Comprehensive Entrepreneurship Study Notes: Principles, Corporate Venturing, and Market Entry

Entrepreneurial Opportunities

Situations in which new goods, services, raw materials, and organizing methods can be introduced and sold at a cost greater than their cost of production

Entrepreneurial Action

Involves the creation of new products or processes, or entry into new markets; may occur through a newly created organization or within an established organization (corporate entrepreneurship)

Entrepreneurial Thinking

An individual’s mental processes aimed at overcoming ignorance in order to: decide whether a signal represents an opportunity for someone in general (third-person perspective), decide whether that opportunity is applicable to the individual specifically (first-person perspective), and to process feedback from steps taken

Superficial Similarities

Basic elements of the technology resemble basic elements of the market, representing obvious connections

Structural Similarities

Underlying mechanisms of the technology resemble underlying mechanisms of the market; these connections are non-obvious and require creative mental leaps, which entrepreneurs are often uniquely able to identify

Bricolage

Applying combinations of resources at hand to new problems and opportunities; involves taking existing resources currently owned or accessible and experimenting, tinkering, repackaging, and reframing them so they can be used in new ways

Effectuation

The approach utilized by entrepreneurs wherein they start with available resources and means, and based on those resources, create an end goal

Causation

Starting with a desired outcome or predefined end goal in mind and then seeking out the resources needed to achieve it