Application
This unit describes the skills and knowledge required to undertake self-evaluation to determine whether identified business opportunities are realistic.
It applies to individuals who critically examine potential business ideas by identifying gaps in the marketplace.
No licensing, legislative or certification requirements apply to this unit at the time of publication.
Elements and Performance Criteria
ELEMENT | PERFORMANCE CRITERIA |
Elements describe the essential outcomes. | Performance criteria describe the performance needed to demonstrate achievement of the element. |
1. Explore potential business ideas | 1.1 Identify products and services available from micro and small businesses 1.2 Identify products and services not available in the existing market 1.3 Determine opportunities for new micro businesses based on gaps in available goods and services 1.4 Identify and utilise a range of sources to gather information about micro business opportunities identified 1.5 Outline processes to be undertaken by the micro business to provide products or services |
2. Compare personal skills and aspirations with micro business opportunities | 2.1 Identify personal reasons for entering into a micro business in realistic terms of own personal commitments, expectations and capabilities 2.2 Match personal capabilities realistically with identified business opportunities 2.3 Examine personal commitments, expectations and capabilities to realistically identify impact on preferred business opportunity 2.4 Examine options to address and minimise negative impact and strengthen positive impact of these aspects |
3. Access business learning opportunities, mentoring and advice | 3.1 List skills and knowledge required to develop and operate, to maximise the business opportunity 3.2 Identify and interpret business information and terminology 3.3 Identify gaps in personal skills and knowledge needed for the business 3.4 Identify appropriate learning opportunities to rectify gaps in personal skills and knowledge 3.5 Identify potential mentors, advisors, networks and sources of assistance for the business |
Evidence of Performance
Evidence of the ability to:
identify and determine micro business opportunities by locating existing market gaps
demonstrate effective matching of personal attributes with micro business opportunities, and identification of personnel and skill development opportunities
collaborate with others to identify mentors, advisors and networks to assist micro businesses.
Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.
Evidence of Knowledge
To complete the unit requirements safely and effectively, the individual must:
list the four main business structures used by businesses in Australia
summarise the business fundamentals that make an idea a viable business proposition
explain business benchmarking
describe personal attributes needed to run a successful small business
explain differences between micro business and large corporations
identify three training courses or support services available to micro business operators.
Assessment Conditions
Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the Management and Leadership – Small and Micro Business field of work and include access to:
relevant legislation, regulations, standards and codes
internet access to research existing market
relevant workplace documentation and resources
case studies or where possible, real situations
interaction with others.
Assessors of this unit must satisfy the requirements for assessors in applicable vocational education and training legislation, frameworks and/or standards.
Foundation Skills
This section describes language, literacy, numeracy and employment skills incorporated in the performance criteria that are required for competent performance.
Skill | Performance Criteria | Description |
Learning | 2.4, 3.3-3.5 | Analyses skills gaps and development needs to identify professional learning needs Identifies appropriate development opportunities to achieve learning goals |
Reading | 1.1, 1.4, 3.2 | Interprets textual and numerical information to determine business requirements |
Writing | 3.1 | Uses clear and relevant language to convey personal information, requirements and recommendations |
Oral Communication | 1.4, 3.5 | Articulates clearly and confidently using specific and relevant language suitable to audience |
Numeracy | 3.2 | Extracts, evaluates and compares numerical information |
Navigate the world of work | 2.1, 2.2, 2.4 | Regularly reviews current situation and future business options, developing strategies to address some factors that may limit choices |
Interact with others | 1.4, 3.5 | Establishes rapport and builds relationships with people who can assist with new business opportunities |
Get the work done | 1.1-1.4, 2.2, 2.3 | Selects or supports new ideas on basis of their contribution to achievement of broader goals Makes final decisions using clear priorities and criteria May operate from a broad conceptual plan, developing operational detail in stages, regularly reviewing priorities and performance during implementation |
Sectors
Management and Leadership – Small and Micro Business