SEMINAR IN ENTREPRENEURSHIP
MBA 533: CAMERON SCHOOL OF BUSINESS
Professor: Craig S. Galbraith Office Hours: before classes, or by appointment
Office Phone: 962-3775 I am in my office almost every day so you
e-mail: email@example.com can always stop by.
Anyone (can be an entrepreneur) who wants to experience the deep, dark
canyons of uncertainty and ambiguity; and who wants to walk the
breathtaking highlands of success. But I caution, do not plan to walk the
latter, until you have experienced the former.
There is no textbook required for this class. Cases and readings will be put on the web; each week’s
assignment will be identified in class or the syllabus. In addition, assignments of various topical “Internet
Readings” may be made during the class. However, most of the learning experience will come during the
classroom experience, that is, from lectures, discussions, exercises, cases, and videos that we cover in class.
Introduction and Course Objectives
Entrepreneurship is about creating and building something of value from practically nothing. An
entrepreneur is someone who creates or seizes an opportunity and relentlessly pursues it without regard to
the resources currently controlled. In this regard, the main difference between managers and
entrepreneurs is that managers are often “resource driven” whereas entrepreneurs are more “opportunity
driven”. Within the broadest definition, entrepreneurs are found throughout all facets of business. Any
firm if it is to survive and prosper must have some measure of entrepreneurial drive.
Entrepreneurial thinking is rapidly becoming one of the most critical management tools for modern
times. By definition, entrepreneurial decisions involve four key components. 1) risk taking, and a personal
acceptance of a large portion of that risk, 2) creativity, and the action involved with setting-up new and
innovative concepts, 3) value added, or adding value to the inputs -- important for both individual success and
the advancement of society, and 4) initiative, or the actual taking of action, rather than just "dreaming".
Entrepreneurs must also be business strategists, dealing with competitive environments, with players engaged
in activity to achieve similar objectives within an overall orientation or focus toward the future.
In this class we will look at a variety of entrepreneurial enterprises – service, high-technology, mid-
technology, low-technology, franchises, etc. All of these entrepreneurial environments share many common
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At the end of this course students should have a clear understanding of the entrepreneurial process,
and a working ability to perform certain tasks related to commercialization of your ideas. In particular, ten
topic groups will be covered in this class (in somewhat the order covered on a weekly basis):
1) The entrepreneurial spirit, idea generation, and personality; the entrepreneurial mindset vs.
2) The business plan, components and uses; introduction to financial modeling and pro-forma
3) Market definition; market research & market analysis.
4) Corporate Venturing and Technology entrepreneurship special topics: technology development
and introduction; stage-gate analysis, pipeline analysis, commercialization plans; communicating
ideas, QUADS, TIPS, and the “pitch.”
5) Franchising. Searching for the right franchise. The advantages and pitfalls of franchising.
Being the franchisee or the franchisor.
6) Financing a start-up business; how financing differs for different types of business and
technologies. Examination of equity markets (angel and venture capital), debt, corporate
partnerships and government grant financing for technology firms.
7) Valuation of a small business, how much should somebody pay or invest for a small or start-up
enterprise operation; due diligence.
8) Intellectual property, license agreements, and how to protect an idea.
9) Global entrepreneurship, such as import and exporting
10) Role of entrepreneurial activity on global and regional economic development;
entrepreneurship in rural and poor environments
Class Preparation and Participation.
This class requires a high level of involvement and commitment. Students are expected to attend and
participate in all sessions of the course (unless pre-arranged with the instructor). Reading assignments for in-
class discussions should be prepared in advance of in-class meetings, and each student is expected to
contribute to the overall learning environment by actively participating in class discussions (20% of grade).
We will examine a couple of cases representing actual entrepreneurial problems; as well as web-based
videos and articles. These materials need to be reviewed ahead of time and will be discussed in class to
illustrate a particular entrepreneurial or strategic issue. In addition, we will have several guest speakers
during the semester. As with any seminar type course, a successful learning experience must include active
participation by class members.
Fall, 2008 MBA 533, Galbraith, p. 3
Executive Summary Business Plan (40% final grade): Everybody will develop a business plan
executive summary (market analysis, entry strategy, including a preliminary pro-forma) in line with current
practice and standards. The choice of business enterprise will be left to the individual, and it is hoped that if
anybody is really interested in starting a business this will be an opportunity to start investigating the
business. If a student desires, the instructor can assign a business topic. This will be due on the last day of
classes as a 20 minute “pitch” to a financier, such as an angel or equity investor. Requirements will be: a) a
power-point vocal, burned to a CD, then provided to the professor (this is a simple process, and instructions
will be provided in class) and b) an “executive summary business plan” (will be illustrated in class from real
examples). We will ask for a couple of volunteers to present their plans in class (in lieu of the vocal-power
Midterm Exam (40% final grade): Midterm exam will be an open book exam near the end of the
course (1 ¼ hours long). Instructor will hand out 10 to 12 questions two weeks before class. Final will be 2
or 3 questions randomly selected from this list.
In courses such as this one, the nuances of the topic are only discovered during the class period
lectures and discussions. Because of this class attendance is required. Because this class only meets once
per week for ten weeks, only one absence will be allowed. Any additional absences will reduce the final
grade by one letter grade.
Summary of Grading
Four components will be used to evaluate progress:
Final Project: Business Plan 40%
Final Exam 40%
Instructor Biographical Sketch
Craig S. Galbraith, MBA, MSc, Ph.D.
GlaxoSmithKline Faculty Fellow, Professor Entrepreneurship and Technology Management, UNCW
Education and Academic Experience. Dr. Galbraith holds a B.A. degree in philosophy and mathematics, an
M.B.A in manufacturing management, from San Diego State University, and an M.Sc. in molecular biology from
the University of Nebraska. Dr. Galbraith’s Ph.D. in management and mathematical economics is from Purdue
University, where he won the top dissertation award in his field. Prior to UNCW, he was on the graduate faculties
of several top-20 ranked management and entrepreneurship programs, including the University of California, the
Peter Drucker Graduate School at Claremont University, and Purdue University. He teaches in the areas of
entrepreneurship, business valuation, technology management, and competitive and global strategy
Professional Experience: Dr. Galbraith has extensive entrepreneurial experience. Since 1981 he has been an
equity owner, founder, and executive team member for a number of start-up companies. His early entrepreneurial
efforts were primarily in ocean-going shipping enterprises and various import/export efforts. Since the early 1990s,
Fall, 2008 MBA 533, Galbraith, p. 4
he has focused on high technology enterprises. For several years, Dr. Galbraith was a co-founder, and Chief
Operating Officer of Biolife Technologies, Inc, an angel funded biotechnology firm. His responsibilities included
business plan development, raising capital, and product commercialization. The firm was later acquired by a large
international pharmaceutical company. Currently, Dr. Galbraith is the Vice President of Commercialization for
Horizon Vision Research, Inc., an early stage medical instrument design firm.
Dr. Galbraith also has extensive experience as an angel investor. He is an active member of the Wilmington
Investor Network (WIN), and currently serves on the WIN screening and due diligence committees. He has
consulted for a number of start-up and Fortune 500 firms, various angel and venture capital agencies, and currently
specializes in small business and technology valuation. In this capacity, Dr. Galbraith has valued over 200
businesses and is court qualified as an expert in entrepreneurship and valuation in many state and federal courts.
Dr. Galbraith has a particular interest in technology commercialization from entrepreneurial firms. Since 2001,
each summer he has been employed as a senior commercialization project manager for CCAT, a Department of
Defense (SPAWAR-SD) funded technology transfer agency headquartered in San Diego. His past projects have
included a hyperspectral explosives detection system for airport security; the Naval Undersea Warfare Center's
robust automated classification system, various chemical and biological warfare agent detection systems, several
intermodal container alert systems for port security, a handheld biological collection device from Los Alamos
Defense Laboratory, and a heads-up near-eye mounted optical display for telemedicine. Dr. Galbraith’s most recent
CCAT technologies were a disease vector control system for military bases in Iraq, a through-wall motion sensing
device, and a new adjuvant to increase effectiveness of anthrax vaccines. He has also participated on recent
commercialization projects for DARPA, TechLink, SSC-San Diego, and has successfully completed over twenty
commercialization projects. Currently he is under contract with the Office of the Secretary of Defense examining
the transfer of DoD technologies to 1st responders.
International Experience. Dr. Galbraith has worked within a variety of international environments. He has been
on the faculties of several universities in Scotland and England, and lectured through-out Europe, Asia, and Latin
America. Dr. Galbraith has had several export/import business relationships with Korean, Mexican, and Indian
firms and has been a consultant to several Mexican enterprises, including BancoMext, the Mexican national export
bank. He has also been a U.S. sponsored delegate to assist in economic transition in Albania and Belize.
Scholarship. Dr. Galbraith is regularly recognized as one of the most published faculty members at UNCW and the
Cameron School of Business. He has written six books on entrepreneurship and technology management, several
which have been translated into different languages, and published over one-hundred scholarly papers in the top
journals in his field, including the Strategic Management Journal, Academy of Management Journal, Journal of
Small Business Management, Journal of Technology Transfer, Journal of Business Venturing and Entrepreneurship
Theory and Practice. He is recognized as one of the world scholars in his field, and has two articles listed among
the top one-hundred cited articles in strategic management. He has won the UNCW award for scholarship, and the
highly competitive GlaxoSmithKline fellowship from North Carolina State University.
Public Service. Dr. Galbraith continues to serve the public as a member of various public agencies and
commissions in North Carolina. In the past, he has been a municipal council member and planning commissioner
(City of Mission Viejo, CA), and industrial development officer (City of Irvine, CA). He has served on various
base-closure commissions and testifies regularly before public agencies regarding economic development issues.
He is currently on the Planning and Zoning Commission for the Town of Kure Beach.
Fall, 2008 MBA 533, Galbraith, p. 5
Week 1: 10/2: Introduction to Course
Review of class
Lecture: The entrepreneurial spirit, idea generation, and personality; the
entrepreneurial mindset vs. reality
Video: The Fire Within
Assign Final Project (next week assignment – 2 minute elevator pitch)
Week 2: 10/9: The Business Plan
Lecture: The business plan, components and uses – role of pro-formas
Video: Getting Started
Guest Speaker: Dr. Alan Brown
Class Discussion: Darling et al, “Entrepreneurial Leadership Strategies and
Values: Keys to Operational Excellence,” Journal of Small Business and
Entrepreneurship 2007, 20(1), 41-54.
Student Elevator pitches (2 minutes plus Q&A)
Evaluation/Scoring of Business Plans
Week 3: 10/16 Market Analysis
Lecture and Discussion Topics: Components of the Market Section of the
Business Plan. Sources of data; databases. Commercialization protocols.
Examples of market analysis: Products demonstrated and discussion in
class: through-wall sensors and unit-dose injection system.
Case Discussion: Homeboy Industries: An Incubator of Hope and
Business, ETP, 2007, p. 769-786.
Class Discussion: LeBrasseur and Zinger, “Start-up Survival and
Management Capability,” Journal of Small Business and Entrepreneurship
2005, 18(1), 409-422;
Evaluation/Scoring of Business Plans
Week 4: 10/23 Corporate Venturing and Technology Entrepreneurship
Lecture and Discussion Topics: Technology entrepreneurship special
topics: technology development and introduction; stage-gate analysis,
pipeline analysis, commercialization plans; communicating ideas, QUADS,
TIPS, and the “pitch.”
Class Discussion: Marvel et al, “Examining the Technical Corporate
Entrepreneurs’ Motivation,” ETP, 2007, 31(5), 753-768
Week 5: 10/30 Global Entrepreneurship
New Lecture and Discussion Topics: Global Markets, Export and Import
Strategies, Licensing strategies.
Week 6: 11/6 Intellectual Property Protection
Lecture and Discussion Topics: Intellectual property, license agreements,
and how to protect an idea.
Fall, 2008 MBA 533, Galbraith, p. 6
Case Discussion: GiGi and Tuni, Inc.; call in from “GiGi” from San Diego
Week 7: 11/13: Entrepreneurial Finance and Pro-Forma generation
Video: Getting Financing
Lecture and Discussion Topics: Equity and debt financing. Public
Offerings. History of angel and VC funding. Using financial
intermediaries. Making the pitch. What banks look for.
Pro-Forma discussion and templates. Sources of information, and
Guest Speaker: Michael Cain, Wilmington Investor Network
Pass-out mid-term exam questions
Week 8: 11/20: Business Valuation for Technology Start-ups and Small firms
Lecture and Discussion Topics: How to do a valuation. Valuation data
bases and procedures. Perfecting a due diligence. Buying or selling a
small firm. The role of business brokers. Not making any mistakes. Data
Bases. (Bring a calculator to class)
Week 9:11/27 Thanksgiving Break
Week 10: 12/4 Developmental Entrepreneurship
Lecture and Discussion: Role of entrepreneurial activity on global and
regional economic development; entrepreneurship in rural and poor
environments. Ethnic Entrepreneurship
Streaming-video: Hernando de Soto (link on web-page) -- everybody view
prior to class.
Week 11: 12/11 Final Presentations
Final Project: CD and executive summary to be handed in
Student Presentations (selected): TBA
Fall, 2008 MBA 533, Galbraith, p. 7
BUSINESS OPPORTUNITY ASSIGNMENT (Elevator Pitch)
For our second class period, each participant should prepare a very short 2 to 3 minute oral presentation
of a potential opportunity and an idea for a business to pursue it. The idea can be for a new start-up
venture, the expansion of an existing business, or the adoption of a franchise operation. Sources for the
idea can be 1) something that you personally have been thinking about; 2) a new venture project that your
company has been thinking about; 3) an idea that a friend or acquaintance is currently thinking about or
working on; or 4) an idea that you may have read about which appeals to you. Look to various business
publications, trade magazines, or local newspapers for further insights on opportunities or to validate a
potential business idea that you have already identified.
When presenting to the rest of the class, your “elevator pitch” oral presentation should address the
following issues (remember this is only a 2 to 3 minute presentation):
• What is the nature of your business opportunity?
• What factors, trends or issues lead you to believe that such an opportunity exists?
• What is your idea for a business to pursue the opportunity?
• What kinds of products or services do you anticipate offering?
• What do you anticipate to be the key competitive advantages of your proposed products or services?
• Who are your most likely customers?
• Why do you believe that this business idea can be so attractive?
I am not looking for extensive answers to these questions. I pose them as a basis to get you to think about
the viability of your potential business opportunity.
Fall, 2008 MBA 533, Galbraith, p. 8
DETAILED EXECUTIVE SUMMARY: HIGH POTENTIAL MARKET OPPORTUNITY
ANALYSIS GUIDELINES (Investor Pitch)
The following outline and related sub-questions are intended to stimulate your thinking about your
proposed high potential market opportunity project. You should be conducting both primary and
secondary research in order to answer these and other relevant questions. The purpose of this exercise is
to allow you to reach a preliminary conclusion as to the viability of your proposed venture. For the final
paper and presentation you should gather as much primary and secondary research data as possible in
order to support your market assumptions and conclusions. At the end of this course, you should be able
to assess the market viability of this business concept. Your final paper and presentation should be
organized to address each of these issues.
Typically a detailed executive plan will cover (also depends to some extent on the proposal topic, for
example, a service business versus manufacturing, etc.):
A) Market Analysis,
B) Strategy to bring your idea to the market,
C) How your idea compares with competitors,
D) Why you have an advantage,
E) Some idea about the funding you are looking for, and
F) Summary Pro-Formas
Here are some things to think about when developing your plan
• Describe the nature of your business opportunity.
• What are the key trends and driving forces which lead you to believe that this is an attractive
• Describe the business model that best suits the high potential market opportunity.
• What will be your primary source of revenue streams?
Product or Service Offering
• Describe your proposed product or service offerings.
• Briefly describe the technology (if applicable) upon which your product or service is or will be based.
• What kinds of competitive advantages do you believe you can establish in the market?
• Who will buy your products or services?
• What is the value proposition to your targeted customers?
• How will your products or services meet customer needs by addressing the value proposition?
• How many customers might there be for these products or services?
• Is this market base of customers growing, stable or declining?
• How many units of the product or service do you think you could sell per year?
Fall, 2008 MBA 533, Galbraith, p. 9
• How did you arrive at that estimate?
• In rough terms, what kind of share of your target market do you think you could command?
• How are your target customers currently getting their needs met?
• Who else has recognized similar opportunities and has formed business entities to pursue the
• How saturated is this market with existing competition?
• What do you think might be the key competing technologies, products or services?
• Do you expect some competitor might be coming out with a product or service like your own in the
• What is your overall assessment of the competitive landscape and why do you believe that you can
compete in the market?
• What will be the key challenges and hurdles you must overcome in order to pursue your market
• After forming your business entity, what barriers or hurdles can you erect to protect your market
• What financial requirements will be necessary to pursue this opportunity?
• Where might your initial source of funding come from?
• What about follow-on sources of funding?
• Why might investors be attracted to this business?
Market Opportunity Assessment
• What is your overall assessment of your identified market opportunity? Is it viable? Why or why