KYIV CITY OPEN DOORS The Roles ofEntrepreneurship & Innovation Roman Kikta Mobility Ventures April 21, 2012 Kyiv, Ukraine
“Entrepreneurs are dreamers who do!They have the imagination to create a vision and gumption to make it happen. They have the drive to overcome fears and the passion to succeed” “Confidence is the companion of success.” --Chinese Proverb“Entrepreneurship is about… those who dare todream the dreams and are foolish enough to try and make their dreams come true” - Vinod Khosla General Partner, Khosla Ventures Co-Founder Sun Microsystems
The Past 100 Years: The Golden Age forInnovation is part of American culture
Challenging economic times can createincredible opportunities for innovatorsChallenging economic times can create incredible opportunities forinnovators, and technology is the home of innovation.Disruptive capabilities will emerge — in products and services, aswell as business models.
Challenging economic times can createincredible opportunities for innovators
Top Innovations in Past 25 Years1. The Internet 13. Air bags2. Cell phone 14. ATM3. Personal computers 15. Advanced batteries4. Fiber optics 16. Hybrid car5. E-mail 17. OLEDs6. Commercialized GPS 18. Display panels7. Portable computers 19. HDTV8. Memory storage 20. Space shuttlediscs 21. Nanotechnology9. Consumer level 22. Flash memorydigital camera 23. Voice mail10. Radio frequency ID 24. Modern hearing aidstags 25. Short Range, High11. MEMS Frequency Radio12. DNA fingerprinting
The Road to Funding “Vision Without Money Is a Hallucination” - Dr. Allan MacDarmid, Ph.D. Nobel Laureate
Entrepreneurs With Vision“Companies are made possible by Entrepreneurs who think everything is possible and strive to make it happen!”
Entrepreneurs & Opportunities “Opportunities are about creating value, not just lowering costs…….. The failure of some entrepreneurs who believe they haven’t come in at the right cost is that they have not communicated value” - Peter Drucker
What Makes an Entrepreneur? What is the “DNA” of an entrepreneur? A review of academic literature yields a number of characteristics common to Entrepreneurs: Schen’94, Timmons ‘94: Solomon ‘89: - Commitment - Innovative - Determination - Action Oriented - Leadership - Extremely Self - Opportunity Obsession Confident - Tolerance of Risk & - Highly Ambiguity Autonomous - Creativity - Self Reliance - Ability to Adapt - Motivation to excelIs possession of these characteristics enough to ensure success as an entrepreneur?
What Makes a Successful Entrepreneur?The DNA: 1) A disruptive technology- Commitment / 2) A large market Determination 3) And manageable levels of:- Leadership Entrepreneurial Quality Market risk- Opportunity Obsession Characteristics Opportunity Technology risk- Tolerance of Risk & Team risk Ambiguity Financial risk- Creativity & Innovative- Self Confident, Reliance SUCCESSSFUL- Ability to Adapt- Self-Motivation to excel ENTREPRENEUR 1) Business formation1)Start-up Strong 2) Product development2)Technology Execution! Business Plan 3) Customer development3)Customer 4) Financial management4)Financials You may be born with entrepreneurial characteristics but…… ...... EXPERIENCE is what makes a successful entrepreneur
Ideas A Good Idea Is Not Enough -- Good Ideas Abound First to Market is a False Comfort There is Always a Competitor—Usually Several Must Have a Viable Business Proposition Execution Intelligence“A business idea is worthless unless the entrepreneur behind it has the skills,knowledge and experience to execute it”
IDEAS“It’s not enough to build abetter mouse trap. You mustreally want to kill mice.” – Bill Joos Cofounder, Garage.com
A Case Study: Would you invest?• Addresses Multi $$$ Billion Market• Global opportunity• Mobile/ wireless devices• Patented Solution for Problem• Most “Innovative Product of The Year• Enormous ‘WOW’ factor
A Case Study: The Reality• Limited usability• Cost – not competitive with alternative solutions• Lack of support by major OEMs• Limited market acceptance• A $$+Million write off
“The best way to predict thefuture is to create it” – Peter Drucker
“Entrepreneurs can change the world” “You are never too old to set another goal or to dream a new dream.” – C.S. Lewis
Some Tips:• Start with a vision of how you want the company to look.• Dont listen to anyone (unless they agree with you and know what they’re talking about).• Manage what you can control – Spending – Growth & earning assumptions• Focus on Quality• Lower Risk• Reduce Debt• Recruit top people into management.• NEVER GIVE UP!