Professional Documents
Culture Documents
Note: All fields can be expanded to provide additional space to respond to the questions. A
copy of this template, along with each of the assessment tools, is also available in
PDF format at the authors Web site at www.prenhall.com/entrepreneurship.
Introduction
The founder is Jitrawan Jaroensintaweekul, a Thai entrepreneur, who established
the ice skate business named Spice-ice-skate since 2016. Spice-ice-skate is a place for
ice skating, which opens 1:00 pm- 8:00pm on weekdays and 9:30am - 8:30am on
weekends. We provide a sizeable area of the skating area, includes a site for fitting room,
and also a lounge for waiting and first-aid. It is located in the mall, 4th floor in the kids
educational zone. Spice-ice-skate provides you special and professional coach, and they
will be assigned to take care of those who are injured or those who cannot play. This is
not like those other ice-skate place because they charged for the training session. Yet,
everyone using our service can ask for help and advice for free.
Assessment Tools
Concept Statement Test
Write a concept statement for your product/service idea. Show the concept statement
to 5 to 10 people. Select people who will give you informed and candid feedback.
Attached a blank sheet to the concept statement, and ask the people who read the
statement to (1) tell you three things they like about your product/service idea, (2)
provide three suggestions for making it better, (3) tell you whether they think the
product or service idea is feasible (or will be successful), and (4) share any additional
comments or suggestions.
Summarize the information you obtain from the concept statement into the following
three categories:
One caveat is that people who say that they intend to purchase a product do
not always follow through, so the numbers resulting from this activity are almost
always optimistic. Still, the numbers provide you with a preliminary indication of
how your most likely customers will respond to your potential product or service
offering.
How likely would you be to buy the product or service described above?
__8____ Definitely would buy
__3____ Probably would buy
__1____ Might or might not buy
__1____ Probably would not buy
__-____ Definitely would not buy
Additional questions may be added to the buying intentions survey.
Conclusion (expand fields and report findings, in discussion form, for each area)
A. Product/service desirability
The Spice-Ice Skate service in Thailand is something that can easily get attention
from the customers because Thailand is a hot country and there is no real natural
rink. It is very popular sports to play in Thailand however most of the kids and
teenagers are interested in trying new things. It is also a good time to start the
business because the temperature is increasing and they all want to find some cool
place to do cool thing.
B. Product/service demand
After the survey, it is obvious that more than half of the customers show very high
We should have more survey and talk to the potential customers more for other
useful feedback, which we can later adjust to our service.
Assessment Tools
Industry Attractiveness
To the extent possible, assess the industry at the five-digit NAICS code level your
potential business will be entering. Use a broader industry category (less NCICS
digits) if appropriate (http://www.census.gov/epcd/www/naicstab.htm).
Assess the attractiveness of the industry the potential business plans to enter on each
of the following dimensions.
Market Timeliness
Determine the extent to which the window of opportunity for the proposed business
is open or closed based on the following criteria.
Determine the timeliness of entering a specific target market based on other criteria.
It can be said that the sport industry is not really attractive due to the moderate
potential. People tend to give importance to this industry but actually they did not
need" or "must have. The average net income is still in a medium level. Also,
there is some new service from this industry but there are not so many of them.
However, the sport industry is currently old and is in a maturity phase in the life
cycle so these factors can be considered as a low potential and make the industry
to become less attractive.
There is no low potential factor in the target market. Yet, it is not clear whether it
has high or medium potential but it is in a positive way because there are equal
potentials for both high and medium. There are not many competitors and also the
growth rate is not so fast for a small firm to enter. In addition, we have methods
and ability to create a stronger business that can meet customers needs more than
the existing firms.
C. Market timeliness
The market timeliness is also in the positive side because the customers are
interested in buying and is in a moderate buying mood. It is also true now that the
customers need the new firm to satisfy their needs, which can be a great
opportunity for us to enter the market because theres no lager firm that plan to
enter the market.
Maybe the ice skate can enter other industry other than sports. (ex: entertainment)
Assessment Tools
Management Prowess
Use the following table to candidly and objectively rate the prowess of the founder
or group of founders who will be starting the proposed venture.
Resource Sufficiency
The focus in this section is on nonfinancial resources. Use the following table to rate
your resource sufficiency in each category.
The list of resources is not meant to be exhaustive. A list of the 6 to 12 most critical
nonfinancial resources for your proposed business is sufficient.
An explanation of the rating system used in the first portion of the table is as follows:
1 Available
2 Likely to be available: will probably be available and will be within my budget
3 Unlikely to be available: will probably be hard to find or gain access to, and
may exceed my budget
4 Unavailable
5 NA: not applicable for my business
Conclusion (expand fields and report findings, in discussion form, for each area)
A. Management prowess
B. Resource sufficiency
Resources are quite sufficient because most of them are available for the business
and none of them is not applicable for the business. The most important resource
for the business is the space to launch the service (in this case is the rink). It is just
only the support of local and state government that is unavailable. And for the
proximity, it is likely to be neutral, not so strong and not so weak.
The startup costs (which include capital investments and operating expenses) should
include all the costs necessary for the business to make its first sale. New firms
typically need money for a host of purposes, including the hiring of personnel, office
or manufacturing space, equipment, training, research and development, marketing,
and the initial product rollout.
At the feasibility analysis stage, it is not necessary for the number to be exact.
However, the number should be fairly accurate to give an entrepreneur an idea of the
dollar amount that will be needed to launch the firm. After the approximate dollar
amount is known, the entrepreneur should determine specifically where the money
will come from to cover the startup costs.
The total startup cash needed can be estimate using the following table.
Property 1.5m
Vehicles 600k
Lease payments 6m
Travel -
Signs 10k
Other expense 1
Other expense 2
Annual Sales
36,500*1,100 = 40m
Net Income
Sales: 26 m
Sales: 40 m
It requires more cash than I was expected. It requires 16 million to start the
business, which it is seem to be a very high amount but, for the ice skate business,
The first year, the sales and net income are below average because it is the starting
year. However, the sales and net income increase rapidly because the business
require less expense and I expected that the business will become more popular
that the sales increase about 50% from the previous year. Thus, it makes the
financial performance of the business on the second year to be in a standard level
or is in the average.
Try to lower the star up cost because it is very risky to invest a very high amount
of money to a business. Sometimes, if we dont have enough money to start a
business, so we are likely to loan from the bank and will waste more money
instead of earning it.
The overall assessment is still unsure. The reason is because 2 of the feasibility
are feasible, whereas the other 2 are unsure. Although, the overall feasibility is not quite
feasible, it does not mean that the business will not success. I expect that the business is
going to do well but it may take more time because I have to improve the organizational
feasibility and industry/market feasibility to make the business more stable and
profitable. I will make sure that the management team that will be hired later is going to
be creative, professional and make the business grow more rapidly.