Organic Pet Food

For the financial perspective, there should be targets for revenue, net income and contribution margin. Revenue is critical, because the company needs to bring in enough cash to conceivably run the business. Net income is profit, which is the objective of every business owner. Revenue target = $100,000 in the first year. Net income target = profit in the first year. Contribution margin is the amount of money that is left over after variable costs (in this case cost of goods sold) for the coverage of fixed costs. This target should be set at 20%, so as to leave some room for profit.

For the customer value perspective, three metrics are customer retention, customer satisfaction and brand recognition. Retention is a measure of how many customers are return customers. The target here can be 50% initially. Obviously return customers are critical for the long-term growth of the...
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