15 Business Terms you should Know - The TEF terms

Business Terminologies? 

Hell no! I don't need it. why do I need to worry about knowing these terms? does it even matter?

These are questions failures ask. This is a competition, there are so many others in need of this seed capital. As a result of how crowded this programme is, so many parameters are considered for accurate disbursement of the seed capital. 

Your business plans and elevator pitch need these business terms to stand out and sound professional from a business-ready-minded applicant. 

As an applicant of the 2023 Toney Elumelu Foundation five thousand US Dollars ($ 5,000) seed capital, it will be an advantage you have over others. Terminology as presented by the TEF team listed below. 

1. Entrepreneur: An entrepreneur is someone who finds new ways to create and capture value in the world around them, creating a company in the process. Entrepreneurship is the process of starting businesses by identifying problems, figuring out solutions, acquiring resources to build the solutions, and managing the required activities.  
2. Problem A problem is some issue that matters so much to a customer that they will spend money to deal with it.
3. Solution A solution is anything that solves a customer’s problem.
4. The Market The market refers to customers in one of two ways. It could mean the total amount of money that customers spend on similar products or services. It could also mean the total number of customers for a product or service. Either way, a market represents a problem that needs to be solved. 
5. Value Proposition A value proposition answers the question “Why does your customer give you money, and not someone else?” It is a simple description of the unique solution that you are providing, based on a customer with a problem. 
6. Key Activities Key activities are the most critical elements of your business’s operation that allow you to offer a compelling solution to your customer’s problem. They are the things the company absolutely must do for it to be successful. 
7. Customer Segments Customers are people who buy your product or service. Segments of customers are specific groups of people who share a problem, and who tend to value your product or service in roughly the same way. Desirable customer segments are answers to the question “Who are the first people that will purchase my company’s product or service?”
8. Problem symptoms Problem symptoms are things that you look for that will support an assumption you are making about a customer and their problem. You should be able to draft a list of problem symptoms before researching customers, then pay attention to see if these things actually show up during your interaction. 
9. Problem statements A problem statement is a simple sentence that clearly lays out a customer and the issue they are having that offers a business opportunity. It usually follows the sentence form “[A customer] needs a better way to [description of customer’s problem] because of [insights about that customer]. 
10. Technological trends Technological trends are long-term, predictable changes related to technology or a group of technologies. Examples would be the falling cost of microprocessors or solar panels. 
11. Demographic trends Demographic trends are long-term, predictable changes related to people. Examples would be falling birth rates in urban areas or the shift from agricultural to industrial and service sector employment.
12. Economic trends Economic trends are long-term, predictable changes related to an economy. Examples would be lower inflation rates or increased deficit spending in developed countries.
13. Political trends Political trends are long-term, predictable changes related to governance. Examples would be increased voter participation rates or rising female representation in legislative bodies in developing countries. 
14. Competitors A competitor is anything that addresses the problem that your customer has. Many entrepreneurs assume that competitors have to be other companies, but this is not always the case. If you are selling a juice drink, your main competitor maybe a soda company or just water.
15. Assumptions Smart entrepreneurs build their business models on assumptions. An assumption is anything you think about your business, your customers, and your solution that can be tested. The point of experimenting is to figure out when your assumptions need to be changed so you can improve your solution.  

Get More Insight on How To Win The Toney Elumelu $5,000 get The TEF Business Format that Works 

Do you need help with other tef resources, leave a comment below.

Also, for preparation for tef exams, you need to Read this.