Mod.2_Lesson-1
Mod.2_Lesson-1
Department of Education
Caraga Region
DIVISION OF AGUSAN DEL
SUR
Patin-ay Prosperidad, Agusan del Sur
ENTREPRENEURSHIP
Quarter 3
Module 2: Lesson 1
Source:
SDO MANILA
Learning Module for Entrepreneurship
H O W TO U S E T H E M O D U L E ?
As you start studying the module, I want you to set aside other
task/s that may disturb you while enjoying the lessons. Read the
instructions below to successfully enjoy the objectives of this kit.
Have fun!
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Learning Module for Entrepreneurship
EXPECTATIONS
After going through the module, you are expected to:
• recognize a potential market and analyze the market need.
You may start your journey in learning about the potential market
and the market need. Are you excited to answer the Pre-test?
Smile and Enjoy!
PRE-TEST
DIRECTIONS: To check your prior knowledge about the topic, please analyze the
pictures below and list down at least three (3) potential markets that entrepreneurs
should consider during this COVID - 19 pandemic and indicate their needs. Write your
answer in the space provided.
https://images.search.yahoo.com/
You have finished answering the pre-test. You may request your
facilitator/guardian to check your work. Congratulations and keep on
learning!
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Learning Module for Entrepreneurship
L O O K I N G BAC K TO YO UR L ESSON
As we go further, let us try to recall the competencies in Entrepreneurship.
o Competencies such as risk seeking, assertiveness and vision are considered
typical of a successful entrepreneur (www.ideasforleaders.com) .
o Specific techniques and habits must be practiced and developed by all would-be
entrepreneurs. Aside from business competencies, entrepreneurs need
interpersonal and self-leadership skills too; however, these are often overlooked.
Entrepreneurial behavior’ can be learned and developed
(www.ideasforleaders.com) .
o If you’re an aspiring entrepreneur, there are different career paths you can take
to turn your dream into a reality. Which path you choose will depend on your
experience, skills, finances, and flexibility, as well as your goals for the future
(Doyle, A., 2020) .
Multiple Choice. Write the letter of the correct answer that best complete the
sentence in the space provided.
1. All are core competencies in Entrepreneurship, except:
A. basic bookkeeping/ accounting skills B. communication skills
C. building relations with customer D. building competitive advantage
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5. Which of the following does notLearning Module for Entrepreneurship
cover a high-performing enterprise?
A. Build and develop the enterprise to be more competitive within a changing
business environment.
B. Creating gaps among employees.
C. Responding to consumers’ demand.
D. Maintaining product quality and accessibility.
BRIEF INTRODUCTION
The Potential Market
• Consider every target demographic that you currently sell to, as well as
those you have not yet targeted. Identify what they have in common with
each other, new milestones that they will encounter in their lives that will
impact their buying patterns, and where they overlap or diverge from your
current customers.
Ask yourself these questions that will help you identify both new ways to
market your current products or services, as well as new products and services that
you can begin selling.
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Learning Module for Entrepreneurship
• What demographic information does that new group have in common with
my current customers?
• What demographic information does that new group have in common with
each other?
For example, a business that makes face masks and PPEs could identify
potential markets such as:
• Hospitals and other health related industries whose employees are prone to
COVID - 19 virus and other viruses.
• Business industries and other organizations who want to ensure the health
condition of their employees.
• Employees and workers who need to report to work to earn income.
• Households who needs to go out for their necessities.
Note: Depending on the size and age of your company, as well as your industry, you
may have a clear picture of the potential markets that are available.
Once you've identified and chosen a potential market to begin targeting, you
will need new marketing strategies in place to communicate with them. Use this profile
to identify:
• The demographic information that people in a group have in common.
• The best forms of media to reach them.
• How they prefer to shop and make purchases.
• The concerns, struggles, or problems that you can help them overcome.
• What values matter to them, both in everyday life and when shopping.
• The language that resonates with them.
The figure below depicts what is a potential market with respect to the total
population and how it can be converted to a penetrated market:
Available Market
• Prospects who are willing and capable (have sufficient resources) buyers, and
have access to a particular market or service (www.businessdictionary.com) .
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Learning Module for Entrepreneurship
• Defined as the number of people who are both willing and capable of buying a
particular product or service in a particular market (MBA Skool Team, 2020) .
Target Market
Penetrated Market
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Learning
sell and buy goods (Shaikh, S., retrieved Module
2020) . for Entrepreneurship
The market now demands that your business align to their needs. In order to
properly align your marketing efforts - and your content, in particular - to what
buyers need, you have to have a clear understanding of the many intricacies, pains
and pressures within your market. To achieve such alignment, the ability to define
market patterns, needs, interests, preferences, etc. for a comprehensive view of the
buying process is critical (www.aberdeen.com) .
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Learning Module for Entrepreneurship
ACTIVITIES
Activity 1. Read and analyze the statements below about “Market” . Determine
whether the statement is TRUE OR FALSE. Write TRUE if the statement is correct
and write FALSE if otherwise. Write your answer in the space provided.
1. A market is any place where two or more parties can meet to engage in an
economic transaction—and should only involve legal tender.
2. Market includes retail stores and other similar businesses that sell
individual items to wholesale markets selling goods to other distributors but may not
be virtual.
3. Market refers to the whole area of operation of demand and supply.
4. A market signifies any arrangement in which the sale and purchase of
goods take place.
5. The market establishes the prices for goods and other services.
Activity 2. Read and analyze the given situations below. Identify whether this refers to
existing customer, prospects, or target market users. Write your answer in the space
provided.
DIRECTIONS: Give the meaning of the following word/phrase in each item. You may
use the internet to define the given word/phrase. Write your answer in the space
provided.
2. Demographic group
3. Market share
4. Market size
5. Marketing strategies 9
Learning Module for Entrepreneurship
REMEMBER
. Potential market is the part of the total population that has shown some level
of interest in buying a particular product or service. Potential market is also
called Total addressable market (TAM) (MBA Skool Team, 2018) .
. Available Market are prospects who are willing and capable (have sufficient
resources) buyers, and have access to a particular market or service
(www.businessdictionary.com) .
. Target Market refers to a group of potential customers to whom a company
wants to sell its products and services. Target markets are generally categorized
by age, location, income, and lifestyle (Kenton, W., 2019) .
. Penetrated Market is a set of customers or clients who are already using a
particular product or service (www.businessdictionary.com) .
. Need is a motivating force that compels action for its satisfaction. Needs range
from basic survival needs (common to all human beings) satisfied by
necessities, to cultural, intellectual, and social needs (varying from place to
place and age group to age group) satisfied by necessaries
(www.businessdictionary.com) .
. A Market is a place where two parties can gather to facilitate the exchange of
goods and services (Kenton, W. & Boyle, M., 2020) .
. Existing customers are people who have already purchased your product.
. Prospects are people who have not yet purchased your product but are
considering it.
. Target market users are people in your target market who are not currently
looking for a solution.
C H E C K YO U R U N D E RSTA N D I N G
Considering the ways to define your market, evaluate the situations below using
1 to 5 rating scale, 5 as the highest and 1 as the lowest. Justify your answer in 1 to 2
sentences only. Write your answer in the space provided.
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Learning Module for Entrepreneurship
POST-TEST
Identification. Read and analyze the statements below and identify whether this
refers to potential market, available market, target market, or penetrated market.
Write your answer in the space provided.
Column A Column B
1. It is a company’s marketing goals and objectives combined A. Market
into a single comprehensive plan.
2. Refers to a person or organization that uses a commodity B. Target Market
or service.
3. This is an area or arena in which commercial dealings are C. Potential Market
conducted.
4. This is used to give a general idea of the size of a company D. Need
in relation to its market and its competitors.
5. This is one part of the total market for a good or service. E. Demographic group
6. It is also called Total addressable market (TAM) . F. Market Strategy
7. A person or business that purchases a commodity or G. Market size
service.
8. Circumstances in which something is necessary, or that H. Customers
require some course of action; necessity.
9. The study of the characteristics of human populations, I. Consumers
such as size, growth, density, distribution, and vital
statistics.
10.The number of buyers and sellers in a particular market. J. Market share
REFLECTIVE LEARNING
If you’re thinking about starting a business, most likely you have dreamed of
one that involves your interests. But, what does the market need or want? Do you
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Learning Module for Entrepreneurship
know who is buying what and how much, or how, where and why they are buying
those goods or services already?
Congratulations! You are almost done in this module. Please write your idea
on the situation below.
E-
SITES
To further explore the concept learned today, please watch the video about
“Understanding Customers need” @www.youtube.com
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REFERENCES
Websites
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Learning Module for Entrepreneurship
Acknowledgem ent
Writers: Farida F. Tallud, DBM
Mark Vincent B. Emit, PhD
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Learning Module for Entrepreneurship
ANSWER KEY
PRE-TEST
ACTIVITIES
Activity 1. True or False
1. True
2. False
3. True
4. True
5. True
Activity 2. Identification
1. Prospects 6. Prospects
2. Existing customer 7. Existing customers
3. Target market users 8. Prospects
4. Existing customer 9. Target market users
5. Prospe cts 10. Prospects
Activity 3. Make meaning
1. Customer vs. consumer - consumer is the one who consumes the goods, and
customer is a person who buys the goods or commodity and pays the price for it.
2. Demographic group - include the generations known as Generation Z, Millenials
(previously known as Generation Y), Generation X, baby boomers, etc.
3. Market share - represents the percentage of an industry, or a market's total sales
that is earned by a particular company over a specified time period.
4. Market size - The number of individuals in a certain market who are potential
buyers and/or sellers of a product or service.
5. Marketing strategies - refers to a business's overall game plan for reaching
prospective consumers and turning them into customers of the products or services
the business provides.
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Learning Module for Entrepreneurship
Check your understanding
1. Identification
1. Penetrated market
2. Available market
3. Potential market
4. Target market
5. Penetrated market
2. Matching Type
1. F
2. I
3. A
4. J
5. B
6. C
7. H
8. D
9. E
10. G
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