- Prof. Ashwin Kher

Group MembersName Mamta Koundal Papia Panja Shruti Surendran Dr.Pooja Sharma Chetan Zawar Roll No 1120 1133 1138 1145 1160

DEVELOPING A BUSINESS PLANA business plan is a ultimate tool for a communication & marketing to all stakeholders, including strategic partners & investors, in a new venture. The business plan must be a well thought out, universal documents, and should describe the business you are undertaking & how you plan to execute it. The plan must articulate the strengths of the business, as well as your long term goals for the business.

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The business plan should stress business & financial aspects vs technical details ,and should address the information needs of all stakeholders.

Reasons for a business plan

When the new business starts: Clearly assess every aspect of the business.

When the business is establish: To identify the strengths and weaknesses of the

business.

When the business is running: To convince those putting capital into your business.

Who will read your business planBank manager Business advisory Friends and colleagues (stakeholders) Persons running the business.

Key ingredients of business plansDynamic in nature Understandable by the audience Written in professional manner

COMPILING YOUR BUSINESS PLAN

THE EXECUTIVE SUMMARY The current position of your business Details about product or services Summary of financial forecast Details of how much money you need

COMPILING YOUR BUSINESS PLAN

GENERAL INFORMATION REGARDING THE BUSINESS Business name, address and contact no. The legal status Your location Your business objectives The mission statement

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Project description Mention the site, town, street or industrial estate Whether the land is owned or leased Location of the industry Details about physical infrastructure such as raw materials, water, method of disposal of waste,etc

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MARKET AND COMPETITORS Describe the market you are in Highlight who your client will be What they will expect from your products or services Details of who and where your competitors are Mention the total demand and supply

Capital cost and sources of finance

How much capital you need to raise? How you will use the proceeds? When you expect profitable? How you will intend to finance your business? You also have to consider financial forecast and financial analysis? Assessment of working capital requirement. 2 types of capital cost: One time cost. E.g. cost incurred on vehicle Working capital cost. Cost incurred on raw material, WIP, and finished goods.

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Operation plan : These are the nuts and bolts of the business. Steps of making your business profitable and successful. Benefits of the business to the community: Impact of the business on the economy Contribution of the business to the society

Top reasons why business fail

Ignoring competition Ineffective customer service Failing to validate your customers Lack of foresight Cash flow problem Inappropriate team Lack of awareness (for e.g. technology) Lack of sufficient networking Mixing personal and professional issues Close-mindedness.

Marketing plans

Sales strategy should include element such as the necessary sales channels and partnership and the no. of people you will need to execute the strategy. Marketing plan will describe how to promote and sell Products or Services which include: Market research Target Market The Competition Marketing methods

Continue.How the product to be sold? What is the Distribution Network ? What is the proposed after sale service?

MARKETING MIXIn marketing planning we use marketing to assess the situation. We have to select specific market target in the form of market segments. For each subdivision or segment of the market we formulate a combination of no. of devices or types of market activities that are integrated into a single marketing program to reach a particular target or market segment. The combination of these marketing methods or devices is known as Marketing Mix.

ContinueA successful marketing strategy must have a marketing mix as well as a target market for whom the marketing mix is prepared. The elements of marketing mix are: Decision on product and services. Decision on price Decision on promotion Decision on place or distribution

ContinueIf one area is affected the other gets affected. Marketing mix decision constitute a large part of marketing management. A marketing manager is a mixture of all marketing ingredients and he creates a mixture, blending or combination of all the marketing elements/resources.

ContinueIt offers: A optimum combination (least cost); So that company goals such as profit, return on investment, sales volume, market share. Marketing mix will naturally change according to changing marketing conditions an each market but is based on marketing research and marketing information.

ContinueThe basic marketing mix is the blending of four inputs or sub-mixes, which form the core of marketing mix: Product mix Price mix Place mix Promotion mix The output are optimum, productive and satisfaction.

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Features of the product (product mix): 100% cotton Soft and suitable Double bed sheets with 2 pillow cover Attractive & colorful Color guarantee & money back guarantee (conditions apply) Unique collections

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Price mix: Available in 2 qualities with 2 different prices High quality = Rs.1000/ Normal use = Rs. 550/-

ContinuePlace: Families & friends Promotion: Word of mouth Advertisement through social websites

ContinuePeople: services are performance by people whose performance influences the quality of the service delivered & perceived to be delivered. Process: it not just the attitude of the person that matters but the process they use to provide the service. Physical evidence: service are intangible so the customer looks for physical clues about the quality.