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STEP Session 10b. - Networking.ppt
1. Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
Student Training for
Entrepreneurial Promotion
Session 10: Networking
S T E P
Student Training for Entrepreneurial Promotion
2. - 2 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
Networks help you to be successful
• A big social network can help you accessing the
following resources
• financial capital
• other resources such as equipment, facilities, etc.
• information, advice, and ideas
• reputation (prominent strategic alliance partners)
• encouragement / (emotional) support when facing problems
• …
You will need other people for your venture!
The more people you know, the better!
3. - 3 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
Think of people that you know and that
might be helpful for your venture!
• Ties with other business persons
• top managers at buyer firms (distributors), at supplier firms, at
competitor firms
• membership in trade organizations, chamber of commerce, SBDC,
industry associations
• group activities of start-up colleagues / entrepreneurs, formal and
informal gatherings of entrepreneurs, contact to business communities
& owners, business networks
• customers
• research institutes
• financial institutions, banks
• law firms, lawyers / solicitors
• business consultants, external accountants
4. - 4 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
Think of people that you know and that
might be helpful for your venture!
• Ties with government officials
• political leaders in various levels of the government
• officials in industrial bureaus
• officials in regulatory and supporting organizations such as tax
bureaus, state banks, commercial administration bureaus
5. - 5 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
How to get in contact with all these people?
The 5-links-to-the-president principle
• We know almost everybody through intermediaries
• Via 5 links to the president
• Example: You – 1 – your father – 2 – colleague of your father – 3 – his
wife – 4 – sister of bodyguard of the president – 5 – the president
• Unfortunately, you don’t know who has what kind of
contacts with what types of resources.
• But if you spread the news, people for interesting
partnerships can come to you!
Let as many people as possible know that you
are starting a business! The news will spread.
6. - 6 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
How to get in contact with all these people?
The 5-links-to-the-president principle
• Who knows the president?
• Who knows a person personally who knows the
president?
• Who knows other very important persons (VIPs),
celebrities, influential people?
• Who knows a person personally who knows VIPs or the
like?
Now everybody “knows” the person via your
classmate.
7. - 7 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
How to get in contact with all these people?
The 5-links-to-the-president principle
• Taking a short-cut to the president: Super-connectors
• Super-connectors are people with relationships to many
other people.
• Getting in touch with super-connectors means getting in
touch a variety of other people via the super-connector.
Identify super-connectors and get in touch with
them!
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Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
How to Maintain Relationships: Trust
• Tell both sides of the story (the best, worst, most likely)!
• Reliability and Credibility: Fulfill your obligations and
deliver on your promises and commitments!
• Listen to others’ concerns and take them seriously!
• Show that you have other people’s interests in mind!
• Predictability and Consistency: No actions that
negatively surprise!
• Mutually Acceptable and Integer Actions: Do unto
others as you would have others do unto you (friendliness,
discretion and honesty)!
How to build a trustful relationship:
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Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
How to Maintain Relationships: Keeping
Records
• Make notes of whom you met with important information
(e.g., name, position, contact details, access to)!
• Get business cards!
• Note down intermediaries or paths how you can re-contact
a certain person!
Name Position (&
Institution)
Contact Details
(Mobile, Email)
Has access to
(resources,
persons)
Can be
accessed via
(person)
Keeping records to maintain and reactivate relationships:
10. - 10 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
Actively and Persistently Enlarging the
Social Network
• What contacts might be helpful for you right now?
• Who else might be helpful? What non-obvious people might be
helpful?
• Who will you contact?
• How, when, where can you approach them? What else can you
do to approach them / what will you do if your first plan fails?
• What contacts might be helpful for you in future?
• Who else might be helpful? What non-obvious people might be
helpful?
• Who will you contact?
• How, when, where can you approach them? What else can you
do to approach them / what will you do if your first plan fails?
11. - 11 -
Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
Networking: The principles of action
Build a broad social network!
• Remember that you will need people – if not now, certainly
in future!
• Let as many people as possible know that you are starting a
business!
• Tell the people about your idea and the industry you are in!
Maintain your social network!
• Keep records of your contacts!
• Establish trustful relationships through showing reliability,
credibility, respecting and considering the other’s interests,
and integrity!
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Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
Take-Home Assignment (Overcoming
Barriers)
• Action Working Sheet 18 – Critical Risks
13. Makerere University Business School & Leuphana University of Lüneburg
in cooperation with Makerere University, Uganda Christian University, Kyambogo University & Kenyatta University
S T E P
Student Training for Entrepreneurial Promotion
This presentation of the Student Training for Entrepreneurial
Promotion and its content is copyright of the STEP Consortium.
Any content may not be used, sold, licensed, transferred,
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