Unit 42 – Planning for Growth

This report discusses growth opportunities for Bold Street Coffee, including analyzing key considerations, evaluating growth opportunities with Ansoff growth matrix, assessing funding sources, and creating a business plan. The report also covers the subject of planning for growth in small businesses, with course code and name not mentioned, and no college/university mentioned.

Unit 42 – Planning for
Growth

TABLE OF CONTENT
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Analysing the key considerations which evaluates the growth opportunities and justifying it
for the bold street coffee .............................................................................................................3
Evaluating the growth opportunities with using Ansoff growth matrix......................................5
Assessing the potential funding sources with its benefits and drawbacks of each option ..........7
Business and action plan for the bold street coffee .....................................................................8
Assessing the exit and succession option for the small business with explaining its benefits and
drawback of each option............................................................................................................12
CONCLUSION .............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Planning for growing the business is the process which defines to increase the business
by expansing th products, with entering into new market with identifying opportunities. With
designing the business plan mainly helps in decision mission, visions and overall growth options.
Bold street coffee is the UK established cafe serving wide range of coffee with snack including
lunch, breakfast menu. Planning for growth mainly in enabling the businesses as for adapting
changes Winch helps in ever-increasing revenues in the company by expanding the range of
products and services for being more competitive while serving the large consumer market. This
report mainly provide details of the analysing the key considerations for evaluating the growth
opportunities in the business. Further, evaluating he business growth with using the Ansoff
matrix of growth. Also, assessing the different sources of funding being available with the
business with discussing its drawbacks and the benefits. Lastly providing the insights of different
ext and succession options available for the small business with defining its drawbacks and
benefits.
MAIN BODY
Analysing the key considerations which evaluates the growth opportunities and justifying it for
the bold street coffee
Small scale businesses are these which is bing established for conducting the operations
with 250 employees. For serving the business to attain profits in the long run the employees
working in efficient manner and the company earns less than 55 million. As for the bold street
coffee the company is adopting multiple strategies for attaining growth by expanding the range if
products and introducing new ranges for attracting the consumers for serving in the dynamic
market (Cheah, Amra and Yahya, 2019). As for analysing the growth opportunities with using
the porter generic matrix helps in identifying to adapt the most suitable strategy for the growth
as:
Focus strategy: This strategy aims in specifying as by focusing on the serving the products by
targetting the niche markets, as by specializing to serve and fulfil the needs by developing better
understandings (Dearman, Lechner and Shanklin, 2018). Also, developing the low cost and
unique products helps in attracting the consumer which attains growth by serving only niche
target market.

Cost leadership: As for adapting growth in the business, it aims in setting up the low cost for
serving the products at high quality. This mainly aims in defining on lowering the costings to
attain the growth with increasing the sale. This helps in ever-increasing the profits to attain
growth.
Differentiation: with using this strategy it mainly aims in specifying about adding new features
in the products to attain growth as by introducing the new products for addressing the needs and
attaining growth with serving large consumers market.
Vrio analysis
resources valuable rare imitable organised
Financing ability ✓ ✓ x ✓
Serving
speciality dishes
x x ✓ x
Brand image ✓ ✓ x ✓
Using tools and
technology
✓ ✓ x ✓
Human
resources
✓ ✓ x ✓
Convenient/
online services
x x ✓ x
From the above table it is being analysed that, the resources being used by the bold street
coffee helps in attaining competitive advantage with serving the freshly bakes food products for
satisfying the needs and wants of the consumer in the dynamic market. The different resources is
being used by the company which helps in defining the competitiveness. As the financial
stability in the busies is valuable, rare and organized in nature (VRIO Framework: What it is,
Tips & Advantages, 2022). Also, the brand image is best of the bold street cafe as it is being
established at the prime location and serving the dishes. Further, the company is using the latest
technology and the tools which helps in limiting the operating costs by optimizing all the
available resources for efficiently producing the products. Also the human resources are

valuable, rare and serving freshly baked dishes (Schlegel, Birkel and Hartmann, 2020). This
results in being competitive and organize with serving in dynamic market. But the company is
not able providing the speciality dishes to the consumers this impacts in attaining
competitiveness also, it is not serving online with establishing its distribution centres. Thus,
using this analysis it helps in adapting growth options and opportunities for operating and
serving in changing surroundings.
Evaluating the growth opportunities with using Ansoff growth matrix
Growth opportunities in the business is mainly being defined as the processes which
adapts in achieving growth with working by adopting the changing business environment. As in
the bold street coffee it is mainly serving in the highly competitive market with providing the
lunch, sweet treats, sandwiches, donuts and the pastries in nature. As for expanding and attaining
growth the company has mainly four growth opportunities strategies which are mainly used by
the businesses as to attain the set of objectives with attaining growth:
Market development: This strategy is mainly aims in describing about the entering into
new markets as for expanding the business operations at global level. With this the bold street
coffee must enter into new global market as for attaining growth by serving the new target
market with using the existing products in nature. This helps in ever-increasing the market share
of the company by serving into the new market. Also this imposed high risk to the company due
to the forces of the other countries mainly impacts the business and its operations due to
recession, inflations rates, taxes level etc. thus, for the bold street coffee the growth options
available for entering and serving consumers in new market is by merger and acquisition, also
partnerships can be adopted to serve the new market with existing products.
Advantages: with using this strategy it mainly helps in expanding the consumers market
and helps in growing revenues by attracting large consumer while serving in the new global
market.
Disadvantages: this strategy mainly aid in investing high level of money for entering
into the global market, also it losses the capital while planning to enter in the new area.
Product development: The products development mainly aims in emphasising on
introducing new products ranges and serving into the exiting market for attracting the new and
retaining the loyal consumers for serving the new dishes. With this various new dishes for the

bold street cafe must be introduced as the choco lava cakes, smoothies, brownies, healthy drinks
etc.
Advantages: This satisfies consumers needs and wants by introducing new products with
addressing all the market trends.
Disadvantages: Results in extra costings, and higher the risk by investing into new
products which impacts the investment being made if it does not attain profits.
Market penetration: with adopting this growth strategy by the company it is mainly
focusing on ever-increasing growth by rising the sales of the existing products to be serves in the
existing market. As for the bold street coffee the company is mainly offering wide range of
speciality in the coffee mainly produced with the rotating blends, also freshly made lunch,
breakfast, sandwiches also the major treats as the donuts and pastries. With opting this strategy it
mainly aids in ever-increasing the market share of the company which helps in growing the sale
by serving the products in the existing market.
Advantages: This strategy helps in creating band image while serving in the exiting
market, also helps in creating brand awareness
Disadvantages: It is not beneficial for the small business as to serve and product the
profits with ever-increasing its sales. Also, it lowers the margins due to increased competition
with he opening of new cafes in the dynamic market.
Diversification: This growth strategy mainly aims in emphasizing on attaining growth by
diversifying the products being supplied and produced by the company as to satisfy the needs
and wants of the consumers while serving in the large competitive market (What is the Ansoff
Matrix?, 2022). This mainly aids in defining the process of introducing the new products by
entering into diversified range, for the bod street coffee the company must diversify its new
products range by introducing choco lava cakes, brownies, smoothies and the healthy drinks to
attracts the consumers and increases the revenue earning while serving highly dynamic and
competitive market.
Advantages: This growth strategy mainly boost the brand image with introducing new
products with satisfying the need and wants of the consumers, boost revenues and attracts new
consumes.

Disadvantages: It requires high investments which induces high risk. This intends to
reduce the products quality of the existing nature goods with introducing new products range in
market.
Assessing the potential funding sources with its benefits and drawbacks of each option
Funding business mainly helps in attaining growth by successfully investing while
expanding the products for entering into the new markets for grabbing the untapped
opportunities available in the dynamic market. The different sources of funding is being
available for financing the small business as for attaining growth while serving in the highly
dynamic environment which are as follows:
Private investors: private investors are mainly the individuals which helps in funding the
businesses by showing keen interest in the business as for obtaining the small portion of the
profits from the business.
advantages disadvantage
 It secures the position of the business
for operating in the dynamic
environment.
 It benefits with providing no obligation
to repay the money on the set particular
dates.
 Arises pressure to earn certain level of
revenues for reaching at expectation of
the investors.
 It limits the earning with sharing the
part of portion to the investors from the
profits.
Venture capitalist: These are mainly individuals which provides funding and capital for
earning growth in the long run by supporting the ventures and starting up the businesses (Wiener,
Maresch and Breitenecker, 2020). As these mainly invests in the small businesses or in the
private companies.
advantages disadvantages
 Does no require provide the personal
assurance of assets for taking the funds.
 With this source it provides the ability
to raise large amount of capital.
 Lack of negotiating wit the venture
capitalists.
 Expensive in nature.
 Hinders in obtaining funds as it is

 No monthly payments. difficult to find the venture capitalist.

Loans from SBA banks: Taking loans from the SBA it mainly helps in providing the
funding on the flexible terms and conditions for processing the growth options for the firm
(Alfonsius,Depari and Huang, 2021). This is being considered as the best source of funding with
longer repaying option, being flexible requirements.
advantages disadvantages
 Loner repaying option for paying the
source of funding and loans taken from
the SBA banks.
 Provide relaxed requirements while
granting funds.
 Takes long time with the more paper
workings to grant funds to the small
businesses.
 For obtaining loans and funding from
the bank this does not require the
personnel guarantee.
Financial institutions: These are mainly those finding sources which provides different
service including the banking, insurances, trust (Belderbos, Tong and Wu, 2019). But taking
funds from the banks mainly requires agreeing on the terms and conditions for repaying it back
with charging certain interest rates.
advantages disadvantages
 Repayment of the loans is bing done in
easy terms. Also, it provide long term
finance for expanding and attaining
growth in the business.
 It also Provides funds at the period of
depression.

 Obtaining funds from these institutions
mainly results in funding with the rigid
rules and regulations.
 It mainly restricts the power of the
company.
Business and action plan for the bold street coffee
Overview of the business: The bold street coffee is mainly established in UK for serving with
range of lunch, breakfast and coffee ranges to the consumers. With adopting sustainable

packaging and the special coffee range to the consumers mainly helps in retaining the
consumers. Mainly the company is serving freshly bakes lunch, sweet dishes, pastries and
breakfast menu range. With expanding the products range and business for earning more profits
company must expands its products ranges as muffins, choco lava cakes, brownies cakes,
smoothies and heathy drinks. In present the bold steer coffee is serving buoys tea, iced drinks,
tea, sandwiches and different range of coffee. With adding new menu range it mainly helps in
increasing consumers and attain growth by attracting with serving new products.
Vision: The vision statement of the bold street coffee mainly describe the objectives to be
achieved with addressing all the needs and wants of the consumers for attaining goodwill by
attracting the new consumers.
Mission: The main mission of bold street coffee is to serve the best coffee with wide snacks
menu for retaining and attracting the consumers with serving in sustainable manner.
Objective: the main objectives for the company are
 To introduce new products for retaining and attracting consumers as for increasing sales.
 To increase target consumer market with 20% till 2023.
 To increase profits with 30% till 2023.
Goals: The main goals of the company is to build brand image and establish goodwill with
targetting consumers by serving new and innovative dishes.
Stakeholders: The main stakeholders for the small business are owners, human resources, chefs
for cooking and baking. Also, the investors which are investing into the business and helping to
attain goals with being more competitive.
Capital funding: Funding the business play important role as for growing and attaining success.
The different funding sources available are as follows:
 Retained earnings are mainly the savings being made in the business as for expansion and
attaining growth from the undistributed profits. These are mainly used in meeting daily
operations as to earn and operate the business continuous basis.
 Personal investments source of funding is mainly used for establishing strong brand
presence to maintain competitive position in the dynamic market (Denisenko,
Shaposhnikova and Budiakova, 2019). This mainly helps in attracting the investors a to
operate in long run for earning profits and it is being invested by the owners to operate
business.

 Taking loans from the banks mainly helps in expanding the products and introducing the
new ranges to the existing target market, as it is the best option for the bold street coffee
for funding the business which allows the flexible conditions to repay it with earning high
profits and revenues.
Resources plan: This plan mainly includes using the proper resources including staff,
equipments for producing the products in the bold street cafe helps in targeting and serving wide
consumer by making dishes in budgets and quality in nature.
Operational plan: In this plan it mainly includes production planning which helps in reducing
delay with producing and serving on time by minimising costs. Also by organising proper
processes for operating and serving the consumers mainly help in working in more productive
and efficient manner
Technology plan: In this plan, it mainly helps in defining the technology being used by the
company for producing products and mining the costing to work in more efficient way. As in the
company with using hydro bond technology. This mainly helps in mixing all the materials in
proper way.
Marketing plan: The marketing plan, mainly aid in defining about the different ways which
mainly helps in promoting the products of the company. As by using social media strategy
mainly helps in attracting large number of consumers to purchase the produced by the bold street
coffee.
Risk factors plan: Risk factors plan mainly aims in defining about the measures and actions
priorly which helps in producing innovative products with adding new menu ranges.
Time frame
activities Week1 week
2
week3 week4 week5 wee6 week7 week8 week9 week1
0
Research
about
company
Analysin
g vision

Designin
g mission
Defining
objective
s
goals
Analysin
g
stakehold
er
Choosing
funding
source
Building
resource
plan
Operatio
nal plan
Technolo
gy plan
Marketin
g plan
Risk
factor
analysis
Swot plan

Swot plan mainly aims in defining about the abilities and the weakness pertaining to
business which hinders and helps in attaining competitiveness.
Strengths: The main strengths of the bold Street coffee is it offers wide range of coffee
to the consumers and offers freshly made sweets, lunch dishes, sweets. Also by winning the
rewards helps in retaining and attracting the consumers and being established as good locations
play important role for increasing sales of the bold street.
Weakness: The company earning low revenues impacts its profits and competitiveness
as by serving highly quality range of products.
Opportunities: By introducing new products and services in the cafe helps in attracting
large number of consumers with serving in highly competitive market. Also by adding new range
in the menu helps in increasing sales.
Threats: Serving in the dynamic market with the low profit margins hinders in operating
and earning high revenues.
Recommendations:
 As for growing the business into the dynamic business environment and increasing sales
of the new and existing products the bold street cafe must organize live music events for
attracting the consumers as for having wide range of coffee with lunch, breakfast and
other sweets dishes.
 By starting online delivery for producing new products to the consumers at home helps in
attracting the users to get convenience and delivering products with using the online
delivery channel.
 With introducing new products and adding new machines to produce the products helps
in attracting consumer with serving new menu ranges.
Assessing the exit and succession option for the small business with explaining its benefits and
drawback of each option
Various ways which are being adopted by the businesses as for addressing the issues
being faced by the businesses and selecting the best succession and exit options for limiting the
debts and succeeding the business in the future. These options mainly helps in retiring and
merging with the other business for attaining success. The following options are available with
the bold street coffee for exiting and succeeding its business as:

Passing succession: Passing succession to the family members is the options being
available with the business as in this all the roles, responsibilities is being passed to the family
members as for operation the business in the future for the long term (Aminullah and Kristiyono,
2021). This is mainly adopted at the time of retiring.
Advantages: By passing succession to the family members it helps in protecting the business by
securing it for reducing the expenses to operate the business.
disadvantages: It also results in assisting the resources to mining the existing business and the
downfall of the business due to change in the practices of the owners to operate the business.
Mergers and acquisitions: This option is being considered as the best in nature for the
business a to attain success in this merging with the other company or acquiring the business into
the global market mainly helps in attaining the similar goals to operate the business into the
existing market.
Advantages: With merging and acquisition mainly helps in ever-increasing the share in the
market of the company. Also it enhances the company image by serving with ever-increasing the
distribution capacity of the businesses.
Disadvantages: It losses the opportunities of the business with paying the sum to acquire the
business assets and rise in the legal costings
Liquidating the business: liquidating the business is the strategy being adapted by the
business which wants to permanently close the business and exit the market share (Cvetanović,
Nedić and Ristić, 2019). This is mainly adopted with paying off all the debts and the liabilities
being existed of the company with Selling its all the available resources.
Advantages: it mainly dissolved the insolvent business in nature with ending all the legal
requirements and costs. Further more the pressures from the creditors is being reduces with
shutting down the business.
Disadvantage: with liquidating the bushiness it mainly losses the assets and the licenses being
acquired to operate the business which losses the business reputation. Also it burdens the
shareholders to pay the dividends.
Selling the business: This is mainly adopted by the business which are facing loss and to
repay all the debts of the businesses which limits the credits and liabilities being attained.
Advantages: This strategy mainly helps in paying the debts which limit the liabilities with
Selling the business and investing the money for paying debts.

Disadvantages: with selling the business for paying all the debts immediately mainly impacts
the
Money as it intends in facing losses for the business.
Thus, the most suitable exit and succession option for the bold street coffee is adopting
merger and acquisition. This option mainly allows the company to earn more profits by entering
into new markets with merging with the other company. Also it provides access to all the
resource of the other company to operate the business and service the products. Further more,
with this strategy it allows the bold street to expand its target market and the consumers with
serving the new consumers by merging and acquiring with the other company (Henriksson and
Johansen, 2018). This results in attaining growth and being more competitive with increasing the
revenues and earnings to operate and serve in highly dynamic market.
CONCLUSION
From the above report it can be concluded that planning for growth mainly aims in
diversifying the business to attain the set business objectives. With the bold street coffee
attaining growth by introducing the new products for serving the consumers for addressing their
needs and wants. As with using porter generic and Vrio framework mainly aids in analysing the
growth opportunities available with business. also, the exit and succession business strategies is
being adopted and the best suitable operations for funding is being selected for attaining growth
in the business.

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