Some other groups in apple also focused on government

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Unformatted text preview: important assumptions in enough detail, and that you explain the background sufficiently. Try to anticipate the questions your readers will ask. Include whatever information you think will be relevant, that your readers will need. How Many Years? I believe a business plan should normally project sales by month for the next 12 months, and annual sales for the following three years. This doesn’t mean businesses shouldn’t plan for a longer term than just three years. It does mean, however, that the detail of monthly forecasts doesn’t pay off beyond a year, except in special cases. It also means that the detail in the yearly forecasts probably doesn’t make sense beyond three years. It does mean, of course, that you still plan your business for five, 10, and even 15-year timeframes; just don’t do it within the detailed context of business plan financials. Summary A sales forecast is hard for many people because they are unsure of how to forecast. Don’t worry; if you know your business, you can give an educated guess of future sales. Remember, one thing harder than forecasting is running a business without a forecast. CHAPTER 12: YOUR TARGET MARKET FORECAST The market segmentation concept is crucial to market assessment and market strategy. Divide the market into workable market segments — age, income, product type, geography, buying patterns, customer needs, or other classifications. Define your terms, and define your market. And of course, markets change. Don’t assume you know your market because you’ve been in business a few years. Take a step back for a fresh look. Market Segmentation is Critical Segmentation can make a huge difference in understanding your market. For example, when a local computer store defines its customer segments as “high-end home office” and “high-technology small business,” its segmentation says a lot about its customers. The segmentation helps the company plan its focus on the different types of potential customers. MARKET ANALYSIS PIE CHART The pie char...
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