Section 2 From Idea to Opportunity Chapter 6

Transcript:Section 2 From Idea to Opportunity Chapter 6:
Section 2 From Idea to Opportunity Chapter 6 Identifying and Analyzing Domestic and International Opportunities Introduction In order to expand a venture, the entrepreneur should identify opportunities for domestic and international expansion. The distinction between foreign and domestic markets is becoming less pronounced. The pressure to internationalize is being felt in virtually every organization, including entrepreneurships. Opportunity Assessment Plan The key to a profitable domestic and international venture is to develop an idea that has a large, reachable market. An opportunity assessment plan differs from a business plan. Shorter than a business plan. Focus is on the opportunity, not the venture. The plan has no pro forma financial statements. It is the basis of the decision to act on a opportunity or wait. An opportunity assessment plan has four sections – two major sections and two minor sections. Opportunity Assessment Plan – Major Sections The first major section includes the following: A description of the product. The market need for the product or service. Specific aspects of the product or service. Products currently filling the need, features and prices. Competitive companies in the industry. Unique selling propositions of the product. The second major section includes the following: The market need filled. The social condition underlying the market need. Any available data to describe this market need. Size, trends, characteristics of the market. Growth rate of the market. Opportunity Assessment Plan – Minor Sections A third section answers the following questions: Why does this opportunity excite you? How does the product idea fit into your background and experience? What business skills do you have? What business skills are needed? Do you know someone who has these skills? The final section is a time line focusing on the following: Identifying each step. Determining the sequence of activities. Identifying what is accomplished in each step. Determining time and money needed at each step. Determining total time and money needed. Identifying the source of this needed money. Information Sources SCORE is a nonprofit providing free online and in-person assistance through training, consulting, and mentoring. Small Business Development Centers provide counseling, training, and technical assistance when starting a new venture. General information sources include the U.S. Chamber of Commerce Small Business Center. Many other valuable websites exist including The Small Business Investor Alliance , National Venture Capital Association, and the Collegiate Entrepreneurs Organization. Industry and Market Information Plunkett provides industry data, market research, trends and