Upload
dayna-webb
View
218
Download
1
Tags:
Embed Size (px)
Citation preview
Technology Ventures: From Idea to EnterpriseChapter 7: Summary
The method of enterprising is to plan with audacity and execute with vigor.
Christian Bovee
How are ventures actually formed and what is the role of the business plan?
Entrepreneurs respond to attractive opportunities by forming new ventures. One particularly important step is the development of a business plan. We also discuss the benefits of joining a cluster of interconnected enterprises.
Summary
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to EnterpriseChapter 7: Table 7.1
Step
1. Identify and screen opportunities. Create a vision and concept statement and build an
initial core entrepreneurial team. Describe the initial ideas about the value proposition and
the business model.
2. Refine the concept, determine feasibility and prepare a mission statement. Research the
business idea and prepare a set of scenarios. Draft the outline of a business plan and an
executive summary.
3. Prepare a complete Business Plan with a financial plan, and the legal organization suitable
for the venture.
4. Determine the amount of financial, physical and human resources required. Prepare a
financial model for the business and determine the necessary resources. Prepare a plan
for acquiring these resources.
5. Secure the necessary resources and capabilities from investors as well as new talent and alliances. Launch the organization
The Five-Step Process for Establishing A New Venture
The Business PlanThe Business Plan
77
Chapter 7: Figure 7.1 – building a new venture
Building A New Business
Opportunity
Vision
Access to Distinctive Capabilities of Resources Competencies the Team Innovation Business Industry or Strategy Context Novelty Talent Structure Processes Profitability
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise
The performance of a new venture is a consequence of factors that encompass the dimensions of a new business.
The new venture story…• Stories play a critical role in the process of the
emergence of a new business. • Story helps to:
– Creates favorable interpretations of the social benefits of the new ventures
– Wealth-creating possibilities enabling resources to flow to the new enterprise
– Attracts financial & human resources,– Build industry acceptance
• A story is a narrative of factual or imagined events – challenges, plan, actions and outcomes.
• Defines an opportunity, a concept, cause and effect, and outcome.
Chapter 7: Table 7.2 - 3 stages of the new venture story
The Business PlanThe Business Plan
77
Stories are an integral part of the process by which founders start and build new ventures, acquire needed resources, and generate new wealth (Lounsbury and Glynn, 2001)
Stages of the Story
Technology Ventures: From Idea to Enterprise
Chapter 7: Exercise
Consider the corporate venture creation process of a firm you know or have worked for. Describe their creation process and their successes and failures. How could they improve the process?
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise
Chapter 7: concept
A business plan is a document that describes the opportunity, product, context, strategy, team, required resources, financial return, and harvest of a business venture.
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise
Chapter 7: Table 7.3
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise
Technology Ventures: From Idea to EnterpriseChapter 7: Table 7.4
Solutions or technologies looking for a problem
Unclear or incomplete business model and value proposition
Incomplete competitor analysis and marketing plan
Inadequate description of the uncertainties and risks
Gaps in capabilities required of the team
Inadequate description of revenue and profit drivers
Limited or no description of the metrics of the business
Lack of focus and a sound mission
Too many top down assumptions like "we will get 1% market share"
Limited confirmation of customer demand or pain
Ten Common Mistakes or Gaps in Business Plans
The Business PlanThe Business Plan
77
Chapter 7: Figure 7.3
The business plan serves as the alignment tool for a new business venture.
Resources Financial Physical Intellectual
Deal Reward, Risks Incentives Ownership Harvest
People The Team Capabilities Attitude Reputation
Opportunity Customers Strategy Business Model
The Business
Plan
Context: Economy, Regulatory, Industry
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise
Chapter 7: Principle
Entrepreneurs can learn and master a process for building a new venture and they communicate their intentions by writing a business plan.
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise
http://www.slideshare.net/esaife/business-model-canvas-101
http://canvanizer.com/how-to-use/business-model-canvas-tutorial
BUSINESS MODEL canvas
http://invcapital.com/pub/BMcanvas/
http://freelanceswitch.com/start/the-business-model-canvas/
Chapter 7: Venture Challenge
VENTURE CHALLENGE1) Create a draft table of contents for your venture’s
business plan.
2) Describe your process necessary for creating a business plan.
3) Write an executive summary for your opportunity.
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise
Chapter 7: DVD Video
DVD Video
“Purpose of a Business Plan”
Tom Byers (Stanford)
The Business PlanThe Business Plan
77
Technology Ventures: From Idea to Enterprise