DISCOVERING
OPPORTUNITIES FOR
VENTURE CREATION
Entrepreneurship I
2.04
Outside-In Analysis
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Look for needs in the marketplace then relate those
opportunities to your capabilities.
Understand what your competitors/the market is
doing.
Inside-Out Analysis
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Evaluate your capabilities then look at new products
or services they might be able to offer in the
marketplace.
Work Experience to identify
Opportunities
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Develop skills and get some valuable experience.
Try before you buy. If you’re considering an
industry, but your unsure.
It’s a great way to meet people who are in the
industry you want to be in.
You could find a mentor.
Better and more detailed understanding of what
customers want
Knowledge of competitors, pricing, suppliers etc.
Education to identify Opportunities
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Develops resourcefulness
Ensures skills needed to be successful
Continuing education for current trends
Importance of Personal Interest for
Entrepreneurs
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Hobbies and interests are also a rich source of
business ideas.
Don’t assume though, just because you like it doesn’t
mean there is a market for it.
Which experiences as a customer can
help you identify opportunities?
Look for examples of poor customer service
(complaints, product returns, etc).
examples suggest that there is an opportunity
to do something better, quicker or cheaper than the
existing products.
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Examples of where the idea came from:
http://www.tutor2u.net/business/gcse/enterprise_sources_business_ide
as.html
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Methods to determine opportunities
for product/venture creation
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What frustrates customers or users of this industry?
Looking at things that bug you, including not having
enough options or selection, not getting the product
or service quickly enough, and poor quality.
What should businesses be making, providing,
selling in this industry that many are not yet doing?
What will customers want in three – six months or a
year from now?
Source: Businessweek
Methods to determine opportunities for
product/venture creation (cont.)
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What have you experienced as a consumer of this
industry?
What does everybody think "won’t work" in this
industry?
What demographic changes are you seeing?
Keep a journal with ideas and answers to the
above questions.