Identifying Entrepreneurial Opportunities

This report discusses the sources of entrepreneurial ideas and innovation, and evaluates a specific entrepreneurial idea using relevant tools and techniques. It also presents data to support gap analysis and interpretation of market potential. The report further explores the competitive and market environment for launching the business idea.

IDENTIFYING ENTREPRENEURIAL
OPPORTUNITIES

Table of Contents
INTRODUCTION...........................................................................................................................1
P1Determine and evaluate different sources of entrepreneurial ideas and innovation..........1
P2 Entrepreneurial idea using relevant tools and techniques.................................................3
P3 Present data needed to support gap analysis in the evaluation of a specific entrepreneurial
idea.........................................................................................................................................7
P4 Interpretation data appropriately to provide evidences of market potential .....................9
P5 SWOT framework to collate evidences to support an objective evaluation of particularity
entrepreneurial idea..............................................................................................................10
P6 Evaluate the competitive and market environment in which the idea will be launched to
assess potential viability.......................................................................................................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Entrepreneurs are considered as those individuals which generates and implements new
business ideas to start a new business at their own risk. They are also considered as individuals
having their own ideas and strength to regulate business operations independently (Welpe and
et.al, 2012). Various opportunities are available for entrepreneurs in UK, to establish their
business effectively. Present report is based on analysis of start ups business ideas that needs to
be implemented for achievement of growth and innovation. There are various sources of
generating entrepreneurial ideas and innovation have been discussed. In addition to this, an
innovative entrepreneurial idea have discussed along with the data to the support the gap analysis
in the evaluation of entrepreneurial business idea. Moreover, interpretation of data to provide
evidence of market potential is also determined along with the SWOT framework, in order to
collate the evidence for supporting the objectives' assessment of specific entrepreneurial idea. At
last, the competitive and market environments to launch the business idea is also discussed.
P1Determine and evaluate different sources of entrepreneurial ideas and innovation.
There are various sources of generating entrepreneurial business unique ideas and
innovation. Some of them are as follows:
 Customers – Since customers are the ones to give the last assessment of products and
administrations and well as drive sales, it is no big surprise that they are the most
productive source for ideas (Vanevenhoven, 2013). Keeping in mind the end goal to
completely use the power of customers, advancement leaders should institute strategies
for earning and assembling customer ideas. The web is a fantastic place to start,
particularly for organizations in the innovation businesses.
 Competitors - Competitive associations and firm leaders are two other underutilized
sources for advancement. Going to industry meetings, displays and trade-shows is a
decent method to gain knowledge of what the opposition is creating or exploring (Fisher,
2012). Organizations can regularly utilize these thoughts and annex or adjust them to
make new products themselves. On a more elevated amount, business pioneers should
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attempt to remain all around associated and connected with different pioneers in their
industry as this is yet another road for social affair ideas.
 Internal Departments - Interior workers along with sales and advertising together make
up one of the biggest source for ideas. By excellence of experience and introduction
inside an industry and its related products, representatives are frequently the most all
around educated thought source and can give organized recommendations for new
products and administrations (Sebastiani and et.al, 2013). Support worker thoughts by
furnishing them with the fundamental foundation to submit new proposition. The deals
and promoting office more often than not encounters the best harmony between client
relations and inner correspondence.
There are various kinds of innovation which can be applied by individuals and organisation
which are mentioned above: Process innovation: It is type of innovation in which individuals and organisation will
tend to make changes in the process of their existing business operations (Alvarez and
Barney, 2014). For example; Change have been made by organisation in delivery of
products by using online service in order to reduce the cost. Further, through
implementation of new and important techniques and application innovation can be made
which helps in increasing the capabilities of organisation. Product innovation: It is type of innovation in which entrepreneur generates new ideas
for development of products that already exist in market. This implies to providing new
features to products which are existing in market. For example: Introduction of IPODS by
Apple in comparison of old music players was considered as major innovation and
achieved great success in market. Incremental innovation: These are types of innovation that has been made continuous in
organisation to improve its operations and achievement of business efficiency. For
example: Change made by Toyota in process of manufacturing vehicles to increase fuel
efficiency and reduce emission.
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Difference between innovation and invention:
Innovation Invention
It refers to implementation of new idea for
making changes in existing products or service.
It involves generation of new idea or unique
for development of product that does not exist
in market.
Set of new marketing, strategic and technical
skills have been required among individuals
and organisation to make innovation in
existing products and service (Obschonka and
et.al., 2012).
Individuals and organisation required scientific
skills to generate new idea of product
development.
It is continuous process that is applied by
organisation to achieve growth and sustaining
business in competitive global market.
It is not continuous because it is difficult to
generate new idea for individual and
organisation every time (Madhok and Keyhani,
2012).
Innovation has major effectiveness among
individual or entrepreneur as it provide fewer
problems in implementation.
Various problems have been faced by
organisation in the process of invention and
sometime it will lead to failure as well.
It provides competitive advantage to
organisation in market.
Invention is done by organisation and
individuals with aim of getting recognition.
P2 Entrepreneurial idea using relevant tools and techniques
Every entrepreneur aim to identifying and foster innovations' technology that tries to earn
more profit and increases the growth of the business. If some one start a restaurant business in
UK it might be time to sit down and start draw up a plan to open restaurant business. They need
to find a best location in UK city and local owned food like fast food. They should tries make
innovative food items when start restaurant business then they should try increase their sales and
providing a best quality food rather than other restaurant. Restaurant business owner main
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objective establishing being as a successful fast food outlets and gain a market share in UK fast
food industry (Sebastiani and et.al, 2013). To expand their business only one UK city they
should try their business all over the country. The goal of restaurant business one of the most
successful fast food in UK start a business one retails outlets inside a major shopping mall as to
check a customer perspirations related to the food items taste.
The focus of this restaurant business serving high qualities food to the customers, create a
unique, innovative, entertaining menu that will different from other competitors. They try to sell
food items are high quality as well as keeping a customer feel happy with all the food items. The
main motive to providing 100% satisfactions to the customers and maintaining the level of first-
class services among other competitors in the market. Always encouraging the value of the fast
food business its name and services. Promote a value of the business and increasing their
restaurant food sale neighbouring countries also. To open a new restaurant every 8 months
means try to expand their business within 8 months . To giving a offer to the customer like
discount every week, combo pack and it is wonderful experiences at the reasonable prices. Treat
every customer if they are only a customer and customer feedback that is related to services.
The benefits of restaurant fast food business is that has own ability and venue that reflect
business value. If they provide healthy food to the customer restaurant can be way of show as
like a good position in the society (Schlosser , 2012). The major benefits of restaurant business
start-up the only thing that need food in the future also people day by day want eat something
new and fast food demand not only local area even local geographical area as well. Because food
is the basic need to every one without food no anyone live, so this is the best idea for long term.
This restaurant business idea run business long time and it is the basic need every customer,
families. Providing a safety to the customer and managing the staff performance. Be an owner
know should take a right decision for the well fare of the business and customer taste after doing
research they try develop business week part. Keep in mind that providing customer food
services in time it is the best make a sure focused on customer services. Because without
customer how can run food restaurant business so it is very important to make a good interaction
with customers.
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Threat of new entrant: The threat of new entrant is quite low for entering into new
market because it requires a lot of money and operating cost that further leads a business at high
cost. That is why for new player, it is quite costly to enter into new market.
Threat of Substitution: The restaurant has various entity and to make it easier the
customers has to make a choice before switching it to another. Due to low switching cost the
customers also shift and they also charge a premium from their customers and also based upon
the quality of their offered products.
Competitive Rivarly: This is high because it the competition is quite high in the the
market and it make it more hard to maintain the high profitability for some smaller restaurants.
Moreover, this firm also have higher budget of marketing and product innovation which helps to
maintain the edge of their similar rival firm.
Bargaining power of buyers: This factor is quite high because the customers are easily
spent money for purchasing the item and on the other side, restaurant are always adjusted their
prices in order to make their business more profitable.
Bargaining power of suppliers: It have high rate of suppliers and due to small
restaurant, the supplier power is quite low and on the other side, it is high for big firms. In order
to maintain their business ties with large firm, the suppliers should adjust their prices of raw
material as per the demand of their customers.
Segmentation can be performed on various basis where people belonging to middle
income individuals are generally targeted by the company. Hence, it can be stated that
segmentation has been performed based on demographic basis. Further, the main features of the
products offered by the organization is that it helps in offering affordable products to the
customers with variety which is made available to them.
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P3 Present data needed to support gap analysis in the evaluation of a specific entrepreneurial idea
Collection and evaluation of data is important task in to bring an entrepreneurial idea. It
will assist to determine the gap which is presented among the idea of business and situation of
market. Furthermore, by collecting data from the market as well various source. It not the hardest
thing to find out requirement of each and every individual. Hence, it will assist in assessing the
exact situation of the market and how the action as well strategies have been modified for the
growth and development of the enterprises (Eckhardt, 2014). There are certain advantages of
conducting market research. It will reduce the uncertainty of not able to succeed, determine
chance issues arise. The data can be gathered from the two way such as primary and secondary
research techniques.
Primary Research: In the primary research techniques of collecting data the information will be
gathered by utilising of questionnaire and interviews. This will assist in determine present
situations of the market. The source of information will be collected with the help of 30
respondent.
Secondary Research: In the Secondary research for collecting data with assistance of various
source such as Newspaper, books, Journals and articles. It will provide the sources on the basis
of previous condition of market. It will also highlight that what are the changes have been arisen
and how it can be impact on the market.
Using Technologies: It is another aspect to conduct research with help of technologies. It will
give relevant data and in less period. As well, the prices or expenses incurred will be less. The
various method can be explained such as follows:
Internet Forums: In these methods a form can be given to each and every person to fill it. The
structure of the form is including the question about the topic(Knight, 2015). This will be
circulated through internet which will assist in collecting data from a various areas and groups.
Social Media: This can be effective techniques of research in which the individual behaviour can
be under supervision. Hence, this will assist in determining requirement of each and every
person.
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Gap analysis can be refer as the space which have been shows variances in the
performance of business with the expectoration of results. In an enterprises' idea arise among the
market and group of clients. So it is significant to evaluating this gap. Further, market can be
refer as the particular region in which the goods and services are given to the consumer and the
clients groups mean the specific customer segment which can be based on the demographic and
geographic areas. The areas which have been highlighted such as London and Birmingham. The
target customer is below the higher segment individual who required to get better services of
cleaning.
The above questionnaire is used to determine the gap analysis and further its main aim is
to evaluate the profit earn by the restaurant industry from last many years. From this it has been
easily analysed that to introduce new restaurant in the market will be beneficial or not. Whatever
the outcome comes, that will helps to determine whether to invest in this industry will be fruitful
or not.
Questionnaire
Q-1 Up to what extent changes in the market has been occurred?
 Low
 Medium
 High
Q-2 What types of alterations have been occurred in the market in recently?
 Change in buying behaviour
 Change in price
 Increase in competition.
Q-3 What type of business you do?
 Retail
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 Wholesale
 Supplier
Q-4 From how much time you are doing business?
 2-3 years
 3-5 years
 more than 5 years
P4 Interpretation data appropriately to provide evidences of market potential
From the above collected data from the questionnaire, it has been analysed that there are
25 individuals from the 30 respondents are operating their business practices in retail sector.
They have been working in this sector from last 2 to 3 years. They have considered that the
major change that has been occurred in the market was the buying behaviour of customers. This
continuous fluctuation in the market have provided major impact on their business (Kirzner,
2015). Thus, it has been analysed that the market is having potential to achieve growth and
increasing business opportunities for new and small business owners. The above responses also
stated regarding changes that has been noticed in the market in such a manner that it can helps in
ensuring that developing new strategies for the business. Type of business also help in preparing
an assessment that hwat type of business is being conducted by the organization. Decision
making aspects are initiated based on it so as to frame better policies.
Interpretation: from the above data, it has been interpreted that continuous fluctuation
in the market creates negative impact upon the business as per said by majority of respondents.
In order to sustain business operation in market they have decided to make changes and
introduce innovation in their products and services which will help to sustain its brand image in
market. Further, it has been further interpreted by the respondents that to as the industry earn
great profit so introducing new restaurant will be beneficial for the firm to raise high profit
margin in market.
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P5 SWOT framework to collate evidences to support an objective evaluation of particularity
entrepreneurial idea.
It is vital for business person to distinguish what is qualities and shortcoming of his
business thought. This will help in discovering factors that are influencing usage of business
thought. It incorporates examination of SWOT that contains full scale and miniaturized scale
factors. It is extremely helpful for creating business thought. Through this, the assessment
business thought should be possible. It is improved the situation specific zone. It indicates how
thought can be undermined by a few components. By examining industry and its condition it is
anything but difficult to assess accomplishment of business thought. The assessment of elements
is given beneath :-
SWOT analysis It is a viable that aides in understanding qualities and shortcoming of business.
By utilizing this business can distinguish territories in which they are solid and frail. At that
point, additionally measures are taken to enhance powerless zones.
 Strengths: It portrays zone in which business is having extremely solid upper hand over
its opponents. It gives the reason what item includes makes business solid in particular
territory. In this quality is considered from both inward and outside point of view. It
incorporates client, contenders, and so forth (Shane and Nicolaou, 2015). So for business
thought of cleaning, it is been expressed that it will give compelling administrations to
individuals at their place. It will enable individuals to get access of administration just by
one to click. No different business here is giving cleaning administration. Therefore, it is
helpful to actualize business thought. As it has been analysed that new idea of setting up a new restaurant is beneficial because
from last many years as the data collected then it shows that it generate more revenue as
compared to other industry. And that is why this idea is consider as a strength.
 Weakness: It indicates territory where business is deficient. This offers contenders to
exploit this opportunity. Alongside this, it portrays how business can enhance that zone
by taking powerful measures. It is recognized by taking criticism from clients.
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 As the idea is beneficial but on the other side it also have weaknesses because if the firm
did not adapt new and advance technique into the working area then it will be affect the
business performance which needs to be overcome. Opportunities: It decides region of development for business. This is recognized by
rolling out improvements in process, techniques, items, and so forth. It gives business an
upper hand in the market. Likewise, it makes immense number of chances to snatch
particular territory. This business can develop by expanding its scope of administrations.
It can give it in different territories with the goal that it will consequently draw in
individuals bringing about more deals.
 Threats: This characterize coming dangers that can prompt gigantic misfortune in
business. It can be because of progress in innovation, taste and inclination of individuals,
outer variables, and so forth(Kuratko, Morris, and Schindehutte, 2015). For this business
must create systems with the goal that it can be actualized.
 For new idea, it has been realised that there is a significant risk can be of new contestants.
It can exceedingly influence thought and can prompt disappointment. Other than this,
adjustment in innovation can likewise be a risk.
P6 Evaluate the competitive and market environment in which the idea will be launched to assess
potential viability.
Any business thought before execution must be fundamentally dissected. It must be as to
the zone in which business will work. It is on the grounds that it will help in assessing market
condition with the goal that progressions can be made appropriately. This will make it is simple
for business visionary to actualize its thought. By and large, aggressive and advertise condition is
assessed. It examines as underneath :- Competitor analysis: In this doorman five power demonstrate in been utilized. It is an
aggressive power that aides in breaking down industry condition . It helps in discovering
effect of industry condition on business(Gartner, Carter and Hills, 2016). There are not
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couple of rivals in who are giving cleaning administration. So it is important to assess
their administration quality and methodology. Competitive rivalry: It demonstrates the current level of rivalry in the business. In the
event that there are more business there will be extraordinary rivalry. Then again, low
level of rivalry will draw in new contestants to enter in it. The level of rivalry is direct in
giving cleaning administrations. So the passage of one more won't exceptionally
influence rivalry. Be that as it may, this can draw in others to enter in it. For the new idea
of introducing new business, the firm has to faces tough competition with other firm and
as a result it decreases the chances of growth Threat of substitute: It alludes to discovering distinctive method for fulfilling need.
Individuals dependably have an alternative of substitute on the off chance that they feel to
change item (Kirzner, 2015). There are may substitutes accessible for individuals, for
example, utilizing labourer, and so forth. But, cleaning administration in special and
successful way. Likewise, the cost of administration is low that will pull in individuals to
utilize it. For new entrepreneurial idea, due to low switching cost the customers also shift
and they also charge a premium from their customers and also based upon the quality of
their offered products. Buyer power: It alludes to number of purchasers that can impact business to let down its
cost. Likewise, it indicates how clients can without much of a stretch change starting with
one item then onto the next. In addition, more number of purchasers will exceptionally
impact item costs. The purchasers are not very many in this, so it won't have any impact
on costs. This factor is quite high because the customers are easily spent money for
purchasing the item and on the other side, restaurant are always adjusted their prices in
order to make their business more profitable. Supplier power:It alludes to number of providers that can impact business to expand its
cost. Additionally, it indicates how providers can impact client conduct. Also, more
number of providers contain more power(Anderson, 2015). There is no provider in
cleaning business, so it won't have any impact on costs. It have high rate of suppliers and
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due to small restaurant, the supplier power is quite low and on the other side, it is high for
big firms. In order to maintain their business ties with large firm, the suppliers should
adjust their prices of raw material as per the demand of their customers.
 Threat of new entry:It is most basic method for entrance in new market. It alludes to how
new participants can affect the business. It is simple for them to enter and impact rivalry
among business. The risk of new participants is high around here. It will pull in more
business visionary to execute, for example, business thought.
CONCLUSION
In this report, it has been analysed that entrepreneurs plays an important role in providing
growth to the economy and increasing various employment of opportunities for people by
generating new ideas and unique concepts of establishing business. Start ups are very small
business that usually exist at domestic level in UK and also provided employment opportunities
for people. There is major difference between innovation and invention that needs to be analysed
by organisation. Further, intense competition in food industry is major threat which is faced by
new business idea in market. Through implementation of new strategies, new business idea will
tend to achieve growth in market.
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REFERENCES
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theories in entrepreneurship research. Entrepreneurship theory and practice, 36(5),
pp.1019-1051.
Gartner, W.B., Carter, N.M. and Hills, G.E., 2016. 7. The language of
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Kirzner, I.M., 2015. Competition and entrepreneurship. University of Chicago pres
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Schlosser. E. 2012. Fast food nation: The dark side of the all-American meal. Houghton Mifflin
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Sebastiani. R. Montagnini, F. and Dalli, D., 2013. Ethical consumption and new business
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