Small Business Enterprise: Analysis of Chartridge Developments Limited

This report provides an in-depth analysis of a small business enterprise, specifically focusing on Chartridge Developments Limited, a construction firm in the UK. It begins by defining small businesses and categorizing various types, highlighting their respective strengths and weaknesses, such as home contractors, bookkeepers, website designers, and writers. The report then explores comparative performance measures, including financial, production, human resource management, technology, and revenue-based assessments. It identifies appropriate actions to overcome weaknesses, particularly in pricing and project management, and suggests ways to improve and strengthen existing performance through strategic changes in cost structure, payment methods, and customer interaction. Furthermore, the report outlines new areas for business expansion, emphasizing the importance of strategic planning, product and service development, and the effective use of technology to attract customers and increase market share. The report concludes by discussing the impact of proposed changes and the importance of monitoring improvements in the business.

Small Business Enterprise

TABLE OF CONTENTS
INTRODUCTION:.........................................................................................................................1
Lo 1..................................................................................................................................................1
1.1 Various types of small business and their strengths and weaknesses...................................1
1.2 Comparative measures of performance.................................................................................3
Lo 2..................................................................................................................................................4
2.1 Appropriate actions to overcome weakness..........................................................................4
2.2 Ways of improving and strengthening the existing performance.........................................4
2.3 Identifying new areas for expansion of business..................................................................5
Lo 3..................................................................................................................................................6
3.1 Assessment of existing objectives and plans........................................................................6
3.2 Business plan to incorporate appropriate changes................................................................7
3.3 Preparation of action plan to implement changes.................................................................8
Lo 4..................................................................................................................................................9
4.1 Impact on proposed changes on the business........................................................................9
4.2 Preparing business plan to manage the changes.................................................................10
4.3 Monitoring improvements in the business..........................................................................11
CONCLUSION:.............................................................................................................................12
REFERENCES:.............................................................................................................................13

INTRODUCTION:
Small enterprise have few employees and it requires little capital to start. These business
expands but at very slow rate. The major contribution in GDP of the nation comes from these
business. Due to small-sized they do not have much impact on the market but at some point
influences big industries. In the given assignment the focus is on development of small
enterprises. It shows their strengths and weakness and various comparative measures to evaluate
the performance. What actions must be taken to overcome the weakness whereas how strengths
can be maintained. It shows area in which business can grow with assessment of its current
objectives. Further how to implement changes in business by using the technique of change
management is shown. In the end how to monitor the improvements in business is discussed.
For undertaking this the present organisation is selected is Chartridge Developments
Limited. The cited firm belongs to construction sector and operates in UK. The existence of
small-size company on this level requires effective changes. Thus, this report will help in
creating and implementing changes for the cited establishment.
Lo 1
1.1 Various types of small business and their strengths and weaknesses
These are the enterprises which usually remains small in scope by operating in small area. They
are owned by individual person. There are various types of small businesses which are described
as follows:
Home contractor- It is a small business in which a contractor and few people work under him. It
performs different jobs of renovating the house like roofing, painting, etc. Further, contractor is
given license by the local body. A contract is signed between the party and contractor which
specifies the time frame, total cost and payment mode of work that is to be done.
 Strengths- Its major strengths is very little finance is required for starting the business.
The profit is this business is stable and it expands as relationship increases with people.
Due to flexibility in payment mode the contractor do not have to spend money on
purchasing materials. It saves cost and increases profits. (Schaper, and et.al, 2014)

 Weakness- Most important task is to complete the work in given time frame. If it is not
completed it can affect the profitability and the next contract also. Timely wages must be
paid to labour otherwise they can refuse to work that can leads to delay in completing the
contract. Sometimes the people remains unemployed due to unavailability of work. If the
contractor takes more than one contract at a time then it becomes difficult for him to
manage.
Book keeper- It is a self-employed business in which the person works for his clients. These
clients are medium size shopkeepers or companies who is not having large scale business but
need someone to maintain their accounts. Book keeper works either in a week or month
according to client’s need. Its tasks involve keeping books of accounts and tax returns. (Storey, ,
2016)
 Strengths- In this, qualification and experience are enough to start the business. No
resources are required to set up anything. The person never remains unemployed because
accounting continuous throughout the year.
 Weakness- Due to excessive work load during the closing year, it becomes difficult to
manage the work. Further, the client requirement differs from time to time and work
collision may occur. Tax must be paid in specific time otherwise, it can lead to huge loss
to client and also legal action can be taken against the person
Website designer- A person experienced in graphic designing and computer programming can
work for medium-sized business for creating website. Designer can involve with business to
maintain their website or editing website content.
 Strengths- Resources needed are only laptop or computer and internet connection. It is
based on experience in designing website. The profit margin is very big in this business.
Attractive design of website can impress other business. It will lead to expansion and rise
in profit. Remaining in touch with previous client increases satisfaction and loyalty of
business (.Eid,. and El-Gohary,, 2013.)

 Weakness- Effective time management is required in designing the website. If it’s not
completed, it can affect the business as well as person. A lot of energy is wasted in
making the website attractive. If website made is not attractive, it leads to loss in pay of
small business.
Writer- These people help medium-sized business in writing content for advertising, magazines
or articles. There are vast opportunities to expand the business by making a blog of own and
writing on various topics. Internet is the best tool used for attracting various companies.
 Strengths- No resources are required for starting the business. Profit margin remains
good and the writer also works accordingly.
 Weakness- Businessman remains unemployed most of the time as content writing is
done only once. It requires a lot of time to write effective content so work load increases
pressure which reduces the quality of content. (Curran, and Storey, eds., 2016)
1.2 Comparative measures of performance
It is important to measure the performance of small-sized business as it helps in
understanding the profits and customer satisfaction. It is useful to know the value of business to
customers and accordingly, actions can be taken to improve the quality of services. Also, the
profits can be found out by measuring past performance. This can be done by various methods:
Financial- By evaluating the financial position of Chartridge developments LTD., the
performance can be measured. It will help in identifying the areas that needs improvements. It is
effective in getting information about its business value in the market. Manager also focus on the
market and product development.
Production- Productivity level increases if enterprise is able to give what the customer desires.
It is difficult to complete a task in specific time but effective time management can help in
increasing productivity.
Human resource management- Managers and employees working in Chartridge developments
must be experience enough to work and communicate with high class people. This will create a
positive impact on them and increases company image.

Technology- It plays a crucial role in the company as it operates in housing construction which
requires an attractive housing design. This can be done by making a 3-D model of that house.
Use of technology will help in effective designing of house model and attracting more
customers.(Giaoutzi, and et.al, 2016.).
Revenue- It can only be increased if effective designs attract customers so that more house
contracts can be received. This helps in creating revenue and thus increasing goodwill.
Therefore, the market share will also be increased.
Lo 2
2.1 Appropriate actions to overcome weakness
Chartridge developments LTD. lacks in some factors and need to overcome these. The major
lacking factor is pricing and time management of project. This is only limited to few projects
which they take and are not able to complete in specific time period. It creates a poor image in
the minds of customers. As this company is involved with only high-class people, it becomes
difficult to gain their trust and retaining them. To promote or expand their business, they must set
policies and rules to complete the project. This will assure the customers that projects will be
completed in time. (Bryson, . and White,., 2016.)
On the other hand growth opportunities can be determined by proper pricing of project.
The firm needs to retain their customers by proper pricing and quality of project. This can be
done by proper completion and efficiency in project. To gain the interest of the customers the
company needs to adopt a better way to provide their service. Along with this better and friendly
behaviour with the customers would further provide direction to firm in offering better service to
them.
The firm can use the technique of SMART objectives. It stands for specific, measurable,
achievable, realistic and time bound. Thus, for attaining growth in the market it is essential to
implement these objectives in their operating process. Firstly the factors must be identified that
are creating problems and then effective strategy must be implemented in order to deal with that
problems (Cassar, and et.al 2015.)

2.2 Ways of improving and strengthening the existing performance
The present stage performance is known as existing performance. It is important to
analyse existing performance so that areas can be modified and better results can be obtained.
Chartridge development LTD. Must strengthen its service quality by changing the cost structure.
There should be changes made in payment methods to easily attract other customers. Their major
strengths is constructing the quality house by using quality raw materials. The design that has
been prepared according to customers demands is constructed effectively and efficiently. Also,
they provide the best designs to customers that are available.
Apart from this one more strength is understanding the customers needs quickly.
Company is expert in identifying the desired house that a customer wants. Also, they provide the
best suggestion to them regarding the interior designing of house. By interacting with good and
better distributors of construction materials they use the best quality products. The managers and
employees in the organisation are having enough experience to recognise the changing
developments in this sector (Cant, and et.al, 2016.) Employees working are highly qualified and
having deep knowledge of this field. Various suggestions are taken from them in order to
improve the services and products. All the projects made by them is having a unique design
which is attracting more customers and market share. They can provide the latest designs to their
customers and more flexibility in payment method. Also, they can take customers feedback
regarding construction this will help in improving area where they are lacking. Chartridge
developmen can publish pamphlets on positive feedback and show it to new customers. It will
enhance their goodwill in the market and more customers will be attracted to them. In order to
survive and maintain competition in market they have to strengthen their current strategy or
make improvements in them. This will help them to grow and develop by attaining their goals
and objectives. In this way they will be able to maintain their performance and improve their
market share.
2.3 Identifying new areas for expansion of business
Chartridge development LTD. is a small business firm operating in UK. Its main major
drawback is small approach to customers which impacts its business value. business must

expand its operations for earning more profitability. The areas which can contribute in expansion
are-
 Strategy- Strategies must be properly designed and implemented which will help in
getting effective results. Working according to the implemented strategies always helps
in increasing productivity. It should contain the timely completion of projects which will
give better results (Volery,and et.al., 2015.)
 Products and services- The business expansion is highly impacted by its products and
services. By evaluating present customer needs in the market new services can be
developed. Most successful businesses are mainly customer-focused, as customers are the
key driving force for an entity.
 Technology- In the present era frequent changes in technology is a key driving force in
expansion of business. Organisations must effectively use the technology for attracting
customers. In construction business technology plays a crucial role by providing the
latest architectural designs (Brunswicker,. and Vanhaverbeke, 2015.)
Business must use of technology effectively to grow and develop. This can be done creating a
online presence in the market or by reducing their price. It can also be done by creating a new
market like focusing on middle class people or government projects. New market development
will help in building image of Chartiridge development and attracting more customers. Thus, the
market area will be increased and they will be constructing more projects. Also, product
development factor can be considered which will provide new products to them. Various new
products such as compartments, villas, parks, shopping malls, etc can be developed to increase
market share. Therefore, incorporating all these mediums' entity will be able to expand its
business in successful manner and giving competitive advantage in the market.
Lo 3
3.1 Assessment of existing objectives and plans
Business objectives determines the goals to be achieved which accounts in the business
value. These objectives are identified with the help of stack holders and their perception towards

achieving profits. The main aim of determining objectives is to complete a task on time and
measuring results which increases efficiency. Objectives of Chartridge development are:
 Performance- The company is doing business for 10 years. It shows increase in growth
level in the market. Performance has improved the value and goodwill of company in
UK. Entity is focused on its goals to be achieved that enhances its performance
(Volery,and et.al., 2015.)
 Time management- The projects are been completed in particular time period. It is due
to effective working of people who are engaged in completing the project. Apart from
this effective designing and implementing of strategies by mangers has thrown a major
impact on its operations.
 Designing- designing the project and creating a 3-D model has helped them in making
changes according to the customers demand. In this technology is playing a major role.
Customers can see their interior designing of project as well.
In order to accomplish these objectives, business planning is done which helps in setting of goals
and getting the results. Key performance indicators evaluates the performance by time
management and product designing. Payment mode and cost structure has been changed which
provides flexibility for customers to pay. The high and upper middle class customers are highly
satisfied with them. This has created a positive image in the society that company is providing
luxury homes to them (Cant, and et.al, 2016)
3.2 Business plan to incorporate appropriate changes
A business plan is required to attain the objectives and goals of the enterprise. Planning is
done for making an effective business plan. In this plan a format is followed that comprises of :
Executive summary- It is a brief description of business plan that covers the goals and profile of
the enterprise.
Company Description- It contains the information about work role, management and company
information, etc.
Market Analysis- Information and data relating to market is analysed before launching a product
or service.

Management- the techniques regarding the management style and type of organisation structure
is described.
Service or Product - The product life cycle, the cost and return on investment is decided in this
step.
Marketing - it contains information related to promoting and selling of the products.
Financial projections- It provides the funds needed to accomplish the business plan.
In Chartridge development the plan is to develop cost structure according to the demands of
customer. This will provide flexibility to customers in paying the amount. Many of them are not
able to meet the requirements of company. It will be useful for those middle class customers
who wants to construct house but are not in position to provide the full payment. In addition to
this company objective is to expand customer portfolio, ie. Focusing on other types of customers.
Also, the company wants to upgrade its office and equipments that is used in designing the
project. Providing training to employees on how to communicate with high class customers can
built up some confidence in them. They will be able to work independently and taking decision
on their own at crucial times (Cassar, and et.al 2015) Moreover, company focus on managing
time for completing projects on time. If projects are completed on time it will enhance their
performance and they can focus on other upcoming project.
Business plan enables the proper functioning and operating the activities of every
department in organisation. By implementing effective strategies the results can be evaluated in
each department.
3.3 Preparation of action plan to implement changes
Action plan is created for taking various steps in achieving the desired goals. It specifies the
resources and strategies that are needed to attain that goal. It ensures that organisation must
implement the idea in achieving the objectives. Steps included in action planning-
 Identification of objectives
 Measurable and achievable objectives are set.
 Tasks are sorted on the basis of their priority.

 Steps are identified to achieve the goal.
 Deadline of completing the task is set
Objectives Tasks Success criteria Time frame
Strategy
improvements
By implementing the
changes in
organisation
If strategies are met
with required
performance of work
1.5 months
Strategies
effectiveness
Evaluating and
monitoring changes
If strategy
implementation
become successful
with change in
organisation situation
4 weeks
Time management Setting deadlines Completion of project
on time
1 month
Work efficiency Measuring
performance
Focus on other areas
of work
2 months
Lo 4
4.1 Impact on proposed changes on the business
In order to be a successful organisation, the areas must be assessed where possible
changes are needed and what will be the impact on results due to those changes. The
organisation must be prepared for adopting those changes. Management with employees must
make a plan on how these changes will be implemented. Change management can be used by the
employees and management in order to implement these changes which will lead to adopting
changes in less time. By implementing change management, Chartridge development can
attract large number of audience and increase their revenue by providing variety in products..
With effective use of technology the designing of project and 3-D model can be done which will
save time and cost and itr will be useful to customers in knowing interior and exterior design of

house (.Bryson,. and White., 2016. ) By using the time management company will be able to
complete the projects on time and hence they can focus on upcoming projects, their performance
will be increased. Customers' choice will be expanded by increasing variety in products such as
shopping malls, apartments, villas, etc. the company can meet customers' needs. With the use of
advanced equipment, workloads of employees can be reduced and time will be saved. Changing
the cost structure and providing flexibility in payment methods can help in gaining customers
loyalty and satisfaction.
Overall the enterprise will have a great impact by implementing the change management
technique.
4.2 Preparing business plan to manage the changes
For implementing change management enterprise can use the steps of kotter model of change. It
will help in implementing change powerfully and successfully. It includes eight steps that are as
follows:-
Create urgency- it means that develop a sense around for the need of change. It will help in
motivating the things to go on (Schaper, and et.al, 2014)This business can do this by identifying
potential threats and risk associated with it or examining opportunities that can be exploited.
Taking feedback from customers and stack holders. Chartridge development must make
urgency of change in payment method to attract middle class customers.
Form a powerful coalition- motivate people that change is necessary. For this leaders and
managers must lead the employees from front. Therefore, a team of people should be formed to
lead and motivate the change. Enterprise can work on building team within the change coalition.
Company should prepare a team for implementing changes in payment method.
Create vision for change- linking change with the vision of organisation will be easy for people
to adopt quickly and remember. A clear vision will help people in understanding the need for
change, thus they will start contributing in that direction. Enterprise can create a strategy to
execute the vision or develop short summary about the future. It will change the objectives from
high class to middle class that will lead to change in overall vision.

Communicate vision- success is determined when vision will be communicated to everyone in
the organisation. Daily make the decisions and solve problems regarding to achieve the vision.
The employees will respond and remember if it is kept fresh in their minds. For this entity can
talk often about vision change or by addressing people openly (Storey, 2016 ) Also, applying it
to all levels of organisation. It must be communicated to employees and customers to gain more
customers.
Remove obstacles- remove barriers that are restricting employees to move towards the change.
By doing this people will get power to execute vision for moving forward. Company can hire
leaders whose role is to deliver change by removing barriers. Also, rewarding people who have
successfully implemented the change. This will encourage other people to adopt change. By
removing the gap that company now focuses on both high and middle class people needs.
Create short term goals- this can be done in change management so that employee know that
it was good decision to implement change. It creates positivity in the behaviour of employees
and stack holders. If short term goals are achieved then plan can be made for long term. People
will find it very easy to attain short goals, thus by adopting change. Business can choose small
targets that are expensive but can be attained easily. This will justify investment needed for long
term projects. The task can be divided among small parts and responsibilities like project
development, technology uses can be done for employees.
Build on the change- keep improving and changing the projects and objectives. If one project
got failed try another. It will provide an opportunity to identify what went wrong and how to
improve it (Eid, and El-Gohary, H., 2013). This can be done by analysing what went right in
successful projects. Bringing new leaders for change coalition and learning about kaizen. It will
change their strategy and now they will also focus on other customers.
Adopt change in corporate culture- finally the changes can be made in corporate culture. To
ensure that change is adopted in every level continuous efforts must be made. The leaders should
also support change otherwise it might affect the results. To ensure this the enterprise can include
changes in values while training the new employees. Inform about the progress that has been
attained by implementing change.

4.3 Monitoring improvements in the business
Everyday meetings can be done in order to find out the results and monitor change
management. Further, taking continuous feedback from clients will help them to assess their
weak points and they can focus on that. A performance report can be made in specific time
period which will help in evaluating their performance with desired outcomes. This enables the
firm to take corrective actions if results are not coming in their way. Evaluation of performance
must be done in order to find out the variances and getting the things done in right way.
Managers and leaders should also monitor the changes that has been implemented in the
organisation. The changes in employees behaviour must be monitored by observing them in
workplace or if they take any decision regarding the strategy. Moreover, training programs must
be started so that changes that has implemented in the enterprise can be communicated to
employees.
CONCLUSION:
This report throw light on the various small-sized business and its strengths and
weakness. Each one of them is having their own pros and cons. In order to evaluate the
performance of business, various measures used are finance, HRM, revenue, etc. is discussed.
Chartridge development is having the opportunity to grow by both product and market
development. Their current business objectives' emphasis on the performance, time management
and designing. Business plan of improving the payment method and cost structure is made to
incorporate changes in organisation. What actions is to taken to implement change management
and its eight steps is discussed. The impact of change management on such enterprise is clearly
expressed in this report.

REFERENCES:
Schaper, and et.al, 2014. Entrepreneurship and small business.
Storey, D.J., 2016. Understanding the small business sector. Routledge.
Eid, R. and El-Gohary, H., 2013. The impact of E-marketing use on small business enterprises'
marketing success. The Service Industries Journal, 33(1), pp.31-50
Curran, J. and Storey, D.J. eds., 2016. Small firms in urban and rural locations. Routledge..
Giaoutzi, and et.al, 2016. Small and medium size enterprises and regional development.
Routledge.
Bryson, A.J. and White, M., 2016. When Does HRM'Work'In Small Business Enterprises?.
Cassar, and et.al 2015. Alternative information sources and information asymmetry reduction:
Evidence from small business debt. Journal of Accounting and Economics, 59(2), pp.242-263.
Cant, and et.al, 2016. Key Factors Influencing Pricing Strategies For Small Business Enterprises
(SMEs): Are They Important?. Journal of Applied Business Research (JABR), 32(6), pp.1737-
1750.
Volery,and et.al., 2015. Entrepreneur ambidexterity: A study of entrepreneur behaviours and
competencies in growth-oriented small and medium-sized enterprises. International Small
Business Journal, 33(2), pp.109-129.
Brunswicker, S. and Vanhaverbeke, W., 2015. Open innovation in small and medium‐sized
enterprises (SMEs): External knowledge sourcing strategies and internal organizational
facilitators. Journal of Small Business Management, 53(4), pp.1241-1263.