Business Enterprise Simulation

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Republic of the Philippines

Department Of Education
REGION I
LA UNION SCHOOLS DIVISION OFFICE
DON EULOGIO DE GUZMAN MEMORIAL NATIONAL HIGH SCHOOL

SENIOR HIGH SCHOOL


GRADE 12 ABM

BUSINESS
ENTERPRISE
SIMULATION
Prepared by:

RHODORA SOTELO-RIMANDO
SHS Teacher II

Business Enterprise Simulation

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Quarter 3 – Module 5 –
Lesson1- Strategic Planning
Lesson2- Environmental
Analysis
Lesson3- Management Study

Target

This module was designed and written to guide you in studying this
subject. It helps you master the concepts in Business Enterprise Simulation.
This module was crafted to allow you to use it in many different learning
situations with the language used recognizing the diverse vocabulary level of
students. The discussion of the topics was arranged to help you follow and
understand the flow of the lessons.

MOST ESSENTIAL LEARNING COMPETENCY:


 Prepare a strategic plan outlining the competitive environment and
focusing on the appropriate competition strategy
After going through this module, you are expected to:
 Define strategic plan
 Discuss the benefits of strategic plan
 Explain the 8 Elements of strategic plan
 Integrate all the concepts in crafting strategic plan
 Structure your business ideas specially in strategic planning
 Assess your readiness in implementing business plan
 Prepare a strategic plan outlining the competitive environment
 Prepare a strategic plan focusing on the appropriate competition
strategy

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Jumpstart
Activity 1: Remember Me!
As you proceed to this module, you will understand the first section of an
enterprise business plan. Do you see yourself planning the future? If given such
opportunity to plan, how are you going to accomplish it? How will you plan your
dream business so you will have a clear-cut vision on how it will run?

Strategic planning is significant to an organization because it offers a sense of


direction and summaries quantifiable goals. It is a device that is beneficial for
supervising day-to-day decisions and also for assessing progress and altering tactics
when moving forward.
Directions: Identify the SEVEN COMPONENTS OF BUSINESS PLAN
1. 5.
2. 6.
3. 7.
4.

Activity 2: Table Completion


Directions: List down your answer on the following table, choosing between
products or services. Row 1 has been done as an example.

Ideas Product Services

Food Merchandise Own With Help


of
Professional

What: list your Taro Okoy Kikay Stuffs


prospective dream
business

When: your target date


to implement the
business

Where: the location you


will be putting up your
business

Who: list down your


target market/person to
hire/supplier

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How: Ways and means
on how to achieve your
plan

How much: Budget


needed to implement the
business

Discover
LESSON 1: STRATEGIC PLAN SECTION

It is good to know that your understanding was tested with what and how
you need to fill the table on the previous page. Let us now identify the connection of
your answers to our lesson as we go along with the module.
Have you ever pondered why there is a need to plan? Plan strategically? Does
it bring benefits to you as an ABM student? Is there a purpose why an ABM student
like you to identify all the elements of a strategic plan section of an Enterprise
Business Plan?
It is not enough to know what a strategic planning is, you must also know how to
craft your own strategic plan section of an enterprise business plan. I know all of
these are new to you, are you now excited to know all of these? Come on, let us do it
together.
Let us realize all the answers to your queries… together we will open the door
for your dream to become a businessman/woman… a dream for you to own and
implement a small business.
Do you know that strategic planning is the process of documenting and
establishing a direction for your small business by assessing where you are and
where you’re going? It also gives you a place to record your mission, vision, and
values, long-term goals and action plans. There are benefits from planning
strategically such as:

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Did you find these beneficial for you in the future? Do you think these will
help you build a small business? These are not all, there’s still a lot more to know
about our topic. In your strategic plan, you must know the various information vital
to sell your company in the future for possible investors such as:

A COMPANY SUMMARY (COMPANY INFORMATION)

The major parts of a standard strategic plan include the following:

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Vision

SWOT Mission

Standards of 8 Elements
Measuremen of Strategic Goals
t
Plan

Operational,
Core
Tactics and
Values
Strategis
Objectives

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LESSON 2: ENVIRONMENTAL ANALYSIS
As you comprehend in your searching from within activity, the second lesson of
your 5th module is all about scanning what surround your dream business. It’s not just
simple knowing your surroundings, what matters most is how you analyze your
environment for it to works favorably to you.
Maybe you will butt in and say to me, Ma’am our surroundings are just the four
corners of our house. My dear students, the environment that surrounds you can be
divided into two: the external and the internal? Have you ever heard of SWOT analysis?
What is Environmental Analysis?
Environmental Analysis is the process by which corporate planners monitor the
economic, governmental, supplier technological and market settings to determine the
opportunities for and threats to their enterprise. Its importance lies in its usefulness for
evaluating the present strategy, setting strategic objectives and formulating strategies

Macro-Environmental Analysis

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Micro-Environmental Analysis

What is SWOT Analysis?

My dear ABM students, are you now excited to see what an environmental analysis
section manuscript looks like? Analyze carefully those ideas that can be interchange
with your own ideas of the dream business venture you have in mind. Here it is.

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SWOT ANALYSIS

Strengths Weaknesses

1. Unique and quality K-Pop 1. High cost of acquiring the


merchandise merchandise from supplier
2. Affordable prices 2. There is a need for advertising
3. Accessible location to the and promotion of the store.
target market thru online 3. Limited number of staffs on the
distribution store and manning online queries

Opportunities Threats

1. There is a rise in the 1. Currency fluctuation can increase


popularity of K-Pop stars and the cost of the products
celebrities at SIHS 2. Threat of competitors
2. There is an opportunity to use 3. Difficulty in going to Divisoria to
social media for promotion buy merchandise due to COVID
3. Opportunity to introduce new 19
products to the market

Environmental Analysis

Comments/Status

Macro-Environmental Analysis

government policies, taxes laws and tariff, stability


Political factors of government, entry mode regulations

inflation rate, the interest rate, disposable income of


buyers, credit accessibility, unemployment rates,
Economic factors the monetary or fiscal policies and the foreign
exchange rate

cultural implications, the gender and connected


Sociological factors demographics, the social lifestyles, the domestic
structures, educational levels, distribution of Wealth

new discoveries, rate of technological obsolescence,


rate of technological advances, innovative
Technological factors
technological platforms

product regulations, employment regulations,


competitive regulations, patent infringements,
Legal factors
health and safety regulations

geographical location, the climate and weather,


Environment (Natural)
waste disposal laws, energy consumption regulation

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factors and people’s attitude towards the environment

Micro-Environmental Analysis
List potential suppliers and the process
Suppliers

List potential rival firms and how it will affect the


Rival Firms business

List potential target markets and behavior


Buyers

List of possible entrants to same business and how


Entrants they will affect the business

List potential substitute for the product and how


Substitutes
easily it can penetrate the market

LESSON 3: MANAGEMENT STUDY

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As you can see on your Organizational chart, being an owner of a business is an
advantage, it can make you the manager of your own organization.
In your previous lesson, we have learned that in order to manage a dream business, you
need to hire people who will help you run the business. In so doing, do you know that
you are already forming an organization, particularly a business organization. In the
formation of an organization, you need personnel. Would you like to become a best
manager for your organization? If so, you must know first the 5 Key steps in building an
investor-ready personnel plan.
And that’s not all, you must know also what are the basic forms of business
organization, as well as the additional types.
Have I enlightened you somehow of what’s waiting for you in this lesson 3 of module 5?
Let’s now take a peek of all of these.
ORGANIZATION

PERSONNEL PLAN

Personnel Salaries Skills Roles Responsibilities


and
Benefits
Cashier ₱ 6,000 Must know To receive Responsible for
manual and give the cashiering
computations exact system
SHS graduate change to
customers

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Sales Clerk 1 ₱ 4,500 Must know how To assist Responsible for
to be charming customer’s the customer’s
with customers needs care
SHS graduate

Owner/Manager ₱ 9,000 To Responsible for


purchase the whole
all operation of the
supplies store
needed
To oversee
inventory
system
Employee Benefits ₱ 300

5 KEY STEPS TO AN INVESTOR-READY PERSONNEL PLAN

Describe the
team

Forecast Describe the


personnel organizationa
cost l structure
INVESTOR-
READY
PERSONNEL
PLAN

List advisors,
Explain the
consultants and
gaps
board members

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BASIC FORMS OF BUSINESS ORGANIZATIONS

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Explore
Analyze carefully those ideas that can be interchange with your own ideas of
the dream business venture you have in mind by filling copying the activities below
in your paper and filling out the blanks with necessary data from your business.
Some part of Activity 1 is done for you.

STRATEGIC PLANNING
Independent Activity 1: Crafting of Company Summary
Company Summary
트 와 이 스 시 대 ’ s Korean-Pop Collectibles Shopaholic Store brings out the
optimum Korean-Pop products which are founded on trends in the market by the
different Korean Pop stars personally chosen by customers themselves from and
among the various design readily made available to them. Storeowner
___________________________, better known as ___________ witness
_______________________________ to _________________________________. The
owner/entrepreneur represent ___________________________ area while the
_____________________ will be handled by the __________________________.
The owner/entrepreneur will provide funding from __________________, which will
cover ____________________ and provide a ___________________ for the _______________ of
operation. A ____________, _____________________________ loan will cover the rest of the
required financing. The company plans to build _______________________ in the town,
due to the _______________________________ and ________________________ attitude
possessed.

Independent Activity 2: Crafting of Company Ownership


Company Ownership
____________________________________ is a _______________________________________
in the _________________of _______________ in ___________________. It is _______________
owned by _______________________________.

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Independent Activity 3: Crafting of Start-up Summary
Start-up Summary
______________________________________________ is a _______________ company.
Financing will come from _______________________________. The following _______ and
__________ illustrate the company's __________________________.
____________________________________ offers _______________________ or
__________________. _____________________ ranges from _______________,
____________________, ______________ and ___________________. All comes with
____________________ but very open for ______________________ and ________________. The
store ___________ the _____________________________ which are founded on
_____________________________ by ___________________________ personally hand-picked by
customers themselves from ___________________________________________________.

Assessment 1: Preparation of Start-up Expenses

Table 1: Start-up

Start-up

Requirements

Start-up Expenses

Legal

Premise renovation

Expensed on Equipment

Others

Total Start-up Expenses

Start-up Assets

Cash Required

Total Assets

Assessment 2: Preparation of Start-up Funding

Table 2: Start-up Funding

Start-up Funding

Start-up Expenses to Fund

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Start-up Assets to Fund

Total Funds Required

Assets

Cash Requirement from Start-up

Additional Cash Raised

Total Assets

Liabilities and Capital

Liabilities

Current Borrowing

Long-term Liabilities

Total Liabilities

Continuation

Capital

Owner

Loss at Start-up (Start-up Expense)

Total Capital

Total Capital and Liabilities

Total Funding

Assessment 3: Crafting of the 8 Elements of a Strategic Plan,

VISION:

_________________________________________________________________________________

_________________________________________________________________________________.

MISSION:

_________________________________________________________________________________

_________________________________________________________________________________.

CORE VALUES:

_________________________________________________________________________________

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_________________________________________________________________________________.

GOALS:

_________________________________________________________________________________

_________________________________________________________________________________.

OBJECTIVES:

_________________________________________________________________________________

_________________________________________________________________________________.

OPERATIONAL, TACTICAL and STRATEGIES

_________________________________________________________________________________

_________________________________________________________________________________.

_________________________________________________________________________________

_________________________________________________________________________________.

_________________________________________________________________________________

_________________________________________________________________________________.

STANDARDS OF MEASUREMENT:

_________________________________________________________________________________

_________________________________________________________________________________.

SWOT

_________________________________________________________________________________

_________________________________________________________________________________.

ENVIRONMENTAL ANALYSIS
Individual Activity 1: Keeping in mind your dream business venture, identify what
possible Macro-Environmental factors will be affecting it? Copy the table in your
paper and write in the space provided your answer.

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Macro-Environmental Analysis

Political factors TRAIN LAW

Economic factors

Sociological factors

Technological factors

Legal factors

Environment (Natural) factors

Individual Activity 2: Keeping in mind your dream business venture, identify what
possible Macro-Environmental factors will be affecting it? Copy the table in your
paper and write in the space provided your answer.

Micro-Environmental Analysis

The supplier of raw materials had increase


Suppliers
its prices due to high cost of production.

Rival Firms

Buyers

Entrants

Substitutes

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Individual Activity 3: Keeping in mind your dream business venture, identify what
are its strengths and weakness? Copy the table in your paper and write in the space
provided your answer.

Strengths Weaknesses

1. Unique and quality K-Pop 1. High cost of acquiring the


merchandise merchandise from supplier

Individual Activity 4: Keeping in mind your dream business venture, identify what
are the possible opportunities that will come to the business as well as the threats it
will encounter? Copy the table in your paper and write in the space provided your
answer.
Opportunities Threats

1. There is a rise in the popularity 1. Currency fluctuation can increase


of K-Pop stars and celebrities the cost of the products
at SIHS

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MANAGEMENT PLANS

Independent Activity 1: Crafting the Management Study

Elisha Mae A. Laquindanum having an extensive experience in finance and


administrative aspect of a business shall handle the part, as for the part of
management and marketing it will be tasked to staff, she will be hiring and
trained. The company intends to hire ________________________ and
__________________________ to handle _________________ and _____________________.

Independent Activity 2: Crafting the Personnel Plan

As the personnel plan shows, _______________________________________________


expects to make _______________________ in ___________________________________.

Personnel

Personnel Plan Skills Roles Responsibilities

Cashier Must know To receive Responsible for


manual and give the cashiering
computations exact system
SHS change to
graduate customers

Total People

Total Payroll

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Enterprise Form

The enterprise is owned by _______________ taking the ____________________


form.

Independent Activity 4: Describing the 5 Key steps of an Investor-ready


Personnel Plan. Write your description below the steps in a separate sheet of
paper.

Describe the team


it shall be
composed of 3
personnel; the
owner who act as
manager, 1 cashier
and 1 sales clerk

Forecast personnel Describe the


cost organizational
structure

INVESTOR-READY
PERSONNEL PLAN

List advisors, consultants Explain the gaps


and board members

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Independent Activity 5: Filling out of the Organizational Chart

Elisha Mae Laquindanum


Owner/Proprietor

Name
Cashier

Name
Sales Clerk 1

Independent Activity 6: Crafting of the Personnel Duties and


Responsibilities in the Business

POSITIONS DUTIES AND RESPONSIBILITIES

1. Owner/Proprietor Responsible for the over-all operations of the


business

2. Cashier Responsible for __________________________

3. Sales Clerk 1 Responsible for __________________________

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Deepen
Activity 3: Essay

Let us check our understanding of the lesson that you had in this
module. Using your own words and understanding, answer the following:
1. What is a strategic planning? What are the elements on it?
2. What is environmental analysis and its components?
3. What is management study and its composition?

RUBRIC:

Categories Exceeds Meet Partially meet


Standards Standards Standards
(5) (3) (1)
Contents/arguments Student wrote Student wrote 3- Student wrote 1-
more than 5 4 paragraphs. 2 paragraphs.
paragraphs.

Organization of Student Student Student


Ideas displayed displayed good displayed poor
excellent flow flow pattern of flow pattern of
pattern of sentences. Easy sentences.
sentences. Easy understand but
to understand incomplete
and complete details.
details.

Grammar and Student had zero Student had less Student has more
spelling errors. than 5 errors than 6 errors.

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Gauge

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