...will be graded in accordance with the following criteria. Click here to view the grading rubric. Part 1: Group Proposal Using the Small Group Discussion Board, the group will come to a consensus on a single product idea and develop a proposal of 8–10 pages addressing this new product, the state of its industry, and details of its market. The group will also come to a consensus on the business model approach: intrapreneurial or entrepreneurial. Details about the character of the company, its contributors, of why this approach was chosen for this project should be included in the proposal. Provide information on the product selected, its market, and its industry. The proposal must also provide new information on the chosen product's main competitors, how their product is different the competition, and detail the demographics of the product's target customer. Additionally, the proposal should include a company overview of pro-forma, its business principles, its contributing team members including details about their skills and strengths, and a basic pro-forma income statement utilizing business premier index. This should include basic cost projections and other resource requirements for the product. Download...
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...Do entrepreneurs need a business plan to be successful? No, as a person can successfully run a business without one. However a business needs a set direction and the person running it has to know what they are doing 100% of the time, if a person is capable of keeping a whole business under control and on the right track then they do not need a business plan. When starting a business there are countless things that can go wrong and lots of different directions your business could take. Without a plan people don’t know where they are going, what they want to do or what they want their business to be. Doing a business plan allows someone to find out who their target market is and how popular their product or service will be with that group. It will also allow people to see what their competition is and how well they are doing. For example someone who wanted to open up a butchers could rent a shop buy their product and open their doors to find out the majority of the town they opened up shop in is vegetarian. The butcher who made a business plan already knew that that was a vegetarian town and located a town just a couple of miles away that has an annual meat lovers fair. A business plan will not allow you to be prepared for every mishap that will happen along the way but it will enable you to plan for problems that you know will or are very likely to happen. For example a cafe that has just opened on the seafront plans to buy extra ice cream for the hot summer days but when...
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...------------------------------------------------- CHAPTER 8: BUSINESS PLAN WHAT IS THE BUSINESS PLAN? The business plan is a written document prepared by the entrepreneur that describes all the relevant external and internal elements involved in starting a new venture. It is often an integration of functional plans such as marketing, finance, manufacturing, and human resources. It also addresses both short-term and long-term decision making for the first 3 years of operation. Thus, the business plan – or as it is sometimes referred to, the game plan or road map – answers the following questions: * Where am I now? * Where am I going? * How will I get there? Potential investors, suppliers, and even customers will request or require a business plan. If we think of the business plan as a road map, we might better understand its significance. Let’s suppose you were trying to decide whether to drive from Kumasi in Ghana to Tripoli in Libya (mission or goal) in a car. There are a number of possible routes, each requiring different time frames and costs. Like the entrepreneur, the traveller must make some important decisions and gather information before preparing the plan. The travel plan would consider external factors such as emergency car repair, weather conditions, road conditions, sights to see, available campgrounds, and so on. These factors are basically uncontrollable by the traveller but must be considered in the plan, just as the entrepreneur would consider external factors such...
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...Entrepreneurs play a key role in any economy. These are people who have the skills and initiative necessary to take a good idea to the market and make decisions that make their ideas profitable. Rodgers (2010) defines an entrepreneur as “a person who set up a business taking on financial risk for profit, or someone who exercises initiative by organizing a venture to take benefit of an opportunity and is the decision makers of what, when, how and how much of a goods or services will be produces.”(p5) An entrepreneur plays a vital role in economic development as they are the key contributors to technological innovations and creating new jobs causing economic growth. Government use the success of an entrepreneur business to measure the growth and development of the economy. It provides self suffiency and creates wealth for nations and individuals. The three steps involved in becoming an entrepreneur are business planning, finance and implementations. The first step in becoming an entrepreneur is business planning. Creating a business plan will help you to stay on track with your business goals. This is the stage where all the brainstorming is done. In the business plan the entrepreneur documents their ideas of interest either being a product or service. They then determine the purpose of the business and also decide their target consumers example age, sex or geography. A proper market research is also done on the market needs of their selected target market selected. Next the entrepreneur...
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...IN A BUSINESS PLAN What is a Business Plan? The Business Plan is perhaps the most important document an entrepreneur can create. The business plan helps guide the direction of the start-up company's first several years, as well as giving potential investors an idea of the company structure, goals and future plans. What are the parts of a Business Plan? The following information is taken from the "Business Plan Development Guide", written by Alex F. DeNoble and Audrey B. Voyles. Section 1 - The Executive Summary The purpose of the executive summary is to capture the interest of the investors/lenders so they will want to find out more about the venture. These investors are likely to spend no more than 3 to 5 minutes before making a preliminary decision about your proposal. Therefore, this section is first, and in some ways is most important. This section should emphasize key issues and be no longer than 2 to 3 pages. The following information should be addressed in the executive summary: * Company profile * Nature of the product/service being offered * Size and growth trend of the market * Make-up and background of the management team * Financing requirements * Key projections (sales, gross profits, net income) * Proposed use of funds * Proposed exit strategy including projected ROI The executive summary is written last, after the rest of the plan is completed. Section 2 - Business Description This section of the business plan should...
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...Entrepreneurs must address three important aspects before starting a new venture. They should have clearly defined goals, a sound strategy and should check the feasibility whether the plan is executable or not. If entrepreneurs have clear goals they will be passionate about them, which greatly enhances their chances to succeed. The next action steps are always in lined with keeping the goal in mind. For example, the action steps might differ if someone wants to get into the restaurant business as compared to someone who wants to start his/her own clothing line. If the entrepreneur does not have a clear goal then he/she cannot formulate a successful business plan and strategy. While setting goals, entrepreneurs should set both long term and short term goals. For instance, short term goal of an entrepreneur might be to start a small restaurant specializing in serving a particular type of cuisine. The long term goal of the entrepreneur must help him/her to decide whether he/she wants to develop a chain of restaurants across locations specializing in serving the same type of cuisine or to transform the same restaurant into a multi-cuisine restaurant. The entrepreneur must also decide whether he/she wants to own the restaurant in the future or sell it at a handsome price earning larger profits and move on. The entrepreneur also needs to decide whether he/she plans to generate immediate higher revenues by setting the prices high during the initial stages or alternatively gain a loyal...
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...red flags for a small business related to business failure and bankruptcy. The high failure rate of small business start-ups is a major concern for many entrepreneurs, reason why they should be sensible to red flags in the business and the environment that may be early warning signs of trouble. Before engaging in new ventures entrepreneurs have to make sure that they are choosing a profitable sector, have enough cash reserves, and anticipate the price, the competitors, and the changing behaviors of consumers. Also, it is important that the entrepreneurs pay close attention to following red flags because they can be signs of bankruptcies: Finances are becoming so lax that no one is able to explain how the money is being spent. Directors cannot document or explain major transactions. Large discount are given to customers to enhance payments because of poor cash flow. Contracts below standards amount are accepted to generate cash. Bank request subordination of its loans. Key personnel leave the company. Materials to meet orders are lacking. Payroll taxes are not being paid. Suppliers demand payments in cash or in advance. Complaints from customers regarding the quality of product, service, or price. When an entrepreneur sees any of these signs he should immediately seek the advice of a Certified Public accountant (CPA) or an attorney, because generally unrelated one problem often lead to another one. Many young entrepreneurs have unrealistic expectations...
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...Planning a Start-up Business Introduction Starting a business can be scary; especially if you do not know what you are doing, or if you are doing it by yourself. It can also be an exciting experience if you have done the research, established a business plan, and stay committed. There are facilities where start-up business can go for help, advice, and services to help them in getting started. These are called business incubators. Business incubators can be located in a rural or urban location, and provide skilled services, technology such as internet, or phone lines, and minor assembly of products (Schermerhorn, 2013). Discussion Content The importance of a feasibility study and a business plan. When thinking about a feasibility study and a business plan, one may think that they are the same thing. They are not. A feasibility study is a study that determines whether a potential business will be able to operate successfully. A business plan formulates how and where the business will go and how it will be financed. Usually, one would execute a feasibility study, and then prepare a business plan. A feasibility study can be very helpful initially. It assists the entrepreneur in addressing an important question, “should we proceed with the proposed project idea?” (Hofstrand & Holz-Clause, 2009). By researching and contemplating different ideas in the study, a person can determine which course of action will be the best to adapt. A feasibility study develops into the foundation...
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...Role of the Entrepreneur in Setting Up a Business By Osmond Vitez, eHow Contributor * * * * Print this article Entrepreneurs are the individuals who start new businesses in the economic marketplace. These individuals may start businesses for a variety of reasons, including working for their own self-interest, making more money, improving their local community or enhancing their quality of life. While entrepreneurs may face a number of issues when starting a business, they usually have the psychological resolve and positive outlook to overcome these issues. Other People Are Reading * Help With Setting up a New Business * How to Start an Entrepreneur Cosmetic Business 1. Facts * Entrepreneurs usually offer the vision, goals and objectives for their start-up companies. Goals and objectives oftentimes are simple during the early stages of the company; goals typically include building a strong customer base and making enough money to break even. As entrepreneurs continue to establish their businesses, the importance of goals and objectives typically increases. Once employees are hired to work in the business, an entrepreneur must be able to translate the company’s vision and objectives to new employees. Function * Start-up companies usually require a business plan to begin its operations. Entrepreneurs are usually the individuals responsible for writing the business plan and developing specific information related to the start-up...
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...PART II Select the correct answer (You can high light) 1. A business plan is best described as a a. | crystal ball picture. | b. | money plan. | c. | contingency plan. | d. | game plan. | 2. The primary outside users of business plans are a. | employees. | b. | investors and lenders. | c. | customers. | d. | government agencies. | 3. Which group would be the most interested in a business plan for a new venture? a. | Customers | b. | Lenders | c. | Supervisors | d. | The Internal Revenue Service | 4. Jill is writing a business plan for a small home based operation. If well written, the business plan will assist her in determining if a. | the business aligns with personal goals. | b. | an investor would be a perfect fit for the proposed company. | c. | suppliers can be found for the operation. | d. | outsiders can be made into insiders. | 5. The document that assists an entrepreneur and the management team focus on important issues and activities is a. | the organization chart. | b. | the budget. | c. | the sales analysis. | d. | the business plan. | 6. A business plan a. | is best for telling insiders about the company. | b. | is more important than the final outcome. | c. | is not the business. | d. | will ensure success. | 7. A good business plan leads to a successful company when the entrepreneur and management team a. | identify all unexpected events. | b. |...
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...Entrepreneurship is the American dream for many people. This dream means one can be their own boss and express their own ideas. Successful entrepreneurs tend to follow multiple steps to achieve their goal is business. These processes include four distinct stages: (1) identify and evaluate the opportunity, (2) develop a business plan, (3) determine what resources are necessary, (4) managing the new business (Hisrich, Micheal, & Shepherd, 2005). It is these four stages that give the entrepreneur a better understanding of the organizational and financial feasibilities of the new business (Barringer & Ireland, 2010). It is the order of these stages, which allow the entrepreneur to determine the best course of action to ensure the success of the new business. This paper will cover the order of the stages and importance of the stages from an individual and corporate perspective. Identify and Evaluate the Opportunity The first stage in the entrepreneurial process is to identify and evaluate the business opportunity. There are four environmental trends: (1) economic, (2) social, (3) technological advances, and (4) political and regulatory changes (Barringer & Ireland, 2010). Understanding these trends is helpful in determining the location of the business and the technology appropriate for the area. First is to understand the economic and social trends in the market place. When the economy is...
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...and regulations always restrict or impede the efforts of business professionals, or can they actually help businesses? In addition to this, could you list some examples of laws or regulations that may have impeded business lately? Government laws and regulations protect not only the business, but the employees and consumers as well. These laws and regulations provide many different levels of support for businesses. This support includes helping the business follow all regulations in order not to be affected by a lawsuit (due to employee discrimination, etc.) and asset protection. Examples of laws and regulations: Environmental Protection Agency: This agency enforces environmental laws. This agency’s laws help in protecting our environment from hazardous and non-hazardous waste. Privacy Law: This law protects private information of employees and consumers. This includes financial information, medical information, and other sensitive information. Employment and Labor Laws: These laws enforce laws to protect employees. These laws help to prevent harassment and discrimination as well as enforcing wage laws. Bovee, Courtland L., Thill, J.V.; (2012). Business in Action, 6th Edition. [VitalSource Bookshelf Online]. Retreived from https://bookshelf.vitalsource.com/#/books/9781269588669. Learn about Business Laws, Retrieved on July 5, 2016 from https://www.sba.gov/starting-business/learn-about-business-laws. ***ENTREPRENEURSHIP FAILURE: The risk of failure...
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...As with any venture, direction is a key of success. In becoming an entrepreneur, one must have a path for the business to follow, and that path will be your strategic plan. The strategic plan includes items such as the business plan, company summary for your business, market analysis, goals of your business and estimated financials. Entrepreneurs can’t really tell an exact amount for financing however, entrepreneurs should be prepared to defend their numbers when asked to do so. For most strategists in big companies, after the companies were established, strategists would continually updated their business plans and use them as steering mechanism to direct the company. According to Porter (1996), even though entrepreneurs were able to come...
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...About Venture Capital (VC) | Starting and growing a business always require capital. There are a number of alternative methods to fund growth. These include the owner or proprietor’s own capital, arranging debt finance, or seeking an equity partner, as is the case with private equity and venture capital. Private equity is a broad term that refers to any type of non-public ownership equity securities that are not listed on a public exchange. Private equity encompasses both early stage (venture capital) and later stage (buy-out, expansion) investing. In the broadest sense, it can also include mezzanine, fund of funds and secondary investing. Venture capital is a means of equity financing for rapidly-growing private companies. Finance may be required for the start-up, development/expansion or purchase of a company. Venture Capital firms invest funds on a professional basis, often focusing on a limited sector of specialization (eg. IT, infrastructure, health/life sciences, clean technology, etc.). The goal of venture capital is to build companies so that the shares become liquid (through IPO or acquisition) and provide a rate of return to the investors (in the form of cash or shares) that is consistent with the level of risk taken. With venture capital financing, the venture capitalist acquires an agreed proportion of the equity of the company in return for the funding. Equity finance offers the significant advantage of having no interest charges. It is "patient" capital...
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...UNIVERSITY OF SCIENCE & TECHNOLOGY BMET5103 Entrepreneurship Assignment Submitted by: Abdulsalam Al-Souhigi Academic No.201110007 To: Dr. Murad Al-Nashami Contents Introduction ................................................................................................................................................... 2 1 General Characteristics of an Entrepreneur .......................................................................................... 3 1.1 1.2 1.3 1.4 1.5 1.6 2 Passion and Risk Taking ............................................................................................................... 4 Strong Leadership Qualities .......................................................................................................... 4 Strong sense of basic ethics and integrity ..................................................................................... 4 Self-motivated ............................................................................................................................... 5 Self-Confidence ............................................................................................................................ 5 Creativity, Self-Reliance, and Adaptability .................................................................................. 5 Entrepreneurial Skills............................................................................................................................. 5 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8...
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