Transcript Dr. Atul Teckchandani’s PowerPoint from First Boot Camp

Introduction to the Contest
Judging Criteria
Business Concepts:
Idea Generation
Competitive Analysis
Business Model
The Team
Contest Details
Schedule
Guidelines for business concepts
Resources Available
Open to all current CSUF students
Participants will complete a “Business Concept” questionnaire
21 questions
200 words or less to respond to each question
Semifinalists and finalists will present their business
opportunity to a panel of judges
Contest winners receive cash prizes and in-kind services
Overall attractiveness of the product/service the firm
intends to offer
Is there a customer that really needs or wants your
product/service?
Can you make money?
Can the team assembled execute on the opportunity?
What evidence have you gathered to support your assertions?
Method 1: Observing Trends
Source: Entrepreneurship – Successfully Launching New Ventures (Barringer and Ireland, 2011)
Method 2: Solving an existing problem
Notice a problem and find a way to solve it.
Key source or problems: Complaints / frustrations
Method 3: Finding gaps in the marketplace
A gap in the marketplace is often created when a
product or service is needed by a specific group of
people but doesn’t represent a large enough market
to be of interest to mainstream retailers or
manufacturers.
Is it attractive?
Does it have sufficient market
potential and profitability?
Is it timely?
Is there a need for this product now
or in the near future?
Is it durable?
Is it based on a temporary fad? Or more?
Does it add value for the buyer?
Is there a tangible benefit (preferably financial) to the buyer over the alternatives?
See if the idea can …
… take advantage of trends
… solve a problem/frustration
… address a gap in the marketplace
Solicit feedback from others about the idea
“Experts” that can provide specific information (people with first-hand knowledge of
the areas you are interested in)
Family and friends
Others who will give you candid feedback
Do your ideas …
… leverage trends in the marketplace?
… solve current customer problems or frustrations?
… address gaps in the marketplace?
Is it an idea or an opportunity? How can it be
refined to make it an opportunity?
Goal:
A detailed analysis of your firm’s competitors.
Benefits:
Understand the positions of your major competitors
and the opportunities available.
Help clarify and refine your competitive advantage(s).
Source: Entrepreneurship – Successfully Launching New Ventures (Barringer and Ireland, 2011)
Step 1: Identity 5-10 competitors
Direct competitors: businesses offering identical or similar
products
Indirect competitors: businesses offering close substitute
products
Another product or service fulfills the same need and offers a
better price-for-performance trade-off (at similar usage levels).
Step 2: Understand the strategies and behaviors of
your competitors.
Sample Methods:
Study competitors’ websites
Study other Internet sites containing information about customer
perceptions of competitors (e.g., Yelp, amazon, etc.).
Read industry-related books, magazines, and Web sites.
Read recent news related to competitors.
Study your key competitors and substitutes
A plan or diagram for how the firm ...
competes
uses its resources
structures its relationships
interfaces with customers
and creates value to sustain itself on the basis of the profits it generates
Generally speaking, a business model is all the activities that define
how a firm competes in the marketplace.
1
4
8
2
3
7
5
6
Premium
coffee is only
available at
home
Italian-style
cafes
Quality
Unique
drinks
Pleasant
Environment
Personal
assistance
Convenience
No “third
place”
Company
stores
Consistency
Creating a
sense of
community
Employees
Coffee
connoisseurs
Rent
Equipment
Ingredients
Coffee
Drinks
Coffee –
related
products
Mass
Market
The canvas can serve as an outline to help you
answer many of the questions in the Business
Concept paper
Download copies of the canvas at:
http://blog.diotalevi.com.s3.amazonaws.com/leancan
vas.pdf
The group of founders, key employees, and advisers that move
a new venture from an idea to a fully functioning firm.
The team involves more
than paid employees.
Usually, the team doesn’t
come together all at once.
Instead, it is built as the new
firm can afford to hire
additional personnel.
Source: Entrepreneurship – Successfully Launching New Ventures (Barringer and Ireland, 2011)
Founders’ qualities that may contribute to venture’s
success:
Part of a team (especially one that has worked together before)
Prior entrepreneurial experience
Relevant industry experience
Quality of network and/or ability to develop a strong network
of professional contacts
Higher education
An entrepreneur recognizes an opportunity gap and
creates a business to fill it.
Are you passionate about this idea?
Does it leverage your skills and experiences?
Do you have resources at your disposal that can help turn
this opportunity into a successful business? (e.g., social
networks)
Discuss who is part of the team today and their
strengths
Discuss who else is needed on the team and how
you plan to address these needs
Think about what are the most critical skills needed to
make the venture successful and whether all of them
are possessed by current team members
Email [email protected] to request a
mentor
2/20: Last date to sign-up
2/27: Business concept due
3/20: Semifinal presentations
4/7: Finals presentations and awards ceremony
The Opportunity:
What is your company going to make or serve?
Why did you pick this idea to work on?
Who is the target customer?
How do you know people need what you’re making?
What’s new or different about what you’re making?
What are your different revenue streams?
How much could you make?
How will you get customers?
The Industry:
What are the substitutes for your product?
Who are your competitors? Name two or three of
your most important competitors.
What do you understand about your business that
other companies just don’t get?
Current Status:
If you have already started working on your business, how long have you been
working and what progress have you made?
Do you have a prototype yet? Have you tested it?
Do you have any intellectual property?
Do you have an initial working product or service you can sell? If not, when will you?
Have you launched your business yet? If so, how many customers do you have?
Do you have revenue? If so, how much?
If you are launched, what is your monthly growth rate in customers and revenues?
The Team:
How long have the founders known one another and
how did you meet?
Have any of the founders not met in person?
Do you have any work experience or expertise in this
area?
Center for Entrepreneurship
Travis Lindsay: [email protected]
Phone: 657-278-4589
CSUF Librarians
Book: Art of the Start, by Guy Kawasaki
Apply for the contest
Complete the lean canvas
Spend some time looking at competitors
Answer the business concept questions
Good luck!