Patricia SalgueroPatricia Salguero

I cannot teach anybody anything, I can only make them

think.Socrates

Table of Contents

Patricia Salguero

Business Plan ConceptManagement and Corporate structures in Asia and the westEXECUTIVE SUMMARY

Highlights plan The ComponentsObjectivesMissionKey to successExecutive summary common mistakesSuggestions

COMPANY SUMMARYCompany historyCompany location and facilities

Table of Contents

Patricia Salguero

PRODUCTSProducts facing a new economyProduct descriptionCompetitive comparisonSales literatureTechnologyFuture products

COMPETITIVE ANALYSIS.Why do you need competitive analysisHow will competitive analysis help your companyForces influencing competition in the industryCurrent and Potential direct and indirect competitors, substitutes Competitive advantages.

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Patricia Salguero

MARKET ANALYSIS SUMMARYConceptTypes of marketsBuilding your assumptionsHow to size a marketTools for sizingMarket segmentationImportance of Market segmentationCriteria for segmentationThe TechniquesTarget market segment StrategyMarket segmentation process

Market needsMarket TrendsMarket GrowthMain Competitors

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Patricia Salguero

STRATEGY AND IMPLEMENTATION SUMMARYStrategic PyramidValue propositionCompetitive EdgeMarketing Strategy

Positioning StatementsPricing Strategy

Cost plus pricingCompetitive pricing strategyCream skimming pricingPremium price strategyMarket Penetration price

Promotion StrategyThe pulling promotional strategyThe pushing promotional strategyDimensions of advertising effectiveness

Distribution StrategySales Strategy

Sales promotion tools and activities Sales Forecast

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Patricia Salguero

MANAGEMENT SUMMARYOrganizational StructureManagement TeamPersonnel Plan

FINANCIAL PLANImportant AssumptionsKey Financial IndicatorsBreak – Even AnalysisProjected Profit and lossProjected Cash FlowProjected Balance SheetBusiness Ratios

 

Patricia Salguero

BUSSINES PLAN

The business plan helps a prospective business owner to detail his/her idea by thinking through all the implementation steps.

This process helps the entrepreneur to see on paper whether the business has a chance to succeed.

The business plan is also written with bankers and investors in mind when the entrepreneur is looking for financing.

Patricia Salguero

What is a Business Plan:

A Business Plan is a detailed action programme or roadmap outlining every conceivable aspect of your proposed business venture.

It is a comprehensive, self explanatory plan of: what you intend doing; how you intend doing it; when you intend doing it; where you intend doing it; and why you believe your idea is viable.

BUSSINES PLAN

Management and Corporate Structures in Asia and the West: 25

Key differences

Michael Bachman.” Asian Eclipse”,1999

Large Western Firms Large Asian Firms

Management and Corporate Structures in Asia and the West: 25

Key differences

Large Western Firms Large Asian Firms

1) Short time horizons in decision making

2) The company is driven by profits and/or market share

3) Corporate direction determine by overall corporate “Mission” and strategy

4) Highly structured5) Wide ownership6) Professionally managed

Michael Bachman.” Asian Eclipse”,1999

1) Long time horizons in decision making

2) The company is growth-driven

3) Corporate direction determined by opportunity

4) Often poorly structured5) Narrow Ownership6) Family managed

Management and Corporate Structures in Asia and the West: 25

Key differences

Michael Bachman.” Asian Eclipse”,1999

Large Western Firms Large Asian Firms

7) More concentrated8) Invest on the basis of

research9) Minority shareholders well

treated10) Dispersed decision making11) Relatively small number of

units12) Prefer accrual accounting13) Lots of contracting out and

buying in

7) Highly diversify8) Invest on the basis of

connections9) Minority shareholders abused10) Centralized decision making11) Large number of

units/companies12) Prefer cash accounting13) High degree of vertical

integration; lots of internal transactions

Management and Corporate Structures in Asia and the West: 25

Key differences

Michael Bachman.” Asian Eclipse”,1999

Large Western Firms Large Asian Firms

14) Reliant on external funding15) Services are very important16) R&D Intense17) Participative management18) Senior management is

relatively aloof19) Well-defined career ladder

for staff20) High priority given to

transparency, auditing and disclosure

14) Prefer internal funding15) Dislike services16) Little or not R&D17) Patriarchal management18) Senior management is hands-

on19) Vague career ladder for staff20) Low priority given to

transparency, auditing and disclosure

Management and Corporate Structures in Asia and the West: 25

Key differences

Michael Bachman.” Asian Eclipse”,1999

Large Western Firms Large Asian Firms

21) Fringe benefits are generally a small part of total remuneration

22) Staff training is formal and structured

23) Employees tend to be promoted on the basis of their inherent productivity

24) Job descriptions are precise and employees are encourage to use initiative

25) Staff initiative expected and rewarded

21) Fringe benefits are a high component of salary

22) Staff are trained informally and on the job

23) Employees tend to be promoted on the basis of their connections and perceived loyalty

24) Job descriptions are vague and employees work as directed

25) Staff initiative discouraged