailing to seetheopportunities, Michael Gerber.
I'mnotsure I knewwhatanentrepreneurwaswhen I wasten, but I knewthatstartinglittlebusinessesandtrying to sellgreetingcardsor
newspapersdoor-to-doororjustvendingmachinekindofthingis.. there'sjustsomethingveryintriguing to me aboutthat, Steve Case.
42. A Complaint Free World: How to Stop Complaining and Start Enjoying the Life You Always Wanted, Will Bowen;
Harvard Business Review on Entrepreneurship (Harvard Business Review Paperback Series)
The McGraw-Hill Guide to Starting Your Own Business : A Step-By-Step Blueprint for the First-Time Entrepreneur, Stephen C. Harper
You, Inc.: The Art of Selling Yourself, Harry Beckwith, Christine Clifford Beckwith
Entrepreneur's Notebook: Practical Advice for Starting a New Business Venture, Steven K.Gold
Thinkertoys: A Handbook of Creative-Thinking Techniques. Michael Michalko
The Thinker's Toolkit: 14 Powerful Techniques for Problem Solving, Morgan D. Jone
The Power of Failure: 27 Ways to Turn Life's Setbacks into Success, Charles C. Manz
http://www.ted.com/talks/lang/eng/cameron_herold_let_s_raise_kids_to_be_entrepreneurs.html
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43. The Wizard of Menlo Park: How Thomas Alva Edison Invented the Modern World,Randall E. Stross
Losing My Virginity: How I've Survived, Had Fun, and Made a Fortune Doing Business My Way, Richard Branson
Sam Walton: Made In America, Sam Walton e John Huey
Softwar: An Intimate Portrait of Larry Ellison and Oracle, Matthew Symonds e Larry Ellison
It's Not About the Bike: My Journey Back to Life, Lance Armstrong e Sally Jenkins
Titan: The Life of John D. Rockefeller, Sr., Ron Chernow
Direct from Dell: Strategies that Revolutionized an Industry (Collins Business Essentials) by Michael Dell e Catherine Fredman
Amancio Ortega: de Cero a Zara, Xavier Blanco e Jesus Salgado
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44. Thinking the future- www.ted.com
What to do with my life http://www.fastcompany.com/magazine/66/mylife.html ;
Tbecoming an Entrepreneur www.entrepreneur.com;www.zeromillion.com ;
Learning to be an entrepreneur - http://entrepreneurship.mit.edu/
Local (Portuguese) support in bulding a business plan http://audax.iscte.pt/ ; www.gesventure.pt ;
Understanding and managing failure - http://www.businessweek.com/magazine/content/06_28/b3992001.htm
The Dumbest Moments in Business History: Useless Products, Ruinous Deals, Clueless Bosses, and Other Signs of Unintelligent Life in the
Workplace, Adam Horowitz
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45. Ideas Selection
FinantialsROI, DCF;
ScaleGrowth Potential; National vs International;
FitIs this what you want to do? Will you like going to this everyday?;
Democracy Get large scale opinion;
ExpertGet experts opinion;
ExperienceAsk other entrepreneurs advise; read their stories;
KnowledgeAsk research groups or universities their opinion;
Start SpeedCan I start right now?;
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46. How to summarize a business concept;
From flower store to selling nature
Why do you need an Elevator Speech/Pitch?;
How to win a groups voting process; thinking on concepts marketing
From selling 2 Euros bracelet to sell 200 Euros unique ethnic jewelry; - consider form!
Pitching Rules; presentation Skills;
From The EP to a Business Plan;
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47. Pitch Rules
Read your pitcher
who is he; whar does he want; what drives his attention;
Read the environment;
do you have his attention; does he care; his he listening; is he alone?
Set-up a bridge;
Set-up a sexy value;
Set-up global project projection;
Define outcomes and needs; http://vimeo.com/album/1472221/video/16717051
some good and bad pitches at Babson U.!
Why him; Why you;
Define next step.
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48. Investors mindset
He has a lot of options;
Larger investments are more fruitful; (scope and scale)
He does not need you;
He does not have a memory;
He listens to business proposals all the time;
He is tired and depressed;
He is waiting to be surprised and find the lost billions;
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49. What is a Business Plan
It is a document
To be read by several audiences; quick and extensively;
Describing what is your business product or service;
Explaning how your business will be launched; what are the needed resources;
Why it will suceed; why you are the right person to lead it;
How it will grow and be profitable;
What are the risks associated;
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50. Gladwell, Malcolm. "Smaller: The Disposable Diaper and the Meaning of Progress." The New Yorker, November 16, 2001
Christensen, Clayton. and Scott D. Anthony. "What's the Big Idea?" Harvard Business School Case. Boston, MA: Harvard Business School Publishing. Case: 9-602-105, September 26, 2005.
Bennis, Warren G., and Patricia Biederman. "The End of the Great Man." Chapter 1 in Organizing Genius. New York, NY: Perseus Books, 1997. ISBN: 9780201570519
Thomke, S. and Ashok Nimgade. "Innovation at 3M Corp." Harvard Business School Case. Boston, MA: Harvard Business School
Elevator pitch Essentials
http://www.businessweek.com/careers/content/jun2007/ca20070618_134959.htm
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51. Can the ideas that we have generated be exploited to make money?
Three big questions
Technology lensWhat are the proposed features of the technology, advantages compared to other approaches or to substitutes?
Market lens What group of customers want this are lead users representative of larger markets?
Competitive lens- Recall that inventor & entrepreneur dont always capture the value from ideas: Do I control my ideas? Do I control other assets in the value chain? If not, who does, what are the dynamics?
Defining your business; setting your market size
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52. Business Plan Index Several, thousand planning tools
Executive Summary to be written in the end
Documents Purpose
Business definition, Associates Relations, Legal
Environment, Societal trends,Opportunity Id.
Sales, Competition, Growth
Suppliers, Costs, Partnerships
Marketing and Promotion;
Finantial and Cash
PL & Investment Plan
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1 Executive Summary
2 Company Analysis
3 Industry Analysis
4 Customer Analysis
5 Competitive Analysis
6 Marketing Plan
7 Operations Plan
8 Management Team
9 Financial Plan
10 Appendix
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Why Write a Business Plan

Because I Need to Understand My Business

The Business Plan is a result of a PLANNING PROCESS
People dont Plan to Fail; they Fail to Plan
Who are your customers?
Why will the buy your service or product?
What will they pay?
How will you make and deliver the service/product
What resources (people, money, technology) will you need?
Can you make money/create value?
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But Also!

How can I beat powerful competitors?

55. How can I create a non existing market? 56. How can I create products that better connect with customers? 57. How integrated should our company be? 58. How should we set strategy? 59. From whom should we get funding for new growth initiatives? 60. How should we structure our organization? 61. How can we build and exploit a valuable brand? 62. How can we create and sustain a motivated group of employees? 63. Who should we hire or promote to manage this effort?