Entrepreneurship and Business Development

This report discusses the feasibility study for a new venture concept, competitive and STP analysis, proposed business model, marketing strategies, planning tools, financial techniques, and decision-making models used to mitigate risk factors.

ENTREPRENEURSHIP AND
BUSINESS DEVELOPMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
2. Feasibility study for new venture concept...............................................................................3
3. Competitive and STP analysis to critical explore the opportunity gap in marketplace...........5
4. Discussion for prposed business model in which it will work effectively and takes place.....6
5. The marketing strategies of The Gifting Tree to find success.................................................8
6. Planning tools, financial techniques and decision-making models used to mitigate the risk
factors...........................................................................................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Business plan refers to the road map which drives the business towards the positive
directions and makes it easier to identify the future outcomes for better growth opportunities.
Also, the time which is spent in planning business with accuracy forms the business with up to
date information and investment that pays off big dividend in long terms.
The purpose of this is to carry out the study for new business start up i.e. Customized Gift
and reflect the view on the entrepreneur are engines of innovation and creativity. Further, it will
evaluate the STP analysis for conducting the opportunity gaps in the marketplace. It would
discuss the Osterwalder's business model canvas and Porter' value chain which will evaluate the
business model on how new venture will work effectively. Apart from this the business and
marketing strategies will be discussed that must be followed by entrepreneur for better growth
aspect in future and making the corrections which is made by entrepreneur. By the end of report
it would analyse the financial techniques, decision-making model and planning tools should be
considered for effective terms in mitigating risk factors.
MAIN BODY
2. Feasibility study for new venture concept
The purpose of conducting feasibility study is to analyse assessment of practicality for
proposed plan and project. Also, this study evaluates the viability of project for determine
whether project or venture which is likely to succeed (Hills and Morris, 2018). For conducting
this feasibility study there are some useful frameworks that will used for the business. For the
start-up of The Gifting Tree, SWOT and PESTLE analysis will be used.
SWOT analysis -
Strengths
The strengths are the major concern for the business to enhance the efficiency of work, so
the better planning and financial sources will be the major strengths for business. These
strengths would be the key sources by which business can make to achieve the aim and
objectives.
Weakness
Having lack of market research as well as lack of skilled working employees could
develop the weaker aspect for business productivity of work and reflect in negative manner.
Opportunities

The new technological advancements would be the best opportunity for customized gifts
venture which would reflect in form of developing better plans and ideas for future.
Threats
The major threat impact ca be provided by competitor in markets and similarly the
change in behaviour of consumer related to purchase will immensely impact and drive to the de
growth in market share.
PESTLE analysis –
political factor -
All of sudden change connected to trade policy, political stability and some other terms
can reflect disadvantage for The Gifting Tree. In order with same increasing amount of stress
which drive entrepreneur aid for strategic preparation that is necessary.
Economic factor -
This factor will be beneficial for new venture which allow the organization to enhance its
productivity as well as profitability by taking chance in provision of service to customers. Thus,
entity can make profits by generating revenue by availing facility for potential customers who
make interest in buying customized gifts products like cards, gifts, mugs, watches etc.
Social factor -
By going through the demand of customers as well as trends of market will be social
factors, it will positively impact on The Gifting Tree. On the same note company will
manufacture customized gifting products according to people choice which will fulfil their
needs.
Technological factor -
The technological progress impact over productivity and management performance of
organization. It is to drive the attention to the digital marketing technologies which would be
supportive to get the target audience attention (Issa and et.al., 2018). The use of social media
will be highly effective to gain the customers interest and provide them information regarding to
offerings in which it generates the valuable image in new market.
Legal factor -
the several changes in business operations, marketing and consumer safety are legal terms which
may drive negative impact on the performance and practices of entrepreneur. The work pressure

can be increased and change their attention towards possible changes for sustaining in
marketplace after launch of new product.
Environmental factor -
Governmental bodies and customers are concerned with sustainable environment or it can
be said that sustainability impact new venture positively. Thus, positive effect on the gifting tree
and entrepreneur incline with unique services such as customized gifts items in market by
developing valuable position in consumer mind.
3. Competitive and STP analysis to critical explore the opportunity gap in marketplace
The competitive analysis refers to process of managing the strategic study or research by
which the major factors can be determined and information can be collected. By following to the
same procedure it will be easy to execute about competitors who can provide destructive factors.
Porter's five force -
Bargaining power of customers -
The bargain power of people is low due to lack of convenience of customized gift products in
such market as well as it increases their level of satisfaction.
Bargaining power of suppliers -
This power of supplier will be low as being new venture it will enable to develop the
trustable relations with suppliers and work to build the relations more effective. They may
provide contribution in achieving the target goals of entity.
Threat of substitute product -
The threat of substitute product will be in lower terms as such the service of customized
gifts is relevantly low in such markets and The Gifting Tree has chance to increase their sales
by moving further with provision of range of services.
Threat of new entrant -
In current situation threat of new entrant is in lower terms due to the business is taking
place in the specific extent of providing service, but in moving to the future aspects threat may
arise which should be considered by organization in order to maintain the valuable image. It will
provide positive impact on the new venture as well as for entrepreneur to grab existing and
further success chances (Chung and et.al., 2021).
Competition among existing companies -

The competition in the market of gift segments is high as such there are other vendors
who are supplying the gift items, the high competition in the specific sector will provide negative
for company as new start up business in form of increasing work pressure upon management and
candidate to add more value which help to gain benefits.
STP analysis -
Segmentation -
The gifting tree venture as well as management accept the demographic and behavioural
segmentation plan of action in which it describes about the target audience. The segmentation is
necessary for considering the aspects like income, age, interest, gender etc. of target audience
with the brief description of product knowledge to them and enhance their interest in spending
patterns.
Targeting -
The main aim of conducting this is to target the right audience, organization will make
initiative to apply undifferentiated tactic. This plan of action will help to target the people who
are millennials. By targeting the right audience business will run effectively and grow rapidly in
order to start selling products which drives their attention and reflect towards their reason for
buying rather than making change in buying other facilities which falls under the same.
Positioning -
In this step, organization may take approach to set valuable brand image for target
audience in order to fill gap and gain benefits (Daněček, 2018). The social media platforms will
be adequate for this in promoting mission and vision of venture i.e. to fulfil the needs of
customers and enhance their level of satisfaction.
4. Discussion for proposed business model in which it will work effectively and takes place
In elaborating to the Osterwalder's business model canvas, it is the strategic management
model that support entrepreneur to design, define and execute business models. Those business
models are described in the book known by business model generations. Thus, for customized
gifting business this model will be appropriate for providing new business ideas.
 Customer segments : The most appropriate audience for the Customized gifts would be
specially millennials under-age of 35, as they are likely to personalize the gifts compared
to other customers.

 Value propositions : the business will work at providing the better offerings for people
who used make purchase of customized gift products. This will be effective for people
who love to shop and have interest in this kind of products (Geissdoerfer and et.al.,
2018). The customization is new trend which would efficiently work for gaining the
people interaction towards the services being provided.
 Revenue stream : in discussing to this some of various sources such as advertisement
and social media platforms work as revenue stream for business. These streams build
customer interaction towards product and allow them to spend wisely. Apart for this
physical store will provide the facility at the prime locations of UK.
 Channels : These are essential source for conveying the message and useful information
for promoting the products and service being offered by business. Different sources will
be used for enhancing the communications with several people to get the positive
outcomes for business to run smoothly.
 Customer relations : the main aim will be provided to this factor for maintaining the
relations with customers in effective ways and taking feedback on regular basis to
improve the quality of service and develop the better image for business.
 Key resource : for the following business resources will considered as the items will
required for business purpose which includes all the craft items, decorative materials and
other customization products.
 Key partner : the main key partners for business includes suppliers, employee,
manufactures and supervisor (Delafenestre, 2019). The supervisor will be looking at
working of employees and guide them in appropriate ways for getting the competitive
advantage.
 Key activity : The activities will be considered by business to enhance the service and
product quality and managing the operations effectively. The major aim will be to get
customers trust by assessing market campaigns.
 Cost structure : the cost will cover all the business expenses that includes fixed cost and
other cost expenses for raw materials.
By following to the Porter's value chain model, it is the study of primary and secondary
that should be considered by business for handling day to day business operations. In order with
same following to the framework business can easily carry out the innovative ideas and critical

thinking aspects for success. For Customized gifts, business performance can be improved
through determining the core areas of business (Schmuck, 2021). In similar way, following the
appropriate strategies will be beneficial for business to grow its market share in competitive
industry.
5. The marketing strategies of The Gifting Tree to find success
There are the 4p's of marketing mix which will help The Gifting Tree to know about the
market place and helps them to inform about the product publicly.
 Product- It refers to the goods that a company can offer to customers, which will fulfils
the customer demands (Putulowski, Ardito and Crosby, 2021). The Gifting Tree will
help customers to gift customize things like, handmade cards, customize printed T-shirts,
customize coffee mugs, customize watches, funky personalized character, custom song
plaque and personalized bottle with names etc.
 Price- The pricing of a new product plays a major role in the business marketing. The
Gifting Tree's price will be low and affordable for the customers. For the first purchasing
their will be a certain discount to the customers to attract their attention towards this
product. T
 Place- The place for The Gifting Tree are choosing the centre of country which helps
them to attract more customer towards their product. The Gifting Tree will have the
online presence also, which helps customers to buy the product easily. They will have
their product's page on social media, though they can find the better customized gift for
themselves. Promotion- Promotion helps entrepreneurs to make their product publicly and to know
the customers about the new products. The Gifting Tree will make their online page with
the help social media. They will promote their business through advertising in
newspapers and hoardings (Rajath and Santhoshkumar, 2020.)
There are two common mistakes that first-time entrepreneurs make.
1. Impatience- Many entrepreneurs does not have an enough patience level, they want their
business's outcome in a short period. Which make them to do the mistake, entrepreneurs
should have patience to wait for a success which will come on the fixed time.2. Hiring friends- Some entrepreneurs starts their business with the friends as a
partnership. An entrepreneur should be careful about the hiring process which means
friends or anyone else the job refers on the basis of the skills and qualifications.

There are few strategies used for growth, consolidation and underperformance.
 Market penetration- The main motive of this strategy helps to increase the sales of the
previous products in a previous market rates to increase up the shares of the market. This
strategy helps marketer to left away the competitor to ensure the customers will buy the
previous products frequently.
 Product development- Its objective to launching the new products in existing
marketplace. This used to increase the customers to complete and increase the marketer's
turnover.
 Diversification- It is a riskier strategy, which involves the new marketing process by the
company of the new product which they are going to launch. It include the selling and
purchase both to make an effective marketing strategy.
6. Planning tools, financial techniques and decision-making models used to mitigate the risk
factors
In planing tools, the plan for risk management must be adequate for business concern to
acquire the data for uncertainties sources which can negatively impact on the business
operations. The knowledge further can be improved through acquiring information sources being
attentive about competitors. The risk aspects always drives and result negative outcomes, it is
essential for business to prioritize risk causes and threats to improve the quality of service as well
as productivity (Kaya, Çolak and Terzi, 2018). This can be done by following the effective
planning tool i.e. risk management by which business can formulate the quality of output with
customization of gifts to the respective customers.
The leading concern in this for business is to analyse the risk factors that would be
significant for maintaining the stability and positioning in market. Whereas, decreasing risk
factors are supportive in improving the ability of business by which business become more
productive with increase in market share. By concerning to the financial techniques it would be
very effective for business to reduce risk outcomes and make the business stable with same. The
financial techniques will make easier for business to minimize the complexity. For the following
business insurance will be used as financial tool for assistance and decreasing the outcomes of
loss such as damage to product or store. In such situations, compensation should be provided and
so on business can easily run their operations smoothly.
In discussing to the decision-making model, the most appropriate model for this would
be creative decision-making. It is the framework for clear thinking and developing creative ideas

for The Gifting Tree also, it can be said that it is ability of determining all the visual aspects and
providing solutions to problem in such innovative ways. Further, better options can be launched
by offering the unique ways that will be suitable for business to provide enhanced quality o f
service. There are several steps in decision-making model which will cover all the areas.
Problem identification -
In this stage, it covers the identification of issues being caused by negative impacts,
similarly the monitoring will be implemented on regular basis. In problem solving the effective
strategies will be used for gaining the increased outcome.
Immersion -
This stage is relevant with decision maker in which gathering of information is conducted
(Siksnelyte and et.al., 2018). By the collected information it will provide better understanding
about the major situation and rendering the efficacious methods to execute the profitable aspects.
Incubation -
In this step the process starts with analysing and thinking for mitigating the risk factors in
adequate ways. All other information for external aspects will help to gain the competitive
advantage.
Illumination -
The decision maker establish the appropriate solution for solving issues and simplifies the
service and productivity as such for new venture in particular industry.
Verification stage -
The verification stage direct aligned with implementation in which results formed by
decision maker are concerned. Similarly, the decisions are formed in terms of decreasing the
destructive impact which is determined that The Gifting Tree may face.
Although, the decision-making model is effective for assessing and mitigating risk which
forms limitation for business operations. By following the useful ideas and strategies it will
reflect positively in implementing the effective change for future success outcomes for
organization (Wang and et.al., 2018).

CONCLUSION
From the above text, it had been executed the feasibility of study for new venture in
which it describes the SWOT and PESTLE analysis as framework to discuss the external and
internal factors. For The Gifting Tree it will provide the ability to introduce the effectual step
relevant industry with the help of different approaches. Similarly, it shows that those approaches
enables to generate the better advantages for the concerned sector. Apart from this for
competitive analysis Porter's five force model is been used to carry out the various aspects
related to business research. Also, STP analysis has been taken into practice as support for
segmenting target audience for business and reinforced plan for driving their attention and trust
towards service being provided.
Moreover, it discuss about the Osterwalder' business model and Porter's value chain, by
concerning to these it has been summarized that such both models work effectively for business
in enhancing the quality and service for measures in supplying the better favourable outcomes by
developing the better quality of service to audience. At the end of report it evaluates the financial
techniques, planning tool and decision-making model which shows the importance in business to
determine the challenges.
REFERENCES
Books and journals

Chung, Y.S. and et.al., 2021. A 4D Analysis Framework of Competitive Advantages and
Development Strategies of Urban Science and Technology Parks: The Examples of
Taipei Neihu Technology Park and Nankang Software Park. Journal of Internet
Technology. 22(6). pp.1313-1333.
Daněček, J., 2018. A Competitive Analysis of a Selected Company.
Delafenestre, R., 2019. New business models in supply chains: a bibliometric
study. International Journal of Retail & Distribution Management.
Geissdoerfer, M. and et.al., 2018. Business models and supply chains for the circular
economy. Journal of cleaner production. 190. pp.712-721.
Hills, G.E. and Morris, M.H., 2018. Entrepreneurship education: a conceptual model and review.
In Educating entrepreneurs for wealth creation (pp. 38-53). Routledge.
Issa, A. and et.al., 2018. Industrie 4.0 roadmap: Framework for digital transformation based on
the concepts of capability maturity and alignment. Procedia Cirp, 72, pp.973-978.
Kaya, İ., Çolak, M. and Terzi, F., 2018. Use of MCDM techniques for energy policy and
decision‐making problems: A review. International Journal of Energy Research. 42(7).
pp.2344-2372.
Putulowski, J.R., Ardito, R. and Crosby, R., 2021. A Quantitative Investigation: Applying the
4P's of Marketing to Entrepreneurial Accounting and Tax Preparer Firms. Technium
Soc. Sci. J. 21. p.582.
Rajath, K. and Santhoshkumar, N., 2020. Effectiveness of marketing strategy of ‘neera health
drink’with reference to the 4P’s of marketing. IJ360MR. 7(4). pp.2320-7132.
Schmuck, R., 2021, July. Business Models in Contemporary Strategic Management.
In International Scientific Conference Strategic Management and Decision Support
Systems in Strategic Management (pp. 120-125).
Siksnelyte, I. and et.al., 2018. An overview of multi-criteria decision-making methods in dealing
with sustainable energy development issues. Energies. 11(10). p.2754.
Wang, R. and et.al., 2018. Methods for MADM with picture fuzzy muirhead mean operators and
their application for evaluating the financial investment risk. Symmetry. 11(1). p.6.

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