Understanding of what is required to launch a new venture successfully

Launching a New
Venture

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Investigate and explain a new venture identifying specific target markets and undertaking
competitive analysis...............................................................................................................3
P2. Determine specific physical and non-physical resources that would be require for the
launch of a new venture..........................................................................................................5
P3. Produce a credible proposal to launch the new venture...................................................6
TASK 2............................................................................................................................................8
P4. Access the skills and capabilities required to launch the new venture and how they are
acquired or developed.............................................................................................................8
TASK 3............................................................................................................................................9
P5. Explain different promotional activities and channels that will support the launch and
justify their choice..................................................................................................................9
P6. Develop an appropriate promotional activities plan for both launch and pre-launch....11
TASK 4..........................................................................................................................................12
P7. Produce an itemised monthly cash budget for the pre-launch phase of the venture and the
first 12-18 months preceding launch....................................................................................12
P8. Suggest an appropriate legal structure for the venture stating why it has been chosen. 14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................17

INTRODUCTION
A venture is a project that is new and engages huge efforts as it is new and very difficult
as several risks and failure factors are involved in it. Entrepreneurs and business owners
innovates and develops by searching and furnishing new ideas opportunities for business.
Business ventures are introduced of separate legal structures such sole proprietorship,
partnership, joint venture and company. These ventures are unique from one another holding
separate competitive position and resources in market. The current project is developed for
launching a new venture in market a coffee shop near the Hounslow West underground station
(Aaboen and et. al., 2017).
In the report a business plan is developed for launching a coffee shop, where the idea is
first introduced, target market is identified and competitor analysis is conducted. Moving further
all tangible and intangible resources required are identified and a credible proposal is produced.
Once the proposal is developed and required skills and capabilities are identified along with
supporting promotional channels and activities are identified. A marketing mix plan is developed
for along with appropriate pre and post launch cash budgets and at the end legal structure is
adopted and justification is provided for it.
TASK 1
P1. Investigate and explain a new venture identifying specific target markets and undertaking
competitive analysis.
INTRODUCTION TO NEW BUSINESS IDEA:
The new business venture which is being established and for which the business plan is
developed is a coffee shop near underground station of Hounslow West. The coffee shop was a
dream of Sophia who use to work as full time supervisor at Dream Media Ltd. Now, Sophia have
quit the job and want to open her coffee shop in a locality which is the best location for a coffee
joint as people move for work form their and come back home tired. The name of the coffee
shop is on the owner's name “Sophia's Coffee”.
AIMS AND OBJECTIVES / FEATURES OF NEW PRODUCT OR SERVICE:
 To serve best and tasty coffee to customers travelling from or to work (Rippa and et. al.,
2019).

 Sophia's Coffee will be open for 24*7 for online platforms and the physical joint will be
open for 8 to 8 in a day from Monday to Friday.
 To survive in market and earn enough profits for paying off debts and expenses for the
initial one year.
 For developing enough customer base and earning profits 5% more than expenses and
debts.
SPECIFIC TARGET MARKET:
Sophia' Coffee is being opened near a underground station in Hounslow West where most
people are those who are moving and coming back from their work. Therefore, the main targeted
audience are those travellers. Also, Sophia's Coffee will be taking online orders as well which
open to a wider customer base and target market. So, ultimately middle class and upper class
people are the main targets including office going, travellers in trains and general public.
COMPETITOR ANALYSIS:
Competitors analysis is an activity which is performed for identifying and analysing the
exiting and new emerging rivals for business. This is performed for gaining an understanding
about the competitive position in marketplace and for knowing their competitive edge. In case of
Sophia's Coffee, porters five force model is utilised for the same (Abor, 2017).
 Threat of new entrant focus over new emerging ventures at the same time of Sophia's
Coffee or in future. This threat is high due to lack of barriers and very little finances
required which are easily acquirable form market.
 Threat of substitutes is referring to development of any other good which can fulfil
requirement of customers by rendering them same value. This threat has moderate impact
as there are huge population present who do prefer coffee for releasing stress.
 Bargaining power of customers is high as competition is high in the area where
Sophia's Coffee is opening up and in the industry as well. Consumers shifting cost is very
low which gives them power over the business and its decision-making.
 Bargaining power of suppliers is low as there are several suppliers available in the
market and it is not required for Sophia's Coffee to be dependent over one or two. The
suppliers do not hold any power over business decision-making and strategies (Spee,
Jenkins and Ekberg, 2018).