Business Plan for Fresh Glow Cosmetics

Business plan.

TABLE OF CONTENTS
CHAPTER 1: INTRODUCTION....................................................................................................1
Executive summary.....................................................................................................................1
Overview of the products or services..........................................................................................1
Rationale of business idea...........................................................................................................1
Aim and objectives......................................................................................................................2
Theoretical Framework...............................................................................................................2
USP.............................................................................................................................................2
Structure of business plan...........................................................................................................3
CHAPTER 2: LITERATURE REVIEW ........................................................................................4
Trend takes place in UK cosmetic sector ..................................................................................4
Factors that impact customer decision making in relation to purchasing of cosmetic products
.....................................................................................................................................................4
PEST analysis ............................................................................................................................6
SWOT analysis ..........................................................................................................................7
Porter five force analysis.............................................................................................................8
Competitor analysis ....................................................................................................................9
Marketing mix...........................................................................................................................12
STP approach ...........................................................................................................................13
Risk management plan .............................................................................................................13
Operation management plan ....................................................................................................14
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................18
Research Type:..........................................................................................................................18
Research philosophy.................................................................................................................18
Research Approach...................................................................................................................19
Data collection..........................................................................................................................19
Sampling...................................................................................................................................19
Data Analysis............................................................................................................................20
Validity and reliability..............................................................................................................20

Limitation..................................................................................................................................20
Feasibility ................................................................................................................................21
CHAPTER 4: DATA ANALYSIS................................................................................................25
CHAPTER 5: CONCLUSION and RECOMMENDATION........................................................46
Conclusion ...............................................................................................................................46
Recommendations.....................................................................................................................47
REFERENCES..............................................................................................................................49

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CHAPTER 1: INTRODUCTION
Executive summary
This study has evaluated that, business idea is considered to be very feasible in order to produce organic products and services
within the industry. This study has examined that, business planning is done by internal business planning, feasibility business plans,
financial and operational budget plan and growth business plan. Furthermore, this study has demonstrated, implementing strategies
which are considered to be similar to their competitors, unique advertising and promotional techniques, marketing campaigns, etc.
helps in increasing sales within cosmetic industry. Furthermore, it has been examined that, strategic planning, practical planning and
action planning are considered to be the key tools to attain objectives of the business idea and gain higher sustainability. Furthermore,
this study also determines that, social media platforms like Facebook, Twitter, Pinterest, Instagram, LinkedIn, YouTube, etc. tends to
have significant influence on the sales of the company.
Overview of the products or services
Fresh Glow Cosmetics tends to offer range of organic make-up and skin care cosmetic products. Range of make up products
like mascara, lipsticks, blush, foundation, Pure lash conditioner and extender, eyeshadow, etc. It also tends to offer various skin care
cosmetic products like skin cleanser, hairstyling products, cologne, perfumes, shampoos, body lotions, creams, conditioner, etc. Fresh
Glow Cosmetics also offer online services in order to provide cosmetic products at the doorstep of the customers. This aids to ease and
greater convenience to the customers.
Rationale of business idea
Business idea associated with the production and manufacturing of the organic cosmetic products by Fresh Glow Cosmetics is
considered because it is much beneficial for the environment and the customers. This in turn results in use of cosmetic products which
tends to contain lower chemicals and free from any contamination. Most of the organic skin care products are made up of active
ingredients which helps in providing various skin benefits and advantage to the customers. Organic cosmetic products are very
beneficial because it results in less irritation and vitamin nourishing skin.

Aim and objectives
Aim: To investigate the procedure of increasing sales in a new business organization through effective business planning. A case study
on Fresh Glow Cosmetics.
Objectives:
 To identify the various methods of business planning which would help in establishing the new business.
 To analyse the cosmetic industry and select the best sales strategy for Fresh Glow Cosmetics.
 To ascertain the potential challenges and competition in increasing sales for the company.
 To recommend the best strategies and methods for improving sales of the company.
Theoretical Framework
The Theoretical Framework is referred to as the interrelated theories and concepts which in turn is considered to be very useful
in measuring the statistical relationship in order to attain aim and objectives of the study. Disruptive Innovation theory tends to
describe a process where the products and services are priced very low and has been applied in the lower market. Further, it tends to
eventually move upwards in the market (Connolly and et.al., 2019).. The company tends to focus on more innovative marketing
campaigns where the consumers tend to know more about the products and services offered. Advertising Theory for Cosmetics
tends to focus on the bigger picture which focuses on enhancing the internal needs like safety, love, belongingness and self- esteem.
This theory is considered to be very useful in addressing questions like best approach to enter the new market, effective strategies for
improving sales in the cosmetic industry, determining the various potential challenges to adopt strategies in order to increase sales.
This in turn helps in providing cut throat competition by touching the heart of the customers with advertisement.
USP
The unique selling point of the Fresh Glow Cosmetics is that it tends to engage in producing organic skin care and make up
products at a competitive price. Fresh Glow Cosmetics also tends to get engaged in effective distribution and promotional activities
with the help of social media networks and digital marketing in order to make people aware about the products and services offered by
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the fresh Glow Cosmetics. Another USP associated with the fresh Glow Cosmetics is that, it tends to offer products and services
online at the door step of the customers in order to increase sale and gain higher profit than its competitors.
Structure of business plan
The chapter structure of the specific business plan mainly consist of the outline of the particular business plan.
The introduction chapter tends to include the executive summary of the study. It also demonstrates the brief explanation on the
overview of the products and services offered. The introduction chapter also includes rationale of the particular specific business idea.
Moreover, it includes aims and objectives of the study with the unique selling point of the business idea.
The second chapter consists of literature review where various themes associated with the aims and objectives of the study has
been critically evaluated by taking into consideration viewpoints of various authors. This chapter also includes PESTLE analysis,
SWOT analysis, Porter five force analysis, competitor analysis, marketing mix, STP approach, risk management plan, Operation
management plan and Business canvas model.
The third chapter addresses research methodology where it helps in selecting the appropriate qualitative research methodology
tools associated with the research philosophy, research methods, approach, design, data collection, sampling, data analysis, reliability,
limitation and feasibility.
The fourth chapter mainly includes data analysis and findings where primary data is carried out with the help of questionnaire.
This chapter includes sources of getting competitive advantage and sustainability aspects and also selection of strategies for success.
The fifth chapter mainly constitute of conclusion and recommendation where it helps in summarizing the various outcomes of
the study in order to attain specific aim and objectives. It also includes resources and funding requirements and critical success
factors. Furthermore, it also demonstrates future management strategies for getting success.
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CHAPTER 2: LITERATURE REVIEW
Trend takes place in UK cosmetic sector
An overview of the cosmetic industry in the European Union as compared to other countries is high as the it has been revealed
that the market size of Europe is majorly large because of its larger population. Among the countries of EU, Germany is having the
largest market share in the cosmetic market valuing as Euro 11.7 billion that is been followed by the France, UK, Spain and Italy
(Datta, Ailawadi and Van Heerde, 2017). Moreover, in the future it has been anticipated that the business of cosmetic industry would
be growing with a higher pace in Malta and the overall Europe as people are becoming more and more sensitive and conscious in
relation to their skin and beauty products.
Factors that impact customer decision making in relation to purchasing of cosmetic products
As it could be expected in the vast region with the different cultures and the traditions like EU, unique level of trends in the
purchasing the pattern had been found in the specific countries and some of the common trends across boards. As in today's world
there is a growing concern regarding the skin cancer and an exposure to the harmful rays which in turn has led towards more and more
use of the skin care products. Anti-cellulite and the Anti-ageing cream are seen as higher in demand within the aging population in
developed countries (Liu and et.al., 2017). This acts as the major factors which highly influences the consumer buying behaviour in
respect of the cosmetic industry.
Methods of increasing sales in cosmetic industry
As per the view of Huang and et.al., (2018), contact with distributors is the best strategy to increase sales. In this distributor are
supply products of company to stores and retail shops. This is very important for cosmetic industry to build positive relations with
distributor are provided fast delivery services. Business volume will rise quickly, if that is able to get some wholesale distributor
interested in company business products. Many of the retailers prefers buying their inventories from wholesalers rather than
purchasing directly from companies or individuals manufactures. This help to sales products will be much greater than compared to
selling at one store. With the help of this cosmetic companies are able to distribute their products at stores and wholesaler for increase
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