Introduction to

Creativity, Innovation,
and Entrepreneurship
IE721
Innovation & Entrepreneurship
Dr. Fadwa Dababneh

Lecture 1

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Creativity, Innovation, and
Entrepreneurship

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Why are creativity, innovation, and
entrepreneurship important?
They’ve built society as we know it.
The future itself is in the hands of the dreamers who are willing to work and fight for their
dreams.
How do they work together?
Creative processes lead to new power supplies and new engineering designs
Innovators bring these new power supplies and engineering ideas together
Entrepreneurs find unfulfilled needs for the products, bring them to market, change the world,
and make money

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The Creativity-Innovation-
Entrepreneurship Chain
 What are opportunities
that companies and
people took advantage
of in COVID?
• Vaccines
• Masks
• COVID tests

 What company in Jordan

showed to be a good
Entrepreneur in Jordan
when covid started?
• Fine (masks)
• Why?

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Opportunities
Defn1: Opportunities Emerge from
changes in knowledge, technology,
economic, political, social, and
demographic conditions.
Defn2: Recognition depends on
previous experience which enables
people to see links between previously
unconnected changes, knowledge, or
events.
Characteristics of Opportunity:
Newness, Potential Economic Value,
and perceived desirability, timing.

https://slideplayer.com/slide/6015952/
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What is Creativity?
The use of imagination or original
ideas to create something;
inventiveness.
Creativity is a phenomenon whereby
something new and valuable is
formed. The created item may be
intangible or a physical object.
Children are inherently more creative
than adults… Why?

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 Barriers to Creativity in
Entrepreneurship
1. Fear of Failure
2. Lack of Adequate Motivation
3. Lack of Commitment
4. Lack of Sufficient Funds
5. Tendency of Permanency in Person (job secure)
6. Fear of Being Laughed At/unexpected ideas/ Fearing looking
foolish
7. Lack of Knowledge about circumstances, markets, available
tools
8. Partial or delayed Decisions
9. Becoming overly specialized
10.Very Serious work environment
11.Overloaded employees
12.Believing there is only one correct answer

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 What is Innovation
Bringing creative processes together
“Innovation distinguishes between a leader and a follower” –Steve Jobs
Unlike 100 years ago, today most breakthroughs don’t necessarily stem
from engineering inventions or rare discoveries but instead from how to
bring to life new ideas.
You don’t really want to be in a situation where the competition is so hard
that any potential upside is destroy in the process.
You don’t want to be in the “perfect competition” scenario in economic
theory
Perfect competition: The number of buyers and sellers in the market is very
large. These buyers and sellers compete among themselves. Due to the large
number, no buyer or seller influences the demand or supply in the market.
The commodity sold or bought is homogeneous.
Perfect competition examples: agricultural, Foreign Exchange Markets,
Online Shopping

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 Creativity
vs.
Innovation

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 What is Innovation
 Innovations can be categorized within a range of 10 distinct
dimensions/types
These dimensions can be used to analyze the competition, to
stress test for product weaknesses, or to find new opportunities
for their products.

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https://www.visualcapitalist.com/10-types-of-innovation-the-art-of-discovering-a-breakthrough-product/
Innovation Types #1-4:
“Configuration”
These types center around the configuration of the
company, and all the work that happens “behind the
scenes”.
Although innovation types in this category are not
directly customer-facing,, they can still have an
important impact on the customer experience.
How your company and products are organized can
have a crucial downstream effect, even enabling
innovations in other categories.
In the case of McDonald’s, the franchisee insight that
led to the introduction of the Egg McMuffin
spearheaded the company’s entire breakfast offering,
which now accounts for 25% of revenues. Breakfast is
also now the company’s most profitable segment.

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 Innovation Types #5-6: “Offering”
When most people think of innovation, it’s
likely the offering category that comes to mind.
Making improvements to product performance
is an obvious but difficult type of innovation,
and unless it’s accompanied by a deeply
ingrained company culture towards technical
innovation, such advancements may only create
a temporary advantage against the competition.
This is the part of the reason that it is
recommended that companies focus on
combining multiple areas of innovation together

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Innovation Types #7-10:
“Experience”
These types of innovation are the most
customer-facing, but this also makes
them the most subject to interpretation.
While other innovations tend to occur
upstream, innovations in experience all
get trialed in the hands of customers. For
this reason, intense care is needed in
rolling out these ideas.

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• Assignment 1: Prepare a 5 minute discussion of why
this company is innovative and which of the innovation
types (from slides 7,8,9) the company is using.
• 2 student teams
• Duedate: Next week.
• Delivery Method: presentation (2-4 slides only).
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 Entrepreneurship Risks

What is o Business Failure

Entrepreneurship? o Unpredictable Business

Conditions
o Long Hours/effort/commitment
o Product/service compete on price
only
Two types of Entrepreneurship: Opportunity based and necessity based. o Imitation strategy
People ages 25-34 are the dominant participants in entrepreneurship.
Entrepreneurship process: Entrepreneurship Rewards
1. Identify a need or opportunity/necessity
2. Create a solution (innovation) o Financial
Entrepreneurship is the o Emotional- buildings a business
3. Implement solution to create value ART and SCIENCE of o Pride
4. Harvest and develop long term strategy building value o Recognition
o Flexibility
o Creativity

ART: Creativity, energy, SCIENCE: Analysis,

instinct, insight Discipline, systematic
approach

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 Entrepreneur
An Entrepreneur Always seeks opportunities,
Finds new ways to fulfill needs, Aims to always
make a profit, Changes the way things are
done, Risks assets for possible gains.

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Entrepreneur Entrepreneurship

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Businessman vs.
Entrepreneur
A businessman is someone who sets up a business with an
existing idea offering products and services to the customers.
An entrepreneur is a person who starts an enterprise with a
new idea or concept, undertaking commercial activities.

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Semester Project

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 Semester
Long Project
Come up with an innovative idea,
develop the idea, study the market,
revenue streams, cost structure,
competitors, determine skills and
resources needed for the idea to come
to life, etc.
Groups of 2
Idea must be accepted by me
Idea must be a new product or service,
or a new way making, delivering, or
executing an existing service.
Pitch your idea
Write a business plan

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