Business Plan Flashcards
8 components in having a business plan:
- Teamwork
- Goals
- Analysis
- Strategy
- Statistics
- Innovation
- Vision
- Research
A written document prepared by the entrepreneur that describes all relevant external and internal elements involves in starting a new venture. It is an integration of functional plan such as marketing, finance, manufacturing and human resources. It also addressed both short term and long term decision making for the first three years of the operation
Business plan
Importance of a Business Plan:
- Adapt to Changing Conditions
- Concentrate on Targets
- Operate Effectively
An entrepreneur who insist on resisting change is bound to fail
Adapt to Changing Conditions
Focusing on goals
Concentrate on Targets
With a business plan, one’s venture can run steadily, especially where money matter is concerned
Operate Effectively
Components of Business Planning:
- SWOT Analysis
- PEST Analysis
- Objectives
- Strategies
- Time Frame
- SMART
The chances of product or service can be evaluated through this. Planning should include the improvement of the product/service in order to survive the competition
SWOT Analysis
PEST Analysis meaning
Political Factors, Economic Factors, Social Factors, Technological Factors
These should be specific and realistic. It can be daily, weekly, monthly and yearly. Environmental factors should be considered in formulating this
Objectives
These are ways of accomplishing the objectives. Such ways are stated in the financial, production, marketing, and organizational plan of the enterprise
Strategies
In business, time is gold. For this reason, an entrepreneur must be efficient in time management. Every activity has its own schedule. Activities which are completed on time, saves money
Time Frame
Meaning of SMART
Specific Measurable Achievable Realistic Timely
MARKET SURVEYS
4 Key Questions:
- What will my market buy?
- Why will my market buy from me?
- Who will buy from me?
- How will be the buying be done?
