Business Plan Report: Cafe External Environment, Market, and Strategy

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Added on  2023/01/10

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This report presents a comprehensive business plan for a cafe, meticulously analyzing its external environment. It delves into political, economic, social, technical, legal, and environmental factors, assessing their potential impact on the business. The report identifies the target market as young adults and teenagers, highlighting the importance of social factors such as food taste and cafe environment. It also explores competitive advantages, including a diet food menu and a limited number of direct competitors. The analysis covers marketing strategies and emphasizes the need for a strong brand reputation. The conclusion summarizes the competitive landscape and underscores the cafe's unique advantages. The report also includes references to support the analysis.
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BUSINESS PLAN
INTRODUCTION
Cafe is also known as coffee shop that provides a clear idea what cafe is and what
it offers. Idea of cafe has been included in this report because of two reasons one is
that owner possesses relevant expertise that is professional education in cooking
and bakery. Location for cafe has been chosen which has Park in its one side and
collage on other side both this element assures that cafe business will be successful.
Analysis of External Environment
Political Factor- A cafe business has limited chances of getting
affected by this political factor. It is mainly including the political
ideology, perception of ruling party in United Kingdom.
Economic Factor- Economic factor may include the different
consideration related the economic status of people to whom individual
is offering its services. In term of cafe price policy have been kept
moderating that is affordable and reasonable for everyone and user will
not have to think before entering the cafe and price policy also have a
space for those who like to sit in high end cafe and restaurants.
Social Factor- The only factor that need to be given focus is social
factor for a business. This factor includes values and opinion of people
and society towards a product and service. In context with cafe
business it is important that those who are coming to cafe like taste of
food and drinks of the cafe and also the environment of cafe.
Technical Factor- Technical factors' does not have any significant
impact and basic services like pay from cards and digital payment
services have been included in the business plan. Food and drinks will
be prepared in traditional way to keep their taste more organic and
realistic.
Legal Factor- Not having a direct impact on regular business this is
one most critical factor to deal with. In legal factor one need to
consider business structure and that is single proprietorship, other
legal requirements for the business is its registration and license.
Environmental Factor - Plan for cafe business includes due
consideration on environmental factor. Considering this factor plan has
included not to use any kind of material that harms environment and
increase pollution.
REFERENCES
El-Sherie, T.A.E.F. and Ghanem, M. S., 2016. Free Wi-Fi Service as a Competitive
Advantage in Public Cafés. International Journal of Heritage, Tourism,
and Hospitality. 8(1).
Ferreira, J. and Ferreira, C., 2018. From bean to cup and beyond: exploring ethical
consumption and coffee shops. Journal of Consumer Ethics. 2(2).
p.20834.
Competition and Competitive Advantage
It should be considering the marketing strategies in order to gain competitive
advantage in marketplace.
Diet food Menu- it is help for Looking at increasing number of people
who are becoming so much conscious about health as well as fitness diet
food menu. In this way, it has been proposed in business plan. It is to be
considered the important point in term of gaining competitive advantage.
Less no. of direct competitors- it has focused on the direct competitors
for this café, which are becoming very limited in number providing an
advantage for the cafe.
Target Market
Segmentation is the process which are mainly targeting the large number
of young adults and teenagers living in, occupying he area where cafe
has been proposed to open were higher. This also suggested that cafe
should include teenagers and young adults in their target market.
Teenagers should be easily convinced by user generated information so
that it become easier to target the adults. Sometimes, it refers to what
users think about a particular brand reputation, and they have not yet
aware of that. They will be convincing to use of café services in
particular place.
CONCLUSION
It has summarized that Cafe business that have large number of competitors in both
direct as well as indirect. So as required to focus on the businesses which come up
with their own importance, individual’s business that have been proposed in this
report have also managed. Cafe in most cases having good advantage , it is not
only threat for restaurants but it might be resisting those people who have not its
target market but are likely to visit cafe for once or twice as experience.
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