Entrepreneurship and Business Development for Vegan Food Truck

This report evaluates the new business concept of a vegan food truck and different factors that will have a long-term impact on its success. It includes an assessment of industry, market feasibility, ANS off matrix, key components of the value chain, and financial feasibility.

Entrepreneurship and
Business Development

Table of Contents
Introduction......................................................................................................................................3
key components: .........................................................................................................................3
Assessment of Industry:..............................................................................................................5
INDUSTRIAL FEASIBILITY....................................................................................................5
MARKET FEASIBILITY...........................................................................................................6
ANS off matrix:...........................................................................................................................6
Key components of value chain:.................................................................................................8
Business model canvas:.............................................................................................................10
Potential risks have to be managed:..........................................................................................11
Risk mitigation strategies:.........................................................................................................12
Conclusion.....................................................................................................................................13
References......................................................................................................................................14

Introduction
Entrepreneurship is the extraction or creation of value. Entrepreneurship is viewed as
change that is enabling of risk what is encountered while initiation of business. While a
entrepreneur is willing to launch a new business there are lot of risk factors that are to be
considered and different associated element which are to be referred properly in order to
understand its overall impact on business (Werning and Spinler, 2020). Present report is based on
evaluating the new business concept and different factors that will posses long term impact on
the success of a new entrepreneurial venture that is to be launched in the market.
New business concept: the new business concept is related with vegan products that are to be
launched that is a Food truck, it will includes a complete range of vegan products that will be
launched in form of a multi cuisine food outlet based on a wide variety of food products. There
are use of special ingredients that is calcium fortified plant like yogurts and milks, seaweed,
nutritional yeast, fermented plant foods, whole grains, pseudo-cereals.
Market entry Strategy: It is associated with using of specific strategy in order to enter a
particular market. Such as there are different types of strategies that can be adopted by vegan cart
(Zhong, Luo. and Chen, 2020). For instance joint ventures and partner can be used depending on
the nature of alliance. A co marketing agreement can be made for the purpose of creation of a
new brand that is operating in the market.
key components:
Product and services: vegan cart is a new venture that will be started ion the carnaby streets of
London. The main product category will included the best quality of exotic range of food range.
The major differentiation feature of this brand will be based on the exotic range and flavor that
will be offer to the target segment of customers. Some of the main dishes will include stuffed
carnival squash with butternut lice, jack fruit curry, mini pavlova.
Target market:
STP analysis:
Segmentation: For vegan cart there will be use of demographic segmentation. Demographic
segmentation is based on creation of a position that will be based on having major focus on
natural and organic food range.

Target market: The target market of vegan cart will include consumers who are looking for
some healthy options in the exotic range but they are only having preference for vegan range of
products.
Positioning: Positioning of a product will be created by the exotic range that will mainly include
a food range like stuffed carnival squash with butternut lattice that will be a different and
innovation food product offered to the target segment of customers (Wiryawan and Djatna,
2020).
special attributes: The special attributes of vegan cart is based on using innovation as a critical
tool for the purpose of achievement of the business strategy. The brand is working towards
development of new product range so that they are able to rapidly meet the demands of
customers. In present changing scenario, customers are developing preferences for vegan range
of products so it becomes important to offer something with competitive vegan ingredients and
in the exotic cuisines.
Required a lower investment: Food truck will require low investment that will help in having a
high profit business idea. It is a competitive advantage as compared to running of a regular
restaurant.
Low operation cost: In vegan cart there will be low operation cost because there is less number
of staff members that is required (Thomas and Maine, 2019). There is need of very little repairs
and maintenance over time.
Attracting more customers: There is better quality of food with marginally less price.
Health and hygiene: There is maintaining of proper healthy and hygiene standards in food
trucks as compared to other normal restaurants. With increasing health consciousness there is
shift of people towards food trucks and small street food outlets that are offering better taste and
reasonable princes. VEGAN cart is going to take advantage of this shifting preferences of
people.
Values: Vegan is related with plant based diet that excludes all animal products that is based on
excluding different animal products that includes dairy, eggs, meat. If people are following it
correctly then vegan diet can be nutritious as it may lead to reduction of risk of chronic diseases.
The main value of vegan cart is that there is main focus is on diet rich in nutrients and low in
saturated fats.

Scale of newly proposed business: the scale of proposed business will be based on covering the
local streets of London.
Vision: “The vision of vegan cart is to offer exotic range of food products in vegan range.”
Location: the location of Vegan cart will be on caranby streets of London UK. At initial stages
as per the customer response location will be changed after a time period of 3-4 months (Ayden,
Demirbag. and Tatoglu, 2017).
Assessment of Industry:
INDUSTRIAL FEASIBILITY
Porters five forces analysis will be used for the purpose of analysing the major five forces that
may affect the long run functioning of business as mentioned below:
Bargaining power of buyers: the bargaining power of buyers will be low because presently there
are no such major competitors who are offering exotic range of dishes in the vegan range. People
who are willing to follow a vegan diet will be offer with key nutrients that will be part of protein,
vitamin B-12, calcium and vitamin D (Lim, 2019). all this is going to offer a competitive
advantage to vegan cart that will lead to low bargaining power of buyers.
Bargaining power of suppliers: Bargaining power of suppliers will be high because Vegan cart
requires some specific ingredients and it is not possible to prepare the food products without
such specific began ingredients. So it is important for vegan cart to maintain long term and pffer
competitive prices to suppliers so that they are able to manage the high margining power in long
run.
Industrial rivalry: In the current scenario, the demands for snacks and quick foods is increasing
day by day to higher levels. Food trucks are becoming the part of most trending business around
the world (Sears, 2019). The restaurant sector is already popular and is already having a huge
market share. But considering a food truck delivering vegan food exclusively is something which
is new for the target audience. With changing times, there is increase in the demand for 'on the
go food' in which Vegan Cart can become one of the trendsetters in the market.

Threat of new entrants: There is a very high threat of new entrants because with changing times
many new start ups are emerging. So vegan cart is going to get a competitive advantage from the
began range that is going to offer them with the required differentiation advantage in long run.
Threat of substitution: There is low threat of substitution for food truck because street food is
always liked by the people, food truck is something which can build a connection with its target
segment because it is becoming a buzz in the global market (RodrÃguez and Isabel, 2020). The
food industry is considered to be a lucrative and money making industry, therefore starting a
food truck business with an attractive portfolio of delivering only vegan food can become a
major hit in the food-service sector.
MARKET FEASIBILITY
Market statistics: The vegan food products include the protein based meat. The global
began food market is expected to grow from 14.44 billion in the year 2020 to 15.77 billion in
2021 it is ranging at a compound annual growth rate of 9.2 percent (Vegan Food Global Market
Report 2021).
Market feasibility: Market feasibility is a form of analysis which basically helps in
identifying the existing market competitions as well as potential markets. It is important to
critically study and analyses the market competition before coming up with a new business plan
in the market (utz, and Watson, 2019). In context to Vegan Cart, middle class millennial is
considered to be the target market which is already been targeted by the existing competitors like
fishdog, pizza pilgrims and many more. But the unique element that Vegan Cart is having which
becomes its USP is that it provides only vegan food items. This will provide a competitive
advantage to the brand over other market players and will surely make the brand more popular in
the food service market. With this innovative idea, it can earn good revenues with considerable
amount of substantial profits.
ANS off matrix:
For the purpose of evaluation the market growth strategy there will be application of ANS off
matrix. There are four major strategies that are to be evaluated in order to select the best course
of action for Vegan cart.
Market penetration: It is a strategy involves enhancing the market share of existing market. This
strategy is not suitable as vegan cart is a new venture.

Market development: Market development is related with entering a new market with existing
products. New customer segment or new channels can be used but this strategy is not appropriate
for vegan cart because there are not existing products (Lee and Griffith, 2019).
Product development: This strategy involves creation of new products in existing market. This
strategy is not referred as it can be applied after a specific time period of 6 months by evaluating
the level of customers satisfaction.
Diversification: It is a growth strategy that may hold high risk failure. There can be Creation of
new products based on new market segment (Pegan, Vianelli and Luca, 2020). This strategy is
suitable for vegan cart as there can be approaching of new customer segment with creation of
new vegan range of food products.
From analysis it can be said that market entry strategy for vegan cart is related with
diversifying the new range of products and new target market.
(Source: Overview: What is a growth strategy?, 2021)
Marketing strategy: It is related with creation of niche that is there are some good
opportunities, webinars, podcast and you tube videos, in vegan cart the organization will be

using social media channels for the purpose of having effective digital marketing strategy in
order to establish direct communication links with customers.
Financial feasibility: It is associated with understand the level of capital intensity and cost
structures. In vegan cart, the there is cash flow projection that is prepared to understand the
various key finances that are necessary in the organization (Cheah, 2020). Further, the projected
cash flow is used for involving of preliminary expenses, reserves, operating expense that are to
be listed in the finances of Vegan cart.
Lower cost: Innovation is a great way of building of higher value proportion by management of
associated cost. It leads to improvement of retention of staff members, motivating them so that
there can be easy recruitment for building of the innovation process.
New entrants: in organizations they can take benefit from new innovation that can help them
dealing with the threat of new entrants (Dewi, 2020). Vegan cart will be focusing on use of their
exotic range of products in complete vegan range for the purpose of targeting their customers.
Key components of value chain:
value chain is used for the purpose of categorizing of activities that is required for delivering
successful products to customers (Kanten and Darma, 2017). The value chain includes series of
activities that are required in organizations for the purpose of delivering product to end
customers. This is divided into primary and secondary activities that are segmented to deliver
final product to customers. In context of vegan cart the value chain model is discussed below:

Primary activities:
Primary activities are the production and delivery of final products to customers. The main
objectives is to add value more than cost of product.
Inbound supply chain: it refers to arrival of raw materials, in vegan cart the main focus of the
brand is on ensuring that raw materials are arrived on time in order to
Operations: It refers to the overall function that are related with the process of completing the
functions where raw material are to be converted into final products.
Outbound logistics: It is used for the purpose of tracking the movement of products to wards
customers. In vegan cart this process is related to the time period when customer is making
order and the products is finally prepared to reach to the customer as per their specific
requirements (Milanesi, Gigliott and Runfola, 2020). The value is added in terms of the way
product are to be prepared for the final segment of customers.
Marketing and sales: It is related with activities that are to be performed by vegan cart in order
to attract the target segment of customers. For the purpose of creating the required awareness
among people and making them aware about the newly launched brand. For this purpose there
will be use of digital marketing techniques that is on platforms like instagram and facebook will
be adopted to create some of the marketing campaigns (McCollough and Shook, 2017). The
main idea behind these campaign will be to attract and engage customers by involving them
through various attractive offers.
Services: It is associated with additional services that is to provide assistance to customers. There
is development of website whee customer complaints can be timely addressed. Further there is
presence of staff to solve any of the issues that customer are facing in the process of availing of
the services or products of vegan cart.
Supporting activities;
Firm infrastructure: vegan cart is a food outlet that is having its main aim to create a portable
that is movable outlet where the truck will be based on the better business that a particular
location is able to generate (Ma, Dewally and Huang, 2017) . It is very important for vegan cart
to ensure that overall infrastructure that is the structure of the outlet has to be formulated in such
a way that there can be maximum utilization of available resources.
Human resource management: It is related to activities that are relate with recruitment, training
and compensation of employee (Sari and Nurhadi, 2019) . The recruitment of employees will be

as per various specific functions that are to be performed in the course of functioning of vegan
cart such as chef, waiters, helpers, accountant and one human resource manager.
Technology: It is related to the update technology that is required for the purpose of managing
various functions of vegan cart. The technology is related with using cashless payments system,
just in time delivery options, online ordering and managing overall supply chain system.
Procurement: It is the process of purchasing and procurement of resources. In vegan cart the
main emphasis is to get cost advantage over small rivals by purchasing of some ingredients in
bulk.
Business model canvas:
Key partners
The key partners
of vegan cart
includes the
stakeholder who
are mainly
important for
ensuring that
various activities
are taking place
as per planned
scenario.
Key activities
There are various
key activities that
have to be
performed in the
organisation that
includes
Value
proposition
Customer
relationships
Customer
relationship is
related with
creation of some
positive and long
relationship with
customers. Vegan
cart
Customer
segments
The main target
segment of
customer is the
people who are
willing to have
preferences for
high quality
vegan food
products in the
exotic range
cuisine.
Key resources:
The main key
resources that are
required in the
newly established
food outlet is
human resources,
financial
Channels:
In Vegan cart
there is use of
direct channels
where customers
can visit the
outlet directly and
they can access

resources and
technological
resources in order
to have adequate
resources to
perform,
necessary
functions in
vegan cart.
the products and
services in the
outlet itself.
Sales and
promotions
Social advertising
content marketing
offline
advertising using
billboards and
radio.
Cost structured
It is associated
with the overall
financial
requirement in the
organisation.
Such as in vegan
cart the cost
structure will be
formulated by use
of standardised
costing system.
The finances have
to be managed by
using of bank
loan financing.
Revenue streams
Fixed rate
pay per product

Potential risks have to be managed:
There are some of the potentilla risks that have to be dealt by organisation as a newly started
venture that may arise in the business are mentioned below;
strategic risks: It may arise for vegan cart when the organisation may not be preparing as per the
pre decide business plan s (Hanson and Kalyanam, 2021). There can be situation when the
overall functions are not taking and the customers are not developing enough preferences for this
newly established business idea. It may lead to risks in terms of no sales as per set standards.
Operational risk: It is a type of risk that may arise when operations are mismanaged. The newly
hired staff may not able to understand or not perform the allotted job roles and responsibilities as
per mentioned specification.
Risk mitigation strategies:
There are some of the risk mitigation strategies that can be adopted by vegan cart. Such as it is
based on implementation of control strategy for detecting of possible issues that may arise in a
project budget (Mowat, 2018). In vegan cart the organisation may focus on using of project team
for having proper account time management strategies to control any type of risks that arise in
the process of project scheduling.
Risk sharing: There can be shoring of risk by involvement of other business partners, third
parties and stakeholders so that the entrepreneur does not has to bear the responsibility of risk
alone.

Conclusion
From the above mentioned aspects it can be concluded that each entrepreneur has to
consider various aspect before starting of a new venture. There is need to make proper industry
analyse, market analysis and feasibility of various opinions for the purpose of maximising the
utilisation of the present resources to achieve the mission and vision of newly established
business. Porters five forces analysis is very helpful for the purpose of understand the basic
competitive advantage and ans off matrix is suitable to formulate a proper market entry strategy.

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