1.

RECOGNIZING OPPORTUNITIES AND GENERATING

IDEAS
2. FEASIBILITY ANALYSIS
3. WRITING A BUSINESS PLAN

LECTURE - 2
Najia Rizwan Syed
najia.rizwan@iqra.edu.pk
 RECOGNIZING OPPORTUNITIES AND GENERATING IDEAS

An opportunity is a favorable set of circumstances that

creates a need for a new product, service or business.
An opportunity has four essential characteristics
1. Attractive
2. Timely
3. Durable
4. Anchored in a product, service or business that creates or ads
value for its buyer or end user
 RECOGNIZING OPPORTUNITIES AND GENERATING IDEAS
1ST Approach: Three Ways to Identify an Opportunity:

1. Political Action and Regulatory Change

2. Social Forces
3. Technological Advances
 RECOGNIZING OPPORTUNITIES AND GENERATING IDEAS
Second Approach: Solving a Problem

Solving a Problem
• Sometimes identifying opportunities simply involves noticing a problem and finding a way
to solve it.
• These problems can be pinpointed through observing trends and through simpler means
such as intuition, chance, or change.

2-4
 RECOGNIZING OPPORTUNITIES AND GENERATING IDEAS
Third Approach: Finding Gaps in the Marketplace
• A gap in the market is a business opportunity. It's when you've identified something that customers need,
but it isn't currently available. This could be something that's completely unique, an improvement on an existing
idea, or a way to introduce something to a different market.
• The term "gap" refers to the difference between supply and demand for that offering.
• Uber, for example, turned the taxi model on its head, connecting passengers with minicabs to enable them
to be picked up and pay for their journey using GPS-enabled smartphones and digital payments. (Imitate and
reinvent overseas businesses : Careem )
• Netflix filled a market gap with its DVD mail-order rental business, competing with Blockbuster Video.
By 2010, Netflix streaming eventually bankrupted Blockbuster.
• Airbnb makes it simpler for people to rent out their spare rooms or properties on short-term lettings
without going through traditional lettings agencies, and renters to find cheaper, short-term accommodation as
an alternative to hotels.
 RECOGNIZING OPPORTUNITIES AND GENERATING IDEAS
MARKET GAP ANLYSIS

• OBSERVE MARKET TRENDS

• SURVEY POTENTIAL CUSTOMERS
• BRAINSTORM UNSOLVED NEEDS AND PROBLEMS
• INVESTIGATE NICHE MARKETS
• REINVENT EXISTING PRODUCTS AND SERVICES
• MONITOR LEGAL CHANGES

PS: REFER TO THE WORD FILE SHARED ON BB – MARKET GAP ANALYSIS - NOTES
 RECOGNIZING OPPORTUNITIES AND GENERATING IDEAS

• 1.Preparation: is the background, experience, and knowledge that an entrepreneur

brings to the opportunity's recognition process.
• 2.Incubation: is the stage during which a person considers an idea or things about
problem; it is the mulling thing over phase.
• 3.Insight: is the flash of recognition when a solution to a problem is seen or any
idea is born
• 4.Evaluation: is a particular challenging stage of the creative process because it re-
quires an entrepreneur to take a candid look at the viability of an idea
• 5.Elaboration: is the stage during which the creative idea is put into a final form.
 RECOGNIZING OPPORTUNITIES AND GENERATING IDEAS
CASE STUDY – REF BB CASESTUDY PACK LECTURE 2

• CHALLENGES FACED IN HEALTH CARE INDUSTRY – PATIENTS AND INSTITUTIONS

• OPPORTUNITIES TO COMBINE HEALTHCARE AND TECHNOLOGY
• PAIN POINTS LIST
• CREATING THE SOLUTION
• PARTNERSHIPS REQUIRED
• MARKET PENETRATION
• SCALING AND GROWTH
 FEASIBILITY ANALYSIS

Process of
Preliminary Provides insights
determining Prepare for risk
evaluation of a before starting
viability of mitigation
business idea the business
business idea

An analysis of organizational feasibility focuses on resource needs and management capabilities.

FEASIBILITY ANALYSIS
 FEASIBILITY ANALYSIS
PRODUCT / SERVICE FEASIBILITY
Step 1. Design & Conduct Primary Market Research
•Conduct primary research with potential customers in
• Is an assessment of the overall order to assess the desirability of your new
appeal of the product or service product/service idea, as well as evidence of likely
being proposed. demand. Examples of such research include concept
• Before a prospective firm rushes tests and buying intention surveys.
a new product or service into Step 2: Supplement Your Primary Research With
development, it should be sure Secondary Research
that the product or service is what •You can find additional evidence of likely demand
prospective customers want. by looking for information about the new product or
service in business, industry, or news sources available
from Library Databases or other online sources.
 FEASIBILITY ANALYSIS
INDUSTRY AND TARGET MARKET FEASIBILITY

Industry Attractiveness
Industries vary in terms of their overall attractiveness.
Particularly important—the degree to which environmental
and
business trends are moving in favor rather than against the
industry.
Types of industry analysis
• Competitive Forces Model (Porter’s 5 Forces)
• Broad Factors Analysis (PEST or now PESTEL Analysis)
• SWOT Analysis
 FEASIBILITY ANALYSIS
INDUSTRY AND TARGET MARKET FEASIBILITY- PORTERS 5 FORCES
 FEASIBILITY ANALYSIS
INDUSTRY AND TARGET MARKET FEASIBILITY - BROAD FACTORS ANALYSIS / PESTEL
 FEASIBILITY ANALYSIS
INDUSTRY AND TARGET MARKET FEASIBILITY

Target Market Attractiveness

The challenge in identifying an attractive target market is to find a market that’s large
enough for the proposed business but is yet small enough to avoid attracting larger
competitors.

Assessing the attractiveness of a target market is tougher than assessing the

attractiveness an entire industry.

Often, considerable ingenuity must be employed to find information to assess the

attractiveness of a specific target market.
BREAK – 20 MIN
 FEASIBILITY ANALYSIS
ORGANIZATIONAL FEASIBILITY
Organizational feasibility, for entrepreneurs, is an assessment of the overall capability and readiness of the
entrepreneur and their team to effectively launch and manage a new business venture. This assessment focuses on
the internal factors related to the organization and its people, aiming to determine whether the entrepreneur's
skills, resources, and capabilities align with the demands of the proposed business. Organizational feasibility
involves evaluating the entrepreneur's ability to execute their business idea successfully.
Key elements of organizational feasibility:
• Entrepreneurial skills and experience
• Management team
• Resource availability
• Network and relationships
• Adaptability and flexibility
• Strategic alignment
• Financial preparedness
• Market knowledge
• Legal and regulatory compliance time commitment
 FEASIBILITY ANALYSIS
FINANCIAL FEASIBILITY

Total Start-Up Cash Financial Performance of

Needed Similar Businesses

Overall Financial
Attractiveness of the
Proposed Venture
 FEASIBILITY ANALYSIS
CASE STUDY – REF BB CASESTUDY PACK LECTURE 2

• ANALYSE PAKISTANI MARKET FOR SUCH STARTUPS, IS IT FEASIBLE . YES OR NO WITH

REASONS. WHAT OTHER STARTUP IDEA IS FEASIBLE IN THE SAME INDUSTRY WHERE
YOU CAN INTRODUCE BETTER HEALTHY EATING HABITS FOR YOUR COUNTRY AS PER
CONSUMER PREFERENCE AND MARKET CONDITIONS. IF YOU WERE TO LAUNCH
GREENEATS IN PAKISTANI MARKET, DISCUSS THE COMPETITION AND COSTS
INVOLVED.

REF: PLEASE READ THE CASESTUDY OF GREENEATS POSTED ON BB CASE STUDY PACK LECTURE 2
 WRITING A BUSINESS PLAN
Remember to keep your business plan concise, well-organized, and tailored to your specific venture and industry. It should be easy to understand and should provide a
clear and compelling case for your business. Regularly update your plan as your business evolves to ensure it remains relevant and useful for guiding your entrepreneur -
ial journey

Creating a well-structured business plan is crucial for entrepreneurs and startups. A business plan serves as a roadmap for your business
and is often required when seeking funding or partnerships. Below is a comprehensive outline for a business plan that covers all the
essential elements:
1. Executive Summary:
2. Company Description:
3. Market Analysis:
4. Competitive Analysis:
5. Organizational and Management Structure:
6. Product or Service Line:
7. Marketing and Sales Strategy:
8. Funding Request:
9. Financial Projections:
10. Appendix:
 BUSINESS PLAN
CASE STUDY – REF BB CASESTUDY PACK LECTURE 2

REF: PLEASE READ THE CASESTUDY OF EDTECH STARTUP POSTED ON BB CASE STUDY PACK LECTURE 2