MID TERM ANSWER SCRIPT

SUMMER-2020
Course Title: Entrepreneurship
Course Code: MGT3135
Section: 02 (B)

Submitted to
S.M Raihan Uddin
Lecturer
Southeast Business School
Southeast University
Banani, Dhaka-1230

Submitted by
Abrar Kamal Muna
ID No: 2017010000344
Batch: 45th

Date of Submission: August 26, 2020.

 Ans. to the Question No. 1(a)
Comprehensive Feasibility Analysis on My New Venture:

As an entrepreneur, I wanted to introduce a new food delivery service in Bangladesh. I have to

do comprehensive feasibility analysis for the betterment of my business. This divided in four
part-

1. Product and service feasibility

2. Industry and service market feasibility
3. Organizational feasibility
4. Financial feasibility

Product and Service Feasibility: By this feasibility we have to find if the product/service is
attractive to customer or not. It has two part-

a) Product and Service Desirability: It is an assessment of overall appeal of the product and
service being proposed. We have to find whether everyone expect my service or not. So we
may test our concept. So that we can ask consumer what is their desire product, we can go
to the consumer and ask what they want.
b) Product and Service Demand: We can survey our proposal to the consumer. And see
people if they want the service or not. It should be sure that the service is the want of
prospective consumer.

Industry and Target Market Feasibility:

a) Industry Attractiveness: As I am going for a new business in food delivery service, I will not
do the same as my other competitor do. Some of them do a fake discount offers. But I will
do “Niche marketing”. I will offer them exclusive food for a good price. And I will do better
in service. I’ll do exclusive delivery service where the delivery time will be not more than
20/30 minutes.
b) Target Market Attractiveness: At the first I’ll select who have the demand for my products
and service. So in the first as my customer segment is narrow I’ll ask them what they want
actually and how.

Organizational Feasibility:

a) Management Prowess: I have to see my management is up to date. They have to be

trained. They have to be able to run the business and if there is any kind of problem they
have the knowledge to solve the problem.
b) Resource Sufficiency: the organization have the sufficiency of all resource. In this case the
main resource is “Man power”. Is there the employee is good in number. Enough number of
employee needed if we want to start a business. Because a low amount employee cannot
handle the pressure of the business. So I’ll keep enough number of employee.

Financial Feasibility:

a) Total Start-Up Cash Needed : as an entrepreneur, I have to find my total start-up cost. For
this from the Project cost, project revenue I can find my total cost. So first I have to see my
project cost and the project revenue. Than I can understand that if I can understand my
business well.

b) Financial Performance of Similar Businesses : those who are already doing the same
category business and my competitors, I can analyze their financial report and annual
report. Than I can understand what they are doing and what is their project cast, revenue.
Total cost etc.

c) Overall Financial Attractiveness Of The Proposed Venture Overall Assessment: After all
this thing I have to check projected pro-forma, income statement, Balance shit. Administer
a buying intension survey. Will conduct a library, internet, gumshoe research.

After doing all this things I can realize what the demand of my product and service is.

Ans. to the Question No. 1(b)

Ideas for My Business with the Help of the Creative Process: Creativity is the thing that can
make opportunity for a business. Without creativity one may run the business but cannot make
new opportunities for an up growing business.

There are seven steps of creative process-

1. Preparation
2. Investigation
3. Transformation
4. Incubation
5. Illumination
6. Verification
7. Implementation
Preparation: I have to be well planned for what I am going to do. I have to be ready for the
problem, opportunities and other things. Who will be my customers, and my partner and
suppliers? So that in any problem fund I will know what to do.

Investigation: In this step, I will do deeply research, survey and do study for my problem/
situation/ decision for my business.

Transformation: After doing the investigation it’s time to transform the investigated result of
math and mismatch among the information and evaluation of them.

Incubation: after doing so many critical thinking and spending hours in the thinking of problem
and its solutions it’s time to be relax. Some distance from obstacles.

Illumination: All the previous stages come to produce the extraordinary creation of the
innovative idea. It may takes time.

Verification: verification I have to do in this stage. Verification of my idea, will it work or not.

Implementation: The last step is implementing the idea after verifying successfully, means
transforming the idea into reality.

From the discussion, I can create my ideas about my new venture in the food delivery service in
Bangladesh.
 Ans. to the Question No. 02(a)
From the given list I have chosen Dell to analyze its business model and the four components of
Dells’ business model. They are described below:

1. Core strategy:

Mission of Dell is to be most successful IT Systems Company in the world. For achieve this
mission, it try to deliver the best customer experience in all markets it serves. Dell offers three
primary value propositions. Number One is customization. The company offers customization to
select various features of their computers by enabling customers. Second one is to give as
cheap price as possible and the last one is keeping their brand/status.

2. Strategic Resource:

Dell, a game-changing vision for the technology industry, was founded by Michael Dell in his
university dorm using his last $1000 in 1984. He created a company called “PC’s Limited”.
Within a year he had turned his $1000 into $6 million in sales. For that he borrows $300,000
from his family. Then, he upgraded the computers from their existing software to IBM for local
firm. By 1986 the company dell started their own assembly which upgraded the producing sales
of $60 million. 4 years later, because they had now created a wide line of products, sales had
increased to $500 million. By 1996 Dell launched their products online, this gave them $1
million in sales a day which boosted their annual sales to $5.3 billion, increasing to $7.8 billion
the following year. The sales had risen 50% and then tripled to making sales of $3 million a day.
By 2005 Dell’s sales had risen to $49.2 billion. The company has become one of the most
successful companies. Also during 2005, Dell was ranked 28th biggest company in America by
revenue. Their sales for 2009 were $61.1 billion. In that following year, they were nominated a
top 200 fortune. They are the highest earning company within the computer industry. Due to
having to serve customers in over 170 countries, Dell also employs over 75,000 employees
across the world. Dell took over as leaders in their market from their biggest competitors
Hewlett Packard, IBM and Apple computers. Dell now offer a range of products and services
which includes computing peripherals, computing systems, computing software, consulting and
IT services. In 2007 Michael Dell returned to the company as a CEO to help improve its financial
performance by bringing new plans in for the company.

3. Partnership Network:

As production levels around the world shift daily, supplier volumes shift to meet demand,
altering the mix of suppliers used for a specific product. Within Dell’s List of Suppliers (May
2019), there are two lists. One catalogs our final assembly and original design manufacturers
(ODMs) which shows, which products are produced at each of these sites. The second lists
other direct material suppliers and shows what procurement category their products belong in.
The Dell Company only with only a few suppliers to ensure speedy implementation of the
information relayed from the company in a virtual supply chain. Orders are made in a
networked computing system. This further enhances in the improvement of speed and more so
the quality of the products.

4. Customer Interface:

Dell organizes globally around three major customer segments - large enterprise, public sector,
and small and medium businesses. Dell's consumer is already organized globally.

Large Enterprise - Dell is the leading provider of IT System Company in most of the world's
economies. A single large enterprise unit will further Dell's advantage in delivering globally
consistent solutions, services and innovations to the world's largest IT users.

Public - Dell intends to extend its leadership in answering urgent IT challenges in areas such as
education, government, the environment and health care.

Small and Medium Business- The new organization will accelerate creation and delivery of SMB-
specific solutions and technology to the more than 72 million small and medium-sized
businesses worldwide.

Ans. to the Question No. 02(b)

Here I will describe the value chain of Dell.

1. Primary Activities

The primary value chain activities of Dell are directly involved in producing and selling the
product to worldwide targeted customers.

a) Inbound Logistics: Dell works with external logistics partners to optimize its inbound
logistics. It use of various channels including stock raw material and sea and air to source.
For supply chain and inventory management, Dell uses the just in time model.

b) Operations: Dell is a global growth and high percentage of customer satisfaction by

improving the speed, quality, flexibility, dependability and cost operations performance.
 Dell is world known brand because of their success in the production by using
developments and the Just-in-time system of manufacturing

c) Outbound Logistics: To make fast deliveries to the customer from a close location, Dell uses
its network of retail partners and distribution centers. In Europe it has extended its
fulfillment network and it also changed the way it used to deliver accessories. It now uses a
multi-channel transportation strategy.

d) Marketing and Sales: For Dell, customer’s satisfaction is the high value and at the same
time, they are also very careful not to ignore competition. The aim of Dell was to forge long
lasting relationships with all its customers. From Dell’s perspective, Top concern is
customer’s money as well as their time. For achieving this goal, it through its direct
maximum utilization of internet, JIT manufacturing, marketing strategy, excellent after sales
service and cost efficient products.

e) Services: Dell Services make it easy to keep technology connected and productive. The pre-
sale and post-sale services offered by Dell will play an important role in developing
customer loyalty. The modern customers consider post-sale services as important as
marketing and promotional activities.

2. Support Activities:

The support activities play an important role in coordinating and facilitating the primary value
chain activities. Dell can also benefit from analysis of the following support activities:

a) Firm Infrastructure: The firm infrastructure denotes as- legal matters handling, quality
management, accounting, financing, strategic management and planning. Effective
infrastructure management can allow Dell to optimize the value of the whole value chain.

b) Human Resource Management: For the building of Internet infrastructures and

information-technology of customers worldwide, Dell is a premier provider of services and
products required. The effective HR management can allow Dell to reduce competitive
pressure based on motivation, commitment and skills of its workforce. The company can
also achieve its cost minimization objectives by analyzing hiring and training costs with their
relative return. Its operations strategy focuses on mass customization marketing strategy,
build-to-order production system, as well as on its production and supply chain designed for
its agile and fast turnarounds.
c) Technology Development: In technology development significant advances are as often the
result of a series of evolutionary steps as they are of breakthroughs. Dell understands that
importance. So they rapidly evolve and adapt to major changes in the markets, customer
behavior, and new technologies. They also create a true, digital workplace and reinvent how
a customer delivers technology to delight his/her workers. And they also accelerate
innovation across organization with intrinsic security which protects the company
everywhere.

d) Procurement: The procurement in value chain denotes the processes involved in purchasing
the inputs that may range from equipment, supplies, raw material and other items. Due to
its linkage with multiple value chain activities, Dell should carefully consider its procurement
activities to optimize the inbound, operational and outbound value chain.
 Ans. to the Question No. 03(a)
As I am an entrepreneur, I want to introduce a new business industry in e-Commerce site. For
that at first I need to recognize the opportunity of e-commerce business. Three ways to identify
opportunities-

1. Observing tends
2. Identifying the ideas for solving existing problems
3. Finding market gaps.

Observing trends:

Trends the first approach is to observe trends and study how they created opportunities for the
entrepreneurs to pursue. Observing trends means opportunities for me, because when I will
understand the current trends then only I can do what customers wants.

a) Socio Economic Trend: E-commerce is less time consuming. So customer wants to purchase
from there. So an entrepreneur can easily use this option.
b) Technological Trend: Online payment is getting a trend day by day. So it can be used in a
positive way
c) Economical Trend Shift: Quality of living standard of people is increasing day by day.
d) Booming Industry Opportunity: E-commerce was running its business before 10 or 20
years. But previously there were no extra facilities like online payment. People for delivery
were not so trained. Day by day it is getting better. So as an entrepreneur I can use this
opportunity.
e) Political Trends: Previously there many obstacles from the political view. But now govt. of
Bangladesh is giving many scope to entrepreneurs.
f) Legal Changes: As govt. inspiring entrepreneurs to do their business so they are decreasing
the legal tax

By analyzing this opportunities as an entrepreneur I can easily create my plans to enter the E-
commerce industry.

Identifying The Ideas for Existing Problems: when I can identify the problems then solve that
problem

a) Payment system is not reliable till now. Many people don’t trust the online payment.
b) Rude behave with the customer is also a major issue.
c) Total process of delivery still not well established till now.
d) Customer didn’t trust the service many times. So they orders only payment on delivery.
e) Many times the quality of the product is not as good as they desire. So they shifts for a
better solution.

If as an entrepreneur I can fixed this problems I can easily understand what should I do for my
new venture, an how can I grow my business

Finding market gaps:

a) Most of the time customers are not getting their desire products. They order something and
gets something, or the quality of that product is not good as they show in the pictures. So
here is creating a gaps between customer and seller.
b) Delivery timing is not fast.
c) Sometimes as an entrepreneur they are not responsive as the competitors.

This gaps is not good for an entrepreneur. But it can be an opportunity for them also. Is they
can solve this gaps it’s sure it will be great for all.

Ans. To the Question No. 3(b)

Tenacity despite Failure: Tenacity means being strong mind. So the tenacity despite failure
means strongly determined after getting failed many times.

Many times an entrepreneur faces many difficulties. After so many problems he might be failed
but he never stops. He tries and tries. His mind is so strong to handle those failure and start a
new business. His determination, his dedication does the main thing. After many times failure
one time he will be successful. Quitter never wins. Who quite the work after failure he cannot
be successful. Successful people tries many time, and this is the quality of tenacity despite
failure.

Entrepreneurs Are Gamblers - No, I don’t think an entrepreneur can be gamblers anyhow.

Because, one entrepreneur and one gambler are not same. One entrepreneur take a moderate
risk. They take the risk with many calculation, they are like just sit and count the cash. They
have to work very hard. They have to think about the customer. They have to manage their
under people. They have to run the business. On the other hand gambler are taking big risk
without anything doing. It’s fully on luck. But entrepreneur have to earn not luck.
 Summary

1. In this question, I tried to determine how to do feasibility analysis of a proposed venture. I

worked with a new business idea entering into the food delivery service in Bangladesh. Here
I describe how I can justify my business idea. On the other part I showed how creative
process can help me to come up with business idea.
2. In this question I have chosen Dell to demonstrate their business model and find out the
four crucial component of their business model. Next part I described Dell’s value chain.
Business model helped me to understand on which base Dell works and value chain made
me understand how Dell works to deliver its products to customers.
3. Here I tried to recognize my opportunity in the e-commerce sector of Bangladesh in the
given scenario through three ways. Then I defined two terms – tenacity despite failure: a
characteristic of a successful entrepreneur and a myth about entrepreneur that they are not
gamblers, they’re just moderate risk taker.
 References

 Barringer, Bruce R. (4th ed.). (2012). Entrepreneurship Successfully Launching New

Ventures. New Jersey, USA: Pearson Education, Inc
 https://scholar.harvard.edu/files/nithingeereddy/files/starbucks_case_analysis.pdf
 http://www.fintechbd.com/e-commerce-and-its-growth-in-bangladesh/
 https://www.delltechnologies.com/en-us/
 https://www.ukessays.com/essays/business/dell-operations-strategy-innovation-
supply-chain-management.php
 https://www.ukessays.com/essays/commerce/exploring-the-resources-and-
capabilities-of-dell-commerce-essay.php
 https://www.dell.com/en-us/work/
 https://notesmatic.com/2018/11/dell-value-chain-analysis/
 https://brandequity.economictimes.indiatimes.com/news/business-of-brands/dell-
ups-its-marketing-spend-by-10-15-this-fiscal-manages-to-connect-with-both-urban-
and-semi-urban-consumers/70812866
 https://www.essay48.com/value-chain-analysis/13707-Dell-Value-Chain-Analysis
 https://www.ukessays.com/essays/marketing/relationship-management-in-dell-
computers-company-marketing-essay.php