Entrepreneurial Development: Reusable Coffee Cup with Multimedia Screen and Contactless Payment

This document discusses the entrepreneurial development of a reusable coffee cup with multimedia screen and contactless payment technology. It covers topics such as the value proposition canvas, lean business canvas model, and the specialist contribution of a CFO. The document provides insights into the financial planning, customer segments, key partnerships, revenue streams, and cost structure of the business idea. It also highlights the benefits and features of the coffee cup and its potential market. Overall, it offers a comprehensive overview of the entrepreneurial journey and the key factors involved in the success of the product.

Entrepreneurial
Development

Table of Contents
INTRODUCTION...........................................................................................................................1
Value proposition canvas ............................................................................................................1
Lean business canvas model........................................................................................................3
Specialist contribution.................................................................................................................6
Financial and Financing Plan.......................................................................................................6
Summary......................................................................................................................................7
CONCLUSION ...............................................................................................................................7
REFERENCERS .............................................................................................................................8

INTRODUCTION
Entrepreneurial growth can be described as setting up a company or a business idea
which is depended upon the totally new concept (Jain, Ali and Kamble, 2015). Using it, this is
possible to identify talent at a larger level that contributes to the creation of new business in the
respective industry. With the every changing business environment company always look to
update their existing good of introduce new product. This is because customer needs are always
change with the time and they need more specific product which would satisfy their desire in
more beneficial manner.
The new product introduced by company is a multimedia e tech cup that is reusable and
incorporated with multimedia screen and contactless payment technology. There are number of
unique features which makes product unique and popular among large number of customer those
use to travel and have busy scheduled. Such as Innovative Product, Waterproof Digital Screen,
Reusable Cup, Reduce Waste, Save Time with Contactless Payment and Suitable for AB and C1
Social Grade. As a CFO (Chief Financial officer) the main role is to manage the financial action
and track the cash flow and contribute in financial planning so that actual weaknesses and
strength can be determined. The respective profit, sales revenue and profit margin for the first
years from E tech cup is discussed below:
Pre launch cash budget
Cash Flow budget Year
Particulars 2020 2021 2022
Cash inflows
Investment 5000
Credit sales 2000 4500 3000
Total inflows 7000 4500 3000
Cash outflows
Fixed: Rent and electricity 3000 2500 1500
Variable : Direct material 2500 350 200
Total outflows 5500 2850 1700
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Net cash flow 1500 1650 1300
Opening balance 0 1500 3150
closing balance 1500 3150 4450
Value proposition canvas
This tool is an effective method that support to make sure that a specific good or service
is specially positioned in the context of what are the actual customer needs and values (Value-
proposition-canvas, 2019). In the context of E tech coffee cup that customer Value proposition
canvas is developed considering two main blocks such as customer chart and product value
proportions.
Customer profile:
 Gains: The advantages expected and needed by the client, what might take pleasure
clients.
 Pains: The adverse experiences, feelings, and dangers experienced by the client in the
system of doing the business.
 Customer jobs: Consumers are actually performing the practical, emotional and
intellectual duties, the issues they were trying to resolve, as well as the wants they want
to accommodate.
A customer profile should be created for each customer segment, as each segment has
distinct gains, pains and jobs.
Value Map:
 Gain creators: This is related to the offers made by company relevant to goods of
service which add consumer gains the manner and the offers which help to added the
value to desired customer.
 Pain relievers: This is related to the detail about the way a product or service is relieve
the different consumer pains (Bauweraerts and Colot, 2017).
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 Products and services: Goods and services that build profit and ease pain and promote
consumer wealth creation.
As the E tech coffee cup is developed with advance and latest technology and have the
main aim to recyclable coffee cup into a accelerated and favourable manner. The respective
value proportion canvas is discussed below:
Customer profile: Gain: This help to save time, keep coffee warm for 7 hours, eco friendly multi-purpose
cup, can be used at the time of travelling. It has advantage of connecting Wi-Fi,
multimedia screen, waterproof and can is easy to use and reuse. Pains: The coffee cup is innovative, time effective and advance technological
determinism have made it popular all over the world. It is also observed that due to lack
of multi-purpose cup the respective product is able to attract large number of customer
those actually need a single device which can fulfil their several needs. Customer jobs: There are some particular jobs which is needed to be done such as charge
the device for around 2 hrs so it last long for 24 hrs. The can make contactless payment
up to 20 pound so that instant need can be fulfilled. They are also trying to resolve the
issue of network as coffee cup requires full internet connectivity (Kalar and Antoncic,
2015).
Value Map: Gain Creator: It has convenient way to make payment, easy to use and recycle, number
of features and most importantly save data with the help of mobile app. The main gain by
this coffee cup is that it is easily accessible everywhere and is benefited for everyday
lifestyle. The E tech cup is tightly packed there is no chance of any leakage and coffee
can remain warm for 7 hours. Pain relievers: The cup have 8 GB storage place with wireless headphone connection
that help in scheduling meeting location and is developed with journey planner software.
 Products and services: By using the particular product customer have some main
advantages such as make fast payment, battery life up to 24 hrs, 8 GB storage device,
save time and money.
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Lean business canvas model
A model of business is primarily related to the method that define the way company
develop, supply and hold the value in the market. In each type of company business owner have
their own way to deal the business situation and consider the business model in unique manner
(Fayolle and Gailly, 2015). The business canvas model have 9 different category of inner
business activities and processes of a company such as Customer Segments, Value Propositions,
Channels, Customer Relationships, Revenue Streams, Key Resources, Key Activities, Key
Partnerships and Cost Structure. For the new business idea of E tech coffee multimedia cup the
business model canvas is discussed below:
 Key Partners: An company shapes relationships including its strong-quality suppliers in
order to build effective, simplified activities and minimise the risk connected to any
business strategy. Key partnerships were the manufacturer and partner channel that
supplement one another to helping the company generate its business model. In the
context of new business idea of reusable electronic multimedia coffee cup there are some
of key partner. Such as government which passes the business idea, suppliers that provide
essential valuable raw material, manufactures those produce the cup, investors which
provide funds, coffee drinkers all customer and valuable staff member that manage
business operations.
 Customer segments: The consumer category is an integral section of the business model
for an enterprise and is vital to achieving compatibility of product offerings with the
requirements and desires of the consumers. The possible customer segmentation for E
tech coffee cup are Italian coffee enthusiasts, AB and C1 social Grade people, customer
those are interested and attached with latest technology and innovation. They main
customer segment of company is individual those are focused to save environment and
want healthy and long life.
 Value proportion: The value proposition creates value across a variety of qualities like
flexibility, quality, "getting it done," brand/position, style, innovation, size, costs and
risks management, availability and accessibility/accessibility (Harrison, Leitch and
McAdam, 2018). In the context of E tech multi-purpose cup the main value proportion
are premium Italian coffee, multimedia cup with wide screen, improvised customer
services, fast contactless payment option. The main value proportion to customer through
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this product is that it will save time and money of customers. These value proportion will
make multi-purpose cup popular amount services class customer and people those have to
travel for longer duration in a day. This is because customer have to carry different
devices but by using this cup they are able to enjoy several benefit at a time.
 Channels: The mechanism by which a company supplies its consumer group with its
value proposition is recognized as a network. An company has different channel options
and the choice is focused on both the channel which is the easiest, most effective and
needs the minimum level of investment. There will be two specific types of networks;
channels owned by companies like store fronts or joint outlets like suppliers. A company
can choose either to choose one or to use a mixture of both. The manager of introduce
different channels in order to increase their popularity of product in market such as
promoting and advertising. The implement World of mouth technique in order to
popularise the features of coffee cup, through social media platform such as Facebook,
Instagram etc. to promote cup. They promote product by issuing Loyalty card and
rewards card to all existing and new customer as well as offer coffee sample to customer.
 Customer relationships: It is necessary for the companies to choose the type of
relationships they are going to share with respective customer group so that financial
sustainability and strength can be determined (Farhangmehr, Gonçalves and Sarmento,
2016). In order to make Coffee cup popular among customer group the company make
certain methods such as 255 to those customer which are making payment thorough
multimedia cup, provide employee specific lunch break, focus on great customer
services. They also give importance on conversational and friendly attitude with customer
so they might feel comfortable and be able to fulfil their needs.
 Revenue stream: A revenue stream is the practice implemented by a company that
bought a good or service from its client divisions. The above-mentioned methods could
be used to build an income stream such as assets sales, usage fee, subscription fee,
licensing etc. At the end of the day, it is essential to focus on possible options that are
available for company to generate revenue. The focus of company while producing E
tech coffee cup in to make sufficient revenue in order to meet the desired objective. Thus
manager implement innovative technology to produce and expand business by
maintaining strong communication with potential stakeholders. They use to store data and
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take the advantages of lead start up entrepreneurial opportunity thus able to provide
number of additional features with multi-purpose cup.
 Key Resources: These are the company's properties that are central with how it gives its
consumers interest. It is important to classify capital as cultural, political, intelligent and
physical. When the latest resource chart is accessible, the business firm will be able to
determine what it will need to spend in such key resources to run a profitable business
(Bonnell and Gold, 2015). In order to make the desired product available in market some
of the essential resources required are Italian coffee beans, strong knowledge about social
media, enough space to store and protect the final product. There must be appropriate
contactless card reader so that customer can avail the offer easily and most importantly
skills and professional staff member.
 Key activities: Events which are essential to the business model of the corporation. An
businessman begin by organising the main business-related activities which will add
value to the company. These operations are the most essential procedures to take place in
order to be successful in the business strategy. Some of the some activities related with
innovative coffee cup are developing and adding technical features, use of better and
improvised ideas, promoting through number of channels. They established team which
is responsible for maintaining the quality of coffee and making update or modification as
per customer feedback.
 Cost structure: This determines the cost as per a specific model of starting a business.
Companies can be either price-driven, i.e. based on reducing investment, or price-driven,
i.e. dedicated to providing the consumer with highest value. The cost structure for clever
cup are categories into software development, marketing cost, material cost, cost of
promotion, rents for premises, salary to employee.
Specialist contribution
Chief financier officer plays an important role in Reusable coffee cup with incorporated
multimedia screen and contactless payment technology. A chief financial officer is the senior
executive accountable for managing or handing the financial actions or activities of an
organisation. They plays effective role by arranging amount of capital. The function of CFO is
most important in nay project because they have to take care of financial aspects. Their focus is
not only upon the distribution of finance but also they provide emphasis on their effective usage
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of completion of work in most profitable manner (Fayolle and Gailly, 2015). The current project
is about production of reusable cup along screen and having the facility of digital payment. The
overall production aspect along with the use of technology is expensive in nature so, successful
allocation of funds help to build in effective way. The chief financier officer may support with
cost benefit analysis, forecasting and getting funding for different initiatives. In any type of
organisation, CFO is the upper ranking position because with their support many departments of
an organisation can not work in proper manner. CFO in respect to the current product distributes
the funds in the different department which is production, technical and R&D. Along with this,
there are another different roles and responsibilities of CFO within an enterprise such as financial
planning, short and long term business strategy, reporting and controls, investments, hedging,
cash management, mergers and acquisitions, corporate finance, auditing, internal risk
management, and accounting. These are major roles which helps an organisation in development
of its new product and also assist them to increase customers. With the help of CFO business
organisation will more able to take any kind of decision and achieve better results within given
time duration. Another role of CFO is to support any other department of business which turn to
helps business to accomplish their long term goals and objectives (Harrison, Leitch and
McAdam, 2018).
Effective distribution help each of them in performance of their function perfectly
without any errors along with optimum utilisation of resources the duty of the ascertainment of
the effectiveness is also upon CFO that funds are effectively utilised or not. While following this
duty they have to prepare the report which includes the information about the amount of work
completed and the fund spent on the same. The performance of this function associated with
multiple benefits such as help in completion of the project in predetermined cost. The failure of
project is upon the CFO that if functions are not performed as per the predetermined standards
then this will results into loss. Guidance of CFO have direct impact over the increment in the
power of all other functioning department which provides an opportunity in optimum utilisation
along with attainment of overall business goals. So, it is very important for the CFO to know
their duties and work and perform in accordance to the same. This will provides an opportunity
to build the effective project team along with the accomplishment of objectives (Farhangmehr,
Gonçalves and Sarmento, 2016).
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Financial and Financing Plan
The financial projection is focused around six key areas as investment, cost analysis,
revenue projection, break even point, taxation and charity (Mcmullan and Kenworthy, 2016).
These are discussed as follows:
Investment: the business model requires overall capital requirement of £100000. The
investment made by four investors equally.
Cost analysis: Considering all the relevant aspects regarding expenses it is observed that
organization would have to pay £9400 at initial level. The allocation of fixed and variable
expenses also required to maintained more strategic and effective manner. It is required to
generate optimistic contribution amount to overcome the fixed cost, regarding this cost volume
and profit evaluation is required to assess in organizational context.
Revenue projection: It is expected that organization will get favourable sales figures. It
is anticipated that organization will produce 48000 units in first quarter with sales revenues of
£146400 and 60000 units of production at last quarter with £183000 revenues. So, it is projected
that organization will sell 108000 units and gain £329400 sales revenues. The profit for the first
two quarter will be £24000, £30000 for second quarter. So, the annual profit states the sum of
£54000.
Break even point: This is considered that state of an organization at which profit and
loss remain equal. It reflects that organization is neither having losses nor profit (Fellnhofer,
Puumalainen and Sjögrén, 2016). Considering all the fixed expenses as legal fees, insurance,
advertisement, depreciation and communication, telephone expenses the fixed cost would be
£17960. It is analysed that the contribution per unit will be (£3 - £2.5 = £0.5) unit and the break-
even units required to sell by entity will be 17960/0.05 = 35920.
Summary
From the above all discussion, it has been summarised that investing in a business like E
tech coffee cup is totally beneficial. As it is totally a new business idea which will reduce the
burden of customer of carrying several device when travelling or any other situation. There will
be huge profit on any specific investment because multi-purpose cup is capable in satisfying
different need of customer at a single specific time. The various effective features will make
product popular in existing market that directly increase the sales revenue and generate more
profit margin. It is also useful for environment as can be used again again and in case of any
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technical fault can be easily modify. It really is essential to identify when establishing revenue
streams that such an acceptable cost for the good and product will be achieved through
evaluation process. Lower price variants must be mentioned and assessed. It has some unique
combination such as the in build music system with an irresistible moment of a coffee. As well
as the items that is able to raise the likelihood of customer by providing number of useful
features.
CONCLUSION
In the conclusion it has been founded that It was initially created as a guideline to make
sure that there is a some relation between the market and the product. The Value Proposition
Canvas could be used to modify a current product or value proposition or to create from ground
up a new product line. Thus, BMC is defined as the visual presentation of present and fresh
business ideas specially which is used by the companies strategic manager. It basically provide
the individual a specific language by which it is easy to evaluate the traditional program and
create innovation within business models.
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REFERENCERS
Books and Journals:
Jain, R., Ali, S. W. and Kamble, S., 2015. Entrepreneurial and intrapreneurial attitudes:
conceptualization, measure development, measure test and model fit. Management and
Labour Studies. 40(1-2). pp.1-21.
Bauweraerts, J. and Colot, O., 2017. Exploring nonlinear effects of family involvement in the
board on entrepreneurial orientation. Journal of Business Research. 70. pp.185-192.
Kalar, B. and Antoncic, B., 2015. The entrepreneurial university, academic activities and
technology and knowledge transfer in four European countries. Technovation. 36. pp.1-
11.
Fayolle, A. and Gailly, B., 2015. The impact of entrepreneurship education on entrepreneurial
attitudes and intention: Hysteresis and persistence. Journal of small business
management. 53(1). pp.75-93.
Harrison, R. T., Leitch, C. M. and McAdam, M., 2018. Breaking glass: Towards a gendered
analysis of entrepreneurial leadership. In Research Handbook on Entrepreneurship and
Leadership. Edward Elgar Publishing.
Farhangmehr, M., Gonçalves, P. and Sarmento, M., 2016. Predicting entrepreneurial motivation
among university students: The role of entrepreneurship education. Education+
Training. 58(7/8). pp.861-881.
Bonnell, V. E. and Gold, T. B., 2015. The new entrepreneurs of Europe and Asia: Patterns of
business development in Russia, Eastern Europe and China. Routledge.
Mcmullan, R. W. E. and Kenworthy, T. P., 2016. Creativity and entrepreneurial performance.
Springer International Pu.
Fellnhofer, K., Puumalainen, K. and Sjögrén, H., 2016. Entrepreneurial orientation and
performance–are sexes equal?. International Journal of Entrepreneurial Behavior &
Research. 22(3). pp.346-374.
Online
Value-proposition-canvas. 2019. [Online] Available Through:
<https://isaacjeffries.com/blog/2018/2/27/how-to-fill-in-a-value-proposition-canvas>.
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