How to Write a Business Plan

142 | HOW TO WRITE A BUSINESS PLAN

Diff erentiate Your Business
From the Competition

Your next job is to describe how your
business differs from the competition’s
strong and weak points. Again, remember
to carefully look at your business from the
customer’s perspective.
If you’re not sure how your pricing
policies compare to the competition, here
are some guidelines. Most people associate
high prices with high quality and extra
service, while they associate low prices
with low or average quality and minimum
service. Make sure you provide extra
quality and service if your prices are higher
than your competition—or make sure
that your prices are lower if your quality
is average and your service is minimum.
Check your assumptions by making a price
survey of the competition.
Remember that customers may take for
granted that you have the same strong
points as the competition; if so, you
can leave those out of your description.
Customers hope that you do not share the
same weak points as the competition. But
if you do share some weak points, it is
probably a good idea to mention the ones
you have in common.

Antoinette’s Dress Shop:

How My Business Diff ers

From the Competition

Antoinette’s will off er a wide selection of

merchandise to our target customers, as do

the department stores and specialty shops.

We will off er low prices and convenient

hours for the working woman. Antoinette’s

will take particular pride in more effi cient

services such as special orders and altera-

tions as well as a stable, helpful, and

knowledgeable sales staff.

To summarize, Antoinette’s takes the

worry out of clothes shopping by providing

a good selection, good prices, good service,

and helpful people who know their fi eld.

Describe Your Target Customer

The next step is to describe your target

customer in specifi c, individual terms. As

you know, business is a very personal

endeavor. When you sell services or

merchandise, you sell to one person at a

time. As a matter of fact, most people don’t

like being treated like members of a group

instead of individuals. That’s why the

most successful restaurants have owners

or maitre d’s who remember your name

and ask about your family or your interests

whenever you patronize their business.

Additionally, most of us are more

comfortable talking with one person than

making speeches to a large group. So it