Business Model Preparation PDF

BUSINESS MODEL PREPARATIO N GUIDE QUESTIONS Source: PRDP Scale-Up: I-REAP Operations Manual Continuation: 3. WHAT IS THE “PROBLEM” THAT THE ENTERPRISE WILL ADDRESS? WHAT IS THE “OPPORT...

BUSINESS MODEL PREPARATIO N GUIDE QUESTIONS Source: PRDP Scale-Up: I-REAP Operations Manual Continuation: 3. WHAT IS THE “PROBLEM” THAT THE ENTERPRISE WILL ADDRESS? WHAT IS THE “OPPORTUNITY” THAT THE ENTERPRISE WILL TAKE ADVANTAGE OF? Updated VCA/PCIP/Local Sources for Baseline Data  Lack of input provision MOST COMMON Low uptake and adoption of Good Agricultural Practices PROBLEMS (GAP) and sustainable production practices. Limited outreach of existing extension services and ENCOUNTERED: providers. Lack of capacity to comply with Certification requirements. Lack of access to facilities to consistently produce high quality products. Limited know-how and skills on Good Manufacturing Practices (GMP) and Sustainable Production Practices. Dominance of spot transactions makes farmers more vulnerable to price fluctuation. Lack of market-based/price incentives for farmers to produce quality products. Lack of experience in formal organizational settings. KEY CHALLENGES: Poor access Fluctuating Limited Lack of to high Poor market bargaining processing paying storage prices power facilities markets Inefficient Limited Lack of Inefficient supply Access to Value Use of chains Markets Addition Resources WHAT IS THE “OPPORTUNITY” THAT THE ENTERPRISE WILL TAKE ADVANTAGE OF? OPPORTUNITIES Use of good quality seedlings of high yielding varieties Proper application and management of fertilizer and pesticides together with use of quality planting materials and good agronomic practices Longer term contractual arrangements such as contract. Implementation and adaptation growing agreements can result to a significant extent insulate farmers from price fluctuations. Cooperation and collaboration among individual smallholders. Implementation of special window mode loan program. Conduct of techno- transfer and skills training related to product development. Provision of machineries and equipment, etc.  Government Support Programs and Initiatives ADDITIONAL Growing demand for Sustainable and Organic OPPORTUNITI Products ES: Value-Added Processing Increasing demand for Local and Fresh Produce Agri-Tourism and Educational Initiatives Access to Digital Platforms and E-commerce Export Market Expansion Collaboration and Cooperative Farming  4. WHAT IS THE UNIQUE VALUE/SELLING PROPOSITION (USP)? Marketing : convincing target clients to patronize your product or to switch brand? Why should a How will you deliver the USP? customer choose your product over others? IMPORTANCE Differentiation: Helps a business stand out in a OF USP: crowded market. Customer Loyalty: A strong USP can attract and retain customers by addressing their specific needs or preferences Competitive Advantage: It gives businesses a distinct edge over competitors by offering something they can’t or don’t. KEY CHARACTERISTICS OF A USP: Distinctiveness Identifies something unique about the product or service that competitors don’t offer or can’t match Customer-Focused Directly addresses a specific need or desire of the target market. Clear and Simple Easy to understand and communicates the key advantage in a straightforward manner. Memorable Impactful and memorable so that customers associate the product with its distinct benefit. COMMON Losing sight of the customer. If you lose sight of what your customer really wants, you're going to get yourself into trouble. Stick to MISTAKES TO your buyer persona like glue. AVOID WHEN Blending in as "THE Best". How many times have you seen store signs in their windows saying something like "We have THE BEST [insert CREATING A product here] in the WORLD!" And how many times have you believed them? Exactly. UNIQUE Over-promising. Along the same lines as follow-through, if you SELLING promise a specific benefit in your marketing strategy, but don't have that benefit, you're going to have some fed-up customers who won't be coming back any time soon. PROPOSITION Stealing another company's USP. The whole point of a unique selling proposition is that it's unique, so if you use a different company's USP so you both have the same one... see the problem here? You need to create a unique selling proposition that's specific to your brand and what only you can offer (there is something, I promise). THANK YOU !