A small part of business aspect

1.  Why are small businesses important to the Cambodia economy?

Answer: Because small business can employ a lot of people who have a simple ability to work. It can make their life much better than ever because they have a job which can support their own life and family.

Additionally, small business can also reduce the unemployment rate which play an important role in our country. Plus, if a small in Cambodia tend to work properly, it will attract a huge amount of foreigners to invest in our country since our country has been developed dramatically from year to year. Yet, small business can provide us many available goods and services which we may really need in our daily activity. More importantly, small business can make us grow and develop even further by having more opportunities to enlarge the operation into a big business corporation and work all across the country.

2.     Describe the key components of a business plan. Why is it important for a new start-up to create a business plan?

Answer:  -    Setting goals and objectives

-       Sales forecasting

-       Financial planning

It is important for a new start-up to create a business plan because it is a good way to build the fundamental business plan as it might help to reduce risk and increase the efficiency and productivity of the company.

3.     What are the primary reasons for new business failure and success?

Answer:

·       Failure:

-     Poor management

-       Neglect / carefree

-       Weak control system

-       Insufficient capital

·       Success

-       Hard work, drive, and dedication

-       Market demand

-       Managerial competence

-      Opportunities 

4.     Would you prefer to buy an existing business or franchise, or start from scratch? Why?

Answer: Personally i would prefer a franchise business since it is a shortcut to success than any other businesses especially less likely for risk to occur or even go bankrupt; on the same way customer demand would be high if the business is already successful. It is easy to import or export to another country because we may have an international partner to collaborate with. For advertisement, we are cooperative advertising so then we can advertise the business both local and international which make the business become more popular and attractive in the way it look. On the other hand, the quality of the business will exist in a high standard plus a classy management and control. In contrast, i should pay a good attention to this franchise business because the brand name is very expensive and i have to pay part of my dividend to the original business owner as well.