Business Strategy Portfolio: Manchester Bakery Market

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PORTFOLIO OF BUSINESS
PORTFOLIO OF BUSINESS ORGANISATION
Student’s ID:
Student’s Name:
University Name:
Author’s Note:
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PORTFOLIO OF BUSINESS
Table of Contents
Introduction......................................................................................................................................3
Task 1...............................................................................................................................................3
Part A- Selection of the business idea.............................................................................................3
Part B- Main objectives of the business venture.............................................................................4
Task 2...............................................................................................................................................5
Pestel analysis..................................................................................................................................5
Task 3...............................................................................................................................................6
Part A- Describe the launch event...................................................................................................6
Part B- Making a budget..................................................................................................................7
Task 4...............................................................................................................................................7
Marketing objectives.......................................................................................................................7
Target Markets.................................................................................................................................8
Marketing activities for every target market...................................................................................9
Marketing Mix.................................................................................................................................9
Task 5: Business decision..............................................................................................................10
Task 6: Components of supply chain.............................................................................................11
References......................................................................................................................................14
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PORTFOLIO OF BUSINESS
Introduction
This report will mention the business strategy adopted and built by a bakery enterprise to
develop the market over other food sectors. This bakery enterprise mainly focuses to help their
consumers with several fast food items. In such case, making of business portfolio concerning
bakery enterprise would summarize several business strategies that mainly focus on the industrial
targets on the behalf of market condition. Market analysis will be taken to compare the business
strategies of the given firm. Moreover, this report will give a strategic plan for the firm, which
may follow to gain competitive edge in the market. It is followed by making of the budget
production along with business-launching event.
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PORTFOLIO OF BUSINESS
Task 1
Part A- Selection of the business idea
This task focuses to demonstrate the expansion of bakery enterpriser in the region of Manchester,
UK. The store would be serving the young generation, which belongs to the University and
school. Besides, corporate professionals along with local people will also target by the bakery
company as they desire to purchase the bakery items like cake, cookies and sandwich. In
addition to, the company mainly aims to serve the healthy foods to their customers (Silver et al.,
2012). This enterprise would be operating their business through offline and online medium. The
bakery enterprise may also serve zinger burger, wedges and green sandwich and potato chips,
depending on the market. However, the bakery enterprise aims of facilitate their consumers with
sugar-free cakes for the youth generation and old people. This business design may estimate as
the best advantage to keep happy the demands of their customers.
The main vision of this venture is to uphold the healthy and sugar-free items for satisfying the
customer’s demands (Lipsman et al., 2012). This business strategy will be beneficial for the
company to develop their market and gain high level of profit percentage. Further, bakery
enterprise will also maintain the “Green packaging system” to carry their online items. The
company will face several competitors in Manchester while expanding their market.
AB Mauri AB Mauri is an operating part of Associated British Foods and it
was established in the year of 2004. The specialty of this firm is
that it gives special two cup cake items.
Cooplands It is recognised as a bakery enterprise with a chain of over 11 cafes
and 150 outlets across the region of UK. The company produces
lunchtime food items specially pasties, desserts, sandwiches and
bread (Woerner and Wixom, 2015). In 2011, it became the third
largest bakery enterprise in the region of UK.
Millie’s cookies This is a chain of retail bakery sectors in Manchester, UK. The
company is specialized in several food items such as hot drinks,
muffins and hot cookies. This business venture makes giant
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PORTFOLIO OF BUSINESS
cookies, hand-iced and mini biscuits that are ideal for the special
occasions and birthday gifts (Amit and Zott, 2012).
Table 1: Competitors analysis
(Source: Learner)
Part B- Main objectives of the business enterprise
The main objectives are given below:
To enlarge the profit percentage of the business venture by 20% in UK market by the end
of 2019
To enhance the customer base of this business venture by 15% in Manchester
To attract youth generation along with old aged people by providing sugar free cookies or
biscuits.
To promote their brand image regarding the exceptional selling scheme of their products
Ownership
This business venture is not a government trade imitative, but it is recognised as a private
venture. It may be the one, which is controlled by the common people (Kumar et al., 2012). On
the other hand, owners have a tendency to choose board of directors and the profits distributed
between owners and stakeholders. The firm would like to use a maximum of 250 stakeholders
while initiating business in the region of UK.
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PORTFOLIO OF BUSINESS
Task 2
Pestel analysis
Political factors In Manchester, political surrounding is extremely stables and
motivates the SMEs as this enterprise may recruit many workers
from the country. Therefore, it has a major involvement of 50%
within GDP enlargement of UK. It also gives a great advantage for
the small ventures as they may enhance their market and business
functions in the region of UK (Rumelt, 2012). In this case, bakery
enterprise will be ensure that the company may produce more
innovative and products for the customers. The food sector is needed
to follow several health-concerned rules controlled by the political
government. The projected business venture aims on the distribution
and production of bakery items that may offer a high competitive
edge in the market.
Economical factors In the recession time, customers are willingly to buy the items at low
price. Thus, the market has gone a recession time, which disturb the total
economical scale of UK. On the other hand, the unemployment rate was
4% in the last year. Thus, the company has an opportunity to expand their
business and recruit young people to promote their business (Chen et al.,
2012). Further, buying power of customers is high and the company
would be beneficial to conduct their business.
Social factors In Manchester, people are becoming health-conscious as most of the
companies are willingly to serve the health items. Thus, the bakery
enterprise should aim to produce the organic food items. Within this
context, business idea will be beneficial for the company as they gain the
competitive edge over other competitors. Further, the firm also gives
non-vegetarian and vegetarian items for their different customers.
Therefore, it has huge effect on the overall productivity of the company
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PORTFOLIO OF BUSINESS
(Khalili Shavarini et al., 2013).
Technical factors It is the essential aspect to develop the business operation for bakery
enterprise in UK. Technology makes the chance for bakery venture to
develop their manufactured items more proficient. Besides, the proposed
sector may use the latest technology to inaugurate their operational and
manufacturing activities. The company also focuses to enhance the online
activities as it is the best medium to promote the launch item. By the
social media, the firm may connect with their customer and optimize
their customer base specifically.
Legal In UK, there are many legal obligations that the proposed firm will
require to obey while developing their business in Manchester (Figurska
and Matuska, 2013). However, minimum wages are also compelled by
the company to set the legal rules for their employees. In contrast to, the
business venture is needed to adopt the Equity act for facilitating their
workers. This act also supports the sector to make the opportunities and
growth for the workforce.
Environmental
factors
This business venture aims to give sugar free, lacto-vegetarian and non-
vegetarian items for their customers. In order to maintain the ecological
system, company may not use the plastic in the packaging process. The
company needs to pursue the standards of environmental sustainability
while adopting the unrefined materials from the suppliers. It could
enhance brand image of the firm by maintaining the eco system.
Table 2: Pestel analysis of the proposed business venture
(Source: Learner)
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PORTFOLIO OF BUSINESS
Task 3
Part A- Describe the launch event
The bakery firm will be planned to increase brand awareness concerning the organic product in
the press event. Within this framework, the venture would be launching under the forename of
Bake paradise” co. In addition, the primary object of this company is to enlarge the brand
consciousness and maintain the ecosystem in UK (Alsudiri et al., 2013). Besides, social media
and food bloggers allied with the food sector would be invited towards launching the business
venture. Social influencers, bloggers and floggers are playing the major roles in terms of share
the experiences among customers. To integrate these platforms, the company may be successful
to attract the maximum customers and enhance the sales margin (Ghezzi, 2013).
In the time of press event, the business venture will speak about the entire objectives and vision
that would be useful to increase higher brand awareness. Complimentary items will provide in
the time of launching the item and all the products would be showing in the press event (Bentley
et al., 2013). This will be beneficial for the customers as they know every items of bakery sector.
Further, it reshape the buying behaviours of consumes to the bakery items. Moreover, the
company will offer several discounts in their products that may attract more consumes towards
them.
Part B- Making a budget
In the proposed business, the budget could be an important aspect for launching a product or
open the store, as per the availed sources. However, at every stage the cost would be
approximate and close to the reality. The total budget list has been given below-
List of items Total price
Celebrity support £2500
Set up the venue and decoration charge £1500
Bakery items in the time of press event £1000
Other items for serving the products £500
Arrangement for the launching program £500
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PORTFOLIO OF BUSINESS
Total £6000
Table 3: Budget list for the press event
(Source: Learner)
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PORTFOLIO OF BUSINESS
Task 4
Marketing objectives
To develop the marketing objectives, bakery firm may use value chain analysis as it is the
efficient tool to achieve the probable sources from the market. After analysing the market, the
company would be successful to make the marketing objectives (Norton and Pine, 2013). In case
of external market, the company could not be successful to trade their business objectives.
However, the bakery firm focuses to operate the mass products in UK market. Thus, it may
essential for the organisation to set the objectives and gain the competitive edge in UK market.
Their HR management always tries to penetrate the food market with innovative products and
service as they will achieve high profit percentage.
On the other hand, the bakery firm will try to promote the brand image among customers by
giving several discounts in the products. By giving the organic and quality products, the
company may be successful to increase the devotion of their customers (Weinstein, 2014). Thus,
the marketing objectives of Bake Paradise are as follows-
To gain the competitive edge in market, the company will try to penetrate the food
market with innovative items and services
To develop a sustainable trademark in the market, the company may offer the organic
foods at affordable price
To gain the loyalty of different customers to enhanced their everyday purchases by 25%.
Target Markets
The UK market is always competitive and diverse in nature. However, the markets that may
target for business set up of Bake Paradise co. are mainly targeting the youth generation and old
aged people (Casillas and Acedo, 2013). The target markets have demonstrated below-
Youth Generation
The youth generation is
mainly under the age group
Local people
Local people are under the
age group of 26-50 and
Old aged
In Manchester, old aged
people are culturally enriched.
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PORTFOLIO OF BUSINESS
of 21-25 years. They are
aware about the food items
and they may like to buy the
products by reviewing their
qualities (Tanwar, 2013).
They strictly condemn the
quality of food items, which
have unfavorable
consequences on their
physical condition. In such
case, the bakery enterpriser
focuses to give healthy food
products that may favor by
young people. The company
will open their stores near
college and University as
they attract most of the
target customers.
mainly playing the
important part in the
society. They are financially
stable and may buy the
items at any price. Some of
the people have not
sufficient time for preparing
the healthy products as they
are working at the private
sectors. To balance the
physical condition, they need
to obtain the organic
products in their lifestyle. In
this context, the company
will focus to offer the
organic products to uphold
their health. This bakery
firm will be capable to set up
the brand image by
promoting themselves locally
(Kalandides et al., 2013).
The bakery firm offers sugar-
free cake and cookies for
them. To maintain the health,
the company may introduce
vegetable sandwich. Targeting
the old aged people, the
company will increase the
higher brand awareness
among customers.
Table 4: Target markets
(Source: Learner)
Marketing activities for every target market
In this context, the bakery enterprise may adopt several business strategies to attain a higher
competitive edge in the market of UK.
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PORTFOLIO OF BUSINESS
Social media- In recent time, social media plays the most significant role in terms of business
activities of a company. This bakery firm may use social media to develop their connection with
customers (Zeschky et al., 2014). In Manchester, most of the customers are active in social
media as the company utilizes it o promote their items. The business enterprise may promote
their organic products and extra discounts on their products through social media. The official
website of bakery firm may also comprise customer feedback section, where customers may post
their feedback and solve their issues in terms of products.
Sustainable packaging- The bakery company may focus to use the “Green packaging” process to
maintain the ecosystem. The usage of this method will be beneficial for the company to promote
the brand awareness of the products. Furthermore, it would also support the firm to make a high
value in the market.
Marketing Mix
Criteria Business approach Justification
Price As a new entrant in the Manchester
market, the company may sell the
items at the lowest price (Cavusgil
et al., 2014). However, the
company may sell their sugar-free
cookies at £15 and sandwiches at
£20.
The adaptation of this pricing strategy
should be beneficial for the company as
large number of customers attract with
this price charge. Further, it will support
to gain the competitive edge in the
market.
Product The bakery sector will give the
healthy, sugar-free, non-vegetarian
and vegetarian items to their
customers.
Now days, customers are aware of their
health as they want healthy products
from the company. In such condition,
the company may be capable to deliver
the healthy items.
Promotion In the online medium, the company
will primarily promote their
products. It is the best medium to
communicate with the customers.
In UK, most of the customers are active
on the social media. The company uses
this medium to enhance the brand
awareness among customers. In the
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