The The Entrepreneurial Entrepreneurial Experience:Experience:

C O i i d C O i i d Concepts, Opportunities, and Concepts, Opportunities, and A Philosophy of LifeA Philosophy of Life

“Luck is what happens when preparation meets opportunity.”

~ Unknown Author

Tim R. Holcomb, Ph.D.Assistant Professor of Strategy and Entrepreneurship and Executive Director of the Jim Moran Institute for Global EntrepreneurshipJim Moran Institute for Global EntrepreneurshipThe Florida State University

What is entrepreneurship?What is entrepreneurship?

What is it?What is it?An alternative…

A way of thinkingA way of thinking…

An approach to work and life…and life…

“Entrepreneurship is no longer a job title It is the state of Entrepreneurship is no longer a job title. It is the state of mind of people who want to change the future.”~ Guy Kawasaki, Chairman of George Technology Ventures

What is entrepreneurship?What is entrepreneurship?

Entrepreneurship is a dynamic process of Entrepreneurship is a dynamic process of vision, change, and creation.

Requires energy and passion towards the Requires energy and passion towards the creation and implementation of new ideas and creative solutions and creative solutions.

“I have not failed I’ve just found 10 000 ways that won’t I have not failed … I ve just found 10,000 ways that won t work .”

~ Thomas Alva Edison, American inventor, scientist, and businessman

What is entrepreneurship?What is entrepreneurship?

Entrepreneurship is a ‘full contact sport’ … p p psuccess is born in the collision.

The essence is about doing, not learning to do.

“Entrepreneurship is the most empowering, the most democratic the most freedom-creating phenomenon is the democratic, the most freedom-creating phenomenon is the

history of the human race.” ~ Michael Morris, past president of the USASBE

The hardest thing about getting started is … tti t t dgetting started.

Entrepreneurship: What is it NOT?Entrepreneurship: What is it NOT?

Some myths . . . Some myths . . . Entrepreneurs are born, not made.

Entrepreneurs are gamblers risk takersEntrepreneurs are gamblers, risk takers.

Entrepreneurs don’t have to worry about numbers.numbers.

If you build it, they will come.

Entrepreneurship: What is it NOT?Entrepreneurship: What is it NOT?

Some myths . . . Some myths . . . Entrepreneurs are motivated by money … It's all about the bottom line.

Some motives are financial, but others include societal, familial, and quality of life., , q y

• “If you chase money, you’ll never get it.”~ Debbi Fields, founder of Mrs. Fields Cookies

“If you think money is a real big deal you’ll be too • If you think money is a real big deal, you ll be too scared of losing it to get it.” ~ Ted Turner, American media mogul and philanthropist

Entrepreneurship: What is it NOT?Entrepreneurship: What is it NOT?

Some myths . . . Some myths . . . Entrepreneurs have more freedom in life and the ability to control things.y g

“I won’t have anyone looking over my shoulder.”

“Just think … I’ll have all this free time to do whatever I want.”

You just need money to be an entrepreneur.

Over 50% of businesses start with less than 5$10,000.

Entrepreneurship: Entrepreneurship: A process … of discovery and moreA process … of discovery and more p ocess … o d sco e y a d o e p ocess … o d sco e y a d o e

Identify an OpportunityIdentify an OpportunityIdentify an OpportunityIdentify an Opportunity

Develop the ConceptDevelop the Concept

E l t th O t itE l t th O t it

Determine Required ResourcesDetermine Required Resources

Evaluate the OpportunityEvaluate the Opportunity

Decide whether Decide whether to Exploitto Exploit No GoNo Go

NoNo

Implement, Manage, and GrowImplement, Manage, and Grow

to Exploitto Exploit

YesYes

Harvest and ExitHarvest and Exit

Returning to entrepreneurship … Returning to entrepreneurship … What is it?What is it?

Entrepreneurship is a nexus of Entrepreneurship is a nexus of two observable phenomena: an ‘ i i ’ i di id l ‘enterprising’ individual (the entrepreneur) and a ‘lucrative’ opportunity.

“Opportunity is often missed by people because it sometimes comes dressed in overalls and looks like work.”

Thomas Alva Edison American inventor scientist and businessman~ Thomas Alva Edison, American inventor, scientist, and businessman

So, who is the entrepreneur?So, who is the entrepreneur?

An entrepreneur is any person who sees opportunity, sizes up its who sees opportunity, sizes up its value, and seizes the resources necessary to make the most of itnecessary to make the most of it.

“The important thing is not being afraid to take a chance. Remember, the greatest failure is to not try.”

~ Debbi Fields, founder of Mrs. Fields Cookies

Who is the entrepreneur?Who is the entrepreneur?

Entrepreneurs :pquestion, challenge, and change people’s lives.take responsibility for change.persevere through setbacks and failures.translate creativity into action & measurable returns

h t th h i it i ll b t are what the human spirit is all about.

They are the hope for a better life, for an end to poverty to disease to poverty, to disease, to …

They are the quiet revolutionaries… They are the quiet revolutionaries.

Okay, but just how Okay, but just how RevolutionaryRevolutionary are they?are they?

So, what is an opportunity?So, what is an opportunity?

Circumstances that produce conditions Circumstances that produce conditions favorable to the attainment of some goal.

A situation where something can be improved A situation where something can be improved and involves creating value.

An observable need that is not being An observable need that is not being adequately met.

The foundations of entrepreneurial opportunity The foundations of entrepreneurial opportunity exist in situations where there is some un- or underserved need or want.

What is an opportunity?What is an opportunity?

Ideas tend to be overrated … Ideas tend to be overrated … Rare that an idea is completely novel (i.e., most already thought of).y g )

Entrepreneurship is typically a process of refinement or incremental innovationrefinement, or incremental innovation.

Many “better mousetraps” fail to reach commercialization.commercialization.

What’s better … a good opportunity (idea) or What’s better … a good opportunity (idea) or a good entrepreneur?a good entrepreneur?a good e t ep e eu ?a good e t ep e eu ?

“I know quite certainly that I myself have no special talent; q y y f p ;curiosity, obsession and dogged endurance, combined with

self-criticism, have brought me to my ideas.” ~ Albert Einstein, one of the most influential and best known scientists and

intellectuals of all timeintellectuals of all time

“The air is full of ideas. They are knocking you in the head all the time. You only have to know what you want, then y y ,

forget it, and go about your business. Suddenly, the idea will come through. It was there all the time.”

~ Henry Ford, founder of the Ford Motor Company and father of modern assembly lines used in mass productionassembly lines used in mass production

“A mediocre idea that generates enthusiasm will go further than a great idea that inspires no one.” than a great idea that inspires no one. ~ Mary Kay Ash, founder of Mary Kay Cosmetics

Creating value … a case of a good opportunity, Creating value … a case of a good opportunity, good execution, or blind luck?good execution, or blind luck?good e ecut o , o b d uc ?good e ecut o , o b d uc ?

Good opportunities have . . . Good opportunities have . . .

A compelling need.p gDo customers care?

Are customers dissatisfied with current products or pservices, and if so, how?

A well defined value proposition.p pCan a simple statement define the value proposition?

• “X is a _________ [describe] company. Through its [f ( )] i id _________ [feature(s)], it provides _________

[unique benefit(s)] to [target market].”

A sustainable competitive advantageA sustainable competitive advantage.

Opportunity recognition … Where do I start?Opportunity recognition … Where do I start?

Challenge existing assumptions.g g pExamine patterns of trends (in markets, demographics, social behaviors, customer g p , ,buying behavior, competitive practices, etc.).Look for un-/underserved markets./Look for under-utilized resources.Monitor changes in rules, laws, regulations.Monitor changes in rules, laws, regulations.Conduct ‘needs’ research, focus on problems.problems.

Opportunity recognitionOpportunity recognition

Every problem represents an Every problem represents an opportunity for a creative solution….

The entrepreneurial The entrepreneurial h ll i b ‘ i ki ’h ll i b ‘ i ki ’challenge is about ‘picking’ challenge is about ‘picking’

the right problems to the right problems to solve…solve…

Where do we find opportunity?Where do we find opportunity?

Key trends: yAging of the population.Use of alternative “clean” energy.gyConcerns about national security.Rise of social networking—people want to be connected.Immigration—legal and illegal.Si l f i l i h kidSingle professional women with kids.People searching for roots and stability.E t iExtreme experiences.

Other opportunity sourcesOther opportunity sources

Unexpected successes or failures in the Unexpected successes or failures in the market place.

Finding an idea that worked in another Finding an idea that worked in another market.

Finding an idea that orked for one Finding an idea that worked for one product/service that can be applied to other products/servicesproducts/services.

Opportunity screening … Is there a market?Opportunity screening … Is there a market?

Is it attractive to customers?Will it work in your business environment?Is there a window of opportunity?

h h d k llDo you have the resources and skills to create the business or do you know someone who does?does?Can you supply the product or service at a price that will be attractive to customers yet will be hi h h fi ?high enough to earn you a profit?

If you answer no to even one question refine the If you answer no to even one question, refine the business idea!

Opportunity Screening … Is it important to “me”?Opportunity Screening … Is it important to “me”?

Is it desirable? Is it desirable? “Makes me want to get up in the morning” needs: Do you have a passion for the idea? Will it be y pfun?

Is it feasible?Is it feasible?Does the idea build off of my knowledge, experiences, skills and/or interests?p , /

What conditions suggest a potentially “bad” What conditions suggest a potentially “bad” opportunity?opportunity?oppo tu ty?oppo tu ty?

No market need (better mousetrap).( p)Customer loyalty is very strong.

“Switching costs” are high.S tc g costs a e g .

Customers are not dissatisfied.Customers are hard to reachCustomers are hard to reach.Competition is intense.Few entry barriersFew entry barriers.

Easy for people to enter after you.

Windo not openWindow not open.

Remember that . . .Remember that . . .

YOU are the entrepreneur.YOU are the entrepreneur.What are you going to sell?

Your research ideaYour research idea.

Your nonprofit.

YourselfYourself.

What motivates you?

Your core valuesYour core values.

Your personal aspirations and priorities.

A d t k i ?Are you ready to make meaning?

Final thoughts …Final thoughts …

“E hi i hi “Entrepreneurship is not something you do…it is a philosophy that you bring to life.”

EBV team~ EBV team

“Be the change you wish to see in the world.”

~ M. Gandhi