Here's how you can evaluate the feasibility of new product or service ideas using logical reasoning.

As an entrepreneur and educator, before I release a new course, I first build a waitlist for those interested in the topic I plan to build. Identifying the market need will save you a lot of money and time. I don't have time for ideas that don't solve real problems. That's why market validation is key for me. Talking directly to potential customers lets you understand their pain points and ensure a solution that truly resonates with their needs.

I think too often we overthink and analyze new product/service offerings to the extend they never happen. Our struggle with failure can consume us. You have a lot of feedback noted here on specific approaches. Once you have dotted all the i's and crossed the t's and you are 80% of the way there - ACT! It will never be a perfect rollout and what holds most of us back is ourselves! 1.5 times out of 10 new ideas succeed in a big way - make your bet and work at it - hard! If you want all the stuff about audience and need and ROI and spend and competition - keep reading and you will find it.

When evaluating the feasibility of a new product or service using logical reasoning, various factors must be taken into account that may affect the success or failure of the venture. This usually involves considering its unique value proposition compared to other similar products or services. I would ask myself: What problem does it solve for customers? How is it different or better than existing solutions on the market? Assess whether there is a clear need for the offer. It would also be important to understand the demographic it wants to serve, their preferences, behaviours and purchasing power.

Understanding market needs is crucial for small businesses. By knowing what their target audience wants and addressing their pain points, businesses can create tailored products or services that stand out. This insight also allows businesses to adapt to market trends, innovate, and maintain relevance, driving long-term growth and customer loyalty.

I think that the most important thing in this question is the ability to step into the customer's shoes. If You have an idea, and You can imagine Yourself as a Customer, and it still seems like a good idea, then it is the right time to ask some... :) If You have good relationship to Your customers, maybe some of them are something like friends, then You can tell them the idea, and get frank answer. If the result is still positive, then You don't have any excuse not to issue.

It is often easy to be trapped IN your business, putting out fires, concentrating on growth internally, that you lose sight of what the industry competition is doing around you-with fresh ideas, new perspectives. I find those who do study their competitors, and get to recognize the value they provide their customers, have a better chance to adapt, adopt, and grow into bigger opportunities…

This is from my family business experience. When we are in our start up phase, we paid attention to competitors and more importantly really listen to what our clients wanted, but as the time went by we become more complacent. Our business matured and our clients also matured. We stop paying attention to start up businesses coming into the market. These starts ups were targeting younger generation and listen to what they wanted. As generation shifted, we start to lose our market share. People we catered was no longer making a decision, and newer generation was. Always pay attention to innovative products or services, who is coming to the market. Research new ideas. Test the market. Watch & Listen. Be curious and Get out of your comfort zone.

Analyzing competitors is vital, but don't just look for gaps. Ask yourself why those gaps exist. Sometimes, there's a reason others haven't filled them. When I started out, I found opportunities that seemed promising but overlooked the barriers others saw. Learning from competitors isn't just about finding what they're not doing; it's about understanding why. Also, consider if you can do something better or different enough to stand out. Instead of just avoiding crowded markets, think about how you can redefine them. It's not just about finding space; it's about making your own.

Competitor analysis is vital in evaluating a new product or service as it identifies existing market players and their strengths and weaknesses. It helps in uncovering market gaps and opportunities for differentiation. By understanding competitors' pricing, features, and customer feedback, a new product can be positioned more effectively. Competitor analysis also informs risk assessment and strategic planning by highlighting potential barriers to entry or areas of competitive advantage. Ultimately, it ensures that the new product or service can offer unique value, stand out in the market, and meet consumer needs better than existing options.

Maybe, but moderation is key here. In my experience I found that the more I watched my competitors, the more miserable I got. I became so obsessed with what they were doing, that it took all the focus off what I was doing. The minute I stopped that I started to thrive. I think this has to do with your base belief system. Do you believe there is enough in the world? Or not? If you have a fundamental scarcity mindset, you will always be worried what others are doing. But if you have an abundance / prosperity mindset, you know you can start any business and thrive.

Sempre importante considerar a carga tributária nos seus pre?os pois ela é elemento chave para otimizar o processo. E também o local de implanta??o pode trazer algum benefício adicional.

As the owner of Teofilo Coffee Company, cost estimation means taking a thorough look at all necessary expenses to bring our product to market. This includes production costs, marketing, staff salaries, and overheads. Adjusting to the post-COVID environment, however, has been challenging due to the increased prices of supplies and operations. We remain realistic in our estimates and include a buffer for unexpected expenses. Our priority is to ensure that despite these challenges, the revenue potential still outweighs costs, making our business venture feasible.

This item is the hardest for entrepreneurs who are passionate about their businesses and product/service idea-here is where we’ve already identified the need, studied the competition, and are SURE we’re on to something BIG! And there it is, ready to sabotage our brilliant, well meaning plans-confirmation bias. THIS is the step that requires an examination from the person on your team that is the “levelest-headed” -NOT usually the idealist who came up with the bright idea. This person should be the sounding board-speaking of “board”, it could be more than one person. If the pitch and details of the plan, and its cost, make the grade-you move forward, if not, try a different approach, or pass! You’ll save money, time, and heartache!

Before diving into full-scale production, I strongly encourage trying a small-scale test. When I started, I learned that a test run can reveal hidden costs and challenges you might not anticipate. It’s an effective way to refine your cost estimates and adjust your approach before committing significant resources. This step helps you avoid costly mistakes and fine-tune your strategy based on real feedback. Testing on a smaller scale ensures you can bring your product or service to market efficiently and profitably, turning potential pitfalls into stepping stones for success.

Cost estimation is crucial in evaluating a new product or service as it directly impacts profitability and pricing strategies. Accurate cost estimation helps in determining the break-even point and potential return on investment. It informs budgeting and financial planning, ensuring resources are allocated efficiently. Understanding costs, including production, marketing, and distribution, allows for competitive pricing while maintaining margins. It also identifies areas for cost optimization and risk management. Ultimately, cost estimation ensures the financial viability of the product or service, aligning with market expectations and business goals for sustainable success.

Esse passo de estimativa das entradas é primordial para qualquer negócio. E sempre é importante contar com problemas que surgir?o e n?o s?o de seu controle. Margens de seguran?a s?o mandatórias.

28 years in the restaurant industry, learning from my father, One way I start to price point a new dish: The first thing you do before anything is know the cost. Whein out every ounce Then you simply add the overhead, ( labor + kitchen use ) Now, if it takes a cook 20 minutes to prepare that dish and you pay him hourly, break that down and add that to your price point. 20 min 8 oz chk ( 2.11/lb ) = $1.05 4 oz hummus = $.60 1 cup of rice = $.80 Side of Taziki sauce = $.30 Employee time = 20 min dish ( $7 for a cook to create it ) Kitchen use = $1.50 Pita bread = $.40 X 30% profit Total cost = 14.50 Every single thing is accounting for when creating a new item.

Again, this is the item that should never be audited in isolation. There MUST be trackable, measurable METRICS, and a predetermined amount of time in which to measure the results of the endeavor, based on past experience or industry standards, etc. here is where the numbers oriented, objective advisors come in to audit the results, offer tweaks and suggestions on when to pivot, double down, or demand more accountability to the results. This is sometimes hard to do, as decision makers don’t always take this sort of criticism/feedback well, so it is crucial to build and encourage a safe working environment where care and candor work together in the best interests of the company.

And manage your cash flow by asking for a 50% deposit. Your deposit should cover all the costs to deliver your product / service. That way if they don't pay the balance, you're at least not out of pocket.

As the owner of Teofilo Coffee Company, projecting revenue involves setting a premium price of $25 per bag, reflecting our product's unique class and heritage.To break even, we estimate our costs and determine the number of bags needed to sell. For instance, if our monthly costs are $25,000, we need to sell 1,000 bags each month to break even.We then explore different scenarios to ensure our sales targets are realistic. This approach underscores our resilience and commitment to providing high-quality, sustainably sourced coffee.

Preparing for the worst while praying for the best is one of the most difficult balances to strike. How do you protect your people, your organization from all possible pitfalls and declines without sounding like an alarmist, or doubting Thomas? Here, communication is key in the way the potential problems are presented to your team. Start by sharing you expect and will do everything possible for the endeavor to succeed. Then ask, from their perspective roles, what/how they see it could fail, with the intention of mitigating that failure before it even occurs, until you are all satisfied you’ve covered foreseeable bases. You will NEVER be able to predict all outcomes-think “Murphy’s Law”, but here, preparation, not prayer, is KEY.

As the owner of Teofilo Coffee Company, risk assessment involves identifying potential challenges and developing mitigation strategies. Internal Risks: Production Delays:Mitigation: Maintain buffer stock, diversify supplier base. Quality Control Issues: Mitigation: Implement stringent quality checks, invest in staff training. External Risks: Changes in Consumer Behavior: Mitigation: Continuously engage with customers, adapt marketing strategies. Economic Downturns:Mitigation: Diversify revenue streams, maintain financial reserves. Developing contingency plans for these risks ensures we can handle challenges effectively, increasing our chances of success in the unpredictable business landscape.

Yeah this is not something new small businesses care about or pay attention to. It's more the domain of medium to large businesses. You only start to look at things like this after 5 to 10 years in a tiny business.

Start by recognizing that outstanding exponential results RARELY come from "logical" reasoning. It is in some ways oxymoronic to believe they do. If logic could produce consistently accurate data about new products and services there would rarely be a product that failed, and yet most do. Add to that the fact that tons of name brand, global products and services were created by accident when developers were looking to research one question or hypothesis, and ended up discovering a product or service that was completely unexpected. Logic provides a framework, but it is often the "cracked pot" or unconventional approach that produces out of the park RESULTS.