Recognize a Potential Market

• The creation of an entrepreneurial ideas leads to the identification of entrepreneurial opportunities, which in turn results in the opening of an entrepreneurial venture.
• entrepreneurial mind frame - This allows the entrepreneur to see things in a very positive and optimistic way  in the midst of difficult situation. Being a risk - taker, an entrepreneur can find solution when problems arise.
• entrepreneurial heart frame - Entrepreneur's driven passion, they are attracted to discover satisfaction in the act and process of discovery. Passion is the great desire of an entrepreneur to achieve his/her goals.
• entreprenurial gut game - This refers to the ability of the entrepreneur of being intuitive. This also known as intuition. The gut game also means confidence in one’s self and the firm believe that everything you aspire can be reached.
• changes in the environment - Entrepreneurial ideas arise when changes happen in the external environment. A person with an entrepreneurial drive views these changes positively.
• External environment refers to the physical environment, societal environment, and industry environment where the business operates.
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  Climate - the weather conditions.

  Wildlife - includes all mammals, birds, reptiles, fish, etc., that live in the wild.

  Natural resources - such as minerals, forests, water, and fertile land that occur in nature and can be used for economic gain.
• Political forces - includes all the laws, rules, and regulations that govern business practices as well as the permits, approvals, and licenses necessary to operate the business.
• Economic forces - such as income level and employment rate.
• Sociocultural forces - customs, lifestyles and values that characterize a society.
• Technological environment - new inventions and technology innovations.
• The Suppliers are the one that provide something that is needed or wanted. For example, if the supply and services being offered is unstable or keep. The intensity of the threat is strong in this kind of the competitive force in the industry.
• Substitute products means anything that takes the place or function of another. For example, the consumers decide to use margarine as a substitute for butter. In case the price of butter increases, preferably the consumer will gradually switch to margarine. 
• Rivalry among existing firms is a state or situation in which people or groups are competing  with each other. For example, it depends on the Marketing strategy of your competitor, like giving freebies and special offers.
• A potential new entrant is defined as the one who enters something. For example, the level of capital requirements, if the business requires huge capital, new entrants should decline to join the business. This gives a threat to the business.
• The buyers are the one that pays cash in exchange to your goods and services. For example, the influenced of the price or in the bargaining strategy. The buyer has a strong and magnified bargaining power.
• past experiences - The expertise and skills developed by a person who has worked in a particular field may lead to the opening of related business enterprise.
• people's interest - The interest, hobbies, and preferences of people are rich source of entrepreneurial ideas. Like the increasing number of Internet Café at present could be led to the strong attachment of young people to computers.
• Government’s thrust, programs, and policies - The priorities, projects, programs, and policies of the government are also good sources of ideas.
•  Technological discovery and advancement - A person with entrepreneurial interest sees possibility of business opportunities in any new discovery or because of the use of latest technology.
• Competition – it is the act or process of trying to get or win something.