In every step
you take, in every move you make, you fall if you don’t have direction. If you
are blind by the road you wanted to follow, you will lead to nowhere. You are
safe if you have plan beforehand where to go. That’s business. If you want to
succeed you have an effective business plan.
If you plan
to have new business, think twice. Widen your understanding and ask yourself,
“Am I prepared and ready to take a lift?” Business plan is the lifeblood of
successful business. It indicates summary of your direction from start to
finish. It is a detailed record of your possible action. This will be the basis
for your decision to continue or not to continue.
It gives you the idea what
things to prepare, what aspect of your plan you wanted to strengthen, where
your weaknesses are, so that there’s no loopholes once you start the business.
Have a list of your goals and objectives as your guide for proper supervision
and control.
If you
prepare a business plan, look the different angles what you believe will affect
the feasibility of your initiative. Indicate in your summary the first step to
be taken until everything is in order. Remember, your summary should be comprehensive,
complete, detailed, well-prepared and in sound structure.
The first
step you have to consider should be workable. It should be profitable to
generate enough revenues that can handle all your operational expenses and
still leave considerable profits.
If your line
of business is department store, selling consumer goods and other product lines
on the shelf. You have to be meticulous in handling inventories, stocking and
hiring salesperson. Gather all necessary data for your line of business. Consider
if the product to expose to the buying public is saleable and the basic
commodities mostly patronize by consumers. A saleable product line is important
because this is where your profits originate.
Your new business plan should
include summary of marketing analysis. It will indicate your would-be
customers. It also indicates the competitions around the area nearer to your
establishment. It also indicates the scope of your market size and growth rate
you are expecting during the initial phase of your operation.
It is
important that you will devise marketing strategies for the business to be
profitable. Include the importance of good financial planning. It will indicate
the volume of sales, the investment capital, cash flow and profits once you
start the ball rolling. Part of your management team should be thoroughly
trained, well-experience and has enough knowledge in store management.
Start
evaluating your business success. Include sales figures and marketing goals.
Advertising is good medium of increasing sales to put the business in the
limelight.
Be specific
in your action, the time frame to start the business, the preparation to
undertake and expectation ahead. Don’t let the stone unturn. Every little
details of it should be considered and
thoroughly analyzed.
If your
business plan is thoroughly and completely prepared, it is easy to start the
project because you already have the direction that will lead and guide you as
you go along.
If you
believe advertisement is costly, find another means, maybe through promotional
offer on some items that does not entail too much cost but yet effective to
invite customers to the store. The purpose is still the same, communicating to
the public as an integral part of your selling strategy.
Once you
started the business:
-If there is
close competition with your store, consider gathering information about your
competitor, everything that you believe a threat to your business existence.
This will give you time to counter its negative effect and to recover from
possible losses.
-Check their
initiated marketing strategy. You may learn a lesson and do the same at your
advantage. Check why customers patronize the same product you sold. Check if
the price of the commodity is less than what you offered. Evaluate if lowering
the price can still not affect its profitability. Check if the promotional
offer is the result of their increased sales.
-Good source
of information is helpful to make better marketing strategy. It enables you to
understand the pulse of the buying public. It enables you to increase your
customer’s database.
-Giving
promotional offer can expand your competitive advantage against your competitor
especially if the product you are selling was not on the list of your
competitor. With good marketing strategy, you can respond to marketing needs to
reach your marketing objectives.
As
entrepreneur, focus your attention to the general structure of your operation.
If something goes wrong along the line, be ready to initiate plan B to handle
unexpected setback. It is better if you personally supervise the business so
that any hindrances can immediately be attended to lessen the damage to minimum
level.
