COMM 103 Chapter 15: Chapter 15 – Analyzing New Business Ventures
6 Dec 2016
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Document Summary
Entrepreneur refers to a person who stars a business and is willing to accept the risk associated with investing money in order to make moneys. The six phases associated with venture analysis are as follows: market analysis, value analysis, financial analysis, operations analysis, management competency analysis, contingency plans or exit options. A key emphasis within each of these areas is to try to define the certainty and therefore the probability of success of the venture in what is often a very uncertain and risk-laden environment. A key to this assessment approach lies in the search and identifi(cid:272)atio(cid:374) of (cid:862)fatal fla(cid:449)s(cid:863) that could potentially derail a venture in its early stages. Examples of fatal flaws can be inadequate pricing models, undercapitalization, weak management competencies, insufficient marketing research initiatives, poor understanding of industry configuration and market segmentation, or the absence of a well-focused execution strategy.
