TECHNO MIDTERMS

Entrepreneur

An innovator or developer who recognizes and seizes opportunities; converts these opportunities into workable/marketable ideas; adds value through time, effort, money or skills; assumes the risks of the competitive marketplace to implement these ideas; realizes the rewards from these efforts.

Entrepreneurship

practice of embarking on a new business or reviving an existing business by pooling together a bunch of resources in order to exploit new found opportunities

Technopreneur

An entrepreneur who uses cutting-edge technology to develop new business.

Technopreneur

an entrepreneur who involves himself in technological changes in producing goods and services for his organization.

Technopreneur

They are entrepreneurs who used “technology” as their driven factor in transforming resources into goods and services, creating an environment conducive to industrial growth

Technology developers

those who develop a unique technology capable of driving a new business (inventors)

Technology users

those who see a new technology development and understand how it can be applied to meet a market need (innovators)

Technology developers

Technology users

2 types of technology entrepreneurship

Technological Entrepreneurship

• It is simply entrepreneurship in a technology-intensive context

• It is a process of merging technology prowess and entrepreneurial talent and skills

Intrapreneur

Are individuals in organizations with high entrepreneurial characteristics.

Intrapreneur

an entrepreneur within a large organization with high entrepreneurial characteristics who strongly believes in his talent and ability and has a strong desire to create something using his own initiative and creativity.

Opportunity Analysis

Business Planning

Gathering Resources

Implementation

Scaling and Harvesting

5 Entrepreneurial Process

Idea generation

Idea screening

Concept Testing

Business Analysis

Prototyping

Test Marketing Commercialization

Monitoring and Evaluation

7 Technopreneurial process

Entrepreneurial mindset

A certain set of assumptions, understandings, and ways of thinking that motivates entrepreneurial conduct is known as an entrepreneurial mindset.

Positive Mental Attitude

Creative Mindset

Persuasive Communication Ability

Intrinsic Motivation and Drive

Tenacity and an Ability to Learn from Failure

ENTREPRENEURIAL MINDSET: 5 CHARACTERISTICS TO CULTIVATE

Schumpeter

argued that innovation comes about through new combinations made by an entrepreneur, resulting in

• a new product,

• a new process,

• opening of new market,

• new way of organizing the business,

• new sources of supply

Value side

customers value your innovation enough to pay more for it

cost side

the company produces the offering in a more efficient way

value

created for the firm and the consumer.

invention

• doesn't have commercial value but it may have in future

• requires interplay between a product offering (technology) and a market (people)

• provides better quality product at lower price which leads to higher standard of living

Product innovation

Process innovation

Service innovation

3 Types of Innovation

Product innovation

Change in how the product is noticed by the consumers (change in physical structure)

Process innovation

It involves a new or significantly improved method for the production or delivery of output that adds value to the organization.

process

interrelated set of activities designed to transform inputs into a specified output for benefits of customers

Service innovation

Involves products (intangible) that form an extended part of the product life cycle, from initial sales to end-of-life recycling and disposal

Design Phase

Implementation Phase

Innovation has two phases

Design Phase

marked by much divergent thinking and creativity, brainstorming, search for alternatives, etc.

Implementation Phase

• It requires a very different mode of management.

• It involves putting the chosen innovation to work

Radical innovation

It is about making major changes in something established. Focus is significant in relation to expected changing in the system.

Incremental innovation

• It is less ambitious in its scope and offers less potential for returns for the organization, but consequently the associated risks are much less.

• It consists of smaller endeavors, making than easier to manage than their larger innovation.

Products

Tangible item that is put on the market for acquisition, attention, or consumption

Services

Intangible item, which arises from the output of one or more individuals

Tangible

Assessing the quality of a product is very easy. Since most products are countable, touchable, and visible, a consumer can assess its durability by examining it

Intangible

A service is not something that one can feel or try out before paying for it.

perishable service

simply means that it’s short-lived. Ideally, such a service is consumed as soon as it is produced.

Team building

philosophy of job design in which employees are viewed as members of interdependent teams instead of as individual workers

Forming

Storming

Norming

Performing

4 stages of Team Formation

Forming

• High dependence on leader for guidance and direction.

• Little agreement

• Individual roles and responsibilities are unclear.

• Lots of questions about the team's purpose, objectives and external relationships

Storming

• Decisions don't come easily within group.

• Clarity of purpose increases but plenty of uncertainties persist.

• Cliques and factions form and there may be power struggles.

• The team needs to be focused on its goals to avoid becoming distracted by relationships and emotional issues.

Norming

Agreement and consensus is largely forms among team, who respond well to facilitation by leader.

Performing

The team knows clearly why it is doing what it is doing

Customers

• play the most significant part in business.

• actual boss in a deal and is responsible for the actually profit for the organization

• one who uses the products and services and judges the quality of those products and services.

Loyal Customers

These types of customers are less in numbers but promote more sales and profit as compared to other customers as these are the ones which are completely satisfied

Discount Customers

they are only a part of business when offered with discounts on regular products and brands or they buy only low cost products

Impulsive Customers

• These customers are difficult to convince as they want to do the business in urge or caprice

• They don't have any specific item into their product list but urge to buy what they find good and productive at that point of time

Need Based Customers

These customers are product specific and only tend to buy items only to which they are habitual or have a specific need for them.

Wandering Customers

These are the least profitable customers as sometimes they themselves are not sure what to buy

Customer needs

named and unnamed needs your customer has when they come in contact with your business, your competitors, or when they search for the solutions you provide.

Focus Groups

a market research technique in which you collectively interview a small group of people who represent your target audience

Social Listening

process of tracking and analyzing what is being said about your company or industry on social channels

Keyword Research

It can also give you valuable insight into what your customer needs from you, your business and your product. If you know how your customers are searching online and more importantly how they are searching for your company and industry, you can determine what they're looking for

Price

how much a business charges for its product or service

Quality

relates to the standard of the product or service being offered

Choice

many businesses have a range of products and/ or services available to suit different groups of customers. Customers have different needs and desires when buying items. They might want different styles or sizes, or even completely different products altogether.

Convenience

relates to something being easier, quicker or generally less hassle for customers.

Voice of the Customer

research method that's used by businesses to describe the needs and requirements of their customers

voice of the customer methodology

approach that businesses use to understand their customers' needs and expectations.

Customer Reviews

On-site Customer Surveys

Live Chat

Social Media

Website Behavior

Recorded Call Data

Online Customer Reviews

Off-site Surveys

Net Promoter Score

Focus Groups

Emails

Dedicated Feedback Form

VoC Techniques

value proposition

statement of the unique benefits delivered by your offering to the target customer

value proposition

hypothesis that your offering will bring certain values to a target customer

What your product/service is

The target customer

The value you provide them

3 components of value proposition statement

Emergent property

why your product is unique

Problem

Target Customer

Product =solution

Customer Development Triangle

Pretend to be the customer

Customer Interview Program

Lead user

QFD - Quality Function Deployment

Customer archetype

Market research methods for entrepreneurs

Concept testing

Cojoint analysis

Empathic design

Prototype/Beta testing

Methods that require professionals

whole product

Combination of all the things that give your customers a compelling reason to buy. This includes not only your core product, but also any services and ancillary products that augment it.

minimum viable product

Product launched to early adopters that has only the minimum set of features required to get feedback from potential customers

Eliminating

Consider if features donʼt add value.

Reducing

Consider ______ the features you must have but isnʼt that valuable

Raising

Consider __________ the features that differentiate you from your competition.

Create

Look to ________ new value factors your customers have never seen before.

Market

It is defined as the sum of all the buyers and sellers in the area or region under consideration (i.e countries, cities, community)

Market

It is the value, cost, and price of items traded as per forces of supply and demand in a market. The market may be a physical entity, or may be virtual

Environmental Scanning

The monitoring, evaluating, and disseminating of information from the external and internal environments to key people within the corporation to avoid strategic surprise and ensure the long-term health of the firm

Market analysis

A tool to identify and assess the attractiveness of business opportunity

Who are they?

Where are they?

What do they need?

How do they make their buying decisions?

Where do they buy?

How do you reach them with your marketing and sales messages?

How does market analysis help?

Determine the attractiveness of market

Find and identify new business opportunities

Targeting and dividing the market into niche

Positioning the products or brands in the mind of customers

Understand the dynamics of the market

Objectives of Market Analysis

Economic

GDP trends

Interest rates

Money supply

Inflation rates

Unemployment levels

Wage/price controls

Devaluation/revaluation

Energy availability and cost

Disposable and discretionary income

Technological

Total government spending for R&D

Total industry spending for R&D

Focus of technological efforts

Patent protection

New products

New developments in technology transfer from lab to marketplace

Productivity improvements through automation.

Political-Legal

Antitrust regulations

Environmental protection laws

Tax laws

Special incentives

Foreign trade regulations

Attitudes toward foreign companies

Laws on hiring and promotion

Stability of government

Sociocultural

Lifestyle changes

Career expectations

Consumer activism

Rate of family formation

Growth rate of population

Age distribution of population

Market Size

Total Annual Size

Current and future Market Size

Market Segment

Geography and location

Customer Segment

Market Trends

Identify the trends in market segment within which the product fits

If the market segment is growing and is projected to continue to grow, then it is upward trend

Upward Trend

If the market segment is growing and is projected to continue to grow

Market Growth Rate

Market condition

Sales growth of complimentary products

Product Life Cycle

Market Profitability

Potential profit

Factors that affect the market profitability

Industry Cost Structure

Key factors for success

Formulating strategies to develop a competitive advantage

Distribution Channel

Vendor to Consumer (Logistics)

Can be direct, or may include several interconnected intermediaries

Market Segmentation

Divides a market into well-defined slices

Consists of a group of customers who share similar set of needs and wants

Key Success Factors

Elements necessary to achieve marketing objectives
Access to essential unique resource

Ability to achieve economies of scale

Access to distribution channels

Technological progress

Marketer

The one who identifies the appropriate number of nature of market segment and decide which one(s) to target

Age

Sex

Income Education

Stages in life cycle

Social class

Occupation

Religion

Race

Demographic characteristics

Personality

Lifestyle

Psychological characteristics

Knowledge of product

Attitude towards product

Use of product

Response to product

Behavioral characteristics

Rural

Urban, rural, suburban

Region

Climate

City Size

Population Density

Geographic characteristics

Identify why a customer will buy your product

Define your target market through segmentation

Conduct Market research

Incorporate findings into strategic business decisions

How to perform market analysis?

Competitive Strategies

Strategies that strongly position the company against competitor and give the company strongest possible strategic advantage.

Building profitable customer relationships

Gaining competitive advantage

Analyzing their competitors

Competitive Strategies helps in: (3)

Over cost leadership

Companies try to achieve the lowest production and distribution cost.