Chapter 19 The Right Model for You Flashcards
(24 cards)
What are the two venture-development models mentioned?
Opportunity-based model and Entrepreneur-based model
What does the Opportunity-based model focus on?
The idea, the plan, the technology, and the strategy
In the Opportunity-based model, what happens if entrepreneurs get VC before reaching leadership Aha?
The VCs recruit a professional CEO
What does the Entrepreneur-based model emphasize?
The skills of the entrepreneur
List the key components of the Entrepreneur-based model
- Developing the right skills
- Exploiting passion
- Developing opportunity
- Finding the right strategy based on market feedback
- Adjusting to unmet needs for long-term advantage
- Taking off without VC
What is suggested about delayed VC in Silicon Valley?
Entrepreneurs should consider it and avoid VC outside Silicon Valley
What percentage of billion-dollar entrepreneurs outside Silicon Valley grew without VC?
More than 90 percent
What percentage of billion-dollar entrepreneurs in Silicon Valley grew with delayed VC?
More than 75 percent
What is the benefit of avoiding or delaying VC for billion-dollar entrepreneurs?
They kept most of the wealth created
If seeking to build a high-potential venture, when should entrepreneurs consider getting VC?
After reaching Aha
What was the initial business idea of Bob Kierlin?
Selling nuts and bolts using a vending machine
What did Bob Kierlin do after realizing the vending machine idea would not work?
He pivoted to opening a retail store
How did Fastenal grow without external financing?
By using skills and strategies noted in the book
What was the purpose of Fastenal’s IPO?
To allow employees to purchase stock and share in the wealth
What does Bob Kierlin suggest about the current state of venture capital?
Very few entrepreneurs get venture capital, and even fewer succeed with it
What are the key strategies for building a growth venture according to Dr. Rao?
Skills and smart strategies
What is the focus of Dr. Dileep Rao’s work?
Analyzing the strategies of America’s best entrepreneurs
What is the title of Dr. Rao’s last book with Inc. Magazine?
Nothing Ventured, Everything Gained
What educational institutions does Dr. Rao teach at?
- Florida International University
- Harvard
- Stanford
- INCAE
- University of Minnesota
What type of program has Dr. Rao developed for entrepreneurs?
A unicorn-entrepreneurship program
What role did Dr. Rao have for the US government?
Social entrepreneurship consultant
What degrees does Dr. Rao hold?
Two engineering degrees and a doctorate in business administration
Fill in the blank: More than ______ percent of billion-dollar entrepreneurs took off without VC by using skills.
90
True or False: The Entrepreneur-based model requires VC for growth.
False
