1. Chapter 2: Creativity1 Copyright 2002 Prentice Hall Publishing Company Inside the Entrepreneurial Mind: From Ideas to Reality

2. Chapter 2: Creativity2 Copyright 2002 Prentice Hall Publishing Company Creativity and Innovation n Creativity – the ability to develop new ideas and to discover new ways of looking at problems and opportunities. n Innovation – the ability to apply creative solutions to problems or opportunities to enhance or to enrich people’s lives.

3. Chapter 2: Creativity3 Copyright 2002 Prentice Hall Publishing Company Entrepreneurship n Entrepreneurship – the result of a disciplined, systematic process of applying creativity and innovation to the needs and opportunities in the marketplace. Entrepreneurs connect their creative ideas with the purposeful action and structure of a business.

4. Chapter 2: Creativity4 Copyright 2002 Prentice Hall Publishing Company Failure: Just Part of the Creative Process! n For every 3,000 new product ideas:  Four make it to the development stage.  Two are actually launched.  One becomes a success in the market. n On average, new products account for 40% of companies’ sales!!

5. Chapter 2: Creativity5 Copyright 2002 Prentice Hall Publishing Company Can We Learn to Be Creative? Yes!! By overcoming paradigms and by suspending conventional thinking long enough to consider new and different alternatives!

6. Chapter 2: Creativity6 Copyright 2002 Prentice Hall Publishing Company Bird’s Model of Entrepreneurial Intentionality Opportunities in the social, political, economic context Personal history, background, personality, abilities Rational, analytic thinking, goal- directed behavior Intuitive thinking, vision Intentionality Actions

7. Chapter 2: Creativity7 Copyright 2002 Prentice Hall Publishing Company Right-Brained, Creative Thinkers n Always ask, “Is there a better way?” n Challenge custom, routine, and tradition. n Are reflective. n Play mental games.

8. Chapter 2: Creativity8 Copyright 2002 Prentice Hall Publishing Company Right-Brained, Creative Thinkers n Realize that there may be more than one “right” answer. n See mistakes as pit stops on the way to success. n Relate seemingly unrelated ideas to a problem. n Have “helicopter skills.”

9. Chapter 2: Creativity9 Copyright 2002 Prentice Hall Publishing Company Left-Brained or Right-Brained? n Entrepreneurship requires both left- and right-brained thinking.  Right-brained thinking draws on divergent reasoning, the ability to create a multitude of original, diverse ideas.  Left-brained thinking counts on convergent reasoning, the ability to evaluate multiple ideas and to choose the best solution to a problem.

10. Chapter 2: Creativity10 Copyright 2002 Prentice Hall Publishing Company

11. Chapter 2: Creativity11 Copyright 2002 Prentice Hall Publishing Company

12. Chapter 2: Creativity12 Copyright 2002 Prentice Hall Publishing Company Elements of Creativity n Unique (original) n Valued (useful) n Intent (purpose) n Continuance (implementation excellence)

13. Chapter 2: Creativity13 Copyright 2002 Prentice Hall Publishing Company Increasing Personal Creativity n Idea file or notebook n Network n Read voraciously n Think in opposites n Look for new uses for old things

14. Chapter 2: Creativity14 Copyright 2002 Prentice Hall Publishing Company

15. Chapter 2: Creativity15 Copyright 2002 Prentice Hall Publishing Company Barriers to Creativity n Searching for the one “right” answer n Focusing on “being logical” n Blindly following the rules n Constantly being practical n Viewing play as frivolous

16. Chapter 2: Creativity16 Copyright 2002 Prentice Hall Publishing Company Barriers to Creativity (continued) n Becoming overly specialized n Avoiding ambiguity n Fearing looking foolish n Fearing mistakes and failure n Believing that “I’m not creative”

17. Chapter 2: Creativity17 Copyright 2002 Prentice Hall Publishing Company Tips for Enhancing Organizational Creativity n Expecting creativity n Expecting and tolerating failure n Encouraging creativity n Viewing problems as challenges n Providing creativity training n Providing support n Rewarding creativity n Modeling creative behavior

18. Chapter 2: Creativity18 Copyright 2002 Prentice Hall Publishing Company Tips for Enhancing Individual Creativity n Allow yourself to be creative n Give your mind fresh input every day n Keep a journal handy to record your thoughts and ideas n Read books on stimulating creativity n Take some time off

19. Chapter 2: Creativity19 Copyright 2002 Prentice Hall Publishing Company The Creative Process PreparationInvestigationTransformation IncubationIlluminationVerification Implementation

20. Chapter 2: Creativity20 Copyright 2002 Prentice Hall Publishing Company The Creative Process PreparationInvestigationTransformation IncubationIlluminationVerification Implementation

21. Chapter 2: Creativity21 Copyright 2002 Prentice Hall Publishing Company Techniques for Improving the Creative Process n Brainstorming  Goal is to create a large quantity of novel and imaginative ideas. n Mind-mapping  A graphical technique that encourages thinking on both sides of the brain, visually displays relationships among ideas, and improves the ability to see a problem from many sides. n Rapid prototyping  Transforming an idea into an actual model that will point out flaws and lead to design improvements.

22. Chapter 2: Creativity22 Copyright 2002 Prentice Hall Publishing Company Protecting Your Ideas n Patent – a grant from the Patent and Trademark Office to the inventor of a product, giving the exclusive right to make, use, or sell the invention for 20 years from the date of filing the patent application.

23. Chapter 2: Creativity23 Copyright 2002 Prentice Hall Publishing Company The Steps to a Patent Establish the invention’s novelty Document the device Search existing patents Submit the patent application Prosecute the patent application Study search results

24. Chapter 2: Creativity24 Copyright 2002 Prentice Hall Publishing Company Protecting Your Ideas n Trademark – any distinctive word, symbol, design, name, logo, slogan, or trade dress a company uses to identify the origin of a product or to distinguish it from other goods on the market. n Servicemark – the same as a trademark except that it identifies the source of a service rather than a product.

25. Chapter 2: Creativity25 Copyright 2002 Prentice Hall Publishing Company Protecting Your Ideas (continued) n Copyright – an exclusive right that protects the creators of original works of authorship such as literary, dramatic, musical, and artistic works. n Copyrighted material is denoted by the symbol ©.