Content

Task 1
Task 2
Task 3
Task 4
Bibliography

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Task 1
Contents of a business plan
There are 3 key sections that should be considered when carrying out a business plan:

1. Objectives, Strategies, Market information

a. Objectives: The objectives of a business plan are the most important part. It helps to
spell out goals; specify results and activities that can be easily tracked. Goals may
include increasing monthly sales or profits to some specific number or by a specific
percentage; decreasing costs or operating expenses to a specific number or percent; or
finding a specific amount of new funding.
Objectives dont have to be financial. Objectives can be set for performance, customer
satisfaction, and other key elements of success, as long as it is defined how they will be
measured. For example, if a business wants to serve the best coffee on the block, add
that it will be determined by a random survey of customers (or by some other method).
Being the best is great, but it isnt a business objective unless it can be measured.
b. Strategies: A strategic plan is a roadmap to grow a business. To succeed, the
information below details that must be included in a strategic plan.
i) Executive summary: An executive summary is a snapshot of a business plan as a
whole and touches on a company profile and goals.
These may include:
The Mission Statement, Company Information, Growth Highlights, the Company's
Products/Services, Financial Information, Summarize future plans
ii) Company Description: The company description provides information on what it
does, what differentiates its business from others, and the markets its business
serves.
iii) Market Analysis: Before launching a business, it is essential for the company to
research your business industry, market and competitors.
iv) Organization & Management: Every business is structured differently. The best
organization and management structure for the business must be found out.

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v) Service or Product Line: What does the company sell? How does it benefit its
customers? What is the product lifecycle?
vi) Marketing and Sales:
An overall marketing strategy should include four different strategies:
A market penetration strategy, A growth strategy, Channels of distribution strategy
and Communication strategy.
vii) Funding request: Current funding requirements, Future funding requirements
over the next five years, how intend to use the funds you receive: Is the funding
request for capital expenditures? Working capital? Debt retirement? Acquisitions?
And any strategic financial situational plans for the future, such as: a buyout, being
acquired, debt repayment plan, or selling your business.

c. Market information: A market analysis is made by defining the market in terms of

size, structure, growth prospects, trends and sales potential.
The total aggregate sales of the competitors will provide with a fairly accurate
estimate of the total potential market. Once the size of the market has been
determined, the next step is to define the target market. The target market narrows
down the total market by concentrating on segmentation factors that will determine
the total addressable market--the total number of users within the sphere of the
business's influence. The segmentation factors can be geographic, customer
attributes or product-oriented. Once the target market has been detailed, it needs to
be further defined to determine the total feasible market.
2. Operational plans
The operating plans of a business explain the physical necessities of a business'
operation, such as a business location, facilities and equipment. Depending on what
kind of a business, it may also include information about inventory requirements,
suppliers and a description of the manufacturing process.
So divide the operating section of the business plan into two parts, starting with the
Stage of Development section.

In this section, product or service description will be made and identifications of the
problems that may occur in the production process.

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Show awareness of an industry's standards and regulations by telling which industry

organizations it is already a member of and/or which organizations it plans to join, and
telling what steps it has taken to comply with the laws and regulations that apply to the
industry.
They must explain who their suppliers are and their prices, terms, and conditions and
describe what alternative arrangements they have made or will make if these suppliers
let them down..
The second section of the operating plan part of the business plan is the Production
Process section.
The Production Process section lays out the details of your business' day to day
operations. An outline of a business' day to day operations, such as the hours of
operation, and the days the business will be open.
The physical plant: What type of premises are they and what is the size and location?
If it's applicable, drawings of the building could be included, copies of lease agreements,
and/or recent real estate appraisals.
Equipment: how much equipment, it's worth and cost must be included, and any
financing arrangements must be explained.
Assets: a list of assets, such as land, buildings, inventory, furniture, equipment and
vehicles. Include legal descriptions and the worth of each asset.
Special requirements: If a business has any special requirements, such as water or
power needs, ventilation, drainage, etc., the details must be provided in the operating
plan - as well as what the company done to secure the necessary permissions, such as
zoning approvals.
Materials: where to get the materials that is needed to produce the product or service,
and explain what terms negotiated with suppliers.
Production: Explain how long it takes to produce a unit, and when to start producing
the product or service. Include factors that may affect the time frame of production and
how to deal with potential problems such as rush orders.
Feasibility: any product testing, price testing, or prototype testing that has done on the
product or service must be described.
Cost: Give details of product cost estimates.

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3. Financial plans

The financial part of a business plan includes various financial statements that show
where a company currently is financially, and where it intends to be. This information
helps to determine how much financing a business needs and helps financiers
determine whether lending money or investing in a business is a prudent use of funds.
While the financial statements are helpful in and of themselves, the data they contain
can also be used to calculate financial ratios such as gross profit margin, return on
investment and return on owner's equity. Ratios provide helpful information about a
company's liquidity, profitability, debt, operating performance, cash flow and investment
valuation.
A financial plan should include three key financial statements: the income statement,
the balance sheet and the cash flow statement. Let's look at what each statement is and
why it's needed.

1. Income Statement
The income statement summarizes a company's revenue and expenses.
Revenues are a company's sales and/or other sources of income. Expenses
include items such as the cost of goods sold, payroll, taxes and interest. The
bottom line of the income statement shows the company's net income. Financiers
want to know what kind of numbers a company is working with and whether that
company is profitable.
2. Balance Sheet
The balance sheet shows a company's assets and liabilities. It's called a balance
sheet because the assets must perfectly balance the liabilities. Within each
category are numerous subcategories. The balance sheet is important because it
shows the company's financial position at a specific point in time, and compares
what a company owns and what it owes.
3. Cash Flow Statement/Cash Budget
The cash flow statement shows the amounts of money a company expects to be
coming into and going out of a business in a given time frame. Realistic cash
budget covering one year of operations and broken down into one-month
intervals is an important short-term planning tool. Also longer-term projections
that go at least three years out, if not five need to be prepared. These are called

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"pro forma" statements, and they are based on a company's assumptions about
how its business will perform.
"The financial statements should show both a long- and short-term vision for a business.
Preparing a financial plan shows how much money a company needs. A company must
also determine what type of financing would be most suitable for its business. Banks
offer several types of financing to businesses that do not present too much risk.
Potential lenders will also want to know how and when the company should repay the
loan or line of credit, so the company should put together a proposed repayment
schedule and terms. Potential investors will want to know when their investment will pay
off and how much of a return to expect. They will also want to see that the company has
an exit strategy to cash out on its investment."

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Task 2
ETISALAT

Customer Relationship:
Etisalats focus is on delivering innovative solutions to transform the communities in
which it operate and fast track social development and economic growth. This is
underpinned by its commitment to actively develop and engineer platforms for growth
within the local markets in which it operates through the deployment of advanced
technologies, quality networks and customer focused services.
Superior customer experience resulting from Etisalats operational excellence is their
third pillar. They aim to pro-actively and consistently serve customers with a common
set of brand values based on in-depth customer understanding and building trusted
relationships. They manage this through a strong focus on the efficiency and
effectiveness of operational processes throughout our footprint.
Customer Experience Etisalat works continuously on customer insight-based and
focused propositions, as well as the enhancement of positive customer experience
across all touch-points. Knowing its customers and ensuring positive interactions with
them throughout the relationship is a core competence to compete in Etisalat Groups
regions.
Expectations from its workforce:
Employee Relations For the Etisalat Group: being responsible for its employees means
building a company that understands and lives its values and which nurtures a
motivational culture. To do this, it is attentive to the expectations and needs of all
employees. Etisalat is committed to placing men and women at the heart of its
development strategy and this is accompanied by strong social goals e.g. to be among
the preferred employers in the main countries where it operates.
Etisalat expects its workforce to be hardworking, active, focused and punctual. Always
be on time and work of duty hours if needed.

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New standards of customer service are the result, along with a significant increase in
the productivity of field technicians.
Ethical and Social standards by the company:
Etisalat is committed to the principles of corporate social responsibility through strategic
partnerships to increase access to education and health care via technology. Under the
banner Etisalat for Good, Etisalat and its operating companies have been actively
working on Mobile for Development initiatives in 2013, in collaboration with its global
partners. The efforts have helped bridge the gap between emerging markets and
developed nations, while generating impressive digital dividends in the form of jobs,
economic growth and stability.
Etisalat is committed to provide telecommunications and broadband services in a
manner that strikes a balance between economic, social and environmental needs. It
will minimize the environmental footprint (water, energy, waste and greenhouse
emissions) of its operations by pursuing environmentally sustainable practices in our
technical, commercial, managerial and administrative activities and services.

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TASK 3
INNOVATION
INNOVATION is a result of an outcome of something you work towards achieving on a
project.
Innovation generally refers to changing or creating more effective processes, products
and ideas, and can increase the likelihood of a business succeeding. Businesses that
innovate create more efficient work processes and have better productivity and
performance. For businesses, this could mean implementing new ideas, creating
dynamic products or improving your existing services.

Toyota
Nothing is so good that it cannot be made better. That is why we strive for constant
improvement in everything we do. It's simply the way that we do things. We have a word
for it: Kaizen. It means continuous improvement and it is the key principle that guides us
in our commitment to deliver more to our customers.
It's what drives us to perform over 1,500 crash simulations each year with actual Toyota
vehicles, and to our developing advanced injury-simulation software that measures
injuries not measurable with conventional crash test dummies. And, it's a genuine
commitment to new solutions today, for a better tomorrow with our being first to market
a hybrid, and to now having sold over 3 million Toyota hybrid cars worldwide.

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TASK 4
ADNOC (Abu Dhabi National Oil Company)
Local constraints:
Financial
Financial constraints include inadequate access to venture capital, inflation and rising
interest rates. Inflation could mean increased raw material and labor costs, which would
affect profitability. Similarly, rising interest rates mean higher interest payments, which
could affect a company's ability to pay dividends or plan for growth.
Labor
Some businesses may not be able to find skilled employees at affordable wages,
especially if they are competing with larger companies that can offer more job security
and better compensation packages. Companies can manage labor shortages by
becoming learning organizations, which involves investing in skills training and offering
stock options and other incentives to attract and retain talent.
Supply
Supply chain problems place additional constraints on businesses. A supply chain is a
network of suppliers, manufacturers, distributors, retailers and logistics providers that
allow the company to get their oil to consumers. If the company stops production or
declares bankruptcy, all the other businesses in the supply chain could suffer financial
losses. Companies should diversify their supply chains to protect against shortages and
unexpected events, such as leakage or explosion. However, diversification could mean
additional costs for the company's owners.
Technology and Managerial Expertise
The company may have the capital to get the rights to explore for resources but they
might lack technical skill and expertise to actually use. This could halt further
development of oil and gas projects, limiting growth of the company. This in turn could
reduce the development of the country.

National Constraints:
Demand

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Demand fluctuations can place significant constraints on businesses. Falling demand

means lower revenues, which could lead to losses without expense reductions.
Businesses cannot grow without sufficient consumer demand so they might have to
scale back manufacturing capacity or close retail outlets. A sudden surge in demand
could also be a problem if a company does not have the production capacity to meet the
demand.
Inflation
When inflation is high, price of petrol will increase which would decrease the amount of
consumers which would affect sales so the company won't make much profit. High
inflation would also cause uncertainty which increases risk. Higher risk means the
company is less likely to invest, this means less growth and unemployment.
Currency rates
If potential buyers from outside countries had high currency rates they would buy oil for
a very low price which increases sales but decrease actual revenue. This would also
affect sales inside the country since buyers import cars from those countries. Since the
currency rate is high fewer people would buy cars so fewer people would buy petrol. If
same potential buyers had low currency rates they would be reluctant to buy oil since it
would be very expensive. This will reduce international sales and reduce profit for the
company. So it is very important to have a balanced inflation rate and they must also
conclude inflation forecast to prepare next time.

Social attitudes
As people become more aware of how pollution affects the environment they might use
electric cars which are more environmentally friendly. This in turn may lead to
organizations which pollute not SURVIVING due to pressure groups making consumers
aware of these issues. This will reduce sales and cause a bad impression towards the
company.

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Bibliography
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What Constraints Are Placed on Business in the Economy? | Chron.com. 2016. What
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Add to My References

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