BUSINESS PLAN

1
Market Analysis
Location Target Market Competition

• BUSINESS PLAN

2
Choose Your Location

• Location
• Location
• Location

3
Location Possibilities

• Retail Businesses
• Downtown Areas
• Market street renovations
• Neighborhood Shopping Centers
• Dairy Mart, Video, Dry cleaners
• Community Shopping Centers
• 30th Street, Washington Square
• Regional Shopping Centers
• Belden Village, The Strip
• Super-Regional Shopping Centers
• French Quarter in Columbus
• Standalone Stores
• Home Depot
• Warehouses
• Sams Club, BJs

4
Location Possibilities

• Non-Retail Business
• Home Office
• Office Buildings
• At Customers Home

5
Target Market

• Who is your
• Customer?

6
Demographics

• Part of a population identified as a group,
  especially as a target for sales or advertising
• Specific details or a description of a group of
  people who will be your customers
• Geographic Demographics
• Personal Demographics

7
A. Geographic Demographics

• Relating to the geography of a specific region
• What group or organization(s) will your business
  serve?
• Ice Cream StandHolly Hills Little League teams
• From what area will your customers come?
• Sherwood Village and Rite Aide on Middlebranch
  and Easton

8
B. Personal Demographics

• Relates to personal characteristics of an
  individual or group
• Age
• Is your product/service geared toward teenagers
  or senior citizens?
• Gender
• Is your product/service made specifically for a
  male or for a female?
• Hobby/Interest
• Is your product/service made specifically for a
  particular sport or activity?

9
AnalyzeCompetition
10
Analyze Competitors

• Price
• What do they charge, are your prices higher or
  lower
• Location
• Where are they located
• Facility
• Nice building, accessible, appealing to customers
• Strengths
• What the competitor does that no else does, or
  what they do better than everyone else
• Weaknesses
• Disadvantages of the competition
• Strategy
• How will you get customers to come to you instead
  of a competitor

11
Analyze Competitors
Competitor Price Loca-tion Facility Strength Weakness Strat-egy
Standard Gas 6 Excel-lent Good Location Not easily accessible Target different market
Rays Car Wash 5 Good Fair Low Price Facility Target different market
Royal Hand Wash 11 Fair Excel-lent Facility Location Lower price, better service, better location
12
Video

• Direct and Indirect Competition
• http//www.videojug.com/film/assessing-business-co
  mpetitors

13
COMPETITION

• Direct Competition
• Competition from a business that makes most of
  its money selling the same or similar products or
  services as another business
• Wall Mart and KMart
• Indirect Competition
• Competition by a business that makes only a small
  amount of money selling the same or similar
  products or services as another business
• KMart Garden Center and Rice's Nursery

14
Finding Your Competition

• Direct Competition
• Same geographic area as your business
• Telephone directory
• Local Chamber of Commerce
• Malls, shopping centers, retail outlets
• Indirect Competition
• Harder to find
• Think of all the possible businesses that can
  compete with you
• Department store vs specialty shop

15
Competing with Large Businesses

• Usually are able to keep larger quantities of
  products in stock
• Purchase larger inventory
• Larger storage areas
• More available cash/credit to purchase inventory
• Dont rely on one single product line
• Other product lines help to generate revenue
• Small businesses face risks when sales of single
  product lines drop
• Usually have more resources to devote to
  advertising
• More budget to spend on advertising
• Ads can feature more than product/service
• Can hire advertising professionals to create ad
  campaigns

16
Customer Loyalty

• Listen and respond to feedback
• Bike shop activity
• Superior service
• Outback Curb-Side Take Out
• More convenient hours than other businesses
• Sears Dental
• Easy return policies
• KMart
• Store-specific credit cards
• Gas Cards
• Personal notes/birthday cards
• Insurance agents
• Frequent buyer programs
• Wonder Store