lesson 4

Question 1

General rule

Answer 1

“Find a need, and fill it”

Question 2

3S OF OPPORTUNITY SPOTTING AND ASSESSMENT

Answer 2

Seeking
Screening
Seizing

Question 3

the framework that most of the promising entrepreneurs
user to finally come up with the ultimate product or service
suite for specific opportunity.

Answer 3

3S of opportunity spotting and assessment

Question 4

is an entrepreneur’s business idea that can potentially become a commercial product or service in the future.

Answer 4

Opportunity

Question 5

is the first step and the most difficult process of all due to the number of options that the entrepreneur will
have to choose from.

Answer 5

Opportunity seeking

Question 6

It involves the development of new ideas from various sources

Answer 6

Opportunity seeking

Question 7

These are sources when it comes to developing new ideas

Answer 7

External/Macroenvironment
Internal/Microenvironment

Question 8

Analysis used in micro environment

Answer 8

SWOT analysis

Question 9

Analysis used in macro environment

Answer 9

PESTEL analysis

Question 10

IMPORTANCE OF ENVIRONMENTAL SCANNING

Answer 10

•It identifies the expected threats and opportunities existing in
the environment.
•It points out the possible factors that will determine the success
of the business venture.
•It assists in the formulation of the most appropriate business
strategies.

Question 11

It involves the larger societal forces that influences the internal environment.

Answer 11

External/macro environment

Question 12

is one important tool that
executives can rely on to organize factors within the general environment and to identify how these factors influence industries and the firms within them.

Answer 12

PESTEL analysis

Question 13

It include government policies, leadership, and change; foreign trade policies; internal political issues and trends; tax policy; regulation and de-regulation trends.

Answer 13

Political factors

Question 14

It include elements such as interest rates, gross domestic product, unemployment rates, and inflation.

Answer 14

Economic factors

Question 15

It includes trends in demographics such as population consumers’ lifestyles, buying habits, education, religion, beliefs, values, social classes, sexuality and attitudes.

Answer 15

Socio-cultural factors

Question 16

It basically refer to the trends and developments in computer and information technology that have
impact on business.

Answer 16

Technological factors

Question 17

These factors are important due to the increasing scarcity of raw materials; pollution targets; doing
business as an ethical and sustainable company; carbon footprint targets.

Answer 17

Environmental factors

Question 18

It include laws involving issues such as employment, health and safety, discrimination.

Answer 18

Legal factors

Question 19

can be defined as a type of marketing strategy that
targets a specific niche of your overall target audience.

Answer 19

Micromarket sources

Question 20

These are the current needs and wants of potential customers that should be discovered right away by a budding entrepreneur.

Answer 20

Consumer preferences, interests, and perception

Question 21

Recognizing and understanding potential competitors will aid
the entrepreneur to develop a product or service that is unique
and will surely stand out from the competition

Answer 21

Competitors

Question 22

Often, entrepreneurs just have to look at their environment
and they will be able to spot a business opportunity right away.

Answer 22

Location

Question 23

PESTEL stands for

Answer 23

Political factors
Economic factors
Socio-cultural factors
Technological factors
Environmental factors
Legal factors

Question 24

SWOT stands for

Answer 24

Strength
Weaknesses
Opportunities
Threats

Question 25

is a technique for assessing these four aspects of your business.

Answer 25

SWOT analysis

Question 26

Primary objective of a SWOT analysis

Answer 26

is to help organizations develop a full awareness of all the factors involved in making a business decision.

Question 27

SWOT analysis is used to

Answer 27

discover recommendations and strategies, with a focus on leveraging strengths and opportunities to overcome weaknesses and threats.

Question 28

is the process by which entrepreneurs evaluate innovative product ideas, strategies, and marketing trends

Answer 28

Opportunity screening

Question 29

is the process by which entrepreneurs evaluate innovative product ideas, strategies, and marketing trends

Answer 29

Opportunity screening

Question 30

helps determine the potential for success in pursuing the idea and can help refine planning.

Answer 30

Opportunity screening

Question 31

The entrepreneur should say no to an opportunity if it does not contain any of these business opportunity elements

Answer 31

✔ Has a superior value to customers ✔ Solves a compelling problem, issue, a need, or a want ✔ Is a potential cash cow ✔ Matches with the entrepreneur’s skills, resources, and risk appetite

Question 32

tells a customer the number one reason why a product or service is best suited for that particular customer.

Answer 32

Value creation proposition

Question 33

should be communicated to customers directly, either via the company's website or other marketing or advertising materials.

Answer 33

Value proposition

Question 34

simply defined as what the business should do in the future. States the aspirations of the firm.

Answer 34

Vision statement

Question 35

It states the company’s reason for being. It clarifies what the company wants to achieve, who they want to support, and why they want to support them.

Answer 35

Mission statement

Question 36

It is the last step in opportunity spotting and assessment.

Answer 36

Opportunity seizing

Question 37

This is the pushing through with the chosen opportunity.

Answer 37

Opportunity seizing

Question 38

is the process of positively improving an existing product or service. It is a key driver for economic growth.

Answer 38

Innovation

Question 39

Three (3) types of innovations according to the degree of distinctiveness:

Answer 39

Breakthrough innovation Technological innovation Ordinary innovation

Question 40

which may also include inventions, occur infrequently as these establish the platform on which future innovations in an area developed.

Answer 40

Breakthrough innovation

Question 41

It must be protected by patent, a trade secret, or a copyright.

Answer 41

Breakthrough innovation

Question 42

these innovations are technological advancements of an existing product or service. These innovations need to be protected too.

Answer 42

Technological innovation

Question 43

most frequent extensions of technological innovations, provides a better product or service from the previous one.

Answer 43

Ordinary innovation

Question 44

Opportunity seizing involves refining and developing this opportunity. This process is called

Answer 44

Product or service planning and development

Question 45

Stages in Product or service planning and development

Answer 45

Idea stage Concept stage Product development stage Test marketing stage

Question 46

In this stage, the entrepreneur determines what are the feasible products and/or services that will perfectly suit the opportunity.

Answer 46

Idea stage

Question 47

the developed idea will undergo a consumer acceptance test. This test includes getting the initial reactions of the primary target market.

Answer 47

Concept stage

Question 48

Product development stage also called/considered

Answer 48

Prototyping

Question 49

typically refers to all stages involved in bringing a product from concept or idea through market release and beyond.

Answer 49

Product development stage

Question 50

This stage validates the work done from the first three stages to measure success in the commercialization of the product or service

Answer 50

Test marketing stage

Question 51

will be the foundation of the consumers’ acceptance level and will be the basis in commercializing the product or service.

Answer 51

Actual sales result