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Identifying Entrepreneurial Opportunities

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This document discusses the importance of identifying entrepreneurial opportunities and innovation. It covers topics such as justification of sources, market gap analysis, data needs, interpretation of data, and SWOT framework. The document is relevant for students studying entrepreneurship or business management.

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Identifying Entrepreneurial
Opportunities

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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Justification of several sources in context of entrepreneurial ideas and innovation........3
TASK 2............................................................................................................................................5
P2. Rationale and Market gap analysis for the particular entrepreneurial idea with the help of
relevant techniques and tools as per the entrepreneurial choice.............................................5
TASK 3............................................................................................................................................6
P3. Data needs with the support of gap analysis in order to evaluate the entrepreneurial idea.. 6
P4. Interpretation of data in order to provide evidence of market potential...........................9
TASK 4..........................................................................................................................................13
P5. SWOT framework in order to assess entrepreneurial ideas...........................................13
P6. Justification of competitive and market environment to measure the potential viabilities.14
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17
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INTRODUCTION
Entrepreneur is an individual who always develop the new business venture and always
bearing most of the risk factors but also enjoying lot of rewards or benefits efficiently.
Entrepreneur can be seen as the innovator, sources of goods, services and several procedures of
business. Therefore, entrepreneur play a very effective role in the economy. In order to become a
successful entrepreneur, it is very important to identify the opportunities from the competitive
market and also set the targeted goals in an effective manner. In this present report Restro Cafe is
going to be launch. This cafe is planning to have attractive design and environment in order to
accomplish the customer demand effectively. Along with this it will offer Robusta coffee with
innovative themes like colourful lights and decoration in the cafe efficiently. Apart from this,
project will identify the gap analysis with the SWOT analysis which included in this new set up
of business in a higher way (Audretsch, 2012).
TASK 1
P1. Justification of several sources in context of entrepreneurial ideas and innovation.
According to the present report, government of UK always take initiate in which they
generally aid young graduates wherein entrepreneur began their new business effectively. With
the help of government approval entrepreneur able to take fund help from the youngsters and
also allow to submit proposal of business. With the help of this entrepreneur can take lot of
several ideas from various sources, which are given below:
Trade fairs and exhibitions:
This is the very famous and very well known source in order to create innovative idea in
an appropriate manner. As per this an entrepreneur can easily attend these exhibitions and fairs
through this idea an entrepreneur can advertise their cafe in so many forms like newspaper, TV.,
internet and so on. By this source entrepreneur able to meet different types of manufacturers,
renowned and distributors regarding their Restro cafe needs so that all these people can resolve
their issues easily in order to achieve their goals.
Mass media:
Generally, it involves in the radio, magazines, internet etc. these are the useful sources in
order to grab opportunities in an accurate way. For this an individual has to focus on their
commercial and advertisement needs in order to search unique innovative thoughts efficiently.

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These all are helpful sources which will help in Restro cafe in order to achieve success
effectively.
Interest and hobbies:
These are those source by which an entrepreneur can think positively regarding their
business set up. Interest and hobbies mainly develop for the innovative business. For example: if
any candidate has hobby to cook so that he can easily cook without any issues. Other side if
person has interest in travelling then he can go anywhere because of their interest. Now an
entrepreneur also has interest in order to take innovative ideas from different people to launch
their Restro cafe in order to satisfied customers.
Customer surveys:
It is the first source and priority of an individual in order to start new business effectively.
This because customers are the only one who shows their interest instantly. By the survey of
customers an entrepreneur can easily find out the people taste and their desire so that an
entrepreneur can make and innovative ideas accordingly. In context of the Resto cafe lot of
questionnaire will be conducted by the entrepreneur in order to bring effective ideas in their cafe
on the basis of customer satisfaction (Grégoire and Shepherd, 2012).
Therefore, all these sources and innovative ideas in reference to entrepreneur are very
much essential in order to launch new business in the marketplace. Here, government of UK also
played very well effective role in a particular way. On the basis of these sorts of government
aspects firms can analyse overall needs and wants of people in a proper way. With the aid of
these beneficial aspect an entrepreneur can easily apply innovative idea in their set up. That's
why involvement of young people is necessary in order to attract them and they can also increase
the productivity of business venture effectively.
Peter Durcker's model:
Peter Drucker has unique personality as he always known as the inventor of modern
management with valuable leadership management skills appropriately. For this there are seven
sources of innovation opportunities, those are following as under:
The unexpected: According to this business industries can get unexpected success, that's
why it is the big factor of inspiration for innovation. With the help of unexpected situations
companies can make their business effective and attractive in a proper manner.
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Incongruities: Some times many firms fail to develop their goods and services without
conducting research analysis in order to determine customers target and needs. Therefore, it is
great source of inspiration for innovation foe those firms who are managing their work at
marketplace.
Process Need: According to this source firms should be focused on their overall
situations of business in order to gain future opportunities for identifying overall needs and wants
of them.
Industry and market structure change: Both situation can be stable for a particular
year or a month but firms are required to develop new techniques and strategies in order to
achieve targeted goals.
Demographics: It directly influence overall change within the business environment as
well as firms. These type of changes always identifies needs and demand for products like who is
buying and what quantity of product are bought.
Changes in Perception: In the current period of time there are so many changes which
are perceived by people within the entire world. These type of changes way of thinking of people
so that people can change their perception about different goods and services towards firms.
New knowledge: It is mainly shows the actual meaning of innovation. Herein, scientific
and technological aspects are the main source of innovation which is carried by so many
businesses firms and industries.
On the basis of above respective analysis, it has been concluded that Restro Cafe will use
process needs in order to make their future opportunities in a better ways. Along with this they
can achieve their targeted goals and vision within the marketplace. Therefore, this model will be
very helpful for them reach at higher level of business.
TASK 2
P2. Rationale and Market gap analysis for the particular entrepreneurial idea with the help of
relevant techniques and tools as per the entrepreneurial choice.
In order to launch new cafe business ideas always created by the entrepreneur. In regards
with Restro cafe they will not only provide Robusta coffee but also offer effective and good
environment like different themes and lights in order to make customers happy. The menu of this
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Restro cafe will includes in different variety of food like pizza, pastries etc. to accomplish
customer requirements effectively.
Restro cafe is going to take care of people as this cafe provide modern furniture at roof
top with the colourful chairs and tables effectively. Along with this cafe will also give private
room to the specific family so that a family can enjoy without any issues and distraction. Apart
from this Cafe also involves in the several kinds of educational or music environment which
boost the energy level of customer in order to select their food accordingly. That's why an
entrepreneur has to examine the consumer needs and wants in order to meet goals in the
competitive environment of UK. The Restro cafe generally target the teenagers and young people
in order to spend their time as a good customer effectively. Whereas, market gap analysis the
opportunities which is not offered by any kind of person infect offer the same facilities.
Therefore, an entrepreneur provides very good and innovative ideas in their cafe in order to
satisfying customers in a perfect manner. Marketing concept of gap analysis is given below:
Identification of opportunities:
In order to gain lot of achievements in the market than it is necessary for an entrepreneur
to identify the availability of opportunities efficiently. By this an individual can get benefit in
order to expand their business as compare to the other competitors. It will also analyse the
opportunities of an individual in order to apply innovative thoughts in their business to achieve
higher growth perfectly (Kohlbacher, Herstatt and Levsen, 2015).
Technological advancements:
At present technological world this can be said that it is taking lot of necessary place in
the all humans hearts. It is essential for an entrepreneur in order to keep them up-to-date with the
lot of several and effective techniques effectively. By this concept they can easily calculate the
growth of the firm instantly. This is the good advantage to them wherein marketing gap can be
accomplish by the customers demand and requirements efficiently.
In order to make unique strategies and approaches STP model will be very helpful for
Restro Cafe in order to meet their desired goals and objectives in a perfect manner. STP model is
discussed below in detail:
Segmentation: It is the process of observing overall segmentation of market into the
smaller groups with products needs and identifying characteristics in order to target

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marketplace. In relation with Restro Cafe, they always do this first in order to make their
functions effective and for the motive of gaining profits.
Targeting: After segmenting the overall market respective firm will focus on their
targeted customers in order to achieve good image as well as huge sales and revenue by
satisfying customers needs and demand.
Positioning: It refers to the key perception which generally determined overall benefits,
features and competitive goods and services. By doing all these things Restro Cafe will give
better position to their products to achieve desirable goals.
TASK 3
P3. Data needs with the support of gap analysis in order to evaluate the entrepreneurial idea.
Competitive Analysis
BASIS The Restro Cafe Leila's The Bridge
Products and
Services
It provides Robusta coffee
with the lot of food items
effectively. In regard with
this making good culture it
will also gives several
themes in an effective
manner.
This cafe provide high
class arrangements to
its customers along
with the involvement
of good and attractive
infrastructure
according to the
customer
requirements.
It provide huge
range of food and
beverages in order
to keep modifying
their food menu to
satisfying consumer
needs.
Organisation
Structure
Restro cafe always follow
functional structure in
order to check the
employees functions which
have been allotted to them
(Siegel and Renko, 2012).
For better structure of
organisation this cafe
adopted departmental
structure in which
their superiors have
permission to take
This follows
implemented matrix
structure in which
managers are
responsible to
accomplish the
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decisions. customer needs.
Major
Attractions
In this Restro cafe adopt
different approach like
centric approach by this
they can make customer
loyalty in an effective
manner.
Leila's provide
different kind of food
to give flexible
environment to
customers.
It offers lot of
excitement offers
wherein customer
can get higher
quality of foods.
Promotional
Strategy
This cafe promote their
business with the making
different strategies like
T.V., radio, newspapers
etc.
This promote their
venture with the
publicity from several
websites and platforms
of social media.
This promotes their
business by social
media and lot of
other websites.
Above competitive analysis shoes the development area having the medium and low risk
efficiently. In reference to the Restro cafe they adopts centric approach for consumer which will
be beneficial for them in order to manage their growth and development of their business
effectively. As per this Restro cafe also offer hug range of food products and coffee with the
good theme environment that will also help the consumers in order to get attracted towards the
product for the Resatro cafe (Suddaby, Bruton and Si, 2015).
There are lot of factors which all are taken by the Restro cafe and their explanation is
given as under:
Primary research:
It is a type of methodology in which data collected and gathered in the direct way rather
than the collecting information from the secondary sources effectively. As per this research there
are several surveys, questionnaire, interviews in order to accomplish the objectives effectively.
In context of primary research entrepreneur of the Restro cafe mainly allocate new data and
implement in their new unique thought and idea. With the help of this type of research,
respective firm is able to achieve their goals by applying new tools and technologies like social
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media, big data etc. on the basis of this firm is able to gain huge information about entire
situation of market. When firm applied new and innovative technologies on all over the work
they can make their every function of business in the attractive form and able to meet desired
goals in a particular manner. In order to conduct overall marketing research this is very helpful
tool to manage entire function of an organisation effectively. Therefore, this can be said that if
firm will apply sorts of new techniques so that they can get its targeted goals and achieve huge
success in an effective manner.
Technology:
It is very much important for an individual in order to use proper technology to increase
the venture growth and development in an effective manner. Now it is also essential for an
entrepreneur to promote their technology for business venture on the social media in order to
gain more profitability with in the marketplace.
Market analysis:
Being a heart of the world London, generally provides different kind of opportunities in
order to make more and more innovative ideas effectively. As a rising entrepreneur that can take
lot of opportunities through offering good services to the customers. With the help of this an
entrepreneur can get get lot of achievements in the competitive world and able to ensures that
suitability of certain assets in the business. In context of Restro cafe entrepreneurial family
develop lot of unique strategies as per the good needs of consumers in order to satisfy them
effectively.
GAP ANALYSIS
BASIS Current condition Desired condition Action plan
Products and
services
It offers so much
innovative infrastructure
with several facilities in
order to attract
customers easily.
The condition of
market is based on
modification of market
according to the
customers.
It depends on the
modification of
menu n order to
satisfy consumer
needs.
Cost The Restro Cafe is
providing affordable
food to its customers
This Cafe aims to
manage the pricing
strategy in order to
In this Cafe follows
the systematic
pricing strategy in

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(Tang, Kacmar and
Busenitz, 2012.).
gain more benefit
from the business.
maintain the range of
their business
balance.
QUESTIONNAIRE
NAME:
AGE:
ADD:
GENDER:
MAIL ID:
Q1) How often do you visit Restro Cafe?
Daily
Once a month
Several times a month
Never
Q2) What is your private interest which you want to have in Cafe?
Gaming Zone
Free Wi-Fi Zone
Separate Smoking and Bar Zone
Q3) Are you satisfied with the food quality which is offered by The Restro Cafe?
Yes
No
P4. Interpretation of data in order to provide evidence of market potential.
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Theme 1: Services provided by The Restro Cafe
Q1) How often do you visit Restro Cafe? Frequency
a) Daily 10
b) Once a month 15
c) Several times a month 10
d) Never 5
Mean 10
Median 10
Mode 10
Interpretation: According to the above respective graph it has been concluded that, there are 10
people who likes to go every day in Restro cafe because they love their culture and food. 15
respondents goes only once in a month. 10 people goes few times in a month because of their
working schedule. At last remaining 5 respondent who does not prefer the cafe because of lack
of knowledge and funding issues etc.
a) Daily
b) Once a month
c) Several times a month
d) Never
0
2
4
6
8
10
12
14
16
10
15
10
5 Column D

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Theme 2: Facilities offered by The Restro Cafe
Q 2) What is your private interest which you want to have in Cafe? Frequency
a) Gaming Zone 10
b) Free Wi-Fi Zone 15
c) Separate Smoking and Bar Zone 15
Mean
13.3333333
333
Median 15
Mode 15
Interpretation: According to the above graph it has been concluded that 10 respondents wants
gaming zone because of their children and their family members. Wherein 15 respondents happy
with WI-FI facility in order to enjoy net connection. Lastly 15 respondent wants separate
smoking and bar zone in order to spend their time according to them.
a) Gaming Zone
b) Free Wi-Fi Zone
c) Separate Smoking and Bar Zone
0
2
4
6
8
10
12
14
16
Frequency
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Theme 3: Price Range offered by The Family Bean Cafe
Q3) Are you satisfied with the food quality which is offered by The Restro
Cafe?
Frequency
a) Yes 35
b) No 5
Mean 20
Median 20
Mode 0
Interpretation: According to the above representative graph it has been concluded that there are
35 respondents out of 40 who are satisfied with the food quality of The Restro cafe this is
because this cafe fulfil consumer needs effectively. On the other side 5 respondents do not
satisfied with the Restro food services because they think they do not feel good with the
restaurant or cafe food so that is why they do not believe in the fast food appropriately.
a) Yes b) No
0
5
10
15
20
25
30
35
40
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TASK 4
P5. SWOT framework in order to assess entrepreneurial ideas.
It is essential for an individual in order to identify the purpose of business thoughts are
effective or not. So that in order to explain SWOT analysis it is accomplish by the individual. It
is a processes of dynamic with the help few ascertainment views like strength, weakness,
opportunities and threats can be explained. This concept will helps the entrepreneur in order to
increase their future growth effectively (Welter and Alvarez, 2015). Now this SWOT analysis
will aid in defining negative or positive aspects of business venture in the effective way. There
are business ideas which is based on SWOT, given below:
Strengths:
It is very important aspect in order to analyse the business strength effectively. In
reference to the launching of The Restro cafe's main strength is that they provide lot of comfort
to their customer in order to make customer happy every time. It will be based on the customer
base effectively. Along with this, Restro cafe has the lot of work force in order to satisfy
consumer needs effectively. With the help of this Restro cafe can get lot of opportunities in order
to expand their business more. Therefore, Restro cafe can run their business efficiently with their
good strength.
Weaknesses:
In regards to launch new business idea within the marketplace it is necessary for an
entrepreneur in order to examine overall possibilities of the business. As to establish The Restro
cafe has been selected in the London. This is because it is very much beautiful and involve in the
lot of transportation channel. All of these pricing policy can be difficult to afford so that it can be
the weakness of this venture.
Opportunities:
These are the important aspects in which an entrepreneur find out the several kind of
scope in the market with the future development. It will helps a lot to individual in order to
evaluate the main purpose and activities of business in an effective manner. In regards with The
Restro cafe it is essential for the entrepreneur to conduct research of market as to find the
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opportunities such creation for new outlet and so on. So that these opportunities will be benefited
for entrepreneur in a effective manner (Autio and et. al., 2018).
Threats:
These are includes in the few elements by which they influence the business functions at
internal or external level effectively. In context of Restro cafe they need to find our good ways in
which they can face any challenges by their competitor in order to operate cost of their venture
appropriately.
P6. Justification of competitive and market environment to measure the potential viabilities.
In the case of launching new venture of business it is necessary for an entrepreneur to
measure the current and future analysis in order to accomplish the goals effectively. There are
few techniques are given below by which an individual can make innovate their business.
Competitive Market:
It is necessary aspect for every business in order to evaluate the competitors within the
market effectively. In this case manager of company is responsible to find out the future and
current trends in order to gain competitive advantages accordingly. As per this business can
check their growth and sustainability with in the market in order to staying long term. With the
help of this market structure follows Porter's five forces model which are given below:
Competitive within industry:
It is very high in the industry level due to the higher rate of product in the market. In
reference to the Restro cafe there are lot of cafes such as bridge and leila's who offers several
kind of services to their customers. That's why it is essential for entrepreneur of Restro's cafe in
order to develop their strategy in order to gain goals and objectives effectively.
Threat of New Entrants:
In order to enter in the market with the new venture company has to invest more to
formed easily. But there is threat because in the market there are lot of competitors by which
Restro cafe can get affected negatively. For this an entrepreneur has to develop good innovative
ideas (Barazandeh and et. al., 2015).
Bargaining Power of Buyers:

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In this model buyers have the power in order to have lot of options and they can switch
one brand to another easily. So that Restro cafe has to follow good idea in order to make
potentiality of customers.
Bargaining Power of Suppliers:
In this supplier has the power in order to supply items to the firm. Therefore, for Restro it
is needed that they focus on few strategies in order to stay in long term in the market.
Threat of Substitutes:
In this model Restro cafe has the threat from more cafes so according to this Restro cafe
has to follow affordable price strategy in order to satisfy the customers.
Market Environment: In order to establish new business company has to face two type of
environment that internal or external which are given below:
Macro environment: It includes in the all external factors which are define below:
Political: It is necessary for Restro cafe in order to perform their overall activities by
following the UK government rules and regulations effectively.
Economical: As per this Restro cafe can easily increase their pricing policy according to
the country economy of UK appropriately.
Social: In this an entrepreneur can easily evaluate the overall culture and trends of the
market. By observing all these factors the Restro cafe can easily make their product according to
the customers.
Technological: In this company follow various kind of technologies with the unique or
innovative ideas in order to satisfied the customer needs and wants.
Micro environment: It involves in such elements that influences the internal factors like business
function and operations as well. Several kind of micro factors includes in values, vision and
culture of the Restro cafe.
Therefore, all benefits of internal or external market in regards with an entrepreneur
measures the viability in which they are going to launch their venture effectively (International
Journal of Entrepreneurship and Innovation).
Industrial Life Cycle:
It generally identifies different types of stages in which business can progress, operates,
prospects and slumps within the industry. On the other side industrial life cycle always consist 5
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stages in order to evaluate time, months and years as well. Those stages are given below in
context with Restro Cafe:
Start-up stage: According to this stage customers have limited demand as per the reason
of unfamiliarity about new products and their features within the marketplace. In context with
Restro Cafe, they are using various promotional channels in order to create awareness about their
product within the consumers mind. With the help of this they can develop low revenue and gain
low profits.
Growth stage: Sometimes product slowly attracts the consumers at marketplace due to
the segmentation, so that mostly industry moves from this stage and start to gain huge profit in a
proper way. In relation with Restro Cafe they generally makes attractive items that directly
impact on consumers mind in a positive manner. Along with this, by giving better taste and so
many choices they can increase overall value of customers in an appropriate manner.
Shakeout stage: It is generally used to explained the consolidation of an industry at
business place. As per the current scenario some businesses are naturally ignores because they do
not have any growth into the market. In case of Restro Cafe, they are needed to follow
appropriate policies and rules in order to ignore negative cash flow. Along with this they can
make better cash flow in this stage and able to start gaining profit in an effective manner.
Maturity stage: According to this stage firms can easily establish their overall goods and
services at marketplace to reach organisational goals. In context with Restro Cafe they always
make unique food items to its customers so that they achieve their overall success by facing
competition at marketplace. During this they can establish their product in a proper way.
Decline stage: It is the last stage of this model, in this Restro Cafe depends upon various
factors like level of fixed costs, height of exit barriers, sped of decline and so on. On the basis of
this they deal with any type of situation ion business and able to gain their goals in an effective
manner.
CONCLUSION
With the help of above mentioned report, it is being concluded that an entrepreneur while
starting up a business, require to analyse both external and internal business environment. With
the help of this, maximum benefits in a short span can easily be gained. On the other hand, it is
also being summarised that porter's five forces model may aid a start up in taking right decisions
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regarding business. Along side this, it can be said that in order to become a successful
entrepreneur, it is vital to gain lot of achievements in the market than it is also required for an
entrepreneur to identify the availability of opportunities efficiently.

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REFERENCES
Books and Journals
Audretsch, D., 2012. Entrepreneurship research. Management Decision. 50(5). pp.755-764.
Grégoire, D. A. and Shepherd, D. A., 2012. Technology-market combinations and the
identification of entrepreneurial opportunities: An investigation of the opportunity-
individual nexus. Academy of Management Journal. 55(4). pp.753-785.
Kohlbacher, F., Herstatt, C. and Levsen, N., 2015. Golden opportunities for silver innovation:
how demographic changes give rise to entrepreneurial opportunities to meet the needs
of older people. Technovation. 39. pp.73-82.
Siegel, D. S. and Renko, M., 2012. The role of market and technological knowledge in
recognizing entrepreneurial opportunities. Management Decision. 50(5). pp.797-816.
Suddaby, R., Bruton, G. D. and Si, S. X., 2015. Entrepreneurship through a qualitative lens:
Insights on the construction and/or discovery of entrepreneurial opportunity. Journal of
Business venturing. 30(1). pp.1-10.
Tang, J., Kacmar, K. M. M. and Busenitz, L., 2012. Entrepreneurial alertness in the pursuit of
new opportunities. Journal of Business Venturing. 27(1). pp.77-94.
Welter, C. and Alvarez, S., 2015. The state of opportunities: clarifying the transitions between
opportunity types. Management Decision. 53(7). pp.1398-1411.
Autio and et. al., 2018. Digital affordances, spatial affordances, and the genesis of
entrepreneurial ecosystems. Strategic Entrepreneurship Journal. 12(1). pp.72-95.
Barazandeh and et. al., 2015. Investigating the effect of entrepreneurial competencies on business
performance among early stage entrepreneurs Global Entrepreneurship Monitor (GEM
2010 survey data). Journal of Global Entrepreneurship Research. 5(1). p.18.
Hansen, D. J., Monllor, J. and Shrader, R. C., 2016. Identifying the elements of entrepreneurial
opportunity constructs: Recognizing what scholars are really examining. The
International Journal of Entrepreneurship and Innovation. 17(4). pp.240-255.
Park, J. Y., Sung, C. S. and Im, I., 2017. Does Social Media Use Influence Entrepreneurial
Opportunity? A Review of its Moderating Role. Sustainability. 9(9). p.1593.
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<http://www.cityam.com/article/london-living-standards-best-uk>.
Top 10 Sources of Business ideas & Opportunities. 2018. [Online]. Available Through:
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