chapter 3. identify the importance of personal values and goals in choosing an entrepreneurial...
TRANSCRIPT
Identify the importance of personal values and goals in choosing an entrepreneurial pursuit.
Describe the challenges and rewards of entering a family business.
List the benefits and drawbacks of buying a business.
Describe how you can evaluate a business opportunity.
Compare the advantages and disadvantages of starting your own business.
Section 3.1 Understanding Entrepreneurial Trends
3.1
The ability to recognize new opportunities and to think creatively is essential for success in today’s market.
Section 3.1 Understanding Entrepreneurial Trends
3.1
Opportunity- based on what consumers want- not what you want
What would I like to buy that I can’t find?
What product or service would improve my life?
What really annoys me? What product or service would help?
Opportunity
Use your Imagination What is one thing you would
like to have more than anything else?
What does it look like?
What does it taste like?
What does it do?
Competition- If you can find a way to beat the competition based on price, location, quality, reputation, reliability, or hours, you can operate a very successful business
The Six Roots of Opportunity
Technological Advances- Scientists may invent new technology, but entrepreneurs must figure out how to market it.
The Six Roots of Opportunity
Unique Knowledge- You have unique knowledge of your neighborhood, your friends and your community.
The Six Roots of Opportunity
One way to identify business opportunities is to study current trends that provide opportunities for entrepreneurs.
Current Entrepreneurial Trends
Section 3.1 Understanding Entrepreneurial Trends
Current Entrepreneurial Trends
Section 3.1 Understanding Entrepreneurial Trends 13
Internet businesses
service businesses
home-based businesses
socially-responsible non-profit businesses
corporate ventures
strategic alliances
technology
outsourcing
Entrepreneurial thinking is about generating ideas and recognizing opportunities.
Learning to Recognize Opportunity
Section 3.1 Understanding Entrepreneurial Trends
Creativity is the activity that results in innovation.
Creativity and Innovation
innovation a new way of doing things
Section 3.1 Understanding Entrepreneurial Trends
You generate ideas by thinking creatively. Opportunities are ideas that have commercial potential.
Idea Versus Opportunity
Section 3.1 Understanding Entrepreneurial Trends
Before making any investment, look carefully at two factors:
Costs- money and time you will have to invest, and
Benefits- the rate of return on your money or the advancement of your business or career.
Cost/Benefit Analysis
To identify creative ideas:
Creative Sources of Ideas
Section 3.1 Understanding Entrepreneurial Trends
Observe the world around you.
Watch for demographic changes.
Be an avid reader.
Consider your interests, hobbies, and work experiences.
Consult outside sources of information.
To identify creative ideas:
Creative Sources of Ideas
Section 3.1 Understanding Entrepreneurial Trends
Observe the world around you.
Watch for demographic changes.
Be an avid reader.
Consider your interests, hobbies, and work experiences.
Consult outside sources of information.
A way to evaluate a business opportunity is to explore its:
Strengths- Your entrepreneurial ability and contacts
Weaknesses- What you will face, from lack of money or training to lack of time or experience
Opportunities- Lucky breaks or creative advantages you can use to get ahead of the competition
Threats- Anything that might be bad for business, form competitors to legal problems.
SWOT Analysis