Business Plan for 'Cafe Marina': A London-Based Cafe

Desklib provides past papers and solved assignments. This document details a business plan for a new cafe.

Business Plan
1

Table of Contents
Introduction......................................................................................................................................3
Task 1...............................................................................................................................................4
Task 2...............................................................................................................................................6
Task 3...............................................................................................................................................7
Resolve the dilemma that your company has been facing and gave justifications for your
answer. You should refer to at least one other legal case............................................................7
Task 4...............................................................................................................................................9
How will you comply with Equality and Diversity law when selecting applicants?..................9
What rights will your new employee have?................................................................................9
Task 5.............................................................................................................................................10
Describe your business assets, liabilities and gains...................................................................10
Being mindful of the £ 20,000 budget for your business, provide an account of what will you
do to avoid cash flow problems?...............................................................................................10
Conclusion.....................................................................................................................................11
References List..............................................................................................................................12
2

Introduction
A business plan is a well-documented plan, which involves all the details and information
regarding the initiation of any business. The new company to be set up will be a cafe named
“Cafe Marina” in London, UK. The new start-up business will consider all the laws and policies
related to their business operations. In the later part of the assignment, the solutions for the
ethical dilemma the business is going through has been provided. It has also been shown how
Equality and Diversity law is implemented in the recruitment process. Lastly, the liabilities, the
assets and the gains of Cafe Marina have been explained along with the steps to avoid the cash
flow problems of the business.
3

Task 1
Setting up of a new business
A new start-up business is going to be set up in London, UK. The details about the new business
and its various aspects are to be followed.
USP of Cafe Marina
A well designed live counter, which will be present in the start-up cafe “Cafe Marina”. The
counters in the cafe will provide modernised and advanced customer services with the help of
advanced technologies. The cafe will sell quality and fresh bakery and confectionery products, as
it will help the customers to maintain their health and consume quality food (Fuller, 2016). The
cafe has decided that they will prepare foodstuffs in front of the customers so that the customers
are satisfied that they are consuming fresh foodstuffs.
Location of the cafe
The cafe will be located at the heart of London in the UK near Oxford University. It will help the
business to grow, as most of the city population, which comprises of the youngsters, shall
consume the food products prepared by the cafe. The cafe will attract the attention of its
customers.
Segmentation, target and positioning
The cafe will target the customers of all age groups since consuming quality food will be the
choice of all the customers (Cole et al., 2016). The cafe will also prepare food products catering
to the behaviour and choice pattern of the young customers as the people flocking into the cafe
will mostly comprise of the university students. The cafe will provide its customers with various
famous bakery and confectionery items, which will cater to the taste buds of young people as
well as people of all age groups. The bakery items, which other renowned brands produce, will
also be prepared and served to the customers (Brown 2018). In this way, they will get attracted to
the brand name and quality of the cafe.
4

Features of the products
The cafe will sell products such as different types of cakes, pastries and loaves of bread. The cafe
will sell muffins, which will cater to the taste buds of all the customers. The food quality will be
high, as modern and advanced technology will be used to prepare the bakery products. In the live
counters, the cafe will sell the fresh confectionery items.
Strengths, Weaknesses, Opportunities and Threats (SWOT)
Strengths Weaknesses
1. Sale of the fresh and high quality products. 1. The company is a small sized or a start-up.
Opportunities Threats
1. The management, which will promote the
product, stresses upon the health conscious
aspect of its customers.
1. There are popular brands within the market,
which poses a threat to the start-up.
Table 1: SWOT Analysis of Cafe Marina
Source: (Created by learner)
Budget
The budget for the start-up business to be set up will be £20,000.
Particulars Expenses (in £)
1. Resources 4300
2. Marketing activities 2500
3. Market research 6000
4. Project planning 7200
Total Cost 20000
Table 2: Budget for Cafe Marina
Source: (Created by learner)
5

Visual identity of the business
A visual identity is necessary to be given to the business. It will help to attract more customers to
the cafe. The visual identity can be a caption, a logo or a brand, which will help in attracting
prospective customers to the cafe. The visual identity which the start-up cafe will include will be
“Eat healthy, live healthy”. The visual identity will help the business to carry its message to the
customers that relate to the preparation and serving of healthy foods. The visual identity will
clarify the mission adopted by the cafe for executing its business operations smoothly. It will
also help the business to reach out to numerous people.
Values to be spread by the business
The cafe will run its business by maintaining the social values of looking after and prioritising
the demands and requirements of the customers.
6

Task 2
Conducting the Market Research
Developing a business plan will be done by carrying out proper market research, which will
involve collecting specific data and information from the different aspects related to the business
market. Opening a cafe business will involve market research based on the demand quotient of
the products. The different types of research namely primary, secondary, quantitative, and
qualitative research methods will be followed in executing the market research.
Primary market research: Primary market research will be carried out with the help of surveys
and interviews (Bell et al., 2018). Market research plays a crucial role in analysing the business
idea being adopted. Primary market research is beneficial, as it will help in gathering fresh data
or information about the start-up business. Primary research helps to find out facts about relevant
aspects related to the start-up company. Primary research also involves interviews or the
involvement of focus groups, which will help in observing the relevant details about the start-up
business (Eriksson and Kovalainen 2015).
Secondary market research: Secondary market research will also be carried out to know the
different aspects and features of the start-up company (Julien, 2018). Secondary market research
takes its information from all the journals, magazines, and articles on offer. Secondary market
research is beneficial as it involves taking data and information from previous sources of
information or information, which was gathered earlier.
Quantitative market research: Quantitative market research will be carried out while setting up
a cafe as it will involve taking a large sample size in consideration. Quantitative market research
will also answer various questions related to how and in what ways is the business being set up,
what methods and strategies are going to be adopted.
Qualitative market research: Qualitative market research will also be carried out as it will help
in researching in a specific manner, as it will take into account the different faiths, beliefs and
viewpoints of the different customers who consume the different food items from the cafe. This
type of market research will take into consideration the various focus groups or interviews,
which are conducted.
7

Task 3
Resolve the dilemma that your company has been facing and gave justifications for your
answer. You should refer to at least one other legal case.
Café Marina has been offered to be promoted by a popular website at a reasonable rate, but Café
Marina is facing some ethical dilemmas because the website company is accused that the
management does not appropriately treat employees, they are harassed, bullied and
discriminated. Due to this Café Marina is in the confusion that after joining hands with this
company the goodwill of the café might be destroyed. Therefore, for this Café Marina is in a
great dilemma and for solving this dilemma following solutions is to be considered:
1. Gathering knowledge about the fact surrounding the ethical dilemma: The organisation
needs to consider the facts to avoid misinformation, this will help the organisation to identify
whether the accusations are true or not (Hoel and Chen, 2016).
2. Determining the legal obligations and responsibilities: Café Marina must follow its legal
obligations, this will help to make a practical decision. The professional or legal obligation will
allow the organisation to decide the action it will take regarding the ethical dilemma it is going
through.
3. Consider normative ethical theories as support to identify the course of action: This will
help Café Marina in determining the course of action. It will also help to understand the
consequences of the action. Considering the normative ethical theories will also help the
organisation to judge whether the decisions taken are rational or from another’s perspective.
4. Determining the ethical values: By determining the ethical values that the organisation
follows, the solution to the ethical dilemma becomes easier. As discussed in Task 1, Marina Café
follows the Employment Act, which safeguards the rights of the employees. Marina Cafe strictly
follows that the no discrimination of employees in the workplace. This will help the cafe
determining whether to accept the website company's offer or not (LaRossa and Bennett, 2018).
The above mentioned solutions were also followed by Gucci when it faced issues with its
flagship store at Shenzhen, China. Five employees from the flagship store had revealed that the
8

working conditions in the organisation are inhuman. However, later on, Gucci recovered from
the abuses by following the solutions mentioned above.
9

Task 4
How will you comply with Equality and Diversity law when selecting applicants?
Equality and diversity law: The Equality Act 2010 protects the employees from discrimination,
victimisation or any other determinant. The law does not allow any organisation to discriminate
candidates on the grounds of gender, race, cast or disability.
Following are the ways by which Café Marina can implement equality in diversity law during
the recruitment process:
1. Not discriminating candidates based on their gender, especially not being biased towards
female candidates.
2. Not discriminating disabled candidates. The organisation should not doubt the capability of
the disabled and reject them because of their disability.
3. The recruiters will not show favouritism for any candidate during the recruitment process
(Thompson, 2016).
What rights will your new employee have?
The new employees will be benefited with the following rights:
1. The employees will have rights to get paid with the minimum wedges as per the industrial
standards.
2. The employees will be benefited from health and safety policies.
3. The employees will have the right to take emergency leaves.
4. The women employees will be provided with maternity leaves (Konrad et al., 2016).
10

Task 5
Describe your business assets, liabilities and gains.
The assets of Café Marina are as follows:
1. An insurance policy that covers any accidents or misshapes caused in the café.
2. The real estate property of the café owner.
The liability of Café Marina includes the bank loan that is taken for the business.
The gains of Café Marina include:
1. The high rate of sales due to its quality food and functional décor.
2. Goodwill of the café due to an increase in customer satisfaction.
Being mindful of the £ 20,000 budget for your business, provide an account of what will
you do to avoid cash flow problems?
Café Marina will implement the following steps to avoid cash flow problems:
1. Planning an appropriate budget: It is necessary to plan an effective for avoiding the cash
flow problems. The budget of Café Marina should be planned in the way that it covers all the
essential parts of growing the business, which includes promotion and brand extension to foreign
markets (Zietlow et al., 2018).
2. Using credit cards: By using the credit card for business functions, Marina Café can pay for
the business expenses as well as stretch the finance when it has less cash. Some credit cards have
facilities of earning cash backs and other rewards.
3. Payment due dates must be stated clearly: There is no way that the payments from the
clients are received on time, but Café Marina can implement contracts where the payment
policies will be mentioned explicitly. This will help the café to lessen the cash flow problems
and enhance the business (Uwonda and Okello, 2015).
11

Conclusion
As the case study got included, it was found out that the details, which will be used in framing a
business plan, was covered. The various details about the market were involved in the study to
know about the framing of a business plan for a start-up cafe “Cafe Marina.” The solutions to
the ethical dilemma that Cafe Marina is going through can be solved by gathering knowledge
about the fact surrounding the ethical dilemma, determining the legal obligations and
responsibilities, consider normative ethical theories as support to identify the course of action
and determining the ethical values that are followed by the company. The equality and diversity
law can be implemented in the recruitment process by avoiding discriminations among
candidates. Lastly, the above mentioned strategies among which the most important is an
adequate budget plan will help the organisation to avoid the cash flow problems.
12