¶ … Entrepreneurial Approach M1 - Discussion

I have always thought entrepreneurship is just about starting a business. However, it is interesting to learn that entrepreneurship is more of a mindset or a behavioural tendency as opposed to just pursuing a business idea. It is a way of thinking characterised by the desire to create or exploit opportunities, take risks, to be innovative, and to grow. This mindset applies to not only individuals, but also organisations. The entrepreneurial mindset can be learned, understood, and practiced. In essence, entrepreneurship is not an inborn ability as often thought. As long as one has the passion to take charge of their life, then the rest can be learned, irrespective of one's background.

M1 - Discussion

One great lesson acquired from the first two chapters of New Ventures is that entrepreneurship is not as straightforward as often thought (Allen, 2015). People usually think as long as an idea or opportunity has been identified then it will be a bed of roses all through. Entrepreneurship is a process that requires a substantial amount of time and effort. It requires the entrepreneur to be not only innovative, but also vision-oriented and flexible. This comes out clearly in the case of the online advertising firm Adroll as described in Case Study One (Allen, 2015). Though the firm was experiencing tremendous success in its first six years, growing the company posed a major challenge.

M2 - Discussion 1

There is immense connection between entrepreneurship and the concept of creativity and inspiration. Entrepreneurs come up with unique ideas, provide solutions to unsolved problems, and offer a better way of doing things. This is the core of creativity. Whereas creativity is important, it is even more crucial to consider how scalable an idea is as explained in the concept of Mediocristan. Considering the scalability of an idea is particularly vital in a constantly evolving world, technological advancement is increasingly making ideas obsolete. The entrepreneur makes decisions based on not only the scalability of the idea, but also the characteristics of the industry (competitors, growth, trends, margins, opportunities, and so on).

M2 - Discussion 2

The notion of Mediocristan essentially relates to the extent to which an idea is scalable. Can the idea grow beyond the industry, local, national, or regional boundary? How big can the idea be? These are important questions the entrepreneur must consider when pursuing an idea. When Dr. Sharpin introduced a portable, quicker, and more reliable one-time use system for testing bacteria in water and food as described in Case Study Two, she encountered the challenge of growing the business internationally despite its success in Australasia (Allen, 2015). The decision to enter the European and American markets had to be made with consideration to aspects such as what industries to focus on, the extent of competition, government regulations, and consumer attitudes.

M3 - Discussion 1

Our view of the world keeps on changing. It changes based on the experiences we encounter in the course of our life. At some point, we come to the realisation that what may have worked in the past may not work in the future. This realisation often compels us to consider other ways of doing things. Personally, I have historically viewed entrepreneurship as an undertaking for a select few. From what I have been learning, however, my view of entrepreneurship has been changing. I now view entrepreneurship as a learnable disciple, just like any other discipline. I have learned that the feasibility of ideas is not a static phenomenon -- what may work today may not work tomorrow.

M3 - Discussion 2

The importance of embracing world views within the business or entrepreneurship context cannot be overemphasised. Though an entrepreneur may start off a business idea with a single model, they may with time realise more ways of making money from the same idea. This is well demonstrated in Case Study Three. When Jennifer Beall launched her idea of a mobile stroller and car seat cleaning service specifically targeting mothers, she never envisioned franchising her business, providing stroller repair services, introducing a line of cleaning products, participating in product sponsorships, or making money from her email list (Allen, 2015). However, as the business grew, while at the same time increasing her business knowledge, she discovered how these options could provide significant revenue streams.

M4 - Discussion 1

Finding start-up capital and protecting the venture is usually a major challenge for most entrepreneurs. Start-up capital can be obtained from a variety of sources, including loans from family and friends, seed capital, venture capitalists, and financial institutions. It is imperative to know not only where to find start-up capital, but also how to protect intellectual capital, intellectual assets, and intellectual property. This can be achieved by registering patents, trademarks, and copyrights, as well as deploying confidentiality agreements to protect trade secrets. The narrative fallacy exemplifies the value of protecting...

Instead of trying to copy what others do, one should focus on their own unique way of doing things.
M4 - Discussion 2

Case Study 4 demonstrates the value of protecting intellectual assets and intellectual capital (Allen, 2015). When Don Bogue, together with John Ryan, launched Command Audio in 1995, he applied for over 60 U.S. and foreign patents, keen on protecting his idea in any way it could be monetised. His proprietary technology not only attracted investment capital, but also lured customers and strategic partners and enabled the licensing of patent rights. The patent application protected three business models, even though the first two failed. If Bogue had not cleverly protected his intellectual assets and capital, he perhaps would not have had a chance to try various business models before finding the right one.

M5 - Discussion 1

A significant percentage of entrepreneurial start-ups do not survive past the fifth day. One reason that can be attributed to this is failure to think outside the box. Most entrepreneurs tend to be obsessed with creating a perfect business plan for implementing the start-up. Whereas a business plan is important, all the questions may not be answered without actually getting into the business. It is imperative for entrepreneurs to get in touch with reality. The ludic fallacy, as put in The Black Swan, reiterates the danger of relying too much on statistics and probabilities to model real-world situations (Taleb, 2010). It may be more beneficial to develop the business plan based on a practical, validated business model.

M5 - Discussion 2

An important ingredient of entrepreneurial success is a supportive culture and environment. Many ideas fail not because they are bad, but because of lack of access to the right pool of skills, talent, and, most importantly, atmosphere. Case Study Five details the history of Google, one of the most successful technology firms worldwide (Allen, 2015). A major decision that the founders of the company made during its early days was to move it from Menlo Park, California to Palo Alto, California, which is home to the renowned Silicon Valley. Having provided an ideal climate for most technology start-ups, Silicon Valley would provide access to a culture of innovation, capital, legal infrastructure, as well as human capital. These factors have been integral to the success of Google.

M6 - Discussion 1

Businesses operate in a complex world, indeed much more complex that often thought. Even with meticulous planning and forecasting, unforeseen situations may strike, catching most entrepreneurs completely unaware. Disruptions in the supply chain may occur, regulations may change, recessions may emerge, partners may betray fellow partners, and so forth. Accordingly, the entrepreneur must effectively negotiate risk if they are to survive in an increasingly complex world. Negotiating risk requires the entrepreneur to be constantly aware of the possibility of unexpected events hitting the business. Beyond the typical risk management plan, the entrepreneur must recognise the fact that the future is not entirely predictable. This understanding is vital for dealing with unforeseen circumstances when they occur.

M6 - Discussion 2

Case Study 6 ideally demonstrates how the future in the business world can be quite unpredictable (Allen, 2015). Shortly after its establishment in 2008, Groupon had become a force to reckon with in the discount group-buying industry. Nonetheless, the promising company erred in declining a $6 billion purchase offer from Google. With lack of profitability, the business lacked adequate financial muscle to fight both local and foreign rivals. This challenge was further compounded by its poor business model. When Groupon rejected Google's offer, Google embarked on introducing a similar service as Groupon's business model was readily replicable. Google would later turn out to be one of Groupon's major competitors. Had Mason and Groupon accepted Google's offer, the company most likely would not have experienced the problems it did.

M7 - Discussion 1

Ethics and social responsibility is an important topic in today's business world. Whereas businesses exist primarily to make money, they have an obligation to the society. It is particularly important for entrepreneurs to think about social responsibility when developing their marketing plans. Based on the concepts of the bell curve, randomness, and extremistan, two important aspects that should be considered when developing a socially responsible marketing plan include…