COURSE:
Entrepreneurship I
ESSENTIAL
STANDARD:
2.00
OBJECTIVE:
2.07
UNIT A
B2
28%
B2
Entrepreneurship Foundations
Understand entrepreneurship, product/service
management, information management,
professional development, emotional intelligence,
and operations
Employ product-mix strategies to meet customer
expectations
Essential Questions:
 What are the reasons for understanding a venture’s/product’s benefits?
 What ways can business use knowledge of venture/product benefits in marketing planning?
 What techniques for obtaining customer input on venture/product benefits?
 What procedures can be used for identifying venture/product to fill customer’s needs?
UNPACKED CONTENT
Competency 2.07
A. Product Mix
1. The particular assortment of goods and services that a business offers in order to meets its market’s
needs and its company’s goals
B. Target Market
1. A particular group of customers that a business seeks to attract
2. Sometimes, a business can take an existing good or service and change it so it will fulfill the needs
of another target market
3. Example: some products can be altered to accommodate people with certain disabilities
C. How to obtain customer feedback
1. ask the customer
2. To compete in the marketplace, a business must develop or find products that will fulfill its
customers’ changing needs and wants
3. obtaining customer feedback is a good way for a business to evaluate how it is meeting its
customers’ needs and what it needs to do to increase customer satisfaction
D. What is a feature
1. a feature is a physical characteristic or quality of a product
2. it is something the customer can touch, feel, smell, see, or measure
3. it helps describe the product
4. a feature answers the question – What is it?
5. example: color, style, size
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E. What is a benefit?
1. a benefit is the personal satisfaction or advantage that a customer wants from a product
2. it is how the feature helps a particular buyer
3. For customers, it answers the questions – How will I benefit? And What’s in it for me?
F. Feature- Benefit selling
1. prove to customers your product has features that benefit them
2. customers buy benefits – not features
3. compare to competition
4. determine what each customer is looking for in a good or service
G. Three types of benefits – sales people should be able to explain these three types of benefits to
customers
1. obvious or apparent benefits
a. advantages that need little explanation by the sales person
b. the customer already knows the benefit
c. even if benefits are obvious, salespeople should still point them out and use them to prove the
value of the product to the customers
d. example: neutral colored carpeting – what is the obvious benefit?
2. unique or exclusive benefits
a. advantages that are available only from your good, service or business
b. is selling advantage over your competitors
c. example: a car that “parks” itself is a novelty – offers a huge benefit to customers that have
trouble parallel parking
3. hidden benefits
a. advantages that cannot be seen or understood without the assistance of a salesperson
b. example: buying a pair of shoes – you can see the color and style – you can not see how
comfortable they are until persuaded to try them on
c. example: purchasing a computer – warranties/ 24 hour helpline
H. Feature-Benefit Charts
1. Step One: Find your product’s features
a. Construction and materials
1. what is the material?
2. who makes it?
3. how is it make?
4. what is the difference between these two items?
b. Appearance and style
1. appearance is a dominant factor in many buying decisions
2. customers consider color, line, and design in everything they buy – cars, clothes,
accessories, appliances, furniture, etc
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c. Unique or novel features
1. having desirable features that your competitor does not have
d. Durability
1. how long a product will last and give dependable service
e. Service and warranty
1. especially important when selling products such as appliances, electronics, and cars
2. Step 2 Know where to get facts about product features
a. The product itself – use the product and information provided
b. Customers – testimonials
c. Manufacturer’s brochures and publications
d. Other sales personnel
e. Promotional materials – product bulletins and catalogs/manuals
3. Step 3 Create a feature-benefit chart
a. after you know what type of information you need and where to obtain the facts about your
products, prepare a feature- benefit chart
b. list all the product’s features, beginning with the ones that a customer or client will see first
c. for each feature that you identified, ask, “what does this mean for the customer?”
d. write each benefit beside its feature
e. a feature can provide more than one benefit
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Entrepreneurship I
ESSENTIAL
STANDARD:
2.00
OBJECTIVE:
2.07
UNIT A
B2
28%
B2
Entrepreneurship Foundations
Understand entrepreneurship, product/service
management, information management,
professional development, emotional intelligence,
and operations
Employ product-mix strategies to meet customer
expectations
INSTRUCTIONAL ACTIVITIES
RELEVANCY
TO OBJECTIVE
1. Introduce the objective through the use of 2.07 PPT and the
Guided notes in Appendix A
2. Feature / Benefit Activity:
Discuss features and benefits with students and show an episode of one
of the Life or Planet Earth videos.
As students watch the episode, they choose three animals and list as
many features and benefits as they can for each animal in a
feature/benefit chart. If they listen closely to the narrator, many features
and benefits are given for each animal.
For example, an animal might have long, sharp claws (feature) that help
defend them from predators (benefit), and help in digging for food
(benefit). It helps students define the terms and they love watching these
videos.
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3. Complete the Target Market and Feature Benefit Activity found in
Appendix B
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OBJECTIVE:
2.07
Employ product-mix strategies to meet customer
expectations
B2
REFERENCES
Textbook References:
WEBSITES
Websites in powerpoint and assignments
Entrepreneurship and Small Business Management –
Kathleen Allen and Earl Meyer; Glencoe Publishing;
2006 Edition
Supplemental Resources:
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O BJECTIVE 2.07
A PPENDIX OF
I NSTRUCTIONAL S UPPORT M ATERIALS
2.07 S UPPLIES


Supplies Needed
Flip Chart or Whiteboard
Markers
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Where Supplies Are Used
Activity Related Appendix/ Lesson
1
1
Unit A: Entrepreneurship Foundations
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Appendix A
 Product mix
The particular assortment of _______ and _______ that a business offers in order to meets its market’s
needs and its company’s goals.
 Target Market
A particular group of _________________ that a business seeks to attract.
Sometimes, a business can take an ____________ good or service and change it so it will fulfill the
___________ of another target market.
Example: some products can be altered to accommodate people with certain disabilities.
 How to obtain customer feedback
Ask the _____________________
To compete in the marketplace, a business must ________________ or find products that will fulfill its
customers’ changing needs and wants.
Obtaining customer feedback is a good way for a business to ___________________ how it is meeting
its customers’ needs and what it needs to do to _____________________ customer satisfaction.
 What is a Feature?
A feature is a ______________________ characteristic or ______________________ of a product.
It is something the customer can touch, feel, ___________________, see, or measure
It helps ______________________ the product.
A feature answers the question, “________________________________________?”
◦
Ex: color, style, size
 What is a benefit?
A benefit is the personal ____________________ or ______________________ that a customer wants
from a product.
It is how the feature helps a particular _________________________________
For customers, it answers the questions:
◦
How will I _______________________________?
◦
What’s in it for ___________________________________?
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 Feature-benefit Selling
Prove to customers your product has ____________________ that _______________________ them
Customers buy __________________________-not features
Compare to ___________________________
Determine what each customer is ________________________ ____________ in a good or service
 Three types of benefits
Salespeople should be able to explain these three types of benefits to customers:
◦
Obvious or _____________________________ benefits
◦
Unique or ______________________________ benefits
◦
____________________________ benefits
 Obvious or apparent benefits
Advantages that need _______________________________ explanation by the salesperson.
The customer already knows the ______________________________
Ex: Neutral colored carpeting
◦
What is the obvious benefit?
Even if benefits are obvious, salespeople should still point them out and use them to _______________
the _____________________ of the product to customers
 Unique or exclusive benefits
Advantages that are available only from __________________ good, service or business.
Is a selling _______________________ over your competitors
Ex: a car that “parks” itself is a novelty
◦
Offers a huge ________________ to customers that have trouble parallel parking
 Hidden benefits
Advantages that cannot be ___________________ or understood without the assistance of a salesperson
Ex: buying a pair of shoes
◦
You can see the color and style
◦
You can not see how comfortable they are until ___________________ to try them on
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Ex: purchasing a computer
◦
Warranties/24-hour helpline
 Feature-benefit charts
Step One: Find your product’s features
◦
◦
◦
Construction and materials:

What is the ________________________?

Who ___________________________ it?

How is it _______________________?

What’s the ____________________________ between these two items?
Appearance and style

Appearance is a _______________________ factor in many buying decisions

Customers consider color, ___________________, and design in everything they buy –
cars, clothes, accessories, appliances, furniture, etc.
Unique or novel features

◦
Durability

◦
How long a product will __________________ and give dependable service
Product uses

◦
Having desirable _______________________ that your competitor does not have
What the product will _______________ and how it can be used
Service and warranty

Especially important when selling products such as ___________________, electronics,
and cars

Feature-benefit charts
 Step two: Know where to get facts about product features
◦
The product itself

◦
Use the product and __________________________ provided
Customers
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
Testimonials
◦
Manufacturer’s brochures and publications
◦
Other sales personnel
◦
Promotional materials

Product _________________________

Catalogs/________________________
 Step Three: create a feature-benefit chart
◦
After you know what type of information you need and where to obtain the facts about your
products, prepare a ___________________________________________ chart

List all the product’s _________________________, beginning with the ones that a
customer or client will see first

List the less-obvious or __________________ features

For each feature that you identified, ask, “What does this mean for the
_____________________________?”

Write each ________________________ beside its feature

A feature can provide more than _________________ benefit
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Appendix B
Target Market/ Feature Benefit Activity
Adapted from Michael Hicks’ Target Market Activity
________________________________________________________________________________
Split students into groups. Each group takes a piece of banner paper (6 ft at least), lay it on the floor
and designate one person to lie down on the banner paper and be the ‘tracee’. The group will trace
the outline of the ‘tracee’, then cut out the figure. When you are done, it should be an ‘almost’ perfect
match of the size and shape of the ‘tracee’.
Next, each group will receive the information on the person who will be a representative of your
‘target market’.
You will receive one of these examples of your target market:
Jada: 17, African American, upper income family (dad is a doctor; mom is a marketing rep for
Wachovia), plays school sports (volleyball and softball), writes for her school newspaper; graduating
with top honors from HS and college bound.
Steve: 46, White, middle class, has associates degree, electrician who is self-employed, married with
three children (one is going to college this fall), works 50-60 hour weeks, drives a pickup and is in the
local Methodist church band (plays drums).
Claudia: 28, Hispanic, divorced, high school graduate but plans on going back to school at night to
get her nursing degree, manager of the deli department of Lowes Foods, one child, is active in the
Hispanic community in regards to charity work, coupon cutter who will drive out of her way for a
bargain.
Alex: 17, Asian, plays baseball in HS, plays video games and likes to compete in local gaming
tournaments, cancer survivor, plans on attending a community college to become an entrepreneur
after HS, member of his HS DECA, will vote for the first time in next year’s elections, member of the
Young Republicans in HS.
Cory: 33, African American, single, Bachelors Degree in Music Theory, plays in local hard rock band
(bass guitar), also has his own business teaching bass and electric guitar , doesn’t have health
insurance but is in the market to purchase it, cooks at home, has hiked the Appalachian Trail from SC
to Maryland, likes outdoor activities.
Sarah: 67, White, widowed, former pediatrician, participates in Senior 10k runs, member of the local
school board, has a grandson who won a football scholarship to Wake Forest; has motorcycle license
and belongs to a group of Harley Davidson aficionados who ride once a month for a weekend to the
beach or mountains, enjoys beach music and teaches Shag dancing.
Wild Card: You will come up with your own REALISTIC representative of a target market. Be creative!
Give them a name. Tell me some things about them (age, sex, race, education, lifestyle, marital
status, kids, hobbies, etc).
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You will give your figure a face (can be from a magazine, drawn, etc). We can talk about enlarging it
to fit.
Decorate your figure as to what they would look like, wear, etc.
Decorate your cutout person with pictures of products you think would appeal to him/her (you may
print these from the internet, cut from magazines, etc and glue or tape them to the person).
 What types of products and/or services could you realistically see this person using, buying,
etc.?
 What product/service features would appeal to this person?
 What benefits would this person look for in a product/service?
 Why would the company who makes the good or provides the service want to market to this
particular person (the representative of the target market)?
You can answer these questions for each product/service by typing up a reason why on a separate
sheet of paper and attaching it to your figure.
THESE MUST BE TURNED IN BEFORE YOU LEAVE CLASS TODAY! Work smart, delegate tasks,
be creative and HAVE FUN WITH THIS!!
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