ENTREP... Flashcards
- It serves the entrepreneur who must set a navigational course
- It serves investors and cautious financiers
- It serves the managers and staff of the organization so they will know the strategies and programs of the enterprise.
Business Plan
Contains the essence of the enterprise in a concise but powerful manner. It stresses the value of the product offering to the target customers who would most likely buy it.
Business concept
Formula on how the enterprise exactly plans to make money out of the business.
Business model
the tangible good or the intangible service that the enterprise offers to its customers in order to satisfy their needs and produce their expected results.
Product
Four types of Products
- Breakthrough products
- Differentiated Product
- Copycat Products
- Niche Products
- Offer completely new performance benefits.
- also called pioneers, are products that are technologically advanced and creatively superior to existing products in the market
- Example: Vaccines, Apple IPhone, Android Phones
Breakthrough products
- Try to claim a new space in the mind of the customer different from spaces occupied by existing products. The Performance benefits may be close to existing products but there would be additional benefits on special aspects of the product.
- There are many eyeglasses but Transitions lenses was able to differentiate itself from the rest because the lenses they use adapt to changing light.
Differentiated products
- a product that has been designed, branded or packaged to look exactly like that of a well-established competitor; a cheap imitation.
- example: a classic example of copycat product is the Beer na Beer brand in Asia Brewery pitted against San Miguel Pilsen.
Copycat products
- a product targeting a specific section of a larger industry and market. Niche products are often (but not always) more expensive than more generic products
- Organic foods and Speciality foodstuffs
- ( Tejvan Pettinger, 2017)
- Niche products
more expensive, but with promise of better quality / better for environment
Organic foods
e.g. particularly expensive and high-quality coffee.
Speciality foodstuffs
Chapter I.
● The Business Goals: Vision, Mission, Objectives
A. Business name
B. Business Logo
C. Business Slogan
D. Location of Business
★ Advantages
★ Disadvantages
E. Location Map
F. Target Market
G. Business Visibility
★ Business
★ Location
intended as a guide to help the organization make decisions that align with its philosophy and declared set of goals. It can be thought of as a roadmap to where the company wants to be within a certain timeframe
Vision
defines what an organization is, why it exists, its reason for being. At a minimum, your mission statement should define who your primary customers are, identify the products and services you produce, and describe the geographical location in which you operate. - (Entrepreneur Asia Pacific)
mission statement
It must be SMART
Objectives
SMART
Specific
Measurable
Achievable
Realistic
Time-bound
TRUE or FALSE: A good business name must identifies the company very well. It communicates what the company is all about and what its product all about.
TRUE
TRUE or FALSE: The company name must project its very desired image
TRUE
a graphic mark, emblem, symbol, or stylized name used to identify a company, organization, product, or brand. It may take the form of an abstract or figurative design, or it may present as a stylized version of the company’s name if it has sufficient brand recognition. - Ivestopedia
Business Logo
is a short phrase that serves as a very brief representation of a product or company.
Business Slogan
In finding a good location, one need to consider the following:
- The number of customers residing or working in the area, and the number of customers who frequently pass through the area
- The density of number of customers per unit area.
- The access routes to alternative locations and their traffic count in those routes
- The buying habits of customers or where they buy, at what time and how frequent.
- Locational features such as parking spaces, foot access,creature comforts, and the like.
The entrepreneur has to consider also the following:
- The cost of buying or renting, renovating, and operating the location
- Customer volume, drop-in rates (what percentage of customer traffic would stop by the store) and sales conversion ratios (what percentage of drop-ins would actually purchase something from the store)
- Revenues based on the volume and mix of goods and services expected to be sold at certain prices.
- Profits.
the final choice of location must be based on the following.
- Image and location conditions
- Exact fit to target customers
- Clustering of competitor establishments
- Future area development
- Fiscal and regulatory requirements
RELEVANT LOCATION DRIVERS
- Physical Proximity to Target Market
- Customer Traffic Flow
- Industry Clustering
- Convergence of Multiple Industries
- Population Concentrations
- Activity Hubs
