Ideas and Opportunities PDF

 Reasons for a startup success Opportunities and its qualities Ways to identify opportunities Reason for a startup success Which do you think is the main reason for success of a startup? 1. Idea 2. Team 3. Business Model 4. Funding 5. Timing...

 Reasons for a startup success Opportunities and its qualities Ways to identify opportunities Reason for a startup success Which do you think is the main reason for success of a startup? 1. Idea 2. Team 3. Business Model 4. Funding 5. Timing (Gross, 2015) Opportunity Opportunity (in business) is a favorable set of circumstances that creates a need for a new product, service, or business. Often, an entrepreneur recognizes a problem, or an opportunity gap, and creates a business to fill it. Opportunity window – the time period in which a firm can realistically enter a new market. (Barringer & Ireland, 2012, p.69) Opportunity Qualities Attractive Durable Opportunity Timely Anchored in a product that adds value (Barringer & Ireland, 2012, p.69) How does one spot an opportunity? Ways to Identify Opportunities Observe trends Solve a problem Find gaps in the marketplace (Barringer & Ireland, 2012, pp.70-81) Observing a Trend ❖ What are the current developments in different macroenvironmental forces? ❖ Is it a fad (temporary craze) or something that is here to stay? Environmental Trends (Macro) Economic forces – state of economy, level of disposable income, consumer spending patterns Social forces – social and cultural trends, demographic changes, etc. Technological advances – new technologies, emerging technologies, new uses of old technologies Political and regulatory changes – new changes in politics, new laws and regulations Environmental forces – changes in natural environment, weather patterns, etc. Research companies & databases Research exercise - PESTLE Find information in the LRM databases talking about macroenvironmental situation in a country of your choice. Solving a Problem Which challenges people encounter in daily life? What complaints are there? How can a problem be reframed? What is the real issue? Are there problems that are brought by emerging trends? Finding a Gap in the Marketplace Look for niche opportunities: ❖ When people cannot find the product they need, and see other people having the same problems ❖ Take one product and create a new one by targeting new market Entrepreneur Qualities for Spotting Opportunities Prior experience in the field Cognitive factors (opportunities alertness) Social networks (strong- tie vs weak-tie relationships) Creativity Idea Generating Techniques Brainstorming Focus groups Internet & library research Other: Customer advisory boards Day-in-life research (observation) Idea Protection Put the idea into a tangible form – written in a physical logbook ( witnessed & notarized) or digitally Secure the idea Avoid idea disclosure References Barringer, B.R., & Ireland, R.D. (2012). Entrepreneurship: Successfully launching new ventures. Pearson. Gross, B. (2015, March). The single biggest reason why start-ups succeed. TED Vancouver. https://youtu.be/bNpx7gpSqbY