Business Plan for Live in Fashion: Industry, Market, Organisational and Financial Feasibility

This report is a business plan for Live in Fashion, a clothing retailer in the UK. It includes an assessment of industry, market, organisational and financial feasibility, value chain analysis, and business model canvas.

Business Plan

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK ..............................................................................................................................................3
Business plan ..............................................................................................................................3
Conduct an appropriate assessment of the Industry, Market, Organisational and Financial
feasibility. ..................................................................................................................................5
Explain the key components of the value chain and business model canvas in relation to your
proposed business........................................................................................................................7
Drawing on appropriate quantitative and qualitative models and concepts, identify and explain
how potential risks could be managed......................................................................................10
CONCLUSION .............................................................................................................................11
REFERNCES:................................................................................................................................12
Books and Journals:..................................................................................................................12
Online........................................................................................................................................12

INTRODUCTION
The motive of this report is to set a business plan in order to start a new venture. Business
is an activity of providing goods and services to the vast number of people with the aim to
achieve profit satisfaction. Every entrepreneur looks for starting a business which could leave a
mark of its brand name into market(Barlow and et.al., 2021). It require a lot of activities and
functions which drives planning, organising resources, hiring right talent and analyse market
conditions. While opening up any new start-up, an entrepreneur needs to look at all the
opportunities, target market, what values they should provide and other essential factors which
are going to present in this report. A business plan consist all the information related with new
start-up. All the essential details about risk management and value chain will be discuss. This
report is going to conduct analysis of industry market, value chain and business model canvas.
The business is going to be a clothing retailer name as “Live in fashion”.
MAIN BODY
TASK
Business plan
It refers to a plan which include all the details about business and drives its mission and
vision. This plan work as a roadmap to ascertain how business will achieve its goals and serve
value into market. The business plan for newly start-up Live in fashion is discribed below:
Executive summary: The new start-up “Live in fashion” will sell trendy and fashionable
clothes into market. The main aim to customer attention and leave a mark of unique fashion into
market. The main people are involved in this business are marketers, owner, stakeholders which
are employees and managers. The products are mainly clothes for both men and women, kids
and aged group(McKenzie and Sansone, 2019). Innovation and regular update on trends are the
main components of a successful start-up. Therefore, the main function is to plan all the
resources effectively and analyse the potential into market by undertaking industry and market
competition.
Products and services: Live in fashion is a new start-up which new will be selling
affordable yet trends clothes in all over the UK. The organisation will provide clothes for all
seasons and occasion. It includes products like jeans, T-shits, Shirts, pants and many more.

Also, the company will provide effective services in order to sustain customer for long time.
These services include home deliver, automotive payment, online bookings and digital outlook.
Target market: it is the main component that business needs to look out before taking decision to
sell their products. The company Live in fashion has market segments as per people age group,
income, size and culture. So, the UK market is worth option to start a business as people are
fond of trendy clothes and wants to keep their lifestyle luxurious.
Mission and values: Live in fashion has its mission to enable market reach by setting a
well brand name in sustainable production and serve a unique fashion mark for every occasion.
The company look forward to take high reach within one year due to having large investment
and potential to beat the competition. It endorse the value of “one's culture for all”, which
showcase equality and diversity into society through providing wears for everyone. The
company will set a benchmark of eco-friendly products that rare in the favour of both society
and environment.
Special attributes: The company has its unique selling products which are not easily
imitable. As the resources will be offshore from different countries. It serves a special gesture for
every occasion and season like spring, summer, winter and autumn. The company has speciality
as they provide vast reach of digital networking through operation advanced technology.
scale of business:
Scale and scope of business: Live in fashion has many good financial investment and
unique selling proposition. It makes the company able of setting a global brand name within
upcoming two or three years. As it has international scope due to having import and export of
resources from different parts of world(Ferreras-Garcia, Hernández-Lara, and Serradell-López,
2019). Therefore, an international reach will be a move towards contributing positively in
nations GDP.
Location: Live in fashion has its outlet in the parts of London, UK. The location is the
heart for youngsters and a shopping place where there is more engagement of crowd. It affects
the business growth as a well developed will boost sales and brand awareness. London Hallmark
streets are best for the main outlet which is situated at the centre of city.
Investment: Love in Fashion require initial investment of $50000 in order operate at
large level. The company may acquire finds through many source there are many banking
institution, government subsidies, crowd funding or funds through relatives. As it is the new start

up, shareholders equity will not be an option which require good brand image and reputation into
market.
Conduct an appropriate assessment of the Industry, Market, Organisational and Financial
feasibility.
Porter's five force analysis:
it is an appropriate framework to conduct market and industry analyse. It comes out with
industry competition and helps in making effective strategies to grow business by understanding
5 elements or force drive from this analysis. The impact of these 5 force in context of Live in
fashion is described below:
Threat of entry and exit: this force is highly influence on arrival of new players into
market. Business may come and go which will increase the chances of competition and shift in
customer demand. As the retail industry has high threat of this force(Fichter and Tiemann,
2020)). This industry act as a highest player into business market and contribute 11% of the
share into economy. Due to this, new business start-up needs to pull their resources and business
idea in an innovative manner that will reduce the chances of getting affected by new market
entries. Live in fashion needs to be aware of any new players in the day to day course of business
and keep the strategies of business flexible to resit with new entries.
Bargaining power of buyers: this factor is also concerned upon the threat on business.
As retail industry is known for similar products and high market competition. Customers are
being so particular about purchasing products at affordable price wherever it is less. Therefore,
the rule of less pricing policy is the dominant player into market. Therefore,the industry has high
threat but the business may reduce this impact by keeping a nominal price and attractive
schemes to keep customers happy. In that case, Live in fashion needs to maintain a fair price and
product value so that, customer could not bargain and dominant the Company by their
purchasing power.
Bargaining powers of suppliers: This factor put emphasise on the balance in companies
supplier demand. Retail industry has high impact of this factor as it is fact that there are various
retailers similarly, there are numbers of suppliers presented into market who are ready to bargain
to charge a high price for supplies. It would affect the cost and profit margins of company. So
that, the business needs to maintain supplier demand in order to not undertake impact of these
threats. The newly opened start-up must maintain contacts with supplier as they are new in

market which require high market understanding and analyse which is the best option for the
company to acquire material.
Threat of availability of substitutes: This factor is also affecting business productivity.
As retailer industry is highly known for similar product categories which may affect customer
demand from one company. High availability of substitutes have high threat for industry as
people have a lot of choices to expand their choices. This threat may become loss for company
into this industry. Live in fashion needs to be unique and in imitable so that customer could not
shift their demand and keep their purchase on for long time. The company will create a unique
brand reputation by selling clothes which are highly qualitative for which consumer cannot
resist of them.
Threat of rival: this factor focus on competition which Is drastically taking a rise into
UK market. Retail industry has high competition as there is perfect competition in which firms
collaborate and and sell similar products agreed upon market prices(Bruijl, 2018). The company
needs to create effective firewalls for such ongoing competition that could affect long term
existence. UK market ahas high growth in clothing manufactures and retailers who face tough
competition as there are Burberry, Zara, H&M and many others powerful brands. Live in
Fashion may suffer losses in the initial year to set a reputed image into market.
STP analysis:
This analysis will help the company to analyse suitable market for its growth. It gives
three stages which define the importance of selecting from appropriate market.
Segmentation: This factor describes the market for the company. As segmentation
divides the whole market in terms of their physiological and demographical prospective. The
company needs to target audience was per their income, age, size, colour and culture. This will
boost reach and enable effective growth. Live in Fashion segmented the market by considering
all the factors discussed.
Targeting: This factor determine the well analyse of the selected segments to enable
market reach. Once the audience has been identified, the company needs to target market which
has low profitability or low share. In this, the organisation will focus on main target rather than
all the segmented groups. It will make the reach simple yet effective. Live in fashion needs to put
more focus on younger generation as market trends are changing so the demands also. Therefore,
it will be effective to target one group or segment and increase marketing efforts on them.

Positioning: This factor determines the brand positioning into market. The products and
services of the company are unique and rare from its competition that shows a reputed position
into market. The organisation needs to set at an image to gain customer trust and encourage
values provided by company. Live in fashion has its potential aim to create positioning among
target markets by providing benefits, customer service, self-esteem and standardisation.
Organisational and Financial feasibility
It it an analysis of checking potential of organisational management. This include all the
capitals, expertise, resources, competitiveness in order to start and established business. It is
necessary to look at internal capabilities before moving to enter In large competition and face
obstacles. The more organisation will be sure about its feasibility, the more they could easily
identify where the organisation lacks in feasibility. Live in fashion has full control by its owner
and all the authorities of decision making are in their hands. the business structure will work on
functional level as their main core values are giving prioritise to quality and complete task on
time to avoid any delays, lacks of communication and misunderstanding. The owner and
manager of this business has professional skills to carry out work in according to well planned
strategies, keeps customer at concern and enable welfare of each individual contributing in their
success. The company will have $50000 which is initial investment and that shows their
capabilities to gather sufficient resources.
Explain the key components of the value chain and business model canvas in relation to your
proposed business.
Value chain analysis:
It is a kind of list and concept which shows overall activities that is going to be taken in
order to producing goods and services. This value chain shows how the companies products will
occur its stage of perfection and what resources, man, strategies will be required to do so (value
chain, 2021). It analyse the foremost stages of collecting resources till the products get deliver to
customers. This analyse is helpful to analyse the foremost activities and secondary work
practices which must be perform in a systematic order. All the main components are inter
related with each others and it is described below:

Inbound operations: the products require initial material and input to get complete with overall
production. It is the primary function of Live in Fashion to accumulate all the materials required
to creates physical goods.
Operations: This includes the overall output of organisation which is going to sell into
market to earn profits over cost. Live in fashion needs to make sure about operations to deliver
value and quality.
Outbound logistics: it is all about providing products to customers. It include all the
logistics such combining, storing and distributing among different markets(Melina and Berliana,
2021). Live in fashion needs to perform logistics operations as it include transportation cost and
enable product reach.
Marketing and sales: it includes providing awareness of product and service into
market. Live in fashion needs to use effective promotional platforms to be active in the eyes of
customer.
Service: These services include customer support system in order to keep the customer
loyal and retained. These service will play a vital role for Live in fashion to maintain and keep a
trusted image into market.
Purchase and procurement: these activities include finding external suppliers to
purchase accurate product, bargain and keep them connected with organisation.
Human resource management: the company needs to hire right people who are suitable
for the related activities and department into organisation(Irfan and et.al., 2019). Live in fashion
must bring all the talented and creative thinkers who could look for all the management
functions.
Technology development: Technology are necessary component for organisation in
order to work as per modern rules, functions and trends. Live in trends must have IT
management, AI technology and CRM.
Business model canvas:
It is an effective model in order to analyse business related key aspects which that
ascertain communication, channels, value and many others which are defined below:
Customer segments Live in Fashion has their main three segments
which will be giving high profitability. These
are young age group, adults and people

belongs to different culture.
Value proposition The products will be clothe suitable for every
occasion party, family get together, weddings
and festivals. These products are of high
quality and made of fine threads and unique
yet simple design which will synthesize a a
charm in it.
Revenue streams Revenue sources will be customers and some
of revenue percentage will be contribute to
donation and charity.
Channels The company communicate with social
platforms like Instagram, twitter and way of
advertising to make them familiar about
product and services.
Customer relationships Key activities The company maintain relations by providing
value services such as after sale, support
system, guidelines to use products and enhance
their purchase through discounted offers and
loyalty schemes(Purcell and et.al., 2017.
Key activities The company will use AI technology and
regular product operations to monitoring all the
work and well check before launch it into
market.
Key resources The company require $50000 as an initial
investment. Resources such as professional
experts and mangers, skills to research market
and take appropriate decisions.
Key partners The partners will be contractors, manufactures
and stakeholders.

Cost structure Cost of resources: $10000
Cost of research and development: $500
Cost of operations: $400
Cost of equipments: $300
Drawing on appropriate quantitative and qualitative models and concepts, identify and explain
how potential risks could be managed.
As per the quantitative method, Model is an approach of statistical, economical and
financial and mathematical theories. This model includes the assumption and hypothesis in order
to identify the inputs put into the organisation. There are some effective models of risk
management
Risk identification: As this stage, the company needs to regularly look at identification
of risk in order to plan the uncertainties. Therefore, Live in fashion needs to identify potential
factors that could influence of organisation profitability. These risk could be competition,
market uncertain environment.
Qualitative analysis: these analysation of risk model is based on qualitative methods
which require theoretical perspective. In order to identify and get deep knowledge about market.
This approach Is helpful for risk management.
Quantitative risk assessment: these risks include assumption by checking upon
organisation activities and internal records. These require data in numbers which drives the fact
about business condition. This factor will be helpful for Live in Fashion in order to compare past
and present data to interpret companies position and identify risk.
Risk response planning: once all the risk identified by organisation, it is required to
build a plan as soon as possible(Muflikh, Smith and Aziz, 2021). In order to amplify good work
practices and make a risk free environment, the newly started business has much requirement to
Crete pre-plan to not get disturb the whole management at the time of risk crises.
Risk monitoring and control: One of the most essential approach of risk management is
to evaluate and control risk in an appropriate manner. No risk will be left for further as it may
take next level stage if does not settled within a limited pored of time. The main process is to
control and monitor over all the strategies for managing risk to assure about its improvement
and getting a positive impact on company.

CONCLUSION
The report has concluded that business plan is an essential document in order to plan and
operate a successful business. An entrepreneur look at diversified activities and areas such as
market research, industry analysis, organisational feasibility. This report has presented porters
five forces which has analysed that retail industry has much competition due to which the
company needs to be prepare for market competition. Also, the report has provide value chain
analyse, business canvas model and effective risk management approaches. Therefore, the
business needs to be much aware about market environment due to changing trends, purchasing
behaviours and many more.

REFERNCES:
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Online
value chain, 2021. [online] Available through:
<https://searchcio.techtarget.com/definition/value-chain>