Many people don’t start a business because they don’t know how to start or are even confused about finding a business idea. They would rather get a job in an established company than find a business opportunity and get started, full of uncertainty.
Others may have ideas, but it’s too late to put them into action. Others then move one step further and make it happen.
Or, they have several ideas but don’t know which ones are worth pursuing. They have not been able to identify the right market opportunities, which promise sufficient demand to generate profits.
Where do business ideas come from? It can be sourced from:
- Own skills or hobbies
- Personal and other people’s experiences or problems
- Previous work experience
- Conferences and exhibitions
- Market research
Own skills or hobbies
A skill or hobby is a source for making money. You can monetize it in several ways. For example, you have a certification or a finance expert. You can use the website to offer various solutions for others, such as consulting services, guides for creating financial models, or financial courses.
But, you also must be careful because often, your experience is biased. For example, your business idea may look promising because you find you see many people having the same hobbies or skills as you. However, it may not be commercially viable because, for example, a more established business has already worked on your business idea. So you have to filter it, whether it’s worth it or not.
Personal and other people’s experiences or problems
Past problems or experiences are not only lessons but may also open up opportunities for new business ideas. Entrepreneurs are often one step ahead because they monetize solutions to many people’s problems. In other words, they perceive other people’s problems as business opportunities. There, they can offer solutions and set up new businesses.
Entrepreneurs identify problems around them. For example, they see that many people spend time and money visiting stores just to select products and compare prices. Then, they came and launched a product comparison website or e-commerce site, where consumers can easily compare various products, both in terms of quality, price, and specifications.
Previous work experience
When you work, you can find various business opportunities. For example, it could be by monetizing the skills you gain during your work. Or, you can observe the various problems your former company is facing and find solutions. For example, say your company is having problems recruiting new talent. You may have an idea to create an application or website to connect job applicants and employers.
Furthermore, work experience is a good resource for starting a business. You have a better insight into consumer needs and wants. You also know the market potential, competition, distribution channels, and suppliers, which is useful for starting a new business successfully.
In addition, business ideas from previous work experience also allow you to save money. This is because you need less initial research than when you start a new business without prior knowledge.
Conferences and exhibitions
Attending an exhibition, conference, or trade show is a great place to broaden your horizons and discover business opportunities. There, you can also develop your network, meet successful people or business owners. For example, there, you may find a franchisor offering you the opportunity to open a franchise outlet in your neighborhood.
Small budget market research
The internet opens up many business opportunities. You can surf to find various business ideas. For example, let’s say you do a little research to find out what gaps exist in the local market. You see an opportunity to profitably fill it. From there, you can plan how to fill those gaps.
Alternatively, you may also be interested in adopting an overseas business model to your local market. It is also an inexpensive alternative for generating ideas.
- Some startup entrepreneurs in developing countries adopt business models in developed countries and apply them in their countries. Although the way their business works is different, their business concept is relatively similar. An example is Gojek in Indonesia, which imitates Uber’s business model in the United States.
Another way is to read market research reports. There, researchers may reveal various business opportunities to work on and their market potential. For example, some surveys reveal various obstacles many people face, which can open up insights for new businesses, even though the information may be implicit.
