Prior to the Entrepreneurship class with Professor Newman, I found myself guilty (among with many others I’ve met) of taking shortcuts when it comes to Market Sizing. What I used to do is pull up a resource (like IBISWorld), or Google for an infographic that looks like the one above, and once I get the number on the revenue of the industry then I found my market size. Plain and simple.
If you don’t have anything else, having this means you’re already ahead of the pack. But why then would we need a better way? Here are three reasons why:
- The number in the infographic represents what has historically been made, not the potential of what can be earned in the future.
- More often we also find projected growth rates, but still this information does not give us insights on whether the market is over or under-served.
- The revenue of the existing players does not necessarily imply there’s room for new entrants to take a piece of that pie.
So if this information doesn’t cut it, what else should we do?
I’ve started reading a book that was given to us as a gift by Professor Newman–the professor that I consider to be the best one I had at the program. The book is entitled Just Start – Take Action, Embrace Uncertainty, Create the Future (image links to Harvard Business Review Press):
Now that I have those three letters attached to my name… what’s next?
I got home a couple of weeks ago from my one year MBA program in Shanghai, China. While most of my peers had been celebrating the spectacular feat of having completed a very comprehensive program, I in turn had been so anxious about the life after–The New Normal.
Over the course of the program I’ve met folks with different views on one of the most useful (or dreaded) tools in searching for jobs: the resume. Some these types of people include:
- Those who simply don’t use it (my entrepreneurship professor)
- Those who inject it with keywords (the career adviser)
- Those who prefer infographics (the marketing professor)
- Those who want to stand out (LinkedIn influencers like Liz Ryan)
Through the process, I learned that there are various kinds of resumes you can use at your disposal (i.e. Skills-based versus Experience-based), and each one is suited for a specific purpose (e.g. keyword-injected for job boards/recruiters, infographic/human voice for those passed on through networks).
Everyone knows that the person I admire the most is Elon Musk–for his genius and his ambitious goal of bringing mankind to Mars–but he’s not my modern day hero. The fact of the matter is, that I attribute the latter to Eugene Fama. Now if you have no clue of who he is, I’d ask this question: “Do you remember CAPM?” If you don’t, then you’re already lost. If you do, then you’re in luck. What he came up with (along with Kenneth French) is way better.
– Maz Kanata, Star Wars: The Force Awakens
A lot of people had been asking me on my decision to hop from one industry to another and ever since I never came up with a really good answer to the question. So now I’m writing this blog post to uncover what’s running inside my head when I decided to take the plunge to this rich (literally) new world of Finance.