Intrepreneurship
3/18/2013
BBUS 3710
Intrapreunership
Instructor
Bashir Ahmed, CFA
Definition
• An intrapreneur is someone who has an entrepreneurial streak in his or her DNA, but chooses to align his or her talents with a large organization in place of creating his or her own, or corporate enterpreuners •
Introduction of New Products Outside of the Traditional R&D
Process
Creation of New Strategic Partners: Example:
– P&G acquiring Gillette
•
– Delrina Technology, a Toronto-based software products firm, was a vendor to IBM. It needed capital for expansion, but banks were reluctant to lend the company any money because of the intangible nature of its software. IBM already had a marketing partnership, it wanted Delrina to continue to innovate. To give Delrina the necessary capital, IBM acquired 11% of the company. This capital infusion allowed Delrinas software’s to capture a 70% market share
•
Changes in Business Model:
– IBM changed its business model from equipment supplier to provider of technology services in the ninties and has been successful since.
Thompson Rivers University
Bashir Ahmed, CFA
BBUS 3710 Small Business Finance 2
Intrapreuner as developer
• Who takes a company’s existing products or services and pursues high growth by targeting new customers and markets.
While the products or services are not new, they have no brand equity with the new targeted markets. Example: Altoids
Thompson Rivers University
Bashir Ahmed, CFA
BBUS 3710 Small Business Finance 3
2
3/18/2013
Intrapreuner as innovator
• who pursues high growth for his company through new products, services, and/or business models. The innovator is not a member of the company’s R&D department, and therefore creating new products, services, or business models is not her official responsibility.
Thompson Rivers University
Bashir Ahmed, CFA
BBUS 3710 Small Business Finance 4
Models of Intrapreunership
•
BBUS 3710
Intrapreunership
Instructor
Bashir Ahmed, CFA
Definition
• An intrapreneur is someone who has an entrepreneurial streak in his or her DNA, but chooses to align his or her talents with a large organization in place of creating his or her own, or corporate enterpreuners •
Introduction of New Products Outside of the Traditional R&D
Process
Creation of New Strategic Partners: Example:
– P&G acquiring Gillette
•
– Delrina Technology, a Toronto-based software products firm, was a vendor to IBM. It needed capital for expansion, but banks were reluctant to lend the company any money because of the intangible nature of its software. IBM already had a marketing partnership, it wanted Delrina to continue to innovate. To give Delrina the necessary capital, IBM acquired 11% of the company. This capital infusion allowed Delrinas software’s to capture a 70% market share
•
Changes in Business Model:
– IBM changed its business model from equipment supplier to provider of technology services in the ninties and has been successful since.
Thompson Rivers University
Bashir Ahmed, CFA
BBUS 3710 Small Business Finance 2
Intrapreuner as developer
• Who takes a company’s existing products or services and pursues high growth by targeting new customers and markets.
While the products or services are not new, they have no brand equity with the new targeted markets. Example: Altoids
Thompson Rivers University
Bashir Ahmed, CFA
BBUS 3710 Small Business Finance 3
2
3/18/2013
Intrapreuner as innovator
• who pursues high growth for his company through new products, services, and/or business models. The innovator is not a member of the company’s R&D department, and therefore creating new products, services, or business models is not her official responsibility.
Thompson Rivers University
Bashir Ahmed, CFA
BBUS 3710 Small Business Finance 4
Models of Intrapreunership
•