National Institute of Fashion Technology Master of Fashion Management (2012-2014) Assignment of Entrepreneurship Oionn Business Idea

Table Content

Introduction..............................................................................3 Business Idea 1..........................................................................4 Business Idea 2.........................................................................11 Business Idea 3..........................................................................14 Best Idea....................................................................................18 Bibliography...............................................................................19

INTRODUCTION
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In this assignment we need to give 4 business idea that are fashion related. Then all the four business ideas had to be evaluated and analysed on the basis of Mullins 7 Domain Framework. Once all the four business ideas has been evaluated, out of them we need to select the best and benefiacial idea.

Mullins 7 Domain Framework

Business Idea: 1

Customized Shoes for women through E-Commerce

Business Model Now a days women are so fashion conscious, all they want is best. Their is no compromise in their look, they want a perfect dress to go out whether its a party or for o ffice and the most important are the shoes. Women invest not only money but also lot of time while selecting perfect shoes. But due to their hectic lifestyle its really impossible for them to have a look on current trends. Thus this idea of customizing shoes through e-commerce of saves allot of time and energy and gives an opportunity to a woman to customize her shoe according to her preference.

Market Domain

1) Macro Level Market Attractiveness Providing a portal to the customer from where they can customize their own shows is an great business idea. As it will take less time to deliver and cover almost majority of the people in a easy
way. Because most of the people are hardly aware about current trends in the market, the fashion, new designs and they hardly have time to shop for themselves in their hectic lifestyle. And there is lot of scope in the market about this idea as the idea has allot of attraction to it and it will be done through e-commerce. It not only covers a majority of the customers but also has an ability to make the customers attract. 2) Micro Level Target Segment Attractiveness The customers are only women, who have busy lifestyle i.e. dont have time to shopping, who follow fashion trends fashion trends, and the people who live their life by adopting new things earlier. The idea of customizing shoes will not attract the new generation but also our working group. It basically covers every sector of women.

Industry Domain

3) Macro Level - Industry Attractiveness Industry attractiveness is analysed by porters 5 forces Threat of New Entrants - The threat of new entrants is not much as the business idea is new but because of the fact that its an easy and comfort way to reach the customers & no barriers from the governments. In addition to this it will consume less capital and less time in comparison to other mediums. All the above conditions show that the threat of new entrants is high.

Bargaining power of Suppliers The bargaining power of the supplier is high as the whole idea is formulated through ecommerce but once the customization is done. It is then manufactured for which the various raw materials are to be sourced. The sourcing of the material like leather and other shoe accessory are sourced from the suppliers. Thus the bargaining power of the supplier is high.
Bargaining Power of Buyers Buyers are most important part of the business and in this case as it can be seen that there is a huge scope regarding this business. Though the business idea has to be done through e- commerce so there is less hope for bargaining but the other competitors can use this idea and can offer the service of providing their offers and current fashion trends about the market on fewer charges and with other attractive facilities thus the bargaining power of buyers is strong.

Rivalry in the Industry

The concept of customising shoes online by the customer itself is very new ida. The business idea attracts and targets allot of target customer. Thus rivalry in the industry is
ascertained by the presence of number of firms in the industry or in the market so in this case there can be large number of firms in this business and even the existing firm with the related or similar business can take the advantage of it, thus the rivalry among the industry is high. Threat of Substitutes The substitute in this case is very less as there are very few brands that provide the facility of customising shoes and that too for women, you hardly find one . Thus the threat of substitute is very low. 4) Micro Level Sustainable Advantage The micro level analysis of industry domain sees whether business has any sustainable advantage like patents, trademarks etc. All such intangible assets provide a competitive edge to the business. This business idea is unique as women would be able to customize their shoes/ stilettos. The business idea has been used by the brands like Nike but this idea is very different from others and has hardly any substitute of it. 5) Critical Success Factors The background and experience of the entrepreneur helps him identify a set of factors which provide a business an edge and advantage over others, these are called critical success factors. In the business of customising shoes has following critical success factors: Wide area of customer coverage Very unique idea Attracts Customer and provides great satisfaction

6) Mission, Aspiration and Propensity of Risk Mission with this business idea is to constantly improve the facilities as well as the connectivity and the right communication which will ultimately reach to the final customer.

Mission of the company

Our mission is to provide new and current trends in the fashion market and upcoming trends with latest designs to the customers and to provide maximum satisfaction by providing an option for them of what they want by sitting in their place. Aspiration
In order to achieve something aspirations must be high. So in this regard the aspirations towards the start-up are very positive. In my belief it will definitely make a difference in the coming future with a huge and dynamic fashion market.

Propensity of Risk:

As we all are entrepreneurs, and we are new in this market especially in fashion market which is very dynamic in nature so for us propensity of risk is very high. But In this case risk can be taken as the risk in this start-up and worth taking as there is very less competition.

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Connectedness up, down & across the Value Chain

In this regard the business will be connected up in the value chain by knowing the customers to whom they will be going to serve. The type of information required by the customer, which will help the business to compete in the market with respect to other competitors. Knowledge regarding across the value chain will be gathered by observing what are the current and latest buzz in the market, what is going currently in the fashion world. And most important the information of their customers. All such information will help the business to sustain and change itself according to the change in business environment. This business idea is unique as this type of concept was only in news papers, magazines & fashion books. And it will focus the fashion conscious people who are really eager to know about the current.

Business Idea: 2
A departmental store for new fashion designers collection
Business Model As we know the today lot of fashion designers are competing each other with according the changing preferences of the customers. So it is very difficult for new designers to compete in the market with already existing collections of famous designers. So the idea behind the opening up a departmental store for upcoming and new fashion designer will definitely work in this present context of the market. And in addition to this it will provide a huge platform for the upcoming and new fashion designers to showcase and present as well as sell their collections to the customers. And this departmental store will focus only the collections of new and upcoming fashion designers. And the collection will make available to the customers at fewer prices in the starting period of the business. And the most important thing it will charge space on hire from the designers.

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rket Domain
1) Macro Level Market Attractiveness
I think it will be a great idea to give a roof to all new and upcoming designers to sell their new collection. And providing this facility under one roof is very interesting and money making idea for the business as well as the designers. As it will provide the new things and creative things at fewer rates under one roof definitely it will attract the huge market and huge number of customers. Because most of the people are today fashion conscious and they like to explore new things on cheaper rate and especially the youths who always experiment the new things. So it will give them ease to select their desirable outfit under one roof. And there is lot of scope in the market about this idea as the fashion market is dynamic and it changes rapidly time to time. So this idea will definitely save the time as well money of the customers. 2) Micro Level Target Segment Attractiveness This business idea is not unique as this type of similar concepts are already in the market but not like that which is somehow different from those in the existing market. The idea will definitely benefit the fashion seekers people and the specially the people who love to explore and experiment with the new designs and new collections. The youth male and female will definitely get benefit with this idea.

Industry Domain
3) Macro Level - Industry Attractiveness Industry attractiveness is analysed by porters 5 forces Threat of New Entrants - The threat of new entrants is low in this business because of the fact that it is not easy for the other entrants to set up a huge departmental store by investing a huge amount. And the government rules and regulation is also exists in this area. In addition to this it is not easy to select right and sufficient place for the store. And huge capital is also required. All the above conditions show that the threat of new entrants is low. Bargaining Power of Supplier
Definitely there will be less bargaining power of the supplier because of the fact that: There will lots of new suppliers with new designers collection in the market. So it will easy for the company to choose any supplier according to the need of the current market. So hardly supplier will dominate in this case. Bargaining Power of Buyers Buyers are most important part of the business and in this case as it can be seen that there is a huge scope regarding this business. The other existing competitors can use this idea and can offer the service of providing the similar offer to the customer with competitive price rate. So there will be lots of other opportunity for buyers to bargain for better price thus the bargaining power of buyers is strong in this case.

Rivalry in the Industry

Rivalry in the industry is ascertained by the presence of number of firms in the industry or in the market so in this case there can be few numbers of existing firms who can give somehow competition to the business. So in this the rivalry among the industry is medium. Threat of Substitutes Substitute in this case is definitely exists as people can go for other sources like other new and existing fashion designers collections and other retail stores. Thus the threat of substitute is high as most of the people still using famous designers collection provided by the other retail stores. 4) Micro Level Sustainable Advantage The micro level analysis of industry domain sees whether business has any sustainable advantage like patents, trademarks etc. All such intangible assets provide a competitive edge to the business. This business being on large scale will provide the business a sustainable advantage. The business ideas you can say unique but lots of similar things are already there in the market. 5) Critical Success Factors The background and experience of the entrepreneur helps him identify a set of factors which provide a business an edge and advantage over others, these are called critical success factors. The following are the critical success factors of setting up a departmental store for new fashion designers collection; Provide with customers new and innovative collection of designers. Keep a record of customers their changing consuming pattern and the knowledge of the competitors as well.

6) Mission, Aspiration and Propensity of Risk Mission with this business idea is to constantly improve the facilities as well as to introduce new design collection in order to attract the new customers. Mission of the company

Our mission is to provide new and current collections of the fashion designers in order to capture the fashion market and the fashion conscious youths. Aspiration
In order to achieve something aspirations must be high. So in this regard the aspirations towards the start-up are very positive. Yes definitely this is a huge and big idea to set up a departmental store , my belief is it will definitely grow in the coming days by understanding more the customers.

Propensity of Risk:

As we all are entrepreneurs, and we are new in this market especially in fashion market which is very dynamic in nature so for us propensity of risk is very high especially regarding setting up a big departmental store for new fashion designers collections. But In this case risk can be taken as the opportunity is very high in this segment as retail sector is booming currently in the market. 7)

Connectedness up, down & across the Value Chain

In this regard the business will be connected up in the value chain by knowing the customers to whom they will be going to serve. We can create a network with new customers and make them potential by providing more facilities like quality and many other facilities. We will contact more through different upcoming designers in order to take better advantage in the future to provide the customers with lots of benefits. Knowledge regarding across the value chain will be gathered by observing the current market scenario, what are the current and latest buzz in the market, what is going currently in the market, what customers are actually demanding more. All such information will help the business to sustain and change itself according to the change in business environment.

Business Idea: 3
Speciality retail store for sun glasses (Male & Female)
Business Model The idea of opening up a speciality retail store for sunglasses for both male and female is I think a good idea to cater a specific target segments of youths who are very fashion conscious. the idea came from the fact that today changing lifestyle of youths leads the need of the fashion accessories like sunglasses, watches, bands and many more things. So sunglasses are the most fashionable and attractive accessory used by the common youths and females to protect them from sunlight. So i think it will attract the youths to explore their new lifestyles.

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Market Domain
1) Macro Level Market Attractiveness
The sunglass market is definitely doing well in the market but it is found generally in particular brand and in departmental stores like shopper stop, lifestyle etc. So if we provide the customers with a speciality store with all brands under one roof, definitely it will work and will capture the huge market. Specially the sunglass market by providing new designs, new shades and in new colours. And it will provide the customer a ease to buying the sunglasses by saving time to reduce the risk of moving many places for searching for a desirable sunglass. And there is lot of scope in the market about this idea with respect to seeing the changing lifestyle and consuming pattern of the customers.

2) Micro Level Target Segment Attractiveness This business idea is unique as this type of concept was only restricted to some merchandise category and some other special category of merchandise. And it will focus the fashion conscious people specially the youths who experiment them with new and current things. So this idea can score well in this segment specially youths. .

Industry Domain

3) Macro Level - Industry Attractiveness Industry attractiveness is analysed by porters 5 forces Threat of New Entrants - The threat of new entrants is high in this business because of the fact that the easy and comfort way to reach the customers & no barriers from the governments. New entrants can easily provide this type of similar facility to the customers and can attract them. Al l the above conditions show that the threat of new entrants is high.

Bargaining Power of Supplier

Bargaining power of the supplier is much higher because of the fact that: There are few good sunglass brands in the market who offers quality sunglass product in the market so they can manipulate the price and other criteria of the product with the company. So company has to critically examine which one will be better serve the customer with optimum price and othe quality aspects.

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Bargaining Power of Buyers Buyers are most important part of the business and in this case as it can be seen that there is a huge scope regarding this business. In this regard buyers has less bargaining power with comparison to others because the company will provide quality products with optimum price range and the concept will new to the market, thats why customer can hardly use their bargaining power in order to manipulate the price. So in this case bargaining power of customers is less.

Rivalry in the Industry

Rivalry in the industry is ascertained by the presence of number of firms in the industry or in the market so in this case there can be less number of firms in this business as the concept is new in the market so company can take advantage of its rival industry. Thus the rivalry among the industry is high.

Threat of Substitutes Substitute in this case is definitely exists as people can go for other sources like standalone branded store, to save money they can go for street shopping and they can also move to departmental store for their need and want. Thus the threat of substitute is high as most of the people are still price sensitive. 4) Micro Level Sustainable Advantage The micro level analysis of industry domain sees whether business has any sustainable advantage like patents, trademarks etc. All such intangible assets provide a competitive edge to the business. This business being on medium scale may have some trademarks that will provide it the security or sustainability. The business idea is new in the market, but lots of similar things are already there in the market. 5) Critical Success Factors The background and experience of the entrepreneur helps him identify a set of factors which provide a business an edge and advantage over others, these are called critical success factors. In the business of speciality retail store of sunglasses there are following critical success factors: We have to create a good brand image among customers regarding assortment of the products, product quality any other parameters. By understanding more the consuming pattern of customers, especially youths, their buying behaviour and their current lifestyle, their attitude towards using sunglasses.

6) Mission, Aspiration and Propensity of Risk Mission with this business idea is to create a good brand image among customer by providing speciality products with good product quality with competitive price.

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Mission of the company

Our mission is to provide new and current designs with huge rage of assortments with latest collection in addition to competitive price. And provide the customer a unforgettable experience of buying. Aspiration
In order to achieve something, aspirations must be high. So in this regard the aspirations towards the opening up a new speciality retail store for sunglasses is vey new and a positive move. And in my belief it will definitely do well in the market by understanding its target customers well. Propensity of Risk: As we all are entrepreneurs, and we are new in this market especially in fashion market which is very dynamic in nature so for us propensity of risk is very high. But In this case risk can be taken as the risk in this opening up a speciality store for sunglasses is not that high as it seems. But i am confident enough to take this risk by seeing all the conditions of this business idea. 7)

Connectedness up, down & across the Value Chain

In this regard the business will be connected up in the value chain by knowing the customers to whom they will be going to serve. As this idea specially focus on youths thats why we can take information about them. We can involve them in many activities and many fashion related programs. Knowledge regarding across the value chain will be gathered by observing what are the current and latest trends in the sunglass market. And most important the information of the speciality branded stores and the departmental stores deals in sunglasses as well. All such information will help the business to sustain and change itself according to the change in business environment.

Business Idea:4

Exchange of old accessories with new one

Business Model The exchange of old accessories with new one is definitely excellent idea for the fashion perspective. The idea of exchanging the accessories is very unique and original one. The idea generally comes from by observing the todays changing behaviour and changing lifestyle of customers. If we provide them such type of facility definitely customer will take advantage of this. As this idea will take very few capital to invest and earn better through a small shop in any street where the crowd is very high. So definitely it will work in that point.

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Market Domain
1) Macro Level Market Attractiveness
Providing the facility of exchanging old accessories with new one will definitely a good idea. Because if we talk about the current trends among customers they use some specific fashion for some specific period of time. and the fashion things are changing rapidly so it will easy for the customers to enjoy the new things without wasting large amount of money. And the similar idea is only limited to online users but this idea is for all customers who want to save their money with desirable accessory. So it can attract the huge market by providing unique facility to the customers. And grab the huge amount of customers segment.

2) Micro Level Target Segment Attractiveness This business idea is very unique as this type of concept is only limited to online facility. And it will focus especially the mid income group segment who are very energetic and fashion conscious and use fashion accessories according to the changing fashion in the fashion world. So this idea will definitely attract the mid segment of youth customers by providing price saving benefits.

Industry Domain
3) Macro Level - Industry Attractiveness Industry attractiveness is analysed by porters 5 forces Threat of New Entrants - The threat of new entrants is very high in this business because of the fact that the easy and comfort way to reach the customers & no barriers from the governments.

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In addition to this it will consume less capital and less time consuming in comparison to other mediums. All the above conditions show that the threat of new entrants is very high. But there is lot of scopes in this business idea.

Bargaining Power of Supplier

Bargaining power of the supplier will be very less in this business because of the fact that: There is less need of supplier at all to do such type of business as the customers will already exchange their product by giving their own product. So the firm can make its best use of them by renewing it by adding more new features. And sometimes they can take the advantage of their supplier at the time of high demand and high exchanging ratio. Bargaining Power of Buyers Buyers are most important part of the business and in this case as it can be seen that there is a huge scope regarding this business. The other competitors can use this idea and can offer the service of providing the more beneficial offers to the customers. So customers can bargain more. Thus the bargaining power of buyers is strong.

Rivalry in the Industry

Rivalry in the industry is ascertained by the presence of number of firms in the industry or in the market so in this case there can be large number of small competitors in this business who can take the advantage of it, thus the rivalry among the industry is high.

Threat of Substitutes Substitute in this case is definitely exists as people can go for other competitors for the exchange. But it depends that how will you provide the extra facility to the customers. Thus the threat of substitute is high as most of the people can easily go for other sources. 4) Micro Level Sustainable Advantage The micro level analysis of industry domain sees whether business has any sustainable advantage like patents, trademarks etc. All such intangible assets provide a competitive edge to the business. This business being on small scale does not have any factor that provides this business any sustainable advantage. The business idea is unique but lots of similar things are already there in the market.

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5) Critical Success Factors The background and experience of the entrepreneur helps him identify a set of factors which provide a business an edge and advantage over others, these are called critical success factors. In the business of fashion alert through SMS there are following critical success factors: Provide extra service to the customers in order to attract the customers those from competitors. Keep huge number of assortments to and new designs of accessories wit up to date fashion in the shop

6) Mission, Aspiration and Propensity of Risk Mission with this business idea is to do maximum sales and take maximum advantage out of it by providing the fashion conscious customers. Mission of the company

Our mission is to provide new and current fashion accessories with exchange to old one that means use of old resource to generate and best use of it and provide the customers with best deal. Aspiration
In order to achieve something aspirations must be high. So in this regard the aspirations towards the start-up are very positive. As this idea is related the business which takes very less capital and ver few chance of failure. Propensity of Risk: As we all are entrepreneurs, and we are new in this market especially in fashion market which is very dynamic in nature so for us propensity of risk is very low.

7)

Connectedness up, down & across the Value Chain

In this regard the business will be connected up in the value chain by knowing the customers to whom they will be going to serve. Thats why by advertising locally we can connect the people through the customers. By understanding their use and current market fashion and the most up-to date fashion it can create a value chain.

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Best idea among four business idea

Among the four ideas described here the best one is the first one that is the idea of customization of shoes for women, this is because the customer coverage area is wide .The risk is very less in this business and in addition to this it can earn better profit by attracting more all the segments of fashion consumers by providing it affordable rates.

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BIBLIOGRAPHY
http://www.google.co.in/search?q=google&rls=com.microsoft:e n-us:IESearchBox&rlz=1I7MERD_enIN498&source=lnms&tbm=isch &sa=X&ei=558pUp69HYnqiAeD54HwCQ&ved=0CAkQ_AU oAQ&biw=1366&bih=538#q=eco+friendly+accessories+jewelr y&rls=com.microsoft:en-us%3AIE-SearchBox&tbm=isch http://www.it.iitb.ac.in/~palwencha/647/L7.pdf http://www.google.co.in/#q=custom+shoes+milk+and+honey https://www.milkandhoneyshoes.com/

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