Positioning Yourself as an Entrepreneur 3-1 Explore Market Opportunities Prepared by Ron Knowles Algonquin College & Jennifer Rouse Barbeau Canadore College chapter 33 Copyright © 2011 Nelson Education Ltd.

Chapter Overview Chapter 3 will:  Help you align your personal vision and values with your business mission, goals, and objectives.  Help you focus on the most promising unmet market needs.  Help you identify the industry or market trends—the “big picture”—for your business idea. 3-2 chapter 33 Copyright © 2011 Nelson Education Ltd.

 Connect your personal and business values with market opportunities.  Mesh your personal business objectives with one of the many opportunities in the marketplace.  Narrow your industry research until viable gaps appear.  Gain insight into hidden pockets of the life cycle by using an industry chronology.  Understand how problems can be turned into opportunities. 3-3 chapter 33 Copyright © 2011 Nelson Education Ltd. Learning Opportunities

 Combine demographic (population) data with psychographic (picture of a lifestyle) data to produce a customer profile.  Identify heavy users of your product or service.  Create a mission statement.  Develop a strategy using a SWOT analysis.  Use a matrix grid: blend your objectives with your research findings to produce a portrait of your business. 3-4 chapter 33 Copyright © 2011 Nelson Education Ltd. Learning Opportunities

Culture & Values 3-5 Culture  A company culture and employee behaviour are a reflection of the owner’s personality and values. Copyright © 2011 Nelson Education Ltd.

Culture & Values Values  the things in life that are important to you  serve as guideposts for your actions  once crystallized, become the basis for your mission statement and goals The Bottom Line: Your business must embody your values. 3-6Copyright © 2011 Nelson Education Ltd.

Your Vision is based on Your Values and Beliefs. It is spelled out in Your Mission Statement, fleshed out in Your Goals and Objectives and accomplished through Your Strategy. It’s All Connected 3-7Copyright © 2011 Nelson Education Ltd.

Success 3-8Copyright © 2011 Nelson Education Ltd.

Right Opportunity Selecting the Right Opportunity 1. Identify your business goals. 2. Learn more about your favourite industry. 3. Identify promising industry segments. 4. Identify problems that need solutions. 5. Brainstorm for solutions. 6. Mesh possible solutions with opportunities in the marketplace—using a matrix grid. 7. Take stock and focus on the most promising opportunity. 3-9Copyright © 2011 Nelson Education Ltd.

The Final Step Taking Stock: The Final Step   What is your industry?   What is your market gap?   What are your opportunities? 3-10Copyright © 2011 Nelson Education Ltd.

Test Your Business Idea Test your business idea by exploring 4 themes. 1.Personal considerations. 1.Personal considerations. Does your business idea satisfy your personal goals and objectives? 2.Marketing considerations. 2.Marketing considerations. Is there a market need for your product or service? 3.Production considerations. 3.Production considerations. Will you be able to produce the required volume and quality of products and services? 4.Financial considerations. 4.Financial considerations. Can your operation satisfy the required financial goals? 3-11Copyright © 2011 Nelson Education Ltd.

What is a Mission Statement?  Statement of your company’s purpose and aims.  Usually answers the 6 Ws: What are the products and services? Who is the expected target customer? What industry is it in? Which markets does it serve? What is its major driving force? Why will this business be successful? 3-12Copyright © 2011 Nelson Education Ltd.

Business Mission An empowering business mission is:   Inspiring.   Connected to your values and vision.   Represents the deepest and best within you.   Fulfills the contribution your business will make.   Deals with your vision and principle- based values. 3-13Copyright © 2011 Nelson Education Ltd.

A Business Strategy  A broad program for achieving an organization’s objectives and implementing its vision.  Creates a unified organizational direction.  Helps determine the nature and direction of the organization.SWOT  A business model which helps formulate a business strategy.  An analysis of a company’s: Internal Strengths and Weakness External Threats and Opportunities 3-14 SWOT/Business Strategy Idea Generator: SWOT/Business Strategy Copyright © 2011 Nelson Education Ltd.

A Strategic Framework 3-15 Company Strengths & Weaknesses Company Strengths & Weaknesses Industry Opportunity & Threats (Economic & Technical) Industry Opportunity & Threats (Economic & Technical) Competitive Advantage Competitive Advantage Broader Societal Expectations Broader Societal Expectations Personal Values & Key Implementers Personal Values & Key Implementers Copyright © 2011 Nelson Education Ltd.

Chapter 3 helps you prepare Part B of your business plan:  The Market &  The Target Customer Copyright © 2011 Nelson Education Ltd.3-16 Business Plan Business Plan Building Block

  How is your product or service addressing the needs of the target market and offering benefits?   What are your business and personal values?   Define your market niche.   Define the idea filters you used to establish business viability. 3-17Copyright © 2011 Nelson Education Ltd. Your Business Plan Checklist for Your Business Plan

  Complete your mission statement.   Revisit and update your business goals and objectives.   Identify market segments that have potential.   List industry problems that your business may face, and how you would address them. Copyright © 2011 Nelson Education Ltd.3-18 Your Business Plan Checklist for Your Business Plan

Crazy Plates The Crazy Plates team built a successful new business venture. Answer the Chapter 3 case study questions to learn:  The importance of personal vision and values.  How passion and a clear business vision are critical to the success of a new venture.  The need for market segmentation and a mission statement.  How trends can create business opportunities.  How problems can create opportunities—if you are passionate and persistent. 3-19Copyright © 2011 Nelson Education Ltd. Case Study