Opportunity Analysis Report for Small Start Healthy Cereal in Australia

Opportunity Analysis Report 1
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OPPORTUNITY ANALYSIS REPORT
by
Student
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Course
Institution
Instructor
Town
Date

Opportunity Analysis Report 2
Opportunity Analysis Report
Executive Summary
The report encompasses a business proposal for selling a new product, Small Start
Healthy (SSH) cereal that will be marketed in Australia. Specialists globally acknowledge the
important of breakfast as a meal of the day. Accordingly, the breakfast cereal is the most
excellent way to start a healthy day because it has low-fat, and nutrient-intense food with several
essential minerals, as well as the vitamins. SSH will be highly nutritious products with low
cholesterol level tailored to reduce cases of cardiovascular diseases and other diseases due to
cholesterol levels in food. The new product will focus on delivering a great opportunity to boost
health of the Australians. The SSH will be manufactured using sterols and stanols (also called
phytosterols) as a natural way to reduce cholesterol would be the main focus of the new product
in the market. The plant sterols and stanols that are used to produce SSH will work to reduce
cholesterol through slowing its intestinal absorption, thus, they interfere with cholesterol loading
into mixed micelles, where less cholesterol will be absorbed. The target market for the new
product is for those individuals who need to lower the levels of cholesterol. Patients on
cholesterol lowering medicine will be appropriate market for the new product. The product will
not be appropriate for children, pregnant along with breastfeeding females.

Opportunity Analysis Report 3
Table of Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................5
External Environmental Analysis....................................................................................................5
PESTEL Analysis........................................................................................................................5
Political/Legal Factor...............................................................................................................5
Economic Factor.......................................................................................................................6
Social Factor.............................................................................................................................6
Technological Factor................................................................................................................7
Environmental Factor...............................................................................................................7
Industry Analysis.............................................................................................................................7
Porters’ Five Forces.....................................................................................................................7
Internal Rivalry.........................................................................................................................8
Threat of Substitutes.................................................................................................................8
The Bargaining Power of Buyers.............................................................................................8
The Bargaining Power of Suppliers.........................................................................................9
Threat of New Entrants............................................................................................................9

Opportunity Analysis Report 4
Target Market...............................................................................................................................9
Key People and Skills....................................................................................................................10
Technical Skills..........................................................................................................................10
Money Management Skills........................................................................................................10
Negotiation Skills.......................................................................................................................11
Marketing Skills.........................................................................................................................11
Financial Analysis.........................................................................................................................12
Financial Option.........................................................................................................................12
Cash Flow Statement.................................................................................................................12
Conclusions....................................................................................................................................13
References......................................................................................................................................14
Appendices....................................................................................................................................16
Appendix 1: Summary of Financial Needs................................................................................16
Appendix 2: Estimated Sales Volume.......................................................................................18
Appendix 3: Fixed Costs............................................................................................................19
Appendix 4: Budgeted Balance Sheet........................................................................................20