1ST CHAP Flashcards

Question

idea fields

Answer 1

By following different ways for generating ideas an entrepreneur collects a number of ideas. The process of generation of ideas can be streamlined by developing an awareness for different „idea fields‟. This will help the entrepreneur in enlarging the scope of thinking, at the same time structuring the ideas according to convenient frames of reference. Idea Fields can be described as: 'Convenient frames of reference for streamlining the process of generation of ideas.'

Answer 2

- good market for the product he is going to produce - attractive return on investment

Answer 3

from the needs and problems of the society

Answer 4

PICCI PROBLEMS- when a problem exists an idea leads to a solution to that problem it emerges as a business opportunity. CHANGE- change in social legal technological aspects leads to new opportunities to start a business INVENTION- new products or services lead to the emergence of business opportunity COMPETITION INNOVATION

Answer 5

creativity in generating a solution and vision. Entreprenuers must identify problems to generate the solution. Their need to convert solutions into business opoportunity helps them move forward and overcome all obstacles- entrepreneurs constantly excersise control over their business make a difference overcome adversity

Answer 6

idenitification of opportunity to get first mover advantage- if a business is in touch with their changing enviornment it allows them to identify opportunities and develop strategies to capitalize on them at the earliest. Eg- volvo 74% share in luxury bus segment as it entered indian market earlier formulation of strategies and policies- enviornemnt scanning helps detect early threats and opportunities, this serves as the basis for formulating strategies to counter threats and capitalize on opportunities tapping useful resources- If a business has thorough knowlege of their external business envionrment it helps them tap into raw material, technology and even fincnacial resources in the market at economical prices at the right time better performance- proper understanding and knowlege of the verious elements of business enviorment is essential to counter threats at the earliest and capitalize on opportunities for the improvement in performance of the enterprise sensitization of the entreprenuers to cope up with rapid changes- a proper understanding and awareness of the changing enviorment sensitizes the entrepreneur to cope up with changes in technoglogy, competition, government policies, trends in demand of customers etc. ex- change in clothing trends. image building- sensitivity to the external business enviornment allows entreprenuers to come up with those products and services according to the needs and requirements of the people this helps build reputation in the eyes of the public and builds the image of the enterprise. eg- call radio taxis w gps service , online booking etc.

Answer 7

refers to those forces within which the small medium and large enterprises operate they all exert influence upon one another and dont work in isolation

Answer 8

it is the process of creating, developing and communicating ideas which are abstract concrete or visual. it includes constructing through the idea, innovating the concept developing the process,a dn bringing it to reality.

Answer 9

the process of generating ideas can be streamlined by developing an awarness for various idea fields. This can help the entrepreneur enlrage his scope of thinking whil e structuring ideas according to convinient frames of reference. idea frames can be refered to as convinient frames of reference for streamiling the process of generation of ideas.

Answer 10

natural resources market or demand driven creative efforts trading related service related existing products of services

Answer 11

ideas can be generated based on natural resources. Products can be desried from agriculture, horticulture, animal husbandry, wind, sun etc. eg. lumber who's existing use is timber, but its potential use is furniture. eg soil, who's current use is as clay but it has the potential to be used as cermaics.

Answer 12

a great business idea combines skills with imagination and market demand. a business opportunity or idea comes from every day problems that someone solves. entrepreneurs who look to make an existing product or service better can become just as succesful as its inventors. Although it may seem that only good can arise from developing, adding to an existing product, if not done skillfully, problems may arise. However its benefits include- keeping up w competition- if our company offers products and services in an industry which is constantly changing we must keep up with the latest trends. eg ceramic hair straightners increase in sale- the other main reason business expands their line of products is to increase sales, and therefore revenue. eg expanding a tutoring business. increasing sales

Answer 13

the most important method of generating ideas is through market research. it yeilds information about the target market, trends and consumers. it is often interchanged with the term marketing research. market research provides information about the market while marketing research is concerned with the marketing process. market research provides information about the trends of demand and supply, size and comptition it helps mainatin competitiveness over competitors whatever the source of information about the market it is a primsing field to generate ideas

Answer 14

nowadays trading is not limited to the ordinary grocer and distributer. with increased consumerism trading's scope has expanded, local trade, import ad export and e commerce is widening it in simple terms trading is buying and selling of goods for a profit an advanatage of trading enterprise is it is much easier to launch and less risky however it is necessary for prospeticve traders to know the trends in the economy, with increased competition from chain stores and large depratmental stores, an umbrella market has formed new entrants must accquire the knowlege and skills reauired to manage and expand business opportunity

Answer 15

entrepreneurial opportunities are not only restricted to manufactureers even service sectors is the most growing field these days thanks to emergeing knowlege and development in IT. NEW OPPORTUNITIES INCLUDE- indian fast food/finger food family dinner sandiwhc parlours ice cream and juice beverage parlour personalised grooming- the biggest player in terms of personalised grooming, is habibs. career counselling centres- with over 25 million births per year and 3 million from these going to continue education after 12th, having no idea about job and vocational trends, this is a rapidly growing opportunity.

Answer 16

CREATIVITY IS A KEY COMPONENT IN THE SKILLS AND ABILITIES OF AN ENTREPRENEUR 5 WAYS IN WHICH CREATIVE IDEAS CAN BE GENERATED DEVELOP A NEW PRODUCT OR SERVICE IMPROVE AN EXISTING PRODUCT OR SERVICE FIND A NEW METHOD TO MANUFACTURE PRODUCTS FIND A NEW MARKET FOR EXSITING PRODUCTS OR SERVICES FIND A NEW USE FOR EXSITING PRODUCTS OR SERVICES most often creative products and services are formed as a result of problem solving. eg over tightening of screw led to damage of fixtures, hence someone created self tightening screwdrivers.

Answer 17

1- product identification; an idea should lead the entrepreneur to a product which he can develop or sell. first step is to obtain a concept of the product she can sell. if it is an already existing product she should idenityf the reason for introducing it eg pendrive bracelet for teachers. application and use- ideas should be examined for the real life use and application. if it is an already exsiting product in the market, the entrepenreur must identify its current use and how it can be modified for betetr use. level of operation- this is an important step in product/service identification, based on the use of the product/service the entreprenuer will decide wether it has to be manufacted in a cottage small scale or large industry cost- the sale price is determined by factors such as per unit cost of producing a unit of the product and its compariosn with other competitors prices. COMPTITION- any product or service will face comptition in the market. so this competition should be determined by market assemesent of trends. technical complexity- the type of technology to be used, and its availibity have to be determined. annual turover and profit margin- ideas also have to be examined on the basis of annual turnover and profit. this will indicate its market share.

Answer 18

idea germination preparation incubation illumination verification idea germintaion- this is the seeding stage of a new idea. this is when the entreprenuer realises there is an opportunity existing. it takes place accoridng to the interest and curiosity of the entrepreneur,and the opportunity is explored and exploited to its best potenatial eg mansukhbai prajapati wanted to make a clay fridge that didnt run on eletricty. he was exploring the idea of an eco friendly fridge preparation- according to the entrepreneurs intrest and curiosity the need of the product or service is adjudged, if it si the introduction of a new product or service market research is conducted. entreprenuers foresee the future of their profuct as the seed of idea has taken off. incubation- this is the transition period. where there is subconscious assimiliation of information the entreprenuer starts thinking abt the idea in his subconscious mind. illumination- the idea resurfaces in a realistic way and the entrepreneur, the entreprenuer gives it a viable plan to bring it to shape and starts collecting funds, and raw material. verification- this is the validation or testing stage where the product is examined on the basis of its value. this is the most hardest step in the creative process and obstructions begin to arise. its the developing stage where knowlege isdevelopef into appkication innovation - translation of a usefull idea into an application which has commerical value. details of the entreprise are worked out, and makreting strategies r developed

1ST CHAP Flashcards

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