Republic of the Philippines

Department of Education
MIMAROPA Region
Schools Division Office of Palawan
Coron Coastal District
CORON SCHOOL OF FISHERIES
Coron, Palawan

GRADE 9
QUARTER 1: WEEK 1
MODULE TITLE: FAMILIARIZING BASIC CONCEPTS OF ENTREPRENEURSHIP
Lesson 1: LO1: Explain the Concept of Entrepreneurship

ENTREPRENEURSHIP
 EXPLAIN THE CONCEPT OF ENTREPRENEURSHIP

This lesson discusses the concepts of entrepreneurship. It includes its meaning, objectives,
importance, and role to socio- economic development.

WHAT WILL YOU LEARN?

At the end of the lesson, you should be able to:
1. Give the importance of entrepreneurship; and
2. Explain the role of entrepreneurship in socio-economic development.

WHAT DO YOU ALREADY KNOW?

PRE-TEST
Let us find out how much you already know. Read and understand the items being described below.
Choose the letter of the correct answer on a separate sheet of paper.
Don’t forget to write your full name, subject, and date.
1. Which of the following is the index of entrepreneurship?
a. Developing small elite class
b. Transforming ideas into economic opportunities
c. Searching, identifying and developing raw materials
d. Innovating and developing new products and services

2. Which of the following is NOT closely associated with entrepreneurship?

a. Flexibility factors c. Change and creativity
b. Knowledge and innovation d. None of these

3. An entrepreneur is aware of ______________.

a. His family’s activities c. His business competitors
b. The way he carries himself in public d. The present demand for certain products or
services in his community.

4. It is a continuous economic process which recognizes the need to change.

a. Entrepreneur b. Entrepreneurship c. Enterprise d. Product life cycle

5. It is any activity which provides customers with a product (goods/services) with a view to making
a profit.
a. Enterprise b. Employment c. Economy d. Entrepreneur
 Definition of Terms

Words to Study

Economy is the system by which the production and consumption of goods and services is organized
in a country or community.
Employment is the state being employed or having a job; the occupation for which you are paid.
Enterprise is any activity which provides customers with a product (goods/services) with a view to
making a profit.
Entrepreneurship is the practice of starting new organizations, particularly new business, generally,
in response to identified opportunities.
Small Business is one that is independently owned and operated by the owner.

Entrepreneurship is the tendency of person to organize the business of his own and to run its profitably,
using all the qualities of leadership, decision making and managerial caliber etc.
Entrepreneurship involves not only the process that leads to the setting up of a business entity but also
the expansion and development of an ongoing concern. The study of entrepreneurship is concerned with
the entrepreneurial behavior, the dynamics of business set up and expansion and development.
The term “entrepreneur” is often used interchangeably with “entrepreneurship”. But conceptually they
are different.
Entrepreneurship is a continuous economic process which recognizes the need to change and an
Entrepreneur is a key person to initiate any change.
One of the current issues under consideration at the moment is “The problem of unemployment”.
As you can understand, the importance of getting work for all citizens has become a priority concern for
the government.
Entrepreneurship and Socio-Economic Development
Socio-economic development

 Transforming ideas into economic opportunities is the index of entrepreneurship. You only have
to be a keen observer of what is happening in your environment. There and then you can
formulate what business you can later engage in.
 Entrepreneurship is the capacity for innovation, investment and creation and expansion in new
markets, products and techniques. It has an extra ordinary feature which is the creation of
something new or something unique. It is also a new way of masking something out of
something that already exist thus, creating new markets.
 Economically, entrepreneurship invigorates markets. The formation of new business leads to
job creation and has a multiplying effect on economy.
 Socially, entrepreneurship empowers citizens, generates innovation and changes mindsets.
These changes have the potential to integrate developing countries into the global economy.
 Entrepreneurship is an important factor in economic development. This means that a country or
society with a lot of entrepreneurship would tend to be a productive community and thus produce
wealth and spur economic development.
 The following benefits that result from entrepreneurship explain why
development takes place when a society becomes entrepreneurial:

1. Entrepreneurship creates employment

When entrepreneurs put up a business, they often need to hire at least one or two other people
in order to get things done. In fact, some businesses employ hundreds and even thousands of
workers.

2. Entrepreneurship improves the quality of life

Entrepreneurs continuously innovate and develop new products and services based on what
they perceive to be the needs of the society. They also look for ways by which these goods and
services could be more efficiently produced. Such innovative efforts lead to better machines
and a more efficient production system. The development of new products and the delivery of
needed services make life easier and comfortable for society.

3. Entrepreneurship contributes to a more equitable distribution of income and therefore

eases social unrest.
By putting up an enterprise in the locality, entrepreneurs are actually dispersing the benefits
of development to other parts of the country.
When income is evenly distributed, entrepreneurship flourishes. People have more money to
buy the products and services they need, thereby bringing in more profits to entrepreneurs.
The eradication of poverty will help solve social problems like crime, juvenile delinquency,
and malnutrition.

4. Entrepreneurship utilizes resources for national productivity.

Our country will develop faster economically if all its resources maximized. For example, in
the rural areas we have vast agricultural areas for the production of cereals and vegetables. If
these areas are developed and used to the maximum, the government need not to import rice
and other cereals and vegetables. If these areas are developed and used to the maximum, the
government need not to import rice and other cereal products and other agricultural products,
thus, it saves much for the country.

5. Entrepreneurship brings social benefits through government.

With the revenues the government collect taxes, duties, and licenses paid by the entrepreneurs,
the government allocate the money to different services to the communities. These service
come in the form of infrastructure facilities such as roads and bridges, educational and medical
services and facilities, and maintenance of peace and order.

With the readings presented to you, you are now convinced that you can be an entrepreneur and
that you can help alleviate poverty in our country.
If u wish to start a business and become an entrepreneur, what will be your personal gains? List
of 3 Personal Gains:
 What would your community and your country gain if you establish a business and become and
entrepreneur?
Give at least 3 Personal Gains in your business (My gain, Community Gain and Country Gain)
by considering the table below. Write your answer on a separate sheet of paper.

My Businesses My Gain Community Gain Country Gain

1.
2.
3.

LET US REMEMBER

Entrepreneurship can bring valuable benefits such as self-employment for people, improvement in
goods and services, use of local raw materials, and increased income for themselves which help
improves the quality of life of the people.

Let us Apply What Have You Learned

Let Us Apply What Have You Learned

POST- TEST: Multiple Choice

Directions: Choose the correct answer from options under each item. Write the letter of the correct
answer on a separate sheet of paper.
Note: Don’t forget to write your full name, subject, and date.
1. Which of the following best describe entrepreneurship?
a. Has the capacity for innovation, investment and creation of markets, products and
techniques?
b. Empowers citizens, generates innovation and changes mindsets.
c. Creates employment
d. a, b, and c
2. The state of being employed or having a job refers to _________________.
a. Job creation b. employment c. occupation d. entrepreneurship
3. Every activity that an individual undertake in and out of the school prepares one to be productive
in the future. A productive individual is one who is _____________.
a. Able to make a living for himself in and out of the school prepares one to be productive in
the future.
b. Able to transforms ideas into productive endeavor
c. Able to influence others to engage in business
d. a and b
4. What happens when entrepreneurial activities slow down?
a. Unemployment
b. Improve quality of life
c. Increase tax revenues
d. Even distribution of income
5. Which of the following is the index of entrepreneurship?
a. Developing a small elite class
b. Transforming ideas into economic opportunities
c. Searching, identifying and developing raw materials
d. Innovating and developing new products and services
 6. It is the system by which the production and consumption of goods and services is organized in
a country or community?
a. Employment b. Enterprise c. Economy d. Market
7. It is the practice of starting new organizations, particularly new business, generally, in response
to identified opportunities?
a. Entrepreneurship b. Entrepreneur c. Enterprise d. Market
8. Which of the following is the index of entrepreneurship?
a. Developing small elite class
b. Transforming ideas into economic opportunities
c. Searching, identifying and developing raw materials
d. Innovating and developing new products and services
9. What happens when entrepreneurial activities slow down?
a. Entrepreneurship contributes significantly to the continuous improvement of living
standards.
b. Entrepreneurship helps the development of a handful of people getting rich through
enterprise.
c. Entrepreneurship activities slow down the country’s unemployment rates
d. Entrepreneurship provides an opportunity for making unproductive use of capital resources.
10. Which of the following is NOT true about entrepreneurship?
a. Entrepreneurship contributes significantly to the continuous improvement of living standards
b. Entrepreneurship helps the development of a handful of people getting rich through
enterprise.
c. Entrepreneurship activities slow down the country’s unemployment rates
d. Entrepreneurship provides an opportunity for making unproductive use of capital resources.

Directions: Determine the following whether is it “Entrepreneur” or “Entrepreneurship”.

____________11. Risk taking
____________12. Decision maker
____________13. Leadership
____________14. Initiator
____________15. Creator
 Republic of the Philippines
Department of Education
MIMAROPA Region
Schools Division Office of Palawan
Coron Coastal District
CORON SCHOOL OF FISHERIES
Coron, Palawan

GRADE 9
QUARTER 1: WEEK 2-3
MODULE TITLE: FAMILIARIZING BASIC CONCEPTS OF ENTREPRENEURSHIP
Lesson 2: LO2: Identify Desirable Characteristics of Successful Entrepreneur Based on PECs

ENTREPRENEURSHIP
LESSON 2
IDENTIFY DESIRABLE CHARACTERISTICS OF A SUCCESSFUL ENTREPRENEUR BASED ON
PECs

WHAT IS THIS MODULE ABOUT?

This lesson deals with the desirable characteristics of a successful entrepreneur based on the
behavioral indicators of Personal Entrepreneurial Characteristics (PECs) Cluster.
WHAT WILL YOU LEARN?
At the end of the lesson you should be able to:
1. Identify the desirable characteristics of a successful entrepreneur;
2. Explain and differentiate the cluster of Personal Entrepreneurial Characteristics (PECs); and
3. Recognize and differentiate the behavioral indicators of each cluster.

WHAT DO YOU ALREADY KNOW?

PRE-TEST
Task 1: Matching Type
Directions: Match the entrepreneurial competencies in column A with their meaning in column B. Write
the letter of the correct answer on the space provided before each number.
A B
____1. Creative A. makes wise decisions towards the set objectives
____2. Profit-oriented B. strategic thinking and setting of goals
____3. Disciplined C. trusting in one’s ability
____4. Sound decision maker D. adoptable to change
____5. Possess people skills E. innovates to have an edge over other competitors
____6. Excellent Planner F. solid dedication
____7. Confident G. skillful in record keeping
____8. Hardworking H. always sticks to the plan
____9. Ability to accept change I. work diligently
____10. Committed J. effective and efficient communication skills and
relates well to people
K. always looking for an opportunity to have/earn
income.

Do you have a strong desire to become a successful entrepreneur? Would you like to know if you have
what it takes to build a successful business?
 DEFINITION OF TERMS

Words to Study

Integrity – uprightness of character, Honesty

Innovation – acts of Introduction something new,
Obstacle – a Hindrance or Obstruction in either physical or moral sense
Opportunity – a favorable or advantageous circumstance
Passion – a powerful emotion, such as love joy
Persistence - act of persisting in any course or enterprise; perseverance
Risk – the possibility of suffering harm of loss

Characteristics and Qualities of a Successful Entrepreneur

Integrity – someone once said, “Right is Right even if no is doing it and wrong is wrong even if everyone
is doing it “We all hear stories about corporate greed and corruption. However, the truth is, successful
entrepreneurs are rated “being honest with everyone” the number one factor of their success

Self-discipline – to become a successful entrepreneur you have to be highly disciplined. If you are trying
to build a business from the Ground up, you will be faced with doing all the job functions of a company,
such as accounting marketing and customer service. You have to develop the ability to get things done,
even when you don’t feel like it. Luckily, you learn self-discipline with the right information and
conscious effort

People Skills – another critical factor among successful entrepreneurs is having good people skills. You
should make an effort to genuinely like, respect, and appreciate other people. The ability to win people
over will carry you far in all walks of life, especially your own business.

Strong Work Ethics – there’s no substitute for hard work when it comes to becoming a successful
entrepreneur. Most people want to do the fastest and easiest solution when it comes to work. To be
successful, dedicate yourself to persistent, productive, and old fashioned hard work

Passion – you need to be passionate about your business. This doesn’t necessarily mean you have to
build a business around something you love. You should identify a profitable market and then build your
business. Loving your business will also make it easier to get through the start-up phase, and other future
obstacle.

Strong Leadership qualities – being able to communicate effectively, motivate others sell your ideas,
and be decisive, are just a few qualities of a good leader. In order to become a successful entrepreneur,
you must dedicate yourself of improving your leadership and Abilities.

Competitiveness – competition is everywhere in business; it is the survival of the fittest. If you can out
market and outperform your competitions your chance of being a successful entrepreneur will be much
better. Play to win, but never sacrifice your integrity for the sake of a few bucks.

Well-organizes – one of the main reason why small business fail is lack of organization. Everyone can
learn organization skills with enough hard work, practice and persistence

Sales Ability – the ability to convince others to make a conscious decision is a key of becoming a
successful entrepreneur “People don’t buy for logical reasons. They buy for emotional reasons” being
able to appeal to other people emotions is the key to selling your ideas, products or services.
PERSONAL ENTREPRENEURIAL CHARACTERISTICS CLUSTER AND BEHAVIORAL
INDICATORS

Behavioral scientist and Psychologist who been studying Entrepreneurs found that successful
entrepreneurs all over the world have some characteristics in common they were able to identify ten
personal entrepreneurial characteristics (PECs) under the following clusters:

Achievement Cluster

Successful entrepreneur are people who accomplish things. They have what psychologist call the
‘’need to achieve’’ they want to perform tasks excellently not only for prestige or money but for the sake
of excellence itself. When entrepreneurial individual work on something, they like to know afterwards
that is was a job well done and this alone is enough to make them happy.

Achievers Rate High in the Following PECs

1. Opportunity-Seeking. An entrepreneur is said to be a good opportunity-seeker if he sees and

acts on new business opportunities and seizes unusual opportunities to acquire financing,
equipment, land and work space or assistance.

2. Persistence. A persistent individual is one who

a. Takes different actions to overcome an obstacle

b. Makes personal sacrifice or spends extraordinary efforts to complete a job
c. Sticks to his judgments in the face of opposition or early lack of success

3. Commitment to the work contract. The true blue entrepreneur is committed to the work that
he has agreed to do. When he accepts a job, he takes full responsibility for its completion. No
job is too small, too dirty or too difficult to be done. When necessary, he pitches in for workers
to get things done. He exerts extra effort to satisfy the costumer. In the end, if he fails he would
take full measure of the blame. But if he succeeds, he expects to get full credit.

4. Risk Taking – a gambles is a person who takes high risk and so he tends to lose all his money
and even shirts in the end. An entrepreneur is not a gambler. A successful entrepreneur takes
calculated, moderate, or reasonable risks where he perceives the chances for winning to be good.
In other words, he states a preference for situations that involve moderate risks.

5. Demand for quality and efficiency. A true entrepreneur is not satisfied with mediocre work.
He sets a high standard of performance the high standard of performance makes him act to meet
or exceed existing standards of excellence or improve on past performance. He strives to do
things better, faster or cheaper.

II. Planning Cluster

Going into business is the result of deliberate goal-setting, tireless information-seeking and
systematic planning and monitoring by the entrepreneur.

a. Goal-setting. An entrepreneur always thinks not only of what he wants to accomplish day to
day but also in one, two, or five years from now. In the words, he sets clear and specific short
and long term objectives. He thinks of today’s activity as a small step towards that which he
eventually wants to accomplish.
b. Information-seeking. As a careful planner, the successful entrepreneur always makes it a
point to seek information that is relevant and useful to his present or future business. He
obtains information from clients, suppliers, experts, competitors, contacts, and information
networks. He also consults experts for business or technical advice.
 c. Systematic Planning and Monitoring. The successful entrepreneur does not only set short
and long term goals. He does not only seek information regularly. He also systematically
plans and monitors his activities and performance. He develops and uses alternative and
monitors his progress. He is ready to switch to alternative strategies when necessary to
achieve his goals.

III. Power Cluster

The personal motto of successful entrepreneur is ‘’I can’’. He thinks that he can achieve things;
he can convince people to his way of thinking; he can influence the outcome of events. He is a natural
leader. He is decisive and he believes in his power.

a. Persuasion and Networking – a persuasive person who readily establishes a network or

personal business contracts around him usually makes a good entrepreneur. In order to
persuade others, the entrepreneur uses deliberate strategies. In order to accomplish his
business objectives, he uses network of useful friends and acquaintances.

b. Self Confidence – the entrepreneur exudes self-confidence. He strongly believes in himself

and his own abilities. No challenge is too difficult nor is a task too big that the entrepreneur
would indulge in self-doubt. When he enters a business, it is because he is confident that the
business would be successful and profitable.
Let us Apply What Have You Learned

Task 1
List your own PECs. Do you think you possess the PECs to become a successful entrepreneur? What
PECs do you still need to develop in order to become a successful entrepreneur? Why? Write your
answer on sheet of paper.
Task 2: PECs Checklist
Directions: Using the PECs checklist, assess yourself by putting a check (/) mark either strengths or
development areas column. Interpret the results by counting the total number of check marks in each of
the columns. Interpret the results by counting the total number of check marks in each of the columns.
Table 1 PECs
Personal Entrepreneurial Competencies (PECs) of an Personal Assessment in terms of:
Entrepreneur Strengths Development Areas
Hardworking
- Works diligently
Confident
- Self-reliance in one’s ability
Disciplined
- Always stick to the plan
Committed
- Solid dedication
Ability to accept changes
- Adaptable
Creative
- Innovative to have edge over other competitors
 Profit-oriented
- Always looking for an opportunity to have/earn
income
Excellent planner
- Strategic thinking and setting of goals
Possess people skill
- Effective and efficient communication skills and
relates well to people
Sound decision maker
- Makes wise decisions towards the set objectives

TOTAL

HOW MUCH HAVE YOU LEARNED?

POST -TEST
Multiple Choice
Direction: Choose the letter of the best answer. Write your answer in a separate sheet of paper.
Note: Don’t forget to write your full name, subject, and date.

1. What is PEC’s?
a. Personal Entrepreneurial competencies
b. Professional entrepreneurial competencies
c. Personal Entrepreneur Competition
d. Professional Entrepreneurial Commodities

2. Which personal characteristics of successful entrepreneurs reflects that successful entrepreneurs

work until the job is done?
a. Self- Confident c. Risk-taking
b. Persistent d. Goal-setters

3. A successful entrepreneur always makes it a point to seek information that is relevant and useful to
his present or future business.
a. Systematic Planning and Monitoring c. Information-seeking
b. Goal-setting d. Persuasion and Networking

4. Which personal characteristics of successful entrepreneurs reflects that successful entrepreneurs

want to make their own decisions, set their own schedules, and can work without supervision?
a. Risk-takers b. Self- confident c. Independent d. Goal- Oriented

5. Which personal characteristics of successful entrepreneurs reflects that successful entrepreneurs

use deliberate strategies, establish network or business contacts, uses networks of useful friends
and acquaintances in order to persuade others.
a. Systematic and monitoring c. Commitment to the work Contract
b. Information seeking d. Persuasion and Networking
6. Entrepreneurs are usually people with ideas, initiative and skills to lead and manage the business.
a. Power Cluster c. Achiever Cluster
b. Management Cluster d. Planning Cluster

7. A successful entrepreneur is flexible and creative. He/ She knows how to plan business activities,
make realistic decisions and set goals that are easy to attain.
a. Manager ability c. Planning cluster
b. Power cluster d. Achievement cluster

8. A Successful entrepreneur is the one who accomplish things, perform tasks excellently not only for
money but for the sake of excellence.
a. Manager ability c. Planning cluster
b. Power cluster d. Achievement cluster

9. An entrepreneur looks for people with special talents or skills to work and produce products that are
unique in flavor and appearance.
a. Opportunity seeker b. Risk takers c. Attention seeker d. Committed

10. Which is not considered a characteristic of an entrepreneur?

a. Risk-taker b. Persistent c. Irritated d. Hardworking
 Republic of the Philippines
Department of Education
MIMAROPA Region
Schools Division Office of Palawan
Coron Coastal District
CORON SCHOOL OF FISHERIES
Coron, Palawan

GRADE 9
QUARTER 1: WEEK 4-5
MODULE TITLE: PLANNING A BUSINESS
Lesson 3: LO2: Determine the Types of Business Plan

ENTREPRENEURSHIP
 DETERMINE THE TYPES OF BUSINESS PLAN
WHAT IS THIS LESSON ABOUT?
This lesson deals with the different types of business plan.
At the end of the lesson you should be able to:
a. Enumerate the components of a business plan; and
b. Determine and describe the different types of business plan;
Pre- Test
Let us find out how much you already know. Read and understand the items being described below.
Choose the letter of the correct answer on a separate sheet of paper.
Note: Don’t forget to write your full name, subject, and date.
1. The following are benefits derived from planning a business, EXCEPT:
a. Making a business plan can minimize or eliminate risk.
b. Making a business plan can make your business operation unproductive.
c. Making business plan can minimize the cost of production.
d. A business plan can also identify the defects of the business operation
2. These are the several factors to consider in selecting the location of your business. Which of
these factors are not included?
a. Cost and availability of land
b. The quality of the product
c. The availability of transportation facilities, communication, water, electricity and labor.
d. Behavior of the product
3. Business plan is best describe as a ____________.
a. A plan for a business on how it will be managed. It is a tool to represent a certain venture
anticipating its future.
b. An analysis and evaluation of a proposed project to determine its profitability.
c. An initial document that converts an idea or policy into the details of a potential project.
d. A document setting out a business’s future objectives and strategies for achieving them
4. It deals with the selling and buying activities of the business.
a. Management b. Marketing c. Dealing d. Endeavor
5. It is measured by economic benefits to the people living in the community and its vicinities.
a. Social desirability b. Project location c. Production Plan d. Behavior of the product
6. Entrepreneurs must consider the manufacturing process, plant size, production schedule,
machinery, plant location and layout structure.
a. Marketing study b. Technical Study c. Management Study d. Financial Study
7. The following are benefits derived from planning a business, EXCEPT:
a. Making a business plan can minimize or eliminate risk.
b. Making a business plan can make your business operation unproductive.
c. Making business plan can minimize the cost of production.
d. A business plan can also identify the defects of the business operation.
8. The component of business plan which identifies the available raw materials in your
community.
a. behavior of the product b. environment c. location of the business d. organizational plan
9. It is the process of setting up goals for a particular business endeavor and taking up steps to
achieve these.
a. business enterprise b. business planning c. business operation d. business expertise
10. Why is an organizational plan needed in planning a business?
a. To find out what products and services are available and which of these can be improved.
b. To coordinate the activities of the work force towards the company’s goals.
c. To determine the needs of the community.
d. All of the above
 LET US STUDY
WORDS TO STUDY
 Component is a constituent part of the business plan
 Feasibility Study is an analysis and evaluation of a proposed project to
determine its profitability.
 Marketing deals the selling and buying activities of the business.
 Project Summary deals with the introduction statement of the problem.

After having learned about the importance of business planning, you must know the different
types of business plan.

1. Feasibility Study
- It is created in order to minimize risk and to ascertain the viability of a project.
- It is merely an investigation but a frame work on how the operation of a business
project shall be accomplished.
- It is used to determine the potential success of a proposed business venture.
A feasibility study has a project summary which deals with the introductory statement of the problem,
the business name, the business logo, the business location, descriptive definition of the project and
objectives.
A feasibility study contains five major components, namely:
a. Marketing study
- The sufficient demands for the product as well as the competitive position of the firm in
the industry must be determined.
b. Technical study
- In this study, you must consider the manufacturing process, plant size, production
schedule, machinery, plant location and layout structure, raw materials, utilities and
waste disposal.
c. Management Study
- This involves on how the project shall be managed such as the business organization
including the organization chart and function of each unit management personnel, skills
and numbers of labor required.
d. Financial Study
- You should include the assessment of total capital requirements break-even outputs,
sales and sales prices, amount of sales required to earn a certain amount of profit and
the cash payback period.
e. Social desirability
- This is measured by economic benefits to the people living in the community and its
vicinities.

2. Concept Paper
- It is a written plan for a business on how it will be managed. It is a tool to represent a
certain venture anticipating its future.

The different parts of the concept paper are the following:

a. Introduction - This is the part that discusses the significant details of the product/service
and why the product/service is needed by the community.
 b. Objectives – This part gives the details of the business both specific and general.
c. Rationale – This part focuses on the advantages of putting a certain business.
d. Terms and conditions – In this part, specific agreement from particular to general things
are clarified.
e. Recommendations – This part is very important because it helps to improve the project
in the future.
3. Business Plan
A business plan describes the nature of the business, the sales and marketing
strategy, the financial background, containing a projected profit and loss statement.

Components of Business Plan

a. The environment – the needs of the people in the community should be identified.
b. Behavior of the product – You should know the market trends, product demand in the
community, the resources, quantity and quality goods in buying.
c. Location of the business – You should consider the place where customers prefer to
buy.
d. Organizational Plan – the needed workers in the business must be listed in the
organizational chart.
e. Production Plan- this involves the manpower, money, machinery, materials and
methods to be able to produce the desired output based on anticipated profit.
f. Financial plan – You as an entrepreneur need to determine the fiscal needs of the
business and the sources needed funds.

4. Project Proposal
This is the initial document that converts an idea or policy into the details of a
potential project.

The Essential Part of a Business Proposal

a. Executive Summary – The overview of the proposal from beginning to end should be
stated in the project proposal.
b. Justification – This emphasizes the need of the proposal
c. Procedure – The steps are being explained where to start and to end.
d. Objectives – The goals or targets of the business are defined.
e. Project Organization and Management - The manpower and function of each are
clearly stated.
f. Budget – You should determine the source for the input and output, the profits and the
loss of the business.

LET US REMEMBER:

A business plan unifies the different parts and activities of the business to achieve its goals and
objectives.
HOW MUCH HAVE YOU LEARNED?
POST TEST: Multiple Choice
Directions: Read the questions carefully then choose the letter of the best answer on a separate sheet
of paper. Don’t forget to write your full name, subject, and date.

1. Why is an organizational plan needed in planning a business?

a. To find out what products and services are available and which of these can be improved.
b. To coordinate the activities of the work force towards the company’s goals.
c. To determine the needs of the community.
d. All of the above
2. It is measured by economic benefits to the people living in the community and its vicinities.
a. Social desirability b. Project location c. Production Plan d. Behavior of the product
3. What components of business plan where Manpower, Machinery, Money, Materials, and Methods
belong?
a. Behavior of the Product c. Organizational Plan
b. Financial Plan d. Production Plan
4. It is an analysis and evaluation of a proposed project to determine its profitability.
a. Feasibility Study b. Business Plan c. Project Proposal d. Concept Paper
5. An entrepreneur should determine the source for the input and output, the profits and the loss of
the business.
a. Executive Summary b. Procedure c. Budget d. Project Management
6. Ms. Dela Pena wants to build her business in Guadalupe, first thing in the morning she visits the
community, conduct a survey/observation to identify the needs of the people. What components of
business plan is being applied?
a. Location of the business c. Behavior of the Product
b. The Environment d. Production Plan
7. Before starting her own bake shop Ms. Elena needs to determine how much money she needed
and the sources of needed funds for her business. What components of business plan is being applied?
a. Behavior of the Product c. Organizational Plan
b. Financial Plan d. Production Plan
8.It discusses the significant details of the product/services and why is it needed in a certain community.
a. Objectives b. Rationale c. Introduction d. Justification
9. The part of concept paper that focuses on the advantages of putting a certain business.
a. Introduction b. Objectives c. Rationale d. Terms and conditions.
10. The specific agreement from particular to general things are clarified.
a. Introduction b. Objectives c. Rationale d. Terms and conditions.
11. Entrepreneurs must consider the manufacturing process, plant size, production schedule, machinery,
plant location and layout structure.
a. Marketing study b. Technical Study c. Management Study d. Financial Study
12. It is the process of setting up goals for a particular business.
a. Strategy b. Goals c. Business planning d. Project Summary
13. This involves on how the project shall be managed such as business organization.
a. Marketing Study b. Technical Study c. Management Study d. Financial Study
14. It is on one of the essential part of concept paper where manpower and function of each are clearly
stated.
a. Justification c. Budget
b. Project organization and management d. Procedure
15. It determines the sufficient demands for the product as well as the competitive position of the firm
in the industry. What components of feasibility is being described?
a. Technical study b. Management study c. Marketing study d. Financial study
 Republic of the Philippines
Department of Education
MIMAROPA Region
Schools Division Office of Palawan
Coron Coastal District
CORON SCHOOL OF FISHERIES
Coron, Palawan

GRADE 9
QUARTER 1: WEEK 6-7
MODULE TITLE: PLANNING A BUSINESS
Lesson 4: LO3: IDENTIFY AND DESCRIBE THE STEPS IN PREPARING A BUSINESS PLAN

ENTREPRENEURSHIP
 IDENTIFY AND DESCRIBE THE STEPS IN PREPARING A BUSINESS PLAN

WHAT IS THIS LESSON ABOUT?

This lesson deals with the Steps in Preparing a Business Plan
At the end of the lesson you should be able to:
a. Identify and describe the steps in preparing a business plan; and
b. Follow the steps in preparing a business plan.

WHAT DO YOU ALREADY KNOW?

PRE –TEST
Directions: Choose the letter of the correct answer from the pool of words in the box then write it in
your answer sheet.
Note: Write your on answer on a separate sheet of paper. Don’t forget to write your full name, subject
and date.
a. business plan e. bloodstream i. production plan
b. capital f. organizational plan j. behavior of the product
c. financial plan g. risk k. conduct analysis/survey market
d. management plan h. business location l. goals

1. It serves as your guide in managing your enterprise.

2. Planning can minimize _____.
3. It identifies the duties and responsibilities of each staff/employee.
4. A marketing plan is considered the ______ of the office because it gives life to business.
5. An organizational plan is responsible on how to execute plan and _____of an enterprise.
6. A steps in preparing a business plan where an entrepreneur needs to secure the available
facilities in the area where he/she plans to build the business.
7. It is one of the entrepreneur’s problems and needs to finance a business.
8. It determines whether to buy or lease the equipment’s.
9. It determines what customer policies you will adapt, your goals, objectives and strategies you
will use.
10. A steps in preparing a business plan where an entrepreneur needs to determine if the product
and services will be in demand and if it can offer a better quality at a lower price to his/her
customers.
KEY POINTS TO REMEMBER
Basic Principles in Running a Small Enterprise are the following:
Planning must be realistic
Planning must be based on the needs of the community
Planning must be flexible
Planning must start with simple projects.

LET US STUDY
WORDS TO STUDY
 Scheme deals with the design of a project
 Adequate means enough supply of the product.
 Management involves the administration of a business enterprise.

If you already know the type of business you are planning to engage into, the following are the
steps which can help you in preparing a business plan that you must follow:

1. Make an evaluation of your personal resources, interest, available raw materials and
available specialized technical skills in your community. Create a name of your business.
Does it tell well about what you are selling? Is it easy to spell and remember?

These are guide questions to help you evaluate your personal resources:
 Are you interested in the business?
 Do you have sufficient funds?
 Do you possess management skills?
 Are raw materials available?
 Does the government give financial and technical assistance?
 Do you have good personal relations to the people?
2. Conduct an analysis or survey of your market.
 Who are your customers?
 What product or services will you offer?
 Is there a good demand for your product or service?
 Are the customers interested in the existing product or services?
 How many competitors are there in the market?
 How much is your estimated share in the market?
 Could you possibly offer a better quality product or service at a lower price?
 Is there a reasonable profit?
3. Select a proper business location.
 Is the location clean, decent and peaceful?
 Are there customers in the place?
 Are facilities such as electricity, water, transportation and communication
available?
 Is the place accessible to raw materials and other supplies?
 In case your first choice is not available, do you have a good alternative?
4. Make a financial plan.
 Determine your objective
 How much money will you need?
 What are your sources of funds?
  Does your budget determine how you will spend your money?
 How soon can you recover your investment?
5. Make a production plan
 Determine whether to buy or lease the production equipment
 Will you improve the quality of an existing product?
 Can your production scheme meet market demand?
 Do you have proper scheduling of production?
6. Make an organizational plan.
 Find out what type of organization is most suitable
 Are you acquainted with the laws, policies and requirement of your business
organization?
 Who will be your workers?
 What will be the duties and responsibilities of each?
7. Make a management plan.
 Write down your goals and objectives.
 Determine your strategies
 What customer policies will you adapt?
 What human resource development program will you undertake?
 What will be your program of social responsibility?
Being an entrepreneur, you must have an effective business plan. You should follow the steps in
preparing a business so that the data must be accurate and adequate. This will help you to choose the
appropriate and effective strategies to ensure success in your business venture.

LET US APPLY WHAT HAVE YOU LEARNED

ACTIVITY 1: Think of a simple business you want to engage in. Make a sample business plan
using a format below:
(Your simple business plan must be based on the major subject you are into. For example, in food
trades you can make your own cake as your business product.)

Note: Copy the format on a separate sheet of paper before answering.

Don’t forget to write your full name, subject and date.

Test II. Make Your Own Simple Business Plan.

Business Name: _________________________________________________________________
Location: _____________________________________________________________________
Introduction: ___________________________________________________________________

____________________is a registered business engaged in ___________________owned by

_________________________________________.
Business Goals are as follows:
a. The operation started on: ______________________________________________
b. The location could be reached by: _______________________________________
c. The business could be expanded by: _____________________________________
Table of Contents
Section I: The Business
1. Descriptions of the Business
The business is engaged in the distribution of or production of, or of servicing customers
________________________________________________________________________

2. Product / Services
The product/service is
__________________________________________________________________

3. Market
Production will be distributed in (mention primary and secondary market). The clients belong
to (description of the socio- economic level) The product is bought by clients for the following
reasons.

_____________________________________________________________________
4. Location of the business
The _________________________business is located at _________________It can be easily
reached by _____________________________________________.
5. Competitors are as follows: (State the name of the company, sizes and possible sales,
competitors price, quality, location image, strategies of selling and operations.)
____________________________________________________________________________
________________________________________________________________________

6. Price
The current price is _________. It is derived from the following factors (production cost and
marked up cost). _____________________________________________________
_______________________________________________________________________

7. Marketing Strategies:
The product will be distributed in the following manner:

_______________________________________________________________________
_______________________________________________________________________
8. Management
The management group is composed of the following (name, position, responsibility and
qualification)

________________________________________________________________________
________________________________________________________________________

9. Personnel
The personnel needed are the following (enumerate the type of work and their qualifications)
___________________________________________________________
_______________________________________________________________________
HOW MUCH HAVE YOU LEARNED?

POST TEST
Matching Type
DIRECTIONS: choose the answer in Column B to the questions in Column A. Write the letter of the
correct answer on a separate sheet of paper.
Note: Write your full name, subject, and date.

Column A. Column B.
1. Determine your objective a. Management plan
2. Determine whether to buy or lease the production equipment
3. What costumer policy will you adapt? b. Business Location
4. Is the location clean, decent and peaceful?
5. Are there customers in place? c. Market survey/analysis
6. Do you have good personal relations with other people?
7. Are you interested in the business? d. Financial plan
8. Who will be your workers?
9. Determine your strategies e. Management plan
10. How much money will you need?
11. Do you possess management skills? f. Organizational plan
12. Do you have sufficient funds?
13. What will be your program of social responsibility? g. Personal resources
14. Who will be your workers?
15. How many competitors are there in the market? h. Production plan

Additional Activity 2: Now that you have already learned the steps in preparing a business plan. In
the box below write at least 5 possible advantages and disadvantages of business plan. Write your
answer on a separate sheet of paper
Note: Write your full name, subject, and date.

ADVANTAGES DISADVANTAGES
1. 1.
2. 2.
3. 3.
4. 4.
5. 5.