Azusa Pacific University ?Entrepreneurial Business Plan & Change Matrix Paper Entrepreneurial Business Plan Part C: The purpose of this assignment is to (

Azusa Pacific University ?Entrepreneurial Business Plan & Change Matrix Paper Entrepreneurial Business Plan Part C:

The purpose of this assignment is to (a) research different options of corporate structures (e.g., LLC, corporation, etc.) and to identify the one that is best suited for your new firm and (b) obtain copies of the required applications to establish a new company. To complete Part C of the Entrepreneurial Plan, students will have to conduct outside research, using their preferred search engine (i.e., Google, Ask, etc.) to conduct an investigation of the different types of corporate structures and to visit their local, city, county, state, and federal business and licensing agencies in order to obtain copies of the needed applications. (CLO’s 1, 2, 5, and 8)

Expectations for this assignment:

General Guidelines:
1. Your paper should meet all APA (6th Ed.) writing standards.
2. The Change Matrix must be placed immediately following the Title Page.
3. Beginning in Wk. 2 – Instructor’s feedback, recommendations, and corrections must be addressed and detailed on the change matrix page.
4. Include a faith integration component – The faith integration component should be present throughout your business plan (e.g., not just a paragraph or mention of faith at the end of each section). In other words, how does your faith or world view influence your firm?

Specific to this week’s component:
1. Describe the advantages and disadvantages of four corporate structures: sole-proprietorship, partnership, Limited Liability Company (LLC), and corporation.
2. Identify the structure that is best suited for your firm and explain why?
3. Obtain copies of the applications forms needed to start a new business from city, county, state, and federal agencies (scan copies of all applications into your document under Appendix A).

Feedback for Change Matrix:

Be sure to review the attached grading rubric for additional notes/details relating to your paper.

Additionally, let me know if you have any questions or need help with this developing Entrepreneur Plan.

I have attached the annotated PDF

I have also attached Part B, so that you can just add to it. Running head: BUSINESS PLAN
1
Entrepreneurial Business Plan – Part B
Amanda McCausland
BUS505
Dr. Joe R. Putulowski
September 15, 2019
BUSINESS PLAN
2
Entrepreneurial Business Plan
Assignment Title: Entrepreneurial Business Plan
Student: Amanda McCausland
Date: September 15, 2019
Instructor’s feedback (specific
How the error was addressed by
Page numbers
listing of the error)
the student.
where change
appears
Because this report will become part
I corrected these errors and used the
of your official school records, be sure
right style
Pg. 1
to add the class number and name,
date, and professors name.
Be sure to place the Change Matrix
I attached the change matrix after the
p. 2
immediately following the Title Page.
cover page
APA Errors: Delete the blank line
Deleted
P. 2
APA error – be sure your Headers
I placed the headers in the correct
p. 6-8
meet the APA formatting
format
before your header
BUSINESS PLAN
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requirements.
in-text citation? This sentence does
In text removed
p. 6
Citation should go here
Added
P. 6
Consider adding the specifics – how
Details added
p. 6
Where in the US?
Details included
p. 6
including…
Included
P. 6
The word Nevertheless seems out of
removed
p. 6
Added
p. 6
Added
p. 6
not need one…
much as the industry grown?
place. Consider revising.
may sell or plans to sell.
Additional information is needed.
Consider your reader – a potential
investor – you will want to grab his or
her attention by offering some sort of
data showing the potential of your
firm. Consider a brief discussion on
the number of potential customers,
profits, or marketability of your
company.
BUSINESS PLAN
Additional work is needed –
4
Information added to the mission
p.7
statement
How so?
This reference does not look complete
Changed
– corrections are needed.
. A lot of work is needed to bring this
paper up to the level needed for the
class. I suggest you review the APA
manual to ensure you are meeting each
of the required guidelines.
Additional outside research is needed
relating to the mission and vision
statements. Lastly, include information
that gets your potential investor onboard/excited about your company
Successfully adjusted
Pg. 8
BUSINESS PLAN
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Table of Contents
Executive Summary ………………………………………………………………………………………………………… 6
Blue Ocean Strategy ……………………………………………………………………………………………………… 9
Customer Segmentation ………………………………………………………………………………………………. 10
Graphical representation …………………………………………………………………………………………….. 13
Graphical explanation …………………………………………………………………………………………………. 15
Industry Analysis ………………………………………………………………………………………………………… 15
Industry description…………………………………………………………………………………………………….. 16
North American Industry Classification number ………………………………………………………….. 17
Profit Margin………………………………………………………………………………………………………………. 17
Location Preferences …………………………………………………………………………………………………… 17
References ……………………………………………………………………………………………………………………. 19
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Executive Summary
The company selected in the business plan is Platinum Covers which deals with
smartphone covers. The mission and vision statement of the company is aimed at producing
high-quality products at a lower price to satisfy customer needs. Finally, the paper analyzes the
value and importance of Blue Ocean Strategy in Platinum Covers.
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Entrepreneurial Business Plan
Company Identification
The business to be discussed in this case is known as Platinum Cases; this firm will be
producing smartphone cases. In the course of the recent past, the smartphone industry has been
growing at an increasing rate; the growth rate was approximated to be 0.9% increase per year. In
2018, smartphone accessories depicted revenue of $28,529.3 million (Stern & Xu, 2018).
Platinum Cases is a company based in the Texas, US, and it will endeavor to produce different
types of smartphone covers, this product will be fit for different kinds of smartphones like
Samsung, iPhones, LG, and Sony. The company plan to concentrate on smartphones from
Samsung and Apple and later on, it will consider the other companies. The company was
founded in 2018, and thus it is still new in the market. One of the unique characteristics of the
company is a high-quality product which will ensure that customers are satisfied. This is because
these covers are made of pure leather. Furthermore, the brand will be unique from that of the
competitors because they offer low-quality products which barely last long. The principal value
of the firm is the provision of better products at a reasonable price. The other major characteristic
of the company is the fact that it will concentrate on serving customers as fast as they can; this
will be archived through progressed customer care services.
The other unique feature of the company is that it will have both physical stores and
online marketing. With the increase in technological advancements, it has become easy for the
company to reach out to its customers through various online marketing channels. For example,
the company plan sells its products through e-commerce firms like Amazon and eBay. Finally,
the company will partner with the customers in order to augment their experience in with the
BUSINESS PLAN
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product. This will be archived through some problems like referral and affiliate programs. As
mentioned earlier, the primary product of the company is the smartphone cases, which will
mostly deal with Samsung and iPhone smartphones. The market for protective covers in the US
was approximated at US$ 12,934.4 million at the end of 2016, and the tree is expected to
increase put to $ 19,210.0 million by 2023. The CAGR rate is roughly 5.8% from 2016-2023.
The above statistics show the current performance of smartphone covers market. This market is
significantly lucrative, and thus, it will many potential investors.
The mobile phone protective cases market was estimated at US$ 12,934.4 million by the
end of 2016 and is anticipated to reach US$ 19,210.0 million by 2023, growing at a CAGR of
5.8% from 2016 to 2023.
Mission Statement
The mission statement of Platinum Cases is: “We will dedicate technology and human
resources to produce high-quality products, therefore, taking part in an enhanced global
community. This will be achieved by developing a culture of innovation among our teams and
departments. Moreover, the culture of teamwork will be promoted in the company in order to
boost the productivity of the workforce. Core values will guide various operations in the
organization. The company will incorporate the idea of corporate social responsibility to
establish a better neighboring community.” The mission statement of this company is concerned
about augmenting the quality of the consumer products which will be archived by the use of the
available technology and human resources. Furthermore, it is aimed at depicting a better society
whereby every person is able to live without any difficulty (Rey & Bastons, 2018). Also, this
BUSINESS PLAN
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mission statement will be valuable in the achievement of long-term and short-term goals; it will
act as a guard rail in the accomplishment of the set objectives.
Vision Statement
The vision statement of Platinum Cases is: “We progressively invent to become the
greatest target for our partners and customers. This will be achieved by producing high-quality
products. Quality in operations and the products will be a vital principle which will guide
different departments in the company. We will endeavor to reach out to many customers in
different parts of the world; this will be archived through the use of e-commerce and social
media platforms to reach out to local and international customers.” This statement aims to show
the endeavor and aim of the company to become the best in the industry. Through innovation, the
company will be in a position to become the best in the industry. This is following the nature of
the customers as they like innovative products which are of high-quality products. For instance,
our product will employ the innovation which will make it 99% protective against different
forces applied on smartphones. Also, this will enable them to avoid some of the common
problems like wear and tear as well as screen breaking.
Blue Ocean Strategy
Blue Ocean Strategy alludes to a market for services or product where there is less or no
competition (Kim & Mauborgne, 2015). This strategy gyrates around looking for a business in an
environment whereby very few firms operate and where pricing pressure barely exist. This
strategy will help the company to identify new demand in the competitive market, and to render
rivalry inapt by producing products with great features. It allows the firm to exploit maximum
profits as the product can have a higher price tag following is incredible characteristics. The
BUSINESS PLAN
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critical principle of Blue Ocean Strategy is value innovation; this is a business tactic that
concentrates on developing new market opportunities rather than competing with the rivals in the
present market share. This strategy will allow the company to make high-quality products which
will be way better compared to that of the competitors. One of the most significant values in any
company is to offer high-quality products to its customer base at a relatively low price.
Furthermore, high-quality products are essential as they allow the company to develop its brand
in the market quickly. For instance, concentrating on the values like quality and durability of the
product will attract a broader customer base, and this will allow the company acquires a good
reputation in the production of mobile phone covers.
The strategy is essential as it will allow the company to explore new markets by rearranging the boundaries of the existing one (Kim & Mauborgne, 2015). Creation of a new
market for the company will be necessary than competing in the already existing one. This may
help in the development of the company’s brand since it will be the main product in that market.
The other important thing about the strategy is the aspect of value innovation; this allows the
company to be highly creative with the help of innovation, this will enable it to think out of the
box and thus attaining a better competitive edge in the market. Finally, the strategy is essential as
it allows the company to formulate a better value proposition.
1
Customer Segmentation
Customer segmentation is the process of dividing the potential customers into
groups. Customer segmentation focuses on building the customer market and providing them
with their specific needs. This segmentation ensures the company deals with a specific set of
customers. The segmentation is based on the customer’s
BUSINESS PLAN
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Financial status
?
Behavior
?
Needs
?
Buying frequency
?
Education status
?
Culture
?
Population
11
The major market approaches include prior segmentation, needs-based segmentation and
value-based segmentation. In prior classification, the segmentation is based on publicity which
includes the industry size in the market. Needs-based segmentation focuses on the customers’
needs in the market. The products that the customers love most are enhanced to meet their
demands. Value-based segmentation distinguishes customers with their financial status hence
producing products that suit every class. The segmentation for our company will focus on three
main characteristics which include: buying frequency, needs and financial status.
i.
Buying frequency
The company monitors the rate at which customers purchase products and focuses more
2
on the specific product. Segmenting using buying frequencies enables the company to determine
the number of products to produce. In our case study, the production of smartphone cases is vital
and targets high-end customers. The feasibility study was done before revealed that most of the
customers in the country use Samsung and IPhone phones. The buying frequency recorded
through the last few months indicated that more sales of black covers were recorded hence the
need of the company to produce more products of this dimension. For every ten covers that were
BUSINESS PLAN
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brought, 6 were black covers. Customers also revealed that they would prefer having two
different covers for their phones and would be glad if they were of different colors. Moreover,
the customers preferred the covers to be unique and have a flip cover. The value the customers
generated was the key factor that made the segmentation.
ii.
Needs
Developing variables of the customer transaction enables the organization to determine
the trends of the customers and establish the best products they want. According to the sales
recorded, the most preferred product was the black flip cover. Other back covers performed well
too, but with the highest purchases being made on the flip covers, our main focus will be to
produce more flip covers. The preferred colour being black gave the organization an insight into
the colour preference when producing new products.
iii.
Financial status
The market demands from the survey done indicated that most youths below 35 years
preferred the flip covers and made the most purchases. On the other hand, the old adults
preferred the back covers and approximately made some good sales. In spite of this, the
customers who made big revenue returns purchased the flip covers. As this was the most selling
category, the organization will come up with new strategies to improve on this product.
BUSINESS PLAN
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Graphical representation
1. Buying Frequency
3
Buying Frequency
600
500
400
300
200
100
0
Skins
Shells
Wallet
2015
2016
Leather
2017
Rugged
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2. Needs Segment
Needs Segment
500
450
400
350
300
250
200
150
100
50
0
Skins
Shells
Wallet
2015
2016
Leather
Rugged
Leather
Rugged
2017
3. Financial Statement
Financial Statement
500
450
400
350
300
250
200
150
100
50
0
Skins
Shells
Wallet
2015
2016
2017
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Graphical explanation
From the needs graph, the trend reveals that in 2015, the most sales that were made came
from the purchase of leather and skin types of cases. The skins sales topped the market in 2016
while in 2017 leather-topped. From this trend, we realize that the customers preferred the skin
cases most within the three years. The needs reflect the choice of most of the young adults.
From the Financial statement, most users preferred leather cases. This can be credited to
the fact that most of those who preferred leather cases are financially stable and inactive
employment. Through this segment, we diagnose that the other preferred choice was a wallet. In
spite of it being the second choice, the survey indicated that most people who preferred this were
aged millennials in their early twenties.
The buying frequencies for the three years were a little bit skeptical. Most customers still
preferred leather cases. All through the three years, the sales of leather cases have undergone
some stable increment. Additionally, the wallet brand was the second preferred choice. The
durability of the wallet brand increased its viability and made it become the second most
preferred choice.
Industry Analysis
Industry analysis refers to the process where an organization performs market research to
determine industry competitiveness. The analysis enables businesses to determine their position
in the market in regards to other competitors. Additionally, it enables the company to understand
the opportunities it has and the threats that might lead to its low income. Moreover, it enables the
company to understand the differences between them and their competitors. Industry analysis
involves porters five forces, SWOT analysis and PEST analysis. Porters 5 forces include
BUSINESS PLAN
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bargaining power of suppliers & buyers, the threat of potential entrants, power of service
4
providers and the threat of substitute goods. PEST analysis stands for political, economic, social
and technological. PEST analyzes the external market. SWOT analysis refers to Strengths,
Weakness, Opportunities and Threats. Industry analysis enables the organization to understand
the market and its demands. From the industry analysis conducted, we established that the most
preferred cases were leather cases. Most adults and the aged preferred these cases because of
their long life.
Industry description
Platinum Cases is a firm producing smartphone cases. In the course of the recent past, the
smartphone industry has been growing at an increasing rate. Platinum Cases is a company based
in the United States, and it will endeavor to produce different types of smartphone covers, this
product will be fit for different kinds of smartphones. Nevertheless, it will target smartphones
from Samsung and Apple. The company is still new in the market. One of the unique
characteristics of the company is a high-quality product which will ensure that customers are
satisfied. This is because these covers are made of pure leather. Furthermore, the brand will be
unique from that of the competitors because they offer low-quality products which barely last
long. The principal value of the firm is the provision of better products at a reasonable price. The
other major characteristic of the company is the fact that it will concentrate on serving customers
as fast as they can; this will be archived through progressed customer care services.
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North American Industry Classification number
The North American Industry Classification number for our industry will be 8999
because it’s a service that has not been classified anywhere. The importance of the NAIC number
is to enable an organization to determine its competitors and work to enhance its competitiveness
in the industry.
Profit Margin
The expected profit margin will be approximately 1300. From the survey conducted and
the expected growth, the company will be making big strides in sales.
2015
2016
2017
5
Skins
200
234
345
Shells
150
321
345
Wallet
300
300
333
Leather
450
400
432
Rugged
230
300
276
1330
1555
1731
Total
The company will major on making profits and improving on goods that the customers
love. This will enable the company to maintain its customers and focus more and fulfilling the
customers’ needs.
Location Preferences
The location preference for our business will be a high-end city or town. Samsung and
IPhone smartphones are used mostly in urban areas and would be viable if found in a big city.
The city of choice has approximately 45,000 people.
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The demographic data of the city include: 70.4% are Americans, 11.8% African-American while
Asians occupy 3.8%
The region of preference is Texas, Austin. The advantages of doing business in Texas
are that the people are passionate about new changes. Most people use iPhones and Samsung
phones. The city is a 24-hour town. The market sales survey done established it as a powerhouse
in producing the most sales.
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References
Rey, C., & Bastons, M. (2018). Three dimensions of …
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