Business Plan

Bus 508

Assessment 5

Action 1

A business plan is important to The Great Deal Company because it defines the goal of the organization. It serves as a guide during the life of the business. It is the blueprint for the organization and helps to keep things on track. The business plan defines your objectives to help reach your desired goals. It states the products or services your business is going to offer, the way you are planning to make money. It helps the business develop a sales or marketing plan to convince people to buy your product. It allows you the ability to be able to concentrate more on your target market and see how people perceive the product or service you are offering. A business plan will help to define the operations plan, the way in which you are going to spend money to make money. The management plan is defined to show how you plan to make it all work together. It describes who is behind the business. The financial plan tells how you plan to measure your success. The plan can be reviewed regularly to ensure that your business is operating as a success. It ensures the financial institution you are trying to get a loan from that you are serious and you plan to be a success. The business plan can be the reason you are or are not able to start your business.

Action 2

Supply can be defined as the quantity that producers are willing to sell at a given price. Demand is the quantity that consumers are willing to buy at a given price. The greater the quantity demanded the lower the price of an item tends to be. However as the price goes up the supply of a particular items tends to increase. This causes a point of equilibrium where the two curves intersect. If the price of an item is set too high then the quantity demanded will decrease and cause a surplus or excess in supply. But, if the price is set too low and the quantity demanded increases then it will cause a shortage in supply. Businesses try to keep the two at an...