How to generate and evaluate business ideas?
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The document discusses the process of idea generation and opportunity evaluation for startups, emphasizing the importance of starting with customer problems rather than technology. It highlights key factors for evaluating opportunities, such as market size, competitive landscape, and team dynamics, while promoting the idea of brainstorming with diverse perspectives. Key takeaways include focusing on customer needs, the significance of team collaboration, and the interplay of passion and market opportunities.
How to generate and evaluate business ideas?
- 1. Vision & Values Mika Marjalaakso Founder Institute Helsinki 21.11.2012
- 2. IDEA GENERATION & OPPORTUNITY EVALUATION
- 3. What kinds of opportunities you should focus on? Passion Big Best in the untapped world opportunity
- 4. Bad ideas are not always bad … Recreation of Peter Thiel’s venn diagram of good startup investments.
- 5. Where do opportunities arise from? Enabling Consumer Business Model Industry Regulation Technology Behaviour • Location • BYOD • SaaS • Finance • AMR business • AI • Social media • Crowdsourcing • Energy / Smart case as an • Cloud sharing habits • Subscription Grid example • Grid Computing commerce • Retail • A number of / P2P • Freemium … • Government medical and • Mobile financial • Medical • Pervasive cheap innovations … always-on connectivity • Payment systems …
- 6. It’s all about increasing awareness
- 8. How to brainstorm ideas? • Simply start listing down various ideas on paper • Involve trusted people with diverse backgrounds and view points early on (industry / domain experience, techie, designer) • Sit down, exchange ideas, copy, twist, add, take out – be creative • The ugly truth: the best ideas come always as a surprise when you don’t try to figure out them; be aware and let your subconsious do the work for you
- 9. Build your best ideas into concepts (very few idea level things can be evaluated …)
- 10. How to evaluate ideas? The OAK Quick and Dirty Opportunity Evaluation Framework Compelling Idea Opportunity Entry Point Market Size & Growth Competitive Situation Small idea Big idea Timing Pivotability Assets Team Attitude Prototype Piece of shit Great stuff IPR Customers / Partnerships Kill Often, Kill Fast Money A: 10k€ B: 100k€ C: 1M€ Basic research, Quick GTM, truck load of money double down Time A: 6 months B: 1 year C: > 1 year
- 11. understand your customer’s needs
- 13. solve your customer’s problem
- 18. Key Takeaways 1.Start with the problem/customer not with piece of (shit) tech. 2. Team. Team. Team. 3. At the intersection of … – Passion – Best in the world – Big untapped opportunity 4. Culture matters.