Small Business Success Factors

This assignment delves into the multifaceted aspects contributing to the success of small businesses. It examines financial considerations such as risk management and funding structures, ethical practices within entrepreneurship, and the impact of socio-cultural factors on entrepreneurial activity. The aim is to analyze various literature sources and understand how these factors interplay to shape the growth and sustainability of small enterprises.

SMALL BUSINESS
ENTERPRISE

TABLE OF CONTENTS
INTRODUCTION......................................................................................................................3
TASK 1......................................................................................................................................3
1.1 Profile of Brooklands Hotel and its strength and weakness.............................................3
1.2 Carry out the analysis by using comparative measures of performance..........................3
TASK 2......................................................................................................................................4
2.1 Recommend with justification to overcome the identified weakness..............................4
2.2 Analyze the ways in which existing performance can be maintained.............................5
2.3 Recommend the new areas in which the business can expand its operations..................5
TASK 3......................................................................................................................................6
3.1 Produce assessment of existing business objectives and plans’.......................................6
3.2 Revise the business plans to incorporate appropriate changes.........................................7
3.3 Prepare action plan to implement the changes.................................................................7
TASK 4......................................................................................................................................8
4.1 Report on the impact of proposed changes on the business and personnel.....................8
4.2 Plan how the changes will be managed in business.........................................................9
4.3 Monitor the improvement in the performance of business over the time scale...............9
CONCLUSION........................................................................................................................10

INTRODUCTION
Small business enterprises are the small organization which has less than 250
employees working in the organization. The aim and the objective of this type of organization
are to meet the needs and desire of the customers. This report focus on the Brooklands Hotel
which is SME and it has been newly opened in UK. Further, the report will highlight the
strengths and the weakness and even focuses on improving the weakness by adopting
different techniques. On the other hand, it also makes the business plan which can assist the
hotel in achieving the objective effectively. Besides this, stress is also laid on managing the
change management so that the staff can be motivated to attain the goal.
TASK 1
1.1 Profile of Brooklands Hotel and its strength and weakness
Brooklands Hotel is a small business organization which is established in UK. It is the
new hotel which is situated in Weybridge. It is luxury four star hotels which are situated near
the Brooklands motor racing circuit. It has less than 250 employees who are working in the
hotel. In the few time only, the hotel has become popular among the guests because of their
services and the hospitality which they provide to their customers (Bridge and O'Neill, 2012).
Besides these services, it offers several other facilities like fee Wi-Fi etc. there are some of
the strengths and weakness of Brooklands Hotel which are as follows:
Strength:
 The major strength of the hotel is its location as it is situated near the motor racing
which is one of the attractive feature for the tourists The rooms and the other facility are exceptionally well of the hotel and it is made
according to the needs and preferences of the guests. The rates and the prices charged of the hotel are based on the average rates and it is
easily affordable by the people (Storey, 2016) The ambience of the Hotel is also great which lure the customers to stay in the place.
Weakness: The customer care service is bad as they are sometimes rude to their guests There are no feedback taken from the guests regarding their services

 Another weakness is the financial issue as the firm has low finance to carry out the
operations (Altman, Sabato and Wilson,b 2010).
1.2 Carry out the analysis by using comparative measures of performance
It is important for the organization to measure their performance. The reason is that
by evaluating the performance, the company can easily identify the profitability of their firm.
In case of the Brooklands Hotel, it is required because if the organization is occurring loss
then different strategies can be made to resolve it. The tools which can be used for evaluating
the performance are as follows:
 Customer review- There are many online and social media sites are made. In which
the Brooklands Hotel has been registered. By seeing the positive comments as well as
review, the hotel can analyze that the services which are providing to the guests are
effective and they are according to the needs and preferences of the customers
(Fassin, Van Rossem and Buelens, 2011).
 Ratio analysis- For evaluating the performance of the Brooklands Hotel, ratio analysis
is also one of the important means. By calculating the ratio of liquidity, turnover,
profitability, the firm can identify the areas which require improvement (Islam and
et.al., 2011). They are the real performance indicator
 Cash flow statement- This is the vital tool to analyze the different aspects which are
contributing in calculating the net profit of the hotel. In cash flow statement, the
expenses, cost and the income are included which helps the organization to know
about as where they can invest or further it assist in forecasting the future through the
profit (Thornton and et.al., 2011).
TASK 2
2.1 Recommend with justification to overcome the identified weakness
It is important to develop the strategies which can help in overcoming the weakness of
the organization. In the Brooklands as it is the new hotel so for building the positive brand
image, it needs to adopt the tactics to change the weakness into the strength. Some of the
methods which can be used are as follows:
 Financial methods- as the hotel is new to the industry, it does not have huge financial
capability to carry out various functions which are required in the industry. For
promoting their services as well as marketing, proper finance is required. To make

this happen, there are several financial tools which can be adopted by the Hotel. With
the help of the cash planning as well as forecasting, the Brooklands can help to save
the finance for their promotion activity (Nga and Shamuganathan, 2010). On the other
hand, by taking finance from the institutions also one of the methods which can
strengthen the financial condition of the firm.
 Non- financial methods- It is the service industry, so the organization reputation
depends on the services which it provides to their guests. Brooklands is required to
train their workers to behave politely in front of the customers. This is because
behaviour is the important aspect which develops positive image of the hotel in front
of the customers (Van Der Wijst, 2012). Besides this, another weakness is that the
hotel does not take the feedback from the guests. Due to this reason, they are not able
to know about their services. It is also important because by taking feedback, the hotel
can create positive goodwill on their customers. For overcoming the weakness the
feedback forms can be given to the guests as this will help them to give
recommendations regarding their services. For the hotel, feedback can act as a tool for
improving their services.
2.2 Analyze the ways in which existing performance can be maintained
Brooklands Hotel is performing in the industry as it is new but still it has captured a
good number of guests because of their services. There are various ways as well as methods
which can help in maintaining the existing performance of the organization.
 Rigorous training and development- Training and development provides the learning
opportunity to the individual as well as it further help in their development. For
maintaining the existing the services, training and development is necessary as it will
help in increasing skills and capabilities of the employees (Al-Dajani and Marlow,
2010). With this, they will be able to provide effective services to their guests.
 Monitoring and reviewing the performance- Review and monitoring the performance
is one of the ways through which the staff of hotel can perform on the standard.
Brooklands Hotel has made certain standards for their services and if the staffs are not
able to perform then certain measures are taken against them. Through the
monitoring, if any mistake is identified then it is rectified at that point of time (Mason,
2015). This will help in maintaining the exiting performance in the organization.
 Identifying the needs and requirement of the customers- The hotel rooms and the
ambience are made according to the needs and preference of the customers. So time to

time, the Brooklands Hotel is required to identify the needs so that they can make the
changes accordingly. In this case the change is also important for the hotel to retain
the guests in their hotel.
2.3 Recommend the new areas in which the business can expand its operations
In case of Brooklands Hotel it is the new and small sized organization so it has many
options through which it can attract their customers. The expansion of business helps in
increasing the market share and it eve provides convenience to their guests. In the hospitality
industry, the hotel can open their casinos. This is beneficial area because in UK, there are
people who are fond of these services. Besides this, due to this reason, it will attract the rich
individual also towards these services (Wang and Altinay, 2012). There are only few hotels
which have their own casinos. This will be an advantage for the guests who are living in the
same hotel and even the hotel will earn huge profit. Besides this, the tourists are fond of
casinos as this provides them delight in visiting them. Further, this will help the hotel to fetch
the new area. The target market and the market share will increase. The casinos also do not
demand huge promotion because they are known by the people and the guests who will be
visiting the Brooklands Hotel will know from the staff. This will help in saving the cost of
marketing and promotion. It is important for the organization because due to the increasing
competition in the hotel industry, the hotel require unique feature through which it can sell
their products and services effectively. This area will prove to be beneficial for the hotel in
terms of the profit as well as market share. It is also legal in UK so no major problem will
occur for the hotel to establish their casino (Barber, Metcalfe and Porteous, Eds., 2016).
TASK 3
3.1 Produce assessment of existing business objectives and plans’
Objectives are the guidelines for the organization which helps to provide them to the
direction to achieve the target. Without the objectives, the Brooklands Hotel cannot be able to
make the plan or the strategy. In the increasing competition, it has become essential to make
the clear objectives so that the company can focus on them to attain the goal. Further, it is
require by the organization to make the objectives and targets according to the current
position of the company (Teece, 2010). The objectives of the Brooklands Hotel are as
follows:
 To open new branch in UK in the year 2019

 To increase the revenue of the hotel by 20% in 2018
 To introduce new services for attracting the new customers in 2017.
These objectives of the organization are made by considering their present as well as the
future market condition. Besides this, the targets are made by using the SMART tool as this
will help the Brooklands Hotel to achieve the target on time. In this case, the targets are
specific as only one area is focused. Further they are measurable also, by witnessing the
profit and revenue; it will be easy for the organization to measure the profit of the firm. On
the other hand they are achievable as they are not vague (Dethier, Hirn and Straub, 2011). For
opening a new brand in UK can be achieved by the hotel. Even they are realistic as well as
time bound. It has been said that the objectives which are achieved after time are of new use.
With the help of these objectives, the hotel can effectively plan out their strategies which can
help in attaining the objectives (Measure performance and set targets, 2009).
3.2 Revise the business plans to incorporate appropriate changes
Revising the business plan will help the organization to identify the loopholes and
further with that they can make it more specific. According to the specified objective, the
main aim of Brooklands Hotel is to increase the market share and enhancing the revenue of
the organization. For introducing the new services, the organization can identify which
particular service can be introduced to attract the new customers. As there are several
services which are made for the hotel organization (Acevedo and Tan eds., 2011). But it is
required by the hotel to identify that particular service. This will provide the idea to the
employees as in which way they have to make the strategy. For introducing new service, the
whole organization is involved in the planning process and various strategies are made.
Besides this, for achieving the objectives, it is required by the organization to plan their
resources effectively because Brooklands Hotel will require appropriate resource as well as
finance to meet the targets of the organization (Thornton and et.al., 2011.
3.3 Prepare action plan to implement the changes
The action plan is basically the strategy which is made the organization which
provides the direction to the individual to achieve the task. A proper business plan is required
by the Brooklands Hotel to effectively attain the target of the company. The plan is the step
by step process for attaining the goal.

Figure 1: business plan
(Source: business plan, 2017)
In first step of the business, executive summary is written about the goal as the need
to achieve it and the reason because of which it is necessary to attain. In the next step, the
Brooklands Hotel mission will be identified it is important because if the objectives different
from mission then it will be of new use. The mission is to become leading hotel chains so in
this case it can be said that objectives are according to mission. In the other step, the product
or the service are required to be described as in this the nature of the service will be
communicated to the staff members (Storey, 2016). Further, marketing plan are required to be
prepared as because the firm is required to market the products and services to the customers.
Through promotion only, they will be able to know about the services. Besides this, for
attaining the objectives, the Brooklands Hotel is required to identify their competitors as well
as their services so that they can make the counter strategy. Even it is needed by the hotel to
identify their strengths and weakness as Swot will help in analyzing the internal and external
environment of the organization (Fassin Van Rossem and Buelens, 2011). The last step is the
financial planning in which the firm will make proper budget as well as forecast the sales to
predict the future prospects.

TASK 4
4.1 Report on the impact of proposed changes on the business and personnel
With the minute changes also, the business and the personnel are highly affected. The
reason is that the changes are never expected easily. The employees are always resistance to
change in case of the changes. The Brooklands Hotel will incur the positive change as if the
objectives are attained, the profitability and productivity of the organization will increase.
Further, it will help in the development of the staff members. For increasing the market share
and introducing the new services in the hotel, the organization is required to recruit the new
staff members who are efficient and knowledgeable in their field (Van Der Wijst, 2012).
With this, the business has to incur the expense for the short period of time but it is beneficial
in the long run. On the other hand, the positive impact on the Brooklands Hotel is that it will
help in enhancing the image in the market and even with their services they can make the
customer loyal towards them. With the proposed changes, there will be positive impact on the
staff because with the growth and development of organization there is indirectly
development of staff (Mason, 2015). Further, with the new services, the employee will
require training and development to perform the activity. Besides this, by recruiting the new
staff, dissatisfaction among the staff can be seen and even more conflicts can be raised in the
organization
4.2 Plan how the changes will be managed in business
With the positive impact, there are negative impacts also with the changes which are
incorporated by the Brooklands Hotel. It becomes essential for the organization to manage
the change effectively so that it does not create loss for the company. For managing the
change, Lewin Change management model can be adopted. This consists of unfreeze, change
Refreeze.
 Unfreeze- In this stage, the level of resistance can be identified. In this, the
organization is required to prepare the organization to accept the change. In this case,
they can motivate the existing staff members and provide them with incentives so that
they can accept the change effectively (Wang and Altinay, 2012).
 Changing- In this stage, the organization are required to convey the message
regarding the benefit in adopting the new service in the Brooklands Hotel. In this
stage, the staffs also try to accept the change. Further, the organization starts
conducting the activity which can support the individual in their work.

 Refreezing- In this step, after the implementation of the changes the staff accept the
changes easily as this will help the hotel in enjoying the benefits which are given by
the staffs. Besides this, the employees of the hotel also feel motivate with the changes.
If the modifications are made effectively in the Brooklands Hotel then the resistance
to change will be less and the staff will be happy with change (Al-Dajani and Marlow,
2010).
4.3 Monitor the improvement in the performance of business over the time scale
It is important for the organization to monitor the improvement in the strategies which
are adopted by the Brooklands Hotel. For monitoring the performance of the organization,
Gantt chart can be helpful in conveying the activities which are taken place in the firm.
Activity/ Month 1 2 3 4 5 6 7 8 9 10 11 12
Introducing new services
Increasing market share
Enhancing the revenue of the firm
Opening new branch
Global Expansion
From the Gantt chart it can be seen that there are series of objectives which are
required to be attained by the Brooklands Hotel. For the whole process, it will take time
because it is not easy for the organization to increase the market share and enhance the
revenue. There are several tools which are helpful in monitoring the performance of the
organization (Altman, Sabato and Wilson, 2010). The important tool is by evaluating the
profitability and revenue of the organization. Further, it has been witnessed that through the
strategies the individuals are motivated and they are effectively performing in the company.
Further, it has been seen that by introducing the new service, the firm has seen profitability in
the business.
CONCLUSION
From the above report it can be concluded that Brooklands Hotel is performing well
in the organization. But with the increasing competition, it is required to increase their market
share as well as increase the revenue so that they can effectively carry out the marketing
activity. Further, with the help of various tools and techniques, the organization can
effectively carry out the plans and the procedures as this will be helpful in the long run.

Further, for effective change management, the Brooklands Hotel needs to motivate the
employees so that they can overcome the resistance to change.

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[Accessed on12th April, 2017].