Week 1

Introduction to GE and global problems and mega trends

Global etrepreneurship
 A global entrepreneur seeks out and conducts new and innovative business activities
across national borders. These activities may consist of exporting, licensing, opening a new
sales office, or acquiring another venture.
- Firm history : new, emerge
- Scope : varies – usually focused on early stages of business development
- Firm size : small, start-ups, born global
- Finance : sweat equity, angel and venture capital
- Operations : exporting, sourcing
- Intellectual property : intellectual property creation <patents, proprietary
information>, IP exploitation

Factors influencing international entrepreneurship

 individual factors :
- Background
- Foreign work experience
- Language skills
- Networks
- Global vision
- Skills and opportunity
 business needs
- Limited domestic demand
- Local competition
- Special resource needs
- Exclusive technology/information
 environmental factors
- Basic requirements for doing business
- Efficiency enhancers
- Innovation and entrepreneurship

Four types of problems

1. Known, solution requires just actions
2. Known, solution requires additional expertise
3. Known, solution requires creative approaches
4. Unkown, need to be identified

“wicked problems”
 are complex problems that challenge the world today
eg : climate change, poverty, pollution, terrorism, environmental degradation
“mega trends”
 significant shits in environmental , economic and social conditions that will play out over
the coming decades and will affect our lives significantly.
Eg : 7 mega trends that challenge Australia today and to which companies, businesses, govt
and communities will respond by discovering new ways of innovating and adapting :
1. More from less – scarce water, energy, mineral and food resources are facing
increasing pressure due to rapidly growing demand
2. Going, going, gone – pressure on the worlds biodiversity and ecological habitats
3. the silk highway – centre of gravity of the worlds population by 20150 will between
india and china; 1980 was between Europe and usa
4. Forever young – aging population combined with longer life expectancy impacts
retirement issues.
5. Virtually here – gworth In tele-working, online commerce and social media changing
the way we work, shop and communicate and impact city design, transportation and
lifestyle.
6. Great expectations – rising demands for experiences over products and importance
of social relationships has implications for products, workplaces, cities and cultures.
7. An imperative to innovate – technological advancement is accelerating and it is
creating new markets and extinguishing existing ones.

The mega trends will affect how you live in the future and have implications for how we
position Australia and Australian business in the future.

Week 2
Born global, the global entrepreneur and GEM

Born global
 born global are defined as organisations that within a few years from being founded
enter several international markets and have a global mindset from day one.

(mc dougall) : a special subset of international new ventures which aim at the global market
right from the inception and start their globalization at once, without any precending
domestic operations

Contributing factors
1. Technological advances
 making the coordination of global activities more viable and cost effective. Easy,
real time, cheap communication across different countries
Eg : internet, skype, wa, viber, etc.

2. Ease and low cost of transportation

 low cost of energy and technological advances make travelling and mving goods
frome one country to another easier and cheaper
 eg : freight <pengangkutan>

3. Globalization of markets
 through improved communications and technologies such as tv and internet:
buyers across different countries are becoming increasingly homogeneous

Key challenge for global entrepreneurs

1. Distance – physical & psychic distance
2. Context – political, regulatory, judicial, tax and llabour sysytems
3. Resources – customers expects start-ups to have the quality of larger orgs

Global mindset
- Need to develop a whole new mindset to successfully navigate the global market
- Growing a business of significant size means going global

Global perspective
Business leaders needed the 5 following skills
1. Knowledge about many cultures
2. Willingness to learn from people from many cultures
3. Ability to live in many foreign cultures
4. Ability to interact with others from different cutures on daily basiss
5. Ability to interact with foreign colleagues as equals

GEM (GLOBAL ENTREPRENEURSHIP MONITOR)

 program to study entrepreneurial activity across nations

GEM entrepreneurial framework conditions

- Financial support : availability & access for new and growing firms
- Govt policies : rules and regulations, taxation tht encourage/discourage
new&growing firms
- Govt programs : program to assist new and growing firms
- Edu & training : for starting or managing new or growing business, its her
Quality
- Research & dvlpmt : IP protection, legal obligations.
- Commercial, professional infrastructure : availability of skilled proffesionals, acctg
and legal service tosupport growing business
- Barriers to entry : liberalization of commercial trading arrangements
- Acces to physical infrastructure : internet, phone, post, basic utilities, roads, raw
natural resources
- Cultural n social norms : the extent to ehcich these encourage/discourage
entrepreneurial activities
Week 3
New products for new markets
Understand the development stage of your selected country
Developed countries : have post industrial economies, meaning the service sector provides
more wealth than the industrial sector
developing countries ; are in the process of indrustrialisation
undeveloped or least developed countries : are pre-industrial and almost entirely agrarian

BRICS – the old emerging markets

Brazil, Russia, india, china, south Africa

Emerging market
 Those countries that have characheteristic of developing market but they don’t have
standard of developing countries. For entrepreneurs they can go to this market to expand
their business.

Ansoff growth matrix

 known as the product/market expansion grid)
understanding the risks of different option. A leaders cant stick with a business as usual
mindset, even when things are going well. They need to find new ways to increase profits
and reach new customers.

We use this matrix to think about the potential risks of each option and to hel us devise the
most suitable plan or our situation. And we will know which work best for our orgs

1. Market penetration, in the lower left quadrant, is the safest of the four options.
Here, you focus on expanding sales of your existing product in your existing market:
you know the product works, and the market holds few surprises for you.

2. Product development, in the lower right quadrant, is slightly more risky, because
you're introducing a new product into your existing market.

3. With market development, in the upper left quadrant, you're putting an existing
product into an entirely new market. You can do this by finding a new use for the
product, or by adding new features or benefits to it.

4. Diversification, in the upper right quadrant, is the riskiest of the four options,
because you're introducing a new, unproven product into an entirely new market
that you may not fully understand.

‘
Week 4

Entrepreneurship in base of the pyramid BOP markets in the

developing world
Startups in GE
 entrepreneurship is about developing start-ups
starts up can be defined as businesses with high impact potential, that use innovation
and/or address scalable markets

BOP opportunities
--> Bottom of the pyramid / bottom of the income pyramid is the largest poorest socio
economic group. In global terms this is the 2.7 billio ppl who live on less than $2.50 a day

the wealth pyramid. As we move higher and higher up in walth we find fewer and fewer ppl
having that wealth and vice versa.

Dari bawah itu tier4. – this is where entrepreneurship can have the greatest impact. Have
the ability to ‘revolutionise the world’

Shared value
 defined as policies and operating practices that enhance the competitiveness of a comp.

PORTERS : Value chain Analysis

 a value chain is a set of activities that an orgs carries out to create value for its
customers.
allows firms to understand parts of their operations that create value and those that do not

Primary activity : products physical creation. Create value, social value on financial
- inbound logistic
- operations
-outbound logistic
-marketing and sales
-service
Secondary activity : supporting dept in primary <kaya ngebantu gt loh>
- firm infrastructure
- human resources
- technology development
- procurement

Shared value differ from CSR

 Corporate Social Responsibility (CSR) and Creating Shared Value (CSV)
CSR : is widely perceived as a cost center, not a profit center. Is about responsibility
CSV : is about new business opportunities that create new markets, improve profitability
and strengthen competitive positioning. is about creating value

BELUM SEMUA

Week 5

Business Models for emerging markets and opportunity evaluation

-Five principles of start-up business model

1. your prduct is not “the product”

your “business model” is the product

2. a start-up is a temporary orgs in search of a scable, repeatable, profitable business

model.
a start up is a temporary state
SEARCH  startups do this
EXECUTE  companies do this (kelola)

two domains
START-UP  search, develop aand test hypothesis
COMPANIES  execute : repeat and sale

3. do start ups need business plans?

 yes. But they have to validate their business model by testing the assumptions

4. the first challenge for an entrepreneur is to build an orgs that can test these
assumptions (also reffered to as leaps of faith0 systematically
emerging market business models

 when developing an [emergent market] global business model, researchers and

managers should understand market conditions will not only shape the cost structure and
revenue stream but also make company change its value proporsition entirely.

DMFs wanting to enter BOP markets witch RCI :

- strategy – for social empowerment, prepare for unique and unexpected market conditions
- R&D – conduct low-cost experiments, invest in local r &d
- engineering – design everything, for multiple purposes, customization, low literate users,
low sustainability
-

-opportunity evaluation – seven tables to help you evaluate opportunities

 this Is for assess those factors that are relevant and important to your new venture.
use the table to identify our assumptions.

1. Technology/product/service

2. Customers

3. Market

4. Industry

5. Business and managemet team

6. Economics and finance

7. Sustainable advantage
Week 6
Country assessment
Gain valuable insights about target country

Know what factors to evaluate – learn how to follow a structured approach to

understanding te threats and opportunities in target country

How to manage risk – use a tool to identify which factors should be actibvely managed