Business Laboratory

• 26 hrs lectures
• 13 hrs exercises

The goal is to provide knowledge and methodological support to students for building successful startups with innovative products or services in the IT field through the principles of lean business, which emphasize rapid testing of visions, understanding customer problems and creating a minimum viable product. The explanation includes a broader view of startups in the area of ​​setting roles in the team, through global trends and opportunities in the industry, the issue of market segmentation, customer value to the analysis of existing solutions on the market and pricing models. The goal is for the student to understand that the key to success is not only the idea itself, but above all the validation of market assumptions and the ability to commercialize innovations. IT start-ups must find a viable business model, not just a technical solution, to succeed in the market.
The goal of the exercise is to practically master theoretical knowledge and enable student teams not only to generate ideas, but especially to test them and pivot to a business model that can actually work, without unnecessary waste of resources and time.

Before studying the subject, students must have the following knowledge and skills: creative thinking, the ability to communicate and present their ideas both in a team and individually.

• AULET, Bill. Disciplined entrepreneurship. 24 STEPS TO A SUCCESFULL STARTUP. John Wiley & Sons, 2013. ISBN 978-1-118-72081-3.

• CHASTON, Ian. Technological entrepreneurship. Technology-Driven vs Market-Driven Innovation. Palgrave Macmillan, 2017. ISBN 978-3-319-45850-2.

• DAVIDSON, Neil. Don’t Just Roll the Dice. 2009. A usefully short guide to software pricing. ISBN 978-1-906434-38-0

Lecture content:
1. Introduction and course. Basic concepts and definitions in entrepreneurship. Difference between small business and startup. Startup teams and roles of team members (Minimum Viable Team).
2. Innovation strategies driven by push and pull factors. Global trends and opportunities for IT startups. It's not about the code, but the business model. The concept of lean start-ups: Lean Canvas. Lean Canvas vs Business Model Canvas.
3. Matching the problem and the customer. Do I have a problem worth solving? Who is the target customer? B2B vs. B2C segments, user vs customer, personas, early adopters. Market size TAM/SAM/SOM (in simple form). Value proposition concept: Pain vs. nice-to-have, "must have" functions. Analysis of existing solutions on the market.
4. How to transform a problem into a product (problem-solution fit). Designing and prototyping - frameworks and tools. Minimum Viable Product (MVP) - what is the minimum that makes sense. The era called Vibe Coding – “create, add a feature”.
5. Basics of go-to-market strategy for IT products. Types of marketing channels. Sales funnel: AARRR framework (customer lifecycle mapping).
6. Revenue, costs, margins. Simple financial plan: estimate costs (hosting, development, marketing) and revenues. Pricing models in IT: subscription/SaaS, freemium, etc. Traction – when is it time for seed capital and start-up financing?
7. Business plan, strategy and business model – how are they related? Growth and exit model for startups, stages and crises? Legal, ethical and technological aspects in IT startups.
8. Start systematically reducing risk. Verify qualitatively, then quantitatively.

Content and structure of the exercise:

1. Conditions and process, introduction of the team project issue, feedback and evaluation.
2. Forming teams and generating business ideas for iteration.
3. Put the idea on paper and start iterating. Customer-problem or problem-customer? Selection of early adopters. Deeper analysis of customer value (UVP). Analysis of existing alternatives on the market.
4. Product solution and its connection with UVP. Determination of the minimum viable product. Analysis and selection of paths to early customers, determination of key success metrics (AARRR).
5. Determination of a simple economic model: cost and revenue structure, determination of BEP. Selection of a suitable pricing model. Unfair (competitive) advantage?. Evaluate your business models.
6. Presentation of team semester projects.
7. Presentation of team semester projects.

To successfully complete the course, the student must work in a team to prepare and defend a semester thesis and pass a final test. To be awarded a graded credit, the following conditions must be met:

1. Development of a team project in the form of a business model – 0-70 points according to the quality assessment of individual parts (35 points are required)
2. Theoretical assumptions test – 0-30 points (15 points are required)

In total, the team can obtain up to 70 points from the team project, which are divided according to the qualitative assessment criteria as follows:

• Customers – problem – existing solutions on the market – 15 points
• Value for customers – product solution – 15 points
• Pricing model – cost and revenue structure – 15 points
• Marketing channels – key metrics – 15 points
• Interconnection of individual parts of the model – 10 points

Overall classification of the course assessment:
A–90–100 points
B–80–89 points
C–70–79 points
D–60–69 points
E–50–59 points
F–49 and less points.

Reasons for not awarding credit:

• Absence from presenting the project within the team.
• Failure to submit the team project, absence of implementing the test in the issue.
• Obtaining 49 or less points.

The test of theoretical assumptions in the issue will be based on the information presented in the lectures. Its task is to verify the student's general knowledge and overview of the issue. The student must obtain at least 50% of the points from the test, i.e. 15 points. If the student does not obtain the minimum points in the 1st term, he/she has the opportunity to write a remedial credit test. The test is a mandatory part for awarding a graded credit. The course and form of the test will be specified.

The content explanation in the lecture directly follows the practical application of knowledge in the exercises. Therefore, the student enters the exercise with previous knowledge of the issue discussed in the lecture. Participation in lectures and exercises is not mandatory. Transfer between exercises is possible only after individual agreement with the teacher.

Students with an individual study plan (ISP) work on their semester work individually, which they submit to the instructor according to individually agreed conditions and then defend.