1.1.4-1.1.7 Pre-learning

Business Opportunities, Goal Setting & Business Concept Development

By Adele Wyers

​Unit 1 AOS 1 Business Management - Early Start Week 1 3 Pre- Learning

A business opportunity is something that provides an entrepreneur with the chance to start or expand a business successfully.

These opportunities create ideas for new businesses, products, services, or process. The also enable a business to increase sales, revenue, and profits.

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Opportunities

1. R&D: research can lead to innovation and invention of new/better products or services
2. Innovation: new and improved products may sell better than old ones
3. Market opportunities: can find a new market to sell to or react to market changes
4. Customer needs: businesses need to meet the needs & wants of customers
5. Tech development: new tech creates new needs and new markets
6. Global markets: selling overseas

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Opportunities

Multiple Choice

Opportunity is defined as situation that enables an entrepreneur to offer products or services to interested buyers or end users.

• True

• False

Multiple Choice

Market opportunity is best explained as:

• A need or want that is not currently being met by any business

• Tomatoes at market being sold at retail price

• New products always sell better than existing ones

Multiple Choice

R & D stands for ...

• researched and developed

• researching and developing

• researching and development

• research and development

Multiple Choice

James, Aarav, and Emily are running a lemonade stand. Why is it important for them to understand their customer's needs when selling their lemonade?

• It helps them conduct R&D

• It helps in setting the right price for their lemonade

• It helps in limiting options for their customers

• It helps in confusing their customers

Starting or running a business involves making a lot of decisions by picking between multiple options.

Making the right decisions is crucial and often the difference between success and failure.

Good decision making is based on evidence and consultation with stakeholders (employees, suppliers, customers).

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Decision Making

Multiple Choice

Decision making is the process of making a choice or finding a solution.

• True

• False

Many day to day decisions need to be made quickly. But important or large decisions need to follow a process so that they can be effective.

Review the steps in this image before attempting the questions on the following slides.

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Decision Making

Reorder

Put these in the correct order for effective decision making.

• Identify decision & gather info

• Identify alternatives & weigh the evidence

• Choose among alternatives

• Take action

• Review your decision

1

2

3

4

5

• 1
• 2
• 3
• 4
• 5

Multiple Choice

Why is it important to gather relevant information before making a decision?

• To waste time and effort

• To make decisions based on random guesses

• To intentionally make the wrong choice

• To make informed decisions and reduce the chances of making a wrong choice.

Decision making must also be aligned with business goals.

Business goals are broad statements about what the business wants to achieve, so they provide a purpose and pathway to success.

Without goals, a business will struggle to make consistent effective decisions that move the business in the right direction.

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Goal Setting

A business goal is broad because they reflect business values and describe the intended future direction of the business. E.g. 'To be the biggest seller of electronics in Australia'.

Business objectives are more specific, show how the goal can be met, and can be measured for success. E.G. 'To open five new stores in Australia in 2025.'

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Goal Setting

Dropdown

A business goal is ​

Select answer

because they reflect business ​

Select answer

and describe the intended ​

Select answer

direction of the business.

Select answer

are more specific, show how the goal can be met, and can be ​

Select answer

for success. ​

Business Concept Development

Once a business opportunity is identified, decisions need to be made around developing the idea or concept into a successful business.

First, market research is conducted to gather data about whether or not the consumer will pay for the product or service. Then this info is used to change and improve the plan.

Business Concept Development

After refining the idea, the next step is to conduct a feasibility study. This is a detailed report which will come to a conclusion about whether or not the business is viable (likely to succeed).

If it is viable, then a business plan is written. This document contains all the details of the business and is used to obtain loans or investors.

Multiple Choice

Once you have a business idea, the next step is to...

• Relax

• Apply for a business loan

• Progress through the business concept development stage

• Open up a shop

Multiple Choice

It is important to do market research because...

• It is easy to do

• Every need and desire may be turned into a business opportunity

• It gathers data and views in an objective manner to find out what goods and services people want to buy

Multiple Choice

Which is NOT part of the business concept development process:

• Conduct market research

• Apply for business finance

• Conduct a feasibility study

• Write a business plan

Multiple Choice

Viability means...

• Whether a business is capable of developing and growing

• Whether a business is capable of making millions of dollars

• Whether a business is capable of failing

• Whether a business is capable of employing hundreds of people

Multiple Choice

What is the main purpose of a business plan?

• To list all the employees in the business

• To outline the business's goals and how to achieve them

• To design the company logo

• To keep track of daily sales only

Open Ended

This is now the end of 1.1.4-1.1.7 (Chapters 1.4 - 2.3). To avoid the forgetting curve, you need to do a brain dump of everything you have learnt so far about Sources of Business Opportunity, Goal Setting and Decision Making, and Business Concept Development.