Global Business Plan Project – Section 5

In this GBP component, you will be researching the financials of your proposed company to include projected income and expenses as well as potential profitability.

This week, you will be working on section V, FINANCIALS

*(SEE COURSE GLOBAL BUSINESS PLAN ASSIGNMENT OUTLINE FOR REFERENCE).

In a word document, answer the following questions in the prescribed outline format (be sure to use a title page so I know what paper belongs to whom).

I only expect a few paragraphs for each section, not a complete book. A paragraph is 5 – 7 complete sentences. Please use footnotes to show me the source where you researched the information from. Sample output from previous reports are provided in the following these instructions.

A. ECONOMIC ENVIRONMENT

Discuss the influence of the country’s infrastructure and economic conditions (inflation, currency exchange rate, interest rates, unemployment, personal income) on startup costs and the financial potential for this business enterprise.

B. START-UP COSTS

Identify expenses (and estimated amounts) that would be necessary when starting this global business enterprise. (Be sure to consider equipment, buildings, vehicles, infrastructure improvements, training costs, consultants, legal fees, and licenses.)

C. FINANCING SOURCES

Compare the availability and costs associated with different sources for funding this global business enterprise. (Large companies may sell stock, issue bonds, and obtain loans. Smaller organizations might make use of personal investors, small business loans, venture capital sources, or government-guaranteed loans.)

D. THE ECONOMIC ENVIRONMENT

Identify economic factors (personal income level, inflation rate, taxes) that might influence pricing decisions in this country. (In many countries, people may not be able to afford products that are considered minor purchases in industrialized nations.)

E. COST ANALYSIS

Estimate production costs and other business expenses that would be encountered when offering this product or service. (The total cost of providing an item must include both direct production costs as well as administrative and overhead expenses.)

F. DEMAND ANALYSIS

Analyze the potential demand for this product (or service) based on the current and expected market. (As a product gains in popularity or a country’s economy improves, demand for various items is likely to expand.)

G. COMPETITOR ANALYSIS

Compare your pricing plans with those of any competitors that may be providing identical or similar products or services.

Upload your completed report into the week 5 dropbox provided.

· Business Around the World Atlas:

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GBP SECTION V EXAMPLE

V. Financials

A. ECONOMIC ENVIRONEMNT