Projects
Capstone Project Agenda
The course project is a critical component of "Entrepreneurship for Computer Scientists and Engineers", blending the theoretical concepts with practical application to develop a viable technology-driven venture. The project is structured around five distinct milestones (M1-M5), each designed to progress the venture from an initial idea to a full business plan and prototype.
Project Milestones and Grading
The project includes five milestones, with the following descriptions, grade percentages, and due dates from the Spring 2020 course specification:
| Milestone (M) | Description | Grade Percentage | Due Date |
|---|---|---|---|
| M1: Team Formation and Idea | Discuss the team using the 3Rs model (Relationships, Roles, Rewards) and describe the idea in detail, focusing on the problem, its importance, and the approach to solving it. | 5% | TBD |
| M2: Market Research and Segmentation | Conduct market research (primary, secondary, qualitative, and/or quantitative) to validate the hypothesis (problem/solution defined in M1) and justify the selected beachhead market. Requires market segmentation and clearly identifying the target segment on a produced segmentation tree. | 20% | TBD |
| M3: Business Model | Design a business model (i.e., a way to monetize the idea), conduct 7-year revenue projections, and develop a reasonable pricing framework. The deliverable is a document explaining these items. | 15% | TBD |
| M4: Prototype | Develop a basic prototype of the proposed product/service. The deliverable is a demo; no accompanying document is required. | 25% | TBD |
| M5: Business Plan | Write a full-fledged business plan. A suggested template is provided below. | 35% | TBD |
M5: Business Plan Template
The final deliverable, Milestone 5, is a comprehensive business plan. The suggested template for this plan is structured as follows:
1. Executive Summary (1-3 Paragraphs)
A high-level overview of your business plan, briefly covering the main points like the problem, its importance, and the unique proposed solution, focusing briefly on the "why" and "what" rather than the "how". Major findings from market research can be included to motivate the problem.
2. Background (1 page)
Clear definition of the problem and how its existence, importance, and urgency were verified. Include summaries of primary and secondary market research findings and only the gist of any surveys (e.g., 1-2 summary plots).
3. Proposed Solution (1-2 pages)
Explanation of how the solution exactly addresses the problem, elaborating on the product/service's proposed techniques and features. Discuss what is special/unique about it, its novel features, and how it achieves what it promises. Detail the benefits/values offered to customers, identify competitors, and compare the product/service to theirs.
4. Implementation Strategy (1-2 pages)
Discussion of the team and why they are the right team to pursue the solution, the implementation strategy, and the current status of the venture (e.g., existence of a prototype, business started, revenue, growth strategy for sustainability). The objective is to help the reader understand where the company is in the building process.
5. Business Model (1 page)
Clear description of the business model and specification of revenue streams. Justification for why this is the best way to monetize the proposed product.
6. Beachhead Market (1 page)
Identification of potential customers along demographic and psychographic dimensions, avoiding vague terms like "everyone". Selection and justification of the beachhead market (geolocation), including the criteria used for selection and the Total Addressable Market (TAM) of this market.
7. Financials (2 pages)
- Revenue Projections: Presentation of revenue projections for the coming five years, potentially including 1-2 critical sensitivity analyses.
- Unit Economics: Computation of Customer Acquisition Cost (COCA) and Lifetime Value (LTV), and discussion of why (and if) the business will become profitable in five years.
8. Marketing Plan (1 page)
Detailed strategy for marketing the product/service to the target customers, covering inbound and/or outbound techniques and why they are effective. Explain how the company will consistently reach and convert customers. The plan should be thoughtful and fit the context of the product/service.
9. Concluding Remarks (1-2 paragraphs)
Brief reiteration of the problem's importance (in 1-2 sentences) and a high-level summary of the most important aspects of the proposed value-creation (product/service) and value-capture (business model) solutions.
Project Phases
- Idea Generation and Validation
- Business Model and Plan
- Prototype and MVP Development
- Beta Launch and Final Pitch
Project Forms
Below are the project forms for this course: