Friday, 23 October 2015

Business strategy

For your business strategy,  an entrepreneur needs to prepare on these:

Your business goals and how to achieve them?

Customers - Who would buy and why they would buy from you?

Target market  - Which age group you target for your product? Which section of the society you target for your products? Whether your products need rich clients only or any income group ? Whether your product demand depends on design, colour and buyer's taste besides quality?

Market research - Research on a group of your target customers in your choice of market (local, national, international) to understand the sales potential of your products amongst the target group of customers.

Market demand -  What would be the demand for the product when you come into the production/business? Would the demand for the product type would have changed?

Competition - Depending on the location and product demand explore on your competitors and whether you can also be in that business and make profits?

Pricing - Market research/exploration to know what price is running in the market and whether you can supply at that price and make profits? 

Orders - How will you get orders? Will you go to the buyers? Whether you will send samples to the buyers to collect orders? Or whether there will be factory site visit by buyers for placing you orders? For example for granite blocks/tiles, international/national/local buyers may visit the factory site for selection of granite tiles or go to querries for selection of rough granite blocks. What would be your marketing expenditure?

Payment mode - What methods/channels the buyers will use to pay you?

Internet - Can internet help in marketing of your products?

Manufacturing - How much you will manufacture annually? Land requirements for your factory site? What building construction you need for your factory site? Raw material availability? 

Finance - What are the costs (all costs) to be incurred for your business? Which financial institutions will you approach for loan? What other methods you will employ to repay the loan in case of non -repayment of loan to banks to stay in business?

Risks - what are the risks involved in your industry?

What advertising schemes you would use for your products and what would be the cost to bear?

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