As a group of aspiring entrepreneurs, you must create a business plan for an Agro-Processing business in any Caribbean country (not an existing business/company). Development and Production Plan Maintaining your output level in order to meet your customers' demands is a necessary skill. As a result, the following questions must be addressed: • Do I need anyone to assist in the production (you may want to be a bit more specific here)? • If special skills are needed, how can they be acquired and retained? • What are the total production costs? In order to estimate the cost of production you would need to do the following: • Identify all the inputs needed to produce and sell. • Calculate the cost of the production of a specific quantity that you can manage. • Identify production inputs under the following headings: Fixed cost: Costs that will be incurred regardless of the level of production. Variable Costs: Costs that are directly related to the level of production. The more goods produced, the more variable costs will be incurred and vice versa. N.B. Total production cost is the sum of all fixed costs plus all variable costs.
As a group of aspiring entrepreneurs, you must create a business plan for an Agro-Processing
business in any Caribbean country (not an existing business/company).
Development and Production Plan
Maintaining your output level in order to meet your customers' demands is a
necessary skill. As a result, the following questions must be addressed:
• Do I need anyone to assist in the production (you may want to be a bit
more specific here)?
• If special skills are needed, how can they be acquired and retained?
• What are the total production costs?
In order to estimate the cost of production you would need to do the following:
• Identify all the inputs needed to produce and sell.
• Calculate the cost of the production of a specific quantity that you can
manage.
• Identify production inputs under the following headings:
Fixed cost: Costs that will be incurred regardless of the level of
production.
Variable Costs: Costs that are directly related to the level of production.
The more goods produced, the more variable costs will be incurred and
vice versa.
N.B. Total production cost is the sum of all fixed costs plus all variable
costs.
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