The Business Plan

Read this section to see why business plans are essential and what sections should be included.

Marketing

This critical section focuses on four marketing-related areas - target market, pricing, distribution, and promotion:

  1. Target market. Describe future customers and profile them according to age, gender, income, interests, and so forth. If your company will sell to other companies, describe your typical business customer.
  2. Pricing. State the proposed price for each product. Compare your pricing strategy to that of competitors.
  3. Distribution. Explain how your goods or services will be distributed to customers. Indicate whether they'll be sold directly to customers or through retail outlets.
  4. Promotion. Explain your promotion strategy, indicating what types of advertising you'll be using.

In addition, if you intend to use the Internet to promote or sell your products, also provide answers to these questions:

  • Will your company have a Web site? Who will visit the site?
  • What will the site look like? What information will it supply?
  • Will you sell products over the Internet?
  • How will you attract customers to your site and entice them to buy from your company?