Real Market Challenge B1 I can develop a business plan for the market.

Core Entrepreneurial Education

Core Business Plan How can you develop an idea into a business model? What are the necessary requirements? Step by step, the students draft a core business plan for their own product or service: including start-up costs, market

opportunities, target groups and a financial prognosis.

Student Manual

Youth Start Entrepreneurial Challenges Programme based on the TRIO Model for Entrepreneurship Education – www.youthstart.eu

Core Entrepreneurial Education Entrepreneurial Culture Entrepreneurial Civic Education

Idea Challenge

Hero Challenge

Empathy Challenge

Storytelling Challenge

Buddy Challenge

My Community Challenge

My Personal Challenge

Lemonade Stand Challenge

Perspectives Challenge

Trash Value Challenge

Open Door Challenge

Volunteer Challenge

Real Market Challenge

Start Your Project Challenge

Extreme Challenge

Be A YES Challenge

Expert Challenge

Debate Challenge

The TRIO Model is a holistic definition of entrepreneurship that encompasses three areas:

Core Entrepreneurial Education comprises basic qualifications for entrepreneurial thinking and acting: developing and implementing original and innovative ideas in a creative and structured manner. Entrepreneurial Culture refers to personal development: self-initiative, self-confidence, teamwork, empowering oneself and others. Entrepreneurial Civic Education aims at enhancing social competences and empowering students in their role as citizens: assuming responsibility for oneself, others and the environment.

Each challenge belongs to a challenge family that has its own icon with a colour code that corresponds to one of the three TRIO areas. A challenge family comprises several challenges on different competence levels. The letter codes given in the teaching materials correspond to the following levels: A1 – primary level; A2 – secondary level I; B1 and B2 – secondary level II; C1 – transition from secondary level II to tertiary level. Each level builds on the preceding level.

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Worksheet 1: The Sandwich Activity

Task:Asandwichshop,i.e.acompanythatsellssandwiches,isapopularstart-up.Readthroughthefollowingstepsandfamiliariseyourselveswiththechallengesrelatedtobusinessplanningforsuchacompany.a) Theperfectsandwich

• Whatshouldtheperfectsandwichbelike?Whatkindofsandwichwillattractmanycustomers?

• Whatdoyouneedtocreatesuchasandwich?• Makealistofingredients.

b) Buyingredients.• Wherecanyoubuyyouringredientsatconvenientprices?• Howmuchmoneywillyoubeneeding?• Goshoppingforingredientsorbringthemtoclassfromhome.• Keepthereceiptssoyouknowhowmuchyouringredientscost.

c) Createaprototype.• Nowyouhavegatheredallnecessaryingredients.• Createyourperfectsandwich.• Comeupwithaproductname.

d) Calculatecostsperitem.• Youknowwhichingredientsyouneedforyourperfectsandwich.Whatdotheindividual

ingredientscost?• Whichcostsareeasy/difficulttocalculatepersandwich?• Whatdoesasandwichcost?

e) Researchpossiblemarketprices.• Researchmarketprices.• Forhowmuchcouldyouselloneofyoursandwiches?

f) Calculateearningsandproductionvolumes.• Calculatethedifferencebetweenmarketpriceandcostspersandwich.• Decideonhowmuchyouwouldliketoearnamonth.• Howmanysandwicheswouldyouneedtoselltogeneratetheseearnings?

g) Analyseyourcalculations.• Didyouconsiderallcostsinyourcalculationsofcostsperitem?• Canyousellallthesandwichesyouproduce?

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h) ABC-listforstart-upbusinessplanning• CreateanABC-listforallfurtherstepsnecessaryforthebusinessplanningofastart-up

company.• Comeupwiththelisttogether.

A

B

C

D

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F

G

H

I

J

K

L

M

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O

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R

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Student Worksheet 2

Core Business Plan Step-by-Step Description:Youhavedevelopedanideaandhavethoughtofalternativewaystoimplementit.Duringthischallenge,youwilldecidehowtomakeyourbusinessmodelmoreconcretebydevelopingacomprehensivecorebusinessplan.Task:Togetherwithyourgroup,youaretowriteacorebusinessplanthatwilltotalapproximately12-pages.Therearerequiredelementsthatwillneedtobeincludedinyourcorebusinessplan.Besuretocarefullyreadthroughthecriteriaanditsdescriptors.UseWorksheet3asacheck-listtoensurethatyouhavefulfilledallthecriteria.Suggestionsforteamwork:Inordertogetthebestgradepossible,trytofollowtheseguidelinestoensurethebestteamwork.Essentialagreements:1. Everyonehasajobtodointhisassignment,noonehastheoptiontonotdoanything.2. Respecteachother’sideasandwork.Youwillbeassessingeachother’swork,soberespectfulwhen

providingfeedback.3. Setrealisticdeadlinesforeachotherandrespectthem.4. Alwaysusethecorebusinessplancriteriaasacheck-list/forself-assessment.

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Followthesestepsinwritingyourcorebusinessplan!Step1:Setarealisticdeadlineandwriteafirstdraft!

• Makedeadlinesasagroup,sothatyoucanallfinishatthesametime.• Whenwritingyoursectionofthecorebusinessplan,besuretolookatthekeyquestionsforeach

section.Alwaysaskyourself:Doesmyworkanswerthesequestions?Step2:Swapyourworkandproofread.

• Taketurnsreadingeachother’sauthoredportionofthebusinessidea.• Readitthroughtwice:thefirsttimeformeaning,thesecondtimeforgrammarandpunctuation.• Givefeedbacktotheauthor.

Step3:Revise.Basedonthefeedbackyoureceive,gobackandreviseyourwork.Youmightneedtorewriteportionsthatwerenotpreviouslyclear.Step4:Makeanotherteamdeadlineforyourseconddraft.

• Everyonemustrespectthisdeadline!• Atthispoint,putalltheworkintoonedocumentandsave.

Step5:Swapwithanotherteamusingthe“PeerAssessment”rubric

• Youwilltradecorebusinessplanswithanotherteaminyourclass.• Carefullyreadthroughtheircorebusinessplan.• UseWorksheet4andassesstheotherteam’scorebusinessplan.• Whatdoyoulikeaboutit?Whatdoyouthinkneedsimprovement?• Discussandwritedownallofyourfeedback.

Step6:Reviseandpublishforfinalcopy.

• Youwillreceivefeedbackfromanotherteam.Takethisfeedbackseriously.• Whichpartsofyourcorebusinessplanarestrong?Whichneedmorework?• Ifyourclassmatescan’tunderstandsomething,theteacherdefinitelywon’t!• Rewriteandimproveallareasforpublishing.

Step7:Publishcopyandturninwork–teacherassessment

• Onceyouturnyourworkin,itisyourfinaldraftandwillbegradedbyyourteacher!

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Student Worksheet 3

Core Business Plan Criteria – Description Foreachsectionofthecorebusinessplan,besuretoreadthroughtheguidingquestionsandusethemasacheck-list!BasicElements(15%) MinimumWordRequirement/ OtherRequirements

1. ExecutiveSummary 250words• Leavethispartforlast!!• Didyouwritethissectionlikeanelevatorpitch?• Doesthissectionsummariseandselltheentirebusinessplan?• Dothereaderswalkawaywiththefeelingthattheyareinspired?

2. Product/ServiceDescription 400to500words

• Doyoudescribewhatyourproductorserviceis?• Doyouexplainhowitworksandwhatneeditfulfils?• WhatisyourUSP?

3. MarketChancesandTargetGroup 250to500words

• Howdoyouknowthatyourproduct/servicehasachanceonthemarket?• Whoisyourclientele/targetgroup?Define.• Didyouidentifythe4Ps?Price,Product,Place,Promotion.

4. PotentialCompetitors 250to500words

• Whoareyourpotentialcompetitors?(Sayingtherearenoneisnotacceptable!)• Isyourideasimilartosomethingthatalreadyexists?• Whattypesofbusinesses(namethem)mightfeelcompetitionfromyou?

5. Start-UpTeamDescription 250words

• Whoisyourteam?Didyouaddphotos?• Didyougiveabriefbackgroundabouteachother(e.g.age,whereareyoufrom,school,

etc.)?• Whatrolesdoeachofyouhave?Whydidyouchooseeachother?

6. OrganisationofYourStart-UpCompany 250to500words

• Howisyourcompanyorganised?Whatdepartmentsandrolesdoyouhave?• Howdoyouimaginetheorganisationofyourcompanyonceyouopenyourdoorsfor

business?• Whatisoutsourcedandwhatismadeinhouse?

7. FromIdeatoImplementation 500words

• Canyoudescribestep-by-stephowyouplantoimplementyouridea?• Provideachronologicalplanofhowthisworks.

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8. FinancialPrognosis 250to500words

• Canyouexplainwithconcretenumbershowmuchyourstart-upwillcost?• Whatfixedcostsdoyouhave?• Howsustainableisyourbusiness?• Areyournumbersrealistic?

9. Appendices(illustrations,prototype,etc.) Avarietyofimages

• Didyouincludeavarietyofvisualexamplesofyourstart-upandtheprototypes?• Doyourillustrationssupportyourbusinessplanordotheyofferadditionalinformation?

Thefollowingcriteriashouldbeembeddedthroughoutyourbusinessplan!MarketResearch(20%)

• Thisfocusesonparts3and4.• Afterreadingyourbusinessplan,doesyourreaderhavethefeelingthatyouhavedonequality

marketresearch?InnovativeBusinessIdea(30%)

• Thisfocusesonparts1,2and6.• Isyourbusinessideauniqueandrealistic,anddoesitfulfilanidentifiedneed?• Doesyourbusinessplananswerthis?

Start-UpCosts(15%)

• Thisfocusesonpart8.• Isitclearhowmuchcapitalyouwillneed?Areyousureaboutthecosts?• Haveyouresearchedhowmuchthingswillcost?

Sustainability(10%)

• Thisfocusesonparts1,2,3,6and8• Doesyourbusinessplandemonstratethatyourideaissustainable?

LayoutandDesign(10%)

• Isyourbusinessplanorganisedandeasytoread?• Areyourfontsconsistentthroughoutthedocument?• Doyouhaveacoverletterandatableofcontents?• Didyouwritein1.5-spacedandsize12?

Besuretocheckthislistoverandoveruntilyouaresurenothingismissing!

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Worksheet 4: Peer/Teacher Assessment

Assesseachgroupandbesuretoprovidefeedbacktosupportthescoreyougive!

CoreElementsWeightedValue

inPercentage

Valueof1-51=NeedsImprovement

3=Satisfactory5=Advanced

Total=WeightXScore

BasicElements• ExecutiveSummary• Product/ServiceDescription• Start-UpTeamDescription• PotentialCompetition• Start-UpOrganisation• FromIdeatoImplementation• MarketChancesandRiskEvaluation• FinancialPrognosis• Appendicesofillustrations,prototype

15

MarketResearch• Product,Price,Place,Promotion• Targetgroupidentified

20

InnovativeBusinessIdea• StrongUSP• Uniqueness• Realisticidea

30

Start-UpCosts• Coststobeginbusiness• Fixedcostsover6-monthperiod• Financialplan

15

Sustainability• Sustainability(Sources/Evidence) 10

Layout• Design• Clarity

10

Total 100

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Worksheet 5: End of Unit Self-Assessment

Circlethesmileyfacesthatshowhowyoudid!Icanidentifymystrengthsandweaknessesandsetgoalstoimprovemyskillswhereneeded.

J JJ JJJ

Iamcomfortableintakingresponsibilityforatask. J JJ JJJIcanfacepotentialcompetitionintheimplementationoftasks. J JJ JJJ

Icandevelopideasandprovidejustificationsforwhytheyshouldbeimplemented.

J JJ JJJ

Icanidentifyandseizeopportunities,andIamawareoftherisks. J JJ JJJ

Icanpresentadraftconceptandunderstandthepurposeofabusinessplan.

J JJ JJJ

Icanplangoalsandimplementasupervisedproject. J JJ JJJIcancomeupwithideasforeffectivemarketing. J JJ JJJIwouldliketocontributemyideastoafuture-orientedecologicallyandsociallysensitivebehaviourinbusinessandsociety.

J JJ JJJ

Icananalysewhetherornotmyideawillgenerateaprofitandexplainhowtofinancemyidea.

J JJ JJJ

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a Arbeitsblatt 6:

Zusammenfassung der Selbstreflexion

1. Aftercompletingthischallenge,doyouthinkdifferentlyabouthowacorebusinessplanshouldfunction?Whyorwhynot?

2. Doyoufeelpreparedtolaunchyourownbusinessideaintherealworld?

3. Whatdoyouthinkarethethreemostimportantthingssomeoneshouldknowwhenstartingtheirbusiness?

4. Aftercompletingthischallenge,doyouthinkthatstartingabusinessiseasyordifficult?Why?Supportyouranswer.

5. Writedownthreethingsthatyouhavelearnedfromthischallenge.

6. Writedownthreethingsthatyoufeellikeyoustillneedtolearn.