363-0564-00L Entrepreneurial Risks
|Semester||Spring Semester 2020|
|Periodicity||yearly recurring course|
|Language of instruction||English|
|Abstract||Dimensions of risks with emphasis on entrepreneurial, financial and social risks.|
What young entrepreneurs need to know from start-up creation to investment in innovation
Perspectives on the future of innovation and how to better invent and create
How to innovate and scale up and work with China
Dynamical risk management and learning from the failure of others
|Objective||We live a in complex world with many nonlinear|
negative and positive feedbacks. Entrepreneurship is one of
the leading human activity based on innovation to create
new wealth and new social developments. This course will
analyze the risks (upside and downside) associated with
entrepreneurship and more generally human activity
in the firms, in social networks and in society.
The goal is to present what we believe are the key concepts
and the quantitative tools to understand and manage risks.
An emphasis will be on large and extreme risks, known
to control many systems, and which require novel ways
of thinking and of managing. We will examine the questions
of (i) how much one can manage and control these risks,
(ii) how these actions may feedback positively or negatively
and (iii) how to foster human cooperation for the creation
of wealth and social well-being.
The exam will be in the format of multiple choice questions.
|Content||PART I: INTRODUCTION|
Lecture 1 (19/02): Risks (and opportunities) in the economic, entrepreneurial and social spheres
PART II: START-UPS AND INVESTMENT IN INNOVATION
Lecture 2 (26/02): Setting the landscape on entrepreneurship and private investment
Lecture 3 (04/03 and 11/03): Corporate finance
Lecture 4 (18/03): Legal, governance and management
Lecture 5 (25/03): Investors in the innovation economy
PART III: HOW TO PREDICT THE FUTURE
Lecture 6 (01/04): Historical perspective
Lecture 7 (08/04): The logistic equation of growth and saturation
Lecture 8 (22/04): Future perspective
Lecture 9 (29/04): The fair reward problem, the illusion of success and how to solve it
PART IV: HOW TO WORK WITH CHINA
“if China succeeds, the world succeeds; if China fails, the world fails” (D. Sornette).
Lecture 10 (06/05): The macro status in China and the potential opportunity and risks for the world
Lecture 11 (13/05): The collision of the two opposite mindsets: Innovation and Entrepreneurship in China and Switzerland
PART V: ESSENTIALS ON DYNAMICAL RISK MANAGEMENT
Lecture 12 (20/05): Principles of Risk Management for entrepreneurship
Lecture 13 (27/05): The biology of risks and war principles applied to management
|Lecture notes||The lecture notes will be distributed a the beginning of |
|Literature||I will use elements taken from my books |
Critical Phenomena in Natural Sciences,
Chaos, Fractals, Self-organization and Disorder: Concepts and Tools,
2nd ed. (Springer Series in Synergetics, Heidelberg, 2004)
-Y. Malevergne and D. Sornette
Extreme Financial Risks (From Dependence to Risk Management)
(Springer, Heidelberg, 2006).
Why Stock Markets Crash
(Critical Events in Complex Financial Systems),
(Princeton University Press, 2003)
as well as from a variety of other sources, which will be
indicated to the students during each lecture.
|Prerequisites / Notice||-A deep curiosity and interest in asking questions and in attempting to |
understand and manage the complexity of the corporate, financial
and social world
-quantitative skills in mathematical analysis and algebra
for the modeling part.