The Lee Kong Chian School of Business

Academic Year 2016/17

Term 1
MGMT 218 ENTREPRENEURSHIP AND BUSINESS CREATION
Instructor Name
Title
Email
Office

: Dr Patrick Loh
: Adjunct Professor of Strategy and Organisation
: patrickloh@smu.edu.sg
: LKCSB #5081

COURSE DESCRIPTION
This course traces the steps that entrepreneurs likely encounter between a first recognition of a potential
business opportunity to the nascent operation of the actual company. This course teaches students the basic
ingredients of a business plan and a short pitch for their ideas, yet shows the limitations of a static document
in the changing marketplace. Through the use of real business cases, this course helps students understand
various issues that require analysis and resolution before their company can be on a more financially
sustainable footing.

LEARNING OBJECTIVES
By the end of the course, students will be able to:
Write a business plan and develop a short description about an entrepreneurial idea,
Assess the feasibility of business ideas and opportunities,
Have a sense of what to expect and what to look out for when starting a new business,
Understand and work toward resolving the limitations of a static business plan.

PRE-REQUISITE/ CO-REQUISITE/ MUTUALLY EXCLUSIVE COURSE(S)

Please refer to the Course Catalogue on OASIS for the most updated list of pre-requisites / co-requisites for
this particular course. Do note that if this course has a co-requisite, it means that the course has to be taken
together with another course. Dropping one course during BOSS bidding would result in both courses being
dropped at the same time.

ASSESSMENT METHODS

Individual Class Participation

One Individual Case analysis
Quiz
One Individual memo
Team-based Project

15%
20%
15%
10%
40%
----------------------------TOTAL
100%

ACADEMIC INTEGRITY
All acts of academic dishonesty (including, but not limited to, plagiarism, cheating, fabrication, facilitation of acts
of academic dishonesty by others, unauthorized possession of exam questions, or tampering with the
academic work of other students) are serious offences.
All work (whether oral or written) submitted for purposes of assessment must be the students own work.
Penalties for violation of the policy range from zero marks for the component assessment to expulsion,
depending on the nature of the offence.

When in doubt, students should consult the course instructor. Details on the SMU Code of Academic
Integrity may be accessed at http://www.smuscd.org/resources.html.

ACCESSIBILITY
SMU strives to make learning experiences accessible for all. If you anticipate or experience physical or
academic barriers due to disability, please let me know immediately. You are also welcome to contact the
university's disability services team if you have questions or concerns about academic provisions:
included@smu.edu.sg.
Please be aware that the accessible tables in our seminar room should remain available for students who
require them.

INSTRUCTIONAL METHODS AND EXPECTATIONS

The course is designed to be informational, hands-on and reflective. To achieve the objectives of the course, a
variety of instructional methods will be used. These include lectures, small group discussions, experiential
exercises, class presentations and self-learning. Students are expected to attend all class sessions, complete the
reading assignments, and be prepared to lead case studies, class discussions, etc.
Evaluation methods include individual class participation, individual case analysis and memos, quiz, and a final
team-based project.
Readings: You are responsible to purchase the course pack from the library. If the articles are not included
in the course pack, you are responsible to locate them via the Librarys Praxis Catalogue.
Individual Case analysis: Each student has to submit a two-page case analysis for the case of your choice.
The case analysis is more than a summary but also an analysis of the situation and offer a point of view. You
need to analyze the key issue in the case, how the case is relevant to the course readings, and what
recommendations do you suggest the case protagonist to do; please use evidence to support your argument.
A grading rubric is uploaded on e-Learn, and make sure you cite appropriate resources with APA style. You
will have to sign up a case in class in Week 2. A maximum of 10 students may sign up for any one case (this
may vary by the class size)..
Please hand in hard copies of your analysis during the class when your case is discussed, as well as upload a
soft-copy on e-Learn. I will not accept late analysis. Be prepared to share your analysis in class.
Quiz: The quiz will take place in Week 9; it consists of MCQ and short answers to test key concepts from the
readings. This shall be an electronic quiz on e-Learn.
Individual memo: The individual memo should reflect your learning experiences (both independent and inclass). You must demonstrate your understanding and ability to apply the concepts we go over in class. Try
to be critical on whether or not the concept explains your real-life experiences. You may choose 1 of the 2
topics listed at the end of the course outline. Writing assignments are due in Sessions 11. Please hand in hard
copies, and I will not accept late memos. The memo is 1000 word maximum (double-space, about 3 pages).
Team-based project: The final project will be a business plan of your start-up company. You select a team of
5-6 members; try to have at least 2-3 majors represented in your team. This will be your start-up team for
the new business. You should have your team and idea for business start-up by Session 4, and you will submit a
weekly status update on e-Learn. I will brief you more about the final project in class and time will be
allocated in class to work on your project.
*If you choose to use business ideas from previous module for the final project in this module, please inform
me and submit the previous project (in soft copy) alongside with your final project. I will not grade the project
from the previous module but would like to see how your final project of this module builds on your previous
projects.
Classroom policy: Please be punctual, be prepared and be present. Be polite to each other; keep an openmind to comments and suggestions. Please silence your phone. Laptops are allowed but please use them
2

effectively for class purposes. If you are absent for medical reasons, please submit a MC. Being present at all
session does not guarantee an A for class participation, its your responsibility to participate, contribute to
discussions and be engaged in in-class activities and term projects.

CONSULTATIONS
I will be available for consultations during break-time and by appointment. Please come in with specific issues
and bring along a few alternatives or possible solutions.

RECOMMENDED TEXT AND READINGS

Compulsory:
Robert Hisrich, Michael Peters, Dean Shepherd, International Edition 2013, Entrepreneurship (9th ed.), McGrawHill [Subsequently referred to as HPS]
Supplementary References:
Blank S. 2013. Why the lean start-up changes everything. Harvard Business Review May.
How to Write a Great Business Plan (2008), by W.A. Sahlman, Harvard Business School Press [S]
Zafar N, Chang V. 2012. SpeedSim: Made to Exit! California Management Review 54(4): 143-155.
Kao & Tan, 2001, Entrepreneurship and Enterprise Development in Asia. Prentice-Hall, Singapore

WEEKLY LESSON PLANS

TOPIC OVERVIEW
WEEK 1

THE ENTREPRENEURIAL SPIRIT AND ACTIONS

HPS Chapter 1

The Entrepreneurial mind-Set ; Innovators DNA

Innovators DNA

The nature of entrepreneurship and importance to

Selected articles from Harvard

the economy
WEEKS 2-3

REFERENCES

GENERATING & REFINING BUSINESS IDEAS

Business Review
HPS chapters 4, 5, 6

Brainstorm and create ideas

Test and refine business ideas
Effectuation
WEEK 4

BUSINESS MODEL & BUSINESS PLANS

HPS Chapter 7

Linking business ideas with business models

Lean start-up

Elements in a business plan

Selected articles from Harvard

Protect your ideas with intellectual property

Business Review

strategies
WEEKS 5-7

CREATING AND STARTING THE VENTURE

HPS chapters 8 to 10

The marketing plan

Selected case studies

The organizational plan

Discovery driven planning

The financial plan

WEEK 8

RECESS

WEEK 9

FINANCING THE NEW VENTURE

HPS Chapters 11

Evaluating business plans

Selected articles

Sources of capital and risks

WEEKS 10-11

WEEKS 12-13

THE ENTREPRENEURIAL JOURNEY

Venture capital and going public

Selected case studies from SMU

Exit strategy & Dealing with failure

Case catalogue

PRESENTATION OF YOUR START-UP BUSINESS

Week 1
Introduction & Course Overview; what is entrepreneurship
Why we need entrepreneurship in our economy?
Who are entrepreneurs? And what do entrepreneurs do? How are they different from managers?
Course overview
In-class: Ice-breaking activity, watch a video on entrepreneurship.
Week 2
Effectuation & Opportunity recognition
Read:

What makes entrepreneurs entrepreneurial by S. Sarasvathy (hand-out)

Dyer, J., H. Gregersen., and C. Christensen (2009). "The Innovator's DNA." Harvard Business Review
(December): 61-67.
In-class: We will watch a video, What is entrepreneurial method by S. Saravathy and engage a 90 min in-class
exercise on effectuation and debrief.
Week 3
Market entry & Lean start-up
Read:

HSP Ch. 3 (p. 57-71) and 4

Blank, S. (2013). Why the lean start-up model changes everything. Harvard Business Review (May): p. 63-72
Supplementary Creating new market space by W.C. Kim and R. Mauborgne, Harvard Business Review,
Jan-Feb. 1999
In-class: Be prepared to share your ideas with your peers; begin to form teams in class
Week 4
Domestic and international opportunities/ Getting ready for business plan
Read:
HSP Ch. 5
Case 1: Lemdu Diary: Beyond Milk [SMU Case, post on e-Learn]
Reading questions: Compare the market landscape between Singapore and Malaysia, what could be the
exporting channels? If you were Patrick Loh, what would you do?
Sahlman, W. (1997). "How to write a great business plan." Harvard Business Review July- August: 98-108.
In-class: Watch a video on Aramax.
Week 5
Protecting your ideas
*Teams should come prepared to introduce their start-ups, ideas, and name of the company, and the IP
strategy to protect them. Submit a one-page summary of the presentation (not graded, but will give feedback)

HSP Ch. 6 Protecting the idea and other legal issues

Skim through HSP Ch. 7
4

In-class: Please prepare to share your groups business ideas to class. We will review some business plan
samples.
Week 6
Marketing plan
Read:

HSP Ch. 8
Supplementary Onyemah, V., Martha R. Pesquera and Abdul Ali (2013). "What entrepreneurs get wrong."
Harvard Business Review May: 74-79.
Case 2: Babba Co., HBS Case study [In course pack: 813-107- PDF-ENG]
Reading questions: What was Babba Cos initial product concept, what changes did they make and why? What
are Babba Cos marketing strategies, what have they changed and what did they learn from their marketing?

Week 7
Being a founder & building management team
Read:

HSP Ch. 9 Organizational plan

Wassermans note: Assembling the start-up team [In course pack: 812122- PDF-ENG]
Case 3: Crafting a founder agreement at HealthCraft [In course pack: 9-813-101 PDF-ENG]
Reading questions: What is a founders agreement? What is the expectation of a founder? Do you think
the Kevin, Wendy, and Salvator should draft a founders agreement? How would you apply Wassermans
framework in this scenario to determine the equity split?

Week 8 Recess week

Week 9
Financial plan
Read:

Skim through HSP Ch.10 and HSP Ch.11

McGrath, MacMillan (1995). Discovery driven planning. Harvard Business Review July: p. 44
Case 4: Blink Booking HBS Case study [In course pack: 813121-PDF-ENG]
Supplementary: A.Bhide (1992). Boostrap finance: the art of start-ups. Harvard Business Review
(Nov):109
Reading questions: How would you apply the three dimensions of entrepreneurship to Rebecca and Albertos
entrepreneurial strategy? What are the factors to consider when replicating a business model at a different
country? What would you do if you were Rebecca, why?

In-class: Quiz. Each team has 20 min to work on the Discovery- Driven Planning for your start-up.
Week 10
Source of capital and risks & developing your pitch
* Each group prepares to pitch
* Please come in with a draft of your Executive Summary for your start-up
Read:
Zider, Bob (1998). How venture capital work in Harvard Business Review, Nov- Dec: 131-139
Beating the odds when you launch a new venture by Clarke Gilbert and M. Eyring in Harvard
Business Review, May 2010
Supplementary material: How to negotiate with VCs by Deepak Malhotra in Harvard Business
Review, May 2013
In-class: We will spend 2 hours on a role-play exercise, start-up teams are divided to play venture capitalists
vs. start-ups; start-up team will give your pitch and VCs provide evaluation.
In-class: Bring your business plan material; we will have a in-class exercise to conduct peer review of your
executive summary
5

Week 11
Wrap up Guest speakers
Read:
Case 5: Innova Technology, Part A and B [post on e-Learn]
Reading questions: Pay attention to the start-ups competition, point of entry; do you think Innova Tech
suffer from not being a first mover? What are their assumptions about the market and their technology?
How do you think they validate the assumptions? Also, pay attention to different funding sources.
*Your individual memo due in class
Week 12
Team presentations
Week 13
Team presentations
Choices of memo topic:
1) What is/ are the business idea(s) that youve identified? How would you describe your process of creating
the business ideas? In retrospect, did you apply any of the effectuation principles (i.e., affordable loss
principles, strategic partnership principle, leveraging contingency)? if yes, how; if not, what would you have
done differently?
2) What would Steve Blank, author of Lean Start-up say about making marketing and financial plans, reflect
on what have you learned so far in the process of working on the different parts of the business plan, do you
agree or disagree with Steve Blanks framework?