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Seminal Californian rock group The Mothers of Invention, Netherlands, 1968 (Source: Wikimedia Commons)

Mothers of Invention: Companies that ‘Spawn’ New Enterprises

Idea posted: February 2014
  • Innovation & Entrepreneurship
  • Learning & Behaviour

Many companies don’t try very hard to retain innovative employees who want to set up their own enterprises to develop ‘spin-off’ products. At first sight, this might seem like an unwise decision: when the employee leaves, commercial opportunities leave with them, and a new competitor ‘arrives’. There are circumstances, however, when ‘entrepreneurial spawning’ is preferable to exploiting ideas internally. Much depends on the fit between the ‘mother’ organization and the products under development.

Idea #318
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