Planning for Growth

PLANNING FOR GROWTH

Table of Contents
INTRODUCTION...........................................................................................................................3
LO1..................................................................................................................................................3
P1 Competitive advantage...........................................................................................................3
New product and services .........................................................................................................4
P2 Ansoff matrix .........................................................................................................................5
LO 2.................................................................................................................................................6
P3 Potential sources of funding for business ..............................................................................6
LO 3.................................................................................................................................................7
P4 Business Planning...................................................................................................................7
LO 4 ............................................................................................................................................10
P5 Exit and succession strategy ................................................................................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
The planning is the process of thinking and programming the activities that assist to
achieve the goal. This is considered as the forefront activities that has to perform before
organising the things (Jensen and Creinin, 2020). The purpose of plan is to evaluate the data and
identify the end goal, the planning for growth is focused on the expansion to that position where
an individual business is thinking to reach. This report will show planing opportunities for
Don't look further catering services owned by Margaret million. This will evaluate the SME's
consideration that are undertaken when determine the growth opportunities. It will assess the
current source of funding for the business. It will further develop business plan for the growth
that includes financial information and finding related to succession for SMEs with benefits and
drawbacks.
LO1
P1 Competitive advantage
The competitive advantage is developing with the use of resources and the capabilities of
organisation with the better utilization of resources. Their are two types of benefits and
advantage that are cost and differentiation. As the advantages can be availed when firm is
offering same kind of product as its competitive at lower price. The differentiation of product is
in a way that product are offering better level of satisfaction to its customers.
Porter's generic force: This contain three strategy to go above the average performance in the
industry. As there are two type of advantages in the market the lower cost and differentiation and
the combination of which firm uses to achieve (Bagheri and et. al., 2018). Therefore for this there
are three strategies that can be used by Don't look further catering services to achieve more
then average performance.
Cost leadership: The catering service can lower its cost as compared to industry. The catering
services is the industry where the cost varied so the structure of this industry is suitable for cost
reduction.
Differentiation: With the help of this strategic the catering company can develop an uniqueness
in its industry. It also assist the buyers to value the product with different dimensions so the
customer are also ready to pay premium price for the unique product of the company.

Focus : In this strategy the company can focused on the selective people of the society and seek
to take cost advantage in the particular segment of people another one is differentiation that
company can offer to the targeted people in the society (Jones, Harrison and Felps, 2018).
The Don't look further catering services can make use of any of this strategies to get
competitive advantage yet the most effective strategy for the catering services is cost leadership
as people are now preferring that product which is usually same as competitive but available at
lower price.
PEST analysis
With the help of external analysis the company can able to know about the political, economic,
social and the technological that can influence the profit of the company (Mahdi, Nassar and
Almsafir, 2019).
Political factors: As the government are restricting the catering industries so the Don't look
further catering services is also get influenced with the same. After the COVID-19 pandemic
period the people are preferring safety measures so the company functions are also being
influenced.
Economic factor: The industry is assist in the growth and if the economy is facing any issue than
they will influence the companies as well. In the time of COVID-19 many people has lost their
job and not have higher disposable income so inflation period came.
Social factor: The people in the society also influence and impact the profitability of Don't look
further catering services. As the catering services are now very common in the trend and people
are preferring more so this factor act as opportunity for the company.
Technological factor: the company can make use of different type of serving techniques in this to
attract the customers and get competitive advantages.
New product and services
The catering industry has to move with the trends and launch new products as well as
service regularly (Tao and et. al., 2018). Don't look further catering services is also trying to
launch new category of lunch so for that they will make use of product life cycle for the product
in the market. The product life cycle assist to explain the position of product from the
introduction to the removal. Firstly the product of catering service will introduced in the market