Entrepreneur is person who is responsible for managing all things and takes initiatives to promote new ideas for ventures. The main role of entrepreneur is to weigh up all kinds of opportunities, strengths, threats and various personal capacity so that he can have one common idea for business. In order to establish a new venture, it is essential to investigate and evaluate the new venture ideas so that proper steps can be taken towards it. Thus, it can be said that it is vital to understand the innovation and creativity (Stuetzer et.al, 2017). The present assignment will cover the outline as various methods and framework which help as to develop ideas and access to ventures, benefits of product and services, identification of target audience in market, understand the industry with the point of view of new entrants. The entrepreneur must have characteristic of risk taking and innovative skills which will be helpful to have increment in firms profitability. In addition to this, the main purpose of this assignment to focus over entrepreneurial ideas and innovation, etc.
P1. Description on differed source of entrepreneurial ideas
In this, the idea of business can be related to have development in new product and services. Thus, there is need to have solution to problems. These kinds of opportunities are helpful in order to have the drastic changes in organizational activities. In this way, there is need to bring improvement in method of working (Hatten, 2015). There are number of sources from which the innovative ideas can be generated by entrepreneur like:
Customers- They are the stakeholders who find out evaluation in products and services. They are the people who focus over quality parameter. Customer provides the ideas about recent trends so that various initiatives is need to be taken, so that entrepreneur can get ideas.. With the help of customer opinion, they are able to have ideas with the help of which business activities can be promoted effectively. The customer survey and feedback are needed to be taken so that they can have an idea that how to bring improvement in services and provide innovative features of products.
Internet- Internet plays an essential role in relation to have new and innovative ideas. It is one of the beneficial sources with the help of which entrepreneur can have ideas to perform their firm’s activities efficiently. This tool is having each little information with the help of which business can process its activities effectively.
Competitors- The rivalries of firm also help to have innovative ideas. This is one of the factors which helps business owners to bring positive outcomes. With the help of this kind of factor business owner is able to go towards drastic and positive changes. Competitors are those personnels who motivate entrepreneur to take various innovative steps. They can have ideas through the strategy adopted by entrepreneurs (Kirzner, 2015). This kind of things helps to facilitate the positive changes. Thus, entrepreneur needs to stay connected with the business owner so that effective communication will also result in positive growth of enterprise.
Internal department- Employee in marketing team and other high performing workers provide support to business owner for generation of new ideas. The overall activities of firm depends over innovative procedure. These kinds of activities are helpful in order to attend the desired objectives of firm.
M1. Description of Drucker’s 7 sources of systematic innovation
Drucker has invented 7 sources of innovation in order to run business successfully in the future. These as are follows:
- Unexpected events- This is related to unexpected failures and success of outside events.
- Incongruity- This is defined as an actual gap in between common beliefs and reality.
- Process need- The bottleneck can termed out to be critical process.
- Changes in industry structure- There is need to have new business models, modes of business and channels of distribution.
- Demographics- There must be changes in group as politics, age, income and religion.
- Changes in mood or perception- The changes can be taken at any time. It can be altered on the basis of convention, fashion, etc.
- New knowledge- In this, it can be said that the application of new knowledge will be helpful in order to determine various areas of differences (Zahr and et.al, 2014).
- Marginal practices- There are various of fringe practices which works as to results in lasting breakdown into the current central practices.
P2. Explanation on rational and gap in market for specific entrepreneurial ideas
Identification and development in the need of customers is need to be considered and it is one of the essential part which helps the firm in order to have increment in sustainability. Thus, it can be said that it is very important for entrepreneur to identify the needs as well. With the help of meeting requirement of customers, function of business can be enhanced effectively. Thus, entrepreneur plays an essential role in order to determine success of enterprise in large manner.
It is important to take effective steps in order to target the audience in market so that firm can operate its business activities effectively. In addition to this, formulation of plan is needed to be done in a manner to bring development in services and products (Fayolle and Gailly, 2015). In order to achieve the desired targets, it is essential to have market segmentation on the basis of following factors as are:
Demographic segmentation- This is also one of the divisional strategies which work as to identify buying behaviour of customer in market. It is generally divides population based on various variable. These are consists of various factors as are age, gender, family, size, income and religion. These all kind of thing is need to be kept in mind by the entrepreneur so that he is able to come up with new ideas.
Behavioural segmentation- It divides the market in the basis of segmentation as usage, behaviour, decision making and choices and preferences. Thus, it can be said that this kind of segments are need to be done as per the knowledge of products and services. This all can affects the buying decision of an individual.
Psycho-graphic segmentation- It work as to divides audience on the basis of lifestyle, personality and attitudes. In this it can be said that buying behaviour of customers in market can be influenced by lifestyle and personality traits. It is combination of distinctive characteristic of individual as are traits, habits, attitude etc. This kind of situations are need to be considered at the time of planning any process of implementation.
Geographic segmentation- It divides the market on the basis of geography. This kind of segmentation are effective in order to full-fill the differed requirements.
TANGIBLE AND INTANGIBLE PRODUCTS AND SERVICES
There are two kinds of products as are tangible and intangible. Thus, both are having high amount of potential in order to satisfy the need of customers. In addition to this, tangible products are those which can easily be feel, touched and smell. Intangible good are those which cannot be seen but that can be feel.
Benefits of tangible-
Organisation which are having of high value in tangible assets can be liquidates and get easily turned into cash. It is having significant impact over business activities. Thus, its also assistive to bring improvement in product and services. This kind of benefits are in quantifiable manner. This benefits are in relation rt salary, paid off and profit sharing. The one of the major benefit in this relation is that reduction in cost of products and service purchased.
Benefits of intangible goods-
- It works as to have increment in transparency in organizational and responsibilities.
- It gives accurate and faster access to data so that timely decision can be taken.
- This is also assistive in order to improve response of customers.
- It is beneficial in relation to saves enormous time and efforts in entry of data.
- In addition to this, it is helpful in order to put effective control over miss utilisation of resources.
- It's also works as to have effective strategic planning so that ultimate objective of firm ca n be achieved.
- There is need to have reporting as per global standards.
- It is inclusive of all qualitative advantages of working of an organisation.
Analysis of impacts of new entrants-
It is based on two factors as are reaction of existing companies and barriers in relation to take entry into market. It us helpful in relation to identification of position in market. Thus, there is need to have idea about situations of market and getting information about competitors. This kind of activities are helpful in order to develop the strategic plan of firm. Industry analysis is helpful in relation to have the idea about operation of firms. It is very helpful for managers to put major consideration over allocation and arranging resources (Mason and Brown, 2014). With the help of developing unique capabilities the firm is able to gain competitive advantage in market.
P3 Description on presentation of data needed to support gap analysis to evaluate specific entrepreneurial ideas.
Under this there are two kinds of sources in order to gather data or information in order to analyses the effectiveness of ideas. These are related to primary and secondary sources. Thus, it can be said that information in primary data can be collected internally from their employees. Stakeholders and management teams. In this information can also be collected from customer as they are able to give proper response and reaction to ideas of entrepreneurs. In this way, primary information can be collected with use of several methods as are market research, interviews, survey and questionnaires. Moreover, it can be said that secondary data can be collected with the help of having effective observation about the other companies. There can be use if internet and social media sites for recognizing the response of customer in market (Cunningham, Sinclair and Schulte, 2014).
It is essential for business owners to have formulation of appropriate plans so it will be helpful for entrepreneur to manage the business in successful manner. Thus, effective development is based on themes of entrepreneurial activities (Davidsson and Gordon, 2012). This kind of themes assists to owners of business in relation to establishments if principles and guidelines in order ti run activities of business enterprise effectively. The function of development is also inclusive of smart objective which can be set by the business owners as per the development themes. Thus, business development plan is inclusive of following activities as are-
Executive summary- Business idea is helpful in order to introducing product and services in market. This kind of idea is similar to the human resources' consultancy business (Yildiz and Karakas, 2012). They are require one or more experts which can assist as to provide professional advises to clients. It is very typical to set up new operating business because it is requiring huge amount of capital investment.
Description about business- In this business ideas are implemented as there is high amount of scope of growth and lower risk. The another reason behind selection of business is less capital investment. In this way, business owner will get the chance to target audience those who requires jobs and companies are need to hire the fresh talents so that they are able to carry out the whole process.
Market research- There is need to have development in big firms, this is need to be dine in effective manner. There are various number of big enterprise who are not having enough time to conduct the several procedures for hiring skilled employees. Human resources' consultancy enterprise has chances to earn the large amount of profits and gain market share.
Financial plan- It is that part which is inclusive of information as to conduct the activities of enterprise. In this estimated budget is need to be prepared.
Marketing plan- This is activity which is inclusive of several activities and this will be organised as to accomplish the desire objective of firms. Marketing plan refereed as to identifying as well arranging resources in order to conduct the promotion activities expertly. Main objectives of marketing plan is provide assistance to entity in order to accomplishment of target markets. Thus, effective marketing plan will be consists of 7 kinds of elements as are-
People- organisation will require human resource for execution of various business activities. In this way, marketing team in enterprise is planning to target job seekers to perform effectively.
Price- the pricing strategies in relation to product and services is need to be done in expertise manner. This must be in affordable manner so it will attract the customer in market (Fayolle and Gailly, 2015).
Place- Business enterprise has its own plan, and they are working as to create their own website so that effective communication can be taken. It is very helpful in order to access the information in the systematic manner.
Promotion- Marketing team need to have use of social media sites. Thus, promotion activities is need to be taken in order to promotes the product and services in market.
Services- The main aim is to provide solution in relation to job and career planning.
Resources- The firm need to have various kind of resources as are human resource, technology finance etc. This all are beneficial in order to conduct activities of firm effectively (Cunningham, Sinclair and Schulte, 2014).
Operational plan- It is need to be framed in systematic manner. The managers need to understand each role in effectively so that they are able to carry out function of firm in significant mode. Business entities need to put their major consideration over services to customer at reasonable prices.
P4 Interpretation on data to provide evidence of market potential.
In this research method can be utilized in order to estimating and predicting the growth of human resource capital. The entrepreneurs of companies are need to allowed software and management system in order to provide solutions. This is helpful in relation to attracting right pool of conducts, retention of human capital and various business strategies. Data gathered from the essential and optional sources contain the insight about the real factors which have immediate and in addition huge impact on the human capital administration advertise. Official statement, data from financial specialists, confirmed distributions and also articles are the real source from where the auxiliary information or data about market has been assembled. It has been examined from the statistical surveying that worldwide human asset administration advertise measure is approx. 14. 5 billion of every 2017 and which will anticipated that would increment up to 22.50 around 22.49 bill a billion till 2022.It has been resolved that there is high extent of development. Encourage the progression in innovation and its suggestion is human asset technique will help in expanding market development rate (Fayolle and Gailly, 2015). The development of the few human asset administration arrangement organizations has empowered experts to perform customary Human asset exercises in a restricted time traverse
P5 Description over SWOT framework in relation to get information for supporting business objectives.
· High and effective growth of business enterprise.
· Huge profitability can be generated.
· The initiatives are taken in relation to provide effective training and development program.
· Efficient administration.
· With the help of using advanced technology and software for delivering services. It is results in having success.
· Entrepreneur are experienced in particular field this will be effective to performing activities effectively (Zahr and et.al, 2014).
· Limited resources are one of the major threat to firm.
· There is large number of competitors available in market. It can have negative effect on business performance. Thus, systematic operation is need to be conducted.
· The manager are need to be effective in order to conduct the technical activities.
· To have expansion in activities of business and this will be helpful to introduce new product line.
· There is need to target emerging as well as big organization so that profitability can be enhanced.
· Business entity need to take various initiatives to target job seekers.
The one of the major threat in relation to this as are demographic and cultural diversity.
There is wide amount of Increase in competition.
There are various kinds of barriers to entry for big data analytic products.
Thus, firm need to majorly focusing over advancement in technology.
P6 Define the evaluation on competitive market environment in which new ideas to be launched.
The market of human asset outsourcing industry is characterized by an abnormal state of fracture. At the point when interviews has been directed by few organizations which has been chosen haphazardly , it has been distinguished that many the developing business substances is requesting human asset outsourcing administrations with a specific end goal to expand their working proficiency and for securing adaptable activities. For increment popular for outsourcing administrations Payroll is a standout among the most externalized because of the requirement for precision with regard to this mind boggling capacity which needs to increment in the interest for outsourcing of this particular capacity (Davidsson and Gordon, 2012). It has been distinguished by leading the investigation is that human asset benefit industry is high focused part with strict due dates and targets. According to the Chartered Institute of Personnel and Development report least procuring of chief or business person of human asset administration benefit business is roughly £68,792 which is higher than human asset proficient working in different organizations
Hereby it can be concluded that entrepreneur is person who is responsible for managing all things and takes initiatives to promote new ideas for ventures. The main role of entrepreneur is to weigh up all kinds of opportunities, strengths, threats and various personal capacity so that he can have one common idea for business. The present report has covered the various things as are differed source of innovations, benefits of product and services, identification of target audience in market. This kind of things are essential to promote success to enterprise.
- Stuetzer, et.al, 2017. Entrepreneurship culture, knowledge spillovers and the growth of regions.Regional Studies. pp.1-11.
- Hatten, T. S., 2015. Small business management: Entrepreneurship and beyond. Nelson Education.
- Kirzner, I. M., 2015. Competition and entrepreneurship. University of Chicago press.
- Zahr and et.al, 2014. Contextualization and the advancement of entrepreneurship research. International Small Business Journal.32(5). pp.479-500.
- Fayolle, A. and Gailly, B., 2015. The impact of entrepreneurship education on entrepreneurial attitudes and intention: Hysteresis and persistence. Journal of Small Business Management.53(1). pp.75-93
- Mason, C. and Brown, R., 2014. Entrepreneurial ecosystems and growth oriented entrepreneurship. Final Report to OECD, Paris.30(1). pp.77-102.
- Yildiz, S., and Karakas, A., 2012. Defining methods and criteria for measuring business performance: a comparative research between the literature in Turkey and foreign. Procedia - Social and Behavioral Sciences. 58. Pp. 1091-1102.
- Davidsson, P. and Gordon, S. R., 2012. Panel studies of new venture creation: A methods-focused review and suggestions for future research. Small Business Economics. 39(4). pp. 853-876.
- Cunningham, T. R., Sinclair, R. and Schulte, P., 2014. Better understanding the small business construct to advance research on delivering workplace health and safety. Small Enterprise Research. 21(2). pp. 148-160.
- Neubauer, F. and Lank, A. G., 2016. The family business: Its governance for sustainability. Springer