Business Management Unit 1: Planning a Business

Prerequisites

There are no prerequisites for this unit.

Course Description

Businesses of all sizes are major contributors to the economic and social wellbeing of a nation. The ability of entrepreneurs to establish a business and the fostering of conditions under which new business ideas can emerge are vital for a nation’s wellbeing. Taking a business idea and planning how to make it a reality are the cornerstones of economic and social development. In this unit students explore the factors affecting business ideas and the internal and external environments within which businesses operate, as well as the effect of these on planning a business. They also consider the importance of the business sector to the national economy and social wellbeing.

Areas of Study

The Business Idea

In this area of study students investigate the concept of entrepreneurship. They consider how business ideas are created and how conditions can be fostered for new business ideas to emerge. New business ideas come from a range of sources, such as identifying a gap in the market, technological developments and changing customer needs. Students explore some of the considerations to be made before a business can be established as well as the importance of businesses to the national economy and social wellbeing.

Internal Environment

The internal environment affects the approach a business takes to planning and the extent to which planning is successful. A business owner will generally have more control over the activities, functions and pressures that occur within the business. These factors, such as business models, legal business structures and staffing, will also be influenced to some extent by the external environment. Students explore the factors within the internal business environment and consider how planning decisions involving these factors may affect the ultimate success of a business, with success being measured by the extent to which business objectives are met within a specific timeframe.

External Environment

The external environment consists of all elements outside a business that may act as pressures or forces on business operations. Students consider factors from the external environment such as legal, political, social, economic, technological, global and corporate social responsibility factors and the effects these may have on the decisions made when planning a business.

Assessment

Outcomes	Assessment Tasks
Outcomes	(school-assessed coursework)
Describe a process for creating and developing a business idea, and explain how innovative and entrepreneurial practices can contribute to the national economy and social wellbeing.	Case study, test, simulation and report.
Describe the internal business environment and analyse how factors from within it may affect business planning.	Case study, test, simulation and report.
Describe the external environment of a business and explain how the macro and operating factors within it may affect business planning.	Case study, test, simulation and report.

Overall Final Assessment

End of Semester Examination – 1.5 hours.