Value-Proposition

• • Value Proposition

  -is a business or marketing statement that summarizes why a consumer should buy a company’s product or use its service.

  -This statement is often used to convince a customer to purchase a particular product or service to add a form of value to their lives. 
• In creating Value Proposition, entrepreneurs will consider the basic elements:

  ⮚ Target Customer

  ⮚ Needs/opportunity

  ⮚ Name of the product

  ⮚ Name of the enterprise/company
• A tagline is a short statement that embodies a certain aspect of your brand or business. 
• • Brand Promise

  -A statement you make to your customers about what they can expect from every interaction with your brand.
• • Tagline

  -A slogan used in conjunction with a product or brand that is often catchy and fun, but might not be specific to the value you offer.
• • Unique Selling Proposition

  -Refers to how you sell your product or services to your customer.

  -You will address the wants and desires of your customers.
• (3’S OF OPPORTUNITY SPOTTING)

  Seeking

  Screening

  Seizing
• 1. SEEKING

  -is to search for that right chance in business, which is to find the need for product or service.
• • Internal/ Microenvironment

  -refers to the environment within the business.
• • Tangible Resources

  -are assets of the business that have physical appearance and form.
• Current Resources 

  -are used, applied or consumed within a short period or one year.

  -Ex: Cash, Accounts Receivable, Inventory, Short-term Investments, Prepaid Expenses
•  Noncurrent or Fixed Resources

  -are proportions whose usefulness or benefits extend beyond one year.

  -Ex: Cars and trucks, Land, Furniture, Buildings, Machinery
• • Intangible Resources

  -are assets of the business that do not have physical appearance of form.
•  Business Culture 

  – a collection of values, beliefs, principles and expectations learned and shared by employers, founders, stakeholders and members of the management.
•  Business Structure 

  – refers to the formal organizational arrangement of the business in terms of hierarchy of positions, flow of communication relationship of functional areas and production and marketing processes.
• • Methods of Generating Ideas:

  1. Focused Group Discussion (FGD)

  2. Brainstorming 

  3. Brain Writing/ Internet Brainstorming

  4. Problem Inventory Analysis
• Focused Group Discussion (FGD) -conducted by entrepreneurs with the assistance of a moderator to gather the views of selected consumers.
• Brainstorming 

  -activity similar to an FGD.
• Brain Writing/ Internet Brainstorming -exactly the same as brainstorming except that the channel used is not face-to-face but in writing or online.
• Problem Inventory Analysis

  -participants will just be identifying from the list given the compelling problem/s of a potential product or service instead of generating the ideas from them.
• SCREENING

  -is to check cautiously in order to select the best opportunity. 

  -The selection will depend on the entrepreneur’s internal intent and the external intent which will address the compelling needs of the target market.
• SEIZING

  -Is to grab or take the best chance to do the selected opportunity in business.
• 1. Breakthrough Innovation 

  -must be protected by patent, trade secret and copyright.

  -Ex: Internet
• 1. Technological Innovation

  -Technological advancement of an existing product or service

  -Ex: Wireless fidelity (WiFi)
• 1. Ordinary Innovation

  -Commonly originating from market analysis and technological pull instead of technology push.

  -Ex: Unlimited internet Plans of Telecommunication companies
• 4 STAGES OF PRODUCT DEVELOPMENT

  1. Ideal Stage
  2. Concept stage
  3. Product development stage
  4. Test marketing stage
• 1. Ideal Stage

  -The entrepreneur determines what are the feasible products and/or services that will perfectly suit the opportunity.
• • Concept stage

  -developed idea will undergo a consumer acceptance test.
• • Product development stage

  -stages validates the work done from the first stages to measure success in the commercialization of product or services. Focus is on designing, creating

  prototypes, and testing the product internally to ensure it meets quality standards and customer needs.
• 1. Test marketing stage

  -a form of market research, that collects valuable feedback and data to make informed decisions about refining and optimizing the product or service, thus reducing the risks associated with a broader launch.