SMO 431: New Venture Creation Winter 2015, Section B1
Instructor: Max Ganzin Time: Mon; Wed 9:00-10:20
E-mail: [email protected] Location: BUS 4-05
Office Hours: by appointment Course Website: available via uLearn
COURSE DESCRIPTION
The course provides practical knowledge and skills for students broadly interested in entrepreneurship and the management of small businesses. The course is designed to expose students to key phases of the entrepreneurial experience from developing and assessing a business concept through to launching and managing a new venture. The topics covered in this course include: idea generation, evaluating the market for new venture opportunities, developing a feasibility analysis and a realistic business model, getting financing or funding, and developing effective strategies for launching and growing the business.
LEARNING OBJECTIVES
• Understand the potential benefits and challenges of being an entrepreneur
• Know what is involved in conceptualizing, planning, funding, and launching a new venture – and understanding how to respond to industry, market, competitor, and customer factors that influence the entrepreneurial process
• Develop practical analytical and communication skills needed to build a compelling case for a business venture idea
• Develop a comprehensive and feasible business plan for a new venture
This course incorporates the Learning Goals of the BCom Program, in particular Critical Thinking, Teamwork, Global Awareness and Written Communication.
REQUIRED TEXT
Entrepreneurship: Successfully Launching New Ventures (4th Edition). Bruce R. Barringer and Duane Ireland (Prentice Hall, 2011, ISBN-10: 0132555522; ISBN-13: 9780132555524)
* Note: There is also an e-copy of the textbook available.
Cases and Articles:
(1) Roberts, M.J. Analyzing New Venture Opportunities (Harvard Case #809163)
(2) Gilbert, C.G., & Eyring, M.J. Beating the Odds When You Launch a New Venture (Harvard Business Review 2010)
(3) Gamble, E., Moroz, P., & Thornhill, S. Shutout Solutions (Richard Ivey #W11261)
(4) Foster, G., Hornblower, J., & O’Reilly, N. Homeless World Cup: Social Entrepreneurship, Cause Marketing, and a Partnership with Nike (Stanford Case #E376)
(5) Stefan Thomke, Barbara Feinberg. Design Thinking and Innovation at Apple (Harvard Case #609066)
COURSE EVALUATION AND GRADING PROCEDURES Attendance and Participation (15%)
Students are expected to attend every class – as each class is designed to enrich and extend the material from the course readings. Attendance and participation in classroom discussions is a critical part of this evaluation. If you are not able to attend a class, please e-mail the instructor prior to the missed class.
Students are responsible for the material covered during their absence, as well as any assignments that are due. Assignments due during a missed class are to be e-mailed to the instructor prior to the start time of that class.
To achieve full points for participation, students should come to each class prepared for discussing the assigned readings and actively participate in class activities. Students are asked to be respectful of the classroom environment and the time of the instructor, guest speakers, and other students. Surfing the Internet, text messaging, and other similar disruptions to the class will have an impact on the participation component of your grade.
Assignments (85%)
Students are expected to submit hard copies of the assignments at the start of the class in which they are due – unless otherwise directed. Late assignments will not be accepted except under extenuating circumstances. The course policy for late assignments is a deduction of 5% per day (i.e. 24 hours) after the due date/time. No assignments will be accepted beyond one week of the due date.
DESCRIPTION OF ASSIGNMENTS (Format: TNR 12point font, 2.0 line spacing) EVALUATION WEIGHT Individual Group Cases: Students working in groups (5-6 members) will prepare and present
four cases. A good and thorough analysis of the case as well as feasible proposal for action is expected.
15%
Midterm: (Feb 11, 2015): Testing your knowledge gained from the textbook
and in-class discussion. 15%
Feasibility Analysis Plan for Proposed Venture: (Due February 25, 2015)
Students working in groups (with five to six members) will write a six-page feasibility analysis plan of a venture opportunity. The venture opportunity can be one of the ones proposed in the previous assignment. The report should contain the following components: (1) product/service feasibility – a clear and concise concept statement and a short buying intentions survey;
(2) industry/target market feasibility – a general assessment of the industry 10%
and target market attractiveness using primary and/or secondary data sources; (3) organizational feasibility – a short evaluation of the management expertise, organizational competence, and resources needed to successful launch the new venture; and (4) financial feasibility – estimated start-up costs, potential funding sources, and an estimation of the proposed start-up’s financial performance.
Business Plan Report: (Due March 25, 2015)
Students are to submit a 20 to 25-page business plan (including cover page,
table of contents, and appendices). The plan should include all the components discussed in Chapter 4 of the textbook.
Each group is to submit one hard copy of the business plan and one 5% 25%
executive summary. These executive summaries will be given to other students in the class for the Venture Capitalists Business Plan Critique assignment (see below).
The individual component of the evaluation will be based on your group members’ evaluations of your contribution to the project.
Business Plan Presentation:
Students are to prepare a 15-minute presentation of their Business Plans to
10%
be presented on one of two dates to be drawn randomly (March 30th or April 1st). The presentations will be followed by a 10-minute question and answer period with a panel of students assigned to act as VCs (see below).
Venture Capitalists (VC) Business Plan Critique:
Each student will be given executive summaries of two groups’ proposed new ventures on March 25th (assigned at random). Students are to read the summaries and come to class prepared to act as a potential VC on the 5%
dates of those Business Plan presentations. On the dates of the presentations, the students that are assigned to act as VCs will be given scorecards – which should be submitted at the end of the class.
Total [25%] [60%]
Grading
Individual grades will be assigned based on total course marks earned by the student (with a weight of 40% for individual evaluations and 60% for group evaluations). The class average is expected to be in the B range, using the standard University of Alberta Class Record Book. A combination of raw percentage marks and distribution will be used to determine the letter grade assignment to each student. This method of assigning grades is done to facilitate consistency in grading for different sections of this course.
The percentage grades approximately translate as follows: A+ = 95%+, A = 90-94%, A- = 87-89%, B+ = 84- 86%, B = 81-83%, B- = 78-80%, C + = 75-77%, C = 72-74%, C- = 69-71%, D+ = 60-68%. Note that the exact translation of percent grades into letter grades will not be established until after all marks have been recorded. Also, below D+ is not passing for undergraduate courses.
CONFIDENTIALITY POLICY
Throughout the course, students will be exposed to proprietary information from other students as well as guest speakers. Students are expected to treat such information as confidential and not disclose this information to any third parties without specific written permission from the students or guest speakers.
GENERAL COURSE-RELATED POLICIES
Policy about course outlines can be found in Section 23.4(2) of the University Calendar.
The University of Alberta is committed to the highest standards of academic integrity and honesty.
Students are expected to be familiar with these standards regarding academic honesty and to uphold the policies of the University in this respect. Students are particularly urged to familiarize themselves with the provisions of the Code of Student Behaviour (online at www.ualberta.ca/secretariat/appeals.htm) and avoid any behaviour which could potentially result in suspicions of cheating, plagiarism, misrepresentation of facts and/or participation in an offence. Academic dishonesty is a serious offence and can result in suspension or expulsion from the University.
Audio or video recording of lectures, labs, seminars or any other teaching environment by students is allowed only with the prior written consent of the instructor or as a part of an approved accommodation plan. Recorded material is to be used solely for personal study, and is not to be used or distributed for any other purpose without prior written consent from the instructor.
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Note: This syllabus may be subject to further modifications (January 5, 2014).
