Innovation and Entrepreneurship: Organic Eats Business Plan

This report presents a business plan for Organic Eats, an online and offline store dealing in organic fruits and vegetables. It includes an industry profile, the business model, challenges, prospective customers, and a brief marketing plan. The report also analyzes competitors and discusses sources of funding for the business.

INNOVATION AND
ENTERPRENEURSHIP
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................4
MAIN BODY..................................................................................................................................4
EXECUTIVE SUMMARY.............................................................................................................4
START-UP BUSINESS IDEA ( PRODUCT/ SERVICES)...........................................................4
INDUSTRY PROFILE....................................................................................................................5
THE BUSINESS MODEL..............................................................................................................5
CHALLENGES OF BUSINESS IDEA...........................................................................................6
PROSPECTIVE CUSTOMERS......................................................................................................7
BRIEF MARKETING PLAN..........................................................................................................7
COMPETITOR’S ANALYSIS.......................................................................................................9
SOURCES OF FUNDING..............................................................................................................9
INTELLECTUAL PROPERTY....................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12
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INTRODUCTION
Business idea is the think which comes into entrepreneur mind and work on the that idea
to provide customers with new experience in market. This idea shows the innovation and
creativity of entrepreneur which are shown through product design, features and manufactured
process that is being used to develop new product. This report shows the new business plan of
Organic Eats that are providing organic fruits and vegetables which are high in demand around
the world. The quality fruits and vegetables are being provided to customer through physical
store and through online stores.
MAIN BODY
EXECUTIVE SUMMARY
The Organic Eats is an online and offline store where the company is dealing in products
and shown which market is being targeted by company. Business plan and point of
differentiation is being shown in the report. Challenges faces by company before generating
ideas and a brief market plan shows the London market through STP and 7’Ps. Further
competitor analysis is done to know the market and sources of funds to get investors (Kumar and
et.al., 2020). Lastly intellectual property approach is being mention to protect the business idea.
START-UP BUSINESS IDEA ( PRODUCT/ SERVICES)
The Organic Eats is dealing in fresh organic fruits and vegetables that are grown in own
farms. Selling fresh organic fruit and vegetable will help customer to stay healthy and fit by
consuming fresh items which are provided by Organic eats. The physical and online store are
provided by company where consumers can purchase products through offline store situated in
Streets of London and online store through website and mobile application. Home delivery of
products are also available to customers who are taken our premium plan of membership where
customers are being provided with many extra services which involve free home delivery,
discount offers, and many other services that will be started by company in near future (Mayer,
2018). On the other hand regular customers are being provided free delivery after the certain
amount of order to company and in limited areas coverage. Fruit like orange, banana, apple,
watermelon and etc., vegetable like Potatoes, Tomatoes, Lady-finger, capsicum and many more
will be provided to consumers.
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INDUSTRY PROFILE
As there are many high demand of organic food in market due to increase in health
conscious people are increasing rapidly which are moving towards consuming fresh fruits and
vegetables and maintain their body fitness. There is in an increase in demand of organic foods
like fruits and vegetables which are looking by consumers. The prices are not there primary
factor but the quality is considered as there primary factor that they are focusing on. This
industry is growing very rapidly as there re high profits and consumers are looking for organic
stuff in market (Nieto Llop, 2019). The preservatives and packed foods are being ignored by
consumers now a days that cause fats and cabs in body and not fit for health. This industry will
grown in most of the areas like USA and Australia where they are major focus is on consuming
organic food and consume less and less preserved foods by company. On the other hand, organic
foods are very cheap and cost less when it compare to preserved and junk food which are
consumed outside (Massa, Tucci and Afuah, 2017). The graph of UK shows that there is increase
in 9.5% growth after the COVID-19 impact. Consumers are being demanding more and more
organic food to make their immune strong and using fresh fruits and vegetables while converting
into vegan mostly. The statics shows that this industry will hit $252B in 2020. the demand for
goods are being rises very rapidly where all consumers are being avoiding packed goods to
consume.
THE BUSINESS MODEL
Due to innovation in technology and use of social media platform by large number of
individuals living in society, Organic eat has planned to make use of e-commerce platform in
order to sell its organic food products range for satisfaction of customers desired. So the e-
commerce business model includes- Business to consumers, consumers- to-consumers,
consumers- to –business and business to business (Iannuzzi, 2020). So, out of the four business
model, “ organic eat” has planned to make use of business to consumers in order to grow and
expand its business operation. Such as:
Business- to-consumers: In this model the company is producer of organic and healthy food
products that will be ultimately delivered to end customers so that their desired can be fulfilled.
So, organic eat is online retailers that deals in organic and more qualitative food products that are
safe for health and well-being of people. Therefore, company has planned to directly connect
with people by making use of digital platform such as social media, email marketing and many
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more. Moreover, it has focused on quick delivery of services to customers through making strong
network channel and distribution channel (Metallo and et.al., 2018).
Point of differentiation: The business ideas have planned to differentiate itself from others
through providing more organic, healthy and nutritional food and vegetable to customers for
their better health and well being. Company will focus on add more and more differentiate
ingredients, providing fresh food and vegetable that are extracted directly from farm. The
innovative packaging of food products will also act as point of differentiate that will contribute
in attracting maximum number of customers in limited time frame (Mullins, 2017). Therefore,
quality and packaging of products are two point of differentiate that will be used to attract more
and more customers in the organisation.
CHALLENGES OF BUSINESS IDEA
There are certain challenges related to implementation of new business idea of “ organic eat”
such as limited amount of capital in order to implement the plan. Therefore, challanges
pertaining to new business idea can be illustrated as follows:
1. Changes in business environment: there are continuous changes in business
environment in terms of policies of government, economic condition, preferences of
people and technology development. So, uncertain and numerous changes act as
challenges in better results of organic food products business. Therefore, the company
has decided to continuously monitor and evaluates change happening in external
environment to formulate better strategies for effective achievements of end outcome
(MAITLO, MEMON and SHAIKH, 2020).
2. High competition: Another challenges for the company is that there are large number of
competitors in food industry with huge market share. So company is facing challenges
related to the way it can compete with several organisations in order to earn higher profit
margin and market share (Gannett, 2018). Thereby, in order to overcome the challenges
of high competition, organic eat will focus on improving its products as per customers
preferences and wants.
3. Legislation: There are number of rules and legislation that company needs to abided in
order to implement and initiate the business idea such as health and safety, equality and
minimisation of waste products etc. So, various legislation made by government
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pertaining to start of food business is also one the challenges in gaining better outcome of
business idea (Vogel, 2017).
PROSPECTIVE CUSTOMERS
Customers are most crucial for any organisation as they are only individuals that make
purchase of products and services in order to satisfy their respective wants. The company has
planned to target all people that belong to different age group, gender, income and preference for
sales of its food and vegetables. Adults, young and older generation are invited to come and
make purchase of organic food products. Furthermore, it has set reasonable prices of products in
order to attract people from medium to high income group that will results in maximising the
overall sales of the company (Giancaspro, 2017). So, mainly the company “ organic eat” has
planned to select and target all that individual that are interested to have organic and healthy food
products to stay safe and healthy for many years.
BRIEF MARKETING PLAN
This is marketing plan that specific the way company has planned to market its products
and services in order to generate awareness among maximum number of people residing in the
society. Therefore, it can contained detailed related to marketing mix, STP that has been decided
by “organic eat” to enhance its overall profitability and sales volume in food and hospitality
industry of United Kingdom (Giancaspro, 2017). Marketing plan theory can be known as
marketing mix strategy that is mix of place, price, promotion and products are used to
attract maximum number of customers. So, marketing strategies will be used by company can
be stated as follows:
STP: This is strategy that helps in segmenting, targeting and positioning of company in minds of
millions of customers so that they are motivated to be part of it rather than other organisation for
fulfilment of their respective desired (Gannett, 2018).
Segmentation: Company have planned to segment London market on the basis of several factors
so that it can have potential customers for the firm. Likewise, Organic eat has segment people on
the basis of demographical, psychological and geographical with an motivate to effectively
understand needs of each group of individual. In terms of demographical, the company has
segment people into category of income (medium or high income group), gender (male and
female) and age (young and older). The firm has also classified people on basis of their interest
or desired to have organic food and vegetable so that they can easily influence to selected
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“Organic eat” (House. Sukhov, Magnusson and Netz, 2019). Furthermore, enterprise has chosen
geographical as basis of segmentation of people likewise the place at which they live so that they
can easily make purchase of food products.
Targeting: The company has mainly decided to target people that belong to medium and high
income group and are interested to have more healthy organic good range in their daily diet to
stay fit and happy.
Positioning: “Organic eat has planned to position its brand image in minds of customers by
enhancing its quality of food products delivered to customers. It has also decided to provide 24
hours customer’s services, resolve their grievances in limited time frame so that they are happy
and satisfied with the company (Pagani and Pardo, 2017).
7- PS of marketing
Product: The Company has planned to offer organic food and vegetable to customers with
increase in number of diseases so that they can stay healthy and safe. Organic eat will provide
fresh and more nutritional value to customers that will helps in growth and expansion of business
(Massa, Tucci and Afuah, 2017).
Price: Organic eat has decided to charge reasonable prices from people so that they can easily
afford the products and meet their desired. Company has tried to provide more value to
customers at minimum price by making optimum utilisation of available food products for
benefits of organisation (Giancaspro, 2017).
Place: People can easily make purchase of food and vegetables at offline and online store thus
can get delivery of fresh fruits, vegetable at their home. Online shopping has provided ease and
comfort to customers to make purchase of products at any time any place for satisfaction of their
respective wants.
Promotion: Social media, email marketing are the major promotional method that has been
decided by Organic eat to generate awareness among people. So, company will make use of
digital platform to make people aware about products and services in which it deals so that they
can take right decision (Sukhov and et.al., 2019).
People: Company has planned to have highly talented and skilled employees in the firm that are
ready to give better services to customers. So, company by having skilled and knowledge
employees is able to build its brand image in minds of customers thereby enhance profit margin
of company.
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Process: It has already well designed the process that will followed to delivered services to end
customers in minimum cost as well as time for better outcome. Likewise, clear definition of
roles and responsibilities, task and activities need to be completed has helped in better operation
of business (Metallo and et.al., 2018).
Physical evidences: It official websites, quality of products and better packaging will act as
physical evidences of company. Physical stores of organic eat will also act as physical evidences
that helps in motivating customers to have vegetable and other products from” organic eat”.
COMPETITOR’S ANALYSIS
There are number of competitors in the food and hospitality industry of UK, as there are
many companies that are providing healthy and more organic food products to customers.
Likewise, riverford organic farmer is one of the organisations in United Kingdom that is famous
for delivering organic vegetable box to customers. The company have generated around £60
million of revenue and having 650employees that are hardy working to deliver qualitative
services to customers so that company can enjoy high profit margin. Moreover, farmdrop is
another competitors of organic eat as it is online grocer that emphases on providing organic and
better quality of food products to customers (Iannuzzi, 2020). It carefully select producer and
farmers with an motivate to maintain quality of food products and sustain its brand image in
minds and hearts of customers. Therefore, it can be analysis that these are two major competitors
of Organic eat so company needs to focused on fulfilling needs of customers beyond their wants
in order to retained its differentiate position in market.
SOURCES OF FUNDING
Company require finance or fund in order to effectively implement the new business
ideas or meet several associated expenses for achievement of end objectives. There are different
sources from which fund can be easily raised such as bank loan, personal saving, angel etc. So,
all these are numerous sources that are used by company to implement its plan which can be
illustrated as follows:
Personal investment: There are saving of individuals which can also be used to invest in the
new business idea so that more number of customers can be attracted in the firm. Every
individuals have its saving but the amount of money is limited therefore personal investment is
also source of fund for “organic eat” which involves less lost and efforts (Mayer, 2018).
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Bank loan: It is one of the best sources of funding through which “Organic eat” can easily raise
its fund to meet all expense related to implementation of new business idea. The entrepreneur
can easily make repayment of amount in instalment or in customised thereby bank helps in
providing sufficient amount of capital as loan which can be repay after sometimes (Mayer,
2018). So, it the second sources from which organic eat needs to raise fund by making monthly
payment of instalment for better outcome.
Angel: These are individual that are mainly wealthy that are much interested in making direct
investment in small organisation with an motivate to earn maximum return on their money
invested. Furthermore, the advantages of using angel investors by “organic eat” is angel are the
leaders who make use of their experienced in order to provide guide and direction related to the
way business needs to operate (Nieto Llop, 2019). So, their experience and strong network will
helps in growth and expansion of new business idea in best possible manner.
Local grant: It is one of the funding grant of government in which it provide fund and support to
new local business start up so that they can easily start and operate their business. So, individual
can approach to local authority that will provide regional government grants that helps in smooth
operation of business at local level ().
INTELLECTUAL PROPERTY3Examples of Government Grant, 2020
It is intellectual property that is mainly used to protect new business idea being exposed
to others so that company can retained its market position in external environment for longer
time frame. Patent is the intellectual property that will be used by company to protect its
business as it given right to inventor to make use of its innovative idea. So, the individuals have
only right to make use of innovative idea, technology in order to fulfil wants of customers
beyond their expectancy level (Metallo, C and et.al., 2018). Copyright is also another
intellectual property used by organic eat that helps in protecting content that is written by
company to promote its products and services so that maximum number of people are induce in
the firm. So, copyright and patent are two main intellectual property that will be used by organic
eat in order to protect its innovative idea and contribute in expansion of business in external
environment.
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CONCLUSION
From the above report it can be concluded that Organic Eat will able to meet needs of
various customers and expand its business. The company have planned in advances to remove
the associated challenges so that best outcome can be achieved and the idea can be successful.
Moreover, it can be stated that Organic eat has make use of marketing mix, STP in order to
attract and influenced maximum number of people in the firm. At last, it can be summarised that
company by making use of different sources of fund is able to implement the plan in better
manner by meeting all the expenses.
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REFERENCES
Books and journal
Gannett, A., 2018. The creative curve: How to develop the right idea, at the right time. Random
House. Sukhov, A., Magnusson, P. R. and Netz, J., 2019. What is an Idea for
Innovation. Serv. Innov. Sustain. Bus, pp.29-47.
Giancaspro, M., 2017. Is a ‘smart contract’really a smart idea? Insights from a legal
perspective. Computer law & security review, 33(6). pp.825-835.
Iannuzzi, D., 2020. The idea.
Kumar, S and et.al., 2020. Startup Idea Validation using Machine Learning.
MAITLO, A. A., MEMON, S. B. and SHAIKH, I.R., 2020. The Social Environment in the
Development of Entrepreneurial Idea Generation and Development. The Journal of
Asian Finance, Economics and Business (JAFEB), 7(10). pp.1093-1106.
Massa, L., Tucci, C. L. and Afuah, A., 2017. A critical assessment of business model
research. Academy of Management Annals, 11(1). pp.73-104.
Mayer, C., 2018. Prosperity: better business makes the greater good. Oxford University Press.
Metallo, C and et.al., 2018. Understanding business model in the Internet of Things
industry. Technological Forecasting and Social Change, 136. pp.298-306.
Mullins, J., 2017. The new business road test: what entrepreneurs and investors should do before
launching a lean start-up. Pearson UK.
Nieto Llop, A., 2019. Business plan based on a new business idea: Ourplace.
Pagani, M. and Pardo, C., 2017. The impact of digital technology on relationships in a business
network. Industrial Marketing Management, 67. pp.185-192.
Sukhov, A and et.al., 2019. Idea screening: Explaining activities, modes and processes.
Vogel, P., 2017. From venture idea to venture opportunity. Entrepreneurship Theory and
Practice, 41(6). pp.943-971.
Online
3 Examples of Government Grant, 2020, [Online]. Available Through: <
https://fleximize.com/articles/001549/3-examples-of-government-grants>.
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APPENDIX
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