Notes

Chapter One – True Believers

1. Dave McClure, Master of 500 Hats. http://500hats.typepad.com.

2. Dan Bricklin, “Natural-born Entrepreneur,” Harvard Business Review 79, no. 8 (September 2001): 54.

3. Pino G. Audia and Christopher I. Rider, “A Garage and an Idea: What More Does an Entrepreneur Need?” California Management Review 48, no. 1 (Fall 2005): 7.

4. David Whyte, The Heart Aroused: Poetry and Preservation of the Soul in Corporate America (New York: Doubleday, 1994), 78.

5. J.C. Faulkner’s trusting relationship with Doug Crisp paid additional dividends for his startup business. A few months after J.C. left First Union to launch Decision One Mortgage, Doug Crisp decided to leave his senior executive role with the bank to join Decision One’s management team. As director of operations, Doug played a major role in building and coordinating the talent, systems, and processes necessary to support the company’s rapid growth.

6. Sam Harris, Sameer A. Sheth, and Mark S. Cohen, “Functional Neuroimaging of Belief, Disbelief, and Uncertainty,” Annals of Neurology 63, no. 2 (February 2008): 141-147.

7. Andrew Newberg and Mark Robert Waldman, “Nuns, Buddhists, and the Reality of Spiritual Beliefs,” in Why We Believe What We Believe: Uncovering Our Biological Need for Meaning, Spirituality, and Truth (New York: Free Press, 2006), 175.

8. Donna Marie De Carlos and Patrick Saparito, “Social Capital, Cognition, and Entrepreneurial Opportunities: A Theoretical Framework,” Entrepreneurship, Theory and Practice 30, no. 1 (January 2006): 41-56.

9. Bella M. DePaulo and Kathy L. Bell, “Truth and Investment: Lies Are Told to People Who Care,” Journal of Personality and Social Psychology 71, no. 4 (1996): 703-716.

10. Joseph Campbell, The Power of Myth (New York: Doubleday, 1988), 113.

11. This phrase is thought to be a paraphrasing of Goethe by W. H. Murray in The Scottish Himalaya Expedition, 1951. Murray’s paraphrasing of Goethe is believed to come from a loose translation of Faust by John Anster in 1835.

Chapter Two – The Passion Trap

1. Guy Kawasaki, The Art of the Start: The Time-Tested, Battle-Hardened Guide for Anyone Starting Anything (New York: Portfolio, 2004).

2. Keith Hmieleski and Robert Baron, “Entrepreneur’s Optimism and New Venture Performance: A Social Cognitive Perspective,” Academy of Management Journal 32, no. 3 (2009): 475.

3. Ibid, 473-488.

4. Jay Goltz, You’re the Boss, http://boss.blogs.nytimes.com/author/jay-goltz/.

5. Jeff Cornwall, The Entrepreneurial Mind, http://www.drjeffcornwall.com/.

6. John Osher, 17 Mistakes Start-Ups Make, http://www.cpd.ogi.edu/MST/capstone/17Mistakes.htm.

7. Andy Herzfeld, “Reality Distortion Field,” written February 1981, http://folklore.org/StoryView.py?project=Macintosh&story=Reality_Distortion_Field.txt&sortOrder=Sort%20by%20 Date&detail=medium&search=reality%20distortion%20field.

8. Colin Barker, NeXT Computer: When Cool Wasn’t Enough, http://www.v3.co.uk/vnunet/features/2129861/computer-coolwasn-enough.

9. Sydney Finkelstein, Jo Whitehead, and Andrew Campbell, Think Again: Why Good Leaders Make Bad Decisions and How to Keep It from Happening to You (Boston: Harvard Business School Press, 2009).

10. Donna Marie De Carlos and Patrick Saparito, “Social Capital, Cognition, and Entrepreneurial Opportunities: A Theoretical Framework,” Entrepreneurship, Theory, and Practice 30, no. 1 (January 2006): 41-56.

11. Mark Simon, Susan M. Houghton, and K. Aquino, “Cognitive Biases, Risk Perception, and Venture Formation: How Individuals Decide to Start Companies,” Journal of Business Venturing 15, no. 2 (2000): 113-134.

12. Dan Lovallo and Daniel Kahneman, “Delusions of Success: How Optimism Undermines Executives’ Decisions,” Harvard Business Review 81, no. 7 (July 2003): 58.

13. Paul Graham, “Why Smart People Have Bad Ideas,” Paul Graham.com, April 2005, http://www.paulgraham.com/bronze.html.

14. Hmieleski and Baron, “Entrepreneur’s Optimism and New Venture Performance: A Social Cognitive Perspective,” 475.

15. Mathew Hayward, Dean Shepherd, and Dale Griffin, “A Hubris Theory of Entrepreneurship,” Management Science 52, no. 2 (2006): 160-172.

Chapter Three – Founder Readiness

1. Scott A. Shane, The Illusions of Entrepreneurship: The Costly Myths That Entrepreneurs, Investors and Policy Makers Live By (New Haven: Yale University Press, 2008), 98.

2. Ibid, 101.

3. Ibid, 117.

4. Vivek Wadhwa, Raj Aggarwal, Krisztina Holly, and Alex Salkever, “The Anatomy of an Entrepreneur: Family Background and Motivation,” Kauffman Foundation (2009): http://www.kauffman.org/uploadedFiles/ResearchAndPolicy/TheStudyOfEntrepreneur ship/Anatomy of Entre 071309_FINAL.pdf.

5. Matt Sussman, Blogging Revenues, Brands and Blogs: SOTB 2009, http://technorati.com/blogging/article/day-4-blogging-revenues-brands-and/.

6. Timothy Ferris, The 4-Hour Workweek: Escape 9-5, Live Anywhere and Join the New Rich (New York: Random House, 2007).

7. This entrepreneurial profile was developed through the author’s collaboration with Adam Ortiz, Psy.D., of Executive Development Consulting, and Dr. S. Bartholomew Craig, of North Carolina State University.

8. Vivek Wadhwa, Richard Freeman, and Ben Rissing, “Education and Tech Entrepreneurship,” Kauffman Foundation (2008): http://www.kauffman.org/uploadedfiles/Education_Tech_Ent_061108.pdf.

9. Ibid, 2.

10. A. H. Maslow, “The Theory of Human Motivation,” Psychology Review 50, no. 4 (July 1943): 370-396.

11. Tim Berry, “5 Entrepreneurship Basics B-schools Don’t Teach,” written November 2009, http://timberry.bplans.com/2009/11/5-entrepreneurship-basics-b-schools-dont-teach.html.

12. Paul Graham, “18 Mistakes That Kill Startups,” PaulGraham.com, October 2006, http://paulgraham.com/startupmistakes.html.

13. Jim Loehr and Tony Schwartz, “The Making of a Corporate Athlete,” Harvard Business Review 79 no. 1 (2001): 120-128.

14. Jim Loehr and Tony Schwartz, The Power of Full Engagement: Managing Energy, Not Time, Is the Key to High Performance and Personal Renewal (New York: The Free Press, 2003).

15. William Bridges, Transitions: Making Sense of Life’s Changes (Cambridge: De Capo Press, 2004).

16. Pamela Slim, Escape from Cubicle Nation: From Corporate Prisoner to Thriving Entrepreneur (New York: Portfolio, 2009).

17. Karlfried Von Durkheim, The Way of Transformation: Daily Life as Spiritual Exercise (London: Allen & Unwin, 1988).

Chapter Four – The Pull of the Market

1. John Heilemann, “Reinventing the Wheel,” Time, December 2, 2001, http://www.time.com/time/business/article/0,8599,186660,00.html.

2. Mark Gimein, “Reinventing the Wheel, Slowly,” BusinessWeek, September 11, 2006, http://www.businessweek.com/magazine/content/06_37/b4000411.htm?chan=tc&campaign_id=bier_ innstp.

3. Ibid.

4. Ibid.

5. William Bygrave and Andrew Zacharakis, Entrepreneurship (Hoboken: John Wiley & Sons, 2008), 101.

6. Paul Graham, “Why Smart People Have Bad Ideas,” PaulGraham.com, April 2005, http://www.paulgraham.com/bronze.html.

7. Blackfriars Communications, Inc., “Marketing 2005: Sizing US Marketing,” written June 2005, http://www.researchandmarkets.com/reportinfo.asp?report_id=301653&t=d&cat_id=.

8. Seth Godin, All Marketers Are Liars: The Power of Telling Authentic Stories in a Low-Trust World (New York: Portfolio, 2005).

9. Bygrave and Zacharakis, Entrepreneurship, 167.

10. Joel Kurtzman, Startups That Work (New York: Portfolio, 2005), 31.

11. Jan Carlzon, Moments of Truth (Pensacola: Ballinger, 1987), 3.

12. David Thompson, Blueprint to a Billion: 7 Essentials to Achieve Exponential Growth (Hoboken: John Wiley & Sons, 2006).

13. Fred Jacobs, “Fly-In,” written December 15, 2009, http://jacobsmedia.typepad.com/4sight/2009/12/flyin.html.

14. Get It Started: Wharton’s Entrepreneurial Programs, “Segway’s Dilemma,” April 2008, http://wep.wharton.upenn.edu/gis/article.aspx?gisID=64.

Chapter Five – Your Math Story

1. Jan Brinckmann, Dietmar Grichnik, and Diana Kapsa, “Should Entrepreneurs Plan or Just Storm the Castle? A Meta-analysis on Contextual Factors Impacting the Business Planning–Performance Relationship in Small Firms,” Journal of Business Venturing 25, no. 1 (2010): 24-40.

2. Amar Bhide, “How Entrepreneurs Craft Strategies That Work,” Harvard Business Review, March-April 1994.

3. Tim Berry, The Plan-As-You-Go Business Plan (Irvine, CA: Entrepreneur Press, 2008).

4. Jeff Howe, Crowdsourcing (New York: Three Rivers Press, 2008).

5. Bob Reiss, with Jeffrey L. Cruikshank, Low Risk, High Reward: Starting and Growing Your Business with Minimal Risk (New York: The Free Press, 2000).

6. Ram Charan and Noel M. Tichy, Every Business Is a Growth Business (New York: Three Rivers Press, 1998), 48.

7. Joel Kurtzman, with Glenn Rifkin, Startups That Work: The 10 Critical Factors That Will Make or Break a New Company (New York: Portfolio, 2005).

8. Reiss with Cruikshank, 47.

9. Paul Hawken, Growing a Business (New York: Fireside, 1987), 126.

10. Scott A. Shane, The Illusions of Entrepreneurship: The Costly Myths That Entrepreneurs, Investors, and Policy Makers Live By (New Haven: Yale University Press, 2008), 117.

Chapter Six – Startup Agility

1. IBM Global Enterprise Services, “The Enterprise of the Future: IBM Global CEO Study” (Somers, NY: IBM, 2008).

2. Donald Sull, “Strategy as Active Waiting,” Harvard Business Review (September 2005): 3.

3. More information about the Innovation Institute can be found at www.innovationatmccoll.org.

4. Eric Ries, “Don’t Be the Ice Cream Glove,” Lessons Learned, September 3, 2009, http://www.startuplessonslearned.com.

5. Maria Puente, “Snuggie Gets a Warm Embrace from Pop Culture,” USA Today.com, January 27, 2009, www.usatoday.com.

6. Ries, “Don’t Be the Ice Cream Glove.”

7. Ibid.

8. Ibid.

9. Eric Ries, “The Engineering Manager’s Lament,” Lessons Learned, October 20, 2008, http://www.startuplessonslearned.com.

10. Eric Ries, “Case Study: Using an LOI to Get Customer Feedback on a Minimum Viable Product,” Lessons Learned, October 23, 2009, http://www.startuplessonslearned.com.

11. Donald Sull, “Competing Through Organization Agility,” Mc-Kinsey Quarterly no. 1 (2010): 49.

12. Arthur Rock, “Strategy vs. Tactics from a Venture Capitalist,” Harvard Business Review 65 no. 6 (1987): 64.

Chapter Seven – Integrity of Communication

1. The Left-Hand Column technique was developed by Chris Argyris and Don Schon many decades ago to help people identify and understand the unspoken components underlying conversation, relationships, and learning processes. For more information see Peter Senge’s The Fifth Discipline Fieldbook, pp. 246-252.

2. Howard Schultz, Pour Your Heart into It: How Starbucks Built a Company One Cup at a Time (New York: Hyperion, 1997), 80.

3. Paul Graham, “The Hardest Lessons for Startups to Learn,” PaulGraham.com, April 2006, http://www.paulgraham.com/startuplessons.html.

4. John M. Darley and C. Daniel Batson, “From Jerusalem to Jericho: A Study of Situational and Dispositional Variables in Helping Behavior,” Journal of Personality and Social Psychology, no 27 (July 1973): 100-108.

5. Michael S. Malone, “John Doerr’s Startup Manual: Interview with John Doerr.” Fast Company, February 28, 1997, http://www.fastcompany.com/magazine/07/082doerr.html.

6. Daniel Isenberg, “The Danger of Entrepreneurial Passion,” Harvard Business Review, January 6, 2010, http://blogs.hbr.org/cs/2010/01/the_danger_of_entrepreneurial.html.

7. Alex Crippen, “Timeless and Time-Tested Warren Buffett Watch Predictions.” CNBC, November 30, 2009, http://www.cnbc.com/id/34206949/Timeless_and_Time_Tested_Warren_Buffett_ Watch_Predictions.

8. I borrow the terms advocacy and inquiry from Peter Senge and his many colleagues, who, in The Fifth Discipline Fieldbook and elsewhere, provide a set of indispensable concepts and tools for building learning organizations and practicing skillful conversations. (See Appendix B for more information.)

9. Jim Collins, “Hitting the Wall: Realizing That Vertical Limits Aren’t,” JimCollins.com, September 2003, http://www.jimcollins.com/article_topics/articles/hitting-the-wall.html.

10. Lloyd Albert Johnson, A Toolbox for Humanity: More Than 9000 Years of Thought (Victoria, Canada: Trafford, 2003), 97.

11. John Osher, 17 Mistakes Startups Make, http://www.cpd.ogi.edu/MST/capstone/17Mistakes.htm.

12. Warren Buffett, “Chairman’s Letter: Berkshire Hathaway, Inc., 2007 Annual Report” (2008): 7.

13. Jim Collins, Good to Great: Why Some Companies Make the Leap… and Others Don’t (New York: HarperCollins, 2001), 85.

14. Vaclav Havel. Quoted in Amnesty International’s essay “From Prisoner to President—A Tribute,” 2003.

Chapter Eight – Staying Power

1. Scott A. Shane, The Illusions of Entrepreneurship: The Costly Myths That Entrepreneurs, Investors, and Policy Makers Live By (New Haven: Yale University Press, 2008), p.112.

2. “Accidental Entrepreneur,” Bloomberg BusinessWeek, http://images.businessweek.com/ss/08/05/0512_accidental_entp/source/7.htm.

3. One of these two clients was Decision One Mortgage (D1), used as a case throughout this book. D1 not only became my favorite client over the next ten years, but the experience of working closely with J.C. Faulkner and his venture led me to commit to an extended study of entrepreneurial success, a path that led me eventually to the writing of this book.

4. Clark G. Gilbert and Matthew Eyring, “Beating the Odds When You Launch a New Venture,” Harvard Business Review 88, no. 5 (May 2010): 92-98; “Dell Computer Corporation,” McGraw Hill Higher Education, http://www.mhhe.com/business/management/thompson/11e/case/dell5.html.

5. “Dell,” Innovate, January-February 2006, http://www.innovationquotient.com/index.php?option=com_magazine&task=show_m agazine_article&magazine_id=21&Itemid=28&cat_id=3.

6. Mark Williams, e-mail message to author, February 21, 2007.

7. Gilbert and Eyring, “Beating the Odds,” 95.

8. Ibid., 96.

9. Amar Bhide, “Bootstrap Finance: The Art of Start-Ups,” Harvard Business Review 70, no. 6 (November-December 1992): 109-117.

10. Sibin Wu, Linda Matthews, and Grace K. Dagher, “Need for Achievment, Business Goals, and Entrepreneurial Persistence,” Management Research News 30, no. 12 (2007): 937

11. Paul Graham, “How Not to Die,” Paul Graham.com, August 2007, http://www.paulgraham.com/die.html.

12. Jim Loehr and Tony Schwartz, The Power of Full Engagement: Managing Energy, Not Time, Is the Key to High Performance and Personal Renewal (New York: The Free Press, 2003).

13. Dave Crenshaw, The Myth of Multitasking: How Do It All Gets Nothing Done (San Francisco: Jossey-Bass, 2008).

14. Nicholas Carr, The Shallows: What the Internet Is Doing to Our Brains (New York: W. W. Norton, 2010).