bmgt 330 week 4

Business Opportunity Assessment Action Plan

Instructions:

Complete the following assessment form by answering questions and or

completing tasks set forth in the four assessment areas. Use the answers and data

collected to summarize and evaluate the potential for success of the new business

idea.

1. Why do I want to start this business?

2. Do I have the ability and personal commitment to run this business?

3. Why is this idea likely to be successful?

• Who is the Customer?

• What do they look like (demographics)? RESEARCH

• Do they have the money to by the product (likely price of the item

vs. demographic income)?

• Does the product or service solve a problem or fulfill a need the

would justify a customer ing the product?

• Are the customers likely to be repeat customers?

• Why will a customer come to you rather than your competitor?

• Collect data on your competition by searching the internet for

existing and potential competition for your new idea. Research by

reviewing competitor’s ecommerce websites and local

newspapers, journals or newsletters to get an idea of who your

customers would be, what they do with the idea of why your

product would stand out from the others.

4. Do you have the money to start this business?

• How much will it cost to start the company?

• How much money will you be able to contribute personally?

• Where will additional funds come from if needed?

5. Assess the Market

• Create a focus group using friends, family or classmates asking

their ideas via survey or interview as to the validity of the

customer need and desire for the product or service. And/Or

• Create groups on social media and ask their general impressions.

In both suggestions, be sure to ask if they would the product

AND how much they would pay for the service or give the price

you want to charge and ask if they would pay that price. Research

may be needed to develop the best questions but not required.

6. SUMMARY AND EVALUATION OF THE MATERIAL COLLECTED

• What major points did you learn about the strength of your startup

idea?

• What did the data from the market analysis and competitor review

tell you about the likelihood of success in the marketplace?

• Is the business likely to be successful? If so why, if not why not?

• If not or if the evaluation suggests modifications of the idea what

would you do? (Do not continue in the course with an idea that

will not make money. Contact the instructor for direction.)