NAME: GRADE & SECTION:

TEACHER’S NAME: CHRISTY E. PARINASAN

Senior High School Department

S.Y. 2021-2022
2nd Semester
ENTREPRENEURSHIP Subject: Entrepreneurship
ND
2 SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022
Subject
vGrade Level: Quarter/Term: Date: Week: Module Number:
Classification:
12 APPLIED MIDTERM Jan. 24-Feb. 24, 2022 Week 5&6 3

Most Essential Learning

Topic/s Content Standard/s: Performance Standards Learning Objectives
Competencies (MELCs)
At the end of the lesson, the students can:
Recognize a potential market
 Identify entrepreneurial opportunities;
The learner independently  Differentiate the five forces competing
The learner demonstrates  Analyze the market
or with his/her classmates within the business industry;
understanding of concepts, need
presents an acceptable  Analyze the market need; and
underlying principles, and  Determine the possible
RECOGNIZE A
detailed business plan.  List examples of similar products to
processes of developing a product/s or service/s that will
offer to the consumers in the absence
POTENTIAL business plan. meet the need;`
of the other product.
MARKET  Screen the proposed
solution/s based on
viability, profitability, and
customer requirements; and
Select the best product or
service that will meet the market
need.

Values Integration: Self-reliance

Google Classroom Code: 12G/12P/12I :
12 Stewardship:
12 Excellence:
NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022

TOPIC/S: RECOGNIZE AND UNDERSTAND THE MARKET

Let’s check first what you already know. _____ 7. The industry environment of the business is under technological discovery
True or False. On the space provided before the number, write T if the statement is and advancement sources of opportunities.
true and F if the statement is false. _____ 8. The variables in the physical environment include the economic forces.
_____ 9. Entrepreneurial heart flame refers to the ability of the entrepreneur to sense
_____ 1. An entrepreneur enters a business because of its profitability. without using the five senses.
_____ 2. New business ideas provide business opportunities. ____ 10. Entrepreneurial mind frame permits the entrepreneur to see things in a very
_____ 3. The entrepreneurial process starts with identification of entrepreneurial positive and optimistic light.
opportunities. _____11. The business operates in the industry environment.
_____ 4. Not all changes in the external environment provides business ____ 12. Opening a Halo – halo business during summer season is ideal.
opportunities. ____ 13. Environmental scanning is conducted only when a new business is opened.
_____ 5. Discovery and advancement in the use of technology are additional good ____ 14. When the barriers to the competitive forces are high, the effect to the
sources of business opportunities. growth of the business is likewise high.
_____ 6. Interest and hobbies of the people are possible good sources of _____15. Entrepreneurs need not observe and evaluate the priorities of the
entrepreneurial ideas. government.

DISCUSSION

Entrepreneurial Ideas
The entrepreneurial process of creating a new venture is presented in the
The creation of an entrepreneurial idea leads to the identification of diagram below. (Nick L. Aduana, Etrepreneurship in Philippine Setting for Senior
entrepreneurial opportunities, which in turn results in the opening of an High School, 2017, C&E publishing page 46, Aduana, 2017).
entrepreneurial venture.

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NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Senior High School Department

S.Y. 2021-2022
2nd Semester
ENTREPRENEURSHIP Subject: Entrepreneurship
ND
2 SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022
A person with an entrepreneurial drive views these changes positively. External
environment refers to the physical environment, societal environment, and industry
environment where the business operates.
1.1 The Physical environment includes
a. Climate – the weather conditions.
b. Natural resources – such as minerals, forests, water, and fertile land that
occur in nature and can be used for economic gain.
Figure 1. The Entrepreneurial Process of Creating New Venture Essentials in c. Wildlife – includes all mammals, birds, reptiles, fish, etc., that live in the wild.
Entrepreneur’s Opportunity – Seeking
1.2 The Societal environment includes the various forces like
These are the basic foundation that the entrepreneur must have in seeking a. Political forces – includes all the laws, rules, and regulations that govern
opportunities: business practices as well as the permits, approvals, and licenses necessary
to operate the business.
Entrepreneurial mind frame. This allows the entrepreneur to see things in a very b. Economic forces – such as income level and employment rate.
positive and optimistic way in the midst of difficult situation. Being a risk - taker, an c. Sociocultural forces – customs, lifestyles and values that characterize a
entrepreneur can find solutions when problems arise. society.
d. Technological environment – new inventions and technology innovations.
Entrepreneurial heart flame. Entrepreneurs are driven by passion; they are attracted
to discover satisfaction in the act and process of discovery. Passion is the great desire 1.3 The Industry environment of the business includes:
of an entrepreneur to achieve his/her goals. a. Competitors
b. Customers
Entrepreneurial gut game. This refers to the ability of the entrepreneur of being c. Creditors
intuitive. This also known as intuition. The gut game also means confidence in one’s d. Employees
self and the firm belief that everything you aspire can be reached. e. Government
f. Suppliers
Sources of Opportunities For example, one factor in the physical environment that can easily change is the
There are many ways to discover opportunities. Looking at the big picture, climate. The temperature is very high during summer but very low during the rainy
some have noticed the emerging trends and patterns for business opportunities. While season. An individual with entrepreneurial drive can be extremely imaginative and
others are trying to find out their target market. The following are some sources of inventive in identifying opportunities. He/she can venture on a business that responds
opportunities: to the needs of the people during summer and rainy season .

1. Changes in the environment 2. Technological discovery and advancement

Entrepreneurial ideas arise when changes happen in the external A person with entrepreneurial interest sees possibility of business
environment. opportunities in any new discovery or because of the use of latest technology.
NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022
For example, an individual with knowledge in repair and installation of
a machine engine discovers additional engine parts that considerably reduce 1. Buyers
fuel consumption. The buyers are the ones that pay cash in exchange for your goods and
services. One example is the influence of the price or in the bargaining strategy. The
3. Government’s thrust, programs, and policies buyer has a strong and magnified bargaining power. The threat of its bargaining
The priorities, projects, programs, and policies of the government are also power will be less if the following factors are noticed:
good sources of ideas. a. There are several suppliers available in the market.
For example, the use of firecrackers to celebrate New Year’s Eve is strictly b. The buyer has the potential for backward integration.
prohibited. People without entrepreneurial interest will view the ordinance as a plain c. The cost of switching the supplier cost is minimal.
restriction. However, for an entrepreneur, it is a business opportunity to come up with d. The product represents a high percentage of the buyer’s cost.
a new product that will serve as a substitute for firecrackers. e. The buyer purchases large portions of the seller’s product or services.
2. Potential New Entrants
4. People’s interest A new entrant is defined as companies or businesses that have the ability to
The interest, hobbies, and preferences of people are rich sources of penetrate or enter into a particular industry. For example, in the level of capital
entrepreneurial ideas, like the increasing number of Internet Cafés at present could requirements, if the business requires huge capital, new entrants should decline to
lead to the strong attachment of young people to computers. join the business. This gives a threat to the business. This can be noticed if there is
the presence of the following factors:
5. Past experiences a. Substantial capital requirement
The expertise and skills developed by a person who has worked in a particular b. Strict government policy
field may lead to the opening of a related business enterprise. c. Difficulty in accessing distribution channels
For example, an accountant who has learned the appropriate accounting and d. Economies of scale
management skills and techniques in a prominent accounting firm can start his/her e. High cost of product differentiation
business venture by opening his/her own accounting firm. f. High switching cost
3. Rivalry among Existing Firms
Forces of Competition Model Rivalry is a state or situation wherein business organizations are
It is also known as the “five forces of competition”. An industry environment is competing with each other in a particular market. For example, it depends on the
a competitive environment. Regardless of what product or services you have, marketing strategy of your competitor, like giving freebies and special offers. The
competition is always present. intensity of rivalry among existing firms is characterized to the following factors:
Competition – it is the act or process of trying to get or win something. a. Diversity of rivals
For example, the prices are lower when there is a competition among b. Number of competing firms
the stores. c. Characteristics of the products or services
These are the five forces competing within the industry: d. Increased capacity
 Buyers e. Amount of fixed costs
 Potential new entrants f. Rate of industry growth
 Rivalry among existing firms 4. Substitute Products
 Substitute products Substitute is one that serves the same purpose as another product in
 Supplier the market. For example, the consumers decide to use margarine as a

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NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022
substitute for butter. In case the price of butter increases, preferably the consumer
will gradually switch to margarine.
A substitute product can give a big threat in the industry environment if the following
factors are noticed:
a. Switching cost is low
b. Preferences and tastes of the customers easily change
c. Product differentiation is highly noticeable WORD HUNT
d. The quality of substitute products dramatically improves
e. The price of substitute product is substantially lower Direction: Look for words in the puzzle related to the topic may it be horizontally,
vertically, or diagonally. Write the words on the space provided below.
5. Suppliers
The Suppliers are the one that provide something that is needed in
business operations such as office supplies and equipment. In an example where
supplies and services being offered is unstable the intensity of the threat is strong in
this kind of the competitive force in the industry. This can be noticed if there is the
presence of the following factors:
a. The supplier has the ability for forward integration
b. Suppliers in the industry are few, but the sales volume is high
c. Substitute products are not readily available in the market
d. The switching cost is very high
e. The product or service is unique

1.______________________ 6. _________________________
2.______________________ 7._________________________
3.______________________ 8.__________________________
4. ______________________ 9.__________________________
5._______________________ 10.__________________________

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NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Senior High School Department

S.Y. 2021-2022
2nd Semester
ENTREPRENEURSHIP Subject: Entrepreneurship
ND
2 SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022

 Essentials of entrepreneur’s opportunity – seeking – these are the

Business industries offer products and services. The activity of making, buying, basic foundation that the entrepreneur must have in seeking opportunities,
or selling goods or providing services in exchange of money is called business. such as entrepreneurial mind frame, heart flame and gut game.
Product is something that is made or grown to be sold or use, or something that is  External environment - refers to the physical environment, societal
result of a process. Services are those intangible products where there is a skill environment, and industry where the business operates.
Involved and has a value.  Government - refers to the local government (municipality, city, or provincial)
or the national government and its branches.
REMEMBER THESE KEY POINTS:  New entrants – the one who enters something.
 Opportunity – seeking – the process of considering, evaluating, and
 Buyers – are the ones who pay cash in exchange for your goods and services. pursuing market-based activities that are accepted to be beneficial for the
 Competition – it is the act or process of trying to get or win something. business.
 Entrepreneurial process - can be defined as the steps taken in order to begin  Rivalry – is a state or situation in which people or groups are competing with
a new enterprise. It is a step-by-step method one has to follow to set up a each other.
business.  Sources of opportunity - can be attained by assessing and looking at
 Entrepreneurial ideas - an innovative concept that can be used for financial changes in the environment; technological discovery and advancement;
gain that government’s thrust, programs, and policies; people’s interest, and past
is usually centered on a product or service that can be offered for money. experiences.
 Substitute – anything that takes the place or function of another.
 Suppliers – are the ones who provide something that is needed or wanted.
NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022

RECOGNIZE AND UNDERSTAND THE MARKET

ACTIVITY 1 ACTIVITY 2
COMPLETE ME
Complete the table below by supplying it with products that you consider similar. Write
the product and not the brand in their respective columns. Then describe and
differentiate its characteristics and uses.

POST ASSESSMENT

Direction: Encircle the letter of the correct answer.

1. It is the process of considering, evaluating, and pursuing market-based activities
that are believed to be advantageous for the firm.
A. Opportunity – seeking C. Opportunity – screening
B. Opportunity – seizing D. Sources of opportunity
2. This is essential to opportunity – seeking which allows the entrepreneur to see
things in a positive and optimistic light in the midst of crisis or difficult situations.
A. Entrepreneurial mind frame C. Entrepreneurial heart flame
B. Entrepreneurial gut game D. Entrepreneurial heart frame
3. It is the ability of entrepreneur to sense without using the five senses, also known
as intuition.
A. Entrepreneurial mind frame C. Entrepreneurial heart flame
B. Entrepreneurial gut game D. Entrepreneurial heart frame
4. One of the essentials of entrepreneur’s opportunity – seeking that refers to the
driven passion of an individual.
A. Entrepreneurial mind frame C. Entrepreneurial heart flame
B. Entrepreneurial gut game D. Entrepreneurial heart frame

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NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022
5. What variable of societal environment includes income level and employment
rate?
A. Economic forces C. Political forces
B. Sociocultural forces D. Technological forces

For questions 6 and 7 refer to the following statements:

A. Preferences and tastes of the customers easily change.
B. The buyer has the potential for backward integration. DISCOVER ACTIVITY DEVELOPMENTAL ACTIVITY
C. The cost of switching the supplier cost is minimal.
D. Product differentiation is highly noticeable.
6. Which are the factors of the substitute product that pose a great threat in the
industry environment?
A. A, B, C, D C. A and D
B. A and C D. B and C
7. Which are the factors that influence the buyer to have a less threats because of
the bargaining power?
A. A only C. A and D
B. A and C D. B and C
8. They are the ones who pay cash in exchange for your goods and services.
A. Buyers C. Sellers
B. Competitors D. Suppliers
9. The intensity of rivalry among existing firms is characterized to the following
factors except one:
A. Diversity of rivals
B. Number of competing firms
C. Characteristics of the products or services
D. The product represents a high percentage of the buyer’s cost

10. The following are the forces competing within the industry except one:
A. Potential new entrants and Substitute Products
B. Buyers and Suppliers
C. Rivalry among Existing Firms
D. Needs and Wants

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NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022

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NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022

Page | 10
NAME: GRADE & SECTION:
TEACHER’S NAME: CHRISTY E. PARINASAN

Subject: Entrepreneurship
2ND SEM/ MIDTERM, Module Number 3, Period Covered: Jan 24-Feb-4, 2022

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