ECON 125 Midterm

Who are entrepreneurs?

we are all entrepreneurs since we all make difficult decisions that make real changes to our lifestyle, involves adapting or destroying normal ways of approaching whatever life throws at us

the study of entrepreneurship

Seeks to understand how opportunities are discovered or created by a person or team who then assembles various resources in order to exploit opportunities and create wealth

primary market research

information gathered directly from respondents/customers

secondary market research

information that has already been collected about the market but by a different group for a different purpose

Drucker's process needs

Taking a process that already exists and improving it by incorporating new knowledge

being an entrepreneur means to:

innovate

Are all entrepreneurs cut from the same cloth?

no, they come in a range of personalities and risk taking tendencies

what are the two characteristics of a successful entrepreneur?

the ability to take action and the relentless pursuit of change

Drucker's seven areas of opportunity

seven most basic sources of opportunities to innovate

what are the inside sources of opportunity to innovate according to Drucker?

-the unexpected

-incongruities

-process needs

-changes in industry market structure

what are the outside sources of opportunity to innovate according to Drucker?

-Demographics

-change in perception

-new knowledge

which is the least likely source of opportunity to innovate?

new knowledge

the unexpected source of opportunity

innovations that occur when people just stumble upon them

what are the three types of unexpected opportunities

-unexpected failures

-unexpected successes

-unexpected outside events

what is an example of an unexpected success?

facebook

unexpected failure (black swan event)

an event that is totally unpredictable, has a massive impact, and is obvious after the face which leads to the development of new methods that were not considered previously

what is an example of an unexpected failure?

2008 banking crisis, the ford edsel

what is an example of an unexpected outside event

hurricane katrina

incongruities

whenever a gap or difference exists between expectations and reality, things that just don't make sense, elements of the system that consumers do not like, but no one has bothered to fix them

what is an example of an incongruity?

the American healthcare system since we spend the most on healthcare but have lower health outcomes

process needs

defined as taking a process that already exists and improving it by incorporating newly available knowledge, or providing the missing link

what is an example of a process need?

incomplete electronic medical records, which lead a company to create a service that pulls all patient documents for the doctor

questions to ask about process needs

-Is it a self-contained process that can be analyzed?

-Is there a single weak or missing link?

-Do you have a clear definition of your objective?

-Can your solutions be communicated clearly?

-Is there high receptivity for your idea?

what are the types of opportunities for innovation that stem from changes in industry market structure?

-growth

-maturing

-convergence

-model

what is an example of a opportunity for innovation coming from market growth?

when apple started the boom of smart phones, there was an opportunity for other brands to enter the smartphone market

what is an opportunity that comes from market maturation?

maturation of high growth industries, means old strategies are no longer relevant, so innovation strategies that disrupt the market will result in big success

what is an example of an opportunity for innovation coming from market maturation?

Netflix takes over blockbuster who never innovated

convergence (source of opportunity for innovation)

convergence of technologies that were previously separate, when technology overlaps a new innovative opportunity is created

what is an example of market convergence?

when smartphones and the gig economy converged into technology, uber was created

what are demographics?

things like population size, employment and education, anything that will have fairly predictable consequences (ex: baby boomers)

changes in perception (outside source of opportunity for innovation)

what people like and don't like can often change drastically (ex: teen's not wanting to get their license)

new knowledge (outside source of opportunity for innovation)

describes the eureka moment where you come up with a brand new idea, often takes off much slower than expected, least reliable method (ex: renewable energy)

do effective innovations start large or small?

small

innovation

the effort to create purposeful, focused change in an enterprise's economic or social potential

an effective innovation is what?

focused and simple

according to drucker's model the banking crisis of 2008 is what?

a black swan

The United States' high healthcare spending and lower health outcomes is an example of which potential area of innovation

incongruity

Drucker takes IBM's success as an example of

unexpected occurrences

Kristi Herold

CEO of JAM which helps connect people through play

Chesca Colloredo-Mansfield

Speaker

Miracle Feet: treats clubfoot in other countries, designed own cheap product to be implemented locally,

fixes bad adherence & compliance

David Spratte

CEO and Co-founder of Carpewell

Carpe: a lotion for sweaty hands and feet

Advice: find mentors and advisors, prototyping is very important

wellness

encompasses more than just fitness and nutrition; including mental and physical health and appearance

what do people want from the wellness market?

better health, fitness, sleep, mindfulness, appearance, environmental sustainability, digitization, health services

what are the 7 edtech trends?

-further education throughout life is the new normal

-Elearning is here to stay

-AI is the future

-gamification

-subscriptions

-big data

The interactive system for descriptive analytics of student results in the form of a dashboard introduced by Nottingham Trent University is an example of:

Using big data to improve learning experiences

More consumers said they were going to spend more on wellness than those who said they would spend less

True

Which of the following was NOT one of the 7 EdTech Market Trends cited?

A-F grading systems

According to the article "The Discipline of Innovation", knowledge-based innovations have the longest lead times.

True

In the article "The Discipline of Innovation", which of the following sources of innovation was taken by the Japanese, who now have a great lead in robotics?

demographic changes

Which of the following is not one of the characteristics of an entrepreneur that Prof Goldstein mentioned in the video:

being a business professor

Alex Slater

Co-founder of Shibumi shade, built a rough prototype of their new umbrella which then took off allowing them to expand and modernize their business model to meet the growing demand

Chijioge Nwogu

founder/CEO of Gameflow, aims to build communities by empowering people on their own terms and own abilities with games designed to help kids learning and develop

Chris Crawford

COO of Jet It, growth investor who aims to build and scale-up businesses like he did with the private aviation company jet it

Harlem

poem by langston hughes that discusses how his success is segregated from his white counterparts

What are some trends in the travel industry?

-emphasis on local destinations

-people want increased COVID sanitation

-solo travel has increased

-people crave local experiences when traveling

-consumers are blending business and leisure travel

-sustainable and electric air travel are on the up

What are some technologies that can help save the world?

AI, Smart Grids, Big Data/Analytics, Blockchain

What is the course to thrive in the green business boon?

1. Establish stakeholder map

2. Commit to dedicated space for sustainability

3. Embrace the constraints of climate change

4. Let discovery drive growth

5. Reverse engineer your endpoint

Bill Gates and Breakthrough Energy

aims to bring together the different arms necessary to create a carbon-free world using a network of programs, funds, and advocacy efforts to get clean energy technologies in the market faster

Which of the following is NOT a travel trend in 2021 based on the article "8 Travel Industry Trends For 2021 (And Beyond)"?:

Longer Trips

Which of the following is NOT something the organization Bill Gates founded called Breakthrough Energy hopes to accomplish:

Fund lots of smaller, early stage environmentally focused companies in the hopes that a few will be successful and result in a large valuation and IPO (Initial Public Offering)

Which of the following is not correct about CarbonCure?

it achieved the goal of reducing carbon 100%

Which of the following was NOT one of the 6 wellness trends discussed in the readings?

Use of augmented reality devices (More personalization, Involvement of influencers, and natural and clean product lines each were discussed)

The interactive system for descriptive analytics of student results in the form of a dashboard introduced by Nottingham Trent University is an example of

Using big data to improve learning experiences

According to "Leading in The Green Business Boon," which of the following best describes how businesses should look at sustainability investments?

an opportunity

Project Aristotle at Google

Initiative to study teams and figure out why some succeed and some fail

Characteristics of high performing teams

-Members speak in equal proportions

-There is average social sensitivity

-There is psychological safety

-Other goals important like clear goals or dependability, but psychological safety is the most important

Psychological safety

allows you to take risks with strangers, people feel comfortable to be themselves and feel like their opinions won't be judged

Bruce Tuckman's model

discusses stages of team formation, all phases are necessary and inevitable for teams to grow, face up to challenges, tackle problems, find solutions, plan work, and deliver results

Stages of Tuckman's team formation model

1. forming

2.storming

3.norming

4. performing

forming stage

last for a longer period of time, group members begin to work together and try to get to know their new colleagues.

how to teams move on from the forming phase?

each member must relinquish the comfort of non-threatening topics and risk the possibility of conflict

storming phase

members begin to push against the boundaries established in the forming stage, can lead to tension, struggle and arguments. most groups fail in this stage

how to move on from storming phase?

ensure that there is psychological safety in your group

Norming Stage

conflicts are resolved and team harmony and unity emerge, members take responsibility and have ambition to work toward a common goal. whims and fancies of other group members are tolerated and the group moves on

performing phase

group members focus on achieving common goals, often reaching an unexpectedly high level of success

Purpose of Team Charter and behavioral working agreements

help establish psychological safety, respect, and open communication by setting the norms for your team

Team charter purpose

provides a way for a team to get to alignment on the goal and purpose of the work they will be doing together, and to build agreements around things like how they will operate, make decisions and how and when they will meet

aspects of psychological safety

conversation turn-taking, average social sensitivity, safe space to take risks, non-judgmental

According to researchers from Project Aristotle, teams were found to be less successful if they allowed members to speak equally rather than have experts dominate topics in their areas:

false as long they speak in equal proportions it is good

Which of the following is NOT an aspect of psychological safety?

Having an agenda and keeping meetings on track

Which of the following did Google's Project Aristotle find to be the most crucial aspect of a successful team

psychological safety

Which of the following was NOT provided as a reason for why to create a Team Charter

Identify who should, and should not, be included in the team

According to the article "What Google Learned From Its Quest to Build the Perfect Team", in order to establish psychological safety, team members should shy away from emotional sharing, and focus just on efficiency

false

What do empathy interviews focus on?

emotional and subconscious aspects of the user

what kind of approach do empathy interviews use?

human-centered

three key actions for empathy interviews

immerse, observe, engage

what kind of questions should you ask in empathy interviews

open ended, neutral question

should you pursue tangents in empathy interviews?

yes because they can lead you to solutions you may not have considered previously

In choosing subjects for an empathy interview, it is important to focus on extremes, as well as people in the middle on a topic area

true

With empathy interviews, particularly in the early stages, the goal is to understand users by having an open conversation, not to confirm an idea

true

Which of the following describes a good questioning technique during empathy interviews?

allow interviewee to tell a story

You should conduct empathy interviews before deciding on your team's opportunity area

false

What are the design thinking principles?

-human-focused

-showing not telling

-bias toward action/learning by doing

-learning mindset

learning mindset

embracing learning or a beginner's way of thinking, don't sell your ideas

showing not telling

quickly translating your ideas into things that you can take out and show someone and experiment with to then bring back and iterate on

Bias toward action

build, innovate, and learn about the problem through doing

design thinking process

iterative process that guides people through the process of innovation

1st phase of Design Thinking Process: Empathize

all about understanding, observing, inspiration (learning mindset)

2nd phase of Design Thinking Process: Define

analyze and synthesize the data you collected during the empathize phase, establish a clear idea of the problem you're trying to solve for the user

Design challenge statement

outlines the problem you are attempting to solve