Week 1 - Q4
Week 1 - Q4
Week 1 - Q4
01 02
Analyze business Select the best
ideas product or
service for the
market need.
How do you choose the
right product to sell?
1. Primary considerations in choosing a particular product
Strengths Weaknesses
The specific positive aspects, which will The specific aspects that your
give your proposed business an business will
advantage over similar business ventures not be good at. Perhaps your costs
competitors. It could be that you have a
will be high because your location is
better product feature than your
competitor, or you can deliver the product far from suppliers and you will pay
faster than others because of the location more for the transport.
near the customers.
Outside the business
To analyze the opportunities and strengths of your proposed business an
entrepreneur must look outside the business or the external environment. What
aspects of the external environment will benefit the business and what aspects
will negatively affect the business.
Opportunities Threats
On-going potential developments Probable events that may affect your
around you that will be good for business negatively. For example the
your business. It could be that the business idea could be so simple
demand for the product you are that other people may start similar
proposing will increase because of businesses in your area and reduce
the influx of tourists. your share of the market.
New products and services are essential in
all businesses. Existing and new
entrepreneurs understand that investing
in their product development is necessary
for business growth and success.
However, financing the development
process is very risky. It needs to be
carefully planned and organized.
Identifying where products or services are in
their life cycle is central
to your profitability.
❖ Idea Screening
● Ideas which are unsuitable, unacceptable or poor must be
junked.
● Ideas with attributes are rated on the basis of a rating form,
rated 1-10 in categories:
❖ Concept Testing
● Ideas which passed screening stage will require feedback from
consumer.
● Measures consumer enthusiasm by asking reactions in
pictures, and oral description of product.