When is it particularly necessary to prepare a business case?

Preparing a business case is particularly necessary when launching a new product line because it serves as a comprehensive document that outlines the rationale for undertaking the project. It evaluates the potential benefits, costs, and impacts of the new product on the organization as well as the market. This is crucial to ensure that stakeholders can assess the viability of the new initiative, allocate appropriate resources, and minimize risks associated with the launch.

In the context of a new product line, a well-prepared business case will consider factors such as market demand, competitive analysis, customer needs, financial projections, and capacity for production and distribution. This level of analysis is vital to obtain buy-in from executives and stakeholders, as it clearly presents the strategic importance of the new product and guides decision-making throughout the project lifecycle.

In contrast, while the expiration of an existing contract might pose a need for assessment, it doesn't inherently require a new business case unless it directly influences strategic decisions or the introduction of new initiatives. The same goes for high employee turnover and new market entrants; while these are significant events, they don't necessarily warrant a business case unless they trigger specific strategic responses requiring detailed evaluation.