Report: Cloud 9 - Entrepreneurial Opportunity and Market Gap Analysis

This report analyzes the entrepreneurial opportunity for Cloud 9, an accommodation provider, focusing on market gap analysis and business strategy. It begins with the entrepreneur's idea, driven by the growth in the service industry and accommodation sector, specifically inspired by Airbnb. The report uses Porter's five forces to analyze the external environment, assessing threats, rivalry, and barriers to entry. A gap analysis evaluates customer needs, hotel trends, and potential problems. Data interpretation from primary and secondary sources reveals high demand for accommodation services and customer preferences. The study concludes that Cloud 9 has growth potential, considering competitors like hotels and Airbnb, with SWOT and PESTLE analysis supporting the business's scope for market share capture. The report also includes references to relevant academic sources.

Identifying Entrepreneurial Opportunities

P 2 Entrepreneurial idea and the market gap by using relevant tools
and technique
Entrepreneur is coming up with the idea of getting into a business of accommodation provider
such as Airbnb.
The name of the venture is going to be Cloud 9.
The reasons for choosing this business is because it deals in service industry and the flow of
money and rate of success is high if right amount of strategies is used to attract the consumers.

Porter's five force analysis
This is most appropriate method or framework that helps in analyzing external environment
of company so that firm can take suitable action to gain success.
Threat of new entrants-
Usually the threat from new companies entering into the same sector is low but it takes just a
website to enter into this industry. Still there are many barriers which affects the growth of cloud 9 in
the industry such as time when the company entered into the market, raising the capital is not easy and
barriers which are related to legal aspects.
Rivalry among existing firms-
This aspect exists in this industry at a high level there are many factors which the
entrepreneur of the company needs to keep in mind in order to survive the competition. Growth rate of
business needs to be assessed in the industry. Other than this strategies and target audience of the
competitors needs to be kept in mind so that new and effective strategy can be taken. The most
important factor is equity of the brand as it helps them to generate more consumers and earn more
revenues.

P3 Gap analysis in evaluation of particular entrepreneurial idea-
How did you get up with idea for your business?
Customer needs
Change in hotel trends
Growth in hospitality sector
What problems did hotels are facing today?
High competition
Change in customer needs
Do you think customer will like your business idea?
Yes
No
What gap is your business trying to fill?
Fulfil customer needs
Providing more facilities

Cont..
Primary and secondary are two main sources of gathering data.
From the primary data researcher has received all current detail related to subject areas.
And by using secondary sources individual has become able to manage previous industry market
analyses results that help in taking right action to set up the business.

P 4 Data Interpretation for the potential of market
Do you think that demand of accommodation services is very high
No Yes Total
0
5
10
15
20
25
30
35
5
25
30
Respondents
Respondents

How frequently you use such hotel services
27
2
1
Theme: How frequently you use such hotel services
Very frequently
Not so frequently
Do not use

Theme- What is unique in cloud 9 as compare to other
competitors?
Fulfil customer needs
Providing more facilities
0 5 10 15 20 25
23
7
Respondents
Respondents

Theme- Do you like to pay for the hotel service that provides you
value for money
Theme: Do you like to pay for the hotel service that
provides you value for money Yes No
0
5
10
15
20
25
30
28
2
Series1

Theme: What is your
expectation from such
accommodation providers
15
7
8
Theme: What is your expectation from such accommodation
providers
Cost effective products
Frequent services
Quality products

Conclusion
From the above studies it has been concluded that the entrepreneur chose this idea because of the
rate of growth and the flow of money. There are many competitors of cloud 9 such as hotels,
Airbnb etc. which they need to keep in mind so that they can compete with them and survive in
the market.
This report gives an analysis of SWOT and Pestle which states that company has the scope to
achieve growth and capture their share in the market.

References
Andersson, G., 2018. Identifying Entrepreneurial Opportunities for Black Ownership in
Manufacturing(Doctoral dissertation, University of Cape Town).
Clark, K. and Ramachandran, I., 2019. Subsidiary entrepreneurship and entrepreneurial
opportunity: An institutional perspective. Journal of International Management, 25(1), pp.37-50.