Business plan project

EMS

GRADE 9
 Economic Management Science

LEARNING OUTCOMES

● Discuss the different components of a business plan.

● Calculate the break-even point.

● Analyse a business plan.

INSTRUCTIONS

1. This activity comprises 8 main questions.

2. Complete all questions in the order that they are presented to you.

3. The possible maximum mark for this assignment is 50.

DECLARATION

I declare that all work in this activity is my own, and that I have indicated any sources I

have consulted, with the exception of the provided learning material. I have not

committed plagiarism as defined in the plagiarism policy.

Type your name here

Student signature

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QUESTION 1

Photo by The Ian on Unsplash

This is Kyle and he designed a new range of hoodies that are made from recyclable
materials. He also made sure that the fabric is as comfortable as possible and that these
hoodies are made to last. Kimon needs someone to help him and would like you to join
the business as a business partner who can share your knowledge and creativity.

Kyle is from a small town in the Western Cape. He has a B.A. degree in fashion and
footwear from AMA in the UK. He grew up working in the family business, a cash and
carry store, that sold and distributed goods to smaller shops in the area. He loves South
Africa and hopes that the brand the two of you create will make people proud to wear a
hoodie made by great design and to be of high quality while protecting the
environment. Those who wear the hoodie should be ready to enjoy many adventures in
them. He also believes that every teenager should have a good basic hoodie that will
protect them from the cold and make them proud wearing it. He knows that not
everyone can afford a hoodie and therefore he would like to sponsor great-looking tops
that will last, to those who can’t afford them. He thought that every one sold can
contribute to a hoodie that will be sponsored.

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Kyle is not the first to create this recycled hoodie in South Africa and has been inspired
by a few other brands such as North Face, Topo Design and Marmot. You are welcome
to click on this link for more information on these and more sustainable brands .
For now, the business will only have a website where customers can purchase the
hoodies. This will allow the business to grow and people from all over the world will be
able to order hoodies and have them delivered. Manufacturing of the hoodies will also
be outsourced to a factory that can make them with the recycled materials.

Kyle has already gathered some information for the business but he needs your help
with a few things.

Question 1.1

Kyle needs your help to create the following, keeping in mind what he would like the

brand to represent. Remember to keep it unique and don’t copy another brand or

business.

1.1.1 Choose a business name for the hoodie brand. [2 marks]

Type your answer here.

1.1.2 Design a business and brand logo. [2 marks]

Insert your design here.

1.1.3 Create a slogan for the business and brand. [2 marks]

Type your answer here.

Question 1.2 [6 marks]

Design a business plan cover page and include all the information needed.

Insert your design here.

Question 1.3

Complete the business description section and include the following:

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 Economic Management Science

1.3.1 Explain what the product and service is that the business offers and why there's a
demand for it. [3 marks]

Type your answer here.

1.3.2 Explain the business concept. [4 marks]

Type your answer here.

1.3.3 Set one SMART goal for the business. [2 marks]

Type your answer here.

Question 1.4 [1 mark]

What type of business ownership will the business be?

Type your answer here.

Question 1.5

Complete the marketing plan section by completing the following information:

1.5.1 Describe who the target market is. [2 marks]

Type your answer here.

1.5.2 Explain who the competitors are and explain the competitive advantage that your
business will have. [4 marks]

Type your answer here.

1.5.3 Explain what promotions are and provide at least 5 different examples of
promotions that can be used by the business. [6 marks]

Type your answer here.

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Question 1.6 [4 marks]

Explain what type of information should be added to the production plan of your
business.

Type your answer here.

Question 1.7 [8 marks]

Use a SWOT analysis to identify the strengths, weaknesses, opportunities and threats of
the business. Write a conclusion after the analysis.

Type your answer here.

Question 1.8

Kyle has calculated that the fixed cost of the business will be R62 520. This amount
includes paying back the money borrowed to start manufacturing over 2 years with
interest. It also includes the web hosting, fixed advertising budget and a base salary for
the two owners.

Kyle also calculated that it will cost R250 to manufacture one hoodie. He thinks that it
can be sold for R600 and 25% of the profit can go towards manufacturing one that will
be sponsored.

1.8.1 Calculate the profit percentage added to a hoodie. [2 marks]

Type your answer here

1.8.2 Calculate the break-even point. Remember that some of the profit will go towards
manufacturing one that will be sponsored. Round off your answer. [2 marks]

Type your answer here

ACTIVITY END