Name:

Scenario 3.5.2Evaluate Concept Statement for Run KC

Estimated Time15 minutes

Learning ObjectiveUsing the key components of an effective concept statement, evaluate the overall effectiveness of a given business concept statement.

OverviewHaving a clear, concise and complete concept statement is critical in clarifying your business concept and communicating that concept to others. In this exercise you will identify the key components of a concept statement and evaluate a statement’s overall effectiveness. An effective concept statement includes answers to these key components.

WHAT does the product or service do? HOW is it different from other products/services? WHO will buy it? WHY will they buy it? Is the product or service different from other products/services? WHERE will it be sold? WHEN will it be ready to be sold? HOW will it be promoted and sold?

ToolsInternet access

Step 1Review the following concept statement for Run KC

Step 2Identify key components. For the Run KC concept statement, answer the questions related to key components of an effective concept statement.

Step 3Evaluate the concept statement for overall effectiveness. Identify ways in which the Run KC concept statement might be improved.

© 2012 Ewing Marion Kauffman Foundation. All Rights Reserved. Planning the Entrepreneurial Venture Scenario 3.5.2 Page 1 of 3

Sample Business Concept Statement - Runner’s Edge

Run KC is a retail store offering proven brands of footwear, apparel and accessories for serious and aspiring runners. The product lines offered by Run KC are of a high quality in the mid to high price range.

The goal of Run KC is to provide personal service and advice to help runners select products that increase their chance of developing and maintaining a long term love for the sport. All staff are experienced runners with exceptional product knowledge. Support after the sale sets Run KC apart from the competition. The atmosphere of the store invites customers to frequent the store to seek advice and the companionship of other runners. Customers are also invited to become part of the Run KC Running Team.

Visibility in the running community will be strong and promotion of the store will be accomplished through participation in running events, sponsorships and recognition of customer’s milestones both in store and on the store website

Run KC is in planning stage with a projected opening in January 2012 in Leawood, Kansas.

WHAT does the product or service do?

HOW is it different from other products/services?

WHO will buy it?

WHY will they buy it? Is the product or service different from other products/services?

WHERE will it be sold?

WHEN will it be ready to be sold?

HOW will it be promoted and sold?

© 2012 Ewing Marion Kauffman Foundation. All Rights Reserved. Planning the Entrepreneurial Venture Scenario 3.5.2 Page 2 of 3

HOW effective is the concept statement for Run KC? What suggestions do you have for its improvement? What areas does Tim need to research in order to strengthen his concept as he develops the plan?

© 2012 Ewing Marion Kauffman Foundation. All Rights Reserved. Planning the Entrepreneurial Venture Scenario 3.5.2 Page 3 of 3