The
Timmons model illustares the interdependence between the three main elements
namely opportunity, team and resources. It is important to realize that the
process starts with opportunity not money, strategy, networks, teams or the
business plan.
An opportunity consists of four integrated elements all of which
are to be present within the same timeframe (window of opportunity) and most
often within the same domain or geographical location before it can be claimed
as a business opportunity. These four elements are a need, the means to fulfill
the need, the method to apply the means to fulfill the need and a method to
benefit.
The more unique the combination of the
elements, the more unique the business opportunity. The more control an
institution has over the elements, the better they are positioned to exploit
the opportunity and to become a niche market leader. Timmons and Spinnelli
summarize by saying a superior opportunity has the qualities of being
attractive, durable and timely and is anchored in a product or service which
creates or adds value to its buyer or end-user usually by solving a very
serious problem.
There is a common misconception that
entrepreneurs first need to have all their resources in place for the venture
to succeed, but this is false. Instead money follows high potential
opportunities conceived of and led by a strong management team. It enhances
creativity and increases the potential of competitive advantage. Furthermore,
dynamic opportunities require diverse talents. Where skills are absent or
insufficient, opportunities may be forgone, under-exploited and delayed. The entrepreneurial
team must have relevant experience and the motivation to excel. They must show
commitment, determination and persistence. They must also tolerate risk,
ambiguity and uncertainty. Finally, they must be creative and adaptable and
they must show leadership and courage.
No comments:
Post a Comment