3. Foreword
• Education provides the foundation for creativity,
flexibility, and wealth creation in the society.
• Motivation
– Relating the different topics covered during this course
– Application of the knowledge gained in class
• Beliefs
– Role of system is as vital as the individual in bringing about the
successful implementation of an innovative design or idea
– Creativity can be developed, sharpened, amplified, because it is
a factor of nurture as well as nature
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4. Overview
• Discussion of the various definitions of creativity and its
relevance to entrepreneurship
• The role of educational institutions in the success of
entrepreneurial culture in US
• Current endeavors taken in the developing countries to
encourage entrepreneurial skills
• Suggestions to encourage creativity in Entrepreneurship
development programs, based on the learning of this
class
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5. What is creativity?
• Creative behaviors possessing an element of
newness, novelty, and difference (Herrmann,
1996)
• Creativity is an act, an idea, or product that
changes an existing domain, or that transforms an
existing domain into a new one, and creative
person is whose thoughts or actions bring these
changes. (Csikszentmihalyi)
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6. What is creativity?
• Wallas’ description of creative thinking, suggests a
model in four stages:
– Preparation: problem definition
– Incubation: resting phase, subconscious mind
– Illumination: idea of a solution comes to mind
– Verification: solutions are tested
• Koestler's premise on the creative process is
"bisociation."
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7. Creativity and Innovation
• Creativity leads to innovation
• “Innovation is the specific instrument of entrepreneurship.
The act endows resources with a new capacity to create
wealth. Innovation, indeed, creates a resource.” (Drucker)
• Entrepreneurship is all about innovation
• Innovation is economic or social, rather than a technical
term
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8. Entrepreneurship
• “Entrepreneurship is a way of thinking, reasoning
and acting that is opportunity obsessed, holistic in
approach and leadership balanced.”
• Entrepreneurial qualities
– commitment and determination, leadership, opportunity
obsession, tolerance of risk, ambiguity and uncertainty,
creativity, self-reliance and ability to adapt, and the
motivation to excel, ability to use failure experience
as a way of learning
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9. Entrepreneurship and Creativity
• Creative in figuring out a way to work in a joint
venture
• Creativity comes in writing an amazing sales letter
or visualizing the perfect logo
• For practicing innovation, they need to be aware of
change, and creatively use it to their advantage
– The Unexpected, Incongruities, Process Need,
Industry and Market Structures, Demographics.
Changes in Perception, New Knowledge (Drucker)
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10. Entrepreneurship and Creativity
• Tolerance for ambiguity is related to certain
entrepreneurial styles
• “Creative destruction”
– procedures and destroys or reallocates amassed
resources
• Creative in identifying the gap in the market and
think up a product
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11. Role of Educational Institutions
• Until 1970, very few universities offered
entrepreneurship courses
• 1980s, entrepreneurship emerges as an important
element in the dynamics of modern economics in
US
• In US, from a base of 16 in 1970, the number of
schools offering entrepreneurship courses had
grown to over 400 by 1995
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12. Nurturing Creativity
• Several techniques to encourage creative thinking
– Ask Questions, Lateral Thinking, Six Thinking Hats,
Brainstorming, TRIZ etc
• Technology and business incubators
– “complete innovation system”
– Provide financial, marketing and design support
– Generation of new creative ideas and business plans
– joint and cross-disciplinary learning
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13. Efforts in Developing Countries
• Strategy of Entrepreneurship Development programs
(EDPs).
– Accelerate the industrial development by enlarging the supply of
entrepreneurs
– Industrial development of rural and less developed areas
– Enlarging the small and small-medium enterprise sector
– Providing productive self-employment to a number of young
men and women
• EDPs are functioning in India as a “School for
Entrepreneurs”
• Provided with the many benefits and advantages
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14. Efforts in Developing Countries
• Diploma holders of science, engineering and
technology are being identified and selected for
entrepreneurial training
– have technical competency needed to start the new
ventures
• Attainment of technological self-reliance is the
immediate goal
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15. Recommendations
• Entrepreneurship education should encourage
students to challenge everything
– there is no single right answer to choose
– Most educated people are quite good at linear thinking
– The creative person couples this depth with lateral
creativity
– Innovative thoughts require more than logical thinking
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16. Recommendations
• Programs should encourage activity-based
projects
– increases creativity, positive attitudes toward science,
perception, logic development, communication skills,
and reading readiness
– Provides deeper understanding about how they can
work better as individuals and together as a team
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17. Recommendations
• Teamwork should be encouraged in these
programs
– People who makeup teams have valuable experience
of different domains
– Working in teams focusing on ideas for change,
encourages commitment to that process
– Fun to brainstorm in teams, humor and laughter are
outcomes, which spur creativity
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18. Recommendations
• Different techniques to enhance creativity must be
incorporated in the courses
– awareness of the different tools available such as TRIZ
and Thinker Toys
– practice the proper uses of brainstorming
– encouragement to use tools for coming up with new
ideas
• The class should be structured to have elements
of surprise for the students
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19. Recommendations
• Use of IT tools to promote creativity and thinking,
should be incorporated in studies
• Program should try to present familiar information
in unfamiliar context
– presenting information in new and innovative ways to
help students look for new possibilities
• Programs should be exciting and fun
– humor encourage innovative thinking
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20. Recommendations
• Business and technological incubators should be
established
– Constant creativity and innovation in an appropriately
rich environment where novel ideas can be launched
and tested
• Programs should entail approaches and activities
that build the self-confidence of the students
– Needed most in the verification step (Wallas)
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21. Summary and Conclusion
• Creativity plays a very significant role in
Entrepreneurship
• Educational institutions play a vital role in
enhancing creative skills of individuals and teams
• The various techniques and tools used to enhance
creativity in Entrepreneurial institutes in US can be
applied to enrich the entrepreneurial culture of
developing nations
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22. Thank You
Time for Questions and
Comments
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