1.) The opportunity: Cable consumers are ending business with many cable television providers. This is an increasing trend in the United States as consumers are opting for streaming services like Netflix, Hulu, and Amazon Prime which provide television shows, movies, and exclusive content primarily ad-free for a low fee of under $15 a month.
2.) The solution: My proposed solution would be to establish a consumer transitioning service from cable television to the streaming services. In more detail, I would sell different packages of transition kits that include home media players, remotes, and access to streaming services.
For example, I will have three packages Basic, Regular, and Premium.
The Basic package would come with a Roku Express and 2 months worth of Netflix, Hulu, and Showtime.
The Regular will come with a Roku Premier, 3 months worth of Netflix, Hulu, and Showtime, and 1-year technical support
The Premium will come with a Roku Ultra, 6 months worth of Netflix, Hulu, and Showtime, and 2 years of technical support
The technical support will be done through the phone or online. This will help keep costs low while delivering the services that the customer paid for.
Friday, September 20, 2019
7A - Testing the Hypothesis, Part 1
Testing the Hypothesis, Part 1
1.) Opportunity: Consumers are ending business with cable companies because of the presence of high cable prices and better, low-priced alternatives
2.) Who: Cable consumers.
What: Ending business with cable companies.
Why: High costs of cable and better, low-priced alternatives.
3.) Testing the who:
Are there others who have this need? Or, does everyone in your current 'who' share the need?
There are others that do have this need. First-time homeowners, young adults, and perhaps even older generations that are not cable consumers but want to enjoy media entertainment at an affordable price. Another group of people would be people who have limited access to cable or where cable television would be hard to install, e.g. apartment dwellers, etc.
Testing the what: What are the boundaries of the need?
Are cable companies experiencing a high rate of customer abandonment? Is it just cable companies, or can we include satellite television providers?
Testing the why: What are the other reasons why?
1.) Not enough positive innovation has occurred in the cable television industry.
2.) The customer service model is not effective at making consumers happy with the service.
3.) People don’t like the idea of commercials.
4.) Convenience is key: people want to be able to pause the show while watching from their phone on the way to work.
4.) Summary of findings after interviews
Every person I interviewed was subscribed to at least one online streaming service. Four of the five did not have cable. Regardless of this, all of them expressed negative opinions of cable television providers. The price, limited access to the television shows that they wanted, and the lack of good movies were key reasons that they switched or added the streaming component. One interviewee stated that movie nights were a rare occasion for her prior to Netflix. Now, she has one once a week.
Regarding the “who,” the interviewees thought that younger generations are more likely to want streaming services compared to older ones.
5.) After the interviews, I realized that I had overlooked a key aspect of streaming services: movies. The interviewees expressed that access to quality movies is a big deal for them and cable companies were not providing this need as effectively as the larger streaming services were.
Another realization I made is this: if the current generation is cutting cable, then the younger generation must be growing up without it. An interesting opportunity could exist in future generations.
1.) Opportunity: Consumers are ending business with cable companies because of the presence of high cable prices and better, low-priced alternatives
2.) Who: Cable consumers.
What: Ending business with cable companies.
Why: High costs of cable and better, low-priced alternatives.
3.) Testing the who:
Are there others who have this need? Or, does everyone in your current 'who' share the need?
There are others that do have this need. First-time homeowners, young adults, and perhaps even older generations that are not cable consumers but want to enjoy media entertainment at an affordable price. Another group of people would be people who have limited access to cable or where cable television would be hard to install, e.g. apartment dwellers, etc.
Testing the what: What are the boundaries of the need?
Are cable companies experiencing a high rate of customer abandonment? Is it just cable companies, or can we include satellite television providers?
Testing the why: What are the other reasons why?
1.) Not enough positive innovation has occurred in the cable television industry.
2.) The customer service model is not effective at making consumers happy with the service.
3.) People don’t like the idea of commercials.
4.) Convenience is key: people want to be able to pause the show while watching from their phone on the way to work.
4.) Summary of findings after interviews
Every person I interviewed was subscribed to at least one online streaming service. Four of the five did not have cable. Regardless of this, all of them expressed negative opinions of cable television providers. The price, limited access to the television shows that they wanted, and the lack of good movies were key reasons that they switched or added the streaming component. One interviewee stated that movie nights were a rare occasion for her prior to Netflix. Now, she has one once a week.
Regarding the “who,” the interviewees thought that younger generations are more likely to want streaming services compared to older ones.
5.) After the interviews, I realized that I had overlooked a key aspect of streaming services: movies. The interviewees expressed that access to quality movies is a big deal for them and cable companies were not providing this need as effectively as the larger streaming services were.
Another realization I made is this: if the current generation is cutting cable, then the younger generation must be growing up without it. An interesting opportunity could exist in future generations.
Thursday, September 19, 2019
6A - Identifying Opportunities in Economic Trends and Regulatory Trends
Two Economic Trends
Consumer spending increases
a.) The source for this economic trend comes from this website: https://www.cnbc.com/2019/08/30/us-consumer-spending-increases-solidly-income-tepid.html
b.) A lot of information led me to believe that there exists an opportunity in this trend. Based on my background in economics - which is my major - I know that increased consumer spending generally means that there are a lot of opportunities for businesses to make money.
c.) The prototypical customer with the opportunity would be new and established businesses, primarily in commerce.
d.) The difficulty depends on a few factors: 1.) Age of business. If the firm is just entering a market, then it will have some trouble initially in attracting market share (depends on market). 2.) Location and rules and regulations. Trying to start a business in New York City is a lot different than Texas. New York City is known for having a lot more barriers to entry for many firms due to the many rules and regulations.
e.) The reason that I noticed this trend is primarily because I know how to read certain economic trends due to my knowledge of economics.
Americans are ditching cable tv
a.) The source for this social/economic trend comes from this website: https://bgr.com/2019/01/29/cord-cutting-news-60-percent-cancel-cable/
b.) The information that led me to believe that an opportunity exists in this trend is my own personal experience and knowledge. I have noticed through many friends that they have cut their cable companies and have opted for internet-based streaming services like Netflix or Hulu.
c.) The prototypical customer with the opportunity would be someone who doesn’t watch cable tv that much and who is already subscribed to at least one streaming service.
d.) I believe that it will be somewhat difficult in exploiting this opportunity because Hulu, Amazon, and Netflix already have such a large market share. They also provide billions of dollars worth of content for a very small fee a month: something that a new firm would have trouble competing with.
e.) The reason I noticed this trend is primarily due to personal experience with cable and knowing people that have switched from cable television.
Two Regulatory Trends
Fresh Cape Gooseberry Fruit from Ecuador to the Continental United States
a.) The source of this regulatory trend comes from this website: https://www.regulations.gov/document?D=APHIS-2016-0009-0008
b.) The information that has led me to believe that an opportunity exists in this trend is my own knowledge of both history and economics. When a new product is allowed to be imported into the United States, this allows opportunities in different sectors of the economy. 1.) Firms need to physically import the product. 2.) Firms need to process the product. 3.) Firms need to store the product. 3.) Firms need to sell the product. 4.) Firms need to market the product.
c.) The prototypical customer with the opportunity would be a grocery store. As mentioned earlier, there are many firms that will benefit from this opportunity, but I believe that grocery stores will benefit the most.
d.) I think this opportunity is relatively easy to exploit. Given that this is pretty recent, there are plenty of opportunities to reach out to importers or sellers of the product and offer services like marketing that they are in need of.
e.) As mentioned earlier, the reason I saw this opportunity is primarily because of my knowledge of economics, trade, and history.
Vape Bans
a.) The source of this regulatory trend comes from the following website: https://abcnews.go.com/Health/york-gov-andrew-cuomo-issues-emergency-executive-order/story?id=65624774
b.) The information that has led me to believe that there is an opportunity in this trend is primarily from the dominance of negative coverage of e-cigarette use in the media. Since the coverage has been negative, I believe that more people are viewing e-cigarettes as dangerous and are willing to stop smoking.
c.) The prototypical customer with the opportunity would be a business or a consumer. The range is pretty wide here since the consumer is the one that is in search of a new product that can replace the e-cigarette addiction, whereas the current businesses will look to supply that product.
d.) The opportunity is going to be difficult to exploit. The main problem with coming up with solutions to e-cigarette use is that the consumers are already addicted to the nicotine. To come up with an alternative to nicotine would be very difficult.
e.) The reason I saw this opportunity is due to my personal experience seeing the wide-spread use of e-cigarette use among teenagers and young adults. Even though the products are different, I tend to associate e-cigarette use with regular cigarettes.
Thursday, September 12, 2019
5A - Identifying Local Opportunities
1.)
“New Smyrna Beach Middle School evacuated after transformer fire near kitchen”
https://www.news-journalonline.com/news/20190910/new-smyrna-beach-middle-school-evacuated-after-transformer-fire-near-kitchen
- A transformer exploded in the cafeteria, causing a fire. Everyone was evacuated from the school while the firefighters addressed the issue.
- The problem is that the transformer did not operate correctly, thus this opens the door for the government to require scheduled operation checks to ensure this would work. If an electrical company puts a bid, they can potentially get a contract.
- The problem is a city/school issue.
2.)
“Palm Coast Approves Grand Landings’ Growth to 890 Homes and Possible Future Apartments”
https://flaglerlive.com/140139/grand-landings/
- The city of Palm Coast approved an expansion of the current development in the area known as “Grand Landings.” They approved up to 890 potential homes.
- The problem is that the developers are going to need people to live in these houses and apartments. A network of agents or marketers would be in high demand during this time.
- Grand Landings is experiencing the problem.
3.)
“Tuesday Briefing: Intracoastal Waterway Cleanup, Tammy Almond in Court, Apollo’s 50th, Stetson Recital”
https://flaglerlive.com/143270/lw-190910/
- The city of Palm Coast sponsored the Intracoastal cleanup which involved over 300 families and groups.
- The problem is that there is a demand for a cleaner Intracoastal, and the demand is not being filled throughout the year. A potential opportunity for an environmental cleanup company.
- This is a community problem.
4.)
“Dissatisfied, Beverly Beach Quits Waste Pro and Returns to Flagler Beach’s Garbage Haulers”
https://flaglerlive.com/139284/beverly-beach-waste-pro/
- The residents of Beverly Beach were upset at the service of Waste Pro, so they dumped them and moved back with Flagler Beach’s service.
- The problem is that the residents of Beverly Beach do not have many options regarding waste management, and are not fully happy with either service. Perhaps a low-cost model could move into the tiny town and solve the issue.
- This is a problem of Beverly Beach and its residents.
5.)
“Flagler Beach Fireworks and “Fabulous Fourth” Parade on July 4”
https://flaglerlive.com/24603/flagler-beach-fireworks-parade-schedule/
- Palm Coast and Flagler Beach host a fireworks show every year on July 4th to celebrate our independence.
- Both cities need a supplier for the fireworks. This can create competition among firework manufacturers to sell the product to the city.
- Problem for both of the cities.
“New Smyrna Beach Middle School evacuated after transformer fire near kitchen”
https://www.news-journalonline.com/news/20190910/new-smyrna-beach-middle-school-evacuated-after-transformer-fire-near-kitchen
- A transformer exploded in the cafeteria, causing a fire. Everyone was evacuated from the school while the firefighters addressed the issue.
- The problem is that the transformer did not operate correctly, thus this opens the door for the government to require scheduled operation checks to ensure this would work. If an electrical company puts a bid, they can potentially get a contract.
- The problem is a city/school issue.
2.)
“Palm Coast Approves Grand Landings’ Growth to 890 Homes and Possible Future Apartments”
https://flaglerlive.com/140139/grand-landings/
- The city of Palm Coast approved an expansion of the current development in the area known as “Grand Landings.” They approved up to 890 potential homes.
- The problem is that the developers are going to need people to live in these houses and apartments. A network of agents or marketers would be in high demand during this time.
- Grand Landings is experiencing the problem.
3.)
“Tuesday Briefing: Intracoastal Waterway Cleanup, Tammy Almond in Court, Apollo’s 50th, Stetson Recital”
https://flaglerlive.com/143270/lw-190910/
- The city of Palm Coast sponsored the Intracoastal cleanup which involved over 300 families and groups.
- The problem is that there is a demand for a cleaner Intracoastal, and the demand is not being filled throughout the year. A potential opportunity for an environmental cleanup company.
- This is a community problem.
4.)
“Dissatisfied, Beverly Beach Quits Waste Pro and Returns to Flagler Beach’s Garbage Haulers”
https://flaglerlive.com/139284/beverly-beach-waste-pro/
- The residents of Beverly Beach were upset at the service of Waste Pro, so they dumped them and moved back with Flagler Beach’s service.
- The problem is that the residents of Beverly Beach do not have many options regarding waste management, and are not fully happy with either service. Perhaps a low-cost model could move into the tiny town and solve the issue.
- This is a problem of Beverly Beach and its residents.
5.)
“Flagler Beach Fireworks and “Fabulous Fourth” Parade on July 4”
https://flaglerlive.com/24603/flagler-beach-fireworks-parade-schedule/
- Palm Coast and Flagler Beach host a fireworks show every year on July 4th to celebrate our independence.
- Both cities need a supplier for the fireworks. This can create competition among firework manufacturers to sell the product to the city.
- Problem for both of the cities.
4A - Forming an Opportunity Belief
My Beginning Point: Late-Night Snacks
Most college students and city dwellers spend a lot of time late into the evening. As it currently stands, there are very few places that are open in the evening, and most are clubs/restaurants. The need came from people staying up later due to technological innovations. People are going to gas stations or restaurants. Some just go hungry and complain. I am not really sure that this opportunity exists - maybe 30% sure.
The prototypical customer is a college student, between the ages of 18-22.
For each iteration, I asked the following questions:
How often do you stay up late?
Do you get hungry at late nights?
How do you solve your hunger?
Would you go for a service that makes it more convenient to get snacks at night?
Iteration 1: completed. I found out that the consumer very rarely stays up late, besides for school work or exam prep. In such cases, they usually don’t bother eating. He mentioned that the vending machine near his dorm would help fix his hunger though.
Reflect. Just from this one interview, I learned that the idea really wouldn’t be that great for college students --- well, the ones that live in dorms that are near vending machines, at least.
The prototypical customer is a college student that lives off-campus.
Iteration 2: completed. I found out that the consumer only stays up late towards the weekend, and mostly spends this time at parties where food is provided. The consumer did mention that my idea would be a really cool one (but I really don’t see how).
The prototypical customer is a college student that stays up late and doesn’t party that often.
Iteration 3: Completed. I found out that this consumer only stays up late because his classes start later in the day. As a result, he stays up until 3am some nights. Regarding food, the respondent mentioned that he gets subway before they close at the Reitz Union, or if it’s really late will go to the one by Rawlings Hall.
Overall Reflection and Summary: I really overestimated my idea. It sounded good in theory but didn’t seem to correlate with what I found. Very little - if any - of my original opportunity is still there. My new opportunity is a bit more accurate, but not by any significant factor. I truly believe that entrepreneurs should always adapt to the market and the consumer. I do believe that certain values of a firm should remain firm, but the product/service should adapt to fit consumers’ needs.
Most college students and city dwellers spend a lot of time late into the evening. As it currently stands, there are very few places that are open in the evening, and most are clubs/restaurants. The need came from people staying up later due to technological innovations. People are going to gas stations or restaurants. Some just go hungry and complain. I am not really sure that this opportunity exists - maybe 30% sure.
The prototypical customer is a college student, between the ages of 18-22.
For each iteration, I asked the following questions:
How often do you stay up late?
Do you get hungry at late nights?
How do you solve your hunger?
Would you go for a service that makes it more convenient to get snacks at night?
Iteration 1: completed. I found out that the consumer very rarely stays up late, besides for school work or exam prep. In such cases, they usually don’t bother eating. He mentioned that the vending machine near his dorm would help fix his hunger though.
Reflect. Just from this one interview, I learned that the idea really wouldn’t be that great for college students --- well, the ones that live in dorms that are near vending machines, at least.
The prototypical customer is a college student that lives off-campus.
Iteration 2: completed. I found out that the consumer only stays up late towards the weekend, and mostly spends this time at parties where food is provided. The consumer did mention that my idea would be a really cool one (but I really don’t see how).
The prototypical customer is a college student that stays up late and doesn’t party that often.
Iteration 3: Completed. I found out that this consumer only stays up late because his classes start later in the day. As a result, he stays up until 3am some nights. Regarding food, the respondent mentioned that he gets subway before they close at the Reitz Union, or if it’s really late will go to the one by Rawlings Hall.
Overall Reflection and Summary: I really overestimated my idea. It sounded good in theory but didn’t seem to correlate with what I found. Very little - if any - of my original opportunity is still there. My new opportunity is a bit more accurate, but not by any significant factor. I truly believe that entrepreneurs should always adapt to the market and the consumer. I do believe that certain values of a firm should remain firm, but the product/service should adapt to fit consumers’ needs.
3A - My Entrepreneurship Story
I was exposed to entrepreneurship when I was in the second grade. My brother and I both wanted to make some extra money, so we decided that we could do 2 things: start a garage sale or host a rock concert (bear in mind: my brother and I did not know how to play any instruments at this point). After bringing the two ideas to my parents, they both said no to the garage sale idea (since we literally just moved into the new house), and they said that we could host a neighborhood rock concert, but couldn’t charge anyone (since we both didn’t know how to play any instruments). At that point, we were more eager to perform rather than make money, so we just went with it. Two of our neighbors actually showed up! My brother and I were ecstatic.
That was the first time I was really introduced to entrepreneurship. I have always been a curious person, so in the 10th grade, after learning basic chemistry, I wanted to invent something and become a multi-millionaire. The thing is… I never really invented anything. I had a ton of ideas that I tried to track in a journal, but never really went full force with any of them.
It was only until my freshman year of college (last year), that I finally did something that just about everyone would consider entrepreneurial: I started my own company. The company’s name is Trn-Eco LLC, (pronounced Turn - Eco) and I mostly post stoic-inspired motivational quotes on Instagram. The process has been tough since I only collect sales through selling merchandise. This has forced me to find ways to keep costs low so that I can continue running the company without losing money. Despite the challenges, I love doing what I do at Trn-Eco, and I would encourage the readers to check out the website: trn-eco.com and Instagram: @trn_eco.
That’s the main reason I enrolled in this class: to learn more about entrepreneurship and hopefully guide me on my journey with Trn-Eco or any other venture I choose!
trn-eco.com
That was the first time I was really introduced to entrepreneurship. I have always been a curious person, so in the 10th grade, after learning basic chemistry, I wanted to invent something and become a multi-millionaire. The thing is… I never really invented anything. I had a ton of ideas that I tried to track in a journal, but never really went full force with any of them.
It was only until my freshman year of college (last year), that I finally did something that just about everyone would consider entrepreneurial: I started my own company. The company’s name is Trn-Eco LLC, (pronounced Turn - Eco) and I mostly post stoic-inspired motivational quotes on Instagram. The process has been tough since I only collect sales through selling merchandise. This has forced me to find ways to keep costs low so that I can continue running the company without losing money. Despite the challenges, I love doing what I do at Trn-Eco, and I would encourage the readers to check out the website: trn-eco.com and Instagram: @trn_eco.
That’s the main reason I enrolled in this class: to learn more about entrepreneurship and hopefully guide me on my journey with Trn-Eco or any other venture I choose!
trn-eco.com
Subscribe to:
Posts (Atom)