Entrepreneurship is a concept which includes the activities related to designing, launching and running of a new business. These ventures are small in nature and required large amount of resources to carrying business activities effectively. The individual and person who create new start-ups are known as entrepreneur. It determines risk taking ability in order to maximise income and growth easily. Launching and running a new business is required specific abilities to perform properly in challenging situations. Through this, an entrepreneur can grab several opportunities to maximise their business structure in target market (Farmer, Yaoand Kung‐Mcintyre, 2011). This report will defined about the planning of a new venture as “The Italian Table”. It is a small and medium size restaurant. This project represent evaluation of different sources of entrepreneurial ideas and innovation and market gap analysis with relevant tools and techniques. It will also determine Swot analysis of organisation and Evaluation of environment factors to test viability of business ideas.
P1 Determination and evaluation of different sources of entrepreneurial ideas and innovation
For a new venture, it is required that entrepreneur determine several resources that helps in maximising growth and profitability easily. In this process, they needto use innovative ideas and creative thoughts to make desired changes and modification on the bases of customer's requirement and need. There are different sources of entrepreneurial ideas and innovation which are given below as -
External environmental sources:
- Social factor: According to this factor, entrepreneur requires to be aware about market trends and customer demand to opt a better choice. This factor is consider individual's desire and obligation towards a unique and new idea. Thus, they can initiate a new opportunity in target market.
- Economical Factor: This factor is essential to composing appropriate growth and evolution practices on the bases of new ideas. UK has better economical condition, so it can be an advantage for entrepreneur to associate their business with amended opportunities. It can be a better choice for an entrepreneur to execute their ideas in those economies.
- Technological Factor: For an entrepreneur, it is essential to analyse execution process of technology in their business idea to grab maximum opportunities easily. An innovative idea is associate with technological advancement that helps to enhance knowledge and expertise.
- Political Factor: For an entrepreneur, it is require to acquire information regarding governmental policy and regulations. In UK, political condition is very stable and supporting for food industry.
- Environmental Factor: Entrepreneur must focus on the environmental factors which assists new business firm of small enterprise and owners to bring up in this competitive business globe. This will help them to take corrective measure while performing the functions of an organizations. It provide help to people to gain required benefits as per their actual needs.
Drucker's 7 sources of innovation:
- Unexpected – For a business, it is important to implement advance technology and innovative ideas to produce unique service in target market. These products and service should have to be most effective and impactful than others.
- Incongruity – For a new venture, it is require to introduce new and quality products in target market to getting higher competitive advantages easily. Through this, “The Italian Table” can capture customer's attention toward their products and services.
- Innovation based on process need – Innovation is a most effective procedure that us to make appropriate changes on the bases of process need. By implementing these procedures, “The Italian Table” can easily maximise sales and profitability of firm.
- Changes in industry and market – Innovation is basically uses to make positive alteration in products and services. Through this, “The Italian Table” can easily changes market of food industries.
- Demographics – This is a most specific business approach that helps to make proper classifications of organisational segmentation. Through this, an organisation can easily gain higher competitive advantages from target markets.
- Changes in perception – The changes in customer's perceptions are uses to provide numerous opportunity to an business organisation. It can be identify through customer's feedback and opinions for specific services.