CHAPTER OBJECTIVES

1. To understand the potential for failure if the business model is

misaligned with customer demands
2. To understand pretotyping through historical examples and appreciate
the differences between prototyping and pretotyping
3. To be able to build a minimum viable product within the process of
pretotyping and appreciate the many types of minimum viable products
for start-up entrepreneurs
4. To know how to apply hypothesis testing to developing your start-up
5. To know how to apply the technique of validation to new products and
services
6. To know how to apply the concept of pivoting and to understand the
various kinds of pivots
7. To be aware of the ethics of pretotyping
 DELIVERING
OPPORTUNITIES
Design is:
• A complex business activity
that uses design tools to
meld form and function with
manufacturability and
marketability.
• To devise courses of action
aimed at changing existing
situations into preferred
ones.
 • Lean
Entrepreneurship
THE • Revisit
BASICS • Build-Measure-Learn
• Validated Learning
 PIVOT,
PERSEVERE
OR PERISH
 MODERN EXAMPLES

PayPal Google Kodak

Blockbuster Iridium
 PRETOTYPING
Fail fast, pretotype often, validate relentlessly and pivot quickly.

A Product-Solution Fit

Used to Predict Customer Outcomes

A Lean Solution
From PRETOTYPE to PROTOTYPE and to a FINISHED PRODUCT
Advantages
AGILE DEVELOPMENT
 Infographics

Explainer Video
VIRTUAL
MVPS Landing Page

Crowdfunding
 • High Fidelity
LIVE
• Low Fidelity
TESTING
• Wireframe
 HYPOTHESIS-DRIVEN
ENTREPRENEURSHIP

DISCOVERY- PRODUCT- MARKET FIT VALIDATION THE RISKIEST

DRIVEN PLANNING SOLUTION BOARD ASSUMPTION
EXPERIMENTAL VALIDATION

•Tacit Knowledge
Exploration
Method •Mall Intercepts
•Cold Calls
 EXPERIMENTAL VALIDATION
Pitch Method

Concierge Method

A/B Testing

Pre-ordering
EXPERIMENTAL VALIDATION
Fake Door,
One-night-Stand
Façade & Smoke Imposter Test
Test
Tests

Collect Data

Initial Levels
of Interest

Fake
Inventory
 Why Pivot?

Negative
Technology Investor Flawed
Customer Uncompetitive Unscalable
Challenges Pressure Modelling
Response
 Zoom-in Zoom-out

Customer Customer
Segment Needs
TYPES OF
PIVOTS Business
Channel
Model

Technology
 ETHICS
‘If I was subjected to a particular
form of research,
would I be happy, or feel taken
advantage of?’