Subscription – a historic proof of concept

Definition: A subscription is a form of pre-order in which interested parties subscribe to a work in advance, thereby expressing their intention to purchase it. It was originally used frequently by publishers to cover printing costs and minimise market risk.

How it works:

1. Announcement: A work (e.g. a book) is announced and offered for subscription.
   
   
2. Pre-order: Interested parties order and pay for the product in advance.
   
   
3. Production: The product is only produced and delivered once a sufficient number of pre-orders have been received.

Advantages:

• Minimises risk for producers.
  
  
• Validates market demand.
  
  
• Secures financing.

Examples:

• Historical book releases.
  
  
• Modern crowdfunding projects.

Relevance to entrepreneurship: Subskription shows how pre-orders can be used to test the feasibility and interest in new products.

Further information: Subskription on Wikipedia

Application in today's context: Subskription can be used today in the form of crowdfunding platforms such as Kickstarter to test and validate the demand for innovative projects and products.

Further information: Subscription to Wikipedia

Recommended resources

Keeping an eye on liquidity (Entrepreneurship Master Class 2024)

Highlights from the April 2024 Masterclass on Economics. Prof. Faltin covers the basics of economics and setting up a shop. You can also get a good impression of the Masterclass here.

• Riding a Dead Horse?
• Effectiveness vs. efficiency?
• The Clash
• How do I find manufacturers?
• Ask AI about manufacturers
• Minimal Viable Quantity
• How can I reduce the minimum quantity?
• My calculation (costs)
• What are my revenue streams?
• Risks
• Quality control
• Keep an eye on liquidity

Prof. Schreyögg: Organisational and growth crises in start-ups

The video, presented by Prof. Schreyögg, deals with organisational and growth crises in start-ups. He explains the most common problems that young companies face as they grow and develop. These include structural challenges, leadership problems and the need to establish flexible organisational forms. Schreyögg emphasises the importance of adaptability and strategic management in overcoming such crises and ensuring sustainable growth.

When startups grow (Entrepreneurship Summit 2015)

Under the direction of Prof. Dr. Georg Schreyögg, Franziska Näkel (kulau), Daniel Setzermann (MyMüsli) and Stefan Arndt & Thomas Strassburg (LebePur) report on their experiences and the challenges that the growth of their companies brings with it.

Financing for start-ups (Entrepreneurship Summit 2011)

At the Entrepreneurship Summit 2011, Oliver Beste, Ron Hillmann, Jens-Uwe Sauer and Alexander Puschkin, under the direction of Viktoria Trosien, present different forms of financing for start-ups.

Entrepreneurship Foundation Online course (Gründer Garage): Crowdfunding (2014)

3min overview: What is behind ‘swarm financing’ and how it works.

Crowdfunding Panel Discussion (Entrepreneurship Summit 2013)

Jens-Uwe Sauer Seedmatch, Eva Breitbach Schwarz-Weiss Kommunikation, Tobias Zumbült Tollabox

 

Crowdfunding for Startups (Entrepreneurship Summit 2012)

The ‘Crowdfunding’ impulse group has been dealing with the question of how to finance start-ups through the community. Tim Maximilian Reinsch (seedmatch), Dennis Bemmann (Bergfürst)

David Rhotert (Companisto), Hans Christian Heinemeyer and Sven Mätzschker (ePortait) report on their experiences in this area, under the direction of Gunda Opitz.