25A – What’s Next?
Existing Market:
1. I think the next step for my business is to open up to other areas of Florida. With more research, it is possible that other locations could be up and running in other states, such as California or Arizona.
2. I tried to call places in Miami that could relate to this, as I didn’t want to use my family members because I feel as though they won’t give me honest answers. However, every reliable place that I tried to call was closed because of quarantining and not being essential, so I wasn’t able to get much information for this step.
3. In terms of growing into my existing market, I think what makes the most sense for my venture would be to maybe open an additional location. If the number of sales increases as I hope it would, the most sense would be to open at another location to keep up with the demand. I would have to hire more workers and at this other location I could store extra solar panels.
Additionally, I think I would definitely want to be able to make more connections in other areas if I did end up opening an additional location somewhere else in the state. It would be important to the business to establish connections in this new community and hear their opinions on my product. I would have to learn about the existing neighborhoods and the people in them.
New Market:
1. As a new target market, I have decided that I would probably target a poorer part of the city that I wasn’t originally planning on targeting.
2. I have to be honest, I’m not positive how my venture could create value for people in this market. I feel as though these people would still want to have an impact on the environment but wouldn’t be able to afford the cost of doing so through my venture.
3. I tried to call two people I know but didn’t want to offend them. I just told them of my idea, and they were surprised at how much solar panels cost. They said if the cost was lower, then it would be a great possibility for both of them.
4. Nothing about this new market surprised me that much. If anything, it made me feel bad that my product wouldn’t be accessible to everyone who desires it. My assumptions of solar panels being very pricey for a poorer target market was very correct. When I called two people to interview them, they just confirmed that knowledge. However, there is not much that I could do to lower the price of solar panels and installation fees.
This new market is nowhere as near attractive as my existing market. My existing market was targeted for the sole reason of having a surviving, profiting business. If I were to change my target market, unfortunately, I would have neither of those things.
The new target for your business may not be feasible simply of the cost. That is a very hard market to enter for what you want to do. However, you could work on subsidies from the government since it is an environmental project, or work on financing plans for these people with lower income, where they pay small amounts over a long period of time. It would still be difficult to convince these customers if it is worth it because their only priority is paying the necessities. You would have to convince them why it is a necessity and how they will make their money back in the future.
ReplyDeleteHello Madison,
ReplyDeleteI think it would be a great idea for your business to spread to new locations, as I know that you were originally only targeting the Miami area. I agree that the new market would be very difficult to target because of financial reasons. Potential customers in this market might not be able to afford the solar panels or just might not be able to justify spending so much on something that isn't essential. I think sticking with your existing market would be a good idea.
Hi Madison, choosing a location is a great idea because it allows you to meet your customers face to face, while at the same time giving them a more intuitive tour of the solar panels and showing them how to use them. This is undoubtedly more attractive than the poster campaign. I don't think you need to worry too much about your last point about prices not being affordable for the poor, because in the future when your company is successful enough you will be able to set up a charitable foundation to help the people you want to help.
ReplyDelete