Launching a New Venture

Launching a
New Venture

Contents
INTRODUCTION ..........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Investigate and explain a new venture identifying specific target markets and undertaking
competitive analysis.....................................................................................................................4
P2 Specific tangible & intangible resources for new venture......................................................5
P3 A credible proposal to launch a new venture..........................................................................6
M1 Apply a range of techniques and methods for competitive analysis to achieve competitive
advantage.....................................................................................................................................7
M2 Strength and weaknesses of new venture and analyse areas of risk......................................7
D1 Develop a detailed proposal that demonstrate analysis and reflection of competitive
environment with supporting contingency planning to reduce risk.............................................8
TASK 2............................................................................................................................................8
P4 Assessing skills as well as capabilities in order to launch a new venture at the marketplace.
......................................................................................................................................................8
M3 Evaluate range of skills & capabilities needed for launch of new venture and critically
evaluate how it can be develop by using appropriate techniques................................................9
D2 critically discuss supporting costs & timescales needed for acquiring or developing skills
as well as capabilities of a launch team.......................................................................................9
TASK 3............................................................................................................................................9
P5Various promotional activities used by an entrepreneur while launching new Cafe at the
marketplace..................................................................................................................................9
P6 Develop an appropriate promotional activities plan for both launch and pre-launch...........10
M4 Evaluate an appropriate promotional plan for both launch and pre-launch........................12
D3 Critically evaluate different promotional activities to support justification........................12
TASK 4..........................................................................................................................................12

P7 Monthly cash budget for the pre-launch phase.....................................................................12
M5 Justify an itemized monthly cash budget showing one off costs, opening cost and
anticipated income post and pre-launch.....................................................................................15
D4 Create a pre and post launch monthly itemised cash budget based on financial resources,
including key budget a budget categories and sub categories with contingency measures for
anticipated outcomes..................................................................................................................16
....................................................................................................................................................16
P8 Applicable legal form for the venture...................................................................................17
CONCLUSION..............................................................................................................................18
REFERENCES..............................................................................................................................19

INTRODUCTION
Launching a market-based business is one of the most challenging jobs since it takes a
significant amount of financing, market analysis, and the ability to deal with unexpected
uncertainties and challenges. Furthermore, each and every entrepreneur needs abilities that will
assist them in identifying clients and achieving their goals in a timely manner (Linder, Lechner
and Pelzel, 2020). The basis organisation in this research is Michael's Cafe, which is located in
the United Kingdom consumer market. Michael's Cafe serves high-quality coffee drinks, as well
as shakes, beverages, and baked products, in a variety of flavours.This paper covers talks on the
introduction and product differentiation of a new market initiative. In contrast, meaningful as
well as intangible resources are needed to enable small businesses settle on the market.
Furthermore, an investor would be addressed in this project on distinct talents and competencies.
The budget was also provided at the end of the report in order to properly implement the overall
business structure of the entrepreneur.
TASK 1
P1 Investigate and explain a new venture identifying specific target markets and undertaking
competitive analysis.
Michael's Café is a small café that sells baked goods, snacks, many types of coffee,
brewed beverages, and other items. It also provides services like as cooking, online ordering, and
customised baking at the customer's location. One of Michael's cafés' aims is to serve high-
quality, delicious meals. The promotion of its innovative concept aids in increasing public
knowledge of the United Kingdom.
Target market- The cafés of Michael provide both value and customer attention. Its objective
market is for young people since they would like to consume coffee and spend time in coffee
shops (Xi, et.al, 2020). This target market helps the company efficiently achieve its goals and
tasks.
Competitive analysis- Michael's café executives must evaluate their competitors and
tactics, as well as assist in the development of a more successful strategy that incorporates one's
ideas on coffee and has a beneficial impact on sales and profit margins..
Porter’s five forces analysis- It is regarded an useful instrument for an organisation to
gain insight about the intensity of the game on the market. The top officials of the Michael

Cafeteria utilise this word to learn about the current business environment. It comprises a total of
five strategic powers mentioned below:
Competitive rivalry- In the United Kingdom there are many coffees that offer identical services
and products and the coffee shop of Michael poses a great danger. Café managers from Michael
must concentrate on giving exceptional products and services and keep a strong relationship with
their customers to help keep them long enough.
Bargaining power of buyers- Customers' purchasing power is considered as strong as fresh
coffee in Michael cafés, and the commodity is provided according to the customer's request. In
addition, Michael's café need something unique that will attract customers and increase sales
accordingly.
Bargaining power of supplier- It's a contemporary café with a modest selection of vendors
selling basic ingredients like coffee beans. Because Michael's café has a significant danger of
running out of raw materials, it is critical for its management to cultivate positive connections
with suppliers.
Threats of substitutes-Michael's Coffee offers a variety of coffee flavours that are only available
to customers, therefore replacement is unlikely (Furlotti, Podoynitsyna and Mauer, 2020).
Managers must create creative solutions that lead to increased revenue and profitability in order
to keep up with the competition..
Threats of new entrants-To attain such a sort of business, it is required to have a strong brand
image that is not simple to develop. Indeed, it is recognised that the food sector seeks an
appropriate analysis and understanding of consumer dynamics.
P2 Specific tangible & intangible resources for new venture.
Any new business that is making money has to be efficient in its methods and procedures.
In fact, there are two types of resources: tangible and intangible services, both of which are
necessary to provide good service to clients. In the context of Michael's café, the resources are
outlined below.:
Tangible resources- It is defined as a physically calculable resource. This really covers machines
and construction as commodities for material. The important components at the Michael's café
are the microwave, a coffee grinder, an ice maker, an expresso-machine, a refrigerator, and
kitchenware, and many more.

Intangible resources- It has been discovered that tangible resources are not just physical and are
long-term resources for a company. Copyrights, brand image, customer relationship, intellectual
property rights, copyrights, industrial culture, and many more topics are included. In the case of
Michael's Café, it is critical that its managers have their names copyrighted in order to avoid any
issues (Clausen, 2020). Furthermore, it is critical to supply information to employees so that they
can assist customers who have a direct influence on their brand identification and market
position.
The aforesaid intangible and tangible time allows will assist Michael's café in achieving its
goal of attracting young people's attention to its product and service suppliers.
P3 A credible proposal to launch a new venture.
It is determined that any new venture requires the successful functioning of the plan before enter
the business. A plausible proposition mainly concerns the client, the analytical sector and its
rivals. In addition, involve various tactics that are constructed following the identification of
competing companies (Alnahedh and Alsanousi, 2020). The proposition plan is analyzed to help
relevant powers develop plans and tactics in an appropriate manner. The following is a concept
strategy for the long term production of Michael's cafe:
Executive summary Michael's Café is a tiny café that specialises on cutting-edge
technology such as specialty coffee, wiggles, brewed beverages, and
baked products, among other things. It also provides additional
services like as custom baking, cooking, and online ordering, among
others.
Company description Michael's Café is a tiny café in the United Kingdom that is owned by
four people who split the profits and losses equally. The café is
adjacent to the campus, and the proprietor has been hired.
Imagination
To take the lead in this sector by delivering distinctive and dependable
service to consumers while also considering market trends and
innovative technology.