In the context of a business plan, what is a 'Market Analysis' primarily focused on?

A 'Market Analysis' in a business plan is fundamentally centered on examining the current and potential size of the market in which a business intends to operate. This involves understanding key aspects such as market demographics, customer needs, and the existing competition within the industry.

By identifying both the current market size and the potential for growth, business owners can make informed decisions about their target audience, pricing strategies, and overall positioning within that market. A comprehensive market analysis helps to justify the business's objectives and projections, providing evidence of potential demand for the product or service being offered.

This focus area allows businesses to tailor their strategies effectively, ensuring that they meet the needs of their customers while also capitalizing on opportunities for expansion or adaptation. Thus, option B captures the essence of what a market analysis seeks to accomplish within the context of a business plan.