Venture Creation and Entrepreneurship Strategies

The assignment provided is about venture creation and entrepreneurship strategies. It requires the student to analyze and understand different concepts related to entrepreneurship, such as entrepreneurial self-efficacy, community entrepreneurial culture, financial strategies, and performance of new firms. The student needs to identify key references from books and journals that cover various aspects of entrepreneurship, including effectuation, causation, bricolage, and contractual innovation in venture capital. The assignment also requires the student to understand how entrepreneurs know what to do, learn, and organize in new ventures, as well as the role of venture capital in a biotech startup. Overall, this assignment aims to provide a comprehensive understanding of entrepreneurship and venture creation.

LAUNCHING A
NEW VENTURE

Contents
INTRODUCTION........................................................................................................................................................................................................1
TASK 1.........................................................................................................................................................................................................................1
P1 Identification of specific target markets and competitive analysis.....................................................................................................................1
P2 Specific tangible as well as intangible resources that required for the purpose of a new venture......................................................................2
TASK 2.........................................................................................................................................................................................................................2
P3 Formulation of credible proposal to launch a new venture.................................................................................................................................2
P4 Skills and capabilities required to launch a new venture....................................................................................................................................3
TASK 3.........................................................................................................................................................................................................................3
P5 Determination of different types of promotional activities as well as channels for launching new venture......................................................3
P6 Formulation of effective promotional plans for both launch as well as pre-launch............................................................................................4
TASK 4.........................................................................................................................................................................................................................4
P7 Monthly cash budget for the pre and after launch phase....................................................................................................................................4
P8 An appropriate legal form for the venture...........................................................................................................................................................5
CONCLUSION............................................................................................................................................................................................................5
REFERENCES.............................................................................................................................................................................................................6

INTRODUCTION
It is not an easy task for anyone to launch a new venture. There are various aspects that an individual has to consider for the purpose of
launching a venture successfully and operate the same with reasonable success. There are various factors which affects the decision of an
individual to start a venture, these can be Macro factors and Micro factors. The macro factors would include a proper analysis of political,
legal, technological and environment to evaluate the impact of these factors on a new business and how it will affect overall profitability and
growth of the fresh venture. Micro factors would include an analysis of internal factors such as employees, suppliers that would be needed
to launch a venture, capital required, Approvals etc. Vins is a new restaurant which is expected to open up in London and provide rich
European cuisine to customers (Coleman and Kariv, 2014).
In the present report clarify about, recognizable proof of the objective market and aggressive investigation, assurance of the particular
substantial and impalpable assets important to dispatch new pursuit, definition of trustworthy proposition to dispatch a wander, abilities and
capacities which are required to effectively begin new business and diverse limited time exercises and channels which are vital to promote their
contributions in showcase etc. It will be a detailed discussion that will be useful for reader.
TASK 1
P1 Identification of specific target markets and competitive analysis
Vins is an eatery which is chosen to dispatch in London advertise with different cooking styles. There is extensive number of various
dishes and administrations are given by eatery to draw in clients, for example, Thai, Spanish, Chinese, Continental, Sea nourishment and so
forth. The plan to dispatch another eatery is most ideal choice since it is watched that vast number of individuals got a kick out of the chance to
have their supper in eatery. The most ideal place to find the eatery is close to one of the most famous location in UK, London Eye which is
prominent vacationer goal and expansive number of voyagers is visit there on customary premise. This circumstance is advantageous for new
eatery is to adequately make due in the market through giving their diverse contributions (Lackéus and Williams Middleton, 2015).
The eatery is shaped as organization which is named as Vins Restaurant. For its powerful foundation they secure land around 2500
square feet close London Eye on rent of 11 years for constant activities of their business with no obstacle. There are expansive number of assets
are orchestrated by the accomplices of eatery from various sources possess capital and bank credits which around £ 5, 00,000 to 700,000. The
new venture is expected to be successful as there is an increasing demand of various types of cuisine within London. The venture is being
established for the purpose of fulfilling varied objectives, these are as follows:
 Acquisition of market share.
 Increase in shareholders wealth by earning high profits.
 Good quality food at affordable prices.
 Creation of an enhanced brand image as well as reputation.
Target Market
It is vital idea which is required to successfully dissect by business visionary before stressing their business exercises. In the event that
the objective market is known then it is conceivable to evaluate the patterns and purchaser conduct as per which compelling plans and systems
are confined to accomplish competency in their tasks. The market is fragmented on three premises which are regarded as Demographic,
Geographic as well as psycho-graphic.
Demographic: This will incorporates the division of the market on the premise sexual orientation, age, conjugal status, instruction, religion,
wage level and so forth. This will enhances the comprehension about the objective economic situations to settling on critical choices. For ex, on
the premise this division they give more inclination to the pay level and age factor on the grounds that the young is visit eatery in extensive
numbers (Brush, de Bruin and Welter, 2014).
Geographic: This will incorporate the procedure under which the market is fragmented based on area. It encourages the business visionary is to
survey the necessities or client's which are win in various areas and nations. For ex., according to this they select the best place to setup their
eatery in close London Eye where normal pattern is win as substantial number of visitors visit with various inclinations.
Psycho-graphic: Here, advertise is separated based on financial class, identity or way of life inclinations. Here, they give more spotlight on
white collar class families.
Competitive analysis: This investigation gives the data about the contenders which are available in showcase and having great business tasks as
of now. From the investigation of the market, watched that vast numbers of eateries are working their organizations in London, for example, The
Led cover, Bar 61 Restaurant, Liman eatery and so on. Every one of the contenders has settled activities and extensive client base. To achieve
upper hand in advertise Vins is required to centre on their different cooking styles and quality which impacts the conduct of clients.
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P2 Specific tangible as well as intangible resources that required for the purpose of a new venture
There are huge assets which are required to mastermind in reasonable shape inside stipulated timeframe to adequately build up the
business activities of new pursuit. Such assets are characterized into two classifications, for example, substantial and impalpable. There is
immense significance of these assets during the time spent provision of their capacities in same way. There many type of tangible resources in
the present in the form of employees, funds and equipment’s and food items, etc. Vins is a restaurant that is provides multiple cuisine like Thai,
sea food, Spanish food, Chinese foods etc. They are providing is the best delivery service in the in time according where start of their business
there is in providing excellent services. There is their partner are maintain the effective services in everywhere is allocate there restaurants. The
various types of tangible and intangible resources which are required is defined below:
Tangible resources: it is the concept of different type of capabilities and uniqueness in the resources that is contribute of their
resources in the form of effective and efficient way of the restaurant in the market. According to this type of resources there is different type of
resources available in the market there is start to the business Such different type of resources which are to start the business of restaurant in
tangible form includes land and building, furniture, showrooms, employees, funds, food courts and other materials etc. One of the important
tangible resource is adequate amount acquire the many that is improve the internal strength and attraction of the large number of the customer in
the restaurants (Coyle and Green, 2014). In the restaurants where is availability of the different type of foods and drinks for the customers that is
satisfy the need and desire of the customers.
Intangible resources: Intangible resources there are many type of range of the contents. There is technology, relationship, brand image,
good will and process of the production procedure that all are play role entrepreneurial. Intangible resources where is large number of the
resources and contribution in the entrepreneurial ship activity of new business some new thoughts and innovations are developed which are
required to secure with the aides of various protected innovation rights, for example, copyrights, trademarks and patent and so on. It is
considered as the immaterial asset which keeps the development of eatery which they get the taste and nature of their nutrition’s. Branding is the
important aspect in the restaurant there is recognised easily in the market it help the build of their brand image and to know about their
competitive advantages and improve entrepreneurial venture (Fisher, 2012). There is according to their resources there is a large number of
benefit to with the intangible resources. There are many type of resources identity in the market, goodwill, brand image etc. Vins restaurant is
required to choose the customer relationship for the build effective and efficient with them. Trust and loyalty is major part of the organisation
that is long period of time relationship with customers.
TASK 2
P3 Formulation of credible proposal to launch a new venture
It is of very much importance that right kind of proposal is made well before launching a new venture that will enable an entrepreneur or
the owner to effectively lays down the various goals as well as objectives. Arranging must be made such that guarantee legitimate and one of a
kind change which do help in having a picking up of objectives and goals with better results as well. In addition, in Dream Delicious Restaurant,
plan ought to be there in powerful way that incorporates the entire endeavour in right organization with having particular subtle elements as:
Executive Summary Vins is a restaurant which deals with various
kinds of food items like burgers, pizzas, coffee,
and many more fast food as well as traditional
cuisine items
Company Description Business person is having an outlook of giving
an inventive and imaginative items and Vins
give nourishments and drinks to client in better
way. Despite the fact that it will be open in
London Streets close by London Eye. This
place is picked on the grounds that to gain
higher pay and incomes in extraordinary and
productive way (Robles, 2015).
Analysis of the marketplace To maintain a business it is required idea to
have a compelling methodologies and choice.
Business person thinking to grow business for
which showcase examination is required
concern. For such SWOT and PESTLE
examination is better alternative to consider the
market place in an effective as well as efficient
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way.
Financial projection For the purpose of launching a venture right
kind of funds requirement is essential;
therefore an entrepreneur should have a proper
plan for the purpose of scaling business and
making it large.
Standards or Benchmarking This would ,mean setting up standards of
quality or service delivery that the restaurant
shall maintain in order to compete effectively
and to provide customer satisfaction for a
longer period of time (Agrawal, Catalini and
Goldfarb, 2014).
P4 Skills and capabilities required to launch a new venture
Behind the achievement of each wander there is not the help of substantial and impalpable assets yet in addition the abilities and
capacities of business person assumes a critical part to viably complete the diverse activities of new business successfully. Such abilities give the
chance to think distinctive in chance for the circumstance from conventional individuals and receive suitable answers for expulsion of such
issues. Great abilities in the business person give the additional edge to their identity which gets new and inventive and plans to achieve their
objectives. Such extraordinary kind of abilities and capacities which are required to have by the business visionary.
 Ability to manage money: Cash is the imperative perspective which is fundamental from the arranging stage to its execution. At the
time of drive to another deviate and huge measure of assets is required and sources are constrained. Along these lines, the ability of
business visionary in regards to compelling administration and designation of store is critical to convey diverse with viability and
proficiency.
 Ability to raise money: Assets are compensated to every single phase of business and it isn't conceivable to begin the business through
their own ventures. In such manner, to end up business person required having persuading ability through which they can raise reserves
from various sources effortlessly like banks, money related establishments, speculators, private funders and so on (Audretsch, Bönte. and
Mahagaonkar, 2012).
 Ability to identify strengths and weaknesses: To end up profitable business person need to evaluate qualities and which enhances their
comprehension about their future basic leadership. It gives the open door is to utilize their qualities in right zones to clothing ideal
outcomes and methodologies are made to overcome from shortcomings.
 Risk taker: in order during the time spent beginning new business number of difficulties and dangers escape which impacts the
execution in negative way. Along these lines, to accomplish achievement in their business visionary is required to have the expertise of
risk taking this keeps troublesome circumstances and take attain choices.
 Leadership skills: It is critical to have administration aptitudes by the business person which rouses alternate representatives to give
their best in association. This aid is in development of good groups inside the association to achieve the objectives inside given period
(Schenkel, D'SOUZA and Matthews, 2012).
TASK 3
P5 Determination of different types of promotional activities as well as channels for launching new venture.
There are numerous limited time alternatives and channel are accessible which can be utilized by the Vins for commercial of their
contributions in showcase. Such unique sort of alternatives which they can utilize is characterized underneath:
 Social media: There are numerous web-based social networking instruments are accessible which can be utilized by the eatery to
publicize their distinctive kind of items in administrations in UK advertise. This will incorporate Face book, Instagram, Twitter and so
on. It is most imperative since it serves to effortlessly reach towards their objective market clients which are youth age ( Simon and
Shrader, 2012).
 Mobile Billboards: It is a viable special instrument which can be utilized to assemble the consideration of clients through giving the
data about the eatery in creative ways which is exceptional from others. It incorporates utilization of climaxes, stickers, and logo etc. It
makes isolate personality.
 Personal promotion: This can also be a very effective tool for the purpose of effectively promoting about the new restaurant in the city.
Under this, owner will reach out to individuals and explain what new the venture is having etc. It is a cost effective but a laborious way
of promoting (Howell, 2016).
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P6 Formulation of effective promotional plans for both launch as well as pre-launch
It is vital for Vins to plan diverse limited time exercises for both pre dispatch and dispatch of eatery. It is essential for them since high
rivalry is win in advertise and numerous huge eateries having great clients base. Along these lines, such dispatch occasions gives the open door
is to make the enthusiasm of clients towards opening of their new eatery or restaurant (Sahaym, 2013).
 Before launch Promotional activities: This will incorporates the procedure under which exercises are planned before the starting of
eatery. It incorporates planning of sites through which they can speak with their clients and give data about their items, administrations,
cost and so forth.
 Launch: At the season of chose to have an opening gathering where media delegate and big name is welcome to clothing high
consideration of open. Through welcome of media delegates the news is distributed on daily papers and broadcast on TV likewise which
makes their prevalence among people. Such fabulous opening gatherings furnish the chance to append viably with clients at
exceptionally introductory stage (Strömsten, T. and Waluszewski, A., 2012).
TASK 4
P7 Monthly cash budget for the pre and after launch phase
A cash budget provides efficient information regarding the future cash flows that may accrue to a venture and what can be the future cash
expenses, this allows an entrepreneur to have a knowledge regarding how the venture will plan out going forward.
Pre launch cash
budget
Cash Flow budget
Particulars Jan Feb Mar Apr May June July August September October November December
Cash inflows
Investment 8000
Credit sales 2000 3000 3000 4500 1500 3500 4200 1000 2000 800 1200 1500
Total inflows 10000 3000 3000 4500 1500 3500 4200 1000 2000 800 1200 1500
Cash outflows
Fixed :
Equipment’s 2000 2500 1500 2000 1200 1500 800 200 300 100 600 300
Variable : Direct
material 300 300 200 300 150 500 300 400 500 100 100 400
Total outflows 2300 2800 1700 2300 1350 2000 1100 600 800 200 700 700
Net cash flow 7700 200 1300 2200 150 1500 3100 400 1200 600 500 800
Opening balance 0 7700 7900 9200 11400 11500 #### 16100 16500 17700 18300 18800
closing balance 7700 7900 9200 11400 11550 13000 #### 16500 17700 18300 18800 19600
Post launch cash
budget
Particulars Jan Feb Mar Apr May June July August September October November December
Cash inflows
Investment 8000
Credit sales 1200 2000 7500 3000 5000 6500 1200 3200 1500 8200 1250 3210
Total inflows 9200 2000 7500 3000 5000 6500 1200 3200 1500 8200 1250 3210
Cash outflows
Fixed :
Equipment’s 2500 1200 1500 2500 1100 1500 1200 600 500 500 1200 700
Variable : Direct
material 350 300 250 150 100 500 500 250 450 250 1300 500
Total outflows 2850 1500 1750 2650 1200 2000 1700 850 950 750 2500 1200
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Net cash flow 6350 500 5750 350 3800 4500 -500 2350 550 7450 -1250 2010
Opening balance 0 6350 5850 11600 11950 15750 #### 19750 22100 22650 30100 28850
closing balance 6350 5850 11600 11950 15750 20250 #### 22100 22650 30100 28850 30860
P8 An appropriate legal form for the venture
For the purpose of starting a new venture, an entrepreneur does have various kinds of options to open different ventures. There are
different rules as well as regulations which are applied on different business types and thus, it becomes even more essential that right kind of
business types is selected by the owner for the purpose of doing business in an effective as well as efficient manner. The different types of
business are discussed as follows:
 Sole proprietor: It is a business which is started on the responsibility of a single person and hence, the risk as well as reward is also quite
huge in this. Less measure of assets are required to begin such sort of business alongside less administrative prerequisites. The single
proprietor is bear every one of the misfortunes exclusively (Strömsten, T. and Waluszewski, A., 2012).
 Partnership firms: One of the successful method to begin the business exercises is as organization. This will incorporates the beginning
of business by at least two man by having a consent to achieve specific destinations and gain substantial number of benefits. The risk of
the considerable number of individuals is restricted up to the measure of capital which they takes with themselves in the firm. The benefit
and misfortunes which are earned by them are similarly appropriated between every one of them or with foreordained proportion.
 Company: It is yet another form of starting a new venture. Under this, an owner can start a venture by including a large number of
people. The profits will be distributed to the shareholders as they are the main owners of company who would be providing funds for the
purpose of conducting business in an effective as well as efficient way. This kind of business type is suited to big businesses (Aldrich and
Yang, 2014).
All these are the legal form of venture. From all these sole proprietor is the best for Vin restaurant at its initial level of business start. With
this, owner can take quick decision to attract more customers and make its business venture a successful one.
CONCLUSION
Thus from the above discussion, it can be concluded that a business or a venture can be opened up by a by an entrepreneur only if the is
having necessary risk taking abilities. The level of risk is quite high when a new venture is launched any discrepancy in analysing the factors
which affects the business can lead to a serious downfall of the venture or a prolonged term of non- profitability and loss making by the
organisation. It is essential to prepare well before as to what is required to launch and manage a venture well and effectively. There are various
new rules and regulations as well that a new entrepreneur has to abide, for opening a venture. The government also emphasizes individuals to
launch a new venture because this leads to creation of jobs and a healthy business environment within the country. Various subsidies and
schemes are also being launched by the governments to boost and motivate individuals to launch new ventures and take them forward. The
major requirements for opening up a successful venture are right kind of skills and talent to handle work force along with team leadership and
co-ordination. The idea or the business model of the venture shall also be unique and powerful to sustain in the market for a longer haul.
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REFERENCES
Books and Journals
Coleman, S. and Kariv, D., 2014. ‘Deconstructing’entrepreneurial self-efficacy: a gendered perspective on the impact of ESE and community
entrepreneurial culture on the financial strategies and performance of new firms. Venture Capital. 16(2). pp.157-181.
Lackéus, M. and Williams Middleton, K., 2015. Venture creation programs: bridging entrepreneurship education and technology transfer.
Education+ Training. 57(1). pp.48-73.
Brush, C.G., de Bruin, A. and Welter, F., 2014. Advancing theory development in venture creation: signposts for understanding gender.
Women’s entrepreneurship in the 21st century: an international multi-level research analysis, 11.
Coyle, J.F. and Green, J.M., 2014. Contractual Innovation in Venture Capital. Hastings LJ, 66. p.133.
Fisher, G., 2012. Effectuation, causation, and bricolage: A behavioral comparison of emerging theories in entrepreneurship research.
Entrepreneurship theory and practice. 36(5). pp.1019-1051.
Robles, E., 2015. How to identify disruptive new businesses.
Agrawal, A., Catalini, C. and Goldfarb, A., 2014. Some simple economics of crowdfunding. Innovation Policy and the Economy. 14(1). pp.63-
97.
Audretsch, D.B., Bönte, W. and Mahagaonkar, P., 2012. Financial signaling by innovative nascent ventures: The relevance of patents and
prototypes. Research Policy. 41(8). pp.1407-1421.
Schenkel, M.T., D'SOUZA, R.R. and Matthews, C.H., 2012. Entrepreneurial capital: examining linkages in human and social capital of new
ventures. Journal of Developmental Entrepreneurship. 17(02). p.1250009.
Howell, S.T., 2016. Learning in Entrepreneurship.
Strömsten, T. and Waluszewski, A., 2012. Governance and resource interaction in networks. The role of venture capital in a biotech start-up.
Journal of Business Research. 65(2). pp.232-244.
Aldrich, H.E. and Yang, T., 2014. How do entrepreneurs know what to do? Learning and organizing in new ventures. Journal of Evolutionary
Economics. 24(1) pp.59-82.
Sahaym, A., 2013. Born with a silver spoon of legitimacy but struggling for identity? The paradox of emerging spin-offs in a new sector. Journal
of Business Research. 66(11). pp.2210-2217.
Simon, M. and Shrader, R.C., 2012. Entrepreneurial actions and optimistic overconfidence: The role of motivated reasoning in new product
introductions. Journal of Business Venturing. 27(3). pp.291-309.
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