24 Jan 6. Breakeven analysis

MGT660 Strategic Management

Strategic Plan Assignment

The ability to think strategically and make choices based on solid analysis and evaluation, in order to capitalize on achieving optimal results when applying limited resources of the firm, are at the core of this strategic initiative plan.Strategic initiatives act as the vehicle to accomplish strategic goals.Strategic initiatives translate vision into reality.The strategic management process enables organizations to achieve objectives through three stages: strategy formulation, strategy implementation, and strategy evaluation.

For this assignment, create a market entry plan (entrepreneurial), a market expansion plan for an existing organization, or a mergers and acquisitions plan that seeks to increase your organization’s competitive advantage.Your strategic plan should aim to innovate.Throughout the development of your strategic plan consider your organization’s responsibility in the greater social good from a Christian perspective and how your plan address ethics, cooperate social responsibly and sustainability.Globalization brings both benefits and challenges in the business sphere.Be sure to consider how globalization impacts your strategic plan and address any international considerations if needed. Your strategic plan will be completed throughout the course in Topic 1, Topic 3, Topic4, Topic 5, Topic 6, Topic 7, and Topic 8.Be sure to address instructor feedback when possible.

Part 5: Financials (Topic 6)

A projected financial statement analysis seeks to forecast the impact of various implementation decisions.The pro forma financial statement can be part of the risk analysis of strategic plan.The goal of this assignment is to ensure your strategic plan is viable financially.In other words, does it create value for the firm?

Consider the cost structure and revenue streams for your strategic initiative plan. Research and data collected so far and will likely change once your product or service is commercialized. Each statement should address financial components of features, expenses, and sales of your product or service. It is typical for net income to be negative at this point. Do not assume that you have sales at this point unless you have sold your product or service.

Research the following if your plan is entrepreneurial:

1. Balance sheet

2. Income statement

3. Statement of cash flow

4. Fixed and variable expenses

5. Startup expenses

6. Breakeven analysis

Research the following if your plan is a market expansion plan for an existing organization, or a mergers and acquisitions plan:

1. Balance sheet

2. Income statement

3. Statement of cash flow

4. Fixed and variable expenses

5. A projected budget

6. Breakeven analysis

Complete the “Projected Financial Statement Analysis (Pro Forma 3-Year Financial Plan)”including the “Questions” tab, “12 Month P& L” tab, “Year 1” tab, “Year 2 P&L” tab, and “Year 3 P&L” tab.The first year is monthly and the second and third year are presented quarterly.Please note the questions in the “Questions” tab may be answered at different points in completing the Profit and Loss information.

This assignment uses a rubric. Please review the rubric prior to beginning the assignment to become familiar with the expectations for successful completion.

You are not required to submit this assignment to LopesWrite.