Entrepreneurs & Entrepreneurship

1. Entrepreneurs & Entrepreneurship ESSAM 2010 Professor Stephen Lawrence Leeds School of Business University of Colorado at Boulder

2. Agenda • What is Entrepreneurship? • Who are Entrepreneurs? • What myths surround entrepreneurship? • What are characteristics of entrepreneurs? • How I be an entrepreneur?

3. What is entrepreneurship?

4. What is Entrepreneurship? • “Entrepreneurship is creating and building something of value from practically nothing. That is, entrepreneurship is the process of creating or seizing an opportunityand pursuing it , regardless of resources presently controlled.” Jeffrey Timmons

5. What is Entrepreneurship? • Creative Destruction (& Innovation) • Capitalism, then, is by nature a form or method of economic change and not only never is but never can be stationary. • The fundamental impulse that sets and keeps the capitalist engine in motion comes from the new consumers, goods, the new methods of production or transportation, the new markets, the new forms of industrial organization that capitalist enterprise creates. Capitalism, Socialism and Democracy, 1942. Joseph Schumpeter

6. Replicative vs. Innovative EShip • Replicative entrepreneurship? • Duplicates other ideas • Incremental, seldom innovative • Innovative entrepreneurship? • Innovative solutions to important problems • Problems sometimes unrecognized • The defining characterize of entrepreneurship is not the size of the company buy the act of innovation. (Economist magazine)

7. Who are entrepreneurs?

8. Who are Entrepreneurs? • Someone who upsets and disorganizes. Entrepreneurs innovate. Innovation is the specific instrument of entrepreneurship. (Peter Drucker) • An entrepreneur is the bold and imaginative deviator from established business practices and patterns. (William Baumol) • Entrepreneurship is the pursuit of opportunity beyond the resources you currently control. (Howard Stevenson)

9. Who are Entrepreneurs? • “Some are eccentrics; some painfully correct nonconformists • “Some are fat; some are lean • “Some are warriors; some relaxed • “Some drink quite heavily; others abstain • “Some have great charm or warmth; some have no more personality than a frozen mackerel” Peter Drucker

10. Arnold Peter Møller – Maersk Shipping Sir Richard Branson Ernst Werner von Siemens Niklas Zennström and Janus Friis Who are Entrepreneurs? • Maersk • Siemens A.G. • Virgin etc. • Skype • Google Sergy Brin & Larry Page

11. Characteristics of Entrepreneurs

12. What are Some Eship Myths? • Entrepreneurs are orphans & outcasts • Entrepreneurs are young • Entrepreneurship is driven by venture capital • Successful startups must produce world-changing new products • Entrepreneurship cannot flourish in big companies

13. Characteristics of Entrepreneurs? • Unusually confident • Risk tolerant • Strongly attached to their companies • Often dyslexic

14. Why be an Entrepreneur? • Independence • Creativity • Flexibility • Leave a legacy • Job creation • Wealth

15. How to be an entrepreneur?

16. Just Do It! “A large proportion of our positive activities depend on spontaneous optimism rather than on mathematical [logic] ...our decisions to do something positive, the full consequences of which will be drawn out over many days to come, can only be taken as a result of animal spirits – of a spontaneous urge to action rather than inaction ... if the animal spirits are dimmed and the spontaneous optimism falters, leaving us to depend on nothing but [logic], enterprise will fade and die.” John Maynard Keynes

17. Just Do It! • “Traits of entrepreneurs are closest to juvenile delinquents.” – anonymous • “Progress depends upon unreasonable men.” • GB Shaw • “If I’m in control, I’m probably going to slow.” • Mario Andretti • “If you ain’t makin’ waves, you ain’t kickin’ hard enough.” – anonymous

18. Your Ideas for a “Born Global” Business

19. Assignment – Opportunity Selection • Choose 6-8 “born global” ideas that you think are most promising • List them on a piece of paper • Drop off your list before lunch