6A- Identifying Opportunities in Economic and Regulatory Trends

1. (Regulatory Changes) Predicting the next states to legalize marijuana

a. https://www.usatoday.com/story/money/2017/11/14/pot-initiatives-predicting-next-15-states-legalize-marijuana/860502001/

b. Though these states have not legalized recreational marijuana yet, it will most likely happen in the next few years. There is a huge opportunity for entrepreneurs in these states who want to get into the marijuana industry at its very start in these states after legalization passes.

c. The prototypical customer for this opportunity would be most likely anyone over the age of 21 who enjoys smoking marijuana recreationally.

d. I believe once recreational marijuana becomes legal, it will be relatively easy to start a business growing and selling in that state’s marijuana industry. I think so because there are already nine states plus Washington D.C. who have legalized recreational marijuana, so entrepreneurs learn from how others have done it in those states. Also, if a business enters the industry right after the law change, there will be huge room for growth because it will be such a new industry.

e. Why I saw this opportunity: I saw that this as an opportunity because I foresaw other states legalizing recreational marijuana when maybe others might not see that happening for a long time. The only thing from my experience that helped lead me to this decision is my desire for recreational marijuana to be legal statewide. I think it is wrong to imprison people for years for something that is legal in other places in our country, I think it could boost our economy, and I think it is a non-addictive, not dangerous drug that people should have the choice to use or not.

2. (Regulatory Changes) Climate change leading to more natural disasters

a. https://www.thebalance.com/top-usa-future-economic-trends-3305666 (this article for the research on how climate change leads to natural disasters) and https://www.nytimes.com/2017/06/01/climate/trump-paris-climate-agreement.html (explaining how Trump withdrew the U.S. from the Paris climate accord in June, 2017)

b. I believe there is an opportunity for entrepreneurs looking into preventing damage from natural disasters. Since Trump has withdrew the U.S. from the Paris climate accord, this act will only worsen climate change leading to more natural disasters that destroy homes, businesses and cities. Natural disasters including forest fires, flooding from rising sea levels, and hurricanes. Because of this, people will need to look more into flood-proofing and hurricane-proofing their homes along the coasts. Also, entrepreneurs can investigate ways to help prevent forest fires better as well. This is beneficial for entrepreneurs, but bad for our environment, cities, and properties.

c. The prototypical customer would be home owners along the coast who want to keep their home safe from natural disasters by preparing and disaster-proofing it. Another prototypical customer would be those who live near forests where fires are prevalent and want to find ways and products to help prevent wildfires.

d. I think the hurricane and flood proofing the homes for natural disasters along the coast is a fairly simple opportunity to exploit because those products already exist. I think finding ways to help prevent wildfires is a harder case to crack, but I think the opportunity is there.

e. I saw an opportunity because even though many people can see how Trump is against striving to protect our environment and prevent climate change, I think many people may not think to find opportunities from it. People will need entrepreneurs who are finding new ways to protect themselves and their properties from natural disaster. I am emotional about this subject because I want our earth to be protected and us not have to go to these measures to protect our forests and coasts, but because we are in this place I think it is necessary for entrepreneurs to find ways to protect people’s stuff.

3. (Economic Trend) Millennials have entrepreneurial opportunities because many Baby Boomers are staying longer in the workforce

a. https://www.thebalance.com/top-usa-future-economic-trends-3305666

b. I believe there is an opportunity here because this article explains how Baby Boomers are staying in the workforce longer instead of retiring because of the recession. This makes it harder for Millennials to move up in their careers when a lot of the positions are still being filled by the Baby Boomers. This leaves a great opportunity for Millennials to start their own businesses and become their own bosses instead of hunting for jobs in an overflowing workforce.

c. The prototypical customer will be whatever customer Millennials look to target with their entrepreneurial journey. I think a lot of Millennials will look to target other Millennials though because they know them best.

d. I think this opportunity is relatively easy depending on how Millennials choose to approach it.

e. I saw an opportunity from this because I know how a Millennial thinks, because I am one. I think a lot of Millennials won’t want to be told how to do their job by Baby Boomers who have been in the workforce longer than they maybe should be. Millennials are full of new ideas and will want to be able to express those without someone telling them how to do so.

4. (Economic Trend) Interest rates are rising so Millennials will most likely be renting more for longer

a. https://www.thebalance.com/top-usa-future-economic-trends-3305666

b. According to the article above, the Federal Reserve is getting close to its goal of raising the fed funds rate to two percent. If the economy isn’t entering a recession, they will continue to rise the interest rates. This means it will be more expensive to buy rather than rent, especially when it comes to mortgages. Millennials are still trying to get their foot in the door in their careers, meaning it will be very hard for them to afford an expensive mortgage with a high interest rate. I see an opportunity here for entrepreneurs to build lower rent apartments for Millennials. I think this is a great opportunity because there will be so many young adults looking to rent instead of buy at least until the interest rate lowers again.

c. The prototypical customer for this opportunity would be Millennials with an annual income of about $80,000 and below.

d. I think this is a relatively easy opportunity to exploit once buildings and locations are found for the apartments, because I believe the customer base is there and finding residents for the apartments wouldn’t be too difficult.

e. I think I saw an opportunity here that others might not have because I took something negative and looked at it in a more positive way. A lot of people would look at a high interest rate as a negative thing, but I found an opportunity from it. I have always tried to turn something negative into something beneficial instead of dreading the negative the whole time. I think this is what helped me come to this opportunity.