Report about Entrepreneurship and Innovation 2022

Running Head: ENTREPRENEURSHIP AND INNOVATION
ENTREPRENEURSHIP AND INNOVATION
Name of the Student
Name of the University
Author Note

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Executive Summary
The aim of this report is to establish a successful and innovative Business Idea.
Furthermore, it focuses on the methods used for the purpose of recruitment of employees and
procurement of raw materials. Finally, the focus shifts to Global market condition and market
acceptance. It will show a detailed study about the ways in which the funding is possible. At
last it will show the proper time to exit the business.

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Table of Contents
Introduction................................................................................................................................3
Discussion..................................................................................................................................3
Rationale behind selecting the particular product..................................................................3
Market Opportunity................................................................................................................5
Business Model......................................................................................................................5
Team building process...........................................................................................................8
Recruitment Process...............................................................................................................9
Funding Process.....................................................................................................................9
Growth Strategy...................................................................................................................10
Exit Method..........................................................................................................................11
Conclusion................................................................................................................................11

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Introduction
Entrepreneurship maybe defined as a dynamic process, which involves designing,
creating and providing a product or service in order to conduct a uniform business in the hope
to make normal profit for further conduction of business. The process also involves
innovation, which helps the business to acquire a Unique Selling Proposition in order to
differentiate from other homogeneous and heterogeneous forms of business.
Innovation is a process of developing a new method, product or service to create a
point of differentiation in the hope of changing the ways of the world. Any example of a
successful business involves Innovation. If the discussion is about the most successful
business then names such as Google, Amazon, Apple and Facebook comes to the mind. If we
study their business in details then we can understand that the base of the structure infuses
innovation, and one of the greatest innovations the world has ever seen. So, more unique the
innovation, more is the level of success. But it should be noted that there are two sides of a
coin. The other side of innovation is risk. Bigger the innovation bigger is the risk. The world
have seen either great startups fail due to many reasons, the process of execution went wrong
or the perception of the innovator did not match the perspective of the innovation.
Discussion
Rationale behind selecting the particular product
The chosen product is ‘Mastic’ based edible and body wash products. The basic
reason for choosing this product range because it can cultivated only in Greece. This is due to
the climate and weather in the region, which is only found in certain regions of the country.
On the other hand, Mastic Resin has numerous medical benefits. Some of the benefits of
mastic resin are as follows:

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a) Improves the digestive system of the human body
One of the benefits of Mastic Gum is it cures the abdominal pain, discomfort
and inflammatory issues of the body. Its unique chemical combination of
antioxidants and anti-inflammatory chemicals helps to fasten up the process of
curing the problems.
b) Cures Pylori bacteria
The mastic resin also possesses properties that helps to catalyze the effect of
antibiotics and killing helicobacter pylori bacteria. On the other hand, small
doses of mastic gum helps further prevention of these bacteria.
c) Treatment of Ulcers
Ulcer is one of the worst diseases in the world. Stomach ulcers diminishes the
density of the walls of the stomach. Further leading to formation of small
pockets in the stomach. Mastic resin helps to thicken the walls of the stomach
and cures the problem.
d) Treatment of inflammatory bowel diseases
The main reason behind bowel inflammation is due to the increased level of
IL-6 and C-reactive protein. The mastic resin contains properties that helps to
decrease the severity of bowel inflation. It checks the formation of Crohn’s
disease in the bowel and large intestine by washing away the floors of the
stomach.
e) Lowers Cholesterol

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The main reason for cholesterol is when the glucose level of the body
increases and concentration of glucose in the blood increases. Mastic
maintains the glucose level in the body and helps to reduce cholesterol.
f) Cures skin diseases
Mastic gum also contains properties, which clears excess melanin from the
body and cures problems like rashes, pimples, blackheads, whiteheads and
acne.
Products, which are to be manufactured, are as follows:
i) Mastic based capsules
ii) Mastic based syrup
iii) Mastic based ointment, face wash, soap and body wash.
Market Opportunity
The world has started to move away from artificial products. Due to mass awareness
of the side effects of artificial cures and the long term adverse effects of such alternatives the
demand for natural products have increased exponentially. The main markets of such
products are developed nations such as United States of America, France, Italy, Russia,
Germany and so on. Due to the high per capita income of the citizens of these countries, high
profit margins can be kept by creating limited supply in the market.
Business Model
The business model best suited for this type of product is production and export
business model. This business model is a twofold model divided into two parts:

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a) Procurement and Production
b) Export
a) Procurement and Production
The process of procurement and production will be done in Greece. The process is given
below:
i) Cultivation: Firstly, the mastic trees are to be grown over a large area. The
employment in this area will be expert farmers who have worked in the field for a
long period.
ii) Pesticide: A separate segment for pesticides are to be included. This is because the
mastic tree is prone to insects and pesticides which will tend to hamper the
production process.
iii) Collection: One of the most important part in the production process is the
collection of mastic resin from the trees. The process of procurement is very
unique where cuts are made at 45 degrees which maximizes the amount of resin to
be extracted from the trees.
iv) Drying: The process of drying has to be done naturally. This is because drying in
the sun helps to maximize the beneficiaries of the components present in mastic
resin.
v) Manufacturing- Then after collection of the resins products are to be
manufactured in the factories. The process shall require installing heavy
machineries for production and labs to balance the PH level of the products.

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vi) Packaging: The packaging of the products must be unique for two reasons i.e. the
packaging must be attractive enough to grab the attention of the customers.
Secondly, it must provide relevant information such as price of the product,
components used to manufacture the product, benefits of the product and
government license of the product.
The second phase of the business is the export process. This process will enable the
business to transfer the products beyond the domestic territory of the country. On the
other hand, the profit margins are also much higher than just selling in the domestic
vicinity. The process are as follows:
a) Website: As the product is playing in the global market, consumers will try to gather
information to the maximum before making the purchase. Therefore, a website must
be present to inform the customers about the components and benefits of the products.
The website will act as a portal to accept orders in masses.
b) Market Research: The most important portion of export is detailed market research to
reduce the probability of losses. This is because market research will enable the
company to identify customer profile and help the company to estimate the quantity
of products to be supplied in a particular area, district, state or country.
c) Package: Export packaging is completely different from product packaging. It will
enable the company to differentiate the products from other company’s products. This
will provide licensing, permissions and most importantly protection.
d) Product Sizing: This part is very important to manufacture the products accurately in
the right sizes to suite the customer. For instance, the product size in USA will always
be more than the size in France. This is because the physical size of individuals are
bigger in USA than France.

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e) Market Sizing: Another important aspect is the estimation of the market size. This
helps the company to allocate right quantities of the product. This can be done with
the help of marketing and advertising agency in the foreign country who will be to
estimate the market size of the product concerned.
f) Regulation and Monitoring: Regular monitoring has to be dedicated in the export
process as the process involves high risk and virtual contacts are to established to
track the progress of the products. This can be done with software’s like Google
Videos, SKYPE and others.
g) Sales Lead Generation: Events and Trade shows are to regularly attend to the
opportunities to be used for the benefits of the companies. For the particular product
the trade shows organized in pharmaceutical fields and departmental chain stores have
to be attended to acquire more sales leads.
h) Insurance: And lastly, to safeguard the interest of the company insurance must be
made regularly to avoid huge losses. This is because quantity (Large) exports are
made through ships and cargo, which travel on water. Therefore, when these cargo
changes currents across the ocean it is known that many ships have drowned while
transporting goods. Therefore, insurance helps to avoid losses.
Team building process
Building an effective team is one of the most crucial tasks to become a successful
entrepreneur. A successful team is the backbone of any organization. Every successful
company has the best team in the world. Therefore, the team will include the following:
a) Farmers and Cultivators: These employees will cultivate the plants and extract the
resins from the trees. They will be responsible for sun drying the resins and will
engage in transportation of the raw materials to the factory.

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b) Factory Labors: These ground level employees in the factories will directly engage in
melting, composing and packaging process. They will also engage in field like
labelling, packaging and transportation.
c) Scientists: Scientists will be required to test the quality of the product. As, natural
products have huge differences in PH level of the products they will help to neutralize
the toxic effects of the products.
d) Management Team: The most important part of the team who will be involved in the
decision-making process who will guide the company to its success.
e) Sales: Another important part of any organization is the sales team, which will bring
the money into the market. The sales persons will be Business-to-Business sales team
who will acquire bulk customers like supermarkets, hospitals, stockiest and
distributors which will help to increase profits.
f) Logistics: This part will be completely outsourced and third party, reputed export
companies will be contracted to transfer the goods across the borders.
Recruitment Process
For recruiting employees two process will be used: Traditional approach and Modern
Approach. To recruit the upper level employees in the field of Sales, Marketing and Finance
websites like jobzing.com and jobinathens.com will be used. For recruitment of ground level
employees such as cultivators and labors, labor unions and farmer unions will be contacted
for mass recruitment. Before these recruitment an efficient and experienced human resource
manager has to be employed who will regulate the whole process.
Funding Process
This part is the nominal part of the business, which acts as one of the crucial elements
of any organization. The funding options are as follows:

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a) Bootstrapping or Self-Funding: This process is a very effective and good option for
start-ups in the initial stages. The essence of this process is the profit incurred will
not be shared among anyone. On the other hand, the process is very risky, as the
losses will have to be borne by the sole funder.
b) Crowd Funding: Crowd funding is one of the latest process of funding a business.
Here the process involves a crowd-funding platform where the business will put up
the idea, information, process of generating profits among others. The amount of
funding should also be mentioned as per the requirement. This process should be
taken into consideration because they accumulated money will generate interest which
will help to build the marketing team alongside production. On the other hand, this
will not be a permanent liability to the company as they are just like equity
investments, which generates no guarantee of return from the market.
c) Angel Investment
Angel investors are generally big industrialists and business tycoons who
generally have excess amounts of money and have an acute interest in
startups. They are generally experienced and will provide their expertise,
which are generally of great value. In return, these angel investors takes away
a huge stake from the company.
d) Venture Capitalists
Venture Capitalists are professionals who manage funds and invests in huge
potentials. In this process, the money is invested in startups against equity and
tend to sell the shares at the time of issuing initial public offering.
e) Loans

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The most conventional process is taking bank loans. The money is provided
based on guarantee or mortgage. The money is provided on a fixed rate of
interest and the money received directly is added to the working capital.
Growth Strategy
The growth strategy involved will be conventional and steady in nature. The strategy
will be a small to big strategy. Initially the strategy will be directed to one or two countries.
Then after proper analysis of the market, the product will be increased in terms of quantity.
To manage the supply side production has to be increased to match the demand.
Exit Method
Exit from the business will be taken when the business will enter the decline stage of
the product life cycle and conduction of the business is resulting in huge losses.
Conclusion
From the above study, we can conclude that entrepreneurship and innovation are the
two pillars, which can lead to a brighter future. The above report contains the detailed study
of a startup idea. The idea is based on the geographical condition of Greece. The USP of
choosing such a product is due to the scarcity of the product and low global competition.