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Climbing Mountains:
Entrepreneurship through
Higher Education
Muscat, March 17, 2012
Presented By:
Thomas Andersson Senior Advisor – The Research Council
Sultanate of Oman
http://www.trc.gov.om
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GDP per capita
Source: World Development Indicators (2010). Data are from 2008
or latest available.
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Economic Diversification Share of largest economic sector in total value added,
Source: World Development Indicators (2010). Data are from 2008
or latest available.
High-tech Exports as percent of GDP
Source: Estimates based on World Development Indicators (2010).
Data are from 2008 or latest available.
R&D Expenditures (% of GDP)
Oman Knowledge ID Federation 5
Source: World Development Indicators (2010), except Oman and
Quatar (informal estimates). Data are from 2008 or latest available.
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Number of days required to start a
business
Source: World Development Indicators (2010). Data are from 2008
or latest available.
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Entrepreneurship
• Shifting economies of scale and scope
• The rising importance of risk-taking and
freedom from historical overhang
• Features of entrepreneurship (necessity-based,
opportunity-based)
• Features of entrepreneurs (age, gender,
education, experience, neworks)
• Sources of success (captain or current; mode
of entry, skills, attitudes, wider ecosystem)
Matching Entrepreneurial
Capacity and Opportunities
Opportunity-seeking entrepreneur
Entrepreneur-seeking opportunity
Entrepreneurial
capacity (EC)
Entrepreneurial opportunities (EO)
Entrepreneurship
Imbalance
EO > EC
Imbalance
EC > EO
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1
IUE
IUE
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Abandoning the Linear Model
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Open Innovation Model
Internal Ideas
External Ideas
New
Products
& Markets
Spin Offs
Source: Open Innovation: The New Imperative for Creating and Profiting from Technology, H. Chesbrough, 2003
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Evolution of Innovation Metrics
First Generation
Input Indicators
(1950s–60s)
Second Generation
Output Indicators
(1970s–80s)
Third Generation
Innovation Indicators
(1990s)
Fourth Generation
Process Indicators
(2000s plus emerging
focus)
•·R&D expenditures
•·S&T personnel
•·Capital
•·Tech intensity
•·Patents
•·Publications
•·Products
•·Quality change
•·Innovation surveys
•·Indexing
•·Benchmarking
innovation capacity
•·Knowledge
•·Intangibles
•·Networks
•·Demand
•·Clusters
•·Management techniques
•·Risk/return
•·System dynamics
Source: Milbergs and Vonortas (2004), Innovation Metrics: Measurement To Insight, Center
for Accelerating Innovation and George Washington University, National Innovation Initiative
21st Century Working Group.
Founder,
Friends &
Family
Stages of development
Seed Start - up Early Growth Expansion
Venture
Capitalists
Quoted Markets
Banks
Business Angels
Diversity of Financial Instruments
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“Seed” Funds Initial stage of
funding
Start up
funds
Fourth
stage
Third
stage
Second
stage
Start up phase Maturing phase
Phases with losses
Phases with profit
Participation Capital / Bank loans Seed funds
Venture Capital
Buy out
Strategic Participation
Start up
Expansion
Phases of Business Development and Funding Tools
Pre-incubation phase
Invention Phases
of Incubators
The Pre-incubation Concept
Start-ups
Higher Education Institutes
Research Centres
Science or technology-based ideas
for new products and services
Pre-incubation
Working Space
Mentoring & coaching
Students
Young graduates
Researchers
Viable start-ups
Spin-off increase
Entrepreneurial culture
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ACADEMIC ENVIRONMENT – A CENTRAL HUB IN THE
ENTREPRENUEIAL LANDSCAPE
House of Ideas
Entrepreneurship Policy
Network
Courses
Workshops
Seminars
Conferences
Forum
Competence-oriented
diploma
Non-credit programmes
Career counselling
Business and Tech Labs without borders
Lecturing Researching Mentoring and tutoring Academic counselling
• Knowledge for problem solving and opportunity chasing • Students’ style of learning
• Professional professors
(theory-oriented practitioners)
• Academic professors
(practice-oriented scholars)
Environment
• Open-source network • Federated, distributed and authentic conversations • Access to and refining of entrepreneurship policy
Education
Business process
implementation
Brain mobility & brain waves Labs for experimentation & simulation of high-expectation start-ups
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Entrepreneurship: Role in the Economy
• Source of seeds for the future
• Search of solutions to outstanding issues
• Driver and enabler of structural change
• Driver of job creation
• Key to diversifying the economy
• Source of broadening societal and regional
develoment
• Way of life – intrinsic to active learning, related
to soft skills, creativity, innovativeness,
constructive action
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Entrepreneurship: Outstanding Issues
• Dominance of public sector and big business
framework – red tape, regulations, institutions
• Mindset – from early in life, fortified through
higher education
• Vertical silos, strong association with professions
and established sectors
• Risk-reward ratio; outcomes of success and failure
• Autonomy, room for local adaptation, cultivation
of uniquenss vs. herd behavior
• ... The entrepreneurship and innovation ecosystem