Not all entrepreneurs are young — Jim Dougherty

MIT Sloan Sr. Lecturer Jim Dougherty

From Xconomy

Most of the famous entrepreneurs we hear about are fairly young. We tend to read in the popular press about the Mark Zuckerbergs of the world and assume that all successful entrepreneurs launch businesses in their 20s. However, this couldn’t be further from reality.

Recent studies show that older entrepreneurs are increasing while the number of younger entrepreneurs is decreasing. According to the Kauffman Index of Entrepreneurial Activity, the share of entrepreneurs in the 55-64 age group jumped from 14.3 percent in 1996 to 23.4 percent in 2012. In contrast, the share of entrepreneurs in the youngest age group of 20-34-year-olds decreased from 34.8 percent in 1996 to 26.2 percent in 2012.

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Partnering with Amazon? Think twice fashion retailers — Sharmila C. Chatterjee

MIT Sloan Senior Lecturer Sharmila Chatterjee

MIT Sloan Senior Lecturer Sharmila Chatterjee

From Fortune

When I read that Amazon was in talks to partner with big fashion retailers like J. Crew, Abercrombie & Fitch and Neiman Marcus, it got my attention. Despite Amazon’s leadership position in online retail, you typically don’t associate these higher-end clothing retailers with a mainstream site that targets essentially everyone.

If we were talking about a partnership between Amazon and Wal-Mart  WMT -0.94%  or even Costco, that would be far less surprising because of their parallels in broad customer bases and emphasis on low prices. But rather than partnering, Wal-Mart is making its own investments to level the playing field with Amazon. So why are fancier retailers like Neiman Marcus considering such a partnership? What are the risks? And do these risks outweigh the possible benefits? I think they do.

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These first-year MBAs are trying to solve America’s food waste problem — Ricky Ashenfelter

MIT Sloan’s Sustainability Certificate program, which is designed for MBA students who want to dig deep with the goal of becoming innovators in the field, has inspired the creation of new ventures. Ricky Ashenfelter and Emily Malina—both current students—approach the food industry from an entrepreneurial standpoint. Their new venture, Spoiler Alert, is a web-based marketplace for the real-time exchange of local supply and demand information for surplus, expiring, and spoiled food. Ricky blogged about his new company at Bloomberg Businessweek..

Jason Jay, Director, Sustainability Initiative at MIT Sloan.

MIT Sloan MBA Candidate Ricky Ashenfelter

Ricky Ashenfelter, MBA ’15

From Bloomberg Businessweek

Americans throw out almost a third of their food annually—the equivalent of more than $160 billion—while almost 15 percent of U.S. households struggle to put enough food on the table. Add to this the continuing depletion of our limited natural resources for fuel and fertilizer, and what you have is a business opportunity to redirect landfill-bound waste to people in need and to businesses that can do something productive with it.

My classmate at Massachusetts Institute of Technology’s Sloan School of Management, Emily Malina, and I are trying to do just that with a mobile application and enterprise software platform built on the principles of the sharing economy. Our business venture, Spoiler Alert, is an online marketplace for the real-time exchange of local supply-and-demand information for excess, expiring, and spoiled food.

The food waste problem is ripe for innovation. Here in Massachusetts, a commercial food waste ban will go into effect this summer. And last fall, the former president of Trader Joe’s, Doug Rauch, announced the opening of a Boston-based store that will prepare and sell donated, excess food to cost-conscious consumers.

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Think like a founder before becoming one — Elaine Chen

MIT Sloan Senior Lecturer Elaine Chen

MIT Sloan Senior Lecturer Elaine Chen

From Xconomy

February 2014 will go down in history as a month with two huge startup exits: Nest (acquired by Google for a whopping $3.2 billion) and WhatsApp (acquired by Facebook for an even more whopping $19 billion).

If you haven’t caught the startup bug, there’s a good chance you will have caught it after this. What’s everybody waiting for? Let’s all go start companies!

Lest everybody get carried away with these success stories, let’s look at some statistics. In May 2013, Paul Graham, founder of Y Combinator—arguably the most prestigious incubator in the U.S.—tweeted an interesting piece of data: 37 of the 511 YC companies to date had valuations of, or had sold for, $40 million or more. That’s great for the companies in the list (which includes Dropbox). But what about the 474 left off the list?

Not to be a wet blanket, but this statistic basically says an elite startup, incubated by the best of the best, has a less than 1 in 10 chance of becoming a big success.

Read the full post at Xconomy.

Elaine Chen is a Senior Lecturer in the Martin Trust Center for Entrepreneurship.

Commentary- An MBA’s take on Seattle’s tech scene — Jarek Langer

MIT Sloan MBA Student Jarek Langer

Jarek Langer, MBA ’15

From GeekWire

Even before coming to Seattle for the first time on MIT Sloan’s Tech Trek, I had a feeling that I’d like this place. I’d heard how it’s laid back and outdoorsy. Yeah, rainy weather, but I’d also heard how friendly everyone is. Having just returned from our visit, I can say that the city lived up to its reputation. I really liked the vibe.

We visited three big tech companies on our visit: Amazon, Microsoft and Groupon. They had all given formal presentations on MIT’s campus and are always in the news, so we were all pretty well-informed about them. Visiting on their home turf, however, gave us a unique opportunity to observe and experience their culture, get a feel for the environment, and ask more probing questions. We also visited the venture capital firm Madrona Venture Group, which hosted a startup panel discussion.

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