The Catalyst of American Entrepreneurship
-
Upload
tre-networks -
Category
Documents
-
view
108 -
download
2
description
Transcript of The Catalyst of American Entrepreneurship
The Catalyst of American Entrepreneurship:the Dealmaker’s Role in the Establishment ofHigh Performance Entrepreneurial Networks
Briefing to the TRE Networks RoundtableDecember 6, 2011
Ted D. Zoller, PhDDirector, UNC Center for Entrepreneurshipand Associate Professor
© Please do not publish or distribute without prior permission.
Networks and Economic Performance of Entrepreneurial Economies
Who’s the Who?
• THE WHO? New Frontiers– Application of Network Theory (Now Being Built)– Methods Understanding Economics Through
Social Capital– Integration of Innovation, Funding and Firms– Understanding Acuitively Role of Social Capital
Structure
Dealmakers Conceptualized
Entrepreneurs
Investors
???????
Aggregate View of Social Capital
Dealmakers Conceptualized
.
Dealmakers
Broker Information
and Resources
Shape Deal Networks
Syndicate and
Interconnect
Structured View of Social Capital
Dealmakers Conceptualized
Dealmakers Conceptualized
Dealmakers Conceptualized
Dealmaker’s Algorithm In Brief
Who’s the Who?
1. Identify All Entrepreneurs and Investors in a Region by:• Discovering Individuals with Board Positions in
Private Companies;• Uncovering Personal Data from Filings of Securitized
Investments• Tracking their employment history and firm
affiliations;
2. “Stacking” the Number of Firm Positions Held to Identify Serial Entrepreneurs and Investors who are central to the network.
3. Socially Map these affiliations to:• Identify the key actors in the network by industry;• Uncover person to person ties in the community;• Characterize the size, social characteristics and
cohesiveness of the community;• Suggest ways to increase performance of the
network.
Conceptual Model
NestedInterlocks:
ActorswithinFirmswithin
Regions
Emerging Dealmakers
Entrepreneur
Investor
SU/SOFirm
Mgmt Team
Board
Brokers
Founder/ManagementInvestor
ExtraRegional (outside Technopole) IntraRegional
(within Technopole)
DEALMAKERS
3+
4+
Serial Dealmakers2+
Regions/Industries Specified
Information Technology Industry Classifications Information Technology (Primary)Telecommunication Services (Primary)
Life Sciences and Biotech Industry ClassificationsHealthcare Equipment and Supplies (Primary)Pharmaceuticals, Biotechnology and Life Sciences
(Primary)Health Care Technology (Primary)
Entrepreneurial Firm Birth Results1984-2009
Entrepreneurial Firm Birth Results1984-2009 (Normalized on 1984 Base Year)
Dealmaker Concurrent Ties: All Technopoles
Concurrent Social Network Ties (Board and Firm Interlocks)
# o
f A
cto
rs in
Netw
ork
(R
eg
ion
al En
trep
ren
eu
rial Econ
om
y)
4(1026) 5(603) 6 (391)
Correlation Matrix
Total Associated Entrepreneurial Networks by Technopole, Sorted by Regional Population Size
Silicon ValleyBoston Phoenix Seattle
Minneapolis Denver Orange Co. San Diego
Portland Salt Lake City AustinRTP
Emerging Dealmaker and Dealmaker Networks by Technopole, Sorted by Regional Population Size
Boston Phoenix Seattle
Minneapolis Denver Orange Co. San Diego
Portland Salt Lake City RTP Austin
Silicon Valley
Austin
Boston Seattle
San Diego
Salt Lake City RTPPortland
Phoenix
Orange Co.Minneapolis Denver
Dealmaker Networks by Technopole, Sorted by Regional Population Size
Silicon Valley
Component Analysis of Total Entrepreneurial Networks by Technopole, Sorted by Regional Population Size
Boston Silicon Valley Phoenix Seattle
Minneapolis Denver Orange Co. San Diego
Portland Salt Lake City RTP Austin
???????
Deep Dive North Carolina’s Dealmaker Network
North Carolina Entrepreneurial EconomyConcentration of Equity Holdings by Sector
Healthcare
Industrials
Energy
Information Tech
Telecom
North CarolinaAggregate Entrepreneurial Network
Healthcare
Industrials
Energy
Information Tech
Telecom
North CarolinaAggregate Entrepreneurial Network
Healthcare
Industrials
Energy
Information Tech
Telecom
North CarolinaDealmaker Entrepreneurial Network
Healthcare
Industrials
Energy
Information Tech
Telecom
Charlotte-RTPDealmaker Bridge N=126
North CarolinaDealmaker Entrepreneurial Network
Healthcare
Industrials
Energy
Information Tech
Telecom
Research Triangle ParkAggregate Entrepreneurial Network
Life Sciences
Industrials
Energy
Information Tech
Telecom
Research Triangle ParkAggregate Entrepreneurial Network
Life Sciences
Industrials
Energy
Information Tech
Telecom
Research Triangle ParkDealmaker Entrepreneurial Network
Life Sciences
Industrials
Energy
Information Tech
Telecom
Dealmaker Career Pathways
Initiator Stage 1 Serial Stage 2Emerging
Dealmaker Stage 3 Dealmaker Stage 4
Inve
stor
Entr
epre
neur
Investment Banking/Asset Management (IB)
Financial/Securities Analyst (FA)
Director, Investment/Merchant Banking (DB)
Principal, Investment Partnership (RI)
Partner, Asset Manager/PE (PE) Chairman, Asset Manager/PE (CP)
Partner/VP, Investment Bank/Partnership (PI)
Managing Director, Investment/Merchant Bank
(MB)
Principal/Associate VC Firm (VC)
Jr. Partner, VC Firm (JV) Partner, VC Firm (PV) Managing General Partner, VC Firm (GV)
Partner at Venture Accelerator and Fund (PA)
VC or Holding Company Advisor or Entrepreneur-in-
Residence (AD)
CEO and Chairman of Private Company (CH)
C-Level Private or Venture-backed (CV)
President/CEO/Chair High-Growth Private (UR)
HNW/Angel Investor and Advisor (AN)
Manager, Large Public Corporation (CD)
Sr./VP High Growth Public Company (HU)
C-Level High Growth Public (CU)
CEO/Chairman High Growth Public Company (EU)
Partner and Advisor, VC Firm (PC)
Sr./VP High Growth Private Company (HV)
Partner/Principal, Services Company (SV) C-Level Services (CS)Line Role High-Growth
Company (HD)
Consulting or Services Company (SD)
Early-stage Founder (NC)
Serial Founder (SF) CEO/Venture-backed Company (EO)
CEO and Advisor Venture-backed Private (VA)
University Faculty or Administrator (UF)
University Dean/Dept Head (UD)
Initiator Stage 1 Serial Stage 2Emerging
Dealmaker Stage 3 Dealmaker Stage 4
Inve
stor
Entr
epre
neur
Investment Banking/Asset Management (IB)
Financial/Securities Analyst (FA)
Director, Investment/Merchant Banking (DB)
Principal, Investment Partnership (RI)
Partner, Asset Manager/PE (PE)PROFILE 4Chairman
Asset Manager/PE (CP)
Partner/VP, Investment Bank/Partnership (PI)
PROFILE 4Managing Director,
Investment/Merchant Bank (MB)
Principal/Associate VC Firm (VC)
Jr. Partner, VC Firm (JV) Partner, VC Firm (PV)PROFILE 3
Managing General PartnerVC Firm (GV)
Partner at Venture Accelerator and Fund (PA)
VC or Holding Company Advisor or Entrepreneur-in-
Residence (AD)
PROFILE 1
CEO and Chairman of Private Company (CH)
C-Level Private or Venture-backed (CV)
President/CEO/Chair High-Growth Private (UR)
PROFILE 6High Profile and Net WorthAngel Investor and Advisor
(AN)
Manager, Large Public Corporation (CD)
Sr./VP High Growth Public Company (HU)
C-Level High Growth Public (CU)
CEO/Chairman High Growth Public Company (EU)
PROFILE 2Partner and Advisor
VC Firm (PC)
Sr./VP High Growth Private Company (HV)
Partner/Principal, Services Company (SV) C-Level Services (CS)Line Role High-Growth
Company (HD)
Consulting or Services Company (SD)
Early-stage Founder (NC)
Serial Founder (SF) CEO/Venture-backed Company (EO)
PROFILE 5CEO and Advisor
Venture-backed Private (VA)
University Faculty or Administrator (UF)
University Dean/Dept Head (UD)
Initiator Stage 1 Implementer Stage 2 Influencer Stage 3 Dealmaker Stage 4
Weighted Connected Edges: Emerging Dealmakers + Dealmakers (3 plus ties)
Initiator Stage 1 Implementer Stage 2 Influencer Stage 3 Dealmaker Stage 4
Path Dependence of Dealmakers | Typical Profiles
Finance Large Public – Associate VC – Partner VC – General Partner VC Investment Bank – Investment Partnership – Asset Mgmt –
Chair/Asset Mgmt
Entrepreneurs/Managers Large Public – Sr. HiGrowth Private – Clevel – Chair Large Private High Growth – Sr. HiGrowth –Clevel VC Backed – Partner, VC – MG,
VC Consulting Svc – Sr. Hi Growth – Jr. VC – Partner VC- MG, VC
Independents Early Stage – Serial Founder – CEO/Venture Backed – Partner, VC
Firm University Faculty – Dept Head – CEO/Venture Backed – CEO/Chair
Top Twenty University Degree Affiliations: Entrepreneurial Network of 12 Technology Hot Spots© Ted Zoller, UNC-Chapel Hill (not to be reproduced without prior permission)
Building US Entrepreneurial Economies
Develop regional entrepreneurial networks intentionally.
Look to models that derive and implement policy change through most “between central” dealmakers in the regional economy
Put a “face” on cluster analysis to facilitate development of social capital in regional entrepreneurial networks
Balance policies that encourage “garage” entrepreneurship with policies that encourage transitioning US corporate talent to high-growth entrepreneurial firms.
Consider extra-regional “integrating” networks to connect entrepreneurial clusters.
Link complementary networks throughout the US to distribute equity investing clusters with technology clusters.
With Thanks:Questions
Briefing to the TRE Networks RoundtableDecember 6, 2011
Ted D. Zoller, PhDDirector, UNC Center for Entrepreneurshipand Associate Professor