CISB 334E-Business

BUSINESS PLAN

What is Business Plan ?

A document that provides a framework for testing the business from conception through early development to capitalized on strengths, compensate for weaknesses, and serve as a resume for potential investors.

CONTENT OF BUSINESS PLAN

Executive Summary Business Description Market Analysis Overall (effort, creativity)

Executive Summary

Synopsis of the key points of the entire e-business plan.

Purpose : Explain the fundamentals of the business in a way that both informs and excites the reader.

Length : Short.

Executive Summary (cont.) Content :

Company mission statement and company description

The management The competition The market and customer Product / service Marketing and sales Operations

Business Description

Describes the nature and purpose of the business.

Includes : firm’s mission statement, goals, value proposition, and description of products and services.

Purpose : To objectively explain and justify business idea in a positive and enthusiastic manner.

Business description (cont.)

Includes 2 sections :- Business concept section. Product and services section.

Business Description(Business Concept Section)

Industry analysis : a group of business that manufacture, distribute, or sell similar product or services.

Mission Statement : declaration of what a business aspires to be.

Business Description(Business Concept Section)

Business goals : Clearly describes actions to be taken or task to be accomplished by a company.

Business model : The business model your proposed business follows, such as virtual merchant, community portal , etc.

Business Description(Product and Services Section)

Complete enough to give the reader a clear idea of the products/services.

If the product is unusual or not easy to described, include a picture or drawing.

The description should tell the reader what makes your company’s product / services unique in the marketplace.

Benefit to customer from purchasing the product or services.

Market Analysis

Target market : who are the customers? We will be selling primarily to private

sector (%), wholesalers (%), retailers (%), government (%), user (%), others (%).

How will we be targeting customers? : product line, geographic area, etc.

How much our selected market spend on the type of product / service offered this coming year ?

Market Analysis (Cont.)

Competition Who are the competitors : name,

address, year in business, market share, price/strategy, product/services features.

How competitive is the market ? High, medium, low.

Our strengths and weaknesses (location, reputation, personnel, etc.)

Market Analysis (Cont.)

Environment Important economic factors that will

affect the product/ services. Example industry growth, economic trends, taxes, rising energy prices, etc.

Legal factors that will affect the market. Government factors that will affect the

market. Etc.

Market Analysis (Cont.)

Marketing strategies Image :- cheap, exclusiveness, customer

oriented, convenience, speed, etc. Features Pricing Customer service provided. Advertising and promotion (sources)

Links

Example business plan:http://www.brs-inc.com/plans.org/mootcorp.htmlhttp://www.sb.gov.bc.ca/smallbus/workshop/sample.html