Entrepreneurship – from ideas to reality
Entrepreneurship – from ideas to reality

Start this free course now. Just create an account and sign in. Enrol and complete the course for a free statement of participation or digital badge if available.

Free course

Entrepreneurship – from ideas to reality

Session 3: Creating value

Introduction

‘A business is a value delivery system.’

(Lanning and Michaels, 1988)

What is meant by a value delivery system and why is this important in starting a new enterprise? It is only by creating something that people are willing to pay for or support that you will make money and be able to sustain your enterprise.

In this session you will start to understand how your business can create value for you through delivering products and services for your customers.

Lanning and Michaels (1988) described a business as a means of delivering value. But for whom? The concept of value is an important one for many reasons and it goes beyond strictly financial meanings of cost or price. For example, sentimental value is nothing to do with financial value, and the price premium we are prepared to pay for an item with an exclusive brand goes beyond the cost of raw materials, and producing and delivering it to the end customer.

By now you should have recognised that all businesses start from an idea or arise from something that people want or need. In this session you will consider different ways of looking at how you can deliver value to users or customers.

By the end of this session, you will be able to:

  • create and describe your business model as a foundation for creating value
  • identify the kind of dilemmas that entrepreneurs face in setting up their business
  • recognise why it is important to remain flexible and willing to adapt and change to be successful.
ENT_1

Take your learning further

Making the decision to study can be a big step, which is why you'll want a trusted University. The Open University has 50 years’ experience delivering flexible learning and 170,000 students are studying with us right now. Take a look at all Open University courses.

If you are new to University-level study, we offer two introductory routes to our qualifications. You could either choose to start with an Access module, or a module which allows you to count your previous learning towards an Open University qualification. Read our guide on Where to take your learning next for more information.

Not ready for formal University study? Then browse over 1000 free courses on OpenLearn and sign up to our newsletter to hear about new free courses as they are released.

Every year, thousands of students decide to study with The Open University. With over 120 qualifications, we’ve got the right course for you.

Request an Open University prospectus371