Modification History
Not applicable.
Unit Descriptor
Unit descriptor |
This unit describes the performance outcomes, skills and knowledge required to develop business ideas, and to investigate market needs and factors affecting potential markets. Specific legal requirements apply to the management of a micro business. |
Application of the Unit
Application of the unit |
This work will be undertaken by individuals who are establishing or operating a micro business providing for self employment. |
Licensing/Regulatory Information
Not applicable.
Pre-Requisites
Prerequisite units |
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Employability Skills Information
Employability skills |
This unit contains employability skills. |
Elements and Performance Criteria Pre-Content
Elements describe the essential outcomes of a unit of competency. |
Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
ELEMENT |
PERFORMANCE CRITERIA |
1. Describe business ideas |
1.1. Gather information for business ideas from appropriate sources 1.2. List details of business ideas and opportunities 1.3. Research alternative business ideas in light of the resources available 1.4. Specify and list products and services to match business ideas 1.5. Identify and research potential customer information for business ideas 1.6. Identify and take into account financial, business and technical skills available when researching business opportunities |
2. Identify market needs |
2.1. Collect information regarding market size and potential from appropriate sources 2.2. Investigate market trends and developments to identify market needs relative to business ideas 2.3. Gather market information from primary and secondary sources to identify possible market needs in relation to business ideas 2.4. Identify ethical and cultural requirements of the market and their impact on business ideas 2.5. Identify new and emerging markets and document their features 2.6. Identify and organise information on expected market growth or decline and associated risk factors |
3. Investigate factors affecting the market |
3.1. Identify projected changes in population, economic activity and the labour force that may affect business ideas 3.2. Identify movements in prices and projected changes in availability of resources 3.3. Review trends and developments and identify their potential impact on business ideas |
Required Skills and Knowledge
REQUIRED SKILLS AND KNOWLEDGE |
This section describes the skills and knowledge required for this unit. |
Required skills |
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Required knowledge |
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Evidence Guide
EVIDENCE GUIDE |
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The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package. |
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Overview of assessment |
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Critical aspects for assessment and evidence required to demonstrate competency in this unit |
Evidence of the following is essential:
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Context of and specific resources for assessment |
Assessment must ensure:
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Method of assessment |
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
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Guidance information for assessment |
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
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Range Statement
RANGE STATEMENT |
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The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included. |
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Business ideas may be influenced by: |
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Appropriate sources may include: |
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Customer information may include: |
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Primary sources may include: |
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Secondary sources may include: |
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Ethical and cultural requirements may include: |
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New and emerging markets may include: |
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Trends and developments may include: |
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Unit Sector(s)
Unit sector |
Competency field
Competency field |
Management and Leadership - Small and Micro Business |
Co-requisite units
Co-requisite units |
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