Innovation and Entrepreneurship: Business Idea for a Vegan Restaurant

This report discusses a business idea for opening a vegan restaurant, considering the current trend of people shifting towards vegetarian and vegan food. It includes market and industry analysis, SWOT analysis, and financial requirements for starting the restaurant.

Innovation and
Entrepreneurship

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Business development idea.........................................................................................................3
TASK 2............................................................................................................................................4
Business plan...............................................................................................................................4
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Business idea refers to the generation of a new and innovative concept upon which an
entrepreneur is going to set up a foundation or base for its business. The promising business
ideas have various characteristics some of them may include innovativeness, uniqueness,
profitable and attractive. A business idea should have all these characteristics if it wants to run
successfully in the market place. This report includes an new business idea and the related road
map. It also includes the other details like market analysis, industry analysis, SWOT analysis and
the financial requirements.
TASK 1
Business development idea
As a unique and innovative business idea, I have come up with the concept of vegan
restaurant. Now a day the people are becoming very much concern about their eating habits.
They have become very choosy with respect to the food they eat. There is a major shift in the
choices of food has been seen from non vegetarian food to vegetarian foods. Increase in the
supply of adulterated non vegetarian food is one of the major reasons for the people to change
their eating habits. Other reasons may include inhumane cruelty done to animals, the meat food
also provides various impact upon the health of people, and some has left these food products for
the betterment of environment (Caneque and Hart, 2017).
It has become a current trend where the people are considering more vegetarian food over
non vegetarian. In vegetarian food also the customers have become very choosy and prefer only
healthy food to keep their body fit and free from any fat and carbohydrate. Therefore keeping in
view this current trend, I have developed a business idea to open up an restaurant which provides
and satisfies this current food trend of people. I have planned to open up a whole vegan
restaurant which offers a healthy menu to the customers. The menu consists of vegan food which
would get present in a more innovative and tasty way. The menu which I have planned for my
restaurant would be also gluten free. I have chosen this idea because I believe this concept is
very vogue, profitable, unique and can attracts majority of customers. Whereas the vegan food
provides the customers with a lot of advantages like more healthy diet, healthy and fit heart,
more intake of vitamins, concern about environment and moral values towards other species
(Etzkowitz and Zhou, 2017).

To grab this opportunity I have come up with this particular idea for opening up this
vegan restaurant. As there is a trend running with respect to this concept, I believe it would be
easy to get establish in the market place. I also observed that the more trendy and new the
concept will be, the more it would get easy to establish the business at the market. This concept
has the ability to gain the competitive advantage over the other establish restaurant.
TASK 2
Business plan
As my business concept has been set properly, I have later made various analysis which
has helped me in making the business plan in a more efficient way. These analysis are as
follows:
Market analysis: It has been observed that the people face problem with relation to their non
vegetarian eating habits. They are now wishing to shift their eating habits from non vegetarian to
vegan. The customers needs and demands are now towards more vegetarian and vegan food. And
the business idea which I have come up has the ability to satisfies these customer needs by
providing the kind of food they all are looking for. The Porter's five forces products which I have
planned to offer would satisfies the need and demand of people who are looking for tasty vegan
food. My business concept will satisfy the problem of those people who are facing difficulty in
finding out the tasty vegan food restaurant (Kerr, 2017). The market which my business has
planned to target includes the people who have the interest for eating vegetarian and vegan food.
For opening up a restaurant, I have planned to develop it in a medium size which can
accommodate around 50 -60 people at a time. The restaurant will be located at the place where
there would be more rush of people like office areas, main market, malls or mega markets and
the like. The restaurant will provide the value of tasty and healthy food to the customers which I
believe can also work as an USP for the same.
Through the market research and analysis it can be observed that the trend for vegan food
is such which would get increase with the time. The market growth in this particular industry is
in its increasing phase and this will increase more with time as more and more people are getting
influence to become vegan (Nambisan, Wright and Feldman, 2019). There is a lot of scope and
growth in this particular industry which can provide a lot of profit to my restaurant once it is
establish as per plan.

Industry Analysis: The industry analysis for vegan food industry can be performed through
Porter's five force industry model which is as follows:
Threat of new entrants: There is a low degree of restriction upon the entrance and exit of
organisation. This creates a burden upon the organisation of getting new competition into the
market place as there could be more competitors coming up with this concept.
Bargaining power of suppliers: The bargaining power of suppliers refers to the degree of
control or application of terms and conditions of suppliers upon the organisations. As in the case
with vegan industry the bargaining power of the suppliers are very low as there are many
suppliers available to the restaurant for providing them with the materials they want that to at the
reasonable prices. Therefore in this respect the restaurant has the upper hand.
Threats of substitute: Substitute are the products which can replace the products which
are offered by the restaurant with similar features and low prices (Ortiz-de-Urbina-Criado,
Nájera-Sánchez and Mora-Valentín, 2018). The degree of threat for substitute in this industry is
very high as there could be more number of competitors which can come up with the mean or
products offered by the my restaurant with low price.
Threat of new entrants: The threat of new entrances is very high in this industry. As the
concept is very new there would be more chances for new organisation joining up this industry.
This would create a burden upon the restaurant to perform well and gain competitive advantage
time to time by bringing the new and innovative food menu and products to the customers.
Bargaining power of buyers: The bargaining power of buyers are very high in this
industry as the customers have more options from where they can buy the same product with
same features at a lower price. This creates a tension for the restaurants as the customers can
easily shift their preferences to the restaurant where they are finding more benefits.
From the porter's five force model presented above, it can be observed that the vegan
industry is in boom which can provide a lot of scope and growth to organisation indulging in it.
But as the industry has the open entrance and exit, it may create the burden upon the restaurant
of increase in competition, high level of substitute products and more bargaining power of
buyers.
Operations details: The location which I have planned for opening up the restaurant would
probably a place where there will be more rush of people. The locations would be probably at
proper market where the customers inflow would be high. When the restaurant is set up at the

market place it would provide more convenience to the restaurant in performing their operations
in a more smooth manner. The restaurant would be get an easy transportation facility for supply
of raw materials and good which would be needing by the restaurant (Patricio, 2017). The
premises of the restaurant in the main market would facilitates many advantages like easy inflow
of customers, easy supply of raw materials and goods, easy availability of required help and
much more. I have planned to organised the sitting arrangement as both indoors and at terrace.
The customers can have access to both the places and can sit according to their wish. Terrace
eating option would be most preferable by the customers at night as it gives more good vibes to
them. The décor which has to be set for the restaurant would be totally get matched with the
vegan theme in which I have decided to plant many plants into the premises which gives more
feel to the concept (Ratten and Ferreira, 2016). Apart from this the furniture would be totally
vintage. Vintage furniture would give a totally different vibe in the premises which will add on
the look of restaurant. Apart from this the menu set is totally matches with the vegan theme.
Apart from this the machinery adopted by the restaurant will be totally new and advanced
which will provide us more productivity in lesser cost. To add more unique features, we have
plan to plant our own vegan garden where we will be planting vegetables and fruits by our own.
The plantation of vegetables and fruits would enable us to save the cost for purchasing the same
from the market and also would help in attracting more and more customers. Our own plantation
would provide the customers with chemical free food as the vegetables and fruits used would be
totally fresh from farm.
SWOT Analysis
The SWOT analysis of my vegan restaurant can be as follows:
Strength:
 The restaurant would be based upon the
vegan concept which is very trendy
among customers.
 The raw materials like fruits and
vegetables will be fresh as they would
be pick from farm.
 The food provided by our restaurant
will be very healthy as well as tasty.
Weakness:
 As the concept is totally new, the
restaurant would require the time for its
proper establishment.
 The prices set for the menu is
competitively high when compared
with other local restaurants.

 The prices set for the menu will be
reasonable to afford.
Opportunity:
 The market growth for this particular
industry will get increase with the
coming time providing a great
opportunity to the restaurant to grow.
 There is a lot of scope for expansion for
restaurant.
 High profits
Threats:
 The competition which the restaurant
would be facing will comparatively
high as more and more restaurant will
adopt this concept.
 Any change in the taste and preferences
of customers would create the problems
for restaurant as they might obsolete
their concept.
Financial requirements: The finances which would be included into starting up this restaurant
will be high. The funds are required for purchasing the place where the restaurant can be set up.
As mentioned above the restaurant has planned to set up at main market where the prices for the
land is comparatively high (Singer and Broersma, 2020). The finances would be also required at
the making of furniture, setting up the required décor, purchasing of machineries, ,marketing and
advertising activities and much more. The financial breakdown for the restaurant will be as
follows:
Places where funds are required Funds required (Pounds)
Place for restaurant 55000
Furniture cost 10000
Marketing and advertising cost 3500
Machineries and equipments 45000
Salary to employees 10000
Raw materials cost 5000
Total 88000

CONCLUSION
From the report presented above, a new business idea has been presented. The business
idea is to open up a vegan restaurant. The business plan has also been set up with respect to this
idea where the market and industry analysis has been performed. Along with it the SWOT
analysis and financial requirements breakdown as also been presented.

REFERENCES
Books and Journals
Caneque, F. C. and Hart, S. L. eds., 2017. Base of the pyramid 3.0: Sustainable development
through innovation and entrepreneurship. Routledge.
Etzkowitz, H. and Zhou, C., 2017. The triple helix: University–industry–government innovation
and entrepreneurship. Routledge.
Kerr, W. R., 2017. US high-skilled immigration, innovation, and entrepreneurship: Empirical
approaches and evidence.
Nambisan, S., Wright, M. and Feldman, M., 2019. The digital transformation of innovation and
entrepreneurship: Progress, challenges and key themes. Research Policy. 48(8).
p.103773.
Ortiz-de-Urbina-Criado, M., Nájera-Sánchez, J. J. and Mora-Valentín, E. M., 2018. A research
agenda on open innovation and entrepreneurship: a co-word analysis. Administrative
Sciences. 8(3). p.34.
Patricio, R., 2017. A gamified approach for engaging teams in corporate innovation and
entrepreneurship. World Journal of Science, Technology and Sustainable Development.
Ratten, V. and Ferreira, J. J. Eds., 2016. Sport entrepreneurship and innovation. Taylor &
Francis.
Singer, J. B. and Broersma, M., 2020. Innovation and entrepreneurship: Journalism students’
interpretive repertoires for a changing occupation. Journalism Practice. 14(3). pp.319-
338.
Zhu, H. B., Zhang, K. and Ogbodo, U. S., 2017. Review on Innovation and Entrepreneurship
Education in Chinese Universities during 2010-2015. Eurasia Journal of Mathematics,
Science and Technology Education. 13(8). pp.5939-5948.