Planning for Growth: Assessment of Expansion Opportunities and Funding Sources

Planning for growth

INTRODUCTION
In current era, it is much critical for a business establishment to meet the wants and
preferences of target people and create an efficient marketplace situation and gain aggressive
benefits to make improvement in the commerce. Development and success is a crucial factor and
it is a calculated commerce process which enables business people to frame strategy and plan as
well as monitor effective growth in their establishment. It provides permission to business to
assign their limited resources towards a focused effectiveness to adopt the change which are
arisen in specific business sector. For the completion of this assessment, Oak Cash and Carry Ltd
is the company which is considered. It is a grocery trader venture which was established in 2011
and is headquartered in Banbury, UK (Oak Cash & Carry Ltd. 2020). There are approx 60
employees who are employing the business establishment and them make their engagement in
operating the business of its in more amended form. This document will explain regarding the
key deliberation for development opportunity, diverse source of finances and their implication to
the commerce. furthermore, a business plan and different exit and succession alternatives for
commerce will also discuss.
TASK 1
P1. Assessment of expansion opportunities and justification of them
Development is an important aspect for a commerce that is crucial for organisation for
accomplishing the level of growth in term of increasing revenue and efficiency. The main benefit
of executing development plan and plan in the commerce is endure in the competitive
marketplace till long term period and gaining rivalry benefits. In Oak Cash and Carry Ltd, there
are diverse sorts of challenges and aggressive issues which influence the commerce of this firm
in particular sector (Plotnikov and et. al., 2015). The management of this enterprise can
considered quantum technology and analyse the impact which is formed by external
environmental factors. For this, the venture can utilise PESTEL analysis tool and the explanation
of it in situation of particular organisation is as below:
Political- This factor include administration policies and rules, government intervention,
political stability and instability, regulation, laws and legislation etc. In Oak Cash & Carry Ltd.,
there are diverse sort of changes arisen in governmental laws and policies due to Brexit which
influence the assessment making of firm. With the aim of overcome this influence, the
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management devises modifications in their present strategy and tactics. So that they can expand
an efficient place of work which can be effective and advantageous for attaining more
profitability from key commerce. In UK, Oak Cash & Carry Ltd can gain recompenses from
unfluctating character of UK administration that assist the firm to make change in its entire
arrangement and enlarge its market share in appropriate way.
Economical- This feature consider economic plan, interest rate, inflation and reduction,
employment and unemployment rate, currency rate and many more. In Oak Cash & Carry Ltd,
cause of downturn condition in the country, the company was making growth and modifications
in its all purposeful areas (Kumar, 2016). So that they can get over the influence of slump that
impact the profit margin and efficiency of the corporation. To minimise this unfavourable
influence of depression, the management can make changes in its pricing plan of actions because
it will help in developing consumer support and efficiency.
Social- This factor considers needs, preferences, taste & predilections and demographic
components, marketplace development etc. In present time, there are diverse sort of
modifications arisen in customer’s demands and preferences which influence the sales and profit
margins of Oak Cash & Carry Ltd so that it can compact with this sort of difficulty, the
management can make modernization and formation in its goods and customer’s demands. It will
assist in satisfying target audiences’ demands and increasing sales and revenue of business
enterprise.
Technological- In present time, there are diverse sort of technical creation arise and occur.
There are diverse kinds of technologies such as technical advancement, artificial intelligences,
research & development and many mort that are important to create expansion in commerce. In
particular firm, the management can execute advance machinery in form of promoting products
and facilities through utilising social media, web promotion and many more (Crow, 2015). It will
enable in maximising number of target people and profit margin of business firm.
Environmental- This aspect include those components which are linked to environment and
affect the business organisation. In considers environmental act, pollution act, carbon emission
and footprints, wastage and recycling actions etc. In UK, there are several fasten activities are
considered by the government accordant to the environment act 1995, in context of protect
environment and surroundings. So by considering all these acts and regulations, the management
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