Effectual Entrepreneurship Review Part 1: The Perfect Book For Newhouse Entrepreneurs
Effectual Entrepreneurship, authored by Stuart Read, Saras Sarasvathy, Nick Dew, Robert Wiltbank, and Anne-Valérie Ohlsson, is an excellent book that demystifies the ambiguous field of entrepreneurship, giving the reader practical advice, examples, and road maps to success. Uncertainty is prevalent in the field of entrepreneurship, and this book effectively advises the audience on how to navigate through uncertainty, making the best of it when encountered. As a multimedia entrepreneur I will continually refer to this book, as the information opened my eyes to a new way of thinking.
Throughout the book, the authors provide unique insights by breaking up their favorite quips and stories into six different categories: Practically speaking, Research roots, Road map, Explained, So what?, and Bigger questions. For me personally, I found the ‘Practically speaking’ sections the most useful because every time I would read stories of entrepreneurs actualizing their efforts into big time opportunities, I would be amazed. My mind would race in all sorts of directions trying to apply the same outside-of-the-box thinking provided by the testimonials in this book.
But aside from the general sections the book provides, there are also golden nugget stories sprinkled throughout the main section of the book. Each chapter begins with explaining what will be covered and then goes into detail. Sometimes the text can be a little word-heavy and cause me to disengage at times, but sticking through provided with some of the most ingenious quips to remember.
Take the story of the barber and his errand boy when explaining that there are smart ways to fail in Ch. 8, ‘I’m human: I’m afraid of failing’. The story involved a barber who loved to entertain the customers in his shop, making a fool of his errand boy for their delight. Every so often, the barber would offer the boy either a rusty old dime or a shiny quarter when he stopped by. The boy would constantly take the 10¢ option over the 25¢ option and leave to continue his errands. One day, one of the customers watching saw the boy on an errand and asked him why he would always choose the 10¢. The errand boy simply replied, “Choosing the quarter would end the game” (p. 66) and I thought that sort of thinking was genius to illustrate in such a story.
I like to think of myself as smart, but seeing opportunities like these in the industry will be essential in operating intelligently in the field of entrepreneurship. This is just one of the many examples the book provides that illustrates how to operate under uncertainty; the errand boy must have been unsure about choosing a rusty dime the first time the barber asked, but choosing it paid off big time in the long run.
Winning in the long run is my goal when approaching entrepreneurship. I want the ideas I create to make fluid transitions across this ever-changing platform that is new media. I also want to prioritize my happiness over the amount of money I see foreseeable in the opportunity, and this book has helped me see exactly how I should weigh out my time investment. In Ch. 11, ‘The affordable loss principle: Risk little, fail cheap’, the authors provide a handy framework for choosing what to invest in:
“Considerations for investing in alternatives: your wealth commitment, your time commitment, your reputation commitment, and your emotional commitment” (p.98).
When it comes to my capstone and latest venture DOodle the News, I pour a ton of time, reputation, and emotional commitment. I’m not exactly sure how the wealth will play into it, but that will be my goal while I am here at Newhouse. Because I must start with my means on this venture, it allows me to think as creatively as possible, and following the rest of the five steps comes naturally. I have taken slight affordable losses so far, but nothing substantial. I’ve talked about this idea with a handful of other creative minds on campus, and they have helped build this idea from Societal Insiders to Your Global Voice to now DOodle the News, and I have plenty more contingencies to leverage as I move forward. As far as co-creation, I have been fortunate enough to partner with Crystal Houston in the TRF program, as she brings key industry knowledge to my young 22-year-old perspective. And finally, I am in the current stages of taking action, researching the different types of microblog platforms and what makes each successful.
Check out Part 2 of this story to learn what I thought about the rest of the Effectual Entrepreneurship.
He has been published across a wide variety of media outlets, including Sports Illustrated, the Cornell Daily Sun, SportTechie, Clutchpoints, Cavs Nation, the Cornell Chronicle, and many more.
Tobe has a plethora of hobbies, including writing, athletics, drawing, acting, and collaborating with others about ideas and startups working in the multimedia space.