TEDxMidAtlantic 2010 - Saras Sarasvathy - 11/5/10

Summary

The speaker emphasizes the transformative power of entrepreneurship, illustrating how it shapes our world through stories of companies like Starbucks and Nike. They introduce the 'entrepreneurial method', contrasting it with traditional market research and prediction. Expert entrepreneurs are shown to favor control over prediction, engaging stakeholders to co-create ventures and markets, as exemplified by the founding of Grameen Bank. The talk concludes with a vision of teaching entrepreneurship as a method to create new possible worlds, not just as a business subset.

Takeaways

• 🎓 The speaker's education was made possible by the Tata Foundation, highlighting the role of entrepreneurial companies in shaping lives.
• 🌐 We live in a world created by entrepreneurs, yet the process of how they create and innovate is not well understood.
• 🤔 Entrepreneurs often don't have a coherent story of their entrepreneurial journey, suggesting a gap in our understanding of the entrepreneurial process.
• 💡 The speaker challenges the audience to think about the origins of everyday things, like the light bulb, and the entrepreneurial efforts behind them.
• 🧐 The entrepreneurial method is distinct from the inventor's method, suggesting that creating a business is a different skill set from inventing a product.
• 🔮 Expert entrepreneurs are suspicious of market research and predictive information, preferring to control the future rather than predict it.
• 🤝 Entrepreneurs start with their personal resources and networks, engaging with potential stakeholders early to gather feedback and commitments.
• 🔄 The entrepreneurial process involves an iterative cycle of engaging with stakeholders, which can lead to the co-creation of new ventures and markets.
• 🌟 The story of Grameen Bank illustrates how an entrepreneurial approach can lead to significant social change and the creation of new industries.
• 🌱 The entrepreneurial method, like the scientific method, is based on simple principles and a process that can lead to profound transformations in the world.

Q & A

What is the significance of the Tata Foundation in the speaker's life?

The Tata Foundation played a pivotal role in the speaker's life by funding their college education, which enabled them to pursue higher education and eventually become an entrepreneur.

Why does the speaker believe that entrepreneurs don't always provide a coherent story of their success?

The speaker suggests that entrepreneurs themselves may not always have a clear narrative of their success because the process of entrepreneurship is complex and often involves unpredictable elements.

What is the difference between an inventor and an entrepreneur according to the speaker?

The speaker highlights that an inventor is someone who comes up with new ideas or innovations, while an entrepreneur is the one who takes those ideas and turns them into successful businesses.

Why did the speaker mention Edison, Starbucks, Nike, and Sony in the script?

The speaker uses these examples to illustrate that behind every successful company or product, there is a story of entrepreneurial endeavor, often starting from humble beginnings and facing challenges before achieving success.

What is the 'entrepreneurial method' the speaker refers to?

The 'entrepreneurial method' is a systematic approach to entrepreneurship that the speaker suggests can be taught and learned, similar to the scientific method, which involves a series of principles and processes to create new ventures.

Why do expert entrepreneurs dislike market research according to the speaker?

Expert entrepreneurs dislike market research because they are suspicious of predictive information and prefer to control the future rather than predict it, focusing on actions within their control.

How does the speaker describe the process of an entrepreneur starting a venture?

The speaker describes the process as starting with what the entrepreneur knows and who they know, taking actionable steps with limited resources, and engaging with potential stakeholders to co-create and refine the venture.

What is the story of Grameen Bank and how does it relate to the entrepreneurial method?

Grameen Bank was started by Professor Muhammad Yunus to address the issue of indebtedness among the poor in Bangladesh. It exemplifies the entrepreneurial method by starting with a small commitment, engaging with stakeholders, and iteratively building a business model that created a new industry of microcredit.

How does the speaker envision teaching entrepreneurship in the 'pen world'?

In the 'pen world,' the speaker envisions teaching entrepreneurship as a fundamental skill, not just for potential entrepreneurs but for everyone, integrating it into education like science, and emphasizing co-creation of ventures.

What is the philosophical perspective the speaker uses to describe the potential of entrepreneurship?

The speaker uses a philosophical perspective that views the actual world as containing within it the seeds of all possible worlds, suggesting that entrepreneurship is about committing to and creating the worlds we want to live in.