The introduction of any new PCC product in the market should be analysed and discussed with detail before proceeding. The potato chips market is very competitive and many companies participate on it. The entrepreneurial ideas are necessary to continue operating in this market for either to conserve the market share or plan some expansion; but always these ideas have an explicit and implicit risk that they should be appropriately analysed, sized and discussed.

As a big picture of this initiative, curry pickled potato chips, it looks not to be a strong entrepreneurial idea because it exists in the market similar products offered by the competence (e.g.: Lay's, Old Dutch, Herr's). But we pretend to develop a fair analysis for the case whether PCC should take this direction offering new products; in this case, due to the existence in the market of similar products of the competence, the analysis will aim in not to lose market instead of to win new markets.

Under the entrepreneurial process:

         The relatively new idea was settled: the initiative of starting with the production of curry pickled potato chips. Although it does not represent a new idea, it could help to PCC for many reasons (e.g. conserve share market, brainstorming for alternatives, generation of new ideas, trigger of improvements in any part of the PCC value chain);

         Identifying opportunity: PCC has the opportunity of not to lose market share following what other companies are doing in case that the public have accepted this kind of products;

         The screening process will help in many issues and it will be a key part of the analysis and discussion process for the new entrepreneurial idea. It should involve many social, economic, political and technological factors. This process will allow knowing the acceptance or not of the similar product released by the competence. It will know the potential acceptance of this product in the area where PCC operate and the possibility of expanding to other areas, consumer segments, etc.;

         This screening process will help PCC knowing the competitive advantages/disadvantages in being involved in the development of this product; and

         A key analysis for a new product/idea is to size it in term of business opportunity and added value to the stakeholders. It should assess the risks in the development of the product as well as the forecast of many variables (e.g. sales, rate of acceptance, competence reaction, market reaction, investment).


As summary we assume that the Business Plan was developed and because the idea:

         does not represent many changes in the PCC value chain, only in few parts of it;

         is similar to other PCC products (flavoured potato chips); this gives to PCC a quick and not expensive option to try this new idea, with very low financial risk;

         was tested by the competence in other market with relative success;

         could allow to PCC to avoid the introduction of the competence in PCC sectors/market; and

         gives to PCC a new communicational opportunity to its customers.

We could estimate that this idea could help in the PCC business and add value to the stakeholders.

In addition, it is clear that this idea does not represent an important change in the PCC value chain and PCC has the resources available to develop it. PCC will need to add some new customer provider of the new products, minor changes in the value chain and to strongly work in the communicational area to give to know the new product. In this way, buying an existent enterprise looks not to be a good option and PCC should develop the product.

I think the initiative fit with the three components of the model and it could receive the approval for being developed it. The risks associated to this idea are very low and PCC could remain them under control.

PCC is a big company, working in a very competitive market, with many value chains in the whole process. I think that corporation is the better option because:

         the specialized management will help to manage the company in the competitive market;

         the limited liability is important characteristic face on the broad of the PCC value chain and market;

         the trademark is an important asset for PCC; it costs money and resources to establish a good and very well known trademark. Corporation allows continuing operation in the business over the time and minimize the risk for the investment in trademark, patents, industrial designs and copyright.

         Easy raise of money is PCC plans to expand the market, or simply needs money for a new business strategy.

         In addition, because PCC exists, the typical weaknesses of corporations such as start-up costs, stakeholder revolts and regulations present a minimal risk.

For the development of this product, the business failure possibility is minimal:

         PCC has professional management people working, with experience in the development of new product; the only precaution that PCC should take is to design as responsible of this new product someone with experience in new products or supervised by someone with enough experience.

         PCC has experience and specialized marketing and financial capabilities.

         PCC has specialized production capabilities, in people and technology.

         Personal reasons and disasters represent a minimum risk.

         PCC has enough capital or possibility to raise it for this new idea; in addition, this new product does not require an important investment.

In other way, PCC presents strength in the commons reasons for success:

         Hard work, PCC is a competitive company, with people oriented to challenges, hard work and dedication.

         Very specialized management and with experience in the development of new products.

         The business case shows that the demand of the product exist in the area where PCC works.


The main reasons to fail with this new initiative are related with the market reaction; there is not important risk associated with process in the PCC value chain. The most important reasons to fail are related with wrong business case analysis, forecast for market demand for the new product, forecast for competence reaction.

The success of this initiative will strongly depend of the market analysis and the business case; if the market rejects this product or it is enough good that the competence reacts quickly should be analysed with detail. Other issues related with the production of the product do not represent a risk if PCC work with the experimented people and departments.