Case Study on Business Planning:
Business planning is the technical and economic evaluation of the activity of a business, the program of its activity and it characterizes the model of the business’s work in future. Business planning is characterized with the creation of a business plan – a document which contains information about the future company, the field of its work, its strategies and perspectives. A good business plan is constructed by the real professional and it covers more than 20 pages of the quality analysis of the activity of business. A business plan is required for the attraction of investors, shareholders and the owner of the firm in order to be able to describe the scope of the company’s work to the people who are interested in this issue. Business plan is not just the plan for the notice business, but also for the companies which exist for dozens of years. Most often the business plan is valid for two years and then the firm changes it introducing the certain innovations and new strategies.
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Business planning has a great number of functions. First of all, it illustrates the actual condition of the company – its strong and weak sides (in order to see what can be improved for the development of the firm); evaluation of the productiveness of the firm and its ability to compete on the market; specification of the strategy of the company’s development through the system of its qualitative and quantitative indicators; maintenance of the interest of investors and shareholders in the further financial support of the firm; the reduction of risks in the business activity; etc. A business plan is made for the reduction of cost of production and increase of the firm’s profit.
Business planning is the process of the projecting of the company’s activity for the certain period of time. The student who has decided to prepare a well-structured and informative case study about the issue should dwell on the analysis of the case site, the problem and the elements which can be important for the research of the case. It is wise to observe the advantages and disadvantages of business planning and analyze the matter form all sides trying to brainstorm the effective solution to the problem.
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