Identifying Entrepreneurial Opportunities

This report explores the sources and methods to identify entrepreneurial ideas and opportunities. It discusses the market gaps and rationale for new ideas, with a focus on the potential of biodegradable bottles as an innovative solution. The report also provides insights on data interpretation and market analysis.

Identifying
Entrepreneurial
Opportunities

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
P1- Appropriate sources of Entrepreneurial idea and innovation..............................................3
M1- detailed evaluation of Drucker's 7 sources..........................................................................5
D1- sources and approaches to identify Entrepreneurial ideas..................................................5
P2- Rationale and market gap to identify new Entrepreneurial ideas by using tool..................5
M2- Justification.........................................................................................................................6
D2- Entrepreneurial idea based on appropriate investigation and interpretation.......................6
P3- Present data needed to support gap analysis in the evaluation of specific entrepreneurial
ideas.............................................................................................................................................6
P4- interpret data to provide evidence of market potential.........................................................7
M3- methods of collecting data and sources...............................................................................8
D3- sources and methods to provide justified business objectives and market potential...........8
P5- SWOT analyses to support specific entrepreneurial idea.....................................................8
P6- Evaluate the competitive and market environments In which idea will be launched..........9
M4- entrepreneurial idea in a context of competition and marketplace...................................10
D4-Justification and recommendation......................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Entrepreneurial opportunities are usually defined as situations where products are
services can be sold at a price grater than cost of their production, An Entrepreneurial
opportunities is the situation where entrepreneur can take action to make profit. (Abdel-Basset,
Mohamed and Smarandache, 2018). Entrepreneurial opportunities are situation where
entrepreneur can take action to earn profit for their business.
This report will take TESCO for this case study. It is British multinational retail company
and it is largest retailer in the world measured by gross revenues. This report will evaluate and
determine the sources of the Entrepreneurial idea and innovation. It will explain the market gaps
and rationale for the particular Entrepreneurial idea by using tools. This report will interpret data
of the potential market and it will also justify specific sources and methods of data collection.
This report will include SWOT analyses to sees specific entrepreneurial idea. In the end of this
report will analyse PESTEL analyses of TESCO company.
MAIN BODY
P1- Appropriate sources of Entrepreneurial idea and innovation
There are many sources which can help TESCO company to bring innovation and
identify the Entrepreneurial idea. Drucker's 7 and Product and process innovation are one of
them. This tools will help them to develop new ideas for their company and help them to
achieve high growth in the market.
Drucker's 7 sources of innovation
Peter F. Drucker , known as the inventor of the modern management, Drucker has
explained valuable resources on the management business and innovation and entrepreneurship.
Here are 7 sourcess of innovation explained by the Drucker-
The Incongruity
When the needs are incongruently with the supply, innovation might be born in an
attempt to resolve the existing incongruities people might innovate. TESCO leaders should find
the problem faced by the customers and need of their customers which can help them to get
innovative idea.
Market structure
Industry and market structure of the Retail industry can be stable for long time .

Necessity, still new technologies change in any time so it is important for the TESCO superiors
keep and eyes on those changes.
Necessity is known as mother of the innovation and new Entrepreneurial idea. TESCO
should bring new product which should be different from other and fulfil the purpose of the
people.
Demographic
TESCO should find the alternative of the product which can satisfy the customers, and
they can use without any problem. For example, cigarettes are dangerous for humans but most of
the people like to do smoke so companies find the alternative and invent e-cigarette.
Changing perception
Changing the perception regarding the things can also help TESCO to develop
innovation. For example people like to be fit and healthy, but they like to eat organic food as
well.
New knowledge
New knowledge can be a source of innovation for the TESCO. They can bring new
technology in the company which can help them to increase their productivity. For example –
They can search and study about the technologies which is used by the retailers of the other
counties.
Product and process innovation
In the product and process sources, company focus on the innovation of the product and
increase the effectiveness of their process.
Product
TESCO can bring innovation in their product by analysis the market and demand of the
customers. It is important for them to find what changes they can bring which can create their
product unique.
Process
Change in the company’s process can bring innovation in the company. For example
company can bring new technology in their workplace which increase their productivity and
efficiency.

M1- detailed evaluation of Drucker's 7 sources
Peter F. Drucker , known as the inventor of the modern management, Drucker has
explained valuable resources on the management business and innovation and entrepreneurship.
Those 7 sources of innovation can help TESCO to bring new ideas and innovation in their
workplace to increase their growth in the market, and they can also increase their reputation in
the Retail market.
D1- sources and approaches to identify Entrepreneurial ideas
There are many ways and sources to identify Entrepreneurial ideas which can lead
business to achieve high and success in the market. One of them is customer survey, in this
method's entrepreneur ask question to the customers and identify their needs and expectations
from the sellers. It can be beneficial to search something new and unique business idea. Two
main sources of innovation which are used by the Entrepreneurs 'marketing study and new
knowledge.
P2- Rationale and market gap to identify new Entrepreneurial ideas by using tool
Tesco company has strong hold in Retail market, and they are having huge market shares
but there are new retailer companies who are taking competitive advantages by making same
products and cheap price (Blas., 2018). TESCO will launch new product in the market which is
Biodegradable bottles. This product is helpful for this company because most of the companies
are using Non Biodegradable bottles which are affecting environment. Biodegradable bottles are
receivable and useful to save environment. This will also fill the gap between the market because
it will affect positively on customers mind and TESCO will able to create good image in
customers mind, and they can gain customers loyalty.
Porter's five analysis
Threats of new entrants
Requirement of the capital resources are very high in the retailer market so it is difficult
for the small firms to entrant in the high retail market (Bull and et.al., 2016). New business
cannot set up their business because they will need high finance in the start.
Bargaining power of supplier
There are many suppliers are very few suppliers of Biodegradable bottles are available in
this market so TESCO have fewer choices. This means Suppliers can charge high amount from
the TESCO.

Bargaining power of Buyer
There are many firms within this industry where TESCO is operating their business so
customers have more choices, and they can choose other retailers to buy products But this new
Entrepreneurial idea can help them to attract customers, and they will have very new choices.
Threat of Substitute products
There are some other firms in this industry who are using Biodegradable bottles so
TESCO have threat of substitute product. Supplier of this product are also very fewer so Design
and product can be same.
Rivalry among Existing firms
There are very few competitors present in the retail industry where TESCO operates their
business (Calderón, Álvarez and Mariño., 2019). Biodegradable bottles idea can help them to
take competitive advantages in the market and this idea can address the market gaps.
M2- Justification
Specific Entrepreneurial ideas of ' Biodegradable bottles' can help to feel the gap
between the market because this bottle are useful and These bottles are destroyable and reusable.
It will also spread message in the customers mind that they are also giving their contribution to
save environment. Plastic bottles are big problem for the environment because it can't be
destroyed and it has very bed affect on the environment. It is also harmful for the animals as
well.
D2- Entrepreneurial idea based on appropriate investigation and interpretation
Idea of Biodegradable bottles can help TESCO company to achieve success in the
competitive market. This is a new trend in most of the market to give contribution towards the
environment. Customers are avoiding to but plastic bottles Because they are aware about effect
from the Plastic bottles. This creates gap between the market and customers avoid using this
which are made with plastic. This new Entrepreneurial idea can be useful for TESCO to
overcome from this treat and increase their brand image in the market.
P3- Present data needed to support gap analysis in the evaluation of specific entrepreneurial ideas
TESCO marketers use primary researches to identify the new business ideas of
Biodegradable bottles. Primary researches in which investigator collects the market information
themselves. They make some questions related to the product and servicess, and they found that
customers are concern about use of plasic in the product which help them to get these ideas.

They run a face to face survey and ask question directly to the customers. They also get some
suggestion to develop their product according to them, so company can satisfy the needs and
demand of the customers in this competitive market. Secondary research methods help them to
know what customers need in their product and how they can satisfy their demand. Marketers of
the TESCO also use secondary methods and collect the information from the surveys done by the
other companies (Heap and Waters., 2019). This data help them to compare the recent data and
previous data. They use websites and other surveys to collect the data and it helps them to know
how demand and needs of the customers change with the time, and they are able to understand
customers demand for the TESCO company. Both secondary and primary researches help them
find new ideas for the innovation in their product.
GANTT Chart
Task Name Duration Start Finish
define buyer persona 3 days Mon 2/10/20 Wed 2/12/20
identify portion 4 days Thu 2/13/20 Tue 2/18/20
engage market research
participants 2 days Wed 2/19/20 Thu 2/20/20
framing questionnaire 5 days Fri 2/21/20 Thu 2/27/20
data collection 7 days Fri 2/28/20 Mon 3/9/20

P4- interpret data to provide evidence of market potential
In the competitive market it is important for TESCO to use new tools to collect data and
analyse market potentials (Jensen and et.al., 2016). There are some tools and techniques to
collect the data and market potential such as big data to assess market trends, internet forums and
social media to test the market responses and evaluation.
Big data analyses
Big data analysis is the use of advances analytic techniques against very large, diverse
sets which can include unstructured data, structured data, from the different sources and
different sizes from zettabytes. This kind of data can helpful for the TESCO company, and they
can get benefits in their business. Company can find the new trends in the market which can
increase their profitability and help them to increase their market growth. They can collect the
data about the new technologies in the market and new trends in the market. Market potential of
Biodegradable bottles are very high according to Big data analysis because This is new rend in
almost all the market.
Internet forms and social media
Internet forms such as quora can be helpful for the small business. Experts provide the
new ideas and innovation techniques for the business. It helps to make their business more
effective and get better guidance from the experts. They can also collect the data about the
market, and they can discuss the new business ideas and get advice from the experts. They can
give advice how market can response on their new ideas and how they should implement this
idea on their business (Johnston., 2017). Social media is the other ways to test the response of the
market. Companies can run online survey in the particular market, so they can collect the data
about their new business plan, and they can also analyse how people will response with these
ideas and innovation. All the data they will get through the social media tool. Most of the
companies are using social media for their product promotion and testing market response on
through social media platform. This is the best way to test the market because here they will get
accurate data, and they can also target any particular market or any particular area of the country
TESCO superiors can take suggestion about bringing Biodegradable bottles in the market, and
they will get more suggestions related to the idea, and they will also get ideas about custmers
response..

M3- methods of collecting data and sources
There are two methods which are used to collect the data which are primary researches
and secondary reteaches. In the primary research's investigator collect data themselves, and they
do not take help of any other sources. This method includes open-ended surveys and
questionnaires, observation, case studies, online survey and interview. Other method is
secondary research in which investigator take help of the primary researches and collect data
from the researches done by the others. Example – government documents, historical database
etc.
D3- sources and methods to provide justified business objectives and market potential
Markers of the companies can use some sources to collect the data. Most commonly used
methods are survey through the mail and email (Merrington and et.al., 2019). Interview on the
telephone and face to face interview documents and records and experiments. This sources can
help them, to find information which they need to bring new business ideas. This is most
effective ways to collect data from the market and companies can develop their product by using
this all methods and take competitive advantages in the market.
P5- SWOT analyses to support specific entrepreneurial idea
SWOT analysis of TESCO
Strength
Strength of Biodegradable bottles is that, This kind of bottles are the best replacement of
the plastic bottles. It will help to decrease the circulation of the plastic bottles in the market.
People can buy those bottles for the regular use because these bottles are reusable (Ortega And
et.al., 2019). Best thing about Biodegradable bottles are that it does not affect on the
environment and it can be destroyed easily and this bottles does not produce any harmful Gasses.
Biodegradable bottles look premium so it will also attract customers to but this product.
Biodegradable plastic breaks down only in a period of a few months, depending on the material
used to make the bioplastic and the method of disposal. Other kind of plastic contribute 12
percent of waste and only 8 percent from this plastic can recyclable .
Weakness
Biodegradable bottles are useful but This product have some weakness. For the recycling
process of Biodegradable bottles needs costly equipment and it also to take time to recycle this
product. Some of the Biodegradable products produce methane when decomposing in landfills.

Biodegradable products produce very high amount of methane per year and methane is 80 times
more potent than carbon dioxide. This also absorbs heat faster so it can become a reason for the
climate change. Cost of the Biodegradable bottles are higher than plastic bottles so customers
can avoid buying Biodegradable bottles.
Opportunities
It is an opportunity for the business because it becomes a trend among customers to buy
Biodegradable bottles and products (Reuber And et.al., 2018). Now a days people are more
concern and aware about bed effect of plastic so they are using Biodegradable products to give
their contribution toward environment. It can be helpful for the business to create good
reputation among the customers and increase their growth in the market.
Threats
There are many firms who are using Biodegradable bottles in the retail industry so
TESCO company can have threat of competitors. They will also become their competitors who
are already using Biodegradable bottles. It is important for them to create good relation with the
suppliers of the Biodegradable bottles, so they can add some value and make profit in the
market.
TESCO company does not manufacture any product so it will be costly for them to but from the
others and it will be costly for this company, and they will not able to create profit from
Biodegradable bottles
P6- Evaluate the competitive and market environments in which idea will be launched
PESTEL analysis can help TESCO company to know factors which are affecting their
business and the market environment where they can launch their Entrepreneurial idea.
PESTEL analysis of TESCO
Political factors
Government of each country are very concern about the use of plastic because it is
affecting environment. They are forcing retail companies to use less plastic and there are many
governments strictly ban plastic in their country (Singh and et.al., 2018). TESCO can take
advantages from the Biodegradable bottles and aware people to use Biodegradable bottles and
save environment from plastic. They will also get support from the Government, and they can
launch their product without interference of government and their new business idea can work
successfully.

Economic factors
Demand of the Biodegradable bottles is increasing because customers are aware about
the harmful affect of plastic on animals, soil, and environment. It helps to create demand among
the customers to use Biodegradable product.
Social factors
Biodegradable bottles has good affect on the society and people because TESCO can
spread a message through Biodegradable bottles that why plastic is dangerous for the
environment and it will also inspire other retailers to use Biodegradable product in the stores to
give their contribution toward the environment. Society people will also start using this bottles,
and they can give their contribution to save climate and environment.
Technological factor
TESCO can use Their online website and shopping side to sell Biodegradable bottles,
and they can take competitive advantages in the market (Turriago-Hoyos, Thoene and Arjoon,
2016). They can also aware about the Biodegradable bottles and their use to the customers
through articles on their website.
Environmental factors
Biodegradable bottles are special made to save environment and it helps to reduce use of
plastic in the society.
Legal factor
Government of the many countries are encouraging companies to use Biodegradable
product so idea of Biodegradable bottles can be successful and TESCO can take competitive
advantages.
M4- entrepreneurial idea in a context of competition and marketplace
Biodegradable bottles can be successful because use of plastic is increasing nowadays
and some amount of plastic can use recycle. It Can help entrepreneur to achieve competitive
advantages in the market place. For example- If TESCO use Biodegradable bottles and
advertise importance of this product than company can encourage customers to give their
contribution by using Biodegradable bottles.
D4-Justification and recommendation
New entrepreneurial ideas can be developed through understanding customers demand
and gaining knowledge about new information (Varelas and Georgopoulos., 2017). . After

getting new ideas it is important for the entrepreneur to manager things needed to convert these
ideas into reality. They also have to understand that how these ideas will help them to take
competitive advantages and show their presence in the market.
CONCLUSION
As per the report will has been analysed entrepreneurial opportunities for the TESCO
company. This report has been evaluated and determine the sources of the entrepreneurial idea
and innovation which has been Concluded Drucker's 7 sources of innovation and product and
process innovation. It has been explained the market gaps and rationale for the particular
Entrepreneurial idea by using tools. This report has been interpreted data of the potential market
and it also has been justified specific sources and methods of data collection such as primary and
secondary data. This report has been concluded SWOT analyses to sees specific entrepreneurial
idea. In the end of this report has been analysed PESTLE analyses of TESCO company to their
idea in the market.

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