Please answer the three (3) questionsregarding the case.
1. Entrepreneurial Mind-Set
It is noted thatentrepreneurs “think differently” from persons that are notentrepreneurs, as they must often make decisions in highlyuncertain environments. Please describe the four basic ways thatentrepreneurs think differently in their decision-makingenvironment, and indicate where you feel Patrick O’Neill displayedentrepreneurial thinking in the olloclip case.
2. Entrepreneurial Process
Briefly define and explain theTimmons’s Model and apply it to the olloclip case.
3. Opportunity Recognition
As the case endsO’Neill is interested in future growth for olloclip. Assume he hasdeveloped some new ideas and come to you for advice on how he mightscreen these new opportunities. Please provide O’Neill with acomprehensive overview of how he should proceed.
Case: olloclip
Patrick O’Neill,founder and CEO of Huntington Beach, California-based Olloclip, hastwo great passions: photography and technology. An entrepreneur formore than two decades, he got into the mobile-accessories businessin 2000. At the time, he was designing products for othercompanies, but his idea for an iPhone camera lens was alreadybubbling up. “I thought, wouldn’t it be cool to put camera lenseson the phone like we do with our big cameras? The problem was,” herecalls, “how do you elegantly mount it?”
His solution: attachlenses on either side of a small plastic sleeve that could beslipped over the iPhone’s camera lens. “I felt more strongly aboutthis than anything I’ve ever done in my life,” O’Neill says. “I puteverything into it. I put my whole house on the line.” Patrickconsiders his strongest characteristics to be confidence inhimself, curiosity and persistence.
Using his own money,he brought on his director of design, Chong Pak, and a marketingexpert. Though O’Neill “knew basically how it would work,” the teamspent the next year trying to learn more and better understand theopportunity they had with this device. They also spent timecreating hundreds of prototypes using a variety of methods.
“Just OK” wouldn’tdo. There would be no moving ahead with production until thethree-in-one olloclip--featuring fish-eye, wide-angle and macrolenses---was just right. The final lens set weighs less than anounce and fits in a pocket. O’Neill says he never thought muchabout the company’s growth potential. “I knew there were otherpeople as crazy about photography as I was, and with the iPhone 4,the camera was amazing compared to any smartphone that had comebefore. That combination of factors---this was the right time forthis,” he says.
A Kickstartercampaign seeking $15,000 brought in more than $68,000, enabling himto ship his first product in 2011. Growth came quickly. Thecompany, which started out of O’Neill’s house, now has about 50employees. Revenue was $11 million in 2012 and projected at $20million for 2013. O’Neill is always looking for growth and isconsidering developing new models; however, he feels it is alsoimportant to better understand his business before growing.
O’Neill notes that he tends to be amake-it-up-as-you-go type entrepreneur. “My mind is always going ahundred miles an hour. I would spin off into space without my solidteam behind me.”
More recently, thebiggest coup has been getting olloclip stocked in Apple stores.“When we were developing this product, we said the best place wecould be is in the Apple store,” recalls O’Neill, who sent thecompany’s merchandising team samples, telling them to “play withthem over the weekend.” O’Neill says he “believed in this productfrom the beginning. I knew they would love it.” And they did.Shortly before the iPhone 4s was announced, the merchandisers’review came in: “Wow, that’s amazing.”
“In the big Applestores, we’re on 10 pegs right now, and we’ve been there for twoyears,” says O’Neill, who won’t reveal what percentage of revenuecomes from the retailer. “It’s hard to stay in there. Apple is thepinnacle. If you can get in there and stay in there, you’re doing alot of things right.”
O’Neill is very pleased with hisbusiness but is aware that technology is always changing, there isthe continuing miniaturization of quality lenses, and the overallcompetition is fierce when it comes to photographic equipment.
The real challenge isintroduced when innovating quality optics in a compact andlightweight form factor. That’s why olloclip is continuously tryingto create a collection of beautifully designed, easy-to-use mobilelens systems with no oversized, heavy lenses or the need for extraparts like a bulky case or mounting bracket - just the way a mobilephotographer would expect it.
Like lenses used onlarger professional DSLR cameras, olloclip lens systems aredesigned to provide similar perspectives and are sized small enoughto fit in a pocket, purse or hand. And because of olloclip’saward-winning design, the lens system clips on and off your devicein seconds. Simply attach the lens to your device and unleash yourcreativity.
Our in-houseengineering and design teams spend countless hours perfecting theultimate user experience with uncompromised quality. And with ournewest lens systems, we’ve added some revolutionary upgrades. Thepocket-sized, patented design now works on both the rear-facingcamera and the front FaceTime™ camera – so you can let your photosand selfies run wild. Plus, with 3 wearable pendants, it’s easy tokeep your lens system accessible on your keychain, backpack,handbag… or anywhere you want it within arm’s reach. Because thebest camera is the one that’s always with you.
The company now hasmore than 30 distributors throughout the world, and its productsare sold in chains such as Best Buy and Target. Late last year, itintroduced an update to the original olloclip---a sleeker unit withfour lenses---as well as products for the chunkier iPhones and amacro-focused lens set.
Although his originalpassion was for the regular mobile photographer, O’Neill recognizesthat there may be other opportunities out there for clip on lensesand other add-ons. Some customers have mentioned to him that theremay be interest in slightly larger devices that can be used formore sophisticated applications such as environmental research andexploration. As he searches for new opportunities and continuouslyplans to develop new models and look for new markets, O’Neillrealizes the challenges that face him as an entrepreneur.
