How To Measure a Business Idea?

[moonchild]

In a book I've read by MJ Demarco, he outlined different process of measuring your business idea and how to calculate if the idea is worth pursuing or not in his book Unscripted he gave out a lot of golden nuggets on how to grow a business and what stood out for me is the formula to measure an idea or business before embarking on it.

CENTS, which stands for Control, Entry,, Need, Time and Scale.

You should measure your business and see if they have fulfilled control factor and whether entry into the business is easy or hard and if there's any need for what you are bringing to the market and if the time you're doing it is the right time and the last one whether it can scale.

 

[Mikes smithen]

There are so many ways an entrepreneur or a business individual can measure his or her business ideas but one of the most easiest and acceptable way is by carrying out a feasibility analysis. A feasibility analysis is said to be an investigation tool which helps to tell a business minded individual whether his business idea is what pursuing or should be dropped for another. This is also known to be a decision process which helps a business individual or an entrepreneur to know whether he's business idea can actually be established into a viable business plan that stand the chance to be successful and also stand the chance to grow and develop.

Carrying out a feasibility analysis must include questions concerning the business products the business location and also questions that explains how such business can be affected by competitors as well as global and economic traits such as political instability inflation and war.

 

[Etini]

The summary of it all is that you must always approach a business asking if there is a demand for tour products. That is not negotiable. After that, you would need to look at your strategy to enter the market. After developing a strategy, you ascertain how you would get to the target market and make them see you.

I haven't read that book but the way you sound, it seems there are formulae and calculations in it. That's the part that we miss setting out to start a business. We don't sit down to calculate. Business is highly technical and needs deep calculation to get it right.