Business plan and its important

As a result, it is necessary for the managers to ensure that the strategic planning process would be able to bring out the best possible productivity levels from the human resources of the organization. They stop giving suggestions and new ideas to bring improvement in working because the guidelines for working are given in planning only.

Contingency Objectives Unexpected events can break a business without contingency plans.

Importance of Planning: It’s Features, Limitations, Process and Types

Coca Cola through its market research has addressed all three types of research to define the problem raised by shareholders and gathered information to serve their needs. The marketing needs to be motivated and knowledgeable about the product.

The augmented product is the extra consumer benefits and services provided to customers. When conducting market research a business must first define the problem and then gather the appropriate information to solve the problem. After setting up the goals, the clearly defined goals are communicated to all the employees.

Latest Business News

Setting goals for the year, each quarter and even the month or week is a good start. Sellers of Coca Cola products vary from major retail supermarkets to small corner stores. In this regard, strategic planning significantly relates to a variety of activities throughout the business organization.

The assumptions are made on the basis of forecasting. Such attractiveness of the business organization is dependent on the strategic planning process. Planning leads to rigidity: Standing plans are used over and over again.

Without profits, the business simply is not viable.

Purpose of an Operational Plan

In planning function manager begins with setting up of objectives because all the policies, procedures and methods are framed for achieving objectives only. Strategic Planning Context The context of strategic planning involves the needs of the business organization, including the need for the organization to ensure that its operations properly match the conditions of the market.

If there were no planning, employees would be working in different directions and organisation would not be able to achieve its desired goal.

If the benefits of planning are not more than its cost then it should not be carried on. So every product is born, grows, matures and dies.

Standing plans are also known as Repeat Use Plans. Furthermore, cost management, product differentiation and marketing have become more important as growth slows and market share becomes the key determinant of profitability. Possible substitutes that continuously put pressure on both Pepsi and Coke include tea, coffee, juices, milk, and hot chocolate.

The development of the organization depends on its ability to address the current preferences, and trends and expectations of the consumers in the market. The operational plan is produced by the chief executive and staff of the organisation.

A company must consider its long-term goals when designing incentive plans to ensure that the incentives it offers do not eat excessively into company profits, and to make sure that it has the correct human capital to accomplish its long-term goals.

What Is A Marketing Plan And Why Is It Important?

The plans also include unexpected risks such as fire or some other calamities in the organisation. Business model execution focuses on designing a culture and processes so that the organization consistently delivers on its value promises and has hard-to-copy advantages that keep its.

The world's largest business website, CNNMoney is CNN's exclusive business site with business, markets, technology, media, luxury, personal finance and small business. Business-in-a-Box - Download Business Plan Templates & Forms NowProfessionally Formatted · Save Money in Legal Fees · Save Your Precious TimeTypes: Contracts, Business Plans, Employee Handbook, Business Policies, Marketing Plan.


We would like to show you a description here but the site won’t allow us. This paper analyzes the importance of a business plan within the current trends; The business plan has among its characteristics a document demonstrating the areas of opportunity, which shows the profitability and viability of a project.

All organizations whether it is the government, a private business or small businessman require planning.

To turn their dreams of increase in sale, earning high profit and getting success in business all businessmen have to think about future; make predictions and achieve target.

Business plan and its important
Rated 3/5 based on 21 review
Importance Of A Business Plan – We Take Care of the Business