This week we will study the SWOT analysis in detail.
For this assignment you will invent a new business venture. This is a new start – up venture, not an existing one or one that is expanding. Do not use a business created in a previous class. Make up the business, the location, the client base, and the product or service. Do not use any real company. You may review a real company’s website for ideas, but the basis of this paper should be your own ideas. Your opening sentence should begin with something like this: “The new business venture that I will evaluate is ……………..” Expect that your business will be opened in the coming years, not one that opened 10 years ago. Your introduction should include a description of your company and any details that are important to the reader. The description of your company should be a couple paragraphs with a summary of the business. The other details can be discussed when you are reviewing each of the SWOT elements. The final goal of this paper is to prepare a SWOT analysis of your new venture company. Make sure you have at least two other sources to supplement your work.
After developing your new venture and describing it thoroughly in the beginning of your paper, provide a thorough SWOT analysis. Make sure you have included the actual SWOT analysis quad chart (embedded within your paper) listing the strengths, weaknesses, threats, and opportunities. You can use your own chart, but your paper should include a simple SWOT chart with the four segments. Then, you must discuss each segment thoroughly and explain what you have learned from performing your analysis. Include financial information as listed below.
So, your paper should include a title page and a reference page (no abstract is required):
1 – a description of your new venture (have a clear introduction)
2 – include a simple quad chart with the four basic quadrants embedded in your paper
3 – a thorough explanation of what you have learned from the analysis, further defining the strengths, weaknesses, opportunities and threats
4. be sure to include monetary information. You can’t evaluate a new start up for a beauty salon if you don’t include the costs to start up and an estimate of your monthly operating costs. How many hair cuts would you have to provide customers before you break even each month (of course you can estimate costs). For instance, you have to purchase equipment (dryers, chairs, etc) and you have to rent space (or buy space). What is the monthly rent or mortgage payment and how easily will that be earned each month. Include all other costs also (payroll, supplies, advertising, etc). Where will the start up money come from? It may be effective to put these costs in a column with totals rather than paragraph format.
5 – an evaluation – based on what you have learned, will you continue your business venture? Be sure to answer that question at the close of your paper.