The Chocolate Cafe Business Analysis

This assignment requires a comprehensive business analysis of 'The Chocolate Cafe', focusing on a SWOT analysis. Students need to identify and evaluate the cafe's internal strengths and weaknesses, as well as external opportunities and threats. The analysis should draw upon provided research papers and online resources about similar businesses and industry trends. A visual representation (like Illustration 1) of the SWOT matrix is expected in the final report.

Small Business
Enterprise

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Strong and weak points of Unicorn Grocery.........................................................................1
1.2 Comparative standards of performance................................................................................3
TASK 2............................................................................................................................................4
2.1 Activities and practices to remove organizational weaknesses.............................................4
2.2 Methods to maintain and strengthen existing performance of company..............................5
2.3 Different areas in which company can expand its business..................................................6
TASK 3............................................................................................................................................7
3.1 Appraisal of current organisational objectives......................................................................7
3.2 Business plan to integrate appropriate modifications...........................................................8
3.3 Action plan to implement modifications...............................................................................9
TASK 4..........................................................................................................................................10
4.1 Impact of modifications on company and its staff members..............................................10
4.2 Change management plan...................................................................................................10
4.3 Supervise improvements and development in organizational performance.......................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Small businesses are those companies which have a few number of employees. In simple
words, corporation with less work force is known as small-business enterprise (SBE). They are
called as ''Small'' because of their tiny size. Due to their tiny size they become able to take
financial assistance from legal authorities. Owners of SBE mostly operates convenience stores,
small grocery shop, bakeries, hairdressers, photo-shop, guest houses, restaurants and so on
(Gibson, 2016). Tiny enterprise provides various products and services to fulfil needs of local
people. Also, they serve large corporations so that, they can operate their different business
activities and practices. Most of individual start their small and new venture because they do not
like to work under any other company. United Kingdom have several Small-business enterprises
which are strengthening its economy on daily basis. This project report is based on, ''The
Chocolate Cafe'' which is a tiny company. In this report, current performance of cited company
has been investigated. Some organizational changes has been proposed to improve business
management and performance. Along with this, objectives and plans of enterprise has been
revised to cooperate with modifications (Neubauer and Lank, 2016). At last, various impacts of
changes on business operations has been evaluated.
TASK 1
1.1 Strong and weak points of Unicorn Grocery
Small business enterprise includes a few number of employees. As, their activities and
practices are very less, that is why they hire less people. This type of company is monitor and
control by a single owner. The Chocolate Cafe is a small chocolate shop which provides gourmet
coffee, leaf teas and light bites in a chocolate's cafe. This is a well known small firm which is
located in United Kingdom. This place is very convenient place where people can meet their
friends also, can read a book in their spare time. This coffee store is operated by a single owner.
This store was established with 25,000 pounds.
SWOT Analysis: It is a effective method through which different organizations can focus
on their key issues. This concept is used by official persons of enterprise to make a strategic
plan. With the help of SWOT matrix, firm can determine its internal as well as external factors.
Also, it gives accurate information about available resources and best manner to utilise them
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(Wan, 2011). Different strengths, weaknesses, opportunities and threats of The Chocolate Cafe
are following as under:
Source: SWOT analysis. 2017
Strengths:
 It is a well known for its fresh coco beans and tasty Coffee.
 It have a huge number of product line as compare to other near by Coffee shops.
 It gives high importance to customer satisfaction that is why its clients are very much
loyal for it.
 This firm have high sales turnover which helps it in making most powerful Coffee shop.
Weaknesses:
 This enterprise provides only Coffee items and chocolate drinks whereas, its competitor
are becoming more powerful by providing other food items along with coffee.
 This company bears expensive rent.
 The Chocolate Cafe is not that much popular as other Coffee brands are.
Opportunities:
 By starting franchise business, this firm can earn high level of financial profit.
 This company can expand its business in other countries as well.
 UK government also taking various initiatives to support Coffee and Sandwich shops as,
their market is growing very well (Bridge and O'Neill, 2012).
Threats:
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Illustration 1: SWOT analysis.

 Continuous increment in Competitor firms is becoming biggest threat for The Chocolate
Cafe.
 Changes in government rules, regulations and policies are also affecting cited enterprise.
 Political instability are also becoming major issues for Coffee shop.
1.2 Comparative standards of performance
Business analysis is a most important concept which gives each and every information
about company. With the help of this, firm can determine all those factors which can affect
organizational activities and practices. Also, it can help in improving and developing business
performance. In simple words, evaluation is a method through which performance of a specific
task, people or company can be easily measured and improved in most effective and systematic
manner. By using this concept, company can compare and determine its financial position with
past results as well. There are various methods of business analysis such as 360 degree appraisal,
paired comparison, graphical rating scales, forced ranking and so on (Ruben and Zuniga, 2011).
Financial performance of The Chocolate Cafe can be evaluate by using graph of its financial
data. According to business analysis this company is growing not very well, which can be
determined by its financial information.
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Source: Company house beta. 2017
According to given financial data, it can be evaluated that in 2015 it have generated
29,875 pounds but in 2016 it have generated only 28,874 pounds. Its annual income has
decreased by 1001 pounds, which represents that it should change its existing strategies and
polices so that it can generate high financial profit (Voogt and Roblin, 2012).
TASK 2
2.1 Activities and practices to remove organizational weaknesses
All companies have their own strengths and weaknesses which makes them strong and
weak in some areas. It is very much important for them to overcome their weak points otherwise,
they can not generate desired financial profit. To overcome anaemic point firstly, it is necessary
to understand the reason behind weakness. The Chocolate Cafe is bearing expensive rent.
Organisation can cover its rent by generating high level of financial profit. Company should
locate its Coffee shop on that placewhere people can easily park their vehicles because, parking
is major problem which creates problem for customers (Crowston and Qin, 2011).
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Illustration 2: The Chocolate Cafe.

Along with this, Coffee shop is suffering from financial losses due to short expiry date of
raw materials. To resolve this kind of problem, company should use First In First Out method
through which it can utilise those raw material first, which have arrived in store first. For
maintaining and utilising available materials, Coffee shop can also take help of restocking and
reordering procedures. To provide better quality to customers, firm should use quality control
method. Through this, they can make their taste and decoration same as always. Cited
organisation is established to satisfy social needs. Without satisfying society, it can not survive in
competitive market place and also can suffer from financial crises. Apart form this, there are
various methods through which company can remove its weaknesses and barriers. These are
follows as under: Positive mind set: To resolve each and every organizational problem or difficulty it is
very much important for business persons to have positive thinking and mind set. Positive
mind set of individual can help in resolving his all personal as well as professional
problems. Appropriate business location: If company will have most favourable location then it can
attract a huge number of customers. For example Coffee shops should be located nearby
colleges, malls and residential areas (Team, 2011). Build confidence: It is responsibility of business person to build confidence within his
employees so that they can operate organisational activities and practices in effective and
systematic manner.
 Planning: Effecting business plans can also help small enterprise in removing their weak
points. With the help of preplanning, firm can run its business activities and practices in
appropriate manner.
Hence, these are some other methods through which business enterprise can overcome
their weaknesses. By using above mentioned points, The Chocolate Cafe can resolve its
organizational weak points and also can satisfy their customers in effective manner.
2.2 Methods to maintain and strengthen existing performance of company
Position of every business enterprise is determined by its current performance in
competitive market place. So, it is very much important for all organizations to consider all those
aspects which increase and decrease their performance. It is huge responsibility of The Chocolate
Cafe to maintain and strengthen its execution because customers like to purchase goods and
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services from that company or brand which have strong goodwill in market place. To improve
existing performance business enterprise can take various initiatives. Also, it can use effective
marketing strategies to build strong position. There are several ways through which Chocolate
cafe can enhance its organizational performance (Angelova and Zekiri, 2011). These are follows
as under:
Customer satisfaction: In modern world, all organizations are becoming customer
oriented because without satisfying clients no enterprise can accomplish their desired goals and
objectives. People like to purchase goods from those enterprises which provide high quality in
their products and services. So, it is very much important for Chocolate cafe to provide quality
products with rich taste. Through this, they can attract a huge number of customers and also can
build strong image in market place.
Flexible organizational structure: Due to environmental changes, business organization
suffers form various financial and other losses. It is essential for business persons to consider all
the internal and external factors which can affect their organizational performance. The
Chocolate Cafe can should select a flexible business structure which can help it in various
environmental changes. All organizations have to cooperate with this kind of modifications
otherwise they can not achieve their financial objectives. With the help of flexible structure, cited
company can enhance its performance and growth.
Prioritising: Every organization has established to accomplish their goals and objectives.
But for better growth, enterprise should give priority to those goals which are highly requires
such as financial profit, high productivity etc. after achieving major goals, company can move
towards corporate image and goodwill. By prioritising major motives, Chocolate Cafe can reach
to higher level of success and sustainable growth (Zhao, 2012).
Hence, these are some effective methods through which cited company can improve and
develop its current performance in competitive market place. In present scenario, it is crucial task
for every business enterprise to build strong image in market place otherwise they will not
accomplish their organisational goals and objectives. Company with high maintenance and
strengths can generate high level of profits. Also, they can get great competitive advantage in
marketplace.
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2.3 Different areas in which company can expand its business
Business expansion is that stage where enterprise open its new branch or make some
improvement in current performance. In simple words, it is a effective strategy through which
company can lead to higher level of success and also can develop its current position in market
place. The Chocolate Cafe wants to open a new branch in London (Davenport, Barth and Bean,
2012). There are some points which can help it in expansing its business more effectively. These
are follows as under: The greatest locations: To open a new coffee shop firstly, cited firm should determine all
favourable locations which have a crowded area. For huge success, it can choose airport
area because there lots of travellers or passengers come from different countries. Also, it
is a most visible place where it can attract a huge number of customers. At the time of
business expansion, it is very much important for persons to select that locations which
covers a big market. Quality products: With a new opening, firm can introduce a new product line. For
example, it can use freshest coffee beans, attractive interior designs, premium containers
for serving coffee etc. cited company can also make some changes in its current flavours.
By providing variety of coffees it can achieve competitive advantage as well. Friendly environment: Customers like to visit those place where they get most
convenient environment. The chocolate Cafe can hire those professionals which are high
skilled and also can make cheerful environment within work place. Their friendly nature
can attract a huge number of customers. Hence, by making affable environment Coffee
shop can get favourable response from their clients.
 The finest reputation: To enhance goodwill and reputation, cited company can use
different marketing strategies. Which can help it in promoting and advertising its
different products and services. By investing in charitable trusts it can also build strong
position and goodwill in competitive market place. Finest reputation is a best method
which can help Chocolate Cafe in its business expansion (Iles and Martin, 2013).
Moreover, these are some some aspect which can be helpful for Chocolate Cafe. As, this
enterprise wants to open a new coffee shop so, it should provide some better services and
products to its customers because, this can help it in enhancing its performance in competitive
market place.
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TASK 3
3.1 Appraisal of current organisational objectives
Different goals and objectives of a company helps in determining its structure and nature.
Without accomplishing business goals no enterprise can survive in competitive market place.
With the help of organization motives, people can easily achieve their business mission and
vision. Some most important objectives of the Chocolate Cafe are follows as under:
Profitability and productivity: This is known as most important objective of all business
enterprise. Every organisation operate its business activity and practices to increase financial
profit and productivity. The Chocolate Cafe can achieve this objective by providing quality
products and services to customers because, through providing quality products this firm can
attract a huge number of customers (Palaiologos, Papazekos and Panayotopoulou, 2011).
International expansion: It is that strategy by which company can go beyond their
national boundaries. Every organisation wants to expand their business in effective and
systematic manner. By global expansion, Chocolate cafe can cover wide international market.
Also, it can help United Kingdom in building positive relationships with other countries.
Corporate image: Company with high reputation and goodwill always become central
point of attention of customers. In simple words, people like to prefer that company which have
strong reputation in market place. Hence, by enhancing corporate image Chocolate Cafe can
attract huge number of people.
Customer satisfaction: Without providing proper satisfaction no company can achieve
their organizational goals and objectives. So, it is very much important for Chocolate Cafe to
provide quality products and services to its clients so that they can satisfy their needs and
demands.
Market share: The most important objective of Cited company is to increase its market
share by 15% in next year. It can be possible if above this company will achieve above
mentioned objectives (Biron, Farndale and Paauwe, 2011).
Hence, these are some most important goals and objective for which Chocolate cafe has
been established. Apart form this there are also some future plans of cited company such as:
 Improve interior designing
 Target other market places to open a new coffee shop
 Provides high customer satisfaction to its daily clients
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3.2 Business plan to integrate appropriate modifications
Business plan is that essential document of company which outlines its all rules,
regulations, policies, strategies, goals and objectives. The Chocolate cafe is a well known small
enterprise which provides coffee items and teas to its potential customers. At present, this
company is highly focused on its merchandising strategy as, it wants to attract a huge number of
customers and retain them for long time period. That is why it spends a lot on its interior and
always prefer to use freshest coffee coco beans (Tseng and Lin, 2011). By providing high
customer services it can make its customers more loyal. This can helps in generating high
financial profit. So, it can be said that cited company gives core importance to client satisfaction
because it is that only source to generate advanced sales revenue.
The chocolate Cafe have unique interior designs which makes their customer feel
comfortable and relaxed. It also have dimmed lights and one guitarist which provides a ambient
environment to its various clients. It have arranged a more comfortable chairs and sofas which
provides huge relaxation to tired people. This type of unique interior designs and other
facilitating services makes this coffee shop more attractive as compare to others. This company
can have separate section for sales transaction. It can take help of computerised point-of-sale
terminal so that, it can keep record of its each and every transaction. To promote and advertise
different products and services, Chocolate cafe can use various banners and fliers. Also, it can
give importance to customer retaining programs in which, it operates various activities and
practices so that, it can hold their clients for long time period. Hence, this is the revision of
current plan of The Chocolate Cafe. According to its financial statements, existing business plan
of cited company is not that much effective in nature (Lee, Phaal and Lee, 2013). It have to
make some above mentioned changes in its existing organizational structure.
3.3 Action plan to implement modifications
The Chocolate Cafe is generating less financial profit that is why it requires some
changes in its current business plan. To implement various modifications it needs a new action
plan which is follows as under:
Market analysis: while making action plan, it is very much important for business
enterprise to select a market in which it wants to serve its different products and services. For
better growth and development, cited firm should give importance to those market which is
considered as most crowded area. It can select airport, malls and residential area to attract a huge
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number of customers. By targeting these markets it can provide its products and services to
travellers and general public (Little, , 2012).
Market segmentation: For better growth and development, The chocolate Cafe can open
its new coffee shop nearby any university or college. By doing this it can target youngsters.
Along with this, this company is spending a lot on marketing strategies so that it can attract
nearby officer workers and sophisticated teenagers. According to market research, youngsters
and staff member likes to have gourmet coffee products. That is why, this company should open
its new shop nearby colleges and corporate offices.
Target market segment strategy: Small business enterprise have selected university and
corporate offices because its key people thinks that youngsters and office going worker can
provide them more profit as compare to other people (Cummings, and Worley, 2014). As,
youngsters like study in coffee shops because they finds them more convenient and calm place to
study. The main strategy of cited firm is to build strong and loyal customer base.
TASK 4
4.1 Impact of modifications on company and its staff members
As The Chocolate Cafe has implement some changes in the organisation, which has
made impact on different aspects which are presented in below mentioned points:
Improvements in interior designing: This change is done top attract more customers in
the outlets of the cafe, because most of the cafe outlets attract customers by interiors so it is
essential for the company to make change in this sector (Abeysekera, 2013). As taken feedback
of customers on this change most of them has said that this is creating charm and appeals to
come in the outlet. These changes has created a huge impact on the employees also, people
which are working in the cafeteria are feeling more energetic while working after this change.
Computerised transactions: It is a need of all organisation because it is a modern
techniques. Computerised process of billing transaction has reduce the time consumption and as
well as it has reduce the errors from the process. Employees which are involved in this process
has to suffer for some time to adopts this modern technology but finally it will help them to work
efficiently. Also it has created a huge impact on the customers also because it helps them, to get
a transparent detail of their billing from printed bill.
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Focus on customer satisfaction and retaining: Now company is focusing on retaining of
older employees and customer satisfaction rather to make new customers. It puts a pressure on
the employees which are working on the front desk because they have to built a relationship with
them which can help to them to retain their older customers and analyse their expectations from
The Chocolate Cafe (Sotiriadis and Van Zyl, 2013).
4.2 Change management plan
It is essential for the higher management to implement all changes in a better manner
because these changes will create a huge impact on the organisational performance. It is prior to
identify the needs of the organisation and employees which can help to them to resolve their
actual issues and needs which can help to improve their working capabilities. As this
organisation is working in the food industry so it is essential for them that all of their employees
have to be trained in their work (Pak and Majd, 2011). Changes in training methods will be
managed by using this process:
Identifying needs of employees in training: As company is providing off the job training
method for new employees which is far from reality of the company. Most of their old
employees said that company's training process is weak to provide skills and increase the
efficiency of the employees. So it is essential for them to use on the job training method which
can help to them to make a better change in the organisation to increase the productivity
standards of the newly recruited employees.
Arranging a suitable learning method: On the job training method will be used in this
and mentoring from senior employees can help to newer ones to perform as per organisational
needs. This can help to the newly recruited employees to work better and resolve their all queries
by taking help of their seniors.
Implementation of training method: All seniors has to be aware by this process and
work pressure on them has to reduce by the management which can help to them to give time to
their undertaken team members. Also senior members has to be liable for the work of their
juniors which can help to them to be responsible for their juniors (Bryson and Alston, 2011).
Evaluation of method by monitoring: Company has evaluate this method by the
monitoring process of their managers. They have to evaluate performance of each new
employees and as well as of their mentors also which can help to improve their workings
efficiency.
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According to this plan changes in the training method will be managed in The Chocolate
Cafe which can help to improve their productivity.
4.3 Supervise improvements and development in organizational performance
For better growth and development of company, it is very much important for to monitor
and control all the improvements which have been improved in recent time period. Its is
responsibility of all organisations to consider different organisational changes and then monitor
them on continuous basis. Without monitoring improvements no company can determine that
their strategies are beneficial or not (McClean and Collins, 2011). The Chocolate Cafe have
made various modifications in its existing business plan. Not, it is responsibility of its owner to
monitor all those changes which he have made for organizational growth. There are some
methods through which cited firm can supervise improvements and developments in its
organizational performance. These are follows as under: SWOT analysis: With the help of this matrix, business organization can easily determine
all internal as well as external environmental factor which can affect its organizational
performance. It is that technique which gives a detailed note about different strengths,
weaknesses, future opportunities and threats of business enterprise.
 Financial statement: This is a best method of monitoring, through this The Chocolate
Cafe can evaluate its performance by measuring its financial statements of last year and
present year (Tung, Baird and Schoch, 2011). By evaluating financial condition of cited
company, it has been determined that this company is facing financial losses and it needs
to change its current rules, regulations, strategies and policies.
CONCLUSION
By evaluating above mentioned project report, it has been concluded that small business
enterprise have a significant role in economic and social growth. In simple words, this type of
firm helps in improving and developing national economy. As, they provides various
employment services to unemployed people which helps them in improving their living standard.
There are various advantages and disadvantages of starting an new venture. In tine business,
single owner is responsible for over all financial profits and losses. The most important objective
of SBE is to provide goods and services to local people so that, they can satisfy their needs and
demands. Also, it helps large corporations to operate their organizational activities. In present
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scenario, small organisations are expanding their business at international level so that, they can
serve other countries as well. International expansion is a main source through which UK can
build strong and positive relationships with other nations. This project report is based on ''The
Chocolate Cafe'' which is located in United Kingdom. In this report, various strengths and
weaknesses of this company has been explained. Also, some appropriate actions are determined
to overcome its weak points. Different objectives and plans of this company has been assessed
so that, they can incorporate with proposed changes. At last, impact of change management has
been examined so that, business activities can operate in systematic manner.
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