In consideration of business models, evaluation of new markets, new products or issues with current businesses all require at some point an evaluation of the market potential or in other words, “How attractive is the market”?
How this is done will vary from person to person and often is not done adequately enough as the business owner or mangers mind is already made up. They just proceed without the research and find the problems and issues down the track, which could have been avoided had they done a reasonable market potential evaluation.
The attached form can be used to undertake this evaluation. This is a simple method and will only give you an indication of its attractiveness; more work will be required as necessary.
Each of the questions/ factors is to be rated out of 10 where 0 is extremely unattractive and 10 for extremely attractive. Please be conservative.
When complete add up the score and as a guide
- Less than 50 – forget it don’t waste your time
- 50-75 has some potential but results will be limited without significant input in time and money.
- 75+ is a very promising idea worth pursuing further.
We acknowledge the material from the Personal MBA by Josh Kaufman and we highly recommend purchase of his book.
We hope you find this valuable however should you require further information please contact, Philip Coombs on 0419 834 678
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