Planning for Growth Project

This project analyzes the growth opportunities for Fizzy Fast Food Restaurant, a small business in the UK. It examines key considerations for evaluating growth opportunities, applies Ansoff's growth vector matrix, explores sources of funding, designs a business plan, and outlines exit or succession plans. The project provides a comprehensive framework for planning and achieving sustainable growth for small enterprises.

PLANNING
FOR
GROWTH

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Key considerations for evaluating the opportunity of growth...............................................1
P2 Evaluate growth opportunity by applying Ansoff's growth vector matrix............................2
TASK 2............................................................................................................................................4
P3 Sources of funding available for business.............................................................................4
TASK 3............................................................................................................................................6
P4 Design a business plan...........................................................................................................6
TASK 4............................................................................................................................................7
P5 Exit or succession plan for small enterprise..........................................................................7
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Planning perform very important role in the growth and success of enterprise activities. It
aid in determining of factors and making policies according to market situation. Use of policies
made by companies contribute in accomplish of work and its objectives (Planning for growth,
2017). Adopting of digital technology, it gave huge impact on operating of enterprise as well as
innovation ideas within the workers. Fizzy fast food restaurant which gives their services in
United Kingdom. Major purpose of this organisation is to make a plan and apply of digital
technology for the growth of enterprise operations. In present report, it covers the companies
growth opportunity because of applying digital technology. Various sources of funds will be
analysed which firm can use for starting their business along with that this also state its
advantages and disadvantages. Along with, the report will prepare a business plan of the
organisation.
TASK 1
P1 Key considerations for evaluating the opportunity of growth
Fizzy fast food restaurant is an organisation which gives several products and services
within the market of United Kingdom. It will aid in achieving the competitive benefits and
capturing the marketplace. Organisation will assist in attracting lots of buyers towards their fast
food which will enhance the profits and sales. It will provide the chances of growth of enterprise
operations in many others locations. Applying of digital technology will gave a higher level of
contribution in growth of small enterprises. It gives chances of developing a new fast food dishes
according to buyers taste by adopting new strategies of marketing. Their are some of major
opportunities of growth which are available for Fizzy fast food restaurant because of applying
digital technology are as follows: Competitive advantage: Companies management are making plans for applying digital
technology at a time of performing business activities. Each department are getting
advantage because of using latest technology at their workplace (Barbour and Deakin,
2012). Manufacturing department is having an opportunity to improve the fast food
quality as well as use innovative ideas for making the dishes according to buyers taste.
Department of marketing can use the latest marketing tools such as internet and social
media which will cover the large areas of marketplace. Similarly, other divisions such as
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HR, operational and workers also get the advantages of using latest technology. It will aid
in giving their best productivity or performance as compared to their rivals and help in
achieving the competitive benefits. New products and services: Applying of digital technology will aid in improving
communication within workers as well as make a strong relation with their buyers. It will
aid in understanding the latest trends of fast food within marketplace and customers taste
of nation regarding selection of fast food dishes. It aid in knowing the demand as well as
developing of new fast food dishes according to customers taste. Creating an innovation
within workers aid in developing innovative ideas and skills which identify new methods
of delivering goods and services (Ziari and et. al., 2012).
 Collaboration: Their are having a large numbers of opportunity of growth which are
available in the form of strategic alliance, acquisition, joint venture, merger etc. This can
assist in operating business activities significantly with another organisation portraying
better recognition and goodwill of company in marketplace. This enable the access of
latest technologies to Fizzy Fast Food that help in carry out efficient production method
in their food products
PESTEL analysis
It is a tool that is used by the company to analyse the external environment affect on the
company. There are some factor of this analysis, they are as following:
Political-it is related to the political factors such as government policy, political stability, foreign
trade policy, tax policy and labour law etc. that affect the business of Fizzy fast food positively
or negatively. For example, the organisation launch any new product and the government make
changes in its policy that affect the business of the company.
Economical- These factors a have significant impact on the business and the profit or economic
condition of the company. They include economic growth, interest rates, exchange rates,
inflation and others. For example, if the company bought raw material and ingredients from other
country to make products and change in the exchange rate or inflation condition of the
purchasing country. This affect the business of Fizzy fast food.
Social- This factor is basically related to the customers and consumers. If the company produce
according to the customers, they impacted the business of the company positively. These factors
include, age, health consciousness, and others. Fior example, if the company manufacture good
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quality product and healthy food, it attract more consumer and help in increasing profit and
productivity of the company.
Technological- It is reacted to techniques, instruments and equipments or strategies and
technologies that can be used by the company to produces goods and services. For example, the
organisation can open its various distribution centres or outdates so that the catering service can
be essay to delivery persons and they can help in the organisation's growth by using this
technology.
Environmental- It is related to the environment such as raw material, pollution targets etc. For
example, in Fizzy uit can be related to the business of the company and can create positive
impact on the business of the company if the organisation do its work without harming the
environment and use good quality raw material.
Legal- This factor is related to the legislations, laws and rules or policies. For example, in Fizzy
if the company work according to the legislation and policies that are made by the government
than it affected positively.
P2 Evaluate growth opportunity by applying Ansoff's growth vector matrix
There are mainly different opportunity of growth that are available for Fizzy Fast Food
Restaurant by applying digital technology within the operations of enterprise. Organisation is
having an growth opportunity of its market, diversification in their fast food dishes, goods and
many others. This matrix covers the four major areas which involve diversification, product
development, market penetration and market development. It will aid in overall growth of
enterprise activities in various areas. It will assist in meeting of set outcomes properly. Ansoff's
growth matrix is explained in detail below: Market penetration: It is an most important strategy of growth which is safe from other
tactics. This involve the selling process of previews goods in existing marketplace in
which organisation are already accomplishing their enterprise operations (Brinckmann, J.,
Grichnik and Kapsa, 2010). The higher concentration is provided on enhancing their
market share by using proper strategies within market along with that they can increase
the value of buyers. Fizzy fast food restaurant is an small enterprise which gives fast food
within the market of UK. This strategy of market penetration is used by them for selling
different types of fast food products to their previews buyers. Organisation had decided to
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adopt the promotional activities for promoting their business. It will aid in attracting
buyers of their rivals. It will assist in capturing market and driven out their rivals for
adopting affordable cost.
( Source: The Ansoff's Matrix, 2018) Product development: In this strategy, it will help in increasing the operations of
enterprise in developing heir previews goods. In order to make a proper plan as well as
adopting of latest technology in the process of manufacturing will aid in meeting
companies objectives. It also maintain customers relations for gaining brand loyalty.
Fizzy fast food restaurant management decided to analyse the buyers preferences and
taste along with that making a new dishes according to buyers demand. Company also
replace the dishes which is not preferred by buyers. It will aid in grabbing customers of
rivals organisation (Wu, 2015). Market development: This strategy consists about finding a new market where they will
get a high opportunity of growth and development of their enterprise operations. It will
assist in earning higher numbers of market share. Fizzy fast food restaurant find out the
opportunities of growth in the context of developing a new marketplace where they will
give their fast food products. Adopting of online technology will aid in entering a new
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Illustration 1: The Ansoff's Matrix, 2018

market segment which gave a broader range in grabbing buyers of various regions. They
have to concentrate on following points which are: use of affordable pricing strategy and
gives discounts, Categorise the market into demographic and geographic segments and
introduce a new channel of distribution.
 Diversification: In this, it is an most essential strategy which aid in growth of enterprise
activities as well as achieve competitive benefits. Diversification is use by Fizzy fast food
restaurant to give diversified dishes of various flavours which aid in fulfilling demands of
every segment of buyers. It consists the adoption of diversified strategies in
manufacturing fast food which aid in concentrating on profitable process and use of
process which are price efficient (Valler, Phelps and Wood, 2012).
Market penetration is an important and suitable strategy for Fizzy fast food because in
this strategy company are known by the market and the customers are familiar with the brand
and the products of the company so there are no need to invest cost and time on the promotional
and advertisement strategies. Through this strategy, the organisation can launch and manufacture
new products in the market because there are no need to do market research or knowing about
consumer's needs and preferences. The management department already familiar with the tastes
and references of their consumers so this strategy help the company to save the research cost.
TASK 2
P3 Sources of funding available for business
Fizzy fast food restaurant is an small business which give several varieties of dishes. The
main organisation objectives is to increase their enterprise operations and its profits. It can be
meet by organisation only if they are adopting digital technology which is used in operating
promotion, marketing, production and so on. It is an management responsibility to select a best
source of funding which is suitable for companies operations. Various methods of funds which
are used by organisation are explained below with its disadvantages and advantages are given
below:
Bank loan: This source of funding is an effective method which is used by organisation. It
involve about taking a bank loan at fixed rate of interest. This is a very simple and easy way of
arranging finance within enterprise operations (Burton, 2010). Their are having huge numbers of
advantages are giving loan by government which is taken by small organisation such as subsidy,
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interest free loan etc. It aid the Fizzy fast food restaurant to drive higher advantages to
organisation. This method is having its disadvantages and advantages are as follows:
Advantages: Bank loan is having various benefits taken by organisation management are:
 It is very easy and simple method of funding on business activities for small enterprises.
 Huge numbers of advantages are given by banks at a time of taking loans for business for
increasing the operations of enterprise.
 This source give very low rate of interest as compared to others methods. This method is very much secure which give loan guarantee as well as no discrepancy
within providence.
Disadvantages: Their are various disadvantages of ban loan as compared to others methods
which are as follows:
 Bank loan have to follow the strict rules and regulations as well as mortgage properties. It
is not very easy to follow the restrictions along with that if they missed then have to face
legal actions and penalties. In this, it gave burden at a time of repayment of loan amount on actual time if they failed
to pay the amount then their mortgage property will disposed off.
Crowd funding: It is an another source of funds which is used by Fizzy fast food restaurant for
raising their funds for operating business activities. This method consists about taking finance
from higher numbers of peoples of nation (Todes, 2012). This source will aid in achieving the
concentration of particular person on the operations of enterprise activities. Along with this it aid
in working as a marketing strategy as well. This source is having its disadvantages and
advantages which are discussed in below:
Advantages: Crowd funding provides various benefits to Fizzy fast food restaurant which are as
follows:
 Crowd funding is one of the best source to have public reaction in relation to expanding
enterprise operations.
 It also involve as a valuable marketing form as well as aid in achieving media attention. This source of funding is not having so much strictness and also beneficial for
organisation (Pallagst, 2010).
Disadvantages: This sources is having various disadvantages which are faced by organisation are
as follows:
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 It is the process of time consuming for raising finance for a higher numbers of peoples.
 It is difficult for the organisation to manage finance properly.
 It will become difficult for an organisation to acquire prior permission from their
stakeholders.
Loan from friends and family – This is also source through which respective organisation can
generate funds by taking more from their friends as well as family member's. As their will be no
requirement of paying interest on amount taken and no need of any type security for taking loan.
There are several advantages and disadvantages of the same explanation of these are as follows :- Advantages – One major advantage of taking loan from friend and family is that Fizzy
fast food restaurant don't need any security as well as their will be no requirement of
paying any interest.
 Disadvantages – Their will be no legal process of taking loan from family members and
friend which may sometimes give negative impact on relation.
Thus, For Fizzy fast food restaurant loan from friend and family member will be suitable
as they don't need to pay extra amount as an interest.
TASK 3
P4 Design a business plan
Business plan is a process in which plans are made. In this organisation publish their
mission, vision, objectives and all related information which is necessary to know by their
consumers, stakeholders and government. This will help business firms to run their operation in
smooth and sustainable way.
Business plan of Fizzy fast food restaurant for expanding of enterprise by applying latest
technology of digital are given below:
Executive summary
Fizzy fast food restaurant is a organisation provide fast food products as well as services
within United Kingdom. This company is an small enterprise which has started their business by
investing £20,000. Organisation exceed their funds by taking loan from banks but they can not
exceed from £300,000. This company is providing the use of digital technology and innovative
ideas within their activities of business operations.
Mission of company
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Organisation mission is to capture a large share of market and growth in enterprise
operations. They decide for making a future plans and apply digital technology.
Strategy objectives
Main objectives of Fizzy fast food restaurants are as follows:
 To apply digital technology for the growth within future
 To Create a innovation within workers
 To introduce more new dishes for attracting large numbers of customers To start the online services of ordering fast food through their websites for enhancing
sales
Products and services
Major goods which are given by Fizzy fast food restaurant are made by their innovative
ideas and in a healthy way. The various products which are offered by organisation are Footlong,
ice cream, soups, salads, pasta, noodles and many more. They provide their services in an
effective way for attracting large numbers of buyers. Organisation decorate their dishes properly
for giving better services. It will help in meeting the desired outcomes.
SWOT analysis
In this, company evaluate their strength and opportunity. It will aid in determining the
opportunity of growth which are available to their customer because of using the latest
technology. SWOT analysis of respective organisation are as follows :-
Strength Weakness
 Organisation is established within
marketplace as well as having better
image of brand among the buyers
 They are able to provide their services
within different locations
 Proper competency to apply digital
technology as well as drawing out
advantages
 Their are some staff member who may
result in weakness because they provide
services to customers on table.
 Sometimes, few items from menu are
not available which give bad impact on
organisation image.
Opportunity Threat
 To capture the rivals market  Competition is increasing as Fizzy fast
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 To make improvements in their dishes
of fast food in an healthy way
 To start their operations of enterprise
online for increasing the figure of sales
food restaurant have threat of their
competitors.
 Taste and preferences of customer get
change easily as well result in wide
modification within their menu.
Target market
It involve various types of market segments by which they can grow their enterprise.
Fizzy fast food restaurant is decided to concentrate on online business due to having a cost
efficient and wide range of doing a business (Moseley, 2013). Company also concentrate on
local market to find out their requirements as well as give fast food dishes according to
customers taste. It will aid in capturing a local market effectively.
Financial information
In this, it involve information of finance about organisation. Fizzy fast food restaurant is
an small business they have invested £20,000 within the enterprise. But firm had raised funds by
taking bank loans and crowd funding for operating business activities properly (Mitchelmore and
Rowley, 2013). In this, organisation are not allowed to exceed their finance more than £300,000.
So, they had decided to start their online business which is cost effective along with that they
will concentrate on attracting customers of local market towards company.
TASK 4
P5 Exit or succession plan for small enterprise
Succession and exit option are involved as two important things which are mainly depend
on its survival growth as well as performance of organisation. Manager of business require to
analyse the company performance and communicate to Board of Director of organisation. As per
this they will decide whether enterprise will be continue or terminate their firms. For example: if
organisation is facing continue financial loss for past five years along with that their will be no
chance of earning profit in coming years then it will be good for organisation to dissolve either
firm is not able to recover their fixed cost as well as manager earn profits require to decide the
continue of enterprise within upcoming future (MacLeod, 2013). Hence, there are several ways
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by which director of Fizzy fast food restaurants can dissolve or continue enterprise in coming
future.
Numerous methods of exit business Liquidation: If the organization constantly facing numerous loss in the business from
previous year and the manager of business forecast that there are less change in future
earning and revenues then consequences demand proper dissemination of information to
BOD of Fizzy fast food restaurant organization to determine their business exit.
Merits: After liquidation, organizational director will be more liberal from any legislative
activities which has outlined against them if the company does not ascertain to pay organisation
debts. hence, company get free to enter into new market bearing any creditor liabilities.
Demerits: Organizational director require to trade existing organization asset in regard of making
creditor payments in the dividend form. Trade the company in open market: Organisation the organisation's director to quit their
company which should have the choice to trade their business at specific cost in open
market. It can assist the director to meet their actual business value through venturing as
new business organisation (Li, Z., Mobin and Keyser, 2016). Trading the business refer
to the entire assests and liabilities which are enclosed to the business which will also
belong to the service buyer.
Advantage: As the effective recognition of company refrain in organisation, this will assist in
getting existing consumer and managing their targetted consumer in more significant and easier
manner.
Disadvantages: In regard of competing with their rivals, the buyer will improve the existing
structure, processes and commodities to make alternation in operation to which the existing
employee employability may jeopardise. Other businesses might purchase those businesses in
order to use their financial statements and achieve their consumer.
Several ways of succeeding business are: Delegating work to expertise workers and avoid micromanaging them: It is necessary
for company director to effectively delegate work according to their knowledge and skill
which can result in meeting objectives of company more efficiently. Using development
and incentive programs which enables the employees to contribute much for meeting
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companies objectives and goals (Keough, 2015). It will aid organisation to achieve stable
future position as well as gain competitive benefits. Use of internet: Buyers are consider as a lifeline enterprise as well as organisation can
meet growth and success in attaining higher strength of buyers which will exist within
competitive market for a long time. Hence, Fizzy fast food restaurant require to use
several activities by which they can grab higher numbers of buyers. Developing of
organisations online websites as well as promoting services and goods by online
marketing aid firm in attaining higher numbers of buyers. Firms require to appoint
specialised staff members to enhance their enterprise within worldwide. Attracting higher
numbers of buyers for meeting growth and success within future.
Advantages of Succession of business: The organisation workers get a biggest benefit as they feel
secure as well as safe about their employability which aid directly in enhancing morale and
motivation of workers. It will help in declining workers turnover rate of organisation.
Disadvantages of succession of business: If any organisation is continuously facing loss then it
may decide to run their business operations with the hope to increase profit in future (Hough and
et. al., 2010). It will aid in enhancing expenses and liabilities of organisation which decline the
reputation or goodwill of organisation.
Selling and floating in business
The term floating refers to the regular shares a company that are issued to the public that
are available for investors to trade. It involves selling a per entage of the company in the form of
shares to stock market investors. These could be institutional investors or private individuals.
Any float affect other existing shareholders or inverters. The shareholders agreement may give
existing shareholders pre exemption or voting rights which may take more difficult or reduce the
amount the company can realise.
CONCLUSION
As per the above mentioned report, it has been concluded that Companies main purpose
is to increase the operations of enterprise by developing and innovation of new dishes according
to buyers taste and preferences. It contributes in growth and increase their enterprise by using
online websites. It also involve planning of each function regarding marketing, production,
operation etc. it will help in achieving the set targets and objectives for better results. Ansoff's
growth matrix play a very important role in finding out growth opportunity as well as
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applications of various strategies which aid in developing firms departments. Funding is playing
an main role within the growth activities. Their are having higher numbers of funds are needed to
finance their activities as well as increase the department capability in expanding their activities
properly.
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REFERENCES
Books and Journals
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