The report evaluates the explanation of the consumer market problem based on which the business Idea will be generated. It also focuses on the business idea the business model canvas for this company will be developed along with explaining the critical success factors considered for execution of Idea.
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Running head: BUSINESS REPORT ONORGANICO Business Report on Organico Lecturer/Tutor's name The Name of the Unit Code: Name of the University: Name of the Student: Student ID Authors Note:
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BUSINESS REPORT ON BUSINESS REPORT ONORGANICO1 Executive Summary The idea of new infant organic food business of Organico relies in trend change within the market along with consumer preferences that impacts the consumer trends in infant organic food market. The objective of the paper was to evaluate the explanation of the consumer market problem based on which the business Idea will be generated. It was gathered from the paper that relied on the factors of the business aspects of the business it is recommended that positive business change low price and growth strategy that can be implemented within the organization. The paper on new business idea generation of Organico indicated that the proposed business model developed for the company facilitated in recognising the segmentation and cost that are experienced by the organization. This can facilitate Organico in recognising the needs along with future transition prospects that are decide by the business in attaining success within the market.
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO2 Table of Contents Introduction..........................................................................................................................3 Part A...................................................................................................................................3 Business Idea...................................................................................................................3 Benefits to be generated by Idea......................................................................................4 Proposed New Business Model Canvas..........................................................................5 Critical Success Factor....................................................................................................5 Part B...................................................................................................................................6 Self Reflection on Idea Evaluation Feasibility................................................................6 Conclusion and Recommendations......................................................................................7 References............................................................................................................................8 Appendices........................................................................................................................10 Appendix 1.....................................................................................................................10 Appendix 2.....................................................................................................................12 Appendix 3.....................................................................................................................13
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO3 Introduction Organico is an Australian Company that will have its business operations in offering organic food and beverages. The company is an efficient organic infant formula producer. This company will offer organic food products for young children that offer formula and toddler cereals, rusks and milk drinks along with ready to serve baby foods (Editorial, 2018). The objective of the paper to evaluate the explanation of the consumer market problem based on which the business Idea will be generated. Moreover, focused on the business idea the business model canvas for this company will be developed along with explaining the critical success factors considered for execution of Idea. Moreover, feasibility of this idea will be evaluated for better functioning of the business. Part A Business Idea Organico is an Australian Company that will have its business operations in offering organic food and beverages. The company is an efficient organic infant formula producer. This company will offer organic food products for young children that offer formula and toddler cereals, rusks and milk drinks along with ready to serve baby foods (Editorial, 2018). Consumers of Organico are dealing with several issues concerned with offering healthy food to their children (Caetanoet al.2015). Addressing such market problem, Organico has developed list new business idea of developing the new organic product such as toddler cereals, rusks and milk drinks along with ready to serve baby foods. Considering the increasing demand of healthy food options, Organico has developed a business idea of increasing its organic food options in all its
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BUSINESS REPORT ON BUSINESS REPORT ONORGANICO4 stores that can promote consumers healthy eating. The company can implement strategies of providing the value-added services relate its organic food offerings in consideration to the input expenses. The company is observed to deal with several downside risk factors focused on financial, strategies, compliance along with operational risks remains within online and retail markets (Joyce, Paquin & Pigneur, 2015). Strategic factors including food waste, diversity, organic product packaging of the brand, carbon emission as well sustainable and ethical sourcing can pose issues for Organico that is dealt by the company(Joyce, Paquin &Pigneur, 2015). Benefits to be generated by Idea BusinessmodelscanvasofOrganicosignifiestheperformanceofthecompany’s performance by means of nine associated factors mentioned in the business model (Lüdeke- Freund, 2014). Such relationships, partners, customer relationships cost structure, segments as well as revenue streams. It was also evaluated that from the business model canvas of the company that increased focus is on retail and financial services provision within middle and upper income groups. Through employing every value propositions, it intends to offer better consumer relationships. This is carried out by means of organic food strategy, human resource and price strategies. Organico employs every major partner as well as activities in improving the business effectiveness for turning out to be cost effectiveness. Organico is developed in a manner that all the aspects of the business canvas is focused on offering consumers with exceptional shopping experience yearly (Naggar, 2015). The channels along with cost structures of Organico are associated together for obtaining high revenues from higher consumer group. Such factors of the company’s business model canvas consider people, customers along with strategies of value proposition. Based on its strategies value proposition along with the major partners is decided. Moreover, within the company’s strategy of value proposition along with key partners, the
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO5 company has focused on distinct consumer focused strategies. This is due to the reason that it remains informed regarding selection of health food (Viljakainen, Toivonen & Aikala, 2013). Proposed New Business Model Canvas An efficient business model canvas is prepared for the new business Organico that intends to operate within infant organic food industry. This also facilitates in recognising several progression prospects within the new business idea. It also facilitates in recognition of the key activities, key partners of the new business along with value proposition and key resources that can facilitate in dealing with the change of preferences and needs concerned with the consumers. The proposed business canvas mentioned in Appendix 1 also facilitated in recognising the segmentation and cost that are experienced by the organization. This can facilitate Organico in recognising the needs along with future transition prospects that are decide by the business in attaining success within the market. The idea of such change relies in trend change within the market along with consumer preferences that impacts the consumer trends in infant organic food market. As the consumers in Australia are turning out to be health conscious, new business idea of Organic will focus in developing infant foods through use of organic substances for those heath conscious consumers. Critical Success Factor There are numerous critical success factors for Organico which can support the company in obtaining unique sustainable position within the organic foods industry. This can facilitate in attaining competitive advantages for the company over its major competitors and they are elaborated under:
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO6 There are major competitors of Organico within the organic foods industry within Australia. In obtaining the competitive advantages the organization has developed several new infant organic products that can affect the food market along with facilitating quality services (Osterwalder, 2017). Unique advertising power and the public relations serves as the major critical success factors for the organization by means of newspapers, media use and the journals. Other critical success factors of the company are deemed to impact the nation positively in which it has its business operation. For instance, the new business idea of opening the organic food business offers increased job openings which offers jobs to the people within the host countries which works within the supermarkets (Plenteret al.2017). Another critical success factor that facilitates the company in attaining competitive advantages for the reason that the prices offered by the company is cheaper and affordable in comparison to the competitors in the market. It also focuses on providing all the shopping experience that is convenient to all the customers within the country. Through selling organic products the organization is observed to obtain increased market share. Organico works in coordination with the local suppliers along with having increased shares with relevant industry experience relied on sustainable sourcing. Part B Self-Reflection on Idea Evaluation Feasibility In analysing the feasibility of the new idea generation of Organico Company, my first team member suggested that this business of offering organic infant foods the company must be able to attain several effective competitive advantages based on its business model canvas
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BUSINESS REPORT ON BUSINESS REPORT ONORGANICO7 aspects. Relied on the factors of the business aspects of the business, team member 2 advised me that for positive business change low price and growth strategy that can be implemented within the organization. In a situation where safety strategy was implemented within the organization, team member 1 recommended that the new idea of the Organico can have a drastic impact and can reach a great number of consumers in a short time frame (Solaimani & Bouwman, 2012). In consideration to the business model canvas it can he recommended me that the company can bring changes related with the low-priced strategy. Team member 2 recommended me that increased price of the organic food products of the company must be maintained as this will attain increased attention by the consumers and for this reason it can attain high revenues. Moreover, team member 1 recommended me that the high prices should justify the quality of the organic products. All the expenses that are set for the new idea generation of Organico is deemed to be feasible as it comes the improved product packaging with setting a better mark-up (Toro- Jarrín, Ponce-Jaramillo & Güemes-Castorena, 2016). Conclusion and Recommendations The objective of the paper was to evaluate the explanation of the consumer market problem based on which the business Idea will be generated. It was gathered from the paper that relied on the factors of the business aspects of the business it is recommended that positive business change low price and growth strategy that can be implemented within the organization. In a situation where safety strategy was implemented within the organization, it is also recommended that the new idea of the Organico must be adequately implemented in alignment to the business canvas can have a drastic impact and can reach a great number of consumers in a short time frame.
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO8 References Caetano, A., Antunes, G., Bakhshandeh, M., Borbinha, J., & da Silva, M. M. (2015, July). Analysis of federated business models: an application to the business model canvas, ArchiMate, and e3value. InBusiness Informatics (CBI), 2015 IEEE 17th Conference on(Vol. 1, pp. 1-8). IEEE. Editorial,R.(2018).${Instrument_CompanyName}${Instrument_Ric}CompanyProfile| Reuters.com.U.S..Retrieved24April2018,from https://www.reuters.com/finance/stocks/companyProfile/BAL.AX Joyce, A., Paquin, R., &Pigneur, Y. N. (2015). France.(2015): The triple layered business model canvas: a tool to design more sustainable business models. InConference Contribution. With assistance of ARTEM. Nancy, France (Organizational Creativity International Conference).Availableonlineathttps://www.academia. edu/12914336/The_triple_layered_business_model_canvas_a_tool_to_design_ more_sustainable_business_models, updated on. Lüdeke-Freund, F. (2014). Business model concepts in corporate sustainability contexts: From rhetoric to a generic template for'business models for sustainability'. Naggar,R.(2015).Thecreativitycanvas:Abusinessmodelforknowledgeandidea management.Technology Innovation Management Review,5(7), 50. Osterwalder,A.(2017).BusinessModelCanvas[Electronicresource].Modeofaccess: http://alexosterwalder. com/.–Date of access,22.
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO9 Plenter, F., Fielt, E., Hoffen, M., Chasin, F., &Rosemann, M. (2017). Repainting the business model canvas for peer-to-peer sharing and collaborative consumption. Solaimani, S., &Bouwman, H. (2012). A framework for the alignment of business model and businessprocesses:Agenericmodelfortrans-sectorinnovation.BusinessProcess Management Journal,18(4), 655-679. Toro-Jarrín, M. A., Ponce-Jaramillo, I. E., &Güemes-Castorena, D. (2016). Methodology for the ofbuildingprocessintegrationofBusinessModelCanvasandTechnological Roadmap.Technological Forecasting and Social Change,110, 213-225. Viljakainen, A., Toivonen, M., &Aikala, M. (2013). Industry transformation towards service logic: A business model approach.The Cambridge Service Alliance working paper series (No. December). University of Cambridge.
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BUSINESS REPORT ON BUSINESS REPORT ONORGANICO10 Appendices Appendix1 Key Partners Teamof brandsand many more Subsidiaries Advertisers Associates Key Activities Supplychain management Sales Direct purchasing Merchandising Refresh stores Value Propositions Supermarkets Home improvement Wide range of promotions and discounts Consumer Relationships consumer firstteam organization al culture Users community Price based Consumer satisfaction Beinga memberof loyalty program considers attracting consumers in marketby meansof
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO11 offering high discounts Key Resources Anticipating trendsfor makingspace fornew products Presence Brand Know-how Channels Organic product stores Social media New delivery options Supermarkets Websites Coupons Consumer Segments Wide market Consumers thoseare price sensitive Cost Structures Presence Assets Offices Advertising and marketing Salaries Rent Maintenance Licenses Taxes Cost of goods Revenue Streams Online sales Retail sales
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO12 Logistics expenses Appendix 2
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BUSINESS REPORT ON BUSINESS REPORT ONORGANICO13 Appendix 3: Quality contribution and collaboration
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO14
BUSINESS REPORT ON BUSINESS REPORT ONORGANICO15 Variouschangeaspectsinindustryperformancearecharacterisedbychangeand preference taste of its consumers within the infant organic food market. The decision making of companies falling within the industry is facilitated by means of understanding of situation along with market trends. In addition, identification of such situation supports idea generation of infant organic foods industry by help of fishbone or brain storming models. Moreover, this also facilitates in bringing considerable changes in consideration of businesses within markets. Tis has facilitate in understanding the ways in which different change forms by means of issue remuneration affects sustainability initiatives of the new business.