Strategic & Business Plan Development: BSBMGT616/617 Assessment

This report outlines the business plan principles for Gayndah Heritage Railway, focusing on market research, environmental analysis using PESTE and SWOT, customer targeting, advertising and promotion strategies, and adherence to regulations. It details financial planning, including funding sources ...Read More

Running head: PRINCIPLES 1
Business Plan Principles
Student’s Name
Institution Affiliation

PRINCIPLES 2
Business Plan Principles
The Market
The Market Research
Market Research of Gayndah Heritage Railway Rail Trail has assessed the viability of
new services to customers by conducting a proper enquiry that involved consumers directly. The
market research will enable the discovering of the target market and the record of various
opinion from the clients (Chambers & Humble 2017). Hence, the market research can be done
through various methods including product and services testing, focus group and surveys.
According to Chambers and Humble (2017) the market research can be break down into
numerous area such as market research process, market research data include both primary
information and secondary information. Gayndah Heritage Railway has adopted the business
outcomes of the market research into the business which has made it to grow rapidly in the
recent eons. The company history of the market analysis have been used to examine where it is
today and where it will be in the future has stipulated by (Chambers & Humble 2017).
Mission Target of the Organization
The mission target Gayndah Heritage Railway is to offer travelers in Gayndah District
with the most reliable, fun and innovative railway transportation system in the Queensland’s
citrus country classified by (Chambers & Humble, 2017).
Environmental Analysis of the Company

PRINCIPLES 3
The environmental analysis tactical tool for the successful of the Gayndah Heritage
Railway in the existing business environment is essential. Henceforth, both PESTE and SWOT
were used to investigated the mutually relationship between internal and external environment
and how their effect the business. The PESTE analysis consists of assessing of all level of the
opportunity or threats to the organization at the present (Chambers & Humble 2017). The threats
and opportunity can be changed into the decision making which lead to growth of the Gayndah
Railways in Queensland. The most used analysis in Gayndah Heritage Railway is the PESTE
analysis has it acts as the viewpoint of the business performance. It also helps to predict the
company performance in the same business in the future. The letters stands for political factors,
Economical factors, Social factors, Technological factors, Legal factors and Environmental
factors which can either affects the business internally or externally. On the other hand, SWOT
Analysis was used to determine the Strengths, Weakness, Opportunities and Threats of the
Gayndah Railway organization in its current environment (McKenzie, 2017).
Customers
The customers who will be served by the organization will be both locally and
internationally travelers from all over the world (McKenzie, 2017). However, the railway will
most served residents of Queensland’s citrus country on a daily basis. According to McKenzie
(2017) target customers can be motivated to use specific services or products of a given company
over the company competitors because of the accessibility and quality linked with the services
and products.
Advertising and Promotion of the Organization Services

PRINCIPLES 4
The advertising and promotion has been adopted by Gayndah Railway is less expensive
compered to methods used by corporate competitors. The Gayndah Railway will use direct
mailing, direct customers approach and television advertising which is the main channel of the
organization advertisement and services promotion. The company promotion approach will be to
communication with clients via direct mailings to increase its sales. The organization also has
additional promotion plans which include trade shows, print advertising and article publication,
and Val-Pak direct marketing.
Legislation, Regulations and Codes
The company will strictly follow the laws and order set by Gayndah District Railway
transportation system. The codes of conducts of workers will be monitored has per regulations of
transport authority and legislative guidelines of the country (Chambers & Humble, 2017).
Finances
The Gayndah Railways will obtain its funds from local banks around Gayndah District.
The organization will also borrow funds form international financial institution. The funds will
then be return to banks at an agreed interest. However, other sources of capital will come from
personal saving, capital acquire from sale of personal properties to venture in transportation
industry and, contribution from partners and friends.
Cost- Benefits Analysis

PRINCIPLES 5
The Gayndah organization Cost-Benefit Analysis will be done to analyze the decision
which business can make for its potential growth. The benefits of the company will be summed
up under the cost benefit analysis after every financial year.
Benefits of cost of the project
The cost-benefit analysis of the project is normally done to compile the lists of all cost
and benefits of the company. The cost include direct and indirect costs, opportunity costs,
intangible costs and the costs of potential risk which are associated with the Gayndah Heritage
Railway.
The Possible Benefits
The possible benefits of the project include the indirect and direct revenues, intangible
benefits such as the increase in company productivity from workers morale and safety. Also the
increased of sales from clients goodwill. In addition a general unit of monetary value can be
measured within the organization will be applied to all services list. Care will also be taken to
underestimate the costs or over approximate the benefits of the project. The company will take a
conservative approach as the most conscious way to avoid any subjective tendencies when
calculating estimated value of the organization benefits. The final phase in cost-benefit analysis
is the quantitatively comparison with the aggregate cost and benefits to enable the determination
of the benefits outweighing cost. The company will be making rational decision to make it
possible and easy for the business to move forward (Chambers & Humble, 2017).

PRINCIPLES 6
References
Chambers, I., & Humble, J. (2017). Plan for the planet: a business plan for a sustainable world.
Routledge.
McKenzie, D. (2017). Identifying and spurring high-growth entrepreneurship: experimental
evidence from a business plan competition. American Economic Review, 107(8), 2278-
2307.