Managing Entrepreneurship, Innovation and Creativity in a Bakery Shop

This document discusses the importance of creativity, innovation, and entrepreneurship in the context of a bakery shop. It covers topics such as market research, target market, and marketing strategies.

Managing
Entrepreneurship
Innovation and
Creativity

EXECUTIVE SUMMARY
Creativity is a driver of change and development, with innovation and new ideas businesses and
entrepreneurs moves towards growth and success. Innovation leads the way to creative and
competitive advantage that offers new development and profitable opportunities to
entrepreneurs. Innovation is either analytical or intuitive that is entrepreneur has worked for
bringing innovation with scientific and critical thinking or have worked with their ideas to
explore something new. Entrepreneurs has the characteristic of being innovative, they establish
their business in market with a new ideas offering fresh goods or services to customers.
Entrepreneurial business nature is to innovate, invent and develop. The assignment covers the
relevant idea, on which a entrepreneurial idea is discussed with an in depth business case or plan.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
TASK 1 – MY LIFE STORY .........................................................................................................4
TASK 2 – OPTION A – IDEA/CONCEPT ....................................................................................5
What lessons can we learn in getting our ideas and concepts to the market place?...............5
TASK 3 – THE CONCEPT PLAN..................................................................................................8
Introduction – Business Concept and Opportunities..............................................................8
Objectives...............................................................................................................................8
Market Research.....................................................................................................................8
Target Market/Customers.......................................................................................................9
Marketing...............................................................................................................................9
Human Resource..................................................................................................................10
Operations (The Business Model Canvas)...........................................................................10
Legal Issues..........................................................................................................................11
Financials..............................................................................................................................11
Exit Strategy.........................................................................................................................12
CV.........................................................................................................................................13
REFERENCES..............................................................................................................................15

TASK 1 – MY LIFE STORY
A new venture or an existing business firm only reaches to success and move forward
when the entrepreneur is creative, ambitious and learner. An entrepreneur is the one who
establishes the business with a new innovative idea and move along with the dynamic business
environment by accepting and adapting according to change and development taking place in the
society and in the respective marketplace. Thus, with this learning and concept in my mind I am
planning to open a bakery shop as an entrepreneur. This idea of opening my own bakery shop is
actually my dream and something which I always wanted to do (Acar, Tarakci and van
Knippenberg, 2019).
My mother is my inspiration and my first teacher in the field, she also use to bake when I
was young and she was the one who inspired me. I use to stand in the kitchen while my mum use
to bake pastries, I use to stand next to her and learn. This clarifies that I a keen and a visual
learner. I persuaded baking as my career option and went to catering school to take in depth
knowledge about all the concepts which were hidden from me or which I could not gain at home.
In catering school with experts and their supervision I excelled my learning and gain better
insight as well as experience.
While I was learning form my mum and use to observe while she was baking I learnt the
techniques by observing her and took them with me such as traditional ways of mixing dough
with both hands for the perfection (Khajeheian and Tadayoni, 2016). Moreover, at the time of
seeing my mother work I also learnt some concepts to business like management, team work,
understanding customer needs and others. This enabled me to have a deep insight about myself
that according to Belbin's Theory I am a shaper, starter, a coordinator and a finisher. These few
characteristic showcased and provided me confidence in myself and motivated me to become a
entrepreneur with my skills in baking and all my knowledge of running a business smoothly and
successfully.

TASK 2 – OPTION A – IDEA/CONCEPT
What lessons can we learn in getting our ideas and concepts to the market place?
Entrepreneurship is known as a an ability and readiness to develop, organize and run a
particular business function along with managing and bearing all of its risk, uncertainties and
profits. Basically it is a institution which is being organised and regulated by entrepreneurs with
focus on all risks and profits that is negative and positive aspects. Innovation is a major concept
and part of entrepreneurship. Innovation refers to a specific instrument of entrepreneurship
which endows resources with a new capacity for creating more wealth and creditability.
Creativity on the contrary is a process of using imagination, original ideas and fresh thinking
with the focus of developing something new which does not exist and people can not imagine
that it can but adding value to their need satisfaction and desires (Tidd and Bessant, 2018).
A market place is a dynamic and unstable environment which gets affected by hundreds
of factors imposing respective impacts on businesses either positive or negative depending upon
entities, their nature, scope and sizes. Market place is a source filled with opportunities and new
chances that are explored and exploited by entrepreneurs with the focus of offering something
new to customers adding more value to their needs satisfaction and rendering them comfort and
ease. Entrepreneurs are the individuals who enters the market with completely fresh product
either invented or innovated. These goods or services of entrepreneurs helps them gain attention
of general public and their targeted audiences. The reason behind it is the product or service is
delivered according to preferences of people and fulfil their needs and expectations as well as the
commodity may add more value which attracts people towards them.
New commodities or goods are known to be boosters of business or an enterprise.
Innovating and being creative is a simple aspect by converting what customers are expecting and
desire, in reality and offering them tangible products or intangible services (Ferreira, Sousa and
Gonçalves, 2019). An entrepreneur who is entering the market for the first time have number of
questions in mind but gradually learns to deal with the problems and specifically with the
changing environment. Thus, it is clear that entrepreneurs learns a lot while establishing their
enterprise and the process goes on as change is continuous implying the nature of environment is
dynamic.

While entering the market a very common mistake an entrepreneur or entrepreneurs make
is of thinking about doing everything at once and by themselves without any external help of
experts and experienced individuals with a single perceptions of being over prepared is
beneficial for them. This is a wrong aspect as those who have done business and are still
operating in market knows that market is not static it is flexible and always changing. Entering
the market with something new and fresh needs preparation and huge resources but the most
what an entrepreneur will be needing is patience and attitude to learn and seek the most out of
the presented conditions. Thus, at time of pitting initial steps in market entrepreneurs needs to go
through number of aspects for becoming fully prepared for taking the respective innovative or
creative offering to market (Wu and Wu, 2016). Patience- In multiple learnings and experience one of the most important one if Patience,
if an entrepreneur is developing a mind set to gain success in the initial days of the
launch. It is a myth and a impossible aspiration. Every business needs its time and
resources for developing its presence in market. At the time of launching and introduction
the enterprise and the entrepreneur have to go through number changes in plans and
execution because of those unknown factors existing in market but are invisible until the
entrepreneur launched their offerings and established their presence in the competitive
and regularly increasing market.
 Focus over products and services- Staying focused is necessary as well but in the right
direction and over the right components. The second most important learning is of
keeping up the focus over products and services and only on one specific thing at a
time. Multitasking is one basic requirements or skill which an entrepreneur should have
buts while preparing and managing the business. At time of performing tasks and
completing basic agendas for day to day survival the entrepreneur should have control
and concentration developed in one particular direction and over one specific thing. This
strategy will offer expertise and specialisation to entrepreneurs in the focused areas that
enables them in inducing their quality of products and services.
 Customers are the major priority of organisations of any type and of any size with
separate type of offering and with unique service portfolio (Fontana and Musa, 2017).
Entrepreneur who is launching their goods have to go through several research stages in
order to gain understanding of public perceptions, expectations and most importantly

their needs. The initial stage of launch and even innovation is inspired or a contribution
of external market research and majorly of knowing and understanding exactly what
people want and how much they are ready to pay for the goods of such kind if they are
made available to them. There are certain questions which entrepreneurs can themselves
and even the potential public to making thorough insight of the marketplace in which
they are planning to place their foot (Hallak and et. al., 2018). These questions are like
What users would likely accept faster? What users will like or dislike in their
offerings? What features are necessary for better experiences? What are the those
aspects which can offend users or annoy them if featured through the brand? etc.
such questions are examples of what exactly entrepreneur needs to known before
entering. Making customers priority is the common aspect of business organisations that
remains same at the time of pre launch, launch and after launch. Social trends that is
requirements and desires of consumers and potential buyers can change which brings
entrepreneurial opportunities as well as uncertainties.

TASK 3 – THE CONCEPT PLAN
Introduction – Business Concept and Opportunities
A business idea for an entrepreneur is a unique and distinct pathway they have chosen or
still exploring for entering into the market by presenting some unpopular features and enabling
people to meet their expectations or even go beyond it (Ruskovaara, Hämäläinen and Pihkala,
2016). The business idea or concept is pretty simple that is of introducing a bakery shop in the
market. A bakery in which all types of pastries, cakes, cookies, breads and other items are
available in different flavours and with customisation option. The uniqueness of this new venture
is all the products or orders will be produced in house and with traditional techniques. The
market is highly competitive and aggressive too which requires more creativity and innovative
offerings to be introduced and served in market to the targeted audiences and potential buyers
form the public.
Objectives
The aims and purpose of opening a new bakery shop is to keep the traditional and
ancestral values alive as well as flourish them in market for future generation to grab all the
knowledge about the past rituals and legacy. The bakery is aiming at establishing the market and
at least earnings of 5% over their revenues after reducing all expenses and costs.
Market Research
Market research is an essential aspect which is needed to be performed before entering
the market and establishing their venture. Aim of conducting market research is to find out about
the feasibility of firms offerings. Market research can be conducted in two ways either through
primary sources or through secondary sources (Schilling and Shankar, 2019). In order to conduct
feasibility study for the bakery shop Secondary market research tools and phenomena's are used.
The secondary data is already existing in the market and in external environment. The researcher
or the entrepreneur only had to collect the relevant data and sort out the most specific and related
information in order to reach to the most constructive conclusion and provide appropriate
evidences. Through this research the entrepreneur will also gain a higher and in depth knowledge
about what exactly people are missing out in relation with bakery products and what is the expect
in relation to uniqueness and innovation.

Target Market/Customers
A marketing tool known as STP stands for Segmentation, Targeting and Positioning is
the most potential source or method to set appropriate targets and recognise the most potential
customer base. The model is divided into three phases which are as follows:
 Segmentation is the first phase in which the whole population is divided into small
groups holding similar characteristics and features which helps the next phase of
Targeting in setting their audiences who falls under the category of firms offerings
(Coulson-Thomas, 2017). The segmentation is of many types and bakery shop
entrepreneur make use of Psychographic Market segmentation method by taking
interests of people into consideration.
 Targeting is the next phase in which segmented market groups are then selected or
targeted for showcasing their offerings and products or services. Targeting method is
related to focusing towards the potential buyers. Bakery shop is targeting those who are
missing out traditional touch in their bakery products amongst all fancy decorative
products available in market with modern touch.
 Positioning is the last stage of the whole phenomena in which company make efforts for
effectively entering in the market by establishing an attraction towards them of most
specifically of those people who are potential buyers as well as general public.
Positioning is a very critical stage for a new venture or even every organisation, through
which Bakery Shop will place its presence in market and in the surroundings of the
neighbourhood. Marketing tools like social media and printed advertisements are the
most suitable source of effective positioning in order to reach to local people as well as
vast crowd (Ateljevic and Page, 2017).
Marketing
An essential element of a business plan is marketing and promotion. The advertisements,
promotions and informational sources are all marketing tools which company's adopts for
informing people about their products and services. Marketing is a very essential aspect of
business in today's business world and market place. Thus, Omni Channel marketing is the most
suitable tool which is suggestive to Bakery Shop. This is a recently popularised concept of
marketing which is productive and efficient. Omni channel marketing is a platform which cover
both physical and virtual areas of marketing. Basically it is offering coverage of both virtual and

physical audiences to the entity. It has number of tools and the most suitable for the Bakery Shop
are Social Media, Print Media and Digital Marketing (Newman and et. al., 2018).
On social media platforms like, Instagram, FaceBook and Snapchat the entrepreneur can
develop social account of bakery shop through which they can share number of posts and varied
information can be shared to end users as well. Posters and advertisements are print media tool
which can be used to attract people in neighbourhood and to reach to old people who are using
traditional methods in day to day lives as well.
Human Resource
In the chosen company, there are various human resources who need to consider in order
smoothing running of business organisation such as employee’s, distributor, labour and supplier
as well as many more. It is necessary for organisation to have skilled or competent employees in
order to perform task and work in an appropriate manner. They also focus on providing
appropriate training to its employee regarding innovative technology for performing their work
in an appropriate manner. In addition to this, the distributor is the main focus of organisation in
which they supply the qualitative product that helps company in providing better services to its
customer. The supplier also focuses on providing quality goods and services to its user in order
to satisfy them during a particular period of time. It increases profit margin and success of
organisation in future period of time (Ratten, 2017).
Operations (The Business Model Canvas)
Business model Canvas is considered as a strategic administration that help in improving
innovative or documenting available model of organisation. It is considered as charts that help
the organisation in identifying the value proposition of product, customer and also finance. In
reference of chosen organisation, they adopt business model Canvas that is going to be
mentioned below:
Key Partners:
Technology
partner.
Legal partner
Key Activities:
User
administration.
Provide
assistance to its
user.
Value
Proposition:
Interact
appropriately
consumer with
seller.
Customer
Relationships:
Social media
interaction.
24/7 support to
its user in an
Customer
Segments:
Segment its
customer on the
basis of age,
income,

Manage
advertisement.
Use economic way
for providing
goods and
services.
appropriate
manner.
education and
many more.
Key Resources:
Marketing and
sales team
Channels:
Use mobile
application and
websites.
Adopt online as
well as offline
application.
Cost Structure:
Cost of technology
Cost of advertisement and operations
Revenue Streams:
By affiliate advertisement.
Registration fee.
Legal Issues
Legal issues are one of the most important which are to be considered while starting of the
new business because they affect overall organisational structure at deeper scale. In context with
the chosen corporation, legal issues can arise at the time of starting a new business such as
taxation (Yashkova and et. al., 2016). New businesses are ready to be aware about the different
taxes of different state and government. This legal issue of taxation can lead to which massive
problem if not considered properly at time of the initiating of business. Therefore, there are
various legal issues which must be consider by business organisation in order to smooth running
of company in future period of time. During the legal issues of taxation it is essential for
company to give detail information about their business to the government with their liabilities
so that no problems occur in future period of time.
Financials
Launch cash budget
Particulars January February March April May June
Cash Inflows
Investment 8000
Credit sales 1200 2000 7500 3000 5000 6500

Total inflows 9200 2000 7500 3000 5000 6500
Cash Outflows
Fixed : Equipment’s 2500 1200 1500 2500 1100 1500
Variable : Direct
material 350 300 250 150 100 500
Total Outflows 2850 1500 1750 2650 1200 2000
Net cash flow 6350 500 5750 350 3800 4500
Opening balance 0 6350 5850 11600 11950 15750
Closing balance 6350 5850 11600 11950 15750 20250
Particulars July August September October November December
Cash Inflows
Investment
Credit sales 1200 3200 1500 8200 1250 3210
Total inflows 1200 3200 1500 8200 1250 3210
Cash Outflows
Fixed : Equipment’s 1200 600 500 500 1200 700
Variable : Direct
material 500 250 450 250 1300 500
Total Outflows 1700 850 950 750 2500 1200
Net cash flow -500 2350 550 7450 -1250 2010
Opening balance 20250 19750 22100 22650 30100 28850
Closing balance 19750 22100 22650 30100 28850 30860
Exit Strategy
Exit strategy- in business sector, it is not that organisation will last for longer period of
time. The exit strategy is used at the time complete loss of and need to wind up there all

functions and operations of business. So merger and acquisition is being viewed as most
important exist today which are essential to be used by entities. The reason is because by using
of this strategy company get benefited from both merger as well as acquisition. Moreover no
expenses have to be carried out by then to bind up the company. Furthermore, it is important for
entity to select most appropriate exist so that they are able to wind up company in most efficient
manner (Mitra, 2019).

CV

REFERENCES
Books and Journals
Acar, O. A., Tarakci, M. and van Knippenberg, D., 2019. Creativity and innovation under
constraints: A cross-disciplinary integrative review. Journal of Management. 45(1).
pp.96-121.
Ateljevic, J. and Page, S.J. eds., 2017. Tourism and entrepreneurship. Routledge.
Coulson-Thomas, C., 2017. Stimulating creativity, enabling innovation and supporting
entrepreneurship. Management Services, 2017(Summer), pp.26-29.
Ferreira, J., Sousa, B. M. and Gonçalves, F., 2019. Encouraging the subsistence artisan
entrepreneurship in handicraft and creative contexts. Journal of Enterprising
Communities: People and Places in the Global Economy.
Fontana, A. and Musa, S., 2017. The impact of entrepreneurial leadership on innovation
management and its measurement validation. International Journal of Innovation
Science.
Hallak, R. and et. al., 2018. Firm performance in the upscale restaurant sector: The effects of
resilience, creative self-efficacy, innovation and industry experience. Journal of
Retailing and Consumer Services. 40. pp.229-240.
Khajeheian, D. and Tadayoni, R., 2016. User innovation in public service broadcasts: creating
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Mitra, J., 2019. Entrepreneurship, innovation and regional development: an introduction.
Routledge.
Newman, A. and et. al., 2018. The effects of employees' creative self-efficacy on innovative
behavior: The role of entrepreneurial leadership. Journal of Business Research. 89.
pp.1-9.
Ratten, V., 2017. Entrepreneurship, innovation and smart cities (Vol. 11). Taylor & Francis.
Ruskovaara, E., Hämäläinen, M. and Pihkala, T., 2016. HEAD teachers managing
entrepreneurship education–Empirical evidence from general education. Teaching and
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Schilling, M. A. and Shankar, R., 2019. Strategic management of technological innovation.
McGraw-Hill Education.
Tidd, J. and Bessant, J. R., 2018. Managing innovation: integrating technological, market and
organizational change. John Wiley & Sons.
Wu, Y. and Wu, S., 2016. Managing ambidexterity in creative industries: A survey. Journal of
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Yashkova, E. V. and et. al., 2016. Development of Innovative Business Model of Modern
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