The golden eagle strategy is based on the behavior of the golden eagle. Among the behaviors of the golden eagle some are more conspicuous and algorithmic and as such a framework could be drawn out in two main stages of exploration and exploitation of prey (opportunity). besides these two main stages, there is a mindset, which helps the golden eagle in both stages and sustaining the opportunities.
Panoramic view is the foundation of the opportunity recognition for the golden eagle. The golden eagle uses its sharp eyesight and by soaring high into the skies and making circled movements collects and analyzes available data and information in order to make a correct decision. PV is an iterative task for the golden eagle and the new information is collected and analyzed constantly. The collected data and information is also added to the previous knowledge and experience and after a final analysis, becomes the main decision making factor for the golden eagle.
Panoramic view is the foundation of opportunity exploration and in the next chapter we will get deeper into opportunity exploration and how entrepreneurs deal with exploration of new entrepreneurial opportunities.
After the first stage, the golden eagle makes a decision, which is taking action. Once the golden eagle recognizes the opportunity, it locks its radar on one single prey and makes the final decision to capture that prey. The resolution of the golden eagle plays an important role before taking action. In other words, it is the transition stage between exploration and exploitation of opportunities. Once the opportunity is recognized a resolution is required for taking action. This is the same for entrepreneurial practices too. Successful entrepreneurs also proved to be resolute in what they do and focus on one task at a time, as the golden eagle does focus on one prey at a time.
3. Opportunity Exploitation
The golden eagle, equipped with fast speed, adequate intelligence, sharp and powerful talons, and sharp eyesights snatches up the prey as fast as possible before the opportunity gets away. The snatch is an iterative process for the golden eagle and there are of course some failures in this stage. Dealing with high degree of contingency, being able to perform and adjust with the prey changes of course as most preys do is essential. Besides that, the golden eagle learns from every failure and tries a new hunting experiment again.
“Entrepreneurship is neither a science nor an art. It is a practice.” – Peter Drucker
Entrepreneurship is a practical discipline, which is not based on theories only. It requires action and practical experience too. Once the entrepreneurial opportunity is recognized, the major task is an action. This is the act of entrepreneurship that leads to exploitation of opportunity or even creating new opportunities. As the golden eagle fails in some of its hunting endeavors, entrepreneurs also fail too. nascent entrepreneurs make more mistake and have much more failure rate than those who already experienced some failures. The lesson learned from snatch phase can be used in the future and thus there is a feedback loop in our model. The feedback from snatch, which is the real world activities of startups goes back to the PV and the information processing starts there again. There are other elements in the golden eagle’s strategy for entrepreneurs that need to be done.
We heard about the saying “Don’t bite what you can’t chew”, but the documentaries about golden eagle proved that using individual’s creativity and putting that into a system to reach a specified goal can lead to favorable results. Innovation is the heart of entrepreneurship and the real difference between entrepreneurs and other business founders is surely the degree of innovativeness. Innovation helps the golden eagle create new opportunities from something that is not seen an opportunity by other birds of prey; and so do the innovators for us. They create new opportunities through innovation and they act to exploit it themselves. Innovation is part of a mindset for entrepreneurs.
The golden eagle takes risk when preying on larger mammals, such as deer. It is possible to be hit by a deer antler or hit the ground at high speed when a hare makes a course change. In spite of all threats of the real world, the golden eagle takes risk and managed the risk with innovation. Risk-taking has also been a human trait; we all take risk in some points in our lives, but some people are more reluctant to the risk when it comes to their professional life. Risk-taking and innovation lead to entrepreneurial success and as long s no one takes risk to introduce us smoothing we have not seen, we can’t see any innovation. This is also a part of a mindset of entrepreneurs and entrepreneurs usually believe in taking risk.
Golden eagle’s vast home range and migration helps the bird better manage the future problems. The scarcity of the prey and future weather condition are taken into consideration by the golden eagle and in order to prevent problems of finding future food and shelter, the golden eagle creates multiple nests sites and even migrates in some parts of the world.
Future foresight is also what an entrepreneur should take into consideration. It is not possible to create sustainable value without focusing on the future of the startup you are building. Thinking about future, predicting the future, or even creating the future is essential parts of entrepreneurship. You won’t be able to be a successful entrepreneur if you overlook the future and stick to the status quo.
The golden eagle uses multiple nest sites and creates a network of nests so she can use each of them when required. Besides the individual use of each nest, the combination makes it possible for the bird to cover more area while hunting. This network of individual nests help the bird better perform in survival as well as growing the hunting opportunity and increasing the chance of successful hunts.
Entrepreneurs also require to increase the network of individuals in their business. A powerful well established network of individuals and corporate partners helps the entrepreneurs perform better from exploration to exploitation of the opportunity.
The golden eagle knows never uses the same technique for all types of prey. It matches the technique for every prey and uses variety of hunting techniques. Some are even adjusted as the snatch does not go well and new techniques are used. Sometimes it requires to fly under the radars by flying really low to the ground and some other times it goes high into the sky and uses the gravity as a tool to increase speed.
Product-market fit is the required fact for entrepreneurial practices. Every startup requires to match the product with its market and treat customers separately. Thanks to the advanced technologies, it is not that difficult to personalize the products for customers these days.
The life of the golden eagle demands for a careful contingency planning, as nothing is stable and secure in nature. Not only the behavior of the prey, but also the changes in nature and the existence of unpredictable phenomena requires careful contingency planning. This is what the golden eagle is really good at by adapting to likely challenges when needed. The ambiguity and conditions of extreme uncertainties are also one inevitable part of startup activities. Startup also face contingencies and this is an integral part of entrepreneurship too. Hence, contingency planning and being able to make correct decision when contingencies arise is vital to startup survivals.
Putting It All Together
The concept of the golden eagle strategy is simple; the behavior of the golden eagle just is translated into a pattern, which can be used by entrepreneurs in order to make a better future. Panoramic view produces a decision, which requires a resolution to be followed. Focusing on one task at a time and what should be done is essential and this where the transition between exploration and exploitation occurs. Snatch is the real life action of entrepreneurship. Although a decision is made and the focus is done, but ambiguity and contingency exist in this part of our pattern. The feedback loop sends the updated information from startups to the PV, so that the new information can be processed and new decisions could be made. Mindset is really important is all decisions. Entrepreneurs’s mindset should include innovation, risk-taking, future foresight, network orientation, contingency planning, and method-prey matching. There is a two way street between panoramic view and mindset. A final correct decision requires flawless entrepreneurial mindset. In the following chapters of this book, the elements of the golden eagle strategy will be broken down and real life examples as well as previous scientific papers will be presented.