IMG_9791Last week GTEC Founder and Managing Director, Benjamin Rohé, wrote an article in the Huffington Post based on a lecture he gave in San Francisco for the German American Chambers of Commerce that day.

You should definitely read the full article here, along with Benjamin’s slide deck.

But to give you a taster of what he said on how the third wave of the Industrial Revolution is fundamentally changing our economic landscape and what this means for businesses, here’s a quick summary.

1. The Digital Revolution

Companies must embrace the disruptive innovation driven by science and technology – more specifically by digitalization. Old-fashioned businesses focusing on slow incremental improvements will flounder.

2. The Explosive Success of Start-ups

This is a new era of entrepreneurship. Start-ups are important because of their potential for explosive success (Facebook, WhatsApp, etc.) Advanced technology, reducing the cost of prototyping and infrastructure, and connecting a generation of entrepreneurs, is aiding this potential.

3. A New Kind of Entrepreneurship

The start-ups of today are the economy of tomorrow. Corporations need to acknowledge that start-ups are introducing breakthrough technologies which will be huge assets to them in the future. In doing so, this creates a new form of business – Entrepreneurship 3.0.

The ideal ecosystem for this involves three players: (1) a university (for the intellectual and research resources for R&D); (2) a startup (for the disruptive entrepreneurial culture); and (3) a corporation (for financing and infrastructure to quickly commercialize new products). But it’s crucial start-ups are not assimilated into main business cultures, so as to ensure they maintain their disruptive innovation.

4. Collaboration on a Global Scale 

Start-ups using smart technology to tackle global issues – climate change, clean energy, food supply, healthcare – can become instant competitors to established businesses, but Entrepreneurship 3.0 is the most efficient path towards progress and financial success for everyone.

5. Preparing for the Problems of Tomorrow

Corporations must act now. It’s all about strategic partnerships. In collaboration with other firms in the same industry, they must forge relationships with start-ups outside of their core business without eliminating their spirit of entrepreneurship.  That’s how we prepare for problems of tomorrow, even though they may be unknown at present.

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