Four (4) M’s of Operation in

Relation to Business
Opportunity
ENTREPRENEURSHIP
• “Business is not just doing deals;
business is having great and right
products, doing great engineering, and
providing tremendous service to
customers. Finally, business is a
cobweb of human relationships”-Ross
Perot.
• Don’t search customer for your product but rather
search a product for your customers.
Conceptualizing a product for the market begins
with the never ending needs of people. The right
product at the right place comes with the
customer’s requirement specifically to address
concerns and problems. Ultimately, customer’s
satisfaction is the greatest goal of an enterprise
which lead to creating value to the entrepreneur.
• A successful new product (products
and services) coils from the merging
of the creative mind, the technical
mind, and the business mind. All of
the three comes together in the
entrepreneurial mind.
The appropriate concepts and knowledge on how you will
be visible to your customers. After going through this
lessons you are expected to:

• 1. Develop a product description;

• 2. Create a prototype;
• 3. Test the prototype, and
• 4. Validate the service description of
the product with potential customers to
determine its market.
Read and Understand Me!

• A successful new products come up from the convergence

of the three mind namely; the creative mind, the
technical mind, and the business mind. All three mind
together comprises the entrepreneurial mind.
• The creative mind conceptualizes and designs a product
that consumers find some use for. It also produces
products that are pleasing to see, touch, hear, and taste.
This product also creates emotional attachment to the
consumers and sometimes becomes an important
personal expression.
• The technical mind is the technology originator. Although
it comprises the entrepreneurial mind this is not necessarily
in an entrepreneur to have it but this drive him /her to
convert new learning into highly serviceable and
operational. The technical mind is also a technology
adapter. He uses an old learning merging it with a new one
to come up with a successful human endeavor. It also called
a technology renderer. He/she resolves to make a new
product for the product creator by shaping or reshaping the
technical designs of the new product. In this the values of
being creative, resourceful, and innovative are being
manifested by an entrepreneur.
• The business mind connects the
potential of the new products by creating a
market for them. It also manages the
internal and external environment of the
products. The business mind turns the
purpose and passion into profit. It also
creates customers and exchange of values.
The four (4) M’s of operation

• which comprises the materials, machinery,

method, and the manpower is also represent
the element of production process. However,
there’s a deeper function of the four elements in
relation to operation management. Operation
management which deals on activities, decisions
and responsibilities of managing resources which
is dedicated to the production and delivery of
products and services.
• The attainment of enterprise mission,
vision, goals and objectives is dependent
on the entrepreneurial activities engage
by an entrepreneur. The product is the
center of the business complemented by
manpower, methodology or process, and
machinery (technology).
• The four (4) M’s significantly contribute to the success of the
enterprise by using available resources to effectively and
efficiently produce products and services in such a way to
satisfy the needs of the customers.
• After thorough assessing the market needs, an entrepreneur
make decision on what product will be offered to the market
taking into consideration the requirements and needs of the
customers. Product conceptualization and innovation is a
taxing task for an entrepreneur. However, when decisions are
based on customer’s preference then all things will be on the
right place.
DEVELOPING A PRODUCT DESCRIPTION

• A Product Descriptions is a marketing strategy that explains

what a product is and why consumer is will to buy it. The very
purpose and objective is to provide information such as features
and benefits to wide range of consumer to attract them and
compelled them to buy. Product Descriptions should be created
as part of the planning stage and before plan will be completed.
This is common mistake of entrepreneur wherein product
description is not being done all throughout the planning stage.
It is not always possible that a Product Descriptions can be
done at conception stage in each product and therefore, can be
created or updated within the boundary stage processes.
A Product Descriptions is used to:

• 1. Understand the purpose of the product, its

function, and benefits.
• 2. State who will use the product and how will be
used.
• 3. Identify level of the Quality required of the
product so the product will be usable. (Should be
fit to the purpose)
• 4. Express the skills required to produce the
product, to review and approve the same.
Writing an Effective Product Descriptions

• 1. Know your target market.

• 2. Focus on the Product Benefits.
• 3. Tell the Full Story.
• 4. Use Natural Language and Tone.
• 5. Use Power Words that Sell.
• 6. Make it easy to Scan.
Know your target market

• This is the first step to consider in writing your

descriptions, know your market. From here you
would be able to reach which features that
would be enticing to your potential buyers.
The personality of your buyers plays a huge
role in making this description. Thus, helping
you understand which will be the appropriate
description to be valuable to your buyers.
Focus on the Product Benefits

• Business owners are really excited to share the

features of their products, however, not all are
excited to such. The buyers are determined to
know the benefits that the product offers not the
ordinary or the extravagant features of it. The
buyer focuses on product benefits which talks
about how the products will improve their life
rather than the products features which talks about
technical information of the product only.
Tell the Full Story

• A good product description is a tell all story. The

detail should be fully disclosed, convince the
buyers of its benefits, and make an emotional
impact. Emotions affects the behavior of the
buyers, therefore, product description should be
the best opportunity to get closer with the
buyers. How you will do it? By filling any gaps
between the product and the buyer perception
with the product.
Use Natural Language and Tone

• Make a description as if you’re talking

with your friends. Build a connection
between buyer and your brand by using
description which is natural and
convincing.
Use Power Words that Sell

• There are words or phrases that entice

human emotions to buy a certain product.
Fortunately, Shopee, Lazada, and the likes,
also increases sales. By being wary of
these words, you can easily convince your
buyer to take the spring and make the
purchase.
Make it easy to Scan

• If you’re offering your product in

social platform, make see to it that
your description is scannable. Make
your product descriptions easy to
scan by providing bullets points, a
short sentence, and different fonts.
CREATING A PRODUCT PROTOTYPE

• One of the necessary early step in the inventing

process is the creation of the prototype. It is the
conversion of concepts into a viable product.
Creating a prototype is also considered as fun
and rewarding step to take. This stage brings out
the creativity, resourcefulness, and passion of an
entrepreneur. It is exciting to see the concepts
will turn into something real and tangible
whether is made through hands or machines.
So what exactly a prototype should look
like?

• First, it depends on your idea.

• Second, it depends upon your goal or
budget. If possible it is great to start
with homemade prototype. A
homemade prototype can give you a
good running start.
Other advantages a prototype gives

• It enables you to test and refine the

functionality of your designs.
• It makes it possible to test the performance
of various materials.
• I will help you describe your product more
effectively
 Why Prototype? Reasons why there is a
need

• 1. Display or Show the new product (for show or

for potential investors)
• 2. Test an idea it works.
• 3. Test the design and concepts if passes certain
requirements.
• 4. Use to gauge where improvements are
necessary.
• 5. Acquire customer response.
Prototyping Methods

• Traditional and conventional prototyping methods include

mock-ups (clay, woods, or other) and the infamous bailing
wire and duct tape. Mock-ups is a highly –reliable static
design diagram, should shows information frames and
statically present content and functions. Unlike the
infamous bailing wire and duct tape, a mock-up looks more
like a finished product but it is not interactive and not
clickable. It is rather a graphical illustration. Wireframes
is perfect to be used at the brainstorming and
collaborating or very early design stage.
 When to Prototype

• Depending on a product, a prototype may or may not be

required or maybe only a part of the design of a product need
prototyping. However, this not to conclude that prototyping is
not important. It is to emphasize that prototyping is a taxing task
and at the same time costly, so the need is worth evaluating.
• In many industries the product complexity and need several
iteration of designs required prototyping and testing. Just like in
auto-industry, they use different variations of prototype to test
and evaluate their design and to find areas of further
improvements.
Constructing your Product’s First
Prototype

• 1. Create a Concept Sketch. Ideas in mind should

be written in papers to arrive at a first step in
making your idea into reality. Illustrating your idea
aid you in visualizing the bigger picture of your
detailed prototype.
• 2. At the early stage of conceptualization there are
so many ideas competing with each other. So, the
best way to do it is to put in paper rather to invest
time perfecting a digital drawing.
• 3. Develop a Virtual Prototype. After
putting up your concepts in paper and
selection of suitable sketch prototype, the
help of a standard digital design tools will
transform your 3-D drawing into a
photorealistic prototype. This will help you
see the virtual physical version of how your
design look like.
• 4. Build a Physical Prototype. Once you have
already your virtual prototype, you’re ready to
construct its physical version. If you are skilled to do
it, you can make it yourself. However, if not you can
ask the help of an expert to do it. Basically, the first
prototype is made in a less expensive material then
later on use to correct flaws and improvement. As
you improve your design, you can surely make a
replica of your prototype as it will be offered to your
consumers.
• 5. Locate a Manufacturer. If the feedback of the
consumer is positive and your idea is going to be
profitable you need to search for a company that can
manufacture your product. Locate a company that
can make or produce your product in a cost-efficient
and will not compromise your target revenue. Go to
different suppliers and manufacturers to get an
estimate in order to determine the most cost–efficient
materials and putting your designs into production.
TESTING THE PRODUCT PROTOTYPE

• Prototype testing is the process of testing

your prototype with real users to validate
design decisions before development starts.
The objective is to identify the problems and
areas of improvement early so you can
immediately change or adjust prior to
development and build a product that meet
customer’s need and expectations.
Step-by-Step Procedure in Prototype
Testing

• 1. Know exactly what you’re testing.

• 2. Create the prototype.
• 3. Choose the right audience.
• 4. Choose your usability testing
method.
Step-by-Step Procedure in Prototype
Testing

• 5. Give people a clearer objective.

• 6. Pick the right questions to ask
users.
• 7. Launch your test.
• 8. Share the results.
 Reasons for Prototype Testing

• 1. Testing and evaluation allow the client to view

the prototype and to give her/his feedback.
• 2. A group of people can try out the product and
give their views and opinion regarding the
product. At this stage improvement and
adjustments are carried out.
• 3. Safety issues are being identified.
Reasons for Prototype Testing

• 4. Allowing the product cost to be measure

and concluded.
• 5. Component parts failure are identified at
this point.
• 6. Can be carried out aligned to the similar
design, thus, it leads to product
improvement.
Reasons for Prototype Testing

• 7. Evaluating the manufacture of the product,

allow the designer to plan and decide the most
cost- efficient and cost- effective manufacturing
line.
• 8. Guarantee consumer satisfaction.
• 9. Allow concepts designed to be fully evaluated
Reasons for Prototype Testing

• 10. Testing against the specification of the

products help to ensure a full and relevant
evaluation.
• 11. The testing and evaluation phase allow
fellow specialist and expert to give their
opinions and views
MARKET VALIDATION

• “Market, according to Hubbard (2019), refers to a set

of individual sharing similar needs or characteristics
that a business hopes to serve. These individuals are
the end users most likely to purchase your product. “
• Market validation is the process of presenting a
concept for a product to its target market and learns
from those prospective buyers whether or not the
idea is worth pursuing.
The two most common approaches to
market validation are:

• 1. Interview people in the target

market, such as the buyers.
• 2. Send out surveys to these personas.
How to Validate a Product’s or a
Service’s Marketability
• 1. Ring the cash register.
• 2. Conduct competitive analysis.
• 3. Research the existing demand.
• 4. Start a crowd-funding campaign.
• 5. Meet customers in person.
• 6. Beta Test.
How to Validate a Product’s or a
Service’s Marketability

• 1. Ring the cash register. The first and

arguably best way to validate your product
is to prioritize making a few initial sales.
Nothing is more important than customers
seeing the value in your product and
exchanging money for it.
• 2. Conduct competitive analysis. Market
research is useful all throughout the process of
making products suited in the market. It help you
to ease or lessen the risk and build confidence in
your idea before venturing your time and money.
Competitive analysis will help and support the
translation of your conceptualized idea into reality
gaining confidence that there’s enough demand
of your product in the market.
• 3. Research the existing demand. A third strategy you
can use to validate your product and its market is to
analyse demand and search volume. The easiest starting
place is to go to internet. Using the Google Trends, a free
tool, allows you to see how often people are searching for
the products you are selling. Knowing the frequency of
how often your product being searched it can help you
make more informed decisions. The frequency tells you if
you are dealing with the product that’s on the demand or
trend, or it’s in a stagnant product category. The last thing
you want to do is jump into a declining market.
• 4. Start a crowd-funding campaign. What is
Crowd-funding? Crowd-funding is the use of small
amounts of capital from a large number of
individuals to finance a new business venture. A
crowd-funding campaign is a helpful, proven
option to see if there’s demand for your product.
One of the benefits of a crowd-funding campaign
is that you have a firm timeline and it requires all
of your focus and effort to reach your goal.
• 5. Meet customers in person. Face-to-face
validation is another method to be done to ensure
that your product is viable. Trade fairs is one way
of meeting customers and provide you with a
quicker response and first-hand feedback from
potential customers. You were able to gather
insight, information, seeing their initial reactions to
your product, and lastly you will assess if they are
willing to spend money for your products.
• 6. Beta Test .Other ways to validate your
product include creating a test version of
something and running it past a small group or
audience to get their feedback. A test version of
the product can either be paid, or free, and is a
great way to get testimonials and feedback while
you create. You can also use the feedback from
your first round to improve and build on your
ideas to make them even better!
Importance of Market Validation

• 1. Reduce the risk of launching the wrong idea.

• 2. Idea validation lead to the creation of a valuable
product in the market faster.
• 3. Minimize costs.
• 4. Check that your idea has real demand.
• 5. Prove that you can sell the product.
 Enhancement Activity 1

• Directions: Think of a
product you want to
offer to the market.
Based on the template
below, write a detailed
description of the
product or services.
Use separate sheet of
paper for your answer.