Identifying Entrepreneurial Opportunities

This document discusses the sources of entrepreneurial ideas and innovation, rationale and market gap for a specific entrepreneurial idea, data required to support gap analysis, and the application of SWOT framework. It also includes market research, interpretation of data, and an objective assessment.

Identifying
Entrepreneurial
Opportunities

Table of Contents
Introduction:.....................................................................................................................................1
TASK 1:...........................................................................................................................................1
P1: source of entrepreneurial ideas and innovation:...............................................................1
TASK 2:...........................................................................................................................................2
P2: Rationale and Market gap for entrepreneurial ideas......................................................2
TASK 3............................................................................................................................................3
TASK4:............................................................................................................................................9
P5 Examine the SWOT analysis:...........................................................................................9
P6: Competitive environment in which ideas will be launched............................................9
Conclusion:....................................................................................................................................10
References:.....................................................................................................................................10

Introduction:
The entrepreneur is a person who are able to create new ideas and innovation about the
business while bearing the risks and gaining the rewards in terms of profits in the long run. In the
other words, the entrepreneur have a important role in creating job opportunities for its followers
as he helps in increasing the skills and knowledge among the people. The entrepreneur helps the
organisation to get success in the target market places. Under this report, the coffee tree cafe will
produce French vanilla coffee for its customer. Further there will be discussion on the various
entrepreneurial ideas and porter’s five forces. Marketing gap analysis with the SWOT and
PESTLE are discussed further in this report (Corbett, , 2007).
TASK 1:
P1. Determine and evaluate different sources of entrepreneurial ideas and innovation
In the current scenario of the UK market , the business are growing very fast day by day
which helps the organisation to set up their business at the target market and earn the profits in
the long run. There is huge number of the business which needs entrepreneurs to launch new
product and services in the target segment so that company can gain money by satisfying the
needs and wants of its audiences. Hence, the entrepreneurs are required to make good innovative
ideas to launch the product in the market so that organisation can achieve their goals and
objective in time. Some of the sources of the entrepreneurial ideas and innovation are stated as
below:
Exhibitions and trade fairs: under this type of sources, the entrepreneurs are able to get the
new ideas which they can apply in the organisation strategies to introduce the new product and
services in the market. (Ko and Butler, 2007)
Mass media: the entrepreneurs get huge ideas by the means of radio, magazine and various
another sources about the development of the organisation business in the target market places.
The coffee tree cafe can uses this mode to get new ideas about the goods and services.
Interest and hobbies: in the context of the coffee tree cafe, they are interested in achieving the
goals and have a hobbies to introduce new vanilla coffee which are demanded by the customer
in the market.
The coffee tree cafe uses Durcker’s uses model to bring the new innovation in their organisation
by the entrepreneurs. This model is discussed as follows:
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The unexpected: The business work in the environment that keeps on changing on regular
bases that gives the path form to launch new goods and services in the market by the
entrepreneurs. This situation can be used by the entrepreneur to come up with the new good
according to current demand of the customer in the market. (Krueger,., 2006)
Incongruities: under this condition, the organisation gets trap into situation where they tries to
established the product without doing enough research on such goods and services. here
entrepreneur are required to conduct research before launching the new product in the market.
Process needs : Here the entrepreneurs need to finds their goals and objectives so that they can
get alternatives approaches to decrease the errors and mistake in performing their task.
Industry structure changes: Nowadays the technology is keeps on changing in the market so
business needs to adopt to these technology so that they can attach more customer for they
products.
Demographics: under this condition, the entrepreneurs find out the needs of the product and
services in the target marketplaces. The organisation need to divide their goods according to the
education and employment of the target audience so that right product is introduced at right
places.
Changes in perception: here the entrepreneur tries to make strong relation with the audience so
that they can achieve their objectives in the most profitable ways.
New knowledge: under this situations, the organisation needs to have good skilled employees
as they will helps in completing the task in the productive ways.
TASK 2:
P2. The rationale and the market gap for a specific entrepreneurial idea
With the references of the Coffee tree cafe, this organisation are planning to launch new
French vanilla coffee by using good ingredients in its coffee to attract more customer towards
the cafe in the long run. This cafe also offers various different fast food such as pan cake,
cookies and pasta and various another cuisines to enhances its business in the market places.
The entrepreneurs try to satisfy the needs of the customer by giving them their product and
services.
The coffee tree cafe are introducing the product and services which are demanded by the
customer in the target market and they also trying to offers various schemes like giving discount
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on the various goods so that they can take competitive advantages in the market. To attract
more customer the cafe improvers their decors and setting arrangements , lighting themes in the
market which will provide more business to the cafe in the long run and in the target audiences .
The market gap refers to the situation, where different kinds of buyers are present in the market ,
therefore, the cafe needs to launch new product in the market and implanted the innovative ideas
to attract more customer so that they can achieve their objective as soon as possible. The market
gap analysis in the context of cafe is discussed as follows:
Technology advancement: In the complex environment, the needs and wants of
customer are keeps on changing from time to time . the entrepreneur needs to adopt the new
technology so that they are able to achieve their goals within the set time period. With the help of
technology, the organisation is able to fill their gap in the market places.
Identify opportunities: The entrepreneur have to keep their eyes open in the market so that
they can identify the opportunities present in the business which will helps them to achieve goals
in time.
McKinsey frame work : it is model which are used by the organisation to manage all the task in
the most effective manners and achieve the desire results.
Structure : the organisation must have sound structure in their management level so that task can
be completed within the set time period.
Skills : here the employees of the organisation needs to have effective skills which helps them to
come up with new and innovative ideas.
Style : the manger and leader needs to have effective skills which helps them to manage the
whole team and focus on having providing the new goods and service.
Strategies: the organisation must have strategies which helps in achieving the task in profitable
manners.
System : the organisation is formed by its system where all the work are carried out so that desire
outcomes can be seen.
TASK 3
P3. Present data that required to support gap analysis
Market research
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It is an activity of systematic collecting, recording and determining qualitative and
quantitative information that associating to market commodities and facilities. It can be an
activity or set of activities that can be utilised by the firms to find out and explain marketing
opportunities and complexities that influence the business of the firm. There are several methods
and tools of marketing research are as below:
Primary market research- This market research is conducted by the enterprise to gather
pure and first hand information for the existing issues. This research is framed by the firm to met
unique and particular demands of the venture and it is bit of conflict to organise this investigation
as it needs a lot of time, money, assets and many more. These kinds of research consider focus
groups, surveys, interviews, questionnaires and observations.
Interview questions:
1. Do you have information about the company and the commodities and services that are
offered by it?
2. What do you think that company should produce new products and make innovation in its
coffee product time to time?
3. What do you think that “French Vanilla Coffee” will like by target audiences of Coffee Tree
Cafe?
The coffee tree cafe have conducted the survey on the 30 responded to examine that their new
product French vanilla coffee will capture the market effectively or not in the target market. The
owner needs to study the market whether their goods and services will take the competitive
advantage in the market. The entrepreneur has conducted the following questionnaire on the
market sample so that they can make the effective modification on the product and services.
Questionnaire
Q1) Do you like the new product French Vanilla Coffee offered by this café?
(a) Yes
(b) No
Q2) do you like the quality and services which are offered by the café?
(a) Yes
(b) No
Q3) what opportunities this new café will have in coming year?
(a) Increased market share
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(b) Enhance the sale of cafe
(c) Huge market growth
Q4) Do you think that coffee tree café will be able to boost its market share into next 5 months?
(a) Yes
(b) No
Q5) According to you, what kind of obstruction can be faced by this business at market?
(a) Lack of technology
(b) Lack of communication
(c) All of the above
P4. Interpret information effectively to offer evidence of market potential
Q1) Do you like the new product French
Vanilla Coffee offered by this café?
Frequency
Yes 26
No 4
Interpretation: According to the above chart , the new product of the coffee tree café named as
French vanilla coffee have a market as 26 respondent out of 30 thinks that this new product will
be liked by many customer and will buy them on regular bases. And another 4 respondents
thinks that new product need some modification so that it become prefect good. It shows that it
will maximization of the local market share.
Q2) do you like the quality and services which
are offered by the café?
Frequency
Yes 23
5

No 7
Interpretation: According to the above chart , Coffee Tree Café will provide several services to
their customers. Herein, 23 respondents will like all these sorts of services which is given by
Coffee Tree Café as they want to explore themselves and like the good quality offered by the
café in the market. On the another hand. 7 respondent will not like services offered by them
because lack of information about this café and have different taste and preferences.
Q3) what opportunities this new café will have
in coming year
Frequency
Increased market share 5
Enhance the sale of cafe 20
Huge market growth 5
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Interpretation:As per the above chart, it can be concluded that café will be able enhance their
sale in the different location and grow their business to next level. The café is also able to
increased their market share in the target market as well as in various places. According to the
survey it is seen that 20 respondent thinks that café with the new product will grow their sale in
the market places and 5 people thinks that business of café will also increased slow in coming
years.
Q4) Do you think that coffee tree café will be
able to boost its market share into next 5
months?
Frequency
Yes 25
NO 5
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Interpretation: As per the chart, it is analyzed that out of 30 respondents there are 25 people
agreed that this new café will develop huge profits within next 5 months as they are growing
properly. Apart from this, 5 respondents disagreed on the figure that café will not able boost their
market in next 5 years.
Q5) According to you, what kind of
obstruction can be faced by this business at
market?
Frequency
a)Lack of technology 10
b)Lack of communication 10
c)All of the above 10
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Interpretation: According to the graph it has been acknowledged that there are plentiful barrier
for this new café while operation business within aggressive scenario. Herein, 10 people think
that lack of techniques can be the huge barrier for the cafe. 10 respondents think that lack of
communication generate complexity whereas, 10 respondents think both of the problem are
major barrier for running business successfully.
The market gap of the coffee tree café will be shown by the making the effective strategies so
that new product will have a target market so that owner is able to make more sale new goods
and services. The organization collect the sample from the market about their new product and
service which are focusing on offering to the potential market places. Here the young people are
taken as the important audience about the organization new goods.
Secondary market research- This investigation is supported to past research, analysis,
interpretation and summarization. In this research, there is no pure information and it is collected
by normally accessible assets. The data gathered by articles, books, journals, reports, government
agencies, magazines, mass media like internet and newspaper etc.
TASK4:
P5. Apply SWOT framework to aggregate evidence to support an objective assessment
The entrepreneur need to evaluate their strength, weakness with the opportunities and
threats present in the environment so that they can make effective strategies for the organisation
which will helps in accomplishing the objectives in the most effective ways.
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The organisation with the helps of the swot analyses is able to introduce their new product and
service in the market places.
Strength: the entrepreneur has various ways to manage its financial aspect like using
virgin money. the cafe has been located in the centre of the target market so that more customer
can be attracted to the cafe which will lead to earn more profits. (Roundy,., 2017)
Weakness: to launch new product in the market which is very risky for the entrepreneur
if had not done enough research out the demand of the customer and finding the right market for
such product. This also includes lot of money to introduce new goods and finding new location
for the product which can damage the cafe image in the market.
Opportunities: the budding entrepreneurs are continual looking for new opportunities to
launch new good which are in trends in the target marketplaces for this they conduct research on
different segment of market. The critically analysis of the swot framework is that organisation
are able to examine the strength and match its with the opportunities present in the environment
so that effective results can be seen in the market and capture the market place.
Threads: There are huge competition in the market as various cafes are trying to
launch new product in the most innovative manner so it become difficult for the entrepreneur to
find the target customer for its goods. (Whalen,. and Akaka, 2016. )
P6. Evaluation of competitive and market environments in which the idea will be launched to
asses potential viability
The entrepreneur of the coffee tree cafe are going to launch their new product and
services in the UK market for which they need to examine the competitive environment so that
they will successfully launch their goods in the market. With the helps of the pestel the
organisation are able to examine the external factors that effects the organisation
To examine the external environment they need to do PESTLE analysis :
Political factors: The cafe operates its business in the UK market and its political
condition is stable in current seniors, the coffee tree cafe needs to follow the rules and
regulation which are followed in the Uk market to have effective operation activites.
Economic factors: under this factor, various things has to be taken care like inflation rate,
interest rates and another things as well so that cafe can perform their task in the smooth ways.
Social factors: the Uk market offers huge range of customer to the coffee tree cafe by
determine the potential customer in the target market (Tshikovhi,and Shambare, 2015. )
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Technological factors: here technology which become obstacle with time needs to be taken
care by the cafe , so entrepreneur need to use new technology to attract more customer.
Legal factors: the coffee tree cafe , needs to follows the legal rules which are set by the
their country so that they operates within the legal area.
Environment factor: under this condition, the cafe have to work within the environment
condition such as geographical location, global changes in climate and various another factors
that can affects the business. (Funk,, 2015)
Recommendations: the organisation can place their goods by examining the potential market
place so that customer needs can be fulfilled and organisation are able to earn the profits in the
long run. Trail period is used by the organisation so that they can understand the taste and
preferences of the customer and provide them new innovative product .
Conclusion:
As per above discussion, it can be stated that entrepreneur plays very important role in
introducing the new product and services in the market and coming up with the new innovation
at the target market so that organisation are able achieve their goals and objective in the most
suitable manner. The entrepreneur also helps in providing fund to its business by offering
various offers present in the market. Further there was also discussion on the SWOT and
PESTLE analysis which helps in achieving the organisation objectives in the most effective
ways.
References:
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