Business Planning & Market Research on the Internet

On Business Plans Strategic planning is the most important task for a manager! Plan need not be written May be required by lenders or other funding agencies The process can benefit from internet use!

The Planning Process Think About Taking a Journey 1.Why are you going? – Mission 2.Where do you start? – Situation Analysis 3.Where are you going? – Objectives & Goals 4.How will you get there? - Strategies

The Planning Process Defining Your Mission Think about why you are in business This reflects your values Reflected in a mission statement Use the internet to find example mission statements

The Planning Process Situation Analysis Includes systematic analyses of: 1.Industry 2.Competition 3.Target markets 4.Economy 5.“SWOT”

The Planning Process Situation Analysis SWOT Analysis: 1.Strengths 2.Weaknesses 3.Opportunities 4.Threats Internal Factors External Factors

The Planning Process Objectives & Goals Goals – general statements about long- term targets Objectives – specific statements about short-term targets with timeframe

The Planning Process Objectives & Goals Example Goal – To increase profits Supporting Objectives 1.To sell 20% more in 2007 versus To cut cost of production by 15% by December 31 3.To develop website by April 30

The Planning Process Strategies Strategies indicate how to achieve the goals and objectives As shown earlier, the internet presents one of many strategies to reach goals Monitor strategies along the way using milestones

The Planning Process Strategies Possible milestones for internet strategies: 1.Hits 2.Contacts generated 3.New clients generated 4.Sales generated (Encourage people to tell you they found you on the web)

Market Research Industry Analysis Need to know: 1.Industry size 2.How it has changed 3.How it may change 4.The primary suppliers and buyers 5.Its future viability

Market Research Industry Analysis Before searching: – Assess what you already know – Assess what you need to know – Think about where to find information

Market Research Industry Analysis Possible Internet Sources: – Professional associations’ websites – Government websites – University websites – Agricultural Marketing Resource Center ( – Others

Market Research Market Analysis Need to know: – Who and where customers are – What products customers want – What they value – Customers’ purchasing behavior – How customers receive marketing messages

Market Research Market Analysis What to do with this information: – Develop market segments – Develop strategies to reach segments Website information On-line catalog On-line shopping cart notes & newsletter

Market Research Competitive Analysis Need to know: – Who competitors are – How big they are – How they have grown – What resources they have – What segments they target

Market Research Competitive Analysis May be able to find information on competitors online May want to buy from them online or in person

Market Research Economic Environment Analysis Need to know general economic conditions: – Inflation – Unemployment – Growth of economy Local newspapers and websites provide this

Market Research SWOT Analysis Complete this based upon what you now know about your company (strengths and weaknesses) and the outside environment (opportunities and threats).

Market Research SWOT Analysis Build on your strengths Address your weaknesses Pursue opportunities Avoid threats

Section Wrap-Up Business planning is most important function of management The internet can help to assess the situation – industry, competition, economic environment This is where your internet research skills can come in handy Some research is possible by talking to people