Here is how I would categorize the thinking based on the Six Thinking Hats: Hat Comment Person Black "I do not like that idea at all?" X Yellow "But perhaps it adds a wonderful vital taste?" Y Black "Will not work because salt will melt the ice cream" Z

1. Innovation and Entrepreneurship
Part 2
Prepared By:
Yahya Saleh Suleiman Duaifi Maher Abu Baker Mohammad J. Dweikat

2. Entrepreneurship
Developing Successful Business Ideas:
Recognizing opportunities and generating ideas

3. 1.0 What is an Opportunity?
Opportunity Defined
An opportunity is a favorable set of circumstances
that creates a need for a new product, service,
or business.

4. Four Essential Qualities of an Opportunity

5. 2.0 Three Ways to Identify an Opportunity
Observing
Trend
Solving a
Problem
Finding Gaps in
the Market Place

6. First Approach: Observing Trends
Observing Trends
◦ Trends create opportunities for entrepreneurs to pursue.
◦ The most important trends are:
Economic forces
Social forces
Technological advances
Political and regulatory change
◦It’s important to be aware of changes
in these areas.

7. Environmental Trends Suggesting Business
or Product Opportunity Gaps
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2-7

8. Trend 1: Economic Forces
COPYRIGHT ©2016 PEARSON EDUCATION, INC.
Economic trends help
determine areas that are
ripe for new start-ups and
areas that start-ups should
avoid.
Example of Economic Trend
Creating a Favorable Opportunity
• A weak economy favors
start-ups that help consumers
save money.
• An example is GasBuddy.com,
a company started to help
consumers save money on gas.
GasBuddy is a tech company based in Boston that operates apps and websites based on finding real-time
fuel prices at more than 140,000 gas stations in the United States, Canada, and Australia. They also sell
software products to convenience store owners via their B2B initiatives (formerly known as OpenStore).
The GasBuddy app is a GPS-based application program for smartphones and tablets which provides prices of
nearby gas stations from user-submitted data, as well as through partnerships with other companies and
directly from station operators.The app has both Android and iOS versions.

9. Trend 2: Social Forces
Social trends alter how
people and businesses
behave and set their
priorities. These trends
provide opportunities for
new businesses to
accommodate the
changes.
Examples of Social Trends
• Aging of the population.
• The increasing diversity of
the workplace.
• Increased participation in
social networks.
• Growth in the uses of mobile
devices.
• An increasing focus on health
and wellness.

10. Trend 3: Technological Advances
Advances in technology
frequently create business
opportunities.
Examples of Entire Industries
that Have Been Created as the
Result of Technological
Advances
• Computer industry
• Internet
• Biotechnology
• Digital photography
•Big Data
•IOT
•Blockchain

11. Once a technology is created, products often emerge to advance it.
Example: H20Audio
An example is H20Audio, a
company started by four
former San Diego State
University students, that
makes waterproof housings
and earbuds for the Apple
iPhone.

12. Trend 4: Political Action and Regulatory Changes
Political action and
regulatory changes also
provide the basis for
opportunities.
General Example
Laws to protect the environment
have created opportunities for
entrepreneurs to start firms that
help other firms comply with
environmental laws and
regulations.

13. Company created to help other companies comply with the law.
Specific Example
OSHA is a government agency
that formulates and enforces
safety, health, and
environmental regulations for
the workplace. Safety
Compliance Company was
started to help other companies
comply with OSHA regulations.

14. Second Approach: Solving a Problem
Solving a Problem
◦ Sometimes identifying opportunities simply involves
noticing a problem and finding a way to solve it.
◦ These problems can be pinpointed through observing
trends and through more simple means, such as intuition
(‫)حدس‬, serendipity (‫)صدفة‬, or change.
◦ Many companies have been started by people who have
experienced a problem in their own lives, and then
realized that the solution to the problem represented a
business opportunity.

15. •A large number of entrepreneurial firms,
like wind farm and solar energy are being
launched to solve this problem.
A problem facing the U.S. and other countries is finding alternatives to
fossil fuels ( ‫الوقود‬
‫اإلحفوري‬ ).
UBS

16. Third Approach: Finding Gaps in the Marketplace
Gaps in the Marketplace
◦ A gap in the marketplace is often created when a product or
service is needed by a specific group of people but doesn’t
represent a large enough market to be of interest to mainstream
retailers or manufacturers.
Product gaps in the marketplace represent potentially
viable business opportunities.
Many entrepreneurs realized
there were no guitars on the
market made specifically for
females. - Chairs for left hand
people

17. 3.0 Characteristics that tend to make some people
better at recognizing opportunities than others
Prior Experience Cognitive Factors
( ‫المعرفية‬ ‫العوامل‬
/
‫اإلدراكية‬ )
Social Networks Creativity

18. Prior Experience
Several studies have shown that prior experience in an
industry helps an entrepreneur recognize business
opportunities.
By working in an industry, an individual may spot
a market niche that is underserved.
It is also possible that by working in an industry, an
individual builds a network of social contacts who
provide insights that lead to recognizing new
opportunities.

19. Cognitive Factors
Studies have shown that opportunity recognition may be an
innate skill ( ‫فطرية‬ ‫)مهارة‬or cognitive process.
Some people believe that entrepreneurs have a “sixth sense”
that allows them to see opportunities that others miss.
This “sixth sense” is called entrepreneurial alertness ( ‫يقظة‬
‫)ريادية‬, which is formally defined as the ability to notice
things without engaging in deliberate search (‫متعمد‬ ‫)بحث‬.

20. Social Networks
The extent and depth of an individual’s social network affects
opportunity recognition.
People who build a substantial network of social and professional contacts
will be exposed to more opportunities and ideas than people with sparse
networks. Research results suggest that between 40% and 50% of people
who start a business got their idea via a social contact.
Strong-Tie Vs. Weak-Tie Relationships
It is more likely that an entrepreneur will get new business ideas through weak-tie
rather than strong-tie relationships. Why?
Strong tie relationships, which typically form between like-minded individuals,
tend to reinforce insights and ideas that people already have

21. http://strategicorganizationdesign.com/the-innovator%E2%80%99s-dna-disruptive-research-disruptive-writing
21

22. Creativity
2-22
Creativity is the process of generating a novel or useful
idea.
Opportunity recognition may be, at least in part, a creative
process.

23. For an individual, the creative process can
be broken down into five stages
Five Steps to Generating Creative Ideas
Preparation—Is the background, experience, and knowledge that an entrepreneur brings
to the opportunity recognition process.
Incubation—Is the stage during which a person considers an idea or thinks about a
problem; it is the “mulling things over” phase.
Insight—Insight is the flash of recognition, when the solution to a problem is seen or an
idea is born.
Evaluation—Is the stage of the creative process during which an idea is subjected to
scrutiny and analyzed for its viability.
Elaboration—Is the stage during which the creative idea is put into a final form. The
details are worked out, and the idea is transformed into something of value.

24. 5.0 Techniques for Generating Ideas
Brainstorming Focus Groups
Library and
Internet Research
Other Techniques
Other
Techniques SCAMBER Model of Creativity
Customer Advisory Boards
Day-In-The-Life Research
Other
Techniques Six Thinking Hats
Mind Mapping

25. Brainstorming
Is a technique used to generate a large number of ideas and
solutions to problems quickly.
A brainstorming “session” typically involves a group of
people, and should be targeted to a specific topic.
Rules for a
brainstorming
session:
No criticism
The session should
move quickly.
Leap-frogging is
encouraged.

26. Focus Groups
A focus group is a gathering of five to ten people, who have been selected based on
their common characteristics relative to the issues being discussed.
These groups are led by a
trained moderator, who uses
the internal dynamics of the
group environment to gain
insight into why people feel
the way they do about a
particular issue.
Although focus
groups are used for a
variety of purposes,
they can be used to
help generate new
business ideas.

27. Library and Internet Research
Library Research
Libraries are an often underutilized (‫مستغل‬ ‫)غير‬ source of
information for generating new business ideas.
The best approach is to talk to a reference librarian, who can
point out useful resources, such as industry-specific
magazines, trade journals, and industry reports.
Simply browsing (‫)تصفح‬ through several issues of a trade journal or
an industry report on a topic can spark new ideas.

28. Large public and university
libraries typically have
access to search engines and
industry reports that would
cost thousands of dollars to
access on your own.
Examples of Useful Search Engines
and Industry Reports
•ScienceDirect
•SpringLink
•SSRN
• BizMiner
• ProQuest
• IBISWorld
• Mintel
• LexisNexis Academic
2-28

29. Library and Internet Research
2-29
Internet Research
simply type “new business ideas” into a search engine will
produce links to newspapers and magazine articles about the
“hottest” new business ideas.

30. Innovation is about improving existing processes. At its core SCAMPER is
an easy to implement creative thinking and problem solving method
that facilitates continuous improvement.
There is a quote from Thomas Edison that goes “There’s a way to do it
better – find it.” This is exactly what innovation is about, it’s about
improving existing processes and concepts instead of creating
something entirely new. You don’t have to reinvent the wheel, but you
can make it run more efficient. The SCAMPER method is built on this
understanding.

31. What is SCAMPER?
SCAMPER is actually an acronym and each letter stands for
one thinking
technique: Substitute, Combine, Adapt, Modify, Put to
another use, Eliminate, Reverse.
So SCAMPER is a collection of these various techniques and
you can choose to use one or all of the seven methods to find
solutions to your problems. It’s also possible to jump from
one technique to another.
The SCAMPER method is very similar to Design Thinking in
that both these concepts aim to find solutions to problems.
However, Design Thinking places the human factor at the
center and its goal is to find creative ways to solve problems.
The SCAMPER technique is more focused on the process of
finding unusual and creative solutions to problems, but also
to come up with innovative ideas, and the goal of improving
a product or service.

33. Substitute

35. Combine

37. Adapt

39. Modify

41. Put to Another Use

44. Eliminate

46. Reverse (Rearrange)

49. Why we need SCAMPER
SCAMPER can be used either in person or in group
brainstorming sessions (in which there are time constrains
and lack of innovative ideas)
DO NOT say “DON’T know” Try your best to find out the answer
for each questions by SCAMPERS ,This is your problem, your job,
your work, your opportunity so you should know which are principle
questions
.

50. •Rearrange – make the nib flow outwards
Example of applying the SCAMPER technique, below is one potential output of
new ideas for a new version of pen:
•Substitute – replace nib with knife, ink with iron
•Combine – holding with opening, writing with cutting
•Adapt – use the pen top as a container
•Modify – body can be made flexible
•Put to other uses – utilize for writing on wood
•Eliminate – clip utilizing Velcro

52. Some companies set up customer advisory boards that meet regularly
to discuss needs, wants, and problems that may lead to new ideas.
Customer Advisory Boards

53. A type of anthropological research, where the employees of a company spend a
day with a customer.
Day-In-The-Life Research

54. Six Thinking Hats
54
COLOURED
HAT
THINK OF DETAILED DESCRIPTION
White paper The white hat is about data and information. It is
used to record information that is currently available
and to identify further information that may be needed.
Fire and warmth The red hat is associated with feelings, intuition,
and emotion. The red hat allows people to put
forward feelings without justification or prejudice.
Sunshine The yellow hat is for a positive view of things. It
looks for benefits in a situation. This hat encourages a
positive view even in people who are always critical.
A stern judge The black hat relates to caution. It is used for
critical judgement. Sometimes it is easy to
overuse the black hat.
Vegetation and
rich growth
The green hat is for creative thinking
and generating new ideas. This is
your creative thinking cap.
The sky and
overview
The blue hat is about process control. It is
used for thinking about thinking. The blue hat
asks for summaries, conclusions and
decisions.

55. What are the Six Thinking Hats?
Six Thinking Hats or Edward de Bono’s Six Hats is
a good decision making technique and method
for group discussions and individual thinking.
Combined with the parallel thinking process, this
technique helps groups think more effectively. It
is a means to organize thinking processes in a
detailed and cohesive manner.

56. What is parallel thinking ???
At any moment everyone is looking in the same
direction

57. everybody shares each other’s opinions about the
problems, advantages, facts, reducing distraction
and supporting thought cross pollination. This will
be accomplished because everyone will put on a
hat together, for instance the white hat. After the
attendants have expressed their thoughts in a
round of discussion, they will put on the next hat.
In this way all the attendants will think in the
same way at the same time.
Relationship between 6 Hats &Parallel
thinking

58. Uses for Six Hats
 Problem solving
 Strategic planning
 Running meetings
 Decision Making

59. So the six hats are…?
 Six colors of hats for six types of thinking
 Each hat identifies a type of thinking
 Hats are directions of thinking
 Hats help a group use parallel thinking
 You can “put on” and “take off” a hat

60. White
 Information: consider only information
that is available, what are the facts?
What The Color Means ??
 Are neutral , not negative ,not positive

61. Red
Emotions: intuitive reactions or expressions of
feelings (but no justification required)
Give permission to express feelings freely.
express your feelings without justification.
Used for a short period: thirty seconds.
focus on emotion.

62. Black
Judgment: logic applied to identification of
mistakes or barriers, looking for a mismatch.
 Cautions us to make mistakes.
 Identify causes of errors? And fears.
 evaluate behavior

63. Positive view: logic applied to the
identification of opportunities, looking for
harmony.
Yellow
Reduces negative tendency.
Easy to use.
Evaluate attitudes and events Positively .
Integrate with black hat.

64. Green
Creativity and the generation of new
ideas
Encourage the search for proposals
and alternatives
Deepening the culture of innovation
and creativity
Looking forward to the future
Think Out of the Box

65. Thinking about Implementation and work, and control
Blue
Coordinate and organize
Consider using time.
Thinking processes guide
discussion towards the goal
summarizes positions.
Urges decision-making
Implementation begins

67. Using The Thinking Hats in Team Activities
Teams can use these hats in any order during a
discussion, but typically progress from blue, to white,
to green, to yellow, to red, and finally to black. This
order organizes the discussion:
Blue: Start with the approach and process
White: Review the facts
Green: Generate new ideas without judgment
Yellow: Focus on the benefits
Red: Consider emotional responses to any ideas
Black: Apply critical thinking after the benefits have been
explored to test the viability of the new ideas

68. Exercise( using the 6 hats in decision making )
Someone suggested adding salt to the ice cream, read
the comments and type the hat type thinking in the
table?

69. Hat
Comment
Person
I do not like that idea at all?
X
But perhaps it adds a wonderful vital
taste?
Y
Will not work because salt will
dissolve ice cream?
Z
Sometimes a salted almond is placed
in ice cream?
R
How much salt can be placed until it
tastes delicious?
M
Why do not think about positive
points first and then negative points?
N

70. Exercise( using the 6 hats in problem Solving )
Escaping students from school
Gather as much
information as possible
about the issue
Know the negatives and
risks of students
escaping school
What are the benefits of
student escaping:
What alternatives or
options are available to
prevent student escape?
Develop an action plan
to implement applicable
proposals
Note: One of the hats can be dispensed with

71. Advantages:
 Easy to learn and teach.
 Provides a common language
 Use more of our brains
 Feeding the focus and thinking side
Effective.
 Create, evaluate & implement action plans
 Recognize emotions as an important part of thinking
 practicing different types of thinking, such as critical thinking, creative
and emotional

72. Mind maps, developed by Tony Buzan are
an effective method of note-taking and
useful for the generation of ideas by
associations
To make a mind map, one starts in the
centre of the page with the main idea, and
works outward in all directions, producing a
growing and organised structure composed
of key words and key images
Mindmapping
72

73. Example
73
HW#.1 asking the students to submit a mindmap
on the problem generated by the six hats
methodology.

74. Establishing a Focal Point for Ideas
Encouraging New Ideas
Some firms meet the challenge of encouraging, collecting, and
evaluating ideas by designating a specific person to screen and
track them—for if it’s everybody’s job, it may be no one’s
responsibility.
Another approach is to establish an idea bank (or vault),
which is a physical or digital repository for storing ideas.
Encouraging Creativity at the Firm Level
Creativity is the raw material that goes into innovation and should be
encouraged at the organizational and individual supervisory level.

75. 6.0 Issus you should know……
‫عمل‬ ‫فكرة‬ ‫توليد‬
Reasons behind people buying a product or service
Ideas Generation Strategies:
• Identify gaps in the local market
• Develop an existing business model
• Solve a problem-Resolve a common complaint
• Take advantage of the recent technology and
market trends
• Take advantage of your strengths, skills and
experience
Ideas screening

76. 6.1 Reasons behind people buying a product or service
People buy the product / service if:
‫عمل‬ ‫فكرة‬ ‫توليد‬
They need it
It was something
they want/desired
Solve a specific problem
If your product / service
does not meet any of
the above criteria, your
business idea is not
sustainable.

77. 6.2 Ideas Generation Strategies
Consider the following points when generating ideas
‫عمل‬ ‫فكرة‬ ‫توليد‬
2.0 Business ideas not found in your
area
4.0 Existing business idea but with
competitive advantage ( different)
3.0 Business ideas capable of solving common
problems
1.0 Business ideas that benefit from
current market trends
5.0 Business ideas that suit your skills and experience

78. Identify gaps in the local market
‫عمل‬ ‫فكرة‬ ‫توليد‬
What activities have you always wanted to do in your area
but could not?
What services would you like to use (have) if it is locally available ?
What products do you want to buy but are not available in your local market?
Do you want to eat or drink something but it is not available in your local market?
Is there a specific product or service that is traveling to another city / state / village
for purchase?

79. Develop an existing business model
‫عمل‬ ‫فكرة‬ ‫توليد‬
What businesses do not seem successful? And why they think so?
What businesses are facing a lot of competition?
What businesses do not face much competition?
What improvements can you add to an existing work?
What businesses it seems to be a success?‫؟‬

80. Solve a problem-Resolve a common complaint
‫عمل‬ ‫فكرة‬ ‫توليد‬
What do people in your region
usually complain about?
What are the things that make life
difficult for people / the elderly /
families / children / teen agers?
What can make life easier for
people in your region?
Are there certain actions/things
people complain about? If the
answer is yes, what do they not
like in those things?

81. Take advantage of the recent technology and market trends
List as you can all innovations and trends for each of the following areas
‫عمل‬ ‫فكرة‬ ‫توليد‬
Clothing
Sports
Music
Entertainment
Technology Health Food
Is there any business idea you can do to take advantage of a particular
discovery / trend?

82. Take advantage of your strengths, skills and experience
‫عمل‬ ‫فكرة‬ ‫توليد‬
What are your hobbies? your interests? Your passion?
What do you like/want to do every day?
What are your hobbies/interests?
What kind of work would you like to do,
if you granted or won a large sum of money?
What tasks do you have experience/skills in (whether paid or not)?
Among those tasks, which one do you enjoy the most?
Do you prefer to work alone or with others?
What environment do you prefer? (Inside office / in store / outdoor ...)?

83. 7.0 Business Idea Screening
‫عمل‬ ‫فكرة‬ ‫توليد‬
Is this business idea likely has a promising financial return?
Do I have the skills to manage this work? If I do not have it, can I employ
people to learn or have those skills?
Will I be able to raise the money/fund to start this proposed business?
Am I able to manage this business?
Will I enjoy working in this environment?

84. Later you will learn how:
8.0 Choosing the best Idea
Conduct a market survey to see if your business is sustainable and growing
Estimating the costs needed and how to raise finance/fund
‫عمل‬ ‫فكرة‬ ‫توليد‬
When choosing your business idea, make sure the following:
You will enjoy this work, otherwise you will have difficulty maintaining your
motivation on bad days
Be realistic, Know your capabilities , and the points you will need
help with. Remember, you do not need to know everything, you can
take free advice/mentor often or pay for expert opinion.