Patterns of Entrepreneurship Management, 6ed (An Indian Adaptation)

Description

Patterns of Entrepreneurship Management, 6th Edition, is the essential roadmap for anyone interested in starting a new venture whether for-profit or social enterprise. Using its innovative “roadmap” approach, this practical guide enables students and aspiring entrepreneurs to design, execute, and maintain their business plan—covering every essential step of the entrepreneurial process, from turning an idea into a business model to securing funding and managing resources.

About the Author

Jack M. Kaplan is an adjunct professor of entrepreneurial studies at Columbia Business School. During his career, Kaplan started and managed three successful companies, concentrating on smart card technology, health-care information systems, and loyalty marketing programs. He was president of Datamark Technologies, Inc., an entrepreneurial business venture engaged in electronic gift card and loyalty marketing programs.

Jack McGourty is Director of Community and Global Entrepreneurship at the Columbia Business School and a faculty member teaching courses in entrepreneurship, venture creation, and product innovation. Before joining the Columbia Business School, Jack was Vice Dean for Columbia’s Engineering School. For over 20 years, he has been an active member of the University’s entrepreneurial community, establishing an undergraduate minor in entrepreneurship, teaching core and advanced courses in new venture creation and growth, and launching the

Columbia-Harlem Small Business Development Center.

Dr. Venkatesh Murthy is a faculty member in the domain of Innovation and Entrepreneurship at the School of Management and Entrepreneurship, IIT Jodhpur. He holds a PhD from the Tata Institute of Social Sciences, Mumbai. He has widely published his research and case studies in the field of entrepreneurship and small businesses in conjunction with social and economic realities. His work has appeared in several journals and case houses, including the Journal of Small Business Management and Ivey Publishing.

Table of Contents

Book Review

Part 1 Getting Started as an Entrepreneur

1 Understanding the Entrepreneurial Process

Introduction
Profile: Wayne McVicker—A Typical Entrepreneur
Profile: Narayana Murthy—An Example of an Indian Entrepreneur
An Entrepreneurial Perspective
Commonly Shared Entrepreneurial Characteristics
Types of Entrepreneurs
The Need to Control
The Spider-Web Model
Finding Early Mentors
Managing Stress
The Five-Stage Entrepreneurial Process
The Growth of Entrepreneurial Companies
So Why Become an Entrepreneur?
Business Incubators
Developing Your Entrepreneurial Management Skills

2 Converting Ideas into Opportunities

Introduction
Profile: Becky Minard and Paal Gisholt—Finding a Point of Pain
Why Innovation Is Important?
Definition and Types of Innovation
Frameworks for Learning Innovation Skills
Finding and Assessing Ideas and Opportunities
The Evaluation Process for the Idea

3 Framing and Testing the Business Model

Introduction
Profile: Alexander Osterwalder—Inventor of Canvas Model
Definition of Business Models
The Business Model Canvas
Testing Assumptions and Value Proposition
Product-Market Fit
Minimum Viable Product Concept
Examples of Innovative Business Models
Licensing and Franchising
Models Built around Social Networks
Social Media and Entrepreneurship
Corporate Partnering
Business Platforms

4 Engaging Customers, Analyzing Competitors, for Market Entry Strategy

Introduction
Determining Market Attractiveness
Market Research Approaches
Primary Market Research: Customer Discovery
Secondary Market Research
Defining Market Segmentation and Customer Profiles
On Market Sizing
Conducting a Competitive Analysis
Developing an Integrated Marketing Strategy
Formulating a Successful Marketing Strategy and Plan
Preparing the Pricing and Sales Strategy
Preparing an Advertising Campaign
Setting Up Sales Channels

5 Preparing the Investor Package

Introduction
Profile: Nikolay Shkolnik—Business Plan Turns a Dream into Reality
The Value of a Business Plan
Setting Goals and Objectives
Starting the Process to Write the Plan: Canvas Model and the Four Steps
Determining What Type of Business Plan Is Best
Understanding Why Business Plans Fail

6 Setting Up the Company

Introduction
Profile: Ethan Wendle and Matt Chverchko—When to Convert from an S- to a C-Corporation
Identifying What Form of Ownership Is Best
Forms of Doing Business
Sole Proprietorship
C-Corporation
S-Corporation
Partnership
Limited Liability Company
Benefit Corporation
Business Start-up Checklist
Setting Up a Company in India

7 Protecting Intellectual Property

Introduction
What Are Trademarks?
What Is the Value of a Trademark?
How Are Trademarks Registered?
What Are the Benefits of Trademark Registration?
How Are Trademarks Enforced?
What Are Copyrights?
The Power of Patents
What Are the Qualifications for a Patent to Be Granted?
How to Protect Intellectual Property?
Getting Started with the Patent Idea
What Is the Patent Application Process?
Progress from Idea to Patent to Enterprise
What Are Trade Secrets?
Reverse Engineering
Intellectual Property Laws in India

Part 2 Funding the Venture

8 Launching and Financing Your Venture

Introduction
Profile: James Dyson—Bootstrapping Out of Necessity
Securing Early-Stage Funding
Self-Funding
Moonlighting and Part-Time Consulting
Bootstrapping
Family and Friends
Crowdfunding
Microequity and Microloans: A Little Money, a Lot of Help
Bank Loans, Factoring, and Supplier Lines of Credit
Managing Your Personal Credit Rating
Government Sources of Funding
Launching and Financing a Venture in India

9 Equity Financing for High Growth

Introduction
Profile: Instagram—Staged Investments
Making a Venture Capital Thrive Investment
Equity Investment Fundamentals
Using Private Equity for Raising Funds
Angel Investors
Understanding the Venture Capital Process
Guide to Selecting a Venture Capitalist (VC)
Private Placements
Learning How to Value a Business
Changing Entrepreneur Competencies with Different Phases of Business

Part 3 Managing Performance, Communication, and People

10 Managing Start-up Performance—Money and People

Introduction
Profile: Paul Silvis—Conserving Cash While Building an Embracing Culture
Financial Statements
Preparing Financial Projections
Preparing a Cash Flow Forecast
Preparing a Breakeven Analysis
Measuring Start-up Performance
Analyzing an Investment Decision
Taxes and Filing
The Stresses of Managing Money
Managing Human Resources—Introduction
Conflicts of Interest and Business Ethics
Legal Issues
Setting Up Stock-Option Agreements

11 Pitching the Venture to Investors

Introduction
Profile: Craig Bandes—Matching Presentations to Investors
Locating Investors
Preparing a Teaser
Executive Summary
The Elevator Pitch
After the Presentation
The Financing Agreement
Creating a Promotional Video

12 Planning Your Exit

Introduction
Profile: David Olk—Platform to Build Relationships and Lessons Learned
Why Create an Exit Strategy and Plan?
Valuing a Later-Stage Company
Selling the Business
Preparing a Selling Memorandum
Outline of a Selling Memorandum
Creating the Letter of Intent
Performing Due Diligence
Preparing the Purchase Agreement
Closing the Deal
Merging with Another Business
Using an Employee Stock Ownership Plan (ESOP)
Using a Management Buyout (MBO)
Considering a Public Offering
The Registration Process
The Expenses of Going Public

Part 4 Special Topics: Social Entrepreneurship and Family Business

13 Social Entrepreneurship

Introduction
Social Entrepreneurs and Green Initiatives
Profile: Khanjan Mehta—A Social Entrepreneur
To Profit or Not to Profit
Social Entrepreneurship and Tax Issues
Difference Between Business and Social Entrepreneurs
Stakeholder Issues and Challenges
Growth and Management Challenges

Enhanced Revenue Opportunities
Social Entrepreneurship Business Models
Using the Inverse Commons to Build a Social Enterprise
Using Social Media to Grow
Applying Other Chapters in This Book to Social Entrepreneurship
Summary
Study Questions
Endnotes
Worksheets

14 Family Business—Important and Different

Introduction
Profile: Richard Edelman—A Family Business Entrepreneur
What Is a Family Business?
The Three Subsystem Model
Types of Family Businesses
Considerations and Challenges of Family Businesses
Governing the Family Firm
Family Business Capital
Indian Family Business Landscape—History and Present

Summary

Study Questions

Endnotes

Worksheets

Glossary of Terms

Index