Café Paradiso Business Plan Analysis

This assignment analyzes the business plan for Café Paradiso, a new café in the Glen Shopping Centre. It covers key aspects such as the company's vision, mission, values, stakeholders, communication strategies, market opportunities, target customer needs, pricing strategies, key performance indicators, financial projections, human resources, and physical resources required. The assignment also presents an alternative business concept, a multi-cultural restaurant with an Australian touch, outlining its products, services, marketing activities, financial indicators, and key performance indicators.

Business Planning
Case study of Café Paradiso

Assessment 1 Part A -Written or Oral Questions
1. a) Café Paradiso has been purchased by Brendan and Margaret Elliott and it is
situated at the best location in the Glen Shopping Centre where high footfall could be
recorded at any odd day. The vision that the company carries is that it desires to be the
premier café in the Mountain Glen Shopping Centre and attract the maximum volume of
customers.
b) The mission that the Café Paradiso is to gain the customer satisfaction and
facilitate them with the rich aroma, creamy and delicious coffee along with the
tempting snacks filled with the deliciousness and comprising the high nutritional
value which proves to be the best place for the perfect evening.
c) The values that the business are to provide quality services to the customers to
increase the consumer base. The objective of café is to retain the key staff and
maintain the prevailing prices by controlling the cost and improvising the inventory
management. The other motive is to attain sales around $536,650 which is for year
one and till the second year $580,000.
2. The main stakeholders that are involved in the Café Paradiso are Brendan and Margaret.
Other stakeholders in connection with the café are competitors and customers. Customers are
the vital members for whom the outlet has been established and whose satisfaction is
considered as the prime element.
3. The communication with the suppliers are made through emails and holding meeting on
video conferencing. With the stakeholders like customers the communication could be made
through newspaper and posting the advertisement and article in the renowned magazines. The
conference could also be conducted where data and the financial statements of the company
are discussed through meetings.
4. Considering the business in the market area where it is located there are lot more business
opportunity. The café is located within the mall where the amount of foot fall is high as near
by the café there are 2 chains of supermarket and a retail fashion clothing centre is there. Also
there are not much cafés situated in the particular place thus chances to achieve success is
more.
5. The need differentiates from consumer to consumer, the young family need the space to
enjoy the quality time while there are consumers who are social drinkers and need coffee and
other beverages along with the snacks. Some the consumers, who work at the mall need a
nice place to spend their break time and relax along with light drinks and beverages. The
venue also has tourists visting the place who too can walk in for a hot cup of coffee.
6. The price offered by the customer is as per the competitor pricing so as to exist in the
market. Most of the clients that the café gets are medium to high income group people. The
pricing of the products and services depend upon the quality of the products being served.
7. The 3 key indicators associated with the café Paradiso are as under:

 Customer satisfaction is necessary by providing better quality.
 The café wants to achieve 40% share in market within the next 12 months.
 Another KPI is the location where it is situated that gains popularity.
8. a) Financial requirements: The turnover for the first year was $536,650 and for the
second year was $580,000. For the initial month there was positive cash flow and the net
profit before tax was $109,869 in the foremost year.
b) Human Resource: The Company requires staffs that support the business and
understand the company objective. Adequate training is provided to the staff so as to train
them to be able to offer quality service.
c) Physical Resources: Company provides public transportation facility to customers who
cannot reach to the place by their own and also provides adequate infrastructure. Also the
cleanliness is supported in the premises along with quality food & services.
9. In setting up the café the permission for opening café in mall is required and for the liquor
licence is acquired from the government and the standards have to be maintained to avoid the
illegal supply.
Assessment 1 Part B- Written Assessment
 Description of the business: The another alternative business is similar to the café
Paradiso but it serves the divergent cuisines that is specialised restaurant that will serve
variety of cuisines with the Australian touch along with authentication and ambience
representing the country.
 Business Products and services: The multi culture cuisines are served by fusing
Chinese-Australian, Italian-Australian, Mexico-Australian and many more similar cuisines.
The ambience shall also represent the culture of Australia and visitor will get to learn more
about the dressing, eating and lifestyle of people.
 Marketing Activities: The marketing activities that could be adopted are
advertisement mode, newspaper ads, the sandwich man advertisement tool could also be
adopted and the sample method could be used as well. With the passing time home delivery
method can be adopted for gaining the local consumer base.

 Financial Indicators: The gross profit margin has been settled so as to achieve the
particular level and for the initial point the gross profit marked is $350,000, the net profit
before tax for the first year is estimated around $120,000.
 Key Performance Indicator
 Community awareness: Through the medium of advertisement in newspapers the
consumer awareness could be created also the word of mouth publicity could be used.
 Quality: Optimum quality is provided to the customer to achieve customer
satisfaction.
 Sales: Monthly sales target could be set to achieve more sales and enhance the
business operations.
 Workforce: The competent staff affiliated with Australian culture could be appointed
to portray positive image and render customized services.
1. The business plan could be communicated to the relevant parties using social media,
by distributing pamphlets, publishing an article in context of uniqueness that the restaurant
carries. Other way to communicate the business plans to the investors is through emails and
newsletter.