BICOL COLLEGE

Sagpon, Daraga, Albay

ENTREPRENEURSHIP
Module 4

MARKETING PLAN AND FINANCIAL

PLAN

GRADE 12
nd
(2 Semester S.Y. 2020-2021)

Entrepreneurship
Grade 12
 Title of Material/Introduction

MARKETING PLAN AND FINANCIAL PLAN

This module includes two other sections of the business plan namely the marketing plan
and the financial plan.

II. OBJECTIVES

At the end of this lesson, the learner should be able to implement the business plan.
Specifically, the learner must be able to:

1. Identify the major areas included in the marketing plan, and

2. State the important sections described in the financial plan.

III. Vocabulary List

Income - is money (or some equivalent value) that an individual or business receives,
usually in exchange for providing a good or service or through investing capital.

Cash flow - is the net amount of cash and cash-equivalents being transferred into and out
of a business.

Equity - typically referred to as shareholders' equity (or owners’ equity' for privately held
companies), represents the amount of money that would be returned to a company’s
shareholders if all of the assets were liquidated and all of the company's debt was paid
off.

Competitor - A company's competitors are companies who are trying to sell similar
goods or services to the same people.

Marketing Mix - refers to a mode, means, or tool used by the entrepreneur to position
the product in the target market segment to efficiently and effectively deliver it to the
costumers and to convince them about the benefits that they will derive from buying the
product.

Entrepreneurship
Grade 12
IV. Pre -Test :

Multiple Choice. Write the letter of your answer.

1. The Seven P’s will fall under _____________ Plan.

a. Production c. Financial
b. Organization d. Marketing

2. Which of the following parts of a business plan include the projected statement of
cash flows describes all the data expressed in the monetary units from the other
sections of the business plan?
a. Production c. Financial
b. Organization d. Marketing

3. At least, how many years does the financial statement being projected?
a. One c. Three
b. Two d. Four

4. What is the most important part of Financial Plan?

a. Projection c. Salary
b. Mathematical Computation d. Implication of the result

5. Based form the Outline of Business Plan, how many Major Sections do we have?
a. 7 c. 9
b. 8 d. 10

Entrepreneurship
Grade 12
V. Learning Activities

1. Perform Activity #1 - COMPLETE ME!

2. Read the information about Marketing Plan.

3. Read the information about Financial Plan.

4. Be familiar of the outline of the business plan

Activity 1 - COMPLETE ME!

Complete the crosswise puzzle by giving the right entrepreneurial terms described below.

ACROSS
1. It refers to the process of putting the product in a package or container.
2. It refers to the individual employees or workers who are directly involved in the
production, marketing, and sale of the product or service.
3. It refers to the place occupied by the product in the minds of the consumers.
4. It refers to the place where the consumers are expected and willing to buy the product.
DOWN
1. The mode of conveying information about the product to the target consumers.
2. It is the amount of money expected, required, or given in payment for something.
Entrepreneurship
Grade 12
 3. The output of the whole production process, or the tangible good or intangible service
offered by the business to the target customers.
Review Question:
• What are the 7P’s that comprise the marketing mix?

Take time to Read Young Entrepreneur

!

MARKETING PLAN
The marketing plan details how the proposed business will sell its product to the target
consumers. It may consist of some or all of the following important sections:

1. Product
2. Place
3. Price
4. Promotion
5. People
6. Packaging
7. Positioning

Basically, the business plan describes the factors of the marketing mix in its various
sections such as product and people in the business description section, place or location in the
introduction, and positioning in the environmental analysis section.

Nevertheless, the entrepreneur may opt to discuss all the seven P’s of the
marketing mix in the marketing plan to reiterate how a product is distributed to
the target consumers through an innovative mechanism. He/She may also present
the most appropriate marketing strategy that will provide a competitive marketing
position for the product and the business in general.

FINANCIAL PLAN
➢ The last major section of the business plan is the financial plan.

➢ It accumulates and describes all the data expressed in the monetary units from the
other sections of the business plan.
➢ Simply collates and describes the various sets of information derived from the
other sections of the business plan.
Entrepreneurship
Grade 12
 ➢ It is composed of the following important areas:

1. Major assumptions
2. Projected statement of comprehensive income
3. Projected statement of cash flows
4. Projected statement of changes in equity
5. Projected statement of financial position
6. Financial statement analysis

Examples:

• Amount of Salaries that appears in the projected statement of comprehensive

income comes from the organization plan

• Cost of machineries and equipment that appears in the noncurrent asset section of
the projected statement of financial position comes from the production plan.

Major Assumptions

The financial statements in the business plan are not actual but rather projected, thus requiring
some major assumptions based on reliable data or information. Suppose the entrepreneur
projects an increase of 10 percent in the salaries of employees in the projected statement of
comprehensive income. This projection may be based on a related pending bill in Congress or on
the policy of the business to gradually increase the salaries of workers in comparison to those of
the competitors.

Financial Statements

The financial plan features the following different projected financial statements of the proposed
business:

1. Statement of comprehensive income

2. Statement of cash flows
3. Statement of changes in equity
4. Statement of financial position

Entrepreneurship
Grade 12
 These financial statements are projected for at least three years and are considered the
final product of the whole accounting process. The statement of comprehensive income and the
statement of financial position, respectively, are the financial statements included in this module.
The statement of cash flows and the statement of changes in equity will not be covered because
they require a more exclusive accounting knowledge.

Financial Statement Analysis

➢ is the last section of the financial plan

➢ is intended to primarily fit the requirements of the course. The financial

statements do not provide any useful and relevant information to the users unless
they are evaluated and analyzed.

➢ Is done through several approaches and usually dependent upon the objective of
the users of the financial statements.

➢ Basically, it is conducted to determine the financial operation of the business in

terms of liquidity level, profitability of operations, and solvency status.

It must be noted that the mathematical computations in the financial analysis are
not the most important part of analysis but rather the interpretation and
implication of the results to the business. In other words, mere mathematical
computations do not provide value to the analysis.

BUSINESS PLAN OUTLINE

The following is an outline of the business plan and its various sections.

A. Title Page
B. Table of Contents
C. List of Tables
D. List of Figures
E. List of Appendices
F. Introduction
1. Proposed name of the business
2. Address of the business
3. Name of the owner or owners
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Grade 12
 4. Description of the business
5. Location of the business
6. Funding requirements and sources
G. Executive Summary
1. Vision, mission, goals and objectives of the business
2. Business model
3. Business and product positions
4. Wealth improvement approaches
5. Parties supporting the business
H. Environmental Analysis
1. Global analysis
2. Social analysis
3. Political forces
4. Economic forces
5. Socioeconomic forces
6. Technological dances
7. Ecological forces
8. Legal forces
9. Industry analysis
10. Customers
11. Competitors
12. Creditors
13. Suppliers
14. Government
15. Shareholders
16. Employees
17. Trade associations
18. Market forecast
19. Market share
20. Market position
Marketing strategy

I. Business Description
1. Nature of the organization
2. Product or service that it plans to produce or serve
3. Various plant and office equipment
4. Size of the proposed business
5. Future parties with whom contracts may be necessary
6. Personnel requirements
7. Administrative operation
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Grade 12
 J. Organizational Plan
1. Form of business organization
2. Liability of the owner or owners
3. Organizational structure
4. Roles and responsibilities
5. Salary requirements
K. Production Plan
1. Production schedule
2. Production process
3. Processing plant and equipment
4. Sources of materials
5. Production cost
L. Operation Plan
1. Evaluation of supplier
2. Materials requisition and receiving procedures
3. Storage and inventory control system
4. Shipment system and control
5. Functions of support services
M. Marketing Plan
1. Product
2. Place
3. Price
4. Promotion
5. People
6. Packaging
7. Positioning
N. Financial Plan
1. Major assumptions
2. Projected statement of comprehensive income
3. Projected statement of cash flows
4. Projected statement of changes in equity
5. Projected statement of financial position
6. Financial statement analysis
O. Appendix

VI. Practice Tasks

Entrepreneurship
Grade 12
Practice Task 1 - MIX ME.

Give one(1) product and complete what marketing mix you will utilize on that
product.

Practice Task 2 - JUSTIFY ME.

Write True if the statement is correct. Otherwise write False and state your
reason briefly.

1. The marketing plan describes in detail how the project will be finally sold to
the target customers.

2. Much of the information contained in the marketing plan is the output of

research.

3. The marketing plan contains the factors or variables of the marketing mix.

4. The marketing plan does not apply to service business since it does not have
any product to sell.

5. The financial plan contains information about the financing scheme of the
business.

6. In the financial plan, the business presents its actual or historical financial
statements.

7. The financial statements contain absolute or true monetary data.

8. Financial statements are considered the final product of the accounting

process.
9. The earning capacity of the business can easily be determined by simply
looking at the information presented in the financial statements.

10. The most important part of the financial statement analysis is the result of the
mathematical computation.

Entrepreneurship
Grade 12
 Practice Task 3 – IT’S SHOWTIME!

Choose one (1) product by group of 7-10 members. Prepare a 1-2minute

advertisement. It may be presented in front of the class or you can make a
video of the advertisement.

Be guided with the scoring rubrics below.

LIVE ADVERTISEMENT PRESENTATION RUBRIC

Presenter(s)
______________________________________________________________

Name of the Product

______________________________________________________________

Date _______________ Start Time __________ End Time _____

Criteria 3 2 1
Creativity and The commercial is The commercial is The commercial
presentation creative and somewhat shows little
effectively written creative and creativity or
and is presented effective and/or effectiveness
well. the presentation is and/or is not well
adequate. presented.
Need for product The commercial The commercial The commercial
clearly explains somewhat does not
the need for the explains the need for adequately
product in the the product in the explain the need
society. society. for the product in the
society
Visual aids(props) The commercial The commercial The commercial
makes good use includes visual does not include
of visual aids or aids or props, but any visual aids or
props. they do not props.
significantly
contribute to the
commercial and/or
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Grade 12
 they are not well
done.
Enunciation/dictio n Presenters’ Presenters’ Presenters’
enunciation/dictio n enunciation/dictio n enunciation/dictio n
is excellent. is average. is below average.

Within timeframe (1- The commercial is The commercial is The commercial is

2minutes) presented within the presented slightly presented
timeframe. outside the significantly outside
timeframe. the timeframe

VIDEO ADVERTISEMENT PRESENTATION RUBRIC

Presenter(s)
__________________________________________________________________

Name of the Product

__________________________________________________________________

Date _______________ Start Time __________ End Time ________

Criteria 3 2 1
Creativity and The commercial is The commercial is The commercial
presentation creative and somewhat creative shows little creativity
effectively written and effective and/or or effectiveness
and is presented the presentation is and/or is not well
well. adequate. presented.
Need for product The commercial The commercial The commercial does
clearly explains the somewhat explains the not adequately explain
need for the product in need for the product in the need for
the society. the product in the
the society.
society
Visual aids(props) The commercial makes The commercial The commercial does
good use of visual aids includes visual aids not include any visual
or props. or props, but they do aids or props.
not significantly
contribute to the
commercial and/or
they are not well done.

Enunciation/diction Presenters’ Presenters’ Presenters’

enunciation/diction is enunciation/diction is enunciation/diction is
excellent. average. below average.
Within timeframe (1- The commercial is The commercial is The commercial is

Entrepreneurship
Grade 12
 2minutes) presented within the presented slightly presented
timeframe. outside the timeframe. significantly outside
the timeframe
Technology Presenters utilized full Presenters utilized full Presenters utilized full
Utilization technology with more technology with little technology with no
effects. effects. more effects.

VII. POSTEST
LET’S WORK TOGETHER!

Do the following tasks :

1. Discuss the primary objective of the marketing plan.

2. Identify the important factors described in the marketing plan and the financial
plan.

3. Explain the significance of assumptions in

the preparation of the projected financial
VII. Post Test statements.

4. State the importance of the financial statement analysis.

VIII. Assignments:

LET’S MARKET THIS!

Work as a group in the previous lesson. Prepare the marketing plan of your
proposed small business. Follow the sample below.

MARKETING PLAN

This section contains the following factors of the marketing mix: product, place,
price, promotion, people, packaging, and positioning.

Entrepreneurship
ProductGrade 12
 Category Beginning Developing Proficient Highly Excellent
Proficient 8
2 4 6 10

Completeness The work is Many questions Two or One All

very are more question is questions are
incomplete. missing/partially questions partially answered
are answered completely.
complete. missing or or
partially completely
complete. missing.
Correctness The work is Some There are There is 1 There are 0
full of errors. questions/tasks 2 or 3 error in the errors in the
were not errors in output. output.
answered the output.
correctly.
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Collaboration We did the Only some of the We worked We worked Everyone
work by group together together so worked
ourselves. members are most of that together
We talked a cooperative. the time. everyone using
little Sharing contributed his/her
among group ideas to the final knowledge
members regularly. output. and
abilities to
make the
output come
together.

Entrepreneurship
Grade 12