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Answers to Chapter Review Questions
1. Why are formal and informal proposals written? (Objs. 1, 2)
2. Why do government agencies make requests for proposals (RFPs)? (Objs. 1, 2)
Government agencies and many other firms use requests for proposals (RFPs) to solicit
3. Why might you use a "hook" in a proposal, and what is an example? (Obj. 1)
A hook is used to make your introduction more persuasive. Examples might include an
4. What should be highlighted in the staffing section of a proposal? (Obj. 1)
The staffing section should spotlight the credentials and expertise of the project leaders. It
5. In what two ways do formal and informal proposals differ? (Obj. 2)
6. Name eight components of typical business plans. (Obj. 3)
Typical business plans generally include the following: letter of transmittal or executive
7. What should a business plan mission statement include and how long should it be?
(Obj. 3)
A mission statement explains the reasons a business will succeed. It can be as short as a
8. Why are formal reports written in business? Give an original example of a business
related formal report. (Obj. 4)
Formal reports represent the end product of thorough investigation and analysis. They
9. What is a letter or memorandum of transmittal, and what should it include? (Obj. 4)
A letter or memorandum of transmittal introduces a formal business report. The transmittal
letter or memo (a) announces the topic and tells how the report was authorized; (b) briefly
10. How long should a typical executive summary be? (Obj. 4)
The length of executive summaries is usually 10 percent of the original report or article. A
11. Describe how to write an executive summary for a formal business report. (Obj. 4)
a. Look for strategic words and sentences.
b. Prepare an outline with headings.
12. What should be included in the introduction to a formal report? (Obj. 4)
The introduction should discuss the background, purpose, significance, and scope of the
13. What should the writer strive to do in the body of a formal report? (Obj. 5)
The writer should discuss, analyze, interpret, and evaluate the research findings or the
14. Why must writers list their sources and identify them in the text? (Obj. 5)
The purpose of references or works cited is to help readers locate the sources of ideas
15. In your view, what are six of the most important tips for the writer of a formal report?
Explain each of your choices. (Obj. 6)
Answers will vary, but students should discuss some of the following:
1. Allow sufficient time.
2. Finish data collection before beginning to write.
3. Work from a good outline.
Answers to Critical Thinking Questions
1. Which category of proposal, solicited or unsolicited, is more likely to succeed, and
why? (Obj. 1)
Sending unsolicited proposals carries a certain degree of risk because the author has to
work extra hard to convince the recipient that a problem exists. Solicited proposals respond
2. If you were about to launch a new business, would you write your business plan from
scratch or use a software program to do it? What are the pros and cons of each
method? (Obj. 3)
Business plan software could certainly be helpful in learning the parts of a business plan
and determining what goes in each section. However, many people say that no
3. What is the purpose of a business plan, and what should it communicate to investors?
(Obj. 3)
A business plan is a persuasive document, the purpose of which is to obtain funding. The
business plan should be prepared thoughtfully and thoroughly to show that the writer has
4. Compare these two very different mission statements: (a) An organization with five
people said that its mission was "to eliminate hunger in the world." (b) Actor and
social entrepreneur Brad Pitt, appalled by the sorry progress of rebuilding in New
Orleans after Hurricane Katrina, started a nonprofit organization with a mission "to
build 150 affordable, green, storm-resistant homes for families living in the Lower 9th
Ward." What are the strengths and weaknesses of each mission statement? (Obj. 3)
The first mission statement is impressive but uninspiring. Although concise, it fails to offer
any promise that it could accomplish such a totally unrealistic goal. Actor Brad Pitt's
5. Ethical Issue: How can a team of writers ensure that each member shoulders an equal
or fair amount of the work on an extensive writing project, such as a formal proposal
or report?
This is a nagging question in college writing teams and, no doubt, in the workplace as well.
Answers will vary, but for a productive collaboration and peace of mind in the group, it is
ZOOMING IN:
Writing Winning Proposals at Raytheon
Critical Thinking
Why are proposals vitally important to a company like Raytheon?
As is typical in the aerospace industry, Raytheon’s business is largely program-based. Both
large and small programs are based on customer evaluations of proposals submitted by
Ultimately, the quality of Raytheon’s proposals determines its ability to win competitions, and
its ability to win competitions determines how much money the company will be able to make.
How are proposals at Raytheon similar to and different from proposals or long reports
written by students?
Both student proposals and corporate proposals are:
Purpose-driven business documents
Student proposals are generally shorter and simpler than most corporate proposals. They also
are more likely to be written as an exercise by a single person, while corporate proposals,
Long reports and proposals at Raytheon are similar in format to proposals, and are:
Sometimes long reports at Raytheon are addressed not to customers but to a variety of
internal audiences. But they are always written to accomplish some serious business purpose
How can team members maintain consistency and meet deadlines when writing
important, time-constrained, multivolume documents such as this proposal?
In developing large, multivolume, team-written documents on tight schedules, many things
can go wrong either in the planning and management of the document development process
Enables authors who are not professional writers to develop sections that are accurate,
Enables these same authors to know what they have to say where, and how to do so at the
The next step is to implement this plan using a structured document development process that
provides the management controls and the author support that enables all of the above to be
ZOOMING IN
Your Turn: Applying Your Skills at Raytheon
Task 1 requires a short (3 to 5 pages) business report recommending a structured writing process to
be used for team-written company documents. The following is a suggested outline for this report:
1. Executive Summary summarizing the key points that follow (optional)
2. Introduction identifying the occasion for this report and outlining the need for an improved
5. Description of your preferred process saying why it is the preferred approach
6. Discussion of the resources needed to implement the selected process
A storyboard could be prepared providing detailed outlines for each outline entry or could be done
for multiple parts of the outline such as Sections 1, 2 and 8; Sections 3 and 4; and Sections 5
Task 2 requires a memo evaluating several (two to four) proposal consulting companies that
This memo should be in standard memo (or e-mail) form and should recommend a short list of
Ethics Check Solutions
Ethics Check, Page 475
Honesty Is Key
A business plan’s purpose is to help manage a company and raise capital; hence, it is a
persuasive document that must be accurate and honest. Whether the goal is to persuade a
lender or investors or whether it is the blueprint for running operations, the business plan
must be realistic. What are the risks of “fudging” numbers or sugarcoating potential
challenges?
To create buy-in from potential investors and to ensure the smooth management of the start-up,
solid research and an honest look at the strengths and weaknesses and the opportunities and
threats are necessary. After all, among the reasons for the failure of many start-ups are not
Ethics Check, Page 479
Cheater on the Team
If one of your teammates cowriting a formal report with you has been found to have
plagiarized a portion of your writing project, typically the instructor will punish the entire
group, assuming ownership of the entire team. After all, researchers are expected to deliver
a product that they have jointly prepared. Is this approach fair?
Answers will probably vary. Most instructors consider the team as a whole guilty of academic
dishonesty, whereas many students view their research tasks as work that they divide among
themselves and don’t perceive it as a coherent whole. Each group member assumes responsibility
for an activity—such as researching, writing, or editing—or team members write small sections
Photo Essay Solutions
Photo Essay, page 473
A business plan is critical for securing financial support of any kind, whether a bank loan, seed
money from an individual angel investor, or funds supplied by venture capitalists. A well-written
business plan also ensures that aspiring entrepreneurs have done their homework and know what
