8 Entrepreneurship Process tunityOpporRecognitionCreation/Will / Initiative to seizeWill to take RiskBalancing Risk and RewardStrategy to marshall resources
9 Face Dilemmas& Make Decision Entrepreneur RoleEP RoleInject Imagi-nationMotivationCommitmentPassionTenacityIntegrityTeamworkVisionFace Dilemmas& Make Decision
10 Classic Entrepreneurship: The Startup Classic expression of EP is the raw startup company, an innovative idea that develops into a high growth company.Legend of Microsoft, Netscape, Amazone.com, Sun Microsystems, etc.Key Success Factors: Strong leadership, teamwork building, opportunity sensitivity; skill and ingenuity to find and control resources.
11 Entrepreneurship in Post Brontosaurus Capitalism: Beyond Startup IBM (vs Appe Computer, Microsoft)DEC (vs Apple Computer, Compaq Computer)AT&T (vs MCI, McCaw Communications, Inc., Cellular One)Lost 900,000 jobs. Emerge New 4.3 million jobs and $736 billion by venture capital investment.
12 People Don’t Want to Be Managed. They Want to Be Led. Perusahaan Besar cenderung hierarkhis dan birokratis Lambat menyikapi perubahan.Perusahaan Entrepreneurship lebih fleksibel, cepat menyikapi perubahan
13 Company Life Cycle EP EP EP EP EP EP SEED, NEW BUSINESS, MatureOldDecayStartGrowSEED,NEW BUSINESS,DIVERSIFICATION
14 DIVERSIFICATION UMN TISSU HOTEL PENERBIT LAIN2 CETAK PENERBIT TOKO BUKUKOMPASINTI SARI
15 The Wind of Change Social Politic Economy (and Finance) Culture War (Defence)International AffairTechnology
17 KOMPAS DIGITAL TRANSFORMATION KOMPAS.COME-ZINEE-BOOK
18 PARADOX OF ENTREPRENEURSHIP An opportunity with no or very low potential can be an enormously big opportunity. E.g. Steve Jobs and Steve Wozniak (Founder of Apple Computer Corp.) reveal an idea of Desktop PC.To make money you have to first lose money.To create and build wealth one must relinquish wealth.
19 PARADOX OF ENTREPRENEURSHIP To succeed, one first has to experience failure.Entrepreneurship requires considerable thought preparation, and planning, yet is basically an unplannable event.For creativity and innovativeness to prosper, rigor and discipline must accompany the process.
20 PARADOX OF ENTREPRENEURSHIP Entrepreneurship requires a bias toward action and a sense of urgency, but also demands patience and perseverance.The greater the organizatin, orderliness, discipline, and control, the less you will control your ultimate destiny.
21 PARADOX OF ENTREPRENEURSHIP Adhering to management best practice, especially staying close to the customer that created industry leaders in the 1980s, became a seed of self-destruction and loss of leadership to upstart competitors.To realize long-term equity value, you have to forgo the temptations of short-term profitability.
22 Think Big EnoughDon’t set up too small business. Smaller means higher failure.Contoh: Internet Café, Digital Printing di satu tempat sajaThreshold Concept: At least people, with US$2 -3 million revenueThink about growth and equity.
23 One Year Survival Rates By Firm Size Firm Size (Employees)Survival Percentage1 – 24 people53.6 %25 – 49 people68.0 %50 – 99 people69 %100 – 249 people73.2 %
24 Time for New Technologies to Reach 25% of USA Population Household electricity (1873)46 yearsTelephone (1875)35 yearsAutomobile (1885)55 yearsAirplane Travel (1903)54 yearsRadio (1906)22 yearsTelevision (1925)26 yearsVideo Cassette Rec (1952)34 yearsPersonal Computer (1975)15 yearsCelular Phone (1990)13 yearsInternet (1994)7 years
25 Timmons Model of the Entrepreneurial Process COMMUNICATIONOPPORTUNITYRESOURCESBUSINESS PLANEXOGEN FORCESAMBIGUITYFITS & GAPSCREATIVITYLEADERSHIPTEAMCAPITAL MARKETCONTEXTUNCERTAINTYFOUNDERSSUSTAINABILITY : FOR ENVIRONMENT, COMMUNITY AND SOCIETY
26 OPPORTUNITY (Market Segment) Market demand is a key ingredient to measure an opportunity:Is customer payback less than one year?Do market share and growth potential equal 20% annual growth and is it durable?Is the customer reachable?
27 OPPORTUNITY (Market Segment) Market structure and size help define an opportunity:Emerging and/or fragmented?$50 million or more, with a $1 billion potential?Proprietary barriers to entry?
28 OPPORTUNITY (Market Segment) Margin analysis helps differentiate an opportunity from an ideaLow cost provider (40% gross margin)?Low capital requirements vs the competetion?Break even in 1 – 2 year?Value added increase of overall corporate P/E ratio?
29 RESOURCES Bootstrapping Relationship Financial Resources Assets People Minimize and control vs maximize and OwnRelationshipUnleashing CreativityFinancial ResourcesAssetsPeopleYour Business PlanThink cash last
30 TEAM Critical Ingredient for Success An Entrepreneurial LeaderLearn and teach (faster is better)Deal with adversity (resilient)Exhibit integrity, dependability, honestyBuild entrepreneurial culture and organization
31 QUALITY OF THE TEAM Relevance experience and track record Motivation to excelCommitment, determination, and persistenceTolerance of risk, ambiguity and uncertaintyCreativityTeam locus of controlAdaptabilityOpportunity obssesionLeadership and courageCommunication