Investigate the range of resources required to launch a new venture

In this assessment we will discuss about  launching a new venture and below are the summaries point:- Examining and identifying the necessary resources for launching a new venture Assessing the skills and capabilities required for the venture and how to acquire or develop them Developing promotional activities and creating a budget for the launch of the new venture

Unit 28: Launching A New Venture

Table of Contents
Introduction...........................................................................................................................................1
Investigate the range of resources required to launch a new venture.....................................................2
Investigating and explaining a new venture & identifying specific target markets and undertaking
the competitive analysis.....................................................................................................................2
Determining specific tangible and intangible resources that would be required................................5
Tangible and intangible resources for Organico................................................................5
Assessing the skills and capabilities required and how these might be acquired or developed..............7
Entrepreneurial skills.........................................................................................................7
Project management skills..................................................................................................7
Leadership skills.................................................................................................................8
Developing promotional activities to support the launch of a new venture............................................8
Explaining the different promotional activities and channels that will support the launch of the new
venture...............................................................................................................................................8
Advertisements...................................................................................................................8
Marketing to increase revenue...........................................................................................9
Relationships with the media.............................................................................................9
Developing appropriate promotional activities plan for both launch and pre-launch the new venture
...........................................................................................................................................................9
Producing a budget for launching a new venture for a small business or social enterprise..................10
Monthly cash budget for the pre-launch phase of Organico.............................................................10
Suggesting an appropriate legal form for the venture......................................................................11
Conclusion...........................................................................................................................................12
References...........................................................................................................................................13

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Introduction
Market economies depend on the efforts of entrepreneurs, who are often the engine that
propels the economy ahead (Martin et al., 2020). They boost economic development by
producing new products and services, which leads to the creation of additional employment.
Starting a new company may seem straightforward, but there are many operating elements
(Baucus and Mitteness, 2016). Kitchen Table, a British restaurant company, is trying to grow
its client base and income sources. However, since the restaurant's management is facing
severe competition from competitors for its present offerings, the firm has decided to embark
on a new venture with new products. A new corporation and a business strategy will be
created in order to launch a "Organico" juice bar as a spinoff of the current Kitchen Table
restaurant. Essentially, the "Organico" will provide fresh vegetable and fruit juice to its
customers, which is in increasing demand as the general population grows more health
conscious. In addition to this, the business plan details how the new company's products will
be positioned in the market as well as the resources that will be required to get the firm off
the ground.

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Investigate the range of resources required to launch a
new venture
Examining and describing a new enterprise, as well as selecting particular
target markets and doing a comparative study.
A new venture
A venture is described as being started when an existing firm, an individual, or a group of
people known as entrepreneurs develop a new product or start a new company with the
intention of generating a profit (Birley,2018). In most cases, the significant capital required to
launch a new business or product may be provided by the entrepreneurs themselves via
savings or savings combined with loans, or by external sources through debt that the
company incurs. In order to increase sales, Kitchen Table, one of the most well-liked and
successful restaurants, will launch a brand-new idea in the UK entitled "Organico." With its
increased assortment of organic and natural goods, The Kitchen Table hopes to appeal to
customers who are concerned about their health. By providing a greater variety of freshly
cooked cuisine, the restaurant hopes to capitalise on the current consumers' growing health
conscience. There will be various locations, one each in London and Birmingham, where
fresh organic juice will be sold.
Objectives of the new venture
In conjunction with the introduction of the new firm, The Kitchen Table has its sights set on
achieving the following four primary objectives: financial, human, social, and national. In the
early phases of the firm's operations, the major emphasis of the business would naturally be
on making money by delivering the products and services that were promised to the
demographic that the company was trying to attract.
Market analysis
The entrepreneurial group should do a thorough market analysis before launching a new
enterprise (Birley,2018). Market research has mostly concentrated on the nature and extent of
rivalry within a given industry and in the intended consumer base. After a new business has
been established, its success or failure will be heavily influenced by the market rivalry and
the target market, both of which were carefully considered for the benefit of the company.

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The target market for the Organico
The new company, whose name, "Organico," was already revealed, would sell fresh organic
juice goods to the health-conscious residents of London and Birmingham. The population of
the two chosen UK cities serves as a proxy for the designated target market (Kariv, 2013).
Seventy percent or more of people in both London and Birmingham care a great deal about
their health. As there aren't many options for purchasing fresh organic juice, this looks like a
promising market to enter.
Market Competition Analysis for the Organico
The amount of competition in a given industry is an essential factor to consider when
evaluating its potential for growth and profitability (Hitt and Ireland, 2016). The model of
Porter's five forces is only one of many tools that can be used to evaluate the degree of
competition present in a certain market and determine whether or not it would be beneficial
to start a business in a particular sector.
Figure: Porter's five forces model
Source: (Kariv, 2013).

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Industry rivalry
The competition that exists between well-established companies operating in the same market
is known as industry rivalry. Competition for the new enterprise Organico will be minimal in
part because there are so few companies offering fresh juice goods to consumers.
Threat of new entry
The term "the threat of new entrance" refers to the possibility of a new company entering the
market with identical goods (Hitt and Ireland, 2016). Due to the fact that the new company
will need a comparatively smaller initial expenditure, the chance of starting a new business
that offers equivalent items to the current firm is high. However, this risk may be decreased
significantly by providing customers with high-quality products and establishing a respected
brand reputation for the business (Martin et al., 2020).
Bargaining power of buyers
The supply of things on the market that are analogous to ours is at an incredibly low level
when measured against the degree of demand that exists for these products. As a direct
consequence of this, the buyer's bargaining position regarding the cost of organic products
will become weaker (Baucus and Mitteness, 2016).
Bargaining power of the supplier
The new business won't have a significant amount of cause for fear about the negotiating
power of its suppliers since Organico is going to make their juice products from fresh
vegetables and fruits, and there are a considerable number of producers of vegetables and
fruits all across the UK (Birley,2018).
Threat of substitute
Because no other goods from any other business can satisfy the need for fresh organic juice
products, the possibility of a product being replaced by one that is going to be introduced to
the market poses a very low level of risk (Blanchflower and Shadforth, 2015). Using Porter's
Five Forces Analysis, it was found that most of the important elements that determine the
possibility of a new venture being successful are in favour of starting the new firm known as
Organico.

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Determining specific tangible and intangible resources that would be
required
Launching a new venture like "Organico" requires gathering a variety of resources, both
material and intangible, for use in building the business.
Figure: Intangible resources vs tangible resources
Source: (Hitt and Ireland, 2016).
Tangible and intangible resources for Organico
Tangible resources
The term "tangible resources" is used here to refer to the physical property and equipment
that Organico will require to launch the new business. To launch a new business, the
following are among the most crucial physical assets:
Premises and building: Organico's most important physical asset is a place to set up shop in
the locations where the company will first test the waters with its new business, and the
company must either buy or lease such a location (Martin et al., 2020). Because finding a
suitable location is so important to the company's development, Organico will make
significant efforts to locate suitable sites in these cities (Boulton & Turner, 2015).
Production & Machineries: Organico has to invest in various kinds of manufacturing
equipment and machinery so that it can fulfil the orders of its customers. Since fresh
vegetable and fruit juice products will be Organico's mainstay, the company will invest in or
lease the necessary apparatus and equipment to make them in-house.

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Employees and staffs: Employees and staffs with strong verbal and written communication
skills will be essential for providing excellent customer service to Organico's in-house
clientele.
Intangible resources
Organico e needs both material and immaterial assets to keep its new business running (Tate,
2017). Organico will need the following intangible assets:
Trademark and patent: A company may prevent its rivals from making comparable items
by protecting them with patents and trademarks. Organico plans to seek patent and trademark
protection for some of its upcoming goods since doing so may all but eliminate the unhealthy
rivalry that exists amongst competitors (Baucus and Mitteness, 2016).
Entrepreneurial skills and experience: Creativity, speed of decision making, and the ability
to work well with others are all part of what it takes to be an entrepreneur. Each of these traits
is critical to the success of a new business and its ongoing operations (Wallis, 2018). For this
reason, Organico will actively seek for prospective workers that have shown entrepreneurial
spirit (Martin et al., 2020).

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Assessing the skills and capabilities required and how
these might be acquired or developed.
Success in developing, implementing, and launching a new enterprise depends on the
entrepreneurs possessing a wide range of skills and talents that may be gained via several
means (Stolze, 2016). In addition to the knowledge and talents needed for a successful start-
up phase, running a company effectively in the years after its inception is crucial to the
development of the organisation as a whole. Methods of earning the aforementioned talents
and abilities are detailed below:
Figure: Capabilities for launching a new enterprise.
Source: (Martin et al., 2020).
Entrepreneurial skills
An entrepreneur is a person who, as part of their professional makeup, possesses the
creativity, vision, problem-solving talents, ability to make snap decisions, and the initiative to
begin something new. Entrepreneurs can be found in all walks of life, from tech startups to
non-profit organisations. All of these elements of entrepreneurship are necessary both for the
initial success of a new business and its continued prosperity over time (Godsmark, 2016).
These business competences may be obtained by either formal study, participation in
seminars specifically dedicated to the topic, or hands-on experience in the field.
Project management skills
Skills in project management are those that enable a person to guide a project in a way that
ultimately results in the achievement of the outcomes that were desired for the project
(Baucus and Mitteness, 2016). Every new firm endeavour may be thought of as a project,
and just like a project, it requires careful management of both its physical and intangible
assets in order to be successful. Taking courses in the required subjects and acquiring
Project
management
skills

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experience working on a variety of different projects will help them to acquire the knowledge
and abilities necessary for efficient project management.
Leadership skills
When an individual is able to effectively guide, encourage, and assist the members of a team
inside an organisation to ensure that their work gets done, that individual is regarded to be a
leader within that organisation (Birley,2018). It is essential to have at least a few people on
staff who have demonstrated leadership talents and who are able to direct and monitor the
work that is being done by their coworkers in order to ensure the success of the launch of a
new firm. These individuals should be able to guide and evaluate the work that is being done
by their colleagues.
Developing promotional activities to support the launch of
a new venture
Explaining the different promotional activities and channels that will
support the launch of the new venture
In order to provide assistance for the debut of the brand-new business endeavour Organico,
one may engage in a wide variety of promotional activities and make use of a variety of
various channels. In order for Organico to effectively position its goods on the market, it is
necessary for the company to exercise extreme caution when choosing its promotional
activities; failing to do so runs the risk of not yielding the intended results (Roy, 2017). To
begin, Organico will primarily engage in the following kinds of promotional endeavours and
use the following kinds of distribution channels in order to market their new business
Organico.
Figure: Promotional activities and channels to support the launch of a new venture
Source: (Stolze,2016).
Advertisements Marketing to increase
revenue
Relationships with the
media

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Advertisements
Promoting the juices, they carry in their stores is Organico's top priority. Organico will
choose various websites and a few local newspapers to use as their advertising medium
(Birley,2018). Advertisements on websites and social networks may play an important part in
presenting Organico's new items to the target market in today's age of digital marketing.
Marketing to increase revenue
To further increase market exposure and sales, Organico will also use a variety of sales
promotion strategies, including but not limited to: discounts, money-off coupons, free
samples, sales calls, and prize contests (Godsmark, 2016). To quickly launch and boost sales
of Organico goods, they will use sales promotion techniques. The plans will be implemented
right away after the debut of the new enterprise and will be maintained for the following
month.
Relationships with the media
One of the most effective forms of advertising is public relations, which can be used to
spread the word about a new business to a wide audience (Baucus and Mitteness, 2016). The
term "public relations" is used to describe the practise of reaching out to various
constituencies, such as the media, government officials, and prospective clients, in order to
cultivate support for a company's goals (Martin et al., 2020). To carry out our PR strategy,
Organico will recruit a few individuals who are both personable and articulate in order to
promote a positive public perception of the company. These are the main forms of advertising
and dissemination that will accompany the introduction of Organico.
Developing appropriate promotional activities plan for both launch and
pre-launch the new venture
A well-thought-out strategy for marketing "Organico" is crucial to its successful debut and
ongoing operation. Without a well-thought-out strategy for marketing the new company's
goods, it's possible that they won't resonate with their intended demographic (Kariv, 2013).
Organico will use the following elements of the promotional mix in their planned efforts to
attract the attention of the target market:
Advertising
Promotional
Activities
Personal
selling
Marketing
strategies

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Figure: Promotional activities plan the launch of a Organico
Source: (Stolze,2016).
Advertising
Advertisements for Organico items should be published in regional print media, online social
networks, and other high-traffic websites just prior to the debut of the new endeavour "
Organico." Similarly, the adverts will keep running even after the new business has begun
operations.
Promotional Activities
Since public relations may be an effective and inexpensive kind of advertising, Organico will
need to hire around fifteen people who are skilled communicators and team players (Tate ,
2017). It is expected that these workers would go out onto the pitch to meet with possible
clients.
Personal selling
The term "personal selling" is used to describe the practise of selling goods and services
directly to consumers by means of a sales staff (Martin et al., 2020). Organico will first need
to staff certain sales teams to initiate contact with prospective clients and expose them to the
company's new offerings.
Marketing strategies
Promotional sales are short-term strategies used to increase a company's revenue by ways
such as lowering the price or increasing the quantity offered at the same price (Birley, 2018).
It is expected that initial demand for Organico's new items would be on the low side,
therefore the company will run sales campaigns offering discounts and free samples in an
attempt to boost sales.
Producing a budget for launching a new venture for a
small business or social enterprise.
Monthly cash budget for the pre-launch phase of Organico
To help out their business, many companies create detailed cash budgets that map out their
cash inflows and expenditures over a certain period of time. Organico will be introduced as a
whole new division of the company over the course of the following year. A monthly
itemised cash budget for the twelve months previous to the launch of the endeavour has been
painstakingly produced for the benefit of the organisation in order to make an accurate
prediction of the cash outflows that will take place before the launch of the initiative

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(Birley,2018). Organico's new initiative is scheduled to launch in the first month of 2024.
This document contains a sample cash budget for the year 2024 and each of its 12 months:
Figure: A cash budget for 12 months of Organico (All figures in £)
They will distribute samples, which will need raw materials, at this location in order to
launch Organico goods into the market (Martin et al., 2020). The rates and pay are intended
for the workers and staff members who will participate in the personal selling and public
relation campaigns (Birley,2018). The advertising are included in the marketing expenditures,
while the rented space is covered by the rent charges. In addition to this, there are certain
inconsequential charges, which are accounted for in the other expenditures. To be able to pay
for all of the costs, we are going to work with a local bank to establish a line of credit for
around $70000.
Suggesting an appropriate legal form for the venture
There are several different organisational structures that may be used when starting a new
company, such as sole proprietorships, partnerships, limited liability companies, and
corporations (Tate, 2017). To achieve this purpose, the scale and nature of the new endeavour

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ought to guide the choice of legal structure, and vice versa. For the time being, Kitchen
Table's most recent endeavour, which has been given the name "Organico," will only be
made accessible in a select few of their locations. In addition, the project will only need a
small number of staff members and a constrained financial allocation (Stolze, 2016). As a
result, organico has come to an agreement to launch the firm as a joint venture. If one wished
to open an Organico juice bar in the United Kingdom, the most acceptable legal structures
would be a limited corporation or a limited liability partnership (Martin et al., 2020). In the
event that the firm fails, the owners' personal assets are safeguarded thanks to the protection
offered by limited liability, which is only available to those who operate their business via a
limited liability company. It also provides a clear distinction between the ownership of the
firm and the administration of the business, which is something that might be helpful for
Organico in recruiting investors (Martin et al., 2020). A limited liability partnership is similar
to a partnership; however, it provides limited liability, which indicates that the shareholders
are not individually liable for the obligations of the company. This could be a viable choice
for Organico if there are numerous owners who wish to share the profits and the obligations
of the business, but who also want to minimise their individual responsibility in the event of a
lawsuit.
Conclusion
In conclusion, launching a brand-new business like Organico involves a significant amount of
forethought, investigation, and preparation. To improve Organico's chances of becoming
successful, it is very necessary to slow down, collect relevant information, and arrive at
conclusions based on that data. In addition to this, it is essential to have a comprehensive
financial plan in place, which should include a budget, projections of revenue, and a method
for effectively controlling costs. Organico will be better able to keep track of their money as a
result of this, which will contribute to the success of Organico's company. Beginning a new
enterprise may be an experience that is both thrilling and hard. Before launching a firm, it is
essential to give serious consideration to a variety of issues, including the demand in the
market, the level of competition, and the possible hazards. Organico should also have a good
business strategy, a well-defined business model, and a clear grasp of the target market that
they want to sell their products to.

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