Entrepreneurs discover an entrepreneurial opportunity when they find a compelling solution to an unsolved problem or unsatisfied need. The first step in an entrepreneurial venture is to identify a real opportunity. Second step is to create a plan to address that opportunity. Third step is to execute that plan.

Planning is the management function of deciding what will be done and how it will be accomplished. To increase a venture's success rate, an entrepreneur should develop comprehensive plans for all aspects of the business before taking action. Two factors that an entrepreneur should consider during the planning process are the business's financial needs and the business's location.

To implement a process is to take action. Controlling is the management function that monitors the work effort of the employees Distribution – Marketing function that moves the product to market. This function is responsible for moving, storing, locating and transferring ownership of goods and services.

An entrepreneur considers venture location and financial needs during the _____________________ process. Distribution Controlling Implementation Planning

An entrepreneur uses many tools to plan a new venture. These tools help an entrepreneur to develop a comprehensive business plan, which includes information about sales. Banks usually require an entrepreneur to provide them with a business plan when applying for a loan.

Business planning is the process of setting goals, explaining the objectives and then mapping out a document to achieve these goals and objectives. Effective business planning is critical to long-term success and the ability to raise capital and grow successfully. Effective business planning requires a considerable amount of time

Business Plan A proposal that describes a new business. It is presented to potential investors and lenders. A well-written Business Plan lays out the best growth path & strategy, as well as the rationale for the selection of the strategy over other alternatives. A Business Plan is the explanation of: why the plan for building the company makes sense, what resources it will need to implement the vision, who the team will be that will have the skills and leadership to execute the vision, and what path they will follow to get there.

Entrepreneurs must consider a number of different issues when planning their businesses. Areas of focus during entrepreneurial planning include operations, finance, law, the market, etc.

Includes all processes involved in producing and/or delivering the product or service to the customer. Status of product development Equipment, inventory, production Time & money needed Distribution plans (Channels of Distribution) Direct channel – delivery directly to the customer Indirect channel – product sold to someone before it reaches the customer (wholesaler)

Operational issues involve the day-to-day activities for continued business functioning. For example, an entrepreneur must determine the way in which the business will produce goods or services for customers. (Production Process) The target market and direct competitors are market considerations that entrepreneurs face when planning their new ventures. The source of financing for the business is a financial consideration.

A sales forecast is a prediction of sales over a specific time, usually on a monthly, quarterly, and annual basis. It is important to forecast sales so that the entrepreneur can meet product demand. Marketing objectives are the goals that a firm seeks to reach with its marketing plan. A promotional budget is the amount of money a business plans to spend on promoting its goods and services during a certain time. An inventory report provides information about the company's stock on hand.

How your company makes its customers aware of its products or services Market segment Pricing policy Company image Marketing strategies Promotional plan Marketing budget

Presents the forecasts for the future of the business Includes assumptions made when calculating your forecast figures Sales Forecasts Usually in the form of financial statements

The _____________________ is a tool that an entrepreneur developes to project sales for a new business venture.