Business Plan for Hodmedod's Organic Food in the UK

This business plan analyzes Hodmedod's, a UK-based organic food provider, aiming to deliver healthy food to busy consumers. It begins with an introduction and a discussion of service improvements. The plan includes a detailed situation analysis, utilizing SWOT and PESTLE analyses to evaluate the current market conditions. It outlines the segmentation, targeting, and positioning (STP) strategy, focusing on age and lifestyle segments. The marketing mix, including product, price, place, and promotion strategies, is thoroughly examined to ensure market success. The plan also incorporates a comprehensive budgeting section with resource requirements, profit and loss statements, and cash flow statements to project financial viability. The conclusion emphasizes the importance of investing in organic products and the effectiveness of the applied strategic tools. The assignment is a project submission for the Employability and Enterprise module, demonstrating the application of business planning principles.

Ruining Head: BUSINESS PLAN
Hodmedod's, UK Organic Food

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BUSINESS PLAN
Table of Contents
Introduction...........................................................................................................................................3
Service improvement (Hodmedod's, UK, Organic product)..................................................................3
Situation Analysis..................................................................................................................................3
Swot Analysis....................................................................................................................................3
PESTLE.............................................................................................................................................4
Segmentation, Targeting, and Positioning.............................................................................................4
Marketing Mix.......................................................................................................................................4
Budgeting..............................................................................................................................................5
Conclusion.............................................................................................................................................5
References.............................................................................................................................................6

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BUSINESS PLAN
Introduction
This report discusses the research plan for Hodmedod's, the UK for delivering Organic food
to their specified consumers. It presents Situation Analysis that could be effective for
evaluating the success of services (Chernev, 2018). It also discusses STP strategy for
examining target of the consumers. It also demonstrates the marketing mix strategy for the
attainment of the organizational goal.
Service improvement (Hodmedod's, UK, Organic product)
In the current era, it is analyzed that individuals are failed to keep their health healthy. It
brings a complex task for the individual to become a healthy person. Hence, Hodmedod's,
UK plan to made organic food for consumers who are busy and not have time to maintain
their health. It is also analyzed that consumers are switched from unhealthier products to
healthier products that would also be supportive of the organization to obtain higher profit
(Chernev, 2018).
Situation Analysis
Situation analysis is an effective technique for the organization to examine the current
situation of the firm. There are certain techniques that could be used by the firm to evaluate
the condition of the firm such as PESTLE and SWOT analysis (Villeneuve and Pasquier,
2017).
Swot Analysis

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BUSINESS PLAN
PESTLE
Segmentation, Targeting, and Positioning
Hodmedod's the UK could segment their customer on the basis of age. It could also segment
their consumer on the age group of 16-39 years of people. Hodmedod's the UK could
segment their consumer on the basis of lifestyle, attitude, and personality.
Marketing Mix
Marketing mix strategy enables the organization to promote their goods and services and
sustain their position in the marketplace (Wagner and Eggert, 2016). There are certain
strategies that will be considered by the company like product strategy, prices strategy, place
strategy, and promotion strategy. From the application of the Product Strategy Hodmedod's,
UK would be capable to determine features, characteristics, taste, color, and quality of
organic food. It will be imperative in making a unique image of the products and services of
the organization in the marketplace. Price strategy will facilitate to select an appropriate price
for selling their products and services (Lasserre, 2017). From the use of place, strategy
organization would be capable to determine the place where products would be delivered.
The promotion strategy is an effective technique for selecting appropriate sources for
increasing demand for goods and services (Hill, 2017).

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BUSINESS PLAN
Budgeting
New Organic food delivery service (Hodmedod's UK): Resource Requirements
Resources Amount ($)
Stores and Supplies 35,000.00
Machinery 45,000.00
Equipment 40,000.00
Food delivery man (10 workers*$3,000) 30,000.00
Human resource manager (2
officials*$10,000) 20,000.00
Working capital 30,000.00
Total Start-up cost 200,000.00
Profit and loss statement
Pro it of & L ss
tatementS
Month Sep 18 Sep 19
Income
Total Sales 62,500 78,125
Less Total Disc/Comm
Total Net Income 62,500 78,125
Less Total Cost of Gooods
Sold
25,000 31,250
Gross Profit 37,500 46,875
Expenses
General & Administrative 10,000 10,000
Marketing & Promotional 500 500
Operating Expenses 5,000 5,000
Motor Vehicle Expenses 200 200
Website Expenses 200 200
Total Employment Expenses 5,000 5,000
Occupancy Costs 250 250
Other Expenses 700 700
Total Expenses 21,850 21,850
Yearly Net Profit / 15,650 70

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BUSINESS PLAN
(Loss)
Cash flow statement
a lo tatementC sh F w S
a lo rom perationC shf ws f O s
a receipt rom c tomerC sh s f us s
a receipt rom c tomerC sh s f us s Cash Sales $
21,00
0
$
21,500
$
19,500
Cash collected from
customers (debtors)
$
30,00
0
$
35,000
$
20,000
Funding from Creditors $
-
$
-
$
-
Stock purchased, not yet paid $
15,00
0
$
8,000
$
9,500
Cash paid for $
10,00
0
$
20,000
$
15,000
(enter negative amounts) Total Expenses $
-
$
-
$
-
Inventory (stock)purchases $
-
$
-
$
-
Funding to Debtors
Sales made not yet collected $
-
$
-
$
-
et a lo romN C sh F w f
perationO s
$
76,000
$
84,500
$
64,000
n e tin Acti itieI v s g v s
a receipt romC sh s f
(enter positive amounts) Sale of property and
equipment
$
-
$
-
$
-
Matured Investments $
5,000
$
5,000
$
5,000
a paid orC sh f $
-
(enter negative amounts) Purchase of property and
equipment
$
-
$
-
$
40,000
Purchase of investments $
10,00
0
$
25,000
$
26,000
et a lo rom n e tinN C sh F w f I v s g
Acti itiev s
-$
5,000
-$
20,000
-$
61,000
inancin Acti itieF g v s
a receipt romC sh s f
(enter positive amounts) Increase in short term debt $
5,000
$
5,000
$
5,000

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BUSINESS PLAN
Increase in long term debt $
-
$
-
$
-
Increase in equity (proceeds
from owners)
$
5,000
$
5,000
$
10,000
Cash paid for $
-
(enter negative amounts) Repayment of loans $
5,000
$
5,000
$
5,000
Dividends $
15,00
0
$
15,000
$
15,000
et a lo romN C sh F w f
inancin Acti itieF g v s
-$
10,000
-$
10,000
-$
5,000
et ncrea e in aN I s C sh $
61,000
$
54,500
-$
2,000
Cash at End of Year $
61,000
$
1,15,50
0
$
1,13,50
0
Conclusion
From the above discussion, it can be summarized organization should invest in the organic
products as compared to other products and service caused by an increasing number of
health-conscious consumers. It can be concluded that the organization used many tools like
SWOT, pestle, STP and marketing mix strategy to evaluate the success of organic products
and services in the marketplace.

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BUSINESS PLAN
References
Chernev, A., 2018. Strategic marketing management. USA: Cerebellum Press.
Hill, T., 2017. Manufacturing strategy: the strategic management of the manufacturing
function. USA: Macmillan International Higher Education.
Lasserre, P., 2017. Global strategic management. USA: Macmillan International Higher
Education.
Villeneuve, J.P. and Pasquier, M., 2017. Marketing management and communications in the
public sector. UK: Routledge.
Wagner, S.M. and Eggert, A., 2016. Co-management of purchasing and marketing: Why,
when and how?. Industrial Marketing Management, 52, pp.27-36.