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MODULE 2: THE ENTREPRENEURIAL PROCESS

Case 3: The Business Idea to Make Money

Jack and Jill are children of the Bing family, earning $50 per week from chores at their home. They
want to buy a video game system that costs $1 000. Their parents have told them that they must generate DO NOT WRITE IN THIS AREA
money to buy the system themselves. However, the children do not have enough money to purchase it
from their earnings. With summer approaching, they have thought of selling soft drinks and candies at
events held during the holidays. There are usually large crowds of hot, thirsty people around during such
periods. Their idea is to fill a large cooler with ice, cans of soft drinks and candy bars and sell these to
the customers at these events.

The parents like their entrepreneurial spirit and have offered them a loan to buy the initial products (soft
drinks, candy bars) for the venture and their large picnic cooler so that they could begin making ice and
storing it in the freezer in the basement. This would save on overhead costs. The parents believe that this
idea is feasible, as they know that the opportunity exists for the children to sell at their local sports park
and club where cold soft drinks are always in great demand.

3. (a) The case presents the need for idea generation. List FIVE methods of generating new
venture ideas.

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[5 marks]

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