Case Study of Small Business, Opportunity Innovation and Entrepreneurship

This case study explores the importance of identifying business opportunities and innovation in the context of a small restaurant in the UK. It discusses key market trends, the development of the business and product, and the feasibility of the study. The study also highlights the role of entrepreneurship in driving business growth.

Case Study of Small
Business, Opportunity
Innovation and
Entrepreneurship

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
Identification of business opportunity with key market trends...................................................1
Development of the business and product...................................................................................3
Justification and feasibility of the study......................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Innovation refers an action as well as process of making a product or ways of processing
unique than others (Nambisan and et.al., 2017). This present study of opportunity and innovation
is based on the Red and Blue restaurant. It is a small restaurant in United Kingdom which is a
part of this hospitality sector. This study is going to show importance of identifying business
opportunity with identification of key trends. It helps organizations in taking competitive
advantages and developing business. Further, it will also show feasibility of this study as well as
some features of new business which can make it feasible.
MAIN BODY
Identification of business opportunity with key market trends
For developing business and making the new product development successful, it is
important for this company to identify business opportunity. One of teh main purpose of
knowing business opportunity is to develop the new idea in an efficient manner and according to
opportunity. For identification business opportunity, it is important for this restaurant to focus
on market trends and business environmental factors such as:
Opportunity: In the context of food and beverage industry of UK, it is analysed that this
sector is considered one of the biggest sector in the UK. This country has several innovators and
exporters. It is also stated that UK has excellent export facilities. Currently, its half of food
products exporting heads to EU nations and the EEA remains the UK’s most important export
market (UK Food and Drink: Threats and Opportunities, 2018).
Threats: One of the main threats which is identified that UK does not produce its own raw
materials and for producing food products, it require importing raw materials. It can increase
overall cost. Due to some changes in political and legal factors like increasing rate of tax can
create several other problems. It can increase overall operational cost. So, from this analysis, it
can be said that it is important for The red and Blue restaurant to focus on this factor (Nawawi
and et.al., 2017).
Consumer needs: It is other main important element and factor which need to be
considered and known by this restaurant in order to develop business and take business
1

opportunities. In this context, it is identified that customers of the UK in food and beverage
industry are becoming healthier and they invest heavily in this sector due to their busy life. On
the other hand, it is also identified that in this sector consumers have more bargaining power. It
can create several problems for this restaurant as it can lower profit margin. But by using
effective pricing strategy and using qualitative products, it can increase sales.
Competition: It is other main element which can lower profit margin as well as sales. In
this context, it is identified that UK has several popular brand such as McDonalds, Burger king
and other who are providing qualitative food products to customers. On the other hand, it is also
identified that pricing of these organizations high. Customers tend to buy food products at
affordable prices.
For taking all business opportunities, it is also important for this restaurant to analyse its
own strengths and weaknesses of business idea. From analysis some strengths and weaknesses is
being identified which is:
Strengths
Features of puffed snacks: The red and blue restaurant is going to offer puffed snacks.
This food product will provide value to people as due to a busy lifestyle consumers are becoming
more and more interested in packaged snacks. By providing food in high-quality packaging to
the consumers so that they can have it on the go can improve their health and make them able to
concentrate on their other work. This food product is a highly profitable trend which can be a
business opportunity as it can increase the sales of packaged food products of the restaurant
(Lord, Flores Elizondo and Spencer, 2017).
Other main strength of this restaurant is it has skilled workforce and members which can
help it out in taking competitive advantages.
Weaknesses
 Main weakness of this restaurant is it does not have financial stability or lack of
finance is main weakness.
 Lack of technical staff.
 Limited process flexibility is other weakness.
2

Development of the business and product
One of the main aim of the Red and blue restaurant is to improve health of people so, it has
decided to offer puffed snacks to people. For developing business, it is important for this
restaurant to analyse effectiveness of its business idea. In this context, it can also be said that it
will analyse promotional and deliverable approaches and strategies in order to provide the best
value to customers and make them feel valued. The main reason of developing puffed snacks is
to help all busy people and making them fit (Bondarenko and Nizyayeva, 2016). Nowadays
people are becoming busier in their fast life as they even do not have time for having breakfast,
lunch and dinner. It affects their health by which they eventually become weak and cannot focus
on their work. So, it is important for them to have healthy food so, The Red and Blue restaurant
will help them out by providing puffed snacks as they can have such kind of food on the go due
to their busy life. They will not have to spare specific time for having it. So, from this example
and aim of the developed products and innovation in the product, it can be said that this business
and product have ability to make it successful.
Paid customer user programme: For more developing the business, it also will create
customer user programmes. As per this programme, it will invite customers by using social
media platforms and will influence them to join VIP’s member club and pay either monthly or
annual fee. By doing this, it can develop its business but for this it is also important for this
restaurant to market it to its existing customers. For making this program effective, they also
need to include member-exclusive benefits.
Marketing strategy- It is also important for The red and Blue restaurant to use all
elements of marketing such as place, price, products and promotion. One of the main reason of
using marketing mix elements is to develop own business by comparing elements with others
and than make changes in own strategies accordingly.
Products: Puffed snacks is its product and new develop idea which it will offer to
customers and provide them value.
Price: In this context, it can be said that this restaurant will make an effective use of penetration
pricing strategy which will help it out to take competitive advantages and attracting wider range
of customers (Begum, Yavuz and Piotr, 2020).
Place: In the regards to place, it can be said that The red and blue restaurant is going to
provide this food product online and in store both ways.
3

Promotion: For promotion, it will mainly focus on direct promotion strategy. As per this
strategy, it will make aware to people about features and effectiveness of its new product face to
face and to meet with them directly.
Justification and feasibility of the study
One of the main aim of offering such types of snacks and developing this food product is
to people is to make them fit, healthy and improving their lives in their busy schedule. But it is
also important for this company to think about effectiveness of this idea as whether it is viable or
having an ability to become successful of or not. For analysing effectiveness, it will make an
effective use of customers’ feedback and marketing activities. In this feedback, it can know
whether customers like to have and buy such types of food products or not (Liu and et.al., 2017).
Feasibility: This study and idea of the new product is feasible because it has all qualities and
characteristics which can satisfy needs of customers. After market research, it is identified that
customers seek for healthy food which can keep them fit as well as active for working and
concentrating in their work After a lot of research, The red and Blue restaurant think about this
idea and develop puffed snacks , which people can eat on the go in their busy life. So, from this
effectiveness and feature of this new product, it can be said that it is feasible. For this, manager
of this restaurant will not require to do too much (Benyakorn and et.al., 2018).
CONCLUSION
From the above assignment, it can be concluded that business development and
innovation played a vital role. It has also shown importance of knowing business opportunity as
it makes companies able to develop and expand their business and make its successful. Further,
this study has discussed different ways to develop business as well as all those functions which
can allow an organization to take competitive advantages such as: marketing strategy,
promotional strategy, identification of business environmental factors etc. Lastly, feasibility of
the study or new developed business has been also shown in which business identify all those
features which make their products.
4

REFERENCES
Books and Journals:
Begum, E.A., Yavuz, K. and Piotr, K., 2020. Impact of Social Media in Coffee Retail
Business. Development. 5(1). pp.44-55.
Benyakorn, S. and et.al., 2018. Computerized Cognitive Training in children with autism and
intellectual disabilities: feasibility and satisfaction study. JMIR mental health. 5(2).
p.e40.
Bondarenko, S.А. and Nizyayeva, V.R., 2016. Regional innovative and investment processes
analysis and their impact on food-industry wine-producing enterprises development in
Odessa region.
Liu, Z. and et.al., 2017. Feasibility and performance study of the hybrid ground-source heat
pump system for one office building in Chinese heating dominated areas. Renewable
Energy. 101. pp.1131-1140.
Lord, N., Flores Elizondo, C.J. and Spencer, J., 2017. The dynamics of food fraud: The
interactions between criminal opportunity and market (dys) functionality in legitimate
business. Criminology & Criminal Justice. 17(5). pp.605-623.
Nambisan, S. and et.al., 2017. Digital Innovation Management: Reinventing innovation
management research in a digital world. Mis Quarterly. 41(1).
Nawawi, W.N.W. and et.al., 2017. Attitude and Expectation: Food Waste Recycling as a
Business Opportunity in Terengganu. VOL. 25 (S) NOV. 2017. p.65.
[Online].
UK Food and Drink: Threats and Opportunities. 2018. Available through:
<https://www.themanufacturer.com/articles/uk-food-and-drink-threats-and-opportunities/>
5