THE ENTREPRENEURIAL MINDSET

Opportunity
RECOGNITION
Sources of Opportunities
Entrepreneurial Mind Frame, Heart
Flame and Gut Game

PREPARED BY:

MS. LEONA MIE C. CUBOS

INSTRUCTOR
 Opportunity
Recognition
-The active, cognitive process (or
processes) through which individuals
conclude that they have identified the
potential to create something new that has
the potential to generate economic value
and that is not currently being exploited or
developed, and is viewed as desirable in
the society in which it occurs (i.e. its
development is consistent with existing
legal and moral conditions). (Baron,
2004b, p. 52)

Entrepreneurs are innovative opportunity

seekers. They create value by introducing
new products or services or finding better
ways of making them. They have endless
curiosity to discover new or different
ideas and see whether these ideas will
work in the marketplace.

Because opportunity recognition is a cognitive process, according to

Baron (2004b), people can learn to be more effective at recognizing
opportunities by changing the way they think about opportunities and how
to recognize them.
 Entrepreneurial
Mind Frame, Heart Flame and Gut Game

The Entrepreneurial Mind Frame allows

the entrepreneur to see things in a very
positive and optimistic light in the midst of
crisis of difficult situations. In fact, in
Chinese writing the word crisis is
composed of two characters: The first
character means danger and the second
character means opportunity.

If there is one commonality between an

inventor and entrepreneur, it is their
surging passion or the entrepreneurial
heart flame. This is also about emotional
intelligence, which is often manifested in
entrepreneur’s effort to nurture
relationships with customers, employees
and suppliers.

The final ingredient is the

entrepreneurial gut game. This refers
to the ability of the entrepreneur to sense
without using five senses. This is also
known as intuition.
 MacroSources
Environmental
of Opportunities

The macro environment refers to the “big or macro forces” that affect the
area, the industry and the market, which enterprise belongs to.

The macro environment forces can be divided into 5 categories which are
the following.

Socio-cultural Environment- includes the demographics and cultural

dimensions that govern the relevant entrepreneurial endeavor. It looks at
social structure and shifts in social status and behavior.
Political Environment - defines the governance system of the country or
the local area of business. It includes all the laws, and regulations that govern
the business practices as well as the permits, approvals, and licenses.
necessary to operate the business.
Economic Environment- Supply and demand forces mainly drive the
macro economic environment. In any opportunity, there is always a threat that
lurks behind it.
Ecological Environment- includes all the natural resources and the
ecosystem, habitat of men, animals, plants, and minerals.
Technological environment - new scientific and technological
discoveries, which often lead to the launch and commercialization of new
products with superior attributes to rendering the old ones.

Micromarket
This refers to the specific target market segment of a particular enterprise. These
are the target customers that represent the immediate customers of an enterprise,
meaning those who ae currently buying the goods or services offered by the
enterprise and its direct competitors.
 Otherofsource
Opportunities
1. Customer preferences change over time.
2. People’s taste in clothes, music, shoes, entertainment, dance, sports and
even careers have evolved over the years.
3. Before the customer is won over, there is first a battle of the mind. Next,
there is a battle for the heart. Finally, there is a battle for the wallet.
4. The longer the customer wants to use the product, the greater the
chances of creating long lasting loyalty.
5. Determining personal preferences and competencies lay the foundation
for a new business venture.
MARKET
RESEARCH
 Market Research
The entrepreneur should exert all efforts to know the market
he or she wants to exploit. The more you know about your
market, the better you will be able to determine customer
needs and wants. You will be able to reach them wherever
they are. This can be possible through conducting a good
market research.
Basic Questions in Market Research