{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

EMGT5130_CH2 - EMGT5130 New Business Development CHAPTER 2...

Info icon This preview shows pages 1–10. Sign up to view the full content.

View Full Document Right Arrow Icon
New Business Development EMGT5130 CHAPTER 2. Opportunity and the concept summary
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Figure 2.1 six steps to acting as an entrepreneur . 1. Identifying the opportunity 2.Determining the entrepreneur’s capabilities and interests 3. Evaluating the opportunity 4. Deciding to act on the opportunity or look elsewhere 5. Writing a summary of the concept 6. Testing the summary and the concept with potential customers and investors
Image of page 2
Good Opportunities - are usually disguised . - emerge from personal experience (need) . Type of opportunity: Opportunity pull (the size of the opportunity attracts opportunity seekers to attempt to exploit it.): e.g. AIDS treatment medicine Capability push (a new technology or capability causes a search for new applications.): e.g. Digital TV, CISCO Founders of new industry capitalize on opportunity pull to create disruptive innovations : Apple Apple sales: $7.8M in 1978; $117M in 1980; $5B+ in 2001; $60B in 2009 2.1. Opportunity Identification
Image of page 3

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
1. Increasing the value of a product or service. winemaker: higher Q, better T, Lower P 2. New applications of existing means or technologies. credit card (magnetic) → hotel door card 3. Creating mass markets. disposable camera 4. Customization for individuals. Dell computer Table 2.1 Nine categories of opportunity.
Image of page 4
1. Increasing reach. Schwab (using Internet) 2. Managing the supply chain. Wal-Mart; Dell 3. Convergence of industries. E-Trade (brokerage + banking, bioengineering, genetic engineering etc) 4. Process innovation. FedEx 5. Increasing the scale of the firm. Blockbuster; Hollywood video rental Table 2.1 Nine categories of opportunity. (cont)
Image of page 5

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Entrepreneurship is a Contact Sport   $ Time for New Tech to Reach 25% of US Population Household electricity (1873) 46 years Telephone (1875) 35 years Automobile (1885) 55 years Radio (1906) 22 years TV (1925) 26 years VCR (1952) 34 years PC (1975) 15 years Cellular phone 13 years WWW 7 years Spontaneity, Opportunism Discipline, Processes
Image of page 6
Role of Ideas A good idea is nothing more than a tool in the hands of an entrepreneur. Finding a good idea is the first step (entrepreneur’s creativity an opportunity); however, the importance of the idea is most often over-rated, usually at the expense of underemphasizing the need for products or services, or both, which can be sold in enough quantity to real customers.
Image of page 7

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Opportunity An opportunity has the qualities of being attractive, durable, and timely and is anchored in a product or service which creates or adds value for its buyer or end user.
Image of page 8
Table 2.2 Sources of discontinuities: A source of
Image of page 9

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 10
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern