4. DEVELOPMENT OF BUSINESS PLAN

Question 1

is a written document describing a company’s core business activities,

Answer 1

BUSINESS PLAN

Question 2

⮛This should cover the foundation of the company, including the
market served,
business structure,
main business objectives, and
advantages over the competition.

Answer 2

Executive Summary

Question 3

⮛For startups, this section should showcase the experience and skills of the founder and key managers.
⮛ It should also include a brief description of the startup plan.

Answer 3

COMPANY SUMMARY

Question 4

⮛This section describes the company’s products and services, as well as how they are positioned to serve current and future market segments.

Answer 4

PRODUCTS AND SERVICES

Question 5

⮛Here the plan should identify the reasons why customers will buy from the company, and the value proposition that underpins the company’s success.

Answer 5

MARKET ANALYSIS

Question 6

⮛This section should describe the
company’s high-level strategies and anticipated results.
⮛Strategic priorities should fit into one of the following categories:
financial,
customer,
products and services,
people, or internal capabilities.

Answer 6

STRATEGIC IMPLEMENTATION

Question 7

⮛This analysis should describe the strengths and weaknesses of key competitors.

Answer 7

COMPETITOR ANALYSIS

Question 8

⮛ Emphasis should be on
the supply chain for manufacturing and
delivering products and services.
⮛ This data will help enable more detailed planning by managers in different sub- functions.
⮛ Key areas to cover include: equipment, capital asset management, materials, production, quality, facilities, and plant and office space.

Answer 8

Annual Operating Plan

Question 8

⮛ Emphasis should be on
the supply chain for manufacturing and
delivering products and services.
⮛ This data will help enable more detailed planning by managers in different sub- functions.
⮛ Key areas to cover include: equipment, capital asset management, materials, production, quality, facilities, and plant and office space.

Answer 8

Annual Operating Plan

Question 9

⮛In this portion of the plan, a description of each member of the company management team is provided.
⮛ It should include their qualifications, accomplishments, and commitments to business success.

Answer 9

Management Aspect

Question 10

⮛This section is very important to the startup and routine management of a company.
⮛ The key elements are the income statement and the balance sheet.

Answer 10

FINANCIALS