Planning for Growth: Key Considerations, Ansoff Matrix, and Sources of Finance

This report discusses the growth possibilities for Marshfield Bakery, including key considerations, Ansoff matrix, and sources of finance. It also provides a detailed plan for securing finance and growth, setting strategic objectives and strategies by using frameworks.

Planning for growth

Table of Contents
INTRODUCTION ..........................................................................................................................3
PART 1............................................................................................................................................3
P1 Examine the key considerations for the assessment of the growth possibilities and also
justify the considerations........................................................................................................3
PART 1............................................................................................................................................4
P1 Examine the key considerations for the assessment of the growth chances along with
justifying the considerations...................................................................................................4
In this kind of venture it has various opportunities for innovation, growth and employment in
the market. This is generally having a different sectors which includes the cakes, bread and
biscuits. In relation to this, the Maro would take the command over the prices through which
it could attract various large group of customized. ...............................................................4
P2 Evaluate opportunities for growth using Ansoff matrix....................................................4
M1 Discuss on the options for the growth in order to understand the competitive advantage.. .5
P3 Sources of finance that are available for business including pros and cons of each. .......6
M2 Evaluation and justification o adopting appropriate funding for business......................7
PART 2............................................................................................................................................8
P4 A Business plan for the growth of firm that involves strategic objectives and the financial
information.............................................................................................................................8
M3 Develop detailed plan for securing investment and growth, setting strategic objectives and
strategies by using frameworks.............................................................................................9
P5 Provide the succession or exit options to the small business together with its advantages
and disadvantages...................................................................................................................9
M4 Evaluation of succession or exit plan for business and contrast the options and make
recommendations..................................................................................................................11
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
The term business growth can be defined as the process through which the business
expand in the market. It starts when the business has been established in the market. It involves
the strategies that is being formulated to grow the business in the present market place. It also
includes various steps taken for developing the product in the respected company(Ahmad and
Atniesha, 2018). This report would explain about the organisation Marshfield Bakery. It was
established in the year 1984. This company has 82 employees. It is a bakery based company
which offers pastry and bakery items to its customers. This report would outline the use of
Ansoff's matrix and other opportunities related to growth of business in the market. It would
also explain about the sources of finance through which company can generate money in the
business.
PART 1
P1 Examine the key considerations for the assessment of the growth possibilities and also justify
the considerations.
In this type of venture it has various opportunities for the innovation, growth and
employment. This has generally distinct sectors which includes the cakes, pastries and biscuits.
In reference to this, the company Marshfield Bakery is using certain competitive analysis which
are discussed as follows-
Porters Generic Strategies
 Cost leadership: These are the processes through which the management tries to reduce
the cost of the product. The company tries so in order to increase the output and sale of
the product in the market. It would too aids in taking the adequate competitive
advantages that is too becoming the operator in the business. Moreover, the company
Marshfield Bakery has the kind of role in the life-cycle and growth trends of business
along with the owner's desire for the creation of equity value in the company. Further
more, the organisation Marshfield Bakery is the selected company for this study as it is
the private limited institution that is presently working with 82 employees by producing
the biscuits, rusks, pasty, etc(Bertelsen, Paardekooper and Mathiesen, 2021). It is
basically a family owned venture which was created in the year 1984. It would also
outline the key consideration for assessment of certain growth chances, application of

Ansoff matrix along with the different sources of finance in the market. Finally, it would
add the business plan along with the exit or succession options for concern.
PART 1
P1 Examine the key considerations for the assessment of the growth chances along with
justifying the considerations.
In this kind of venture it has various opportunities for innovation, growth and employment in the
market. This is generally having a different sectors which includes the cakes, bread and biscuits.
In relation to this, the Maro would take the command over the prices through which it could
attract various large group of customized. Differentiation: This is related to uniqueness that is offered by an arrangement in the
market organisation in order to attract large set of tailored. It too majorly emphasis on the
innovation for increasing the ambit by examining the needs. Moreover, the organisation
Marshfield Bakery could use the strategy by applying advance application in its products
hence it can position itself in more distinct way(Buckman, Jones and Buame, 2019).
 Focus: This is the aspects by which the industry in the market is being divided along
with adopting it for the target market. Moreover, having two variable would involve the
cost along with focus by which Marshfield Bakery could use the competitive merits.
Moreover, the Bakery would use the discrimination by which it is able to get the adequate
growth possibility by using innovation of its goods and services. It would further measure
the cost leadership that could hinder the attainment of strategic decisions.
P2 Measure the opportunities for development using Ansoff matrix.
It is vital for any organisation to take steps for its growth and development. The Ansoff matrix is
used for the framework that can be utilised for the growth of the organisation. The Marshfield
Bakery can identify its opportunity in the market that are being discussed below- Market penetration: This strategy aims to enhance the demand of the existing product in
the market. This is done by the marketing department of the company by the way of
doing online and offline advertising to its potential customers. This would increase the
sale of the existing product in the market by use of this strategy used by the selected
company.

 Market development: This strategy works for increasing the market share of the
organisation in the market. It aims on working with the larger group of tailored in the
market. This also implies that the company can work for making the strategy for the
product development. The company Marshfield Bakery could use this strategy as it is
desirable for them to spread out their concern in new places along with the sales that can
be improved by congressing in the new market(Camilleri, 2018). Product development: This is the strategy that is used to develop the item that is being
manufactured in the respective industry. The management frames the strategy for
increasing the demand of the product among the potential customers in the market place.
It also involves to see the competition in the market along with competing with the rivals
in the market. The organisation Marshfield Bakery would use this strategy by getting
newer products in the market that would lead to analyse the demands in order to seek the
supply of the product in the adequate time period. This would also reduce the loss of the
organisation.
 Diversification: The diversity means the different variety available at the same place.
This strategy is mainly used by the company to grow with the competition in market.
This would also increase the brand image of the organisation. The company Marshfield
Bakery could use this strategy in new market for receiving the potential buyers in large
market that would lead to enhance the market share of the company.
This has also analysed the above discussion that business strategy plays an important role
which also helps in the growth and expansion by getting most of the available opportunities that
are available in the market. Marshfield Bakery can use this market evolution strategy so that they
could receive large consumer and meeting its needs in the institution(Carlaw and Lipsey, 2022).
M1 Discuss on the options for the growth in order to understand the competitive advantage.
The product evolution is less risky strategy that too lead to have better products in the big
market that it can rightly and would lead to have the good options in such business. The
company Marshfield Bakery could use this strategy by discernment the wants of the consumer
to have higher term sustainability in large market place.
P3 Sources of finance that available for business including benefits and demerits of each.
The finance is very necessary for the growth of the business in the market. It leads to the
smooth operations of the business because it has the sufficient amount of finances in the large

market along with coming out as the main concept of the financial scarcity. The company
Marshfield Bakery could implement the definite funds which can be discussed below:
Bank loans: The bank loans are the best available source of finance in the present market
place. It provides loans to the existing companies for the longer period of time.
It is analysed as the one of the foremost options for increasing the funds from the bank and
giving short and long term interest rate.
Benefits
 it is the aspects which are not entitled
to repaid on the condition instead of
offering fixed period. Only certain interest is necessary to pad
by the loan taker and the product is
bring being shared with the bank.
Drawbacks
 There are the loans which are against
the assets of the institution an unified
with huge risk.
 In case of shortage of financial aspects,
the single is unable to pay the amount
by which they become disqualified for
future loans.
Overdraft: this is the type of money increasing as the credit from the bank when the bank
loan is given in the financial institution account which quitter out to be zero. It is the short term
loan that is being offered by the bank to the concern account individual(Dawes, 2018).
Benefits
 It is the kind of access to funds by
helping the facility of overdraft. No such charges is being taken on the
monthly basis taken from the
bank(Grail, et.al, 2020).
Drawbacks
 The bank takes the extra amount if the
amount of overdraft is exceeds the
authorisation amount.
 In can of hold of overdraft the person
is eligible to pay the arrangement fees.
Crowd funding: It is the kind of funding which affect money is being taken from the
small dimension from the different group with the help of net. It is the kind of secondary which
is having vast web by the website of crowed funding. It involves the individual is taking the
consideration from the owner so that they can have the better approach in the market.

Benefits
 There is not direct is being involved as
the finances is being raised in faster
mode. It is the way in which concern ideas is
being given with the response of the
people as if they invest in different
concern(Jones, 2022).
Drawbacks
 It is evaluated as the difficult procedure
of initiating finds in examination to the
tradition methods of fund raising.
 It tales lot of hard activity and research
before propulsion the final project.
AS per the above discussion, Marshfield Bakery could use the bank loan as it is the
easiest acting of accessing the funds with less ceremony. By using this Marshfield Bakery can
have the long term finance is that they can right put in their various transaction which is being
transportation out in a smooth way.
M2 Assessment and justification o adopting suitable funding for business.
Finance is related to the necessary aspects of the concern as without this the concern can
be difficult to run their business transaction in an appropriate way. Marshfield Bakery can use the
bank loan as it is supply with less interest rate is being taken and ensures the long term
sustainability. It also includes the small proportion from various people that can be complex and
lengthy procedure(Khajezadeh, et.al, 2019).
PART 2
P4 A Business plan for the growth of firm that involves strategic objectives and the financial
information.
Business pan is related to the roadmap or the outline which also aid the business strategy
and preparation so that they can have further betterment in productivity and show of the venture.
The main thinking of this plan is to make the identification foe the growth opportunities by
which Marshfield Bakery can resolve its losses and grab the large consumer base. This business
plan is being created in order to have conception in which healthy smoothies with oats and
different fruit flavours which can be packed in zinc packaging in order to have long term
sustainability.
Executive summary Marshfield Bakery is the small business which is planning to grow their

business in order to met their definite expenses and looses and ensure
smooth utility. This is also leading to have the better gainfulness so that
bakery can get the better of its looses due to epidemic where al the food
manufacture have shut down and faces immense looses(Lewin, 2020).
Mission The mission of the institution is to provide the choice bakery products
to their expected customers with the immense variety of flavours by
which they can pull and retained their possible customers.
Vision It is the imagination statement in which aimed to go the market leader
across the UK and to be the second baker who is gathering the customer
needs and wants.
Strategic objectives  To increase its customer base.
 To increase the sales by 30% in next 3 months.
Strategic choice of
growth
The institution is working expand their business by offering new
products to their customers in the market. Marshfield Bakery can use
the product development strategy by which they ca get their ample of
buyers and set their high brand value in the market. This is also leading
to increase the customer loyalty and have the customer segment of
market as the health is conscious(Martino, et.al, 2022).
Marketing strategy In order to have the strategy or conducting the marketing of the new
products, Marshfield Bakery can use pamphlets for promoting their
brand and aware its new customers.
Source of funds There are different options that are available for Marshfield Bakery in
order to wage increase its funds for acquiring new products.
M3 Create detailed plan for securing finance and growth, setting strategic objectives and
strategies by using frameworks.
The business plan is the strategic frame work in which the company can have their higher
growth that is also prima to have the high value in order to increase the earnings(Mihaylov and

Zurbruegg, 2020). Marshfield Bakery can get the plans by which they can grow their business
by launching new products.
P5 Supply the succession or exit alternative to the small business together with its benefit and
disadvantages.
For this purpose of analysing the market conditions, It is vital for the small business to
take various succession or exit options by which all the determination can be taken regarding to
the development. In context to Marshfield Bakery, there are positive ways which are given
below:
Succession options
The options which leading work for the growth of the concern is the one that helps in
making the acknowledgment of the business and sort new leaders which can easily replaces the
present employees. There are different options which are acquirable are given below:
Merger and Acquisition
It is the aspects which involves the institution is merged with other in order to work
efficaciously in order to reach to their business accusative in an appropriate mode.
Merits with this method, capabilities and skills
of the employees can be enhanced with
new talent that can be accessed easily.
Demerits
 The merger can also increase the gap
with the communication as of cultural
differences with in the arrangement.
Franchising
It includes the selling of the concern in which the certain model, logo, name of the
company are being sold to the private groups which is majorly having certain forms of
arrangement and the marketing in which the owner of the concern is having rights to operates
their business by using business system of franchisor(Richards, Kammerl and erandZellweger,
2019).
Merits It is the feature which is giving the
training to the venture in order to run
their concern with high rate of success
Demerits
 There is huge finance in these type of
business as the franchisor is taking
huge amount of money before selling

as compared to the start up business
concern.
its exact.
Exit option
This is the one of the all-embracing strategy which involves the finding of certain aspects
that influence the overall functionality of the business. Marshfield Bakery can use any of these
options while outlet from the market.
Selling business
It is not the related aspects which us having two companies that are not concerted but it is
the method which is easy considered as the manner of cash out to invest and sell their concern to
the worker or the competitors.
Merits In this, the owner have the chance to
downplay the stake or liquidate the
stake in can of successful, the profits is
gained by the business.
Demerits
 There is a loss of ownership in which
the profitable organisation is not
eligible to get anything.
Winding up
It is the method which involves the possession of the company is being utilised in order
to have the other know-how to pay off the liabilities of the institution and after the repayment,
remaining amount is being apportioned among the stakeholders. There is lot of formalities and
lengthy procedure to wind up the certain concern(Saan, Enu and Nyewie, 2018).
Merits By using this know-how, the top level
management can get free debts ad
possession easily as the assets are sold.
Demerits
 there is high restriction foe the concern
as the same nature of the institution in
its future.

M4 Judgment of succession or exit plan for concern and contrast the options and make
recommendations.
There are many derivative for small medium business which is being utilized for
succession and exit in future. Marshfield Bakery can use for sequence by which they can grow
its institution. This can take amalgamation and acquisition as the god derivative with big
institution in order to built their consumer reach(Watson, 2019).
CONCLUSION
From the above discussion, It is analysed that growing for any business is critical by
which they can be prospering in near future. There are different growth opportunities which can
be accesses s that they can get the competitive advantage in the large market. There are four
scheme as per the Ansoff which also aid the business to spread out and grow by using certain
beginning of funding such as banking concern loans, overdraft. Lastly, business plan aid in
making scheme to grow the undertaking and there are various exit sequence options which are
available to the concern that includes merger and acquisition, concession etc.

REFERENCES
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