The entrepreneurial life cycleAccording to Martha Becks in her book “Finding Your Own North Star” there are five districts stages in a entrepreneurial life cycle. The first stage is stage 0, aspiration stage; in this stage people will want to start a business but they have not committed to start a business. Immediately Dave finished his study at Harvard Business School (HBS) he had an idea of wanting to start a technology business due to the fact that information technology business was growing at a fast pace, although Dave didn’t have experience in that field because he was qualified in engineering field.
The second stage is stage 1, the entry stage; people have started a business and are actively building their market and offers. This stage is when Dave declined the consulting position in favor of developing his own business; Faxtech International, this business was offering superior services in facsimile between the US and major cities in the world. Third stage is stage 2; the growth stage; people in this stage have business plan and are growing their business venture revenue streams with new customers.
Dave was at this position when his new business was started acquiring new customers to use it services in communication. The fourth stage is stage 3; crucible stage; the demand for business products and services outstrip their ability to meet these demands, in other words demand is higher than the supply can meet. This stage is when in 1993 the sales in Dave company was successful in the first six months but the sales felled apart in july, at this stage Dave morale was at an all-time low, he did not have strategy and also he did not have confidence in existing sales director.
At this stage is when Dave replaced Director of sales and all the things got back on track, but also Dave noted that it was due to economy which were a primary concern for his business, because Faxtech was eating up more and more capital as the growth accelerated. Q1. Evaluate Dave Santolli’s entrepreneurial thinking and leadership at Faxtech and at TTIDave entrepreneurial thinking; he was able to discover new opportunities and he had a way of know how and when to make profit from the businesses he formed.
Dave is able to find an opportunity that other people do not find and his spirits was incorporated into goals, strategies and values of the company which he form. Q2. What lessons and insights are most important for you here? If you have an idea don’t be afraid make sure you turn it into something profitable, and entrepreneurship is a process and it take time to realize your dreams and aspirations. In order to be a good entrepreneur you must think on ways of recognizing opportunities that are before you in the marketplace and make sure to know the right time to capitalize on those opportunities.
People don’t inherit entrepreneur skills but it take time to train yourself to make good use of your talents and experience and to capitalize on the opportunity where others do not see them.