Question:
Here we are, with just a few weeks to go. So far, you've developed and presented three elevator pitches. You've also developed and presented two "idea napkins." All along the way, you've obtained peer feedback, and you've interviewed customers, all of which helped adjust your ideas so that you best capture an unmet opportunity.
In this exercise, you'll add even more detail to your concept by writing a description of your Venture Concept. This concept will be a tool that will help you obtain finer-grained feedback as well as refine your own thoughts about your business idea.
The requirements for this written description are here . Please put together a description of your own concept, and share it with others in the class. To provide enough detail, it will be necessary for you to write up to (but no more) than 1,000 words for this post. (The instructions recommend 2-pages, but please ignore that for this exercise and use the 1,000-word limit.) Company name- The-REAL-Estate
Answer:
Opportunity: The opportunity I saw in front on me was a demand for people buying houses, but the requirement to pay for realtors, title insurance, attorneys, and surveyors. People want to buy something from the ease of the computer and not have to deal with the much-needed headache of buying a house.
• What are the forces or changes in the environment creating this opportunity? Buyers and sellers are tired of the status quo for buying a house. They are ready for a change. They want a process that easier, faster, more secure with no fraud.
• How is this market defined geographically and demographically? We are planning to start domestically and work out to a global scale. The good thing is most peoples goal in life is to own a house so our industry is very large.
• How are customers currently satisfying this need? And how loyal are they to whatever they use now? They currently use websites like Zillow, but the problem with these current websites is they aren’t linked with blockchain technology. Meaning they aren’t a one-stop shop, they aren’t secure, and they are usually outdated.
• How big is this opportunity? The housing industry is one of the largest globally, plus we could focus on commercial real estate as well.
• How long will the “window of opportunity” be open? I think this idea is already being taken into effect now. Blockchain is quickly changing the future, and I think by 2025 it will be a normal thing.
Innovation: Real estate transactions built on top of the blockchain technology is a very innovative process. The technology is helping to secure documents, along with speed up transaction. When legal contracts are built on top of blockchain technology they will prevent fraud. Preventing fraud will prevent any issue with escrow deposits or commission fees. This company will make revenue by making a small percentage on each transaction, just like a normal miner with blockchain. The larger the purchase price, the more computing power needed which means more money paid out. The company will compensate the decentralized miners for keeping up the blockchain with crypto currency. This keeps all parties involved happy.
Venture Concept: People in today’s world want everything done ASAP, and they want to pay nearly nothing for. One of the downsides with real estate is the market is looked as illiquid. This means that it is hard to sell real estate fast. When the market was crashing it was nearly impossible to sell your asset (house), but if you owned stocks you could liquidate fairly quick. With real estate transactions linked to blockchain we can make buying and selling a house a lot faster and more secure. We would not have to wait to acquire title searches, surveys, hire a realtor to figure out a good value, or wouldn’t have to hire an attorney draft up a housing contract.
• What are the reasons to think customers would switch to this new product? How hard will it be to get them to switch? Just like with any new technology it will be very hard to get people to stop using the norm of buying a house. After a few years, any many successfully transactions the technology will quickly adopt.
• Who are the competitors? What are their possible weaknesses or vulnerabilities? The competitors to the company is any existing real estate housing website. They can introduce a blockchain technology on their existing platform, but I am starting from scratch with mine.
• What role does packaging, your price points, distribution, customer support, the customer experience or the business location play (if any) in defining your business concept? My company employees and the under lying technology is what touches all of these aspects. Once the program starts to gain traction we will expand, but for now we can run the company from an off site office.
• How would you organize a “business” to support the ongoing production of your new product, service, or process? How many employees? What roles are in the venture? I would need a team with about 5 people. Everyone would have to have some kind of programing experience. I would also need a strong one-man band marketing team. Getting our brand out is a must, especially on a budget. We also need hacker on the team because having our company hacked is something that could never happen. The best way to prevent a hack is to work with a hacker. I have finance experience so I can help run the company on that end.
