Entrepreneurship

BRAND NAME

 one of the brand elements which helps CHARACTERISTICS OF GOOD BRAND NAME
the customers to identify and
 should be unique/distinctive
differentiate one product from another.
 should be easy to pronounce, identified
 requires a lot of research
and memorized.
 are not necessarily associated with the
 should give an idea about product’s
product.
qualities and benefits
 can be based on place, animals or people
 should be easily convertible into foreign
languages.
The 4Ms of Operation  should suggest product/service category
 should indicate concrete qualities
 MANPOWER
 METHOD  should be extendable.
 MACHINE  should be capable of legal protection
 MATERIALS and registration.
 It should not portray bad/wrong
meanings in other categories.

3 important elements in the production system

INPUT PRODUCTION OUTPUT 4 MS OF

PROCESS OPERATION

4MS OF OPERATION

MANPOWER METHOD

The manpower simply refers to the human Method or production method refers to
workforce involved in the manufacture of a process or technique of converting raw
product materials to finished products.

CRITERIA TO CONSIDER DEPENDENT ON SOME FACTORS:

o Educational qualification and work o Product to Produce

experience o Mode of Production
o Status of employment o Manufacturing Equipment to use;
o Number of workers and
o Skills and expertise o Required skills to do the work
o Work hours
MODES OF PRODUCTION
o Background checking
o Salary/wages and other mandatory Intermittent Production System
benefits 1) Project Method
o Availability of potential workers in 2) Job Order Method
the community 3) Batch Method
Continuous Production System
Just-in-time Production System
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MACHINE MATERIALS

Machine refers to the manufacturing The term material simply refers to the raw
equipment used in the production of goods materials needed in the production of a
or delivery of services. product.

ELEMENTS TO CONSIDER FACTORS TO CONSIDER

o Product to produce o Cost

o Production system o Quality
o Cost of equipment o Availability
o Capacity of the equipment o Credibility of suppliers
o Availability of spare parts in the market o Waste that the raw material may produce
o Efficiency of equipment
o Skills required to run the equipment

Market Ssurvey
WHAT WHY AND HOW?

MARKET SURVEY MARKET SURVEY

‘Market Survey’ is a Market Research ‘A research method for defining the market
technique. parameters of a business.

The study of the spending characteristics A tool to directly collect feedback from the
and purchasing power of the consumer target audience to understand their
who are within your business's geographic characteristics, expectations, and
area of operation, requirements.

3 More Market Research Techniques are: Market surveys collect data about a target
market such as pricing trends, customer
A. Interviews,
requirements, competitor analysis, and
B. Focus Groups,
other such details.
C. Customer Observation.

WHY CONDUCT A SURVEY? SURVEY QUESTIONS

"Without data, you're just another person Surveys ask users a short series of open or
with an opinion." - W. Edwards closed-ended questions, which can be
delivered as an onscreen questionnaire or
1. Gain Critical Customer Feedback,
via email or via printed forms.
2. Understand Customer Inclination,
3. Enhance Products & Services,
4. Make Well-Informed Business Decisions
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RATING SCALES LIKERT SCALE

Matrix Questions Dropdown questions

Open ended questions Demographic Questions

Image-based questions

Ssimple bookkeeping
Simple bookkeeping

bookkeeping bookkeeping

refers to the recording of business transactions in JOURNAL

the books of the business. It is based on the The journal is the book of original entry.
premise that business transa ctions must be
THE POSTING PROCESS
properly recorded.
In bookkeeping, all types of transactions are
Only business transactions that are considered
recorded everyday regardless of their nature.
quantifiable are given accounting recognition.
In the process of classifying similar
involves the chronological writing or recording of transactions, the same information found in
business transactions and events in the book the journal will be transferred to the ledger.
according to the order of their occurrence.
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Modes of production
Intermittent production 4 main types of production

is a manufacturing process that involves

producing various goods on the same  Job production
production line in accordance with irregular  Batch production
production schedules  Project production
 Continuous production
are all types of production which includes
irregular start and stop time.

Job Production Batch Production

Involves special order type of production. Is type of production process where the
products are manufactured in series, within
It is a production process which requires
a specific time frame.
workers or employees producing
customized order for a specific customer, A batch of manufactured products can go
or for a small volume batch without through a multiple steps in a large or semi
repetition involved. large production to make a final required
product.
Benefits of the Job production:
This type of production will allow for the
 High quality work
products to be high or small volume
 High level of customization produced with minimum changes to the
 Increased customer retention rate product.
EXAMPLE: Building a new factory, installing Every batch will go through specific stage
machinery in a factory. of the production and it will help with
better tracking your production.
Project Production
Benefits of the batch production:
Is the type where one group of the items is
manufactured at a time, within a specific  Good for quality control
time frame.  Scrap reducing
 Efficient usage of
It includes product development, machines/equipment
construction, work order systems, job
shops. EXAMPLE

Benefits of a project production are:  Soap.

 Food products such as meals,
 Customer satisfaction
baked goods
 Organized production
 Motivated workers
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Continuous Production Just-in-time production

Involves ongoing processing and flow is a lean production method that seeks to
production method. produce an item only when needed. It aligns
the amount of inventory or raw materials
In which the raw materials are consumed in
required to manufacture a product precisely
the manufacturing process on a constant
with that product's demand. The objectives
footing.
of JIT are to eliminate waste production and
Benefits of a continuous production are: improve productivity to reduce per-unit costs.
It's a cost-efficient strategy for maintaining
o High volume of production stock levels, improving stock turnaround, and
o Efficient and cost effective production decreasing the warehouse space to store
o Simplified gauging products.
EXAMPLE EXAMPLE
Paper and pulp manufacturing, TOYOTA MANUFACTURER, CAR COMPANY,
petrochemicals, or oil and gas refineries, CAR COMPANY, RESTAURANT
and/or for products that are consumed on a
continual basis such as electricity
production or water treatment plants.

Ppricing Strategies
Pricing Strategies
Pricing strategies Cost-plus pricing

o Cost-Plus Pricing Cost-plus pricing is also known as

o Competitive Pricing markup pricing. It's a pricing method
o Price Skimming where a fixed percentage is added on
o Penetration Pricing top of the cost it takes to produce one
o Value-Based Pricing
unit of a product (unit cost). The
resulting number is the selling price of
the product.
Competitive pricing

is the process of selecting strategic price points to best take advantage of a

product or service-based market relative to competition.

1. Cooperative Pricing
2. Aggressive Pricing
3. Dismissive Pricing
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Cooperative pricing

Cooperative pricing, also called price

fixing, is a type of market activity in
which competitors in the same market
collude, either explicitly or implicitly, to
coordinate on prices. The goal of
cooperators is to form an agreement
among sellers to maintain prices at a
higher level than competitive prices.

Aggressive pricing Dismissive pricing

Aggressive pricing is normally used to Leaders in the market with premium

increase market penetration or attract products or services are in a position to
more business from current customers use dismissive pricing. This strategy
and increase the top line. It may prove allows brands to price as they wish
financially unsound if you have without considering the competitors'
substantial fixed costs to hurdle. prices.

Price skimming

also known as skim pricing, is a pricing strategy in which a business charges a high initial
price and then gradually lowers the price to attract more price-sensitive customers.

Penetration pricing

Penetration pricing is a pricing strategy where the price of a product is initially set low
to rapidly reach a wide fraction of the market and initiate word of mouth. The strategy
works on the expectation that customers will switch to the new brand because of the
lower price.
Value-based pricing

Value-based pricing is a strategy of setting prices primarily based on a consumer's

perceived value of a product or service. Value pricing is customer-focused, meaning
company’s base their pricing on how much the customer believes a product is worth.

Promotion Strategies

Push tactics Pull tactics

Any tactic that results in a third party Any tactic that results in customers
stocking your products. demanding your product from retailers.

Example: Competitions with retailers to Example: social media, blogging,

increase sales. advertisements, viral marketing
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Other types MANUFACTURER

1. Manufacturer A manufacturer is responsible for sourcing raw

2. Retailer materials and producing finished products by
3. Fee-for-Service leveraging internal labor, machinery, and equipment.
4. Subscription
5. Freemium RETAILER
6. Affiliate
They often buy finished goods from manufacturers or
7. Razor Blade
distributors and interface directly with customers.
8. Reverse Razor Blade
9. Franchise
SUBSCRIPTION
10. Marketplace
11. Pay-As-You-Go Subscription-based business models strive to attract
12. Brokerage clients in the hopes of luring them into long-time, loyal
patrons.

FEE-FOR-SERVICE FREEMIUM

Instead of selling products, fee-for- Freemium business models

service business models are attract customers by introducing
centered around labor and them to basic, limited-scope
providing services. A fee-for-service products. Then, with the client
business model may charge by an using their service, the company
hourly rate or a fixed cost for a attempts to convert them to a
specific agreement. more premium, advance product
that requires payment.

MARKETPLACE AFFILIATE

Marketplaces are somewhat Affiliate business models are based

straight-forward: in exchange for on marketing and the broad reach of
hosting a platform for business to a specific entity or person's
be conducted, the marketplace platform. Companies pay an entity
receives compensation. to promote a good, and that entity
often receives compensation in
RAZOR BLADE MODEL exchange for their promotion. That
compensation may be a fixed
Aptly named after the product that
payment, a percentage of sales
invented the model, this business
derived from their promotion, or
model aims to sell a durable product
both.
below cost to then generate high-
margin sales of a disposable
component of that product.
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REVERSE RAZOR BLADE MODEL FRANCHISE BUSINESS MODEL
Instead of relying on high-margin companion The franchise business model leverages
products, a reverse razor blade business model existing business plans to expand and
tries to sell a high-margin product upfront. reproduce a company at a different location.
Then, to use the product, low or free Often food, hardware, or fitness companies,
companion products are provided franchisers work with incoming franchisees
to finance the business, promote the new
PAY AS YOU GO location, and oversee operations.

Instead of charging a fixed fee, some

companies may implement a pay-as-you-go BROKERAGE
business model where the amount charged A brokerage business model connects
depends on how much of the product or buyers and sellers without directly selling a
service was used. good themselves. Brokerage companies
often receive a percentage of the amount
paid when a deal is finalized.
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Marketing content plan Teaser Trivia ad

o Teaser
o Trivia Ad
o Product Promo
o Product Variants

Product promo

Product variants

Business Model
WHAT IS A BUSINESS MODEL?
BUSINESS MODEL MAIN TYPES OF BUSINESS MODEL

The term business model refers to a o Business to Business (B2B) Model

company’s plan for making a profit. o Business to Consumer (B2C) Model
o Subscription Based Business Model
BUSINESS 2 BUSINESS (B2B) o On Demand Business Model
When the dealings or the transactions
BUSINESS 2 CONSUMER (B2C)
take place between two companies or
the business. (LAZADA) B2C refers to businesses that sell their
services or the products directly to the
SUBSCRIPTION BASED
consumer who are the end users of the
Any application-based businesses or products or services. (PLDT)
software companies have subscription-
ON DEMANS
based business models. (SPOTIFY)
It is the most recent form of model
which is made out on the need by
answering immediately. (AGOODA)