The document discusses two sources for business ideas: demand-pull ideas and knowledge-push ideas. Demand-pull ideas are solutions to observed problems, while knowledge-push ideas apply new technologies. For demand-pull ideas, the entrepreneur identifies a problem, studies its causes, and develops a product/service solution. For knowledge-push ideas, the entrepreneur develops a new technology and identifies suitable commercial applications. The document provides frameworks for evaluating each type of idea and reality-testing assumptions through further research.

1. Defining the Opportunity
Innovation, Entrepreneurship & Design Toolbox
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2. an observed market opportunity new technology/capability
”demand-pull idea” VS ”knowledge-push idea”
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A business idea: two sources

3. If demand-pull idea
• A currently unsolved problem is spotted:
It could be personal or friends’ experiences
or observation in the news or in current trends
...Often referred to as ‘customer pain’ or an unmet demand
Example: students suffer from crooked back
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4. • Study of reasons behind the problem:
Carrying heavy books
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5. • Conceivement and development of a solution (product/service)
• The solution might incorporate technology, but the technology
solution is created and tailored specifically for the problem.
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6. If technology-push idea
• A new discovery or a new technical capability
with many possible applications is made/developed
 Also known as a ‘platform technology’
• A suitable commercial application is identified
 Find the most compelling industry/market likely to need or adopt the new technology at
an early date – find a problem to solve!
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7. If technology-push idea
• Development of the raw technology further to deliver the
envisioned applications
 develop for “Market readiness”
• Once the technology is sufficiently developed,
the inventor/entrepreneur start-up can either:
1. Manufacture its own products using the technology, and sell
them to customers
2. License the protected tech to other companies, which will
develop and sell their own products using the technology
3. Sell the start-up company, with its Intellectual Property and
its highly specialised managers and staff (‘human capital’), to
another (usually larger) company
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8. Demand-pull ideas usually go into the market for products
 Make products/services and sell directly to customers
Knowledge-push ideas may end up in either
 The market for products or the market for technology
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9. If you have a demand-pull idea
Go to ‘Idea generation and evaluation’ exercise in the
IE&D Toolbox
• benchmark your idea against other solutions
• Improve your idea
If you have a knowledge-push idea
Go to the ‘Technology/Application Matrix’ in the IE&D Toolbox
• Compare and evaluate commercial applications
Afterwards you can further reality-test your assumptions and
conclusions using Entrepreneurial Market Research and Value
Chain/Value Network analysis.
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10. Demand-pull case Knowledge push case
Evaluate, improve Evaluate, choose
Reconsider? Reconsider?
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Two possible journeys...
Your Idea/Project
Did you start with a problem or a technology/capability?
Idea Generation and evaluation Technology/Application matrix
Entrepreneurial Market Research
Value Chain/Network analysis
Reality -test

11. Clarysse, B. and Kiefer, S., 2011. The Smart Entrepreneur. London: Elliot &
Thompson, Ch. 1.
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Further reading