ENTP Midterm Deck

Serviceable obtainable market (SOM)

A marketing term (also called the target market) that represents the customers that a firm expects to be interested in its particular product or service, and able to be serviced by the firm.

Penetrated market (PM)

A marketing term that describes the actual number of customers of an operating firm, divided by the size of the target market, which gives a percentage of the market the firm (or product/service) has attained so far.

Total available market (TAM)

A marketing term that refers to all of the people or organizations (in one nation, region, or the world) who might consider a product or service being offered.

Serviceable available market (SAM)

A marketing term that refers to the customers within the geographic reach of a firm.

Radical Innovation Strategy

Rejecting existing ideas, and presenting a way to do things differently.

Gross Margin

Sales minus the cost of goods sold

RBI screen

: Really Big Idea People: Who are you? Offering: What are you offering? Customer: Whom are you offering it to? Value proposition: Why do they care? Distinctive competencies: Do you have any key or core science/technology or feature?

Elevator pitch

A 30-second action-oriented description of a business designed to sell the idea of the business to another Leads with the hook, follows up with purpose of the service, ends with where business is now

Expense

A decrease in owners' equity caused by consuming your product or service

Focus group

A form of data gathering from a small group led by a moderator.

Financial accounting

A formal, rule-based set of accounting principles and procedures intended for use by outside owners, investors, banks, and regulators.

Mission statement

A paragraph that describes the firm's goals and competitive advantages

Heterogeneity

A quality of a service in which each time it is provided it will be slightly different from the previous time.

Inseparability

A quality of a service in which the service being done cannot be disconnected from the provider of the service.

Cash flow statement

A statement of the sources and uses of cash in a business for a specific period of time.

Balance sheet

A statement of what a business owns (assets), what it owes to others (liabilities), and how much value the owners have invested in it (equity). Assets, liabilities, owner's equity

Vision statement

A very simple 5-10 word sentence or tagline that expresses the fundamental idea or goal of the firm.

Managerial accounting

Accounting methods that are specifically intended to be used by managers for planning, directing, and controlling a business

Tax accounting

An accounting approach based on specific accounting requirements set by governmental taxing agencies

Primary research

An approach to researching based on the gathering of new information, using techniques such as interviewing, surveying, and observation.

Secondary research

An approach to researching based on the use of existing information, often from government ,commercial, or academic databases and research efforts.

Revenue

An increase in owners equity caused by selling your product or service.

Tangibility

An item's capability of being touched, seen, tasted, or felt

The accounting equation

Assets = liabilities + Owners Equity

AIDA

Attention, Interest, Desire, Action

Tagline

Memorable catchphrase that captures the key idea of a business, its service, product, or customer. Also known as a slogan

The 4 P's

Product, Price, Place, Promotion

Depreciation

Regular and systematic reduction in income that transfers asset value to expense over time.

Opportunity recognition

Searching and capturing new ideas that lead to business opportunities. Involves creative thinking

Value proposition

Small business owners' unique selling points (also known as benefits) that customers can expect from your goods or services, including benefits that differentiate your offering from those of the competition

SEO (Search Engine Optomization)

Techniques applied to web pages in order to obtain favorable placement on Internet search page results.

Business entity concept

The concept that a business has an existence separate from that of its owners.

Total Product

The entire bundle of products, services, and meanings of your offering; includes extras like service, warranty, or delivery, as well as what the product means to the customer.

Brand promise

The gains provided (i.e., the benefits) or the help given (i.e., the pains removed) by theproduct or service your firm offers.

Pitch Deck

The name of a slideshow presentation that summarizes a business or more often a business plan.

Breakeven point

The point at which total costs equal gross revenue.

Product development process

The procedure to organize and pursue the creation of new goods or services.

Customer development process

The procedure to organize and pursue the finding, obtaining and keeping of new customers

Market Segmentation

The process of dividing the market into groups that have somewhat homogeneous needs for a product or service.

Due diligence

The process of investigating a business to determine its value

CRM or CRM Systems

The process of tracking the customer's different contacts with the firm, and using this data to help improve sales as well as the customer's experience.

Marketing Funnel

The rule of thumb in marketing that it takes a large number of people to be made aware of your product in order to find a purchaser.

Retained earnings

The sum of all profits and losses, less all dividends paid since the beginning of the business.

Customer job

The term given to what a potential customer is trying to do—perform or complete some sort of task, solve some problem, or try to achieve some outcome. The target of the job is often the key to what a proposed product or service is intended to help.

Variable costs

Those costs that change with each unit produced, for example, raw materials.

Fixed costs

Those costs that remain constant regardless of quantity of output, for example, rent

Pivot

Typically, a term describing a change of direction in the thinking of an entrepreneur or a firm, often based on new data or other findings

Entrepreneurial alertness

a special set of observational and thinking skills that help entrepreneurs identify good opportunities the ability to notice things that have been overlooked, without actually launching a formal search for opportunities, and the motivation to look for opportunities

Business model canvas

a way to identify and organize key information on a business and how it achieves its goals. can be analytic tools (like a business model canvas) or a way to do business (like the "razor and blade" business model).

Imitative strategy

an overall strategic approach in which the entrepreneur does more or less what others are already doing

Core product

basic description of what a product is

Gain

can be any sort of outcome (a product, service, outcome, or situation) customers or potential customers would like to encounter or be able to depend on.

Pain

can be any sort of problem, annoyance, source of aggravation, shortcoming, or suboptimal situation customers or potential customers face.

Augmented product

core product plus features that tend to differentiate it from the competition brand names, quality levels, packaging

Promotional mix

how much of each message conveyance you will use to sell your product as well as your objective in using each one

License

legal agreement ranting you rights to use a particular piece of intellectual property

Causal model of entrepreneurship

one in which you wan to create a particular product or service that does not yet exist and to achieve that end, you have to cause the product or service to exist. This can mean you will have to learn new skills, or find others to help you achieve your end.

Royalty

payment based on the number or value of licensed items sold

Target market

refers to the group of customers in the area you plan to serve who would be likely to be interested in your product, or those of competitors.

Perishability

service exhibits perishability in that if it is not used when offered, it cannot be saved for later use

Incremental Strategy

taking an idea and offering a way to do something better than it is done presently

Net Profit

the actual profit after working expenses not included in the calculation of gross profit have been paid.

Feasibility study

the extent to which an idea is viable and realistic and the extent to which you are aware of internal

Gross Profit

the profit a business makes after subtracting all the costs that are related to manufacturing and selling its products or services