Entrepreneurial Business Concept: Opportunity and Innovation

This report provides an executive summary and in-depth analysis of the interconnectedness of innovation, opportunity, and entrepreneurship within entrepreneurial business concepts. Drawing from secondary sources such as books, journals, and online articles, the report explores various aspects of entrepreneurial ventures, including the identification of opportunities, sources of innovation, and the characteristics of successful entrepreneurs. The report also incorporates a literature review to analyze different scholars' perspectives on these concepts. Primary data, gathered through interviews, provides real-world examples and insights into entrepreneurial practices, challenges, and strategies for business growth. The report highlights the significance of innovation, employee motivation, and market research in achieving entrepreneurial success, as demonstrated through the case study of Kunal Patel's entrepreneurial journey and the challenges he faced, such as time management, competition, and capital constraints. The report further emphasizes the importance of adaptability, knowledge, and skills in navigating the entrepreneurial landscape.

Opportunity Innovation and
Entrepreneurship

EXECUTIVE SUMMARY
Innovation, opportunity and entrepreneurship is interconnected with each other.
Entrepreneurship is a topic which has capture the attention of scholars. Researcher have interest
in developing the understanding about the way opportunity, innovation and entrepreneurship
have impact on each other in entrepreneurial business concept. Report will have focus on
analyzing the entrepreneurial business concept. Information related to entrepreneurial business
concept will be gathered from the secondary sources a such as books, journals, online articles
etc. Literature review will be included into the study for analyzing the perception of different
scholars as well as authors about each entrepreneurial business concept as well as opportunities
which can be captured by entrepreneurs. Primary information related to the entrepreneurial
venture will be accumulated using interview technique.

Table of Contents
INTRODUCTION...........................................................................................................................1
BACKGROUND.............................................................................................................................1
Innovation...............................................................................................................................1
Opportunity.............................................................................................................................2
Entrepreneurship.....................................................................................................................3
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6
2

INTRODUCTION
Innovation can be considered to be as strategic tool which is utilized by entrepreneur for
capturing various opportunities. The initial step in innovation procedure is to identify the
opportunity. The factors which effects the entrepreneurial mindset and methods of doing
innovation are characteristics, skills and availability of resources. There are various forms of
innovation, it totally depends on the entrepreneurs to select the best suits them. Among the
different innovation, systematized innovation and changes in very much important for achieving
success in business. The factors which influence an individual to start their own business will be
discussed in the report. In addition to this, assignment will emphasize on identifying the sources
of innovation.
BACKGROUND
Kunal Patel is now an entrepreneur. Before becoming an entrepreneur Kunal was
working as a partner in electronic company which was his family business. Before becoming an
entrepreneur Kunal was involved in number of ventures which has helped in gaining the
experience which is very much important in order to establish as well as run successful business.
(in context of question no. 1) Evidence can be found from interview that it is a private family
owned business started by grandfather of Kunal in 1970. It is engaged in real estate, pubs and
franchising business. With help of franchising business, they started ‘Good for heart’ delivery in
2012. They started with 10 stores and within 6 years there were almost 29 stores in overall
London.. The family background and his own characteristics has influence Kunal to start his own
business. In addition to this, the opportunity to earn profit and scope of business growth has
encouraged kunal to start specific business. Kunal is now seeking for new as well as unique
opportunities which he can exploit.
Innovation
According to the view of Eckhardt, Ciuchta and Carpenter (2018), innovation is very
much crucial which is required to be facilitated by entrepreneur, as this will assist them in
fostering business growth. Entrepreneurial innovation is considered to be as product innovation
which is done by entrepreneur themselves. The author argues that entrepreneurial venture is a
creation of new company. According to the opinion of Hunt, (2018), innovation is the function
of entrepreneurship through which an entrepreneur produces wealth generating resources. As per
1

the perception of Gaglio, (2018), innovation is basically a successful execution of creative ideas.
In context of Kunal, He got an innovative idea of starting new business from the existing
ventures where he has worked. (in context of question no. 5) The entrepreneur said in interview
that uniqueness of his business was providing 24 hours access to customer with number of shifts
in a month. Another was at one price customer have access to over 60 gyms and 2000 pubs in
UK. The major advantage was price factor which offer variety of services at moderate cost. The
gym also provides safe space for people. The membership allows people who are not working or
living in Central London to have access to gym.
According to the view of Gaglio, (2018), it is required by an entrepreneur to confirm the
availability of resources such as capital, human, technology etc. which are needed for facilitating
the innovation. The author argues that innovative idea, knowledge and skills are very much
important in order to conduct innovation. According to the view of Hunt, (2018), employees in
an enterprise plays significant role in the success as well as failure of innovation. From the
interview entrepreneur says that if you don’t have a good team around you it becomes difficult to
build a business. He said that having an effective team helps in taking challenges and attaining
goals. Besides this, it can be stated that people also help in generating goodwill in the market. It
helps in providing high quality services to customers. The author Eckhardt, Ciuchta and
Carpenter, (2018) argues that technology plays crucial role in innovation. According to the
creativity five force model, creative ideas is very much crucial in order to facilitate innovation.
According to the view of Bolz and König, (2018), innovation networking is very much
crucial in order develop innovative idea. The author argues Gaglio, (2018) that market research
and evaluation of industry is very much essential for getting the ideas to innovate product or
services. (In context of question no. 3) Evidence can be found in the interview where
entrepreneur got the idea of starting business from previous business. There was multiple
business evaluated like Pizza delivery, quick service restaurants, Coffee shops, etc. Further, in
UK only 16-17% people go to gym. So, exist ample opportunities for growth. An interrogation
and tests were conducted on gyms, boutique, etc. The exact location of them were identified,
reasons were analysed and evaluated that why people do not go to gym consistently.
Opportunity
As per the view of Kuratko (2016) for an entrepreneur, creating opportunity is the
foremost basic requirement which helps a person to develop new opportunity. In the same way,
2

the entrepreneurial opportunity also highlights some different motivations of an entrepreneur
which are further experiences when a person exploits an opportunity. This motivation factor also
divided into two factor such as push and pull. In push factor, the economic crisis also pushes a
person to be self- employed. On the other hand, pull factor is considered a positive motivation
As Kirzner (2015) states that it is quite necessary for an entrepreneur that they must
possess and identify the right opportunity for an enterprise that is more valuable. For an
entrepreneur, they must have enough knowledge in order to operate their business in the market.
Such that as per the interview, Kunal Patel also have enough skills and ability in order to lead his
current business at further level of success. (in context of question no. 6) From interview it can
be found that there are over 600 employees working in business. The entrepreneur motivates and
retain their employees through various ways. He provides effective training to staff and discuss
with them to identify issues and problems. Besides this, their efficiency is increased by training
with right tools. Also, company looks from employee perspective and then needs are fulfilled.
Also, entrepreneur said that there are two types of training provided to staff. First is external one
where staff is trained with franchise and second is internal training in which their weak areas are
improved.
According to the Shepherd and Zacharakis (2018) entrepreneurial opportunity is that term
which is actually used by top entrepreneur in order to creates better situation for the business
such that it also helps them to lead their business at further level of success. From his interview,
as Kunal Patel states that he also possesses hug knowledge related to his business. Therefore, due
to having specific knowledge related to particular industry also helps him to understand the
opportunities of an enterprise. Overall, the finding or creating an opportunity for an entrepreneur
is the foremost requirement to become a top entrepreneur. On the other hand, Saebi, Foss and
Linder (2019) critics that in particular field is very much crucial in order to facilitate innovation.
An entrepreneur in the interview has laid emphasizes on demonstrating the importance of update
their knowledge as well as skills. In context of Kunal, he has facilitated innovation in the field of
HR by using the technology.
Entrepreneurship
Entrepreneurship is the activity which is used to setting up a business and launching a
new business initially from a small business. The entrepreneur should also have some traits such
as motivation, innovative skills, risk tolerance and strong vision which helps them to take their
3

business at further level of success. It has been further analysed that apart from these skills, the
entrepreneur should also posses some leadership skills, and have good commanding in their
communication. On the other side, Chowdhury, Audretsch and Belitski (2019) critics that
creativity should be another major trait for an entrepreneur because it will help a business to
maximizes its sales as well as profitability. (In context of question no. 2) The evidence can be
found from interview that he was having desire to become an entrepreneur. Also, the educational
background benefited as he studied economics and did job in investment banking sector for 4
years. Furthermore, his family characteristics enabled him to take a step further. His father,
uncle and grandfather belong to business background as well. His desire to start something new
provided him direction. In addition to this, as Kunal Patel also posses these skills and also find
out new opportunities in order to run a business at different level. As every top entrepreneur
never doubts in their minds because of having confidence in their knowledge and they also know
how it will help them to make their business idea a success (Entreprenurship theories, 2018).
All entrepreneur has similar trait as per the theory, such that their qualification and risk
taking ability, communication and wider range of network. According to Rawhouser, Cummings
and Newbert (2019) entrepreneur faces four basic types of risk such as financial, career
opportunities, family relations and psychical appearance. (In context of question no. 4) The
evidence can be found from interview where entrepreneur faced many challenges. One was
highly competitive market. The second was business rents was very high in UK, along with this
the availability of land was limited. So, it took it 1 year to select proper land. For this he visited
and evaluated 60-70 sites. Also, it was found that entrepreneur faced challenge was in recruiting
people and building a team. It was very difficult for him to identify source of recruiting right
people. On the other hand, Kuratko, (2016) critics that understanding the background and the
motivation of an entrepreneur also helps to define the characteristics as well as the attributes and
this concept is all nature versus nurture. Such that the entrepreneur did not posses some skills
from their born but they are basically taught and learned on the subject.
On the other side, Kirzner (2015) states that there are some external factor such as history
of the family, education and the work that also influence the entrepreneur's future life. It has been
further analysed that for education, all the entrepreneur are always interested for learning and
grab different opportunities in order to lead their business or creates some better option for
development. An entrepreneur faces many challenges in business (in context of question no. 6).
4

From interview it can be evaluated that the main challenge is time management. The person is
not able to complete task on time. Also, he or she face difficulty in managing people. The
entrepreneur is not having knowledge on which task must be assigned to whom, how training
will be provided, etc. At last the common challenge faced is capital. It requires a sufficient funds
to start a business. Capital is required to build infrastructure, purchase raw materials, etc. The
entrepreneur can overcome challenge by doing proper planning. A budget can be made and
resources can be allocated accordingly. In addition to it, several questions entrepreneur can ask
to people before recruiting them.
On the other side, a family support also motivates them to grow in their personal as well
as professional life. Apart from this, (in context of question no. 7) Kunal Patel also states in his
interview that in next 5 years over 200 gyms are projected to be built in around 20-30 new
locations. The entrepreneur wants to make business a reputed and respected franchise in next 5
years. He sees himself as a successful entrepreneur and market leader in UK.
CONCLUSION
It has been concluded from the above that there are various factors such family
background, financial conditions are the factors which influences an individual to start their own
business. The other fact which has been concluded from the study is that skills, experience and
knowledge is very much crucial in order to facilitate innovation. It has been concluded that
employees' engagement as well as technology is very much important for innovation. The other
thing which has been concluded from the report that an entrepreneur can exploit various
opportunities through innovation. It has been concluded that risk taking and knowledge are the
two important characteristics of an entrepreneur which makes them different from other people
at workplace. The other fact which was found during the study is that abilities as well as
competencies are gained by leaders it is not inherited.
5

REFERENCES
Books and journals
Bolz, K. and König, H., 2018. Can responsible innovation be a moderator of entrepreneurship?-
Learnings from the debate on advanced biotechnology. International Journal of Business
and Globalisation. 21(3). pp.308-326.
Chowdhury, F., Audretsch, D. B. and Belitski, M., 2019. Institutions and Entrepreneurship
Quality. Entrepreneurship Theory and Practice.43(1). pp.51-81.
Eckhardt, J. T., Ciuchta, M. P. and Carpenter, M., 2018. Open innovation, information, and
entrepreneurship within platform ecosystems. Strategic Entrepreneurship Journal.12(3).
pp.369-391.
Gaglio, C. M., 2018. Opportunity identification: review, critique, and suggested research
directions. In Reflections and Extensions on Key Papers of the First Twenty-Five Years of
Advances (pp. 1-47). Emerald Publishing Limited.
Hunt, R. A., 2018. An opportunity space odyssey: historical exploration of demand-driven
entrepreneurial innovation. European Journal of Innovation Management. 21(2). pp.250-
273.
Kirzner, I. M., 2015. Competition and entrepreneurship. University of Chicago press.
Kuratko, D. F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.
Rawhouser, H., Cummings, M. and Newbert, S. L., 2019. Social impact measurement: Current
approaches and future directions for social entrepreneurship research. Entrepreneurship
Theory and Practice.43(1). pp.82-115.
Reid, S. W., Anglin, A. H., Baur, J.E., Short, J.C. and Buckley, M.R., 2018. Blazing new trails or
opportunity lost? Evaluating research at the intersection of leadership and
entrepreneurship. The Leadership Quarterly. 29(1). pp.150-164.
Saebi, T., Foss, N. J. and Linder, S., 2019. Social entrepreneurship research: Past achievements
and future promises. Journal of Management.45(1). pp.70-95.
Shepherd, D. A. and Zacharakis, A., 2018. Conjoint analysis: A window of opportunity for
entrepreneurship research. In Reflections and Extensions on Key Papers of the First
Twenty-Five Years of Advances (pp. 149-183). Emerald Publishing Limited.
Online
6

Entreprenurship theories. 2018. [Online]. Available through:
<https://yourbusiness.azcentral.com/theories-entrepreneurship-23795.html>.
7

Interview questions
Question 1 First of all please give us an overview of your business?
Snapfitnes Franchise is an entrepreneur business based in London which consists of
number of ventures. It is a private family owned business started by grandfather of Kunal in
1970. There office is based in London. It is engaged in real estate, pubs and franchising business.
With help of franchising business, they started ‘Good for heart’ delivery in 2012. They started
with 10 stores and within 6 years there were almost 29 stores in overall London. The business is
now entered into gym industry. It is similar like Pizza Hut franchise.
Question 2 Why did you choose to be an entrepreneur?
Kunal said he become entrepreneur due to the environment of his family where his uncle,
father and grandfather all were entrepreneurs. Also, he was having desire to become a
businessman and want to earn huge amount of profits. Apart from it, the background of
entrepreneur supported him in starting business. He studied economics in university and started
job in investment banking for 4 years. This specialization boosted his motivation to engage in
business. Moreover, main aim of Kunal was to start something own. At last the family
characteristics of Kunal supported him in providing direction and shaped his desire. So, due to
all these things he chose to become an entrepreneur.
Question 3 How was business opportunity spotted? How was initial idea subjected to
further interrogation via experiments and tests?
Kunal said the business opportunity was spotted from learnings of previous business such
as Pizza delivery. The entrepreneur identified errors and changes was made for future growth.
The idea was evaluated by analyzing franchising market and finding out opportunities from it.
Also, Kunal said that QSR business, coffee chain, chicken shops, other gym brands, etc. were
evaluated and idea was generated. The second aspect was to build a team around based on
characteristics. The third aspect was to create a positive impact on community and benefiting
them by bringing change in trend. Also, it was identified that gym industry was saturated, only
16-17% of people in UK go to gym. So, entrepreneur found that there was ample opportunity for
growth.
The entrepreneur stated that by evaluating different types of business and finding out
errors the business idea was generated. Moreover, idea was further subjected economically about
8

how much investment is required, what will be return of it, the gym, location, etc. Another factor
in interrogation taken was future perspective of 5-10 years.
Question 4 What major problems have you faced while starting your business?
The entrepreneur said in interview that he faced many problems while starting business.
The major was high competition in market. Kunal stated that the business rent was too high at
that time and also, he was not able to find property or site to start gym. Thus, it took almost a
year for him to find property. For this around 60-70 sites were evaluated throughout UK.
Another problem faced availability of land and to recruit people to build a team. He faced
difficulty in identifying capabilities of person and hire them. At last return on investment was
issue for Kunal. While in operations challenge faced by entrepreneur was how to market
business services among people. In addition to it, to analyze needs of market was also an issue
faced that whether gym is required in that area, what questions has to be asked to people, etc.
Question 5 What differentiate you from other fitness clubs? What is your uniqueness?
The entrepreneur said that Snapfitness is very unique from others. It offers services 24
hours with number of multiple shifts in a month. Also, business offered access to over 2000 pubs
and other 60 gyms in UK at one price. Any member of Snap can have access to other Snap in
UK. Kunal also stated that people who did not belong or work in London can also have access to
gym. The main uniqueness of business was price which offered membership to customers at low
price. There are more equipment’s for female to encourage their participation. Also, gym provide
safe space for women as compared to other one. So, these all differentiate Snapfitness from other
gyms and clubs.
Question 6 Can you please tell us the challenges faced by entrepreneurs in managing their
business and possible how you deal with the same?
Kunal said in interview that many challenges are been faced. The main is time
management, managing employees, etc. Kunal also added that finance is another problem
entrepreneur face. Time management issue can be solved by delegating activities, organizing
them, etc. people management can be solved by using a systematic approach. The answer of
questions can be found about how to retain employees for long term. Financial issue can be
solved by preparing budget, allocating resources, etc. It can be easy to calculate return on
investment.
9

Question 7 Do you think business opportunity ideas identified was innovative, and if yes
what type of innovation was?
It was said by Kunal that the business idea was generated through evaluation. Here, Pizza
Hut franchise was taken and their overall process was evaluated. It was identified that their
structure was complex and they were not having advance technology. They were not using
debtors effectively. In Snapfitness, the technological innovation was made. It was done by taking
analytical decisions with help of debtors. Entrepreneur said that process was very open and
transparent. The Snapfitness provides services in innovative way as compared to boutiques and
other gyms.
Question 8 How many employees do you have and how you motivate/ retain them?
From interview it can be identified that there are over 600 employees in Snapfitnes. The
entrepreneur said that they motivate employees by giving time them to learn. They provide
effective training to them by using right tools. Kunal said through this their efficiency increases.
They talk personally with staff to share ideas. The employees are motivated by providing two
types of training one is external with franchise and other is internal where their weak areas are
improved. He said staff leadership, time management skills are enhanced. Staff is retained by
fulfilling their needs. The business always looks from employee perspective.
Question 9 What is your business growth prospect and where do you see yourself in next 5
years?
In interview Kunal said that in the next five years main objective is to build around 20
gyms at 20-30 different locations. He also added that in 5 years he wants Snapfitnes to be
recognized as one of the respected franchise members. Also, to give a positive benefit to
community. The entrepreneur said to build over 200 gyms and adding value to business.
10