Discovering business opportunities Conceptual framework of entrepreneurship.
Business opportunities changes with environment. That’s to say, the economy and demography of an environment determines the depth of business opportunities in that environment. The demography here refers to the structure of the population.
A high growth in the population of children for example will require a high rate of educational facilitators and facilities. The presence of this younger generation creates a big platform for employment and business engagements. The presence of a University community in any location creates opportunities for engagement, the list goes on.
There is also the social environment and technological environment; changes in the environment create room for businesses opportunities. It is important to do a general survey of change before considering any location for Business interest. When you survey the market, it is important to look at the environmental sector and how the changes in the environment affect a particular product in the market, and then you will now be in a position to see the changes.
After these, identify the segment or target market and then you will do a detailed survey. This means looking at the population, that is, things that constitutes this market, their characteristics and behavior of potential consumers. When you talk of behavior, it refers to when the consumers buy, where they buy, their education, income and buying habit.
Opportunities available to the organization can be grouped into internal or external. If the opportunities arise from new process, new products, new techniques developed within the organization. If they emerge from the several exploitable circumstances available in the organization’s environment, then they’re external opportunities. The opportunity that needs to be exploited helps in generating the appropriate strategy for it’s exploitable.
Discussing the screening of the environment means identifying the criteria to be used to evaluate the opportunities, the skills that are needed in order to operate a business successfully, are dependent on the kind of business.
Here now, People often mistook business opportunities for business ideas.
The Differences between a business opportunity and business idea
A business idea is a concept for a product or service that currently does not exist or is not available in a market niche. It may be s brand new concept or radical innovation or an improvement to a current product or service or incremental innovation. The idea can be developed from a person’s experience or generated in a movement of creative insight.
On the other hand, a business opportunity is a strategic factor considered using strength, weakness opportunities and threats analysis popularly called the SWOT ANALYSIS.
It is the type of analysis that enables the entrepreneur to have a good understanding of its business as well as its markets.
And can also show potential investors that all options open to, or likely to affect, a business at a given point in time have been thoroughly examined.
Having differentiated the two above, let me quickly add that the start pointing as a new business creation process is called a business Idea. The ability to translate this idea to a viable business that solves a problem is called a Business opportunity.
A business idea despite how novel cannot be an opportunity if customers are not willing to pay for the value offered.
The hallmark of all things is that any business opportunity you are engaged to must be willing to solve people’s problem, that is adding value to them and then be able to create wealth for you in return. In simple terms, the value you added to the must be able to reward you. That is certainly what will sustain you in the business.
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