Developing & Testing the Business Concept Launching New Ventures University of Oregon

Agenda and Announcements Submit first installment of your “Idea Journal” today. Bring your Business Idea Poster to Chiles 228 next Tuesday 1/20. Submit your “New Venture Product/Service Profile” at start of class Thursday, 1/22.

Submit first installment of your “Idea Journal” today.

Bring your Business Idea Poster to Chiles 228 next Tuesday 1/20.

Submit your “New Venture Product/Service Profile” at start of class Thursday, 1/22.

Finding a Business Concept Identify and solve a problem that lots of people share . recycling old computers Slipping off your sleeping pad Turn old standbys into new products. online skates mobile auto repair Explore mundane money-makers. window washing putting up Xmas lights Rug cleaning

Identify and solve a problem that lots of people share .

recycling old computers

Slipping off your sleeping pad

Turn old standbys into new products.

online skates

mobile auto repair

Explore mundane money-makers.

window washing

putting up Xmas lights

Rug cleaning

Ideas vs. Opportunities What makes a good opportunity? Opportunities Attractive Durable Timely Adds value Scale and scope Time Market Size

What makes a good opportunity?

Opportunities

Attractive

Durable

Timely

Adds value

Scale and scope

Sixty-Second Business Plans Big Agnes -- insulated sleeping bags Parmasters -- golf club franchise SelectMinds --social networking for former employees TerraCycle -- composting garbage into potting soil Where would you put your money?

Big Agnes -- insulated sleeping bags

Parmasters -- golf club franchise

SelectMinds --social networking for former employees

TerraCycle -- composting garbage into potting soil

Where would you put your money?

How did the “experts” rate them? 7.0 SelectMinds social networking for ex- employees 5.9 Big Agnes insulated sleeping bags 5.0 TerraCycle composting garbage=>potting soil 3.9 Parmasters golf club franchise

7.0 SelectMinds social networking for ex- employees

5.9 Big Agnes insulated sleeping bags

5.0 TerraCycle composting garbage=>potting soil

3.9 Parmasters golf club franchise

Where are they today? Big Agnes -- http://www. bigagnes .com/ Parmasters -- http://www. parmastersgolf . com/fw/main/default .asp SelectMinds http://www. selectminds . com/jsp/Front/Main . jsp ? cmd=resource &page=home. shtml TerraCycle -- http://www. terracycle .net/

Big Agnes -- http://www. bigagnes .com/

Parmasters -- http://www. parmastersgolf . com/fw/main/default .asp

SelectMinds http://www. selectminds . com/jsp/Front/Main . jsp ? cmd=resource &page=home. shtml

TerraCycle -- http://www. terracycle .net/

Brother, Can You Spare a Dime? Prosper.com http://www.prosper.com/ Origin of business model? Using internet to enter what traditional business? Outsourcing “back-office functions” -- which ones? Building an on-line community -- how does this work?

Prosper.com http://www.prosper.com/

Origin of business model?

Using internet to enter what traditional business?

Outsourcing “back-office functions” -- which ones?

Building an on-line community -- how does this work?

Eco-Capitalists Save Mother Nature by Charging for Her Services What is the basic business idea? What is the “value proposition”? Who are the target customers? Is this idea scalable and fundable?

What is the basic business idea?

What is the “value proposition”?

Who are the target customers?

Is this idea scalable and fundable?

Philanthropy Google’s Way What is the basic business idea? What is the “value proposition”? Who are the target customers? Is this idea scalable and fundable?

What is the basic business idea?

What is the “value proposition”?

Who are the target customers?

Is this idea scalable and fundable?

Passion & Serial Entrepreneurs? On page 50 of Entrepreneurship For Dummies the author has a critical question listed that says "Am I really interested in this opportunity." It says that if you want your business to eventually be successful then you must be passionate about the business you are in. What about serial entrepreneurs? They can't be passionate about that many things. What if you are only in it to make a quick buck and get out? Can you still create a successful business without passion?

Discussion Questions A number of the 60-Second business plans got their products out and noticed during trade shows. For a small start up company trade shows can be an great form of advertising to help market the product and the company. How easy is it to get your products into trade shows and what is the process that you must go through?

Business Idea Posters On Tuesday, January 20, everyone will bring to class a poster presenting a business idea that you’d be interested in pursuing for the Feasibility Study. Posters should be visually appealing , and > 8.5 X 11 inches in size. Posters will go on display. Each of you will decide whether you want to recruit classmates to work on your team, or whether you want to join another team.

On Tuesday, January 20, everyone will bring to class a poster presenting a business idea that you’d be interested in pursuing for the Feasibility Study.

Posters should be visually appealing , and > 8.5 X 11 inches in size.

Posters will go on display. Each of you will decide whether you want to recruit classmates to work on your team, or whether you want to join another team.

Your Poster’s Content Your poster must communicate three key things: Business concept : What is your business? What product or service will you provide? Customer : What is your intended market segment? Who will your customers be? Be as specific as you can. Value proposition : What value will your business create for your customers? What benefits will the business provide?

Your poster must communicate three key things:

Business concept : What is your business? What product or service will you provide?

Customer : What is your intended market segment? Who will your customers be? Be as specific as you can.

Value proposition : What value will your business create for your customers? What benefits will the business provide?

Your Poster’s Content To receive the maximum score (50 points), the idea communicated in your poster must be scalable and fundable. Scalable business ideas : A scalable business is one that is capable of rapid growth and expansion. A dog training service probably is not scalable. WetDawg -- the online meeting spot for water sports enthusiasts -- is scalable. Fundable : A fundable business offers a potential return on investment (ROI) that could attract funding from an investor. Few investors would jump at the chance to invest in a coffee shop on E. 13th. Tactics (a clicks & bricks business selling snowboard gear) was funded by Mike Coughlin, a Eugene based angel investor.

To receive the maximum score (50 points), the idea communicated in your poster must be scalable and fundable.

Scalable business ideas : A scalable business is one that is capable of rapid growth and expansion. A dog training service probably is not scalable. WetDawg -- the online meeting spot for water sports enthusiasts -- is scalable.

Fundable : A fundable business offers a potential return on investment (ROI) that could attract funding from an investor. Few investors would jump at the chance to invest in a coffee shop on E. 13th. Tactics (a clicks & bricks business selling snowboard gear) was funded by Mike Coughlin, a Eugene based angel investor.

15 Minute Break Check out the sample posters. • Which one or two posters would you rate highest on effective communication of the business idea, target customer, & value proposition? • Which poster(s) strike you as most “ scalable ”? • Which poster(s) do you think are the most “ fundable ”? Discuss when we reconvene.

Check out the sample posters.

• Which one or two posters would you rate highest on effective communication of the business idea, target customer, & value proposition?

• Which poster(s) strike you as most “ scalable ”?

• Which poster(s) do you think are the most “ fundable ”?

Discuss when we reconvene.

Business Idea Poster Show: Chiles 228 All posters will be displayed in Chiles 228 . 10-second introductions . 30 minutes for “ idea shopping ”. Review all the ideas. Decide whether you want to: (1) recruit a team around your idea, or (2) work on one of the other ideas posted on the wall.

All posters will be displayed in Chiles 228 .

10-second introductions .

30 minutes for “ idea shopping ”. Review all the ideas. Decide whether you want to: (1) recruit a team around your idea, or (2) work on one of the other ideas posted on the wall.

Business Idea Poster Show 30 minutes for team building . If you have decided to build a team, make a pitch to prospective team members. If you’re looking for an idea, offer your services and sell yourself. 5. All ideas must have five-person teams . When a team is complete, write the names of its members on the poster, remove it from the wall, and submit the poster to Alan (Also submit posters that don’t attract a team.)

30 minutes for team building . If you have decided to build a team, make a pitch to prospective team members. If you’re looking for an idea, offer your services and sell yourself.

5. All ideas must have five-person teams . When a team is complete, write the names of its members on the poster, remove it from the wall, and submit the poster to Alan (Also submit posters that don’t attract a team.)

Entrepreneurship Concentration: The Payoff to You: Cross-functional integration What it really means to integrate strategy, marketing, finance, accounting, and management Business planning methodology Tool kit for systematically tackling any emerging business opportunity (not just start-ups) Work sample A tangible, professional written plan and presentation that documents your mastery of the above

Cross-functional integration

What it really means to integrate strategy, marketing, finance, accounting, and management

Business planning methodology

Tool kit for systematically tackling any emerging business opportunity (not just start-ups)

Work sample

A tangible, professional written plan and presentation that documents your mastery of the above

Why Entrepreneurship? Independence -- be your own boss. Do it for the economy -- small businesses create jobs. ‘Gazelles’ account for 94% net new job creation. Do it for yourself -- U. Arizona researchers reported E-grads earned 27% higher salaries 5 years out. Do it in a big company -- E-grads earned $23,500 more than other business majors. So -- You don’t have to launch a startup to apply entrepreneurial skill.

Independence -- be your own boss.

Do it for the economy -- small businesses create jobs. ‘Gazelles’ account for 94% net new job creation.

Do it for yourself -- U. Arizona researchers reported E-grads earned 27% higher salaries 5 years out.

Do it in a big company -- E-grads earned $23,500 more than other business majors.

So -- You don’t have to launch a startup to apply entrepreneurial skill.

Entrepreneurship Concentration Fall/Winter/Spring Winter/Spring MGMT 335 Launching New Ventures ACTG 340 Accounting for Entrepreneurs MKTG 445 New Product Development MGMT 455 Business Planning for Entrepreneurs LCE Internal Business Plan Competition VENTURE QUEST Spring