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ARELLANO UNIVERSITY

JOSE ABAD SANTOS CAMPUS


BASIC EDUCATION DEPARTMENT

Analyzing Principles, Tools


and Techniques in Creating
a Business
Week 5
Objectives:
1. Analyze the principles, tools and
techniques in creating a business;
2. Recognizing the importance of SWOT
analysis as techniques in creating
business; and
3. Apply SWOT analysis as techniques in
creating a business.
10 Principles in Creating
a Business
10 Principles in Creating a
Business
1.Scalability - Business which has a
potential to grow. It is the capability of a
system, network or process to handle a
growing amount of work or its potential to
be enlarged in order to accommodate that
growth.
10 Principles in Creating a
Business
2. BigIdeas – Every business begins
with an idea. Business ideas come from
many sources. Hobbies, interest, and
business experiences often give people
ideas for new business.
10 Principles in Creating a
Business
3. System – Recognizing small and big
contributes success and failures to the
business. In making plan/decision one
should be align to the other.
10 Principles in Creating a
Business
4. Sustainability – A business must be
powerful able to harness all economic
conditions in all market settings, providing
positive and meaningful quality results to
its customers.
10 Principles in Creating a
Business
5. Growth – All business needs internal
growth. When you are a beginner in a
business it is like a school wherein your
employees are students that need your
guidance, with your intention and
determination that the business will grow.
10 Principles in Creating a
Business
6. Vision – What do you want business
to be in the future, your very purpose in
creating a business, vision plays a vital
role as it is your guide in planning.
10 Principles in Creating a
Business

7. Purpose – A business is the results of


a big dream in mind of the person who
dream for it.
10 Principles in Creating a
Business

8. Autonomy – A business if not part of


the owner’s life, but in fact, its own
entity. A business is difficult to start,
however, without the help of others.
10 Principles in Creating a
Business

9. Profitability – A business help


economic entity, managing economic
reality, creating an economic certainly
for the communities in which it thrives.
10 Principles in Creating a
Business
10. Standards – A business creates
standard against all businesses measured
as either successful or not. In order a
business will go beyond, aim high
beyond the existing standard.
Tools and Techniques in
Creating a Business
Tools in Evaluating a Business
 Buyers
 Product
 Trend
 Geographic Area
 Competitors
 Government Regulations
Techniques in Evaluating a Business

 SWOT ANALYSIS
Definition
 SWOT (strengths, weaknesses,
opportunities, and threats) analysis is a
framework used to evaluate a
company's competitive position and to
develop strategic planning.
S. W. O. T.
Strengths
describe what an organization excels
at and what separates it from the
competition: a strong brand, loyal
customer base, a strong balance
sheet, unique technology, and so on.
S. W. O. T.

Weaknesses
stop an organization from performing
at its optimum level.
S. W. O. T.

Opportunities
refer to favorable external factors
that could give an organization a
competitive advantage.
S. W. O. T.

Threats
referto factors that have the
potential to harm an organization.
S. W. O. T. (OVERVIEW)

INTERNAL
ANALYSIS
STRENGHTS WEAKNESSES

EXTERNAL OPPORTUNITIES THREATS


ANALYSIS
How to write SWOT Analysis
1st write the Strengths.
• What are favorable condition or advantages
within the organization or business.
2 write the Weaknesses.
nd

• What are some potential problems that may


encounter within the management/business
control?
How to write SWOT Analysis
3 write the Opportunities.
rd

• What are external competitive advantage?


4 write the Threats.
th

• What are external factors that affect the


business.
Instructions:
Using this template enumerate at least four (4)
factors that affect the owner’s decision using
SWOT Analysis. (Personal business,
Franchise, Joint Venture, Partnership,
Corporation or any type of business).
Business Name:
Place of Business:
Time Content:
How to write/prepare
SWOT Analysis
Example
Business Name: Takoyaki Balls ( Franchise)
Place of Business: In front of AU-JAS Campus
Time Content: 2022 (After the pandemic)
Strength Weaknesses
1. Strong brand recognition 1. Shifting schedule need
additional workers
2. Supplied items were 2. Market trends
readily available.
3. Low cost in maintaining 3. High fixed cost (utilities)
the tools/equipment
4. No specialization needed 4. Rental fee
in trainings.
Opportunities Threats
1. There is no competitors 1. Decrease of potential
within the area. customer if no classes
2. Favorable location 2. Regulatory Requirements

3. High turn over of 3. High Franchise Fee


customer when there is
classes
4. Product and training were 4. Climate change
provided already
Thank you!

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