Exploring Entrepreneurship for Veterans and Spouses
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1 Exploring Entrepreneurship for Veterans and Spouses Business Planning: How It All Comes Together
2 Plans are Useless, BUt Planning Is IndIsPensaBle General Dwight D. Eisenhower
3 BUSINESS Plan = SIMULATION Facts Consequences Decisions contingency Will it fly?
4 Understanding Markets & Your Competitive Space Understanding Markets & Industries Market Analysis Industry Analysis Competitive Strategy Market Analysis Markets
5 Some Quick Distinctions Market & INDUSTRY The Market = Customers Customers are the ones that give you the money May be different than those that end up using your product (otherwise called End Users) Example: Toyota Automotive dealers are Toyota s customers, people buying the cars are end users The Industry = Other sellers Includes competitors, suppliers, and other support sales companies (distribution, packaging, etc.)
6 Big The Picture Identify Target Market Conduct market research (size, behavior)
7 The Big Picture II Identify Competitive Industry Analyze key competitors Formulate competitive strategy
8 Market Analysis: Your Objectives Strong Market? Compelling Need? Favorable Trends? Identify Entry Points?
9 Market Research: An Imperative! know more about the customer, update and improve what you already do first contact with the customer, so they get to hear about you confidence and believability with other stakeholders reduce the overall risk in your business
10 EFFECTIVE MARKET
11 Some Quick Distinctions INDUSTRY & Market The Industry = Other sellers Includes competitors, suppliers, and other support sales companies (distribution, packaging, etc.)
12 INDUSTRY BROAD VS NARROW Broad: Allows you to think about and other threats All fast food restaurants? All casual restaurants? High potential in terms of potential sales and industry size Narrow: Think about and how to beat them Focus your attention, but may overlook important things Lesser potential
13 Types of Competitors 3 THREATS TO SUCCESS
14 Business Environment Life Cycle
15 BUSINESS ENVIRONMENT II SEASONAL CYCLE
16 HOW DO YOU KNOW IT WILL? FLY?? IS BUSINESS OR IDEA FEASIBLE? WHY FINANCIER REQUIRES A BUSINESS PLAN 1. BREAK EVEN ANALYSIS 2.FORCASTED PROFIT AND LOSS 3.QUICK AND DIRTY FEASIBILITY= FIXED AND VARIABLE COSTS 4. ARE YOU WILLING TO WORK THAT HARD? GUT CHECK, REALITY CHECK......
17 1. STRENGTHS 2. WEAKNESSSES 3. OPPORTUNITIES 4. THREATS S-w-o-t analysis
18 SWOT Strength *Your specialist marketing expertise *A new, innovative product or service *Location of your business *Quality processes and procedures *Any other aspect of your business that adds value to your product or service Veterans Business Outreach Center
19 SWOT WEAKNESS *Lack of marketing expertise *Undifferentiated products or services (i.e. in relation to your competitors) *Location of your business *Poor quality goods or services *Damaged reputation Veterans Business Outreach Center
20 SWOT Opportunity *A developing market such as the Internet *Mergers, joint ventures or strategic alliances *Moving into new market segments that offer improved profits *A new international market *A market vacated by an Ineffective competitor Veterans Business Outreach Center
21 SWOT Threat *A new competitor in your home market *Price wars with competitors *A competitor has a new, innovative product or service *Competitors have superior access to channels of distribution *Taxation is introduced on your product or service Veterans Business Outreach Center
22 SWOT ANALYSIS Veterans Business Outreach Center
23 RESEARCH IT, LOG IT, COMPILE IT, ORGANIZE IT, CHECK IT
24 FOR QUESTIONS OR A BUSINESS PLAN REVIEW: Brent Peacock Jim Riley bpeacock@vboc.org jriley2@vboc.org Veterans Business Outreach Center
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