Institutet för innovation och entreprenörskap
Version 9 Mars 2015
Study Guide 2015
GM1308 ‘Assessing Entrepreneurial Ideas’
Required course in the
MSc in Knowledge Based Entrepreneurship
Given by Institute of Innovation and Entrepreneurship (IIE)
at the University of Gothenburg in collaboration with Graduate School
Teacher responsible for course: Professor Maureen McKelvey
Contact teacher: Lecturer Johan Brink
This document describes the study guide for the course ‘GM1308 Assessing
Entrepreneurial Ideas’ given during Spring 2015. See further the course syllabus.
Assessing and evaluating ideas is a core activity for entrepreneurs. It is necessary
activity, in order to be able to develop and later sell innovations. Hence, the ability
to identify, evaluate and explore the potential of ideas that can be turned into
entrepreneurial opportunities and new ventures is a key area of knowledge and
skills for entrepreneurs. They must either take a decision to turn an idea into an
opportunity by taking proper actions how to proceed, or else may decide to
discard, or postpone the realization of the idea.
The learning objectives are that upon completion of the course the student
will be able to:
Knowledge and understanding


Describe a set of key concepts, frameworks and methods needed for analyzing the
entrepreneurial potential of knowledge-based ideas
Contrast the advantages and disadvantages of different approaches to idea evaluation
and different assessment methods
Skills and abilities



Apply a set of idea evaluation and assessment methods
Analyze what aspects are needed for the further development of an idea, such as the
need for additional resources and financing or an assessment of future risks and
uncertainties
Interact with external idea providers during the idea development phase, to develop
skills such as communication and presentation
Judgment and approach
Institutet för innovation och entreprenörskap
Handelshögskolan vid Göteborgs universitet
Viktoriagatn 13, Box 625, SE 405 30 Göteborg
031 786 0000, 031 786 1402 (fax)
www.iie.handels.gu.se info@handels.gu.se
2 / 14

Express, justify and criticize different arguments for the feasibility and future potential
of an evaluated project idea
Schedule during Spring 2015:
If necessary, the GUL page will be updated with any changes to the following
schedule, and we send messasges to students via GUL of any changes.
The course has four modules, designated M1, M2, M3 and M4 below.
M1: Description of your project. This should include your evaluation of
ideas, knowledge and technology in terms of resources, stakeholders and
opportunities: Teacher responsible: Johan Brink
M2: Patent analysis: Teacher responsible: Evangelos Bourelos
M3: Market and competitor analysis. Teacher responsible: Rögnvaldur
Saemundsson
M4: Evaluation of ideas/projects in financial terms. Teacher responsible:
Evangelos Bourelos
The teachers’ roles are to develop and grade the course relative to learning
objectives, to explain and introduce the content of the modules, and supervise
students in conducting the analysis specified for each module in relation to their
project.
The role of the business advisors (business coaches) are to a) develop written
background information on each project idea selected; b) facilitate the discussions
and interactions between the idea providers and students, including ensuring that
the idea providers work with our students; c) provide advice and feed-back to the
external idea providers about the results of the students’ work and to other
stakeholders in the Gothenburg innovation system; and d) optional. For those
students working on their own business proposal for year 2, to provide specific
time and resources to help them turn ideas into projects, and fill in the form.
Readings are listed below with the schedule.
Date
Time
/Place
Readings
Module / Topics
Teachers or
business
advisors
Week 13
(1)
Wed 25/3
Teachers(s) and
coaches
9-12, C32
Teacher:
McKelvey
Introduction to
course - learning
objectives,
assessments,
schedule
Explain assignments
and modules
3 / 14
Presentation of the
groups and
distribution of
written material
about each project
Thu, 26 /3
9-12, B21
Teacher:
Brink
Marr, B et al, Intellectual capital
– defining key performance
indicators for organizational
knowledge assets, Business
Process Management Journal
Vol. 10 No. 5, pp. 551-569,
(2004)
Liu Y-C. and T. Bligh, Towards
an ‘ideal’ approach for concept
generation, , Design Studies 24
pp. 341–355 (2003)
Blair, C. and M. Mumford.
Errors in Idea Evaluation:
Preference for the Unoriginal?
Journal of Creative Behavior,
Volume 41, Number 3, Third
Quarter, pp.197-222 (2007)
Werner Knoll and Horton
(2011) Changing the
perspective: using a cognitive
model to improve thinklets for
ideation, Journal of
management information
systems, 28:1, 85-114
Kornish and Ulrich (2014) The
importance of the raw Idea in
Innovation, Journal of
Marketing, Vol, IL, 14-16
Thu 26 / 3
13-16, GU
Holding,
Business
advisors:
Thorbjörnsson
and Nilsson
HT and AN schedule 1 hour
meetings between each project
group and the external idea
provider.
PLEASE CONTACT NILSSON
FOR SCHEDULING A TIME
Meetings with students with own
ideas can be scheduled – students
contact HT or AN
M1
Introduction to
evaluation of ideas,
ideations, knowledge
and technology
Description of
project M1
4 / 14
Fri 27/3
9-12, GU
Holding
Business
Advisors:
Thorbjörnsson
and Nilsson
HT and AN have scheduled 1
hour meetings between each
project group and the external
idea provider
Meetings with students with own
ideas can be scheduled on
additional time – students contact
HT or AN
Week 14
(2)
Wed 1/4
9-16, GUHolding
Business
Advisors:
Thorbjörnsson
and Nilsson
Thur 2/4
9-12,
Viktoriasal
en
Teacher:
Brink
Possibility for student groups to
book extra meetings with the
business advisors – students
contact HT or AN
Possibility for students with
own ideas to book additional
time – students contact HT or
AN
Levinthal, D.A. 1998. The slow
pace of rapid technological
change: gradualism and
punctuation in technological
change. Industrial and
Corporate Change 7, no. 2:
217–47.
Martinsuo, M.and J. Poskela,
Use of Evaluation Criteria and
Innovation Performance in the
Front End of Innovation, J
PROD INNOV MANAG ;28:
pp.896–914, (2011)
Ozer, M. A Survey of New
Product Evaluation Models, J
PROD INNOV MANAG;16: pp.
77–94,(1999)
Howell J. and K. Boies,
Champions of technological
innovation, The Leadership
Quarterly, 15, pp. 123-143
Hammedi, W. et al. Antecedents
and Consequences of
Reflexivity in New Product Idea
M2
Evaluation of ideas,
knowledge and
technology, II:
Evaluation models,
Technology and
Markets - Niche
markets
5 / 14
Screening, J PROD INNOV
MANAG; 28: pp.662–679
(2011)
Kijkuit B. and J. van den Ende,
The Organizational Life of an
Idea: Integrating Social
Network, Creativity and
Decision-Making Perspectives,
Journal of Management Studies
44:6 September pp.863-882,
(2007)
Christiansen J. and C. Varnes,
From models to practice:
decision making at portfolio
meetings From models to
practice. International Journal
of Quality & Reliability
Management Vol. 25 No. 1, pp.
87-101 (2008)
Week 15
(3)
Wed, 8/4
4 pm
HAND-IN via GUL.
1) Ppts for
presentations (15
min max)
2) 2 pages about M1
that you intend to use
in the final report
Friday
10/4
9-12, F44
Teacher:
Brink and
McKelvey
Business
Advisors:
Nilsson and
Thorbjörnsson
Mandatory attendance; all
presentations (Project 1-8)
You are expected to attend all
sessions – the matched below is
which groups comment on each
other
Each group presents for max 15
min plus 5 min discussion. Total
20 min per group. Each group
also comments on another
group. This format is used for
all presentations.
Group 1 and 8 comment on each
other.
Groups 2 and 7 comment on
each other.
M1
Student presentation
of M1
6 / 14
Groups 3 and 6 comment on
each other.
Groups 4 and 5 comment on
each other.
Week 16
(4)
Tues, 14/4
13-16, C32
Teacher:
Bourelos
WIPO-IP for Business
(http://www.wipo.int/sme)
M2
Patent analysis
Basberg (1987),
“Patents and the Measurement
of Technological Change: A
Survey of the Literature,”
Research Policy. 16 (2-4) pp
131-141
http://www.nber.org/chapters/c8
351.pdf
Griliches, Zvi. “Patent statistics
as economic indicators: a
survey.” R&D and productivity:
the econometric evidence.
University of Chicago Press,
1998. 287-343.
Tues 14/4,
Wed 15/4,
Thurs 16/4
GUHolding
Business
advisors:
Thorbjörnsson
and Nilsson
Meet each of the 8 project
groups for 30 min to 1 hour.
Discussion about the project,
idea provider, and situation with
patents and IPR in this industry
Possibility for students with
own ideas to book (via doodle)
in 15 to 30 min slots with
business advisors on own
projects
Week 17
(5)
Mon 20/4
9-12, C32
Teacher:
Bourelos
Only come to the time allocated
to your group
We provide supervision on your
initial patent analysis, with two
groups at same time
9:15-9:45 Groups 1 & 8
9:45-10:15 Groups 2 & 7
10:30-11:00 Groups 3 & 6
11:00-11:30 Groups 4 & 5
M2
Bring your draft of
M2 analysis to the
meeting
Supervision for
patent analysis
7 / 14
Tues 21/4
4 pm
HAND-IN via GUL.
1) Ppts for
presentations (15
min max)
2) 2 pages about M2
that you intend to use
in the final report
Wed 22/4
13-16, C32
Teacher:
Bourelos and
McKelvey
Business
Advisors:
Nilsson and
Thorbjörnsson
Mandatory attendance; all
presentations (Project 1-8)
M2 presentation
Presentation and comments for
Module 2.
You are expected to attend all
sessions – the matched below is
which groups comment on each
other
13:15-13:45 Groups 1 & 7
13:45-14:15 Groups 2 & 8
14:30-15:00 Groups 3 & 5
15:00-15:30 Groups 4 & 6
Week 18
(6)
Mon 27/4
9-12, C32
Teacher:
Saemundsson
and McKelvey
Bowman, C. and V. Ambrosini
(2000),Value Creation Versus
Value Capture: Towards a
Coherent Definition of Value
Strategy British Journal of
Management, Vol. 11, 1–15
Brandenburger and Stuart.
(1996) Value based Business
Strategy, Journal of Economics
& Management Strategy VOL.5
NO 1. 5-24
Lieberman, Montgomery
(1988), First Mover
Advantages, Strategic
Managment Journal, Vol 9
Special issue Summer 41-58.
Marina Candi and Rögnvaldur
J. Saemundsson, (2011)
Exploring the Relationship
Between Aesthetic Design as an
Element of New Service
Development and Performance,
J PROD INNOV MANAG
M3
Market and
competitor analysis
8 / 14
2011;28:536–557
Recommended
LEPAK, SMITH and TAYLOR,
(2007) Introduction to Special
Topic Value creation and Value
capture, Academy of
Management Review, , 32:1
180-194
Barney, Jay (1991) Firm
Resources and Sustained
Competitive Advantage,
Journal of Management;17, 1;
Tues 28/4
9-12, D31
Teacher:
Saemundsson
PORTER, M (2008), The Five
competitive sources that shapes
strategy, Barvard Business
Review, JANUARY ISSUE
Only come to the time allocated
to your group
We provide supervision on your
initial market and competitor
analysis, with two groups at
same time
9:15-9:45 Groups 1 & 8
9:45-10:15 Groups 2 & 7
10:30-11:00 Groups 3 & 6
11:00-11:30 Groups 4 & 5
Week 19
(7)
Mon 4/5
9-12, GU
Holding
Business
advisors:
Thorbjörnsson
and Nilsson
Meet each of the 8 project
groups for 30 hour to 1 hour.
Discussion about the project,
idea provider, and situation with
the market and competitors for
this product
Possibility for students with
own ideas to book (via doodle)
in 15 to 30 min slots with
business advisors on own
projects
Tues 5/5
9-12, 1316, GU
Business
advisors:
Meet each of the 8 project
groups for 30 hour to 1 hour.
9 / 14
Holding
Thorbjörnsson
and Nilsson
Discussion about the project,
idea provider, and situation with
the market and competitors for
this product
Possibility for students with
own ideas to book (via doodle)
in 15 to 30 min slots with
business advisors on own
projects
Tues 5/5
4 pm
HAND-IN via GUL.
1) Ppts for
presentations (15
min max)
2) 2 pages about M3
that you intend to use
in the final report
Wed, 6/5
13-16, C32
Teachers:
Bourelos and
Brink
Mandatory attendance; all
presentations (Project 1-8)
M3 Presentation
Presentation and comments for
Module 2.
You are expected to attend all
sessions – the matched below is
which groups comment on each
other
13:15-13:45 Groups 1 & 7
13:45-14:15 Groups 2 & 8
14:30-15:00 Groups 3 & 5
15:00-15:30 Groups 4 & 6
Week 20
(8)
Mon 11/5
9-12, C32
Teacher:
Bourelos
Tues 12/5
13-16, C32
Teacher:
Bourelos
Metrick, A and Yasuda, A.
Venture Capital and the Finance
of Innovation, Weily, 2011
M4 Venture / project
valuation
Metrick, A and Yasuda, A.
Venture Capital and the Finance
of Innovation, Weily, 2011
M4
Intro M4 practical
assessment,
including examples
of old cases
Venture / project
valuation
Lecture and handson questions
10 / 14
Week 21
(9)
Monday
18/5
Only for students with ‘own
ideas’ for year 2 project
Noon via GUL
Deadline to hand-in document /
proposal
Mon 18/5,
9-12,
Tues 19/5,
9-12,
Wed 20/5
13-16
GUHolding
Business
advisors:
Thorbjörnsson
and Nilsson
Meet each of the 8 project
groups for 30 hour to 1 hour.
Discussion about the project,
idea provider, and financing
possibilities that could be
pursued.
Possibility for students with
own ideas to book (via doodle)
in 15 to 30 min slots with
business advisors on own
projects
Tues 19/5
13-16, C32
Bourelos
Only come to the time allocated
to your group
We provide supervision on your
initial market and competitor
analysis, with two groups at
same time
13:15-13:45 Groups 1 & 8
13:45-14:15 Groups 2 & 7
14:30-15:00 Groups 3 & 6
15:00-15:30 Groups 4 & 5
Thurs,
21/5
9-12,
Viktoriasal
en
Teachers:
Bourelos and
McKelvey
Business
advisors:
Thorbjörnsson
and Nilsson
Mandatory attendance; all
presentations (Project 1-8)
M4 Presentations
Presentation and comments on
each other for Module 4.
You are expected to attend all
sessions – the matched below is
which groups comment on each
other
9:15-9:45 Groups 1 & 6
9:45-10:15 Groups 2 & 5
10:30-11:00 Groups 3 & 8
11:00-11:30 Groups 4 & 7
Week 22
(10)
Mon, 25/5
All project groups
Deadline to hand in
short summary of
your AEI project,
11 / 14
using the same form
circulated for own
project ideas
Tue 26/5
HANDELS MEETINGPOINT:
Knowledge Intensive
Entrepreneurship: What can we
learn from tech and creative
industries?
8.30-Lunch
Students must register via the
email registration, which will be
sent in April. You are expected
to take an active role, which
Maureen will explain to you.
Thurs 28/5
noon
All project groups
Deadline for hand-in
of your final report,
including M1-M4
Fri 29/5
noon
All individuals
Deadline for Hand-in
of individuals
preferences of
projects and teams
for MPE Y2
Week 23
(11)
Tues, 2/6
9-12, D31
Teachers:
Mandatory attendance
McKelvey,
Brink,
Bourelos,
Meeting for the formation of
teams and projects for year 2
Business
advisors:
Nilsson,
Thorbjörnsson
Fri, 5/6
16.3021.30
Viktoriagatan
30
Exam
8.00-13.00
Folkets Hus
Re-Exam
Week 34
17/8
Contact information
Institute for Innovation and Entrepreneurship (IIE)
Department of Economy and Society
Teachers:
Maureen McKelvey, Professor at IIE
12 / 14
Johan Brink, Senior Lecturer at IIE, contact teacher for this course
Evangelos Bourelos, Lecturer / researcher at IIE
Rögnvaldur Saemundsson Lecturer / researcher at IIE
http://es.handels.gu.se/english/units/institute-for-innovation-and-entrepreneurship
Business Advisors:
Anders Nilsson, Senior Business Advisor, IIE
Håkan Thorbjörnsson, GU Holding, IIE
GS Administrator
Ellen Morris, Administrative Coordinator, Graduate School
Project and team based evaluation
The team-based evaluation is 45% of the grade.
Students present four times during the course (see schedule), and all presentations are
mandatory. You must also hand-in a preliminary draft of your findings for each module, when
you present. These are not graded, but they enable us to give you feed-back for writing the
final report. You should use and improve these, to turn the drafts into the final report.
The final hand in is graded and includes one report per team. Each report should be in the
range 10 to max 15 pages per report, 1,5 spacing, times new roman. The report includes 1
page executive summary as well as at least 2 pages per module.
Your work consists of assessing entrepreneurial ideas provided by external idea providers.
Each team should during the course assess and develop one original idea, and this project is
run in collaboration with our partner, GU Holding. In order to understand and also further
develop these original ideas each team will have to be in interaction with the original idea
providers during the course. Note that you may need more time and meeting than those
defined as 'group work' on the schedule, but the business advisors role is to facilitate these
meetings.
Each report will consist of the following course modules:

M1: Description of your project. This includes evaluation of ideas, knowledge
and technology, in terms of stakeholders and opportunities.
o First: Provide a short description of the main idea; this also includes an
analysis of key resources and stakeholders. Clarify the original
application/opportunity identified. The idea provider can often provide this in a
rough state but you need to put this into your own words.
o Second: One idea doesn’t necessary correspond to just one single
application/opportunity but instead can be developed and open up the door to
several applications/opportunities. This might involve taking and developing
the raw idea into different appplications/products/businesses. You should, for
the idea given in your project, development of two different potential
opportunities. Thus you should besides the initial given idea generate and
develop a second potential area of applications/opportunity where the main
original idea (and its resources identified earlier) also could be applied. As an
example this involve using something originating from the initial idea (such as
13 / 14
resources or technology) for very different needs and markets.
o Third: Relate the various evaluation techniques and processes, including their
difficulties to the final evaluation of your own project. You should, at the
projects end, besides the financial evaluation in M4 (below), also be able to
motivate your final recommendations and relate back to these various
techniques and their inherent strength and weaknesses.

M2: Patent analysis In this module, you should understand and use the concepts of
analysis of patents and related intellectual assets and apply these to your project. In
other words, use the lectures, concepts and theories from M2 to provide an overview
that describes the current situation for your project (relative to the competitive
situation in terms of patents and intellectual asses), in developing your specific patent
analysis. You must work hands-on with this analysis. More specifically describe and
discuss: if the idea is patentable or not, if there is any freedom to operate (risks of
infringements and relationship to prior art), if it make sense for the business to patent
or not.

M3: Market and competitor analysis. In this module, you should be understand and
use the concepts of analysis of market and competitors and apply these to your project.
In other words, use the lectures, concepts and theories from M3 to provide an
overview that describes the current situation for your project, in developing your
specific analysis of the market and competitors. You must work hands-on with this
analysis. More specifically Given what you see as an business opportunity in this idea
will the idea provide a competitive advantage and provide any financial returns?

M4: Evaluation of ideas/projects in financial terms Specify one of the ideas
(business model) that this project could be used and evaluate the financial potential for
further business development. You will have to evaluate the two applications for a
good and a bad scenario. At first, you will use the traditional assessing methods and
calculate the NPV (such as based on expected cash flow, income, expenses and their
uncertainty/risk). Second, you will assess the ideas by using more advanced
techniques of real option valuation. At the end, you will have to compare the different
methods and justify your assessments. Explain your choice of how to evaluate it,
financially. Motivate and present your choice, especially in terms of stating your
decision-criteria for the go/no-go decision (Do also relate to issues brought up during
M1!).
Presentations and hand-ins. For each module, as defined above, each group must hand in their
presentation and a 2 page draft of that section. This draft will be used to constitute the final
report, due at the end of the course. For each module presentation, the group will present for
max 15 min plus 5 min discussion. Total 20 min per group. Each group also comments on
another group. This format is used for all presentations.
The final hand-in consists of the final report, including all four modules. The students should
also hand-in the short form describing the business models, e.g. the same form used for
student own ideas.
The business advisors are expected to use this material to help develop businesses at the
external idea providers.
Individual written exam:
14 / 14
The individual written exam can cover any and all aspects of the course, including lectures,
readings, reflections about the project work, details of modules, etc.
The individual written exam is a 55% of the grade. The student must sign up for exam and reexams, and these are scheduled via Graduate School.
Reading list of books. Note that articles are listed above in the table
Metrick, A and Yasuda, A. Venture Capital and the Finance of Innovation, Weily, 2011