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Chapter 6 thinking the sm es idea

The document discusses several compelling reasons for starting small and medium enterprises (SMEs). It notes that as an SME owner, one can have flexible income not tied to a fixed salary. One can also gain work satisfaction and fulfillment. Additionally, SMEs allow one to customize their working hours and environment according to their needs and circumstances. The document provides examples of individuals' motivations for starting their own businesses, such as transforming an idea into reality, helping employees achieve goals, and providing for family security. It also describes social enterprises like Rags2Riches that help impoverished groups generate income.

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The SMEs Idea Generation: Should you start the SMEs or Not ? Prof. (Dr.) Kao Kveng Hong Ph.D., D.Litt., D.Sc. Chapter-8
Overview Topic • Why need to start SMEs ? • How to estimate SMEs start up? • Decision to starting the SMEs?
Why need to start SMEs? អត្ថប្រយោជន៍​ដែល​អនកនឹង​ទទួលបាន​យៅយេល​ដែល​អនក​យ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម ​ផ្ទា ល់ ម្ចនែូចជា​៖ • ប្បាក់ចំណូ ល​ម្ិន​កំណត្់ ​យៅយេល​ដែល​អនក​យ្វើការ​ឱ្យ​ អនកែទទ ប្បាក់ចំណូ ល​ររស់​អនក​ប្ត្ូវបាន​កប្ម្ិត្​យៅតាម្​រចនា​សម្ព័នធ​ប្បាក់ដែ​ដែល​ អនក​យ្វើ​។ រ៉ុដនែ​ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម អនក​នឹង​ម្ចន​ប្បាក់​ចំណូ ល​ម្ិន កំណត្់​។ ប្បាក់ចំណូ ល​ររស់​អនក​ប្ត្ូវ​បាន​ភ្ជា រ់​យៅ​នឹង​កប្ម្ិត្​ការងារ​និង​ភ្ជេ​ទចនប្រឌិត្​ដែល​អនក​អាច​យប្រើ​វា​យៅ​ជា​ការផ្សេវផ្ាយ​និង​ការវិវត្ែន៍​ទន​ផ្លិត្ផ្ល យសវាកម្ម ឬ​គំណិត្​ររស់​អនក​ ។ ម្ិនដម្ន​រាល់​អាជីវកម្ម​ត្ូចៗ​ស៉ុទធដត្​អាច​រក​ប្បាក់ចំណូ ល​បាន​យនាោះ​យទ ដែល​យនោះ​គឺជា​ហានិភ័យ​ម្ួយ​ដែល​អាជីវករ​ប្គរ់រូរ​គួរដត្​ែឹង រ៉ុដនែ​ប្រសិនយរើ​អនក​អាច​យ្វើឱ្យ​អាជីវកម្ម​ររស់​អនក​ ែំយណើរការបាន យនាោះ​អនកនឹង​ដលង​ែវល់​េី​យរឿង​ប្បាក់ចំណូ ល​ដែល​ប្ត្ូវបាន​កំណត្់​យោយ​យៅហាវ យនាយ​យទៀត្យ ើយ​។ • ស៉ុវត្ថិភ្ជេ​ការងារ​ យៅយេល​យសែឋកិចា​ធ្លា ក់​ច៉ុោះ ​គឺ​ជា​យេល​ដែល​អប្តា​អនកគ្មម នការងារ​យ្វើ​យកើនយ ើង​។ ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម​ផ្ទា ល់​អាច​ធ្លនា​ស៉ុវត្ថិភ្ជេ​ការងារ​ររស់​អនក​ ។ យរើយ ោះរីជា​ម្ចា ស់​អាជីវកម្ម​ប្ត្ូវ ែវល់​េី​រញ្ហា ​យសែឋកិចា និង​ប្ត្ូវ​ប្រឈម្ម្៉ុែ​នឹង​ការយ ើង​ច៉ុោះ​ទន​យសែឋកិចា​ែូច​អនក​ែទទ​ក៏េិត្ដម្ន រ៉ុដនែ​អនក​ម្ិនចំបាច់​ែវល់​េី​ការ​ប្ត្ូវយគ​យែញ​យចញ​ឬ​រញ្ឈរ់​ការងារ​ជា​រយ្ែ ោះអាសនន​យនាោះ​យទ ។​ •
Why need to start SMEs? • យសរីភ្ជេ​កនុង​ការយរៀរចំ​យេលយវលា • ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម អនក​អាច​រីករាយ​នឹង​ការ​ម្ចន​កប្ម្ិត្​យសរីភ្ជេ​ែពស់​កនុង​ការយរៀរចំ​យេលយវលា​ររស់​អនក​ជាង​យេល​ដែល​អនក​យ្វើការ​ឱ្យ​អនកែទទ​។ អនក​អាច​ចំ្យ​យេល​ររស់​អនក​យៅ យលើ​ការយកចិត្ែទ៉ុកោក់​យលើ​ទំនួល​ែ៉ុស​ប្ត្ូវ​ និង​កាត្េវកិចា​ផ្ទា ល់​ែាួន​ប្រសិនយរើ​អនក​ចង់​។ អនក​អាច​យ្វើការ​ែល់​យរ់​យប្ៅ​យោយ​ផ្ទ​ស៉ុកភ្ជេ​យៅ​កនុង​ផ្ាោះ​ររស់អនក យ ើយ​អនក​អាច​យប្កាក​េី​យគង​ យឺត្​ជាង​្ម្មតា​រនែិច​យៅ​យេល​ប្េឹក​។ តារាង​យេលយវលា​ររស់​អនក​សថិត្​កនុង​ក្ែ រ់ទែ​ររស់​អនក យ ើយ​អនក​អាច​យ្វើការ​យៅ​តាម្​យេលយវលា​ររស់​អនក​។ • ការប្គរ់ប្គង​ការងារ ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម អនក​អាច​យគចយចញ​េី​ភ្ជេ​តានត្ឹង (​យ្សែ​ស​) ទន​យគ្មលការណ៍​កនុងកា​រិល័យ​។ យោយសារ​ដត្​អនក​គឺជា​ម្ន៉ុសស​ដែល​ម្ចន​ត្ំដណង​្ំជាងយគ​កនុង​ប្កុម្ ៉ុន អនក​ម្ិន​ ចំបាច់​ប្េួយបារម្ភ​េី​ការេាោម្​សដម្ែង​យៅម្៉ុែ​ម្ិត្ែ​រួម្​ការងារ ឬ​ការ​ដអរអរ​ថ្នន ក់យលើ​ររស់​អនកយនាោះ​យទ​។ គ្មម ន​កងវល់​ ំងអស់យនោះ អនក​អាច​ចំ្យ​ការយកចិត្ែទ៉ុកោក់រ​រស់​អនក​ ំង​ ប្សុង​យៅយលើ​ការវិវត្ែន៍​ររស់​ប្កុម្ ៉ុន និង​យ្វើឱ្យ​ផ្លិត្ផ្ល​ឬ​យសវាកម្ម​ររស់​អនក​កាន់ដត្​ប្រយសើរ​យ ើង​។
Basilisa’s compelling reasons to do business Enterprise: CRISIS + FAMILY SURVIVAL + FAMILY College Drop-out’s compelling reasons: • Regain the trust of her parents • Prove her worth among her peers Jay Aldeguer’s 5 compelling reasons: • Transforming idea into reality • Augment school allowance from parents
• Saw a gap in the souvenir industry • Help employees achieve their own goals • Provide security for his children
Social Entrepreneurs
Rags2Riches • Poor women living in garbage dump in the Philippines earning just 1,200 riels a day making rags from scrap cloth. • 8 young professionals got together to help the women through good product designs and marketing the products. • In 4 years, Rags2Riches has supported 400 women, recycled 510 tons of scrap cloth, and gave each woman income of $9 per day.
Sri Lanka: Tea Bag Manufacturer
RED PANDA EXPRESS FOOD KIOSK
Roland Hortaleza - SPLASH • Talking to customers Roland Hortaleza found out there was steady demand for acetone and nail polish-removing solvents. With just $300 he repackaged acetone. When hair spray became “in” he developed his own product. • Today his company Splash is one of the biggest personal care companies in the Philippines.
Roland Hortaleza - Splash Corp.
Bright ideas run the world. Can you imagine a world now without light bulbs, airplanes, cars, mobile phones, computers and Internet? Bright ideas for business can be generated by Drivers of Business Opportunity: 1. Perspiration (Competence) – this driver of opportunity comes from your talents, skills or hobbies.
GJ and Maricel Jimenez
BANAPPLE • Started with sampling to friends and officemates for free pies and cakes baked in their kitchen. • Soon GJ, the husband was selling to friends and officemates and orders kept growing. He then resigned from his job to focus on the business. • Established first bakeshop called Banapple in 2007. Today it has 9 branches and very successful.
Nicole Whisenhunt  Started as a hobby making chain necklaces in 2002.  Initially sold the necklaces to classmates in college. In 2009, started a company using new and better product designs.  Today, distributes the products in 18 locations including the Philippines, Singapore, Spain, New York, and Las Vegas.
Boni Comandante – Buhi Worldwide • Boni Comandante was amazed when the fish he placed in an open cooler without water was still alive after several hours. He researched about this marvel and has since developed a technique that puts fish to sleep while being transported without water. • His method has become a big thing in the live fish transportation market.
Boni Comandante - Buhi Worldwide
Nina Halos – Vital N • Nina Halos addressed the problem of food shortage by developing the world’s first safe and bacteria-based biofertilizer, Vital N. It is environment- friendly, economical, and guarantees higher yield. • Her company Amichem Corporation is the first biofertilizer manufacturer in the world.
Nina Halos – Amichem Corp.
Examples of Bright Ideas Turned to Business • Water-refilling stations – although good filtration, iron pipes are dilapidated. • Bottled iced tea – alternative to high-calorie soda drinks • Events organizer – suits busy hosts who want hassle-free party.
Group Work Write them now! It’s a start for your own Enterprises. What are your bright ideas that you can turn into a product/service that will add value to your target end-user? Focus now on which of these ideas you love to do and what you’re good at.
Franchise Business Franchise Business
Franchising in the Philippines • started 1995, 1000 brands NOW • 1 billion pesos in taxes. • 90% success rate vs. 25% in retailing industry • 1 million Filipinos employed
What is Niche Market ? • A niche market: is the subset of the market on which a specific product is focused. The market niche defines the product features aimed at satisfying specific market needs, as well as the price range, production quality and the demographics that is intended to impact. It is also a small market segment. For example, sports channels like STAR Sports, ESPN, STAR Cricket, and Fox Sports target a niche of sports enthusiasts.
What’s a niche market? Advantage of niche market is you do not compete with existing players especially if you are just starting. No need to play the lowest price game just to attract customers. • Restaurant in Luzon Shell Station
7 Steps for Defining Niche Market • 1. Make a wish list. With whom do you want to do business? Be as specific as you can. Identify the geographic range and the types of businesses or customers you want your business to target. • 2. Focus. Clarify what you want to sell, remembering that a) you can’t be all things to all people and b) smaller is bigger. Your niche isn't the same as the field in which you work. For example, a Identify the most important lessons you've learned in life. • 3. Describe the customer’s worldview. The best way to do this is to talk to prospective customers and identify their main concerns. • 4. Synthesize. • At this stage, your niche should begin to take shape as your ideas and the client’s needs and wants coalesce to create something new. • 5. Evaluate. • Now it’s time to evaluate your proposed product or service against the five criteria in Step 4. Perhaps you’ll find that the niche you had in mind requires more business travel than you’re ready for. That means it doesn’t fulfill one of the above criteria—it won’t take you where you want to go. So scrap it, and move on to the next idea. • 6. Test. • Once you have a match between niche and product, test-market it. “Give people an opportunity to buy your product or service—not just theoretically but actually putting it out there,” • 7. Go for it! • It’s time to implement your idea. For many entrepreneurs, this is the most difficult stage. But fear not: If you did your homework, entering the market will be a calculated risk, not just a gamble.
Kenneth Cobonpue – Interior Crafts • After his studies, Kenneth returned home to manage Interior Crafts, the family furniture design and manufacturing firm. Kenneth added his own style by combining modern design with natural fibers and materials as alternative to western design. • Today his clients include Angelina Jolie and Brad Pitt and his creations were featured in the movie Ocean’s Thirteen.
Kenneth Cobonpue - Interior Crafts
Consultant - Naturalife Asia • Organic health supplements products 1. Single ingredient – one plant 2. Multiple ingredients – many plants • Market: Persons vs. Companies • Client company, AIMG, now biggest buyer of Naturalife Asia products in the whole world.
How to differentiate your Business SMEs?
MAGNIFY How do you MAGNIFY something that is already in the market? • ADDING INGREDIENTS/MORE VALUE – toothpaste with flouride • STRENGTHENING – doublestitched denim pants • ENLARGING/THICKENING – LCD TV
MINIFY HOW DO YOU MINIFY products that have been bought regularly? • MAKING SMALLER – thin mobile phones • REDUCING/SHORTENING/MAKING FASTER – Fedex overnight delivery • Other ways to MINIFY – OMIT/LIGHTEN – Coke zero, Diet colas SPLIT UP – 2- door refrigerator/freezer
SUBSTITUTE HOW DO YOU SUBSTITUTE? USE ANOTHER INGREDIENT/MATERIAL – crown of softdrink bottle replaced corks USE ANOTHER PROCESS – cook seafood balls in seafood broth not oil. THINK “WHO OR WHERE ELSE?” - outsourcing
S = P x Q x F SALES equals PRICE x QUANTITY x FREQUENCY Mr. L – an affordable price in a steady quantity and on a regular frequency Product: hair clips, pins, combs Price: $1.15 a piece (C market) Sales: $115 per day Store: 100 How to Estimate the Market Volume ?
Tess Ngan Tian – LOTS’A PIZZA Sales Estimation Daily traffic count 5,000 X 0.03 (3%) Potential customers 150 Average spending per X 3.39 customer (in dollars) Estimated daily sales (dollars) 508.60 Number of foodcarts in area ÷ 3 LOTS’A PIZZA share of wallet $169.55 Should Start the Enterprises or not ?
Tess Ngan Tian – LOTS’A PIZZA
Happy Ongpauco and Allana Montelibano – Boutique Bed/Breakfast • The two ladies put up The Boutique Bed and Breakfast, the first luxury bed and breakfast that offered ultimate personalized services, so personalized guests can choose room scents, etc. • By giving discriminating customers what they wanted, Happy and Allana added value to their rooms and distinguished themselves from other hotels in Tagaytay.
Happy Ongpauco and Allana Montelibano - The Boutique
• Toothpaste 1: For parents who want whiter teeth and prevents decay to have a strong teeth in old age. • Toothpaste 2: With nice kiddie flavor and colorful packing so for kids. • Toothpaste 3: Guarantees fresh breath so for 2 young adults. “FIT” THAT CUSTOMERS WERE LOOKING FOR IN RESTAURANT:
Shell Station in South Expressway
I first classified (segmented) who my Customers were: • Busy commuter transients traveling along the local expressway. • Middle-class neighborhood residents along the traverse of expressway. • Leisure/vacation travelers on the way to the South Luzon provinces.
I then asked myself that if they are regular travelers, what are their needs? • Quick-service meal • Food on the Commute • Pambaon (school, vacation) • Pasalubong
Knowing my competition and what they’re offering, I took the challenge, why buy from me? • Fill hunger • Lessen anxiety • Save time and energy – too tired to cook • Convenience – gas and eat at one place • Comfort – cool and clean rest room • Curious – recommended • Save money – too expensive at the malls • A change – tired of usual fastfoods
Eventual FIT for restaurant is any or all of the following: • Quick-service Filipino meal • Food ready to eat or heat • Not fast food • Your kitchen away from home
Barbecue • Dine- in • Snacks on the commute • Vacation foods/Kid’s food Take-out meals • Hurried and tired commuting workers who have no time to cook but still want to eat at home • Gift for family/Food for vacation trip • School/ home breakfast meal Does the PRODUCT FIT what my customers are looking for?

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Chapter 6 thinking the sm es idea

  • 1.
    The SMEs IdeaGeneration: Should you start the SMEs or Not ? Prof. (Dr.) Kao Kveng Hong Ph.D., D.Litt., D.Sc. Chapter-8
  • 2.
    Overview Topic • Whyneed to start SMEs ? • How to estimate SMEs start up? • Decision to starting the SMEs?
  • 3.
    Why need tostart SMEs? អត្ថប្រយោជន៍​ដែល​អនកនឹង​ទទួលបាន​យៅយេល​ដែល​អនក​យ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម ​ផ្ទា ល់ ម្ចនែូចជា​៖ • ប្បាក់ចំណូ ល​ម្ិន​កំណត្់ ​យៅយេល​ដែល​អនក​យ្វើការ​ឱ្យ​ អនកែទទ ប្បាក់ចំណូ ល​ររស់​អនក​ប្ត្ូវបាន​កប្ម្ិត្​យៅតាម្​រចនា​សម្ព័នធ​ប្បាក់ដែ​ដែល​ អនក​យ្វើ​។ រ៉ុដនែ​ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម អនក​នឹង​ម្ចន​ប្បាក់​ចំណូ ល​ម្ិន កំណត្់​។ ប្បាក់ចំណូ ល​ររស់​អនក​ប្ត្ូវ​បាន​ភ្ជា រ់​យៅ​នឹង​កប្ម្ិត្​ការងារ​និង​ភ្ជេ​ទចនប្រឌិត្​ដែល​អនក​អាច​យប្រើ​វា​យៅ​ជា​ការផ្សេវផ្ាយ​និង​ការវិវត្ែន៍​ទន​ផ្លិត្ផ្ល យសវាកម្ម ឬ​គំណិត្​ររស់​អនក​ ។ ម្ិនដម្ន​រាល់​អាជីវកម្ម​ត្ូចៗ​ស៉ុទធដត្​អាច​រក​ប្បាក់ចំណូ ល​បាន​យនាោះ​យទ ដែល​យនោះ​គឺជា​ហានិភ័យ​ម្ួយ​ដែល​អាជីវករ​ប្គរ់រូរ​គួរដត្​ែឹង រ៉ុដនែ​ប្រសិនយរើ​អនក​អាច​យ្វើឱ្យ​អាជីវកម្ម​ររស់​អនក​ ែំយណើរការបាន យនាោះ​អនកនឹង​ដលង​ែវល់​េី​យរឿង​ប្បាក់ចំណូ ល​ដែល​ប្ត្ូវបាន​កំណត្់​យោយ​យៅហាវ យនាយ​យទៀត្យ ើយ​។ • ស៉ុវត្ថិភ្ជេ​ការងារ​ យៅយេល​យសែឋកិចា​ធ្លា ក់​ច៉ុោះ ​គឺ​ជា​យេល​ដែល​អប្តា​អនកគ្មម នការងារ​យ្វើ​យកើនយ ើង​។ ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម​ផ្ទា ល់​អាច​ធ្លនា​ស៉ុវត្ថិភ្ជេ​ការងារ​ររស់​អនក​ ។ យរើយ ោះរីជា​ម្ចា ស់​អាជីវកម្ម​ប្ត្ូវ ែវល់​េី​រញ្ហា ​យសែឋកិចា និង​ប្ត្ូវ​ប្រឈម្ម្៉ុែ​នឹង​ការយ ើង​ច៉ុោះ​ទន​យសែឋកិចា​ែូច​អនក​ែទទ​ក៏េិត្ដម្ន រ៉ុដនែ​អនក​ម្ិនចំបាច់​ែវល់​េី​ការ​ប្ត្ូវយគ​យែញ​យចញ​ឬ​រញ្ឈរ់​ការងារ​ជា​រយ្ែ ោះអាសនន​យនាោះ​យទ ។​ •
  • 4.
    Why need tostart SMEs? • យសរីភ្ជេ​កនុង​ការយរៀរចំ​យេលយវលា • ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម អនក​អាច​រីករាយ​នឹង​ការ​ម្ចន​កប្ម្ិត្​យសរីភ្ជេ​ែពស់​កនុង​ការយរៀរចំ​យេលយវលា​ររស់​អនក​ជាង​យេល​ដែល​អនក​យ្វើការ​ឱ្យ​អនកែទទ​។ អនក​អាច​ចំ្យ​យេល​ររស់​អនក​យៅ យលើ​ការយកចិត្ែទ៉ុកោក់​យលើ​ទំនួល​ែ៉ុស​ប្ត្ូវ​ និង​កាត្េវកិចា​ផ្ទា ល់​ែាួន​ប្រសិនយរើ​អនក​ចង់​។ អនក​អាច​យ្វើការ​ែល់​យរ់​យប្ៅ​យោយ​ផ្ទ​ស៉ុកភ្ជេ​យៅ​កនុង​ផ្ាោះ​ររស់អនក យ ើយ​អនក​អាច​យប្កាក​េី​យគង​ យឺត្​ជាង​្ម្មតា​រនែិច​យៅ​យេល​ប្េឹក​។ តារាង​យេលយវលា​ររស់​អនក​សថិត្​កនុង​ក្ែ រ់ទែ​ររស់​អនក យ ើយ​អនក​អាច​យ្វើការ​យៅ​តាម្​យេលយវលា​ររស់​អនក​។ • ការប្គរ់ប្គង​ការងារ ការយ្វើ​ជា​ម្ចា ស់​អាជីវកម្ម អនក​អាច​យគចយចញ​េី​ភ្ជេ​តានត្ឹង (​យ្សែ​ស​) ទន​យគ្មលការណ៍​កនុងកា​រិល័យ​។ យោយសារ​ដត្​អនក​គឺជា​ម្ន៉ុសស​ដែល​ម្ចន​ត្ំដណង​្ំជាងយគ​កនុង​ប្កុម្ ៉ុន អនក​ម្ិន​ ចំបាច់​ប្េួយបារម្ភ​េី​ការេាោម្​សដម្ែង​យៅម្៉ុែ​ម្ិត្ែ​រួម្​ការងារ ឬ​ការ​ដអរអរ​ថ្នន ក់យលើ​ររស់​អនកយនាោះ​យទ​។ គ្មម ន​កងវល់​ ំងអស់យនោះ អនក​អាច​ចំ្យ​ការយកចិត្ែទ៉ុកោក់រ​រស់​អនក​ ំង​ ប្សុង​យៅយលើ​ការវិវត្ែន៍​ររស់​ប្កុម្ ៉ុន និង​យ្វើឱ្យ​ផ្លិត្ផ្ល​ឬ​យសវាកម្ម​ររស់​អនក​កាន់ដត្​ប្រយសើរ​យ ើង​។
  • 5.
    Basilisa’s compelling reasons todo business Enterprise: CRISIS + FAMILY SURVIVAL + FAMILY College Drop-out’s compelling reasons: • Regain the trust of her parents • Prove her worth among her peers Jay Aldeguer’s 5 compelling reasons: • Transforming idea into reality • Augment school allowance from parents
  • 6.
    • Saw agap in the souvenir industry • Help employees achieve their own goals • Provide security for his children
  • 7.
  • 8.
    Rags2Riches • Poor womenliving in garbage dump in the Philippines earning just 1,200 riels a day making rags from scrap cloth. • 8 young professionals got together to help the women through good product designs and marketing the products. • In 4 years, Rags2Riches has supported 400 women, recycled 510 tons of scrap cloth, and gave each woman income of $9 per day.
  • 10.
    Sri Lanka: TeaBag Manufacturer
  • 11.
  • 12.
    Roland Hortaleza -SPLASH • Talking to customers Roland Hortaleza found out there was steady demand for acetone and nail polish-removing solvents. With just $300 he repackaged acetone. When hair spray became “in” he developed his own product. • Today his company Splash is one of the biggest personal care companies in the Philippines.
  • 13.
    Roland Hortaleza -Splash Corp.
  • 14.
    Bright ideas runthe world. Can you imagine a world now without light bulbs, airplanes, cars, mobile phones, computers and Internet? Bright ideas for business can be generated by Drivers of Business Opportunity: 1. Perspiration (Competence) – this driver of opportunity comes from your talents, skills or hobbies.
  • 15.
  • 16.
    BANAPPLE • Started withsampling to friends and officemates for free pies and cakes baked in their kitchen. • Soon GJ, the husband was selling to friends and officemates and orders kept growing. He then resigned from his job to focus on the business. • Established first bakeshop called Banapple in 2007. Today it has 9 branches and very successful.
  • 19.
    Nicole Whisenhunt  Startedas a hobby making chain necklaces in 2002.  Initially sold the necklaces to classmates in college. In 2009, started a company using new and better product designs.  Today, distributes the products in 18 locations including the Philippines, Singapore, Spain, New York, and Las Vegas.
  • 20.
    Boni Comandante –Buhi Worldwide • Boni Comandante was amazed when the fish he placed in an open cooler without water was still alive after several hours. He researched about this marvel and has since developed a technique that puts fish to sleep while being transported without water. • His method has become a big thing in the live fish transportation market.
  • 21.
    Boni Comandante -Buhi Worldwide
  • 22.
    Nina Halos –Vital N • Nina Halos addressed the problem of food shortage by developing the world’s first safe and bacteria-based biofertilizer, Vital N. It is environment- friendly, economical, and guarantees higher yield. • Her company Amichem Corporation is the first biofertilizer manufacturer in the world.
  • 23.
    Nina Halos –Amichem Corp.
  • 24.
    Examples of BrightIdeas Turned to Business • Water-refilling stations – although good filtration, iron pipes are dilapidated. • Bottled iced tea – alternative to high-calorie soda drinks • Events organizer – suits busy hosts who want hassle-free party.
  • 25.
    Group Work Write themnow! It’s a start for your own Enterprises. What are your bright ideas that you can turn into a product/service that will add value to your target end-user? Focus now on which of these ideas you love to do and what you’re good at.
  • 26.
  • 27.
    Franchising in thePhilippines • started 1995, 1000 brands NOW • 1 billion pesos in taxes. • 90% success rate vs. 25% in retailing industry • 1 million Filipinos employed
  • 28.
    What is NicheMarket ? • A niche market: is the subset of the market on which a specific product is focused. The market niche defines the product features aimed at satisfying specific market needs, as well as the price range, production quality and the demographics that is intended to impact. It is also a small market segment. For example, sports channels like STAR Sports, ESPN, STAR Cricket, and Fox Sports target a niche of sports enthusiasts.
  • 29.
    What’s a nichemarket? Advantage of niche market is you do not compete with existing players especially if you are just starting. No need to play the lowest price game just to attract customers. • Restaurant in Luzon Shell Station
  • 30.
    7 Steps forDefining Niche Market • 1. Make a wish list. With whom do you want to do business? Be as specific as you can. Identify the geographic range and the types of businesses or customers you want your business to target. • 2. Focus. Clarify what you want to sell, remembering that a) you can’t be all things to all people and b) smaller is bigger. Your niche isn't the same as the field in which you work. For example, a Identify the most important lessons you've learned in life. • 3. Describe the customer’s worldview. The best way to do this is to talk to prospective customers and identify their main concerns. • 4. Synthesize. • At this stage, your niche should begin to take shape as your ideas and the client’s needs and wants coalesce to create something new. • 5. Evaluate. • Now it’s time to evaluate your proposed product or service against the five criteria in Step 4. Perhaps you’ll find that the niche you had in mind requires more business travel than you’re ready for. That means it doesn’t fulfill one of the above criteria—it won’t take you where you want to go. So scrap it, and move on to the next idea. • 6. Test. • Once you have a match between niche and product, test-market it. “Give people an opportunity to buy your product or service—not just theoretically but actually putting it out there,” • 7. Go for it! • It’s time to implement your idea. For many entrepreneurs, this is the most difficult stage. But fear not: If you did your homework, entering the market will be a calculated risk, not just a gamble.
  • 32.
    Kenneth Cobonpue –Interior Crafts • After his studies, Kenneth returned home to manage Interior Crafts, the family furniture design and manufacturing firm. Kenneth added his own style by combining modern design with natural fibers and materials as alternative to western design. • Today his clients include Angelina Jolie and Brad Pitt and his creations were featured in the movie Ocean’s Thirteen.
  • 33.
    Kenneth Cobonpue -Interior Crafts
  • 34.
    Consultant - NaturalifeAsia • Organic health supplements products 1. Single ingredient – one plant 2. Multiple ingredients – many plants • Market: Persons vs. Companies • Client company, AIMG, now biggest buyer of Naturalife Asia products in the whole world.
  • 35.
    How to differentiateyour Business SMEs?
  • 36.
    MAGNIFY How do youMAGNIFY something that is already in the market? • ADDING INGREDIENTS/MORE VALUE – toothpaste with flouride • STRENGTHENING – doublestitched denim pants • ENLARGING/THICKENING – LCD TV
  • 37.
    MINIFY HOW DO YOUMINIFY products that have been bought regularly? • MAKING SMALLER – thin mobile phones • REDUCING/SHORTENING/MAKING FASTER – Fedex overnight delivery • Other ways to MINIFY – OMIT/LIGHTEN – Coke zero, Diet colas SPLIT UP – 2- door refrigerator/freezer
  • 38.
    SUBSTITUTE HOW DO YOUSUBSTITUTE? USE ANOTHER INGREDIENT/MATERIAL – crown of softdrink bottle replaced corks USE ANOTHER PROCESS – cook seafood balls in seafood broth not oil. THINK “WHO OR WHERE ELSE?” - outsourcing
  • 39.
    S = Px Q x F SALES equals PRICE x QUANTITY x FREQUENCY Mr. L – an affordable price in a steady quantity and on a regular frequency Product: hair clips, pins, combs Price: $1.15 a piece (C market) Sales: $115 per day Store: 100 How to Estimate the Market Volume ?
  • 40.
    Tess Ngan Tian– LOTS’A PIZZA Sales Estimation Daily traffic count 5,000 X 0.03 (3%) Potential customers 150 Average spending per X 3.39 customer (in dollars) Estimated daily sales (dollars) 508.60 Number of foodcarts in area ÷ 3 LOTS’A PIZZA share of wallet $169.55 Should Start the Enterprises or not ?
  • 41.
    Tess Ngan Tian– LOTS’A PIZZA
  • 42.
    Happy Ongpauco andAllana Montelibano – Boutique Bed/Breakfast • The two ladies put up The Boutique Bed and Breakfast, the first luxury bed and breakfast that offered ultimate personalized services, so personalized guests can choose room scents, etc. • By giving discriminating customers what they wanted, Happy and Allana added value to their rooms and distinguished themselves from other hotels in Tagaytay.
  • 43.
    Happy Ongpauco andAllana Montelibano - The Boutique
  • 44.
    • Toothpaste 1:For parents who want whiter teeth and prevents decay to have a strong teeth in old age. • Toothpaste 2: With nice kiddie flavor and colorful packing so for kids. • Toothpaste 3: Guarantees fresh breath so for 2 young adults. “FIT” THAT CUSTOMERS WERE LOOKING FOR IN RESTAURANT:
  • 45.
    Shell Station inSouth Expressway
  • 46.
    I first classified(segmented) who my Customers were: • Busy commuter transients traveling along the local expressway. • Middle-class neighborhood residents along the traverse of expressway. • Leisure/vacation travelers on the way to the South Luzon provinces.
  • 47.
    I then askedmyself that if they are regular travelers, what are their needs? • Quick-service meal • Food on the Commute • Pambaon (school, vacation) • Pasalubong
  • 48.
    Knowing my competitionand what they’re offering, I took the challenge, why buy from me? • Fill hunger • Lessen anxiety • Save time and energy – too tired to cook • Convenience – gas and eat at one place • Comfort – cool and clean rest room • Curious – recommended • Save money – too expensive at the malls • A change – tired of usual fastfoods
  • 49.
    Eventual FIT forrestaurant is any or all of the following: • Quick-service Filipino meal • Food ready to eat or heat • Not fast food • Your kitchen away from home
  • 50.
    Barbecue • Dine- in •Snacks on the commute • Vacation foods/Kid’s food Take-out meals • Hurried and tired commuting workers who have no time to cook but still want to eat at home • Gift for family/Food for vacation trip • School/ home breakfast meal Does the PRODUCT FIT what my customers are looking for?