You have an idea. Maybe a concept for a product or service. Or you want to build a new technology to address a problem you have experienced. You have had ideas before and just weren’t sure what to do with them. As time went by you saw your idea on TV or in a store. Now you have a new idea and you are wondering:
“Is this a good idea? Is it a business?”
Your challenge is to take your idea and make it into a business — if it can make money and help people with their problems.
Your business idea, your business concept, will succeed or fail based on your ability to translate the idea into a clear, well-defined business model with a specific market opportunity.
Everyday people have ideas that are great, good or merely okay. What makes the difference? Is it the product or technology or the service alone? Or is it something more? I will argue that it is something more. You see a business concept or an idea for a product has to satisfy multiple elements to be successful. It has to:
- be produced or reproduced in quantity.
- have prospective customers see it as a solution, a viable alternative to what is being offered in the market now.
- benefit the buyer and the end user (not always the same people).
Finally, it needs a market large enough to be profitable.
Translating an Idea into a Business Concept
Okay, you have an idea. Now you need to determine if it satisfies all or some of these criteria as you have currently envisioned it. So your first step is to define in detail what your idea is, what problem it solves or need it fills. You need to identify who has the problem and what benefits they are looking for from any solution.
Explore the Three Components of Your Business Concept
To succeed, you need to define and clarify your business concept. Then you need to find its place in the market. By this I mean you will need to identify the actual “product” your business will sell. You will want to target a specific market/customer. Ultimately, you will need to create a business model that explains how you will do each of these elements while making money. Each of these is addressed in the C.O.R.E.℠ Genesis program.
When it comes to the product, you have to have a clear, concise, product description, including how it works and is used. Key elements of that product description are the benefits to the customer.
This is a critical element of success. So, you may have the greatest product. If you match it to the wrong customer, then you won’t succeed. You are working to identify the scope or number of people who have the problem, their awareness of the problem, what they are doing now (competitors), and what the customer values – how they make their buying decision
Creating a business means having the capability to deliver the product, reach the customer, and make money. To know if you business concept is viable, you have to examine the market Opportunity and what it takes to serve your customer market. (See Opportunity page of this website for more on this.)
As you work through the process of defining your product idea and business concept, examining what is in the market currently, and become an expert in your product, its potential, the potential customers, you will likely find yourself revising and tweaking your idea. Ultimately, you want a well-developed business concept before you move ahead.
Learn more about the C.O.R.E. Concept and other C.O.R.E. elements: Register Now!
Articles and Podcasts
- Imperfect Pitches You Can’t Make Them … or Stop Them (8/28/2016) - Tough Lessons: You Can’t Make Them … or Stop Them Parents know it and live it. Consultants and other advisors have to learn it. You can’t force anyone to make a wise choice or the best decisions. You can't stop companies from making imperfect pitches to potential investors. Sometimes people just have to learn the hard lessons, the life lessons, themselves. Yes, it is painful to watch and to experience. It feels like watching an accident happen. You see the person stepping in front of the oncoming train, and you are shouting “Don’t do it!” and still they take that ...
- Business Concept – Validating Your Idea (5/8/2016) - Crazy Ideas and Business Concept Many highly successful businesses have been started on ideas other people thought were crazy. Many unsuccessful businesses were started as "sure things." How do you know before you start if your idea is worthwhile? How do you determine if there are already "too many" other businesses out there doing what you want to do? Maybe your concern is that all the players in the business you want are established and have a huge share of the market? How do you decide? How much importance is there in how many competitors and other factors are at ...
- 10 Elements of Successful Businesses (5/3/2016) - While every business has elements that are unique to it. Every successful business shares common characteristics with other successful businesses. Concept The first element of a successful business is a clear concept of what the business is and does. This concept is more than the idea for a product or service or technology. It includes and understanding that there is a market need and opportunity that seems to have the potential for profit. In the initial stage of defining your business concept you may not know the true market potential, but you have identified through observation, trends, or personal experience ...
- Validating Your Business Concept (7/31/2014) - To know whether or not you have a viable business concept, you have to comprehensively define (on paper) your thoughts, ideas, and vision. You also need to gather information related to those ideas: market size, competitors, pricing, and so on. With that information in mind, you begin the process of determining if you are on track to a successful business. The first question to ask - Is your idea a good one or not? Many highly successful businesses have been started on ideas other people thought were crazy. Many unsuccessful businesses were started as "sure things." How do you know ...
- Product, Resources, and Customers – The Three-fold Objective (7/31/2014) - Every organization begins with the same three-fold objective: develop the “product”, obtain sufficient resources, and capture the market/customer. The manifestations of this three-fold mission vary in magnitude, scope, and timing. The underlying processes and activities, the tasks and the milestones, the capacity and the capability necessary to succeed all must be carefully orchestrated and executed. The organization which succeeds is the organization which has the ability to concurrently pursue development of both the “product” and the “business”. One without the other is insufficient; it takes both a product the market wants and a delivery mechanism to get the product into ...
- Proof of Concept – Poised for Success (9/28/2009) - Proof of Concept - Poised for Success If you've heard the phrase "proof of concept," then you have probably seen it in reference to proving a particular product or technology. Proof of concept most commonly refers to demonstrating that the functionality of a product works. However, proof of concept involves more than the functional performance and physical features and capabilities of a product. Proof of concept includes demonstrating that the business (idea, business model, numbers, team) also works. Proof of concept is demonstrating that the potential return (profits) justify the amount of capital and time required. Proof of concept can ...