Identifying Entrepreneurial Opportunities in the UK: A Business Report

This report examines the development of a new business venture, 'Coffee For Everyone,' focusing on green coffee to target health-conscious consumers within the UK market. It delves into the sources of entrepreneurial ideas, including market analysis and customer needs, and evaluates the competitive landscape using Porter's Five Forces model. The report conducts a gap analysis to assess current and future business objectives, supported by both primary and secondary market research to determine viability and market potential. It also addresses the feasibility of the business idea, identifies strengths and weaknesses, and proposes strategies to overcome competitive risks. The report concludes with recommendations based on the research, providing a comprehensive overview of the entrepreneurial opportunity and its potential for success. This report is available on Desklib, a platform offering AI-powered study tools and resources for students.

Identifying Entrepreneurial
Opportunities

Table of Contents
INTRODUCTION...........................................................................................................................1
1. Background information about those sources that inspired your idea and what motivated
you personally in wishing to set up your own business..............................................................1
2. Introduction of business idea and the potential customers and targeted market.....................2
A competitor analysis that looks at the competitive marketplace. Look at failures and
successes in the industry. What you can do differently?............................................................3
4. Gap analysis, current and future situations and objects of business ideas..............................5
5. Market research to support viability for your business idea and identify market potential
using a range of sources that could be both primary and secondary...........................................6
.........................................................................................................................................................7
6. Why your business idea is viable and feasible and how you qualify this belief. What are the
strengths and weaknesses?........................................................................................................12
7. Ways to overcome the risks of competition and make valid conclusions with justification of
your recommendation in your report.........................................................................................13
CONCLUSION..............................................................................................................................14
REFERENCES ...........................................................................................................................15

INTRODUCTION
Entrepreneur is an individual who develops and run their own business by taking all the
risk in the hope of high generation of profits. Entrepreneurship greatly assist in the economic
development of the country by provide employment opportunities and raising standard of living
of individuals. This assignment throws light on developing a new business venture by grabbing
the available opportunities within UK and achieving long term sustainability in market. This
assignment is a based on Coffee For Everyone which will bring green coffee in the market and
serves the need of all segments of individuals. This will mainly target health conscious people
(Baldacchino, 2013). It also analyses various opportunities in the market by the collection of data
and evaluates different sources of entrepreneur ideas. It also evaluates risk and gap and analysis
so as to take effective decisions to gain larger market share.
1. Background information about those sources that inspired your idea and what motivated you
personally in wishing to set up your own business.
Entrepreneurs by analyzing opportunities in the market develops and manages their own
business, thereby earns lot of profit and increasing employment opportunities for the individuals.
As it is mentioned in the scenario that UK government has initiative to stimulate young
entrepreneurs to start their business and assist in the growth of the economy. Thus new business
developed by the entrepreneurs by evaluating all the opportunities are green coffee to target
health conscious people. Along with this consumer survey, brainstorming and mass media
enables the entrepreneur to develop their own idea. Here are the different sources of ideas and
innovation which is explained below with the help of Peters Druckers seven sources of
entrepreneurship ideas.
The unexpected- It refers to the extent that business idea developed will achieve success
or may lead to failure. This helps the youngsters to analyze the idea and develops an innovative
idea to start and develop their own business by analysing both the negative and positive aspects
of the idea (Elenurm, 2012).
The incongruity- Business idea is developed only after analysis the market situation,
otherwise it may lead to fail of the idea. Entrepreneur should start their business by provides
products and services according to customers demand. Customer feedback's, complaints is the
best idea for analysing the incongruity factor and leads to the development of the better idea.
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Process Need- This leads to the generation of more innovative ideas as by analysing the
weakness and developing idea according to them which leads to the resolve of the issue and
assist entrepreneur in gaining larger market share.
Industry and Market change- Increase in the globalization has led to the increase in the
customers demand. Such change should be carefully analyzed by the entrepreneurs and leads to
the development of the innovative ideas. As the new business developed Coffee For Everyone
should upgrade their products according to change in market and industrial stricture.
Demographic- Demographic factors includes age, income, lifestyles and attitude of
individuals towards the product. Change in demand of such factors leads to the development of
the new idea and allows entrepreneurs to start their own business. As there is a growing concern
for green coffee, it is the growing opportunity for the entrepreneurs to start their business
(Grégoire and Shepherd, 2012).
Changes in Perception- Different customers have different perception towards the
product. With the change in perception of the customers it leads to the development of new
entrepreneur idea and new successful business can be started.
New Knowledge- With the increase in technological advancements and new knowledge
of operating business leads to the development of new ideas. This has enabled entrepreneurs to
start business of producing green coffee in the market to satisfy customer demands.
2. Introduction of business idea and the potential customers and targeted market.
Business idea is concerned with the development of new products and services after
analysing all the market opportunities. This will help in the long sustainability of the business in
market, thereby earning huge profits. New business idea developed here is about green coffee
which will made with natural herb ingredients and would majorly concentrate on health
conscious people as well as on the young and old generations. It is very rich innovative idea
which allows the entrepreneurs to capture larger market share and also helps in the economic
development of the country (Hang, Garnsey and Ruan, 2015).
Potential Customers and the target Market-
By analysing all the available opportunities, Coffee For Everyone has developed the
green coffee which will be made with natural ingredients and target manly health conscious
people as well as young and old generations. It will provide maximum customer satisfaction and
moreover with the increasing demands and if the customers requires some change, business
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should upgrade their products so as to attract large number of customers and earns huge
profitability.
A competitor analysis that looks at the competitive marketplace. Look at failures and successes
in the industry. What you can do differently?
While developing the innovative idea and starting business accordingly, entrepreneurs
should carefully analyze their competitors in the market and evaluates their strategy and products
to make modifications in their idea to capture larger market share and sustain in market for long
period of time. It is very necessary for the entrepreneur to analyze competitors which gives them
idea regarding the success and failure of the idea developed by them. Analyzing the competitors
enables the competitors to make certain modification in their products (Hansen, Monllor and
Shrader, 2016). Competitive position could be properly analyzed by using Porters Five Forces
Model which is explained as follows-
Porter's Five Forces Model
This Model is introduced by Michael E.Porter which provides a framework of the
competitive analysis which determines the intensity of the competition in the market with help f
five competitive factors. It is described as follows-
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Source: Porter's five force model, 2018
Threat of New Entrants- To attract larger market share and gain much competitive
position it is the necessary for the new business venture to keep making modifications in their
existing products according to customers demands. As it is not easy for the new entrant's to start
up their business as there is high level of investment and risk associated with starting this
business. So the threat of new entrants for “Coffee for every one'' is very low. Quality products
supplied by them will enable company to attain competitive position.
Intensity of Industry Rivalry- It is concerned with large number of competitors
supplying same variety of products in the existing market. This competitive factors ensures that
respective business should provide quality products so as to attract larger customers and
therefore should control price of the coffee so as to gain competitive position in the market. But
there is a less competition from the companies producing the green coffee it will enables
respective business to prosper and grow in the business for long term period (Kohlbacher,
Herstatt and Levsen, 2015).
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Illustration 1: Porters Five Forces Model

Bargaining Power Of Suppliers- It is concerned with when there are large number of
suppliers their bargaining power is low and vice versa. In context to “Coffee For Everyone” its
raw material suppliers are very less and it would lead suppliers to enjoy more bargaining power.
Bargaining Power Of Buyers- Customers are the king of the business. Products should
be produced by the company so as to provide maximum customer satisfaction. It customers are
huge in quantity it would lead to more of bargaining power and vice versa. In context to Coffee
Delight it targets health conscious people mainly so it will have elasticity in price, which will
increase when there customers are high for the products and decrease when the customers
decrease for the respective business products.
Threat of Substitutes- When the companies provides similar products in the same
market, it will pose stiff competition to the Coffee For Everyone. In context to green coffee
substitutes is the green tea in which the customers can easily switch the brand. Thus Coffee For
Everyone should make some changes in the product to reduce competition from substitute
products (Mitchelmore and Rowley, 2013).
4. Gap analysis, current and future situations and objects of business ideas.
Gap analysis is an method of comparing of the actual performance with the desired
performance of the company so as to evaluate that business objectives are met or not. Company
should take necessary measures in order to identify the gap in their performance and resolve
them to achieve the desired targets. When Coffee For Everyone identifies gaps in their
performance they should effectively develop their strategies in order to improve their
performance and removes the gaps analysed.
For maintaining sustainability in the market for long period of time it is necessary for the
business to make changes in their product to remove the gaps in their performance and achieve
the desired outcomes. As Coffee for Everyone has started business of providing green coffee
which is a very innovative product and targets health conscious people. This will enables them to
earn huge profit margins. The major objective of the business is to earn high profits and enhance
brand image of the company by providing qualitative products (Elenurm, 2012). This objective
can be appropriately achieved by providing coffee products according to the customers needs
and desires . In order to remove gaps in their performance companies should carefully analyse
customers feedbacks and their complaints to make necessary changes in the products and to
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achieve goals and objectives of the company. Filling all the gaps analysed improves the
competitive position of the business and thereby enhances its future growth position.
5. Market research to support viability for your business idea and identify market potential using
a range of sources that could be both primary and secondary
Market research is an organized way of collecting and analysing the relevant information
and then taking decisions according to the existing trend in the market. It is necessary for the
company to collect the relevant and correct information from the market before developing and
launching a new product. Therefore by analysing proper information Coffee For Everyone has
chosen the idea of introducing green coffee in the market to attract larger customer base and gain
high profitability for the business. In order to grab the available opportunities it is it is necessary
to collect information using primary and secondary sources of data which is described as
follows-
Primary Research- It is the data or the information which is collected for the first time
by the individual for the specific purpose. This type of data provides more specific and accurate
information. This is usually collected in the form of questionnaire, surveys and the interviews
conducted. This would properly assist in grabbing the potential opportunities and leads to the
success of the business idea (Grégoire and Shepherd, 2012).
Secondary Research- Under this research data or information is collected before and is
used by many other individuals. This type of information is secondary in nature as it has
collected before by other individuals. These are available in the form of internet sources, books,
journals and articles. These are easily available and allows the entrepreneur to gather relevant
information within specific time.
Here the entrepreneur has collected information with the help of questionnaire and taken
60 respondents feedback regarding making changes in the new product introduced by them.
Questionnaire
Name:
Age:
Address:
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Q1 Have you tried the green coffee introduced in the market?
Yes
No
Q2 Do you think that green coffee is available at an appropriate price?
Yes
No
Q3 Does the product is targeting heath conscious people?
Yes
No
Q4 Do you think company can easily gain competitive advantage in the firm?
Yes
No
Q5 Do you think that green coffee is able to attract customers by their unique services ?
Yes
No
Q.1. Have you tried the green coffee
introduced in the market?
Frequency
Yes 40
No 20
Mean -30
Median- 30
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Interpretation- It is clear from the above graph that large number of customers are
aware about the green coffee introduced in the market and rest 20 respondents don't have
knowledge regarding the new green coffee introduced in market. Therefore company should
increase awareness of its products by mass advertising.
Q2 Do you think that green coffee is available
at an appropriate price?
Frequency
Yes 30
No 30
8
Yes No
0
5
10
15
20
25
30
35
40

Mean -30
Median- 30
Interpretation- From the above graph it can be concluded that customers in the equal
proportion feels that there the price of the product is appropriate and vice versa. Company should
maintains elasticity in its price to target larger customer base.
Q3 Does the product is targeting heath
conscious people
Frequency
Yes 50
No 10
9
Yes No
0
5
10
15
20
25
30
30 30
Series1

Mean -30
Median- 30
Interpretation- It is determined from the above presented graph that large proportion of
people i.e. 50 respondents feels that green coffee is targeting health conscious people by the use
of natural herb ingredients and rest 10 respondents feel that it is targeting health conscious
people.
Q4 Do you think company can easily gain
competitive advantage in the firm?
Frequency
Yes 40
No 20
10
Yes No
0
5
10
15
20
25
30
35
40
45
50
Column B

Mean -30
Median- 30
Interpretation- It is concluded from the above graph that that only 20 respondents feels
that this business idea will not be able to gain competitive advantage but large proportion of
individuals feels that this business idea will sustain in the market for longer period of time and
gain competitive advantages.
Q5 Do you think that green coffee is able to
attract customers by their unique services ?
Frequency
Yes 40
No 20
Mean -30
Median- 30
11
Yes No
0
5
10
15
20
25
30
35
40
Column D

Interpretation- From the above presented graph it has been concluded that 40
respondents feels that new product is targeting larger number of customers base by their unique
services and while 20 respondents feels that they are not been attracted towards the new product
as it doesn't meet their needs.
6. Why your business idea is viable and feasible and how you qualify this belief. What are the
strengths and weaknesses?
In order to evaluate the viability and feasibility of the business idea it is necessary for
individuals to adopt various measures in order to sustain in market for a longer time period. In
this context entrepreneurs should evaluate the strengths and weaknesses of the the business idea
and therefore evaluates the opportunities and threats accordingly. This would assist the company
to take effective decisions and generates profit for the company (Hang, Garnsey and Ruan, 2015)
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Yes No
0
5
10
15
20
25
30
35
40

Strength Weakness
 Price of the organic coffee is moderate
which will assist them to attract larger
customer base.
 Its new product introduced is organic
coffee which is according to existing
trend and would maintain long term
sustainability in market.
 Its new unique products faces very low
competition and assist the company to
gain a competitive advantage.
 Lack of efficient staff members is a
major weakness of the firm which is
hindering growth of the business.
 Lack of experience may lead to
development of products which is not
according to customer needs and may
lead to huge losses for the company.
Opportunities Threats
 Along with the organic coffee company
can provide sugar free coffee to attract
larger customer base.
 Company can provide various offers
and discounts on its new products so as
to attract larger customer base.
 There is lot of risk factor associated
with introducing the new product
whether it would achieve success or
may lead to failure.
 There is a threat of substitutes which the
company may face as problem with
quality of products may lead the
company to switch to another products.
7. Ways to overcome the risks of competition and make valid conclusions with justification of
your recommendation in your report.
While introducing a new product there is lot of risk associated with every business.
Company should analyze the various risk associated with the business and adopts effective
strategy so as to resolve the issues and achieves sustainability in market for a longer time period.
With context to Coffee For Everyone company should analyse the level of competition in the
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market and develops and formulates effective strategy to gain competitive advantage and
overcome the risk factor. Therefore it is recommended for the business to adopt various
strategies which are described as follows-
 Coffee For Everyone should focus on customer focused strategy to produce goods
according to customers demand to provide maximum customer satisfaction.
 Company should set prices of the product at a moderate level so as to attract larger
number of customers.
 Company should use well established advertisement and promotional tools to increase
customer awareness so as to capture larger market share.
 Moreover company should analyze competitors products and strategy so that necessary
changes can be made in the existing products (Hansen, Monllor and Shrader, 2016).
These all the strategies will assist the company to gain a competitive advantage and attracts
larger customer base and therefore maintains long term sustainability in market. It is highly
recommended to the company to use differentiation strategy so as to gain competitive advantage
and start promoting its products to gain customer awareness. It is recommended to the company
to use latest technological advancements while providing products in order to keep pace with
changing environment.
CONCLUSION
From the above report it has been determined that entrepreneurship business greatly assist
in the economic development of the country. Entrepreneur has lot of business ideas it should
adopt the most viable and feasible one conducting SWOT analysis of the business idea. In order
to sustain in the market for a longer period of time company should analyze the competitive
position by the use of Porters Five Forces Model. Moreover certain changes should be made in
the product by collecting information through primary sources of data.
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REFERENCES
Books and Journals
Baldacchino, L., 2013. Entrepreneurial experience and opportunity identification: the role of
intuition and cognitive versatility (Doctoral dissertation, University of Warwick).
Elenurm, T., 2012. Entrepreneurial orientations of business students and entrepreneurs. Baltic
Journal of Management. 7(2). pp.217-231.
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.
Hang, C. C., Garnsey, E. and Ruan, Y., 2015. Opportunities for disruption. Technovation. 39.
pp.83-93.
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.
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.
Mitchelmore, S. and Rowley, J., 2013. Entrepreneurial competencies of women entrepreneurs
pursuing business growth. Journal of Small Business and Enterprise Development.
20(1). pp.125-142.
Elenurm, T., 2012. Entrepreneurial orientations of business students and entrepreneurs. Baltic
Journal of Management. 7(2). pp.217-231.
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.
Hang, C. C., Garnsey, E. and Ruan, Y., 2015. Opportunities for disruption. Technovation. 39.
pp.83-93.
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.
15

Neneh, N. B., 2012. An exploratory study on entrepreneurial mindset in the small and medium
enterprise (SME) sector: A South African perspective on fostering small and medium
enterprise (SME) success. African Journal of Business Management. 6(9). pp.3364-
3372.
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.
Tang, J., Kacmar, K. M. M. and Busenitz, L., 2012. Entrepreneurial alertness in the pursuit of
new opportunities. Journal of Business VBaldacchino, L., 2013. Entrepreneurial
experience and opportunity identification: the role of intuition and cognitive versatility
(Doctoral dissertation, University of Warwick).
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.
Mitchelmore, S. and Rowley, J., 2013. Entrepreneurial competencies of women entrepreneurs
pursuing business growth. Journal of enturing. 27(1). pp.77-94.
Tseng, C. C., 2013. Connecting self-directed learning with entrepreneurial learning to
entrepreneurial performance. International Journal of Entrepreneurial Behavior &
Research. 19(4). pp.425-446.]
Online
Porter's five force model. 2018. [Online]. Available through:
<https://www.visual-paradigm.com/guide/strategic-analysis/what-is-five-forces-
analysis/>
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