Intro

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Intro Overview
Developmental Entrepreneurship MAS.965
13 September 2002 Professor Sandy
Pentland sandy_at_media.mit.edu Joost
Bonsen jpbonsen_at_media.mit.edu http//courses.med
ia.mit.edu/2002fall/de/
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Doing Our Part in a Global Development Movement

• Global challenge never been clearer or more
  broadly known
• Development disparities within and between
  nations and peoples
• Understanding about what works growing
• Politically ripe consider Mexicos Fox, Ghanas
  Kufuor, Russias Putin

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Executive Summaries 2001

1. Mercados Infinitos -- distribution delivery
   services in Mexico
2. SEID -- global talent development challenge
   matchmaker
3. Remittance International community-building
   finl services Lat. America
4. CureAll -- mobile health care of syphilis in
   southern africa
5. Dlo Prop -- clean water via chlorination in Haiti
6. Safe Storage -- non-electric cold storage of
   vaccines in India
7. Cash -- PDA system for health and info services
   in India
8. Grow Networks -- e-mailman wireless network for
   India and Costa Rica
9. Diabetic Pulse -- non-invasive diagnostic
   self-managnt system for India
10. Asian Credit Organization -- credit rating
    financial info for China
11. Eco-Meter -- ecological electricity distribution
    system for Asia
12. DissemiNation -- FM radio-delivered digital info
    in Latin America Russia
13. InformUs -- info financial services for farmers
    in India
14. Cresimento e Valor -- philanthropic investor
    services in Brazil
15. Mexico Board of Trade -- efficient market for
    agriproducts in Mexico
16. MobilBanco -- electronic pre-payment for
    cellphones in Latin America
17. Green Cycle eco-composting for waste management
    and sanitation

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Continuing Ventures

1. Mercados Infinitos -- distribution delivery
   services in Mexico
2. SEID -- global talent development challenge
   matchmaker
3. Remittance International community-building
   finl services Lat. America
4. CureAll -- mobile health care of syphilis in
   southern africa
5. Dlo Prop -- clean water via chlorination in Haiti
6. Safe Storage -- non-electric cold storage of
   vaccines in India
7. Cash -- PDA system for health and info services
   in India
8. Grow Networks -- e-mailman wireless network for
   India and Costa Rica
9. Diabetic Pulse -- non-invasive diagnostic
   self-managnt system for India
10. Asian Credit Organization -- credit rating
    financial info for China
11. Eco-Meter -- ecological electricity distribution
    system for Asia
12. DissemiNation -- FM radio-delivered digital info
    in Latin America Russia
13. InformUs -- info financial services for farmers
    in India
14. Cresimento e Valor -- philanthropic investor
    services in Brazil
15. Mexico Board of Trade -- efficient market for
    agriproducts in Mexico
16. MobilBanco -- electronic pre-payment for
    cellphones in Latin America
17. Green Cycle eco-composting for waste management
    and sanitation

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Development Challenge Opportunity

• Population Growth
• Youthful Unemployed
• Basic Needs Water, Power, Housing
• Economic Desires (political, etc)
• Developmental Technologies
• Developmental Entrepreneurship
• Developmental Innovations Generally

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Growth of Humanity

• Note slowing of growth rates
• Growth proportionate to wealth income

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Megacities
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Youthful Populations
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Undervalued Human Capital

• Creative Talent is only unbounded resource!
• Consider the US Case
• Build educational institutions
• Be clever with incentive structures to motivate
  self-improvement

Source Knowledge Universe
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Clean Water
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Water Availability
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Macro CategoriesThe 1G Challenge

• Basic Needs
• Health
• Catastrophe Mitigation
• Shelter
• Farming
• Culture

• Transportation
• Distributed Power
• Information Communication
• Education
• Business Models
• Finance

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Possible Solutions Appropriate Technologies

• Low power refrigeration
• Solar stoves
• Water filtration
• Locomotion
• Medical incubator
• Low Cost Eyeglasses
• Local Distributed power
• Clean combustion
• Clean Water

Ravi Kuchimanchi, AID-India
Enfield Bullet, Sristi
http//www.thinkcycle.org
Médecins Sans Frontières
Murcott Group, Civil Engineering
http//www.thinkcycle.org
Ashok Gadgil UV Treatment
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Possible Solutions Leapfrog Technologiese.g.
Portable Computers for the peoplee.g.
Cellphones per villagee.g. Intellectual capital
development via school or innovator network system
Nishi Group, Media Lab
Jacobson Group, Media Lab
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To Help with Deployment Developmental
Entrepreneurship

• MicroEntrepreneurship
• MicroFinance
• MicroSavings
• MicroCredit
• MicroVC
• MicroFranchising
• Entrepreneurial NGOs
• Social Ventures
• and more

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Dream Scenario Global Health, Wealth,
Happiness

• Ailments diagnosed cured
• Infrastructure built clean
• Industry with minimized externalities
• Peace, Security, Freedom
• Competent Non-Corrupt Civil Service
• Choice maximized

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GDP/Capita Connection to Innovations
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Still Tough Questions Are There Limits to
Growth?
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The Sustainability Debate

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Historically Broad Efforts at MIT in

• International Development
• Entrepreneurship
• via
• Educational
• Research
• Extracurricular
• activity

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MIT Development Education Efforts

• Founding Building Technical Institutes
• Stanford, Caltech
• IITs, Birla Institute
• Alliances China, Latin America, Singapore, UK
• Open CourseWare
• K12 Endeavors
• Media Lab
• System Dynamics
• Classes Degree Programs
• Developmental Health, Design, Housing, Planning,
  Economics, Policy

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Example MIT Classes on Development(Current
Historical)

• MAS.963 Development Technologies
  http//edev.media.mit.edu/class963.html
• IAP Grassroots Development Seminar
  http//www.media.mit.edu/nitin/aid/iap/
• SP746 ATF Writing Seminar http//web.mit.edu/sp.7
  46/www/home.html
• SP753 Designs for Developing Countries
  http//web.mit.edu/sp753/www/home.html
• 21A.336 Globalization Mercantilism to Microchips
  C. Walley
• 15.040 Development Macroeconomics R Rigobon
  http//web.mit.edu/rigobon/www/Cursos/DM_Syllabus
  01.html
• 17.196 Globalization S. Berger

http//web.media.mit.edu/jpbonsen/MIT-Devel-Class
es.htm
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MIT Development Research Activities

• Sustainable Housing
• Environmental
• Globalization Study
• Economics
• Digital Nations
• ThinkCycle

e.g. Banerjee Duflo
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MIT Development Through Student Extra-Curriculars

• AID-India, Habitat for Humanity, Amnesty
  International,
• SANGAM, Paksmit, Sri Lankans, Club Latino,
  Bangladeshis, Africans,
• Development by Design

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MIT in Entrepreneurship

• Rich Alumni Legacy
• Research since 1890s Walker
• Alumni MIT Enterprise Forum
• MIT Entrepreneurship Center MTIE
• Student Extracurricular activity

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MIT Alumni Legacy
4,000 companies gt 1M employees 250 Billion sales
http//web.mit.edu/newsoffice/founders
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MIT Research on Innovation Entrepreneurship

• Rogers
• Walker
• Alfred P. Sloans influence
• Chandler, Roberts, Morse Sr.
• Major initiatives now with Schoar, Burton,
  Johnson, Locke, etc

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MIT Entrepreneurship Organizations

• E-Center
• E-Forum
• TLO
• MIT 50K E-Competition
• Sloan Entrepreneurs
• VC Club

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Connecting Development Entrepreneurship

• MIT 50K Entrepreneurship Competition 1K Warmup
  Alum e.gs
• DyD Workshop
• Other E-Center classes GLab
• SEID
• Alumni Company Role Models
• Our DE Seminar

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Alumni Company Role Models

• Africa Online
• http//www.africaonline.com/
• Evergreen Solar
• http//www.evergreensolar.com/

Water Pumping in Tanzania This water pumping
system provided the first water supply for the
main slaughterhouse in Dar es Salaam, Tanzania.
WorldWater Corporation (www.worldwater.com)
designed and installed this AquaSafe system, as
well as others in Africa and Southeast Asia
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Example Cases Well Feature

• Low Cost Eyecare
• Appropriate Medical Therapies
• Distributed Power Generation
• Printed PCs
• Telecom Networks
• Innovator Networks

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Interwoven DE Themes

• Entrepreneurial Models for Development
• MicroEntrepreneurship franchising, financing,
  VCs, credit
• Rule of Law Socio-Political Hurdles

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Selecting DE Opportunities to work on from MIT
Beyond

• Meeting peers in class
• Surfing web, paying attention
• Handouts
• Look about MIT Labs
• Talk to us!

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MIT Technology Biz Matrix
Info Bio Tiny Complx Develop- mental
MIT Research LCS/AI, Media, 6 HST, BEH, 7 MTL, 3, 5, 6, 8, 16 SDM, Aero, 6, 15, 14, 13 Digital Nations, 1, 4, 5, 6, 7, 11
Sloan Research eBiz, Mkting POPI, ? ? System Dynamics, Tech Strat Econ, Global Entrepreneurship
Sloan Courses ITBT, eBiz Bio-venture TES SysDyn, Strat, OR, Global E-lab, DE
Sloan Extracur Media-Tech Health-Tech TinyTech OR, SDK12, etc SEID
MIT Alum Startups Akamai, DirectHit Amgen, Biogen Gentec Surface, eink, Angstrm HP, Raytheon, Teradyne AfricaOnline, Evergreen Solar
http//web.media.mit.edu/jpbonsen/MIT-Emerging-Te
chnology-Matrix.htm
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MIT Alumni Geo Distribution
http//web.mit.edu/alum
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Example Online Idea Sources

• ThinkCycle
• http//www.thinkcycle.org
• http//www.thinkcycle.org/start/
• Sristi
• http//www.sristi.org
• DE Course Webpage
• http//courses.media.mit.edu/2002fall/de/

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DE Expected Deliverables

• Business Plan Executive Summary complying with
  the MIT 50K Entrepreneurship Competition 1K
  Warmup guidelines (early November)
• OR
• A paper or article about some DE topic key
  caveat you must try to publish it in The Tech
  etc.

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DE Participation Includes

• Showing up
• Independent Research
• Contributing weekly original interesting
  weblink to ThinkCycles Developmental
  Entrepreneurship Topic
• http//www.thinkcycle.org

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Personal Elevator Pitch

• Im FirstName LastName
• Student in School/Department
• Studying in Program/Field
• Most recently a LastRole at Previous Organization
• Now very interested in ShortSummary

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Short Summary of Interests

• One sentence or phrase with keywords
• For Example
• implications of wireless and mobile devices on
  remote medical services
• ultra-low cost penny diagnostics of ailments,
  infestation, cleanliness
• building and deploying distributed electric
  power systems

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Next Week 9/20
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Fin