What is a Business Opportunity?

Hi Dane, you seem to use the term business opportunity differently than I’ve seen elsewhere. In your mind, what exactly is a “business opportunity”?

A business opportunity is a need or want that can be met by a new business venture.

Now, not every idea is an opportunity. An idea with no commercial potential isn’t an opportunity; it’s a hobby.

Ideas for business ideas can be found in problems, changes, trends, new discoveries and inventions, existing products and services that need improvement, and your unique knowledge or experiences.

Places to look for opportunities include newspapers, magazines, business and governmental agencies, trade resources, and of course the internet.

Once you’ve generated an idea, the next step is to compare options for applying it. Major choices include starting a new business, buying an business, buying a franchise, buying a business opportunity*, or becoming an inventor.

Finally, you need to evaluate the feasibility of your ideas. Practical ways to do this include performing a cost/benefit analysis, an opportunity-cost analysis and a SWOT analysis.

Special note: When I use the term business opportunity in connection with the phrase “buying a business opportunity,” I am referring to a special subset. Business opportunities in this context means something similar, but not the same as a franchise. When you purchase a business opportunity, you do so with the expectation that in whatever format (be it ebook, printed manual, dvd, online course, etc), will learn how to start and operate a business. After you learn how to start and run the business, you’re on your own to sink or swim, to fail or succeed, on your own. You are under no obligation to operate your business the way that the business opportunity manual described. You can make your own decisions, to either follow the procedures laid out for you, or not.

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