What Is A New Business Idea ??

WHAT IS A NEW BUSINESS IDEA ?? A concept which can be used for commercial purpose The ability to come up with a business idea can be transformed into a viable business. Eg:- Pet Salon

NEW IDEA GENERATION PROCESS • Uncover your Personal Traits Eg:- LN Mittal, Bill Gates

• Knowledge and Experience Eg:- Anil Ambani

• Technical Knowledge Eg:- Formal Education, Training on the job

• Domain Knowledge Eg:- Technical knowledge of Refrigeration

• Contacts Eg:- Idea to serve a software firm

• Goals and Aspirations Eg:- Local book store or challenging crosswords

SOURCES OF BUSINESS IDEAS  PAST WORK EXPERIENCE Eg:- People leave their jobs and start there own business in the same field

 HOBBIES AND INTERESTS Eg:- Owner of Baggit

 OBSERVATIONS Eg:- Mansukbhai Kothari

 BRAINSTROMING

BUSINESS IDEA EVALUATION This section outlines a frame work to evaluate business Ideas, this frame work is based on some questions. ENTREPRENUERS ASK THE FOLLOWING QUESTIONS:-

7) Who are you selling to ? 9) What is the need you fill or problem you solve?

1) What is the business model ? 3) How big is your market ? 5) What are you getting out of it ? 7) How can you protect your business ?

The RAMP Model • R- which stands for Return (Is it profitable, Time to breakeven, Investment Needed)

• A- stands for Advantages (Cost structure, Intellectual Property, Distribution Channel)

• M- stands for Market (The Need, Target market, Pricing, Market size)

• P- stands for Potential (Risk vs. Reward, The Team, Timing )