Identifying Entrepreneurial Opportunities

IDENTIFYING
ENTREPRENEURIAL
OPPORTUNITIES

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P 1 Different sources of entrepreneurial ideas and innovation....................................................1
LO 2.................................................................................................................................................3
P 2 Rationale and market gap for a smart home automation.......................................................3
LO 3.................................................................................................................................................4
P 3 Gap analysis in evolution of smart home automation...........................................................4
P 4 Evidence for market evidence...............................................................................................7
LO 3.................................................................................................................................................8
P 5 SWOT Framework to collate evidence to support an objective assessment for smart home
automation....................................................................................................................................8
P 6 Evaluation of competitive market environment..................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Entrepreneurship can be defined as a process in which launching, designing and running
of a new business is involved and the business person who create this new business are called as
entrepreneurs. Entrepreneurial opportunities can be defined as a situation in which any service or
product can be sold t a much higher prices as compared to their production cost. It is a situation
where entrepreneurs can take advantage of a particular situation in order to succeed in the market
in order to make profit (Ramdani, Azis and Kaltum, 2016). These entrepreneurial situations are
extremely important for an entrepreneurs so that they can extend their business in order to make
profit. This assignment will lay emphasis on a new and innovative business idea of Smart home
automation in UK. This smart home automation will be controlled with a central mobile
application and will be able to control all the household appliances, AC, ventilation, lightening,
heating etc. For this different sources of entrepreneurial ideas and innovation, rationale and
market gap for a smart home automation, gap analysis in evolution of smart home automation,
evidence for market evidence, SWOT Framework to collate evidence to support an objective
assessment for smart home automation, evaluation of competitive market environment will
discussed in details in this assignment.
LO 1
P 1 Different sources of entrepreneurial ideas and innovation
If an entrepreneur wants their business to become successful then it is quite important for
them to come up with a new, innovative and feasible business idea. A good business idea will
help in starting and gradually develop their start up business (Molasy, and et.al., 2019). There
various kinds of sources though which an entrepreneur can get a new, feasible as well as
innovative business idea. There are various kinds of external sources can create opportunities for
entrepreneurs to start their own business. These opportunities and sources can be explained
through Perter Drucker's Seven sources of innovations.
 The Unexpected: One of the biggest source of innovation is an unexpected success or
failures that occurs within an organization can be a great source that can inspire an
entrepreneur for a new and innovative idea. An entrepreneur should always notice
unexpected failure or success as it can become one of the great source of opportunity
which can help them to start their own business. They should see those failures and
success as an advantage to start their own business.
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Advantages: one of the major advantage of unexpected innovation is that if it this type is that it
can come any time in the organisation which can lead to the success of the organisation.
Disadvantages: The only disadvantage of this innovation is that lack of analysis of the
innovation may result in huge loss for the company.
 Incongruities: Many people fall for developing an new service or product without doing
any kind of proper research about the market segment, customer needs etc. Company
should keep a connection between what the product or service is and what their target
customers want (Cavaco and Machado, 2018). If the organization fails to keep that
connection then it can lead to downfall of the company, but this downfall is a great
source of inspiration and opportunity which can lead to an innovative idea.
Advantages: This innovation sources can save time for the company when there is a need of
innovation in the company in a short period of time.
Disadvantages: One of the major disadvantage of this sources is lack of market research can
result in innovation failure.
 Process need: According to Peter Drucker Companies should not focus on situation in
fact they should be more task focused. This focus on process and tasks can provide a
great source of opportunity for the companies it will help them to identify their
weaknesses and way they can improve those weaknesses. Such weak links of the
organization can lead to increase companies capabilities which will help them to create
new and innovative ideas for their business which will behave more like a threat than
opportunity.
Advantages: As this sources of innovation is task based it can provide a huge opportunity for the
company to develop an innovative product or service in an organisation.
Disadvantages: There may exist a lack of employee capabilities in task or lack of interest may
result in failure of innovative idea.
 Industry and market structure change: Innovation in changing technology also brings
changes within the industry and market needs. Organizations need to understand those
changes and implement those changes within their company (Dubey and et.al., 2015). It
is one of a good source which will increase their success opportunities and decrease their
failure chances.
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