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Analysis of business idea prospects
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  • When we are right we often doubt, but we make mistakes when we are very sure Benjamin Disraeli

Analysis of business idea prospects

A businessmen has an acquisitive mind, he is always searching for a new projects that are the sources of new profit.

The process of idea creation most of the time is spontaneous. Some of the businessmen can de very productive in terms of development of the ideas but only less than ten percent of new-created ideas come to a development stage. And only less than one percent of them is successful.

And the problem is not that the ideas are not brilliant it is just like in the famous saying of Great Britain prime-minster Benjamin Disraeli “When we are right we often doubt, but we make mistakes when we are very sure” and statistics proves it.

It happens very often when very promising business ideas are buried in oblivion due to the personal doubts and lack of the opportunity (techniques and professional resources) of objective evaluation of their potential. The word “objective” is a key word here, as the lack of this objective evaluation under the conditions of “personal” assurance is the business idea potential leads to a fiasco and respectively to a losses sometimes to a very substantial losses.

The main reasons for fiasco are the following:

  • not evaluated demand (meaning objectively evaluated);
  • not developed instruments for the demand growth;
  • nonobjective evaluation of the economic parameters of the project;
  • etc.

That means that after the creation of business idea it’s vitality were not evaluated. Thought the costs to check the commercial potential of the business idea are not very high and of course you can not compare them with the losses in case of failure.   

Each stage of the project life cycle (from the creation of idea till its implementation) are very important, but the most important is the pre-project elaboration and of course the checking of the project’ commercial potential. Exactly on this stage it is done:

  • definition of goal;
  • carefully gathering and checking of the initial data;
  • the analysis of the market and external environment of the project;
  • simulation and evaluation of the costs;
  • development of the instruments to form or to increase the demand;
  • evaluation of the prospects and project revenues, development of the multi-scenario strategy of its extension;
  • and many other things.

The mistakes that can occur on this stage are the most critical, as most of them are strategic mistakes.

But the knowledge, experience and proved techniques of YUYDI experts that are aimed at the checking of the project potential minimize the risks of project implementation. 

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