Cases in Technological Entrepreneurship

Cases in Technological Entrepreneurship

Converting Ideas into Value

Edited by Claudio Petti

The book examines from different perspectives a number of fundamental issues in the process of transforming technological innovations into profits. Key cases and field insights from distinguished contributors show the role and the practices of government bodies, universities, private investors and companies within the transformation of new ideas into value, in start-ups as well as in incumbents. The book takes a systemic view of technological entrepreneurship, positioning the topic at the interface between entrepreneurial and strategic perspectives within the emergent strategic entrepreneurship field.

Introduction

Claudio Petti

Subjects: business and management, entrepreneurship, organisational innovation, economics and finance, economics of innovation, innovation and technology, economics of innovation, organisational innovation

Extract

Technological entrepreneurship combines two main concepts. The first is technology, which is ‘the theoretical and practical knowledge, skills, and artifacts that can be used to develop products and services as well as their production and delivery systems’ (Burgelman et al., 2004, p. 2). The second is entrepreneurship, which can be defined as ‘the identification and exploitation of previously unexploited opportunities through the creation of new resources or the combinations of existing resources in new ways, to develop and commercialize new products, move into new markets and/or service new customers’ (Hitt et al., 2001, p. 480). According to these combined definitions, technological entrepreneurship can be conceived as recognizing, discovering and even creating entrepreneurial opportunities from technological developments. Entrepreneurial opportunities are the possibilities to create future economic artifacts originating from the divergence of beliefs towards the future value of resources – technologies in our case – given the possibility to transform them in future outputs, that is, technological applications (Kirzner, 1997; Venkatraman and Sarasvathy, 2001). Thus, (Casson, 1982) entrepreneurial opportunities are ‘those situations in which new goods, services, raw materials, and organizing methods can be introduced and sold at greater than their costs of production’ and differ from the larger set of opportunities to create profits as they require the discovery of new means-ends relationships, as opposed to optimization within existing means-ends frameworks (Kirzner, 1997). Despite the number of success stories and available cases, new meansends relationships such as this are not necessarily discovered by serendipitous entrepreneurs. Rather, their identification is often the result...