OPPORTUNITY
SEEKING
SEARCH FOR BUSINESS OPPORTUNITY
IDEATION AND ENTREPRENEURIAL CREATIVITY
THE CONCEPT OF INNOVATION
CHAPTER V
PREPARED BY:
LEEVAN D. CACERES
Instructor, UNP-DSSP

A.SEARCH FOR BUSINESS OPPORTUNITY
In selecting a business, option should not be based on luck
and immature thinking, but on a thorough evaluation and
systematic process. Start by developing long and short lists
of potential business opportunities. Likewise, the resources,
skills, and technology available in the community are to be
evaluated of these are not fully or efficiently utilized.

1 Markets. This refers to the number of prospective buyers, competitors, the price, and the quality
of goods and services that have to be analyzed. Business opportunities exist in areas where
consumer satisfaction is weak or incomplete.
2 Individual Interests. Business interest of individuals should match business opportunities. For
example, if one is a good cook, he could venture in the food business.
3 Capital. This serves as the fuel that keeps the business operating. The availability of funds
should fit the type of business to organize.
A.SEARCH FOR BUSINESS OPPORTUNITY

4 Skills. The entrepreneur should have the proper skills in the business he is going to undertake.
5 Suppliers of inputs. It is important that there are steady suppliers of raw material and other
inputs to the business.
6 Manpower. The success of any business also depends on the efficiency of its employees.
7 Technology. Entrepreneurs should be aware of the presence of technology to improve their
products and services, or introduce new innovations in the market.
A.SEARCH FOR BUSINESS OPPORTUNITY

A.SEARCH FOR BUSINESS OPPORTUNITY
Other opportunity-seeking processes that can guide a prospective entrepreneur as to
what kind of business to establish are as follows:
1. Look at other successful entrepreneurs
2. Respond to a problem area
3. Home-based business option
4. Linkage of resources

• The steps in Market Research are:
• Defining the problem
• Marketing a preliminary investigation
• Planning the research
• Gathering the data
• Analyzing the data
• Reaching a conclusion
• Implementation and evaluating decision
One best way to evaluate business opportunity is through Market Research,
which is defined as the study of all problems in marketing a product.

SWOT Analysis is a tool for evaluating the strengths, weaknesses, opportunities, and threats
associated with a particular product or service.
SWOT ANALYSIS

The following are the description of the various stages of a product life cycle.
PRODUCT LIFE CYCLE
Introduction (Development). If consumer awareness and acceptance of product are low, launch
through the use of marketing activities, which make the profit low due to cost of development
and marketing activities.

The following are the description of the various stages of a product life cycle.
PRODUCT LIFE CYCLE
Growth. To meet the growing demand, product distribution is expanded. Sales rise rapidly as
product become popular.

The following are the description of the various stages of a product life cycle.
PRODUCT LIFE CYCLE
Maturity. Sales are still rising, but rate of increase has declined. At the latter part, a sale
reaches its peak, while profit begins to fall.

The following are the description of the various stages of a product life cycle.
PRODUCT LIFE CYCLE
Decline. There is a sharp fall in sales volume, while profit curve becomes almost flat or
horizontal. There is also decline in the number of competitors. The only survivors are those who
specialize in marketing the product. Once product is no longer profitable, it is eliminated from
the market.

1 Service-based business. common examples of service-based business are
consultancy, barber shops, beauty parlors, rendering professional services like law,
audit, and engineering firms.
2 Trading or product-based business. This is a buy and sell transaction that can happen
in your storehouse, showroom, or any other structureless environment. Selling
involves a lot of customer contact. Example of this are grocery store, bakery products,
and general construction materials.
3 Manufacturing business. This includes production or creation of products usually in
bulk. Manufacturing can be as simple as creating hand-painted T-shirts or ceramic
vases, and candle making.
Venturing into business project demands a timely and clear decision
as to which area or business concern to deal with. In the selection
process, one has to begin with choosing or focusing on a particular
business by category or sector.

4 Licensed business opportunities. If you find some difficulties in launching a product
or service, it is a good idea to look for licensed business opportunities. Franchising is a
business format somehow very similar to licensed business operations.
5 Distributorship. This is where an independent entrepreneur, company or individual
enters into an agreement or contract to offer, sell or distribute a particular product, but
is not entitled to use the manufacturer’s trade name.
6 Rack Jobber. This involves an agent or buying entering an agreement with a parent
company to market its goods to various stores by means of strategically located store
racks.
Venturing into business project demands a timely and clear decision
as to which area or business concern to deal with. In the selection
process, one has to begin with choosing or focusing on a particular
business by category or sector.

7 Wholesalers. These sell the product of manufacturers or producers to retailers and
other distributors who have direct dealings with the end users of customers.
8 Subcontracting. This is a familiar form of business format in the garments sector, as
well as the shoe industry. This involves signing up an arrangement with a major
producer to complete a set of product components on a pre-agreed price.
9 Vending machines routes. These are placed in various places or locations. The
entrepreneur needs to have substantial capital outlay as he had to pay for the vending
machine, including the stocks to be vended.
Venturing into business project demands a timely and clear decision
as to which area or business concern to deal with. In the selection
process, one has to begin with choosing or focusing on a particular
business by category or sector.

B.IDEATION AND ENTREPRENEURIAL CREATIVITY
The beginning of an endeavor is ideation. This should be the first
investment of anyone who seeks to be an entrepreneur; and to be
called an entrepreneurial business opportunity, such idea has to be
new, or if not, should be innovative. The best source of ideas are
the consumers or the market in general, since they are the ones who
are in need for a certain product or service. For a creative
person, ideas are in him in his mind, but for those deprived with
creative thinking, they can get ideas through creating books and
talking to someone with creative thinking. There are some specific
sources like trade journals, trade associations, conventions,
exhibits, trade shows, and consumer shows, country government
affairs, and others.
The more idea a person produces, the more original and the better

1 Recognizing the need. Develop an idea or a product that can satisfy a need, and
respond to the need by establishing a business concern.
2 Improving an existing product. The result of consumer dissatisfaction to the existing
product could open the door to introduce innovations or improvements.
3 Recognize trends. Entrepreneurs should be able to recognize the opportunity to
develop a product and set trends that can make them leading entrepreneurs.
B.IDEATION AND ENTREPRENEURIAL CREATIVITY
The most common ways of developing ideas are as follows:

4 Be aware of everything. There is no other way to know about what is happening
around you, but to research and read.
5 Questions and assumptions. Anybody can question the relevance or quality of any
product or services, provided, that there is an effort to improve the product.
6 Naming it first, then, develop it. If you have the idea, study it and develop it to
something that is worth the business.
B.IDEATION AND ENTREPRENEURIAL CREATIVITY
The most common ways of developing ideas are as follows:

Once you generate and idea, it has to be protected
because it can make you potential millionaire, like in
the case of Bill Gates. There are many ways of protecting
your idea from being stolen or claimed by others, and
losing the opportunity to be known as the creator and the
originator of the ideas. Aside from this, no company will
pay you a royalty if the idea presented is not legally
protected.

1 Confidentiality Agreements. It specifically provides that a signer will not share the idea to everyone. This is
typical agreement or contract where one should ask advice to a patents attorney or those with experience and
expertise in the intellectual property rights.
2 Patents. These gives the investor exclusive legal rights to exclude anyone else from manufacturing, selling,
importing, or using an invention using the life of the patent.
3 Trademarks. This is a word, name, symbol, or device used by manufacturers on merchants to identify their
goods and distinguish them from others sold in the market. This should be send in conjunction with a business
or a product, otherwise, this will not be granted.
4 Copyrights. A copyright protects the creative works of composers, authors/writers, artists, and others. This is
the easiest form of protection for Intellectual Property.
B.IDEATION AND ENTREPRENEURIAL CREATIVITY
The following are the ways of protecting your ideas:

Entrepreneurial Creativity
Creativity, innovation, and entrepreneurs are inseparable. Creativity is an essential part
of innovativeness, the starting point of a process, which is skillfully managed, and
brings an idea into innovation. It is considered as a characteristic that is innate or
inherent to every individual, but the social environment can influence both the level of
frequency of creative behavior. It is particularly important to understand the role the
environment can play.

C. THE CONCEPT OF INNOVATION
Innovation is doing something different. It could
be introducing either something new or different.
Innovativeness is a characteristic of an
individual, team, or organization. This is also
the capacity to create ideas and develop them to
usable products or services.

Impacts of Innovation
Effecting a new policy – creating change or orientation or direction
Finding new opportunities – developing an entirely new product or
opening a new market
Designing a new structure – changing the formal structure, reorganizing
or introducing a new structure
Devising a fresh method – introducing a new process, procedure, or
technology for continued use

The most critical aspect in making a decision to go into self-
employment and entrepreneurship is the context of ideation,
innovation, and creativity. The generation of idea and transforming
it into a business venture can make or break a potential
entrepreneur. The success of the business could lead to personal
prosperity of the owner and help the economic condition of our
country.
Innovation is not only for a change, but also for the search in
excellence, not only in producing a product, but also in form of
innovative systems and services. The innovativeness and the
creativity of an individual could be the greatest assets any
business could have, so this should be developed and properly taken

References
Books
Asor, W. 2009. Entrepreneurship in the Philippine Setting. Quezon City: Rex
Bookstore
Kuratko, D. 2011. Entrepreneurship: An Introduction. Pasig City: Cengage Learning
Asia Pte Ltd.
Websites
https://www.qualtrics.com/au/experience-management/product/product-lifecycle-
101/
https://www.wordstream.com/blog/ws/2017/12/20/swot-analysis

THANK YOU
&
HAPPY LEARNING!
"Let us not become weary in doing good, for
at the proper time we will reap a harvest if
we do not give up." - Galatians 6:9