Chapter 2

Opportunity Seeking, screening and Seizing

Entrepreneurs
 innovative opportunity seekers.
 they have endless curiosity to discover new or different
ideas and see whether these ideas will work in the
marketplace.

Ordinary businessman
 the Main objective is to earn profit from producing,
buying and selling goods.
Entrepreneurial Mind Frame,
Heart Flame and Gut Game
 Entrepreneurial Mind Frame
 Allows the entrepreneur to see things in a very
positive and optimistic light in the midst of crisis or
difficult situations.
 In Chinese writing, the word crisis is composed
of two characters.
First character means danger.
Second means opportunity.
 Entrepreneurial Heart Flame
 Driven by passion, they are drawn to find fulfillment in the
act and process of discovery.
Passion is a great desire to
attain a vision or fulfill a mission.

 The heart flame is all about emotional intelligence or EQ,

which is often manifested in the entrepreneurs efforts to
nurture relationships with customers, employees and
suppliers.
 Entrepreneurial Gut Game
 Refers to the ability of the entrepreneur to sense
without using the five senses.
 Also known as intuition.
 Also connotes courage, or in the local dialect “Lakas
ng loob” (strong intestinal fortitude.
The Many Sources of
Opportunities
 Macro Environment
 Refers to “big or macro forces” that affect the area, the industry, and the
market, to which the enterprise belongs to.

 They influence how business should be conducted, how consumers will

behave, how supply and demand will move, how different competitors would
position themselves and the cost of doing business will proceed.

 The macro environment forces can be divided into five categories composed
of the Social, Political, Economic, Ecological and Technological dimensions
or SPEET.
Social-Cultural Environment
 Includes the demographics and cultural
dimensions that govern the relevant
entrepreneurial endeavor.
 Entrepreneurs assess the trends and dynamics
of the bigger consumer population, their
beliefs, tastes, customs, and traditions.
Political Environment

 Defines the governance system of the country or the local area of

business. It includes the laws, rules, and regulations that govern
business practices as well as the permits and approval, and
licenses necessary to operate the business.
Economic Environment
 Supply and demand forces mainly drive the macro
economic environment.
 They are the same factors that drive the interest and
foreign exchange rates that fluctuate with the
movement f the market forces.

Ex. A very fast-growing demand for housing may lead to the

overbuilding of houses. This threat is what house financing
institutions are afraid of.
Ecological Environment

 Includes all natural resources and the

ecosystems, 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 or to rendering the old ones obsolete are the
entrepreneurs nightmares.
 FACTORS OPPORTUNITIES TO THE THREATS TO THE
ENTERPRISE ENTERPRISE

Social • Increased customer base for

• Increasing double income the fast food chain
earner in the family (i.e., • More health product offerings
mother and father are both are demanded by customers
working)
• Trend toward healthier food
choices

Political • Increased purchasing power

• Tax exemption for the 13th of the customers leading to
month oay and bonuses to higher retail sales.
₱70, 000.00 passed by
congress
Economic
• ASEAN Integration in
2015 (countries that
belong to ASEAN trading
at ZERO tariff
• Opportunity for the • Smaller suppliers
enterprise to expand to difficulty coping with
other ASEAN greater competition posed
by foreign rivals; might
lose small but reliable
suppliers

Ecological • Opportunity start an • Additional cost incurred

• Increased usage of eco
bags and environment-
friendly containers
advocacy toward a by new packaging may
‘greener operation (not decrease profitability
limited to usage of eco-
friendly
container/packaging

Technological • Greater usage of apps to • Ootential for online

• Increades usage of
smartphones to
disseminate important
information( e.g news,
weather, traffic updates)
place delivery orders via
smartphones, which may
help increase market
reach.
customer disappointments
and netizen bashing due to
poor product/service
delivery brought about by
intermittent technical
glitches.
End..