Launching a New Business Assignment

Assessment Case
Study

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
The way in which business is going to be operated.....................................................................1
Name of the business...................................................................................................................2
Visual identify..............................................................................................................................2
Values for promotion...................................................................................................................3
TASK 2............................................................................................................................................3
Reason to conduct primary research............................................................................................3
Reason to conduct secondary research........................................................................................4
Reason to conduct quantitative research......................................................................................4
Reason to conduct qualitative research........................................................................................4
TASK 3............................................................................................................................................4
Resolution of dilemma and its justification.................................................................................4
TASK 4............................................................................................................................................5
The way in which equality and diversity is going to be complied while selecting employees.. .5
Rights to new employees.............................................................................................................6
TASK 5............................................................................................................................................6
Assets, liabilities, gains and expenditures of the business...........................................................6
Budget to avoid cash flow problems............................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Setting up a small business requires a proper business plan for the purpose of proper
execution of a business. For all the entrepreneurs it is vital to formulate it in appropriate manner
so that all the goals such as attaining competitive advantage that are formed earlier can be
attained (Burns and Dewhurst, 2016). This project report is based upon a new business which is
going to be established in Glasgow, United Kingdom. The new start up is Paradise Vacation
Planner which is a new tour operator going to be introduced in UK.
Various topics are going to be discussed under this project report which includes setting
up a small business, ethical dilemmas regarding business and equality and diversity law. Apart
from this, assets, liabilities, budget, incomes, expenses and reasons behind conducting market
research are also discussed under this project.
TASK 1
The way in which business is going to be operated
A new travel operator is going to be launched in Glasgow, United Kingdom. This
company will be part of hospitality sector. Main goal of the organisation is to achieve
competitive advantage in market and capture larger market share. All such type of firms are
concerned with delivery of leisure services to clients. As it is a new entity so it has selected a
small segment of UK as a target. Middle as well as upper class clients are targeted customers of
this new travel agency. Business canvas model of this company is as follows:
Key Partners
It includes
suppliers such as :
 Investors
Key Activities
 Offering
travel
packages
to clients
Key Resources
 Finance
Value
Proposition
 Offer best
travel
packages
to clients
according
to their
preference
Consumer
Relationship
 Render
best
quality
services to
customers
Channels
 Online
Consumer
Segments
 Middle
and upper
class
clients of
any age
group
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marketing
Cost Structure
 Purchasin
g furniture
 Hiring
new
employees
 Marketing
activities
Revenue Streams
 Sale attractive travel packages and generate revenues.
Name of the business
The name which is selected for new travel agency is Paradise Vacation Planner which is
main concerned with rendering services to clients according to their preferences. Different types
of travel packages are offered by it according to requirements of customers. This organisation
plan tour for different locations which includes Italy, Canada, Australia, Turkey and other
attractive places (McKeever, 2016).
Visual identify
The logo for Paradise Vacation Planner is as follows:
The logo is an identity to the travel agency which is concerned with selling of different
travel packages to customers.
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Values for promotion
The owner of Paradise Vacation Planner is willing to create values that can help in future
to promote the business. For all new and start up businesses it is vital to form specific values so
that a good image of whole organisations can be established in market and mind of customers.
The values that Paradise Vacation Planner is willing to create are as follows:
Social: Such type of values are important part of culture of society and for a new venture
it is very important to comply all values, norms and beliefs of that region where business is going
to be operated. It helps to attract large number of customers and establish a good market image.
Paradise Vacation Planner is willing to adopt culture of Glasgow in order to promote its business
there (McKenzie, 2015).
Environmental: For a new business venture it is very important to comply
environmental values in which company is required to save air, water etc. elements. Paradise
Vacation Planner is also willing to create them in which it is going to use 5% of its total profits
for environment safety. This step can help to establish business in UK Glasgow successfully.
Equality and diversity: Both the values are essential to be created by new businesses in
order to sustain in market. Paradise Vacation Planner is willing to create them by promoting
equality at work place and providing all human rights to its employees.
TASK 2
While planning to launch a new business in market it is very important to conduct
research and gather appropriate information so that effective plans for future can be formulated.
Various types of research are going to be conducted that are discussed below.
Reason to conduct primary research
Primary research is related to first hand data which have not yet been used by others. In
order to conduct it for Paradise Vacation Planner the owner is going to use questionnaire in order
to collect proper information from customers. This option is selected because it can help to
gather accurate content regarding customer’s preferences. Following questions are going to be
asked from them:
Questionnaire
Name:
Age:
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Email Id:
Q1. Do you love travelling?
A. Yes
B. No
Q2. Are you aware of Paradise Vacation Planner a new travel agency?
A. Yes
B. No
Q3. Do you think that it can sustain in market?
A. Yes
B. Not sure
C. No
Reason to conduct secondary research
The information which has already been searched or used by other is considered as
secondary research. It includes different websites, journals, articles and newspapers. Paradise
Vacation Planner is going to use various websites to collect secondary data. It is chosen to gather
information regarding latest market trends, competitors etc.
Reason to conduct quantitative research
Quantitative research helps researcher to examine relation between two different
variables. One of them is dependent and another is independent. Paradise Vacation Planner is not
using this method as it is not required to gather information for business perspective (Ross and
Byrd, 2015).
Reason to conduct qualitative research
Qualitative research is conducted to understand opinions and motivational factors of
customers. Observation is going to be used by Paradise Vacation Planner to conduct qualitative
research because it can help to analyse the actual data which is related to point of view of people.
TASK 3
Resolution of dilemma and its justification
As Paradise Vacation Planner is new business venture and it is very important for it to
enhance its visibility. A website has provided an opportunity to the company in which it will
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promote business with a discounted rate. But there is a negative point of that website as it ash
been accused of treating it employees badly. If it is selected as a mode of promotion then it will
result in increased popularity in targeted customers but it can also affect brand image and
demotivate the staff members. Owner of Paradise Vacation Planner has selected to promote
business on the website and deal with the dilemma in appropriate manner.
Justification: This option is being selected because it can result in increased visibility of
business online and enhanced popularity in targeted segment. A case which is almost similar to
this situation is as follows:
Case: Kit Out My Office is a furniture supplier company where most of the workers are
found guilty as they were cheating on their employers by steeling from them. It was a ethical
dilemma for the owner because all of the employees are fired then it will become difficult for the
organisation to execute business (Thébaud, 2015).
Decision: At the end the employer fired all the employees who are involved in theft and
afterwards new and skilled workers are hired. It was a great action which was taken by the owner
because a good example is required to be established in front of other companies and their
workers so that next time staff members wont make the same mistake. The owner of Paradise
Vacation Planner has also taken a tough decision in order to comply social, environmental
ethical and diversity related values by promoting its online whether the website is not goof for
internal staff (Case related to dilemma, 2019).
TASK 4
The way in which equality and diversity is going to be complied while selecting employees
The business of Paradise Vacation Planner has become well developed and now it is able
to employ two members of staff on zero hour contract. It is very important for managers to
comply with equality and diversity laws while selecting applicants. According to equality act
2010 all the workers have right to be treated equally and get same opportunities to show their
abilities. Owner of Paradise Vacation Planner is going to comply with this law by providing
same chances to new employees to prove themselves. Under diversity law the main
responsibility of owner is to recognise, respect and value difference between workers. According
to this act all of them should be treated as human beings not as machines. Managers of Paradise
Vacation Planner is going to comply with this law by establishing good relations with new
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applicants and treating then appropriately. For example, as Johnson and Johnson is highly
concerned with equality and diversity values and Paradise Vacation Planner is going to
implement all the values that are followed by Johnson and Johnson in order to provide good
working environment to its new employees.
Rights to new employees
The new employees who are going to be hired by Paradise Vacation Planner will have
various rights. All the rights are as follows:
 New staff members will have the right to get appropriate compensation for their work
according to their performance (Uhl and Gollenia, 2016).
 Employees will have right to be treated equally like other workers without any
discrimination which is based upon gender, age, nationality, race and physical
appearance.
 A right regarding getting detailed information of job profile will also be acquired by new
employees.
 They will have the right to get bonus and incentives according to their employment
contract or agreement.
TASK 5
Assets, liabilities, gains and expenditures of the business
When a new business is being launched in market then for owner it is vital to acquire
appropriate amount of funds so that all operational activities can be executed in proper manner.
There are various types of elements that are required to operate a business. For owner of Paradise
Vacation Planner to focus on all those components. All of them are described below:
Assets: As Paradise Vacation Planner is a new firm so it is very important for
organisation to acquire required assets such as furnitures, cash in hand, cash at bank etc. When
all the operations are executed properly then some more assets come to organisation. These are
debtors, receivables etc.
Liabilities: All the external and internal debts that are required to be paid in upcoming
period are considered as liabilities. Paradise Vacation Planner is having various liabilities such as
share capital, creditors, payables etc.
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Gains: When travel packages are being sold by Paradise Vacation Planner to its clients
then it will acquire gains on those deals (Ward, 2016).
Expenditures: All the expenses that are going to be faced by Paradise Vacation Planner
are advertisement expenses, salaries to staff, maintenance, rent of building etc.
Budget to avoid cash flow problems
While introducing a business venture it is very important for the owner to formulate a
proper budget so that cash flow related problems can be resolved. The budget which is formed
by Paradise Vacation Planner is as follows:
Particulars Amount ( GBP)
Buying Furnitures 8000
Rent of Building 4000
Maintenance of office 1000
Advertising 3000
Hiring employees 4000
Total 20000
The above budget is formulated by owner of travel agency in order to ignore issues that
might be faced by organisation in future due to improper management of business (Wheadon and
Duval-Couetil, 2014).
CONCLUSION
From the above project report it has been concluded that while launching a new business
it is very important for owners to analyse market trends and try to comply all of them so that
effective business plan can be formulated. For the purpose of conducting market research
different methods can be used that are primary, secondary, qualitative and quantitative
techniques. There are various types of equality and diversity related laws that are required to be
complied by owner of a new business in order to execute business successfully in market.
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REFERENCES
Books and Journals:
Burns, P. and Dewhurst, J. eds., 2016. Small business and entrepreneurship. Macmillan
International Higher Education.
McKeever, M., 2016. How to write a business plan. Nolo.
McKenzie, D., 2015. Identifying and spurring high-growth entrepreneurship: experimental
evidence from a business plan competition. The World Bank.
Ross, L. W. and Byrd, K., 2015. Business Plan Competitions: Start-Up'Idols' and Their Twenty-
First Century Launch Pads.
Thébaud, S., 2015. Business as plan B: Institutional foundations of gender inequality in
entrepreneurship across 24 industrialized countries. Administrative Science Quarterly.
60(4). pp.671-711.
Uhl, A. and Gollenia, L. A. eds., 2016. A handbook of business transformation management
methodology. Routledge.
Ward, J., 2016. Keeping the family business healthy: How to plan for continuing growth,
profitability, and family leadership. Springer.
Wheadon, J. D. and Duval-Couetil, N., 2014. Business plan development activities as a
pedagogical tool in entrepreneurship education. The Journal of Engineering
Entrepreneurship. 5(1). pp.31-48.
Online
Case related to dilemma. 2019. [Online]. Available through:
<https://www.ashtonslegal.co.uk/dealing-with-employee-theft>
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