2 ENTRE- EXAM 3RD QUARTER

Finding Approach

It involves scanning the environment for information to provide ideas for starting up a business. This approach assumes that business opportunities exist “outside” of the entrepreneur.

Sociocultural

Changes in social conditions such as educational needs, housing needs, food preferences, leisure, lifestyles.

Technological Advancements

Changes in economic conditions that directly affect the business climate such as labor costs, unemployment rates, interest rates, inflation rates, imports/exports.

Industry Trends

Changes in the growth or decline of specific industries belonging to manufacturing, services, and agriculture sectors.

Environmental or Ecological Factors

Risks related to natural disasters, health pandemic

Political Situation

Changes in government policies and regulatory standards that directly affect the business.

Competitor moves

Increase/decrease in number of competitors, tactics of competitors that impact the business.

Suppliers

Increase in the number _______ that affect production and inventory levels

Increase of Substitute Products

Entry/exit of substitute products that affect competition.

STRENGTHS

The first component in the SWOT analysis is ________, namely the advantages of a company that is owned, which can provide benefits.

OPPORTUNITIES

that arise outside your company or project and can be used to make a difference to your ability to compete.

WEAKNESSES

which means the company's ________, can be compared with competitors, can also be a weakness that is considered currently internally.

THREATS

are negative factors from the environment that provide obstacles to the development or running of an organization and program.

Building Approach

It involves creating a business opportunity that does not exist in the environment. The business idea originates or builds on the entrepreneur’s creativity, talents, skills, prior knowledge and experience, personal network, and internal resources.

Opportunity screening

is the process of assessing potential business opportunities and selecting the best opportunity to invest in.

Viability

means that the business can start, grow, and survive

Feasibility

of the business means that it is achievable, practical, or workable given the resources and time you have to implement it.

marketing Plan

is a plan of the strategies that you will use to know your customers and how to attract them to buy your product or service.

Unique Selling Proposition USP

refers to a statement that describes the most compelling attribute of your product or service that sets it apart from your competitors.

UNIQUE SELLING PROPOSITION (USP)

• Refers to HOW YOU WILL SELL the product or service to your customers.

• After you create your VP, you have to figure out how to advertise or promote certain unique features of the product or service that you’re trying to sell.

Value Proposition

 is a definitive statement that clearly identifies the benefits or value that a product or service can offer to the customers.

VALUE PROPOSITION (VP)

•  states WHY A CUSTOMER SHOULD BUY a certain product or service.

•  The entrepreneur should bear in mind that a value proposition has to be direct in addressing the problems of the customers, should have quantifiable benefits, and should differentiate itself from the competitors.

Market segmentation

is the process of dividing the market into small homogenous groups.