A new model for unlocking the value of entrepreneurial businesses

Abstract

Purpose

This article integrates observed leading practices for nurturing new businesses into a systematic approach for assessing and managing the risks of entrepreneurial businesses (start‐ups and new ventures within large organizations).

Design/methodology/approach

Extracted management practices from systematic observations of successful and failed entrepreneurial business.

Findings

The management practices of open innovation, experimentation‐driven discovery, and future‐back migration mapping can form the foundation of a systematic toolset for assessing and mitigating the basic risks and unlocking the value of entrepreneurial businesses.

Research limitations/implications

Since the three management practices described are recent innovations, their benefits were not systematically qualified.

Practical implications

These three management practices could help management and funding providers in VC and corporate environments weed out unviable ideas while nurturing promising opportunities that evolve into successful businesses. The end result should be that more good ideas will be funded, creating greater returns for capital providers and opportunity managers.

Originality/value

Illustrates new application of three recent management innovations that can help unlock the value of entrepreneurial businesses.

Citation

Skarzynski, P. and Schaedler, D. (2010), "A new model for unlocking the value of entrepreneurial businesses", Business Strategy Series, Vol. 11 No. 5, pp. 271-276. https://doi.org/10.1108/17515631011080678