Consider the following scenario when answer the short answer questions in this section.
Sarah has been working in the beauty industry for over 8 years, she has decided she wants to go into business and operate her own beauty salon. After considering her establishment options, she has decided to start a new business. She is now looking for a business location and is reviewing her responsibilities under the law and as a new business owner.
Question 2: Forecasting and budgeting (20 marks)
“Business managers need to use a number of forecasting and monitoring tools to successfully plan for the future and allocate resources efficiently.”
- Outline the process of strategic planning
- Examine the importance of completing a SWOT analysis as part of the
planning process for Sarah’s new business.
- Define budgets and describe the role they play in the planning process.
- Explain some forecasting tools Sarah could use in the business planning