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03 November 2007 Parameshwar P. Iyer Indian Institute of Science Entrepreneurship Summit IIT Kharagpur How to Write a Business Plan Prof Parameshwar P. Iyer Business Plan What is it? Do you really need one? How long is it useful i.e. how quickly does it become obsolete? Who should prepare it? Which parts of it matter the most? Business Plan Contents Executive Summary Industry, Company and its Products Market Research Analysis Economics of the business Marketing Plan Design and Development Plans Manufacturing and Operations Plan Management Team Overall Schedule Critical Risks, Problems and Assumptions The Financial Plan Proposed Company Offering Appendices 1. Executive Summary Description of Business Concept and the Business Target Market and Projections Competitive Advantages Costs Economics, Profitability, and Harvest Potential The Team The Offering 2. Industry, Company, Products or Services The Industry Company and Concept Products and/or Services Entry and Growth Strategy 3. Market Reseach and Analysis Customers Market Size and Trends Competition and Competitive Edges Estimated Market Share and Sales Ongoing Market Evaluation Perspectives on Marketing Understanding your offering the way a customer values it – not as an innovation, but as a package of innovative services; Discerning which kinds of customers are likely to yield the first sale; and which will comprise the large, mainstream market; Learning what markets are trying to tell you; and responding appropriately. Marketing Philosophy The marketing concept provides an orientation for conducting a business, a way of thinking, and a basic approach to business problems. Marketing is .. The whole business seen from the point of view of its final result, that is, from the customer’s point of view. The principal task of the marketing function… is not to be skillful in making the customer do what suits the interests of the business as to be skillful in conceiving and then making the business do what



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