Analyzing Entrepreneurial Opportunities

The provided assignment delves into the realm of entrepreneurial opportunities, examining their characteristics, earning differentials, and the role of creativity in business idea creation. It references various books, journals, and online resources to provide a thorough understanding of entrepreneurial opportunities, including prior experience, social networks, and levels of entrepreneurial intentions.

Entrepreneurial
Opportunity

Table of Contents
INTRODUCTION...........................................................................................................................1
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Entrepreneur is a person who is willing to take risk in the hope of gaining profit and
ability to grab available opportunities in marketplace in the best manner. However, their main
objective is to expand their business across local or national arena in order to generate maximum
revenue by satisfying needs of desired customers (Block, and Wagner, 2010). This assignment is
going to be segregated into three equal sections for introducing new business idea in the
European market by considering all relevant factors which affect the opening of an enterprise.
Marketing strategy, target market, customers, financial plan, required resources and all other
modes of gaining profit are also outlined in this project.
New business idea
An entrepreneur is an individual whose main motive is to come up with amazing ideas
which differentiate them from their competitors and succeed in acquiring attention of customers
of various age groups (Dimov, 2011). Along with this, one of the major reasons behind
introducing new business idea is to gain maximum income by satisfying needs of customers.
As an entrepreneur of a new business I am going to introduce the most effective business
which plays a major role in beauty of male and female that is “Cosmetic products”
manufactured with the use of “natural and organic” raw materials. Hence, impressive name of
this association is “nature love”.
Basically, one of the major reasons behind establishing this business is to enhance the
overall personality of people residing in UK in order to raise their standard of living. In fact,
products are made up with natural ingredients without having the use of any chemical and try to
prevent natural beauty of every individual. Major quality of offering cosmetic products is that it
is made up with natural materials at reasonable price which is affordable by middle and lower
class family. Along with this, it helps men and women both in enhancing their beauty as well as
help in maintaining their natural look without harming their skin (Ekpe, Mat and Razak, 2010).
However, perfect businessmen know the way to grab available opportunities from marketplace
by analysing overall situation and scenario.
Uniqueness of introduced idea:- Skin products which are offered by the selected firm are purely
organic and produced with the use of natural ingredients. Because of this; it is free from different
types of chemicals. Apart from this, one of the major things which makes this business idea
unique is that it is suitable for every type of skin either rough, dry, oily or so forth.
1

Along with this, individuals of different age groups can use without any fear of reaction
because products are connected with nature love (Foo, 2011). Moreover, entire cosmetic items
are manufactured by expertise or experience person who is having a great knowledge about all
these things in order to remove any chance of skin damage.
Target market:- According to survey report it has been identified that mostly female are worried
about their skin but now-a-days men's are also equally caring for their skin in order to maintain
their personality in society. But beauty products are mainly used by youngsters for maintaining
their outer looks so that they can able to attract other person. In fact, beauty of human body is
indispensable part as first impression is made for any individual with their outer looks
(Heinonen, Hytti and Stenholm, 2011). Thus, it is analysed that young girls and boys whosoever
is lying in age group of 20 to 40 are main players who is using most of the beauty products.
Therefore, target market for selected business is nearby colleges, office girls or boys, industrial
areas where maximum number of companies are established, mid of marketplace, crowded
region, nearby residence.
Methods of contacting customers:- World is becoming more modern due to which number of
advanced technology get emerged at marketplace which helps newly introduced business idea to
make a contact with different customers. For example; usage of internet through social media,
advertisement in newspapers, magazines and so on. After targetting market
Instead of all this their main objective is to focus on their clients on the premise of their
age, area, way of life, capability level, sex, occupation, family foundation, status and so forth.
This is imperative for a business person is to concentrate on their current clients and afterwards
make new purchasers who intrigued to buy their items and administrations. Thus, after focusing
on their potential clients its time to promote their beauty items with the help of effective methods
such as; by conducting impressive events and different online strategy. As a entrepreneur it is
essential to implement research program for identifying new and wanted purchasers who willing
to buy their online items (Quan, 2012).
Hence, one of the major technique for connecting with desired customers is to use
advanced technology that is social media as well as design splendid brochure which consist of all
the necessary information related with cosmetic items.
Identification of consumer want:- Before offering different types of beauty products,
managerial team of an association need to determine choice, wants, requirement of various
2

customers on the premise of several age groups. In fact entrepreneur is responsible to guide their
team members towards identification of customer wants or needs in order to design or
manufacture items as per their demand or want. Basically, profit and goodwill both the term is
only earned by satisfying requirements of consumers.
Two themes and their relation with business idea
Opportunity is a term which means grabbing a chance of development or growth at
marketplace as well as to know how to gain advantageous from current situation by fulfilling the
demand of different consumer (Renko, Shrader and Simon, 2012). Thus, two themes are
highlighted in this assignment for determining issues or barriers which might take place while
introducing a new business at European marketplace. Basically, entrepreneurial opportunity is a
term which is signifies as a circumstances in which fresh products or services is going to offered
by businessmen and organizing an effective tools in order to introduced in best manner.
Consequently it has been understood that opportunity creation and discovering is two
different terms which shows that success chance is either create by entrepreneur or discovered.
Therefore, two effective or appropriate opportunities utilized by businessmen is either discovered
or creates which is discussed as follows:-
Opportunity discovered:- In the beginning of introduction process when an individual is
thinking about new idea to proposed it at marketplace then it is known as discovering phase in
which an entrepreneur is going to discover something new. Thus, according to selected firm
designing of creative or different cosmetic items is stage in which entire team is engaging in
discovering by accumulating necessary data or information. Along with this thorough various
evidences or factors before manufacturing unique items. Hence, it has been understood that
discovering theme is all about identifying or searching something unique from existing
commodities by using brain, talent, skills, entire knowledge which is gain throughout the life
(Short and et. al., 2010).
Opportunity creation:- On the other hand when entrepreneur is going to design
opportunities as per their own with the use of available materials then it is known as creation of
opportunity. For example; after discovering new or fresh business idea its time for designing
qualitative products by creating opportunity with the help of available natural raw materials.
Thus, this process is going to occur after discovering process. Successful entrepreneur have a
ability to create chances of gaining benefits by considering necessary facts or figures as well as
3

with the identification of necessary demand. In cosmetic industry number of opportunities are
identified by entrepreneur for establishing a safe or healthy surrounding for overall society and
tries to manufacture organic beauty products by grabbing opportunities of natural items such as
green leafs, aloe-Vera, honey and so on (Tang, Kacmar and Busenitz, 2012).
By concluding both of these opportunities is consider as an idea which is introduced by
entrepreneur and later on it may discovered unique thoughts for capturing attention of customers.
Along with this trying to facilitate them in a best manner by coming up with creative opinion.
After that opportunity creation take place when they are going to use available raw materials or
ingredients in converting their ideas in finished goods in order to gain maximum benefits. Hence
discovery is a initial process and then creation is following it.
For example; in referred business entrepreneur is coming with idea of introducing
distinct of cosmetic products such as; face wash, cream, face powder and so on but then he/she is
going to grab benefits of natural ingredients that is known as creation of opportunity.
Development of business idea
After introducing idea of designing cosmetic products, managerial team is responsible to
enhance their idea and need to encourage it by following appropriate steps and methods. Thus,
for every business, it is indispensable to grow their new thoughts in order to seek attention of
maximum number of clients towards their items and administrations (Vaghely and Julien, 2010).
Hence, there are different stages which supports in making new business thought of beauty
products that are discussed as per following:
Creation:- First and foremost step is to to brainstorming which is seen as a key concept
because it supports in capturing minds of consumers. At this point entire group of gathering
individuals will break down that if any one utilized this thought prior and then afterwards that
they request creating these products and ventures.
Research- It is the second stage in which group or gathering individuals short rundown
the business thoughts needs and needs (Wang, Ellinger and Jim Wu, 2013). After the
endorsement of this idea, this will send it to the examination segments process. It will
incorporates research of market, new items creation, investigate the premium and decision of
wanted clients, desires of cost. At that point all the market division and clients focused and
thought will push ahead.
4

Hence proper process is required to use while enhancing new idea of cosmetic products
because it will cover all the necessary factors which have a greater influence on development and
supports in removing issues or barriers (Wood and McKinley,2010).
Operational plan:- After developing an effective business plan across the local and national
region then its time to plan an impressive strategy for manufacturing department so that they can
produce or design goods as per consumer demands. Along with this required to gathered all the
necessary ingredients whatever is required while formulating natural beauty products. They need
to gathered information related with customer choice, current trends, competitor designs and
various other things which affects operational department of an enterprise.
Resources:- Assets is indispensable for every business either small or large because products
business is run with the help of essential resources such as; land or building, labours, raw
materials, ingredients, money and various other things which is used by company while running
their entity. Thus, for cosmetic industry various resources that is needed are; natural substance
like green leafs of different plants, organic items like turmeric, honey and various other things
(Break Even Point, 2017).
Marketing plan and strategy:- An association need to plan or design impressive schemes to
promote their products across international borders for gaining attention of customers. Therefore
they need to adopt various effective methods of promoting goods or services offered by company
in order to maximize their sales volume and wish to earn high return on their initial investment
(Consumers are changing their purchase behaviours, 2017). Hence, various schemes which is
adopted by selected firm is detailed as follows:-
Social media:- One of the useful or most appropriate techniques for today's generation
because youngsters are too much addicted towards modern equipments and having their profile
on social sites. Thus this mode is seen as a most effective tool for gaining attention of maximum
number of girls or boys by uploading impressive advertisement on these sites such as; Facebook,
Instagram, twitter and so on.
Magazines:- Amazing quotes in famous magazines is also act as a effective tool in
promotion of products or services offered by them.
Brochure:- It is a splendid document consist of all the necessary information related with
beauty products as well as highlight its uniqueness with the use of images.
5

Apart from this before implementing marketing strategies an organization need to
consider cluster of marketing mix which helps an association making effective decision because
it consist of traditional and modern P'S.
Assessment of competitors:- Cosmetic industry is growing in a rapid way due to increase in
consumer demands towards beauty items and they are becoming addicted towards these products
to enhance their personality or look. Thus because of this number of companies are coming up
with creative commodities and introducing close substitutes such as; shades in nail paints, brands
in face wash, creams and so on. Therefore, major competitors in beauty industry are; L'oreal,
Maybelline, Avon, Rimmel etc. which are having number of location across the world. Hence,
before establishing cosmetic company they need to study strategy or schemes of their
competitors for making items different from them (COSMETIC PRODUCTS, 2016.).
Financial plan:- Capital is seen as a lifeblood for success of an association because overall
business activities are accomplished with the support of fund. Thus, it is essential for accounting
team of selected firm is to prepare an accurate or corrective budget which shows the
expenditures that is going to incurred in an enterprise. Finance department of an organization is
responsible for framing official document consist of previous or current records of income
incurred in a business and also highlight earned revenue.
Modes of acquiring profit:- Entrepreneur is establishing new business for gaining maximum
income by satisfying needs or demands of customers. In fact number of tools or techniques are
adopted by organization for earning maximum profit such as; gaining customer trust or loyalty,
using promotional methods to increase their sales, enhance the quality of products, come up with
numerous of alternative, introduce different shades or options of cosmetic items and so on
(Furgison, 2017). Additionally, use suitable strategies and theories to remove available issues or
barriers of profit gaining.
Break-even point:- According to this strategy an organization is states at that points whereas
total cost and total revenue meets or remain equal. It means company is not facing any loss or
gain and opportunity cost is paid as well as fund have received the risk. Thus , in this situation
organization is free from loss or profit.
CONCLUSION
From the above project it has been summarised that establishing a new business is not an
easy task which requires experience, talent, entrepreneur skills, ability to take risk and various
6

other factors that affects a businessmen while introducing a new corporation. This assignment is
also focussing on the same and coined one of the effective idea that is implement a cosmetic
company who is offering a natural or organic products. Thus, it covers all the necessary elements
which are playing a major role in creating a successful by fulfilling the needs or demands of
desired customers.
7

REFERENCES
Books and Journals
Block, J.H. and Wagner, M., 2010. Necessity and opportunity entrepreneurs in Germany:
Characteristics and earnings differentials.
Dimov, D., 2011. Grappling with the unbearable elusiveness of entrepreneurial opportunities.
Entrepreneurship Theory and Practice. 35(1). pp.57-81.
Ekpe, I., Mat, N.B. and Razak, R.C., 2010. The Effect of Microfinance Factors on Women
Entrepreneurs' Performance in Nigeria: A Conceptual Framework. International
Journal of Business and social science. 1(2).
Foo, M.D., 2011. Emotions and entrepreneurial opportunity evaluation. Entrepreneurship
Theory and Practice. 35(2). pp.375-393.
Heinonen, J., Hytti, U. and Stenholm, P., 2011. The role of creativity in opportunity search and
business idea creation. Education+ Training. 53(8/9). pp.659-672.
Quan, X., 2012. Prior experience, social network, and levels of entrepreneurial
intentions. Management Research Review. 35(10). pp.945-957.
Renko, M., Shrader, R.C. and Simon, M., 2012. Perception of entrepreneurial opportunity: a
general framework. Management Decision. 50(7). pp.1233-1251.
Short, J.C and et. al., 2010. The concept of “opportunity” in entrepreneurship research: Past
accomplishments and future challenges. Journal of Management. 36(1). pp.40-65.
Tang, J., Kacmar, K.M.M. and Busenitz, L., 2012. Entrepreneurial alertness in the pursuit of
new opportunities. Journal of Business Venturing. 27(1). pp.77-94.
Vaghely, I.P. and Julien, P.A., 2010. Are opportunities recognized or constructed?: An
information perspective on entrepreneurial opportunity identification. Journal of
Business Venturing. 25(1). pp.73-86.
Wang, Y.L., Ellinger, A.D. and Jim Wu, Y.C., 2013. Entrepreneurial opportunity recognition: an
empirical study of R&D personnel. Management Decision. 51(2). pp.248-266.
Wood, M.S. and McKinley, W., 2010. The production of entrepreneurial opportunity: a
constructivist perspective. Strategic Entrepreneurship Journal. 4(1). pp.66-84.
Online
Break Even Point, 2017. [Online]. Available through<http://www.101computing.net/break-even-
point/>.
Consumers are changing their purchase behaviours. [Online]. Available
through<http://cosmeticschinaagency.com/10-trends-chinese-consumers-cosmetics/>.
COSMETIC PRODUCTS, 2016. [Online]. Available
through<http://analabs.com.sg/services/cosmetic-products-2/>.
Furgison, 2017. [Online]. Available through<https://articles.bplans.com/14-business-resources-
every-entrepreneur-should-know-about/>.
8

9

10

11