COURSE NUMBER: MBA295T.1

COURSE TITLE: Business Model Innovation in New Ventures

UNITS OF CREDIT: 2

INSTRUCTORS: John Danner, David Charron, Jerry Engel

EMAIL ADDRESSES: danner@haas.berkeley.edu, charron@haas.berkeley.edu, engel@haas.berkeley.edu

MEETING DAY(S)/TIME: Thursday, 4:00-6:00pm

PREREQUISITES: MBA Core

CLASS FORMAT: Primarily case discussions, with lectures and guest speakers

REQUIRED READINGS:

There is no required text, but there will be a course reader of cases and supplemental reading resources supplied on study.net.

BASIS FOR FINAL GRADE:

The main requirements for this course are class participation (case preparation and discussion) and three projects. The first two projects will be group assessments of specific venture business models, and the third will be an individual paper (10-15 pages) analyzing the business model of a student-selected venture, due at the end of the semester.

FACULTY AUDIO CLIP: Click here to listen to the instructor giving a brief overview the course.

ABSTRACT OF COURSE CONTENT AND OBJECTIVES:

Innovation in business is often most dramatic when new technologies or insights allow creative entrepreneurs to devise and deploy solutions that redefine, disrupt and remake large markets. The transformation of the consumer advertising marketplace and the emergence of software as a service are but two current examples. Every business has a ‘business model’ of some sort, dealing with its various customer-facing and resource management activities. Innovation in either and sometimes both is at the core of entrepreneurship. Young ventures are often more nimble and can exploit opportunities that larger, and often better resourced, firms cannot due to their embedded positions.

Business models elements may be obvious or subtle. The set of assumptions, strategic vision and adaptability that inform that model can significantly affect the venture’s resiliency and chances of durable success. Most entrepreneurial venture business models evolve through periods of experimentation. Understanding the components of an integrated business model, how to characterize and analyze the competitive aspects of business models and how to efficiently construct and test business models are critical skills for entrepreneurs, whether they are launching a startup or trying to build a new venture from inside a larger company. Our objective is to provide students with the skills and knowledge to rapidly identify, assess, shape and – when necessary – change business models to their advantage in constructing enterprises of scale.

The course will examine the elements of business models, explore how they differ across industries and phases of a firm’s growth – from high-tech to social ventures and from the earliest start-up phases through realization of significant value. We will primarily use case studies, short lectures, discussion and guest speakers to reinforce frameworks and showcase actual business examples. The deliverables will allow students to explore their own industry focus.

BIOGRAPHICAL SKETCHES OF INSTRUCTORS:

JOHN DANNER – Mr. Danner lectures at the Haas School on the topics of Entrepreneurship and new business formation. He is an experienced entrepreneur and management consultant. He has advised senior executives of multi-billion-dollar international enterprises on issues of strategy, value management and business growth; as well as management teams of emerging ventures on matters of competitive positioning, marketing and product strategy. His clients over the years have ranged from leading companies in the healthcare, energy, entertainment, food products, telecommunications and information sectors to emerging startups in biotech, consumer services and high-tech. His public service includes work at both the federal and state levels, having helped launch the U.S. Department of Education during the Carter Administration and serving as Executive Assistant to then-Governor Bill Clinton. He is also a senior moderator for the Aspen Institute’s Executive Seminar and other programs. Mr. Danner earned his J.D. degree from Boalt Hall at the University of California, Berkeley, where he also served as Associate Editor of the California Law Review. In addition, he holds the M.A.Ed. and M.P.H. degrees from UC Berkeley. He graduated cum laude from Harvard College.

DAVID CHARRON – Mr. Charron is Associate Director of the Lester Center for Entrepreneurship & Innovation and lectures at the Haas School on entrepreneurship, new business formation and technology commercialization. He is also Executive Director of the Lester Center’s affiliated new business student incubator, the Berkeley Entrepreneurship Laboratory.. Mr. Charron has been working in the field of technology commercialization and entrepreneurship for 18 years; and has held positions in technology licensing and commercialization with Xerox PARC, MIT and Stanford University. In 1995, he co-founded Scientific Learning Corporation, a publicly-traded neuroscience company based on innovations from UCSF and Rutgers. He has been active in many other entrepreneurial ventures and consults to startups, inventors and entrepreneurs. He holds a Mechanical Engineering degree from Stanford University and an MBA from the Haas School of Business.

JERRY ENGEL - Mr. Engel has been involved with the formation and growth of entrepreneurial ventures for over twenty-five years. Active in academe, venture capital, business consulting and community affairs, he is Executive Director of The Lester Center for Entrepreneurship and Innovation at the Haas School of Business, University of California, Berkeley. He teaches in both the MBA and Executive Education programs, specializing in Entrepreneurship, New Venture Finance, Corporate Innovation, Venture Capital and Private Equity. He is also a General Partner of Monitor Venture Partners; and serves on the Board of Directors of Jupiter Systems, MedAmerica, Adaptive Planning, and Electrascan. Formerly, Mr. Engel was the Bay Area Director of Entrepreneurial Services for Ernst & Young. In addition to his current positions, he has served on the Boards of a number of emerging companies, including Maxis Corporation (The Sims), LeapFrog [NYSE: LF], MicroNet Technology [acquired by Ampex], Transoft Inc. [acquired by HP], and Centric Software, a leader in 3-D visualization and virtual product prototyping. He co-founded AllBusiness.com, which sold to NBC in 2000. He is a Certified Public Accountant, and a graduate of The Wharton School and Pennsylvania State University.