Timmons Framework
According to the Timmons framework, an opportunity is considered attractive when it fulfills unmet market needs. In other words, the market wants something and no one is giving it. This means that any entrepreneur who can step up to fulfill that need stands to reap the benefits: for one thing, it offers a chance for significant potential for growth (the other attractive aspect of the opportunity according to the framework). The third attractive thing about an opportunity is that it comes at the right time, i.e., is well-timed within the market environment.
To make the most of the opportunity, however, it should align with the entrepreneur's strengths, i.e., their skills, knowledge, and experiences. For example, in the Vedavoo case (discussed in Chapter 2), the entrepreneur used his deep understanding of niche markets, particularly in outdoor gear, to identify a clear opportunity to create custom, durable backpacks. The clarity of the opportunity, the entrepreneurs knowledge, the market timing, and the unmet need in the marketplace (i.e., the market demand), all made it a solidly attractive option for the entrepreneur.
The entrepreneur's ability to capitalize on an opportunity also depends on their network, which can be used to make connections to resources such as suppliers, financiers, and partners. The Timmons Framework also puts focus on the entrepreneur's resourcefulnessthat is, being able to do more with limited resources. If the entrepreneur is agile, it will help him to succeed.
Also, the availability of resources is important. Resources can include financial capital, human talent, networks, strategic partnerships, and so on. The framework encourages entrepreneurs to assess whether the resources they need are already had, available, attainable or whether they can work within the constraints of what is available.
To operate Vedavoo, the entrepreneur will need skilled labor for handcrafted production, quality raw materials, and efficient distribution channels. He will also need funding to scale operations and marketing to grow brand awareness. Challenges in obtaining these resources would be maintaining high-quality standards with increased production, having consistent supply chains, and having sufficient capital without diluting ownership. Plus, finding and training skilled workers may be difficult as the business grows.
