Launching a New Venture

Launching a New
Venture

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Investigation and explanation of new venture identifying specific target markets and
undertaking competitive analysis................................................................................................1
P2 Determination of specific tangible and intangible resources that would be required for the
launch of new venture.................................................................................................................2
P3 A credible proposal for launch of new venture......................................................................3
TASK 2............................................................................................................................................3
P4 Assessment of skills and capabilities required for launching new venture and how they are
acquired or developed.................................................................................................................3
TASK 3............................................................................................................................................3
P5 Examination of different promotional activities and channels which will support the launch
and justification of the choice.....................................................................................................3
P6 Development of appropriate promotional activity plan for both launch and pre-launch.......3
TASK 4............................................................................................................................................4
P7 An itemised monthly cash budget for the pre-launch phase of the venture and the first 12-
18 months preceding the launch..................................................................................................4
P8 Suggestion of appropriate legal form for the venture stating why it has been chosen..........4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
A venture is a new business which is formed with a plan and expectations that it can gain
profitability in future. When a person determines the need, it starts investing time and resources
to develop and start servicing in market with new product or service (Adomako and et.al., 2018).
In this project report investigation for new venture of cafe named as Oh so Vegan to be open in
London is done by identifying target markets with competitive analysis. Specific tangible and
intangible resources are also determined which would be required in the launch. In addition to
that assessment of skills and capabilities required for new venture and its acquisition with
examination of different promotional activities and channels which would support the launch are
discussed. Apart from this promotional activity plan for both launch and pre-launch with
itemised cash budget and appropriate legal form for the venture stating why it has been chosen
are also the focus points of report.
TASK 1
P1 Investigation and explanation of new venture identifying specific target markets and
undertaking competitive analysis.
After investigation in the market it has been identified that people now a days are getting
health conscious day by day and they do not have time to think about making healthy food due to
busy schedule (Fisher and et.al., 2017). At is why new venture of cafe named as Oh so Vegan is
going to launch in London after two months from now. The business person of the cafe have
identified that people are conscious about their healths but with lack of time they can not focus
on having healthy food. With this observation the idea of opening a cafe has came open which
would provide total vegan food to its customers. The main target audience would be the
youngsters and professionals as this people have more concern over their healths.
For undertaking the competitive analysis Porters five forces analysis can be done. While
developing business plans for new venture it important to have knowledge and assess or the
industry in which the business is going to operate. The following are the factors on which the
analysis is necessary according to this model: Competitive rivalry- The figure of companies in industry determines the competitiveness
in whole market. This also means that the Oh so vegan cafe needs to know all the
strategies which the competitors are following as it would help in making good plans for
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the new venture. The cafe and restaurant industry has high level of saturation as
companies are becoming innovative day by day and coming up with new ways. Bargaining power of suppliers- This determines the price of the products and its quality
for the final product in which the business would carry on its activities. As the venture
can have lots of suppliers from the market the power of each of them will be low as they
have great competition amongst them. Bargaining power of buyers- The demand of people for the products and services can
bring prices down. As the venture would have large number of customer base, the
bargaining power of buyers would be low for the cafe. Threats of substitutes- This element of model determines the threat of customers to
substitute the services of Oh so vegan cafe. The threat for the venture to have substitutes
is low as there are no much cafes or restaurants which provide total vegan food to its
customers.
 Threats of new entry- This factor shows the level of easiness and difficulties the firms
face while entering in such market. The barriers to entry into the industry in which the
new venture falls is not to high as the initial capital and investments required are low.
P2 Determination of specific tangible and intangible resources that would be required for the
launch of new venture.
For lunching a venture mare having knowledge about the competitive market is not
necessary, it is important that the business person also have focus over the resources which
would actually run the business (Frankenberger and Stam, 2020). There are two type of
resources: tangible and intangible. The following are the subdivisions of the both:
Tangible resources- The resources which can easily liquidated and has set values are the
tangible resources for company. The following are some resources which Oh so vegan must
focus on:
 Premises or infrastructure- For attracting people the structure and presence of
infrastructure of cafe is very important element on which person should focus on. When
the venture is new the premises can be the way which can attract people and visit the
place.
 Equipment's- The unique tools and equipment's which make the process of serving
people and save the time of cafe are necessary to have focus of cafe. The machines which
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are used for making food which maintains the quality and makes procedure easy are
essential of Oh so vegan cafe.
 IT facilities- Now a days people refer visiting such places which provide them Wi-Fi
facilities and uses safety cameras and more such things which are technologically
updated. All such things would capture the attention of audiences who would visit the
cafe.
Intangible resources- The resources which can not be seen but are important for people
to focus on are intangible resources as these resources do not provide any physical tough or feel
but are important for end results.
 Skills and capabilities of staff- The human resources of the company are the most
essential part of every company. For Oh so vegan cafe the chief and the employees would
be important because they are the one who would know likes and dislikes of people and
interact with them personally.
 Knowledge of business strategies- For launching new business requires full knowledge
about the market according to which the business strategies would be formulated. These
strategies can not be seen physically by the owner but the results of implementing these
would be seen.
P3 A credible proposal for launch of new venture.
Basis Details
Mission The mission of Oh so vegan cafe will be to
make sure that it provides different types of
food products to its various customers in the
market so that it is able to satisfy their different
demands, needs as well as requirements.
(Kuratko and et.al., 2017).
Vision The vision of Oh so vegan cafe will be to
ensure that the customers are provided those
dishes which can ensure that they are satisfied
and thus it can provide a positive feedback
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about the cafe.
Core objectives  To capture a higher market share in the
market
 To ensure that the cafe is able to earn
more profits in the market in the future.
Marketing strategy Product- Oh so vegan cafe will provide
different types of food products to its
customers to make sure that they are able to
develop their taste accordingly.
Price- Oh so vegan cafe will reasonably price
its products and therefore ensure that the
customers can make use of these products
effectively.
Place- Oh so vegan cafe will be set up at
different location catering to the needs and
requirements of the customers.
Promotion- Oh so vegan cafe will make the
use of effective promotional techniques so that
the different types of customers can be
targeted.
TASK 2
P4 Assessment of skills and capabilities required for launching new venture and how they are
acquired or developed.
For launching a new venture there is a requirement of different types of skills and
capabilities (Martin, Javalgi and Ciravegna, 2020). These skills and capabilities are explained as
follows-
Creativity- For the launch of a new venture there is a requirement of making sure that
the entrepreneurs are highly creative. Thus in this way they are able to identify the different
types of opportunities in the market so that they can be used effectively and efficiently. Thus for
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launching Oh so vegan cafe creativity and creative approach will be required by the
entrepreneur.
Innovation- Launching a new venture requires the entrepreneurs to make sure that the
use of innovation can be made by them. Therefore in this way they are able to ensure that the
opportunities in the market can be identified by them so that they are used in the correct manner.
Therefore for the purpose of launching Oh so vegan cafe it is essential that the use of this type of
innovative approach is made effectively and efficiently.
Risk-taking- With the use of risk-taking capacity the entrepreneurs are able to ensure
that they can take the risk of forming a new venture without problems and issues. For the
launching of Oh so vegan cafe it is needed that the entrepreneurs are able to take a reasonable
level of risk so that the attainment of the goals and objectives of the cafe can be done.
Problem-solving- When a new venture is launched a lot of different types of problems
are faced. Thus it is essential that the use of problem-solving approach can be made by the
entrepreneurs so that they can ensure that the attainment of goals and objectives can be done.
TASK 3
P5 Examination of different promotional activities and channels which will support the launch
and justification of the choice.
Promotional activities and channels-
 Discount on food products- A higher rate of discount will be provided to the customers
who start visiting the cafe (Shirokova and et.al., 2017). Thus in this way Oh so vegan
cafe will be able to make sure that the customers are targeted effectively and efficiently.
 Sales promotion techniques- Sales promotion techniques will be used so that the
customers are attracted towards the cafe. In this way Oh so vegan cafe will be able to
make sure that the customers can be targeted in the right manner.
 Social media- Through the use of Social media websites like Facebook, Twitter,
Instagram etc. Oh so vegan cafe will be able to make sure that its customers are attracted.
P6 Development of appropriate promotional activity plan for both launch and pre-launch.
Basis Details
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Promotional goals and objectives  To ensure that the cafe is launched and
attracts new customers effectively and
efficiently (Stayton and Mangematin,
2019).
 To ensure that the level of sales and
revenue can be enhanced effectively
and efficiently.
 To make sure that the needs and
requirements of the customers are
identified and therefore appropriate
actions are taken to meet the same.
Promotional methods and techniques  Discount offers
 Social media campaigns
 Email marketing
 Word of mouth marketing
TASK 4
P7 An itemised monthly cash budget for the pre-launch phase of the venture and the first 12-18
months preceding the launch
Monthly Cash budget for the pre-launch phase of the venture and the first 12-18
months preceding the launch-
Months Budget
January Admin Exp.- 10000
Marketing Exp.- 20000
Promotional Exp.- 30000
Other Exp.- 35000
Total- 95000
February Admin Exp.- 12000
Marketing Exp.- 22000
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Promotional Exp.- 32000
Other Exp.- 40000
Total- 106000
March Admin Exp.- 14000
Marketing Exp.- 24000
Promotional Exp.- 34000
Other Exp.- 44000
Total- 1460000
April Admin Exp.- 16000
Marketing Exp.- 26000
Promotional Exp.- 36000
Other Exp.- 46000
Total- 124000
May Admin Exp.- 18000
Marketing Exp.- 28000
Promotional Exp.- 38000
Other Exp.- 48000
Total- 152000
June Admin Exp.- 20000
Marketing Exp.- 30000
Promotional Exp.- 40000
Other Exp.- 50000
Total- 60000
July Admin Exp.- 22000
Marketing Exp.- 32000
Promotional Exp.- 45000
Other Exp.- 60000
Total- 157000
August Admin Exp.- 25000
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Marketing Exp.- 35000
Promotional Exp.- 50000
Other Exp.- 70000
Total- 180000
September Admin Exp.- 30000
Marketing Exp.- 40000
Promotional Exp.- 60000
Other Exp.- 80000
Total- 210000
October Admin Exp.- 40000
Marketing Exp.- 50000
Promotional Exp.- 70000
Other Exp.- 90000
Total- 250000
November Admin Exp.- 50000
Marketing Exp.- 60000
Promotional Exp.- 80000
Other Exp.- 100000
Total- 290000
December Admin Exp.- 60000
Marketing Exp.- 70000
Promotional Exp.- 90000
Other Exp.- 150000
Total- 370000
P8 Suggestion of appropriate legal form for the venture stating why it has been chosen.
There are different types of legal forms which can be taken by a particular venture. Oh so
vegan cafe will adopt a legal form of Sole proprietorship (Xie and Lv, 2016). This is because this
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form of ownership is suitable for running a restaurant or cafe successfully without facing
problems and issues.
The reasons due to which this legal form has been chosen are as follows-
 No sharing of profits- In the Sole proprietorship the decision are taken by the proprietor
and there is no sharing of profits (Younger and Fisher, 2020). Therefore in this way Oh
so vegan cafe will be able to make sure that the profits which are generated are not shared
and this will help a lot in ensuring that the progress of cafe takes place quickly.
 Faster decision-making- In the Sole proprietorship business the different types of
decisions can be taken faster. Thus in this way Oh so vegan cafe will be able ensure that
the different types of decisions can be taken quickly by it which will be helpful in taking
decisions which are for the benefit of the cafe.
 Simplicity- In a Sole proprietorship business there is a higher-level of simplicity in
operating and running the business effectively and efficiently. Therefore in this manner
Oh so vegan cafe will be able to ensure that it sets up its business in the right manner and
does not has to deal with the various types of complex rules and regulations.
 Higher-level of control- In a Sole proprietorship business there is a higher-level of
control which can be put in the operations. Thus in this manner Oh so vegan cafe will be
able to make sure that it can achieve a higher-level of control and thereby ensure that it is
able to manage its operations effectively and efficiently.
 More flexibility- A Sole proprietorship business offers more flexibility to the business
owners which allows them to take different types of decisions (Zheng, Ahsan and
DeNoble, 2020). In the context of Oh so vegan cafe it is quite essential that this flexibility
is present which will help the cafe a lot in ensuring that different types of short-term,
medium-term and long-term decisions can be taken without facing problems and issues in
the future.
 Low cost- Forming of a Sole-proprietorship business involves lower cost. Therefore in
this way Oh so vegan cafe has to make sure that by adopting this particular form of legal
structure it is able to set up its operations effectively and efficiently. Therefore low cost
of formation ensures that the entrepreneur does not has to invest more amount in setting
up of business unlike the other forms like Partnership, Company etc. This is because the
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rules and regulations are quite simplistic in nature and therefore ensure that the cafe is
able to attain the different types of goals and objectives in the future time period.
CONCLUSION
From the above report, it can be concluded that Launching a new venture involves
different types of tasks which are required to be completed. It is essential for the entrepreneurs
that they are able to assess the risk present in the opening of a new venture, use the appropriate
techniques and methods correctly so that they are able to make sure that the venture which they
are setting up is able to meet the needs and requirements of the customers and thereby ensure
that it is able to achieve a higher-level of profitability in the future without facing problems and
issues.
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REFERENCES
Books and Journals
Adomako, S. and et.al., 2018. Entrepreneurial alertness and new venture performance:
Facilitating roles of networking capability. International Small Business Journal. 36(5).
pp.453-472.
Fisher, G. and et.al., 2017. Legitimate to whom? The challenge of audience diversity and new
venture legitimacy. Journal of Business Venturing. 32(1). pp.52-71.
Frankenberger, K. and Stam, W., 2020. Entrepreneurial copycats: A resource orchestration
perspective on the link between extra-industry business model imitation and new
venture growth. Long Range Planning. 53(4). p.101872.
Kuratko, D. F. and et.al., 2017. The paradox of new venture legitimation within an
entrepreneurial ecosystem. Small Business Economics. 49(1). pp.119-140.
Martin, S. L., Javalgi, R. R. G. and Ciravegna, L., 2020. Marketing capabilities and international
new venture performance: The mediation role of marketing communication and the
moderation effect of technological turbulence. Journal of Business Research. 107.
pp.25-37.
Shirokova, G. and et.al., 2017. Expertise, university infrastructure and approaches to new venture
creation: assessing students who start businesses. Entrepreneurship & Regional
Development. 29(9-10). pp.912-944.
Stayton, J. and Mangematin, V., 2019. Seed accelerators and the speed of new venture creation.
The Journal of Technology Transfer. 44(4). pp.1163-1187.
Xie, X. and Lv, J., 2016. Social networks of female tech-entrepreneurs and new venture
performance: the moderating effects of entrepreneurial alertness and gender
discrimination. International entrepreneurship and management journal. 12(4). pp.963-
983.
Younger, S. and Fisher, G., 2020. The exemplar enigma: New venture image formation in an
emergent organizational category. Journal of Business Venturing. 35(1). p.105897.
Zheng, C., Ahsan, M. and DeNoble, A. F., 2020. Entrepreneurial networking during early stages
of opportunity exploitation: Agency of novice and experienced new venture leaders.
Entrepreneurship Theory and Practice. 44(4). pp.671-699.
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