Question

3.1 Foundations of opportunity recognition and
evaluation (cont.)
3.1.1 The cognitive approach to opportunity recognition and evaluation
• Cognitive approach: Deals with the entrepreneur’s preferred way of gathering,
processing and evaluating information
• Opportunities come from complex patterns of changing conditions in technology, the
external environment (economical, political, social and demographic) and the
entrepreneur’s personal situation
• The entrepreneur needs cognitive skills to gather, process, evaluate and use the
information from these changing conditions to recognise and evaluate viable
opportunities
paraphrase in short and simple terms

Answer 1

3.1 Foundations of opportunity recognition and evaluation (cont.)
3.1.1 The cognitive approach to opportunity recognition and evaluation
- The cognitive approach focuses on how entrepreneurs prefer to collect, process, and assess information.
- Opportunities arise from various changing factors, including technology, the economy, politics, society, demographics, and the entrepreneur's own circumstances.
- Entrepreneurs must have cognitive skills to gather, analyze, and use information from these factors to identify and assess potential opportunities.