ETR 500 Farewell

This course has taken on a full circle moment for me.  I started out this course thinking that I had the aspiration of an entrepreneur but had a bit of a light bulb moment as far as that was concern.  During the process of the course, I realized that I was focusing on the glamour moments that we are often shown about being an entrepreneur and starting your own business.  The things that attracted me to this line of thinking were 1) you got to be your own boss; 2) the direction of the company was based on your vision and 3) with hard work financial success would follow.  However, my fleeting thoughts never actually allowed me to take an honest look at what is really required to be an entrepreneur until now.

Prior to this course, I was familiar with the fact that a business plan was required but I wasn’t attuned to the all the important reasons as to why.  A business plan is like of map of the new company, essentially it is utilized as a way to find the key components of the organization.  Who are the leaders within the company?  The right team will be able to problem solve quickly, change as required (market), seek support (financial, partnership, etc) and develop talent.  As a working professional these concepts aren’t new.  What most including myself missed the boat on was the innovation?  It isn’t good enough to just have an idea, as Karatz from the Tucker movie indicated “Ideas? Einstein’s in the idea business. He makes up numbers so high only a dog could hear them, but what does it cost him?  A piece of paper, a couple of pencils.”  It isn’t about just generating one (idea), its needs to be disruptive or it has to be something that cannot be easily duplicated or the business will pay the ultimate price loss market share and could eventually be rendered irrelevant. 

Prototyping also isn’t new but doing a road test of the product to prove that a market exists for the venture the entrepreneur is trying to incorporate was an area that I didn’t factor in.  I had the field of dreams approach “if you build it they will come” as oppose to find out if they even want it or need it before you create it.  Another area I was somewhat unfamiliar with was a business model canvas which for me was similar to a marketing story board or a pictorial of the business plan.  I enjoy this course and the way it was presented.  It helped to expand my thought process on who entrepreneurs are and how difficult the process really is which is why only a small percentage of startups survive.  The constant profiling of the Steve Jobs and the Bill Gates of this world is great to aspire to but it should also come with a disclaimer that only a few will ascend to this stature and others will have a more normal outcome.  However, entrepreneurship and innovation spirit about the average Joe/Jane developing their idea into a company whether it is big or small, it’s still one of the greatest thing about business.

Top 20 Innovative Tech Startups – ETR 500 Week 11 Blog

After reviewing the article on the top 20 innovative tech startups, I was a bit startled that there weren’t more if any that could be considered disruptive technology.  I would even say there weren’t any at all.  The list in my opinion didn’t feature much innovation by these startups.  Most of these companies’ ventures seem to display themes of which are building on ones that currently exist within the marketplace.  I wasn’t very impressed by the choices on the list.  Not to say that I would have been able to do better but for companies that got venture capitalist (VC) to invest millions, I was expecting more.  I like the ZocDoc concept of booking your doctor’s appointment online but once again this is not disruptive technology, setting appointments online is not new.  The article did show startups that found a gap or underserve market such as Roundtable.  All blogging sites are one way communication and Roundtable offers the opposite. 

Well, as far as learning how they were able to raise funding, it was a bit baffling. However, I’m reminded that venture capitalist not only like to invest in good ideas but most importantly great people because they are tend to be adaptable. They are able to adjust or evolve their business model to ultimately be profitable which is what VCs are all about.  Not sure what kind of evolution process most of these business models experience went but it would be great to know in helping to determine how they were able to capture funding.  My big take away from this article is that all startups don’t have to the disruption technology ingredient in order to get financial support.

Sloan Management Review Article - ETR 500 Week 10 Blog

Consumers as they say are now “taking the bull by the horns” and are becoming an intricate part of the product innovation process despite what some businesses would like to think.  Consumers are in a position of power and have the final say so as to whether or not a product will be successful.  The field of dreams concept that has dominate the industries for decades of, “build it and they will come” is diminishing. Only few companies such as Apple are still successful using that concept and they too have tweaked it with the consumer in mind.  Consumers are now taking a manufacturer product and augmenting it fit their needs a lot better or upgrading it to a more effective product.   

Technology advancement couple with consumer’s curiosity has seen the evolution of the product innovation process.  The internet and the advancement of science have put the consumer smack in the middle of the invention cycle.  These consumers are creating, prototyping and executing product testing on their own.  Consumers are no longer waiting for the manufacturers to provide them with products that they need or having the OEMs assume what a consumer will need.  The consumer is now taking the lead and entering the market place themselves as entrepreneurs or seeking the manufacturers out with their own product innovations.  Over the last few decades entrepreneurship has seen rapid growth because consumers are successfully developing their own product ideas.  Larger more establish companies are now acquiring smaller entities that evolved through the entrepreneurship process and are saving those large businesses some R&D funding.  Some entrepreneurs are utilizing the process of selling their company or product idea an exit strategy such as what John Osher did with Porter & Gamble and his SpinBrush product idea.  The R&D process is a critical and expensive area for more established companies looking to maintain or grow their market share.  A few of these businesses are now seeking consumer inputs as a part of their market research process and as a way to improve their product design. 

Going forward the future looks very bright for those consumers that have an excellent product idea and for those folks that are in the business of entrepreneurship.  However, all this is based on the thought the all these entities has a product that is marketable and has profitability tied to it.  Not every great idea can be marketed but for those (consumers) who can find the gap(s) within the market place by developing a products such as the SpinBrush then good things are on the horizon.

Leadership Style - ETR 500 Week 8 Blog

The topics of what makes a good leader and what are the most effective styles are topics that has be written on and discussed ad nauseum.   I have taken the Myers-Briggs Type Indicator (MBTI) test several times and it has move from INTF to ENTJ.  I do believe as I have developed more as a leader, I have become more vocal and expressive.  I have worked for various styles of managers and I do prefer one that is not a micro manager, someone that provides their workers with a bit of latitude in getting the job done.  An individual that provide their team with the skill sets to achieve success.

I find that I my decisions are based on the facts and insights from my team members.  When it comes to making the tough choices, I want as much information as I can process in deriving an answer. Which is why, I prefer to provide my team with necessities they required to execute their daily dues.  I do believe that you should you should surround yourself with talented people and step out of the way in order for progress to be made.

Based on the chapter 12 four categories of leadership styles, I display more of a delegating technique.  I prefer to foster the talents of my team in achieving a deliverable.  However, this does not mean that I do not also incorporate the other styles depending on what is required in meeting the goal at hand.  In the text, it indicates that the best leaders are those that are able to utilize all four categories effectively and as required.  I do agree with that assessment and although, I do believe I am a work in progress as which is why I am seeking my MBA.  I do imply each of those styles (supporting, coaching, delegating and directing); however, I think that finding the balance is my challenge going forward.

Product Innovation Challenges - ETR 500 Week 6 Blog

Production innovation will always come with its own set of challenges whether they are internal or external to the company it almost a rite of passage.  This article explains the leading cause of most product innovation not living up to their expectations is due to “lack of product differentiation and poor market analysis.”  Furthermore, the driving force to those causes were that most of those organizations resources were spread thin with too many development projects in process on at the same time.  Well, it isn’t too surprising that management seem to be driving the focus on too many things at once or even detracting the required resources from the products and areas that could be of some real benefit to their companies.  These echoes seem to get louder and louder which is why a few companies tends to loss some of its market share to others because either the competition has caught up or they have taken the next step forward.

Whether more product innovation tends to fail more often than they succeed, it is the path to success.  The reason as to why products such as the IPod/ITunes work is simply due to the fact that leaders like Steve Jobs celebrate failures on the path to success.  Failures are used as stepping stones in achieving their ultimate goal(s).  Apple went after the music industry which at the time saw its profit margin diminishing with each illegal download.  Apple stepped in with the IPod/ITunes package and offered ITunes as the intermediary solution to music piracy.  

Outbound vs Inbound - ETR 500 Week 5 Blog

Inbounding is considered the new way of marketing.  In today’s culture most businesses are moving to if not already utilizes the Inbounding marketing strategy as a way to respond to customer evolving purchasing habits.  The key for inbounding is that it relies on customers seeking them out through marketing mediums such as blogging, search engines, YouTube, Facebook, etc.  For an entrepreneur this is the most cost effective way in which to reach out to their customer base and even grow the business.

Outbound is the opposite of Inbounding.  It is the known as the traditional or the old way of marketing, "buy, beg, or bug their way in".   This was often done through the process of paying for advertising, flyers, telemarketing/cold calling, etc. This was the equivalent of casting a wide net with the hopes of reaching all consumers.  This is in contrast to the inbounding which identifies a target audience in trying to capture market share.

I think it would be very difficult in today’s way of business execution to survive by not incorporating the inbound along with outbound marketing.  Larger companies such as the Wal-Mart can pursue both avenues but it is a bit more difficult for the mom and pop businesses.  They may need to focus their efforts on the inbound marketing because it is more financially beneficial.

Apple’s iPod/iTunes Business Model - ETR 500 Week 4

The IPod/ITunes business model isn’t new but what Apple has tapped into is a market that needed an overhaul.  Apple also isn’t the first company to sell you one product by lowering fees and then try to entice the customer into acquiring additional but more expensive product.  It’s a blueprint that has been implemented within many different markets.  The thing that Apple did with both the IPod and ITunes was appeal to both producers (music industry) as well as the customer base while reaping some huge financial benefits. 

The Apple concept of offering the ITunes software for free to subscribers and owners of the IPod allowed them the ability to create a one stop shop store for music and Apple product upgrade.  By partnering with an industry that was seeing its profit margin decline at alarming rate as a result of other websites ability to download their music for free, Apple saw ITunes as the prefect intermediary to the music industry and growing its IPod product line.  The decision to charge a nominal fee to customers wanting to download a variety of hand-picked music as oppose to buying an entire CD was the bases for the music industry to stop their financial bleeding.  Apple was not only able to integrate the ITunes with their growing selection of IPod models but it was also able to include other products such the IPhone.   ITunes started as a music store and has increased offerings of movies, videos, television episodes, games and apps which are only compatible with certain Apple products.