Planning for Growth for Bake My Day Bakery - Desklib

Read about the basis of competitive advantage, opportunities, Ansoff Growth Matrix, financing growth, and exit options for Bake My Day Bakery. Get recommendations and a business plan for the bakery.

Planning for growth

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
An explanation of the basis of competitive advantage for the business......................................3
A critical assessment of the opportunities available to the business...........................................4
Applying Ansoff Growth Matrix within the business..................................................................5
A critical evaluation of the options for financing growth and sources of funding......................6
Succession and exit options that are available for the business “Bake my day”.........................6
Recommendations for the “Bake my day” bakery.......................................................................7
Business plan...............................................................................................................................8
Mission and vision.......................................................................................................................8
Products and services...................................................................................................................8
Market analysis............................................................................................................................9
PESTEL analysis.........................................................................................................................9
Porter's five forces.....................................................................................................................10
Marketing mix............................................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES................................................................................................................................1

INTRODUCTION
Business growth planning is the strategic activity that enables the business owners to plan
and track the organic growth in their revenue and can built their business at successful level. To
run any business, it is important for an individual company to plan the activities which can
enable the growth of the organization and can enable the business to grow (Saan, Enu-Kwesi and
et.al., 2018). Bake my day is a new operating bakery which is providing the cakes, cookies,
handmade chocolates and such more and locates at London, UK. The current report will discuss
the basis of competition, opportunities availability to business by using Ansoff Growth Matrix.
Further, the sources of funding including exit or succession option for the organization will be
explained. At last, the business plan will outline in the report.
MAIN BODY
An explanation of the basis of competitive advantage for the business
The term competitive advantage simply means a company implement the strategical methods and
techniques for the attracting the customer's and can grow its market share which overall result
the company to obtain the successful outcome and results. To run any business, the company
should understand and identify the different factors which can help and support them to attract
and influence the maximum number of the customer at their place and can increase their
productivity level. However, the new bakery business has planned for having the competitive
advantage by putting the focus on the different essential factors which can help them to increase
their competitive advantage and can build the company at definite position.
Quality products: The new venture bakery organization have to understand the importance of
the products and services which they offer to their customer which should be very useful and
qualitative for them. In general, every customer looks for the products which are highly
qualitative and can use them for the different working purpose where considering this factor will
allow the company to keep their business ahead in this highly competitive market.
Pricing structure: One of the most important factor is pricing structure where the new bakery
business have to consider and understand the needs and expectations of the people (Shpak,
Naychuk-Khrushch, and et.al., 2020). Customer's always looks for the products which are
affordable and have a better quality where Bake my Day bakery provides their products in
affordable prices and uses the quality raw materials in the baking which attract the customer's
and will increase the competitive advantage.

Customer services: Customer service puts the great impact over the business and its brand
image as well. Consumer will go with the companies who will provide the better customer
services where Bake my day have hired a team especially for focusing on the customer services
where the consumers can directly connect with them and can share their reviews and issues
which will solve by the firm as soon as they can.
Location: Bake my day bakery started newly in London where the firm has to operate in new
and different places for increasing their competitive advantage. For gaining the high competitive
advantage in the market, the bakery has to move from traditional to digitalization for attracting
and creating an awareness among maximum number of people so that they can easily operate
their store ion different locations.
A critical assessment of the opportunities available to the business
A business enterprise require to understand the different opportunities which are available for the
firm and can increase their productivity level as well. Bake my day is a newly start-up venture
who is providing the bake cake, cookies and pastries to the customer's by adding the flavours in
appropriate way which makes their bakery business to grow and develop effectively. For the
better opportunities, the bakery should choose the best strategies and methods for the betterment
of the business and can gain the competitive advantage more perfectly (Fung, Choi and et.al.,
2020). Here, mentioning some factors which the firm majorly focus on and enable to make a
place in the bakery industry.
Cost leadership: Cost leadership is one the best strategy which is used by the different
organizations and businesses for gaining the competitive advantages. The new start-up
organization, Bake my day has critically assessed the available opportunities to their business
where they offer the affordable prices to their customers from where it increases the productivity
and possibility of leading the firm at successful level.
Differentiation: Differentiation strategy is commonly used by the companies where Bake my
day is using this method for increasing the productivity level. Thus, the newly started business
has provided the differentiation in their products where they use healthy ingredients and also
bake the sugar free items for the health concern people which makes their products unique and
enable them to meet the set objectives.

24×7 services: It is important for the business to provide the 24×7 services to their customers
from where it will build a long-term relationship among them and can enable them to grow and
develop accordingly. The Bake my day bakery also hired a team for providing the services to
their consumers from which they can be able to grow.
Applying Ansoff Growth Matrix within the business
The Ansoff Growth Matrix is a framework which is commonly used by the companies to
understand the growth strategies which can lead the firm to develop at successful level. Also, this
model enables the business to identify the level of risk which is associated with each of the
growing options. Bake my day bakery uses this growth matrix which will help them in growing
the business in the particular market field.
Market Penetration: The market penetration is the strategy which helps the company to sell the
existing products and services in the existing market from where the appropriate outcome can be
achieved by the firm (Poels, Roelens and et.al., 2018). Bake my day bakery adopts this kind of
strategy to grow in the particular marketplace and enables them to increase their profit margins
after competing with its competitors.
Product development: In this type of factor, the company introduces the new products in the
current market which enables the company to sell their items in definite manner. Bake my day
have required to adopt this strategy which will help them to increase their revenue of the
company.
Market development: This factor allows the companies to increase the sales of the products in
the market. This is an expansion strategy which can be used by the new ventured business to
operate in different locations locally and internationally as well and can increase their sales. The
bakery should focus their strategical ideologies from where they can soon represent their
business in global market.
Diversification: Diversification is one the risky method as it includes the introduction of the new
products in new market where bakery is a new business and operates in new market as well
where it becomes important for the firm to consider all the essential factors for the betterment of
the business.

A critical evaluation of the options for financing growth and sources of funding
To establish any business, it is important to have the appropriate amount of funding to operate in
the market at successful manner. A funding is the significant factor from which the business can
start and operate in and can run accordingly. To start a business, Bake my day also required a
successful funding for their business from which they also can use different sources of funding
for the financial growth of their business.
Angle Investors: The angel investors are the private sectors who provide the fund to the
businesses like start-ups, small shops usually in exchange for any debt where both parties can
obtain the profitable results. This private sectors support the small firms and businesses to run
and grow accordingly.
Business Loans: Today, there are many firms who provide the business loans to an individual
which helps them to establish their business like start-ups. The Bake my day business has taken
the loan from the bank in exchange for the interest amount which helped them to launch a bakery
and can successfully build their business (Hanif and Fafurida, 2018). These kinds of kaons are
given to the people by collecting all the essential documents and evidences of loan and operates
the business in definite manner.
Personal Savings: To establish a business, an individual have to look for the funds in order to
launch a business where personal savings is also one of the funding source for the bakery
business and enables them to develop the firm accordingly.
Succession and exit options that are available for the business “Bake my day”.
Merger.
Within this particular or specific method or technique two businesses or companies
basically merge with one another (Segal. Guthrie. and Dumay., 2021). Through this mergence
the overall value of either of the businesses and the productivity as well enhance. By this, the
businesses are also able to attract a wide range and number of investors and also enhance the
levels of recognition and goodwill in the market in particular. In this case the bakery is also able
to merge itself with a brand name that has a good customer base and also has recognition within
the market, this will particularly help or support the bakery in enhancing the levels of sales
which will benefit the bakery in a long run.
Acquisition.

In this method or technique in particular, one business basically acquires another business
in particular (Xu., 2017). By this method the bakery can either own or undertake some other
business or will have an ownership that is new. So at this specific moment, this method is not the
considerable one for the bakery in particular. This is because the bakery should run the business
solely with the concept that is unique and also a great identity in particular.
Liquidation.
This basically comes under an exit technique or strategy in particular. In this strategy the
business can make a clear and a precise entry, through selling the assets and the availing the
money in exchange for it in particular. The money is further given to the creditors as well as the
investors who previously lend their money to the company or the business. Also, in this specific
case the business can opt for this specific option and then make an exit through selling the assets
of the business easily.
Selling to the known.
This particular method focuses on the concept of selling of the business to the known or
the unknown individual who will be able to run the business in a manner that is effective and is
efficient as well. In this case 'bake my day' bakery, can particularly consider the option of selling
the business to someone who is either from family or is known so that the business can be taken
care of.
Recommendations for the “Bake my day” bakery.
For the purpose of recommending the most suitable options for “bake my day” bakery,
there are a bunch of options that the bakery can particularly consider. One of the major option
that should be considered by the bakery for growing and developing in the existing competitive
market is opening of new branches. This is one of the most necessary option because expansion
is one major necessity of a business for the purpose of growing and evolving in particular. The
bakery can open new branches in the area that it is already familiar to (Zhang. and Warner.,
2017). This will only enhance the number of outlets without change in the market or the target
audience. Due to the good taste and a good customer base as well the risk of failure is negligible
in this case for the bakery in particular.
Next, the bakery can enhance its working on the E-commerce platforms, this will help
the bakery in increasing the revenue generation levels and also the sales through delivering the

products to customers to a wider geographic range. This will also positively impact the goodwill
of the bakery in the market.
Business plan.
Business plan basically means a document which is mainly created or prepared by many
companies for the purpose of clearly describing the goals of the business, the financial
projections, the industry standing, the operations of the business and the marketing objectives as
well (McKeever., 2018). The business plans basically help or support the company in in moving
towards the right direction that has been planned by the company itself, which basically means
towards the goals or the objectives of the company. This is used for attracting the investors
towards the business so that the company or the business is able to avail diverse funding for the
purpose of running operations and other business activities. In this case “Bake my day” bakery
can come up with its own business plan for moving towards the achievement of its goals and
success in a manner that is effective and efficient for the business as well as its stakeholders.
Mission and vision
Mission
The bakery “Bake my day” is considered to have a team of individuals that is talented
and is also committed towards giving the bet results and the best services to the customers. The
major aim or motive of the business is to enhance the taste by collaborating the different flavours
and also make their products available to the customers by the best possible and the most
appropriate methods or modes in particular. The quality of the products is also to be maintained
and the preparation techniques also are to be professional and exotic in particular. Hence, the
major aim is to provide the best customer services and achieve the highest levels of customer
satisfaction.
Vision
The vision of “bake my day” is to become a bakery that provides the best quality
products and services. Also, the bakery wants to educate the customers of the bakery regarding
the exotic ingredients that are used by the bakery and get to every household of London.
Products and services
The bakery at present has a local shop in a single area of London and also the workshops
related to baking techniques are held by the bakery at certain events (Gurtu., 2019). The bakery
is mainly inclined towards the concept of providing the most qualitative products as well as

services in particular. The major focus of the bakery is on the ingredients as they play a major
role in the overall preparation. The flour is sourced from Somerset, the chocolate is sourced from
Switzerland and the best quality butter is sourced from Germany.
Market analysis
Market analysis is a very relevant step or stage in the business plan for any particular
business (Ilin. And et.al., 2017). This is mainly focused on the determination of the existing
market in which the business is working in. In this particular case, “Bake my day” bakery can
determine the market it is specifically working upon and then further take the correct competitive
advantage at the most appropriate time in particular. Through this the business will be able to
mend or modify all the strategies in accordance to the requirements or the demands of the market
in particular. Through this the target audience of the business can also be researched effectively.
And further is the market analysis of the bakery.
PESTEL analysis
PESTEL analysis basically focuses on the examination and the evaluation of the external
factors present in the business environment that particularly impact the working and the overall
performance of the business in particular (Matovic., 2020). Further, is the PESTEL analysis of
“bake my day” bakery.
Political factors.
The political factors mainly relate to the trade regulations, the corruption levels, the
taxations, the military invasions, the political stability, etc. As this bakery operates in London,
there is major advantage related to the political stability that can allow in increase in the levels of
productivity in the bakery.
Economic factors.
Theses are the factors related to the inflation rate, the exchange rates, etc. in this case, the
bakery is impacted majorly by the change in the inflation rates due to the occurrence of Covid-
19. This has also led to increase in the costs of the raw materials due to which the bakery is
forced to increase the prices of the products. This is majorly impacting the customer base of the
bakery negatively.
Social factors.
Social factors are the factors that basically relate to the traditions as well as the cultures
of the different variety of people and their diverse preferences in particular. In this case the

bakery should first understand the tastes, likings and the preferences of the people. In the local
areas and deliver them what they desire. The UK population is keen of the bakery products
which is major advantage for the business.
Technological factors.
The technological factors are the factors that mainly relate to the usage or implementation
of advanced technologies which is now a basic necessity in the changing society. The bakery
focuses on making the products handmade rather than using machinery, but for the purpose of
marketing and delivering the products the usage of technology can be done.
Environmental factors.
These factors mainly focus on the environmental conditions or the climatic conditions
and their impact on the functioning of the business. “Bake my day” bakery focuses on
conducting environmental practices by farming many of the products used by itself. The
recyclable packaging is used by the company too.
Legal factors.
Legal factors are mainly the factors that relate to a particular country's legal framework in
particular. “Bake my day” bakery operates in London, UK. The country has a legal framework
that is strong due to which the bakery has a major advantage regarding its protection. Also, the
country has strict legislations regarding the fraud laws, imports, patent rights, etc.
Porter's five forces
The Porter's five forces model is basically used by the businesses for the purpose of
determination of the personal strengths as well as weaknesses of the business in particular
(Bruijl. and Gerard., 2018). This is done so that the business is able to restructure itself after the
evaluation for gaining competitive advantage and also attain the goals and the objectives.
Competition:
The “bake my day” bakery has negligible levels of competition in the market. There are
many bakeries that are present in London. But this bakery in particular mainly focuses on quality
and the superiority of the products. And also, due to the concept of workshops that is
implemented by the business it stands uniquely.
Customer power:
For the bakery in particular, the the customer satisfaction is the primary objective that is
to be achieved. Due to which the range of products in the bakery are affordable and mainly are in

accordance to the quality. This is so all the customers are able to enjoy the various items in the
menu.
Supplier power:
The supplier's power is also high. This is because the bakery in particular sources the raw
materials that are used in the manufacturing or preparation of its products from only specific
suppliers.
Threat of substitutes:
There are no major substitutes of the bakery as the concept of this bakery is very unique
for the market. Hence, the threat of the substitutes is negligible for the bakery.
Threat of new entrants:
The threat of new entrants is also low. This is because the bakery has a uniqueness in the
quality and the taste it particularly serves to its customers. And implementation and maintenance
of this concept in particular will require high budgetary requirements.
Marketing mix.
Product.
“Bake my day” is mainly offering the bakery products that are of good quality and have a
great taste as well (Išoraitė., 2016). The bakery offers, different variety and flavours of breads,
pastries, drinks and seasonal savoury products.
Price.
The prices of the products are mainly affordable this is for attracting more and more
customers towards the bakery. And this is also because the customers are able to try all the menu
items.
Place.
The place the bakery serves is in London. And now it is also intending to go online to
serve and deliver at different locations.
Promotion.
The bakery is particularly indulged in advertisements. This is done on the website and
through SEO as well (Pogorelova. and et.al., 2016).
CONCLUSION
This report in particular gives a brief description regarding the planning that is done for
the purpose of growth as well as development of the bakery in particular. In this report “bake my

day” bakery is selected. An explanation of the bakery and its working is given in the report.
Also, the evaluation of the opportunities and the options for growing are provided in the report.
The sources of funding, the exit options and recommendations are also given above. And lastly,
the business plan is also developed in the report in particular.

REFERENCES
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