Planning for Growth: Key Considerations and Opportunities

UNIT 42
PLANNING FOR
GROWTH

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Analyse key considerations for evaluating growth opportunities..........................................1
P2 Evaluate opportunities for growth applying ansoff's growth vector matrix..........................5
M1: Options for growth.............................................................................................................6
D1: Critically evaluate specific options and pathways for growth.............................................6
TASK 2............................................................................................................................................6
P3 Assess potential sources of funding available to businesses with drawbacks and benefits...6
M2: Justification.........................................................................................................................9
D2: Critical evaluation................................................................................................................9
TASK 3............................................................................................................................................9
P4 & D3: Design business plan for growth that indicates financial information and strategic
objectives....................................................................................................................................9
TASK 4..........................................................................................................................................13
P5 Assess exit or succession options for small business with benefits and drawbacks............13
M4 Analyse the exit option for small business and contrast the options and make suitable
recommendations......................................................................................................................15
D4 Critically evaluate the exit option for small businesses and provide suitable
recommendations to support implementation...........................................................................15
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Planning for growth is termed as a strategic tool which is used by an organisation for
attaining objectives. It assist in inhaling options related to growth in an efficient manner.
Growth planning within is essential because it made the business expansion easier. It is highly
essential for an organisation for getting profitable results within specified period of time so that
firm also gain competitive advantage in their long term survival (Meck, 2020). Planning for
growth includes several activities that align with business to capture several options for higher
growth. This project report is useful to acknowledge various terms of growth planning in relation
to Don't look further catering services that is engaged in highly specialised catering services in
Lincolnshire. This firm also offers event planning services, gourmet dinner parties for sports
club like golf and cricket clubs where they fulfil clients requirements to plan party details.
Margaret millions owns Don't look further catering services where she buys food products from
high quality suppliers due to this they rated high price while selling to customers. This firm have
an effective market image that helps in capture the high opportunities in a small period of time.
For this it includes several various models, applications and business plan so that objectives are
to be attained on time and face complexities of market effectively.
TASK 1
P1 Analyse key considerations for evaluating growth opportunities
At the time of growth planning Margaret Millions focus on analysing the several key
terms so that high level of growth opportunities are to be captured that are presented below:
PESTLE analysis
In this firm must includes external environment factors that would present opportunities
for growth to company. For this pestle is to be included:
Political Factor- It defines as a factor which is related to government rules and
regulations due to which company stability situation is reflected (Baran, 2019). In terms of Don't
look further catering services, current political condition is not in favour due to Brexit. It is
officially implemented because a political uncertainty that is negotiations with European Union
is increased. It imposes threat for company because this uncertainty might refrain the long term
growth.
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Economic Factors- It reflects economic environment of country that directly impact the
operation of company. In UK, economy is slowdown that lead to high inflation that will impact
value of pound that create challenge for firm to operate and negotiate with suppliers (Xu and Li,
2019). Therefore it is a threat for business as they create issue of hardships in selling goods at
premium price.
Social Factors- It involves preferences, social culture, fashion etc. that impact company
and their offerings. In terms of Don't look further catering service, current consumers in UK
market have started to fall towards healthier, organic products that are also affordable to them. It
contains opportunity for company in developing products that satisfy consumers demands.
Technological Factor- In the world technological advancements is taken into
consideration that is also essential for company to focus. In Don't look further catering services
several advancements like robotics, automation in ordering foods are present which reflects
growth opportunity and useful in manufacturing and distributing process.
Legal Factors- It is necessary for Don't look further catering service to focus on
legislation (Mobin and Hijawi, 2020). For Food and event parties servives there are several laws
which is essential in UK to follow like Equality Act 2010, where company ensure that every
worker get equal pay according to capabilities. As this legislation present an opportunity for
company in enhancing image and operations.
Environmental Factors- This factor directly impact company production and
distribution process. In UK there are several rules which are imposed by government in relation
to environment protection. It creates opportunity to concerned company in this they ensure that
products are environment friendly.
Hence, it is analysed that above all factors are essential for company for determining
growth opportunities in effective manner. In relation with this there are several other framework
that shows reflection on this opportunities and threats that are discussed above in pestle analysis.
This framework is based on porters five forces model that helps in presenting the way an
organisation adopts to market their products and services for gaining competitive advantage so
that firm will sustain for a longer period of time. Hence, this framework is elaborated below in
context of Don’t look further catering services:
Porters Generic strategy
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