This report summarises about the business plan for the car service provider company. All details related to the business are being discussed which includes, market analysis, marketing strategy, financial planning, objectives etc.
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EXECUTIVE SUMMARY This report summarises about the business plan for the car service provider company. All details related to the business are being discussed which includes, market analysis, marketing strategy, financial planning, objectives etc. The business plan is being prepare in order to achieve the goals of corporation.
INTRODUCTION Business plan is made by the organisations in order to achieve the objectives which is set by the management. It is generally prepares on documents and describes in detail how a new business will accomplish its targets. It summarises all information associated to operational & financial objectives of a business & contains the detailed plans and budgets showing how the objectives are to be realised. To better understand this concept Hippo Car Services has been chosen which is a car service provider company and it belongs to London. The main aim of this report is to make a business plan for the organisation. In this report, there are following topics are covered such as: business details of corporation, industry and market analysis, customers and value proposition, marketing strategy, operation plan, management team and company structure, resources and financing. Apart from this it also discuss about financial projection, risk and strategic options and key milestones. Business details The business plan is of a car service center so that the needed maintenance and repairs should be provided to the car, to the better working of the cars by that generating satisfaction to the car owners. With the increase in the purchase of motor, the need of its repair and maintenance has also arises(Wentzensen and Wacholder, 2013). The focus here is to form such business which can give multiple services related to motors. The market of machines are showing incredible profit so the growth prospects are there in this car service center business (Okolocha and Ile, 2012). Car wash Mechanical services like engine, fuel, accelerator,gear, shock-absorber etc. Electrical job like horn, light etc. Car air conditioner Wheel balancing, alignment Sales of car parts and accessories Several oil change service like engine oil, gear oil, steering oil etc. Car body repair service like painting and denting Battery issues Car body polish Vision is to be the best in the business all over the country by achieving the needed standards of quality and efficiency.Mission of the company is to provide premium services to the customer so that they can get fully satisfied. Personalized service to the customer is done so that proper analysis of their needs and serving them according to that can be achieved. Using technology and computers to monitor everything so that efficiency can be achieved, elimination of idle stock via that, while keeping a balanced level of inventory to maximize inventory turnover. Focus is also on achieving everlasting relationship with vendors so that they can go to limits to provide the company heavy stock at the time of need. Objective is to provide all the services to the customer that includes tow truck if the car is defective and can’t reach to service center, spare cars when the original car are with the company
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for repairs. So that a relationship can be build and the customer can be retained. A huge share of market can be captured and that is the aim of the company i.e; to be a leading player in market. Industry and market analyses As car has become the essential feature of today’s livelihood so providing services for automobile is not a bad idea. Lot of businesses are doing that resulting in huge size of industry(Schutz, Rezgand Léger, 2013). Growth opportunities in the business are immense as the market size is huge so if a company can make some loyal customer it may result in word of mouth and high growth can be achieved within a specific period of time. Market trends need to followed closely and alteration should be made in services accordingly. Company need to be sure they are updated and they are giving premium services to the customer so that healthy relation can be build. Segmentation of market is a important step as it will help to gain more and more customer. Segmenting according to the area, where the population or crowd is more is an good idea. So that more demand can be generated and it can be duly met. Operating in urban areas is a better idea as purchasing power of the public is relatively high. Strength of the business can be a good location to work from, Population density. A close relation with customer can give a competitive advantage that can be maintained by achieving customer loyalty by winning their trust. Weaknesses of the business should be analyze properly and step should be taken to eliminate them. Customer and value proposition Focus is on to fulfill the demand of local customers, and also towed vehicle drop-ins from local and freeway traffic traveling on nearby freeways. The company has established relationships with a few major local tow truck companies for referral business of stalled vehicles requiring a tow to an auto repair facility(Massaand Tucci, 2013). Banks Insurance corporations Big companies Companies Manufactures Transport agencies Haulage Companies Individuals and households Schools The reason why the customer will prefer the company over the competitor is our services. The service is given in personalized way so that attention can be given to each and every customer on individual basis. Selection of the location is done in such a way that it is easy to approach and identify. The materials are upgraded according to the trend as analysis of shift in
trend is also done.One benefit a customer looks for is ever lasting services and the focus of the company is to make close relationship with the customer. The company will listen to all the queries of the customer and will take action accordingly. Market strategies The company want to capture the market share but at the same time wants to eliminate the costs. The initial focus is to build reputation and trust factor. Once it is achieved all other viable option can be considered after that. Premium services, an attractive ambiance we can afford to raise a price after gaining a share in the market so that profits can be boost . it will result in long term growth of the organization. Market strategies adopted by us are(Burns and Dewhurst, 2016): Direct mailers. Newspaper ads. Yellow pages. Referrals through other local businesses. It is less costly and can spread to a huge number of public so that market can be build and most importantly awareness can be generated in the market. Various sales promotion can be done like giving discounts, offers to attract sales for short period. After knowing the competition in the market a company need to do something out of the box so that to achieve a competitive advantage. Advertisement is the thing which can help to attract a huge number of audience in one go. So a company needs to be very careful as it will position the services provided in the mind of public. Most importantly it is going to last for a long period of time(Chwolkaand Raith, 2012): Advertisement in newspaper, magazine (print media) to generate awareness Using social media platform to advantage; Instagram, Facebook , twitter, YouTube, Google + to promote the business and its services. Billboards in public location to attract attention. Doing some events and all so that the neighborhood know about the services company provides Distribute the pamphlets in target areas Mail or call the big organization and tell them about the lucrative services offered by the company. Listing the auto repair, servicing and maintenance in yellow pages Official website should be maintained properly. Generating traffic and telling public about all the services and how to approach. Spreading the brand as far as possible by every means possible. Operational plan Key operating activities of the business are(Brinckmannand Kim, 2015):
Car wash All Mechanical job like engine, gear, accelerator, shock-absorber etc. Electrical job like fuel, horn, light etc. Car air conditioner Wheel balancing and alignment Sell of car parts and accessories Several oil change service like engine oil, gear oil, steering oil etc. Car body repair service like painting and denting Battery service Car body polish service The car service centre industry is, operationally, job-shop environment; it is tough to predict sales. As for a job-shop, each individual product or service is tailored or different to that job, and is only came into action once an order is done(Finch, 2013). Numbers of clients out founding workforce can attract from their previous companies. The result of proper promotions and word-of-mouth marketing. Current prices and costs of doing business. The types of automobiles and jobs that will occur in every month. The believe in the strength of workforce is a lot, which is the strength of our organization and foundation of success(Tounés, Lassas-Clercand Fayolle,2014). Sales and marketing team noted that definite sales projections cannot be analysed, given the prospect of the industry are into, but are very prepared to shoot the copany to new heights.Management team and company structure Management team is the team which manage the business operations in the organisation so that business can grow and get success. It is responsible to take the decisions for the growth of company. All organisation have its own management team who control the business activities of firm. As Hippo Car services has also management team which manage all operations and take business decisions in order to achieve the objectives of corporation. Key people includes manager, board of directors, assistant manager etc and they perform various functions such as: organising, managing, directing and controlling. It manage the human and non human resources in order to accomplish the goals of company. To manage and direct the workers is important so that they perform their respective roles as per the need. To monitor the activates of employees it necessary for the controlling so that they can work as per the requirement and within stipulated time frame. As the people of management are from different background such as: marketing executives, auto mobile industry experts etc. As the business structure of company is vertical and the chain of command is given from top to bottom and all the staffs of organisation have to follow it so that work can be done as per the necessity of company. To fill the skill gaps there is need to be hire skilled labour and mechanic who is expert in car servicing. As Hippo Car Services has effective management team who perform its roles for the growth and success of firm.
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Resources A resource is a source or supply from which a benefit is produced and it is classified based on their availability which involves renewable and non renewable resources. As there are human and non human resources(Blackburn, Hart and Wainwright, 2013). Generally man, money, material, power, assets are the main resources of Hippo Car Services. It is helpful to increase wealth, effective functioning of a system. As the premises of organisation is the resource for the business because it provide car services to the consumers. All tools, equipments and machines which are helpful in the business of company are included in the resources. The most important is the human resource which involves staffs who put maximum efforts in order to achieve the goals of corporation. The staffs of company are skilful and talented and able to satisfy the needs of consumers. As organisation also provide training to them so that their skills can be develop and they perform well in order to accomplish the goals of firm. Financing As financing is the process of providing funds for business activities, making purchase or investing. It is the most essential need of an organization and without it business cannot start and run. It is also called as blood of business.(Gately and Cunningham, 2014)To manage the finance is important for Hippo Car Services so that it can effectively carry its business operations and achieve the objectives as per the requirement. There are various sources to arrange the finance and it includes banks, financial institutions and venture capital. The management of company can take loan from these finance providers so that business of organisation can effectively run and get success. In return it gives interest for the amount which is taken by the company and the funds are used in the business and its growth. Financial projection For an organisation it is important to make financial projection which is helpful for it take the decisions for the growth of company. As financial projection is a forecast of future revenue & expenses The projection will account for internal or historical data & can involves a prediction of external market factors.(Haag,2013).It is important for Hippo Car Service to analyse the financial projections in order to measure the growth of business. Planning out & working on As the management of corporation is responsible towards financial projection and it helpful in strategic planning. As the regular planning is beneficial to deal with the change which involves both external and internal factors. As the financial projection is helpful in planning which translate the objectives of corporation into particular targets. Secondly, the plan provides a vital feedback & control and it is also helpful to predict the problems which can be arises in future. So it is helpful for the organisation to make effective financial projection so that plans can be execute as per the requirement which support the growth of company. With the help of it Hippo Car Services can predict the income and expenses which arises in future and it is beneficial to take better decisions for the growth and success of business so that objectives and goals can be accomplish and business can survive for a long term in the market. Risk and strategic options Risk is associated with every business and the nature of risk depends upon the size and type of business and its structure(Ibidunn, Peterand Ogbari, 2017). It is the responsibility of management to analyse the risk so that its negative impact can be minimize and business of company does not get affected. In the business of Hippo Car Services the risk is also associated that it will get success as per the expectations or not. There are various risk handling techniques
which can be used by the management of company in order to minimise the risk. It is important for the manager to take calculative risk so that losses does not effect and hamper the productivity of business. For the organisation it is require to make strategy in order to eliminate the risk from the business. There are various strategic options which can be used by the company so that goals can be achieve as per the needs. To reduce the risk it is important to analyse the market conditions and target the market according to the segmentation. To promote the business it necessary so that maximum number of consumers can attract towards the firm and which is helpful to maximize the sales as well as profits. So it is important for the corporation to analyse the risk in order to get success in the market. As the market conditions and environment is uncertain so it is beneficial for the firm to take effective steps to minimise the risk and make appropriate strategies. Key milestones A milestone is a marker in a project which signifies a change or stage in development (Jones and Penaluna,2013). It is important element of project management reason being it reflects key events and map forward movement in project plan. It is helpful and ensue to stay on track. As hippo Car services set a milestone that it have to earn profits of 50 million within 3 years from the staring of business. It put all efforts to achieve the milestone and get success & growth. CONCLUSION As from the above report, it has been concluded that it is important to make a business plan so that company can achieve its objectives within stipulated time duration. To make an effective business plan it is important to analyse the opportunities in the market and try to fill the gaps in order to maximize the profits. Market analysis and consumer satisfaction is important and it is helpful to survive in the market for a long . All efforts are needed to be one directions that it to achieve the goals of company which is set by the management.
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Tounés, A., Lassas-Clerc, N. and Fayolle, A., 2014. Perceived entrepreneurial competences tested by business plan pedagogies.International Journal of Entrepreneurship and Small Business.21(4). pp.541-557. Wentzensen, N. and Wacholder, S., 2013. From differences in means between cases and controls to risk stratification: a business plan for biomarker development.Cancer discovery.3(2). pp.148-157.