Input from others is a crucial part of effectual entrepreneurship. One of the very first things an expert entrepreneur does when they have an idea is to involve other people. We have previously looked at the importance of co-creation and learned, through various case studies, that the input from stakeholders helps the entrepreneur shape their venture in ways they may not have anticipated at all.
So how do we get input from stakeholders? How do we establish effectual partnerships? How do we even find people and engage them as stakeholders who help shape our ideas? It all comes down to asking. That is what we will be exploring in this topic!
Welcome to topic 9: “The Ask”. In this topic you will learn:
- What “the ask” is and why it is crucial for effectual entrepreneurship
- About internal barriers to asking (and which ones apply to you)
- How we can become better at “the ask”.
This topic relates to the following subject learning outcomes:
- Identify and apply the core principles of effectuation and how they form the basis of the effectual cycle.
- Identify the different types of uncertainty as put forward by economist Frank Knight and the implications for entrepreneurs.
- Explain how the entrepreneurial bias toward action leads to experience, which in turn increases self-efficacy.
Welcome to your pre-seminar learning tasks for this week. Please ensure you complete these prior to attending your scheduled seminar with your lecturer.
Click on each of the following headings to read more about what is required for each of your pre-seminar learning tasks.
Read the following chapters of the textbook Read, S, Sarasvathy, S, Dew, N & Wiltbank, R 2016, Effectual Entrepreneurship, Second edition, Routledge.
- Chapter 15 – pp.167-179: Asking potential partners to make commitments
Read the following content.
Asking is important for effectual entrepreneurs
Expert entrepreneurs are comfortable asking others for what they need. Expert entrepreneurs are also great at framing their questions in such a way that it leads to productive effectual partnerships (Read et al 2016). Whether we are asking for help, money, advice, resources or introductions to expand our network; asking is crucial to effectual entrepreneurship.
We may all have asked for many things, but that is not to say that asking is easy. In fact, there are several internal barriers that we may need to overcome in order to be better at asking for resources/help/advice/collaboration.
What “the ask” is and why it is crucial for effectual entrepreneurship.
A causal approach places the focus on an entrepreneur pitching their idea. In essence, the causal ask takes the form of a conventional sales pitch. During this, the entrepreneur asks for the resources needed to achieve their specific vision, and they either receive what they ask for or they are rejected. The effectual ask, on the other hand, sees the entrepreneur sell themself as someone potential stakeholders want to co-create with. In essence, a conversation where you may have presented what you think is an excellent way to create a viable future and learnt from stakeholders what their pitch is in return. The effectual ask will expose surprises that you did not anticipate and start an ongoing conversation where you may go back to the same person multiple times with a different kind of ask (Read et al 2016). In contrast to a causal ask, the effectual ask starts a conversation that cannot fail.
Even though we refer to this as “the ask” in effectuation, rather than it being a singular question, “the ask” is in fact more of a mindset and iterative process that starts with open-ended conversations, openness and flexibility (Read et al 2016; Glinska 2018a).
In fact, the ask is a process in which we go through a hierarchical series of conversations in order to gain input from stakeholders. The effectual process starts when entrepreneurs take inventory of their available means. One of the first questions in this process is asking ‘who do I know?’ As you practise and develop your own ability to become better at asking, you will expand your network and add to your available means. As we have seen in chapter 15 of the prescribed textbook, after this initial ask (to yourself), the hierarchy of asks then moves on to asking for advice from those you know. The next step would be to ask strangers and expand your network. The key is being open to what others ask of you and ultimately empowering others to ask on your behalf (pg. 174).
“The ask” is central to the effectual process and covers asking for resources, money, introductions, advice and ultimately, for stakeholders to collaborate with us.
Barriers to asking
Asking is not a straightforward process. In fact, there are many barriers to asking. Before we learn more about the effectual ask, it is important for us to reflect on our own insecurities and fears. If we are aware as to which internal barriers we struggle with, it is easier to address and overcome them. The aim here is for us to become better at asking and ultimately to use this skill in order to build effectual partnerships.
Reflect
Before we delve into this further, take a moment to reflect on how easy or not you find it to ask for something. Think for a moment about your past experiences with asking for help, advice, money, input or ideas, guidance or introductions.
Here are a few scenarios to help you think about this. Reflect on your experience of asking someone to:
- Help you with directions to get somewhere.
- Provide advice when you did not know what to do.
- Help you with a specific task.
- Go out on a date with you.
- Do you a favour.
Consider how comfortable (or not) you felt asking in the first place, how the ask itself went, and what the outcome was. Also, take a moment to think about how you could have handled the situation differently now that you have the benefit of hindsight and are able to reflect on this while you are more removed from the original moment you were in.
Jot down your ideas about this in your reflective journal as it will help you think about which internal barriers to asking you might need to overcome in the next step.
You can access the reflective journal by clicking on ‘Journal’ in the navigation bar for this subject.
Read et al (2016) have identified the following internal barriers to asking:
- A fear of being perceived as weak by others.
- A fear of being perceived as pushy.
- A reluctance to ask because you feel like you have nothing to offer in return.
- A fear of being rejected or told no.
- A fear of being told yes and needing to follow through.
The following section is adapted from Read et al (2016, p 175-178) to explore the barriers to asking in more depth. Keeping in mind your earlier reflection on the things you find easy and difficult in relation to asking, explore the barriers below; carefully considering whether these apply to you. The idea here is that for any barrier that seems to apply to you, you should reflect on why it does, followed by how you might change that perception of it from an entrepreneurial perspective. Click on each of the headings to read more.
Am I afraid of being perceived as weak?
This may not be an internal barrier you struggle with.
‘I may be perceived as weak because asking could show a lack of independence. It could look like I am too reliant on other people, and they may think I am not capable. I should be able to do this on my own.’
In fact, we cannot do it all on our own, besides why would we want to? Expert entrepreneurs understand the importance of other people's input. Being able to take on ideas, advice, expertise, resources and so on enables them to create enhanced value. The ability to be vulnerable, admit what they do not know, nor have access to is one of the expert entrepreneurs' greatest strengths.
Am I afraid of being perceived as pushy?
This may not be an internal barrier you struggle with.
‘I may be perceived as pushy, and I might be considered a pest. It may seem offensive to others if I ask this of them and they may be put off.’
Other people may not perceive you as pushy at all, in fact, they may think you are brave and creative for asking! Practising asking others makes us better at being assertive without putting others off. Remember that this is a conversation that goes both ways, and the person being asked can indicate what they are willing to accept, or not. Since the effectual ask is a process rather than a make-or-break, one-off opportunity, you can build the relationship and ask again during follow-up conversations. So, you can always take a step back in the moment if you sense that the other person feels you are too forward with your request.
Am I reluctant to ask because I feel like I have nothing to offer in return?
This may not be an internal barrier you struggle with.
‘I feel like I have nothing to offer, therefore, I do not feel I have the right to ask anything of the other person.’
Rather than assume that you have nothing to offer, why not let the other person be the judge of that. If we predetermine that the outcome will be negative, it is harder for us to have an open conversation with someone. By learning about the other person and telling them about us, we may find unexpected opportunities that are mutually beneficial. Asking someone for something also does not need to be a quid pro quo; the other person may simply want to be involved and be generous with what they have to offer and there is always the option to pay it forward to someone else in the future.
Am I afraid of being rejected or told no?
This may not be an internal barrier you struggle with.
‘I may be rejected, and the answer might not be what I wanted, or it might be a flat-out ‘no’. Being rejected could feel like my dreams are being crushed and may never become a reality.’
If the answer is no, this tells us we may need to change direction in how we frame our ask. Remember, there have been numerous entrepreneurs who have had to face and overcome rejection after rejection. Being afraid of rejection could be linked to a perception that this is a form of failure. However, when discussing failure in an earlier topic, we saw failure is a valuable learning moment as part of effectuation. Open-ended questions are preferred (over a yes or no question) when it comes to the effectual ask. Questions such as “How might we be able to collaborate?” or “What would be needed for you to work with me on this?” provide valuable insight and start the relationship. Even if we do get told ‘no’, asking is still valuable, and then, with further discussion, we may receive a ‘yes’ within this response. For example:
- “No, I am not able to provide resources now, but I may be able to do so after April”.
- “No, I am not able to collaborate, but I know someone else who could be interested”.
- “No, I am not interested in that venture idea, but have you thought of this...?”
If you receive a rejection, asking a bit further is also a great way to learn more.
Am I afraid of being told ‘yes’ and needing to follow through?
This may not be an internal barrier you struggle with.
I may be told ‘yes’ and then I may need to act and follow through on something. Having an abstract dream or idea is one thing, however, when this becomes a reality, it may require different actions that could seem daunting or require us to step up into a role we may not feel ready for. It can be scary when things become real.
If the answer is ‘yes’, even for something small, it indicates that this stakeholder may well be receptive to becoming an effectual partner. It is normal to feel both nervous and excited as this pushes you into new territory that may be unfamiliar. Remind yourself that the world is inherently uncertain and, being able to co-create with partners is the way to expand on your own affordable loss and available means. Congratulate yourself as this shows that you are well into the effectual process!
Reflect
Based on your experience in asking for things in the past and your reflection on the internal barriers that apply to you, post on the discussion forum.
Further instructions are set out in Topic 9 Forum Activity 1.
You can also navigate to the forum by clicking on 'ENT101 Subject Forum' in the navigation bar for this subject.Upskilling our asking
An important difference between selling and asking can be observed as part of the effectual ask. Rather than selling a one-sided vision, the effectual ask is all about co-creating a vision together with others. It is about creating something that is beneficial to all stakeholders involved. So, whilst there is no need for us to transform into an amazing salesperson, developing our ability to be persuasive as well as persuadable is something we should focus on. If you tailor a narrative that connects your interests with the potential stakeholder, it enables you to have a broad enough conversation around potential collaboration opportunities (Read et al 2016).
Sarasvathy (as cited in Glinska 2018a)Entrepreneurs communicate to various potential stakeholders what is most compelling about their ideas. At the same time, they listen to those stakeholders and let them co-create and shape those ideas.
We have learnt that we do not predetermine outcomes in effectual thinking and in fact, research shows that the outcomes from the effectual ask, often surpass what you set out to ask for (Dew et al 2018). Therefor, to start with, we must practise communicating the essence of our initial idea whilst being open and willing to take on board other people's ideas on how to transform our idea and vision.
It is important to think beyond money. Whilst you may need funds in order to buy something, it may be easier to ask (and be given) what you need rather than an investment of funds (Read et al 2016). For example, you might need the money to rent warehouse space. However, it may be easier to ask for access to a section of warehouse space that a large company is not using, or a potential partner may have access to empty property assets which they are not yet planning to utilise that you could use in order to launch a new venture.
Interestingly, we do not need to know a lot about the person we are asking; they could, in fact, be a stranger (Read et al 2016; Glinska 2018). An essential skill for us to develop in this type of situation is to listen and learn about the other person. Try to seek common ground during your conversation, while paying attention to the other person's available means and the affordable loss. You will be able to think about how this complements your own.
Practical strategies
The following article sets out some practical ideas on how to become better at the effectual ask. Take time to read and note down any specific ideas that you could use to improve your own asking abilities in your reflective journal.
Glinska, G 2018, Making the ask, Part 2: practical steps to entrepreneurial expertise, Darden.
Wrap-up
In this topic, we have looked at the importance of ‘the ask’ in effectual entrepreneurship.
‘The ask’ is central to the effectual process and covers asking for resources such as money, introductions, advice and ultimately for stakeholders to collaborate with us. Ultimately, the effectual ask sees the entrepreneur sell themself as someone potential stakeholders want to co-create a venture with.
There are several barriers to asking that we may need to overcome, such as, a fear of being perceived as weak or pushy, a reluctance to ask and a fear of being told ‘no’ (or indeed ‘yes’!). However, "It is important not to predetermine the outcomes in effectual thinking, keeping in mind that research has shown that the outcomes often surpass what you initially set out to ask for.
Key takeouts
- The effectual process starts when entrepreneurs take inventory of their available means. As you practise and develop your own ability to ask, you will expand your network and add to your available means.
- Fear of being perceived as weak or pushy, a reluctance to ask and a fear of being told ‘no’ (or indeed ‘yes’!) may hold us back from asking things. It is important to understand what barriers we may face so that we can become better at asking.
- Tailoring a narrative that connects your interests with the potential stakeholder enables you to have a broad enough conversation around potential collaboration opportunities.
- It is important to communicate the essence of your initial idea while being open and willing to take on board other people's ideas on how to transform your idea and vision.
- By seeking common ground during a conversation, you can pay attention to the other person's available means and affordable loss along with how this complements your own.
Welcome to your seminar for this topic. Your lecturer will start a video stream during your scheduled class time. You can access your scheduled class by clicking on ‘Live Sessions’ found within your navigation bar and locating the relevant day/class or by clicking on the following link and then clicking ‘Join’ to enter the class.
Click here to access your seminar.
The learning tasks are listed below. These will be completed during the seminar with your lecturer. Should you be unable to attend, you will be able to watch the recording, which can be found via the following link or by navigating to the class through ‘Live Sessions’ via your navigation bar.
Click here to access the recording. (Please note: this will be available shortly after the live session has ended.)
In-seminar learning tasks
The in-seminar learning tasks identified below will be completed during the scheduled seminar. Your lecturer will guide you through these tasks. Click on each of the following headings to read more about the requirements for each of your in-seminar learning tasks.
Before our seminar, think of one thing you could ask for. Doing so will enable you to apply some of the tools and strategies you have learnt, improving your skills in this key area. It will also enable you to explore the internal barriers you struggle with more. It is up to you whether this is a big or small ask, the important thing is to ask and be prepared to discuss your approach and your barriers in our seminar groups.
You will be placed in groups to discuss any ideas about ventures you may currently have or might have had in the past. These ideas do not need to be fully thought out, in fact, they could be quite vague for the purpose of this exercise.
This task aims to see the effectual process in action, from the point of view of the entrepreneur and the stakeholder(s). You can use this to practice the effectual ask and to see how a vague idea may be transformed into something more substantial.
Group tasks:
- One at a time, each of the group members should discuss their venture ideas. For this task, the person with this idea is ‘the entrepreneur.’
- The other group members will now ask questions to help clarify the venture idea.
- Next, the group members should offer their input to help shape the venture idea. As part of this step, group members can use their expertise or make their interest in the venture clear.
- The entrepreneur then listens carefully to any input provided and asks group members for ideas/resources/assistance.
Swap roles so that all group members have a chance to see both sides of this and explore a variety of different ideas.
Welcome to your post-seminar learning tasks for this week. Please ensure you complete these after attending your scheduled seminar with your lecturer. Your lecturer will advise you if any of these are to be completed during your consultation session. Click on each of the following headings to read more about the requirements for each of your post-seminar learning tasks.
Develop a draft for your second assessment and prepare any questions you may have to discuss with your lecturer in this week's consultation session.
Each week you will have a consultation session, which will be facilitated by your lecturer. You can join in and work with your peers on activities relating to this subject. These session times and activities will be communicated to you by your lecturer each week. Your lecturer will start a video stream during your scheduled class time. You can access your scheduled class by clicking on ‘Live Sessions’ found within your navigation bar and locating the relevant day/class or by clicking on the following link and then clicking 'Join' to enter the class.
Click here to access your consultation session.
Should you be unable to attend, you will be able to watch the recording, which can be found via the following link or by navigating to the class through ‘Live Sessions’ via your navigation bar.
Click here to access the recording. (Please note: this will be available shortly after the live session has ended.)
This is an optional reading to deepen your understanding of the topic material:
- Sarasvathy, S.D. and Kotha, S., 2001, ‘Managing knightian uncertainty in the new economy’, E-Commerce and Entrepreneurship, Greenwich, pp.31-62.
References
- Dew, N, Ramesh, A, Read, S, & Sarasvathy, S.D. 2018, ‘Toward deliberate practice in the development of entrepreneurial expertise: the anatomy of the effectual ask.’ in Ericsson, K, Hoffman, R.R, Kozbelt, A & Williams A.M. (eds.), The Cambridge Handbook of Expertise and Expert Performance, 2nd edn., Cambridge University Press, pp. 389-412.
- Glinska, G 2018a,Making the ask, part 1: the key to entrepreneurial success, Darden, https://ideas.darden.virginia.edu/making-the-ask-part-1-the-key-to-entrepreneurial-success
- Glinska, G 2018b, Making the ask, Part 2: practical steps to entrepreneurial expertis, Darden, https://ideas.darden.virginia.edu/making-the-ask-part-2-practical-steps-to-entrepreneurial-expertise
- Read, S, Sarasvathy, S, Dew, N & Wiltbank, R 2016, Effectual Entrepreneurship, 2nd ed., Routledge.
