vol. XV no. 2

				Inherent in the word "entrepreneurial" is a spirit, an expectation, of change. Entrepreneurs often start businesses because they think of a better way to deliver a service or can offer something new and different to the marketplace. But success often hinges as much on an entrepreneur's ability to adapt quickly to change as it does on that first great idea. Many an entrepreneur has watched a well-thought-out business plan deflate in the wake of market conditions, customer criticism and even growth. "You have to be agile to survive," said Ben Oviatt, director of the Herman J. Russell, Sr. International Center for Entrepreneurship at the J. Mack Robinson College of Business. "An entrepreneur must be able to change effectively when confronted by a changing environment." As Oviatt explains, entrepreneurs - particularly those starting a company or introducing new products or services - initially tend to focus on whether the company, product or service is in demand. "Things never work out as you expect," Oviatt said. "You have to be ready for changes. Once customers begin to use a product or service, they start to complain about it or use it in an unexpected way. Successful entrepreneurs are ready to make those appropriate changes quickly. Adaptability has to be part of every entrepreneur's abilities." The dot-com demise is one clear example. The phenomenal profitability and growth of this group sparked new ancillary businesses and launched a new league of niche support vendors. Entrepreneur Bob Wagner, MBA '79, MPA, member of the Society of Entrepreneurs and CEO of NetFinancials, was banking on this client base as the perfect market for his outsourced Internet-centric bookkeeping business. On the contrary, the two-year-old company saw a 100 percent turnover in clientele in one year. "All of our clients went out of business," explained Wagner. "We had to change our target market quickly." Robinson MBA student and entrepreneur Laura Giles is working part time for another fated victim: an interactive advertising agency that put most of its eggs in the dot-com basket. While providing search engine analysis, she is, more importantly, learning firsthand the value of adaptability. "The company I'm working for was hit pretty hard by the dot-com bust," Giles pointed out. "This firm is entrepreneurial and in a solid stage of growth, so remaining flexible is a necessity. It has had to stay in touch with industry changes and customer demand changes." Inevitable Bumps in the Road While all companies encounter roadblocks at some point in their lifespans, entrepreneurs are almost guaranteed certain obstacles, said Oviatt. "Entrepreneurs frequently start their businesses with a passion and deep understanding about what they're offering but without good knowledge about the customer. As a result, they often end up confronting unexpected customer demands, criticisms or ideas. Also common is trouble dealing with success. Growth actually becomes a problem when you're not equipped to hire people, to act quickly and to delegate appropriately." "Letting go" is another recurring challenge, he added. "Most entrepreneurs intimately know their product or service - 'it's my baby,' they say. And like a baby, they're reluctant to let others have influence and authority to do what they think is right." Glenn Vesper, MBA '00, started a translation company while studying for his MBA at Georgia State. He contracts with 5,000 translators, but throughout over 3 years in business has operated his company solo. And while he enjoys the lack of bureaucracy, he admits his biggest roadblock at this point is expansion. "I haven't had a lot of time to focus on a growth strategy, but I know I need to do it." Top | Next Page

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