Launching a New Venture: Mr. Happy's Cafe

This report discusses the process of launching a new venture with Mr. Happy's Cafe in London. It covers target market analysis, competitive analysis, identification of resources, skills and capabilities needed, and promotional activities.

Unit 28 - Launching a New
Venture
Table of Contents

Introduction......................................................................................................................................3
P1 Elucidate new venture and determine precise target markets as well as carry out
competitive analysis...............................................................................................................3
P2 Identification of tangible & intangible resources needed by Mr. Happy’s Cafe to launching
new venture............................................................................................................................4
P3 Construct credible proposal for launch of new venture....................................................6
P4 Assess skills and capabilities needed to launch a new venture along with how individual
can develop it..........................................................................................................................7
P5 Distinct promotional activities as well as channels that supports launch of venture........8
P6 Formulate adequate promotional activity plan for launch as well as pre launch of new
venture....................................................................................................................................9
P7 Furnish itemised monthly cash budget to pre-launch phase of venture and initial 12-18
months preceding launch for venture...................................................................................11
P8 Recommend legal form for venture................................................................................13
Conclusion.....................................................................................................................................14
References......................................................................................................................................15

Introduction
At present scenario, individuals are looking forward to have their own businesses within
any industry and for this they carry out research as well as analysis of market for identification of
appropriate sector. This will enable individuals to feel confident, independent and engender
employment options to others (Adcock and et. al, 2020). Person can launch new venture wither
in international or domestic markets with rationale to have their own enterprise for satisfaction as
well as attainment of requirements of customers. In this, report a new venture named Mr.
Happy’s Cafe will be launched in market of London. This report provides target and competitive
analysis along with chosen resources. Furthermore, certain skills as well as capabilities that are
needed within cafe as well as ways in which they can be developed will be illustrated. It also
involves details related with promotional and budget activities.
P1 Elucidate new venture and determine precise target markets as well as carry out competitive
analysis
Mr. Happy’s Cafe is new venture within food & beverage industry that will be launched
in market of London. They will be offering quality along with wide range of variety like
flavoured coffee, espresso, fresh baked breakfast, hot chocolates, continental dishes and many
others. There are several services that are liable for attracting wide range of customers towards
Mr. Happy’s Cafe like establishment of small library for book lovers in which they can place
multiple novels, have a space for indoor games for adults and children are some instances but
there many more (Bujor and Avasilcai, 2016). In addition to this Mr. Happy’s also plans to have
some programmes like poetry, singing, etc. so that they can make people aware about what is
being offered by them and they exist within market. This is a small business with less than 50
employees. In UK there are many small businesses but makes a huge contribution within
economy of country.
Business associate of business, carry out assessment along with scrutiny of market
according to which launch of cafe is planned by identification of desired and probable customers.
After identifying probable consumers managers of Mr Happy’s formulate plan as well as develop
strategies for attracting them in efficient way and for this accordingly promotional strategies will
be formulated for targeting their audiences (Crawford, 2016). There are essential entities which

have to be evaluated as they will enable them to attain their targets and goals within best possible
way. They are specified below:
Identification of peculiar target market: Target market denotes identification of group of
consumers from focus market in which firm is going to render their services. Determination of
target market will aid organisation within identifying group of people who have identical
features like gender, preferences, taste, lifestyle, income, etc. Before launching business in
London, analysis is being conducted of target market (Jäger, Symmes and Cardoza, 2020). This
will enable Mr. Happy’s Cafe within identification of target audiences. Target market is males
and females who are book lovers, people who belong to middle & high income group, children
and anyone up to age of 45 years who like spend time in cafe as well as read books. Along with
this, focus will also be laid on business class people who have to carry out discussion or meeting
and need a space. When firm make analysis they can identify culture of London and can
accordingly formulate their strategies.
Analysis of competitors: Competitive analysis is crucial portion within formulation of
plans for businesses. With respect to this, firm will identify their competitors along with
evaluation of strategies and plans for identification of strengths as well as weaknesses associated
with services and products offered by them. This analysis will enable organisation to compare
their affirmatives and pessimistic along with identification of threats & opportunities and
accordingly formulate strategies for being successful within the market (Khan and Arbi, 2020).
Mr. Happy’s Cafe can carry out competitive analysis before they launch business in London to
acknowledge their customers and identify their competitors. In London, there are many coffee
cafes which imply that competition will be high. This will enable them to execute their
operations in market in an efficacious way.
P2 Identification of tangible & intangible resources needed by Mr. Happy’s Cafe to launching
new venture
Various aspects are crucial for establishment as well as execution of business some of
these are intangible that can be only felt by providers and customers. Along with this tangible
aspects are customers. Venture need to maintain as well as develop both their resources as both
are equally essential for retaining as well as attracting customers (Lekovic, Vojinovic and
Milutinović, 2020). This is liability of management for carrying out regular analysis along with

research through which update as well as innovation of resources is carried out on regular basis
for captivating more customers. When person is looking forward to new venture then it is crucial
that all the resources are identified that are needed for executing business in an effectual way.
Thus, management of Mr Happy’s Cafe have to analyse both tangible as well as intangible
resources for developing as well as running their business in an effectual way.
Tangible resources: They are those assets which exist in physical form and this
comprises of both currents assets like copyrights, inventory, patents, etc. and machinery,
building, table, land, etc are fixed possessions (Mazzarol and Reboud, 2020). Tangible resources
aids firm within establishment as showcase themselves in front of others. For Mr Happy’s Cafe
tangible resources will aid them to convince and captivate people to spend on their offerings.
This involves three major aspects, they are: Human Resource: It will aid them within accomplishment of their goals as well as
objectives by acquisition of adequate workforce who will lead Mr Happy’s Cafe to
accomplish their goals. Human implies both customers and employees. Financial Resource: This will aid firm to ensure that all their operations are carried out
in efficient way. Through this, Mr Happy’s Cafe can enhance their operations in
international markets.
 Physical: These are associated with staff, high quality espresso machines, building,
refrigeration system, books, coffee grinders, toasters, luxury sofa, various other elements
or devices for cooking and many others.
Intangible resources: They involves those entities which are not in a physical form but
comprises of patent rights, leasehold interests, trademarks, goodwill, services offered by firm,
environment, quality of offerings, etc (Moorman and Day, 2016). As they are denoted by term
intangible, this implies that they cannot be touched by anyone but can be felt. They are
responsible for attracting customers by providing enhanced quality, creating brand awareness,
having impelling environment and many others. For Mr Happy’s Cafe intangible aspect is their
locality or surroundings in which cafe is situated, innovative services, etc for captivating
customers.

P3 Construct credible proposal for launch of new venture
When a person has decided to start a business they need to carry out adequate analysis
and assessment of market for analysing market and target audience. If research is carried out in
appropriate way then result attained will be affirmative and they can also identify opportunities
for attracting investors and clients (Morris and Kuratko, 2020). The proposal for Mr Happy’s
Cafe has been designed below:
Executive Summary Mr Happy’s Cafe is establishing their venture in London, UK for
offering quality services. This report will cover analysis along with
evaluation of target market, competitive analysis and resources. It will
also analyse skills & capabilities that are required within employees of
cafe and ways to develop them. Furthermore, budget and promotional
activities will be formulated. Marketing strategies are conducted for
evaluation & designing marketing strategies.
Company Description Mr Happy’s Cafe is new venture that will launch in London. They
offer various products like iced coffees, espresso, flavoured coffee,
continental dishes and various others. There exists number of services
for attracting customers such as establishment of library, space for
indoor games, etc. Different events are also organised by them
(Nguyen, 2020).
Market Analysis Mr Happy’s Cafe carries out market analysis that will enable them to
determine target audience and formulate strategies through which
profitability can be enhanced. For this they can conduct PESTLE &
SWOT analysis for conducting market analysis in adequate manner.
This involves micro and macro environments for respective firm in
efficacious way. The rationale behind this is that it will enable firm to
acknowledge market and their potential customers for captivating
more audiences (Sallah and Caesar, 2020).
Marketing Strategy Mr Happy’s Cafe can frame their business plan by formulating overall
business plan. This will enable them within identification of customers

and clients for carrying out marketing in enhanced manner. Through
development of marketing strategies customers can be attracted by
carrying out promotional activities for attainment of their goals.
Financial Status Here, financial status of firm is crucial to launch new venture within
any country. Mr Happy’s Cafe has done financial analysis before
launch of cafe in London by evaluation of factors like viability and
financial position to understand economical situations (Tuten and
Solomon, 2017). If their status is not good then they can borrow
money from distinct sources like financial institutes, banks, etc. Mr
Happy’s Cafe needs to have $10,000 funds to launch new venture in
London.
P4 Assess skills and capabilities needed to launch a new venture along with how individual can
develop it
When individual plans for launching new business they need to have various capabilities
and skills for doing this. When Mr. Happy’s Cafe is looking forward to start their business, they
need to possess certain skills and capabilities, they are mentioned below:
Skills:
Marketing Skills: When person is launching their venture it is essential to possess basic
as well as core skills for attracting target audiences and market in an efficacious way. This is
crucial for Mr. Happy’s Cafe to possess adequate marketing skills as it will assist them within
market segmentation, positioning of services, targeting customers, and evaluation of customer
behaviour, brand management and many other aspects (Adcock and et. al, 2020). For developing
marketing skills effectual analysis have to be conducted and then formulate design plans
accordingly. In order to do so, they can attend classes for marketing and have adequate
suggestions from experts.
Public speaking skills: If individual need to succeed within business they need to possess
outgoing skills, positive attitude, develop interest in communication with people, public speaking
skills, so on. It is necessary for individual who is looking forward to have new venture needs to
have skill to interact with public as well as be comfortable when they are being addressed as it

plays crucial role within attracting customers (Bujor and Avasilcai, 2016). It is essential for
owner of Mr. Happy’s Cafe to have public speaking quality by which individuals can be
convinced in an appropriate way. For this they can connect with more people, avoid same
conversation with same people, tell stories, understand topic, and make peculiar messages, etc.
Capability:
Identification of strengths & weaknesses: Owner of business must have capability for
understanding their potency as well as flaws within themselves as well as company by which
they can design strategies as well as plans in an adequate way (Crawford, 2016). This aspect will
aid them to formulate decisions through which adequate profitability can be acquired as well as
growth. For development of strengths, founder can have proposition from experts and carry out
research with respect to strengths as well as weakness by having relevant guidance.
P5 Distinct promotional activities as well as channels that supports launch of venture
When business owner have established new venture they need to emphasise on selection of
relevant promotional channels and activities as it has critical role for attracting as well as
reaching their customers. There exist endless options for promotional channels for founder of
business but this is their duty to choose adequate for their business. The reason behind this is that
it will enable them to capture huge crowd towards their offerings. There are number of channels,
some of them are specified below:
Social Media Contests: With digitalisation, huge population is on social media like
Instagram, snap-chat, Facebook, LinkedIn and various others. Social media marketing aids firm
within captivating as well as reaching huge portion of crowd in an effectual way (Jäger, Symmes
and Cardoza, 2020). Thus, Mr. Happy’s Cafe must make use of social media for conducting their
promotional activities that will aid them within reaching huge audience. This is time effective as
well as inexpensive process for promoting cafe. This will aid them to advertise their assets to
customers in an effectual way.
Websites promotions: Before customers goes for buying any product they look into
service providers then check out their website to analyse their profile. Effectual website
comprises of all critical data related with company’s profile their offerings, address, articles and
blogs related with them and many other. Thus, owner of Mr. Happy’s Cafe needs to develop as
well as design efficacious website for their venture that comprises all the information which

individuals look forward for (Khan and Arbi, 2020). Like, they can have unique logo in their
website for captivating customers.
Illustration 1: Logo of Mr Happy's Cafe
Furthermore, it must be updated on continuous manner and it has to be innovated which
will catch eyes of their potential customers.
Print material promotion: When individual launch their own venture then it is necessary
to promote it so that people are aware about them. It can be done by making use of print media
like fliers, newspapers, posters, giveaways, brochures and many more. This can be expensive
media and sometimes may be wasteful. Thus, it is liability of owner for printing small number of
posters with striking images and content. This will lead firm to reach people of different ages at
enhanced number (Lekovic, Vojinovic and Milutinović, 2020). Therefore, owner of Mr. Happy’s
Cafe need to chose adequate print media through which they can have enhanced profit, growth
by which they can captivate enhanced number of people.
Pricing Strategy: Mr. Happy’s Cafe carry out evaluation along with formulate pricing
strategies accordingly to launch their venture in London. After analysis has been done they chose
premium pricing strategy that is efficacious for new venture. Here, they will formulate prices for
their services by taking into consideration pricing strategies of competitive presents within the
market.
P6 Formulate adequate promotional activity plan for launch as well as pre launch of new venture
When individual plans for launching new venture they need to plan strategies as well as
process as per situation that is pre-launching time as well as launching of plan that will aid them

within conducting as well as running their business smoothly. With respect to this, owner
formulates a design strategy that begins form market along with product analysis for execution of
peculiar strategies (Mazzarol and Reboud, 2020). Administration of Mr. Happy’s Cafe needs to
design adequate plans for enhancing business profitability, they are specified beneath:
Pre-launch process:-
 Market Analysis: With respect to this owner of new venture conducts market analysis of
identifying market along with their audiences as per services offered by them. This
process is qualitative as well as quantitative that can be used for conducting research as
well as evaluating market. Administration of Mr. Happy’s Cafe carries out market
analysis that enables them to their market and audiences. Through this they can
formulate strategies through which overall profitability can be increased.
 Product design and positioning: After target audiences have been administered for
design as well as development of services which are being offered to audiences
(Moorman and Day, 2016). With respect to this they can decide how they will position
their offerings so that they can captivate customers and impel them to spend on their
services. Mr. Happy’s Cafe strategies as well as plan to develop services for audiences
like healthy breakfast, playing zone, coffee and various others. It will aid them to
effectively display services for convincing them.
 Design promotional activities: As per this, administration of firm formulates design
plans for making strategies related with brand development as well as promotional
activities. Owner of firm can opt for adequate promotional activities from distinct media
that directly aids them within enhancing overall brand awareness as well as goodwill
(Morris and Kuratko, 2020). Administration of Mr. Happy’s Cafe can opt for adequate
promotional activity through which their brand awareness will be enhanced. This will
enable them within creation of brand awareness within market and reach ample number
of audiences by utilising print media. Implementation: After carrying out above steps, individual can execute strategies along
with plans in an effectual way. Mr. Happy’s Cafe can choose adequate strategies through
which they can attain their objectives and goals in an effectual way.
Launch process:

 Product analysis: After carrying out pre-launch process business owner conduct product
analysis in which they will evaluate their offerings with reference to services liked by
their customers. In addition to this, they will also identify what offerings met complete
expectations of customers. Administration of Mr. Happy’s Cafe conducts product
analysis to acknowledge whether their services satisfied their target audiences in an
effectual way.
 Evaluate responses: Within this stage, target audience will be analysed as well as
evaluated by venture as it will aid them to formulate plans and establish new strategies
per needs (Nguyen, 2020). Mr. Happy’s Cafe can have feedback from customers to
evaluate response given by them and accordingly they can have innovative strategies.
 Conduct modification: After evaluation has been done, administration of firm plan
strategies and accordingly carry out modifications along with innovations that will aid
venture to acknowledge requirements of customers in effectual way. Owner of Mr.
Happy’s Cafe can alter their plans and strategies as per feedback attained.
 Execution: Here, administration of Mr. Happy’s Cafe will implement strategies that they
have designed from response attained from audiences. It will aid them within
accomplishment of requirements of customers in an impelling way.
P7 Furnish itemised monthly cash budget to pre-launch phase of venture and initial 12-18
months preceding launch for venture
Pre-launch Cash Budget ($):

Post-launch Cash Budget ($):

The cash budget has been illustrated above and it can be said at this moment it will be
suitable to have a new venture. The reason behind this is that, cash outlay as well as inflow
illustrates condition for firm’s liquidity in adequate manner (Sallah and Caesar, 2020). Cash
budget with respect to both aspects is compared and it has been identified it seems apt to launch
a new venture.
P8 Recommend legal form for venture
Legal Structure: When individual have decided to launch new venture it is essential to
acknowledge legal structure which they will using. This is also denoted by form of business or
ownership structure. This can be of different kinds like partnership, non-profit, sole
proprietorship and co-operative. Some of them have specified below:
 Partnership: It is kind of agreement which occurs among two or more parties who come
together within a legal manner for operating as well as managing business. In partnership,
partners will share liabilities and profits equally.
 Sole Proprietorship: This is also referred to as individual or sole entrepreneurship. This
implies a enterprise who executes their operations independently or a single person
handles everything by themselves (Tuten and Solomon, 2017). There is no difference
among business entity and firm.

The legal structure that is opted by Mr. Happy’s Cafe is sole proprietorship as in this
owner will be solely responsible for all the profit and liabilities. Along with this, all the decisions
and strategies will be formulated by them.
Conclusion
Form the above mention it can be concluded that launching new venture is not an easy
task, owner need to carry out market analysis and evaluate each and every aspect associated with
this to acknowledge their market and target audiences. There exist different resources in terms of
tangible and intangible aspects that are crucial to launch business in efficacious way. For this,
owner needs to have adequate skills and capabilities through which they can understand
requirements of business and accordingly formulate business plan for captivating customers.
New venture needs adequate support and promotional activities by which people can
acknowledge services which are being delivered to them. Cash budget illustrates liquidity
positioning of business that is required for attracting stakeholders as without them venture cannot
exist.

References
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