Business Essentials Project

This project details a business plan for establishing a Krispy Kreme franchise stall in a university campus. It includes a PESTLE analysis, marketing strategies, target market identification, and a detailed budget for the launch event. The project also addresses operational, tactical, and strategic decisions for the successful establishment of the franchise.

BUSINESS ESSENTIALS

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Business idea...............................................................................................................................3
PART B............................................................................................................................................4
Objectives of business.................................................................................................................4
TASK 2............................................................................................................................................4
TASK 3............................................................................................................................................5
Statements to describe launch event ..........................................................................................5
Budget.........................................................................................................................................5
TASK 4............................................................................................................................................7
Marketing objective....................................................................................................................7
Target market .............................................................................................................................7
Marketing strategies....................................................................................................................7
Marketing Mix............................................................................................................................7
TASK 5............................................................................................................................................8
Decisions.....................................................................................................................................8
TASK 6............................................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Present study will explain the business idea of establishing fast food store in University
campus. It will conduct PESTLE analyses with reference to fast-food industry. Furthermore,
marketing mix strategies will be explained through which new business can establish its branch
successfully. Business plan will include operational, tactical and strategic decision for
establishing branch successfully.
TASK 1
PART A
Business idea
The business idea is to establish a Krispy Kreme franchise stall in the college campus.
This idea is unique and is profitable because recently University does not have any kind of stall.
Students like to eat Krispy Kreme products and they always demand for such kind of stall in the
campus. Demand of item is too high thus, it would be worthwhile business idea and will help in
gaining profit to new business. Fast food industry of UK is growing well and there is
opportunity for new business to get established their branch in London. This business will be
operate in University campus and will also provide services online(Hair Jr and et.al., 2015).
In recent time most of the people buy products and services online. People those who like
to eat fast food order from online websites because they get home delivery option. Students like
such items in University. Thus, this business idea is able to meet the demand of consumers.
Competitors
Both these companies are performing well in market and have strong reputation in
market. Consumers are very satisfied with products and services of these firms.
Competitors Dunkin's brands group Inc Starbucks corporation
Number of branches 12400 25000
Global presence Company is operating in
approx 60 countries.
It has around 25000 coffee
shops in approx 75 countries
Range of products Holiday coffee line-up, tea,
chocoholic, choco-crisp, send-
witch, frozen beverages, soft
Drinks, Syrups & Sauces,
Coffee, etc.

drinks etc.
Financial performance In the year 2016 it has
generated 760 million profit
and in 2017 its profit has
reached to 860.50 Million
In the year 2016 it has
generated profit of 19000
Million and in 2017 its
revenues has reached to 23000
Million(Anderson and et.al.,
2014).
PART B
Objectives of business
Objectives
 To increase sales of Krispy Kreme by 20% till the end of 2019.
 To enhance number of customers in retail outlet and online stores of company.
 To open three more branches in London till the end of 2019. To increase number of products of business as compare to competitors.
Form of ownership
This business would be partnership business. Owner will be able to share profit and
liability of company. Thus, it would not create any burden on single person. Formation of
partnership firm is very simple. Partnership business are well managed because there is effective
controlling of all partners.
TASK 2
PESTLE analyses
PESTLE use for analyse strategy planing and monitor external factory that effect on new product
Krispy Crime launch.
Political factors: the political factor effect on the new product polices and prices lobar
law effect and tax rate. The new product launch that time the company need to responses to the
current future marking police and how to help develop new product business. Company decided
new product prices according to law rule and tax rate effect. Politics is main factor that will be
show new product market stability(Guffey and Loewy, 2015).

Economic: in that factor the company new product Krispy Kreme growth the market. The
product how will affect the exchange rate, fiscal polices and business environment. When
company want to launch new product that will reduce unemployment.
Social: new product launch according to student and youngster that will be effect on the
customer health, distribution strategy. The new product launch that time company have to care
society development and launch product that will be show socio culture factor and involve
customer attitude and interest for using product.
Technological factor: the technological factor impact on market and product. The
company use technological for product promotion and development so the company make
attractive technology for customer attraction.
Legal factor: the legal factor company include customer health, safety, employment law,
product design, product promotion strategy and product labelling that will be effect on the new
product launch and what is legal for making successful product lunching.
Environmental factor: the company analyse environmental factor for identify the new
product impact on the product packing and waste. The environment also include Werther
condition and product stability. New product packing and labelling will be done by company
according to environment effect and company care how it secures the environment
effect(Harvard Business Review, 2014).
TASK 3
PART A
Statements to describe launch event
The franchise will prepare a product launch map which include would all the marketing tools
like when to launch the product in the market for the specific target segment that is youth. It will
also include the ways of communications and promotions for launching of the products.
PART B
Budget
Organising event will incur some cost, New business will have to invest some amount in
order to organise this event successfully. There will be 60 guests in this event, all guests are
valuable thus, arrangement will be done in such manner so that there needs can be matched up.

Budgeting is very important in business, that helps business in planning their activities
accordingly and allocating resources in proper manner. This is beneficial tool that can aid new
business in keeping close eye on prizes. By this way partners would be able to figure out long
term goal and will be able to minimise unnecessary expenditures. This is better in reviewing
performance of new business and allocating cash accordingly(Chawla, Sujatha and Shukla,
2016).
Activities Cost
Venue rental £800
Cost of meal £5,000.00
Technical cost £2,000.00
Entertainment cost £1,500.00
Total cost £93000
Cost per head £155.00
Business partners will have to spend huge amount but before making budget plan it is
essential to calculate number of people those who will be part of this event. Entity will have to
pay rent of venue whee the entire event will be held. As business is planning to organise it in
good place thus, overall cost of venue rent is 800. Furthermore, meal will also require
investment. It is plan to keep three different types of meal items in this event to show variety of
products offer by the business. Thus, cost of meal is too high that is 5000. In addition, organiser
will have to spend money for arranging technical equipments. As it will require sound system,
computer, wires so that presentation can be given effectively. By this way audience will get to
know about new staff and its features. This is the best way that would make people positive
towards this new business. This would require investment of 2000. Furthermore, there will be
expenses related to entertainment. If company fails to make arrangement of entertainment then
audience may get bored. Thus, cost of refreshment would be 1500. Overall cost of organising
this event would be 9300. As there will be 60 guests thus, per head cost would be 155. In this
budget new business will be able to organise this event successfully(Mohammad Mosadeghrad,
2014).

TASK 4
Marketing objective
The primary Marketing objectives of the Krispy Kreme franchise increase the sales and
profitability by proving quality food products to the target customers. The other objectives would
be to create the awareness about the brand among the customers and launching new products
which meets the customer's taste and preferences.
Products will be positioned by determining the target audience for the franchise and by
telling the customers that its products are different from others. The products will be offered to
mass and it will provide quality fast food products at the most reasonable and at less price than
its competitors(Grant and Taylor, 2014).
Target market
The franchise will focus on the young and college students because there is a greater
demand of fast and creamy products from this segment of the market. The benefits of targeting
this section is, that students usually go around the nearby places that offers the quick food.
Another reason for targetting this group is the purchasing capacity of the student and young
people is that fast foods items are normally cheaper which is within the paying capacity of them.
This segment of the market create the demand for such products for all the seasons which makes
this industry a profitable one and theses are bases for selecting the young and student group of
the market.
Marketing strategies
Marketing strategies of the Krispy Kreme will include the ways of communication with the
customers. The franchise will use the social media platform such as conducting promotional
activities on Facebook, Instagram Twitter etc., as these are more popular amongst the youth and
the college going people. It will also use the online channel for selling the foods products along
with the physical store. The franchise will offer its product at most competitive price so that it
could be afforded by the students in the campus(Cooper and et.al., 2014).
Marketing Mix
Element Description Justification
Product Krispy Kreme going to Company choose these products because most of

offer organic and regular
varienet of Donuts, milk
shake, cold drinks,
chocolate dream cake,
Caramelised Biscoff to
students in different size.
younger prefer sweet creamy product on daily basis
over junk food. Product will be available in different
size and packaging as per customer need and
purchasing capacity like student can consume small
and medium size Donuts in store or they can purchase
large Donuts for birthday party. Organic and suger
less product given to students as they are more health
and figure conscious than any other customer.
place Company give option to
student to purchase
product direct from store
and from company's
website and app
Krispy Kreme render direct purchase form store so
that student can relax and enjoy their meal whenever
they has time. In case they are engaged they can make
order from class and receive product in lunch time.
price Krispy Kreme choose
differentiate and
discounting pricing for
product.
Every student has different financial position and
different choice of product. Company will charge high
price form student who want premium Donuts and
milk shake , where student who want basic product
required to pay less .
Promotion Advertisement will be
done on social media,
universities informal
forum.
Collage student frequently use social media like
Facebook, Instagram so they can see pop up while
chatting. University forum is used by student to share
experience and knowledge of collage. Student will
definitely look upon new franchise established In their
campus(Examples of Marketing Strategies and tactics
for small businesses,2016).
TASK 5
Decisions
The marketing decisions will include tactical decisions, operational decision and strategic
decisions. Marketing Tactics for the franchise will be support the overall marketing strategy. The

marketing strategy of selling low priced products will be supported by identifying the cost
effective supplier of the raw materials. This is important because low cost raw material will
reduce the product per unit.
Operational decisions will be related to the day to day activities of the franchise.
Installation of database management system according to business need will reduce the time of
accessing and retrieval of data as and when required. This is important because such decisions
will make the operations effective and efficient.
Strategic decisions will be the long term plans of the franchise such as using the online
channel by creating a official website for selling the foods. These decisions are taken for the
longer period within the franchise's overall objectives.
TASK 6
Element of the supply chain How is this going to be
addressed in the business
Why is this the correct way
to operate?
Location Selection of supplier needs to
be done by looking at location.
If supplier’s location is near to
store then it will help in
minimising transportation risk
and cost. Thus, new business
will be able to control over
cost and will be able to
enhance profit.
This is correct way to operate
because location of suppliers
will help in getting quality raw
material on time. Thus, new
business will be able to offer
high quality goods to students
and target audience
effectively.
Logistics Store material arrangement
needs to be done properly so
that issues related to logistic
can be minimised(Alburger,
2014)
This will help in minimizing
logistic cost and improving
profit.
supplier of books It is essential to have a good
supply of second hand books
in order to keep the store
It is essential for a book store
to incorporated supply of
books. It is important because

stocked. It can be done in
different ways, one is to set up
a website where individual can
buy the offered second hand
books. This would help the
individuals to get more books
with a very easy approach and
the seller to sell more to the
individuals. Recently, the
market has seen a growth in
the business of second hand
books where buying and
selling is done on the internet.
book stores easily gets empty
with their stock and if they do
not have the right or required
books in their stock then
there's a chance that they
might lose their value in the
market. In this approach a
second hand book store can get
books directly from the people.
These people can constantly
supply them with their read
material and the business of
the book store would run
smoothly. On the other hand,
the store will be having books
which are fresh and new in the
market.
CONCLUSION
From the above report it can be concluded that in order to establish new business , firm is
required to concentrate on effective plan. Partnership legal structure is suitable form of
ownership because it supports in minimizing risk of business owner. It is essential to take
support of effective marketing strategies so that entity can attract more people and can make
them positive towards new branch.

REFERENCES
Books and Journal
Alburger, J., 2014. The art of voice acting: The craft and business of performing for voiceover.
Focal Press.
Anderson, D. R. and et.al., 2014. Essentials of statistics for business and economics. Cengage
Learning.
Chawla, A., Sujatha, R. and Shukla, B., 2016. Demystifying Leadership-Regular and Intelligible
Sequence of Essentials Discernible in the Way in which Something Happens or is
Done. Global Journal of Management And Business Research.
Cooper, A. and et.al., 2014. About face: the essentials of interaction design. John Wiley & Sons.
Grant, A. D. and Taylor, A., 2014. Communication essentials for female executives to develop
leadership presence: Getting beyond the barriers of understating accomplishment. Business
Horizons. 57(1). pp.73-83.
Guffey, M. E. and Loewy, D., 2015. Essentials of business communication. Nelson Education.
Hair Jr, J. F. and et.al., 2015. Essentials of business research methods. Routledge.
Harvard Business Review, 2014. Harvard Business Essentials, Decision Making: 5 Steps to
Better Results. Harvard Business Review Press.
Mohammad Mosadeghrad, A., 2014. Essentials of total quality management: a meta-
analysis. International journal of health care quality assurance. 27(6). pp.544-558.
Online
Examples of Marketing Strategies and tactics for small businesses. 2016. [Online]. Available
through <https://thrivehive.com/examples-of-marketing-strategies-for-small-businesses/>

Examples of Marketing
Strategies for Small
Businesses