2. Who is an Entrepreneur ?
An entrepreneur is characterized as “someone who
demonstrates initiative and creative thinking, is able to
organize social and economic mechanisms to turn resources
and situations to practical account, and accepts risk and
failure” - Hisrich (1990)
3. An entrepreneur is someone who…
Perceives opportunity
Organizes resources
Come up with new ideas for products,
markets or techniques( Innovators)
4. The Nature of Entrepreneurial Start-ups
An entrepreneurial venture brings something to the
marketplace.
Three primary characteristics are :
1. Innovative
2. Value-creating
3. Growth-oriented
5. New Business Formation
Entrepreneurs use identifiable milestones to measure their
progress:
Steps in the Entrepreneurial Process
1. Discovery
2. Concept Development
3. Resourcing
4. Actualization
5. Harvesting
We are
here
Identify
Business
Opportunity
6. What is Opportunity?
“Opportunity is defined as a situation that enables an
entrepreneur to offer marketable products or services to
interested buyers or end users”
An opportunity may be the chance to meet a market need
(or interest or want) through a creative combination of
resources to deliver superior value
7.
8. TYPES OF SITUATIONAL FACTORS
Product or service is still not in existence
Product or service is already in the market but
failed to satisfy the customers – so need to be
improved
9. Opportunity Identification
Opportunity identification is a process that
involved the search for and discovery of
business opportunities.
Opportunity identification in business refers to
the process of identifying potential market
opportunities that a business can pursue to
grow and expand its operations.
10. Opportunity Identification Know How to
Identify and Exploit Opportunities
Ray Kroc, who is affiliated with the McDonald’s chain,
began his career as an entrepreneur when he invented a
machine to make milkshakes. To sell the machines, he went
from store to store throughout the United States and offered
them to the shop owners.
The moment when he saw an opportunity for another
initiative was when he entered to sell his wares at the
McDonald’s Brothers' burger restaurant. After attending the
restaurant several times, he realized that the fast-food concept
had great potential.
He made the move to the hamburger venture gradually. At
first, he acquired a franchise for a single branch, and then
expanded until he bought the entire chain from the founders
and turned it into an international fast-food chain.
The restaurant was
owned by two
brothers, Maurice and Ric
hard McDonald
11. Importance of Opportunity Identification
1. Gain a Competitive Advantage
2. Identify and address Important but Unmet Customer
Needs
3. Enabler for Innovation
4. Improve Decision Making
12. Gain a Competitive Advantage
1. Gain a Competitive Advantage
2. Identify and address Important but Unmet Customer
Needs
3. Enabler for Innovation
4. Improve Decision Making
13. Approach to Opportunity Identification
1. Observe changes in the environment
2. Recognize a need that customers have that is not being
satisfied
3. Recognize problems and find ways to solve it
14. Observing Changes in the Environment
Changes in the environment give rise to needs and wants
and/or problems, and an opportunity emerges
Important environment forces to observe include:
Economic forces
Social forces
Technological advances
Political and regulatory statues
15. PESTLE Analysis
Political, economic, social, technological, legal, and
environmental (PESTLE) structure of the Indian Business
Environment.
Each of the PESTLE factors is explored in terms of four
parameters: current strengths, current challenges, future
prospects, and future risks.
