Beta golf Assignment Example | Topics and Well Written Essays - 750 words - 1

Beta golf - Assignment Example Beta Group’s business model focuses on finding technology that can effectively be applied to existing but not overly competitive markets. Beta’s model seems to be a hybrid of an incubator, venture capital firm and consulting firm. They find technology that may be appropriate and then look for an opportunity in the market. Once an opportunity is found they look for outside funding and build management team to run the company that will be formed with the technology. This allows them to invest limited capital while realizing significant gains from any company that is created and then either becomes profitable or has a profitable exit. Beta has a record of success with this model. The returns they generate are significantly higher than those of venture firms. Beta has streamlined the entrepreneurial process for the application of new technology to under exploited markets. In order to turn innovation into value there is often a long development process. This is why Beta has the â€Å"refrigerator† to store technologies until either they are ready for a market or a space opens up in the market that can be taken advantage of. The innovation must be placed in the proper market with the ability to grow a company around it. While there is value in the technology alone it must be able to reach the market in order to extract that value from it. This is the challenge of commercializing a technology. Entrepreneurship and business skill must be applied in order for the value of innovation to be seen. The HXL technology appears to be nearly ready to enter the market. The cost of manufacturing must be determined more specifically in order to get a final projection of the cost of fully commercializing the technology. Further development of the manufacturing process and techniques may provide significant value to licensees and be able to command a premium if the process is more mature. The best