Engineering Entrepreneurship Lab (ME-273L)

Submitted to:
Mr. Muhammad Waqas Rafique
Submitted by:
2022-ME-02 (Ahmad Hassan)

2022-ME-10 (Muhammad Abdullah)

2022-ME-15 (Zaid Zulfiqar)

Department:

Mechanical Engineering
Subject:

Engineering Entrepreneurship Lab-I

Semester:
Fourth (4th)

University of Engineering and Technology, Lahore

Problem Brief:
Based on comprehensive legitimacy/viability analyses you have finalized a workable business
idea. It has been ensured by carefully designed tasks and class inculcation that your selected idea
has reasonable potential to pass through the four stages of entrepreneurial success: (1) conceive a
legitimate business idea, (2) develop a viable product or service based on the business idea, (3)
develop a business based on that product or service and (4) convert that business into a financially
sustainable business.

Now you are tasked to (i) clear your product and customer focuses and convert your
product/service idea into a desirable prototype and (ii) evaluate a realistic demand of the
product/service in the target mark.

Selected Idea:

The idea which we have selected is Household care service which includes mainly maid,
babysitters and elder care.

To conduct the feasibility analysis of this idea we have to pass our services from two type of
researches primary and secondary.

Primary research is research that is collected by the person or persons completing the analysis. It
normally includes talking to prospective customers, getting feedback from industry experts,
conducting focus groups, and administering surveys.

Secondary research probes data that is already collected. The data generally includes industry
studies, Census Bureau data, analyst forecasts, and other pertinent information gleaned through
library and Internet research.

The key objective behind feasibility analysis is to put an idea to the test—by eliciting feedback
from potential customers, talking to industry experts, studying industry trends, thinking through
the financials, and scrutinizing it in other ways. These types of activities not only help determine
whether an idea is feasible but also help shape and mold the idea.

In this lab, we are going to work on the product/service feasibility of our business idea which is
an assessment of the overall appeal of the product or service being proposed. There are two
components to product/service feasibility analysis: product/service desirability and
product/service demand.

Product/service Desirability:

The first component of product/service feasibility is to affirm that the proposed product or service
is desirable and serves a need in the marketplace. You should ask yourself, and others, the
following questions to determine the basic appeal of the product or service:

 Does it make sense? Is it reasonable? Is it something real customers will buy?

The answer to this question according to selected idea is quite simple. As I can understand the
need of it living in a neighborhood and seeing it on daily basis that our maid does not come on
time or do lame excuses, there is a need of professional maids who are committed to their jobs.
The need of the babysitter is also important especially in those cases where both father and mother
does the job which is not quite common in Pakistan but now-a-days trends are changing quite fast
which can create a demand for this service. Elder care is a very good initiative because the people
love their elders especially parents and they want the efficient nurses to take good care of their
parents.

 Does it take advantage of an environmental trend, solve a problem, or fill a gap in the
marketplace?

The idea of household care service definitely solve a problem which is the unprofessional behavior
of maids, the trustworthy service of the nurses and a part time service of taking good care of
children. The gap in marketplace is also there because no one has yet made such an influential
app which had created a good name like food panda who has made a household name in Pakistan.

 Is this a good time to introduce the product or service to the market?

The service which we are providing has demand which is ever growing as people are going to
come and the population is increasing so the need of having professionals who does the work of
people whole-heartedly with the reasonable price for their services is never stopping. Yes, it is a
good time to do it and make a whole business out of it.

 Are there any fatal flaws in the product or service’s basic design or concept?

There is no fatal flaw in it but there might be some complications which will we discuss as we
further explore the idea in this report. And as

Concept Statement:

A concept test involves showing a preliminary description of a product or service idea, called a
concept statement, to industry experts and prospective customers to solicit their feedback. It is a
one-page document that normally includes the following:

 A description of the product or service. This section details the features of the product or
service; many include a sketch of it as well.
 The intended target market. This section lists the consumers or businesses who are expected
to buy the product or service.
 The benefits of the product or service. This section describes the benefits of the product or
service and includes an account of how the product or service adds value and/or solves a
problem.
 A description of how the product or service will be positioned relative to competitors. A
company’s position describes how its product or service is situated relative to its rivals.
 A brief description of the company’s management team.
 Importance of Critical Review of your idea:

The problem with not talking to potential customers prior to starting a business is that it’s hard to
know if a product is sufficiently desirable based simply on gut instinct or secondary research. A
common reason new businesses fail is that there isn’t a large enough market for the venture’s
product.

This scenario played out for Matt Cooper, who was a partner in a business called Soggy Bottom
Canoe and Kayak Rental. It was his first start-up and turned out to be, as Cooper put it, an
“unmitigated disaster.” Cooper and his partner owned 10 acres near a national forest in
Mississippi, where they decided to launch a canoe rental business. They invested heavily in
finishing out the facilities on the property and bought 32 canoes, 16 kayaks, 4 trailers, and 2 vans.
They opened on a July 4th weekend and everything was immaculate. The following is what
happened, in Cooper’s words:

“In our quest to have the best facilities and equipment, we neglected to speak to a single
prospective customer. No Boy Scout troops, no church youth groups, no fraternities from Southern
Mississippi University. As a result, I can count on only one hand the number of times, in the seven
years that we owned the business that we reached even half of our booking capacity.”(1)

Cooper goes on to admit that he’s learned his lesson. Reflecting on his Soggy Bottom Canoe and
Kayak Rental experience he said:

“Today, I still fight against the urge to make big investments before we’ve “beta tested.” Every
time that urge pops up, I picture gleaming new canoes hitched up to sad empty passenger vans.”(2)

Rather than developing a formal concept statement, some entrepreneurs conduct their initial
product/service feasibility analysis by simply talking through their ideas with prospective
customers or conducting focus groups to solicit feedback. The ideal combination is to do both—
distribute a concept statement to 20 or more people who can provide informed feedback and
engage in verbal give-and-take with as many industry experts as you can.

As a university student to meet with industry experts having no connections is quite difficult.
That’s why we have used online apps specifically designed to check the feasibility of a business
especially in the terms of desirability and demand. Also, we would try to meet with the people
doing the business with the same concept we have and if it happen we would also share their point
of view in this report.

Survey available for Service Desirability:

Certainly! Here are 10 survey questions to gauge the service desirability of your maid,
elder care, and babysitting services app:

1. How often do you find yourself in need of maid, elder care, or babysitting services?
 Daily
  Weekly
 Monthly
 Occasionally
 Never
2. What factors are most important to you when choosing a maid, elder care, or
babysitting service? (Select all that apply)
 Trustworthiness
 Reliability
 Experience
 Affordability
 Convenience
 Safety measures (background checks, insurance, etc.)
3. How likely are you to use an app that connects you with pre-screened and vetted
caregivers for maid, elder care, or babysitting services?
 Very Likely
 Likely
 Neutral
 Unlikely
 Very Unlikely
4. Would you prefer a mobile app that allows you to browse caregiver profiles, reviews,
and availability before making a booking?
 Yes, definitely
 Yes, to some extent
 Not sure
 No, I prefer other methods (please specify)
5. How important is it for you to have real-time updates and tracking of the caregiver's
arrival and departure?
 Very Important
 Important
 Neutral
 Not Very Important
 Not Important at All
6. What additional features would you like to see in an app for maid, elder care, or
babysitting services? (Open-ended)
Don’t Know
7. How likely are you to recommend such an app to a friend or family member in need of
similar services?
 Very Likely
 Likely
 Neutral
 Unlikely
 Very Unlikely
8. What concerns do you have when hiring a maid, elder care, or babysitting service?
(Select all that apply)
 Quality of service
 Safety and security
 Pricing
 Availability
 Trustworthiness of caregivers
 Other (please specify)
9. Would you be interested in optional insurance coverage for the services provided
through the app?
 Yes, definitely
 Yes, depending on the coverage
 No, I'm not interested
 Not sure
10. How likely are you to use an app that offers discounts or promotions for regular
bookings or referrals?
 Very Likely
 Likely
 Neutral
 Unlikely
 Very Unlikely
Service Demand:

The second component of product/service feasibility analysis is to determine if there is demand

for the product or service. There are two techniques for making this determination: administering
a buying intentions survey and conducting library, Internet, and gumshoe research.

A buying intentions survey is an instrument that is used to gauge customer interest in a product
or service. It consists of a concept statement or a similar description of a product or service with
a short survey attached. The statement and survey should be distributed to 20 to 30 potential
customers (people who completed the concept statement test should not be asked to complete this
survey). Each participant should be asked to read the statement and complete the survey.

Conducting a buying intentions survey can have a significant impact on the development and
success of your caregiver app. Here’s how:

1. Understanding User Needs: A buying intentions survey can help you understand what
potential users are looking for in a caregiver app. This can guide the development process
to ensure that the app meets these needs.

2. Predicting Purchase Behavior: The survey can provide insights into whether potential
users would be willing to pay for the app or certain features. This can help in pricing
decisions and revenue forecasting.

3. Improving User Experience: The survey can reveal what users like and dislike about
existing apps, which can inform improvements to the user experience. This can lead to
higher user satisfaction and increased usage.

4. Identifying Marketing Opportunities: The survey can help identify effective marketing
strategies by revealing where potential users learn about apps, what influences their
purchase decisions, and what features they value most.

5. Enhancing Brand Perception: If users perceive your app as useful and effective
(utilitarian benefits) and find it enjoyable to use (hedonic benefits), it can lead to a positive
brand attitude and higher purchase intentions

The second way to assess demand for a product or service idea is by conducting library, Internet,
and gumshoe research. While administrating a buying intentions survey is important, more data
is needed. Think of yourself as a lawyer preparing to defend a client in court. You can’t just tell
the jury that you “think” your client is innocent or that 25 out of 30 people you surveyed think
that acquitting him is a good idea. The jury will want more evidence. So, you have to dig it up. In
a feasibility analysis context, you have a similar task. Evidence that there will be healthy demand
for your product or service must be accumulated. Three important ways to do this are via library,
Internet, and gumshoe research.
e librarians can often point you toward resources to help investigate a business idea, such as
industry-specific magazines, trade journals, and industry reports. For example, Sprig Toys makes
super-safe, environmentally friendly, educational toys for children. Sounds like a good idea. But
“sounds like a good idea” isn’t enough—we need facts to discern whether there is a demand for
products Sprig Toys plans to sell. What’s the trajectory of the toy industry? What do industry
experts say are the most important factors that parents consider when they buy their children toys?
Has this idea been tried before? If so, what were the results? Is there an “educational toy” segment
within the larger toy industry? If so, is this segment growing or shrinking? Is there a trade
association for the makers of education toys that already has statistics about market demand for
educational toys? The overarching point is that for your particular product or service idea you
need to accumulate evidence about likely demand. Your university or college library is a good
place to start, and the Internet is a marvelous resource. By simply typing “market demand for
education toys” into the Google search box.

So, for our service demand below I have given about library, internet and gumshoe research’s
impact on my business idea:

1. Library Research: Libraries provide access to a wealth of information, including books,

articles, and reports on a wide range of topics. This can help you understand the needs of
caregivers and the best practices in app development.

2. Internet Research: The internet is a vast source of information. You can find data on
market trends, user preferences, and competitive analysis. This can guide you in
developing features that are in demand and positioning your app in the market.

3. Gumshoe Research: This involves on-the-ground, investigative research. You could

interview caregivers, observe their daily routines, and understand their challenges and
needs. This can provide valuable insights that can shape the functionality and usability of
your app.

Results from Survey:

References:

ced78868f5907b8e484ecfaa8feb7d61.pdf

https://docs.google.com/forms/d/1vpVG7oR_Q002dZXItVrt4ijIoj29r2DRAWoQAubmYeQ/edi
t#responses