New Venture Creation: Bold Street Cafe Business Plan in the UK

This report presents a business plan for Bold Street Cafe, a new venture in the UK's cafe market. It outlines the company's vision and mission, emphasizing customer satisfaction and a unique cafe experience. The report includes an industry analysis using Porter's Five Forces, examining the threat of new entrants, bargaining power of suppliers and buyers, threat of substitute products, and rivalry among existing players. It details customer segmentation and targeting strategies, focusing on geographic, demographic, behavioral, and psychographic factors. The competitive analysis identifies key competitors and emphasizes the importance of high-quality products. A SWOT analysis highlights the cafe's strengths, weaknesses, opportunities, and threats. The venture's products and services are described, including a variety of coffee, snacks, milkshakes, and customer-focused services like free Wi-Fi and home delivery. The operational plan covers the cafe's size, equipment, and physical setup, while the marketing plan discusses pricing strategies aimed at attracting target customers. This comprehensive plan aims to establish Bold Street Cafe as a successful and competitive player in the UK cafe market. Desklib provides this solved assignment and many other study resources for students.

NEW VENTURE
CREATION
INDIVIDUAL

Description of the company
The innovation of the company in this report that is being presented is the cafe business and it is the
new venture which is new in the market of united kingdom the working of the cafe is not that
typical but it is the kind of the company which is going to deal in the market of the cafeteria nd it is
going to attract a lot of visitors and the customers(Hertel, Binder and Fauchart, 2021).
Vision and mission
The phrases are used interchangeably in the mission statement and coffeehouse. They all serve a
different purpose, though. The cafe's vision statement discusses where it wants to go in the future,
while the mission statement explains what it needs to accomplish today to get there. Although the
vision and mission statements must complement one another, the mission statement is more
detailed. It establishes how the bold street cafe will be distinguished from other businesses in its
field.
And our business vision is to make people happy so its vision statement is “life is good”
Both the vision and mission statements differ from the values statement, often known as the code of
ethics. The organization's vision and mission describe where it is heading (vision) and what it will
do to get there (mission) (mission). They focus the efforts of the organization's employees on
achieving a common goal. The values statement outlines what the company stands for and how
employees are expected to interact with one another, customers and suppliers, and other
stakeholders. It gives the organization a moral compass that drives decision-making and establishes
a baseline for evaluating activities. It also establishes a criterion by which staff can assess
infractions(Dost, Shah and Saleem, 2021).

Industry Analysis
Porter's five model is a business analysis which identifies and analysis the competitive forces of the
market. The model is used to determine the corporate strategy and known by the name of
competitive strategy. This model was published after the Harvard business school by the
professor Michael E. porter.
FACTORS ARE AS FOLLOWS :
 Threat of new entrant - It refers to the threat that new rivals offer to an industry's incumbent
competitors. In the case of the brazen street cafe, there are hefty startup costs. As a result, the
company is unlikely to face significant risks from new entrants, and new entrants have a low
impact on the firm because new companies enter the market with new pricing strategies, fresh
products, and appealing consumer offerings. So, to address the problem, brave street can offer
new technologies, new collections, and new prices for products, as well as some perks to
buyers, making the firm more appealing(Riley Doyle, Burks and Paul, 2022).
 Bargaining power of suppliers- It is the impact that suppliers can have on businesses by
raising their pricing. This carries a lot of weight because he is in a strong position to put
pressure on the company by employing various strategies such as lowering product quality,
raising prices, and increasing the cost of switching raw materials. The cafe solves the problem
by building supply chain management with several suppliers from various countries; if prices of
any good rise, it can switch to other suppliers if switching costs are minimal; if prices are
unsuitable for the product, it can switch to other providers.
 Bargaining power of buyers- It refers to the pressure that customers can apply to businesses in
order to compel them to produce better products and customer service. Buyers frequently have
high expectations. They aim to get the greatest deal possible by paying the least amount of
money feasible. Customers have cheap switching costs and a variety of options, therefore this
has a mild force. Bold street needs to increase client loyalty by providing unrivalled value and
conveniences.
 Threat from substitute product- It is the availability of other products from outside an
industry that a client could purchase. It is high force because there are substitutes for the things
that bold street provides, and customers can simply switch because they have options, so rather
than buying products at a high price, they will tend to get it elsewhere. To address the issue, a
corporation can cut the price of a brand with similar good attributes, so attracting buyers more
easily.

 Rivalry among the existing players – It is a metric for determining the level of competition
among current businesses. It exerts a significant influence on the company due to intense
market competition, with competitors such as Swiggy and Zomato delivering more appealing
offers in both stores and online. This bold street should also focus on its web site and present a
wide choice of things to dissolve it(Yang and Yang, 2022).
Customer Segmentation and Targeting: Our goal is to assess the customers to whom the
company wishes to advertise its product. The value potential of each customer or set of customers
(called as segments) is the focus of the customer portfolio analysis. bold street is now pursuing a
differentiation emphasis approach, with the goal of standing out in a number of target market
sectors.
Competition and Purchasing Patterns: Coffeehouses must create a high-quality product in order
to maintain the reputation of "small luxury." Most of the major chains are currently bending to
growth demands and cutting shortcuts on quality by implementing fully automatic espresso
equipment, mass bean purchasing, and other efficiency methods.
Segment marketing
In essence, a market segment is a group of clients who have comparable demands and needs. As a
result, we divide the market into segments depending on their requirements and desires. We sell
snacks, beverages, light dinners, and fast food items in addition to coffee so that customers can have
a pleasant time while doing so. With this in mind, the following consumer segments were chosen:
I. Geographic: It is unimportant that people from different divisions come to our outlet only to
drink coffee. As a result, we are solely concerned with the people in the united
region(Ogunsade And et. al., 2021).
II. Demographic: Although our coffee shops primarily cater to people aged 20 to 35, they also
provide products that appeal to young children, such as a variety of classic hot chocolates for

12 to 19 year olds, and coffee for the rest of the age group. As a result, it's ideal for attracting
families of various sizes.
III. Age: 6-11 years, 12-19 years, 20-34 years, 35-49 years, 50-60 years, and 60 years and older.
IV. Family size: All type of families can come and visit.
V. Gender: Males and females
Behavioral
 Occasion: Regular
 Benefits: Quality, service, speed
 User status: Potential user, first time user, regular user.
 Usage rate: Medium, heavy
 Loyalty status: Medium, strong and absolute
 Readiness state: Unaware, aware, informed, interested
Psycho-graphic
Innovator, thinker, achiever and experienced.
Competitive analysis
Bold street cafe has joined the market as a market challenger, fighting against a number of
established businesses in the London and Washington areas. Later sections of the paper will go over
pricing and marketing strategies in greater depth. It should be emphasised, however, that there are a
number of near competitors as well as a large number of distant competitors(Wagenschwanz,
2021). Our main competitors are the following businesses:
Competition and Purchasing Patterns: Coffeehouses must create a high-quality product in order
to maintain the reputation of "small luxury." Most of the major chains are currently bending to
growth demands and cutting shortcuts on quality by implementing fully automatic espresso

equipment, mass bean purchasing, and other efficiency methods.
Swot analysis
Strength
 Our coffee shop's strengths are in serving delicious meals, providing excellent table service,
and providing decor that makes eating at our coffee a memorable experience.
 Other advantages could include our pricing structure, such as offering a lower-priced menu than
comparable cafes in our neighbourhood.
 We'd strive to increase traffic during sluggish times by presenting special specials, such as
"purchase two meals, get one free before 5 p.m." to get people in the door, which is a strength.
 Serving a unique style of ethnic food that isn't available anywhere else in the area could be
another strength.
Weakness
 Weaknesses provide us with ideas about how to enhance our cafe.
 We may use our weaknesses to come up with new ways to improve our cafe.
 We can also manage heavy cost of production
 Capital and financial problem
 Not enough business experience
Opportunities
 By giving job opportunities that help the cafe to rise the profit.
 Taking advantage of the trends related to eating healthier may mean featuring.
 Selling some of the cafe products such as brownie and different kind of beverages in the market
which attracts more customers towards the cafe.
 Offering delivery service and take out or setting up a drive through a meet the needs of the

people on the go represents another potential opportunity.
Threats
 There are a lot of potential competitors: Competing restaurants in the neighbourhood pose a
danger to our business, particularly if we serve similar types of food or offer similar dining
experiences(Gulzar and Fayaz, 2021).
 Safety and security issue.
 Political issues may arise.
Description of the venture
Products
We are providing an innovative and unique "Coffee and Snacks" service to our consumers. In our
coffee shop, various sorts of popular coffee and food will be available. In our coffee shop, our
clients will find the following coffee and snacks.
List of coffee Cold coffee Chocolate cold coffee Caramel cold coffee
List of snacks Chicken burger Beef burger Sandwich Chilli potato Alfredo pasta

 Pizza Footlong French fries
List of milkshakes Chocolate milk shakes Vanilla milk shakes Strawberry milk shakes
There will be teas and other refreshment beverages available alongside the coffee and nibbles. We
will strive to satisfy our customers by employing high-quality ingredients in the preparation of our
coffee and snacks(Singh, 2022).
Services
We want to provide some innovative services, and we believe that providing these kind of services
will help us make our coffee shop more appealing to our clients. Our customers will be able to take
advantage of the following services: Free Wi-Fi: To allow consumers to contact with their friends, we will provide free Wi-Fi
access. Customers that check in to our Facebook page will receive complimentary beverages such as
water and soft drinks if they do so. Home Delivery: We will deliver to all types of customers in the shortest time possible. Customers can reserve a table in advance of their visit to our coffee shop at no cost(Yang,
Hughes and Zhao, 2021).
Size of the business:
Size of the cafe : The size of the coffee shop will be 650 square feet.

Equipment of the cafe Smoothie blender Hot water dispenser Refrigerator Coffee mugs Table Chair Air conditioner
Operational plan
The physical necessities of any business's functioning, such as your business's physical location,
facilities, and equipment, are described in the operations plan section. It could also include details
on inventory requirements and suppliers. Our 'bold street' procedures are detailed here.
Description of the venture
We utilise a stylish mat on the wall to create a great ambience. Instead of a chair, we used a sofa. It's
because customers can sit comfortably for an extended period of time and enjoy coffee and snacks.
They enjoy spending time here. We have two air conditioners. We also use an LCD monitor to
manipulate the cash instead of a regular computer. We also have a fresh water filter(Klofsten and
Bienkowska, 2021).
Marketing plan
Pricing: For our firm, pricing is really important. We develop our price strategy by analysing our
competitive market and attempting to undercut our competitors' pricing. Our pricing is low since we
are a newcomer to the industry and need to attract our target clients in order to please, keep, and
strengthen our great relationship with them. The following is a list of our business's pricing:
Coffee price list
Coffee Price
Regular coffee 45
Cold coffee 60
Chocolate cold coffee 65
Caramel cold coffee 75

Snacks price list
Snacks Price
Sandwich 110
Burger 50
french fries 80
Market analysis summary
In a responsive and rapidly developing market segment—the speciality coffee retail business—bold
street debuts with an innovative new coffee house idea. Despite recent economic downturns, the
speciality coffee industry has remained a bright spot. While hundreds of businesses in a variety of
industries are struggling with low sales, negative balance sheets, and even bankruptcy, coffee shops
continue to thrive.
Target customers Students: Our United International University has around 6,000 students in the area, and there
are over 4000 local schools. Students have a limited number of options for meeting up with
their buddies. Students have shown a strong preference for coffee shops. For various reasons,
students are an excellent customer segment. Local Residents: Within a five-mile radius of our site, there are approximately 100,000
individuals. The wealthiest of these live even closer, within three miles of one other. Most of
our potential local consumers are within a 5-minute drive of bold street. Local business owners: There are a lot of local businesses in our area that are also our target
clients(Michaelis, Pollack and Carr, 2021).
Promotion of the cafe
Managing a coffee shop is difficult job, and most of your time is spent on daily activities. Even
though we all know how vital it is, little time is spent on generating fresh ideas and marketing.
Normally, there is a lot of competition.
Buy 2 get 1 free: We will offer our customers the opportunity to buy any two items of our meals
and receive one free item. As a result, our potential customers visit our shop in order to take
advantage of the offer. Customers are informed about our products in this manner.
Loyalty cards: We provide our consumers with loyalty cards. Customers who use this loyalty card
receive certain additional benefits. For example, if a consumer purchases 1000 tk of our product, he
will receive a discount of 150tk.
Facebook page: To demonstrate our consumers our promotional efforts, we will develop a
facebook page (www.boldstreet/facebook.com). Customers will be able to see if any new items
have been added, which discounts are currently available, and which items' prices will rise, among

other things, by visiting this page(Akhtar, 2021).

Conclusion
In the United Kingdom, coffee is becoming increasingly popular. In a coffee shop,
customers prefer to consume coffee with appetisers. People prefer coffee shops because they can
gather with their families and friends. The cafe is on a mission to become a daily requirement for
local coffee addicts, a location to fantasise about while you try to escape the rigours of everyday
life, and simply a comfy place to meet friends or read a book, all in one. We want to open some new
branches in advantageous locations with various sorts of popular coffee in the future.