Business Planning

Question 1

What do you understand about business planning?

Answer 1

Activities such as creating a strategy, recruitment, financial planning, resource planning, and business development are critical to the pursuit of corporate objectives.

Question 2

What is Porter 5 Force Model?

Answer 2

Tool for understanding the competitiveness of your business environment, and for identifying your strategys potential profitability

Question 3

What are the Porter 5 Forces?

Answer 3

1. Competitive Rivalry - Strength of competitors
2. Supplier Power - How unique is your product, How easy is it to switch to another
3. Buyer Power - How easy is it for buyers to drive prices down?
4. Threat of Substitution - Likelihood of customers finding a different way of doing what you do
5. Threat of New Entry - Is your position affected by peoples ability to enter the market?

Question 4

What is SWOT analysis

Answer 4

Useful technique for understanding your Internal Strengths and Weaknesses, and for identifying both the Opportunities open to you and the Threats you face. Used in a business context, it helps you to carve a sustainable niche in your market.

Question 5

What is PESTLE

Answer 5

A PESTEL analysis is an acronym for a tool used to identify the macro (external) forces facing an organisation.

Question 6

What does PESTLE stand for

Answer 6

Political: Gov Influences - Tax reforms, fiscal policies and trade.
Economy -performance owing to global trends and long term effects that may be evident. Inflation rates, interest rates, economic growth, demand and supply trends.
Social: cultural trends, demographical, age distribution
Technological - Trends
Legal - Laws, Standards, Regulatory
Environment -business has effects in the environment it operates