Critical Appraisal of Business Plan Process Towards the creation of a successful entrepreneurial venture - Essay Example

Comments (0) Cite this document
Summary
Critical Appraisal of Business Plan Process Towards the creation of a successful entrepreneurial venture Introduction A business plan is “a detailed definition of a business idea and explains how the business of the potential company will be executed (Piotrowski, 2011, p…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97.3% of users find it useful
Critical Appraisal of Business Plan Process Towards the creation of a successful entrepreneurial venture
Read TextPreview

Extract of sample "Critical Appraisal of Business Plan Process Towards the creation of a successful entrepreneurial venture"

Download file to see previous pages Because it is contained in a tangible document, it is open to critical examination by important third parties such as possible co-investors, creditors, venture capitalists, or banks which may be considering extending a loan towards the business (BC Ministry of Small Business, 2011, p.2). Elements The business plan is comprised of several elements, which may be described as follows: Idea generation, while not a tangible part of the business plan proper, is a vital phase of the planning process. It is the germination of the business intention, the idea that combines a perceived need in the environment with a recognized capability in the business proponent. Idea generation is the most difficult stage of developing a new product or service, whether it be for a new or existing business (Crane, 2010, p. 104). This is because it involves the creative process and is not defined according to any established procedure, but often occurs as a flash of inspiration or unique insight as to how a particular need may be fulfilled. When an idea is first generated, there is usually no indication as to whether it will be successful or even feasible, thus embarking on a course of action on the bases of new ideas always involves a great deal of conviction and a leap of faith. Strategic objectives are set subsequent to the generation of the idea. Strategic objectives provide the overall mission or purpose of the business (i.e., a “philosophical” purpose, according to Piotrowski, 2011, p. 174), as against the operational objectives. Strategic objectives relate to the definition of four elements of the business profile, namely products, customer groups, market segments, and geographic markets (Robert, 1998, p. 234). As with all statements of intention, however, the statement of strategic objectives is always couched in general terms that may admit of many varied interpretations. As a guide, therefore, the strategic objectives are at best advisory, but cannot be held as definitive as promises or commitments for which the business may be held answerable. Therefore, the effectiveness of strategic objectives will only be as meaningful as the best intentions of the business proponents may hold them to be. Market analysis and research is the process of gathering information about the prospective market of the business and drawing important insights and observations about future prospects. Information about the market’s size, its location, its history, the competitive profile, and likely profitability, as well as its general strength and health, are described and assessed. The information gathered during this stage provides the foundation for forecasting sales volumes and revenues, for determining the capacity of the business, and consequently the amount of financing required (Ehmke & Akridge, 2005, p.3). Market research analysis has its limitations. Ideally, accurate knowledge of markets is very important, but such knowledge does not serve to reduce knowledge of the business into a single solution that solves all possible problems. It is a myth that a business cannot fail if it completely knows its market; this is because the market is just one aspect of the business, the others being the financial, technical operations, accounting control, and human resources aspects (Brown, 2008, p. 464). Furthermore, the market has too many factors that could not be forecast with certainty, that any feeling of possessing complete knowledge of the market is a certain ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Critical Appraisal of Business Plan Process Towards the creation of a Essay”, n.d.)
Retrieved from https://studentshare.org/business/1393041-enterprise-and-entrepreneurial-management
(Critical Appraisal of Business Plan Process Towards the Creation of a Essay)
https://studentshare.org/business/1393041-enterprise-and-entrepreneurial-management.
“Critical Appraisal of Business Plan Process Towards the Creation of a Essay”, n.d. https://studentshare.org/business/1393041-enterprise-and-entrepreneurial-management.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Critical Appraisal of Business Plan Process Towards the creation of a successful entrepreneurial venture

Critical appraisal of the business plan

...?Business Plan Critical Appraisal Any business plan or model may be susceptible to market forces and pressure that need to be dealt with critically in order to guarantee success. The proposed business model is critically appraised in this text as per the various included aspects. The SWOT analysis for the business model delineates that the key strength my business would possess is the market knowhow that I possess. (Shane, 2003) Though I have a wide idea of the business market as far as importing and...
3 Pages(750 words)Essay

Enterprise and Entrepreneurial Management

...Critically appraise the business planning process: The business planning process is to draw out an elaborate plan which clearly outlines the nature of the business venture, marketing, sales and financial strategies and finally projecting a profit and loss statement. In this essay, we try to find out whether the business plan made is actually viable. While planning, most managers may come across certain constraints and obstacles which may hinder the planning process. In a broad sense, business planning may pose to be risky as planners are exposed to an element of risk. This is due to the fact that external forces may positively or negatively impact the market (Jenster 1987). Generating an idea – One of the prime requisites... for...
12 Pages(3000 words)Assignment

The Creation of a Successful Entrepreneurial Venture: Analysis and Critique

...?Entrepreneurship Part The Creation of a Successful Entrepreneurial Venture: Analysis and Critique The importance of entrepreneurship in modern day society cannot be overstated with Henry, Hill and Leitch (2003, pp. 7-8) arguing that it contributes significantly to total employment and household per capita incomes in the UK. This is a pattern which is replicated all around the world; a view also supported by Down (2010, p. 3). Entrepreneurship can be defined from several angles, but it revolves around a way of thinking and acting that is opportunity based, approaching complex situations holistically and with leadership balance (Stoke, Wilson and Mador 2010, p. 8; Marriot 2008, 46). The process of entrepreneurship has been detailed... in the...
11 Pages(2750 words)Essay

Critical Appraisal of Business Planning Process

...?Critical Appraisal of Business Planning Process Introduction An efficient business plan is the real foundation stone of any successful business venture. A business plan is important for an entrepreneur because of the various purposes that it serves. It gives an overall idea of the actual purpose of the venture. The entrepreneur will have an overall idea about what he/she intends to do with the business venture. Thus the main component of a business plan is the core business objectives. It guides the business in its day to day activities. “A Business Plan is the foundation, or rather a springboard, towards the establishment and growth of a new business, particularly in the later stages of growth.” (VCgate, 2010) The importance... will...
12 Pages(3000 words)Essay

Entrepreneurial Venture: Cleaning Business

...for any entrepreneur. The factors also bothered me largely. The area of profitability and the choice of venture to set up a business are crucial for any entrepreneur. For some one new into the business it is important to be cautious in the initial days and to start operation in a small scale. If the business does not reap expected profitability at the start of the business, different plan needs to be adopted. The marketing of the business needs to be conducted on a large scale to capture a significant portion of the market. The performance of the house cleaning business did motivate and inspired to open...
4 Pages(1000 words)Essay

Critical Appraisal of Business Planning Process

...? Critical appraisal of business planning process BY YOU YOUR SCHOOL DATA HERE HERE Critical appraisal of business planning process IntroductionA successful entrepreneurial venture starts with understanding all of the internally and externally driven forces that will impede or improve market position. A business that is going to be able to adequately service customers, maintain profit expectations, mitigate risk, and ensure alignment between strategy and accounting must conduct extensive...
6 Pages(1500 words)Coursework

Entrepreneurial Marketing Business Plan

...and recreational facilities to the local population and in a timely manner (Frederick, 2009). In the context of entertainment, this TV program covers contents relating to any local entertainment events happening within a certain timeframe or even which theatres show whichever blockbuster movie in the market at that time. In this regard, the company’s management behind the creation and implementation of The Pulse requires a business plan. This business plan will serve as an indicator of the present and future state of affairs with respect to the company’s business expectations on the plan. The plan also...
4 Pages(1000 words)Essay

Critical Appraisal of Business Planning Process

... Critical appraisal of business planning process Introduction A successful entrepreneurial venture starts with understanding all of the internally and externally driven forces that will impede or improve market position. A business that is going to be able to adequately service customers, maintain profit expectations, mitigate risk, and ensure alignment between strategy and accounting must conduct extensive planning. The business plan provides the initial template by which the organisation will structure its cost systems, management structure and produce activities that contribute to successful competitive rivalry for improved market share in the industry where the business delivers products or services. This report describes... the...
6 Pages(1500 words)Essay

Conceptual Entrepreneurial Business Plan

...Perspective: Concepts for the Creation and Growth of New Ventures. Springer Science & Business Media. Eugene Brigham, J. H. (2011). Fundamentals of Financial Management, Concise Edition. Chicago: Cengage Learning. Hess, E. (2011). Growing an Entrepreneurial Business: Concepts & Cases. Stanford University : Stanford University Press. Kaufmann, H.-R. (2014). Handbook of Research on Consumerism in Business and Marketing: Concepts and Practices: Concepts and Practices. IGI Global. Kolb, B. (2015). Entrepreneurship for the Creative and Cultural Industries. New York: Routledge. Kraten, M. (2010). Business...
5 Pages(1250 words)Assignment

Business Planning: Enterprise and Entrepreneurial Management

...Enterprise and Entrepreneurial Management Part one: This will comprise a critical appraisal of the business planning process. You are not required to present a Business Plan, but rather critique the business planning process through a critical appraisal of the contribution each element makes to the creation of a successful entrepreneurial venture. Your critique should encompass such issues as: idea generation, strategic objectives, market analysis and...
11 Pages(2750 words)Assignment
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Critical Appraisal of Business Plan Process Towards the creation of a successful entrepreneurial venture for FREE!

Contact Us