new business module

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BUSINESS SKILLS
Now that the participants have a clear understanding of the
type of business they want to operate, it is time for them to
collect the information they need to assess and implement
their business ideas. Module 4 prepares participants to conduct
an initial market assessment for that purpose.
Session 1: Information needs and
sources 14
Starting entrepreneurs need a simple and accurate business
plan before opening their business. They must know the business
environment, customers, suppliers, competitors and
costs. They have to set their prices, determine the quality of
their products, estimate sales, and make sure the business
makes a profit. All this requires information. This session discusses
what information starting entrepreneurs need and
where they can obtain it.
1.1 What type of information is needed
Starting entrepreneurs need to understand the business environment
so as to establish the business plan. The information
needs and sources can be easily deduced from Diagram 2
(page 15) and the simple business plan presented on page 27.
The specific information starting entrepreneurs need depends
on the type of business they plan to run, but every entrepreneur
must know the customers, competitors and suppliers in
order to run the business. They must also know whether the
utilities and infrastructure needed to operate the business are
available and affordable and the rules and regulations they
have to comply with when operating the business.
From the discussion of the business plan we know that entrepreneurs
need to estimate sales and determine their needs for
and the cost of equipment, material, utilities, infrastructure,
labour, administration and marketing.
14 The checklists and the assessment form are adapted from BDS (2008b, p. 25).