Small Business Enterprise Management Research

This assignment provides a comprehensive overview of research on small business enterprise management. It includes studies on the value of non-financial information in risk management, gender differences in bank-firm relationships, and critical success factors for implementing business intelligence systems. The research also explores challenges such as ERP integration and the importance of ownership diversity in small business enterprises. A summary of empirical research from 1996 to 2010 is also provided, highlighting applications of the business model in studies of enterprise success, innovation, and classification.

Small Business Enterprises

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................4
1.1 Profile of Worthanshaw's and their strength and weaknesses...............................................4
1.2 Analysis of business performance ........................................................................................5
TASK 2............................................................................................................................................8
2.1 Measures to overcome with the weaknesses of business......................................................8
2.2 Ways for the strengthen the performance of the company...................................................9
2.3 Expansion of business in new areas....................................................................................10
TASK 3 .........................................................................................................................................11
3.1 Assessment on existing business objectives and plans.......................................................11
3.2 Reviewing business plans and suggesting ideas where any alteration can be made...........12
3.3 An effective action plan to implement the changes. ..........................................................13
TASK 4 .........................................................................................................................................14
4.1 Impact of proposed changes on business and its personnel................................................14
4.2 Managing proposed changes in entity.................................................................................15
4.3 Measurement for improving the performance of business over last two years...................16
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Small business enterprise means those enterprises which are partnerships, sole
proprietorships and corporations where the number of employees are few and also the revenue of
the company is lower in comparison to the regular sized business and corporation. All the small
businesses are entitled to take the the benefits provided by the government like preferential tax
policy etc. As per the provisions of the companies Act, it is stated that in small companies the
number of members does not exceed above 50 and the turnover must be within in the limit of
$6.5 million. In this report discussed about the dragon den series which helps the young
entrepreneurs to make investment. Kristy's is the person who formed the Worthenshaw's which
deals in ready-made healthy foods for adults and kids (Altman, Sabato and Wilson, 2010).

In this report explain about company structure, background, strength and weaknesses,
justification for overcome the weaknesses, ways to strengthen the performance of company, new
areas for expansion and the performance of the business in last two years.
TASK 1
1.1 Profile of Worthanshaw's and their strength and weaknesses
Worthanshaws ltd was established on 27 July, 2009. This company is made to provide the
sugar-free, diary free products which are the alternatives of the ice-cream. Kristy is the youngest
entrepreneur which receive help from Dragon Den series. This ideas came into her mind when
she noticed that his son his suffering toward the intolerant and nuts. This company is rebranded
in 2012 because she wants that the company should connect with those persons which are
suffering from this disease. This rebranding change the company segment and the company is
also started focusing on whole food segment (Blackburn, Hart and Wainwright, 2013).
In UK, at different stores the items of this company are sold out. The products of this
company are registered with the 70% growth in retail stores. The products sold by this company
earns the profits about 5 million pound in present. In last 11 years, Kristy won the many prize for
maintaining the good quality of the food. The main focus of the company is to provide the
healthy food to customer and to the such persons who does not have the to prepare the food.
They also focus that the company should provide the foods which are in the budget of the
individuals.
There are lots of strengths and weakness of the business which is necessary to analyse
because it helps in expansion of the business in future . Some of the strength and weakness of the
company are listed below:
Strengths:
 That the company is selling healthy products in reasonable range.
 That all the products of the company are available in all retail stores of the UK
 It provides the products which are intolerance with nuts
Weaknesses:
 That the company does not have much market exposures and experience
 Having very low market share
 It sells the products in only domestic market

 lack of diversity in the products of the company ( Harris and Patten, 2014).
1.2 Analysis of business performance
The company is providing ice-cream and quality food products. The main focus of this
company is to cover the customer which are health conscious and don't have time to prepare
food. So, as per this quality of the company they haver the ability to become the market leader.
The competitor of this company is Nature Finest Food Ltd. Which is offering the same products
with more varieties. So, for the comparison these are the following measures which are used :
Quality Audit: That the comparison of both the companies are done on the basis of the
quality of their product. Worthanshaws is gives more emphasis on the quality and preparation of
the healthy food but this company doenot have diversity in their product. On other hand, Nature
Finest Food Ltd (Acs, Audretsch and Lehmann, 2013). Is they company which gives more
emphasis on diversity of the products.
Financial report: It helps the company to analyse its current positing in the market. It
works as tool which is used for comparison of both the companies. The financial report of
Worthenshaw and their competitor i.e. Natural Finest Food Ltd has been analysed below:

Worthenshaw's Ltd.
2017 2016
FIXED ASSETS GBP GBP GBP GBP
Intangible Assets 122 500
Tangible assets 6287 5135
6358 6258
CURRENT ASSETS
Debtors 125841 75821
Cash at bank 151257 87500
20155 10500
CREDITORS
Amount falling due
within one year
87900 85042
NET CURRENT
ASSETS
154621 125718
TOTAL ASSETS
LESS CURRENT
LIABILITIES
201455 158000
CREDITORS 14567
PROVISIONS FOR
LIABILITIES
1350 1100
NET ASSETS 148056 125687

CAPITAL AND
RESERVES
Called up share capital 400 400
Share premium 33450 33450
Profit and loss account 124521 824584
SHAREHOLDERS
FUND
198445 125471
It has been concluded from the above balance sheet that company is growing continuously. The
debts of the company very high but they also have the cash in hand which reduces the
uncertainties of company for a particular period of time. This will helps the company to expand
their business at different areas.
Nature Finest food Ltd Balance sheet
2016 2015
FIXED ASSETS GBP GBP
Intangible Assets 22580 22580
Tangible Assets 37500 32850
60080 55430
CURRENT ASSETS
Stocks 45658 40148
Debtors 48900 87800
Cash at Bank 2510 16300
97068 144248
CREDITORS 221004 278200
NET CURRENT
ASSETS(LIABILITIES)
124874 135007

TOTAL ASSETS LESS CURENT
LIABILITIES
48731 77824
CREDITORS 13265 6758
TOTAL NET ASSETS 62545 84852
CAPITAL AND RESERVES
Called up share capital 1500 1500
Profit and loss accounts 63842 83458
SHAREHOLDERS FUNDS 62547 87895
It has been concluded from the above balance sheet that the company is more older than
Worthanshaws and provide large number of products which helps more this company in this
competitive situation. The changes in the company helps the company to identify the needs of
customers (Altman, Sabato and Wilson, 2010).
Non- financial measures: Human resource
Year ending 2016 Worthanshaws Ltd. Nature Finest Food Ltd.
Staff turnover 6% 8%
Absentee rates 2% 6%
% of job offers accepted 12% 9%
Consumer view on quality of product and service
Year ending 2016 Worthenshaw Ltd. Nature Finest Food Ltd.
Is it good in value 75% said yes and 5% says
satisfactory and rest are not
answerable
Atleast 88% says the quality of
the product is good remaining
says satisfactory
On superior performance Yes, Growing with rate of 7% Yes, because of the diversity in
the products
Comparison with competitors Provide few products It has the diversity in their

products
TASK 2
2.1 Measures to overcome with the weaknesses of business
The weaknesses of the company restricts the growth of the company in market. So, it is
required that to overcome with the weaknesses of the company to grow in the international
market. The main weakness of this company is that the products of this company are sold out in
domestic market only. These are not known by the customers in different countries because they
are not so much popular (Blackburn, Hart and Wainwright, 2013). So, it is needed by the
company that they advertise their products. It is also required that the company should divide the
work into different segments so they can increase their productivity and become the cost
efficient. All these strategies helps the company to grow in international market. Some of the
recommendations are provided to remove the weaknesses are given below:
 Advertisement of the product: This will help the company to make the products
popular. It helps the company to increase the sales of the products in market. These
earnings help the company to expand their business different countries also (Gill and
Biger, 2012). There is also need to advertise the unique abilities of the products. It helps
in capture the customers which are more health conscious and those who doest prepare
the food.
 Variety of products: To get success in the market it is much needed that the company
provide variety of products to the customers. This will helps in fighting against the
competitors in market. To understand the customer needs is much important in market to
sustain for longer period of time.
 More interaction with customers: This will helps the company to connect with
customers emotionally. It helps in understand the preferences of customers and to take
the innovative ideas to diversify their products ( Luke and Chu, 2013).
2.2 Ways for the strengthen the performance of the company
To sustain in market it is necessary that company should improves their performance. It
helps the company to achieve the organisational objectives effectively. To focus on core
strengths helps the company to improve the performance and to beat the competitors in the

market. This company is providing ready-made meals to customers which are health conscious.
To become succeed in the market it is essential that they focus on the customer needs and to
satisfy them. It is also very important to know about the strategies of the competitors to capture
their customers also. Some ways are explained below which helps in strengthen the performance
of company:
 To know about customer’s preferences: It is important for company to know about the
preferences of the customers and their tastes. This helps the company to make strategies
and products according to that. By satisfying the needs of customer creates the the
goodwill of the company in market (Malhotra and Temponi, 2010).
 Formation of good team: To perform all the functions effectively, it is required that
company should maintain the good team. Good team makes the work easier and reduces
the burden of work. For the purpose of making good team, it is required that work should
be assigned according to their capabilities, this will helps in completion of work faster.
Effective communication between the members of teams is necessary to remove the
confusion regarding their work and duties.
 Provide quality products and services: To maintain position in market it is required
that company should continuously provides good quality of products. Customers never
wants to compromise with the quality of product and if company not sufficient to
maintain it consumers shift their preferences to some other companies. So, for the
purpose of grow in market it is required that to maintain the quality of products.
 Maintain employee relation and coordination: Employees are assets of the company
which are responsible to perform the activities of the company. To improve the
performance of the company, it is required that to main the coordination and good
relation between the employees. It is the duty of the top management to maintain the
good relations between employees (Mason and Brown, 2013).
2.3 Expansion of business in new areas
The expansion of the company in new market helps them to retain for longer period of
time. The unique specialities of the company also them to capture the market. The special
products provided by the company are: healthy food, safeguard against the disease, good in taste.
In present, company is providing their services only in domestic market. They need to advertise
their products for expansion. Advertisement helps the company to make their products popular.

For expansion, they have to do the study of competitors active in new market and know about the
products provided by them. These are the some basic points mentioned below which helps the
Worthanshaws to expand their business:
 Formation of new partnerships: It is not easy for the company to start in new area, so it
is required that to make the partners for easy establishment of business. The partners of
new area helps the company to use their customer base to expand their business. This
strategy helps the company to enter in the market more easily (.Mitchelmore and Rowley,
2013).
 International expansion: Internation expansion provides the opportunity to
Worthanshaws to start the business in new countries other than UK. For this purpose,
required that company should contact with those supermarkets which operates their
business in different countries. It makes the work of company easy to reach different
countries by using the sources of supermarket.

TASK 3
3.1 Assessment on existing business objectives and plans
In today's scenario companies are very much focused on enhancing their performance at
market place. Companies are more focused towards adopting various plans and strategies in
order to attaining their targeted goals and objectives. The objectives of companies are considered
as the most effective element which are designed by higher authority in order to carry out their
business and its activities at right direction (Ackermann and Audretsch, 2013). Objectives are
helpful in identifying most suitable strategy and plan for achieving business goals, this also
provide proper assistance to the employees who are contributing their significant efforts at work
place. The major motive of Wordsworthiana Ltd is to serve variety of food products without
causing any kind of harm and issue to their potential buyers. Here some of the objective of this
company are described as below which is also helpful in representing their core values.
Objectives of company:
 The basic objective of firm is to satisfying the needs and wants of customers who are
very much interested to taking advantage of offered products and services.
 The fundamental objective of firm is to gain profit and revenue through offering variety
of food products to their customers.
 Company is focused on providing high quality food products with more tasty and healthy
ingredients in order to taking care of health and safety of their clients.
 To provide healthier food even to those people who are not having sufficient time to cook
due to the issue of their working time.
So many objectives are taking place as Wordsworthiana Ltd is very much concern on
providing high quality and best food items and services to their buyers in terms of gaining profit
and revenue at market place. The company is more focused on implementing various changes in
rules and regulation of government in order to ensuring their employees about safety and
security.
Action plan:
It is the most effective part of company which outlines the basic ideas that are related
with firms products, target market, services and their desired aims and objectives (Altman,
Sabato and Wilson, 2010). Business plans is prepared by company in order to managing
organisational work through implementing all business activities as per the priority of task and

duty. In this company set some budget and make proper arrangement of funds that are required
for carry out business activities in most efficient direction. Further more business plan is depend
on SMART objectives which are helpful in clearly defining the aims and objectives of firm.
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3.2 Reviewing business plans and suggesting ideas where any alteration can be made
The business plan is more effective in identifying the way through which it is easy for
firm to gain their desired goals and objectives in limited period of time. This also helpful in
providing a way to improving their existing performance of company in order to gaining
attention of customers towards the firm. It is required for each business organisation is to
implementing an effective business plan in respect of moving forward towards a right direction.
As a small business firm Wordsworthiana Ltd is focused on creating an effective business plan
as they need to make proper arrangement of resources and funds in order to performing ant task
and duty at market place. There are some steps which are needs to follow by Wordsworthiana
Ltd for making a business plan, all are mentioned as below:
Update goals and objectives: As a small business business enterprises Wordsworthiana Ltd is
focused on implementing various changes in their goals and objectives which are essential for
reaching at higher position at market place (Bellucci, Borisov and Zazzaro, 2010). For example:
the basic objective of company is to capture more than 10 percent market share by the year of
2019.
Analysing plan: There is a huge requirement of modification so that they can remove the
loopholes which are available in market plan. through this company can adopt various strategies
and techniques in respect to remove the barriers which are facing by company at the time of
designing the plan.
Rationalisation of resources: The funds or resources that are applying by Wordsworthiana Ltd
should be re-allocated in such a manner so that important changes can be implemented properly.
Further more this, make necessary changes regarding allocation of resources and it will helpful
in reducing the wastage that are producing by firm.
Follow up: Management department is responsible for all the changes that are implemented at
work place for carry out all work in most appropriate manner. As it will helpful in measuring the
deficiency that are facing by any employee or higher authority at work place.
The above mentioned elements are analysed by Wordsworthiana Ltd at the time of
targeting any kind of customers or market. These are also helpful in providing proper assistance
to to employees in order to effective utilisation of resources.
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3.3 An effective action plan to implement the changes.
In today's modern scenario each business organisation id focused on implementing an
effective business plan as to moving forward towards right direction. An effective action plan
will provide a significant help to Wordsworthiana Ltd in establishing all task and set time
duration for each task as per their priority. As there are so many changes which are being
adopted by the company, so it is significant for them to create an action plan for attaining their
goals and objectives in particular time period. Action plan for Wordsworthiana Ltd will be
conducted in following way so that changes can implemented in appropriate manner. Action plan
for Wordsworthiana Ltd will be conducted in following way so that changes can implemented in
appropriate manner (Lambert and Davidson, 2011). Action plan for Wordsworthiana Ltd will be
implemented in following way so that changes can adopted in appropriate manner.
Identification of diverse activities: Organisation is focused on recommend changes that has been
effective in identifying the diverse area which covers large number of market and targeted
people.
Identify advantages and disadvantages of each fluctuation: At the time of doing thus, it will
guide the company to enhance their market share and also aid in various activities that are
helpful in growth and success. Thorough this work load and cost can be increased.
Set target which has to be performed on priority basis: Organisation needs to create a list in
which all task are listed as per their priority, so that goals could be attained in effective manner.
Firms needs to ensure about the completion of task in given period of time.
Follow up: In this firm is using various tools and strategies through which firm can analyse the
factors that has a huge impact on organizational performance and improve them for achieving
growth and success at market place.
Action plan for Wordsworthiana Ltd in respect to attaining their goals and objectives
Objectives Benefits Tasks Success
criteria
Time
Frame
Resources
To increase
the number of
customer by
15% in the
It is most
leading
small
business
To evaluating
the level of
consumers
satisfaction
Focused on
taking
feedbacks
from their
One month. Exploring
business and
its activities
through their
15

year 2020. enterprise
who deals in
variety of
food
products
(Malhotra
and
Temponi,
2010).
through
conducting
various
activities and
programmes.
potential
buyers in
order to
analysing the
strength and
weaknesses.
taking ideas
and view
points of
experts.
Training of
employees
It will
amend the
staff
performance
and
confidence.
Training and
development
program
conducted at
regular basis in
order to
improving the
working ability
of employees.
Effective
training helps
in enhancing
the
performance
at work place.
One and
half month
Capital, funds
and revenues.
TASK 4
4.1 Impact of proposed changes on business and its personnel
In today's era organisation are very much concern on gaining high competitive advantage
at market place through providing variety of goods and services to their potential buyers. Each
firm is focused on adopting various changes that are suitable for company and its activities.
Changes has positive as well as negative impact on organisational performance, so before
implementing changes it is required for firm and its higher authority to analyse the aspect of
changes that these are beneficial for company or not. In this firm and personnel's have to
manage in order to run all business function in efficient manner. Some important impact of
changes are described as under:
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Increase the work load: It vital for firm and its employees to adopt all the changes in effective
manner for this work load can be increased and various pitfall may arises among employees who
are facing issues due to involvement of changes (Rae, 2010).
Impact on financial condition: Finance and capital can be considered as the fundamental needs
of firm, as it is required for firm in order to implementing all activities in most effective manner,
so that scarcity can be reduced in appropriate direction. Budget should be made in effective
manner so that changes can be take place efficiently.
Morale: The proposed changes will also enhance the employee morale. Else it will result in to
get higher productivity and effective outcome for firm growth and success.
4.2 Managing proposed changes in entity
Some small companies are focused on avoiding changes and this may cause risk and
issue for company. It enhance the risk factor and collapse the entire structure of firm. The cited
firm is having less amount of funds in respect to implement changes at work place. The proposed
changes has some advantages for firm as expending their business activities in different
geographical area (Ratten, 2014). Wordsworthiana Ltd is severing variety of food meals with the
help of supermarkets. Worthanshaws Ltd is using Kotter eight step changes n order to reach at
their desired result and outcomes. The stages are described as under:
Creating a sense of urgency: Some time in an organisation changes are adopt in most essential
manner as per the requirement of task and duty. It is required for firm to making aware about the
changes to their employees.
Crating guiding coalition: This is create for those employees who are working in different
position and they are related to some groups.
Create a vision for change – Worthanshaws Ltd has to develop a clear vision for everyone that
help employees what an organisation is trying to achieving in desired period of time.
Communicate the vision – The vision of firm is only attained when there is a proper and
effective communication between the administration and employees who are contributing their
best at work place.
Remove obstacles – It is essential for firm to remove obstacles in order to adopting effective
changes at work place.
Create short-term wins – Worthanshaws Ltd is focused on creating some short term goals in
order to achieving desired objectives in most efficient manner.
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Consolidate improvements – In a firm changes can be considered as slow-going process and it
must be driven into the overall corporate environment. Worthanshaws Ltd focused on continuous
improvement for getting better and effective results (Jasra and et. al., 2012).
Anchor the change : The changes that are made in firm become more important part of firm.
Regular evaluating and discussion helps in consolidate that changes are beneficial for getting
effective result.
4.3 Measurement for improving the performance of business over last two years
From the last two years it has been concluded that sales ratios of cream were constantly
increasing and there were higher growth in sales and profitability ratios which indicates growth
and success of business. Various marketing tools were adopted in order to create awareness
about products so that people can easily purchase them (Olszak and Ziemba, 2012). In order to
make improvements in business operations there should be analysis of trend lines in order to
evaluate current performance of business at work place. If there are any changes adopted in plans
then it results in analysing the correct performances at work places which results in achieving
growth and development for business
If changes had to be implemented at work place then Managers had to apply tools and
theories like lewis Proper plans of actions should be developed in order to perform all business
activities in baste Nd effectual ways (Philip, 2011). This is available factor in order to achieve
strong positions of firms at market places so they cans chive growth and success in their
operations. With the help of balance score card Worthanshaws Ltd can easily measure their
performance at market place. The basic purpose of this model is to translate organisational vision
and mission in to some effective operational activities.
CONCLUSION
It is concluded from the above report that, to expand their business Kristy has to makes
some changes in their business strategies. Analysis of strength and the weaknesses helps the
company to knew about the areas in which they have to perform better. If company adopt the the
all recommendation provided above helps in improving the existing performance.
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REFERENCES
Books and Journals
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medium-sized enterprise business mobility. Information Management & Computer
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Acs, Z.J., Audretsch, D.B. and Lehmann, E.E., 2013. The knowledge spillover theory of
entrepreneurship. Small Business Economics. 41(4). pp.757-774.
Altman, E.I., Sabato, G. and Wilson, N., 2010. The value of non-financial information in small
and medium-sized enterprise risk management. The Journal of Credit Risk. 6(2). p.95.
Blackburn, R.A., Hart, M. and Wainwright, T., 2013. Small business performance: business,
strategy and owner-manager characteristics. Journal of small business and enterprise
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Gill, A. and Biger, N., 2012. Barriers to small business growth in Canada. Journal of Small
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Malhotra, R. and Temponi, C., 2010. Critical decisions for ERP integration: Small business
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Mason, C. and Brown, R., 2013. Creating good public policy to support high-growth firms.
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Mitchelmore, S. and Rowley, J., 2013. Entrepreneurial competencies of women entrepreneurs
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Wilson, N., 2010Bellucci, A., Borisov, A. and Zazzaro, A., 2010Lambert, S.C. and
Davidson, R.A., 201Malhotra, R. and Temponi, C., 2010Rae, D., 2010Ratten, V.,
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