Determining Market Segments for Entrepreneurial Ventures: The SPI Matrix
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abstract
Both individual innovation and innovation within organizations - forms of entrepreneurship and new venture creation - are increasing. Better market analysis could increase the potential success of these new ventures. This paper presents an enhanced approach to market analysis: the Strategy Product Industry (SPI) Matrix. A key element of this market analysis is the determination of the appropriate market segments to be reached and the segments to be ignored. In addition to helping entrepreneurs focus on suitable market segments, the SPI Matrix can provide guidance in evaluating differentiation and cost strategies. Already successfully used for numerous organizations, the SPI Matrix integrates strategic market planning with product/industry decision-making by considering product and industry combinations grouped together with various strategies. [PUBLICATION ABSTRACT]
