Analysis of Urban Planning Strategies and Techniques

This assignment delves into the world of urban planning, analyzing various strategies and techniques employed in different cities. From growth supremacism to post-political spatial planning, RFID network planning, and smart growth, this comprehensive study covers a range of topics. The analysis includes case studies from cities such as Taipei, Taiwan, and South Africa's Burg, highlighting the unique approaches each city has taken to address urban development challenges.

Planning for Growth

Table of Contents
INTRODUCTION...........................................................................................................................1
P1. Analyse key considerations for evaluating growth opportunities and justify these
considerations within an organisational context.....................................................................1
P2. Evaluate the opportunities for growth applying Ansoff’s growth vector matrix.............5
TASK 2............................................................................................................................................7
P3. Assess the potential sources of funding available to businesses and discuss benefits and
drawbacks of each source.......................................................................................................7
TASK 3............................................................................................................................................9
P4. Design a business plan for growth that includes financial information and strategic
objectives for scaling up a business........................................................................................9
TASK 4..........................................................................................................................................11
P5. Assess exit or succession options for a small business explaining the benefits and
drawbacks of each option.....................................................................................................11
CONCLUSION .............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Growth is the process of development or increment in size, wealth or reputation. A
growth plan helps business to track the expansion in their revenue. NM advance protection
limited is a small private company of Stafford, England. The company is involved in the Burglar
and fire alarm industry (Chapin,2012). The respective company is bidding a contract of £200k of
Staffordshire county council for maintenance of fire alarm system and installation of new
system.
In this report there is a discussion of the various growth opportunities such as Porter's
generic model, pestle analysis and Ansoff growth vector matrix which business can use in order
to expand. It also informs about the various sources of finance which business need in order to
grow. Moreover, business plan is prepared to get the estimation of the organisation activities for
their target. Lastly, there is a presentation of various succession plan which firm can use in order
to reach desired position.
TASK 1
P1. Analyze key considerations for evaluating growth opportunities and justify these
considerations within an organizational context
Growth planning is the first step towards the achievement of the goal. By the existence of
this organization is able to allocate their limited resources towards a thing which create a need to
adopt change in the organization. The company making a growth plan in their organization in
order to gain some additional benefit over their competitor (Todes,2012). NM advance protection
limited want to expand their business for which they are developing a product which is wireless
and easily place able at any place. In this section, there is a description of growth opportunities
which help business their size such as porter generic model and pestle analysis.
Porter generic model : Porter present the generic strategies in order to earn a
competitive advantage. The firm position in the market depends upon the firm profitability above
or below the industry. The above average profitability shows a situation of competitive
advantage. According to Michael porter firm strength lies in one of the two heads which is cost
advantage and differentiation.
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Cost leadership : It is a strategy in which company reduce the cost of product without
compromising on the quality. This was done by the business in order to increase their market
share and to enhance their profit margin (ZHANG ZHAO and CHEN, 2013). NM advance
protection limited can use this strategy in their business to attract large number of customer. By
the help of this theory concerned organization able to get fulfill their contract effectively.
Differentiation : In differentiation strategy firm develop some unique feature in their
product and services so that their product is valued by the buyer. . NM advance protection
limited can use differentiation strategy in order to satisfy the changing need and wants of the
customer. By adopting this method the respective company able to get appreciation from their
contract provider and attract large number of customer.
Focus : The generic strategy focus on the area which is less concentrated by their
competitive firm. Basically, in this focus is on the niche market which have contain different
needs of customer (Hollander,2011). NM advance protection limited can satisfied customer
unique need by providing low cost or specific product to the market.
Cost focus : It is strategy of lower cost advantages which firm adopt for only for a one or
small number of market segments. NM advance protection limited can apply in their business in
which are similar to the high price product but have low cost to satisfy particular market.
Differentiation focus : In this strategy business differentiate their product and services
for one or small number of target segments. The respective organization can use this method in
order to provide product to some different customer base.
Cost focus strategy is best for the respective company to increase their market share. By
the help of this they are able to attract the large number of clients and lack behind their
competitors. As the competitors also try to provide different service but at the high cost. They
can earn competitive advantage by providing unique services at the low cost. .
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(Source : Porter generic strategies,2018)
PESTLE analysis : It refers to all the external factors which impact the organization working.
These include Political,Economical Social, Technological,Legal, Environmental factors which
are not in the control of the business (Williamson and Parolin,2013). Firm have to analyses and
adopt in their wP2. Evaluate the opportunities for growth applying Ansoff’s growth
vector matrix. Working in order to cope with it, whether it create positive or negative impact
on their working.
Political factor : These are all about how and to what degree government intervenes in
the economy. This include government policy, political instability and so on. The government
make time to time new laws regarding the protection of the individual in the society and the
employees in the workplace. This political condition is beneficial for the organization because
due to that business firms get more attracted and induce to buy such types of safety products.
Economical factor : These factors have a impact on organization working and
profitability. It includes interest rates, exchange rates ,foreign direct investment, and so on. Due
to intervention of government in safety projects, there is a increase in the foreign direct
investment. This types of investment help NM advance protection limited to grow their business
as they get great market to launch their product.
Social factor : Social factors are the areas which include population attitude and culture.
It includes population, culture, health consciousness and so on. In today's time every business as
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Illustration 1: Porter generic strategies

well as individual prefer safety in their life. As a result, they adopt various types of safety
measures and tools which help them to sustain for a longer period of time. They also want to
make changes their safety tools for reducing the damages. This induce organization to invent
something different and unique to enhance their market share.
Illustration 2: PESTLE Analysis
(Source:PESTLE Analysis, 2018)
Technological factor: Technological factor include technology legislation,research and
innovation and intellectual property issues (Allmendinger and Haughton, 2012). Due to this
factor organization have to think about the adoption of new technique in their working so that
they do not left P2. Evaluate the opportunities for growth applying Ansoff’s growth
vector matrix.behind their competitive firm. Adoption of new technique like wireless services
of fire alarm can make earn huge profit to the organization.
Legal factor : Every business have to follow all rules and regulation imposed by the
government. It includes health and safety consumer right, employees safety and many more.
They are various legal laws regarding the safety of workers in the organization such as Health
and safety work act,1974, Electricity at work regulation 1989 and many other statutory
requirements. These laws force the companies to protect safe environment to their organization
which help respective organization to grow and develop.
Environmental factor : There are various factors relate to ecological and environmental
which affect demands of a product. It includes environmental regulation, impact of adverse
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weather, pollution control and many more. By the help of fire controller tools NM advance
protection limited organization able to protect the pollution . The safety tool support in reducing
the damages of the fire. For the protection of society there are used, which give great chance to
grow.
P2. Evaluate the opportunities for growth applying Ansoff’s growth vector matrix.
Ansoff growth matrix
This matrix is developed by Igor Ansoff which focus on the firm's existing and potential
products and the region (Lu and Yu, 2014). By the help of this matrix respective organization
able to know the correct stage by using which they are able to grow and get success.
Market penetration : This is a less risky stage in which existing products and services is
launched in the existing market. It is adopted for increasing the market share and to enhance the
sales. This method should be adopted when market is still growing and the organization can use
other elements of marketing mix such as price discounting, promotional activity to attract more
customer. By this their aim is to attract the competitor’s customer to their organization.
Product development : At this stage company develops a new product to the existing
product. This strategy should be adopted when business find the need of new product in the
existing market. Business bring new product only after doing proper research of customer needs
and wants and the firm internal capabilities for bringing innovation ( Waterhout, Othengrafen
and Sykes, 2013). The organization can develop their product by adding the feature of Wireless
fire alarm system in place of existing wire system. By the help of wireless system company can
move step forward from their rival firm and enjoy competitive advantage.
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Illustration 3: The Ansoff Model
(Source: The Ansoff Model, 2018)
Market development: Under this strategy the existing product and services is launch to
the new market segments. It is risky as compare to market penetration as the organization does
not understand the complexity and structure of the new market. Business can adopt this strategy
in their working by making changes in their product or packaging. They can also use new
distribution channel and different pricing policies in order to make people familiar with their
product.
Diversification: In this stage new product is launched to the completely new market. It is
the riskiest strategy for all because in this company is moving to the completely unfamiliar
market. The company does not know about the taste and preference of the buyer of that
particular new market and the strategies adopted by the competitors to sustain. As it involve huge
risk there is also a chance of making big profit.
The company can go to the completely new market but it not beneficial for the
organisation as compare to the bringing a new product.. In existing scenario product
development is best to achieve growth because firstly company should become popular in their
area. When they become popular in their market than the possibility of acceptance in the new
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market increases because till that time product become more efficient and effective. It is sector in
which customer want to buy a product which has reputation in the market. In safety instrument
no customer wants to take a chance for trying a new product.
TASK 2
P3. Assess the potential sources of funding available to businesses and discuss benefits and
drawbacks of each source.
Fund is the most important part of the organisation without it no business activity can be
carried out. The choice of the source depends upon the organisation structure and the needs
(Blackburn,Hart and Wainwright,2013). The concerned company at present only have £20 k, if
they to bid for a contract of Staffordshire county council they need a more funds which is of
£180k as a contract is of £200k. The amount of £180k can be borrow from any of the below
source of fund. Financial sources are generally divided into two main category of funds viz.
external and internal sources of funds.
Here, External sources of funds includes the following options:
Bank loan : It is the best source of raising the fund . A loan amount is borrowed for a set
period with an agreed repayment schedule. The repayable amount depends on size ,duration and
rate of interest. The amount is provided to those people who have good credit history and rating
as it inform about their credit history (Zhang, Prajapati and Peden, 2011). The respective
company can borrow £120k from this source of fund.
Advantages :
 Interest rates is fixed for the term which help borrower to estimate the total amount of
repayment so that they can make future arrangement for it.
 The loan is not repayable on demand; the term of loan varies between 3 to 10 years
unless borrower break the loan contract.
Disadvantages :
 Organisation sometime face big trouble in making payments when their customers are not
making prompt payment which cause cash problem.
Crowd funding : It is way through which small amount of capital is raised from large
number of individuals to finance a venture. Under this business idea is shared on the crowd
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funding site to borrow money (Allmendinger and Haughton, 2013). It is a way through which
large number of investor and entrepreneur come together. NM advance protection limited
company can borrow £60k from this source of fund .
Advantages :
 It is the best way to raise fund which does not include any fees.
 This source of fund is the best way to know the public reaction about the product and
services as the idea is shared on their site to get investor. By this organisation able to
know there idea is going to work in market or not.
Disadvantages : The biggest risk of this method is stealing the idea as the idea is shared on their site.
Business before choosing this for source of fund firstly copyright or patent their business
idea.
Internal sources of funds includes following methods for raising capital:
Retained Profits: This methods is considered as long-term source of funds where there is
no need of maturity premium like debentures or term loans. It is also called ploughing back of
profits where revenue can be gained by paying a dividend to shareholders.
Advantage:
 It gives long term finance with no dilution of control and ownership.
Disadvantage: It observes as cost ineffective process which considers cost of equity.
Sale of assets: It is another source of internal finance where owners of NM Advance
Limited can raise money by selling its assets. Therefore, this method is considered as short term
finance which depends of type of assets company is sold.
Advantage:
 It helps in reducing the chance of dilution of value of assets by selling it early.
Disadvantage:
 Under this method, business can be end up by paying more amount in long term.
Bank loan is the best way for raising fund or capital in an organisation. As it is very easy to
apply for loan and get the money. The repayment of the loan is also depends on the profitability
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and income of the business. The term period of repayment us fix, where the amount get repay in
fix instalments.
TASK 3
P4. Design a business plan for growth that includes financial information and strategic objectives
for scaling up a business.
Business plan : It focus on the business goal ,vision ,mission and the organisation
background. It is developed generally for a period of 3-5 years. By the help of this plan
organisation able to find out answer to various question such as reason for lack of sales, business
competition and unexpected growth (Wey, 2015). To get solution of all these things business
prepare a plan which prioritize the resources and provide effective measures to remain on right
track.
Company overview : NM advance protection limited is a company of burglar and fire
alarms sector which is established in Stafford, England. At present company has employed 10-15
individuals approx under them. The respective company is providing automatic fire alarm, fire
safety system, gas suppression , automatic fire alarm system to their customers which are
generally business organisations.
Vision : Their vision is to become a trusted leader in the fire safety equipment
organisation.
Mission : The company mission is to provide quality fire safety services in order to
control the loss of their customer by also assisting them in understanding the technical things
related to fire and explosion.
Objectives : The objectives for an organisation have to be SMART. The smart objectives
of the organisation is, to increase in their sales by 15% in current year comparing to last financial
year.
 Specific : To make increase in sales.
 Measurable : To make 15% increment in sales.
 Attainable : Financial conditions of the company is very good and they are investing in a
contract of £200K, therefore this is attainable.
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 Relevant : Based on the current financial conditions, company is going to invest £200K
in a contract, which make the objective relevant.
 Temporal : To achieve this in current financial year.
SWOT Analysis : It's a short brief of organisation current strength,
weakness ,opportunities and threats which inform business about the future potentials areas and
sphere of improvement for growth (Crow,2011).
Strength :
 They provide effective training to their staff so that they can make understand the tools of
fire safety.
 The concerned organisation provide services to the customer at a low price with high
quality which is their biggest strength as it separate them from rivals.
Weakness :
 Their products are unique but it can be copied by their competitors.
 The company have limited fund which is the biggest barrier in their growth. Due to this
company not able to bring fast changes or innovation in their product.
Opportunities :
 Company is providing their services through the store they can go to online platform to
increase their customer and market existence. Online platform is less expensive as
compare to other marketing tool.
Threats :
 They face big threats from the emerging companies as they invent new things and
provide it to the low cost. Due to this company face a huge danger of reduction in their
customers.
 Any organisation can enter into this sector as it does not involve high cost. Therefore,
company should make such policies and strategies for building their market reputation so
that no business can affect their position.
Financial budget
Year 2019 Jan Feb Mar April May
Opening cash balance 0 -30852 -22015 -14108 36042
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Food Sales amount 0 42563 43526 43568 44124
Beverage Sales 0 12451 15000 13452 14528
GROSS SALES (Total) 0 55014 58526 57020 58652
Cost of Goods Sold
Raw Food purchase 0 25000 28000 26000 25000
Beverage purchase 0 3500 5000 3363 3632
Total cost of goods sold 0 28500 33000 29363 28632
Gross profit 0 26514 25526 27657 30020
Cash Flow After Financing 10000 10000 10000 10000 10000
Total cash inflow (A) 10000 5662 13511 23549 76062
General and Administrative
Workers Salaries 15476 13754 13996 14255 14663
Management Salaries 3400 3400 3400 3400 3400
Advertisement 800 800 800 800 800
Bookkeeping 150 150 150 150 150
Insurance 250 250 250 250 250
Legal and Professional Fees 100 100 100 100 100
Misc. Other 250 250 250 250 250
Total Gen. and Admin. (Fixed) 20426 18704 18946 19205 19613
NET PROFIT OR LOSS -20426 7810 6580 8452 10407
Drawings 2000 3000 1600 2500 3500
Total cash out flow (B) 42852 13894 13966 13253 12706
Net Cash Flow (A-B) -32852 -5232 1145 12796 66856
Segmenting : They should segment their product to the new business firm which need to
implement these tools in order to follow the rules and regulation regarding the protection of the
employees safety.
Targeting : This company has concept of manufacturing hazardous or explosive
chemicals because they have more chances of facing fire accidents which includes fumes
companies, chemical manufacturers etc.
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Positioning : They position their company as quality and quick service provider. They
organise seminars in the customer place in order to inform about their product usage so that
everyone related to place know the correct way of using it at the time of loss.
TASK 4
P5. Assess exit or succession options for a small business explaining the benefits and drawbacks
of each option.
There are various exit or succession plan in the market which can be used by the small
business. Below there is a description of various succession plan which NM advance protection
limited can use in order to attain growth.
Liquidation : It is a legal procedure where a company use to sell all of their assets in
order to make remake repayment to debts. In this exit method the main goal of owner is to
maintain the goodwill of the firm also after getting dissolved. This method of winding up can be
used by NM advance protection Ltd.
 Benefits : This is a legal procedure which help the owner to retain it's goodwill in the
market and increase the reputation of the business in customer's mind. Fort this, company
need to make a effective plan along with proper funding.
 Drawbacks : It is a lengthy process to follow and also have a healthy set of legal
formalities.
Initial public offering : It is process in which private limited company become public
traded company by offering its shares to the public for the first time. By the use of this method
NM advance protection limited can achieve the big amount of success.
Advantages :
 Due to this company exposure,public image and prestige develop which help business to
sales their product and earn large amount of profit.
 It raise large amount of money for the company to carry out its activities which can't be
raised by any other source.
Disadvantages : Under this company have to disclose their financial, accounting and other business
information whose benefit can be taken by the competitor to strong their market position.
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Selling business in open market: Instead of shutting the business, it is better for NM
Advance Protection Limited to sell its business to other entrepreneurs. This would help in getting
return of investment in adequate manner. This would help its owners to make further investment
in another business to gain profitability.
Advantages:
 As comparison with other exit options, selling business to other companies consumes
less efforts and time.
 It also give opportunity to present company to incorporate its goodwill and assets in
business while valuing it. This would leads to get maximizes return of investment.
Disadvantage
 Price of products may get reduced while selling business to other entrepreneurs.
 It also create difficulties for owners of NM Ltd to develop promotion plan in appropriate
manner in order to improve its business image.
CONCLUSION
From the above report, it has been concluded that growth is required in every
organisation because it helps company to sustain in business environment for long duration. By
this study respective organisation identify different growth opportunities such as porter generic
strategy ,external factor and the Ansoff growth matrix which will help them in enhancing their
size and reputation in market. Business plan is prepared in the organisation so that they are able
to know that which activities need to be carried out for attaining desired position. Various
succession plan are discussed under this such as merger and acquisition and IPO, which support
undertaking in increasing their market share and sales.
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REFERENCES
Chapin, T.S., 2012. Introduction: from growth controls, to comprehensive planning, to smart
growth: planning's emerging fourth wave. Journal of the American Planning
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Todes, A., 2012. Urban growth and strategic spatial planning in Johannesburg, South
Africa. Cities, 29(3). pp.158-165.
ZHANG, J., ZHAO, D. and CHEN, H., 2013. TERMINATION OF GROWTH SUPREMACISM
AND TRANSFORMATION OF CHINA'S URBAN PLANNING [J]. City Planning
Review, 1. pp.45-50.
Hollander, J.B., 2011. Sunburnt cities: The great recession, depopulation and urban planning in
the American sunbelt. Routledge.
Williamson, W. and Parolin, B., 2013. Web 2.0 and social media growth in planning practice: A
longitudinal study. Planning Practice and Research, 28(5). pp.544-562.
Allmendinger, P. and Haughton, G., 2012. Post‐political spatial planning in England: a crisis of
consensus?. Transactions of the Institute of British Geographers, 37(1), pp.89-103.
Lu, S. and Yu, S., 2014. A fuzzy k-coverage approach for RFID network planning using plant
growth simulation algorithm. Journal of Network and Computer Applications.39.
pp.280-291.
Waterhout, B., Othengrafen, F. and Sykes, O., 2013. Neo-liberalization processes and spatial
planning in France, Germany, and the Netherlands: An exploration. Planning Practice
& Research, 28(1). pp.141-159.
Blackburn, R.A., Hart, M. and Wainwright, T., 2013. Small business performance: business,
strategy and owner-manager characteristics. Journal of small business and enterprise
development, 20(1). pp.8-27.
Zhang, X., Prajapati, M. and Peden, E., 2011. A stochastic production planning model under
uncertain seasonal demand and market growth. International journal of production
research, 49(7). pp.1957-1975.
Allmendinger, P. and Haughton, G., 2013. The evolution and trajectories of English spatial
governance:‘Neoliberal’episodes in planning. Planning Practice & Research. 28(1),
pp.6-26.
Wey, W.M., 2015. Smart growth and transit-oriented development planning in site selection for a
new metro transit station in Taipei, Taiwan. Habitat International. 47. pp.158-168.
Crow, L.H., 2011, January. Planning a reliability growth program utilizing historical data.
In Reliability and Maintainability Symposium (RAMS), 2011 Proceedings-Annual (pp.
1-6). IEEE.
Gleeson, B., Dodson, J. and Spiller, M., 2012. Governance, metropolitan planning and city-
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Online
Porter generic strategies. 2018. [Online] Available through
<https://www.researchgate.net/figure/Porters-generic-strategies_fig1_260845056>
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