Entrepreneurship Development: Online Travel Agency Business Idea

Entrepreneurship
Development

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Introduction.................................................................................................................................3
Customer value proposition canvas............................................................................................5
Lean business model canvas.......................................................................................................6
The C level specialist contribution..............................................................................................9
Financial and financing plan.....................................................................................................10
Summary...................................................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
APPENDIX 1.................................................................................................................................13
APPENDIX 2.................................................................................................................................13

INTRODUCTION
Entrepreneurship development refers to the process of developing the skills and
knowledge of an entrepreneurs through facilitating several training and classroom programmes.
The main motive of this term is to increase in the number of entrepreneurs who develop a unique
business idea. For the purpose of attaining the market success, it is very essential for a business
entity to ensure that they are capable to introduce a new and creative products as well as services
in the marketplace. This report is based on the new business idea which is based on the online
travel agency as it will be introduced by the Phaeton Tours. It will be launching in 2020 in
Romania, United Kingdom. Under this report discuss about the several elements that includes
introduction of new product, customer value proposition canvas, lean business model canvas as
well as contribution of C level specialist contribution. In addition, the financial and financing
plan with the specific reason of making investment in lean entrepreneurial opportunities also
studied in detail under this assignment.
MAIN BODY
Introduction.
New business idea of online travel; agency is being defined by the CEO or the founder of
Phaeton Tours. It is a new agency that is based in Romania and it offers a planning resources and
booking capabilities by using an online platform in order to shape personalised offers for
travelers. The company will be focus on their motto which is related to “having stories to tell, not
stuff to show” that means the life of a person is filling with experiences not the things (Leonidou,
2018). Phaeton Tours choose Romania for destination as they want to fulfil the market demand
or needs which is related to the new and undiscovered destination as well as it is not only about
Dracula, nature and ancient ruins. The services of company will be physically possible from A to
Z at a cheaper rate also and along with these facilities a company serve many packages from
medical to nightlife packages. The objectives of a company for upcoming three years that are
prepared by the CEO of the company which as follows:
 Attract a large number of tourism so that maximum profits could be generated.
 To launch a successful business in the market as well as generate huge sales.
 Raise profit by 3% every year for next three years so that more money could be arranged
to perform operational activities and function in future.

Selling determines the cost of tour packages in order to facilitates standard services to its
customers or tourism. Selling price for tour and travel package as well as price per candidate are
calculated as follow:
Particulars Prices for 5 days (in £) Prices for one night (in £)
Accommodation cost 12000 3000
Conveyance cost 7000 1700
Visitor attraction charges 2500 700
Charges of tour guide 1200 300
Food charges (Including
breakfast, lunch, dinner)
15000 4000
Total cost 37700 9700
ADD: Profit margin 12441 3201
Sales price 50141 12901
The above price estimation table shows the different packages which is for individuals
and classified as per the one night and for 5 days charges of a single person. As it clearly shows
that the total prices of selling tour and travel packages should be 50141 for 5 days and 12901 for
one night including food package. Whereas excluding the food package determine the prices of
one night and 5 days are respective 30191 and 7581 only. From which tourist can make their
own judgement after considering all elements and select operators as per the requirement and
price factor of a company.
From the above estimation of sales price a company can calculate profit and loss of next
three years that are as follows:
Particulars First year Second year Third year
Packages sold 200 300 400
Sales for one night 2580200 3870300 5160400