Business Development and Value Creation

This report discusses the business plan for a new venture called Anytime Bakery Cafe in Mayfair, London. It focuses on the unique selling points, market analysis, and opportunities for the business. The report also includes a competitor analysis and customer analysis.

Business Development
and Value Creation

EXECUTIVE SUMMARY
In this report, an entrepreneur starts a new small venture that would be related to the
composite of cafe and bakery. It will be introduced under the name of “Anytime Bakery Cafe” in
Mayfair in London, United Kingdom. It will be launching for the purpose of increasing quality
experience for people who are searching for cafe which can satisfy their needs at low price. As
new venture will also provide gluten free products and snacks which targeted health conscious
population of UK as well as it will have separate portion for small parties or get-together. It
would be launch in Mayfair as it is an effluent area that is situated in London and visited by
thousands of persons in a day like tourist. As this location facilitate a lucrative opportunity to this
venture in order to grab attention of large segments of entire population of UK and get market
success.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................1
INTRODUCTION...........................................................................................................................3
BUSINESS PLAN ..........................................................................................................................3
Business description....................................................................................................................3
Product and service description..................................................................................................4
Company and team......................................................................................................................4
Opportunity.................................................................................................................................5
Market analysis...........................................................................................................................5
Marketing strategy......................................................................................................................8
Operations and logistics............................................................................................................10
Financial forecast......................................................................................................................11
Key milestones,.........................................................................................................................12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Business development refers to the tasks as well as processes that are needed to develop a
business organisation through examining the performance and improvement areas. In other
words, it is defined as an activity that is exercised to analyse and acquire new opportunities and
customers in order to drive the high level of growth and profitability (Priem, 2018). Whereas,
value creation refers to the primary objective of a business entity as it creates value for customers
towards the selling of products and services, value for stakeholders for improving the stock
prices as well as know about the future accessibility of capital investment in order to fund
operations. This report reflects would be a composite of a bakery and cafe. It will be introduced
“Anytime Bakery Cafe” in Mayfair, London, UK. The purpose of introducing a new venture is to
generate quality experience of customers who are searching cafe that can satisfy the needs and
requirements of refreshment at a low cost. Under this report discuss about the entire business
plan that consider the introduction of company, team, opportunities, marketing activities,
operating and financial plans, balance score card etc. In order to that analyse business and its
products or services description, market analysis, marketing strategy, logistic functions, financial
forecasting and so on.
BUSINESS PLAN
Business description.
The business location id Mayfair, London, United Kingdom for launching a new business
venture that is an effluent sector which is situated at the heart of London and a hub of
commercial entities concerning to various number of sectors. For becoming an effective venture
“Anytime Bakery Cafe” meets the needs of people as it possesses large scope in order to being
created into multinational business organisation along with spreading its outlets in several
locations in UK. The particular business idea has potential to be developed their cafe in large
scale that provides breakfast, dinner and lunch also for those people who visiting Mayfair area
for shopping (Prebensen, 2018). The separate space also maintained for organising small parties
as well as get together it can be enlarged by providing space for music concerts, dance
performance, DJ parties and so on for facilitating entertainment to the customers and ensures that
they can visit their outlets again in order to get excellence experience. In addition, entrepreneur
have an option to shift their business in order to grow and expand in new locations that has a
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quick reach of customers or population. Venture have an option to retain their customers for
longer duration and quality conscious through enlarging the scale of operations. This will help a
business venture in getting high popularity as well as long term sustainability (Ritter, 2018).
Product and service description.
Uniqueness of the new proposed business idea comes in the provisions of two sectors like
bakery and cafe area in a single business outlet. The idea of supplying gluten free items and
snacks for the population of London, United Kingdom who are in troubled and facing diseases
such as obese and diabetes. It is proposed to ensure that there is no segment of people of that
nation remains untouched by the good quality experience that will be provided by the Anytime
Bakery Cafe. The unique selling areas of businesses offered goods and services to their
customers that distinguish a business from others or rivals.
The unique selling point of entrepreneurial business venture related to the introducing a
bakery cafe that will be the main provisions of entertainment as in the form of get together and
small parties along with low prices and better quality of items and snacks (Porter, 2019). USP of
business entity can be increased by investing in the value added services as well as increasing the
quality in order to retain customers for a long period of time and build loyalty as well. It should
be made sure by the entrepreneur as their offerings are properly aligned with the customers
requirements and market environment.
Company and team
Legal structure: The structure of Anytime Bakery Cafe would be a firm of sole proprietorship
that would be working with various local entities to increase their new venture reach in the
market (Porfírio, 2018).
Ownership: The organisation is launched by a sole person named is Mr. Jack Smith who would
be liable for all profits and losses of new venture.
The advisory board: The members of advisory committee give guidance and advice in a
specific area of their expertise.
The management team: There would be a team of 7 persons on a permanent basis in upcoming
new venture that named “Anytime bakery cafe.”
Expected contribution or role: The composition of staff within Anytime bakery cafe
would be as follows:
 Chief executive officer: 1
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 Financial advisor: 1
 Marketing manager: 1
 Accountant: 1 Employees: 3
Expected salary: The salary of all persons are as follows:
 Chief executive officer: 10000
 Financial advisor: 8000
 Marketing manager: 5000
 Accountant: 5000
 Employees: 4000
Opportunity.
The idea of Anytime Bakery Cafe is taken from the analysis of companies that are in
existence in Mayfair, London. This was reflected that all businesses offered food and beverages
at high prices which are not easily affordable by all group of people (Toms, 2019). Considering
this factor as an opportunity and plans in order to take an advantage of this, an entrepreneur has
developed idea of introducing backer cafe which will produce gluten free items and snacks for
segmenting health conscious population of UK. In addition, meeting the needs and requirements
of young generation the idea of assigning and maintaining a separate place for conducting small
parties and get together.
Market analysis.
Industry analysis:
For analysing the industry and determines the revenue and profitability drivers for
Anytime bakery Cafe as well as formulate plans as well as strategies as per the analysis. It can be
analysed by the Porter's five force analysis: Threat of new entrance: It is related to the barriers of new entrance that has to be faced
at a time of entering into food and beverage industry. It has to be found that the industry
has low threat of new entrance that implies can enter easily in this sector. As there is the
low requirement of capital to invest in it as well as the scale of economies are beneficial
as well. Within the context of Anytime Bakery Cafe, it will facilitate gluten free items
and snacks for segmenting health conscious people and backed product such as pies,
breads, cakes, cookies etc. for others. This entrepreneurial venture will supply tea as well
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as coffee to their customers with snacks that accordingly mean as they will face low
threat of new entrants because of their unique products. Bargaining power of buyers: It is associated with the customers capability to edge
venture under pressure to demand prices according to their need. Buyers in food &
beverage industry have high bargaining power as the presence of supermarkets,
confectionary stores and so on. In order to make control over the switching cost of
products, Anytime Bakery Cafe will sell their products at low prices initially and
provides healthy as well as baked products. It will give an opportunity to take attention of
health conscious population within UK especially London. Bargaining power of suppliers: In the food and beverage industry, the bargaining
power of suppliers are low as they own well organised market for cafe and bakery
items. The products and services of Anytime Bakery Cafe will be unique and exceptional
with their low prices as well as they have potential to increase the products prices within
London as business will themselves have to obtain raw materials that can help in making
gluten free items and snacks. Threat of substitutes: It is related to the assertion of buyers in order to find substitutes at
a same price and quality that possess the switching capability. The factor which influence
the purchasing behaviour of buyers includes switching cost, product differentiation as
well as ease of substitution. This has to become an opportunity for Anytime Bakery Cafe
as there are many players in the market who provides gluten free products but none of
them facilitate cafe and party space (North, 2018). In order to that Anytime Bakery Cafe
has low threat of substitution that can possess the huge potential towards the long term
survivability in the competitive marketplace of United Kingdom. This will assist the
venture to earn high profit and face competition.
 Competitive rivals: It is associated with the competitiveness of food and beverage
industry as the rivalry within this sector is to be found high. It is required that business
ventures stay aware towards their rivals and know the importance of offering innovative
goods and services. New product development plan should be formed as per the strategies
as well as products that are being provided by the competitors such as Greggs plc,
Starbucks, Cafe Coffee Day and so on that are the leading market players at international
level. Anytime Bakery Cafe get benefits of an organiser of separate party areas and offer
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gluten items that are facilitated by less bakery's and café's and they considered health
conscious people of UK.
Market research
The execution of a market research helps in analysing the market information towards
their products and services which are offered for sale in the marketplace. It was determined that
the idea of new business venture of introducing Anytime Bakery Cafe that offers gluten free
items and snacks that is feasible to be introduced in a marketplace. The reason behind their
feasibility is the segment of UK population especially London, that is highly affected by diseases
related to obese and diabetes so that they demand healthy foods and beverages (Ibarra, 2018).
Moreover, the entire concept of Anytime Bakery Cafe seems to be properly aligned with the
lifestyles of people of a particular nation.
Competitors analysis:
As new business venture deals in composite of bakery and cafe business so it has two
sectors rivals. In the cafe segment Costa Coffee is the largest player and in Bakery business
Greggs can be reasoned as a big threat for “Anytime Bakery Cafe” as well as their business
continuation (Ribeiro-Soriano, 2019). In order to overcome from this kind of threats, it should be
essential for the new bakery and cafe business that the offerings of their products are unique and
innovative which have the ability to supply and satisfy the customer’s needs and wants.
Customer analysis:
Customer analysis includes the target market of customers as it can be seen that most of
the population of UK suffering from the diseases like obese and diabetes and now, they prefer
health conscious food and snacks so that it is more demanded in the market (Freudenreich,
2019). The target market of new upcoming business of bakery and cafe is targeted health
conscious segmentation of UK population linked with the segment of affected population which
are affected by diseases.
PESTLE analysis:
Factors Analysis
Political The stable and democratic condition of UK supports the growth of new
entrepreneurial business venture as local, national as well as European
government support the development by facilitating grants like
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Apprenticeship, Gigabit Broadband Voucher scheme and so on (List of small
business grants in the UK. 2019). Whereas, the incident of international war
and terrorism would be impact negatively upon new venture.
Economical The nature of customers in UK are price sensitive which would become an
opportunity for Anytime bakery cafe whereas, Brexit agreement possess some
threats regarding the demand of goods and services in UK. Along with it in
UK disposable income of consumer is high which would beneficial for the new
entity to increase profits and revenue.
Social The lifestyle of consumer in UK is highly health conscious that are owing to
the analysis of obese as well as diabetes stricken segment. As the customer
preferences are change which gives opportunity to the new venture as they
bring gluten free items and snacks that targeted health conscious population
prevailing in UK.
Technological It is rapidly increase as it requires to use latest technologies by the new
company. New venture focus on e-commerce technologies which would be
provide an opportunity to attract large customers and make effective coffee
and bakery products.
Legal It includes health and safety, security and employment laws that need to be
comply by entrepreneurial business venture to insure their sustainability for
longer duration. As the Anytime Bakery cafe needs to adhered essential
guidelines of food and beverage sector (Fjeldstad, 2018).
Environmental The company should need to use renewable resources at a time of producing
food products which leads in improving production cost that inflating pressure
upon new venture. Along with this, investment in CSR activities would
facilitate a scope to expand their market position and get acceptance from
governmental agencies and customers.
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Marketing strategy.
Vision: The vision statement of new entrepreneurial venture Anytime Bakery Cafe is “To offer
healthy items and snacks to become the first choice of people for bakery and cafe at a single
place across the world”.
Mission: The mission statement of Anytime Bakery cafe is “To facilitate fresh, healthy and
gluten free items and snacks to their customers in order to gain contentment from them”.
STP analysis:
Segmentation The new business of bakery and cafe focus on the population of UK
especially London, as they are suffering from diseases regarding the obese
and diabetes. So upcoming entrepreneurial venture segments the person of
that nation and facilitates gluten free food items and snacks which is healthy
for people.
Targeting In the entire population, target mainly health conscientious people as well as
focus on those people who looking for organising small parties and get-
together (Fischer, 2019).
Positioning The upcoming company position their products in the eyes of customers by
using appropriate strategies of product, price, place and promotion that
attracts large number of customers as well as position their innovative
products in the market.
Marketing Mix:
Product Anytime Bakery Cafe would be providing healthy, fresh and gluten free snacks and
products as it focuses on the healthy lifestyle of London population.
Price Initially, the pricing strategy of Anytime Bakery Cafe would be keep moderate of
their new and healthy products in order to attract large section of society and easily
available by all kind of people.
Place The location of new business venture would be Mayfair which is an effluent sector
that located in London and it is visited by several people or tourist in a day. Thus,
this attracts the attention of large customers and acknowledged high success in the
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market.
Promotion The promotion strategy would be by choosing social media marketing like
Facebook, Twitter, Instagram and so on as it will be easily approachable by the
customers and reaching towards the large customer base.
Operations and logistics.
What and who to deliver:
The business venture would be aiming at developing and maintaining long term relations
along with their customers for the purpose of retaining them for a longer period of time (Usai,
2018). For this, Anytime Bakery Cafe would be served healthy as well as fresh products and
snacks. In addition, EPOS cashless menu would be installed within the business stores as it
would help towards the customers comfort.
Due diligence:
For small businesses due diligence can be complicated as well as long process as it
includes digging through appropriate business records and checking references. It cannot be
dome by a single person as a business like Anytime Bakery Cafe would be appoint an accountant
and lawyer who have specialisation and expertise in this field. It includes various due diligence
such as financial, legal, operational, product etc. In financial due diligence analyse past financial
information, sales and gross profit, rates of return on products, account variables, summary of
stakeholders etc. In legal due diligence look towards the all copies of agreements and contracts
like lease, purchase agreement, sales contract, articles of incorporation as well as trademark,
patent, copyright and employment agreements (Chesbrough, 2018). Within the operational due
diligence, determine customer patterns, business marketing, market analysis, research industry
trends and business competitors etc. In the product due diligence, consider price, profitability,
growth rate etc. in against of products which a business venture offers.
Risk management:
Risks Risk contingency plan Risk mitigation plan by new
venture
Financial risk This may be introduced in upcoming
venture as it is more significant for
For eliminating this circumstances,
Anytime Bakery Cafe should
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new businesses. The venture should
emphasise on using low budgeted
instruments for making good items and
snacks as this will increase entire cost
of Anytime Bakery Cafe.
emphasise on attracting large number
of investors by presenting this
innovative concept in order to get
high investment (Apostolopoulos,
2018).
Brexit deal risk It is confines in UK as the business
venture should emphasise on keeping
low cost strategy at initial level as it
can attract more customers with respect
of fluctuations in people disposable
income.
The new venture Anytime Bakery
Cafe should focus on creating large
scale of operations so that the
activities of business are not easily
affected through Brexit deal.
Customer in-
attractiveness
To reduce this kind of risk a business
entity should emphasise on providing
discounts and benefits that would help
in increasing the customer
attractiveness against the offerings of
Anytime Bakery Café (Cardoni, 2018).
In order to eliminate this risk,
Anytime should consider customers
feedbacks related to their products
and services. Through which a
business would be capable to
determine their expectations which
they have from company.
Financial forecast.
Initial investment: Within the new entrepreneurial venture of Bakery and cafe would be
required initial investment of £500,000.
Sources of investment: The fund should be sourced by taking bank loan and the entrepreneurs
investment in the ratio of 3:2 i.e. £300000 by bank loan and £200000 by entrepreneur itself.
Revenue and sales: The 40% income will be generated from bakery products and rest 60% will
be generated from sales of coffee and cafe items.
Financial breakdown: The financial breakdown of setup expenses of new venture names
Anytime Bakery Cafe is presented as follows:
Particulars Amount (£)
Legal expenses 20000
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Design 70000
Office supplies 30000
Rent (12) 35000
Salary 120000
Marketing 35000
Inventory 20000
Equipment 70000
Cash required 100000
Total 500000
Key milestones,
 The upcoming company can increase their customer base by 15% in next five year after
the incorporation.
 Anytime Bakery Café can enhance their sales and profitability by 20% and 25% in next 3
years from the establishment of their business venture.
 The company can raise market share by 10% in UK within the next 4 years.
CONCLUSION
It has been concluded from the above report that in order to launch a new business
organization an entrepreneur requires to study several concepts that are related to the business
opportunities, competitor analysis, customer segmentation, industry analysis and so on. Firstly,
an entrepreneur describes their businesses related to the geographical locations, product and
service description in which their uniqueness should be analysed as compared to their
competitor’s products as well as use unique selling points for the attractiveness of new ventures
offerings. Also ensure the company and team in which structure, corporate body, ownership team
members and their roles etc. are considered for introducing a new business. The opportunities
should be identified in an appropriate manner as it reflects the business offerings according to the
customers demand and requirements. In addition, analyses the entire market which includes
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industry, competitors, customers as well as market research that shows a clear view about the
market conditions and environment and can ensure the business sustainability and growth. For
analysing the industry of food and beverages entrepreneurs use porter’s five force analysis and
evaluate all conditions, opportunities as well as threats of particular sector. After that
entrepreneur requires to make effective strategies that should be needed for the long term
existence in the competitive marketplace in order to that they can focus on gaining high customer
satisfaction by designing STP and marketing mix plan that shows the clear view about the
product, price, place, promotion, segmentation, targeting as well as positioning strategy. Lastly,
make an operational and financial plan in order to estimate total cost for minimising the cost and
increase revenue and profit of upcoming business venture.
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REFERENCES
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