Unit 2: The Business Plan

Lesson 2
The Business Plan Contents (I):
Introduction, Executive Summary, and
Proponents

Entrepreneurship
Senior High School Applied - Academic
How can a business be
established?

What should an
entrepreneur do to
choose the best product
or service for his or her
customers?

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 2
Learning
Objective
Discuss the different parts of a
At the end of the business plan.
lesson, you should be
able to do the
following:

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 33
How did you introduce
yourself to your partner?

What did you notice

about how your partner
introduced himself or
herself to you?

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 4
 Why is it
important to
have an
introduction to
every product
or service that
we have?

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 5
 Business Plan Introduction

The business plan

introduction serves as
the “birds-eye view” of
your plan.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 6
 Business Plan Introduction

It is written at a high
level while not going into
details.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 7
What is the difference between
the business concept and
business model?

8
 The Business Concept

A business concept should have

the essence of the business in a
short but powerful manner.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 9
 The Business Model

A business model is a formula on

how the business plans to make
money out of business.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 10
 Four Areas of Business Modelling

1. Raising revenue
2. The cost of the enterprise
products and other costs of
doing business
3. Major investments of the
enterprise
4. Financing the investment

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 11
Why should you have measurable
goals and objectives in your
business plan?

12
 The Business Goals

The business goals show the long-term and

future prospects of the enterprise.

It is composed of the vision, mission,

objectives, key results area, and
performance indicators.
ENGAG EXPLOR EVALUAT
EXPLAIN EXTEND 13
13
 The Business Goals

Goals tell you wherever you want to go;

objectives tell you precisely the way to get
there.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 14
14
 The Business Goals

Goals will increase your effectiveness;

objectives back your goals, and cause you
to be more economical.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 15
15
 The Business Goals

Goals are usually represented in words;

objectives usually go together with numbers
and specific dates.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 16
16
 The Business Goals
1. Specific Goal Setting
2. Self-Efficacy
3. Need for Achievement
4. Ambition
5. Willingness to Learn
6. Adaptability and Flexibility
7. Willingness to Take Risk
8. Interpersonal Skills

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 17
17
Tip

Always think of a goal that is

measurable. By establishing
measurable goals, you'll be able
to track your progress and
acknowledge right away once
your efforts are going off target.
18
 Example: Writing Goals and Objectives

Situationer:

You want to establish a web-conferencing

service for educational purposes. You can
have the following goals and objectives (in
terms of launching the service):

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 19
19
 Example: Writing Goals and Objectives

● Placing print and airing radio ads to gain

awareness.
● Attract first-time customers by offering a
discount on their first visit.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 20
20
 Example: Writing Goals and Objectives

● Cultivate prospects by implementing a

permission-based weekly email to 2,500
targeted contacts.
● Convert 10 percent of prospects to clients,
using email reminders.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 21
21
Why is it important that your
executive summary is written
perfectly?

22
 The Executive Summary

The executive summary summarizes the

necessary details of the business plan for
its readers.

It is timesaving for readers, for they are

able to get the gist of the business plan.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 23
23
 Contents of the Executive Summary

For startup business

● The business opportunity

● Taking advantage of the opportunity
● The target market
● Business model

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 24
24
 Contents of the Executive Summary

● Marketing and sales strategy

● The competition
● Financial analysis
● Owners/Staff
● Implementation plan

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 25
25
Remember

In writing your executive

summary, you already need to
capture the audience's attention
immediately so that they are
motivated to read the remainder
of the document.
26
Tip

You need to end your business

plan’s executive summary with a
strong and clinching closing
sentence that will justify why your
proposed business is a winning
one.
27
 Example: Executive Summary of a Bakery

Johanne’s Bakery (JB) is a starting coffee

and cake shop located in San Pedro City,
Laguna. JB is expected to catch the interest
of its loyal and regular customers with a
variety of coffee, pastry, and cake products.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 28
28
 Example: Executive Summary of a Bakery

The company plans to have a strong market

established in the town because of its mild
competitive climate and our partner’s
experience in the area.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 29
29
 Example: Executive Summary of a Bakery

JB aims to offer its bread and pastry

products at a competitive price to meet the
needs and demands of the lower- to
middle-income local market area residents
and tourists.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 30
30
 Example: Executive Summary of a Bakery

Because of its variety of product offerings,

Johanne’s Bakery will be the no. 1 coffee
and bakeshop in the city.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 31
31
What are the things that you need
to keep in mind when writing
your executive summary?

32
 On Writing an Executive Summary

1. Focus on providing a summary.

2. Keep your language sturdy and positive.
3. Keep it short.
4. Polish your executive summary.
5. Put yourself in your readers’ place.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 33
33
Who are considered to be the
business proponents in a certain
business?

34
 Types of Stakeholders

Resource Mobilizers
Technology Providers and Applicator
Government and Top Management
Operations and Support Team

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 35
35
Remember

Each of the proponents has

something to contribute, and they
can be divided based on their
capabilities, skills, and interests.

36
 Activity

If you are going to have a business, what would

it be?

Make an organizational chart illustrating the

key stakeholders of your business.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 37
 Questions
Part A.
1. Why is it important to make the business goals
measurable and attainable?
2. What do you think will happen if the executive
summary is vague or has incomplete details?
3. Why should the business partners be well-meaning
and like-minded?
ENGAG EXPLOR EVALUAT
EXPLAIN EXTEND 38
 Questions

4. Why should the executive summary be written with

positive and sturdy language?
5. Why should you put yourself in the place of the
reader of your executive summary?

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 39
 Questions
Part B.
If your group will establish a business whose mission
and vision statements are given below, what will be
your goals in the future to make your business
succeed?

Write five goals or objectives that a business should

attain.

ENGAG EXPLOR EVALUAT

EXPLAIN EXTEND 40
 Questions
Name of Business: Double Happiness

Vision Statement To establish a commanding presence and

market leadership as a food chain servicing
major bus terminals in Metro Manila within
the next five years.

Mission Statement To provide quality food and passenger

convenience services that would help
improve the growth of the company and the
ENGAG EXPLOR lives of its employees. EVALUAT
EXPLAIN EXTEND 41
 Wrap Up

A business plan introduction serves as the “birds-

eye view” of your plan.

A business concept emphasizes the value of

the product to be offered to the target
customers who would most likely buy it.

42
 Wrap Up

A business model is a formula on how the

business plans to make money out of business.

The business goals show the long-term and

prospects of the enterprise.

43
 Wrap Up

The executive summary provides the key points

of a document for its readers, saving them time
and getting them ready for the entire content.

The business proponents contain information

about the stakeholders of your business.

44
Wrap Up

45
 Bibliography
“An Introduction to Business Plans.” Entrepreneur. Accessed March 20, 2010.
https://www.entrepreneur.com/article/38290.

Berry, Tim, and Noah Parsons. “Palo Alto Software.” Bplans. Accessed March 3,
2020. https://articles.bplans.com/writing-an-executive-summary/.

Dollingner, Marc. Entrepreneurship: Strategies and Resources 3rd Edition. New

Jersey: Prentice Hall, 2003.

Peterson, Steven D. “Set Goals and Objectives in Your Business Plan.” Dummies.
Accessed March 20, 2020.
https://www.dummies.com/business/start-a-business/business-plans/set-g
oals-and-objectives-in-your-business-plan/
.

Ward, Susan. “Business Plan Tips: How to Write a Winning Executive Summary.”
The Balance Small Business. Accessed March 20, 2020.
https://www.thebalancesmb.com/executive-summary-of-the-business-plan
-2948012
.
46