ENTREP REVIEWER
Business Plan Outline (Chapter 1)
What is a Business Plan?
A written document describing a company's core business activities, objectives, and how it plans
to achieve its goals.
What is a Business Plan Outline?
Structured so that each section answers a specific set of questions about your business
Outline:
1. Executive Summary Plan
2. Market Plan
3. Technical Plan
4. Organizational Plan
5. Financial Plan
6. Appendices
1. Executive Summary
This is the most important section. It is a summary of the entire plan and is the last part you will
write. It should be short and to the point.
The executive summary includes:
● Vision
● Mission
● Business Overview
Vision
It provides direction by describing what the organization needs to be like to be successful within
the future.
● Where are we going?
● What will success look like?
● What the organization would like to become?
Types of vision statement:
● Quantitative: Expresses a profit or revenue number.
● Competitive: Focuses on beating your competition.
● Superlative: Defines the business as "Premier," "number one," and "the best".
Mission
It should define your primary customers, identify the products and services you produce, and
describe the geographical location in which you operate.
● Who we are?
● What we do?
● How we do intend to achieve it?
● What is your role in the society?
● Why are you in business?
Business Overview must cover six things:
● who you are (business overview)
● what you sell (business overview)
● what are the uniqueness of your product (business overview)
● who are your market (market overview)
● how big is your market (market overview)
● how big and profitable it can get (financial highlights)
● how much you need (financial highlights)
Company Overview
The objective is to introduce the company and its management.
Forms of business organization:
● Sole Proprietorship: Owned by a single individual who is singly responsible for running a
business.
● Partnership: An agreement in which two or more persons combine their resources in a business
with a view to making profit.
● Corporation: A form of business operation that declares the business as a separate, legal entity
guided by a group of officers known as the board of directors.
Two parts of this section:
● Structure and Ownership
● Location
Structure and Ownership
Investors have a legal obligation to check the identity of the owners of any business they invest
in. You must list the owners, their addresses, and the percentage of ownership.
Location
If location is important, provide a description of the business location, a map, and the advantage
or disadvantage of the location.
Market Study (Chapter 2)
What is a Market Study?
The main goal of a market feasibility study is to understand the market to determine if there is
enough demand for a venture to be successful.
Market Analysis
● Demand Analysis
● Supply Analysis
● Demand and Supply Gap
● Market Share
Demand analysis is the process of understanding customer demand for a product or service in a specific
market.
● Target Market: A group of customers with shared demographics who are the most likely buyers
of a product or service.
● Historical Demand: Data of demand for an existing product or service from past years. This is
used as a basis to see if there is demand for a new product or service.
● Projected Demand: The process of predicting future sales.
Target Market
Tabulation 1 - inspired product Tabulation 2 - your product
Total Population x Percentage ng mga nag yes sa
Tabulation no. 1 (83%)
5,000 x 83% = 4,150
Para makuha total annual average consumption,
Add lahat nung nasa taas (18,000 + 720 + 1,080 +
2,600 + 10,400 + 7,800 + 576 = 41, 176)
41,176 / 300 (total ng mga nag yes) = 137
4,150 x 137 = 568, 550
Same process lang din hanggang 2024
Supply analysis evaluates the existing supply of a good or service to determine if it meets the demand.
● List of Competitors: A list of existing direct and indirect competitors.
● Historical Supply: Data of supply for an existing product or service from past years, used to
determine the number of supplies introduced to the market.
● Projected Supply: The process of predicting future supplies introduced by businesses.
List of Competitors
You will classify them if they are direct, indirect, and replacement competors.
Methods for Collecting Supply Data
● Survey: Collecting information from individuals through responses to questions.
● Foot Traffic: Determining the number of customers who enter a store.
● Non-directive interview: Acting like a customer to gather information, sometimes called
"industrial espionage".
● Visiting website.
Demand and Supply Gap
A demand and supply gap is the difference between the demand for a product or service and the
supply from competitors in the market. For example, if there is a demand for 10,000 laptops but only a
supply of 8,000, there is a gap.
Market Share
Market share is the percentage of an industry's total sales that a specific company owns in the
market. It is calculated by dividing a company's sales by the total sales of the industry over the same
period.
Marketing Strategy
A marketing strategy is a business's overall plan for reaching potential customers and turning
them into buyers of their products or services. It uses the 4 P's:
● Product
● Place
● Price
● Promotion
Product
This involves defining the product and its qualities, and introducing it to the consumer. It includes
the brand name, logo, tagline, and packaging layout.
Place
Place is the consideration of where the product will be available, such as in brick-and-mortar
stores or online, and how it will be displayed. It answers questions like:
● Where will you sell your product?
● Where does your target audience shop?
● What distribution channels are best to reach your target market?
Price
Price is the amount consumers are willing to pay for a product. Marketers must link the price to
the product's real and perceived value, while also considering supply costs, discounts, competitor prices,
and retail markup.
Pricing Strategies:
● Value-based pricing: Setting prices based on what consumers think the product is worth.
● Competitive pricing: Setting prices based on what competitors are charging.
● Price skimming: Setting prices as high as the market will tolerate and then lowering them over
time.
● Cost plus mark-up pricing: Taking the product production cost and adding a certain percentage
to it.
● Penetration pricing: Offering prices that are much lower than the competition to push new
products and then increasing them later.
● Economy pricing: Pricing a product cheaper than the competition and making money back with
increased volume.
● Psychological pricing: Using the power of psychology to make consumers spend, such as setting
a slightly lower price to make it seem like a better deal.
Promotion
Promotion is how you advertise your product or service. This is done through an effective
marketing campaign that reaches your target audience. This can include traditional methods like word of
mouth, print ads, and TV commercials, or digital methods like content, email, and social media
marketing.