Outline for the whole project: i-opportunity study: -introduction for the idea -introduction for the opportunity -swot analysis for the idea conclusion ii-prefeasibility study: As mentioned before, the prefeasiblity is a group of tasks that the investor should consider to start his business, some of these tasks are technical, and the remaining are Marketing and financial tasks. The first task is a general one, as in this task, the investor should identify what exactly he wants from the business, and put the theme that his company will adopt. 1-scope of the project and corporate strategies: (5 marks) To start planning for your business you should prepare: 1- vision statement In this statement you should write exactly what your project aim is. 2-mission statement: Mentioning the tasks you need to achieve your goals. A mission statement should include information about the product or service, the customers who you are serving, and the market where you are operating. 3-Organizational chart: Preparing a chart for your organization to mention all the positions that you will need in your company (it will differ from one company to another depending on the type of this company) 4-Legal requirements: Write all the legal requirements needed to start your business. knowledge about the customers and have a detailed analysis for their buying behaviour. 2- Competitor analysis: -in this phase the investor should identify his main competitors in the market (at least 3 competitors). And do a swot analysis for EACH one of them. -another important task here is to identify the marketing strategy that your competitor adopt. You have three main different Marketing strategies which are: 1- cost leadership strategy: Businesses that are using this strategy are cost oriented and focusing more on providing their product or service with the best cost to their customers. In this situation you will face a lot of competitors. 2- differentiation strategy: If you are using this strategy, this means that you should a competitive advantage that can differ you from all your competitors. This competitive advantage can be in quality, price, location... 3- focus strategy: If you are targeting a very narrow group of people, having few competitors or none, so you can use the focus Marketing strategy. Ex: luxurious products 2- Marketing concept: (Factors affecting the customer purchasing process) In this step, you should explain the factors that will lead the customer to buy your product These factors are devided into: 1- direct factors: Factors that will directly affect the customer such as the product price, quality, quick service, location, customer service. These factors are related to the product itself. 2- indirect factors: These factors are more related to the customer himself such as his culture, lifestyle, background, income level. Factors that will affect the customer to behave in a certain way. - these factors also can be divided into two major types of factors which are: -the dependent factors : These factors are group of benefits or values that the customer will have when he purchases the product. -the independent factor: This factor represents the unique selling point, without it the customer will not buy this product, it is the most important one to the customer, that's why it is called independent factor. Step 3 in prefeasibilty study: Location, site and environment: - you should explain why would you choose your location (benefits) -determine your site (detailed address) - mention any environmental impact of your business, whether this impact is positive or negative on the environment. 4- raw materials and factory supplies: Raw materials represent any asset that is used to produce the finished product. Factory supplies represent all the fixed assets you will need to start the investment such as land, building, equipment... What is needed here is to prepare a schedules for each one of them, including all the raw materials and factory supplies you will need with their COSTS. - you have to calculate the total raw materials and total factory supplies needed. 5- human resources: Prepare a schedule including all the employees, managers and all the human resources who you will hire, and calculate their annual salaries and then calculate the total cost you will pay for salaries in one year. 6- budgeting and schedule implementation: Prepare a schedule that includes all the tasks performed in the prefeasiblity study (like the legal requirements, purchasing assets, hiring employees,...) and put an estimated time frame for it. 7-over head costs and other expenses: 1-overhead costs: Estimate the utilities that your business will pay, and calculate its annual cost. Utilities such as: Electricity Bills Water bills Internet fees Telephone bills 2-other expenses: Include rent costs (if you will not buy the building) Administrative costs Advertising and marketing costs