A young entrepreneur wants to launch an auction-based Web site where companies with excess inventories would be able to off-load their merchandise to consumers, while consumers would have selection and affordability with one-stop shopping for a variety of goods. Before presenting his business plan to investors he must undertake a thorough analysis by evaluating the attractiveness of the market, examining the viability of the business model, determining the magnitude and nature of resources required, evaluating the quality of the management team, and determining the type of financing deal required.
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