Identifying Entrepreneurial Opportunities

This presentation explores the process of identifying entrepreneurial opportunities and evaluating market potential. It covers sources of entrepreneurial ideas, competitor analysis, gap analysis, and market research. The focus is on a specific business idea of a Mediterranean restaurant and bar.

CONFERENCE AND BANQUETING
MANAGEMENT
Identifying Entrepreneurial
Opportunities

Table of Contents
 Background Information
 Introduction To Business
 Competitor analysis
 Gap analysis
 Market Research
 Viability of the Business idea

INTRODUCTION
 Entrepreneurs play important role in weighing up the opportunities, personal capacities
and threats for translating an opportunity to the business idea.
 This pitch report will include evaluation of various sources of entrepreneurial ideas and
innovation.
 Explanations of rationale and market gap for specific entrepreneurial idea will be done
using relevant tools and techniques.
 Data will be presented in order to support gap analysis in evaluation of specific
entrepreneurial idea and it will be interpreted as well to provide evidence of market
potential.
 The SWOT framework will be applied and also evaluation of competitive and market
environment will be done.

Background information about those sources that
inspired entrepreneurial idea
There are various sources through which entrepreneurs get
their business idea from, and then they translate it into
successful business idea. Individuals can get
entrepreneurial ideas and innovation ideas from the
external and macro environmental. The entrepreneurial
ideas can be identified from the STEEP factors, which is
explained as follows:
 Social
 Technological
 Environmental
 Economical
 Political

Drucker's 7 sources of Innovation,
The sources of entrepreneurial ideas and innovation can be evaluated with the help of
Drucker's 7 sources of Innovation, which is explained as follows:
 The unexpected
 Incongruities
 Process Need
 Industry and market structure change
 Demographics
 Changes in perception, meaning and mood
 New Knowledge:

An introduction to your business idea
The business and entrepreneurial idea that has
been chosen is Mediterranean restaurant and bar. The
unique and innovative idea that can attract great
number of customer is its unique Cocktail drinks and
its unique American-Swedish menu that have the
touch of Asian influence as well. The name of the
new start-up business is “Eternity Restaurant and
Bar”.

Potential Customers and Target Audience
 The business will put special focus on targeting local people and tourists and people who
actively seeks restaurants.
 Special focus will be on the young adults having 15 K to 50 K income and who are looking
for the great time and great food and beverage.
 The general demographic segmentation of “Eternity Restaurant & Bar” are females and
males age of 18 to 50 having some or all of the University education.
 In addition to the local are people, the restaurant will also serve the party loving people
from the neighboring cities and tourists as well.

A competitor analysis that looks at the
competitive marketplace
Porter's Five Forces model can be used for effectively analysing the attractiveness of
the industrial environment from the new entrant perspective and it is given as follows:
 Threat of Substitute
 Bargaining Power of Suppliers
 Bargaining Power of Customers
 Threat of Existing Competitors
 Threat of New Entrant

Gap analysis and how entrepreneurs looks to
close the gaps.
From the primary market research results and outcomes, it can be concluded that there
exist a gap in the business idea and market potential. According to research results, it
can be seen that target customers like to have live singers and reggae bands at the
restaurant ambiance and environment, which was missed in the business restaurant
idea. This gap can be closed by recruiting singers and reggae bands for the “Eternity
Restaurant & Bar”. The another gap that was identified from the market research
result is that people would like to prefer “Champagne margarita” and “Imported wines
and whiskey” in the menu of hard drinks'. Thus, entrepreneur can close this gap by
providing these mentioned drinks and meeting the needs and wants of customers. The
entrepreneur also needs to focus on maintaining cleanliness and hygiene in the
restaurant and bar as it was another special concern of customers.

What is the situation now and what
is the future?
The restaurant and hospitality industry in the UK has undergone a period of significance
growth and development. Eating out is considered as the favourite and is most popular leisure
activity for the people of UK. In the year 2017, total expenditures from the customers on the
cafes and restaurants has reached approx to 88 billion British pounds. The number of
businesses in this industry is steadily rising and contributes approx 17.9 billion British
pounds. From the statistics, it is identified that total revenue from the UK restaurant industry
is 37.7 billion GBP. There are almost 86.6 K restaurants in the UK. Therefore, from the
secondary research results, it can be concluded that there is rapid growth and success in the
restaurant industry.

What are the objectives of business
idea and how do entrepreneur wish
to achieve them?
Goals and objectives of the entrepreneurial ideas is:
To keep gross profits margin at approximately at 50%.
To gain financial success that covers the total start-up investment
by the end of second year.
To improve the inventory turnover upto 200 turns by the next year.
To increase sales to more than £234,500 by the end of third year.

Market research to support viability and
identify market potential
The market research helps in providing valuable information to identify and
analyse market opportunities and probable pitfalls for the new business
ideas.
 Primary Market research
 Secondary Market Research

Primary market research
In the primary research, new data or information is collected directly by the
entrepreneurs by making use of different techniques, such as:
 Interviews,
 Surveys (online surveys through emails),
 Questionnaire,
 Focus groups,
 Conducting product and service test.

Secondary Market Research
Entrepreneur aims at conducting secondary market research which refers to collection of
important information regarding the needs of customers and put it together to get better
understanding of business. The secondary research can be collected from the already
published information from various sources such as books, internet, online statistics,
magazines, statistical reports and market research magazines, existing studies and surveys,
newspaper reports, government published data and published company reports (How to
Conduct Market Research for Your New Business, 2019). There are two methods for
conducting the secondary research i.e. quantitative and qualitative. In order to conduct the
market research for the new restaurant idea, online statistical and market research magazines
will be referred.

Why your business idea is viable
and workable ?
As per the market research which includes primary and secondary data that clearly reflect that
the restaurant industry is grows from last many years, such that, trough primary data
collection, it has been evaluated that variety of people prefer to enjoy meals and try to have
new food products, specially youngsters. That is why, as per primary research, the idea is
quite viable and by introducing new American- Swedish products to the customers will
increases the chances of making good reputation in market. Apart from this, it has been
analysed from the competitive analysis, there are so many brands in UK which provides new
food products with high rates, but Eternity Restaurant and Bar will provide new product in
low rates with different discount that helps to stay in the competition and also attract wide
range of customers towards it.

CONTINUE
Therefore, as per the market statistical data of restaurant industry, it has been analysed that
people change their preference as per new trends and by analysing the same, quoted restaurant
will also provide new and innovate products to their customers in order to meet the demand.
As the industry in growing and there is a wide scope as well. Moreover, through secondary
data, it has been evaluated that it is the growing industry and also provide different
opportunity to every individual in order to stay ahead, in the same way, Eternity Restaurant
and Bar also introducing new products that attract specially youngsters and make the idea
quite viable. Therefore, it has been evaluated that the entrepreneurial idea of introducing new
American-Swedish products in Eternity Restaurant and Bar with Cocktail is quite viable and
also helps to stay competitive in market as well.

CONCLUSION
 The above conduct report is based on the presentation pitch of the new business idea.
 The unique business idea can be identified from various sources of external and macro
environment.
 Porter's five forces model is being used for identifying the market gap.
 For the entrepreneurial ideas target customers are identified using through the demographic
and behavioral segmentation.
 The tangible and intangible features of the new business ideas are also discussed.
 Primary and secondary data is presented and interpreted to support the gap analysis in the
evaluation of market potential.

REFERENCES
 Mathooko, F. M. and Ogutu, M., 2015. Porter’s five competitive forces framework
and other factors that influence the choice of response strategies adopted by public
universities in Kenya. International Journal of Educational Management. 29(3).
pp.334-354.
 Meyer, S. B. and et.al., 2017. In the interest of food safety: a qualitative study
investigating communication and trust between food regulators and food industry in
the UK, Australia and New Zealand. BMC public health. 17(1). p.189.
 Muzychenko, O. and Liesch, P. W., 2015. International opportunity identification in
the internationalisation of the firm. Journal of World Business. 50(4). pp.704-717.