Sources of Entrepreneurial Opportunities and Ideas

The given assignment is about sources of entrepreneurial opportunities and ideas. It discusses various aspects of entrepreneurship research, including the role of prior knowledge and social networks in exploiting entrepreneurial opportunities. The assignment also touches on the importance of technology-market combinations and demographic changes in giving rise to entrepreneurial opportunities. It further explores the construction and/or discovery of entrepreneurial opportunity through a qualitative lens. Additionally, it highlights the significance of digital affordances and spatial affordances in the genesis of entrepreneurial ecosystems. The summary is relevant for students seeking sources of business ideas and opportunities.

Identifying
Entrepreneurial
opportunities

Table of Contents
INTRODUCTION...........................................................................................................................3
Evaluating different sources of entrepreneurial ideas and innovation........................................3
Introduction to business and its potential customer's..................................................................4
Gap analysis in evaluation of entrepreneurial idea and interpretation........................................5
SWOT analysis to assess entrepreneurial idea..........................................................................11
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
An entrepreneur is an individual who founds and run a small business assuming all risk
and rewards towards venture. It plays a key role in an economy, commonly seen as an investor, a
a source of new ideas, goods, services and business or procedures (Audretsch, 2012) In other
words, an entrepreneur is referred as a person who is willing and capable of taking risk to start a
new venture or brining innovation within the existing products. In this report, an entrepreneur is
coming up with new idea that is organic coffee with brown sugar in new marketplace of United
Kingdom. This report is going to determine and evaluate different sources of entrepreneurial
ideas and innovation as well as analysing market gap by using relevant tools and techniques.
Moreover, applying SWOT framework in order to collect evidence and provide support to an
entrepreneurial ideas and evaluating competitive or market environment in order to know the
assess potential viabilities in competitive marketplace.
P1. Evaluating different sources of entrepreneurial ideas and innovation
In today's era many entrepreneur are coming up with different ideas and innovation as to
create a unique start up in a competitive marketplace. An entrepreneur occupies a unique
position in an economy (Dimov, 2011). They basically have a spark plug in economy in
stimulating all economic activities into new shape and ideas and innovation. Herein, an
entrepreneur have adopted Ducker's sources of systematic innovation in order to evaluate its
ideas and innovation.
Unexpected success and failure: Innovation takes places unexpectedly. A market place
is the number one area to look opportunities. Herein, an entrepreneur need to keenly study
marketplace where an individual wants to launch his product into new marketplace. Moreover,
unexpected situations can be extremely powerful in business world as they inspire leaders and
innovations in order to do welfare for an economy.
Incongruities: Many entrepreneur fails into the trap of developing their product and
services without analysing its target customer that they really want (Fuentes and et. al., 2010)
Eventually, here an entrepreneur need to analysis its target customer’s as well as their need and
wants in order to become successful into competitive marketplace. Moreover, an individual need
to analysis the pitfalls and assume greater source of inspirations for innovation. Thus, customers
reviews, feedback and complaints are often best way to determine incongrunity.

Process needs: In process need of innovation an individual need to focus on more task
rather than situation focused (Grégoire and Shepherd, 2012). Herein, an entrepreneur need to
examine the sources of innovation by clearly identifying weak spots and implement strategies to
improve upon it. With this an entrepreneur can create more capabilities in order to create more
effective innovation solutions.
Industry and market structure change: An entrepreneur need to analysis the industry
and market structure. Herein, an individual need to keep eye open on changes that may affect its
idea or innovation as well as take these changes as threats but more like opportunities.
Demographic: An entrepreneur ideas and innovation is mostly affected by demographic
or buying pattern of customers in market. Herein, an individual need to analysis the buying
pattern of its target customers so that an entrepreneur can meet up demand of people in the new
marketplace. Furthermore, an enterprise is focusing on target group who are more health
conscious. Moreover, they are targeting their target group based on income, age group as well as
buying pattern of an individual.
Change in perception: An entrepreneur need to come up with such innovations and
ideas into competitive marketplace so that its creates a unique perception in minds of people.
Herein, an individual need to create such a unique identify in marketplace of United Kingdom so
that they can attain sustainability in new marketplace. Furthermore, if an entrepreneur is evolved
in continuous change in perception that it will need to increase its cost of production so that their
uniqueness remain constant in competitive marketplace.
New knowledge: Herein, an entrepreneur need to acquire new knowledge regarding
marketplace and innovation in order to attain artificial intelligence in new and advancements of
technologies. Moreover, new knowledge can help an individual to develop new innovations
products to attain competition into marketplace.
The above mention are the sources to gain new inspiration in leading business growth
and moreover have innovative ideas to enhance productivity in competitive marketplace.
Moreover, with the adoption of ducker's sources of innovation an enterprise can know what are
they impact of developing new venture in to competitive marketplace.
P2. Explain rationale and market gap with the use of tools and techniques
In today's context an entrepreneur is coming up with an innovation that is organic coffee
with brown sugar into new marketplace of United Kingdom. The rationale of implementing this

idea demand for coffee is never outdated because of its taste. The idea to bring organic coffee
with brown sugar is that people are becoming health conscious also, number of diabetic patients
and individuals with high cholesterol level are increasing with the consumption of adulterated
sugar mixed coffee. With this new idea, entrepreneur can easily implement changes in their
products sales by creating positive awareness in target market.
Market gap with this idea can be arise when potential number of customers of organic
coffee are less. Apart from this, UK is famous for the combination of modernisation which
attracts huge number of tourists and provide them desired food as well as beverages as per their
requirement. Most of the tourist and customers are desired for roasted coffee therefore they show
their lack of interest towards organic services. Thus, it can be a negative approach for firm that
can create market gap for their new idea. By looking at the statistics, the idea to bring organic
coffee will be successful. Initial investment for this idea is not that huge. The idea is to focus
primarily on the contents of coffee so as to fulfil the demands of the customers who avoid having
sugary beverages. Furthermore, coffee is also famous within people working in the organization.
The rate of consumption of coffee in UK is more as compared to any other cities. Therefore, an
organic coffee with brown sugar can be a part of an individual's lifestyle without affecting the
health.
Specific customer type and target customers: Entrepreneur is going to focus more on
adults who like to have coffee on daily basis. The price will be nominal so people of every
category can afford it. However, to have more information, the enterprise will choose random
people to taste the coffee and provide their valuable suggestions. In nut shell, individuals falling
within the age group of 18-45 will the target customers.
Tools and techniques for evaluating rational and market gap:
Porter's five forces model: This is a kind of model that consists five factors that helps in analysis
of competitive environment. Below description of these models is mentioned that is as follows:
 Competition inside industry- It is related with number of competitors available in the
competitive environment which can impact to companies performance. If there are large
number of competitors then, this can be difficult to companies to increase the prices
while if there are less number of competitors then other entities can earn higher revenue.
In the aspect of above entrepreneur's new idea of organic coffee, there are more number

of sellers but less number of companies who sell organic coffee. So competition is low in
terms of seller of organic coffee.
 New entrants into an industry- It is a kind of model that defines about new entrants
impact on existing companies. This depends on nature of market that, is there barrier of
new entrants available or not. In aspect of UK coffee market there is no entry barrier and
any new entrants can enter. For entrepreneur, this is a risk if any new company launch
organic coffee.
 Power of suppliers- The suppliers are those who provides raw material to companies.
Their power depends on their numbers, if there are large number of suppliers then their
power will be low. This is so because companies will have more alternatives. In aspect of
above entrepreneur, they can be effected by suppliers' power because of less number of
suppliers who offer material to make organic coffee.
 Power of customers- The customers power depends on number of companies. If there are
wide range of sellers then they will have option to buy and their power will be higher. In
the case of above coffee market of UK, there are large number of sellers who sell coffee
but there are less number of seller who offer organic coffee.
 Threats of substitute products- The substitute products are those which are similar in
features but prices are different. In case of UK coffee market, there are various kind of
substitutes available to customers. Though in aspect of entrepreneur's new idea of organic
coffee, there are less number of substitute products.
STP (Segmentation, targeting and positioning):
 Segmentation- It can be defined as breaking of markets and customers into small parts. In
the case of new idea of organic coffee of entrepreneur, first they should identify their
customers who can prefer their organic coffee. Their customers can be of young age
group person.
 Targeting- After segmentation, the next step is to target customers so that they initiate to
buy. For above entrepreneurs, they should try to focus on young age group customers and
try to make policies accordingly.

 Positioning- It is related with making a strong brand image in market. In the case of
above entrepreneurs, they can make an effective brand image in front of customer as their
idea is unique and health conscious.
In UK, there are several organisations that introduce their maximum services in different
coffee but there are lack of services for organic coffee. Thus there might be a possibility for
organic coffee idea to get desired success in target marketplace.
P3 & P4. Gap analysis in evaluation of entrepreneurial idea and interpretation
Gap analysis is generally conducted by an entrepreneur in introducing a new business
ideas or concept into new marketplace (Siegel and Renko, 2012). This process help in
ascertaining weather the current performance of business is suitable to meet up the desired future
performance. In other words, it basically involves comparison between the present performance
level of business standards. Moreover, it will help an entrepreneur to refine and define new ideas
and innovation to meet up the standard performance level. It will also help in critical evaluation
skills that are need to grow as well as enhance their performance and earn profit into competitive
marketplace. Apart from this an entrepreneur is analysing their market gab in an effective
manner as they are coming up with organic coffee. As in today's scenario their more of chemical
products along with more preservatives. Thus, in this way an entrepreneur can gab out
opportunities in the competitive marketplace as well as able to sustain in the marketplace of
same product line.
Primary research: Primary research is refer to those research which is conducted by
researcher for the first time (.Suddaby, Bruton and Si, 2015) Herein, an entrepreneur had
conducted a survey that involves questionnaires, surveys and interviews within individual and
small group of people. Moreover, an individual used questionnaire methods to identify and
analysis the gab of marketplace so that they can fulfil gab and acquire a unique position in
marketplace.
Secondary research: Secondary research basically involves collection of existing
synthesis, books, journals and sources of internet. It is the data which is collected by someone
else other than the researcher himself. Moreover, an enterpriser of organic coffee can use
secondary research because this research is cost effective and less time consuming process.
Q.1: Are you aware about organic coffee with brown sugar?

 Yes
 No
Q.2: Does Organic coffee provide unique perception as per the demand of customer's need?
 Agree
 disagree
Q.3: Does the employees and staff member required any type of training and development
sessions?
 Yes
 No
Q.4: Will organic coffee will able to attain competitive advantage in competitive marketplace?
 Agree
 Disagree
Q.5: Will organic coffee will able to attain attention of their customer's with their unique
product and service quality?
 Yes
 No
Theme 1: Awareness about organic coffee with brown sugar
Are you aware about organic coffee with
brown sugar?
Frequency
Yes 28
No 18

Central Tendency Data
Mean 23
Median 23
Mode 0
Standard Deviation 7.07
Interpretation: From the above interpretation it has been concluded that people are
aware about organic coffee with brown sugar. Moreover, they are also aware about its benefits
that is effective for health.
Theme 2: Unique perception as per the demand of customer's need
Yes No
0
5
10
15
20
25
30
Column B

Does Organic coffee provide unique perception
as per the demand of customer's need?
Frequency
Agree 28
Disagree 12
Central Tendency Data
Mean 20
Median 20
Mode 0
Standard Deviation 11.31
Agree Disagree
0
5
10
15
20
25
30
Column C

Interpretation: herein, with the above stated graph it has been determined that an
entrepreneur will be successful in this product. As it will be able to create a unique perception as
per the need and demand of customers.
Theme 3: Employees and staff member required training and development sessions
Does the employees and staff member
required any type of training and development
sessions?
Frequency
Yes 25
No 15
Central Tendency Data
Mean 20
Median 20
Mode 0
Yes No
0
5
10
15
20
25
Column C

Standard Deviation 7.07
Interpretation: From the above stated data it has been identified that an entrepreneur
need to provide more training and development session its employee and staff member. So that
they are able to serve in an effective manner.
Theme 4: Organic coffee will able to attain competitive advantage
Will organic coffee will able to attain
competitive advantage in competitive
marketplace?
Frequency
Agree 30
Disagree 10
Central Tendency Data
Mean 20
Agree Disagree
0
5
10
15
20
25
30
Column C

Median 20
Mode 0
Standard Deviation 14.14
Interpretation: From the above stated graph it has been concluded with premium quality
of product and services to its potential customers organic coffee shop will bale to attain
competitive advantage in marketplace.
Theme 5: Organic coffee will able to provide unique product and service to customers
Will organic coffee will able to attain attention
of their customer's with their unique product
and service quality?
Frequency
Yes 28
No 12
Yes No
0
5
10
15
20
25
30
Series1

Central Tendency Data
Mean 20
Median 20
Mode 0
Standard Deviation 11.31
Interpretation: Herein, from the above graph it has been clear that organic coffee will
able to attain customer's attraction towards it with their high class services to its potential
customers. Thus, with this they will able to attain sustainability in competitive marketplace.
P5. SWOT analysis to assess entrepreneurial idea
Organic coffee is coffee without aid of artificial chemical substances such as certain
additives like pesticides or herbicides. (Tang, Kacmar and Busenitz, 2012).This help to
understand the core areas of business where it beats the competition and have competitive
advantage in the market.
Strengths: These are core competency of the business. These are are having high barriers
to entry that make highly experienced for owner operator. The organic coffee sell their products
online so that they make their competition to be increased. The business is convenient and people
buy these products more and more on online because organic coffee is essential for reducing fat.
All the competitors want good product. The organic coffee with brown sugar had many strengths
that are as follows-
 Strong brand image
 Extensive global supply chain
 Useful for fat soluble
Weakness: Organic coffee with brown sugar have potential effect for the absorption of
some vitamins and minerals such as iron and calcium. It can be dependent on leading various
symptoms which is associated with arise of serum cholesterol and blood pressure. It is very
expensive and many customers may not buy this product. Weaknesses can be done by the
following ways-
 High price points

 Generalized standards for most products
 Immutability of products
Opportunities: This part of SWOT analysis model focuses on external factors that
present opportunities for business growth and development . It is a continued expansion for
online sales growth. Organic coffee have the ability to develop their own stores in market that
can bears some additional cost. Some opportunities of Organic coffee are as follows-
 Expansion in developing markets
 Business diversification
 Partnerships or alliances with other firms
This factor use to make more revenues through expansion in developing markets.
Organic coffee with brown sugar make to strengthen the company presence and market share
through partnerships or alliances with other firms. For instance, alliance with major retailers
improves distribution and market share of the company’s consumer goods, such as ready-to-
drink coffee.
Threats: Threats against the business are identified in this part of the SWOT analysis.
Threats are external factors that reduce or limit business performance. In this company analysis
case, the following are the main threats relevant to organic coffee with brown sugar :
 Competition involving low-cost coffee sellers
 Imitation
 Independent coffee house movements
The threat of imitation involves firms that try to copy the taste, look and feel of organic
products. It will change in price that make input pricing and increased awareness among
customers regarding health concerns associated with organic coffee.
Thus, from SWOT analysis it has been determine that an organisation need to improve over its
weaknesses so that they can maintain their stability in new marketplace. For such purpose they
need to analyses the marketplace before coming with its new product that is organic black coffee
with brown sugar. Apart from this, they can grab various opportunities in new marketplace by
expanding their product into developing marketplace, or else joining hands with the existing
coffee house in order to have proper market share in competitive marketplace.

P6. Evaluation of competitive and market environment to assess potential viabilities
In order to become successful an entrepreneur need to carry out analysis of market and
industry environment to gain knowledge of latest trend and techniques that are being used by the
competitors ( Welter and Alvarez, 2015) Moreover, an individual need to execute and function
business ideas in such a manner that it ensure to get maximum acceptance and satisfaction from
its customer's.
Competitive Marketplace: An entrepreneur need to carry out appropriate research of
marketplace in order tom ascertain all internal and external aspect of business. This would help
entrepreneur in gaining competitive advantage as well as sustain and grow into marketplace for
long duration of time. Additionally, evaluation of strategies and techniques are adopted by
entrepreneur of organic coffee so that they are able to provide better quality of product and
services to its potential customer's. Substitutes: An entrepreneur need to keep a regular update knowledge of services and
product that are being offered by their rivalry. With this an individual can make its
unique identification in competitive marketplace. Target audience: Before coming up into marketplace of United Kingdom an
entrepreneur need to decides its target audience for which the facilities are being
launched. Moreover, it involves an approximate measure of demand which will created
by customers in relation to their health.
Market environment:
An entrepreneur of organic coffee has adopted PESTEL analysis in an analysing market
environment in which they are opting to provide services in the new marketplace of United
Kingdom.
Political factor: Political factors are those factor which basically determine the rules
and regulation abided by government that may affect a business to perform its functions. Herein,
an entrepreneur need to analysis the political factor of United kingdom before entering with his
product into marketplace. Such as political stability, legal framework, pricing and promotion
strategies that are ethical and as per the laws of operating business.
Economical Factors: Economic factors are those factors which includes interest rate,
saving rate, inflation rates etc.. which may have impact in functioning business opportunities.
Additionally, an entrepreneur have to provide employment opportunities to people without any

discrimination. Moreover, maintain proper cost of raw material as well as quality they are
offerings.
Social Factors: Social factors are those factors that describe the buying pattern of
customer's, culture and trends. Eventually, an entrepreneur of organic coffee need to analysis the
buying pattern of an individual its needs and demand. According, an individual need to offer its
product and services to customer's that suits their life style and personality of its target
customer's.
Technological Factor: Technological factors will help an entrepreneur of organic coffee
to adopt different advancements of tools and technologies which will help in enhancing
productivity of their business. Such as providing facilities to its customer's by ordering products
online through website and apps. This will be much effective in nature as people are more
attracted towards online services in today's context.
Legal Factor: An entrepreneur need to carefully evaluate the legal factors of United
Kingdom before comping up with the product into marketplace. Herein, an individual need to
take care of employment legislation, health and safety of its employees and staff members. With
this an entrepreneur can attain sustainability in competitive marketplace.
Environmental Factor: Environmental factor will help an entrepreneur to understand the
marketplace in an effective manner. Moreover, it will help in understanding climate change and
laws related to environmental pollution and waste management in appropriate manner. Thus, in
this way an individual can operate its business activities in eco- friendly manner.
Thus, by critically evaluating PESTLE analysis an entrepreneur can evaluate what are the
factors that can effect is business in new marketplace both positively and negatively. For such
purpose they need to analysis the competitive marketplace of a new country where they want to
operate their business.
Porter's Five Force Model Analysis
An entrepreneur of organic coffee is using Porter's Five Force Model analysis to know its
competitive position into new marketplace of United Kingdom. Such as:
Threat of new entry: This force determine barriers in entry to competitive marketplace
as there can be strong competition and cost which is necessary to set up business activities
(Autioet. al., 2018.) Herein, threats for an entrepreneur of organic coffee is huge capital to start
its business in competitive marketplace of United Kingdom.

Threats of substitutes: In this force of analysis an entrepreneur need to have different
alternatives in his product and services that are being offered to its potential customers. As in
competitive market wide range of substitutes are available this may affect the venture. For this
purpose an entrepreneur need to brand its product in an attractive manner with reasonable pricing
strategies.
Bargaining power of suppliers: An entrepreneur needs to have good quality of raw
material which are easily available in market. Moreover, there are some factors that may affect
its business operation are very few suppliers of organic coffee as well as alternatives may nor be
available. Thus, this will lead to increase bargaining power of suppliers in market.
Bargaining power of buyers: In marketplace there are may option available for
customers and competitors which ultimately increases bargaining power of customers
(Barazandehet. al., 2015) Herein, an entrepreneur needs to position its product and price in such
a manner that creates a unique value in mind of customer's.
Competitive Rivalry: In today's era there are many strong competitors in marketplace.
Herein, an entrepreneur have to exercise some control over prices of its product and services.
They can come up with competitive and innovative ideas in order to sustain into competitive
marketplace. Thus, they need to focus on its quality of product so that they can attract large
number of customers towards it.
CONCLUSION
From the above discussion it has been concluded that an entrepreneur come up with
unique and healthy ideas into competitive marketplace with new innovation or innovation in
existing product. Herein, an entrepreneur is coming up new product that is organic coffee with
brow sugar in United kingdom. Furthermore, with SWOT and PESTLE analysis an entrepreneur
can analysis its strengths, weaknesses , opportunities and threats of its product weather he will be
able to attain sustainability in marketplace or not. Moreover, with the adoption of porter's five
force field analysis an entrepreneur can know its competitive position among competitiors of
same product line.

REFERENCES
Books and Journals
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entrepreneurial opportunities. International Entrepreneurship and Management
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Grégoire, D. A. and Shepherd, D. A., 2012. Technology-market combinations and the
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Kohlbacher, F., Herstatt, C. and Levsen, N., 2015. Golden opportunities for silver innovation:
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Suddaby, R., Bruton, G. D. and Si, S. X., 2015. Entrepreneurship through a qualitative lens:
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Tang, J., Kacmar, K. M. M. and Busenitz, L., 2012. Entrepreneurial alertness in the pursuit of
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Autio and et. al., 2018. Digital affordances, spatial affordances, and the genesis of
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Barazandeh and et. al., 2015. Investigating the effect of entrepreneurial competencies on business
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