Smart Shoes Business Idea: Utilizing Ocean Waste for Unique Products

This report discusses a business idea of creating smart shoes from ocean waste, including competitive analysis, tangible and intangible resources required, and promotional activities. The report also covers the subject of business, course code: Unit 28.

Unit 28

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Business idea:...............................................................................................................................3
Requirement of Tangible and intangible resource in the business:.............................................5
CONCLUSION..............................................................................................................................10
REFERENCES................................................................................................................................1

INTRODUCTION
Business idea is first step in creation of company, this idea are been identified by the
entrepreneur and later completed into a successful business organization. Before starting any
business, an entrepreneur have to create the businesses plan which include idea generation, idea
implementation and idea completion (Saks, 2021). In this report we have discussed business
idea, competitive analysis and concept of business idea. Later we will discuss tangible and
intangible resources which include capital, website, human resource and raw material. Later we
will discuss various online platform and promotional activities. At last, we will discuss types of
venture.
MAIN BODY
Business idea:
Overview:
Smart shoes business idea, this business idea is all about the smart shoes which is been
developed and are been made from the waste from ocean. The ocean waste mainly the plastic
bottles is been used, this business idea is already been used by many big brands such as Adidas.
Smart shoes are been prepared with the impressive and unique designed, which is going to attract
customer to purchase such as shoes. This business idea is challenging but people are going to
like this because this is new and attention grabber.
Product and service:
Product of this business idea is smart shoes which are been made from the ocean waste,
the unique selling point of this business idea is raw material, this raw material are cultivated
directly from the ocean and turn into shoes with skills of the worker (Behnam, et.al., 2021).
There are various other products as well such as clothing products, shoes and slippers, jewellery
and accessories. But the main product of the company is smart shoes made from ocean plastic
waste.
Service: the service provided by the company is after the sale service which comfort the
customer even after the purchase.

Porters five analysis:
Porter five force means identifying and analysing the market and understanding the
dynamic nature, this tool help business organization to understand the movement of the
competitors (Almeida and Santos, 2018). The porter five force model can be understood such as:
Competition in the industry: the competition in the market means the number of rivalry which
can effect the smooth running of the process. Competitors are the biggest barrier in the business
organization, the competition of this business idea is shoes and clothing company who are
already been established and have brand image (Knight, 2017). The biggest competition for this
business idea is Adidas which already a market king and now planning to launch the shoes which
is made from ocean waste. There is high competition in this industry as other large brand are
already have captured the market.
Potential new entry: the new entry in the market means the coming of new companies which
same business idea. The clothing and fashion industry is already been competitive and entry of
new companies disturb the smooth flow of business. This business idea is already have huge
competition and these new entry with high capital budget can win the market and even can give
competition to the already established business organization. Although this business idea is also
new to the market but have a great business concept with the ability to attract potential customer.
Power of suppliers: there certain powers carries by the suppliers and vendors which influence
the business working. Suppliers have important role in the business organization, they provide
raw material at right time with right reasonable price. There are few suppliers in clothing and
fashion industry which provide raw material to the large scale businesses, this business idea of
smart shoes need to contact them to provide the raw material. Although the company need to
cultivate their own raw material from the ocean, but there are some suppliers who are ready to
provide plastic waste from the ocean at the reasonable rate but still they have certain powers
which might affect the business organization.
Power of customer: 'customer is king' this term is been used in the business world to describe
the power of the customer, customer have certain powers in the market which they can use to
influence and effect the business working. Even a small customer base can effect the whole
industry, the customer in fashion and clothing industry have diverse taste and preference which
keep shifting their interest to other business. For this business idea, customer and their preference

plays a vital role, as per the uniqueness of smart shoes, this business idea is going to win the
customer.
Threat of substitutes: threat of stealing of concept and idea is very common in every industry,
these new entry try to steal the business idea and put huge capital investment to win the market.
This business idea of smart shoes have threat of substitute from its competitors, as this is new
and completely attention seeking product which is going to attract the customer. Some times
these new entry not only steal the business idea, but they try to keep the prices low and provide
bad quality products which effect other business organization with same concept.
Requirement of Tangible and intangible resource in the business:
Tangible resource: tangible resource means physical or touchable items of the business such as
cash & inventory, equipment & machinery, land & building and other small resources which
keep the business organization stable and continuous (Kamasak, 2017). This business idea is
need tangible resource such as equipment and machinery which can develop plastic waste into
wearable products, the company have to develop machinery which can create these products,
although the company is directly depending on the machinery and equipment.
Intangible resource: these resources and assets are non-physical and invisible items play a vital
role in the business organization. Intangible resource can be anything which increase the brand
image of the company and can be very beneficial for the business organization. Intangible
resource include goodwill, trademark and copyright of the business. Some intangible asset lies in
the value of tangible assets such as value of the land and building. The intangible asset of this
business idea is uniqueness of the product, this product is been made from completely new and
never used material which is going to create the value and brand reputation in the market.
Things needed in this business idea:
Capital: capital is one of the most important thing of the business organization without the
capital investment a business cannot start and grow, capital include the investment of the
company in business process. This business idea need huge capital investment because this is
completely depending on the cultivation of plastic from the ocean and later converting into a
finished product. Capital are been needed to purchase the equipment and machinery, machinery
which is been used in this process need to huge capital investment.
Website: after completing the physical structure of the company, it times for the development of
the website which is going to attract customer. This website is been designed with innovative and

attractive way which highlight the important and value of the nature. Website will provide range
of different products such as clothing and fashion, jewellery and accessories and shoes and sports
item.
Skilled worker: skilled worker are going to play a vital role in the process, as this business idea
is challenging for both, the company and workers. Worker have tough job at very part of this
business idea, from the cultivation of plastic from the ocean to converting it into a finished
product. Hiring of highly skilled worker need to be first priority of the business organization.
Raw material: the raw material plays an vital role in every business organization who tend to
provide goods. Some business organization directly depend upon the raw material which cause
problem in future if there is no availability of raw material (Schrijvers, et.al., 2020). The raw
material required in this business idea is plastic waste which can be found in oceans and seas,
this plastic waste effect the nature very badly and need to utilize before any big disaster. There
are some suppliers who are going to provide raw material and even the government is ready to
provide raw material to ensure the betterment of the nature and environment.
Why this business idea will work:
This one of the most important question, which have perfect answer, this business idea is
going to work because this idea is for the betterment of the nature and environment. People and
government both are now concerning the importance of nature after the impact of COVID-19.
This pandemic has taught the world about the value of nature and why human need to keep the
nature first. This is the best chance for this business idea to attract the emotions of the people
with uniqueness selling point of providing nature based products. This idea will definitely work
because there are may campaigns who promote the ocean life and ocean waste management and
have the powerful message for the people to keep the nature safe.
Smart target:
To accomplish this business idea, the smart goals tool can be used to segregate the goals
into various parts to achieve it more effectively and efficiently within a time frame (Bjerke and
Renger, 2017).
Specific: this product and business idea is specific which help business to segregate the goals
into various points such as who is going to involve in this business plan to achieve it, the skilled
worker and the emotions of the people towards this product. This product will remain specific in
the market as well because of its uniqueness.

Measurable: this business idea or the product can be measured by the time required in the
making of the product. The cost and time is been measured to accomplish this goal, in term of
time this business idea need months to be completed.
Achievable: in terms of achievable, this business idea or product is quite difficult to achieve and
even have the risk of failure. Although the company is prepared with raw material and skilled
worker with huge capital investment and powerful equipment and machinery. This plan is
achievable.
Realistic: this business plan is realistic in terms of accomplishment, some people believe this
business idea is not realistic but the Adidas have already made it possible and contributed greatly
in the betterment of the nature.
Time bounded: this business idea need to be completed within a time frame because Adidas and
other big brands have already used this idea and working to improve and win the market. Time
plays an vital role in this business idea project which need to completed as soon as possible.
Skills required:
Every business plan required entrepreneurial skills and ability, these skills plays an vital
role in the success of the business idea. Apart from the entrepreneurial skills, a person might
need the knowledge of ocean and the aquatic life. There are certain skills which will be required
in the process such as:
Entrepreneurial skills: an entrepreneur know how business start and how to a make a business
successful. A successful entrepreneur carry various basic skills such as effective communication
skills, business management skills and workforce management skills.
Capabilities of failure: a person which start such as difficult business idea must have skills of
handling failure, risk is involved at every part of the business organization which can lead to
failure. So handling and managing failure must be the skills and capabilities of an entrepreneur.
Scientific knowledge: this business plan require a knowledge of ocean and sea as this
completely work on the plastic waste of the ocean. When a business work in new environment,
the entrepreneur have to develop a sense of learning new things, this business plan will going to
teach the workers various new things and make them more capable.
Promotional activities and platforms:
Every business need little push before the go, this push help the business to increase the
sales and brand awareness, there are two ways which can help business organization to boost the

sales such as traditional promotional methods or digital marketing method (Bakator, Đorđević
and Ćoćkalo, 2018.).
Traditional marketing: The traditional promotional method means promoting business through
various offline mode such as leaflets, pamphlets and posters of the business and the product, this
business idea of smart shoes need leaflet which will be distributed to the public (Kayumovich
and Annamuradovna, 2020). Another method of promoting business can be done through:
Digital marketing: digital marketing is the online platform which can be used in promoting the
business and the product, there are various digital platforms such as Google ads, Facebook ads
and social media marketing (Bala and Verma, 2018). For this business idea online platform will
be used to promote the product and mainly to increase the awareness about the importance of
nature, various platform such as Google and YouTube can be used to promote the product
whereas social media platform such as Facebook and Instagram can be used to increase the brand
and awareness about the nature.
Promotional activity plan:
there are certain steps in developing promotional activity plan such as:
Step 1: research: before starting any promotional activity the research is very important, this
includes understanding the financial statements of the company to calculate the cost of the plan.
Promotional activities are very important for the business, it required huge investment to boost
the sales. Research is a broad term which may include the research about the survival of the
product in the market.
Step 2: timeline: timeline in promotional activity means the duration of the activities, every
promotional plan is segregated and break down in different time frame to understand the budget
and level of success of these promotional activities.
Step 3: market: the term market is very broad in the promotional activities, market include
customer, their place and geographic location and target details. Before any marketing strategies
of the business, it requires to understand the market and divided the customer bases accordingly.
Type of legal venture:
Every business organization belong to one particular type of business venture such as
sole trader, private venture, limited venture and public venture (Morris and Kuratko, 2020). This
business idea need people to believe and invest in the concept of the company, this business idea
will be private limited company which will be listed on the share market of the UK from there

people can invest in the company. At first this company will remain private company which will
be handle and manage by a sole trader. There are certain other forms and type of venture which
can be adopted by it is suggested.
Type Company Competitor 1 Competitor 2
Overview The company will be
providing smart shoes
which are made from
ocean plastic waste.
Adidas is been
providing ocean waste
item which include
shoes.
Nike have the concept
of bringing ocean
waste product which
include clothing and
fashion items.
Competitive advantage Reasonable rate which
can attract customer.
Brand name and
image.
Market king and high
reputation in nature
saving programs.
Target market Clothing and fashion
industry
Retail and accessories
industry.
Sports equipment and
accessories.
Product Shoes Shoes and footwear Clothing and fashion
Price Reasonable Moderate High
Strength New business idea Brand image Reputation
Weakness New to the market competition Less value for other
industry.
opportunities To win the market
with reasonable price.
Have various
opportunities because
of the brand image.
Opportunities to create
and manage sports
event.
Threats Competition Less value High price

CONCLUSION
In this report we have discussed business idea, this idea include the identification of
concept, later we have discussed tangible and intangible assets require in the process. Later we
have discussed skills and capabilities that required in implementation of this business idea. Later
we have discussed various types of promotional activities and provided plan for promotional
activities of the business organization. At last, we have discussed type of venture.

REFERENCES
Books and journals
Almeida, F. and Santos, J.D., 2018. Annex I–Porter Five Forces.
Bakator, M., Đorđević, D. and Ćoćkalo, D., 2018. Promotional activities and customer
satisfaction: Long-term influence or a temporary marketing'mirage'?. Marketing, 49(2),
pp.113-123.
Bala, M. and Verma, D., 2018. A critical review of digital marketing. M. Bala, D. Verma (2018).
A Critical Review of Digital Marketing. International Journal of Management, IT &
Engineering, 8(10), pp.321-339.
Behnam, et.al., 2021. Exploring customer engagement in the product vs. service context. Journal
of Retailing and Consumer Services, 60, p.102456.
Bjerke, M.B. and Renger, R., 2017. Being smart about writing SMART objectives. Evaluation
and program planning, 61, pp.125-127.
Kamasak, R., 2017. The contribution of tangible and intangible resources, and capabilities to a
firm’s profitability and market performance. European Journal of Management and
Business Economics.
Kayumovich, K.O. and Annamuradovna, F.S., 2020. The main convenience of internet
marketing from traditional marketing. Academy, (1 (52)).
Knight, F.H., 2017. The ethics of competition. Routledge.
Morris, M.H. and Kuratko, D.F., 2020. The fit between type of venture and entrepreneur.
In What do Entrepreneurs Create?. Edward Elgar Publishing.
Saks, M., 2021. Professions: a key idea for business and society. Routledge.
Schrijvers, et.al., 2020. A review of methods and data to determine raw material
criticality. Resources, conservation and recycling. 155. p.104617.
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