Case Study on Frank Drake Business Planning

Business planning Case study This theatrical role study has three separate sections to it. The racing shell material is given below, and thusly on that point is A formsheet based on the case study (including the learning of a full rail line plan) An interactive quiz Taktical. com Frank Drake is a packet engineer with a major multinational firm and a highly experienced programmer. He is also a keen rush sailor, and for many years in his spargon time he has been ontogenesis a piece of software to help racing sailors plan their tactics for a race.The software en ables you to input a wide range of variables, including the weather, the tide, the temper of the course, the boat characteristics and information active the competition. From this you can then develop a strategy for the race. After the race you can input your decisions and test them against what the software considered the optimum strategy. Frank has used it widely and found it very utile and he has also given copi es of it to sailing friends for them to test.They have frequently commented that he should sell it, and he has finally dogged to leave his job and stria up a company to sell and market the ware. He has decided that the most effective way to distribute it would be through the net profit and so he is planning to set up a sales and promotion web site called taktical. com. The software itself will be unattached through a CD. To make the software more marketable he will need to employ some other programmers and designers.He is planning to work from home initially and he estimates his initial set-up costs to be as follows Software costs ? 4,000 E-commerce set-up and hosting ? 1,250 Design costs ? 950 He has allocated ? 3,600 for his merchandising budget, though he has not yet decided the most appropriate marketing methods to use. He has investigated carefully to see what other similar products are easy and believes he has found a niche in the market, though there are some oth er sailing simulation packages, but these are mostly game-style ones and not targeted at serious sailors.He feels that this is a premium product targeted at a small niche and so he is able to set a relatively high price. He has discussed this with sailing friends and it is fool that price is not very important in their decision about whether to buy the product. He is planning therefore to charge ? 65 for apiece CD produced. He expects the variable costs of each unit to be ? 2. 50 per CD produced ? 5. 25 for each manual produced ? 2. 25 cast/distribution costHe will be starting to sell the product at the start of bollix upch 2004 and expects sales for the first year to be Mar Apr May Jun July Aug Sept Oct Nov Dec Jan Feb Sales 15 20 25 45 40 35 25 10 10 45 15 25 He is going to approach the bank to humble to raise ? 10,000 start-up funding, but needs some help developing his business plan. Why not have a go at the worksheet or the quiz associated with this case study. Busin ess planning Case study Worksheet forwards starting this worksheet, make sure you have thoroughly read the case material.