Mitigating Risk: Strategies for Number One at the Balmoral

The assignment content provides guidance on how Number One at the Balmoral, a fine dining restaurant, can minimize its risks and ensure successful operations. The main points are: training employees to handle everyday operations and avert disastrous situations; tapping into technology for safeguarding; maintaining facilities to minimize risks; adhering to safety and health codes. Additionally, the content outlines the company's mission, vision, objectives, products, financial estimation, facilities, marketing and sales programs, market segmentation, and market analysis summary. The restaurant aims to target families and upscale clientele in the UK, with a focus on providing high-quality food and unique products. The assignment also highlights the need for expansion, organizational structure, and marketing strategies.

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Planning for growth (Assignment 1)

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Table of contents
Section 1..................................................................................................................... 3
Business report........................................................................................................... 3
References..................................................................................................................9

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Section 1
Section 1 will be consisting of the individualized business report, and the other
section 2 will consist of the comprehensive business plan. The business that has
been taken into account for carrying out this study is a small restaurant. The
restaurant that has been considered for this business report and business plan is
"Number One At The Balmoral."
Business report
1. Introduction of the business
The restaurant Number One at the Balmoral is located at Edinburgh, in the
United Kingdom. The restaurant is quite unique, and it has world-class cuisine
and memorable flavors. The cuisines of the restaurant consist of British,
European, and Scottish. It is the fine dining restaurant and the executive chef
namely Jeff Bland tends to give special attention on the dishes that are creative
for promoting the culture and heritage of Scotland by using the freshest and finest
ingredients of Scotland. The owner of the Number One at the Balmoral is Rocco
Forte Hotels. One of the main philosophies of this restaurant is developing a
distinctive approach to service and a certain sense of style for their customers
who do not know the city quite well as they do (Hollensen, 2010). They also try to
bring their expertise and attention to detail for their guests in a warm and natural
manner. Number One at the Balmoral is one of the finest restaurants in
Edinburgh. Nonetheless, the restaurant is also an expert in presenting an
innovative blend of French and Scottish flavors. Not Only they are expert in

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providing excellent cuisines to their customers, but they also have mind-blowing
interiors that consist of the original artworks straight from the Royal College of Art
that makes the restaurant much more appealing as well as they also stand out
from the crowd.
The mission of Number One at the Balmoral is:
- The main goal of the restaurant is to be of the most successful and finest
restaurants in the entire U.K.
- Number One At The Balmoral also focuses on high-quality food at an
affordable price range for their consumers
The vision of Number One at the Balmoral:
- One of the main vision of the restaurant is to serve happiness to their
consumers via the quality meals, delicious as well as the extraordinary
experience of the restaurant
- Another vision of the restaurant is working hard towards great food for their
community, employees and the environment (Salmon and et al., 2014)
2. The competitive advantage of the business
It has been observed that there are some of the competitive advantages for Number
One at the Balmoral. Firstly, one of the main competitive advantages of the
restaurant is the culture. The culture of the restaurant is one of the main sustainable
competitive advantages because it is the foundation on which the other sustainable
competitive advantages will come from. Culture is one of the strongest competitive
advantages of Number One at the Balmoral. The purpose of being in the restaurant
business is defined by the passionate desire of Number One at the Balmoral for

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making a difference in the consumer's lives via the human experience of eating
(Wilson and Gilligan, 2012). The emotional restaurant connection of the hospitality
and the simulation of all the senses and then Number One at the Balmoral got a
recipe for the extraordinary culture. Secondly, the internal process of the Number
One at the Balmoral is another source of competitive advantage. Some of the
processes of this restaurant consist of Procedures, the sum of each and every
system, as well as the technologies that make their restaurant shine more than the
other restaurants. The competitive advantage of Number One at the Balmoral in
terms of process is gained by them by Efficiency, consistency, and predictability. The
efficiency and the consistency are achieved by Number One At The Balmoral via
routine, systematic process has become one of the main sources of their competitive
advantage as it tends to affect their quality as well as the predictable result of the
experiences of their consumers. Number One at the Balmoral took vision for creating
along with the discipline and time for executing but this is why they work so well as
competitive advantage. It will also help to scale the business of Number One at the
Balmoral and offer them an opportunity for expanding their operations in a quick
manner. Thirdly, the location of the restaurant also acts as one of the major
competitive advantages for them. The location that they have considered for their
restaurant is quite visible and has a consumer base that is suitable. Number One at
the Balmoral has analyzed their local competitions after they had chosen their
location (Stead and et al., 2011).
3. The opportunities available for Number One At The Balmoral
There are two types of opportunities that are available for Number One at the
Balmoral, and those are internal and external opportunities. The business models of
Number One at the Balmoral provide them with an excellent opportunity for investing

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a lot of money into their local economies when contrasted with the healthy food
chains. It has been noticed that this restaurant pays a high amount of hourly wages
than the other traditional food chains in the area. It will provide an excellent
opportunity for them to attract a lot of qualified and experienced applicants of the job
that will in return boost their service as well as product quality to a great extent. On
the other hand, the external opportunities highlight the fact that the tastes and
preferences of the people in the U.K. are changing at an alarming rate as they are
becoming a lot more aware and conscious about the health risks that are associated
with the fast foods that are quite popular in the recent times. Hence, in this segment
Number, One at the Balmoral has the brightest opportunity to serve their consumers
with healthy options over the fatty processed foods.
4. Selection and justification options for growth of Number One At The Balmoral
by applying the Ansoff Growth Vector Matrix (consisting of the risks)
The Ansoff matrix tends to allow the marketers for considering the ways of growing
the business via the new or existing products in the new or the existing markets.
Market penetration- pricing is clever, speedy service and varieties in cuisines in
terms of providing healthier food items with innovation
Product development- Gluten-free options, vegan options, and vegetarian-friendly for
the vegetarian and on the other hand providing non-vegetarian food items by
cooking in a healthy manner
Market development- They have a strong presence and exceptional culinary services
from a very long time. Furthermore, the restaurant also has an innovative blend of

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French and Scottish flavors with a tough of healthy ingredients in everything (Hutt
and Speh, 2012).
Diversification- Wheelchair accessible, the variety of cuisines such as British,
European and Scottish, and creative French dishes. They will be diversifying their
menu by combining high energy density foods with good fats.
The top risks for Number One at the Balmoral are as follows: Untrained workers,
natural disasters, bad reputation, food storage, and fire safety.
5. The proper source of finance for the business
Two sources of finance for Number One at the Balmoral are the Bank, and another
one is friends and relatives.
Bank- It is one of the prominent sources of financing for Number One at the
Balmoral. The bank loans can be one of the most commonly used sources for
funding their business. Generally, Number One at the Balmoral must know the
bankers who are looking for firms with a good track record and also have excellent
credit. A solid business plan is also one of the necessary requirements for granting a
bank loan.
Friends and relatives- They are one of the best sources of funding for the Number
One at the Balmoral. Expectations need to be set with regards to the type of
investment. The restaurant must take professional legal counsel and then forge a
written agreement when they want to expand their business with family and friends.
6. Recommendations and conclusion for Number One At The Balmoral

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Inform of recommendations Number One at the Balmoral may consider the following
points for expanding their restaurant business. Firstly, the restaurant has to consider
whether their present model is giving them enough profit or not. If the answer is yes,
then they must identify the based factors, whether this type of factors can be
simulated at a new venture or not. For instance, it has been observed that the
present location is one of the main factors in their competitive advantage. Therefore,
as the restaurant is successful in that location, then they must not consider opening
another one in the same location. Secondly, planning and market research is
another element in expanding the business any further. They must consider
conducting demographic survey and market research for identifying their consumer
base, and they must make sure that they are catering the right consumers. Thirdly,
financial planning is another component that must be considered by the restaurant.
Number One at the Balmoral may consider entering into partnerships for making the
investments more affordable in nature. Lastly, Number One at the Balmoral must
consider robust central management; without this, they cannot grow in a profitable
manner. They can keep a record of their inventory needs, and the ERP software can
handle the entire central management. On the other hand, there are some of the
ways by which the Number One at the Balmoral can minimize the risks that have
identified earlier (Hillier‐Brown and et al., 2017). Firstly, the restaurant must consider
training their employees as they handle their everyday operations so they can help
them to avert disastrous situations if they get proper training. Secondly, the
restaurant must consider in tapping into the technology as it is the medium that can
be used for safeguarding the business. Thirdly, maintaining the facilities may also
help them to minimize their risks such as keeping a clean kitchen, taking extra

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precautions in winter and cleaning the clutter. Lastly, Number One at the Balmoral
must adhere to the safety and health codes (Wang and Pizam, 2011).

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References
Hollensen, S., 2010. Marketing management: A relationship approach. Pearson
Education.
Hutt, M.D. and Speh, T.W., 2012. Business marketing management: B2B. Cengage
Learning.
Wang, Y. and Pizam, A. eds., 2011. Destination marketing and management:
Theories and applications. Cabi.
Wilson, R.M. and Gilligan, C., 2012. Strategic marketing management. Routledge.
Hillier‐Brown, F.C., Summerbell, C.D., Moore, H.J., Routen, A., Lake, A.A., Adams,
J., White, M., Araujo‐Soares, V., Abraham, C., Adamson, A.J. and Brown, T.J., 2017.
The impact of interventions to promote healthier ready‐to‐eat meals (to eat in, to take
away or to be delivered) sold by specific food outlets open to the general public: a
systematic review. Obesity Reviews, 18(2), pp.227-246.
Stead, M., McDermott, L., MacKintosh, A.M. and Adamson, A., 2011. Why healthy
eating is bad for young people’s health: Identity, belonging and food. Social Science
& Medicine, 72(7), pp.1131-1139.
Salmon, S.J., Fennis, B.M., de Ridder, D.T., Adriaanse, M.A. and De Vet, E., 2014.
Health on impulse: When low self-control promotes healthy food choices. Health
Psychology, 33(2), p.103.

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Section 2: Business Plan
Executive plan, mission, and vision
• There are some of the business objectives of Number One At The Balmoral
such as: Being the best vegetarian as well as non-vegetarian fine dining
restaurant and expanding their outlets in the upcoming years if they are
successful (McKeever, 2016)
• The mission of the company is to be one of the most successful fine dining
outlets in the U.K.
• Main factors that lead them towards being successful in creating innovative
and unique foods for their consumers
• The portions will be less than the other restaurants but being a fine dining
their aim will be generally providing high-quality foods to their consumers
Objectives
• The Number One At The Balmoral intends to target the families
• The company aims its next new location at an attractive place that will range
in size from 50-70 meter square, and there will be a minimum number of
consumers in this new location because it is an exclusive restaurant
• Combining the corporate marketing strategies for building the volume quickly
• They will have the formal atmosphere and will have fancier menu than the
other restaurants
• Maintaining and expanding the outstanding reputation of the restaurant further

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• Creating an atmosphere where each person can work as a team member with
high standards and clear goals that profit everyone
Products of the restaurant
• The products of the company will include some other best cuisines of the
world which are highly demanded by the consumers
• They will introduce the Belgian style fries, and it will be served with different
sauces such as Satay sauce, Pesto Mayo, lava cheese, and the Jalapeno
Ketchup, cheese tuiles, fish with white asparagus, morels and turbot, red
mullet, saffron risotto, and cherry dessert
• They will also introduce the fusion concept in their cuisine with ultimate
sophistication
• Their raw materials will be delivered on a weekly basis by their distributor from
the U.K. itself.
Financial estimation
Expenses
Fixtures and kitchen $21,500
Legal $2,500
Interior and furniture $18,000
Stationary and packaging $9,000
Rent $20,000

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Contingencies $10,000
Total expenses $81,000
The requirement of cash $90,000
Long-term assets $0
Other current assets $0
Total requirements $171,000
Facilities of the restaurant
• Tourist destination
• The restaurant will also be easily accessible from prime locations such as
airport
• The large percentage of families in the community
The management team and organizational structure
• The restaurant has a creative team of owners.
• The company is quite large, so they require a simple organizational structure
• The company is also planning to expand in the future, and each of the
locations will have a basic site manager.
• The possible positions that will be added later are the controller, marketing
manager, and administrative support team.

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The need for expansion
Marketing and sales programs
• Each and every opening of Number One at the Balmoral will have a similar
marketing mix similar to others. Some of the programs will include: Grand
opening, direct mail piece, and the point of purchase (McKenzie, 2015)
• Their future products will be some of the other signature cuisines and pizzas
• Number One at the Balmoral is targeting the families and upscale clientele of
the U.K. as their basic market. The secondary market segment is the working
professionals of U.K.
Market segmentation
• The Number One At The Balmoral intends to serve the families and high
profile clients (Mullins and Komisar, 2010)
• The secondary target is between the age of 30 and 40 which is regarded as a
heavy restaurant visiting group
• The lunch strategy by Number One at the Balmoral is dual purposed. It is the
reason that the restaurant is targeting to feature the wine lists and sommeliers
for the U.K.’s craving towards the fast food
Market analysis summary
• The market trends of the U.K. in recent times indicate the fact that people
want to switch their lifestyle from fast food towards healthy food, so they have
to keep this in their mind

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• As per survey U.K. have the tendency for eating out, and it is likely to increase
so Number One At The Balmoral will have a bright opportunity in fine dining
• There is fierce competition in the U.K. market in terms of fine dining so they
will have to make more unique products than before

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References
McKeever, M., 2016. How to write a business plan. Nolo.
McKenzie, D., 2015. Identifying and spurring high-growth entrepreneurship:
experimental evidence from a business plan competition. The World Bank.
Mullins, J.W. and Komisar, R., 2010. A business plan? Or a journey to plan
B?. MIT Sloan management review, 51(3), p.1.