(Mikes Bikes) Business Plan
The Business Plan (125 Points)
OBJECTIVE: The objective of this assignment is to help you understand the importance of planning in helping businesses achieve their objectives. In groups you will have to create a business plan for your Mike’s Bikes organization, which will serve as a blueprint for your operational decisions and provide a step-by-step explanation of how goals will be achieved. As with any business you will have to make decisions as the term progresses based on the plan you create. Each of the 7 parts of the assignment will be evaluated on the criteria below.
LeBow Focus:
Economics: Understand the relationship between revenues and expenses, and better comprehend the benefits and drawbacks of various forms of financing a business.
Problem Solving: Use critical thinking skills and problem solving abilities to successfully grow a business in a highly competitive environment.
Career Planning: Explore some of the responsibilities that go along with owning your own business. You will understand the many facets of Entrepreneurship and the interdependence of many areas of business.
Writing: Use business writing skills to create an Executive Summary and provide a concise picture of your 8 year plan for successfully running a business.
Part 1: Executive Summary: 5% of your grade
GOAL: As a group you will have to write a one page summary that communicates, independently of the report, a consolidated overview of the principle points in the Business Plan. You should emphasize conclusions and recommendations.
Part 2: Mission Statement: 5% of your grade
GOAL: As a group you will have to create a concise declaration of your organization’s fundamental purpose and basic philosophy. This Mission Statement should identify the needs of key stakeholders of the company and your plan(s) to address those needs. You will need to identify at least 4 stakeholders and clearly incorporate their needs into your company’s Mission Statement.
Part 3: Situation Analysis: 20% of your grade
GOAL: As a group you will have to provide 3 examples for each of the 5 elements below. The examples should be realistic for a bicycle company and should reflect the relationship between external forces and your company’s performance. Each example should have a brief explanation identifying its influence that is unique to the bicycle industry. *Competitive forces
*Economic forces
*Legal and Regulatory forces
*Technological forces
*Socio-cultural forces
Part 4: SWOT Analysis: 20% of your grade
GOAL: As a group you will have to identify the impact of internal and external factors that affect company performance by providing 3 examples for each of the 4 elements below. The examples should be realistic for a bicycle company in today’s competitive, economic, legal, technological, and socio-cultural environment. For each example you will have to indicate whether it is an internal or an external factor and why.
*Strengths
*Weaknesses
*Opportunities
*Threats
Part 5: Business Resources: 10% of your grade
GOAL: As a group you will have to Identify and describe the resources necessary for your company’s successful operation. You will have to explain your plans for the resources below.
*Human resource experience and expertise: You will have to explain the role that did each group member played in the successful operation of your business
*Financial resources: You will have to identify what financial resources you had when you took control of the company and how you plan to acquire more financial resources should you need them in the future (debt, equity).
Part 6: Business Strategy: 20% of your grade
GOAL: As a group you will need to identify four specific, measurable, and realistic company objectives as well as the timeframe for completing each objective. You will need to include your plan to achieve each of these objectives in the competitive bicycle sector. You will also have to clearly explain your intended strategy for positioning in the market.
*Identify strategic placement in the industry (high/low, low/high, medium/medium)
*Objective #1 and plan for using company strengths and resources to achieve this objective
*Objective #2 and plan for using company strengths and resources to achieve this objective
*Objective #3 and plan for using company strengths and resources to achieve this objective
*Objective #4 and plan for using company strengths and resources to achieve this objective
Part 7: Financial Projections and Budgets: 15% of your grade
GOAL: As a group you will have to use financial data provided to anticipate costs and estimates of sales revenues to outline returns through implementation of your business plan for the four periods. You will have to weigh potential costs incurred against expected revenues. Trend analysis for at least two periods will help you with this section. You will need to anticipate your competition and the business strategies of each competitor.
Part 8: Marketing Plan: 20% of your grade
GOAL: As a group, you will have to devise a marketing plan for reaching your target market. You will have to determine who comprises your target market, what strategies will best access that target, and provide examples of medium that will be most effective. You should develop a company logo and slogan as well, and include the rationale for your company name, and how it all relates together. For example, if you determine that print ads will be an effective tool, you must provide examples of where and when such printed advertisements will appear. Should you determine that TV ads are your best option, you will need to explain on which shows at which times you will be most effective in reaching your target audience.
Overall appearance of the report including, but not limited to: proper citations and sources, grammar/spelling, sentence structure, formatting of the cover page and body of the report (including a brief introduction and conclusion) – 10% of your grade
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