Business Decision Making Report: Balti Palace Restaurant Expansion

This report presents a comprehensive analysis of Balti Palace's business decision-making processes, focusing on its potential expansion plans. It begins with an introduction to decision-making tools and techniques, including primary and secondary data collection methods. Task 1 details data collection from various sources, survey methodologies, and questionnaire design. Task 2 delves into data interpretation, statistical analysis (mean, median, mode), and measures of dispersion. Task 3 covers data visualization through charts and graphs, trend line analysis, and report formulation. Finally, Task 4 explores the use of information techniques in decision-making, critical path analysis, and investment appraisal tools (NPV, IRR). The report uses a case study approach to analyze the restaurant's operations and expansion viability, offering insights into market research, customer preferences, and financial projections. The analysis includes the use of questionnaires, data interpretation and statistical tools to formulate a formal report. The ultimate aim is to provide recommendations to the management of Balti Palace.

Business Decision
Making

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1: Data collection from various sources...................................................................................3
1.2: Survey methodologies and sample framing.........................................................................4
1.3: Questionnaire design............................................................................................................5
TASK 2............................................................................................................................................7
2.1: Interpretation of data collected............................................................................................7
2.2: Analysis of the result..........................................................................................................10
2.3: Analysis of measure of dispersion.....................................................................................11
2.4: Advantages of using quartile, percentile and coefficient correlation................................12
TASK 3..........................................................................................................................................13
3.1: Analysis by using chart and graphs...................................................................................13
...................................................................................................................................................18
3.2: Trend line...........................................................................................................................19
...................................................................................................................................................19
3.3: Covered in PPT..................................................................................................................19
3.4: Formulation of formal report.............................................................................................19
TASK 4..........................................................................................................................................20
4.1: Use of information techniques in decision-making...........................................................20
4.2: Critical path........................................................................................................................21
...................................................................................................................................................22
...................................................................................................................................................22
4.3: Investment appraisal tools..................................................................................................22
CONCLUSION..............................................................................................................................23
REFERENCES..............................................................................................................................24

INTRODUCTION
Decision making is important aspect which helps in selection of best alternative from
large number of choices. It is the duty of the management to adopt different tools an techniques
which contributes in improvement of their decision making. NPV and IRR are two important
financial tools which helps to ascertain the information regarding the profitability of project. For
improvement of their decision making power need to gather information from different sources.
Primary and secondary are two important methods which are used for collection of information
from respondents an market. This will provides the opportunity to attain the feedbacks from
customers about their current products and services and attain long term sustainability in their
operations. Balti Palace is a restaurant which provides different kind of cuisines in London
(Barlett, 2016).
In the present report explain about, effectiveness of the two primary and secondary
approaches of data collection, designing of sample frame and effective application of approaches
of survey methodology, formulation of questionnaire to assess views of respondents, analysis of
the results with the application of the methods of statistics, measures of dispersion etc. Also,
determine the future trends through application trend line and use of information processing and
processing tools in improvement of decision-making.
TASK 1
1.1: Data collection from various sources
Balti palace is well recognised restaurant in London which provides different kind of dish
for satisfaction of the different needs of customers. They want to provide better services to
customer according to their needs. To understand their preferences need to conduct market
research. It provides the opportunity regarding understanding of current trend and factors which
are present in business environment. It helps in formulation of effective strategies which helps to
improve their performances. One of the main objective of Balti palace is that to expand their
business operation in London through opening of new branch. Through this large number of
benefits are gathered by Balti palace like high market share, large customer base, high
profitability, competitive advantage etc. To check the viability of their move Balti palace decided
to conduct research which helps in collection of the actual view of respondents. It is observed
that there are two different methods which contributes in collection of information called

primary and secondary. Both these methods are different from each other in functioning which is
defined below:
Primary method: This method includes different tools which helps in collection of
actual information from respondents. Such information is not already published anywhere. Such
kind of information is considered as true and reliable to draw important conclusions. This will
includes the use of different tools and techniques like survey, questionnaire, online, poll etc. But
still many disadvantages are associated with use of this method which includes time consuming,
high is cost, less interest of respondents etc. which impacts the research activities adversely. The
use of different tools under this method is mentioned below:
 Questionnaire: One of the most important and effective method to collect the feedback
from respondents. This will includes the process of preparation of different research
questions on the basis of their requirements. Its further classified into two types open-
ended and close-ended. In open-ended, respondents have freedom to frame their own
answer and in close-ended, they have to select from different options which contains in as
document itself (Drucker, 2017).
 Survey: One of the time consuming method which includes face to face meeting with
respondents. This will provides the opportunity to ascertain the information from their
behaviour also.
 Online: This includes the process of gathering the information through use of online
websites where voting is provided by respondents according to their choices.
Secondary method: Another important method which helps in collection of information
from market. The benefit which ascertained by the researcher through use of this method that
information is gathered in less period of time and less amount of expense is required. This will
includes collection of information from different published sources like newspapers, magazines,
articles etc. All the information is called as second hand information which is not much reliable
for research in comparison to primary method.
1.2: Survey methodologies and sample framing
Main objective of Balti palace is to expand their operations for attraction of large number
of customers and earning of huge amount of profits. It is the obligation upon the manager of
restaurant is conduct the research with help of researcher to gather their views and implement in
real scenario. This research helps attaining the information about the factors which are present in

business environment and their negative consequences. All these collected information is
analysed to interpret important results and make future strategies which directs the employees in
performance of their different functions (Goleman, 2017).
Research methodologies: Here define about the process of conduction research and
collection of information from respondents. In this regard, researcher of Blati palace use primary
research method and formulates questionnaire which contains different questions. All the
questions cover different aspects which ultimately helps in Balti palace to attain effectiveness in
their operations. It provides opportunity to assess their current issues and overcome them by
preparation of new policies and plans.
Sample Framework: This will includes the selection of respondents from total
population. The different methods which are available in front of researcher includes random,
cluster and stratifies. In present case, study random sampling method is used for the purpose of
selecting respondents. By use of the provision of this method 80 respondents are selected from
total population (Manning and DiLollo, 2017).
Here, random sampling method is used because it is most simple method to select
respondents. There are large number of importance are associated with this method like less
chance biasses. Also, use of primary method where questionnaire is prepared which contains
different question regarding:
 Existing pricing policy
 Quality of food items
 Ambience of restaurant
 Diversified services
1.3: Questionnaire design
Questionnaire: It is a list of research questions which are asked to the respondents. The
main objective behind the formulation of questionnaire is to extract the specific information. The
different purposes which want to achieved by researcher through formulation of questionnaire is
defined below:
 Collection of appropriate data related to research topics
 To make the data comparable and correctable for its further evaluation
 Covers different types of question which help to gather diversified information

Types of questionnaire: Questionnaire is of two kind which is known as open-ended and
close-ended. The functions of both questionnaire is different from each other. Open-ended
questionnaire is much broad concept which provides opportunity to the respondents that provides
their own opininon and answers. On the other hand, close-ended questionnaire includes different
attached options from which need to select one answer by respondents (Rao and Tilt, 2016).
Questionnaire
Name
Age
Gender
Q1. Do you think opening of new branch in London is viable move for Balti palace?
 Yes
 No
Q2. How often you came Balti palace?
 Once in a month
 Twice in a month
 Thrice in a month
Q3. What attracts you more in Balti palace?
 Quality of food
 Current services
 Ambience
Q4. Are you happier with the existing pricing policy of Balti palace?
 Yes
 No
Q5. Do you think Balti palace is need to add more cuisine in main dishes?
 Agree
 Disagree
 Cant say
Q6. What dish you like most in Balti palace?
 French
 Chinese
 Thai

Q7. What location is more suitable for expansion in London?
 Near tourist destinations
 In city
 Countryside
Q8. Do you think Balti palace is need to provide something unique on festivals?
 Agree
 Disagree
 Cant say
Q9. Do you think Balti palace has enough funds to open new branch in London?
 Yes
 No
 Cant say
Q10. What you want to recommend to the management of Balti palace?
TASK 2
2.1: Interpretation of data collected
Q1. Do you think opening of new branch in London is viable move for Balti palace?
Particulars
No. of
respondents
Yes 55
No
25
Total 80
Mean 40
Median 40
Mode 0
Q2. How often you came Balti palace?

Particulars
No. of
respondents
Once in a
month 40
Twice in a
month 30
Thrice in a
month 10
Total 80
Mean
26.6666666
667
Median 30
Mode 0
Q3. What attracts you more in Balti palace?
Particulars
No. of
respondents
Quality of
food 35
Current
services 25
Ambiance 20
Total 80
Mean
26.6666666
667
Median 25
Mode 15
Q4. Are you happier with the existing pricing policy of Balti palace?

Particulars
No. of
respondents
Yes 25
No 55
Total 80
Mean 40
Median 40
Mode 25
Q5. Do you think Balti palace is need to add more cuisine in main dishes?
Particulars
No. of
respondents
Agree 35
Disagree 30
Cant say 15
Total 80
Mean
26.6666666
667
Median 32.5
Mode 5
Q6. What dish you like most in Balti palace?
Particulars
No. of
respondents
French 37
Chinese 15
Thai 28
Total 80

Mean
26.6666666
667
Median 26
Mode 9
Q7. What location is more suitable for expansion in London?
Particulars
No. of
respondents
Near tourist
destinations 30
In city 35
Countryside 15
Total 80
Mean
26.6666666
667
Median 32.5
Mode 0
Q8. Do you think Balti palace is need to provide something unique on festivals?
Particulars
No. of
respondents
Agree 42
Disagree 20
Cant say 18
Total 80
Mean
26.6666666
667
Median 31

Mode 6
Q9. Do you think Balti palace has enough funds to open new branch in London?
Particulars
No. of
respondents
Yes 38
No 26
Cant say 16
Total 80
Mean
26.6666666
667
Median 32
Mode 6
2.2: Analysis of the result
This includes the process which helps in attaining the results from the available past
information. In the present report, includes the ascertainment of results through use of the past
information of sales and net profit by application of the method of mean, median and mode.
There is huge contribution of all these methods in improvement of the decision-making of
management. It provides the opportunity to use such tactics which contributes in improvement of
their future sales and net profit (Rothman, 2017).
Year Sales Net Profit
2008 3000 1050
2009 3250 1230
2010 3900 1620
2011 4520 1790
2012 5100 1850

2013 5950 1950
2014 6250 2050
2015 7100 2150
2016 7550 2200
2017 7900 2560
Mean 5452 1845
Median 5525 1900
Mode 3000 1050
Mean: It refers as calculation of the average of data which is present in a series. In the
present report, mean is calculated of sales and net profit to attain overview of the effecinecy of
tehir past operations. The mean of sales is calculated as 5452 and for net profit is 1845.
Median: It includes calculation of middle value from the above given sries of sales and
net profit. Here, the figures which are present in a series and segmented into parts lower and
upper half. The median value of sales and net profit 5525 and 1900 (Sekaran and Bougie, 2016).
Mode: One of the important statistical method. It is considerd as most repetitive number
which is present in a series. There is huge importance of this method which provides
opportunity in improvement of the decision-making of management. The mode of sales and net
profit is 3000 and 1050.
2.3: Analysis of measure of dispersion
Year Sales Net Profit
2008 3000 1050
2009 3250 1230
2010 3900 1620
2011 4520 1790
2012 5100 1850
2013 5950 1950
2014 6250 2050
2015 7100 2150
2016 7550 2200

2017 7900 2560
Minimum 3000 1050
Maximum 7900 2560
Standard
deviation
1771.92174
39455
453.045251
603
Correlation
Coefficient
0.95723831
82
Range: This includes two type of range minimum and maximum. The comparison of
both figures helps in attaining the information regarding existing issues. The minimumrange of
sales and net profit is 3000 and 1050. On the other hand maximum range of sales and net profit is
7900 and 2560.
Standard deviation: One of the important method which helps to determin the risks
which are asscociated with the project. Standard deviation of sales and net profit is
1771.9217439455 and 453.045251603.
2.4: Advantages of using quartile, percentile and coefficient correlation
Quartiles: There are classified into three types which are called as Q1, Q2 and Q3. Q1
provides the mid value which is lies between the lowest and median value of series. Q2 is called
as median value and Q3 is provide the mi9d value which comes between highest and median
value of series (Shapiro and Stefkovich, 2016).
Percentiles: This method is used to change the results in percentage form. In this regard,
need to take one value as base. It helps to take better decisions on the basis of comparing current
year results with past year.
Correlation coefficient: One of the important method which is used by the management
of Balti palace to understand the relationship between two variables. In the present report, with
the help of this method relationship is ascertained between sales and net profit.

TASK 3
3.1: Analysis by using chart and graphs
Q1. Do you think opening of new branch in
London is viable move for Balti palace?
Frequency
Yes 55
No 25
Yes No
0
10
20
30
40
50
60 55
25
Q2. How often you came Balti palace? Frequency
Once in a month 40
Twice in a month 30
Thrice in a month 10

40
30
10
Once in a month
Twice in a month
Thrice in a month
Q3. What attracts you more in Balti palace? Frequency
Quality of food 35
Current services 25
Ambiance 20
Quality of food Current services Ambiance
0
5
10
15
20
25
30
35
40
35
25
20

Q4. Are you happier with the existing pricing
policy of Balti palace?
Frequency
Yes 25
No 55
25
55
Yes
No
Q5. Do you think Balti palace is need to add
more cuisine in main dishes?
Frequency
Agree 35
Disagree 30
Cant say 15

Agree Disagree Cant say
0
5
10
15
20
25
30
35
40
35
30
15
Q6. What dish you like most in Balti palace? Frequency
French 37
Chinese 15
Thai 28
37
15
28
French
Chinese
Thai
Q7. What location is more suitable for Frequency

expansion in London?
Near tourist destinations 30
In city 35
Countryside 15
Near tourist destinations In city Countryside
0
5
10
15
20
25
30
35
40
30
35
15
Q8. Do you think Balti palace is need to
provide something unique on festivals?
Frequency
Agree 42
Disagree 20
Cant say 18

Agree Disagree Cant say
0
5
10
15
20
25
30
35
40
45 42
20 18
Q9. Do you think Balti palace has enough
funds to open new branch in London?
Frequency
Yes 38
No 26
Cant say 16
Yes No Cant say
0
5
10
15
20
25
30
35
40 38
26
16

3.2: Trend line
Trend line is effective method which is used by the organisation to forecast about their
future. It is a line which is draw over the highest pivot points in the graph to easily interpret
results. This is used by the management of Balti palace, to forecast about future activities.
Year Sales Net Profit
2017 7500 2160
2018 7600 2240
2019 7890 2360
2020 7950 2510
1 2 3 4
0
1000
2000
3000
4000
5000
6000
7000
8000
9000
2017 2018 2019 2020
7500 7600 7890 7950
2160 2240 2360 2510
Column A
Linear (Column A)
Column B
Linear (Column B)
Column C
Linear (Column C)
From the above trend line chart, observed that sales and net profit of Balti palace is
increasing in future years with effective growth rate. It is ascertained that customers are satisfied
with the current services of Balti palace and it is viable for them to open new branch in London.
Through this large number of benefits are gathered by Balti palace in future (Stine and Foster,
2017).

3.3

3.4: Formulation of formal report
The management
Balti palace
Subject: Recommendation related with expansion in another area
One of the major activity which Balti Palace wants to carry out is it wants to open its new
branch in London. For ensure proper development various aspects are there that require to be
analyse. At present Balti Palace provide various type of food items to its customers and there is
a Pub which help in attract large number of youngsters. Overall customers are very satusfy with
the service and food products offer by Balti Palace so it indicate high rate of success of new
branch in future.
Thank you
TASK 4
4.1: Use of information techniques in decision-making
There are many information processing tools which enhance the decision making power.
The different type of tools which are used in this regard by the management of Balti palace
includes TPS, DSS and MIS. All the three tools have their different functions and helps in
effective performance of different operations. The basic function of all the tools is transfer of
information within the organisation and build communication channels to bring coordination
among staff members. It provides the opportunity regarding completion of their tasks with more
efficiency which satisfies the different requirements of customers. Function of all such different
tools are defined below:
 Management information system (MIS): It is one of the the important system which is
need to implement by Balti palace to bring effective communication channels within the
organisation. This will includes the transfer of important information and data of
organisation to different departments to improve their understanding and takes their
support in satisfactions of the needs of customers.
 Decision support system: One of the important system which contributes their functions
regarding improvement of the decision-making of management. It helps Balti palace to

take important decisions which helps to bring changes in their current products and
services which contributes in expansion activities of organisation. This will will includes
the formulation of strategies which is need to follow by all the departments while
performing their activities. Here, total planning is done by the top management.
 Transaction processing system: The basic purpose behind the implementation of this
system that perform the every single transaction of organisation in more appropriate
manner. This will helps the management of Balti palace to accomplish their desired goals
in more effective manner.
4.2: Critical path
Critical path: It is also called network diagram which helps in determination of the time
period which is required for completion of particular project. This method provides the
opportunity to the management of organisation that identify different paths which are involved in
the process of formulation of project. Use of this method improves the decision-making
regarding completion of the longest path first, otherwise the whole project is delayed.
Name of
activity Time period Predecessors
Nature of
market 3 days
Location for the
restaurant 5 days 1
Investment plan 5 days 1
Rate of return
on investment 4 days 3
Target market 8 days 1, 2
Advertisement 10 days 5
Lay out for
decision 3 days 6

Path A: 1,2,5,6,7= 3+5+8+10+3= 29 days
Path B: 1,3,4=3+5+4= 12
Path c: 1,5,6,7=3+8+10+3= 24
From the above calculation of different paths, determined that longest path is A which
takes 29 days to complete. So, for effective accomplishment of their objectives and completion
of project within given period of time need to focus on longest path.
4.3: Investment appraisal tools
NPV and IRR two financial tools which are used by the management of organisation to
ascertain the profitability which is associated with the starting of new project. In the present
report, these methods are used by the management of Balti place to determine the profitability of
their new project of opening of new branch in London. There is huge contribution of this method
in improvement of the decision making of management.
Project
Discounting
factor Discounted cash inflow

Year
Cash
Flow 12.00% Present Value
0 -190000 1 -190000
1 50000 0.893 44645
2 64000 0.797 51020.8
3 58000 0.712 41284.4
4 70000 0.636 44485
Total P.V 181435.2
Initial investment
of year -190000
NPV -8564.8
IRR 9.94%
From the above calculation, the amount of NPV is negative of 8564.8 which means it is
not viable to start the project. But IRR which is ascertained from the above project is 9.94%
which gives positive signs regarding starting of project.
CONCLUSION
It has been concluded from the above report that research plays an important role to
understand the current trends which are present in market. It helps the management of Blati
palace to ascertain their actual issues and development of important strategies which improves
their decision making. Use of questionnaire helps to attain the actual and reliable views of
respondents about quality of their current food products and services. It provides the opportunity
to bring changes as per their preferences and achieve the aim of expansion of their restaurant
business in London. For effective interpretation of the results from collected information use the
methods of mean, median and mode. There are many other tools are used for improvement of
their decision-making like DSS, TPS, MIS, NPV and IRR.