Page 263 - Writing Winning Business Proposals

254 Appendix C

Proposal to ABC Company
February 29, 2XXX

Paramount Consulting
401 East River Run
Chicago, Illinois 606XX
Mr. Anil Gupta, Vice President February 29, 2XXX
ABC Company
234 Raintree Road
Midwestern, Illinois
Dear Anil:

Thank you for the time you and your colleagues have spent with us to describe in
detail ABC’s urgent need for additional capacity to meet anticipated market demand.
We have given your situation considerable thought, which we have reflected in this
proposal to develop a manufacturing strategy, the implementation of which will
provide the capacity necessary to meet forecasted demand. Our proposal presents
our understanding of your situation, our proposed methodology for developing
the most appropriate capacity plan, our qualifications for supporting you, and the
benefits we believe you will realize from our participation in this most challenging
engagement. As you requested, we have submitted separately our estimated fees,
the résumés of our proposed team, and references from similar projects.

The Situation at ABC
Over the past five years, household appliance shipments by ABC and your
competitors have been fairly stable, and only modest growth is projected over the
next five years in your mature industry (Figure 1).
Despite the relative stability of these shipments industrywide, ABC has managed
to increase its share of the household appliance market primarily by producing
high-quality products at competitive costs and by being responsive to customers’
needs. As a result, ABC has become a leader in the market and one of the premier
divisions within Consolidated Industries.
Your consistent record of success, however, may be threatened. Although your
market forecasts indicate that ABC can continue to increase market share, even
the conservative forecast clearly shows that projected product demand will exceed
your available manufacturing capacity in less than three years. Without adequate