Create a 6 page essay paper that discusses Critical Appraisal of Business Planning Process.It is evidently clear from the discussion that external market conditions change rapidly in certain industrie

Create a 6 page essay paper that discusses Critical Appraisal of Business Planning Process.

It is evidently clear from the discussion that external market conditions change rapidly in certain industries, thus driving a need for innovation in order to compete with other businesses operating in the same market environment. Products and services both from an entrepreneurial business and the competitive environment have a specific life cycle by which it generates profitability and consumer adoption patterns. A product or service will move from growth to maturity, a period where sales decline and thus new product development becomes a critical internal activity of the organization. This is why generating new ideas becomes a paramount objective in the planning process, usually requiring the input of executive leadership and managers to determine how best to introduce a new product whilst still recognizing costs. In generating new product ideas, the business leaders must determine whether compromises will be made, opportunity costs or trade-offs, in order to launch a new product or service on the market. “Will conventional wisdom be defied, an understanding that teams, plans and reflects on learning lead to reduced cost, risk and speed to market”?. Recognising the financial impact of new product development and market launch urgency must be considered when generating new ideas. Innovations, however, are critical to maintaining a stable market position.Strategy formulation determines the objectives necessary to achieve a long-term market position. The strategy defines sustainability over the long-run or whether growth is an expectation related to revenue-building. An entrepreneurial dimension of strategy is persisting to find a better fit in the competitive market or developing a vision by which the organization founds its values and organizational structure against. Developing a long-term orientation is necessary for business planning as it determines the strategic direction the business intends to pursue and thus resources are allocated toward meeting this purpose.