Small Business Management Study Set 3
Quiz 4 :
The Business Plan Part Iii
Case study: The Person BH was a first-class student in the high school. He had no difficulty in memorizing the lyrics of a rap song. However, he failed to remember the theories and concepts in academics. Even the Person BH completed a degree in English from University of P, where he met the Person AR. The Person AR graduated with a degree in music and starts a business by writing tracks. Both of them invested their savings in their new Company F. However, they idea was extraordinary and materials were so impressive that people were not buying the product. They began to market their product in schools but it did not work to their expectations. The following are the ways in which the Person X would like to change in business plan for the future: • The Person X would change the business plan for the future through certain effective marketing strategies. • The Person X formulates a strategy to create 30% profit and then invest in the business. • Difference forms of promotional techniques strategies are introduced to boost up their sales in the market. • Proper planning for the new project and their competitors.
Business Plan: Planning is an essential component of a successful business. A written document which demonstrates the process in which the company should make all products or services successful to the business is called a business plan. At the instance of starting a business, it is very difficult to walk steadily in that decision. Here, the business plan plays a vital role in our travel in reaching the final goal. Reasons for preparing a business plan: Primary reasons for drafting a business plan: • Feasibility of the business idea • Attract capital investment for a new business • Directions to conduct the business operations Hence, it is preferred to write the business plan as the first stage of starting the business. An alternative for testing feasibility: Feasibility study is an alternate technique prepared in advance of the business plan. It is a viable idea analyzing technique which would help to proceed with the proposed project. Feasibility study provides the function of investigation rather than the function of planning provided by the business plan. Hence, it helps to study the narrow scope of the project to identify the best business scenario.
A 100-Page business plan would not be four times better than a 25-Page business plan: Business Plan: Planning is an essential component of a successful business. A written document which demonstrates the process in which the company should make all products or services as successful to the business is called a business plan. The primary reasons for drafting a business plan: • Feasibility of the business idea • Attract capital investment for a new business • Directions to conduct the business operations The business plan that satisfies the above reasons is said to be a good and complete business plan. There is no need for a 100 page business plan without any proper information ; it is better to prepare a small plan which is viable and leads the business to prosperity.