entrepreneurship
due diligence
The difference between risk and calculated risk is; conducting the necessary research and investigation to make informed decisions that minimize risk.
infrastructure
all resources the entrepreneur will need in order to launch and sustain a business venture
entrepreneurial mindset
an awareness and focus on identifying an opportunity through solving a problem, and a willingness to move forward to advance that idea.
lifestyle venture
business in which the founders' primary focus is the lifestyle they will attain through becoming entrepreneurs, rather than a primary interest in financial rewards through the selling of the business.
divergent thinking
by generating as many ideas as possible, even when those ideas do not seem logical.
benchmarking
comparing one's own company's performance with an industry average, a leader within the industry, or a market segment
business ethics
conduct by which companies and their agents abide by the law and respect the rights of their stakeholders, particularly their customers, clients, employees, and the surrounding community and environment
A career entrepreneur
daily management as the owner of the venture, accepting, and perhaps enjoying, the daily risks and rewards of managing and building the venture
entrepreneurial spirit
describes a quality of those individuals who are productive self-starters focused on making changes happen
competitive advantage
describes your venture's unique benefits that poise it for growth
opportunity-identifying perspective
determining how the problem could be translated into an opportunity to create a new venture
corporate entrepreneurship
development of new ideas, opportunities, or ventures through formal research and development processes that focused on the corporation's strategy and goals
creativity
development of original ideas
e-commerce
e-commerce electronic transactions, particularly over the Internet, for the exchange of goods and services
minimum viable product (MVP)
early version or prototype of a product that may not be polished or complete but that functions well enough that you can begin to market it or test it with potential users
intrapreneur
employee who acts as an entrepreneur within an organization, rather than going solo
serial entrepreneur
entrepreneur who becomes involved in starting multiple entrepreneurial ventures
social entrepreneurship
entrepreneurial ventures focused on identifying a societal problem and creating a product or process to solve that problem
environmental entrepreneurship
entrepreneurial ventures focused on identifying an environmental problem and creating a product or process to solve that problem
franchising
form of licensing that allows the business (franchisor) to share its business model to expand through various distributors (franchisees) for a fee
mission statement
formal declaration about what the venture will do, what value it will provide to the end customer, and how it will accomplish this action.
lateral thinking
free and open thinking in which established patterns of logical thought are purposefully ignored or even challenged
bootstrapping
funding strategy that seeks to optimize use of personal funds and other creative strategies (such as bartering) to minimize cash outflows
brainstorming
generation of ideas in an environment free of judgment or dissension with the goal of creating solutions
copyright
grants the creator of a work the exclusive right to reproduce the work, typically for a specified period of time
empathy
human ability to feel what other humans are feeling, which in the context of creativity, innovation, and invention is essential to beginning a process of human-centric design
fairness
impartial, unbiased compliance with rules and standards of what is right, just, and equitable
anchoring strategies
in the ethical context, the process of making ethics a foundation (anchor) of your business so that decision makers act keeping in mind key ethical considerations
diversity
inclusion of many types of employees, regardless of differences (race, religion, gender, disability, LGTBQ, socioeconomic, cultural)
incremental innovation
innovation that modifies an existing product or service
entrepreneurial venture
is the creation of any business, organization, project, or operation of interest that includes a level of risk in acting on an opportunity that has not previously been established.
patent
legal grant of protection for an inventor over the rights, usage, and commercialization of an invention for a set time period
intellectual property
legally protected result of creative work to turn a unique idea into a product or service
breakeven point
level of operations that results in exactly enough revenue to cover costs
linear thinking
logical, step-by-step process
financial viability
long-term financial sustainability of an organization to fulfill its mission
cash management
management of cash inflows and outflows to support cash needs of the venture
gig economy
market system in which independent contractors fill a variety of positions
design thinking
method to focus the design and development decisions of a product on the needs of the customer, typically involving an empathy-driven process to define complex problems and create solutions that address those problems
cash flow
money collected by the business through revenue and funding versus money disbursed by the business through expenses
diffusion chasm
most critical point of adoption, which often occurs at the end of the early adoption phase, before the early majority steps in and truly confirms (or not) the diffusion of an invention
scientific method
most often associated with the natural sciences, outlines the process to discover an answer to a question or a problem
demand
need or desire for the outputs, the product or services
innovation
new idea, process, or product, or a change to an existing product or process
pioneering innovation
one based on a new technology, a new advancement in the field, and/or an advancement in a related field that leads to the development of a new product
situational opportunity
one that becomes available, depending on factors such as where you work, your family obligations, your idea or invention, your unique creative expression, or a recent career search or job change
action plan
organized, step-by-step outline or guide that pulls together the ideas, thoughts, and key steps necessary to help set the stage for entrepreneurial success
customers
people the business will be serving, including potential customers from one or more market segments
vision statement
picture you have for what the venture will become in the future: what it will grow into.
business model
plan for how venture will be funded; how the venture creates value for its stakeholders, including customers; how the venture's offerings are made and distributed to the end users; and the how income will be generated through this process
entrepreneurial opportunity
point at which identifiable consumer demand meets the feasibility of satisfying the requested product or service and meets the following conditions: significant market demand, significant market structure and size, significant margins, and resources to support the venture's success
harvest
point at which the venture is sold, at which time the investors receive a return on their investment
corporate social responsibility (CSR)
practice in which a business views itself within a broader context, as a member of society with certain implicit social obligations and responsibility for its own effects on environmental and social well-being
sustainability
practice of preserving resources and operating in a way that is ecologically responsible in the long term
four steps of the creative thinking process
preparation, incubation, illumination, and verification
antitrust laws
prevent companies from abusing position or power in the market through exclusion or limitation of competitor access to the market
pain point
problem that people have with a product or service that might be addressed by creating a modified version that solves the problem
iterative development
process in which inventors and innovators continuously engage with potential customers in order to develop their products and their consumer bases at the same time
disruptive innovation
process that significantly impacts the market by making a product or service more affordable and/or accessible often by smaller companies in an industry
opportunity screening
process used to evaluate innovative product ideas, strategies, and marketing trends, focusing on financial resources, skills of the entrepreneurial team, and competition
trade secret
proprietary information, processes, or other internal knowledge that contribute to an organization's competitive edge in a market
design patent
protects product design
utility patent
protects product ideas
ideation
purposeful process of opening up one's mind to new trains of thought that branch out in many directions from a stated purpose or problem
trademark
registration that provides the owner the ability to use a name, symbol, jingle, or character in conjunction with a specific product or service, and prevents others from using those same symbols to sell their products
open innovation
searching for and finding solutions outside of the organizational structure
entrepreneurial process
set of decisions or actions that can be outlined and followed as a guide to developing or adjusting a venture
disclosure
sharing the needed facts and details about a subject in a transparent and truthful way
milestone
significant decision point or significant accomplishment
social entrepreneur
solving a social, environmental, or economic problem.
target market
specific group of consumers for which a company seeks to provide a good or service
SMART goals
specific, measurable, achievable, realistic, and timely
ethics
standards of behavior to which we hold ourselves in our personal and professional lives
venture
startup company or organization that conducts business or is created to satisfy a need
demographics
statistical factors of a population or group, such as information about age, gender, income, race, or ethnicity
vertical integration
strategy of gaining control over suppliers of raw materials and distributors of finished products to expand or control the relevant supply chain
framework
structure or outlined process that can be used to accomplish entrepreneurial goals through problem solving, idea generation and validation, and brainstorming
value proposition
summary statement that conveys the benefits your product, service, or unique business process/model provides to customers.
capitalism
system in which individuals, people, and companies have the freedom to make decisions and own property as well as benefit from their own efforts, with government playing a secondary role in oversight
disruptive technology
technologies that, once introduced, displace established patterns, processes, and systems previously accepted as normal or accepted
creative destruction
theory developed by Joseph Schumpeter stating that entrepreneurial innovation is the disruptive force that creates and sustains economic growth, though in the process, it destroys established companies and disrupts employment
quantifiable manner
there needs to be some method to determine if the goal has been met or not.
invention
truly novel product, service, or process that, though based on ideas and products that have come before, represents a leap, a creation truly novel and different
truthfulness
underlying facts, reality, and evidence on a matter
prejudice
way of thinking about or treating employees in a manner that favors or hinders one person or group over another, usually in a way considered to be unfair
user interface
what the user sees and interacts with
entrepreneurial vision
what you want your venture to become, what this venture will look like, what the driving forces are, and what values and culture should surround it.
conflict of interest
when an individual or organization has interests in multiple areas that come into conflict with each other
entrepreneurial journey
your exploration to discover if entrepreneurship is right for you
Market makers
Innovate or reinvent their market from a future perspective by asking what the market could evolve into
independent contractor
(also, freelancer) people or businesses that provide work similar to an employee without being part of the payroll for the contracting business, and who pay their own taxes and pay for their own benefits
soft launch
(also, soft open) launching a venture for a limited time frame or audience to gain experience, insights, and feedback about the target market or consumer
Innovators
Find new approaches, methods, or products that add value through solving a problem in a unique manner
Creators
Make something new or see a problem that other people have not noticed
Expanders and scalers
Seek out opportunities to expand upon previously created methods, processes, or products
offering
actual product or service, its value proposition, and how you will reach and communicate with your target customers
integrity
adherence to a code of moral values implying trustworthiness and incorruptibility because there is unity between what we say and what we do