Expansion Plan for Coffee Business in Spain

Running head: BUSINESS STUDIES
Business Studies
Name of the Student:
Name of the University:
Author’s Note:

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BUSINESS STUDIES
Executive Summary
The main purpose of this assignment is to prepare a plan for expansion of the coffee
business of Hank Marvin and Patty Smith who have already established their business
in London and wants to expand the scope of the business in international markets. The
country which has been selected for the purpose of expanding the business is Spain.
The assignment will be also incorporating a marketing mix plan in order to facilitate the
coffee shop business in Spain. The plan will also incorporate financial plan for the
coffee business in the new country.

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BUSINESS STUDIES
Table of Contents
Introduction...................................................................................................................... 3
Overview of the Market.................................................................................................3
Logistical Consideration............................................................................................... 4
Targeted Market........................................................................................................... 4
Ethical Consideration....................................................................................................5
Structural Changes.......................................................................................................5
Marketing Mix...................................................................................................................6
Wide coverage of Geographical area...............................................................................8
Financial Decisions........................................................................................................ 10
Conclusion..................................................................................................................... 11
Reference.......................................................................................................................12

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BUSINESS STUDIES
Introduction
The assignment will be focusing on the expansion plan of the coffee business.
The business has already been established in the market of London and opened more
than one shop in different areas of London (Abrams 2017). The business model of the
business is to use the best quality of coffee beans which is supplied by Gumutindo
Coffee which is from Uganda (Casadesus‐Masanell and Zhu 2013). The shops also
have refreshments options that is different kinds of beverages along with pastries,
eatables which goes with beverages.
Overview of the Market
For the purpose of expanding the business the owners Hank Marvin and Patty
Smith has chosen the country of Spain. Spain is widely known for its culture, football
clubs, refreshment centres. In early 2009 when the economic crisis hit the markets of
many countries, Spain was also one of the countries which was affected by the
economic crisis. But eventually the markets of Spain recovered by 2013 stabling the
markets and attaining a sustainable growth. As per the research conducted by the
owners, the city of Barcelona will be the most suitable place to start the coffee shop
business. As per the research the city is one of the highest gross earning cities in Spain
and provides around 19% towards the GDP of the country. In addition to this, the city
has a diverse population which is reflects the culture of Spain. It is also a known fact
that the people of Spain prefer mostly street food and beverages and refreshments
which are available from the local markets (Carvalho, Paiva and Vieira 2016). The
choice of Spain is because of the countries rich culture and love for street foods and
beverages. The owners of the shop are of the view that they will be able to tap into the