Knowledge Check
Planning is an essential aspect of any project. It is important to show the estimated procedures, duration, costs, and outcomes of any project. A good plan should have all the aspects mentioned above as accurately as possible. In addition to that, it should be based on facts and ideas that the project has. Any business aims to make as much profit as possible. To do so, several aspects need to be considered. Apart from that, some aspects, such as management, need to be very well aligned to the current market. In most cases, one also needs to consider the variations that occur in the market. One of the most common ones Is the change in supply and demand of both resources and products. The alterations may mean the failure or success of the business. In newly developing companies, several aspects such as the development of the brands affect the popularity of the product. They also need to consider client satisfaction if a product is to succeed. There are several ideas that are considered in management. They are discussed in an essay, as explained by several scholarly articles.
In any project, planning is a crucial aspect in determining the amount of income to spend. One of the best methods to analyze the strength of a business is using Porter’s Model. It offers five modes of analysis that are used in determining the strength or weakness of a business. Michael E. Porter created the model. It will be used in the analysis of the idea expressed above. It considers five aspects of the business, namely: competition, the potential of new entrants, the power of suppliers, the power of customers, and the threat of alternative products. In any free market system, there are several suppliers in the business. The more the suppliers, the higher the competition for the available market slots. The market can restrict the entry of new suppliers into the market. For a service such as food delivery, the entry of the market is not limited. Anyone who has the funds to enter the market can do so at will (Bruji,2018). To fight against such stiff competition, the firm needs to ensure that it develops better market power. & Yang, 2018). The consumers are the core determinants of the success of a business. Once the consumers are pleased with the progress and services, success is achieved.
Several aspects are considered when preparing a good pitch. One of them is that they need to address all the issues that the idea has (Smith, 2018). It also needs to address the risk and expected returns that the organization would have. IN case of failures, the pitch should offer remedies and measures to avoid excessive losses. Besides that, it should have a proper attention grabber for the investors to be interested in. In the pitch addressed above, the aspects are considered in several ways. One way is that the idea is well elaborated. It details a step by step guide to entering the hotel market. It also addresses competition and its effect on the business (Driscol, 2020). It also offers exit strategies in case the plans fail (Amakwah, 2019). It also modifies the environment such that it has more control over the existing conditions.
Any business aims to make as much profit as possible. To do so, several aspects need to be considered. Apart from that, some aspects, such as management, need to be very well aligned to the current market. Humans have basic needs, such as food and clothing. Some of the most successful brands such as Puma, Nike, Air-Max, KFC, and Debonair, have been developed and have gained significant market power due to the commodities they sell. Based on the idea, one may develop a business idea.
References
Amankwah-Amoah, J., Hinson, R. E., Honyenuga, B., & Lu, Y. (2019). Accounting for the transitions after entrepreneurial business failure: An emerging market perspective. Structural Change and Economic Dynamics, 50, 148-158.
Bruijl, G. H. T. (2018). The relevance of Porter’s five forces in today’s innovative and changing business environment. Available at SSRN 3192207.
Dälken, F. (2014). Are Porter’s five competitive forces still applicable? A critical examination concerning the relevance for today’s business (Bachelor’s thesis, University of Twente).
Driscoll, B., & Squires, C. (2020). The Frankfurt Book Fair and Bestseller Business. Elements in Publishing and Book Culture.
Hussein, S., & Muchemi, A. (2019). Michael Porter’s Five Forces on Performance of Savings and Credit Cooperative Societies in Nairobi City County, Kenya. International Academic Journal of Human Resource and Business Administration, 3(7), 14-35.
Morita, T., Sawada, Y., & Yamamoto, K. (2020). Subsidy competition and imperfect labor markets. Journal of Public Economic Theory, 22(3), 698-728.
Smith, B., & Viceisza, A. (2018). Bite me! ABC’s Shark Tank is a path to entrepreneurship. Small Business Economics, 50(3), 463-479.
Xiang, R., & Yang, H. (2018, August). Bargaining Power of Suppliers, Customers, and Enterprise Accounting Conservatism Based on the Empirical Data of Listed Companies in China. In the 3rd International Conference on Judicial, Administrative and Humanitarian Problems of State Structures and Economic Subjects (JAHP 2018). Atlantis Press.