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what went WAONG? What Seenay Has Learned the Hard Way ovmservay.com The Syeay HT a wosnhee, tang ran pertain deve tet const pamanily of st oft harbors on op of wo ds wheel Tere ae no ‘his ovale mecha wodings. Rulers ea For. ward t move foward and tad fo move Backer Turning i de mechanical va hand cortrle The eves rein by eet, norgaluing eee meter: fn can tol to 10 mle pr how The nae “Segway HT stan for “Seq aman Mansoor” “he Seguay was invoiced to the makeplce December 2001 by Daan Kanan the errs wh Invented the prod. Thee war considera secrecy and ype leading tothe todicton Thea a tin othe dence was ents, Ventre capa John Door predicted bat ae ofthe Segway would ‘each $1 billn scone han anyother produc in US aslo. Aes CEO Stove eb fect tat es woud ‘bebottaound ths ne form of anspor, Ta cope th the expected demand fr te prod, Segoray’s factory in Bears, New Hampsre, was designed 0 bul to 49.000 unts per month ysl wee targeted at betwee 10,000 and 50,00 uns daring ‘he fe 12 mont, But after 21 mths, ony 6.000, Uns had so What want wrong? ‘A tuned out, sera hg went wong hen t came to saing the Segway Fe, he itl pie of he roc ws 9.00, whch put out fred or many, amaumer Seed, deste fe tecagilprome t ast cer what eed he Segway afl, was est suited fr densely populated ares whee people coud ‘ie th Segnays wor, Bt te tales a Sen Frenosco aha Manratan, mst ariuet people Ine sburban as making ring aS to work reac: ‘i natn, kw ance dng a Seay wa, shoo shop wou wrk ter both ands pate Segoe So, hw woul nese, cay a befease or 2 student cary books? Fray, Seaways sold on Amzoncom and hough other ect carnal Toe a a fe Seqway dees catered ‘220s he Usted Sites but not many. Ae ea ey en people can ste or wt a Seo The ak 2 oc deler network abi made pele wonder where ‘hey would ge the Seaways sec ifthe ha weble ‘eau sil buns, ut he copay onl & ‘oso of wht thopad a bam pr he cme dwn to aroun $5,00, and hrs ae no over 200 Sony eles. Ther soup of Sogwayenthusass that low the roduc, and Sagways se used in some fectoves, outst areas, and thera parks, The United States Postal Seve, 8 large potental market fer Segway tested the dee or se by lcs ho sil deer al by foot. The posal sre ebondoned ‘he den afte al aris cmplaned hat they cout ser lord an untvela hse opting a Seg, ‘Questions for critical Thinking < 1. As we've sain thi chapter, exestion intligence ictal to enrepencual sucess How dim atonal sort for Seay? What esos, oar ‘than thse aren) mene et poor ale of the Segway? 2. Wy do you think wat ean Kamen a i tao rt do abeter bof arcing he probes ‘hat bese the Seu? What woul ou hve ine ferry to acne, anc, hep NeSteaton tothe Sequay? 3 Diss Segway vie proposition Di eau live sult vate ot $8,000 eke — 4 Doyow think the Segway wi evr all me svean masts? What ice markets ty do you tink are th most arming fe Seqwayt ii dicobbatoniel Some: gn hw ay vn a 20: Wp "Seety Heady NG indecent {wasn about mating money. was never shot going bli want hot cen of wealth The west a tepals ghey compar. 1 suppose fT was «eat mts at maybe T ld sy the guia wes spat per maybe | mol goo oa, at ant a the gui andy gl une poy Ror So what hin ent Seder canis, wht youd ido wha you Jet Ad tht smuje wit Ido esti Sr nd operteinformaionehocng ita CQuerent 9 WiRoDUCKONTORMTEMNELRSHE 4B BE Uinsscin (ena eitcuiore) a Working Together: How Biotech Firms and Large Drug ‘Companies Bring Pharmaceutical Products to Market by ‘feet roles bsines and scely and can aten oan or soing ta pert otected ccovares protien the best results by parnrng with each hala compares by parang with Ue rs aera tha acta edveeres The phamacay’ _tevenuessanng wey The hpe sce conpenos ake ‘ea dusty an excelet enzo how his works, tony by aang a eects cancers, ‘is weitknown tat bares to ety ine phame” "The most competing partnersap argement ee aucal cy ehh The average nw prot kes tho tat hp enteral foca oe what fey [nteeen 10 and 16 years fom cgrowy te carsmarcsl do bes wnch le tyes Prenat a te ale sie. The process of aiscoverng, etna, staning then ap nto the parts com play songs feproval manufacturing, ed maratrg new ug ie andissou, lengand expensive. How than, co boleh sreaperihe Te Te ase tha fo cach ay ak te [= firs and smalr enbepreveural fms play Bote fms earn money trough is arangement Pouce mara He's how were oy Bosh rms soscalze in dcorsing and patenting QUeStions for Critical Thinking te rugs we theyre good st. nmost cases, Pew”, In your opin at ator fe business emacs haga 36 Woah een themselves in this ight, believing they are more “ales” than others ° Alertness fs langety a learned sl and people who have mare knowhsige ofan ares tend to bemore set to opportunies that sres than others. A computer engineer, for exemple, wou be more alert to needs ane opportnities Wathin the computer industry than a lawyer would be "The research findings on enveprencurial alertness are mixed. Some researchers conslude that alrtnss goes beyond noticing tangs and anolees 8 Inore purocul effort’! Far cxapl, one scholar bebeves hat the crucial ier te belween opportunity ders (ea entrepreneur} and nonnders i thet rele tie esonesment ofthe maestpace ln other rds, eneprenears may be bel tan others a sing up the marketplace and inferang the ely mpleaions. Mia What Went WRONG? Sounds ke ood ie. Yee replacing your ato Somer wit naw an, bounce apt ‘roan shoud be worth samathing, Yeu eto Eoin aay bu dont wart haste wih ath up fs). sr etapa ing oe ston, Theatre toate the laptop to 29 {Bay dopo eam uric lal yur apo tx you. (cr ebay’ You'l then ptm choo eas @ commission {akan bythe store, inthe mi 2000 a mamber ot eBay dopo stad to do ust is, Nopesstnt 20, by 2208 there ware thous of nsepandent and rnchise [ay Drop-OF Stores sees amare, today. nya Fendt aman What wet wang? “Sp ny eof tree ase pean Ly two sanction ganzstene Sat ard GuEKDIO. ‘tong the tea mace sara to many—thoe were 2,000 crop sores by mc 2005~ahepis cha toned ra easy or thabegimang Tre he ofthe ‘hop-ofsre dea at oa ervey ee ete {fing tha lose or garage thy Sooo on a. So tho mmaata most urine, Bit the seeps ‘rerdeeed how auch "quay mereharise wou {SSLS5) cure in ow ha to rage an auton {or $600 laptop and anath to manage oe fr = ‘obassbal eat Win cominsens he 40 peso ‘ange fat what he stores were gata, wat wos now aly fo come twas say To even come {he the sepoe matin, tng to ames, Smoot gong to eu 0 part fy 8600 pty Comput 6240, mage he sucon yea" wre {he samo prcon ma lay ve wn 40 pace ofa ‘S20 basval cond boosts te tata amour of anes ‘vowel fot fst much We pe of tne ws pee he dos af tae woud be stick sang 4 figs arcu often teet ore rtor han Mahe Produc Aner ting tne sepsis qustoned was ‘Cole the sate sors oune’s be Sepa maraging futons Yor lomo rings, bese card, Do, ‘amor, computes, daoartve plats, ae photos, Ghd course cer binge? One oft pias a ‘Shop storoe made was tat they wou ep ther ‘Sens koow wtf pea was forth Rem ey Frat a "Regret, ny of he skepics' woes ea tru. Literals hanes of say dopo stor ate ‘ove The ma comely tho Sere aero fave calf qu thar prof meine re ‘te enact! a oa Tey spy deal wh oo ‘nary "one-tne sala and one ofa tnd ter 2 ‘Sov a caaance of rapt! business an eet preemie. Thy deo ou a th cost of presi ‘Stam was ho came wheter ewes 8 $80 doce ‘eBay Drop-Off Stores: How Feasible Were They? ato or $15;00boatraccsig each te hc {ang to.0 customer fesouching spew, taing 2 ‘ot, wring a deseo, post he ter on oy, {otewing th actin sien the rouse bet ‘etng py ney na pay tw osteo Irach money woud bat ove fers 40 pereot con reson na $30 decorate pt tal a “Thee are now many degraniog former eBay crop store amare The is! caps lay ard Soming casts fora rachise eo Sole ae ‘betwen $0,000 end $160,000, One fore oumer ‘Stan Suki ranch, Koren Mein 0 mee at She snd har pan aintan «Vs se, Asa On) (Ora? wwatamitneaiyone. or) o provide udates Show say cop-of store probes: Wit feat {0 anty te oman onthe te doos wusato how high ematiane te ening regarding tha oB2y ‘lop-of store concept GulckOrop, ona of the Panos of te eBay drop-ft store Indust, closed hop meaty 2003 an stopped ling Fanci are Sporting etn neh tate lot There sto st Bay crop of tres in ssietonen, a uaa by thai moo ee ete rumors are smal corre to erga! projortns. [one tine iol haa estions to open 3,000 ‘Sores inthe Usted States and ve overseas, Al ‘dome stoves ted ons WED Sto {Questions for Critical Thinking 1. How mary owas of ay crop af tres do you th santa easy sate hy pared ar res? you nk tember fom, 2, Boson tenon atone sy opt ‘Soon ea ida a a at seas et foal weig an eer om 2. Und you ink pale Dough int sy cop se oven en oft our ape fe sategon? 4 at on asta yp aan fron te ecarancs ot Ihe eday dopo store eth about De par tate of sab ares? pehceaenspemmeen eee ene: Ceara a ieee are eerie! senna mace ees Seamer ras Shots CL) faa Company: InstyMeds ob: wn insiymeds.com ‘ttar InstyNeds Facebook InstyMede Business loa: Provide pation ascot to prosersten -modeatons instant after oye prscrond bye dootr Flafespal amorgencyfeom or at an ugert cae cer ‘The prcuptons ae ceperced va wenang machine ‘Pats preont nt oly. Pitch: There aro many ral ares without 24-hour Darmscee Te make kent for peep who vl an [Sregeney com oan uence cori It tig or fnameskan to ql it rsaptons.Typesy ot ‘hare, wo want to have one seca "0 red ‘stone hata dotnet il make felt re cases, dcirs wi go patie asartorquanty of ‘modest, they snow pat wl ol Baa {ettoa panna soon St tow a in prose ve {is soon Fe cosy rte cocks op Nowa. ‘Second ality seearo hat the peter wk the ‘tartar medina, tat fang ete and neve hae the preoorption ed Te aves pas who Sted cat vith trois, fr eae, susp to pneenis ‘hy rs a eget ttn a IratyMeds provides soiton 10 these problems. The {onary his Galop vena teen oer ‘on args, tobe loeatod in hospi and gent cate Canons Heres how f wort, I Sowve pat rece froecrton Fem «doctor at an aranoy room eh Uigort ca canter that rasan istics machina Your esr wil to accompanied by an ns eds vata frae. You approach the mated machine (whch ‘eeamisoe an AM) ont eter the code Th ns ‘Prompts than od you tough he recess. you have SOE iy Pa oar CHAPTERS 9 PEASY AMALSS 125 reraco, ayes wacker your srance eran tl deere the cory fer yous presen. Yeu ‘Drath surance, hayes! aetie sows Yo ay wtheasn or crit ca Felony pajent yourgres Eroten wl tan oe aspenaca tog doer wore or ‘tpensiptone fe thowe tal on to be rangers bok ‘oss include the 100 so mst common meseatons rosea by emery een sd agent ae pc, Fie partes qucctra, sachs mane as Phone tet cy conrei the pn a thle a ater vere lensed aac ar on ky ‘he, stro of nt Meds operations cece 8 “wh ww auton rbot ates aed his ri part ro facie Te tacos whee the machines re preset urea reome hy poco. Heep as ea ctr havea tha pales woe Seen he ml of he ax. wth a phase Nowy, Sa he etyeds mactinota evo the wa ne oe normaly experiences at a pharnacy. The styles rractire fe comected (the Wire, wi FatyMadsheadqurers cain mediators need to So rplonishs of thew oe ary meses present tne tobe repnced du to narg expeaion Sate. QA Bs cn th mtr cove inthis hap, what ‘uosons would jou sok the is eandrs ble our hnding cen? Wed rowers wel ste you? Dcison: it you nat to make your cei an just he Iormatonprodod nse pth and on the corears Web ate, wou you tund tha company? Wy er why not? Company: CADI Scientific—SmartSense Webs wnn.cad.com.s9 Facebook: CADI Selene Business Kea: Prectce andl th et wclss patent ‘montoring sytem, ehendng pator’ a eomaousy rescuing ‘tal medica ‘ata ard anemiing te Fron o heath practtones. Pitch: Monitoring a sick patant can bo 2 deeate Blrcing act. though they need itrupte soap {oid ther recovery, Maen St mat sla tau heck ana such 8 ampere ane toad Sectalons. Four empress carts hve came up wt 9s ‘ona wiloss gadget cad SrariSego, wich foe borg used Peeps Srgapee, Sango, Tape, fltha lle Eas. The 12h we SmatSane ts impossible fr frm to iden alts direct andl mdirect competion, let alone tts future competitors. However identifying is top § to 10 direct ‘competitors and its top 6 to 10 meet and future compere makes easier fer the Bem to complete ts competitive analyse grt Iva firm does not have a direct compelitor it shold forget thatthe status quo can be the toughest competitor af all In general, people ae resistant to ange and ean always keep thelr money father than spend i" A product service's utliy must rise above ts cost, not only sn monary tems bt leo In Terms of the hassles sesoctated with switching or learning something new, (2 motiate someone to buy a new product or service Creating meaningful value and sharp differentiation from competitors are factions small rms in crowded industries can fake to remain competitive and {gun market chare. Three frm that fave sccesfl acconpliaied thi are pro fled inthe Saryy Entrepreneurial Fem entre J NAPS Ava UAE SL 91 ‘Thriving in a Crowded Industry by Creating Meaningful Value and Differentiation from Competitors Homettade Pizza Company: Wot win homeradepza com Tt HomeltadePeziC> ‘Hot iam: ics wy: shopmame.com: Rll: Hot Maa; Facebook Hot Mam < Habu: Wet: wv om; Tita Hl Dave Facebook Jib 75 do wel a crowded indy whan te cone ext (1) they create mearingel tlie for ‘ustorers at 8 Ta ioe and (2) tay ately Aiteentate temashee orm compas, fac ‘arnizng the impact f trae of Portes five forces essay on tose actors. Aim abe to withstand tray sang exsig fee ana abe te dr sub {ues and new omttants by createg value for te "users aed erg something tat pele ca get jane le, "me folowing 2 exarpies of thee basnscas thet fae creating unique valve thaw ingustag and aa Gffrentated Pemsoives tro tok eompattors Each ot these compari a HomeMade Picea Company 1907 when fe Fosse tls hi tamil and frends in"chicago, they probably thought he was eazy oicusy, haw many pizza delivery sonices do You ‘hk aleady onto in Cheaga? Yt Fosse ha Row Issa, He paras woutd be mad to srr snc davered, Ft ia tho ofr, butathe than deveing the pees fot and reasyto-at, Ne lzzaa would be Severed Uncooked and unboxed. Customs would sid the ‘za which came heatable parchment paper, lo thal ovens at 425 degroes and in 10 to 15 minutes havea tech pra. Th scvartage the ptza wel be fled wan woah lngediets and woud be piping hot trom the oven “ound ump twain. Fos cnet chore, he than Glsng plz os row way, Rest Pate frisang a cough esos ra waarolecuk storms oh tae tet, Te got he tees ecers ponnble, he mary work ith ina! farms to au prose, ‘ong wh pez, Hemahado Pezs Company ko makes ‘re doors sia saa and cocoa, Ne prods ‘eprom pred A ago vepie za wih mutate fep rev otor, ad 2 we of ponte papper a eh utero coe upward S100. omeMace Pizza hs corppary-owned tors and ‘ranch lations in oar noosa, Minne, .G igi, and New Yoriiew darcy. apart 10 be profane and gown, eens clog? Ad tak ‘Doct The compettanase of indy cent ote Hot Mama founde/0€0 Megan Teme. in November 200s, Tre and harhusban keegan the rt Hot ‘Mama doting boutaue ea, eal, tut of Mimeapol Sic then ho company has expands ot Mara cpened sinew stares in 2010, bingy the (coming 192 _pl@r2 m DRVELOPNa suOCSSFUL AUONESS IDEAS total to 17 locations in saven stees. Tha company Plamnod to ostabteh et lost 18 aon stows 2011 na 2012 ‘Wats decent about Hot Mama th aye of be soe and the prosuct selection, ts a store Hats ‘Seagnos special or meter 9 hop thera ‘hidron in tow Each icalon enetains Ids wih ‘movies, tos, video games, and olng books, al {onal loeaed 80 mothers can Kap an eye on a i, Every aise is wide ough 0 accommodate & ‘worse sale, sd the fare are mde so oles Gor ot ck Sen evar le a ayaa, ‘The gels to lve moms sal snout of akong aan the mit fa hace dy ot srappar ty [ithe alove mora than en Hour Glen employee a Specialy tamed to hee mother tnd dotoe tat ‘ser ey a eroprart have isthad a baby, of have ‘ier chiro I egard to ealco, the tora eatre product fom mor an 200 bande ot Manas reve is exact i top $20 milo a ott anda company plas have 0 locators by 204 Haber, eater ough eck mens si, Food 2007, “bur repress BDc00 sits 2010 out & ver ude nd sgn acres “bu was stated by Veer Fath ar Hi Os, ‘wo men who saw shopping ae a chore The campy ‘ploy a dec eles ade sini 9 aie Perpeed (Gat The companys 650 part eae ede aes fsa cammosere of up'625 pcan one cating ay S91 Most so saveer ere wonen of schookaped chien eoing frente neem. Ones a ait rere, Iesentto a acer near Mocos, Chine wrote ae ‘rman fete ands ready into vee weeks Sits ‘oa btyaon 9 and Ste, Wha hat may sau ee toh oc than hal th poo of comparable nits Fiend tors, "Accor to J. bur, som $0,000 people have boot clothing oF accesses from tho company. and 89 pert of ts customs reo Sina be come as founded sales have pled each you ana topped SBrnibonin 201 ‘Questions for Critical Thinking Samearas nth fst? How ao tous ses nape companies vein cane congas 2 Inwhat ways ar ech copay’ oar redeting fhecmoneeaxpanence ner nauses? 2 Gta tae companies ented, wich ane ou ‘nn has tho most peter rama comet? tric cerry o ou tink he mae vores o Ireeased eompation rom carpets? Exc yout 4 Froan stare of nother company that ‘shah ampere, le company {ndlecem wnt ste apart carpe Sac Sheet oe es Caran howe Steermmasp hens Mir 3 Oy Senha ‘Sheer nen eater geen oe Foto, iaronn con monn? sare ‘Snel poe uh 3 20% plenty Senta nn et 1S Bony Sources of Competitive Intelligence ‘To complete a meaningful competitive analyse gid, a frm must frst under. veamanc onsenvE 8. tbe ‘ant compa e stand ‘he strategies and behaviors of ts competitors, The information that {zaherad by afirm to learn about its competitors is referred to as competitive {ntelligenee, Obiaining sound competitive inteligence is not aways 4 simple ask, Ifa competitor Is a publicly traded firm, a description of the firms se and its financial information ts available through snmusl reports fled with the Securities and Rxchange Commission (SEC). These reports are public records and are avaiiale at the SECs Web site (wsr.secgen). IF Gone rmore of the compettiors i a private company, the task fe more dificult faven that private companies are not required to divalgetoformation to the ppublie There area number of ways that rm ean ethtally aan informa lion a2out its competitors. A sample of the most common techniques ‘shown in Table 8 hee www.capiralandjohnskitchen.com ohn and Cari Ponce two of Prien, Crepe’, ‘est cooks and bust ertrepronu Tho two un & roving ruber of vertros the Fortand area, ‘Gounod moune fe food Acesnthsoepect of ee Slory Is the fle thatthe SBA Cuerartocs Loan Progra ras playeain ta acces, Te Pancos have tad te SBA oan payor tes and hs boen Inetumrsannapng the bub ho busrosees
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