Cases Analysis: 

Introduction to Entrepreneurship

Course No: F­625

Course Title: Entrepreneurship Development
    

Date of Submission: 31st January, 2017

Prepared For:

Ms. Pallabi Siddiqua
Assistant Professor 
Department of Finance
University of Dhaka

Prepared By:

Name ID
Depayan Paul 28052
Muhammad Fakhrul Alam 28069
Md Rakibul Islam 28072
Khan Tanjir Ahmed 28080
Delowar Hossain 28084

Students of MBA (Evening)              
Dept. of Finance

University of Dhaka

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1|Page
 Letter of Transmittal
Date: 07th February, 2017

Ms. Pallabi Siddiqua

Assistant Professor
Department of Finance
University of Dhaka

Subject: Submission of report on “Cases Analysis: Introduction to Entrepreneurship”.

Honorable Madam,

It is an honor and great pleasure for us to present our Report paper on “Cases Analysis:
Introduction to Entrepreneurship”. This study report was assigned to us as a compulsory
requirement of your course Entrepreneurship Development (F-625).

During the process of constructing our Report paper we had the chance of experiencing and
rediscovering our potentials. This paper gave us an opportunity to apply our theoretical
expertise, sharpen our views, ideas, and communication skills, and bridge them with the real
world of practical experience, which will be a good head start for our future professional
career.

We hope you will find the Paper presented in an appropriate manner. We appreciate your
cooperation and we hope you will call upon us with any queries occasioned by the same.

Thanking you and looking forward to receive your cordial approval of our submission.

Yours Sincerely,

Name Signature ID
Depayan Paul ________________ 28052
Muhammad Fakhrul Alam ________________ 28069
Md Rakibul Islam ________________ 28072
Khan Tanjir Ahmed ________________ 28080
Delowar Hossain ________________ 28084

Students of
MBA (Evening)
Department of Finance, University of Dhaka

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 Acknowledgement

The successful accomplishment of this Report Paper is the outcome of the contribution and
involvement of a number of people, especially those who took the time to share their
thoughtful guidance and suggestions to improve the Assignment. At the beginning, we would
like to pay our gratitude to the Almighty for giving us the ability to work hard under pressure.

A lot of efforts and study was made to bring this report to a reality. This would not have been
possible without the selfless support and assistance provided by the people whom we
approached during the various stages of writing this report. Although space and time
prevented us to mention all their names, we are nevertheless thankful and grateful for their
help.

Finally, our sincere gratitude goes to our classmates who helped us whenever we needed by
providing us important information and also competing us, because we believe that
competition helps us to do better.

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 Table of Contents

Name of the Case Page No

1. How a Lack of Passion and Too Few Customers Can

01
Kill a Business

2. Angry Birds and Zeo 03

3. Working Together: How Biotech Firms and Large Drug

05
Companies Bring Pharmaceutical Products to Market

4. RunKeeper: Combining a Passion for Running and

07
Technology to Build an Incredibly Successful Business
5. PatientsLikeMe: Allowing People with Serious Diseases
to Connect with One Another and Exchange Support 09
and Advice

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 Case: 1

How a Lack of Passion and Too Few Customers Can Kill a Business
Summary:

In mid-2006, Ariel Diaz, Jay Peak and Jeff Dwyer three friends construct a firm named
YouCastr. They thought about a business idea was creating a platform that people could use
to provide live commentary for sporting events and stream their own live commentary across
the web. Diaz shared the idea with his friend and started building an alpha version of the site
during the night and week-ends to keep their day jobs. After this each quit his job and started
the business. Youcastr started their business to provide commentary on sporting events that
weren’t televised and its final pivot was to expand beyond sports, by de-emphasizing the
sports branding in its web site for some fees on the sales its site generated. Every user have to
sign up to watch live commentary and listener have to small fees to listen the commentary.
Youcastr failed for five reasons. Their first reason was that they had not enough money to
continue operating business smoothly. Second reason was large number of people would not
pay for audio and video commentary of sporting events. Some people would pay, for
watching some events. But these markets weren’t large enough to build for a sustainable
company. The third reason was the team was ready to move on. The cofounders of Youcastr’s
wanted to do something entrepreneur but they did not loved broadcasting or sports and they
weren’t core user of their own product. Fourth, they have wrong idea about people’s
willingness to pay for these kind of events. Finally, after three and half years they quit from
their business.

Questions for Critical Thinking:

1. Why do you think Ariel Diaz and his cofounders didn’t realize that they were starting
a business that they weren’t really passionate about? Should that have been a warning
sign to them? Describe what you believe are the keys to ensuring that a person is truly
passionate about a business idea before moving forward with the idea.

Answer:

Ariel Diaz and his cofounders didn’t realize that they were starting a business that they
weren’t really passionate about because before starting a business it was important to know
the customer interest and size which will positively influence people’s lives.

Yes, they should have been warning sign to them. They should take care about customer
interest and size.

I think that entrepreneur should have passion; they should not wear rose-colored glasses. It is
important to understand its potential flaws and risks. A successful entrepreneurial
organization should follow five primary reasons passion before moving forward with the
idea.

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2. Why is passion such a critical component of entrepreneurial success? If people are
willing to work hard and dedicate themselves, do you think they can build a successful
business without being passionate about their business idea?

Answer:

Passion is such a critical component of entrepreneurial success because passion makes the
search for the right answers invigorating and fun. Passion is consistent with their skills and is
in area that represents a legitimate business opportunity. Passion is very important for these
reasons:

 The ability to learn and iterate: Founders don’t have all the answer it takes passion
and drive to solicit feedback, make necessary changes, and move forward.
 A willingness to work hard for an extended period of time: Commonly, entrepreneurs
work longer hours than people with traditional jobs. If anybody has passion he or she
will success in sustained basis.
 Ability to overcome setbacks and “no’s”: The entrepreneurs have to hear many “no’s”
from potential customers.
 The ability to listen to feedback on the limitations of organization: There are plenty of
people who will tell how to improve organization and myself. We have to be able to
brush aside feedback from people with bad intentions.
 Perseverance and persistence comes from passion. Building an entrepreneurial
organization is fraught with challenges.

No, they cannot build a successful business without being passionate.

3. How could YouCastr’s cofounders have better anticipated that people would be
reluctant to pay to listen to or watch sporting events that weren’t being covered on
radio or TV?

Answer:

Product/Customer focus is one of the important criteria for a successful entrepreneur. If the
cofounder started their business in a small area and sample base then they could understand
that people would be reluctant to pay to listen to or watch sporting events that weren’t being
covered on radio or TV.

4. Do you think Youcastr could have been saved? If so, how?

Answer:

Yes, they could have been saved. Every business has to exit plan so that they quit from their
business for avoiding loss. I think that they have quit from their business when they
understood that their business were not running properly.

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 Case: 2
Angry Birds & Zeo
Summary:
Rovio mobile which started in 2003 is the successful launcher of popular angry birds video
game for Apple I phone primarily. Later on they released it for android platform & other
operating system. In this game, players use a slingshot to launch birds at pigs stationed on or
within various structure with a aim to destroy all the pigs on the play field. They are
passionate enough to make a hit game in their 52 no attempts which has been downloaded for
more than 100 million times. It gains huge popularity because of addictive game play,
comical style & low price. Moreover, the birds in the game outfitted with different colours &
destructive capability. Winning a mobile game development contest was the motivator for
entrepreneurs to start a company for making mobile games. On the other hand, Zeo is a kind
of company which aim to fight grogginess & help people feel more alert. Zeo was introduced
with a view to help people to track the quality of their sleep & awaken at the ideal time. The
zeo system dependent on both soft ware & hardware. By the suggestion & effective help from
experienced entrepreneur they found success. Their skill, passion & perseverance are the root
cause of their success.

Questions for Critical Thinking:

1. Contrast Rovio Mobile with you Castr, the company featured in this chapter’s “what
went wrong” feature. Why do you think Rovio Mobile survived & is now thriving while
YouCastr failed?

Answer:

Rovio Mobile is different from YouCastr from many sides. The contrast between the two firms
are as below:

SN Saurce of Rovio Mobile YouCastr

Contrast
1 Type It is a video games making It is mainly a farm which enables
farm for android & other people to make live commentary during
platform. different types of play.
2 Size of market It has enough large market. Market was not large enough to build a
sustainable company.
3 Passion The entrepreneurs were The entrepreneurs were not passionate
passionate..
4 Perseverance Bounty of perseverance Lack of perseverance.
inside the entrepreneur.
5 Continuity Running business till now. Already quit.
Rovio Mobile survived & is now thriving because of following reasons:
1) Rovio mobile survived because the entrepreneurs of this farm were very much familiar
with their job. They know what they do & How to do. They love their job. They are skilled to
perform task properly.
2) The farm able to capture the market.

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3) Virtue of perseverance exists among the entrepreneur of Rovio Mobile.
4) They are motivated through winning the video game making competition organized by HP
& Nokia.
5) The entrepreneurs are skilled to perform task properly.

2. Why do you think Angry Birds has been so successful?

Answer:

It has been successful because of its addictive game play, comical style & low price.
Moreover the birds in the game outfitted with different colours & destructive capability
which attract the game loving people. Above all maker of angry birds was skilled, passionate
& perseverant.

3. Do you think you’d be able to “hang in there” as long as the founders of rovio mobile
did? Would you have been able to keep picking up the phone & calling Colin angle’s
office, even after being repeatedly told he wasn’t available? What are the keys to
remaining ‘tenacious’ when things take longer than planned?

Answer:

Yes, I think I would be able to ‘hang in there’ as long as the founders of rovio mobile did. Yes
I have been able to keep picking up the phone & calling colin angle’s office, even after being
repeatedly told he was not available. Skill, perseverance & Passion for some thing are the
keys to remaining tenacious when things take longer than planned.

4. Why do you think the founders of Rovio Mobile stuck with their company as long as
they did? Wouldn’t it have made perfect sense for them to throw in the towel before
they got to release number 52, which turned out to be Angry Birds? Similarly, why do
you think Donahue & Rubin kept calling Colin Angle?

Answer:

I think it is because their passion for their job. It increase their perseverance .They found
success through this perseverance. It would not have made perfect sense for them to throw in
the towel before they got to release number 52,which turned out to be Angry birds because
they are passionate to their work. Their perseverance come through this type of passion. As
they are hard worker with passion, It would not have made perfect sense for them to quit in
any circumstances.

I think Donahue & Rubin kept calling Colin Angle because of their passion to their
entrepreneurship. They know that Colin Angle is such type of person who is able to change
their business. They know well that Perseverance is the key of success.

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 Case: 3

Working Together: How Biotech Firms and Large Drug Companies Bring
Pharmaceutical Products to Market
Summary:

It is well known that barriers to entry in the pharmaceutical industry are high as well as the
process of discovering, testing, obtaining approval, manufacturing, and marketing a new drug
is long and expensive. Biotech firms and large drug companies bring pharmaceutical products
to market by partnering with each other rather than acting as opponents. Biotech firms
basically concentrate in discovering and patenting new drugs whereas large drug companies
specialize in developing and marketing drugs and providing information to doctors about
them. The pharmaceutical companies don’t have the time as well as the depth of scientific
talent that the small biotech firms do so. That’s why these two types of firms need one
another to be successful in the market. The biotech firms discover and patent new drugs, and
the larger drug companies develop them and bring them to market. Biotech firms earn money
by licensing or selling their patent-protected discoveries to the larger pharmaceutical
companies or by partnering with them in some revenue-sharing way. The large
pharmaceutical companies make money by selling the products to consumer.

Questions for Critical Thinking:

1. What factors in the business environment encourage firms to partner to compete?

Answer:
Factors in the business environment encouraging firms to partner are:
 Wealth achievement
 Building the big name in the market
 Achieving the top position
 Technology Innovation
 To fulfil environment and social needs
 Developing economic opportunities

Factors in the business environment encouraging firms to compete are:

 Same supply chain management
 Same product with the different name
 Less pricing
 Marketing strategy
 Use of Technology

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2. What risks do small firms face when partnering with large, successful companies?
What risks do large companies take when they rely on small firms as a source of
innovation?

Answer:
When partnering with large firms, small firms may encounter the following risks
 Risk of patent protection
 Risk of revenue sharing

On the other hand, large firms prone to following risks:

 Risk of marketing
 Risk of profitability

3. How might government policies affect partnering actions between small and large
firms in the pharmaceutical industry?

Answer:
Government plays an important role in partnering actions between small and large farms in
the pharmaceutical industry. Maintaining government policies biotech firms do licensing of
the drugs and sell their patent-protected discoveries to the larger established company.
Besides, pharmaceutical companies are heavily regulated to ensure that they are in
compliance with federal safety laws.

4. If you worked for an entrepreneurial venture, what would you want to know about a
large firm before recommending that your firm form a partnership with that large,
established company?

Answer:
As a worker of an entrepreneurial venture, before forming a partnership with an established
company, the following things should be known:

 Whether the established large company helps our entrepreneurial venture

in doing innovative works and our best working policy or not.
 Secondly, will they allow us to tap into their complementary strengths and
resources.

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 Case: 4

RunKeeper: Combining a Passion for Running and Technology to Build an

Incredibly Successful Business
Summary:

In early 2008, Jason Jacobs wanted to start a business but he didn’t know what that business
would be. He started training for a marathon as a way to clear his head. During training he
tried several of the devices to track practice runs. Different devices offered different features,
but none tied the whole experience of training and running together. Jacobs had his business
idea. He would create a company that would provide analytics, coaching, running-related
tips, and social support for runners. In mid-2008 Jacobs Jacobs launch RunKeeper as an
iPhone app. The app shows how fast a runner is running (in mph), the number of miles run,
the calories burned during a workout, and the pace of the run (in minutes per mile). All this
data can be automatically uploaded to the RunKeeper Web site, where a user can keep a
history of his or her runs. The results of RunKeeper runs can also be automatically posted to a
user’s Twitter or Facebook account.

The basic download of RunKeeper is free and users can pay $10 for the premium service. As
of mid-2010, 54 percent of the people who bought the premium service from mid-2008 until
the present day are still active RunKeeper users. The RunKeeper app is consistently one of
the top selling apps in the iTunes store. Jason Jacobs envisions developing iPhone and
Android apps for other sports, such as cycling, swimming, and skiing. His ultimate goal is to
build a billion-dollar company and change the way people interact with their health. How that
will be achieved remains unclear.

Discussion Questions:

1. Which of the characteristics of successful entrepreneurs, discussed in this chapter, do

you see in Jason Jacobs? To what degree do you think these characteristics have
contributed to RunKeeper’s success?

Answer:
Characteristics of successful entrepreneurs:
(a) Passion for the Business
(b) Product/Customer Focus
(c) Tenacity Despite Failure
(d) Execution Intelligence

Characteristics contributed to RunKeeper’s success:

(a) Passion for the Business: Jason Jacobs wanted to start his own business. He
developed RunKeeper app to provide coaching, running-related tips and social
support especially for marathon runner. His ultimate goal is to build a billion dollar
company and change the way people interact with their health.
(b) Product/Customer Focus: RunKeeper app shows how fast a runner is running (in
mph), the number of miles run, the calories burned during a workout, and the pace of
the run (in minutes per mile). All this data can be automatically uploaded to the
RunKeeper Web site and a user’s Twitter or Facebook account. It was the first product

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 which provides all of these services in a single device. The basic download of
RunKeeper is free and users can pay $10 for the premium service. As of mid-2010, 54
percent of the people who bought the premium service from mid-2008 until the
present day are still active RunKeeper users.
(c) Tenacity Despite Failure: In beginning Jason Jacobs was the only full time employee
of the company and others are contractual employee. The problem with using
contractual employee is developing RunKeeper app on time. So there is a chance of
failure but Jacobs handle it properly.
(d) Execution Intelligence: Jason Jacobs able to establish his business idea into a viable
business. The company has never raised a dime of investment capital. Its users
provide funding for the company through downloads of the premium version of the
product. The RunKeeper app is consistently one of the top selling apps in the iTunes
store.

2. To what extent do you think RunKeeper’s basic business idea “adds value” to the
lives of its customers? Who is the ideal candidate to be a RunKeeper customer?

Answer:
RunKeeper app helps user to get running related information like how fast a runner is running
(in mph), the number of miles run, the calories burned etc. It helps marathon runner during
training and running stage. Marathon runners are the ideal customer for RunKeeper app.

3. To what degree do you think it would be easy or difficult for another company to
imitate what RunKeeper is doing?

Answer:
RunKeeper app is developed as iTunes app. Other companies can develop app which will
provide same or better facility. So I think it will be easy to imitate RunKeeper app.

4. Spend some time studying the RunKeeper app. What functionality do you think the
app should have that it currently doesn’t have?

Answer:
I think the app should have following features:
a) App can’t distinguish between walking, running and cycling mode of user. User has to
provide instruction manually to select walking, running and cycling mode. Using a
standalone wrist accessory consists of a motion sensor will help to distinguish
between walking, running or cycling mode of user automatically.
b) Heart rate monitoring facility is not available in this app. Heart rate can monitor by
using wrist accessory. I think the app should have these activities that it currently
doesn’t have.

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 Case: 5

PatientsLikeMe: Allowing People with Serious Diseases to Connect with

One Another and Exchange Support and Advice.
Summary:
PatientsLikeMe is a web-based company launched in 2005 by Jamie Heywood and his
brother Ben Heywood. Its value proposition is the opposite of conventional thinking is that a
person’s medical information is private and should be kept confined to a tight circle of family
and health care providers and allows people with life-changing diseases to converse with one
another, share their experiences and learn techniques from each other that help them better
cope with their diseases. It is a platform that encourages patients to interact in ways that are
very meaningful for them. One of its important goals is to change the way that the medical
industry thinks about patients and patient care. Although its services are free to users,
PatientsLikeMe is a profitable entrepreneurial venture with two primary ways of making
money. First, it sells aggregated medical data to members of the medical community, like
drug companies, medical-device companies, and health care providers. The second way is by
helping pharmaceutical companies enlist participants in drug trials and studies. Despite
several worries of medical and life insurance & employment, PatientsLikeMe is aggressively
moving forward. The company’s overarching goal, along with providing the value it currently
provides, is to shift the thinking of companies in the medical industry by providing them
access to data they never had before. By better knowing the journey that patients are on, the
hope is that the medical community will increasingly go beyond treating their patients’ core
diseases, and create products that will impact all aspects—physical, social, and mental—of
their lives.

Discussion Questions:

1. Describe the way in which PatientsLikeMe practices “execution intelligence.” How

important a part of PatientsLikeMe’s success do you think these practices represent?

Answer:
The day-to-day challenges of Stephen Heywood’s disease and experiencing firsthand the
decisions that have to be made and the lack of information gives them the idea and
PatientsLikeMe successively practices “Execution Intelligence”. The founders are passion for
the idea and tenacious to make a platform that encourages patients to interact in ways that are
very meaningful for them and this will positively influence people’s lives. A web is the best
method for all people of the world to share these types of information. Though its services are
free for users, its activities such as sharing the symptoms experiencing by its members, and
medications they’re on, and how their diseases are affecting their lives, the experiences
they’re having with a particular drug, for example How long they’ve been on the drug, what
the side effects have been, whether they feel the drug has been effective, and so forth creates
a database for medical companies to enable them to factor the “voice of the patient” into all
aspects of their product decisions. This creates PatientsLikeMe a profitable entrepreneur.

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This is very important for the consumers to raise their voice that will drive companies to
produce product in that way what they want.

2. To what degree does PatientsLikeMe’s founding story debunk one or more of the
common myths of entrepreneurship?

Answer:
PatientsLikeMe’s founding story debunk almost all of the common myths of
entrepreneurship. The founders neither genetically different from other people nor their
ancestor was an entrepreneur. They have realized the problem as like others in the same
situation and encouraged from their bother’s disease. They neither took big risk nor
motivated for money. They create a web based company that is free for the users to help each
other by interacting about their disease. They didn’t want spotlight and have tried to make a
platform that will help the patient by sharing the experience.

3. Compare and contrast PatientsLikeMe with Inspire (www.inspire.com), a company

with a similar mission.

Answer:
Both PatientsLikeMe and Inspire are companies with a similar Mission like share the
information of disease to others and provide the date to different companies who use these
data for research work,
They are different in many cases. PatientsLikeMe is a community of patients whereas Inspire
is the community of medical patients, family members, caregivers, and professionals. In
PatientsLikeMe, patients share their feelings in the stage of disease, taking drugs and side
effects or results after taking Drugs. On the other hand, In Inspire, patients and caregivers feel
safe sharing information about their health and the health of their loved ones.

4. What do you think about the concerns regarding PatientsLikeMe’s rapid growth and
the worries expressed about the potential downsides of participating in its forums? How
important and potentially damaging are these concerns?

Answer:
Despite several worries like medical and life insurance companies have clauses that would
jeopardize their insurance coverage and some employers may not want to employ people with
a high-cost or high-risk disease, the rapid growth of the concern is obvious because the
benefits will outweigh the risks by providing a better solution for the disease and creating
disease free world.
Initially, PatientsLikeMe worked with life-threatening disease and now is aggressively
moving forward by supporting other communities such as infertility, depression, hearing loss
etc. that may jeopardize the ultimate core goal of sharing the experience & raise voice of the
patients and over commercialization may jeopardize the confidentiality of the patients.

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