BUSINESS ADMINISTRATION
BUSINESS ENVIRONMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Helps to plan for crises and emergencies.
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Helps to learn more about the industry, market, competitors and customers.
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Helps to reduce financial support.
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Helps to increase risk
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Detailed explanation-1: -The 3 most important purposes of a business plan are 1) to create an effective strategy for growth, 2) to determine your future financial needs, and 3) to attract investors (including angel investors and VC funding) and lenders.
Detailed explanation-2: -A business plan allows you to clearly compare the business’s expenses against its customer demand, available finances and competition. Understanding this information makes it easier for you to develop appropriate strategies to generate successful outcomes, making clarity an important benefit of your business plan.
Detailed explanation-3: -Business plans provide companies with the tools to track growth, establish a budget and prepare for unforeseen changes in the market place. A strategic business plan focuses on long-term growth objectives, rather than near-term operating goals and addresses different business strategy types.