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Starting a New Business: Domestic and Commercial Cleaning

   

Added on  2023-01-03

11 Pages2808 Words31 Views
Cleaning company starting new
business domestic and
commercial cleaning
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Table of Contents
Executive summary..........................................................................................................................3
Business description ........................................................................................................................3
Industry analysis..............................................................................................................................3
Operational plan...............................................................................................................................5
Management team and Company structure......................................................................................6
Marketing plan.................................................................................................................................6
Financial project...............................................................................................................................7
Overall schedule...............................................................................................................................8
REFERENCES..............................................................................................................................10
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Executive summary
In today's world, there is intense competition in surroundings and this makes the living
even more difficult. In order to make through this competition and make survival easy, most easy
option available is to enter into business world (Biech, 2019). After analysis of current market
situations, it has been analysed that there is huge demand for cleaning and hygienic services in
the market. There is pandemic time going on in the market and it gives rise to demand of
cleaning services. Keeping this pattern in mind, there is a business proposal of starting a new
business that will deal in domestic and commercial cleaning services. This report will
concentrate on discussing various necessary dimensions those are required to be taken in
consideration before starting up a business. These all considerations together make up the the
business plan. This report will also concentrate on getting all resources organized. This company
is proposed to be set up in domestic market of United Kingdoms with name “Tru-Shine”.
Business description
In present time of pandemic, there is huge demand for cleanliness, even governmental
authorities are also promoting this idea. People, nowadays, are becoming more and more
conscious about hygienic factor in their lives. In commercial places, there is huge practice of
keeping things organized and also clean. As it is a public place, therefore, chances of infection or
transmission of disease is also common. Therefore, proposed business idea is very suitable for
needs and also will prove to be beneficial for both society and businessman. The USP of this
business idea is that it provides deep cleaning and also prevent human touch. Every little work is
done through machineries and robots. This technique ensures that there is no proximity of
humans while taking on the process.
Industry analysis
Porter's five forces model on Domestic and Commercial cleaning industry
Porter's five forces model is the model to identify what are the sources of competition in
an industry or market. Porter's five forces model focuses on five key elements which are threat of
new entry, power of buyer, power of suppliers and last threat of substitute products (Galai, Hillel
and Wiener, 2016). Let discuss about these areas or element:
The threat of new entry: New entrances if any company brings innovation, new ideas of
doings things and that put pressure on Tru-shine company by providing lower cost, and value
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propositions to the customers. Tru-shine has a pressure and needs to manage all these challenges
to build barriers to earn competitive advantage in the market. There are various ways to tackle
this situation:
By innovating new products or services. This attracts new customers and existing
customers both (Hairstans and Smith, 2018).
By spending money on research and development team. To search for the preferences of
the customer' needs and wants. By this their standard increase regularly and this creates
barriers to enter the new entrances in the market.
By maintaining economics of scale so that company can lower the fixed cost per unit.
Bargaining power of buyers: Buyers are very most important element in every
company. They want to buy that think which gives them best quality with minimum number of
amount paying. This creates pressure on Tru-shine lmt. There are many ways to tackle all the
power of buyers which are:
By continuous innovation of new product and services. Customer identifies offers and
discount on new products, so when company introduces new products then it can limit
the bargaining power of buyers.
By building large customer base. As it reduce poor of buyers and also provide
opportunity to the company to increase its sales and profit.
Introduction of new products can also reduce the defection of old customers of Tru-shine
lmt. To its competitors.
Bargaining power of suppliers: Almost all the companies in cleaning industry buy their
products from any suppliers. Powerful suppliers sometimes charge huge prices of their products
from companies of cleaning industry. This impacts the Tru-shine on their profitability and sales.
Some ways to tackle the situation:
Experiments with product designs so if prices of one products goes higher then company
could shift to another product.
By identifying trusted suppliers to which company can depends on them.
By building contacts with multiple suppliers so that company cannot depend on only one
supplier (Hopp and Greene, 2018).
Threat of substitute products: When a new products meets customer needs in different
way. This suffers on companies profitability. If the company produces high quality of product
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