This is a simple framework for entrepreneurs to assess their own stage of development towards creating a successful new venture. This is based on 10 years of my own experience starting my own businesses, teaching entrepreneurship in universities, and advising entrepreneurs. It also draws on newer concepts in entrepreneurship, including effectuation.

1. Development
Path
for
Entrepreneurs
What
to
Start
High
Passion
Low
High
Start-­‐Up
Skills
Create
Connect
How
to
Start
Learn
Explore
Low
©2011
czobrist@cal.berkeley.edu

2. Start-­‐up
Skills
–
How
to
start
• Can
be
learned/taught
• The
Truth
about
Successful
Entrepreneurs
– Do
NOT
start
with
a
grand
vision
– Do
NOT
start
by
raising
a
large
amount
of
capital
– Do
NOT
take
on
extraordinary
personal
risk
– Do
NOT
start
by
wriOng
a
business
plan
– Do
NOT
start
their
business
alone
©2011
czobrist@cal.berkeley.edu

3. Start-­‐up
Skills
–
How
to
start
• The
Truth
about
Successful
Entrepreneurs:
– Start
with
something
they
are
passionate
about
– Start
with
a
simple
idea
that
addresses
a
specific
need
for
a
customer
or
segment
they
know
well
– Start
by
talking
with
potenOal
partners
and
customers
to
develop
the
idea
and
the
business
model
– Start
by
finding
resources
at
no
or
minimal
cost
from
partners,
investors,
and/or
customers
– Start
by
building
a
simple
prototype
and
rapidly
modifying
the
product
to
fit
their
customers’
needs
©2011
czobrist@cal.berkeley.edu

4. Passion
–
What
to
start
• Can
NOT
be
learned/taught
• Comes
from:
– Experience
working
in
a
parOcular
business
– ConnecOons
with
customers,
suppliers,
partners,
and
investors
who
work
in
a
parOcular
industry
• Leads
to:
– Commitment
to
being
THE
BEST
at
something
– Insight
and
innovaOon
to
create
THE
BEST
product/service
to
meet
the
needs
of
customers
©2011
czobrist@cal.berkeley.edu

5. Exploring
• DescripOon:
Individual
exhibits
a
strong
desire
to
start
a
business,
but
doesn’t
know
how
or
what
business
to
start.
• Challenge:
Lack
of
knowledge,
skills,
and
abiliOes
required
to
start
a
successful
new
venture,
as
well
as
a
lack
of
the
passion
required
to
know
what
would
make
a
good
opportunity
for
the
entrepreneur.
• SoluOon:
A
strong
focus
on
guided
experienOal
learning.
©2011
czobrist@cal.berkeley.edu

6. ConnecOng
• DescripOon:
Individual
aXains
mastery
of
required
knowledge,
skills,
and
abiliOes
to
start
a
new
venture,
but
does
not
yet
have
a
strong
interest,
desire,
or
passion
for
a
parOcular
industry
or
market.
• Challenge:
Lack
of
commitment
and
insight
about
a
parOcular
opportunity.
• SoluOon:
Connect
with
people
who
are
experienced
in
a
parOcular
field
of
interest
in
order
to
gain
knowledge
and
develop
a
passion
for
that
area
of
interest.
©2011
czobrist@cal.berkeley.edu

7. Learning
• DescripOon:
Individual
demonstrates
commitment
and
insight
about
a
parOcular
opportunity,
but
lacks
the
knowledge,
skills,
and
abiliOes
to
create
or
grow
a
successful
venture.
• Challenge:
Myths
about
how
to
start
a
business
that
focus
on
the
business
planning
process
as
opposed
to
the
pracOce
of
starOng
a
new
venture
or
growing
an
exisOng
small
business.
• SoluOon:
A
strong
focus
on
new
mthods
of
teaching
entrepreneurship
and
business
development
and
direct
mentorship
from
entrepreneurs
with
relevant
industry
experOse.
©2011
czobrist@cal.berkeley.edu

8. CreaOng
• DescripOon:
Individual
knows
both
what
and
how
to
start
a
new
venture,
but
may
lack
experience
and/or
resources.
• Challenge:
Lack
of
experience
or
resources
to
help
create
a
new
venture.
• SoluOon:
Direct
mentorship
and
guidance
from
one
or
more
experience
entrepreneurs
who
have
a
vested
interest
in
the
success
of
the
entrepreneur
and
who
can
guide
them
to
obtaining
the
appropriate
resources.
©2011
czobrist@cal.berkeley.edu