Launching a New Venture

This report discusses the various aspects of launching a new business venture, including target market, competitive analysis, resources analysis, proposal, required skills and capabilities, promotional activities, and budget. The report also provides insights into the retail sector and the strategies that can be used to gain a competitive advantage.

LAUNCHING A NEW
VENTURE

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
New business venture..................................................................................................................3
Resources analysis of company...................................................................................................5
Proposal.......................................................................................................................................5
Required skills and capabilities...................................................................................................7
Promotional activities and channels............................................................................................9
Plan for both launch and pre-launch..........................................................................................10
Budget........................................................................................................................................12
Selection of legal form for the venture......................................................................................13
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
New venture is all about converting an idea into a successful business organisation. In
this report different aspects related to new business venture will be discussed. Detail about the
products and services of the new business venture will be discussed in this report. Target market
for the new business venture will discuss in this report. Competitive analysis will also be a part
of this report related to new business venture. Different resources such as tangible and intangible
resources will discuss in this report. Business proposal will discuss for new business venture in
this report. Skills required to achieve the success in the new business venture will also discuss in
this report. Different promotional activates will be discuss to promote the products of new
business venture. Budget will also discuss in this report for both pre-launch and post launch
period.
MAIN BODY
New business venture
The Romanian Shop is a retail sector organisation. This is a new business venture impart
its services for trading in retail sector market. Company will offer wide range of retail products
such as clothing line, home products and food products.
Target market
Target market for the new venture will be retail sector in online and offline mode of
business. Company will engage in selling its products in both the medium online and offline.
Online mode will allow company to make strategic alliance with e-commerce websites and
various online traders (Prashantham and Floyd, 2019). Target market of the company will be the
retail market of United Kingdom. This is a new business venture. Company will try to provide
the best retail products at the best prices.
Competitive analysis
In order to conduct the business operations company will require to compete with
different brands like Marks and Spencer, Asda Company and various other brands associated

with the business in retail sector. Company will also sale its products over internet. Online e-
commerce companies will also be a part of the potential customer base.
Porter generic strategies
This strategic model will allow company to take competitive advantages in the market.
This involve strategies like cost leadership, differentiation and focus leadership.
Cost leadership: This is a strategic tactic that allows company to sale its products at less than
the average prices of products in market (Dhar, 2018). This is an effective strategic model
support new ventures and existing customers to attract new customers in marjet. This strategy
will drive new business venture to sale products less than the market prices.
Differentiation: This strategic model allows company to make a unique brand image in market.
In this strategy company will create a unique brand image in market. Differentiation alos drives
company to entertain the high income group customer base in market.
Focus leadership: This is another aspect of the model in which on the basis of the target
customer base of company cost strategy or differentiation strategy is channelizes by company.
The Romanian Shop is a new business venture so the company can go for cost leadership
approach to establish a market presence.
SWOT Analysis
Strength of company
 Diversified product range.
 Low cost products.
Weakness
 Less experience.
 Few resources
Opportunity
 Product development

 Market development
Threat
 Market competition
Porter five forces
This is a competitive analysis model. This involves different forces that put an impact
over the business of company.
Competition in industry (High): This force is high for the business. Retail sector is associated
with immense growth and market demand. Due to effective and aggressive level of market
competition this force is high for the The Romanian Shop.
Potential of new entrants (High): As the retail sector serves high level of competition the
potential of new entrant is also high. This force is high for the The Romanian Shop.
Power of supplier (High): The Romanian Shop is a new business venture. In case of new
businesses the profitability percentage for thee suppliers is also limited. This force is also high
for the new business venture.
Threat of substitute product (Medium): The retail sector is less innovative. Due to less
innovation in the sector this force is medium in nature.
Resources analysis of company
Tangible resource: Tangible resource are such resources that can be touched and physically
experienced by the management (Metallo and et.al., 2020). Employees, machineries and other
resources are a part of tangible resources of company.
Intangible resources: This is a resource that cant’s be touched but can experience by the
management. Resources like goodwill, brand value is a part of intangible nature resources.
The above-mentioned resources are among the key resources of the company.

Proposal
Introduction: The Romanian shop is basically ka retail business which will be established within
the London, UK. Top-level management of this new venture has decided to use modern business
strategies and tactics in its initial stage of market, in which this is very productive thing to this
company, because no any new business can easily survive in the modern and highly competitive
world. In this situation, if owner of Romanian shop will use modern business strategies, then it
will definitely gain excellent competitive advantage within UK’s retail market. It has decided to
conduct a lunching event also on opening day of this venture in its location for aware near people
about this business.
Purpose of event: The main purpose of event is to boost sale ratio of this business in its initial
stage. Another purpose of event is to attract large number of customers towards own brand in the
beginning of the business (Antonopoulou, Nandhakumar and Henfridsson, 2016). With the
support of this event, the owner of venture will able to take decision also in the terms of making
excellent customers’ relations.
Target audience: The target audience and target customers of Romanian shop are people who
comes from 15 to 45 year. Of course, business will make strategies from positively influencing
people from rest age groups. On the other side, there are venture will target people of all income-
groups, like; low, medium and high etc. Reason is, the Romanian shop is a retail firm, and most
people can easily afford products and services which can has offered by a retail business.
Publicity: The publicity is very necessary for this business in its initial stage, otherwise, existing
management of this business will be not succeeded in gaini8ng effective return in the market. In
this situation, venture should boost its marketing functions for achieving great publicity within
the selected market place. With the support of publicity, the Romanian shop will be enabled to
attract many of people towards own retail brand.
Program for the event: The management of this venture will be required to a marketing team of
many effective employees or markers (Wada, 2019). Basically, this team of marketing will be
gone within various market segment for informing about this newly established business. This
team will conduct different marketing programs which can positively affect to this new venture.

Venue: The venue of this business its place of establishment named; London, United Kingdom.
Basically, the Romanian shop will be situated in London, UK, so that people will welcome here
for buying retail products and services which they want to buy.
Required skills and capabilities
The owner of Romanian should have different skills and abilities for gaining excellent
profit within the market after venture launching. There are key skills and capabilities has been
mentioned below which owner of this business needs to be developed. Some approaches of
development also have been included below which can support to owner for developing its skills
and capabilities.
SKILLS
Marketing skills: Owner at Romanian shop should have skills of marketing, because these skills
enable for effectively promoting own brand within different market segments (Butler and
Cadenhead, 2016). Basically, marketing skills highly contributes in attracting thousands of
people towards own brand.
Accounting skills: Accounting skills also plays an excellent role in the terms of managing all
financial transactions in very effective management. With the support of these skills, owner
enable to systematically manage its cash inflow and outflow.
Problem solving skills: Problem-solving skills also plays very appropriate role in solving
different problems and difficulties in the workplace. A business faces different challenges and
problems in its daily operations, in which this is very common thing. That’s why owner of
Romanian shop should have well-developed problem-solving skills.
IT skills: Skills of information technology are required within a venture owner, because a
venture has highly need adopt and implement many of technological machineries and tools
within its workplace. So that, if owner of this new venture has IT skills, then it will able to take
great advantages through modern technology.
Teamwork skills: Teamwork skills will enable to owner of Romanian shop for making its
teamwork too much effective. Basically, an effective teamwork always highly contributes in

achieving organizational targets on time, so that with the support of teamwork skills owner
enable to achieve its various targets on time.
Presentation skills: Romanian shop should have well-developed presentation skills as well
(Evansluong and Ramírez-Pasillas, 2019). These skills help to owner for systematically present
its any plan to its different stakeholders, like; employees, investors, customers etc.
CAPABILITIES
Stretching capabilities: Owner at Romanian shop need to develop stretching capabilities,
because with the support of these capabilities, owner can easily maintain an ethical environment
within its workplace. Stretching capabilities promotes equality and diversification also in the
workplace. So that, this owner should develop these capabilities.
Adding and changing capabilities: Adding and changing capabilities also give opportunity to
owner of this business for systematically implementing any change within the workplace. This is
then main reason that, owner should develop theses capabilities.
Entrepreneurial bricolage: Entrepreneurial bricolage capabilities will enable to Romanian
shop’s owner to create something new by nothing. These capabilities generally promote
innovation and creativity within the workplace, that’s why owner should has developed
entrepreneurial bricolage.
Ceasing activities: Romanian shop’s owner should have capable for ceasing different business
activities in smooth manner, otherwise its business environment can be negatively affected
(Brahma and Tripathi, 2018). This is the main reason that, owner should develop these
capabilities as well.
These all are some key skills and capabilities which can owner of Romanian should adopt
in its personal life to gain very appropriate results within the market. There are some
development approaches has been included below which can contribute in developing these all
skills and capabilities.
Methods/approaches of development
Training at college/university

Training at college/university is one of the best approaches of skills and capabilities
development, so that owner of this business needs to take admissions in a business college or
university for perfectly developing these all skills and capabilities.
Mentorship
Mentorship is another very appropriate method of skills and capabilities development, so
anyone can take lots of advantages through this method. In the case of Romanian’s owner, it
should try this method also for developing its various skills and capabilities.
On-the-job training
On the job training is the most favorable approach of development to owner of this new
venture, because this approach will enable to owner for developing its skills and capabilities on
the existing job of a new venture.
Workshops and seminars
Romanian shop’s owner needs to attend or participate in different skill development
workshops and seminars (Deligianni and et.al., 2019). This method of development also very
favorable in the terms of skills and capabilities development.
Recruit new employees with the skills
The Romanian shop should be focused on hiring those people within its business
environment who already has many of well-developed skills and capabilities. By hiring these
types of employees, Romanian business will be able to achieve an effective workforce in its
workplace.
According to owner of Romanian shop, it has required time period of maximum six
months for fully developing its various skills and capabilities. Basically, it has decided to make
and follow a PDP (personal development plan) for skills and capabilities development. It has
required to invest £1200 for successfully conducting its whole development process.
Promotional activities and channels
Owner of this new venture will be required to conduct different promotional activities
and channels for effectively promoting its products and services within the selected market

segment (Girgenti and et.al., 2016). There are some promotional activities and channels has been
discussed below which Romanian shop should necessarily adopt.
Sales promotion: This the first activity to the shop where marketing team of this company has
required to conduct different marketing strategies for increasing its sales in its initial stage.
 Advantage: Increases sales ratio
 Disadvantage: Costly
Merchandising: Merchandising is another appropriate activity where Romanian shop will
require to sale its product through using merchandise mode of promotion.
 Advantage: Convince customers for buying products
 Disadvantage: Not much effective
Personal selling: Personal selling is also too excellent activity that can contribute in increasing
Romanian shop’ ratio of sales in its initial stage. By conducting personal selling activity, owner
will able to personally interact with different customers.
 Advantage: Build excellent customers’ relations
 Disadvantage: Not favorable to attract wide range of customers
Exhibitions: Owner of Romanian shop can organize an exhibition also which will attract lots of
new customers or people towards its own brand.
 Advantage: Attracts many of new customers
 Disadvantage: Conducting process is something hard
Advertising: Advertising is one of the best of promotion that Romanian shop should adopt to
effectively promote its brand within the UK’s retail market.
 Advantage: The best way of marketing
 Disadvantage: Very costly
Sponsorship and public relations: The shop need to sponsor different events and program its
many of cities and towns for promoting own products and services (Guerrero and Peña-

Legazkue, 2019). On the other side, venture’s marketing team should personally meet with
different people for building great public relations.
 Advantage: Positively affect to customers
 Disadvantage: attracts towards brand to only selected people
Plan for both launch and pre-launch
Plan for launch
The owner of this venture needs to use these all promotional activities and channels for
effectively promoting own brand within the UK’s retail industry. There are advertising and sales
promotion activities will definitely give contribution in attracting large customer base in initial
stage. Currently many of other business also has taken many of advantages through these
promotional actitvities and channel, in which these will positively affect to Romanian shop as
well. While launching and after launching this new venture, owner should ensure that, it’s all
promotional activities and channels are going well or not, because it is necessary to achieve
excellent outcomes in in initial stage (Mortara and Parisot, 2018). The advertising activity of
promotion influence maximum number of customers within the market. However, this is very
costly for any business.
Plan for pre-launch
While pre-launching time period of venture, marketing team of Romanian shop should
have used advertising and sponsorship activities of promotion. By conducting advertising
activity, this team enable to aware many of people about its new venture launching. On the other
side, sponsorship channel of promotion will able to this new venture for taking great attention of
lots of people within the market. However, with the support of sponsorship venture not able
attract some selected people towards own brand.
A Gantt chart has been attached below which shows key aspects of both launch and pre-launch
promotional plan.
Gantt chart

Budget
There are budget has ready for Romanian shop for its both time periods, pre-launch and
after launch (Rastkhiz and et.al., 2019).
Pre-launch budget
Particular Amount (in £)
Research 300
Material purchase 1200
Production 550
Salary and wages 800
Traveling 200
Marketing 400
Total 3450
The owner has required to invest total amount of £3450 in its pre-launching time period
of venture.
Budget for 12-18 months
(Amount in £)
Particular Quarter 1 Quarter 2 Quarter 3 Quarter 4 Quarter 5 Quarter 6

Research 150 100 400 180 120 350
Material purchase 1500 1300 1650 1900 1500 1100
Production 600 550 400 750 350 500
Salary and wages 850 850 700 900 750 800
Transportation 300 350 200 400 250 320
Consultancy fee 100 120 150 80 180 200
Marketing 600 650 650 700 850 900
Total 4100 3920 4150 4910 4350 4170
Romanian shop’s owner has required to invest total amount of £25600 in 12 to 18 months
after launching of this venture.
Selection of legal form for the venture
Owner has registered its new venture Romanian shop as a sole trader. According to
owner of this venture, this legal form of the business can give chance to it for gaining excellent
profit within the market, because as a sole trader it will have opportunity to take own decision.
This is basically a very big benefit of this form of business or venture that, a sole trader can
easily take decision on basis of itself. Sole trader has no need to take suggestions from different
board members while taking any decision (Uhm, Sung and Park, 2018). On the other side, as a
sole trader owner of this venture enable to take whole profit margins after fulfilling taxation
formalities, in which this too excellent factors for the owner, because by after gaining huge profit
margins it will able to expand its business operations within many new market segments. This
form of venture will give opportunity to Romanian shop’s owner for becoming own boss, in
which this factor can increase its dignity within the society. There is a sole trader can easily have
maximum privacy of business. Dissolution process of a sole trading business is also very simple.
These all are key reasons behind choosing this sole trader form of venture.

CONCLUSION
It can be concluded that, the owner of new venture has required to consider many of
factors for perfectly launching its business operations within the selected market. The owner
should use different effective tangible and intangible assets systematically running its processes
of launching a new venture. There are Romanian shop’s owner has required to develop lots of
skills and capabilities with the support of different development approaches. After developing all
skills and capabilities, owner can easily gain excellent return within the market.
REFERENCES
Books & Journals
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