Starting a Small Business: A Case Study of Coffee Shop 'Coffee Day'

This report provides a case study of Coffee Day, a small coffee shop in the UK, and offers recommendations for increasing market share and revenue. The report includes a literature review on the coffee shop industry and its challenges, as well as tips for providing a welcoming environment, expanding the menu, and offering affordable prices. Subject: Business, Course Code: N/A, Course Name: N/A, College/University: N/A

How to start a small business?

Table of Contents
Introduction......................................................................................................................................2
Aim:.................................................................................................................................................3
Literature review..........................................................................................................................3
Recommendation.........................................................................................................................4
Conclusion.......................................................................................................................................5
References........................................................................................................................................6
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Introduction
The following report focuses on starting a small business. This report states about starting a
small business of coffee shop which is known as Coffee day. This is small business is located in
United Kingdom and it’s headquarter is situated in London. London has become a prime location
for this small business because people of London and habitual of drinking coffee and there are a
lot of businesses around the coffee shop so that people can easily visit this coffee shop. Currently
this coffee shop is operating in London only (Setiawan, and et.al 2020). The overall objective of
this coffee shop is to increase the sales and they want to expand their business throughout United
Kingdom. Coffee shop has become a social gathering for people where they can enjoy different
variety of coffee along with this they can get a small get together and people can spend their
valuable time with their loved ones family and friends. This coffee shop primarily serves various
types of coffee such as espresso, latte, cappuccino etc. Along with this Coffee Day also provides
cold coffee iced coffee iced tea and other beverages. This is small cafe is continuously increasing
their menu now this coffee shop is also providing various Continental drink of Europe and
serving different beverages and alcoholic drinks as well. Drinking coffee on daily basis has
become habitual for the people of United Kingdom. That for this coffee shop trying to increase
their sales and revenue and also this organisation is continuously increasing then you as well.
Along with this coffee day is also serving called drip French press as well. This coffee house is
providing coffee along with food entertainment and also it welcomes local community so that
they can enjoy their precious time. Apart from this Coffee Day wants to serve coffee and other
beverages on reasonable prices so that it can create a good consumer base. This is small coffee
shop also treat Their employees and customers with full respect so that people can visit again
and again and this will help the organisation to increase their revenue . This small business is
focusing on providing a welcoming environment to their guest and customers so that people can
enjoy staying in this cafe and they can talk and mingle themselves. So this is small business
operates in restaurant industry and it is a small coffee shop. The major goal of this business is to
increase their market share and also wants to increase the overall revenue so that they can make
further investment. This report also provides literature review and various recommendations.
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Aim:
To increase the market share and revenue by offering coffee at affordable prices
Literature review
According to AnisWardina, ( 2020) coffee shop refers to the third most important place for
people after their home and their workplace it is one of the successful business of the entire
hospitality industry. Individual weather children younger or older people spend their use amount
of money on the consumption of coffee is it is very common beverages and drink for people of
all the age group. As it is a part of hospitality industry show serving customers and satisfaction
of customers is very important element of the entire service industry and therefore coffee shop
also has to focuses on serving their customers with best possible products and services. In
addition to this (Roberts, J., 2017) states that coffee shop provides a relaxed social space to
people and therefore it is very popular among all the generation. Coffee shop provides kind of
better feeling and peace to a person which that does not get in pubs restaurants and other fast
food chains. This is the major reason that coffee shop has become popular business in the world.
On the other hand Niftiyeva, (2020) states that many coffee shops are getting failed and this
business is not providing profit to the business owner. Many new restaurants and hotels are
providing coffee along with different fast food which is being liked by people and therefore do
not want to spend their valuable time just to get a coffee. Turnerand et.al( 2021) also said that
due to poor management and lack of proper sales coffee shops are getting wind up. Major coffee
shops provide only coffee and therefore the owners are not able to cover the cost of coffee and
rent. To overcome debt and obligations now the owner of coffee shops providing different
beverages alcoholic drinks and other snack foods so that they can recover the power on loss.
Therefore it is not a popular business in the present time. In arguing with this van (2017) said
that there is a rise in the population who love coffee and they become so habitual of coffee that
they need coffee on daily basis and therefore it is one of the beneficial business, because the
business owner do not need to put so much capital in the business they can start small coffee
shop by putting small amount of money into this business. Apart from this one of the most
successful reason behind coffee shop is that it provides ethical belief to their customers and also
the promote various ethics to the community. Along with this there are various reasons which
makes coffee shop more popular because the provides a pleasant environment on a competitive
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locations so that people can enjoy the atmosphere with their friends and family and they can have
various different beverages which is being provided by the coffee shop. Carlson, (2021) also said
that people have become more flexible to their working hours. Coffee shop has become popular
space place for informal meetings and especially because it provides a relaxed atmosphere
Ambience to people and therefore they can easily takes their valuable decisions. Coffee also
provides variety of services now the most of coffee shops are serving beverages with
entertainment so that people can relax their and enjoy their valuable time. Another reason for
getting boom in coffee shop is that they are providing artistic atmosphere to their audience.
Recommendation
After analysing the above report can be recommended to this business that the most
focusing on increasing their menu and they should provide more variety of coffee to their
customers. Along with this the most focuses on providing different bridges and healthy food two
people so that they can enjoy organic food because nowadays people are getting more conscious
about their health. It is recommended to the organisation that they must provide some best goods
and gift card to their customers so that it will help small business to conduct marketing and
promotional activities.
Along with this organisation must focuses on providing entertainment to their customers so
that they can enjoy their valuable time and hang out in the coffee shop. It is also recommended to
the organisation that the most host some entertainment night on the weekends so that it can draw
the attention of family and by doing this , organisation can easily give tough competition to their
competitors. Another recommendation to this organisation is that they must provide free Wi-Fi
services to their customers because most of the people who are working on their visit to coffee
shops so that they can have some meetings or they can lose their work and if that get free internet
access then devil bound to come again and again to this coffee shop only.
Apart from this organisation must focus is on the furniture which they have used especially
table and chairs they must use new and creative model of table and chair so that it will grab the
attention of customers. The next two recommendations to this organisation is that they must
focus on pricing strategies they do not take high prices from their customers otherwise it will
difficult for the organisation to build a huge consumer base. Organisation must provide
affordable and reasonable prices of the products and it will be beneficial for them if they charge
lower prices as compare to their competitors. Along with this it also recommend it to this
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organisation that they must focus on their target market and target audience along with this
organisation must focuses on targeting young adults show the overall market capitalisation of the
company can get increased. Apart from this, business most focuses on marketing and
promotional activities taken use social media for the marketing as it is cheap and affordable for
the company.
Conclusion
Analysing the entire report it can be concluded that this report focuses on starting a small
business. The entire report focuses on starting a small coffee shop. This report provides detailed
information about the introduction of the business and how the business can increase the market
share and revenue is also being elaborated in this report. Apart from this the main purpose and
aim of this business has also been described in this report. This report also provides literature
review so that organisation can know how much profit and loss they are going to face. Apart
from this various recommendations have been mentioned in this report so that this organisation
can increase their market share and sales by following such recommendations.
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References
Books and journal
AnisWardina, A.W., 2020. Minuet coffee/AnisWardina Abdul Wakil.
Carlson, B., 2021, May. PenerapanTerhadapAnalisis Swot Pada Usaha First Hook Coffee.
In ConCEPt-Conference on Community Engagement Project (Vol. 1, No. 1, pp. 2143-
2147).
Niftiyeva, L., 2020. Development of a business plan for the opening of dietic coffee shop “Fit-
Sweet” (Doctoral dissertation).
Roberts, J., 2017. Coffee shop: Classrooms. Education Technology Solutions, (79), pp.34-36.
Setiawan, R., Eliyana, A., Suryani, T. and Prayitto, H., 2020. The Effect of Market Orientation
on innovation Capacity through Entrepreneurial Orientation at Business Startup Coffee
Shop in Indonesia (Doctoral dissertation, Petra Christian University).
Turner, S. and Endres, A., 2017. Strategies for enhancing small business owners' success
rates. International Journal of Applied Management and Technology. 16(1).p.3.
Vadivalu, C., 2020. The Impact of Atmospherics on Customer Experience at the Seattle Coffee
Shop at Medstone Umhlanga.
van Ooyen-Houben, M.M., 2017. The Dutch Coffee Shop System, Tensions and Benefits. Mich.
St. Int'l L. Rev..25.p.623.
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