Title: IDEA GENERATION AND EVALUATION
Course: INTRODUCTION TO ENTREPRENEURSHIP > Section: LESSON 4: IDEA GENERATION AND EVALUATION

Welcome to the fourth lesson in the entrepreneurship class. We just completed the introductory sections of the entrepreneurship unit. By now, you understand the various concepts used in entrepreneurship and can identify the characteristics of a successful entrepreneur. This lesson focuses on idea generation and evaluation as a way of identifying business opportunities. In this lesson, we will identify creative ways in which entrepreneurs identify business opportunities.

4.1 Introduction

Welcome to the fourth lesson in the entrepreneurship class. We just completed the introductory sections of the entrepreneurship unit. By now, you understand the various concepts used in entrepreneurship and can identify the characteristics of a successful entrepreneur. This lesson focuses on idea generation and evaluation as a way of identifying business opportunities. In this lesson, we will identify creative ways in which entrepreneurs identify business opportunities.

4.2 Learning Outcomes

By the end of the lesson, you will be able to;

4.1.1        Distinguish a business idea from a business opportunity

4.1.2        Identify various sources of business opportunities

4.1.3        Evaluate the viability of a business idea

4.2.1 Business ideas and Opportunities

A business idea is something that entrepreneurs develop in order to solve a problem or an existing need in the market; whereas a business opportunity is a concept that can be used to make money. It can be in form of a product or a service developed to solve a need. A business opportunity emerges from a business idea that has been research upon, evaluated, and packaged into a product or service to solve a market problem through a business venture.

E-tivity 4.2.1 Business ideas and Opportunities

Numbering, pacing and sequencing | 4.2.1
Title | Business Ideas and Opportunities
Purpose | The purpose of this e-tivity is to enable you to distinguish between a business idea and opportunity
Brief summary of overall task
Read this book

- https://link.springer.com/book/10.1007%2Fb138370

Chapter 3 Window of opportunity (pages 69-92) and Watch the https://www.youtube.com/watch?v=_EOnZ9ee0w8 on business opportunities and ideas.

Watch the following https://www.youtube.com/watch?v=lNA4zB783n0

 on the ten big businesses in Africa

Watch the following https://www.youtube.com/watch?v=3Oo8fqJo6x8 by Niir Project Consultancy Services to review the business opportunities in Africa

After reading and watching respond to the following questions

1. Why is it important to distinguish a business idea from a business opportunity
2. Using bullet points, write the characteristics that makes a business idea different from a business opportunity
3. Using the information from a. above, give five examples of business ideas and business opportunity in your country that you can exploit.
Spark | Read the https://www.slideshare.net/bleongcw/entrepreneurship-1-introduction-identifying-ides-business-opportunities by Dr. Bernard Leong on Business ideas and opportunities
Individual task
1. Click on the link provided
2. Watch the video and slides
3. Read the book chapter
4. Give your answers in discussion forum 4.2.1
Interaction begins
1. Post your answer in the discussion forum 4.2.1
2. Read posted work from 2 colleagues
3. Post at least one comment on their work and give constructive criticism
E-moderator interventions
1. Summarize the threads
2. Give feedback
3. Provide teaching points
4. Close the E-tivity
Schedule and time | This task will take two hours
Next | Various sources of business opportunities

4.2.2 Various Source of Business Opportunity

Entrepreneurs source for business opportunities from various sources. The main sources may include identifying needs that people may be experiencing, brainstorming on business ideas, building on ones skills and hobbies, sporting a market niche, listening to what people say or complain about, observation or importing an idea from another similar market.

E-tivity 4.2.2. Various Source of Business Opportunity

Numbering, pacing and sequencing | 4.2.2
Title | Sources of Business Opportunities
Purpose | The purpose of this e-tivity is to enable the you establish sources of business opportunities
Brief summary of overall task
Read this https://link.springer.com/book/10.1007/b138370

 on chapter 2: Creative market insights ( page 43-67)

Question 1

After reading, write a short paragraph on each of the following;

a)      Solution versus problem orientation to business opportunities

b)      Unexpected events and occurrences as a source of business ideas

c)      Incongruences as a source of business idea

d)     Innovation as a problem detector

e)      Missing links and shortcomings as a source of business idea

Question 2.

Print the assessment of market problem table on Page 62-65 and conduct a self-examination of a business need of your choice.
Spark | Watch the slides - https://www.slideshare.net/samuraitheologian/maslows-hierarchy-of-needs-theory-online/13-protection by Daniel Beck on Maslow’s Hierarchy of needs and identify business opportunities from the hierarchy of needs.
Individual task
1. Click on the link provided
2. Watch the video and slides
3. Read the book chapter
4. Give your answers in discussion forum 4.2.2
5. Print the table on “assessment of market problem” do a summary of self-examination of a business need.
6. Post the scanned table in the discussion forum 4.2.2
Interaction begins
1. Post your answer in the discussion forum 4.2.2
2. Read posted work from 2 colleagues
3. Post at least one comment on their work and give constructive criticism
E-moderator interventions
1. Summarize the threads
2. Give feedback
3. Provide teaching points
4. Close the E-tivity
Schedule and time | This task will take 2 hours
Next | Viability of a business idea

4.2.3 Viability of a Business Idea

After generating a business idea it is important as an entrepreneur you evaluate the business ideas through a screening process. The screening process involves the systematic evaluation of the ideas in order to determine the best idea to turn into a viable business venture. The screening process must be done carefully, objectively, soberly and without emotions. The business idea screening is required even when there is only one business idea to consider. This is important to ensure that the business is profitable.

 E-tivity 4.2.3 Viability of a Business Idea

Numbering, pacing and sequencing | 4.2.3
Title | Viability of a business idea
Purpose | The purpose of this e-tivity is to enable the you evaluate the viability of a business idea
Brief summary of overall task
Read this on this link

 https://link.springer.com/book/10.1007/b138370

on chapter 3.7: Windows of Opportunity paradoxes ( page 90-96)

After reading respond to the following questions

1. Identify the key factors to consider when evaluating a viable business opportunity
2. Evaluate the paradoxes that an entrepreneur faces when evaluating a business idea
3. Identify a business idea that interests you and develop an inventory form as shown on page 93-95 to evaluate the viability of the business opportunity.
Spark |
Individual task
1. Read the book chapter provided
2. Draw an idea evaluation form  as shown on the inventory form on page 93-95 and fill it as shown in the book chapter
3. Provide a narrative on how you have evaluated your business idea in discussion forum 4.2.3 and look at your colleagues’ answers.
4. Refine your answers using any new knowledge acquired from discussing with your colleagues and post on your portfolio.
Interaction begins
1. Post your answer in the discussion forum 4.2.3
2. Read posted work from 2 colleagues
3. Post at least one comment on their work and give constructive criticism
E-moderator interventions
1. Summarize the threads
2. Give feedback
3. Provide teaching points
4. Close the E-tivity
Schedule and time | This task will take two hours
Next | Lesson 5: The creative Process

Cluster

Start of a Quiz

Question 1

_______________ is a form of business venture  that starts with discovery of an unsolved business problem

- problem oriented
- solution oriented
- invention

Question 2

Business ideas can originate from all of the following apart from

- Unexpected occurrences
- Shortcomings in the market place
- Customer complaints
- Copying existing business ideas

Question 3

Which of the following conditions could make a problem worth solving?

- If it affects a large number of people
- It is a problem to which you have a solution
- No other competitor has a solution to the problem
- It is a critical problem that the customers are willing to pay to get it resolved

Question 4

An entrepreneur needs all the information and knowledge before beginning a business venture

- False
Feedback: You are correct
- True
Feedback: You are wrong

End of cluster

End of the Quiz

4.4 References

1. F. (2017, September 17). Business Opportunities & Ideas ~ Part 1. Retrieved from https://www.youtube.com/watch?v=_EOnZ9ee0w8
2. Søren Hougaard. (n.d.). Retrieved from https://link.springer.com/book/10.1007/b138370
3. Actuary, M. T. (2017, March 29). 10 Big Business in Africa (excluding SA). Retrieved from https://www.youtube.com/watch?v=lNA4zB783n0
4. Delhi, N. P. (2016, November 16). Startup Business Opportunities in Africa. Retrieved from https://www.youtube.com/watch?v=3Oo8fqJo6x8
5. Leong, B. (2011, August 04). Entrepreneurship 1: Introduction, Identifying Ides & Business Opportu... Retrieved from https://www.slideshare.net/bleongcw/entrepreneurship-1-introduction-identifying-ides-business-opportunities
6. Beck, D. (2009, February 20). Protection. Retrieved from https://www.slideshare.net/samuraitheologian/maslows-hierarchy-of-needs-theory-online/13-protection