EVALUATING THE EFFECTIVENESS OF BUSINESS PLAN APPROACH FOR FIRST TIME ENTREPRENEURS CASE STUDY: IBE SBM ITB

• Main Author: Khoironi, Arizal
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/78580
• Institution: Institut Teknologi Bandung

Indonesia has seen a rise in the number of entrepreneurs throughout these years. It makes a lot of the growth of new entrepreneur in various types of business. Although today many grow new entrepreneurs the fact remains that the majority of them fail in its first year. Looking at the high numbers of failures brings us to the questions of why so many businesses fail. One common reason is related to capital, of not having enough to begin with. Other popular reason favors the people behind the wheel, mismanagement. But all in all, it comes down to two things; planning and executing that will be developed in the form of a business plan IBE is a two-semester course in SBM ITB where students are divided into a group of 20 people, namely company, for the purpose of creating their own business. In the first semester, each company undergoes the business preparation stage. Usually it starts from idea creation, and then to feasibility study, vendor selection, product development, financial planning and finally pitching to investors, in this case, the bank affiliated with the program. In the second semester, the company is expected to execute their business plan and hurdled into a stage of selling frenzy to reach a certain amount of sales target. This research is a preliminary research into finding out the best approach for first time entrepreneur to start their business. The main objective of this research is to evaluate the effectiveness of business plan approach for first time entrepreneur to reach a desire product/market fit by evaluating the outcome of IBE program. It is important to know if the approach that used in the IBE program can generate product market fit so it can be produce a good business plan and worthy funded. According to result of this research revealed that the approach used in the IBE programs have not been effective to find a product market fit for their business. The result of program evaluation with using CIPP Evaluation Model proves that still a lack of understanding of the market, resulting in strategy and business plan being developed inaccurate and many changes when execution. And at the end of the IBE program, it turns out they are also still not get the products that fit the market, resulting in most of them do not continue the business. So, it necessary to a renewed focus on IBE programs that better understanding of the market, so it can produce more effective business plan that will make it easier to execution and future business progression