Chapter 4
license
a legal agreement granting you rights to use a particular piece of intellectual property
royalty
a payment to a licensor based on the number or value of licensed items sold
pilot test
a preliminary run of a business, sales effort, program, or Web site with the goal of assessing how well the overall approach works and what problems it might have
creativity
a process producing an idea or opportunity that is novel and useful, frequently derived from making connections among distinct ideas or opportunities
entrepreneurial alertness
a special set of observational and thinking skills that help entrepreneurs identify good opportunities; the ability to notice things that have been overlooked, without actually launching a formal search for opportunities, and the motivation to look for opportunities
imitative strategy
an overall strategic approach in which the entrepreneur does more or less what others are already doing
radical innovation strategy
rejecting existing ideas, and presenting a way to do things differently
opportunity recognition
searching and capturing new ideas that lead to business opportunities. This process often involves creative thinking that leads to discovery of new and useful ideas
incremental strategy
taking an idea and offering a way to do something slightly better than it is done presently
feasibility
the extent to which an idea is viable and realistic and the extent to which you are aware of internal (to your business) and external (industry, market, and regulatory environment) forces that could affect your business
conversion rate
the measure of how many visitors to your Web site (or people who click on your online advertisement) actually make a purchase from you
licensee
the person or firm which is obtaining the rights to use a particular piece of intellectual property
licensor
the person or organization which is offering the rights to use a particular piece of intellectual property