Print Page   |   Contact Us   |   Your Cart   |   Report Abuse   |   Sign In
News & Press: Arizona Business News Updates

How Great Entrepreneurs Think

Thursday, March 31, 2011   (0 Comments)
Posted by: Whitney Fletcher
Share |

How Great Entrepreneurs Think

Think inside the (restless, curious, eager) minds of highly accomplished company builders.

By Leigh Buchanan, Inc. Magazine

What distinguishes great entrepreneurs? Discussions of entrepreneurial psychology typically focus on creativity, tolerance for risk, and the desire for achievement—enviable traits that, unfortunately, are not very teachable. So Saras Sarasvathy, a professor at the University of Virginia's Darden School of Business, set out to determine how expert entrepreneurs think, with the goal of transferring that knowledge to aspiring founders. While still a graduate student at Carnegie Mellon, Sarasvathy—with the guidance of her thesis supervisor, the Nobel laureate Herbert Simon—embarked on an audacious project: to eavesdrop on the thinking of the country's most successful entrepreneurs as they grappled with business problems. She required that her subjects have at least 15 years of entrepreneurial experience, have started multiple companies—both successes and failures—and have taken at least one company public.

Sarasvathy identified 245 U.S. entrepreneurs who met her criteria, and 45 of them agreed to participate. (Responses from 27 appeared in her conclusions; the rest were reserved for subsequent studies. Thirty more helped shape the questionnaire.) Revenue at the subjects' companies—all run by the founders at that time—ranged from $200 million to $6.5 billion, in industries as diverse as toys and railroads. Sarasvathy met personally with all of her subjects, including such luminaries as Dennis Bakke, founder of energy giant AES; Earl Bakken of Medtronic; and T.J. Rodgers of Cypress Semiconductor. She presented each with a case study about a hypothetical start-up and 10 decisions that the founder of such a company would have to make in building the venture. Then she switched on a tape recorder and let the entrepreneur talk through the problems for two hours. Sarasvathy later collaborated with Stuart Read, of the IMD business school in Switzerland, to conduct the same experiment with professional managers at large corporations—the likes of Nestlé, Philip Morris, and Shell. Sarasvathy and her colleagues are now extending their research to novice entrepreneurs and both novice and experienced professional investors.


To read more click here.



Get $5k-$20 in Free Marketing: Make 2016 Your Year for Success!

In Business Magazine

Use In Business Magazine as a tool to reach your customers for 2016. Through Print, Online, Social Media, Email & Events, you can realize an additional $5k to $20k in free advertising with In Business Magazine over 2016.

LEARN MORE

Small is the New Black

ThinkSmallBiz

What's trending for 2016? Small Business! This year, resolve to support our local economy by "Thinking Small" at least one time each week! Need help finding a small biz? Visit ThinkSmallBizAZ.com! #ThinkSmallBiz

LEARN MORE

Allowing you to concentrate on what's really important.

Low and Johnson Inc.

We understand the insurance needs of locally-owned businesses because we're one, too. As an ASBA member backed by CNA, we're dedicated to helping small businesses like yours safeguard all you've worked so hard to build.

LEARN MORE

RSVP

ASBA 101

REGISTER

Date: Held monthly
Time: Click to check times
Location: Phoenix or Tucson

RSVP

ASBA Speed Networking

REGISTER

Date: Every 2nd Tuesday of the Month
Time: 3:00 PM - 4:30 PM
Location: Phoenix or Tucson

You're important to us and we want to help protect you

Mutual of Omaha

Protecting you and your family through the use of insurance products. Purchase an insurance policy with lower premiums and/or enhanced benefits not available to the general public.

LEARN MORE

Have questions on small business and health insurance?

Health Insurance

Get the latest on individual, sole proprietor, or group plans related to small business. We can help you find the right plan for you, and your employees. Click to learn more!

LEARN MORE

CopperPoint Insurance Companies

CopperPoint Mutual

CopperPoint Insurance is Arizona's premiere provider of workers compensation insurance. We've been providing coverage and advocating for Arizona businesses, small and large, throughout the state since 1925.

LEARN MORE

Association Management Software Powered by YourMembership  ::  Legal