RECOGNIZE POTENTIAL MARKET
SEEKING, SCREENING AND SEIZING
An opportunity is an entrepreneurs business idea that can potentially become a commercial product or service in the future.
OPPORTUNITY SPOTTING AND ASSESSMENT
Beginning and considered as most difficult
TALENTS, HOBBIES, SKILLS AND EXPERTISE
Business opportunities do not first come from outside forces, but also from within.
S2: SCREENING THE OPPORTUNITY
Internal intent and external intent
S3: SEIZING THE OPPORTUNITY
Is the last step in opportunity spotting and assessment.
Innovation
Is the process of positively improving an existing product or service.
SCANNING THE MARKETING ENVIRONMENT
Is the starting point of any new venture that involves understanding and knowing the intricacies of the macro- environment, micro-environment and internal environment.
INNOVATION
It is a key driver for economic growth.
DETERMINING THE CAPITAL NEEDED
It is mandatory in the entrepreneurial process to calculate the resources needed to establish the business.
S2: SCREENING THE OPPORTUNITY
It is the process of cautiously selecting the best opportunity.
UNEXPECTED OPPORTUNITIES FROM CUSTOMERS
It may happen in unlikely situations, unlikely places, and with unlikely people.
1.)SOCIO-CULTURAL FACTORS 2.) TECHNOLOGICAL FACTORS 3.) ECONOMIC FACTORS 4.)ENVIRONMENT OR ECOLOGICAL FACTORS 5.)POLITICAL FACTORS 6.)LEGAL FACTORS 7.)ETHICAL FACTORS 8.)DEMOGRAPHIC FACTORS
MACROENVIRONMENTAL SOURCES: Examples of Findings includes;
1.)Focused Group Discussion (FGD) 2. Brainstorming Similar to an FGD 3. Brainwriting or Internet Brainstorming Problem Inventory Analysis
METHODS OF GENERATING IDEAS includes;
STEEPLED Analysis
The result of the STEEPLED scan will aid the entrepreneur in deciding what product or service to set up and whether this new venture will succeed or not.
1. BREAKTHROUGH INNOVATION 2. TECHNOLOGICAL INNOVATION 3. ORDINARY INNOVATION
There are three types of innovation according to the degree of distinctiveness:
TECHNOLOGICAL FACTORS
These are composed of innovations of an existing technology or an inventions of a new one mostly on applied science and engineering research areas.
NEW DISCOVERY OR KNOWLEDGE
These are new trends that can be the core business model of a new venture.
FUTURISTIC OPPORTUNITIES
These are projected new opportunities. that can possibly affect the new business while it is running.
DEMOGRAPHIC FACTORS
These are the characteristics of the people in the target market.
CONSUMER PREFERENCES, INTEREST AND PERCEPTION
These are the current needs and wants of potential customers that should be discovered right away by budding entrepreneur.
ETHICAL FACTORS
These are the factors that will serve as entrepreneur's guide on how to be ethical in running in the business.
POLITICAL FACTORS
These factors are mostly induced by government policies and administrations, which can have a strong effect in the entrepreneur's business.
ECONOMIC FACTORS
These factors play a little role in the scanning of marketing in environment because economic factors directly affect any business venture.
SOCIO-CULTURAL FACTORS
These factors represent a general view of a locality's tradition, customs, beliefs, norms, and perceptions.
ENVIRONMENT OR ECOLOGICAL FACTORS
These factors should be given much importance in conducting a business especially when the world has already suffer severely from human induced calamity.
S2: SCREENING THE OPPORTUNITY
This concept is inculcated to see the universe of opportunities.
S3: SEIZING THE OPPORTUNITY
This is the "pushing through" with the chosen opportunity.
RUNNING THE BUSINESS
This is the entrepreneur part where should use the the resources allocated for the new venture.
INDUSTRY
This is the source of current trend on what is happening in the industry where the future business will belong to.
Problem Inventory Analysis
This method is similar to the FGD except that the participants are already given an inventory of product or service problems.
STEEPLED
This represents the general environment where the future business is about to operate.
SCANNING THE MARKETING ENVIRONMENT
Through scanning the environment an entrepreneur can recognize various opportunities and understand thoroughly the arena where the future business will operate.
S2: SCREENING THE OPPORTUNITY
Time must be considered by the entrepreneur in screening the opportunities
seizing process,
involves refining and developing this opportunity. The refining process is called PRODUCT OR SERVICE PLANNING AND DEVELOPMENT PROCESS.
Business Plan
is a comprehensive paper that details the: Marketing, Operational, Human Resource, Financial, Strategic Direction, Tactics of the bussiness.
Brainstorming Similar to an FGD
is an activity that allows the participants to share creative ideas using the following rules: a.) No destructive criticism on judgement is allowed b. Wilder ideas are accepted c.)More ideas are preferred d.)Improvement of other's ideas is allowed
Opportunity seeking
is the first step and is the most difficult process of all due to the number of options that the entrepreneur will have to chose from.
The 3s Opportunity Spotting and Assessment
is the framework that most of the promising entrepreneurs use to finally come up with the ultimate product or service suited for a specific opportunity.
Entrepreneurial Process?
it is a step-by-step procedure in establishing any kind of business that an entrepreneur has to undergo.
•Allowance
must also be considered.
Careful Calculation
must be applied in computing the complete set of resources needed and include only those items that are considered as the real needs in venture creation.
BREAKTHROUGH INNOVATION
must be protected by a patent, a trade secret, or a copyright.
TECHNOLOGICAL INNOVATION
need to be protected, too. In relation to the examples given, technological innovations include the wireless fidelity or wifi, the laptop, and the jet airplane
TECHNOLOGICAL INNOVATION
these innovations are technological advancements of an existing product or service.
BREAKTHROUGH INNOVATION
these innovations, which may also include inventions, occur infrequently as these establish the platform on which future innovations in an arca are developed.
ORDINARY INNOVATION
they are commonly originating from market analysis and technology pull instead of a technology.
RUNNING THE BUSINESS
•The entrepreneur should have a control and monitoring system.
TECHNOLOGICAL INNOVATION
- these innovations occur more frequently than breakthrough innovations.
1.) STEEPLED 2.) INDUSTRY 3.) NEW DISCOVERY OR KNOWLEDGE 4.) FUTURISTIC OPPORTUNITIES
1. MACROENVIRONMENTAL SOURCES inludes;
1.) CONSUMER PREFERENCES, INTEREST AND PERCEPTION 2.COMPETITORS 3.UNEXPECTED OPPORTUNITIES FROM CUSTOMERS 4.) TALENTS, HOBBIES, SKILLS AND EXPERTISE 5.)IRRITANTS IN THE MARKETPLACE, SUCH AS DETERRENTS, PROBLEMS, COMPLAINTS AND DELAYS 6.) LOCATION
2. MICROMARKET includes;
RUNNING THE BUSINESS
All aspects of the business plan should be critically observed from operations, marketing and sales, human resources, finance and strategy implemention.
Opportunity
An _______ is an entrepreneurs business idea that can potentially become a commercial product or service in the future.
OPPORTUNITY SPOTTING AND ASSESSMENT
Consumers are reliable opportunity information.
S2: SCREENING THE OPPORTUNITY
Effective choosing or careful diligence.
LOCATION
Entrepreneur first have to look at their ecosystem and they will be able to spot a business opportunity right away.
IRRITANTS IN THE MARKETPLACE, SUCH AS DETERRENTS, PROBLEMS, COMPLAINTS AND DELAYS
Entrepreneurs see opportunities in situation where there is a recurring problem or sometimes when there is no more hope in solving the problem.
DEVELOPING A BUSINESS PLAN
Entrepreneurs should formulate a business plan when they have already spotted assessed the opportunities for the market.
S3: SEIZING THE OPPORTUNITY
Entrepreneurs should make the best out of this opportunity, and they should exercise effort and full dedication for the success of the new venture.
OPPORTUNITY SPOTTING AND ASSESSMENT
Entrepreneurs take note of interesting trends in the environment.
ORDINARY INNOVATION
Example: Improving the packaging and not the product itself, adding one extra step in the service delivery process or simply augmenting a product or service.
BREAKTHROUGH INNOVATION
Examples: internet, the computer, or the airplane
Focused Group Discussion (FGD)
In this method, a moderator handles a very open, free-range flowing, and in-depth discussion with a group of people who can provide insightful ideas about a new product or service that will fill a market need.
1.)IDEA STAGE 2.)CONCEPT STAGE 3.) PRODUCT DEVELOPMENT STAGE 4.)TEST MARKETING STAGE
PRODUCT OR SERVICE PLANNING AND DEVELOPMENT PROCESS THE KEY STAGE:
COMPETITORS
Recognizing and understanding potential competitors will aid the entrepreneur to develop a product or service that is unique and will stand out from the competitor.
LEGAL FACTORS
Related with political factors government laws and regulations that can restrict or allow business activities.
1. Macroenvironmental Sources 2. Micromarket 3. Methods of Generating Ideas 4. Macroenvironmental Sources: Examples of Findings
S1: SEEKING THE OPPORTUNITY includes;
S-OCIOCULTURAL T-ECHNOLOGICAL E-CONOMIC E-NVIRONMENTAL P-OLITICAL L-EGAL E-THICAL and D-EMOGRAPHIC factors
STEEPLED;
Brainwriting or Internet Brainstorming
Same as brainstorming except that the channel used is not face-to-face, but in writing or online
SEEKING, SCREENING AND SEIZING
The 3S opportunity spotting and assessment is the framework that most of the promising entrepreneurs use to finally come up with the ultimate product or service suited for a specific opportunity.
S1: SEEKING THE OPPORTUNITY
The 3s Opportunity Spotting and Assessment
TALENTS, HOBBIES, SKILLS AND EXPERTISE
The entrepreneur's talents, hobbies, skills or expertise can be a source of business opportunity.
UNEXPECTED OPPORTUNITIES FROM CUSTOMERS
The most brilliant ventures come from the most unexpected opportunities.
1.)OPPORTUNITY SPOTTING AND ASSESSMENT 3.)DEVELOPING A BUSINESS PLAN 3.)DETERMINING THE CAPITAL NEEDED 4.)RUNNING THE BUSINESS
four (4) aspect of Entrepreneurial Process