ITE20-1 PDF Module 1-11

Module 1 Expanders and Scalers Entrepreneur Seek out opportunities to expand upon previously created methods, processes, or is someone who identifies and acts on an...

Module 1 Expanders and Scalers Entrepreneur Seek out opportunities to expand upon previously created methods, processes, or is someone who identifies and acts on an products. idea or problem that no one else has identified or acted on due diligence Entrepreneurial venture conducting the necessary research and investigation to make informed decisions is the creation of any business, that minimize risk. organization, project, or operation of interest that includes a level of risk in acting on an harvest opportunity that has not previously been established. point at which the venture is sold, at which time the investors receive a return on their lifestyle venture investment. business whose founders’ primary focus is the lifestyle they will attain through opportunity-identifying perspective becoming entrepreneurs, rather than a primary interest in financial rewards. method for identifying a problem and determining how it could be translated into an opportunity to create a new venture. Innovators serial entrepreneur Find new approaches, methods, or products that add value by solving a problem in a entrepreneur who becomes involved in unique manner. starting multiple entrepreneurial ventures. Creators social entrepreneur Make something new or see a problem that entrepreneur who has an interest in solving other people have not noticed. a social, environmental, or economic problem Market Makers Innovate or reinvent their market from a future perspective by asking what the market could evolve into. Module 2 Achievable: goal must be attainable, effort must be put forth career entrepreneur Relevant: well suited for what you want to accomplish someone who takes on the daily management as the owner of the venture, Timely: must have a defined accepting, and perhaps enjoying, the daily deadline risks and rewards of managing and building the venture. mission statement divergent thinking statement of an organization’s reason for process of generating as many ideas as being that defines its primary long-term possible, even when those ideas do not goal, explains what the venture will do, what seem logical; the list of ideas can be value it will provide to the end customer, conflicting, diverse, and disparate. and how it will accomplish that action. entrepreneurial vision value proposition idea of what an entrepreneur wants a summary describing the benefits (value) venture to become, what it will look like, customers can expect from a particular what the driving forces are, and what values product or service. and culture should surround it. vision statement quantifiable manner picture of what the venture will become in the future or what the venture will grow into method to determine if a goal has been met or not. The Creative Thinking Process SMART goals This type of thinking allows people to come up with ideas that they might not have had well-structured and defined goals that are without adopting a creative mindset. specific, measurable, achievable, relevant, and timely. Incubation Specific: should be precise rather We are programming our minds to realize than broad that the work done in preparation is an important topic for consideration. Measurable: should be able to test in some quantifiable way if the goal Illumination has been met At some point, you may have a sudden inspiration or illumination—an aha! Conducting Research Verification Create surveys and ask people questions about their experiences related to your idea. The last step is verification, crafting our vision statement or message, or responding to the exercise in creative thinking Module 3 Brainstorming Disruptive technology requires that participants generate ideas Technology that once introduced, displaces around the desired topic without judgment. established patterns, processes, and systems previously accepted as normal or Divergent Thinking accepted methods. Using divergent thinking, we would arrive at Entrepreneurial mindset more diverse ideas. Awareness and focus on identifying an Sales Mentor opportunity through solving a problem, and a willingness to move forward to advance mentor who is killer at sales. that idea Operations Guru Entrepreneurial spirit an operational mind walking through KPIs allows entrepreneurs to carry a manner of and leading indicators. thinking with them each day that allows them to overcome obstacles and meet Biz Dev Guru challenges with a can-do attitude. has a list of contacts rich and deep into your Innovators industry and possibly target verticals. Find new approaches, methods, or products Entrepreneur that add value through solving a problem in a unique manner. a leader who has been through many of the same problems that you have, and will often Creators walk you through war stories of how he got the job done Make something new or see a problem that other people have not noticed. Mind Mapping Here, you create an illustration on paper or a chalkboard. Market makers entrepreneurial journey Innovate or reinvent their market from a your exploration to discover if future perspective by asking what the entrepreneurship is right for you. market could evolve into. entrepreneurial venture Expanders and scalers any business, organization, project, or Seek out opportunities to expand upon operation of interest that includes a level of previously created methods, processes, or risk in acting on an opportunity that has not products. previously been established. Passion in Entrepreneurship independent contractor This will ensure the business stays on track. (also, freelancer) people or businesses that provide work similar to an employee without Module 4 being part of the payroll for the contracting business, and who pay their own taxes and benchmarking pay for their own benefits. comparing one’s own company’s target market performance with an industry average, a leader within the industry, or a market specific group of consumers for which a segment. company seeks to provide a good or service. bootstrapping venture funding strategy that seeks to optimize use of personal funds and other creative startup company or organization that strategies (such as bartering) to minimize conducts business or is created to satisfy a cash outflows. need. breakeven point Gig economy level of operations that results in exactly is the economic system by which a enough revenue to cover costs. workforce of people (known as gig workers) engage in freelance and/or cash management side-employment. management of cash inflows and outflows to support cash needs of the venture. The Seven Steps of the Entrepreneurial business model Journey plan for how venture will be funded; how the 1. Inspiration venture creates value for its stakeholders, - For this stage, you need a creative, including customers; how the venture’s open, and innovative state of mind, offerings are made and distributed to the i.e. an entrepreneurial mindset. end users; and the how income will be generated through this process. 2. Preparation - Gather information, Organize, Fluid focus. capitalism 3. Assessment - Ask yourself: Where will I find system in which individuals, people, and partners, customers, locations, and companies have the freedom to make other key resources? decisions and own property as well as 4. Exploring Resources benefit from their own efforts, with - Ask yourself: How can I afford to government playing a secondary role in achieve my goal and maintain my oversight. financial status once I get - there? cash flow 5. Business Plan - can give you important insights into money collected by the business through your idea, help you modify your revenue and funding versus money business before launch to give it a disbursed by the business through better chance of success, stay on expenses. track, and serve as a reality check. 6. Navigation corporate entrepreneurship - involves being prepared and making changes when faced with obstacles. development of new ideas, opportunities, or 7. Launch ventures through formal research and - Consider your target market and the development processes that focused on the resources necessary to support your corporation’s strategy and goals. venture when choosing the location for your launch. creative destruction theory developed by Joseph Schumpeter Module 5 stating that entrepreneurial innovation is the disruptive force that creates and sustains Entreprendre economic growth, though in the process, it destroys established companies and The earliest concept of an “entrepreneur” disrupts employment. can be traced to this era from the French “to do something” or “to undertake. due diligence patent conducting the necessary research and legal grant of protection for an inventor over investigation to make informed decisions the rights, usage, and commercialization of that minimize risk. an invention for a set time period. e-commerce serial entrepreneur electronic transactions, particularly over the entrepreneur who becomes involved in Internet, for the exchange of goods and starting multiple entrepreneurial ventures. services. vertical integration entrepreneurial process strategy of gaining control over suppliers of set of decisions or actions that can be raw materials and distributors of finished outlined and followed as a guide to products to expand or control the relevant developing or adjusting a venture. supply chain. entrepreneurial spirit First Industrial Revolution describes a quality of those individuals who was notable for the explosion of inventive are productive self-starters focused on activities by the “great inventors” who making changes happen. pursued entrepreneurial opportunities to meet market needs, demands, and innovation economic incentives. new idea, process, or product, or a change Second Industrial Revolution to an existing product or process. helped shape consumer demand for the intrapreneur latest inventions and innovations developed by small and large businesses. employee who acts as an entrepreneur within an organization, rather than going Module 6 solo. franchising milestone form of licensing that allows the business significant decision point or significant (franchisor) to share its business model to accomplishment. expand through various distributors (franchisees) for a fee. situational opportunity one that becomes available, depending on Canvas factors such as where you work, your family obligations, your idea or invention, your is a display that would-be entrepreneurs unique creative expression, or a recent commonly use to map out and plan different career search or job change. components of their business models. soft launch business model (also, soft open) launching a venture for a a plan for how a venture will be funded limited time frame or audience to gain experience, insights, and feedback about Lean Model Canvas the target market or consumer shows how the framework can assist in Beta test developing the business model, competitive advantage, and related areas aligning the Enables you to explore a soft launch. Can product and market for the venture. be done by creating a sketch, prototype, or sample of what you plan to offer. Get Design Thinking Process feedback from potential customers or friends to see if it works as planned A method to focus the design and development decisions of a product on the needs of the customer. Module 7 Four Lenses Strategic Framework action plan Used for the development of social organized, step-by-step outline or guide that enterprises , Focuses on solving social pulls together the ideas, thoughts, and key problems or market failures steps necessary to help set the stage for entrepreneurial success. - Stakeholder engagement: Involves everyone who is affected or has a framework role in addressing the problem. structure or outlined process that can be - Resource mobilization: Takes used to accomplish entrepreneurial goals action to create a sustainable social through problem solving, idea generation impact. and validation, and brainstorming - Knowledge development: Business Model Canvas Improves information and processes to create a sustainable social The BMC offers a simple, one-page tool impact. used to design an innovative business model that can be presented to key stakeholders.  - Culture management: Fosters mindsets and behaviors that create a sustainable social impact - Immigrant entrepreneur: Immigrants are increasingly traveling Action Plan Support Tools to new countries and often become independent via entrepreneurship - Dream Board: a visual tool to present the ideal situation. - Internet entrepreneur: - Story Board: A scene by scene Opportunities for internet-based visual of the activity process from businesses are increasing. start to finish. - Woman or minority entrepreneur: - Mind map: visual tool that assist These groups may have unique with categorizing brainstorming potential, skills, and perspectives to types of ideas. capitalize on niches in the market. - Hypothesis: A proposition or - Part-time entrepreneur: More statement as a basis for further individuals are supplementing their testing or investigating. incomes through part-time activities. - Logic Map: A visual representation - Social entrepreneur: offer of relationships between various innovative solutions to existing and components emerging social problems, such as poverty, hunger, human trafficking, Disaster Action Plan and environmental degradation. To help you brainstorm possible needs resulting from a disaster in a city. Module 8 New Types of Entrepreneurship creative destruction - College entrepreneur: Due to theory developed by Joseph Schumpeter higher costs of education, students stating that entrepreneurial innovation is the may launch a venture during or after disruptive force that creates and sustains attending college. economic growth, though in the process, it destroys established companies and - Corporate entrepreneur: You may disrupts employment. pursue a venture within your organization’s interest. Supply - Franchise entrepreneur: This can is the amount of a product or service help you gain a head start in an produced. industry. demand shared economy need or desire for the outputs, the product or services. economy in which some assets are not in use, which may present an entrepreneurial entrepreneurial opportunity opportunity. point at which identifiable consumer Why Small Businesses Fail, Ten common demand meets the feasibility of satisfying reasons: the requested product or service and meets the following conditions: significant market 1. Low sales: Sales projections were demand, significant market structure and overestimated. size, significant margins, and resources to support the venture’s success. 2. Lack of experience: Running a business is challenging. 3. Insufficient capital: Account for the time Module 9 it will take before your business breaks even and allow for contingency funds. Opportunity screening 4. Poor location: Location is essential for is the process by which entrepreneurs certain businesses evaluate innovative product ideas, strategies, and marketing trends. 5. Poor inventory management: Too much inventory results in the business becoming demographics cash-strapped statistical factors of a population or group, 6. Overinvestment in fixed assets: It may such as information about age, gender, be less expensive to lease or purchase income, race, or ethnicity. used equipment, thereby saving cash for meeting operational expenses. gig economy 7. Poor credit arrangement management: market system in which independent Start your venture small and limit the contractors fill a variety of positions. amount of money you need to borrow. Work with your banker from the start. primary research 8. Personal use of business funds: The research that involves gathering new data. owner should pay themself a minimal salary and not dip into business funds. secondary research 9. Unexpected growth: Inability and lack of research that uses existing data. capacity to manage growth and support demand. 10. Competition: Don’t underestimate the offering competition and do not try to compete on price. Rather, find another way to challenge actual product or service, its value competitors. proposition, and how you will reach and communicate with your target customers. opportunity screening Module 10 process used to evaluate innovative product ideas, strategies, and marketing trends, business model focusing on financial resources, skills of the entrepreneurial team, and competition plan for how venture will be funded; how the venture creates value for its stakeholders, supply including customers; how the venture’s offerings are made and distributed to the amount of a product or service produced. end users; and how income will be generated through this process. SWOT analysis competitive advantage strategic analytical tool used to help a potential venture or existing company describes your venture’s unique benefits identify its strengths, weaknesses, that poise it for growth. opportunities, and threats related to business competition. customers Strengths: The capabilities and advantages people the business will be serving, of the entrepreneur, including education, including potential customers from one or experience, and personal or professional more market segments. contacts. financial viability Weaknesses: The disadvantages of the entrepreneur, which could include a lack of long-term financial sustainability of an knowledge or experience. organization to fulfill its mission. Opportunities: Positive events that can be infrastructure developed to the venture’s benefit. E.g., developments in new technologies, changes all resources the entrepreneur will need in in consumer tastes and preferences, market order to launch and sustain a business growth, new laws and regulations. venture. Threats: Anything that could potentially harm or prevent the business from becoming successful. E.g., competition, negative changes in economic conditions, ideation new laws or regulations. purposeful process of opening up one’s mind to new trains of thought that branch out in many directions from a stated unique selling proposition purpose or problem. marketer’s rationale as to why a product or Vision statement outlines service is different/better than the competitor’s products. the venture’s broader purpose; what the entrepreneur sees the venture growing into Competitive Analysis Grid in the future. Identifies your competitors, assesses the mission statement key characteristics of the competitive landscape in your industry. statement of an organization’s reason for being that defines its primary long-term PEST Analysis goal, explains what the venture will do, what value it will provide to the end customer, Another tool that can be used to analyze and how it will accomplish that action. opportunities and threats is called the PEST analysis (political, economic, societal, pitch technology). formal presentation in which you ask for Three Circles Tool something and that is delivered (usually) to potential investors in a startup. The goal is to identify competitors’ strengths and competitive advantages with any problem-solution narrative overlaps among competitors. Identify values or features not offered by competitors. brief story of a sentence or two that states a problem affecting many people and offering a solution that is innovative, unique, Module 11 insightful, or all of these. value proposition Entrepreneurs as Superheroes summary describing the benefits (value) - wield great power and responsibility. customers can expect from a particular - are willing to take on risks. product or service - are undaunted in the face of failure. - seek solutions and continuous improvement. Goals Goals ensure that products/services remain viable. Must be stated in precise terms that are appropriate for the marketplace. SMART Goals SMART goal setting is a tactic for getting things done in the short term