11

TVL
Computer Systems Servicing
Module 3: Environment and Market
Week 3-4, Quarter 4

FRITZ C. PEÑOSA

SUPPORT MATERIAL FOR INDEPENDENT LEARNING ENGAGEMENT (SMILE)

A Joint Project of the

SCHOOLS DIVISION OF DIPOLOG CITY
and the
DIPOLOG CITY GOVERNMENT
TVL – Grade 11
Support Material for Independent Learning Engagement (SMILE)
Quarter 1 – Module 3: Environment and Market
First Edition, 2020

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 What I Need to Know

COURSE TITLE: Computer Systems Servicing NC II

MODULE TITLE: Environment and Market (EM)

This module covers the knowledge and skills needed in Environment and
Market following to standards. This module incorporates self-check, information
sheet and activity sheets.

LEARNING OUTCOMES:

At the end of this module, you are EXPECTED to:

LO 4: Develop a product/service in computer systems servicing.

4.1 Identify what is of “value” to the customer

4.2 Identify the customer
4.3 Explain what makes a product unique and competitive
4.4 Apply creativity and innovative techniques to develop marketable
product
4.5 Employ a USP to the product/service

What I Know

In this activity your prior knowledge and experience related to personal

entrepreneurial competencies will be assessed.

Pre-Assessment

A. Identification

Directions: Describe the following if it is belonging to the Needs or Wants in

each item below. Write your answer on a one whole sheet of paper.

1. Rice 6. Electric Fan

2. Car 7. Bags
3. Cell phone 8. Internet
4. Water 9. House & Lot
5. Education 10. Comfort Room

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B. Multiple Choice
Directions: Choose the letter of the CORRECT answer. Write your answer in your
activity notebook.
1. What is generated by examining the goods and services sold in the community?
A. business creation C. business concept
B. business pricing D. business idea
2. What do you call to the process of making new products which will be sold to the
customers?
A. product analysis C. product development
B. product conceptualization D. product implementation
3. Which of the option is considered luxuries, advantages, and desires that every
individual considers beyond necessary?
A. wants B. desires C. requirements D. needs
4. What is a factor or consideration presented by a seller as the reason that a
product or service is different from and better than that of the competition?
A. unique selling plan C. unique pricing policy
B. unique selling proposition D. finding value-added
5. A stage in which the needs of the target market are identified, reviewed, and
evaluated.
A. concept development C. project development
B. economic analysis D. refine specification
6. It is the introduction of new ideas to make the product and services more
attractive and saleable to the target customers.
A. new idea C. product development
B. creativity D. innovation
7. It is a managerial tool used to assess the environment and to gather important
information that can be used for strategic planning.
A. scanning C. WOTS Analysis
B. SWOT Analysis D. survey analysis
8. It is creating names, symbol, or designs that identifies and differentiates a
product from the other products.
A. product naming C. branding
B. unique selling proposition D. tagline
9. It is a meaningful and unforgettable statement that captures the essence of the
brand.
A. product naming C. branding
B. unique selling proposition D. tagline

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10. These are things that people cannot live without.
A. wants B. desires
C. requirements D. needs

ENVIRONMENT AND
Lesson
MARKET (EM)
At the end of this module, you are expected to:

 Identify what is of “value” to the customer

 Identify the customer
 Explain what makes a product unique and competitive
 Apply creativity and innovative techniques to develop marketable
product
 Employ a USP to the product/service.

What’s In

Unlocking of Difficulties

Below are the terms you will encounter upon going through this
module:

 Marketplace - the arena of competitive or commercial dealings

 Product development - incorporates a product’s entire journey
 Product - can be a service or an item
 Needs - essential to an individual to live with dignity and pride
 Wants - considered above all the basic necessities of life.
 SWOT Analysis - is a managerial tool used to assess the environment
and to gather important information that can be used for strategic
planning.
 Branding - creates a name, symbol or design that is easily identifiable
as belonging to the company
 Tagline - meaningful and unforgettable statement that captures the
 essence of the brand
 Business Concept - generated by examining the goods and services
sold in the community

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 What’s New

Activity 1: Guide Questions:

Directions: Read and study the guide questions below. Write your answer
in your activity notebook.

1. How does one determine the product or services to be produced and/or to

be provided to the target customers?

2. When can one say that a certain product has “value?”

3. Does applying creativity to your product or services important? Why?

4. How can one effectively respond to the needs of the target customer?

5. Using self-assessment, explain the level of your confidence in formulating

a business idea.

What is It

Todays, one of your notable dreams in life is to become a victorious

entrepreneur. As individual, you can develop your character and personality
and know how to respond to some business struggles and opportunities.

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You can make things possible by point out the opportunities around you.
You may considered ask yourself the following questions: What do people
need? What products and services are available in the market nowadays?
Can product be improved? How are they made or delivered? Can things be
done better? faster? cleaner? cheaper? Can a product which is used for
certain purpose be also used for other purposes? You steadily find answers
to these questions as you decide to do the first step in launching a business
enterprise. Be cautious however, that you should develop a habit of
identifying opportunities around you. Only then, you will find the activity
both exciting and easy.

When we talk of product development, we are referring to a process

of making a new product to be sold by a business or enterprise to its
customers. Product development may involve modification of an existing
product or its presentation, or formulation of an entirely new product that
satisfies a newly defined customer’s needs, wants and/or a marketplace.

The term development in this module refers collectively to the entire

process of identifying a market opportunity, creating a product to appeal to
the identified market, and testing, modifying, and refining the product until
it becomes ready for production.

There are basic, yet vital questions that you can ask yourself about
product development. When you find acceptable answers to them, you may
now say that you are ready to develop a product and/or render services.

These questions include the following:

1. For whom are the product/services aimed at? 2. What benefit will the
customers expect from product/service? 3. How will the product/service
differ from the existing brand? From its competitor?

In addition, needs and wants of the people within an area should also
be taken into big consideration. Everyone has his/her own needs and wants.
However, each person has different concepts of needs and wants. Needs in
business are the important things that an individual cannot live without in a
society. These include:

1. basic commodities for consumption,

2. clothing and other personal belongings,

3. shelter, sanitation and health, and

4. education.

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 Basic needs are essential to an individual to live with dignity and
pride in a community. These needs can obviously help you generate
business ideas and subsequently to product development.

Wants are desires, luxury and extravagance that signify wealth and
expensive way of living. Wants or desires are considered above all the basic
necessities of life. Some examples of wants or desires are: fashion
accessories, expensive shoes and clothes, travels, eating in an expensive
restaurant, watching movies, concerts, having luxurious cars, wearing
expensive jewelry and perfume, living in impressive homes, among others.

Needs and wants of people are the basic indicators of the kind of
business that you may engage in because it can serve as the measure of
your success. Some other points that might be considered in business
undertakings are the kind of people, their needs, wants, lifestyle, culture
and tradition, and their social orientation.

To summarize, product development entirely depends on the needs

and wants of the customers. Another important issue to deal with is the key
concepts of developing a product. The succeeding topic shall enlighten you
about the procedure in coming up with a product.

Concepts of Developing a Product

Concept development is a critical phase in the development of a

product. In this stage, the needs of the target market are identified, and
competitive products are reviewed before the product specifications are
defined. The product concept is selected along with an economic analysis to
come up with an outline of how a product is being developed. Figure 3
shows the stages of concept development of a product.

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 The process of product development follows the following stages:

1. Identify customer needs: Using survey forms, interviews, researches,

focus group discussions, and observations, an entrepreneur can easily
identify customers’ needs and wants. In this stage, the information that can
be possibly gathered are product specifications (performance, taste, size,
color, shape, life span of the product, etc.). This stage is very important
because it would determine the product to be produced or provided.

2. Establish target specifications: Based on customers' needs and reviews

of competitive products, you can now establish target specifications of the
prospective new product and/or services. A target specification is essentially
a wish-list.

3. Analyze competitive products: It is imperative to analyze existing

competitive products to provide important information in establishing
product or service specifications. Other products may exhibit successful
design attributes that should be emulated or improved upon in the new
product or service.

4. Generate product concepts: After having gone through with the

previous processes, you may now develop a number of product concepts to
illustrate the types of products or services that are technically feasible and
will best meet the requirements of the target specifications.

5. Select a product concept: Through the process of evaluation between

attributes, a final concept is selected. After the final selection, additional
market research can be applied to obtain feedback from certain key
customers.

6. Refine product specifications: In this stage, product or services

specifications are refined on the basis of input from the foregoing activities.
Final specifications are the result of extensive study, expected service life,
projected selling price among others are being considered in this stage.

7. Perform economic analysis: Throughout the process of product

development, it is very important to always review and estimate the
economic implications regarding development expenses, manufacturing
costs, and selling price of the product or services to be offered or provided.

8. Plan the remaining development project: In this final stage of concept

development, you can prepare a detailed development plan which includes
list of activities, necessary resources and expenses, and development
schedule with milestones for tracking progress.

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Finding Value

People buy for a reason. There should be something in your product

or service that would give consumers a good reason to go back and buy
more. There must be something that will make you the best option for target
customers; otherwise, they have no reason to buy what you are selling. This
implies further, that you offer something to your customers that will make
them value your product or service.

The value you incorporate in your product is called value proposition.

Value proposition is a believable collection of the most persuasive reasons
why people should notice you and take the action you’re asking for. It is
what gets people moving, what makes people spend for your product or
service.

Innovation

Innovation is the introduction of something new in your product or

service. This may be a new idea, a new method, or a new device. If you want
to increase your sales and profit, you must innovate. Some of the possible
innovations for your products are change of packaging, improvement of
taste, color, size, shape, and perhaps price. Some of the possible innovations
in providing services are application of new and improved methods,
additional featured services, and possibly freebies.

Unique Selling Proposition (USP)

Unique Selling Proposition is the factor or consideration presented by

a seller as the reason that one product or service is different from and better
than that of the competition. Before you can begin to sell your product or
service to your target customers, you have to sell yourself in it. This is
especially important when your product or service is similar to your
competitors. USP requires careful analysis of other businesses' ads and
marketing messages. If you analyze what they say or what they sell, not just
their product or service characteristics, you can learn a great deal about
how companies distinguish themselves from competitors. Here's how to
discover your USP and how to use it to increase your sales and profit: Use
empathy: Put yourself in the shoes of your customers. Always focus on the
needs of the target customers and forget falling in love with your own
product or service. Always remember, you are making/providing this
product not for yourself but for the target customers to eventually increase
sales and earn profit. Essential question such as what could make them
come back and ignore competition, should be asked to oneself. Most
possible answers may be focused on quality, availability, convenience,
cleanliness, and reliability of the product or service. Identify customer’s
desires. It is very important for you to understand and find out what drives

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and motivates your customers to buy your product or service. Make some
effort to find out, analyze and utilize the information that motivates the
customers in their decision to purchase the product or service.

Discover customer’s genuine reasons for buying the product.

Information is particularly important in decision making. A competitive
entrepreneur always improves their products or services to provide
satisfaction and of course retention of customers. As your business grows,
you should always consider the process of asking your customers important
information and questions that you can use to improve your product or
service.

What’s More

Activity 2. Concepting your own business

Directions: Select your own business and answer the following guide
questions. Use a separate sheet of paper.
1. How did you identify your customers?

2. What were your considerations in selecting your customers?

3. Explain how your product or service became unique to other products.

4. Did you consult somebody before you engaged in this business? Cite /
give sample insights that you gained from the consultation.

5. What were your preparations before you started the actual business?

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6. What creative and innovative techniques did you adapt in the
development of your product or service?

7. What strategy did you consider to create a unique selling proposition to

your product or service?

What I Have Learned

o Product development entirely depends on the needs and wants

of the customers.

o The value you incorporate in your product is called value

proposition. Value proposition is a believable collection of the
most persuasive reasons why people should notice you and take
the action you are asking for. It is what gets people moving,
what makes people spend for your product or service.

o If you want to increase your sales and profit, you must

innovate. Some of the possible innovations for your products
are change of packaging, improvement of taste, color, size,
shape, and perhaps price.

o Unique Selling Proposition (USP) requires careful analysis of

other businesses' ads and marketing messages. If you analyze
what they say or what they sell, not just their product or service
characteristics, you can learn a great deal about how companies
distinguish themselves from competitors.

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 What I Can Do

Activity 3: Product Conceptualization

Directions: In a separate sheet of paper or in your notebook. Develop your
own concept of your product or service by using the figures on this page.
Use bullets in every stage of product conceptualization in listing important
key ideas.

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 Assessment

A. Identification

Directions: Describe the following if it is belonging to the Needs or Wants in

each item below. Write your answer on a one whole sheet of paper.

1. Rice 6. Electric Fan

2. Car 7. Bags
3. Cell phone 8. Internet
4. Water 9. House & Lot
5. Education 10. Comfort Room
B. Multiple Choice
Directions: Choose the letter of the CORRECT answer. Write your answer in
your activity notebook.

1. What is generated by examining the goods and services sold in the

community?
A. business creation C. business concept
B. business pricing D. business idea
2. What do you call to the process of making new products which will be
sold to the customers?
A. product analysis C. product development
B. product conceptualization D. product implementation
3. Which of the option is considered luxuries, advantages, and desires that
every individual considers beyond necessary?
A. wants B. desires C. requirements D. needs
4. What is a factor or consideration presented by a seller as the reason that
a product or service is different from and better than that of the
competition?
A. unique selling plan C. unique pricing policy
B. unique selling proposition D. finding value-added
5. A stage in which the needs of the target market are identified, reviewed,
and evaluated.
A. concept development C. project development
B. economic analysis D. refine specification

12
6. It is the introduction of new ideas to make the product and services more
attractive and saleable to the target customers.
A. new idea C. product development
B. creativity D. innovation
7. It is a managerial tool used to assess the environment and to gather
important information that can be used for strategic planning.
A. scanning C. WOTS Analysis
B. SWOT Analysis D. survey analysis
8. It is creating names, symbol, or designs that identifies and differentiates a
product from the other products.
A. product naming C. branding
B. unique selling proposition D. tagline
9. It is a meaningful and unforgettable statement that captures the essence
of the brand.
A. product naming C. branding
B. unique selling proposition D. tagline
10. These are things that people cannot live without.
A. wants B. desires
C. requirements D. needs

13
Answer Key

Activity 3 – Answers may vary

Activity 2 – Answers may vary
Activity 1 – Answers may vary

10. D
9. D
8. C
7. B
6. D
5.
A B
4.
A 3.
2. C
1. C
B. Multiple Choice

10. N
9.
N
N 8.
7.
W
W 6.
5.
N
4.
N
N 3.
2.
W
N 1.
A. Identification
Pre-Assessment/Evaluation

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References

https://www.lexico.com/en/definition/marketplace
https://www.productplan.com/what-is-product-development/
https://www.slideshare.net/gilbertbautista3/module-2-environment-market
https://economictimes.indiatimes.com/definition/product

Lujero, R., et. al, (2014). Computer Hardware Servicing – Grade 10 Learner’s
Material First Edition. Pasay City, Philippines. Department of Education-
Instructional Materials Council Secretariat (DepEd-IMCS).

Milambiling, O., et. al, (2013). Computer Hardware Servicing – Grade 9

Learner’s Material First Edition. Pasay City, Philippines. Department of
Education-Instructional Materials Council Secretariat (DepEd-IMCS).

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