ENTREP REVIEWER LESSON 4
LESSON 1 BUSINESS PLAN
ENTREPRENEURSHIP o Defined as detailed and
o The act of creating a business or integrated written document
businesses while building and that describes the various
scaling it to generate a profit. activities involved in opening and
o An important driver of economic operating a new entrepreneurial
growth and innovation. venture.
o What people do to take their ▪ Blue print guide and
career and dreams into their navigator
hands and lead it in the direction ▪ Legal guide where to start
of their own choice. ▪ Roadmap of the new
o About building a life on your own business
terms. No bosses. No restricting ▪ Formal statement t of a set
schedules. And no one holds you of business goals.
back. FOCUS OF BUSINESS PLAN
ENTREPRUENER EXTERNAL
o An entrepreneur is an innovator • plans target goals that are
who never runs out of ideas. The important to external
entrepreneur's mind is like a stakeholders,
giant wheel that turns without • detailed information about the
stopping. organization attempting to reach
o Creative Artist the goals.
o Opportunity Seeker INTERNAL
o Turning VISION into REALITY • business plan target
intermediate goals
• cover the development of a new
product, a new service, a new IT
system, a restructuring of
finance, or the refurbishing of a
factory.
WHAT IS FEASIBILITY STUDY?
- major information source in
FACTOR TO CONSIDER OF A NEW making critical decision whether
ENTREPRENEUR to go or nor to go into the
1. Know your product or service business.
2. Analyze the market potential - Forerunner of business plan
3. Determine the marketing - Primary objective is to determine
strategy whether the BP is feasible or not
4. Know the competitors ➢ Feasibility before BP
o Provides investigative process
ENVIRONMENTAL SCANNING o Go signal
1. Business location for small o Before you go you must have
entrepreneurs. your own product
2. Location for small industrial ➢ Business Plan is prepared after
plant or manufacturing facilities decision
o Provides planning function
TYPES OF BUSINESS PLAN FINANCIAL PLAN
Dehydrated Plan - last major section of the business
- Short form of BP plan
- Present only the most important - describes all data expressed in
issues. monetary units from other section of
Comprehensive Plan BP composed of:
- Full BP that provides an in-depth 1. Start up cost
analysis of the critical factors 2. Expenses
that will determine a firms 3. Manufacturing cost
success or failure. 4. Selling price
5. Projected financial statement
Major parts of the Business Plan 6. Projected schedule of division of
INTRODUCTION- general perspective profit or loss
of the business APPENDIX- supplementary materials
1. Proposed name of the business and attachments to expand the
2. Address of the business readers understanding of the BP
3. Name of the owner • Resume
4. Description of the business • Documentation
5. Location of the business • Survey questionnaires
6. Funding requirement and source • Prototyping result
EXECUTIVE SUMMARY- overall • Signed contracts of sale
highlights of the business plan
• Vision, mission, goals and LESSON 5
objectives of business IDENTIFY THE MARKET PROBLEM
• Business model Market Problem
• Business and production model • Silent problem
• Wealth improvement • Listen to statement arises
approaches (people, product, service)
• Parties supporting the business Market Segmentation
MARKETING PLAN- how business will • Aggregating prospective buyers
sell its product to the target consumer. into groups with common needs
7P’s Market Survey
- Products - People • An investigation into the state of
- Place - Promotion the market for a particular
- Price - Packaging product or service
- Position Target Market
OPERATIONAL PLAN- major section of • Particular group of consumer in
the BP that outlines various activity. which the product/service is
1. Organizational structure- sets needed.
the people involved in your Distribution Channel
business • chain of businesses
2. Production Plan- ensuring intermediaries through which
smooth flow of actual good or service passes until it
production reach the final buyer or the end
3. Operation Plan- evaluation of consumer.
supplies, purchased procedure
and etc.
Firm
• A company can be any trade or
business in which goods and
services are sold to produce
income.
Patents
• Protection of the inventor
• Connot copy the invention Problem Solving Research
Profit [Link] Research
• Financial gained [Link] Segmentation
[Link] Research
Identify market problem [Link] Research
Existing Customers- people who have [Link] Research
already purchased your
product Lesson 6
Prospects- people who have not yet Techniques on Seeking,
purchased your product but Screening, and Seizing Opportunities
have an intention to buy
Target market users- people in your Two important factors hinder our
target market who are not growth as a nation:
currently looking for a solution 1. Poverty
2. Population Explosion
TIPS ON IDENTIFYING MARKET
PROBLEM Factors in Determining Economic
1. Focusing only on innovation Growth
and the competition 1. The Filipino Values and culture
2. Focusing only on customers a. Love for imported products
3. Focusing only on revenue b. Our values of BAHALA NA
c. Our Crab Mentality
Problem Identification Research d. The MAÑANA HABIT
• By conducting new market e. The Value of Time
research projects, you can f. Our values of HIYA
discover problem or opportunity. g. Fiesta and Social Occasions
1. Brand Image- impression in 2. Availability of Needed Capital
customers mind a. Republic Act 6977, known as the
2. Market Characteristics- Magna Carta for Small
attributes of the buyers in Enterprises provided the
making decision related in necessary funds for the
purchasing a certain product development of entrepreneurs in
3. Market Potential- estimating the countryside.
maximum total revenue b. Republic Act No. 6810 is the
4. Market Shares- percentage of establishing the Magna Carta for
the total sales Countryside and barangay
business enterprises, granting
exemptions from any and all
government rules and
regulations
Contribution of Entrepreneur in Scio- 2. SERVICES
Economic Development a. Tangible
1. The Entrepreneur provides b. Intangible
Employment 1. Tested good service
2. The Entrepreneur Pays Taxes 2. Owned-goods service
3. The Entrepreneur Improves the 3. Non-goods service
Capital Base of the Economy
4. The Entrepreneur Profits Consumer Product
5. The Entrepreneur Creates People - Convenience product
Empowerment and Social - Shopping products
Mobility
6. The Entrepreneur provides Healthy Convenience
Competition 1. Stable product- basic needs
2. Impulse product- you don’t have
LESSON 7 plan to buy, but you purchase it
PRODUCTS 3. Attribute products- you are after
- Tangible goods or Intangible the physical appearance
service 4. Price Base
- Characteristics of a product 5. Specialty Product-
- Product should describe the customize/specialized product
usefulness 6. Industrial Product- products used
- Present the nature (raw to generate and manufacture
materials etc.) inspiration of a new product.
product.
7P’s STAGES OF THE PRODUCT
- Products - People 1. Introductory Stage
- Place - Promotion 2. Growth Stage
- Price - Packaging 3. Maturity Stage
- Position 4. Decline Stage
Level of Product
1. Tangible Product- can be physically
seen/touch
2. Augmented Product- separate from
what you offer/product(benefit)
3. Generic Product- a consumer
product without a widely recognized
name or logo because it typically isn't
advertised
Types of Product
1. GOODS
a. Durable- last long
b. Non-durable- short period of
time