PHASE 1. TESTING THE BUSINESS MODEL

PHASE 1. TESTING THE BUSINESS MODEL

Insights from the case study Suggested actions

MAIN ACTORS Self-assessment

Quid’s founder managed to deliver her vision and idea to a first restricted group of strongly engaged and motivated friends and university colleagues with entrepreneurial and fashion industry expertise and competences. The latter initially grouped in the form of an Association for Social Purposes (hereinafter the “group of project developers” or “developers”). The first experimental prototypes of accessories were produced in a tailoring laboratory managed by a local social cooperative employing people with fragilities. Some local shops agreed to purchase in advance (or through other commercial agreements) the first prototypes of accessories.  Engage collaborators and teammates with strong entrepreneurial and sector-specific expertise and competence and which can truly relate to your social/environmental goal and vision.  Search for already existing local market operators (i.e., laboratories, shops, industries) which can allow you to experiment and test your business idea.  Search for local retailers (if foreseen in your business model) welcoming your idea and mission and willing to operate as first market intermediaries.  Are the “developers” strongly motivated and engaged with the socially/environmentally oriented vision/idea? Do they have the technical, sector-specific and entrepreneurial capability and expertise?  Are there already existing entrepreneurial activities working in the local context with which the business idea can be experimented and tested?

 Are there local retailers open to believe in the business idea and which can agree to operate as first market intermediaries?

MAIN RESOURCES

Strong motivation, vision and engagement of the founder and of her first group of project developers. Tailoring laboratory of the already existing local social cooperative. Personal means of production and materials: sewing machines owned by the group’s families/relatives. Relatively low start-up economic resources as the production orders to the social cooperative were either already or quickly covered by the previously engaged local shops’ orders/purchase. Wealthy and socially engaged local community (market demand).  Make sure your teammates share the same social/environmental vision.  Rely on an existing production plant/laboratory where to prototype your product/service.  Place your product/service in the marketplace even before beginning with the core production phase.  Make sure there is a market demand for the product/service you intend to offer.  Are the developers strongly engaged and motivated by the same social/environmental vision?  Can the business idea be prototyped in an already existing production plant/laboratory?  Can the business idea guarantee itself a marketplace even before the production phase in order to rely on low starting economic resources?  Is there a market demand for the offered product/service?

MAIN ACTIVITIES

The project developers firstly brainstormed several ideas and solutions in order to provide working opportunities and to restore dignity to people with fragilities. They tested the economic sustainability of different ideas and mainly worked on two different Business Plans: one business model centered on the reuse of second-hand clothes and the other on discarded textiles, which was eventually the idea they decided to carry forward. The first experimental year was mainly devoted to exploring the market in the attempt to understand which products could match the market demand. In particular:

- The first prototypes were designed in the tailoring laboratory managed by a local social cooperative and also in the private homes/garages of the developers.

- Local retailers were then contacted and engaged in the business idea agreeing to sell these accessories and retaining a percentage or through other business understandings.

- The project developers then commissioned the production of these accessories to the local social cooperative, therefore exploiting an already existing tailoring laboratory.  Brainstorm different business models and ideas in order to set up a WISE model.  Test the economic sustainability of your business ideas through well-elaborated

Business Plans. 

“Safely” test and explore the local market demand using few beginning economic resources (i.e., producing first prototypes in an existing laboratory, selling through local retailers which ideally purchased the products in advance).  Is the idea economically sustainable?  Has the idea been adequately validated and tested in the local market?