NEXT
4. Business Plan Format, Section 4:
Strategy (1-2 pages)
Section 5 of in this standard business plan format covers Strategy. You need to describe to readers how the business will compete in the chosen markets. Your positioning strategy will be affected by a number of variables related to the motivations and requirements of your target market as well as what your primary competitors are doing.
Before you position your product or service, you will need to know how your competitors are positioning themselves, the specific attributes your product has that your competitor’s don’t and the needs your product fills for your customers.
Once you have these questions answered in the research stages you can develop a positioning strategy and illustrate it in your business plan. The positioning statement doesn’t have to be long or elaborate, as long as it points out exactly how you want customers and your competition to perceive your product.
This requires a description and explanation of the strategic choices that you have made as a business, including:
- The focus of the business: broad mass market or a specific niche?
- How the business will succeed in the market? How will you create a unique and valuable position, involving a different set of activities?
- What is unique about the business? How is the offering different from that of competitors?
- What is the value for the customers? Describe the value proposition for the customer?