Table of ContentsProduct DescriptionProduct DevelopmentConclusionThis essay is about the description and development of a new product that has not yet been introduced to the market. My idea is to create a potless water heater that will be a convenient and quick way to heat water. I argue that my idea creates unique value for whom because this product does not exist in the market. I propose to develop my idea by first creating the value proposition, then performing a PESTEL analysis, creating the design and naming the product. My theories are the entrepreneurial alertness theory and the economic and financial theory of entrepreneurship. Say no to plagiarism. Get a tailor-made essay on “Why violent video games should not be banned”? Get an original essay My idea is to create a potless water heater that will be simply but intelligently designed to heat water directly while reducing waste excessive water and energy. Besides heating water, the product can heat any liquid including milk, soup, a cup of coffee or any beverage in the container. The design of this product is simple and works with non-ferrous containers such as cups, bowls, glasses and teapots. Its use consists of filling the container with the desired amount of water to heat and placing it on the induction base. A heating rod is then immersed in water and the water boils for 2 to 3 minutes. I argue that my idea creates unique value for whom because there is no such product on the market. The common method for heating water is to place the pot filled with water on the burner and wait for it to boil. Water can also be heated using electric kettles. Unlike saucepans, electric kettles heat water more quickly and some even have an adjustable temperature to ensure the water is perfectly suitable for your intended purpose. However, problems associated with current water heating methods, such as overheating water instead of heating the desired amount of water, have prompted a search for a product that can solve these problems. The solution lies in potless water heaters which will be new to the market. I will develop my idea by first creating the value proposition, then performing a PESTEL analysis, creating the design and naming the product. The value proposition was included to explain to the audience what the product is, what they should expect, and why they should purchase the product from my company and not from competitors (Anderson, et al., 2006). Performing a PESTEL analysis will help me decide whether introducing the product in the current market will be profitable or not. Any market has the potential for both good and bad things to happen, and PESTEL analysis will help in weighing things up and deciding which way to go (Sharma, 2016). Design creation is a critical phase of product development. The product will be used to heat the water in the containers, so only the induction rod and base will be designed to hold the containers. The product will be named potless water heater, which suggests that it is innovative. My theories are the entrepreneurial alertness theory and the economic and financial theory of entrepreneurship. Entrepreneurial vigilance is a theory of opportunity identification in entrepreneurship. The theory was developed by Israel Kirzner in 1979 and defines entrepreneurial alertness as the ability to recognize competitive imperfections within the market (Kirzner, 1979). This theory helped me come up with the product idea by observing current water heating products and thinking about theeconomic benefits that could be obtained if an alternative were introduced to the market. To assist in product development, economic and financial theory of entrepreneurship will be used. The theory holds that the basis of entrepreneurship is the observation of unnoticed profit opportunities that have not been exploited before (Kirzner, 1979). So, from the value proposition to the product name, the focus will be on making the product as unique as possible to exploit benefits that have not previously been realized with any similar product in the market. Product Description The type of product I plan to develop is a potless water heater. A pot is the most used gadget for boiling water for various purposes. Suppose one needs hot water for tea, then he should place the teapot containing water on the burner and then cover it with a lid to retain the heat. Alternatively, hot water can be obtained by heating it using an electric kettle. The product I am going to develop will provide hot water without a teapot. With the potless water heater, you won't need to heat excess water. What will only be done is to place water in any available cup and then dip the stem into the water. The cup containing this content is then placed on the induction base and in no time hot water appears! Besides heating water for tea, the rod can also be used to warm tea, coffee or any other beverage. Figure 1 shows the proposed product. The reason why we chose this opportunity is that there is no such product on the market. Pots and kettles are the only known equipment for boiling water in the kitchen, and no other approaches have been invented beyond these tools. The energy lost in one day by overfilling electric kettles is enough to power all the street lights in England for one night! This opportunity was selected to offer a modern way of heating water instead of using traditional kettles which generate waste. For example, when you have to make a cup of tea, you may end up overfilling the kettle. This practice results in a loss of water and energy, and you sometimes have to wait long hours for the water to warm up. This opportunity aims to change this situation by eliminating electric pots and kettles and replacing them with potless water heaters. The potless water heater will be a game changer and exceed the needs of a regular kettle. Users will only heat the amount of water they prefer. In a simple definition, a business opportunity is an overall business investment through which a person can start a business. Finding an opportunity is the hardest part of entrepreneurship. There may be multiple opportunities, but the role of an entrepreneur is to distinguish between good and bad opportunities (Errigo, 2012). An entrepreneur must then make the right decisions that will allow him or his business to prosper in the long term. The best way to stay ahead of competitors is to differentiate yourself from them by offering unique products (Kuratko, 2013). There is still an opportunity in the market for unique products, and my idea fits that opportunity since it is a new idea that has not yet been exploited by anyone. An entrepreneur is a person who discovers, evaluates and exploits an opportunity to offer a new product, service, market, process or raw material. It organizes efforts that did not exist before (Kuratko, 2017). One of the qualitiesThe essential part of a good entrepreneur is vigilance. The idea of ​​introducing potless water heaters was born from the theory of entrepreneurial alertness. Developed by Kirzner (1979), the theory defines entrepreneurial alertness as the ability to notice an opportunity without actively seeking information. The theory is based on entrepreneurial consciousness where an individual is sensitive to information about products, circumstances or reacts to behaviors in the environment. As a result, an individual can easily identify markets or user problems (Kirzner, 1979). According to the theory of entrepreneurial alertness, an entrepreneur can find an opportunity thanks to his previous knowledge, in particular thanks to his skills, his interests or his hobbies related to work (Kirzner, 1979). I am very interested in heating gadgets, and over the years I have devoted most of my time to studying the principles of operation of this equipment. I'm familiar with electric kettles, and in studying how they work, it got me thinking about an alternative way of heating water without necessarily putting it in the kettle. This is consistent with entrepreneurial alertness theory which states that people tend to observe circumstances in which they had prior knowledge, and their knowledge helps them recognize and value new information. Entrepreneurial alertness is also defined as the ability to recognize competitors. market imperfections (Malerba, 2015). Competitive market imperfections arise when firms in the same industry do not fully understand information about technology, demand, or the various determinants of competition within the industry. Whenever there are competitive imperfections in the market, there is a high probability that certain economic factors in the market will generate economic profits. Therefore, entrepreneurial alertness is a person's ability to recognize opportunities that can result in economic profits (Malerba, 2015). Since there is nothing comparable to potless water heaters on the market, I thought about the economic benefits that can be obtained if they are manufactured, and that is why I chose to offer these products. Kirzner (1979) explains that entrepreneurial vigilance does not mean systematically and rationally seeking an environment conducive to competitive imperfections. However, one discovers competitive imperfections through one's daily activities. In fact, an entrepreneur is shocked to find that no one has taken the initiative to exploit such competitive imperfections. Several gadgets for heating cooking water have been invented, ranging from kettles to saucepans, and no engineer has yet exploited ways to brew tea without a teapot. Therefore, I thought I would come up with a product that would exploit these imperfections. Besides the potless water heater, another preventive alternative idea is to develop a self-stirring pot. Preparing foods such as porridge requires constant stirring. You will realize that endless whirring can sometimes be painful for your forearms. No one has previously exploited this imperfection. So this is also another ideal area to explore. The idea will be to develop an automated cooking machine capable of preparing delicious dishes without any human assistance. The machine can even add the ingredients to prepare food like a normal person. So, as an alternative to making a water heater without a pan, I can develop an automated cooking machine. Product developmentThe value proposition is a statement that gives an image of what the brand offers to prospects (Anderson, et al., 2006). It tells the audience how the product solves the problem at hand, the benefits customers can anticipate, and why the product should be purchased from the company and not its competitors. The value proposition also introduces a company to potential buyers and helps a company make a good first impression (Anderson et al., 2006). It is therefore vital to have a powerful value proposition. My motivation is to create a product that does not exist on the market. The focus will be on an innovative way to heat water easily and quickly without using an electric kettle or pan. Developing the value proposition will be the most crucial part of developing an idea because it helps determine who the product is for, how it improves/solves the problem, and how the product will be presented (Anderson, et al., 2006). The focus will be on customers, the market, competitors and other external forces (PESTEL analysis). After carrying out a PESTEL (Political, Economic, Social, Technological, Environmental and Legal) analysis, the next step will be to create the design and the focus will be on the product name. The product will be named “potless water heater”, which in itself demonstrates innovation and creativity. These steps are to ensure that the product is original and that there are no replicas on the market. The product was selected to be developed following these steps to generate unnoticed economic benefits. According to economic criteria and financial theory of entrepreneurship, an entrepreneur can recognize opportunities through economic return (Hayek, 1945). Entrepreneurship begins with observing unnoticed profit opportunities that have never been exploited before. However, a profit opportunity isn't just waiting for an ordinary individual to observe it and act. When an opportunity is created, other people, especially those close to the opportunity, will generally act quickly (Kirzner, 1979). For example, people working in the technology industry will be the first to observe an opportunity in the industry. People have knowledge relevant to their activities, and economic productivity could be higher when the economic system allows everyone to act on the specific knowledge they possess. According to Hayek (1945), the advantages of a market economy allow each person to act on the basis of their specific knowledge of time and place. The market economy also provides incentives in the form of economic benefits that can be obtained through entrepreneurship. Entrepreneurship is based on giving entrepreneurs the opportunity to retain the profits generated by their businesses. Entrepreneurs also respond to available entrepreneurial opportunities. When there are several opportunities in the market, an entrepreneur will be more careful to find them (Kirzner, 1979). The basis of entrepreneurship is observing previously unnoticed profit opportunities. According to Kirzner (1979), entrepreneurship involves recognizing unnoticed profit opportunities. Kirzner (1979) also emphasizes, unlike Schumpeter (1934), the balancing characteristics of entrepreneurship. Kirzner (1979) studied how entrepreneurship takes advantage of previously unnoticed economic benefits to ensure that the economy reaches a state of equilibrium. He also studied how to create these profit opportunities and why they remained unrecognized. Kirzner (1979) found that the majority of profit opportunities did not.