One of the business elements with business potential energy is business ideas. The most difficult task for entrepreneurs is to choose the best business idea from ideas that they generate. But, this is simple problem. You can choose a business idea with the greatest business potential energy within it. Yes, this will be a so simple process if we know what business ideas are with larger business potential energy.
So, how to measure business potential energy stored into business ideas?
First of all, when we want to accomplish measurement is that we must determine metrics for that measurement. The most important metrics for business ideas is:
- Importance of the problems that business idea will solve. Every business idea must solve some problem on the market and because of that if the problem is more important than that business ideas will have greater business potential energy.
- Your entrepreneurial skills to implement that business idea. Without skills, you cannot implement your business idea though that business idea solves an important problem. Why you must start something that you don’t have knowledge about it? If you have skills to implement your business idea then that business idea will have more business potential energy.
- Market Dimension. Another important metric for a business idea is a dimension of the market. If your business idea is designed to solve problems of the market with 100.000 individuals than that business idea will have more business potential energy than a business idea for market of 50.000 individuals.
- Competition. As a 4th metric of business idea is competition. Is there big, medium or low competition on the market? You must answer on this question. If there is lower competition than that business idea will have greater business potential energy then business ideas that is designed for a market with big competition.
Now, when you know the basic metrics you can start with measurement. In the table below is given some example of measuring two different business ideas.
| Business Idea 1 | Business Idea 2 | |
| Importance of the problem | Big | Average |
| Skills | Big | Big |
| Market Dimension | 1.000.000 | 700.000 |
| Competition | Average | Big |
From these two business ideas, you will choose Business Idea 1 because it solves big market problems and have smaller competition from business idea 2.
Because this four metrics has influence on business potential energy of the business ideas you can measure business potential energy when you convert words with numbers. Because business potential energy can be greater or equal form 0 and lower or equal to 1 you must evaluate the metrics with numbers in this span. Here is the metrics:
| Problem Importance | Big | 1 |
| Average | 0,5 | |
| Low | 0 | |
| Skills | Big | 1 |
| Average | 0,5 | |
| Low | 0 | |
| Market Dimension | Big | 1 |
| Average | 0,5 | |
| Low | 0 | |
| Competition | Big | 1 |
| Average | 0,5 | |
| Low | 0 |
Now let’s find business potential energy of the above example with two business ideas:
| Business Idea 1 | Business Idea 2 | |
| Importance of the problem | 1.0 | 0.5 |
| Skills | 1.0 | 1.0 |
| Market Dimension | 1.0 | 0.5 |
| Competition | 0.5 | 0.0 |
| Aggregate | 3.5 | 2.0 |
| Business Potential Energy | 3.5/4 = 0.875 | 2/4 = 0.5 |
As you can see I divide the aggregate of the metrics with 4. This number present number of metrics that we used to calculate business potential energy of the business ideas. If you have 10 business ideas make the calculations for all 10 business ideas and choose one with the greater business potential energy. This will be a very good starting point for your new business.
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