Business Literacy for Equine Enterprises (Business Operations / 21st Century Skills)

Business Opportunity

A situation where a solution to a real problem is offered to a specific customer group in a way that they will pay for it.

Customer Segment

A specific group of customers with similar needs and buying behavior.

Value Proposition

A clear statement of what you deliver and why a customer should choose you over alternatives.

Demand

The willingness and ability of customers to buy a product or service at various prices.

Supply

The willingness and ability of sellers to provide a product or service at various prices.

SWOT Analysis

A tool used to identify Strengths, Weaknesses, Opportunities, and Threats of a business.

Feasibility Check

An assessment of resources, skills, legal permissions, and risks before investing in a business idea.

Market Analysis

The evaluation of customer segments, their values, competitors, and your differentiators.

Operations Plan

A plan detailing how services will be delivered, including daily tasks and staffing.

Marketing and Sales Plan

A strategy for raising awareness of services and converting interest into sales.

Fixed Costs

Expenses that do not change regardless of the volume of business, such as rent or insurance.

Variable Costs

Expenses that vary with the volume of business, like feed and labor.

Break-even Analysis

A calculation to determine how many units must be sold to cover fixed costs.

Risk Management

The process of identifying, assessing, and prioritizing risks followed by coordinated efforts to minimize or control their impact.

Elasticity of Demand

A measurement of how much the quantity demanded of a good responds to a change in price.

Equilibrium Price

The price at which the quantity demanded by consumers equals the quantity supplied by producers.

Shortage

A situation where demand exceeds supply, often resulting in higher prices.

Surplus

A situation where supply exceeds demand, often resulting in lower prices.

Customer Benefit

An advantage or value that a customer gains by using a product or service.

Competitors

Other businesses that offer similar products or services and vie for the same customers.

Capacity Constraints

Limits on the amount of product or service that can be supplied or produced.

Operational Procedures

Standardized methods for carrying out tasks efficiently and safely.

Contract and Waivers

Legal documents detailing terms of service and liabilities customers agree to.

Seasonality

Fluctuations in demand and supply caused by seasonal changes.

Price Signaling

How prices indicate the relationship between supply and demand in a market.

Hidden Costs

Expenses not immediately apparent, such as insurance and equipment maintenance.