1.4.4 - Business Plans Flashcards
Making the Business Effective
1
Q
What makes up a business plan?
A
- Business Idea
- Aims and Objectives
- Target Market
- Financial Forecast
- Cash-flow Forecast
- Sources of Finance
- Location
- Marketing Mix
2
Q
What is the role of the Aims and Objectives in the business plan?
A
- To set financial objectives
- To set non-financial objectives
2
Q
What is the role of the Business Idea in the business plan?
A
- To identify gaps in the market
- To adapt existing ideas or to create original ideas
3
Q
What is the role of the Target Market in the business plan?
A
- To conduct market research
- To reduce risk
- To guide decisions
4
Q
What is the role of the Financial Forecasts in the business plan?
A
- To forecast revenue, cost and profit
- To forecast BEO, MoS and contribution
5
Q
What is the role of the Cash-Flow Forecast in the business plan?
A
- To identify times of cash surplus and deficit
- To plan out when sources of finance, such as trade credit, are necessary
6
Q
What is the role of the Sources of Finance in the business plan?
A
To plan out what sources of fincance will be relied upon and for how long
7
Q
What is the role of the Location in the business plan?
A
To find premises that promote or evade competition
8
Q
What is the role of the Marketing Mix in the business plan?
A
- To plan out the strategies of Product
- To plan out the strategies of Price
- To plan out the strategies of Place
- To plan out the strategies of Promotion
