BM6005 Enterprise: Business Plan and Peer Review - Coffee Shop

This assignment presents a business plan for a coffee shop named 'The Cup with Roses,' utilizing the business model canvas to outline key aspects such as key partners, activities, resources, value propositions, customer relationships, channels, customer segments, cost structure, and revenue streams. The plan targets offices and colleges, aiming to create a user-friendly mobile application for ordering and payments. The assignment also includes a peer review section, where an online discussion group provides feedback on the initial concept, suggesting improvements in marketing, budget allocation, market needs analysis, competitor analysis, and resource allocation. The final section incorporates this feedback to reiterate and improve the business concept, emphasizing enhanced customer service, infrastructure development, and strategic cost management. Desklib offers a wide range of study resources, including past papers and solved assignments, to support students in their academic endeavors.

BM6005 Enterprise: Assignment 1
Create Your Own Business
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Table of Contents
Introduction...........................................................................................................................................3
Original Business Concept....................................................................................................................4
Peer group reflection.............................................................................................................................7
Concept improvement reiteration........................................................................................................10
Conclusion...........................................................................................................................................13
References...........................................................................................................................................14
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Introduction
At the time of creation of the own business, there are so many factors which must be taken
into consideration in order to avoid conflicts and problems. The current report is presented on
the topic i.e. creating your own business. The project will make the explanation of the three
elements like the original business concept, peer group reflection and the environment of
working. For the development of the new business, the business model canvas will be used
which has 9 elements and such elements will be discussed here in a proper manner. The
conclusion will be presented in order to make a determination of the outcome with regards to
the development of the own business.
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Original Business Concept
In order to develop or create an own business, there is the need for some kind of proposal for
the new venture. The proposal must be developed by taking into consideration all the related
factors with the support of which business is created. In this report, there will be a
development of the ‘Coffee Shop’ with a name ‘The cup with roses’. The trends of the coffee
cafes are increasing day by day among the individual of every age group. The development of
the new business proposal is being done with the support of Business model canvas. The
business model canvas is being considered as the great tool that support's in an understanding
model of a business is a structured and straightforward way. The utilization of this model will
lead to insights regarding the clients who are served, what kind of propositions are given
through which channels and how money is made by the company.
Business Model Canvas of The cup with roses
From the above-presented business model canvas of the coffee shop, it has been identified
that they want to target on the different offices and colleges which will support in the
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development and growth of the business in an appropriate manner. They are also having an
objective to make the development of the software and an application which will support easy
transaction and payment as well as in order. Customers can place their orders in three ways
like through application in mobile, directly on the website or at the store. Feedbacks will also
be taken from customers so as to make improvement in the products as well as services.
Revenue of the business will be generated with the support of order which is taken from the
customers as well as through the advertisement in particular shops of coffee. It is very
necessary to make the development of the business model canvas so as to have set aims and
objectives which will also give support for the development and growth.
Business model canvas consists of 9 elements which can be described as follows:
 Key partners: In order to make optimization of operations and to make a reduction in
risk, partners are required so that the main focus will be on core activities.
 Key activities: The major activities that support in the execution of the value
proposition of the company (Clarysse, 2014).
 Key resources: The resources which are required for the development of value for
the clients. They are defined as company’s assets who are required to support and
sustain the business.
 Value Proposition: The collection of services and products of a business required to
meet customer's need. Value proposition differentiates a business from the customers
(Spence, 2016).
 Customer relationships: To ensure the success and survival of the business, an
association must make identification regarding the kind of relationship they want to
develop with the segments of the customer.
 Channels: A company makes delivery of value proposition to the targeted segment of
customers with the support of various channels (Masulis et. al., 2017).
 Customer segment: To build an effective model of business, a company must make
identification regarding the customers they want to serve.
 Cost structure: It makes description regarding the significant consequences of
money while making operations in the different models of business.
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 Revenue stream: It is defined as the manner in which company makes the generation
of income from the segments of the customer (Amit and Zott, 2012).
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Peer group reflection
In this part, the idea of the new venture proposal which is of the coffee shop will be
communicated and presented in front of online discussion groups and with the customers.
There is the difference between views and ideas of the each and every person and they think
differently in the different situations. As per the view of the owner of the coffee shop, the
idea is well placed and the business will make an effective growth, but when discussed with
different groups of people, different issues are raised and in order to solve such issues,
several strategies will be developed with the contribution of the peer group. A discussion is
being done with:
On-line discussion group and customers group
I have made a proposal to open up a coffee shop with a name ‘The cup with roses', in order to
cater to the increasing demand for the coffee in the market. There is the strong growth in the
consumption of the coffee as well as in the coffee drinkers. By taking into consideration, this
factor, new business plan in regards with the coffee shop has been developed. The business
proposal is being made with the support of business model canvas so that there will be proper
description regarding key partners, activities, segment, revenue streams etc. The major
customers who are targeted are students, groups of businesses and young professionals. The
cup with roses will strive for the development of a loyal base of the customers by providing
good taste coffee in a relaxing environment. The business will be doing core marketing in
order to make promotion in different areas.
There will also be a development of the software and the application. With the support of the
software, there will be an ease in taking payments from the customers and it will also be easy
for the customers to make a payment. By making use of the application, customers can make
an order of the food easily by going through the menu which is being uploaded there. On
making an order through the application, they may also get some discount on the basis of the
available offers. The material will also be supplied to the new and growing coffee centers
which are being situated at the location where there is not much development (Tukker and
Tischner, 2017). Business’s competitive edge was also given to the peer group which
provides the reviews to the group of business. The development of the business will be done
on the different platforms where there will be the provision of the different services like
coffee, breakfast, play area and lounge services. Information has been given to the peer group
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that various innovations will also take place in the business in the coming stages so as to
make enhancement in the client base. The division of the budget is being done among the
most required things and other essential things which are needed for the development of the
business. The project's cash inflow will make incorporation of the facilities as well as an
investment being given by the venture whereas cash outflow will make incorporation
technical and marketing department that is operating in regards with the development of the
technology department for the business (Wilkin, 2016).
When the idea of the new coffee shop is being discussed by the online discussion group, there
are some problems also which has been raised by the group which can be defined as:
Focus on marketing activities: As per the discussion group, the company is not having
much focus proper promotion and marketing of the business, for this, they must make some
improvement in their plan. Proper promotion of the business just not be done in the market
but should also be done online. People now a day are tech savvy and are making much use of
social media. Promotion on these platforms will be very supportive of the company as it will
make increment in the customer base.
Increase in the budget: The Company must also make increment in the budget for the
proper development of the infrastructure as it is the thing which attracts the customers most
in the shop. The overall ambiance and looking of the cafe plays an important role in the
growth of the business.
The market needs: Before starting a business of the coffee shop, there must be proper
analysis in regards with the needs and requirements of the customers which will support the
company to make the development of such kind of products and services so that there will be
an increase in the customers as well as profit of the business.
Competitor analysis: There is the high competition in the market of the coffee, so it is very
necessary for the company to have a proper analysis of the different competitors who are
there in the market as they will make an impact on the growth of the business (Robinson and
Simons, 2018).
Appropriate allocation of the resources: in order to make the development of the effective
business, there is a requirement of the various resources like financial resources, human
resources, technological resources etc. that gives support in the development of the business
in an effective and efficient manner. Sometimes there is the scarcity of the resources at the
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time of business development, so it is suggested by a peer group that allocation of the
resources must be done in advance (Pott and Pott, 2012).
The different types of suggestions which are gathered from the peer group, where the
discussion is made regarding the future ways and services where there is also the suggestion
to take legal actions against the clients who will not follow rules and regulations as well as
distinct policies. They have also suggested that company must make the development of the
profile of the various registered users so as to make fulfillment of their demand as per their
needs. All such things are taken into the consideration and several improvements are being
done in the plans of the business for the more improved business growth. The software which
will be developed by the company with the support of the developer must be well versed with
privacy and security measures as it contains data and information of the customers which
cannot be lost at any cost. Customers are the main source of the income and they trust on the
company by sharing their information so it is very necessary for an association to maintain
the privacy of their data so as to maintain their trust and loyalty.
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Concept improvement reiteration
Feedback of Business Canvas Model:-The Business Canvas Model acts as a discovery
platform for all the independent small-scale ventures that are created. Some improvements
are needed in the business canvas model that was prepared above for The Cup with Roses.
The feedback provided by the clients revealed that more strategies should be applied for
enhancing the services of the coffee shop. Firstly, the budget needs to be improvised
according to the requirements and develop the customer services by providing the orders
faster and increasing the satisfaction level of the customers. The Company will make budget
increment for the proper development of the infrastructure as it attracts the customers most in
the shop. The overall ambience and looking of the cafe plays an important role in the growth
of the business. The cost structures that are limited to make the coffee-shop are also taken
into concern and new elements are added in order to earn higher revenues and make a good
impact on the stakeholders. The elements added in the cost structure are the infrastructure,
staff salaries, linking with agencies, trained and experienced staff, training the staff per legal
terms, marketing costs and advertisement costs. It is important to create awareness among
the stakeholders that what services are provided and what strategies are used.
Improvised Business Canvas Model
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Table: Improvised Business Canvas Model
(Source: Created by the researcher)
After going through the feedback, improvisations were done in the above-made Business
Canvas Model. The canvas helps in being accountable to the stakeholders and it makes sure
that no future problems arise and the errors and mistakes are taken care of. The clients
focuses on increasing the budgeting amount and adding staff salaries and providing proper
description regarding key partners, activities, segment, revenue streams etc. Also the major
customers that are targeted include the students, groups of businesses and young
professionals. The local people are also added in this list as they will remain the main and the
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major clients for the coffee-shop. Also, the travellers are added in the list as they are the
main customers for the coffee shop, so they are also added in this model. The Cup with
Roses will try hard for the development of loyalty base of the customers by providing good
taste coffee in a relaxing environment and also keeping the place environment friendly. It will
be doing core marketing in order to promote in different areas and attracting various
stakeholders. The cost structure included the cost of the office infrastructure as well as
salaries and marketing and advertisement costs. The training sessions need to be added in the
cost structure as to train new staff lot of time and money is required. Trained and soft-spoken
staff should be hired for Cup with Roses which will be a market strategy for attracting the
travellers and other customers. The above improvised business canvas model will provide
the stakeholders to get a better outlook on the requirements for setting up a coffee-shop.
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