The document outlines the principles of effectuation entrepreneurship, as explained by Professor Jorge at a conference. It emphasizes that traditional entrepreneurship education is misguided, advocating for a focus on learnable aspects of entrepreneurship based on available resources and relationships. Key principles include understanding personal resources, tolerating chaos, and the ability to adapt to unexpected outcomes.

1. Effectuation
Entrepreneurship
Summarized by Prof Jorge Entrep from REE conference
in Thailand, Feb l-3, 2012

2. Effectuation Entreprepreneurship
 From the book of the same title;
 Written by Saras Sarasvathy of University of Virgina Darden
Graduate School of Business;
 Tells us learnable and teachable aspects of
entrepreneurship;
 What has been taught at entrepreneurship is all wrong; they
are adoptation of large business concepts in small business

3. Causal vs Effectual
 Causal - begin with the end in mind and generate
alternatives. This presumes wide range of resources and
processes available to the planner
 Effectuation - starting point is the entrepreneur, his contacts,
what he has, what he can lose and from there generate
objectives and outcomes

4. Outcomes are unpredictable; to the
extent one can control them, one can
predict them

5. How are outcomes controlled:
 Influencing
 Persisting
 Co-creating
 Planning (unsure)

6. Principles of Effectuation
 Bird in hand - Who am I, what do I have, who are my
connections?
 Affordable loss - What is my maximum bet? What can I
afford to lose?
 Crazy quilt - how can I tolerate chaos and lack of planning,
order, changing situations, problems
 Lemonade - be ready for surprises and delight
 Pilot in the plane - controlling outcomes/destiny