EntrepreneurshipTutorial 101.What is a new venture team? Who are the primary participants in a start-ups new venture team?A team assembled for the purpose of a new business operation(http://www.allbusiness.com/barrons_dictionary/dictionary-venture-team-4942624-1.html)Group of founders, key employees, and advisors that move a new venture from an idea to a fully functioning firm(Barringer, B.R., & Ireland, R.D (2012). Entrepreneurship (4th ed))The primary participants are the management team, board of advisors, board of directors, lenders and investors, key employees and other professionals (lawyers, accountants, etc.).2. What is liability of newness? What can a new venture do to overcome the liability of newness?Relative limitations faced by new firms compared to established firms due to NULLL- New roles to be learnt (Could not adjust themselves into their new position)Unknown work force (Capability of the work force is unknown)Lack of ties with customers and suppliers (Network of the business is limited)Lack of other resources (Facilities, equipment, etc.)Lack a track record of success ( Lack of actual performance or accomplishment)These limitations causes doubt in buyers or investors that deals with the company.

(Minniti.M, Zacharakis.A (2006). Entrepreneurship : The Engine of Growth)Ways to overcome liability newnessAssemble an experienced and talented management team - Able to make critical decisions with minimal informationCreating associations or partnership with established entities- Xiaomi Inc. China based company that produces handsets, tablets etc. that integrates chips/processors from known company such as Nvidia, Qualcomm(Snapdragon) and is now the 3rd largest smartphone distributor. 3. Personal attributes that affect a founders chances of launching a successful new firm? In your judgment, which of these attributes are the most important? Why?Higher education- Have the necessary knowledge to successfully launch a new firm. Prior entrepreneurial experiences- Familiar with the entrepreneurial process thus able to avoid costly mistakesRelevant industry experiences- Better established professional network and applicable marketing and management skillsBroad social and professional network- To provide better insights, opportunity, customer referrals and knowledge for a businessWillingness to learn- To constantly improvise the business and oneselfWhich of these attributes are the most important? Why?Willingness to learn is the most important. Have a spongelike nature.Being an entrepreneur involves a lengthy and tedious learning process. The entrepreneur needs to soak in everything and anything he/she can just like a sponge to prepare themselves for the unknown possibilities of the business. One who knows all the answers has not been asked all the questions- Nathan Resnick, founder of Yes Man watches.

(http://www.entrepreneur.com/article/232991)

4. Define the term networking. Why is it important for an entrepreneur to have a vibrant social and professional network?Networking is defined as Creating a group of acquaintances and associates and keeping it active through regular communication for mutual benefit. (http://www.businessdictionary.com/definition/networking.html)

2. The exchange of information or services among individuals, groups, or institutions(http://www.merriam-webster.com/dictionary/networking)Why is it important for an entrepreneur to have a vibrant social and professional network?Creates new avenues for the business- Business model may change depending on the current situation. Networking allow creation of new avenues that the business model might not have considered or allowed for. e.g. IBM that brought the first PC into the market have sold of their PC business to Lenovo because it is no longer central or core to IBMs strategy. Builds relationships- Networking is not limited to only with people in the industry but customers are considered as well. Customers feel more comfortable doing business with someone they trust thus relationship matters. Also generates referrals.Why is it important for an entrepreneur to have a vibrant social and professional network?Stand out- Allow your business to stand out compared to your competitors. Consumers or potential clients can begin to put a name with a face. Establishing reputation of the company. e.g. When a computer firm needs a processor for their product they will consider Intel as their suppliers.Attract and retain customer- Networking helps by telling story about the product or services your business provide which in turn capture new customers and educates existing ones. e.g. A salon styles hair and waxes but it might not be as known that they also provide manicures and pedicures.5. Describe the different ways that advisory boards meet and conduct their business.Frequency of advisory board meeting varies depending on the company. Some might have a meeting every 3 months or 6 months. Sometimes the advisory board meet up to resolve or discuss an issue arise in the company.Meeting can be conducted in the office or outside the officeOnline tele-conference is possible (advisors may be scattered, more cost effective)

Thank you!!!