I.

Idea Generation
a. 3 laws of Marketing Physics
i. Overt Benefit
1. what is the big benefit to the customer
ii. Real Reason to Believe
1. Why is my product credible
2. Will you do as promised
a. i.e. Lab tests etc., testimonials, demonstrations
iii. Dramatic Difference
1. What makes my product unique?
2. How do I stand out compared to the market?
3. Must Stand out
b. 3 Laws of capitalist creativity
i. Explore Stimuli
1. gather stimuli to get ideas
2. Multiply/Intensify Stimuli
3. Create customer concepts
a. Generate ideas that fulfill your objective
b. Keep overt benefit and real reason to believe in
mind
c. Raw ideas
4. optimize practicality
a. focus idea and further develop it. Make it feasible
but keep customer focus
ii. Leverage Diversity
1. open market opportunities
2. don’t close down opportunities
iii. Face Your Fears
c. Stages of Entrepreneurship
i. Identify opportunity
1. look for new tech, new market, changes and shifts in
market
ii. Develop the concept
iii. Determine resources
1. what you need
a. management, financing, marketing and sales
expertise, licenses, production
iv. Acquire resources
1. financing, outsourcing, leasing, contract labor, joint
ventures, partnerships
v. Implement and manage
vi. Harvest the venture
1. sell
2. grow
3. lifestyle business
II. Opportunity Evaluation
a. Timmons Model- model to understand the balance between opportunity,
resources, and the entrepreneurial team all balanced by the founder
i. Opportunity
1. good idea not always good opportunity
2. must be able to quickly evaluate whether serious potential
exists
3. market demand
a. is customer payback less than one year
b. do market share and growth potential equal 20
percent annual growth and is it durable
c. is customer reachable
4. Market structure and size
a. Emerging and/or fragmented
b. Proprietary barriers to entry
5. Margin analysis
a. Low cost provider (40 percent of gross margin)
b. Low capital requirement v. competition
c. When and how much is break even
d. Value added increase of overall corporate P/E ratio
ii. Resources
1. Minimize and control resources
2. think creatively to get resources
a. financial resources
b. assets
c. people
d. business plan
iii. Entrepreneurial team- balances the other two
1. leader
a. resilient
b. exhibits integrity, dependability, honesty
c. learns and teaches fast
2. Team
a. Motivated
b. Commited
c. Creative
d. Adaptable
e. Communicate well
b. 3M’S
i. Market Demand
1. do people want my product
ii. Market Structure
1. are there enough people that want it
iii. Margin analysis
1. is it financially feasible
III. Break Even/Margin Analysis
a. Formulas
IV. 4 P’s of Marketing
a. Product
i. What are you offering
1. product line-similar products
2. product mix-assortment of products
ii. differentiation based on:
1. quality
2. selection
3. uniqueness
b. Price
i. How much are you charging
ii. Factors that influence pricing
1. customers ego or self-image
2. location
3. level of competition
4. seasonality
5. nature of marketplace
c. Promotion
i. How are you communicating
1. advertising
2. personal selling
3. sales/promotions
4. publicity/public relations
d. Place
i. Where are you selling