Manalo, Katherine C.

March 12, 2023

ABM 12 - Diamond Inquiries, Investigation and Immersion

I.
1. Why is it important to make a feasibility study before starting a new business?

 It is important to make a feasibility study before starting a new business as it examines all the
aspects of a business to determine its success or viability. It aids in determining environmental
opportunities and threats, the resources needed for the project, and the likelihood of success.
2. What is the significance of ensuring the viability of a feasibility study?

 A feasibility study's viability can be used to assess how profitable a new business idea might be.
This will allow us to determine whether the company idea is worthwhile. Occasionally, a project
could be viable in one area but not in another.
3. Based on the discussion, what is the difference between Feasibility Study and Business Plan?

 A Feasibility Study is conducted to examine whether a business has a good chance of succeeding.
It is carried out first in order to know if the business will be viable before venturing into it. On the
other hand, Business Plan is a “roadmap” for the business that contains its objectives and
specifics. It is done after a feasibility study has been carried out.
4. As a student, what do you think is the reason why we need to evaluate the profit and potential of a new
business idea?

 As a student, it is important to evaluate the profit and potential of a new business idea to know if
it’s worth the time, effort, money and resources before venturing onto it. We must ensure that
before committing on a business, we have evaluated and seen the potential of it so that nothing
will go to waste.

II.
1. What are the important ideas that you can include in constructing your business description?

 The business description should contain the overview of the business such as its name, the
product, the location and how it is unique from the other businesses.
2. Give some of the characteristics that a business name should have and why?

 A business name should be unique, catchy, and easy to remember so that the customers can easily
find or remember your business and differentiate it from other products.

3. Distinguish the different types of business ownership and explain its differences to each other.

 Sole Proprietorship is the most common type of business ownership since it is simple and easy
to start. It is owned and run by only one individual, which means that there is no legal distinction
between the business and the owner. Unlike in Partnership, the business is owned by two or
more individual. Corporation is a legal entity owned by the shareholders that elect its board of
directors. Compared to Sole Proprietorship, it has a separate entity and can be for profit or for
non-profit. Lastly, Cooperative is owned by and operated for the benefit of those using its
services, which means that only members may use its assets and resources unlike in Corporation
that may be operated as a business to the general public.
4. What do you think are the benefits of having a unique business logo?

 Having a unique business logo helps customers to easily identify and differentiate your product
from one another. It catches their attention and curiosity which may result to them in buying the
products.

5. Explain the following:

Mission of the company
A statement that is usually part of the business plan which identifies the company’s purpose, what
it does for the customers and employees, and the reason why the business exists.
Vision of the company
A statement that is usually part of the business plan together with the Mission which states the
company’s goal or “vision” in the future. They are inspirational, big picture declarations of what the
company strives to be.