CLASS FOUR: •Idea Generation and Opportunity Analysis

Elikem Nutifafa KuenyhiaManagement Consultant & Corporate Lawyer

Recap of Class Three Idea Generation Exercise Nature of ideas Ideas v Opportunity Enterprise Concept Development Panel on Idea Generation & Opportunity

Analysis: 1. Jemma Sangari, Farmer George2. Ellis Atekpe, Ghana Home Loans3. Nkwaye Ansah, Canoe Magazine4. Allotey Pappoe, BusinessGhana5. Keli Cross Kuagbenu, Commercial Investments

Limited Questions

List any three changes you have noticed in society recently that could form the basis of a good idea Economic Social (including demographic) Technology Cultural Legal/Regulatory

Brainstorm possible business ideas based on the changes you have noticed

Narrow down the ideas to one Which customer(s) will you target for the

idea?

A plan formed by mental effort

Need not be outstanding/complicated Need not be original To form the basis of a business, must

provide a solution to a customer need (‘customer pain’)

IDEA

OPPORTUNITY

CONCEPT

INSIGHT GENERATION

ENTERPRISE?

A plan formed by mental effort Need not be outstanding/complicated Need not be original

Search & Spin Provides a solution to customer’s need

Customer Pain An unmet need Existing enterprises fall short

Opportunity and Environment Scanning Media Reading Travel Government Personal Experience and Frustration Skill Set Franchises Conferences, Workshops, Exhibitions Brainstorming

Be very observantKeep your eyes open for inspiration-use a

notebook Interest: what you like doing Take a critical look at your major

irritations Skills(irrespective of whether you like

doing them) Personality /Work Styles What product or service will make my

life easier

IDEA

OR

THE DESIRE TO START A BUSINESS?

A good idea is not enough Idea must be underpinned by an

opporutnity

An idea may be underpinned by opportunity by

Patent Opportunity Tacit Discovery

Is one that the entrepreneur

finds that his idea is readily

and easily understood by

potential customer who will be

willing to pay for it.

This is often the case in novel idea

situations where the idea may not

be easily or readily understood by

the target customers.

An idea to be considered as an opportunity should

Meet a customer need Create value for the customers Create value for stakeholders. Depends on:

Number of potential buyers Purchasing power of potential buyers Return on investment

Be be a fit Reflect values, interests, aspirations Match resources & skills

Realistic/sense check

What is the customer pain that the business will remove

How is the pain dealt with at present (competitor products/substitutes)

How it will remove the pain (customer value proposition) (how different is it from the

competition) Description of target market

Distribution-sales points etc (mode of delivery of product or

service) Production – how you will make the

product Idea of cost of set up/production and

key resources required Idea of pricing