1. Identifying
Value-Creation
Opportunities
Need > Opportunity > Value > Venture

2. Briefing
Believe it or not, one of my past times is
evaluating business opportunities. As a
venture consultant, lecturer and as a
reference to my friends and people in my
network, I listen to about 3 business ideas
every day. Nonetheless, I have to say that
about 95% are not real business
opportunities. Why? The ideas lack a value
creation proposition.

3. Briefing
I developed a personal theory (not peered
reviewed, academically tested or proven) in
which it is stated that all business are
classified in 1 of 4 quadrants. The Real
Value Creation Opportunities Quadrant
establishes that in order for a business idea
to become an opportunity based venture, it
must be classified at the Quadrant IV.

4. Briefing
• Quadrant IV classifies real value creation
business opportunities.
• Business ideas and opportunities
classified in Quadrant IV are create value,
are scalable and present real venture
opportunities

5. Real Value Creation
Opportunites Quadrant
Mission Vision
Impulse /
Vocation
I II
Need /
Value
III IV

6. Explaining the Quadrant
• The Quadrant takes into account 4 characteristics of how
businesses operate or are idealized.
1. Impulse/Vocation: Businesses are started by impulses or
Vocation
1. Impluse: By a personal necessity or passion
2. Vocation: It is their professional stand in society
2. Need or Value: People, do or at least think they have, may
identify entrepreneurial opportunities.
3. Mission: Just with a mission statement in mind or with
none scalable proposition
4. Vision: With a long term vision and plan, probable a
scalable venture.

7. Defining Value Opportunity
• Entrepreneurship: The process by which individuals
recognize an opportunity, gather the necessary
resources and take calculated risks to venture into a
business. (This is my best summary of all the
Entrepreneurship definitions)
• Entrepreneur: A person that perceives an opportunity
and creates an organization to venture. (Bygrave,
Zacharakis 2008)
• Value Creation: The act of increasing the worth of a
need in life, business or services.
• Value Creation is the epicenter to real
entrepreneurial opportunities.

8. Quadrant I
• These Business are created by a
passion, a personal need or both
• “mom & pop” shops / restaurants /
food trucks
• Low start-up capital requirements
• Low scalability
• Should be avoided at an
entrepreneurial level.
Mission Vision
Impulse/
Vocation
I II
Need/
Value
III IV

9. Quadrant II
• The Vocational / Professional Quadrant
• Lawyers, Doctors, Accountants,
Engineers, Architects, Technical
Services, etc…
• Also businesses qualified in Quadrant I
that were established with a scalable
vision.
• Mostly SME’s
• High levels of marketing strategies
needed to differentiate.
Mission Vision
Impulse/
Vocation
I II
Need/
Value
III IV

10. Quadrant III
• False business
– Based on a personal impulse
instead of being validated by a
real value creation opportunity.
• Could evolve into a real opportunity
if validated with potential customers
and proof of scalability
• Most false AHA! moments.
• Should be avoided
• Ex; An app for this, an app for that,
liquor beverages.
Mission Vision
Impulse/
Vocation
I II
Need/
Value
III IV

11. Quadrant IV
• The Value Creation Opportunity
Quadrant
• A real need has been identified and
validated with at least one potential
customer.
• Potential customer has a “pain”, the
entrepreneur has a solution.
• If the “pain” extends to other potential
customers it is probably scalable.
• Birth of a REAL OPPORTUNITY
• Some time value is provided, other is
created.
• Entrepreneurs gather the resources
needed to create value.
Mission Vision
Impulse/
Vocation
I II
Need/
Value
III IV

12. How to identify
real opportunities?
• 3 ways
1. By chance
1. By error
2. Random events or conversations
2. By identification
• Needs created by
• Changes in laws or regulations
• Environmental Changes
• Market Trends
• New technologies
• Most of the time, a keen eye and experience is
needed to be observant

13. How to identify
real opportunities?
3. Consulting within an industry or established individual
entrepreneurs
• Through conversations with entrepreneurs, corporate
executives, industry leaders, policy makers, other organizations
• To do so, networking skills are much needed
• Ask about their market, industry and global trends:
• Who? What? How? Why? Type of questions.
• Process could take time. But should become a personal habit.
• Ask until an AHA! moment is found.
• Validate opportunity
• Real Value
• Scalability

14. How to identify
real opportunities?
5 questioning areas:
1. Customers
1. Buying trends
2. Market size and composition
3. Prices and Margins
2. Competition
1. Market Position
2. Pipeline Technologies
3. Market Disruption
3. Suppliers
1. Logistic sequence
2. Prices
3. Accessibility
4. Technologies
4. Employees
1. How to find them
2. Performance
5. Industry
1. Industry profile
2. Global Trends
3. Regulations

15. Opportunity Analysis
• After a need or “pain” has been identified, apply
a proof of concept methods to validate
• If potential customer is willing to pay for what
has been offered, there is an opportunity.
• If many find it valuable, it means it is scalable
• A scalable value creation proposition is the
key for a real opportunity.

16. Professional development goal
This is how a evaluate all business ideas before making
any judgement over them. Value creation is the epicenter
for all entrepreneurial processes. Technology disruption
works the same way. There is innovation of all types but
only the ones who create value are the ones that thrive in
any market. The ideas that do this and are scalable are the
ones that become successful entrepreneurial ventures.
I intend to apply these principals with Big Data innovations.
That is my professional development goal.