logo

Entrepreneurial Strategy - The Little One Coffee Shop

   

Added on  2021-02-20

13 Pages3905 Words31 Views
EntrepreneurialStrategy
Entrepreneurial Strategy - The Little One Coffee Shop_1
Table of ContentsINTRODUCTION...........................................................................................................................1Situational Analysis....................................................................................................................1Strategic situation........................................................................................................................5Business strategy.........................................................................................................................8CONCLUSION .............................................................................................................................10REFERENCES .............................................................................................................................11
Entrepreneurial Strategy - The Little One Coffee Shop_2
INTRODUCTIONEntrepreneurs plays a key role in economy. There are the individuals who have essentialskills in order to effectively anticipate current as well as future needs into the potential market.Within an economy entrepreneurship is a combination of land, natural resources, labour, capitaland several others through which profit in an organisation can be effectively generated.However, in order to effectively carry out business activities implication entrepreneurial strategyis must. Entrepreneurial Strategy is basically a process under which developing a new product isthe prime objective which is essentially helps an organisation to gain competitive advantage.Furthermore, these strategies generally comprises of special adoption of techniques forinnovation which essentially helps in running business operations appropriately. This report isbased on The Little One coffee shop which was founded in 2009 (Byrne, 2016) . Moreover, thiscoffee shop is owned by husband and wife. Prime products sold under The Little One includesroasted coffee, own baked muffins, and crepes. Moreover, the outcome of this report is based onrange of entrepreneurial strategies which can be adopted in order to effectively carry businessoperations. Furthermore, evaluation is also made to identify organisation's strategic situation aswell as development of smart business objective is considered. Lastly, implementation ofstrategy is made in order to effectively achieve the desired business objective with properefficiency. Situational AnalysisThe BCG MatrixBoston Consulting Group (BCG) Matrix, is a strategic tool which essentially helps anorganisation is effectively understand strategic options available to a respective company(Cannavacciuolo and et.al., 2017). Through implication of these strategies the exact position ofproduct which is an organisation provides is identified. This matrix is divided into four quadrantswhich are mentioned below: Stars: Stars within an organisation usually offers high growth and essentially helps inattaining high market share. It is a area where company primarily aims at investing,because stars are expected to become cash cows. With respect to The Little one coffeeshop stars for them are roasted coffee which they provide to their potential customers.1
Entrepreneurial Strategy - The Little One Coffee Shop_3
Several strategic choices might to adopted like: Vertical Integration, horizontalintegration, market development and several others.Cash Cow: These are the most profitable product which an organisation sells in thepotential market. For The Little one cafe the cash cow is muffin where company notinvest. Moreover, product development, diversification, retrenchment and several othersuch strategies might be adopted. Question Marks: Under question marks products which requires closer consideration areincluded. It holds low market share under fast growing market and further it consumeslarge amount of cash incurring losses. Crews produced by The Little One cafe isconsidered under this. In order to effectively solve the issue market penetration, productdevelopment and several other strategic choices are be adopted. Dogs: These are the products which have low growth and market share. Furthermore,dogs are cash traps this is because the money tied up within the business. With respect toLittle One coffee shop, dogs for respective organisation would be some products are tooexpensive which gradually results in decreasing the demand. BCG basically aims at identifying increment of a product which results in increasing thecash generations (Colombo and et.al.,2016). At glance it is tool to view organisational portfolioand resource allocation. Furthermore, BCG Matrix is based on the theory that an increase inmarket share will eventually help in increasing revenue through economies of scale. Porter's Five Forces model: Porter's Five Forces basically aims at identifying the fivecompetitive forces which essentially shapes every industry. Furthermore, strengths as well asweaknesses of a industry is effectively identified through implementation of this model. Allthese forces basically helps in identifying the level of competition which shall be faced.Effectively understanding the competitive forces helps an organisation in identifying the rootareas of how profitability is earned. The porter's five forces are mentioned below in detail: Bargaining power of Suppliers: Aroma Cafe usually faces weak force of bargainingpower of suppliers. This is because there is large availability of suppliers under beverageindustry (Drucker, 2018).Wherein each of these suppliers adopt several strategies againsteach other with aim of gaining revenue. Bargaining power of suppliers usually weakensthe overall supply in the respective industry. 2
Entrepreneurial Strategy - The Little One Coffee Shop_4

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Entrepreneurial Strategy - BCG matrix Assignment
|13
|3931
|35

Developing a Strategy for ELIVISA Company using BCG Matrix
|7
|1011
|180

Planning for Growth: Strategies and Funding for Shoreditch Grind
|18
|5514
|50

Strategic Management of Tesco
|12
|794
|239

Planning for Growth
|15
|4999
|56

Growth Planning for Small and Medium Enterprises
|17
|4665
|39