Entrepreneurship
Entrepreneurship and Business Planning
Prof. dr. Gerd Van Den Eede
3B HW @ KU Leuven
2017 - 2018
Lisanza Faccilongo
,PART 1. DECISION TO BECOME AN ENTREPRENEUR ............................................................................. 3
Chapter 1. Introduction to Entrepreneurship ................................................................................ 3
PART 2. DEVELOPING SUCCESSFUL BUSINESS IDEAS........................................................................... 11
Chapter 2. Recognizing Opportunities and Generating Ideas .................................................... 11
Addendum 1. TRIZ ......................................................................................................................... 17
Chapter 3. Feasibility Analysis ..................................................................................................... 22
Chapter 4. Developing an Effective Business Model ................................................................... 26
Addendum 2. Business Model Canvas .......................................................................................... 32
Addendum 3. Business Model Patterns – Business Model Navigator ........................................ 39
Chapter 5. Industry and Competitor Analysis ............................................................................. 42
Chapter 6. Writing a Business Plan ............................................................................................. 48
PART 3. MOVING FROM AN IDEA TO AN ENTREPRENEURIAL FIRM .................................................... 54
Chapter 7. Preparing the Proper Ethical and Legal Foundation ................................................ 54
Chapter 8. Assessing a New Venture’s Financial Strength and Viability .................................. 60
Chapter 9. Building a New-Venture Team ................................................................................... 65
Chapter 10. Getting Financing or Funding .................................................................................. 69
PART 4. MANAGING AND GROWING AN ENTREPRENEURIAL FIRM.................................................... 74
Chapter 11. Unique Marketing Issues.......................................................................................... 74
Addendum 5. Quality ..................................................................................................................... 80
Book: “Entrepreneurship: Successfully launching new ventures” – Bruce R. Barringer & R. Duane Ireland
Read the summary and review questions in the book after having studied each chapter.
Addendum 4: Labour Law → PDF file (should be studied between Chapter 9 and Chapter 10)
,PART 1. DECISION TO BECOME AN ENTREPRENEUR
Chapter 1. Introduction to Entrepreneurship
Learning objectives:
1. Describe entrepreneurs, corporate entrepreneurship, and the characteristics of entrepreneurial firms.
2. Discuss three main reasons people decide to become entrepreneurs.
3. Identify four main characteristics of successful entrepreneurs.
4. Explain five common myths regarding entrepreneurship.
5. Describe three types of start-up firms.
6. Discuss the changing demographics of entrepreneurs in the United States.
7. Discuss the positive effects of entrepreneurship and entrepreneurial firms on economies and societies.
8. Explain the entrepreneurial process.
Introduction to Entrepreneurship
• Small companies, big companies? … but judged by which criterium? http://beta.fortune.com/global500/list
• Most admired companies? http://fortune.com/worlds-most-admired-companies/
• Most admired brands: http://www.rankingthebrands.com/The-Brand-Rankings.aspx
http://media.pearsoncmg.com/intl/global/ema_ge_david_straman_14/instructor/vids/warby_parker_new_venture.html
4 things that made Warby Parker grow so fast:
• They discovered a real need (demand)
• They managed to make it cheaper than their concurrents on the market
• They have this social go: they provide glasses for people who can’t pay for it
• They are passionate about it
There is tremendous interest in entrepreneurship around the world. The Global Entrepreneurship Monitor
(GEM) is a joint research effort by multiple colleges and business schools which tracks entrepreneurship in 70
countries. While the highest rates of entrepreneurial start-up activities occur in low-income countries, the rates
are also impressive in high-income countries. According to the 2013 GEM study, 12.7% of Americans are
actively engaged in starting a business or are the owner/manager of a business that is less than three years old.
The majority of people in high-income countries are drawn to entrepreneurship to take advantage of attractive
opportunities, while people in low-income countries tend to be drawn to entrepreneurship because of necessity.
The percentage of firms that fail in Europe (33%) and in the USA (50%) shows that a motivation to start and
run a business isn’t enough: it must be coupled with a solid business idea, good financial management and
effective execution to maximize chances for success.
OECD data show pick-up in entrepreneurial activity
In some countries it is going down and in other countries
it is always going up
, • Factor-driven:
developing world
à necessity
• Innovation-driven:
finding opportunities in
the market
• Efficiency-driven:
people want to do things
better, faster, cheaper …
the need is very present
(in contrast to our countries)
Indications of Increased Interest in Entrepreneurship
• Books
– Amazon lists over 36,900 books dealing with entrepreneurship and 89,900 focused on small business
• College Courses
– In 1985, there were about 250 entrepreneurship courses offered across all colleges in the United States
– Today, more than 2,000 colleges and universities in the United States (which is about two-thirds of the
total) offer at least one course in entrepreneurship
What Is Entrepreneurship and Why Is It Important? (1)
• Academic Definition (Stevenson & Jarillo)
– Entrepreneurship is the process by which individuals pursue opportunities without regard to resources
they currently control.
Entrepreneurship and Business Planning
Prof. dr. Gerd Van Den Eede
3B HW @ KU Leuven
2017 - 2018
Lisanza Faccilongo
,PART 1. DECISION TO BECOME AN ENTREPRENEUR ............................................................................. 3
Chapter 1. Introduction to Entrepreneurship ................................................................................ 3
PART 2. DEVELOPING SUCCESSFUL BUSINESS IDEAS........................................................................... 11
Chapter 2. Recognizing Opportunities and Generating Ideas .................................................... 11
Addendum 1. TRIZ ......................................................................................................................... 17
Chapter 3. Feasibility Analysis ..................................................................................................... 22
Chapter 4. Developing an Effective Business Model ................................................................... 26
Addendum 2. Business Model Canvas .......................................................................................... 32
Addendum 3. Business Model Patterns – Business Model Navigator ........................................ 39
Chapter 5. Industry and Competitor Analysis ............................................................................. 42
Chapter 6. Writing a Business Plan ............................................................................................. 48
PART 3. MOVING FROM AN IDEA TO AN ENTREPRENEURIAL FIRM .................................................... 54
Chapter 7. Preparing the Proper Ethical and Legal Foundation ................................................ 54
Chapter 8. Assessing a New Venture’s Financial Strength and Viability .................................. 60
Chapter 9. Building a New-Venture Team ................................................................................... 65
Chapter 10. Getting Financing or Funding .................................................................................. 69
PART 4. MANAGING AND GROWING AN ENTREPRENEURIAL FIRM.................................................... 74
Chapter 11. Unique Marketing Issues.......................................................................................... 74
Addendum 5. Quality ..................................................................................................................... 80
Book: “Entrepreneurship: Successfully launching new ventures” – Bruce R. Barringer & R. Duane Ireland
Read the summary and review questions in the book after having studied each chapter.
Addendum 4: Labour Law → PDF file (should be studied between Chapter 9 and Chapter 10)
,PART 1. DECISION TO BECOME AN ENTREPRENEUR
Chapter 1. Introduction to Entrepreneurship
Learning objectives:
1. Describe entrepreneurs, corporate entrepreneurship, and the characteristics of entrepreneurial firms.
2. Discuss three main reasons people decide to become entrepreneurs.
3. Identify four main characteristics of successful entrepreneurs.
4. Explain five common myths regarding entrepreneurship.
5. Describe three types of start-up firms.
6. Discuss the changing demographics of entrepreneurs in the United States.
7. Discuss the positive effects of entrepreneurship and entrepreneurial firms on economies and societies.
8. Explain the entrepreneurial process.
Introduction to Entrepreneurship
• Small companies, big companies? … but judged by which criterium? http://beta.fortune.com/global500/list
• Most admired companies? http://fortune.com/worlds-most-admired-companies/
• Most admired brands: http://www.rankingthebrands.com/The-Brand-Rankings.aspx
http://media.pearsoncmg.com/intl/global/ema_ge_david_straman_14/instructor/vids/warby_parker_new_venture.html
4 things that made Warby Parker grow so fast:
• They discovered a real need (demand)
• They managed to make it cheaper than their concurrents on the market
• They have this social go: they provide glasses for people who can’t pay for it
• They are passionate about it
There is tremendous interest in entrepreneurship around the world. The Global Entrepreneurship Monitor
(GEM) is a joint research effort by multiple colleges and business schools which tracks entrepreneurship in 70
countries. While the highest rates of entrepreneurial start-up activities occur in low-income countries, the rates
are also impressive in high-income countries. According to the 2013 GEM study, 12.7% of Americans are
actively engaged in starting a business or are the owner/manager of a business that is less than three years old.
The majority of people in high-income countries are drawn to entrepreneurship to take advantage of attractive
opportunities, while people in low-income countries tend to be drawn to entrepreneurship because of necessity.
The percentage of firms that fail in Europe (33%) and in the USA (50%) shows that a motivation to start and
run a business isn’t enough: it must be coupled with a solid business idea, good financial management and
effective execution to maximize chances for success.
OECD data show pick-up in entrepreneurial activity
In some countries it is going down and in other countries
it is always going up
, • Factor-driven:
developing world
à necessity
• Innovation-driven:
finding opportunities in
the market
• Efficiency-driven:
people want to do things
better, faster, cheaper …
the need is very present
(in contrast to our countries)
Indications of Increased Interest in Entrepreneurship
• Books
– Amazon lists over 36,900 books dealing with entrepreneurship and 89,900 focused on small business
• College Courses
– In 1985, there were about 250 entrepreneurship courses offered across all colleges in the United States
– Today, more than 2,000 colleges and universities in the United States (which is about two-thirds of the
total) offer at least one course in entrepreneurship
What Is Entrepreneurship and Why Is It Important? (1)
• Academic Definition (Stevenson & Jarillo)
– Entrepreneurship is the process by which individuals pursue opportunities without regard to resources
they currently control.
