So you've got the brilliant idea that will shape the next generation?
In our previous publication, you must have gone through a soul-searching process to find out if you are a true entrepreneur.
If not, do not despair. These articles will continue to outline the entrepreneurial process for you to truly find out if this is for you.
One of the processes one has to go through once the killer idea is realised is to evaluate its feasibility.
You have to test the idea for success and acceptability in the market. Research has proved that entrepreneurs can derive business ideas from anywhere.
Some sources of new business ideas are:
l Socioeconomic changes - when poverty levels drop, increase or stabilise, and economic conditions change, there are new market demands by those entering the mainstream economy.
l New segments in the market - different segments in the market create different needs to be filled.
For example, since 1994 in South Africa there is a new segment of the market known as the "black middle class" or "new elite blacks" created by those who were previously left outside economic activities.
This factor, plus more people trying to open their own businesses, has created more market needs for service delivery.
l Changes in technologies lead to new production and new manufacturing processes that require extra machinery and equipment, and better ways of delivering services or resources that create new firms.
Since the 1990s dotcom bubble, or the entrance of the Internet, new firms have been created that are now online or Internet- based market leaders providing jobs to millions and making millions of rands.
l Requirements for new products for better lifestyles. Cellphones did not exist in the early days but are now an everyday commodity.
l Frustrations with the way things are done presently could bring about the need for a change that might be a new business idea.
Why entrepreneurship became so important in South Africa and the world as a whole
If one takes the time to scan the environment today, some things make it obvious that changes in business are needed.
There is a need for new ideas, new companies and new ways for Africa to reach its goals of halving poverty by 2014.
For instance, Statistics South Africa has revealed that since 1994 South Africa has been faced with the challenges of re-integration into world markets as a global economy, while atthe same time positioning itself to realise the high expectations of its populace.
To achieve the objectives of economic growth through competitiveness, on the one hand, and employment generation and income redistribution as a result of this growth on the other, various strategies have been implemented to stimulate and support micro, small and large businesses in South Africa.
The growth and development of the micro-enterprise and small business sector is acknowledged by most interest groups and policy makers as being of critical importance to South Africa's ability to address the serious problems of unemployment.
You might wonder why our country and the continent suddenly woke up to the reality that small to medium enterprises are needed.
l Entrepreneurs account for 40percent to 60percent of the South African gross domestic product.
l Small businesses are the fastest-growing economic sector in South Africa and the largest job providers worldwide.
These facts suggest that, if your idea is feasible, you have a better chance of receiving support, mentorship and what you need for success.
This also proves that it is important for entrepreneurs to scan the environment in which they plan to launch their idea so that they can identify sectors, changes in the economic environment and other factors that enable success.
When you crack the big idea, you'll feel it in your soul. The trick is to focus and not delay.