Business Plan for Entrepreneurship Module 1

Business Plan

1. Copyright © 2016 Pearson Education Ltd Conducting a Feasibility Analysis and Designing a Business Model 4 Section 2: The Entrepreneurial Journey Begins Introduction to Entrepreneurship and Family Business

2. Describe the process of conducting an idea assessment. Explain the elements of a feasibility analysis. Describe the six forces in the macro environment of an industry. Understand how Porter’s Five Forces Model assesses the competitive environment. Learning Objectives Copyright © 2016 Pearson Education, Inc 4 - 2

3. Describe the various methods of conducting primary and secondary market research. Understand the four major elements of a financial feasibility analysis. Describe the process assessing entrepreneur feasibility. Describe the nine elements of a business model. Learning Objectives Copyright © 2016 Pearson Education, Inc 4 - 3 (continued)

4. Idea assessment : The process of examining a particular need in the market, developing a solution for that need, and determining the entrepreneur’s ability to successfully turn the idea into a business. Idea Assessment Copyright © 2016 Pearson Education, Inc 4 - 4

5. New Business Planning Process Copyright © 2016 Pearson Education, Inc 4 - 5

6. Use an idea sketch pad to ask key questions addressing: Customers Offering Value proposition Core competencies People Idea Assessment Copyright © 2016 Pearson Education, Inc 4 - 6 (continued from 4-5)

7. Idea Sketch Pad Copyright © 2016 Pearson Education, Inc 4 - 7

8. Is a particular idea a viable foundation for creating a successful business? Feasibility study addresses the question: “Should we proceed with this business idea?” Feasibility Analysis Copyright © 2016 Pearson Education, Inc 4 - 8

9. Elements of a Feasibility Analysis Copyright © 2016 Pearson Education, Inc 4 - 9

10. Environmental Forces and New Ventures Copyright © 2016 Pearson Education, Inc 4 - 10

11. Assess industry attractiveness using six macro forces: Sociocultural Technological Demographic Economic Political and legal Global Industry and Market Feasibility Analysis Copyright © 2016 Pearson Education, Inc 4 - 11

12. Ask: How large is the industry? How fast is it growing? Is the industry as a whole profitable? Is the industry characterized by high profit margins or razor-thin margins? How essential are its products or services to customers? Industry and Market Feasibility Analysis Copyright © 2016 Pearson Education, Inc 4 - 12 (continued)

13. What trends are shaping the industry’s future? What threats does the industry face? What opportunities does the industry face? How crowded is the industry? How intense is the level of competition in the industry? Is the industry young, mature, or somewhere in between? Industry and Market Feasibility Analysis Copyright © 2016 Pearson Education, Inc 4 - 13 (continued)