6. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
MIT’s Internal Ecosystem
Stage 1
Inspiration /
Invention /
Idea
Generation
Stage 2
Technology
Development /
Idea
Refinement
to Practice
Stage 3
Commer-
cialization
Planning
Stage 4
Development
of Business
Plan
Stage 5
RealCompany
Formation
(e.g. first
customer, team,
network)
Stage 6
Early Stage
Growth
Stage 7
High-Growth
Education
Other Activities
• Basis for Commercialization: 45 years of growing research & insight into the entrepreneurial process
• Knowledge Base: Outstanding scientific and engineering research … & pioneering of new fields
• Underlying Foundation: 150 years of MIT’s “mens et manus” culture
7. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
Accolades to MIT in Recent Past
MIT beats Cambridge and Harvard to top spot
in world university rankings
September11, 2012 September11, 2012
MIT: the world's best university
If you were to asksomeonein the UKto namethe
mostprestigiousuniversity in theworld,MIT is
probably notthefirstnamethatwould spring to
mind.Formany peopleit’s noteven the best-known
university in Cambridge.
“creative irreverence”
October31, 2012
11. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
BP+
Finance
Execution
Biz Model
Product
Market
People
Idea
Logical Flow of Course
- Segment
- Direct Validation
- Competition
- Value Proposition
- Competitive Advantage
- Development Plans
- Where to Extract Rent
- Pricing
- Go to Market
- Sales
- Marketing
- Financial Statements
- Investor Strategy & Pitch
- Generation
- Analysis
- Testing on Key Stakeholders
- Team Composition
- Values
- Setting Expectations
- Logical Flow
- Scaling
- Presentation
Plan to
Capture Value
Plan to
Create Value
12. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
Sneak Peek at Week
Monday Tuesday Wednesday Thursday Friday
Spirit of @EshipMIT Company Visits Company Visits Free Team Time Final Presentations &
Judging
Ent Strategy I/
Creating Value (FM)
Product
Development (MM)
Capturing Value (CT) Entrepreneurial
Leadership
What to do After EDP
(JPB)
Value of Ecosystem
(FM)
Dilemmas in
Launching New
Ventures (MM)
Pricing/LTV (CT) What VCs Look For in
a Startup (PM)
Awarding of
Certificates (ER)
Ent Strategy II (SS) Overview: Final
Deliverable
Team Lunch Final Presentation
Advice
Customer Product
Mapping
Digital
Experimentation (CC)
Inbound Marketing
(MV)
Entrepreneurial
Financing (AS)
Team Working
Sessions
Making Great
Products (PE)
Team Working
Sessions
Building Financial
Statements
Simulation Lab
1.TargetCust
2.Value Prop
Team Working
Session
Simulation Lab
1.Biz Model/LTV
2.GTM/COCA
Team Working
Sessions
Team Dinner Simulation Lab
1.Product
2.Comp Advantage
Nice Dinner (New
Sloan Building)
Simulation Lab
1.Financials
2.Financing
14. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
Textbook for this Class
– Substantially increase your odds of success
– Provide more structure to one of the two
critical elements in starting a company
14
24 Steps to a Successful Startup
15. MIT EDP 2014
#MITEDP
DISCIPLINED
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Venture Creation Process
• 24 Step process to create a product/offering as the foundation
• Systematic and proven way to increase your odds of success but
not an algorithm however
• Integrated & comprehensive*
• Common language
• Identifies questions & weak points
• Prepares for:
– Execution
– Scaling
– Fund raising
15
16. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
Great New Stuff This Year
• Digital Toolbox
– www.detoolbox.com(you can go and sign up for free
– creates a dashboard to track progress)
• Paul Maeder
• Paul English
• Antoinette Schoar
• Refreshed Companies
• Continuous Improvement
16
17. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
Rules of Engagement
• No open lap tops
• No side conversations
• Love questions but please be respectful of whole class of
130 and instructors (e.g., raise hand, be thoughtful and
concise in question, balance during class vs. after class)
• Be on time
• Be engaged
23. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
What Do You Need to Start a
Successful New Venture?
• Idea
– Starting point & comes from you or your team – be a
Pirate!
• Team
– This is hard stuff and takes time and work
– Some key considerations (passion, values, heterogeneity,
size, skills, etc.)
• Process
– This is what we will teach you in this course with the 24
steps – be a Navy SEAL
23
24. MIT EDP 2014
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DISCIPLINED
ENTREPRENEURSHIP
Characteristics
• Teams and not individuals
• Teams are made up of individuals
• Cross disciplinary & heterogeneous
• Odds go up with members on team: 1 5
• Autonomy a common trait but that is less than a
narcissistic obsession to personally create value
• Motivated by more than the money
• Doesn’t make excuses but rather GSD
• Thrill in the role of David vs. Goliath – and skilled at it
• Team players!
25. MIT EDP 2014
#MITEDP
DISCIPLINED
ENTREPRENEURSHIP
What EDP is All About...
• Cram as much experience into 5 days as possible.
• Goal:
• Business plan that will yield a company with a market capitalization of
$30 million within three years of launch/or sales of $10 million – or to
create a new venture that will have that kind of significant impact
• Readings are important, but the goal of the class is to
have you apply frameworks and gain knowledge,
experience, confidence & hopefully a teammate.
• Learn by doing
25
