MARKET OPPORTUNITY EVALUTION
The environment scan, in combination with market information, is the basis for identifying the opportunity an entrepreneur may have and, assuming that it has substance, the development of a strategy and business plan. More than ever before the scan will include the competitiveness of foreign corporations and increased risk for the new stat-up. Calantone et asl. Point out there are two aspects of particular importance in the 1990s: sudden, discontinuous changes, marking up-to-date accurate information difficult to obtain.” This condition is a threat to the new venture particularly when reinforced by a vigorous competition. “Uncertainty means the likelihood of change in technology, customers demand and/or competitive strategies.” In the former case, which is seen to precede uncertainty, there is a threat to the survival and continued growth of the venture. In the latter case the new company needs to make adjustments as changes come along. Figure 11.6 presents the opportunity evaluation process as it leads to a forecast of what is expected followed by the business plan.