Professional Documents
Culture Documents
Industry Analysis:
• Porter’s Five Forces: Sustainability of Competitive
Advantage
o Threat of Entry
o Buyer Power
o Supplier Power
o Threat of Substitutes
o Competitive Rivalry
Lessons from:
o Nike
o OurBeginning.com
o Miller Lite
o iMode
Chapter 3: Is this a good market?
“Domain” #2 : Macro Perspective-looking for market size & market growth, both today
and tomorrow.
Look for:
o The lead entrepreneur has identified the CSFs in the industry as well as the
market and competitive environment that they will enter, including the 7
domains
o Management TEAM that can demonstrate in past DEEDS (not words) the
ability to EXECUTE on each and every CSF identified as well as others
that will arise
**a team should include more than one’s employees: it can include
bankers, suppliers, dealers, and the like as well.***
Chapter 10: What to do before you write your business plan
Where to start?
Self analysis, i.e. personal mission, aspirations, and propensity for risk.
Analyze market and industry domains. (secondary data is efficient).
Conduct primary research (fill in gaps)
Evidence-based forecasts
o Market potential
o Business forecast
BP Software….
Red Flags
Reluctance of entrepreneur to put money up front
Poorly cited business plan
Overly aggressive/unsupported financial forecasts.
Chapter 12: Market Analysis Worksheet
Trends: Need to consider both end consumers and B2B, as B2B’s consumers are
indirectly yours.
Market Size
Recent market growth rate
Forecasted growth rate from credible sources
Favorable trends, with sources cited
Unfavorable trends, with sources cited
Chapter 13: Industry Analysis Checklist
Porter’s Five Forces: Sustainability of Competitive Advantage
o Threat of Entry
o Buyer Power
o Supplier Power
o Threat of Substitutes
o Competitive Rivalry