Entrepreneurship : The identification, evaluation and exploitation of an new

opportunity that creates value, typically with the goal to create a Company.

Company: A business organization which sells a product or service in exchange for

revenue + profit

Startup: A temporary organization designed to search for a repeatable (works over

time) and scalable (can grow) business model

Two Entrepreneurial “mindsets”:

 “Me against the world”
 “It’s all about the surrounding environment”

Locus of control refers to a generalized belief that a person can or cannot control his or
her own destiny
Mindset:
 Deterministic view: if we follow the right path, we will achieve the desired
outcome
 Probabilistic view: if we follow the best practices observed in our environment,
we will increase ourchance of success

Entrepreneur suite:
Goal-Strategy-Execute

The evidence suggests that there is a positive and significant relation between average
firm size and economic development
Firm productivity increases with firm age
Firm formation declines as economic growth increases

‘Effectual’ vs ‘Causal’ reasoning

 Effectual reasoning is a type of human problem solving that takes the
future as fundamentally unpredictable
 Causal reasoning is the idea that any cause leads to a certain
effect

Skills for entrepreneurship

Play • Experimentation • Empathy • Creativity • Reflection

Creativity Definition: The capacity to produce new ideas, insights, inventions,

products or artistic objects, which are considered to be unique, useful, and of value to
others.

Improvisation: The art of spontaneously creating something without preparation.

Categories of ideas
Innovation • Invention • Improvement • Irrelevant
Opportunity
Must have the capacity to generate value
– Economic value – Social value – Environmental value
• Must be new or unique

Opportunity identification
 The finding approach • A concept that assumes that opportunities exist
independent of entrepreneurs and are waiting to be found.
 The building approach • A concept that assumed that opportunities do not exist
independent of entrepreneurs, but are instead a product of the mind.

Design Thinking is a method designers use in ideation and development, that

also has applications elsewhere. The method describes a human-centered,
iterative design process consisting of 5 steps.
Empathize, Define, Ideate, Prototype and Test.

Sesion8