Disinvestment Situations : There are three types of such situations;
- Disastrous Situations – Practically no worthwhile strength & not to real opportunities. Has only weaknesses & threats very difficult to survive.
- Chaotic Situations – High level of opportunities, but bogged down by internal weaknesses. Management is tempted by opportunities launches new projects & products. Due to a lack of internal strength, they fail after the other.
- Complacent Situations – Has some internal strength, but hurt by lack of adequate opportunities. Slowly, the strengths evaporate & the company becomes a shadow of its past. You should get out of such disinvestment situations as fast as you can.
The following steps are involved in finding & evaluating business opportunities:
- Recognized opportunities/trends/ideas.
- Use methods such as Brainstorming & Attribute listing for generating ideas.
- Determine trends & implications – demographic, economic, socio-economic, socio-cultural, psychological.
- Identify opportunities inferred by these trends.
- Consider ideas to become business opportunities.
- Evaluate business opportunities.
- Correlate opportunities to personal concerns or constraints.
- Use SWOT analysis techniques for a rigorous evaluation of business opportunities.
- Create a personal opportunities file.
- Guard your business ideas.