BUS105 IA3

Tyler Peyman

IA3

4/20/18

Personal Business Plan

Mission Statement:

We strive to develop our products sustainably, only using materials that do not harm the environment and the people and can be recycled once wasted.  By using this strategy, we save the company money, customers are satisfied, and no damage is done.  Lastly, we provide competitive prices for materials and provide a rewarding work environment for its employees. 

Business Environment:

I will be competing in the construction industry as my company creates sustainable building materials for construction companies to use.  As for the global environment, barriers to entry are low because worldwide, there is no company that does this at this level.  However, competition will be rising due to the fact that other distributors will claim their company is better.  For supply and demand, economic forces will be present.  During the cold seasons, demand will be lower, but in warmer seasons, demand would be high.  Thus, in the middle of the supply and demand will be the equilibrium point. 

Entrepreneurship and Strategy:

One of the main challenges I envision promoting and selling product me is branding and receiving enough support from customers and clients.  If more clients are satisfied with the product and service, it is more likely the company will begin to expand.  As for potential strategies, I would plan to do a service that other companies may not provide such as delivering materials to the location of the construction site.  That way, construction companies will be able to save time off site and more time on site, completing the project at hand.  Another start up strategy would be the location of the business.  Obviously, if there is another construction materials distributor in the same area, I would not want to start a similar business there. 

Management:

As for management, I would push for efficiency and effectiveness by using as few resources as possible as well as achieve goals as fully as possible in order to have managerial success.  As a general manager, I would have employees report back to me the progress they made.  Since the company involves distributing construction materials, I would motivate the employees by having a competition.  For example, for sales, the competition would be to see who brings in the most construction companies buying materials from my company.  The employee with the most would receive a bonus.  I think this way would promote a healthy, efficient and fun way to manage the employees.  At the beginning of each work week, I would set goals that we as a company need to achieve for that week. 

Marketing:

As a Chief Marketing Officer of this company, I would promote my products through networking.  This will allow for the company to spread to potential customers who may be interested in the products and services.  My potential customers would be construction companies and homeowners.  Using the four P’s of marketing, (Product, Price, Placement, Promotion) I would use the sustainability aspect to market the products.  Allowing the customers to know that the materials they are getting are eco-friendly and safe to use, should promote a good way of buying these products.  As for digital marketing, I would promote my products through social media especially twitter because I feel that is the best way to promote the products. 

Accounting and Finance:

For this assignment, we will be a publically traded company.  This will allow for the company to have shareholders and stock.  We would then be able to sell stock and generate revenue and keep the shareholders involved in the business. 

Example of company balance sheet:

Assets:

            Cash $600

Liabilities and Owner’s equity

            Liabilities 400

            Owner’s Equity 200

Total Liabilities and Owner’s equity $600

Also, fixed costs, variable costs, and contribution margin per unit are a part of the breakeven analysis.  This is the process to break even and the total sales revenue must exactly equal all your expenses.  A financial plan would consist of a steady wage for all employees along with benefits and retirement plan. 

Information Systems and Operations:

As for information systems and operations, the company will need to collect data on a lot of different aspects of the business.  I would make sure the company is running on the ERP System.  This will manage information flow among all database applications.  Each department would need this.  For example, Finance, they report customer’s credit rating and current selling prices.