CHAPTER 2

• What is the 3S?

  Seeking, Screening, and Seizing
• It is an entrepreneur's business idea that can potentially be one a commerical product or service in the future.


  Opportunity
• Essentials in Entrepreneur's Opportunity-Seeking

  1. Entrepreneurial Mind frame
  2. Entrepreneurial Heart Flame
  3. Entrepreneurial Gut Game
• This allows the entrepreneur to see things in a positive and optimistic way in the midst of a difficult situation.


  Entrepreneurial Mind Frame
• Entrepreneurs are driven by passion; they are attracted to discover satisfaction in the act and process of discovery.


  Entrepreneurial Heart Flame
• This refers to the ability of the entrepreneur of being intuitive; confidence in oneself.


  Entrepreneurial Gut Game
• Factors of Macroenvironmental Sources

  1. STEEPLED
  2. Industry
  3. New Discovery or knowledge
  4. Futuristic opportunities
• What does STEEPLED stand for?

  Socio-cultural, Technological, Economic, Environmental, Political, Legal, Ethical, and Demographical
• It represents the general environment where the entrepreneur can identify business opportunities.


  STEEPLED
• This is the source of current trend on what is happening where the future business will belong to.


  Industry
• These are the new trends that can be the core business model of a new venture.

  New Discovery or Knowledge
• These are projected new opportunities that can possibly affect the new business whole it is running.

  Futuristic Opportunities
• Factors of Micromarket

  1. Consumer preferences, interests, and perception
  2. Competitors
  3. Unexpected opportunities from customers
  4. Talents, hobbies, skills, and expertise
  5. Irritants in the marketplace such as deterrents, problems, complaints, and delays
  6. Location
• These are the current needs and wants of potential customers that should be discovered right away by a budding entrepreneur.

  Consumer preferences, interests, and perception
• Recognizing and understanding potential competitors will aid the entrepreneur to develop a product or service that is unique and will surely stand out from the competition.

  Competitors
• It may happen in unlikely situations, unlikely places, and with unlikely people.

  Unexpected opportunities from customers
• Business opportunities do not just come from outside forces, but also from within the entrepreneur.

  Talents, hobbies, skills, and expertise
• Entrepreneurs see opportunities in situations where there is recurring problem or sometimes when there is no more hope on solving the problem.


  Irritants in the marketplace such as deterrents, problems, complaints, and delays
• Entrepreneurs just have to look at their ecosystem and they will be able to spot a business opportunity right away.

  Location
• Methods of Generating Ideas

  1. Focus Group Discussion (FGD)
  2. Brainstorming
  3. Brainwriting / internet brainstorming
  4. Problem inventory analysis
• Screening the Opportunity: The main objective that the business will accomplish in the entrepreneur's life.


  Internal intent
• SCREENING THE OPPORTUNITY: It will address the compelling needs of the target market.


  External intent
• It refers to the entrepreneur's tolerance of business risks.

  Risk appetite
• This should only be devoted to worthwhile opportunities.


  Time
• This aims to assist entrepreneurs in ensuring that the opportunity that they will venture into is an attractive and feasible prospect.

  The Opportunity Attractiveness Test (OAT)
• Components of OAT: The entrepreneur should think of the reason for the business' existence.

  The "concept" and the "strategy"
• Component of OAT: It is simply defined as what the business should do in the future. 


  Vision statement
• Component of OAT: The value that the product or service will offer to the target customers or the satisfaction of the needs or wants of the customers. 


  Value creation proposition
• These are considered as the opportunity's critical success factors.

  Opportunity metrics
• It is the process of positively improving an existing product or service.


  Innovation
• 3 Types of Innovation

  1. Breakthrough Innovation
  2. Technological Innovation
  3. Ordinary Innovation
• Including inventions, this innovation occur infrequently as these establish the platform on which future innovations in an area are developed.

  Breakthrough innovation
• These are technological advancements of sn existing product of service.

  Technological Innovation
• Commonly originating from market analysis and technological pull instead of a technological push.

  Ordinary Innovation
• Product or Service Planning and Development Process

  1. Idea Stage
  2. Concept Stage
  3. Product Development Stage
  4. Test Marketing Stage