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Running Head: BUSINESS PLAN AND ITS COMPONENTS 1

BUSINESS PLAN AND ITS COMPONENTS 4

Business Plan and Its Components

A business plan is a written document that usually entails a breakdown and presentation of a company’s core business activities, objectives, the plans that the company has in order to ensure it achieves preset goals and objectives (Masciocchi, 2019). A good and detailed business plan should include an executive summary, the company’s products and services, the marketing strategies and analysis, financial planning and the budget.

Executive summary: Often written as the last part, executive summary comes on the first page. It is usually a general overview of the entire business plan. It brings a summary of the plan and as such, it is written as the last part to cover all the other parts. It’s written in a way that captures the attention of the reader, otherwise the entire business plan will be useless.

Products and Services: This section outlines the products or services that the intended busy intends to deal in and produce. This part also outlines why the market needs the product that the business wants to deal in and how it will compete with the other businesses than deal with similar products. This section also includes the products or/and services that the business intends to venture into in the near and long term future.

Marketing Strategy and Analysis: This section presents a general description of the business’ product, price, place and promotion. The product that the business wants to venture in coupled with the aspect of pricing of these products. This section also explains the place that the product will be sold which in other words is the target market and the value proposition and the promotions of the product which covers the advertisements, campaigns of initiating the product and the product entry strategy into the market. Also covered is the metrics of assessing marketing effectiveness.

Financial planning and the Budget: This section covers the financial aspects of the business. It’s the financial roadmap for budgeting for the business and this part is often used by the businesses to outsource for financing from vendors or financial institutions. It covers current and growth financial projections for the business.

My business plan will be based on a fish processing business idea. The demand for white meat is increasing with changing life demographics and as a result, venturing in white meat processing and sale seems a blue ocean business idea and one that represents a probability for a lucrative business. I intend to outsource raw fish and do the processing to produce various fish products and sell to mainly the middle income and the low income population. Also, the business will include door delivery procedures and logistics for the products to the customers.

The marketing strategies and financial planning should be included in the idea assessment to ensure that the business plan is economically practical and feasible (Jukova et al., 2019). Also, the source of finances should be included in the idea assessment to ensure that the source of capital for the business is known with certainty.

References

Jukova, E. E., Ilina, I. Y., Gundarin, M. V., Potekhina, E. V., Misanova, I. N., & Zotova, A. I. (2019). Planning a new business: typical mistakes of a business plan in the service sector. Journal of Environmental Management & Tourism, 10(3 (34)), 441-447.

Masciocchi, B. (2019). How to make a business plan. In Studies in Surface Science and Catalysis (Vol. 179, pp. 465-484). Elsevier.