Reviewer in Trends and Networks:

Lesson 1: Trends and Fads

Trends vs. Fads

 Trend –Is a recurrent phenomenon that takes place over time and gives rise to speculation on the
future. Sequential pattern of changes in recorded data.
 Trend is a general direction into which something is changing, developing, or veering toward new or
different. It is not invented but developed and innovated to have improvement. It’s not all about
technology, not just about fashion.
 Trends affect society, brands, & culture. Trends come in different sizes.
 Trends cannot be invented, but they are the source of innovation
 Trend usually is: Long lived, altered classics, accepted by the wide range of audience.
Trend Analysis- widespread practice of collecting information and attempting to spot a pattern.
Trend Spotter – person who notices and reports on new fashions, ideas, or activities that are
becoming popular.
Trend Spotting – Identification of new trends or attempting to see the future process of trend.
 Fads- are only a short term event. A style or activity that suddenly becomes popular but which
usually does not stay popular for very long.
Fads usually do not have much value.
Fades instantly and only affects a particular group of people.
Few, month popularity only.
False Advertisement
Increase, decrease, and instantly die quickly.
 Elements of a Trend:
1. Number of Participants – Started by an individual or a group of people. The group then grows
into a community as time goes by.
2. Pattern of behavior – formed from repetitive actions of people.
3. Long period of Time –refers to a trend that has a long time frame , sometimes running for a
decade.
4. Cause – element of a trend that has a starting point which can be an idea, technology, event, or
person
5. Consequence – element of a trend that makes considerable influence or impact.
 Characteristics of Trends:
1. Microtrend – “little things that happens all around us all the time.” Synonymous with fads.
Example: Smartphone apps/ games
2. Macrotrends – Provide major changes that are perceptible in the societal level for a longer
period. Example: varying smartphone brands (battle for popularity)
3. Megatrend – Affect the lives of great swathes of the human race. They are big, bold, and can last
for decades. Example: Smartphone which are dependent to the internet.
4. Gigatrends – Trends that are so general that they affect most areas of human life.

Lesson 2: Local Networks

 NETWORK
 A network is a group composed of people who come into occasional contact but lack a sense
of boundaries and belonging (Macionis, 2012). It is a relationship structure wherein the
members of the network are able to share resources with one another.

Kinds of Network:

1. Human Network

2. Knowledge Network

3. Computer Network

4. Trade Network

5. Ecological Network

SOCIAL NETWORK
 A social network is a social structure comprised of individuals joined by a particular pattern of
links or relations. Social networks are indicative of a person or an organization's relations,
membership, links, and connections.
STRATEGIC ANALYSIS
 It involves examination and evaluation of strengths, weakness, opportunities, threats, environments
and resources, with the purpose of drawing up a strategy from the results of the analysis to achieve
certain goals over time. Process of thinking that is more deliberate, reflective, computational, and
rule governed.
 STRATEGY - From the Greek word "strategia" (art of troop ladder; office of general,
command, generalship); it is a general plan to achieve one or more long-term or overall
goals under conditions of uncertainty.
 ANALYSIS - it is a careful study of each part of a whole and understanding how each part and
their relationships with each other result in the world.
 KEY COMPONENTS IN STRATEGIC THINKING:
1. SWOT Analysis - Strengths & Weaknesses - internal things that you have some control over and
can change. Opportunities & Threats - external, things that are on the outside. You can take
advantage of opportunities and protect against threats, but you can't change them.
2. PEST Analysis - It is a scan of the external macro-environment in which an organization exists. It
is a useful tool for understanding the political, economic, socio-cultural and technological
environment that an organization operates in. (P - POLITICAL These include government
regulations) (E-Economic , S- Social, T-Technological)
3. Porter's Five Forces - It evaluates the business power, strengthens the competitive stance and
flow of how the business will advance. SUPPLIER POWER valuation on how convenient it is for
the suppliers to raise the price of their goods/ services. BUYER POWER gauges on how
comfortable it may be for buyers to dive prices down. COMPETITIVE RIVALRY It is where the
thrill comes in as the number of competitors play in the market that will offer different products.
 THREAT OF SUBSTITUTION It is made when buyers purchase substitute products due to the
spiral height of a price increase. THREAT of NEW ENTRY It will take place due to the existence of
new entrepreneurs.

4. Four Corners – Four Corners Analysis It focuses on motivation, management, actions, and
capabilities on the competitor strategic portfolio. Create a profile of the competitor's strategy.
Distinguish their possible response to a variety of strategic plans other competitors may
undertake. Know the competitor's possible reaction to the variety of industry transfer and
changes in the community.

Intuitive Thinking - It is the ability to take what you may sense or perceive to be true without
thorough knowledge or evidence, appropriately considering it as part of one's final decision.
 KEY COMPONENTS IN INTUITIVE THINKING:
Intuitive Thinking Lacks Rationalization- It does not possess any reason nor observation. Little or
no conscious deliberation and sense of independence in any reasoning process.

Intuitive Thinking is not Sequential- Hayashi (2001) states that we are reaching conclusions on
the basis of things that go on our perceptual system, where we are aware of the result of the
perception but we are not aware of the steps.

Intuitive Thinking Includes Insight- It is deliberation without attention. Intuition is a shortcut, in

that it bypasses the step-by-step process.

Immediacy- Intuitive thinking proceeds automatically, immediately interpreting the present

relationship. It occurs immediately without planning. It does not imply accuracy, rightness, or
moral goodness.

Intuitive Thinking is Sensing Relationships- The component of sensing relationship reflects the
formulation of connection. This is based upon a person's knowledge structure which reflects his
level expertise.

INTUITIVE THINKING IN DEALING WITH VARIED AVTIVITIES - Intuition acts in a complementary

fashion with reason.
The intuitive process could be described as a mode of reasoning that ironically incorporates
analytical process while functioning in contrast of them.

EXAMPLE ACTIVITIES IN WHICH INTUITIVE THINKING CAN BE USED: Arrangement problem such
as jigsaw puzzle and anagrams can be considered as problems to be addressed using intuitive.

INTUITIVE THINKING - Thinking that makes use of HEURISTICS.

 Heuristics - mental shortcuts or thinking maneuvers that enable the decision maker to make
judgements, evaluations, or decisions, often by simplifying otherwise difficult problems or tasks.

 MAJOR FORMS OF HEURISTICS:

1. SATISFICING HEURISTIC- Satisfying & Safficing. "What satisfies suffices". We stop our
deliberation when we come to an alternative that is good enough to satisfy our objectives.
2. RISK-AVERSION HEURISTIC - "the sure thing". When we make judgements based on the belief
that what is certain is preferable to, or is more valuable, than the uncertain.
3. LOSS-AVERSION HEURISTIC - When we make judgements based on the belief that avoiding
losses are preferable to making gains. We are naturally inclined to prefer to forego the
possibilities of gain in order to not lose what we have. "Status quo bias", "endowment effect".
4. AVAILABILITY HEURISTIC - We make judgement on the basis of the belief that a related story or
an experience that happened to us that we clearly remember will happen again. Something will
most likely happen because of examples similar events that immediately come to our mind.
5. AFFECT HEUSIRTIC - Gut feeling/ feeling. When we make judgements based on our immediate
positive or negative emotional reaction to some idea, proposal, person, object, etc.
6. SIMULATION HEUSIRTIC - When we make judgements based on how we imagine various
scenarios will happen.Things may turn out to be different from what we imagine them to be.
7. SIMILARITY HEUSIRTIC - When we make judgements based on what happened to someone else
with whom we have certain similarities will happen to us as well.
8. ANCHORING-AND-ADJUSTMENT HEUSIRTIC - When we make judgements based on a number or
value as a starting point, serving as our "anchor" which we later on adjust to a level that we find
acceptable