Small Business Management and Entrepreneurship

This assignment delves into the complexities of managing and running a successful small business. It examines various strategic management practices employed by entrepreneurs to enhance performance. Additionally, it analyzes the motivations behind entrepreneurial ventures and explores the unique challenges faced by small-scale enterprises in different contexts.

SMALL BUSINESS
ENTERPRISE

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1. Strengths and weaknesses of small business enterprise.......................................................1
1.2. Analysing business using comparative measures of performance.......................................2
TASK 2............................................................................................................................................3
2.1 Methods to overcome weakness of business.........................................................................3
2.3. Areas for business expansion...............................................................................................4
TASK 2............................................................................................................................................6
2.2 Description on the ways to improve and maintain the performance of business enterprise. 6
TASK 3............................................................................................................................................7
3.1 Define assessment of the existing business plans and objectives.........................................7
3.3 Draw the business plan with the help of there can be incorporate appropriate changes. .....7
3.3 Define the action plan for implementation for changes. ......................................................8
TASK 4............................................................................................................................................9
4.1 Impacts of changes on business ...........................................................................................9
4.2 Methods to manage the changes in the business.................................................................10
CONCLUSION..............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Small business enterprises play a major role in the economy of a nation. However, it should
be recognise that unlike other large scale businesses they do not have effective capital which
impacts upon the value of their organisation (Longenecker, Petty, Palich, and Hoy, 2013). Thus,
they are required to analyse the internal processes, situations and working conditions so that an
effective change management plan can be developed to expand the market size. The present
undertaking covers the ways that an establishment can make use to grow its business. This report
is based on a small scale entity, Posh Nosh limited that operates in the food sector. The cited firm
is situated in UK and rendering the people with its amazing food services. This report will cover
the strengths and weaknesses hold by the entity. By this analysis, an idea of forming effective
business strategy can be develop. Based on the flaws in the business and method to overcome it,
a change plan will be generated to increase the market value of the firm. Besides this, different
sectors will be explained in the assignment where the selected company can expand its market.
TASK 1
1.1. Strengths and weaknesses of small business enterprise
Company Overview:
The selected organisation is a small company that is known for the event management
and catering services. The size of employees working in the firm is limited. The entity is
functioning in the sector from past 25 years. The appreciable kitchen of the company has an
award-winning team. The company has promising chefs that works effectively to meet the
customer satisfaction (The really important bit: the yummy food, 2017).
.
Strengths of Posh Nosh Ltd.
Quality: This is the speciality of the cited firm. All the products that the company offers to the
customers are passed through layers of quality tests. In addition to this, the food business is
regarded as highly sensitive to achieve the quality. Posh Nosh Ltd, is thus regarded as "value for
money" in terms of quality (Schaper, Volery, Weber, and Gibson, 2014). This factor helps the
entity in drawing attraction of a large audience.
Price: The pricing structure of the selected organisation is considerably as compared tio the ther
competitors. This factor helps in influence the consumer buying behaviour by rendering them
quality products and that too in affordable prices.
1

Close supervision: All the operations of the cited firm are well supervised by the managers. This
helps in removing the flaws at the very first level only. Thus, in this way firm can bring work
effectiveness (Hatten, 2015).
Finance management: Respite of that fact the entity is having small capital nut the way it is
managing the finances is appreciable. The investments are made for right activities only. All the
planned strategies of the firm are effective in bring profitability.
Controlled Supply: Posh Nosh limited can vary the supply as per the demands. They have better
control in the product supply.
Weaknesses of Posh Nosh Ltd.
Brand Recognition: The company operat6es on a smaller scale due to the limitation 0of the
desired capital and hence, the brand image of the company is not much effective. For this, the
organisation is required to widen its platform.
Industrial Rivalry: The level of compensation in the selected sector is very high. In addition to
this, the business is also substitutable. There exists wide range of food products that can
substitute the products developed by Posh Nosh (Storey, 2016).
High cost of production: It has been observed that the high bargaining power of the supplier is
causing retardation in the revenue. The cost of productions is also increasing due to the expenses
associated with the raw materials.
1.2. Analysing business using comparative measures of performance.
Delivery Services: It has been observed that the Posh Nosh Ltd. renders recommendable delivery
services to the customers. In addition to this, the after services of the firm are also effective.
Effective delivery time: The entity claims to render services in 10 minutes. This factor helps in
achieving customer loyalty and their trust.
Number of orders: In the present date, the company prepared 300 orders in the organisation.
Further, the deliveries are up to 200 orders on a daily basis. In addition to this, the quality is
ensured in all these orders.
Takes feedback from customers: It has been observed that the Posh Nosh limited also takes
feedback from the customers. They are on the services and products that they offer consumers. It
helps the entity in consistent development.
2

Kitchen Experiments: The award-winning team of the posh Nosh kitchen keeps experimenting
with the food. This helps in developing unmatchable services that is appreciated by the
customers (Nguyen, Newby, and Macaulay, 2015).
From the above table, it can be observed that the selected organisation is consistently
increasing its business value. It can be seen that since 2012 Posh Nosh never recorded a
downturn in the business. The increased profit of the entity states that it is expanding its roots in
the market with an effective rate. Further, its shows that the strategies chosen for the company
for the financial growth are effective. In the present time, when their existing a severe
competition in the food sector, the increment in the net profit of the firm every year states that
Posh Nosh is a good player as compared to the other competitors.
TASK 2
2.1 Methods to overcome weakness of business
It has been identified that there are some weaknesses in the selected company, Posh Nosh
limited. These flaws are impacting the overall business effectiveness of the firm; hence it is
necessary to implement effective methods that can help the entity in overcoming the business
challenges. Depending upon the suitability and appropriateness, some of them are as follows:
Assistance of digital technologies in the business: This can overcome the issues of manual work
that consumes time in the internal functions. In addition to this, addition of digital technologies
in the organisation will reduce the errors in the operations. These advancements will thus bring
work effectiveness in the Posh Nosh limited (Hatten, 2015).
.
Effective labour policies: It has been observed that the business environment of the firm is
extreme lenient and no strict rules are followed. However, a good working environment for
3

employees is effective but too much leniency can harm the business practices. Due to this, some
employees had started taking functions for granted. This, in turn, affects the operations and
functions of the company. In this order, Posh Nosh is suggested to implement effective and strict
labour policies in the workplace (Roseman, Mathe-Soulek, and Krawczyk, 2017).
Special Offers: In order to attract a wide range of customers, the organisation can implement the
special offers for the lucky customers or old consumers. This will help in developing trust and
loyalty among them. This, in turn, will help in influencing consumer buying behaviour.
Price Optimisation: The selected entity is suffering with the high bargaining power of the
suppliers. As per this, the cost of production of the organisation is more which affects the overall
business revenue. It is because of the fact that the raw materials to them is provided to them at
the high prices. Posh Nosh is thus needed to perform price optimisation process. For this, it
should perform research operation to find out the suitable supplier so that price can be reduced
(Guillén, and Capron, 2016).
2.3. Areas for business expansion.
In order to improve the brand recognition, Posh Nosh is required to increase the size of the
market in UK. There are different sectors in which Posh Nosh limited can grow its business.
There are two major approaches that can entity use for the expansion of the business and they
are:
Market Development: In order to increase the size and value of the business, Posh Nosh limited
can opt for the market development. Under this, the selected organisation can start business at
new place or it can enlarge the existing one. For this, a different branch can be opened by the
Posh Nosh initially in the nearby areas (Guillén, and Capron, 2016). Later, with the
development, it should think about the global level expansion.
Product Development: Product development is comparatively easy and inexpensive approach
rather than market development. Under this, the selected entity can increase the varieties of the
food products that are been sold at the outlet and through online sources. This helps in satisfying
customers of varied range. This, in turn, helps in increasing the customer base that can benefited
the company by increasing its sales that accounts in more profitability.
In addition to this, there are different areas that are available for the company. Some of
them are explained further:
4

 By making use of the Posh Nosh farms, the company can develop the raw materials by
itself. This will help in reducing the cost associated with it. Further, for ease of
transportation, it can use the local services (Storey, 2016).
 Posh Nosh can start the services of fresh fruit juice and salads to the customers. With
help of the farms, these can be achieved easily.
TASK 2
2.2 Description on the ways to improve and maintain the performance of business enterprise.
In this there are many kinds of the ways are provided with the help which the posh nosh
enterprise can able to improve there performance. There are following things are provided in this
relation are as-
Retaining employees- The company should take various initiative steps in order to maintain the
customer retention rate. It can be true to said that maintaining the customer other than hiring
them is more effective. To improve this firm need to take various initiative steps so that quality
id services of the product can be improvised. With this kind of changes the company can able to
survive in the market for longer period.
Customer retention- The main motive of the business enterprise is to provide innovative
services to the customer so that the rate of customer retention can be maintained. The Posh nosh
firm should take various effective steps with the help of which the buyers in the market can be
attracted with the services of the firm. In this manner they are able maintain the brand image of
organization in t he market. They need to full fill the all the expectation of the consumer so that
business Enterprise can able to maximize the profits of the firm.
Technology- The technology plays essential role in relation to use of this equipment with the
help of which the innovative products can be introduced in the market. The current market is
rapidly growing in this the factor of techniques plays most efficient role. With the help of this
firm is able to take various improvement so that rate of customer retention can be improved and
firm is able to maximize the profitability and productivity of the business enterprise.
Research and surveys- this is very helpful in relation to identifying the need of the person in the
market. With the help of this the customer feedback can be taken so there expectation can be
identified.
5

Rewards- This kind of system is very helpful in relation to motivate the employees so that they
provide high quality of services. The workers need to give reward according to their performance
so that they can feel motivated and this kind of function can able to bring maximum productivity
as well profitability to the business Enterprise.
High quality services- The business enterprise need to take various effective steps so that they
can able to provide high quality services top the customers. With the help of this kind of
initiative they can able to influence the customer to visit again. In this manner the effective
training is to be provided to t he workers so that they can able to provide good quality of fruits
and vegetable to customers.
TASK 3
3.1 Define assessment of the existing business plans and objectives.
In order to take development in the plan and procedure is very essential in relation to gain
high amount of profitability and productivity. There are the following plans in this manner are
as-
High quality services- the main motive of the business enterprise is to provide products of high
quality. In this manner they are able to earn huge amount of profitability in the market. In this
context they need to various development program so that employees can get trained.
Understanding customer needs- in order to gain high amount of profitability it is essential to
understand the need of the person so that they can full fill there expectation. This kind of activity
is very important in order to earn large amount of profitability as well productivity
Employee retention- As it is mentioned above the rate of customer retention is very important
in order to have increment the revenue scale of the firm. One of the main motive of the Posh
Nosh firm is to maintain the rate of retention so that there is no need to hire the employee's from
the outside. They can save the cost by not providing the training facilities in order to have
development in the working of the employees.
Innovation and creativity- The firm need to take various effective steps in order to develop the
products by taking various innovative measures. In this relation they are able to satisfy the
customers and firm is able to gain competitive advantage in the market. This kind of activities
are very helpful to earn maximum market share. The firm is able to maintain its brand image in
the eyes of the customers.
6

3.3 Draw the business plan with the help of there can be incorporate appropriate changes.
In order to have changes the business Enterprise is need to use various tools so that
organization can use this in the effectively manner. The company needs to make efforts with the
help of the SMART analysis for the working of the Posh Nosh firm. There are defined in the
following manner are as-
Specific- The business expansion is one of the sensitive and important decisions. In manner to
make this process effective the company need to select the suitable place where they can start the
operation of business in the impressive manner. It is one of the tasks. The business operator
needs to keep this thing in mind that the place they are selecting will be capable enough to attract
new customer in the market. They need to also make new products so that they are able to gain
the competitive advantage in the market.
Measurable- in this the organization needs to take various effective steps so that they can able to
expand the business effectively. The firm should hire those employees which will be helpful in
order to achieving the goals and objectives of the firm. The proper training facilities are need to
be provided so that they can able to perform the task in effective manner. The services should be
provided need to be effective so that bran image of business Enterprise can be protected.
Achievable- The customer need to provide innovative services such are as home deliver etc. this
kind of factor are helpful in order to attract the customer. In this relation the Posh Nosh firm
should start the using of innovative products' in market so that rate of customer retention in the
market can be satisfied. These kinds of services are helpful in order to gain maximum market
share. The improvised services are the key of enlarging profit scale of firm.
Realistic- The firm needs to take various effective steps in order to develop realistic and by
following the strategies so that business can able to achieve goals and objectives of the firm.
Time bound- in order to develop the work of business enterprise in the expertise manner it will
take almost time of 6 to 12 months. This is the effective steps in order to expansion business.
3.3 Define the action plan for implementation for changes.
In order to take various kinds of changes in the firm, the organisation need to take effective
implementation of the strategies. In order to expand the branch of posh nosh the company need
to take following steps. This all are defined in the following manner are as-
Understanding the issue- this is the initial and the first step in order to develop those strategies
with the help of this the implementation cab be possible. The business enterprises need to
7

identify the issues in which changes must be take place. With the better selection of the strategies
the business can earn larger amount of profitability and productivity. In this manner the brand
image of business can be maintained.
Employee’s involvement- in order to have changes it is essential to have involvement in the
activities of the organization so that they can run the business operation in smooth manner. There
should not be workers who cannot adopt the changes easily, in this manner the enterprise need to
hire the skilled worker so that he can contribute maximum to the business enterprise.
Identifies barriers- in order to expand the business it is essential to know the thing which can
have negative impact on the working of firm. This kind of activities is very helpful in relation to
taking precaution by implementing the various changes so that the firm can grow their activities
effectively.
Putting plan into action- this is the very important process in this plan should be framed and the
action procedure should be taken so that result of such planning can be evaluated. In case if the
organisation is fail in implementing process than corrective action need to be taken immediately.
If they win the level of trust on employees can be enhanced.
Follow up- This is essential in order to find out the effectiveness of person. With the help of this
the entity can able to have changes in the formulated strategies in order to have impressive result.
TASK 4
4.1 Impacts of changes on business
In the organisation company changes the strategies and business plan Which is affected
the operation department of the company (Denscombe, 2014. ). It gives positive impacts to the
cited firm. It changes following impacts.
Growth: In this changes company provides home delivery services to their customers.
Due to this changes company adds new values to increase the growth Push Nosh Company
provides home delivery facilities by which they get earn more new customers.
Attracts new customers: This firm provides home facilities and increase their business
into larger platform. These changes affect business positively and attract more new customers.
Both the strategies help to increase the sales revenue and help to achieve the satisfaction level of
customers.
Satisfied the customer needs: this changes helps to full fill the needs of customers.
Organisation changes their business plans add some more new product and services so that they
8

full fill the wants of customers. And attract new more customers. New services are always
creative and according to the requirement of buyers. These changes give more flexibility in terms
of purchasing.
Increase market share: to increase their product and services customers start purchasing
that particular product and services. It helps to increase the market share of that company. New
attractive changes always gives positive impacts on companies' growth.
Organisation needs to identify the needs and requirement of the customer and identify the
strategies of their existing competitors. This research helps to make new business growth and
gives new attractive services (Agwu,. and Emeti, 2014.). It is very important for the organisation to
adopt new changes to maintain its position in the market. It helps to maintain stability in the
market as long time. It also gives long-term relation with the customers.
4.2 Methods to manage the changes in the business.
To implement the new business plan. It is important to manage those changes properly.
During the implementation many issues arise and create hurdles for the organisation. There are
some methods by which companies protect those changes.
Develop Importance: Before implement the new strategies' manager should explain the
key factors or results of that plan. It creates importance between the employees So that they work
on systemically according to the strategic plan.
Powerful inputs: To accomplish the strategic plan it requires powerful employees which
create organisation values and profit. Organisation needs to adopt better inputs to fullfill
organisation objectives.
`Vision: Posh Nosh firms have to adopt clear vision on which they achieve their target.
The main vision of posh nosh is to aware the customers and employees about the new changes
(Adejare, 2014.). It minimizes the risk of changes. It helps to accomplish the strategic goals.
Proper communication: To accomplish the target communication process has to be
done properly. All information needs to be communicating in all levels so that everyone knows
about the new strategic plans.
Decrease the conflicts: In the organisation in adopting new change's manager should
identify the issues which is created during the implementation of the plan. It helps to give
smooth working to the employees. During the changes company needs to minimize the external
internal issues.
9

Gives Motivation: In the organisation it is the method to manage all things properly by
giving proper motivation and appreciation to the employees for their hard work. It helps to
increase the trust and enthusiasm level among employees So that they give more dedication
towards new changes.
Follow up: To manage the new changes' organisation should follow the activities and
check on regular basis. It helps to measure the issue which is not good for the plan. It gives more
benefits and advantages to accomplish the target. It helps to monitor the process and gives better
correcting action plans.
Inform changes: To manages the strategic plan properly. Posh nosh needs to inform
about new changes in the organisation. It helps to flow of information properly and in effective
manner. In the organisation it needs to adopt proper communication channel through which
employees communicate with each others to perform better task.
4.3 Monitoring the performances of the business
In the organisation to monitoring the performance it is very important to implement the
strategic plan properly in correct manner. Gantt chart helps to implement those changes. It helps
to measure the particular strategies (Mutemi, Maina, and Wanyoike, 2014.). On the basis of
separation. Gantt chart minimizes the time costs and gives more flexibility level. This gives
systematic approach to full fill the strategic plans. It helps to give framework in which company
adopts the different new changes and implemented properly. It is necessary to adopt new
services and changes by which organisation. The organisation needs to follow up the activities
Activities/Week 1 2 3 4 5 6 7 8 9 10
Collect Facts
Pooling of Funds
Market situation analysis
Talk to suppliers
Installation of new assets
Application of strategies
10

Importing of quality and
variety coffee beans
Initiate the project
Employee training
Monitoring
CONCLUSION
In this above file it was mentioned about that posh nosh organisation should identify the
areas in which they can perform better task. It also needs to utilise the all resources of the
organisation which helps to increase the profit revenue of the organisation. It helps to enhance
the quality of employees. It creates competency level among employees because the employees
are the individuals who directly contact with the customers. Employees help to understand the
needs and requirements of the customers and help to share the views in decision making process.
There are many area in which company expand their business and earn maximum profit.
11

REFERENCES
Books and Journals
Adejare, A. T., 2014. The analysis of the impact of accounting records keeping on the
performance of the small scale enterprises. International Journal of Academic Research in
Business and Social Sciences. 4(1). p.1.
Agwu, M. O. and Emeti, C. I., 2014. Issues, challenges and prospects of small and medium scale
enterprises (SMEs) in Port-Harcourt City, Nigeria. European Journal of Sustainable
Development. 3(1). p.101.
Agwu, M. O. and Emeti, C. I., 2014. Issues, Challenges and Prospects of Small and Medium
Scale Enterprises (SMEs) in Port-Harcourt City, Nigeria. European Journal of Sustainable
Development. 3(1). pp.101.
Balta-Ozkan, N. and Baldwin, E., 2013. Spatial development of hydrogen economy in a low-
carbon UK energy system. International Journal of Hydrogen Energy. 38(3). pp.1209-
1224.
Basurto, X., Gelcich, S. and Ostrom, E., 2013. The social–ecological system framework as a
knowledge classificatory system for benthic small-scale fisheries. Global Environmental
Change. 23(6). pp.1366-1380.
Demirgu'g-Kunt, A. and Levine, R., 2013. The financial system and public enterprise reform.
Financial development and economic growth: Theory and experiences from developing
countries. pp.247.
Denscombe, M., 2014. The good research guide: for small-scale social research projects.
McGraw-Hill Education (UK).
Devine-Wright, P. and Wiersma, B., 2013. Opening up the “local” to analysis: exploring the
spatiality of UK urban decentralised energy initiatives. Local Environment. 18(10).
pp.1099-1116.
Folk, B. C. and Jomo, K. S., 2013. Ethnic Business: Chinese Capitalism in Southeast Asia.
Routledge.
12

Guillén, M. F. and Capron, L., 2016. State capacity, minority shareholder protections, and stock
market development. Administrative Science Quarterly. 61(1). pp.125-160.
Hatten, T. S., 2015. Small business management: Entrepreneurship and beyond. Nelson
Education.
Jayawarna, D., Rouse, J. and Kitching, J., 2013. Entrepreneur motivations and life course.
International Small Business Journal. 31(1). pp.34-5
Kern, F., Smith, A. and Verhees, B., 2014. From laggard to leader: Explaining offshore wind
developments in the UK. Energy Policy. 69. pp.635-646.
Longenecker, J., Petty, J., Palich, L. and Hoy, F., 2013. Small business management. Nelson
Education.
Mutemi, B. M., Maina, R. and Wanyoike, N. D., 2014. Strategic management practices and
performance of small scale enterprises in Kitui town in Kenya. International Journal of Science
Commerce and Humanities.
Nguyen, T. H., Newby, M. and Macaulay, M. J., 2015. Information technology adoption in small
business: Confirmation of a proposed framework. Journal of Small Business
Management, 53(1), pp.207-227.
Roseman, M. G., Mathe-Soulek, K. and Krawczyk, M., 2017. The effect of psychological
empowerment climate on restaurant food safety, food quality, and financial
performance. Journal of Human Resources in Hospitality & Tourism. 16(2). pp.137-152.
Roy, M. J., Donaldson, C. and Kay, A., 2013. Social enterprise: new pathways to health and
well-being?. Journal of public health policy. 34(1). pp.55-68.
Schaper, M. T., Volery, T., Weber, P. C. and Gibson, B., 2014. Entrepreneurship and small
business.
Storey, D. J., 2016. Understanding the small business sector. Routledg
Teasdale, S., Lyon, F. and Baldock, R., 2013. Playing with numbers: a methodological critique
of the social enterprise growth myth. Journal of social entrepreneurship. 4(2). pp.113-131.
Online
The really important bit: the yummy food, 2017. [Online]. Available through: https://www.posh-
nosh.co.uk/food
13