Question

I was asked to come up with a venture design or business idea project(Using a cardboard constraint) for my finals. I came up with an idea to develop/design Window blinds using cardboard instead of the conventional wood(i.e. a Cardboard Window Blind). But i'm having difficulty developing this business idea. I need help in developing this business idea in terms of identifying

1. What the ideation process would be like?

2. Who my likely Team members(skill, experience etc.) and target market personas for this product would be? (people who would need this product and why they care) and why would this idea would be a very good value proposition to them considering other substitutes and alternatives like Wood blinds and curtains.

3. What the products distinctive competency(s) will likely be?

4. What other important information (not listed above) is required for the early stage of this business ideation

Please, i would love for answers to be more explanatory and moderately detailed(infact, the more detailed, the better). Thanks

Answer 1

Q: 1 What the ideation process would be like?

Answer:

The initial business idea, i.e. developing Cardboard Window Blind has already been conceptualised, now planning has to be done to implement it. For this, preparation has to be accomplished based on few important objectives like,

• First of all identify the inherent strength to conduct the business, which may be more advantageous than prospective competitors in the market.
• The target market volume and competition has to be assessed properly.
• The production process and facilities has to be designed. It should cover the entire stages of production from a) location of production facility, b) product designing, production process and facility c) equipments & machinery, d) manpower to operate to e) identifying the suppliers of raw materials.
• The implementation schedule has to be defined.
• Very importantly, business financial has to be formulated. One have to plan for a) initial capital for fixed assets, b) working capital to run the operation, c) calculate all fixed and variable costs, d) logically target for desired profit margin, e) set the proposed price across range of products, f) make projections of profitability over time.
• Do sales planning according to targeted profit and assess the marketability options, constraints and avenues.
• Plan for business system and organisational setup including overall manpower planning or employee engagement and conduct of business.

Q: 2 Who my likely Team members (skill, experience etc.) and target C for this product would be? (people who would need this product and why they care) and why would this idea would be a very good value proposition to them considering other substitutes and alternatives like Wood blinds and curtains.

Answer:

Depending on the scale of business, likely team members would be across functions, like,

• Raw material procurement team,
• Production team or technicians ,
• Accounts and finance,
• Sales & marketing,
• Support system like information technology (depending on scale of business), security of business premises, etc.

Exploring target market personas, is very crucial and this should be planned quite early. Infact, this should be one of the criteria to decide for the business. Again depending on scale, this could either be done individually or may be assessed with the help of professional team. On fundamental term it can be done by,

• Firstly, identify any physical presence of product constraint, for an example cardboard are usually decayed very easily when comes in contact with water. Therefore, it should be used either in arid, semi-arid climate, or to be used at the inner wall side, where primary protection from rain is available.
• Secondly, identify the product benefits/edge over the available products presently available at market. Such benefits should be liked by many customers. One has to approach such prospective community with constant effort.

Q: 3 What the products distinctive competency(s) will likely be?

Answer:

The production process is easier than involving wood, therefore, low consumable and manpower should normally be required. This product is comparatively low cost, lightweight, more flexible than wood, therefore, along with scope of offering at lower price (than wood products), variety of design combination could be applied. At the same time, it is more durable than cloth and paper, which could be more easily cleaned as well. Also it is recyclable, therefore, marketing strategy of lower carbon footprint, may be adopted (depending on other factors as well).

Q: 4 What other important information (not listed above) is required for the early stage of this business ideation

Answer:

Again repeating, the competitive edge of oneself is the most important factor to be successful in any business. In this business also, one must identify the competitive advantage he/she is having to conduct this particular business. It may be technical knowledge, may be financial strength, may be ready access to target customers, even it may be because of the adopted production system efficiency, which leads to lower pricing than market standard and so on. The steps of business ideation should be thoroughly followed and the options should be evaluated properly. The various stages are all interlinked. For example, proper calculation of production would help to define the proposed price with preferred profit margin. The proposed price again will be one of the deciding factors to compete against already available products in market. Thus if the production system is inefficient, and thereby costing is more and the product is highly priced above comparable products in market, then it will obviously lose its competitive advantage, and even a good sales & marketing team would not be able to ensure projected sales turnover which could eventually make the business loss making. Therefore, final decision should be the outcome from systematic evaluation only and should not be reasoned by personal intuition.