Lesson: Industry and Environmental Analysis: Identification of Business Opportunity:Types of Industries and Business Opportunity part 2 Flashcards
commerce in farming and farming-related activities.
refers to the agricultural products and services industry involved in growing,
processing, and distributing food.
It includes small and large-scale farming operations, farming equipment such as
tractors and harvesters, growth aids like fertilizer, food processing plants, and
distribution chains involved in shipping, storing, and selling food.
AGRIBUSINESS
ONE WAY TO REMEMBER THE KEY ELEMENTS OF AGRIBUSINESS IS THROUGH THE FOUR “F’S”:
Food
Fiber
Forest
Fuel
OBJECTIVES OF AGRIBUSINESS
Create an innovative and feasible agribusiness sector led by the private sector
Increase productivity
Commercialization of agriculture
Advance in high-potential sectors: horticulture, livestock, and fisheries
Use of modern technologies
Reducing the cost of production
Value Addition
Export Agriculture
AGRIBUSINESS SYSTEM 3 sectors:
Agricultural input sector
Agricultural production sector
Manufacturing sector
MAJOR AREAS:
Farm supplies
Production
Processing
Marketing
Research & Extension
Govt. Policies & Programmers
IMPORTANCE OF AGRIBUSINESS:
Single most important contributor to the world’s economy.
It represents approximately 1⁄4 of total world production.
Employs nearly 1⁄2 the population of the planet.
Play an important role in the economic development of most countries.
Maturing of the production sector gives rise to other sectors.
NATURE OF SUCCESSFUL AGRIBUSINESS:
Clean objectives
Planning
Sound organization
Research
Finance
proper plant location, layout, and size
Efficient management
Harmonious relations with the workers
the process of turning raw materials or parts into finished goods through the use of tools, human labor, machinery, and chemical processing.
an integral and huge part of the economy.
It involves the processing and refinement of raw materials, such as ore, wood, and foodstuffs, into finished products, such as metal goods, furniture, and processed foods.
Manufacturing
TYPES OF MANUFACTURING:
Additive Manufacturing
Advanced Manufacturing
Contract Manufacturing
This type of manufacturing is commonly referred to as 3D printing. It involves the use of
layers that are built up upon each other to create shapes and patterns in a three-
dimensional process using a special piece of equipment,such as a 3D printer.
Additive Manufacturing
This method involves new forms of technology to
improve the production process.
Advanced Manufacturing
manufacturing industry. Companies will enter into
partnerships and business relationships with other firms to outsource certain
manufacturing processes.
Contract Manufacturing
TYPES OF MANUFACTURING
PROCESSES:
Discrete Manufacturing
Process Manufacturing
Mixed Mode Manufacturing
Job Shop Manufacturing
Repetitive Manufacturing
is aptly named because each product manufactured can be specifically identified.
Discrete Manufacturing
batch process manufacturing entails manufacturing a product based on a specific standard that uses a recipe or formula
Process Manufacturing
This is often the case for goods manufactured using batch process before these standardized goods are converted to more specific individual package.
Mixed Mode Manufacturing
This process is most often used when there is a batch to process yet the batch is different than a company’s normal product.
Job Shop Manufacturing
A potential subset of other manufacturing processes, repetitive manufacturing often breaks long manufacturing processes into smaller parts.
Repetitive Manufacturing
STEPS IN MANUFACTURING:
Develop the Idea
Perform Market Research
Design the Product
Finalize and Prototype
Prototype Testing
Manufacture the Good
Monitor the Process
involves selling goods directly to customers through physical/online stores and providing them with a variety of products needed to consume in daily life.
RETAIL INDUSTRY
It derived from the french word “tailler”
that means
“to trim/cut”
“retail is selling goods in
units to sustain consumers’ needs. “
According to Kotler
RETAIL BUSINESS TYPE:
Product Retail
Service Retail
Non-store Retail
Products sold by retailers include apparel, jewelry, housewares, small appliances, electronics, groceries, and pharmaceutical products.
Product Retail
motorbike shop, salons, restaurant
Service Retail
retailing without using physical stores
Non-store Retail
TYPES OF RETAIL INDUSTRY:
Grocery Store
Convenience Store
Department Store
Shopping Center
SuperMarket
Hypermarket
offers more food and beverages essential in home are available here such as biscuits, household items, antibacterial products
Grocery Store
sells ready-to-eat foods, beverages, and essential items
Convenience Store-
multiple brands and stalls that offer items such as home appliances, cosmetics, and furniture that share the same space
Department Store
consists of multiple stores who share the same building but do not share the same space
Shopping Center
smaller space compared to hypermarket
SuperMarket
department store + supermarket
hypermarket
RETAIL SUPPLY CHAIN:
Manufacturer
Wholesaler
Retailer
Customer
In industries, services refer to intangible offerings provided to meet specific needs or requirements.
Unlike tangible goods, services are non-physical and include activities, expertise, or support.
SERVICE INDUSTRY
The scope of services in any industry is broad and diverse, encompassing a wide range of activities and offerings. It typically
Includes:
Professional Services
Technical Services
Consulting Services
IT Services
Financial Services
HealthCare Services
Educational Services
Logistics and Supply Chain Services
Customer Support Services
Maintenance Services
This involves expertise provided by professionals such as consultants, engineers, architects, and lawyers.
Professional Services
Support and maintenance services for technical systems, machinery, or equipment
fall under this category.
Technical Services
Advising clients on various aspects, including business strategy, operations, and
management.
Consulting Services
Covering software development, system integration, cybersecurity, and technical
support.
IT Services
Services related to financial management, accounting, auditing, and consulting.
Financial Services
Medical care, diagnostics, and wellness services fall within this scope.
HealthCare Services- Medical care, diagnostics, and wellness services fall within this scope.
Training, workshops, and educational programs provided to individuals or organizations.
Educational Services
Involves transportation, warehousing, and distribution services.
Logistics and Supply Chain Services
Addressing customer inquiries, troubleshooting, and providing assistance.
Customer Support Services
Ensuring the proper functioning and upkeep of equipment, facilities, or infrastructure.
Maintenance Services
In the world economy, goods and services are exchanged across national boundaries.
International Trade
3 TYPES OF TRADING:
EXPORT TRADE
IMPORT TRADE
ENTREPOT TRADE
when goods manufactured in a specific country are purchased by the residents of another
country.
EXPORT TRADE
where goods or services are brought into one country from another, where they were
originally manufactured or created.
IMPORT TRADE
where goods are imported into a country and then re-exported out, without being distributed within the importing country.
ENTREPOT TRADE
IMPORTANCE OF INTERNATIONAL TRADE:
TO EARN FOREIGN EXCHANGE
ENCOURAGES INVESTMENT
DIVISION OF LABOR AND SPECIALIZATION
OPTIMUM ALLOCATION AND UTILIZATION OF RESOURCES
STABILITY IN PRICE LEVEL
AVAILABILITY OF MULTIPLE CHOICES
BRINGS REPUTATION AND HELPS EARN GOODWILL
ADVANTAGES OF INTERNATIONAL TRADING:
More Job Opportunities
Improved Risk Management
Greater Variety of Goods Available
Better Relations Between Countries
Enhanced Company Reputation
DISADVANTAGES OF INTERNATIONAL TRADING:
Exhaustion of Vital Resources
Language Barrier
Reliance on foreign countries
Economic planning and
unpredictability
Lopsided economic growth
a strategic tool. It is a process to identify all the external and internal elements, which can affect
the organization’s performance.
ENVIRONMENTAL ANALYSIS
TOOLS USED IN ENVIRONMENTAL ANALYSIS:
PEST ANALYSIS
SWOT ANALYSIS
PORTER’S FIVE FORCES
to understand what external forces may affect your organization and how those factors could create opportunities
It can assess major external factors that influence its operation in order to become more competitive in the market
PEST ANALYSIS
It is one of the most effective way used in decision – making
process.
Identifying external dangers and
possibilities enables proactive risk
mitigation and advantage capture.
SWOT analysis is critical in guiding
firms toward long-term growth and
competitive positioning in the
Market.
It shape current and future operations and help develop strategic goals
SWOT ANALYSIS
One of the most popular business strategy tools that organizations use to understand more about the main competitive forces at work in their industry.
It can help to inform decisions relating to: whether to enter a specific industry; whether to increase capacity in a specific industry; and developing
competitive strategies.
PORTER‘S FIVE FORCES
a market favorable condition that leads to business success or failure. Successful leaders capitalize on these opportunities by identifying and planning for them.
involves sale or lease of any product, service, equipment, etc. that will enable the purchaser-licensee to begin a business.
Business opportunity, or bizopp
GOOD TRAITS OF BUSINESS
OPPORTUNITIES:
Clarity
Feasibility
Relevance
Scalability
Profitability
TYPES OF BUSINESS OPPORTUNITIES IN THE PHILIPPINES:
ONLINE BUSINESS
FOOD CART BUSINESS
UKAY-UKAY BUSINESS
LOADING BUSINESS
AFFILIATE BUSINESS
PRINTING BUSINESS
LAUNDRY SHOP
WATER STATION
POULTRY FARMING
HANDICRAFT BUSINESS
Utilizing different social media platforms to
reach a variety of customers.
ONLINE BUSINESS
You can set up your business through food
cart that can be seen in streets.
FOOD CART BUSINESS
It means selling a second hand item such
as bags, clothes, shoes, etc.
UKAY-UKAY BUSINESS
You can sell load on all telecom networks including prepaid sim card.
LOADING BUSINESS
One or more affiliates for each customers brought
about the affiliate’s marketing effort
AFFILIATE BUSINESS
It is in high demand for printing t-shirts, tarpaulin, brochures or any papers used by students.
PRINTING BUSINESS
do all the washing of clothes, with people who are very busy
LAUNDRY SHOP
one of the essential
needs nowadays.
WATER STATION
an important industry for the production of eggs and meat.
POULTRY FARMING
Customers who love personalized items and stuffs.
HANDICRAFT BUSINESS
IDENTIFY BUSINESS OPPORTUNITIES:
Identify your Pain Points
Talk to your customers
Conduct Market Research
Question Processes
Look at external factors
Consider other industries
are areas of frustration or areas where something is not working well. They’re unmet needs waiting to be satisfied.
Identify your Pain Points
Talking to your existing customers can be an effective
way to discover new opportunities.
Talk to your customers
This includes using industry research to define the competitive landscape and
determine your target audience
Conduct Market Research
Try to evaluate each process with an open mind and ask
questions about how you could improve it.
Question Processes
You should assess the potential impact of factors such as the economy, government policy
changes, and new technology.
Look at external factors
Research the trends, technologies, and strategies of
these industries to find potential
opportunities for your business.
Consider other industries
FACTORS TO CONSIDER WHILE IDENTIFYING BUSINESS OPPORTUNITIES:
Availability of Raw Materials
Internal Demand Analysis
Market Size
Management Skill Sets
Access to the customers
Need for Financing
Passion
METHODS OF IDENTIFYING BUSINESS OPPORTUNITIES:
Environmental Scanning
SWOT Analysis
Innovative Brainstorming
Market Research
Social Listening & Monitoring
monitoring external factors like economic, political, and technological trends that can
impact a business.
Environmental Scanning
a strategic planning tool to helps businesses identify their strengths, weaknesses, opportunities, and threats. It helps in identifying internal and external factors that can
impact the business and can be used to develop a plan of action.
SWOT Analysis
new ideas and possibilities for products, services, or business models could be discovered by gathering a group of people to brainstorm.
Innovative Brainstorming
will enable you to identify entrepreneurial business
opportunities to come with products or services your customers are looking for.
Market Research
entail observing or monitoring social media and other online platforms to stay informed about industry trends, customer preferences, and competitors’ activities.
Social Listening & Monitoring
