Entrepreneurship&

Innovation

July 14th, ParisFrans Nauta

Entrepreneurship&

Innovation

July 14th, ParisFrans Nauta

@fnauta

Update

• How was it so far?

• What have you read?

• Who has already started a business?

• Who has a great idea for a business?

• Who has studied innovation?

• More short coffee/comfort breaks

• Very intense/long days - want more brainstorming

• More informal time with the lecturers

• Use other methods to re-inforce knowledge - not just powerpoints

• More interaction with lecturers

1. The case for the entrepreneur

2. Why the best ideas don't win

3. Dynamics of Innovation

4. Clusters

5. Innovation Ecosystems

6. The Entrepreneur & Business models

1The case for the

entrepreneur

How all big companies start

How all big companies start

Where in your life have you truly tried to make a

difference?

Policy Maker Environment Agency Amsterdam

Political assistant deputy major Amsterdam

Ministry Environmental Protection

ORIGIN

Knowledgeland

Art House Cinema Kriterion

University

PM Office

Consulting Writing

Entrepreneur(ial)

~ORIGIN early 19th cent. from French, from entreprendre ‘undertake’

~one who organizes, manages, and assumes the risks of a business or enterprise

-ial: ~not afraid to undertake a challenge

➡ You can be entrepreneurial everywhere

Small effort...

Small effort...

Small effort...

Small effort...

Small effort...

...huge result

Innovator's Dilemma

Large companies overlook disruptive innovation because they:

• Optimize their current technology

• Listen to their customers

• Search for higher added value

2Why the best

ideas don't win(not even in the market)

Dvorak-keyboard

Five success factors

1. Comparative advantage

2. Compatibility

3. Complexity

4. Testability

5. Visibility

Five success factors

1. Comparative advantage

2. Compatibility

3. Complexity

4. Testability

5. Visibility

Some people like change

Some people like change

2%innovators

14%early adopters

34%early majority

34%late majority

16%laggards

source: Everett Rogers, 2001

Some people like change

2%innovators

14%early adopters

34%early majority

34%late majority

16%laggards

source: Everett Rogers, 2001

...some people don't

Nerds

Visionairy

Pragmatic Conservative

Sceptic

{

'Valley of Death'

3Dynamics of Innovation

Innovation is a Puzzle

Innovation is a Puzzle

Faster faster faster?1873 1882 1899

Faster faster faster?

1989 2001 2010

1873 1882 1899

DominantDesign

Assignment

• Group of 5 to 6 students

• Choose a great, failed eco innovation

• Analyse it with Rogers 5 factors

• Analyse it in terms of Dominant Design

1. The case for the entrepreneur

2. Why the best ideas don't win

3. Dynamics of Innovation

4. Clusters

5. Innovation Ecosystems

6. The Entrepreneur & Business models

4Clusters

Clusters

• Enough resources and competences amass and reach a critical threshold;

• Giving it a key position in a given economic branch of activity;

• With a decisive sustainable competitive advantage over other places, or even a world supremacy in that field.

Clusters

• Enough resources and competences amass and reach a critical threshold;

• Giving it a key position in a given economic branch of activity;

• With a decisive sustainable competitive advantage over other places, or even a world supremacy in that field.

"There are no low-tech industries,only low-tech firms"

Fred Terman @ Stanford

A secret history of Silicon Valley:www.steveblank.com

SCUOLA INTERNAZIONALE DI LIUTERIA A. STRADIVARI

• 1938 founded

• 1950: 6 students

• 2008: 150 students

- 30 South-Korea

- 26 Japan

- 6 China

- 3 Taiwan

5Innovation Ecosystems

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

regional socio-economic & cultural context

knowledge usage

customers suppliers

partners competitors

industry

policyexchange knowledge &

people

(inter)national context

national innovation system

national policy

European Union

international organisations

other regions

knowledge development

knowledgeexchange labour market

research education

1

2

3

4

5

Some lessons learned

"All happy families are alike; each unhappy family is unhappy

in its own way."

"All happy families are alike; each unhappy family is unhappy

in its own way."

clusters

"All happy families are alike; each unhappy family is unhappy

in its own way."

clusterscluster

Europe is lagging

• Very late to the game (1951!)• Tenure 12 months pay to comfortable• National instead of EU science competition• Funding fundamental research dominates• Innovation arena dominated by big players

- To many subsidies

- To much red tape

• Flawed regulatory framework- Bankruptcy laws

- VC tax incentives (SBIC)

In general, knowledge is the under-utilized resource in innovation ecosystems

In general, knowledge is the under-utilized resource in innovation ecosystems

In general, knowledge is the under-utilized resource in innovation ecosystems

It's the raison d'etre of Climate-KIC

Ingredients to look for as entrepreneur

• Constant high talent-flow

• Highly specialized knowledge

• Rising tide market

• Effective incubator

• Venture Capital

• Sophisticated demand

• Regulatory environment

6Some lessons as

Entrepreneur

Some lessons as entrepreneur

Some lessons as entrepreneur

• You really have to believe

• Your team is crucial

• You need to be flexible & pivot

• Don't forget to ask for money

• Find a mentor

• Find a scalable business model

Some lessons as entrepreneur

• You really have to believe

• Your team is crucial

• You need to be flexible & pivot

• Don't forget to ask for money

• Find a mentor

• Find a scalable business model

Some lessons as entrepreneur

Some lessons as entrepreneur

• You really have to believe

• Your team is crucial

• You need to be flexible & pivot

• Don't forget to ask for money

• Find a mentor

• Find a scalable business model

Negotiate at the Gate

Law of Hurry

You

Them Hurry

NoHurry

HurryQuickDeal

let themDance

NoHurry

they makeyou Dance

Not muchhappening

Less is more

Know your market

Video

• - 18:30

• 29:03 - 37:00

Excellent resources

• Stanford Technology Ventures Program podcast (also video)

• WIRED Y-combinator article

• www.steveblank.com

• Techcrunch.com

• FastCompany.com

• WIRED.com

Next steps

• Move to Wageningen

- Work on your ideas

- Use the Delft session (21rst)

• Send me your business plan (without NDA's )

• We meet the 28th

• If you have started a company, you can apply for the sales masterclass 1rst-2nd November

Good luck!

Thanks for your attention