Unit 28 Launching a New Venture

Unit-28 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 tangible and intangible resources that would be required for the launch
of a new venture.....................................................................................................................4
P3 Produce a credible proposal to launch a new venture.......................................................6
TASK 2............................................................................................................................................7
P4 Assess the skills and capabilities required to launch a new venture and how they are
acquired or developed.............................................................................................................7
TASK 3............................................................................................................................................8
P5 Explain different promotional activities and channels that will support the launch and
justify their choice..................................................................................................................8
P6 Develop an appropriate promotional activity plan for both launch and pre-launch........10
TASK 4..........................................................................................................................................11
P7 Produce an itemised monthly cash budget for the pre-launch phase of the venture and the
first 12–18 months preceding launch...................................................................................11
P8 Suggest an appropriate legal form for the venture stating why it has been chosen........13
CONCLUSION .............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Launching new venture is a tedious and risky task which is undertaken by business
owners and entrepreneurs with specific motives and perspectives (RJ, 2020). An entrepreneur is
an individual who enters the market with an innovative idea and establishes their business by
bearing all risks and responsibilities of the actions needed to perform and undertake. This report
is inclusive of a business plan for a new venture launch. The venture is a retail store offering
vegan food products and related services for pet dogs and cats. The new venture will be dealing
in retail industry and offering vegan food and services like a nutritious daily vegan food plan for
pets. The report is consisting of a in depth business plan required to showcased in-front of
investors for rendering them clarity about the activities in which their funds are being used and
assuring them success of business.
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 idea is to launch a retail store offering products and services for pet
dogs and cats. The idea is to offer vegan food items and services like a detailed vegan food plan
for cats and dogs. The entrepreneur is planning to open the store in London first and then expand
further globally with potential success in operations. The store will be named and known as
“Pets Only”, offering solution to the health issues of pets and reliving the stress of their owners.
The store idea is inclusive of organic and vegan goods which is a sustainable option for the
environment as well (Reyad and et. al., 2019).
AIMS AND OBJECTIVES / FEATURES OF NEW PRODUCTS AND SERVICE:
 To deliver best dog and cat food in London made of organic and vegan raw materials.
 “Pets Only” is available in market for 5 days a week making online and offline services
and deliveries.
 On weekends the store will be accessible through online platforms making deliveries of
food products.
 The firms objective is to cover up for their debts and have 5-8% higher profits form all
the expenses in initial 6 months period.

SPECIFIC TARGET MARKET:
Target audience and market is the customers group who are potential present and future
buyers of the organisation. The offerings of “Pets Only” is for animals and specifically for cats
and dogs. Therefore, target group of “Pets Only” is those families or individuals who have cats
and dogs as their pets and which to live a healthy and sustainable life on the basis of
Psychographic dimensions. On the monetary sides and basis the company's main target group is
those with middle class and higher class status in society on the basis of affordability.
COMPETITOR ANALYSIS:
Industry analysis is a major part of launching a new venture as the entrepreneur is
suggested to have all the required knowledge about the existing and up coming competition who
can influence their business. “Pets Only” is offering a new innovative product to customers
therefore, the business do not have any direct competitor (Mazzarol and Reboud, 2020). But the
existing pet stores offering goods and specifically food items are indirect competition of the firm.
“Pets Only” is bringing new goods to the market but their offerings can be easily copied and
their competitive edge will be diluted. This is why the competition is high on the basis of
existing and new entrepreneurs as well as threats of substitute goods is moderate too.
SWOT ANALYSIS:
Strengths Weaknesses
 Unique and sustainable product
offerings.
 No existing rivalry.
 Lack of information and knowledge
about market.
 Easily substitutable goods and services.
Opportunities Threats
 Attract and acquire the market with
good faith and trust.
 Expansion and growth is an opportunity
which is always available.
 Unstable economy of UK.
 Fluctuating market and social trends.

P2. Determine specific tangible and intangible resources that would be required for the launch of
a new venture.
Resources are the tangible and intangible goods and services that an entrepreneur needs
while making arrangements for their venture at the time of launch and while performing business
actions. These resources are divided into two categories that is Tangible Resources which are
physical in nature and can bee seen and touched. Another is Intangible Resources which can be
felt but can not be touched. There are some specific resources which “Pets Only” requires to for
launch and useful in future as well. A list of five resources is presented below inclusive of both
tangible and intangible.
RESOURCE DESCRIPTION
Tangible Resources
Workforce The employees and experts that are engaged in the firm and are going to
perform tasks in future as well are the major resources. As the
workforce is known as pillars of the organisation. At the time of launch
for instance, marketing team and experts are required for making
promotional plans, deliveries executives are needed to showcase the
potentials of the firm to offer whatever is needed by people by making
fast deliveries (Wannamakok and Chang, 2020).
Finances Money is the basic resource that business needs, at the time of launch as
well “Pets Only” will be requiring money for making arrangements that
are mandatory for setting up the business and for completing the actions
which are claimed.
Property The “Pets Only” is a retail store and for launching the store an
appropriate property is required. Moreover, there are other small fixed
assets which are needed too such as furniture, electrical goods and
many other. These properties will make the store to function properly
and enable staff to work.
Intangible Resource
Business idea for A new venture opening and launching is a regular activity that is being

Launch performed an entrepreneur. The ideas behind the venture is the
resource as it will make them stand aside and ahead in marketplace.
Therefore, a strong and potential business idea is a tangible resource
that is needed by “Pets Only” (Gloor and et. al., 2020).
Skill sets of staff The employees needs to be skilled and their expertise can not be
touched they can just be felt by their performances. This is another
intangible resource that is necessary for “Pets Only” for launching and
entering the market potentially.
P3 Produce a credible proposal to launch a new venture.
PROPOSAL FOR LAUNCHING A NEW PRODUCT
BASIS DESCRIPTION
Executive Summary A new venture is being launched with the purpose of aligning the
market and social trends with the needs of the individuals and with
offering a new innovative commodity to consumer's. The “Pets Only” is
entering the market with a unique offering for cats and dogs with
concerns about sustainability.
Problem The problem which is being solved is for those who care for
environment and are opting more organic and vegan options for
themselves. These people are offered the same for their pets in taking
care of their healths (Dzomonda and Fatoki, 2019).
Company
Description/ Product
Description
The new venture will be known as “Pets Only” a very different brand
for pets and their well being. The firm is opened for rendering food
products and related services for cats and dogs. The product offering is
food where ingredients used are all vegan and organic. Also, personal
care services are provided too where the food plans are customized
according to health of pets after proper check up's.
Time Planning Gantt Chart:

Price Plans The pricing plans of “Pets Only” are simple and affordable. The
company is planning to adopt price penetration strategy, initially
services and goods are charged at lower cost and eventually prices will
rise according to growth (Nuscheler, Engelen and Zahra, 2019).
Market and
Competition Analysis
The market is dynamic and fluctuating but on the same side number of
opportunities are available too for “Pets Only”. This renders a balance
to firm. On the other hand competition is also going to be fluctuating
between moderate and high as substitution rate is high.
TASK 2
P4 Assess the skills and capabilities required to launch a new venture and how they are acquired
or developed.
An entrepreneur works in several different roles for availing their aims and objectives,
once they act as marketer and the other time they act as managers and leaders. This implies that
there are number of skills required by an individual for becoming a successful and growth

entrepreneur. In the same, manner the entrepreneur of “Pets Only” also need to hold certain
abilities to offer the best quality products to consumers but before that for launching the brand
potentiality and effectively in the marketplace (Chen and et. al., 2020). Some of them are as
follows:
 Management and Leadership Skills are the fundamental and compulsory skills which
entrepreneurs require to develop for attaining higher level of staff performances.
Management is an art of making thing done in right way and right time and leadership is
a style of making people work with their will and potentials in creative manner. The
entrepreneur need to have both the abilities for entering into the market and successfully
running their operations. There are number of training programmes which are helpful in
acquiring and appropriate implementation.
 Risk Seeking and Bearing Skills, is one characteristic of leadership and referred as a
skill for entrepreneur (de Miranda Oliveira and et. al., 2019). If the entrepreneur wishes
to potentiality launch “Pets Only” it is necessary to take some risk and properly handle
them for growth and obtaining all goals. These risk bearing skill and attitude enable the
entrepreneur required confidence to make the firm a success.
 Effective Communication Skills, is another important and necessary ability which an
entrepreneur who is working in the marketplace and developing should have.
Communicate is a tool which allows people to exchange all information and messages
with one another. Effective communication skills allows entrepreneur to send and receive
credible information that enhances the value of messages. With potential communication
skills and channels entrepreneurs are supported with better leadership and management
actions performed while launching “Pets Only” and after it.
TASK 3
P5 Explain different promotional activities and channels that will support the launch and justify
their choice.
Marketing is a promotional action that is performed in order to renders all required
information to public and potential long term buyers in relation to goods and services offered.
“Pets Only” is a new retail store which is coming up in the market and for launch it is mandatory

that the brand is pre marketed for attracting people and their attention easily. The suggested
marketing tool is omni-channel marketing.
OMNI-CHANNEL MARKETING:
The channel is a cluster of eight potential ways of marketing that involved physical and
virtual sector both. The omni channel marketings eight streams are Social Media, Public
Relations, Content Marketing, Websites, Email Marketing, Digital Advertising, Affiliate
Marketing and Print ads and Catalogs.
Illustration 1: Omni-channel Marketing Strategy, 2019
(Source: Omni-channel Marketing Strategy, 2019)
From these some are useful for “Pets Only” and are mentioned below:
 Social Media- The world is evolving and with it technology is becoming revolutionary
too bringing new tools and solutions for many operational problems of businesses. Social
media is a contribution of technology to marketing. It is the most commonly used method
by businesses to market their goods rendering them accessibility to vast range of
customers and public. “Pets Only” will be placing its presence in virtual world through
social media and market the offerings (Favarel-Garrigues, 2019).
 Email Marketing- It is a marketing tool in which potential buyers and existing
consumers are directly contacted through mails for providing them information about any
new development or innovative offering is being placed in the market. In case of “Pets
Only” email marketing will be used to send mails to potential buyers for making them
inform about the new store opening and the goods offered along with the solution being
provided for the problems people were facing.

 Digital Advertising- Technology here as well plays a major role enabling in making
most attractive advertisements and with digital tools and graphical equipments. “Pets
Only” should be present in the market and TV advertisement are best tool to do so.
 Print ads and Catalogs- This is a physical tool of marketing in which posters will be
stuck on different place which are attractive and eye catching. These poster with
graphical pictures bring attraction of people and enable them to remember the brand with
eye catchy colours and images used (Li and et. al., 2019).
P6 Develop an appropriate promotional activity plan for both launch and pre-launch.
MARKETING MIX:
This a marketing tool which has seven elements used for developing a professional and
evident marketing plan for the firm in order to market the new or old offerings. The entrepreneur
of “Pets Only” is using this tool for making promotional plan by in depth evaluation of every
related aspects of market and public.
7P's OF
MARKETING
DESCRIPTION
Product The product of “Pets Only”is organic and vegan food items for cats and
dogs. The store will be open from Monday to Friday and on weekends
deliveries will be made to online purchase orders. Another service
offering is a proper daily food chart customized for the respective
animal by professionals or experts.
Price The pricing strategy adopted is of price penetration according to which
“Pets Only” will offer their goods in lower prices in the beginning and
with passage of time and success of company prices will be frequently
evaluated and reconsidered in period of time (Lekovic, Vojinovic and
Milutinović, 2020).
Place The distribution channels which “Pets Only” will adopt are both
physical and online. That is company is available in both panels and
customers can make purchase form online and offline mediums.
Promotion The promotional plans will be developed for which Omni-channel
Marketing phenomena will be used. Social media, digital

advertisements and Print media is opted for making promotions and
attracting people towards the offerings of the brand and keep them
engaged with the firm for longer period.
People Employees, personnels, workforce, workers etc. are the names used for
addressing the people of company. The required people in “Pets Only”
is the delivery executives, professional expert in animal health and food
sector and other major employee’s. The company needs engagement of
experts and professional with utmost knowledge and skills who will
make the firm a success and run smoothly.
Process The processes involved in “Pets Only” are through online and offline
methods. Technology is a potential tool which will enable “Pets Only”
in making its processes efficient (Lin and Nestarcova, 2019).
Physical Evidence The physical retail store and marketing ads will be the most basic proff
of existence of “Pets Only”. As well as other factors such as its logo
and linked marketing strategies will also work as proof of its presence
in market.
TASK 4
P7 Produce an itemised monthly cash budget for the pre-launch phase of the venture and the first
12–18 months preceding launch.
PRE-LAUNCH CASH BUDGET:
Pre launch cash budget
Cash Flow budget
Particulars Jan Feb Mar Apr May June
Cash Inflows
Investment 8000
Credit sales 2000 3000 3000 4500 1500 3500
Total Inflows 10000 3000 3000 4500 1500 3500
Cash outflows
Fixed : Equipment’s 2000 2500 1500 2000 1200 1500

Variable : Direct
material 300 300 200 300 150 500
Total Outflows 2300 2800 1700 2300 1350 2000
Net cash flow 7700 200 1300 2200 150 1500
Opening balance 0 7700 7900 9200 11400 11500
Closing balance 7700 7900 9200 11400 11550 13000
Particulars July August
Septembe
r October
Novembe
r
Decembe
r
Cash Inflows
Investment
Credit sales 4200 1000 2000 800 1200 1500
Total inflows 4200 1000 2000 800 1200 1500
Cash Outflows
Fixed : Equipment’s 800 200 300 100 600 300
Variable : Direct
material 300 400 500 100 100 400
Total outflows 1100 600 800 200 700 700
Net cash flow 3100 400 1200 600 500 800
Opening balance 13000 16100 16500 17700 18300 18800
Closing balance 16100 16500 17700 18300 18800 19600
POST-LAUNCH CASH BUDGET:
Particulars Jan Feb Mar Apr May June
Cash Inflows
Investment 8000
Credit sales 1200 2000 7500 3000 5000 6500

Total inflows 9200 2000 7500 3000 5000 6500
Cash Outflows
Fixed : Equipment’s 2500 1200 1500 2500 1100 1500
Variable : Direct
material 350 300 250 150 100 500
Total Outflows 2850 1500 1750 2650 1200 2000
Net cash flow 6350 500 5750 350 3800 4500
Opening balance 0 6350 5850 11600 11950 15750
Closing balance 6350 5850 11600 11950 15750 20250
Particulars July August
Septembe
r October
Novembe
r
Decembe
r
Cash Inflows
Investment
Credit sales 1200 3200 1500 8200 1250 3210
Total inflows 1200 3200 1500 8200 1250 3210
Cash Outflows
Fixed : Equipment’s 1200 600 500 500 1200 700
Variable : Direct
material 500 250 450 250 1300 500
Total Outflows 1700 850 950 750 2500 1200
Net cash flow -500 2350 550 7450 -1250 2010
Opening balance 20250 19750 22100 22650 30100 28850
Closing balance 19750 22100 22650 30100 28850 30860

P8 Suggest an appropriate legal form for the venture stating why it has been chosen.
Business is a wide term which incorporates multiple types and forms of operations with
different sizes and scopes. In order to manage these number of businesses with variable business
sizes some are small some are enormous, government have made rules and regulations. These
renders a legal structure to different types of businesses according to their scope and nature.
Some of the legal structures are as follows:
 Sole Traders are the business owners who on their own develops their business and
manage them independently. The sole trader can also known as an entrepreneur who
enjoys all the profits form functions and also bear all risks (Barrios, Hochberg and Yi,
2020).
 Partnership is a legal structure of business in which two or more parties are involved
make their business work together. In a partnership a agreement is made in which capital
sharing ratios of partners are mentioned according to which profits and losses are divided.
Also, there are multiple types of partners which is also mentioned in the business.
For “Pets Only” the legal structure which is best suited is Sole Trader which is also
known as Sole Proprietor. A entrepreneur enters the market with new offering like “Pets Only”
it is best for the firm to opt for sole traders as the decision-making authority will be in hands of
entrepreneurs. As well as the profits are enjoyed independently but risks are borne by the
entrepreneur entirely. The entrepreneur will be making all decisions and make the best use of
their skills to make firm a success and a leading brand. Also, if sole trader wish to then they can
convert their business into partnership or a joint venture or any other business type whenever
required and feel the needs to make changes. Thus, for “Pets Only” sole proprietorship is the best
form of legal structure according to current scenario.
SWOT ANALYSIS:
Strengths Weaknesses

 Sole proprietorship is a legal structure
offering full independence to the
entrepreneur. The decision-making
power and other related authorities are
in hand of the sole trader (Fatma and et.
al., 2020).
 The weakness of the option is lack of
creativity and productiveness. As after
a particular period of time individual
lose their creative thinking approach
and work with same old ways.
Opportunities Threats
 They have the opportunity to make any
changes in their business according to
their will without consulting or being
liable to others.
 A major threat is of risk and losses
which the entrepreneur or the sole
trader has to bear by themselves.
Sometimes major losses or risk may
lead to closure of business.
CONCLUSION
The above report concludes the need for entrepreneurs to develop effective business plans
showcasing their unique idea before launching in the market for holding a airtight and potential
operative ideas and actions outlined. In the report a business plan is developing with step-by-step
covering all required aspects pre and post launch. The market analysis is conducted, budgets are
developed and potentials are showcased for rendering an idea and clarity to investors about their
investment being used in a potential idea or not.

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