Identifying Entrepreneurial Opportunities

This document discusses the various sources of entrepreneurial ideas and innovation, the market gap for entrepreneurial ideas, and includes a questionnaire for evaluating the market gap. It also covers the SWOT and PESTLE analysis in the context of overall business ideas.

Identifying entrepreneurial
opportunities

Table of Contents
INTRODUCTION...........................................................................................................................1
P1 Various sources of entrepreneurial ideas and innovation..................................................1
P2 Market gap for entrepreneurial idea..................................................................................3
P3 Questionnaire....................................................................................................................5
P4 Graphs and charts to present questionnaire response........................................................9
P5 SWOT analysis................................................................................................................13
P6 PESTLE analysis.............................................................................................................15
CONCLUSION..............................................................................................................................16
References......................................................................................................................................18
Appendix........................................................................................................................................19
Curriculum Vitae..................................................................................................................19

INTRODUCTION
Entrepreneurs considered as an individual who develop a new business and bearing most
of the risks along with enjoy their rewards and benefits every time. Entrepreneurs plays
significant role within the economy through using different types of skills and bring new ideas to
the marketplace. Therefore, entrepreneurship considered as an important driver of economic
innovation and growth. As entrepreneurs have lots of ideas to run business so that they can
become more important for people by providing them large number of job opportunities. On the
other side budding entrepreneur is going to establish fresh business which is Coffee Break Cafe.
This cafe is planning to have Organic Black Coffee with innovative music themes at cafe.
Furthermore, there will be different types of entrepreneurial ideas which follows Drucker's 7
sources model. Along with Porters 5 forces model will support business ideas of entrepreneur.
Questionnaire will conduct in order to evaluate market gap. Lastly, SWOT & PESTLE analysis
will get covered in context of overall business ideas.
P1 Various sources of entrepreneurial ideas and innovation
There are different types of start ups and business ventures which all are manage and
controlled by an entrepreneurs. All these ventures highly contributes among development of
country's economy. Within the UK there are ample number of business and lots of entrepreneurs
who are applying their new ideas to form unique business in a better way. Herein, virgin money
is very helpful for those entrepreneurs who are facing some financial issues (Baruch, and Vardi,
2016). Virgin money helps budding entrepreneurs by giving them financial services on time so
that they can continue their business without facing any issue at marketplace. Moreover, for
developing new business, entrepreneurs required to have innovative ideas by which they can get
huge achievement of their goals on time. By taking help from financial services (virgin money)
entrepreneurs able to run business successfully and achieve targeted objectives within a short
period of time. Some of the entrepreneurial idea sources are mentioned below:
Customer surveys:
It is considered as one of the most important source of entrepreneur idea that helps
entrepreneur to formulate new business by having purpose of giving effective quality of product
and services to end customers. Through conducting this types of survey an entrepreneur can get
have idea about people choice so that they can easily add few items accordingly. It will directly
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increase their sales and profit as well. In the case of Coffee Break Cafe to satisfying consumers
they are needed to conduct this survey so that they can understand entire preferences and tastes
of people at market.
Trade fairs and exhibitions:
According to this source entrepreneurs are able to develop and create unique idea towards
any kind of business. If entrepreneurs attend such kind of exhibitions and trade fairs they can
learn so many things and use different tools like newspapers, TV etc. for launching business
successfully. Herein, Coffee Break Cafe needs to review on these type of sources so that they can
get some idea to apply innovative ideas on business to achieve success.
Interest and hobbies:
In this source of entrepreneurial ideas can exist easily as it helps entrepreneur towards
managing business perfectly. It also represents particular hobby and interest of an entrepreneur
among their business. For example: budding entrepreneur going to launch Coffee Break Cafe so
that it shows his interest (Cascio, 2015). After this an individual will produce unique product
with innovative idea like Organic black coffee for giving satisfaction to consumers justified his
hobby.
Mass media:
This source of entrepreneurial ideas includes radio, magazine, internet and many more
such kind of factors. These type of sources helps an entrepreneur to learn about new concept for
making business effective. In regards with Coffee Break Cafe, they generally use this source to
achieve competitive advantages effectively.
In order to support above information Drucker's seven forces model of systematic innovation gas
been mentioned in beneath:
This model helps entrepreneur in order to develop several practical foundations that helps
to create effective ideas of running business successfully. This model consist different types of
sources, that are:
The Unexpected: According to the business scenario there are so many changes every
time in order to implements on several kind of innovative thoughts. Thus, unexpected failures
and success should not reviewed as an opportunities for a little change. Therefore, entrepreneur
who is establishing new business needs to observe entire marketing factors so that they can
sustain in market for long time.
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Process Need: Accordingly, it can be said that budding entrepreneur should more focus
on each and every task to resolve every issues. Through observing problems they can achieve
targeted goals and achieve innovative goals.
Incongruities: In this factor of respective model, there are so many business ventures
who do not have any plan for further business improvement and they fall due to unsatisfied
customers (French, and Rees, eds., 2016). Therefore, an entrepreneur required to know about
consumer's choice before launching innovative products at marketplace.
Demographics: Now a days, large number of firms and business ventures are influenced
due to demographic change. These assorted changes identify entire value of goods and services.
In relation with Coffee Break Cafe, entrepreneur needs to target potential consumers first so that
they can buy their desired product from them. These changes mainly based upon age, education,
employment that could be influence task of business. For this entrepreneur needs to have few
tools and techniques so that can frequently apply them due to causes of changing environment.
Industry and Market structure change: In this stage, sources and structure of business
could be stable for some years. For maximisation of entire business value an entrepreneur needed
to have so many tools and techniques to attainment of targeted goals or objectives.
New Knowledge: It is considered as scientific technological source of innovation which
has been never reviewed by business. In regards with Coffee Break Cafe, an entrepreneur
required to change their supply chain to selecting or hiring best employees for their business. It
helps them a lot to gain successful growth of business.
Changes in perception: According to this factor, each and every individual behave
differently with each other. So that perception of people in regards with any goods and services
could be different (Kirton, and Greene, 2015). In context of Coffee Break Cafe and
entrepreneur, needs to involve socially so that this business will grow frequently. It will develop
good image of this cafe and also attract the large number of consumers.
P2 Market gap for entrepreneurial idea
For establishing or launching any new business into the market, this type idea commonly
comes from the entrepreneurial mind set by which they can achieve desired goals. In this report
Coffee Break Cafe is going to be establish by having large number of effective quality of food
and coffee items with innovative thoughts. Additionally, this cafe also have different types of
Pizza, cookies and many more items. Main purpose of an entrepreneur behind this launching
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business is to give huge satisfaction to people and earn profit effectively. It also increase entire
sales and growth of business so that an entrepreneur can easily achieve competitive advantages.
Now, Coffee Break Cafe is going to give huge satisfaction to the customers through
fulfilling their needs and wants by offering them huge discounts on different types of goods.
With the help of this respective business able to achieve their targeted goals and increase their
probability at marketplace. Doing all these things for customers always increase business value
so that they can achieve competitive advantages in an effective manner. Moreover, there are
large number of facilities which is offered by them such as effective lights, several types of chair
and table, decoration of the cafe and so many. All these things attracts the large number of
customers, therefore the main purpose of launching this cafe is to influence people through
giving them satisfaction and implements on innovative ideas that makes economy better. So that
this cafe will change consumer's mind and their taste as well among the coffee as this cafe will
provide Organic Black Coffee. Thus, they maintain their good image at marketplace. If review
on Gap analysis, than there are various types of sellers and buyers into the competitive market.
Herein, cafe is required to maintain their good image for fulfilling the gap between customers
and their products as well. Therefore, an entrepreneur always have innovative ideas and thoughts
in order to attract customers all the time. With the help of this process customers can build
confidence towards this cafe and their products. By fulfilling gap analysis respective cafe is able
to achieve their targeted goals and objectives (Kossek, Su, and Wu, 2017). There are few points
of gap analysis which developed by an entrepreneur of Coffee Break Cafe, mentioned below:
Technological advancements: According to the technological advancements, demand of
individual maximising every day towards particular product and services. But on on the other
side, it can be the cause of marketing gap between people and business. Therefore, an
entrepreneur needs to reduce this marketing gap through applying such kind of new tools and
techniques into their cafe. With the help of this they can satisfy people and it also increase
opportunities for business as well.
The entrepreneurial idea is that the respective cafe will offer organic black coffee to its
customers. This is because the cafe wants to expand its business and attract more customers.
Thus, it has decided to launch a new drink in its menu. The Unique Selling Proposition of the
coffee is that it will be completely organic with no harmful chemical being used. This will help
the cafe in attracting people who are conscious about their health and also, prefer coffee over any
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other beverage. There is a market gap for the idea because there can be some people who do not
like the taste of the same and also do not support the idea of a cafe launching an organic coffee
drink. The same is explained below with the help of Porter's five forces model -
Porter's Five Forces Model
 Threat of substitute products – There is a threat that other cafes in the area can also
come up with a similar idea of offering their customers similar coffee drinks at
comparatively lower prices as well as with some innovation. This can be a threat to
Coffee Break Cafe as it can start losing its customers. Thus, this is a strong force.
 Bargaining power of suppliers – The bargaining power of suppliers will be high as
there are several suppliers who supply organic coffee to different cafe. Thus, thuiis force
is strong as they will bargain about prices.
 Bargaining power of buyers – Bargaining power of the buyers is low since the cafe is
launching a new product, there can be customers who resist adopting the same and there
can be chances that they do not like the taste. They often prefer purchasing standard
coffee drinks and may bargain less for a new drink introduced in the menu.
 Threat of new entrants – This threat is comparatively strong as there can be new cafes
that enter the market with innovative and new products. New entrants can increase the
amount of competition in the market. Also, if similar yet innovative products are offered
to the customers, they will get a chance to choose between different brands. This is
because new entrants will bring new products as well as resources in the market.
 Competition among existing rivals – There are several cafes in the locality that compete
with each other. Therefore, if competition can impact the launch of the products as all
competitors want to be more competitive than others. Thus, this makes it a strong force.
P3 Questionnaire
Gaps in the market can present to be as opportunities for brands as by fulfilling the same,
they can not only satisfy the needs of the customers, but also gain their loyalty in improve overall
sales. The new business started by new entrepreneur is Coffee Break Cafe. This cafe is planning
to have Organic Black Coffee with innovative music themes at cafe. When people are provided
service in this restaurant, there was a survey which was done. The questionnaire made included
questions which will provide information that whether customers are liking the food and service
provided by this restaurant. The number of respondents taken for survey are 30 customers. From
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this questionnaire it is helpful for the café to analyse whether the food and services of this café
are liked by people or not.
Primary Research
The main reason behind conducting primary research is that an organisation can get to
know about the need of any new product or service that they are thinking to launch in a new
market.
Questionnaire Frequency
Q 1) Are you liking the services offered by the Coffee Break Cafe ?
a) Yes 25
b) No 5
Q 2) Do you like the new product i.e. Organic Black Coffee offered by this
cafe?
Frequency
a) Yes 20
b) No 10
Q 3) Do you think this restaurant will be able to enhance it’s market share
within next 6 months?
Frequency
a) Agree 24
b) Disagree 6
Q 4) What are the opportunities for this new café on doing business? Frequency
a) Ability to tap into wider market share s 5
b) Increase in market share 5
c) Increase in sales of the restaurant 20
Q 5) According to you, what could be the barriers faced by this new café
within market?
Frequency
a) Lack of communication 7
b) Unavailability of technology 15
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c) All of the above 8
Q 6) Any recommendation for effective strategy to expand business in
foreign markets.......
Secondary Research
On the other hand, a secondary research can be defined as a research that is carried out by
using relevant data available from different sources like books, journals, online reports, diaries
etc. The main purpose of a secondary research is to understand the gap in the market for a
company's new products. In context to Coffee Break Cafe, it has decided to launch organic black
coffee in its menu.
The above graph explains the consumption of coffee among people in the UK over the
last few years. It can be observed that a large number of people consume coffee, which means
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Illustration 1: Coffee trends in the UK.
Source : 20 UK Tea Industry Statistics and Trends, 2020

that the respective cafe will have to launch its product in an innovative as well as unique way.
Therefore, organic black coffee should be marketed in such a way that more number of people
will be attracted towards it. This will help in bridging the gap in the market and enhancing the
overall profitability.
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P4 Graphs and charts to present questionnaire response
Questionnaire Frequency
Q 1) Are you liking the services offered by the Coffee Break Cafe ?
a) Yes 25
b) No 5
Interpretation – From the above pie chart, it is concluded that customers are loving the service
offered by this new café. It is concluded that out of the 30 respondents, there are 25 people who
agreed that they are liking the service provided by staff and also they are liking ambience if this
new café.
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Q 2) Do you like the new product i.e. Organic Black Coffee offered by this
cafe?
Frequency
a) Yes 20
b) No 10
Interpretation – It is concluded from the above pie chart that 20 respondents out of the 30
respondents are appreciating the new organic coffee provided by this café. This new café is drink
by people for maintaining their health. It is challenge for this café to change perception of other
10 respondents towards organic coffee.
Q 3) Do you think this restaurant will be able to enhance it’s market share Frequency
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within next 6 months?
a) Agree 24
b) Disagree 6
Interpretation – As per the pie chart, it is concluded that out if the 30 respondents, there are 24
people who agreed that this new café will make more money and enhance market share in less
time. On the other hand, 6 respondents think that this café will not make money as there is high
competition.
Q 4) What are the opportunities for this new café on doing business? Frequency
a) Ability to tap into wider market share s 5
b) Increase in local market share 5
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c) Increase in sales of the restaurant 20
Interpretation – It is seen from the given pie chart that the new Coffee Café has various
opportunities while running business. These include ability for tapping into wider market share,
increase the local market share and increase in the sales of the restaurant. From the pie chart, it is
concluded that out of the 30 respondents, most of the people think that the new café will provide
the ability for tapping into wider market share.
Q 5) According to you, what could be the barriers faced by this new café
within market?
Frequency
a) Lack of communication 7
b) Unavailability of technology 15
c) All of the above 8
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Interpretation – From the given pie chart, it is concluded that there are various barriers that the
new café has to face while running business in market. It is seen that most of the respondents
think that this new café has lack of new technology which can help in enhancing the market
share of the company in specified time.
P5 SWOT analysis
SWOT analysis can be defined as a strategic tool that can be used by both individuals as
well as organisations to identify their strengths as well as weaknesses. Organisations can also
analyse opportunities as well as threats in order to formulate effective strategies in order to
overcome threats and gain a competitive edge against other players in the market.
The entrepreneur of Coffee break cafe has new ideas for its business which is needed to
examine their companies strength, weakness, threats and opportunities in such a way the
behaviour of their business functions in an efficient manner (Martin, and Siebert, 2016). This
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cafe provides discounts offers which lead to satisfy more customers in order to increase its
profitability and productivity. This could be described as in context with Coffee break cafe:
Strengths: In cafe the services which are rendered which are provided by the customers
on regulars basis like free WiFi, live music concert and differentiations of food. This lead to
attract more customers in order to remain in cafe for a long time which could increase more
rewards as relation to its competitors in UK. This cafe is now going to establish in organic black
coffee which includes unique ingredients. In addition to this, it also provides various cookies,
beverages and pizzas which enables the customers to satisfies their needs.
Weaknesses: While the new ideas are invented which are required to assess defects for
the competitive advancement of the business. In context to Coffee break cafe the entrepreneur
choose the location of its business in UK which involves one of the expensive location which
supply raw materials and services of transportation. High production cost lead to the less profits
margins.
Opportunities: the entrepreneur is needed to measure the opportunities on regular basis
so as to increase their profitability level. With reference to Coffee break cafe the entrepreneur is
provided the demands of their clients in UK and rendered services in order to increase the
competition among them (Mayo, 2016). This cafe provides the various job opportunities
because it is the establishing company which requires more employees to work.
Threats: While introduction of new business idea the entrepreneur is needed to examine
various threat factors which results in increase more productivity. In context to Coffee break cafe
the entrepreneur has to look after the threat which is related to its price of competitors and
further new entries in the section of cafe business in relation to increase high functioning cost.
There are high chances of the idea being successful in the market as the customers are
concerned more about their health and thus, prefer drinks that are safe for consumption. Also,
black coffee has several benefits like it is high in anti-oxidants and helps in improving immunity
as well. Thus, it can be a success in the market but there are various threats that can pose
challenge on its operations like cafes that are the competitors of Coffee Break Cafe can also
launch a similar product in their menu with some innovation at lower prices that attracts
customers. Also, if the cafe fails to analyse various macro-environmental factors, they can
impact on its functioning adversely.
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P6 PESTLE analysis
PESTEL analysis can be defined as a strategic tool that is used by the marketers within an
organisation to analyse the various external factors in the environment as well as their impact on
the company's overall performance. The results that are obtained by conducting this analysis can
be used in a SWOT analysis. An organisation can also identify the various changes that occur in
the macro environment like political stability, economic conditions etc.
The entrepreneur of Coffee break cafe in UK which is needed to measure the present
conditions which lead to satisfy more customers in a appropriate manner. It could analyse
competitions between the different companies. This cafe provides the best services to its
customers that satisfies the needs and wants towards them. Various factors involved in analysis
of a cafe industry for the better productivity and profitability of a business.
Political : this factor is defined as it includes various types of rules and regulations which
has been formulated by UK government such as environmental conditions and taxation policy
for the business of cafe. In context to Coffee break cafe the cause of all these policies and
procedures in such a way to prevent them from the disturbance in this sector. If the changes
occur in the policies of government and taxation within the country that lead to few impact on
the sales (Noe, and et. al, 2017). Entrepreneurs has to pay high taxes according to large industries
which resulting in the less margins of profits.
Economic : In economic factor the entrepreneur of Coffee break cafe took benefit of
pricing policies in such a way to increase more benefits and run the functions in a better efficient
and effective manner. This cafe offers the employment opportunities in order to aid the standard
living of employees as well as their culture within the society. It further involves eroding as well
as explosion which lead to impact on sales and profitability of an organisation. This lead to
impact on the culture environment of the society in relation to cafe.
Social: The business functions are running in a best efficient and effective way which
consists of their values, beliefs and culture in the society for satisfying the needs of the
customers. This factor would provide ideal nature of the entrepreneur which involves the
innovative ideas. These factors involves age, income, regions and sociology that lead to affect on
the profitability of a Coffee break cafe. The important role played in an organisation is to make
goods which fulfil the needs and wants of he customer (Spurk, and et. al, 2016). The
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entrepreneur of Coffee break cafe provides the goods and services which satisfies the demands of
the customer.
Technological: The entrepreneur of Coffee break cafe is needed to took the benefits of
technological progression in order to establish the online booking premises to take advantage of
making new strategies for the better productivity (Šverko, and Babarović, 2016). With reference
to Coffee break cafe the entrepreneur of this cafe acquire new and latest technology which
results in achieving the competitive edge within the market. This cafe provides the healthy and
good quality food to its customers in order to gain the full satisfaction for increasing the
profitability and productivity of a business.
Environmental – People are increasingly becoming conscious about the environment
and do not prefer buying products of brands of restaurants that do not follow any environment
friendly practices. The idea of launching an organic black coffee drink will work in the market as
it will be produced using ingredients that do not cause any harm to the environment and also
helps in attract people.
Legal – Coffee Break Cafe should follow all the legal rules and regulations of the nation
or the market it is trying to launch the product in. If it follows all legal rules and regulations, the
cafe will be able to build the image of it being ethical. This can be beneficial as more customers
will be attracted and thus the sales of the product can also go up.
Therefore, the idea of launching organic black coffee will work for the respective cafe as
it will take into account various factors as well as their implications on its operations. Thus, thi
will help it in building an ethical business whose products will be accepted by the customers in
the market.
CONCLUSION
On the basis of overall information provided in the above report, it has been entrepreneur
is the one who is highly skilled and owns capability of performing the work at their own level by
arranging funds, taking risk and enjoying profits. It is highly important for every entrepreneur to
make use of various sources in order to develop understanding over their respected business and
potential customers’. Also, the main focus of entrepreneurs must remain on its customer for this
it is important for them to make use of advanced technology for delivering customers better
services which will satisfy them at highest level. Usage of porters five force framework will help
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businesses in developing their understanding over the potential industry which will help them out
in formulating effective strategy according to their respective industry. Also, usage of SWOT
and PESTLE analysis will help entrepreneur in improvising enhancing knowledge on the internal
and external market so that appropriate business initiative can be taken according to the attained
information. Usage of these frameworks will help entrepreneur in reducing chances of business
failure as they are aware about the available opportunity and threat which will lead to attainment
of success in the rapid manner.
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References
Books & Journals
Baruch, Y. and Vardi, Y., 2016. A fresh look at the dark side of contemporary careers: Toward a
realistic discourse. British Journal of Management, 27(2), pp.355-372.
Cascio, W.F., 2015. Managing human resources. McGraw-Hill.
French, R. and Rees, G. eds., 2016. Leading, managing and developing people. Kogan Page
Publishers.
Kirton, G. and Greene, A.M., 2015. The dynamics of managing diversity: A critical approach.
Routledge.
Kossek, E.E., Su, R. and Wu, L., 2017. “Opting out” or “pushed out”? Integrating perspectives
on women’s career equality for gender inclusion and interventions. Journal of
Management, 43(1), pp.228-254.
Martin, G. and Siebert, S., 2016. Managing people and organizations in changing contexts.
Routledge.
Mayo, A., 2016. Human resources or human capital?: Managing people as assets. Routledge.
Noe, R.A. and et. al, 2017. Human resource management: Gaining a competitive advantage.
New York, NY: McGraw-Hill Education.
Spurk, D. and et. al, 2016. Why do adaptable people feel less insecure? Indirect effects of career
adaptability on job and career insecurity via two types of perceived
marketability. Journal of Career Assessment, 24(2), pp.289-306.
Šverko, I. and Babarović, T., 2016. Integrating personality and career adaptability into
vocational interest space. Journal of Vocational Behavior, 94, pp.89-103.
Taylor, T., Doherty, A. and McGraw, P., 2015. Managing people in sport organizations: A
strategic human resource management perspective. Routledge.
Online
20 UK Tea Industry Statistics and Trends. 2020. [Online]. Available
through:<https://brandongaille.com/20-uk-tea-industry-statistics-and-trends/>.
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Appendix
Curriculum Vitae
Curriculum Vitae (CV)
Name: Mr. DEF
Contact Number: [phone]
Email Id: [e-mail]
Address: Elizabeth Street, England, UK
Highly organised as well as enthusiastic individual with strong judgemental and critical
thinking abilities. Planner and good communicator with analytical thinking abilities which will
aid while carrying out projects.
Key skills:
 Time management
 Creative as well as analytical problem solving capabilities
 Knowledge of Core Java, Android, SQL and Python Enhanced communication skills
Educational Qualification:
Graduation: Bachelors of Engineering (B.Tech)
University of Oxford, United kingdom
Year: 2019
Certification: Certified Ethical Hacker
Oracle Certified Associate
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