The document provides guidance for entrepreneurs on factors to consider when starting a new business. It discusses the importance of knowing your product or service, analyzing market potentials, determining a marketing strategy, knowing competitors, and continuing to innovate. It also emphasizes the need to understand customer requirements by identifying who buys products, when, where, how, and why, in order to develop products that meet market needs and generate customer satisfaction. Finally, it outlines different categories of consumers, including price shoppers, brand-loyal customers, status seekers, service/feature shoppers, and convenience shoppers.

1. recognizing the
potential market
Entrepreneurship - Grade 12

5. THE SEARCH FOR BUSINESS OPPORTUNITIES
SHOULD START WITH THE INDIVIDUAL
ENTREPRENEUR. HE OR SHE MUST FIND OUT
THE SKILLS AND TALENT FOR THAT BUSINESS
ACTIVITY.

6. FACTORS TO CONSIDER OF
A NEW ENTREPRENEUR

7. KNOW YOUR PRODUCT OR SERVICE.
ANALYZE THE MARKET POTENTIALS
DETERMINE THE MARKETING STRATEGY
KNOW THE COMPETITORS
DO NOT SET ON YOUR LAURELS
1.
2.
3.
4.
5.

8. KNOW YOUR PRODUCT OR SERVICE.
1.
-You must believe in the product or service that
you will offer to your customer. If it is a new idea
or concept, then you must be able to convince
that you have that unique product that would
satisfy customers’ needs and wants.

9. 2. ANALYZE THE MARKET POTENTIALS
-The wider the market potential, the more
chances of growth and success. Analyze
customers’ profiles as to their buying habits,
income, and social status.

10. 3. DETERMINE THE MARKETING STRATEGY
-Continuous supply determines product growth.
Customers must have access to the product
when they need it. Outlets must be developed
that would answer customers’ demands.

11. 4. KNOW THE COMPETITORS
-In launching a product with existing
competitors, you must know their strengths and
weaknesses. Develop new product and marketing
strategies, then turn their weaknesses into a new
opportunity for your product.

12. 5. DO NOT SET ON YOUR LAURELS
-The landscape of business is continuously
changing. Your initial success in your business
activities needs more proactive analysis for
expansion and growth. Invest in research projects
that will enhance the quality of your products.

13. THE ENVIRONMENT OF BUSINESS IS VAST WITH
OPPORTUNITIES AND THE ENTREPRENEUR MUST HAVE A
GREATER LOOK INTO THIS POTENTIAL AS WELL AS THE
CONDITIONS PREVAILING IN THE COMMUNITY. TO GENERATE
INCOME FOR HIS PRODUCT OR SERVICE HE MUST BE ABLE
TO DELIVER CUSTOMER SATISFACTION.

14. CUSTOMER
REQUIREMENTS

15. CUSTOMER REQUIREMENTS
-specific features and characteristics that the
customer needs from a product or a service. It is
in these customer requirements that business
opportunities originate.

16. CUSTOMER REQUIREMENTS
- Entrepreneurs must be aware of all these
requirements for them to come up with the
features that best suit their needs. They must
know who buys, and what, when, where, how, and
most importantly, why they buy.

17. CUSTOMER REQUIREMENTS
- Customer requirements vary from person to
person. Thus, the entrepreneur must group them,
calculate their size, and come up with products
and services that suit them.

18. TARGET
MARKET

19. TARGET MARKET
- the potential buyer of the product.
Business sectors identify and describe them
as the ultimate and final users of the
product.

20. MARKET SIZE
- is the approximation of the number
of buyers and sellers in a particular
market.

21. MARKET AGGREGATION
- happens when an entrepreneur
wants to target a broader market as
possible.

22. MARKET
SEGMENTATION

23. MARKET SEGMENTATION
- is the process of grouping similar or
homogenous customers according to
demographic, psychographic, geographic,
and behavior.

24. DEMOGRAPHIC SEGMENTATION
Income range and the social class
Occupation
Gender and Age group
Religion and Ethnicity
- process of grouping customers according to relevant
socioeconomic variables for the business venture.

25. PSYCHOGRAPHIC SEGMENTATION
- process of grouping customers according
to their perceptions, way of life,
motivations, and inclinations. A product or
service can be perceived differently by
different people.

26. GEOGRAPHIC SEGMENTATION
-simply grouping customers according to
their location. It can be as small as a street,
a village, or a barangay. It can also be based
on municipality, city, province, or region.

27. BEHAVIORAL SEGMENTATION
-process of grouping the customers
according to their actions.

28. CATEGORIES OF
CONSUMER

29. Price Shoppers
Brand-Loyal Customers
Status Seekers
Service or Feature Shoppers
Convenience Shoppers
CATEGORIES OF CONSUMER:
1.
2.
3.
4.
5.

30. PRICE SHOPPERS
- This group is interested in the best
deal for a product. They are commonly
called practical and price-conscious.

31. BRAND-LOYAL CUSTOMERS
- This group believes that their
present brands are superior to others
and are willing to pay fair prices for
products just to acquire them.

32. STATUS SEEKERS
- People who are interested in
prestigious or called signature brands
or known product categories and
willing to pay at any price.

33. SERVICE OR FEATURE SHOPPERS
- This group seeks a high value on
customer service and product
features and will pay for them.

34. CONVENIENCE SHOPPERS
- People who value nearby locations,
long store hours, and are willing to
pay for easier shopping.

35. TIMOTHY 4:12
“Don’t let anyone look down on you because
you are young, but set an example for the
believers in speech, in conduct, in love, in
faith and in purity.”