Generating Effective Ideas for New Business: A Detailed Report

This report delves into the critical process of idea generation for launching new businesses and innovative products. It begins with an introduction highlighting the importance of unique ideas and the steps involved in their effective implementation. The literature review explores the perspectives of various scholars on the significance of idea generation, its role in gaining a competitive advantage, and the techniques employed, such as brainstorming and mind mapping. The methodology section outlines the stages followed, including generation, selection, and implementation of a business idea. The application section applies entrepreneurship theories, such as the Schumpeterian model, to demonstrate how entrepreneurs identify market opportunities. The outcomes section discusses the benefits of idea generation, the selection process, and the impact of creativity and innovation in the workplace. The conclusion reiterates the importance of unique ideas and the effective idea generation process. The report includes an action plan and references for further study. This assignment is contributed by a student and is available on Desklib, a platform providing AI-based study tools.

Effective Idea Generation

Table of Contents
INTRODUCTION...........................................................................................................................1
LITERATURE REVIEW................................................................................................................1
METHODOLOGY AND RATIONALE.........................................................................................1
APPLICATION TO IDEA GENERATION...................................................................................2
OUTCOMES...................................................................................................................................3
CONCLUSION................................................................................................................................4
Action plan...................................................................................................................................4
REFERENCES................................................................................................................................6
BIBLIOGRAPHY............................................................................................................................7

INTRODUCTION
In order to launch new business or any type of innovative product in the market it is
necessary to generate unique idea. Further, idea generation starts by following series of steps and
it directly assist in effective implementation of the same (Ferri, 2008). Apart from this various
models of entrepreneurship are present through which any individual can indulge into creative
practices and this leads to successful launch of new business in the market. The present report is
based on the generation of specific idea on the basis of which it is possible to launch new
business or any other type of product. Moreover, model and theories of entrepreneurship have
been discussed in the study.
LITERATURE REVIEW
As per view of Frese, Chell and Klandt (2000) process of idea generation is considered
to be quite effective through which any individual can easily work on new idea. Further, setting
up of any new business or launching product in the market is based on the idea due to which it is
considered to be very important. Moreover, to sustain in the market it is necessary that idea is
feasible and valid too (Frese, Chell and Klandt, 2000). In short, it can easily allow business to
gain competitive advantage and acts as development tool also. However Shane (2003) argued
that idea is the main base on the basis of which any new business can be set up easily and
success, failure of enterprise depends on the type of idea. Generation of unique idea depends on
series of stages which are being followed and it directly acts as development tool for the
entrepreneur who wishes to set up new business in the market (Shane, 2003). Further, it is well
known fact that when entrepreneur implements any new idea they apply creative thinking along
with large amount of knowledge so as to gain high benefits with the help of this. Different
techniques of idea generation are present which are employed such as brainstorming,
mindmapping, role playing etc. Every technique has its own benefit and by applying the same it
is possible to obtain different type of benefits in the market.
METHODOLOGY AND RATIONALE
The main motive behind carrying out the present study is to generate specific business
idea with the motive to start new business or launch of new product in the market. Further, for
implementation of the business I have followed series of steps so that I can easily convert idea
into reality. Moreover, I consider idea generation steps very important and in case if all the
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stages are not followed then it becomes difficult to start the business. The series of stages which I
followed for generating idea are as follows:
 Generation: It is the first main stage which I focused on. Further, in this stage I identified
the actual need such as starting up new business along with the requirement of customers
which can be satisfied through this idea. Moreover, different type of decisions was taken
with the motive to successfully implement the idea being generated. In short, for
generation of idea I applied large number of skills along with knowledge which I have
obtained through my education. Market analysis was carried out by me in order to ensure
that new idea is feasible and valid too.
 Selection: It is the second stage which is crucial in implementation of new business. In
this stage I selected some ideas which are feasible and I worked on that. Further, I
considered pros and con of every idea so as to gain maximum benefit with the help of
this. Therefore, this stage also supported me in every possible manner and I was able to
implement the best idea for setting up the new business in the market.
 Implementation: It is the last stage where the idea selected by me was implemented.
Further, for effective implementation I prepared plan so that business can be started
easily and as per the time frame.
Therefore, in this way by following all the three stages it was possible for me to generate
the new idea and in turn it was successfully implemented with the main motive to gain large
number of benefits. Apart from this, it enhanced my confidence level and I analyzed the
importance of every stage which needs to be followed in proper sequence.
APPLICATION TO IDEA GENERATION
Idea generation is considered as the crucial process through which it becomes possible to
start the new business successfully and in appropriate manner. Further, to better understand the
concept of idea generation entrepreneurship theories are effective. Schumpeterian model of the
theory of entrepreneurship is effective what states that innovative entrepreneur can easily
perform better. Further, it has positive impact on the profits of business where innovation is
considered as the backbone of the business (Ebrashi, 2013). The model supports in knowing that
innovator is a driven individual. Moreover, the entire model focuses on three relationships which
are:
 Effects of innovation upon activities of imitators
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 Effects of innovation upon profits
 Effects of behavior of profits on the activities of the innovating entrepreneur
Further, entrepreneurs mainly focuses on identifying opportunities being present in the
market and same supports their business to become worldwide famous. Apart from this, concept
of entrepreneurship is directly associated with the creative and innovative which directly
supports in conducting overall operations in effective manner and in turn acts as development
tool. Apart from this, it relies on grabbing opportunities which are being present in the market
and due to this reason it becomes easy for entrepreneurs to successfully operate in the market
which large number of challenges exists (The Importance of Creativity and Innovation in
Business., 2013). The relationship highlighted through this model is quite effective and in turn it
has supported in understanding how entrepreneurs apply knowledge and skills so as to carry out
business operations. Moreover, the ideas being generated by them are effective and unique too
through which it becomes easy for business to survive in the market for longer period of time.
Apart from this, to successfully operate the business they consider large number of factors which
are linked with their success in the market.
OUTCOMES
On the basis of innovation theory of entrepreneurship I have found that any idea is being
generated by individual through creative thinking and knowledge. Further, for generation of
unique idea I have followed series of steps which have supported me in successfully setting up
new business in the market. Further, I have found that to select any particular idea is quite
difficult and sometime it acts as hurdle. Therefore, I identified the pros and cons of every idea so
that most suitable one can be selected. Further, I carried out market analysis with the help of
which it became possible for me to identify which business can be successful in the market and
this enhanced my confidence level. Apart from this, I was able to start new business in the
market and in turn benefits such as higher profits, sales etc were obtained easily. All the stages in
the idea generation are quite effective which I have followed strictly and this has lead to
favorable outcomes. In short all the outcomes were favorable through implementation of idea
which was generated. Moreover, I was able to prepare effective plans through which the idea
was successfully implemented by myself and this provided me large number of benefits. On the
other hand theory of entrepreneurship enhanced my knowledge level on the basis of which I
identified the significance of innovation and creativity within the workplace. Apart from this,
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three kind of relationship being discussed in the theory has assisted me to understand about the
concept of innovation and its favorable impact such as higher profitability level etc. Through this
process of idea generation has been better understood by myself and I can easily work on the
implementation of idea for setting up business in the market. Therefore, in this way the outcomes
obtained through entrepreneurship theory are effective. Moreover, the idea being generated was
valid due to which key stakeholders of the business were satisfied especially customers,
government, financial institutions etc. It directly produced favorable outcome for my business as
all the key parties associated with my company were satisfied and it enhanced performance of
my business. Through this, I realized that successful idea has always favorable impact on the
business which has to be set up.
CONCLUSION
The entire study carried out has supported in understanding about the concept of idea
generation. Further, for every individual to set up new business it is necessary to have unique
idea and by implementing the same it is possible to start new business. Apart from this, the idea
generation process undertaken by me was quite effective where I considered pros and cons of
every idea in order to identify the most appropriate one. Further, the entrepreneurship theory of
innovation considered was also effective which supported me to better understand about two
terms named innovation and creativity.
Action plan
Time frame Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7
Searching for
market needs
Generating
large number
of ideas
Evaluating
each idea
Assessing pros
and cons of
every idea
Comparing the
benefits of
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every idea
Selecting the
idea
Preparing plan
for
implementation
Final
implementation
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REFERENCES
Books and journals
Ebrashi, R., 2013. Social entrepreneurship theory and sustainable social impact. Social
Responsibility Journal. 9(2) .pp.188 – 209.
Ferri, J. P., 2008. A Theory of Local Entrepreneurship in the Knowledge Economy. International
Journal of Entrepreneurial Behavior & Research. 14(5) .pp.365 – 367.
Frese, M. Chell, E. and Klandt, H., 2000. Psychological Approaches to Entrepreneurship.
Psychology Press.
Shane, A. S., 2003. A General Theory of Entrepreneurship: The Individual-opportunity Nexus.
Edward Elgar Publishing.
Online
The Importance of Creativity and Innovation in Business., 2013. [Online]. Accessed through <
http://business.brookes.ac.uk/ezine/edition15/articles/creativity-and-innovation/ >.
[Accessed on 8th April 2016].
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BIBLIOGRAPHY
<http://www.yourarticlelibrary.com/organization/importance-of-innovation-and-creativity-for-
success-of-an-organisation/21142/>
< https://www.entrepreneur.com/article/14626 >
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