When you think of Michelin, you probably think of tires. In particular, the tires you’re about to replace on your car. The 126-year-old French company evokes images of reliable, durable rubber tires for all kinds of vehicles. “Pushing the envelope” or “cutting-edge innovation” probably aren’t the first phrases that come to mind. Yet pushing the envelope is precisely what the company’s Michelin Incubators is designed to help a corporate entrepreneur, or intrapreneur, do.
Led by SVP and Director Ralph Dimenna, Global Incubators was created to accelerate innovation outside Michelin’s core rubber tire business. The program works like a startup incubator, but it recruits teams from within Michelin. Corporate entrepreneurs pitch their ideas to executives to win a round of funding. Once they close on the funding, they put together a team and form a startup that works on the idea full time. The team tests its hypotheses in the market until they either find the product/market fit or pivot to something else.
Britain is well known as the site of the world’s first Industrial Revolution, but until recently London – home of the scientific and financial revolutions that preceded industrialization – was rarely considered an entrepreneurial hotspot since then.
London seemed simply not to have captured the kind of world-class, innovation-driven entrepreneurship that has propelled Silicon Valley and Kendall Square to international acclaim.
Seeking to play my role in helping London recapture some of its entrepreneurial tradition, I took up a post in Fall 2012 as a Visiting Scholar at MIT Sloan on behalf of the British Government. For the previous five years, I had been Britain’s Consul General to New England focused on transatlantic business development and had moved the Consulate into One Broadway (aka E70) to deepen the links with MIT, Kendall Square and the high-tech sectors.
When Congress passed the Jumpstart Our Business Start-ups Act (“JOBS Act”) last year, the rationale sounded right: some “good ideas” don’t come to market because entrepreneurs often lack the necessary connections to privately raise significant amounts of capital. If they could get such funding, the argument went, jobs would be created. And that’s a good thing.
So part of the JOBS Act now permits private firms, including start-ups, to seek equity investments without registering shares for sale, though only from accredited investors. But if implemented, other provisions of the law would allow entrepreneurs and others to use crowd sourcing or social media to troll for money from virtually any would-be private investor. And that’s not such a good thing.
There is a lot of buzz lately about entrepreneurship hotspots across the country. We hear about successful startups in many places, from Austin, Tex., to Reston, Va. What does this mean for entrepreneurs? If you’re launching a startup, does it really matter where you locate?
Yes, it does matter. If you’re starting out, it’s by far best to be in either Silicon Valley or the Boston area. They remain the hottest centers of entrepreneurship and venture capital, so you’ll be in an inherently supportive ecosystem where entrepreneurship is as natural as drinking water. Read More »
George Westerman (MIT Center for Digital Business), interviewed by Michael Fitzgerald
October 29, 2012
Big traditional companies get overlooked when it comes to digital transformation. But companies across all industry sectors are remaking their operations, their customer interactions, and even their business models. George Westerman tells us how they’re doing it, whether they are technology champions or beginners.