This document discusses common challenges that can occur with corporate incubation programs and provides strategies to address them. It identifies five issues that can arise: 1) sunk cost paralysis where companies continue investing in past solutions, 2) solutioning blindness where they focus on incremental improvements rather than disruptive ideas, 3) stop-gate compulsion where excessive forecasting and approvals slow progress, 4) cycle of life toxicity where companies struggle to adapt to changing market conditions, and 5) intrapreneurs fatigue where innovation efforts lose momentum. The document suggests companies focus on disruptive rather than incremental ideas, loosen forecasting and approvals, and cultivate a competitive culture to drive innovation success.

1. How to prepare for
corporate incubation
end of party?
Philippe MÉDA, Oct. 2016

2. Philippe Méda / MERKAPT
Asia
Europe
France
Industry
Startups
VCs
MBA

3. 2012
How bad is it really?
2014 2016

4. 2012
How bad is it really?
2014 2016

5. How bad is it really?
Ideation room, Crowne Plaza, Amsterdam

6. Millions in ROI!

7. How to prepare for corporate
incubation end of party?
2. SOLUTIONING BLINDNESS
5. INTRAPRENEURS FATIGUE
3. STOP-GATE COMPULSION
1. SUNK COST PARALYSIS
4. CYCLE OF LIFE TOXICITY

8. 1. SUNK COST
PARALYSIS

9. Still skatingwhere the puck was years ago?
1.SunkCostParalysis

10. Still skatingwhere the puck was years ago?
1.SunkCostParalysis

11. Still skatingwhere the puck was years ago?
1.SunkCostParalysis

12. 2. SOLUTIONING
BLINDNESS

13. Who needs a better phone?
2.SolutioningBlindness

14. Who needs a better phone?
2.SolutioningBlindness

15. Who needs a better TV?
2.SolutioningBlindness

16. Who needs a better TV?
2.SolutioningBlindness

17. Who needs a better car?
2.SolutioningBlindness

18. Who needs a better car?
2.SolutioningBlindness

19. Who needs a better car?
2.SolutioningBlindness

20. Chasingthe nextBIG thing
2.SolutioningBlindness

21. Chasingthe nextBIG thing
The 6 startups
you incubate
2.SolutioningBlindness

22. Chasingthe nextBIG thing
2.SolutioningBlindness

23. Chasingthe nextBIG thing
The 6 startups
you incubate
The 120 ‘techno-push’
startups you should
consider
The 3 ‘market-pull’
startups you need

24. 3. STOP-GATE
COMPULSION

25. How bad do you need to forecast?
3.Stop-GateCompulsion

26. How bad do you need to forecast?
iPhone, 2007 $25bn, 2012
3.Stop-GateCompulsion

27. How bad do you need to forecast?
3.Stop-GateCompulsion

28. How bad do you need to forecast?
$25bn, 2012
3.Stop-GateCompulsion

29. How bad do you need to forecast?
“Nintendo has fiercely guarded its properties
for as long as those properties have existed. A
few notable exceptions can be found in the
"Super Mario Bros." movie, "Hotel Mario," and
a few other odds and ends, but Nintendo tends
not to act casual about its properties.
As Miyamoto explained, this mentality comes
from an era "when our hardware systems were
the number one gaming platforms in the
world." Kids would grow up with Nintendo
consoles, thus endearing them to characters
like Mario from an early age. But kids today
are growing up with smartphones and
tablets. ”
Time Magazine, Sept. 2016
3.Stop-GateCompulsion

30. 4. CYCLE OF
LIFE TOXICITY

31. 4.CycleofLifeToxicity
0 To1 in less than 3 years

32. 4.CycleofLifeToxicity
Gen 2
2009
Gen 3 Gen 4
Didi
2012
Gen 1,2 & 3
2004 2017
Gen 0
1998
What you are still trying
to figure out What
you fear
next
What’s
trying to
kill you now
Gen 4 & 5
2009
Gen 6 Gen 7
Didi
20122004
Gen 0
1998
What’s
coming up
next…
Just like dog years
Gen 0 to 1 for YOU

33. 5. INTRAPRENEURS
FATIGUE

34. 5.Intrapreneursfatiguqe
Everyone’s an entrepreneurnow

35. Everyone’s an entrepreneurnow
5.Intrapreneursfatiguqe

36. Everyone’s an entrepreneurnow
5.Intrapreneursfatiguqe

37. They Shoot Horses, Don’tThey?
5.Intrapreneursfatiguqe

38. Everyone’s an entrepreneurnow
How an employee
generates $600K /yr
direct-to-market sales
on its own?
5.Intrapreneursfatiguqe

39. Everyone’s an entrepreneurnow
5.Intrapreneursfatiguqe

40. Everyone’s an entrepreneurnow
Inside the Cannibalistic Culture of China's
Biggest Tech Giant
Bloomberg, Sept. 14, 2016
Success inside China’s most-valuable public company sometimes
requires a bit of cannibalization.
Tencent Holdings Ltd.’s ubiquitous WeChat service emerged after
founder Ma Huateng encouraged employees to compete against each
other to create a mobile messaging business. WeChat now has more
than 805 million users, who turn to the service not just for texting but
also for playing games, paying bills and buying money-market funds.
That blockbuster helped propel Tencent’s growth into the biggest
publicly traded company in China with a market value of HK$1.97
trillion ($255 billion). Ma now wants to repeat that success as
Tencent moves into live-streaming video, letting at least six divisions
compete for eyeballs in a market expected to mushroom nine-fold in
value to almost $13 billion by decade’s end. “Tencent’s culture is like
a shark womb,” said Andy Mok, managing director for recruiter Red
Pagoda Resources in Beijing, referring to how some unborn sharks
cannibalize siblings in the womb to ensure their own survival. “It’s
not as deadly, but it makes every member adapt faster and be more
competitive,” he said.
5.Intrapreneursfatiguqe

41. 2. SOLUTIONING BLINDNESS
3. STOP-GATE COMPULSION
1. SUNK COST PARALYSIS
4. CYCLE OF LIFE TOXICITY
How to prepare for
corporate incubation
end of party?
5. INTRAPRENEURS FATIGUE