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2. Experienced entrepreneurs often refer to business plans as living, breathing documents. What is meant by this characterization of business plans? (10 marks) Business plan

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2. Experienced entrepreneurs often refer to business plans as "living, breathing documents". What is meant by this characterization of business plans? (10 marks) Business plan is the documents that used for planning the specific details of entreprenuer's business. Business plan is being characterization as a living, breathing documents in the market. Entreprenuer should recognize that the business plan will usually change as it is being written. Business plan is the reflection of the company's life. In a company's life, it might face many changes such as peak, downturn or recovery season just like a human. Competitive forces al ways offer up new information and new challenges. Business plan should make changes according to the external and internal forces in order to survive in the competition. A sucessful business plan should be sensitive, keep up with the trend and make new changing to suit the environment needs. For example, the new generation are using technology to read the news rather than buying a newspaper. Thus, the company should observe the trend and change the business plan such as selling a product online. Business plan will face many challenges when growing up just like a baby walks the first steps. For example, which customers should we target? Should the product be like this or like that? Will my people and products really deliver? How will competitors react? The challenges never end. Thus, entreprenuer should remain alert and find out the gaps in the market. Entreprenuer should gather the resources and accept the useful opinion from the others such as invenstor, employees and the others. This is because they are the one who knows the company's operation very well. They can detect the defect of the company and solution to improve the company becoming a better company. It might causes creating a new idea when dicussing and writing the business plan. When value is harvested, the entrepreneur may remain on board to generate further value in the future. For example, the company can use the advanced technology as the strategy to promote the product. This is because the industry analysis was changed and affect the marketing plan. Therefore, most of the entreprenuer with sucessful business agree that business plan is a living, breathing document, but not papers that set in stone. Thus, entreprenuers should stick to the business plan and vision . At the same time, he or she should sensitive to the environment and weigh options against each other and

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