Some thought provoking arguments about inventiveness and entrepreneurship

Is really the necessity mother of invention? Are entrepreneurs/inventors some rare phenomena of geniality that once in while appear in the middle of mediocrity? Is a good invention or business always accepted?

I know that is a common sense to think that an outstanding entrepreneur/inventor are capable to just see a need and then find a way to fulfill that need with the perfect invention/business. Although it might be true to some inventions/business – e.g. the A-bomb, iPod or the pizza delivery service - the bulk of inventions/business are things that are create just from the sheer passion of its inventor or entrepreneur for creation, curiosity and entrepreneurship. That is why even though we have almost 70K patent registration in the USPTO only a few of then see the bright light of the market. And a lion’s share of new business faces mortality in the first years.

A clear example of that would be the phonograph invented by Thomas Edison; he did not have a clue what would be the use for that equipment. He suggested 10 uses for the machine - e.g. to record the last words of dying people was one of his suggestions. It never crossed his mind that the equipment could be used to play music. When people started to use it to listen to their favorite tunes he got pretty upset and thought that this was not the best way to explore the equipment. Finally, after 20 years he admitted that the equipment could be used that way and started to sell music records.

We see examples like that everyday inventors/entrepreneurs creating new solutions that they are not quite sure who would use it or how he or she would make some money out of it. But is that a problem? I don’t think so. Because let our creativity free is the only way, so far, that we have found to create things that are truly innovative like: airplanes, microwave oven, friendster and blogs.

Another questionable point of view regarding creation of new solution is the aura of geniality of inventors/entrepreneurs. This might be a product of the ‘patent bias’, which forces entrepreneurs and inventors to forget contributions from the past in order to register something clearly new; and therefore something that can be registered. Instead of seeing then as people in touch with the zeitgeist that have made the last marginal contribution to a string of past inventions, which finally made that particular thing useful; we tend to see then like a Zeus that just sprung out Athens from their forehead.

James Watt is considered the father of the industrial age because of his water pump device moved by steam, which accordingly to the legend was inspired by a Kettle. But it is quite often forgot that Thomas Newcomen had invented 57 years before a very similar machine that was moved by steam and that particular one was inspired by Thomas Saverty; which was inspired by a machine from Denis Popin, that was inspired by a blueprint from Cristian Haygens, so on and on. Each of those inventors had to stand on the shoulder of a previous giant to see farther.

This distorted view makes ordinary people think that the capability to create new solutions (business/inventions) is a thing beyond their reach. And that is in my opinion why most of the people never think about develop new solutions; they just leave it to the ‘genius’. A more precise divulgation of what really were the processes to create a solution would make people realize that all it takes is hard work, a little bit of creativity, a little bit of luck and more hard work.

Finally, even though you have come up with an outstanding solution there are still some hurdles that must be overcome in order to make your solution a hit.

First, you have to create a solution that is economically better than the previous solutions that are in use. People must be able to see that they are better off with your invention. Then you have to face the social value and prestige that older inventions have. And this might prove to be the most difficult part. In time, there are vested interests in our society that make harder for a good invention to gain its space. Hybrid cars are a clear example of that dynamic in our society.


I was inspired to write this post by an amazing book called "Guns, Germs and Steel"that has changed the way I understand the world.


Leonardo Dias
Analista da empresa de venture capital Monashees Capital. Anteriormente, trabalhou em empresas de meios de pagamentos. Estudante do curso de Administração de Empresas na FEA-USP

Analyst at the venture capital firm Monashees Capital. Prior, worked at ways of payment company. He is a business administration student at FEA-USP