New Venture Report: Delicious Dishqo Restaurant in London Market

This report details the launch of Delicious Dishqo Restaurant in London, focusing on market analysis, target market identification, and competitive analysis. It outlines the tangible and intangible resources required, including financial planning, staffing, and branding. The report formulates a credible proposal for the venture, including an executive summary, company description, market analysis (SWOT and PESTLE), and benchmarking strategies. It also emphasizes the skills and capabilities needed by the entrepreneur, such as fundraising, management, risk-taking, and decision-making. Furthermore, the report covers promotional activities and channels for both pre-launch and launch phases, including a detailed promotional plan and a monthly cash budget. Finally, it discusses the appropriate legal form for the venture and provides a conclusion and references.

Launching a New Venture

Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1: Identification of specific target markets and competitive analysis..................................3
P2: Specific tangible and intangible resources that required for a new venture....................5
TASK 2............................................................................................................................................6
P3: Formulation of credible proposal to launch a new venture..............................................6
P4: Skills and capabilities required to launch a new venture.................................................7
TASK 3............................................................................................................................................8
P5: Determination of promotional activities and channels for launching new venture.........8
P6: Formulation of appropriate promotional activities plan for both launch and pre-launch
................................................................................................................................................9
TASK 4............................................................................................................................................9
P7: Monthly cash budget for the pre and after launch phase.................................................9
P8: An appropriate legal form for the venture......................................................................14
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
An individual having adequate resources may decide to start a new venture in order to
fulfil needs and requirements of customers and earn maximum profits within shorter period
of time. Along with the resources, an individual should also require to have an effective skills
and capabilities to deal with challenges and problems that may come in the process of
execution of business activities. This makes an individual a good entrepreneur. The present
assignment report is based on the Delicious Dishqo Restaurant, a new venture which is going
to start in London Market in United Kingdom. The project includes identification of target
market and competitive analysis along with the tangible and intangible resources required in
launching a new venture (Burns, 2017). Different skills and promotional activities which
support new venture in achieving growth and success are also discussed under this report.
The project also summarises the development of promotional plan before launching new
venture along with the cash budget. Other aspects are also discussed under this report with
the context of Delicious Dishqo Restaurant.
TASK 1
P1: Identification of specific target markets and competitive analysis
Delicious Dishqo is a restaurant which is going to launch in London Market with
multiple cuisines. Such restaurant has serving large number of dishes and services with an
objective of attracting large number of customers across worldwide. Thai, Spanish, Chinese,
Indian etc. are some dishes which are going to be served by restaurant. The ideas of starting
new venture come in the mind of entrepreneur after carefully analysing the market and
preferences of the customers. It has been find out from the information collected from
research that mostly customers are willing to visit restaurant with a motive of enjoying foods
of different nations at one place. It has been also identified from the research that London is
the perfect place for launching a new restaurant as London is considered as most popular
tourist destination which attracts large number of customers every year. It will bring
beneficial for restaurant which increases the chances of sustaining in market for longer period
of time (Ettlie and Rosenthal, 2012).

An entrepreneur start a restaurant with helps of partners in order to get adequate
support from them related with resources, ideas and innovation etc. Delicious Dishqo has
acquired approx. 1500 square feet near London Eye on lease of 5 years with the purpose of
operating business operations on continuous basis without facing any hindrances. As a
partnership firm, large amount of funds can easily arranged from different sources such as
own capital and bank loans which around £340000 to 349560.
Objectives
 To achieve huge customer strength
 To capture large market share
 To generate huge profits
 To attain strong brand image in market
Mission: “To offer quality and healthy food products which helps in maximising the level of
satisfaction of customers”.
Target market
It is essential for entrepreneur to first analyse the market environment before decide to
exist in market. It helps them in identifying in advance about the challenges and opportunities
on the basis of which an effective plans and strategies are formulated (Fernhaber and Li,
2013). As it is important to analyse the trends and customer’s taste and preferences on the
basis of which all departments are given suitable direction. The market is divided or
segmented on the basis of Demographic, Geographic and Psycho-graphic.
Demographic: Such segmentation is classified on the basis of gender, culture,
religion, age, income level etc. It will help management of Delicious Dishqo to make an
effective decisions and plans after analysing such factors. For example, Young generation
preferred more to visit restaurants with their friends with an expectation of getting food
products of different nations. Therefore, it must require for management to focus on
attracting them more (Johne, 2018).
Geographic: Such segmentation is classified on the basis of location. It helps
entrepreneur make decision regarding locating restaurant where they get maximum crowd.
For example, London is an appropriate place where the large number of visitors are arrived
due to which the restaurant can get maximum number of customers.

Psycho-graphic: In this, market is classified on the basis of lifestyle, personality of
people etc. thus need to be analysed carefully. As hiving higher and middle income group
mainly spends on foods given by restaurants thus it is important to target them and make
attractive plans for such group.
Competitive analysis
In order to survive in competitive market for longer period of time, it is important for
entrepreneur to make proper analysis of competitors which are currently exist in market. This
will help them in making an effective competitive decisions and plans to compete with their
rivals. As Delicious Dishqo will be operated in London where large number of competitors
are present such as The Led Bury, Liman restaurant etc. Such rivals are already have attained
huge customer base therefore it becomes too difficult for an entrepreneur to start a new
venture. So, it is important for them to focus on their quality and variety of food products so
as to gain maximum number of customers (Klotz and et. al., 2014).
P2: Specific tangible and intangible resources that required for a new venture
The business operations can be operated successfully only when an enterprise have
attained adequate resources which can be tangible or intangible in nature. Such resources can
be described into two categories such as tangible and intangible. Tangible resources refers to
such materials or asset which are available in physical form such as employees, equipments,
funds, land, food items etc. Whereas Intangible resources includes such which cannot be seen
or touched but gives valuable roles in making business more successful. Delicious Dishqo is
such a restaurant which has offering food products of multiple nations with an objective of
attracting large number of customers from different nations. It also offering the take away
services through which the customers can order food items from their home and get delivery
at door step. As the business is formed in partnership thus they are the responsible to allocate
resources on such areas where they get ensured about achieving maximum possible result.
Such resources are briefly described as under:
Tangible resources: It includes the material or asset of company which are visible in
nature and can be seen and touched such as employees, land and building, funds, food items
etc. thus contributed maximum efforts in making business more successful within shorter
period of time. Fund are the main tangible resources with the help of which all other
resources can be acquired. Therefore, it can easily said that if the business have an adequate
resources then the chances of getting success within shorter period of time will be more.

Intangible resources: It refers to such which are not physical present thus cannot be
seen or touched but play an important role in the success of new venture. It includes
trademarks, culture, goodwill, customer relation etc. The business operations can be operated
successfully on the basis of ideas and technologies which need to secure from their rivals
through using different tools such as copyrights, trademarks, patent etc. Due to this, an
entrepreneurs are able to secure their innovation which makes their restaurant unique and
different from their rivals (Morris, Kaplan and Jeffrey, 2014). Branding is an important
element through which they can easily recognised in market through their symbols or logo. It
helps in making different identity in market due to which the chances of achieving
competitive advantage will be more. Identity in market, participation of employees, goodwill
etc. increases competition in market. Therefore, intangible resources are also play a valuable
role in the success of an organisation.
TASK 2
P3: Formulation of credible proposal to launch a new venture
The growth and success of new venture is based on the capabilities of an
entrepreneurs regarding formulation of plans and strategies which ensures in achieving
desired goals and objectives. Through conducting research about the trends and preferences
of customers, the management are able to make effective plans so as to achieve better
possible outcomes. Further plan should be made for the Delicious Dishqo Restaurant in the
following manner:
Executive Summary Delicious Dishqo is a new restaurant which deals in offering
quality and healthy food products if multiple nations in order
to attract customers throughout the world. Food items includes
sandwiches, burgers, ice-creams etc.
Company description An entrepreneur has come with a mind set of offering new and
demanded food products of different nations which makes
them different from their rivals. As with the hope of attaining
huge customer strengths, an entrepreneur decide to start new
enterprise in London city where large number of visitors are
visited. Due to this, the company can easily achieve success
and generate huge profits.

Market Analysis It is essential to analyse the market due to which the
management are able to make an effective decisions and plans
so that success can be achieved within shorter period of time.
For this, SWOT and PESTLE analyse shall required to be
conducted in order to find out the factors which affects their
sustainability. Therefore, analyse of market is must.
Financial protection In order to launch Delicious Dishqo in more appropriate way,
it must require to have adequate amount of financial resources.
Thus it plays an important role in acquiring assets and
equipments used in execution of business operations.
Benchmarking Setting benchmark will bring motivation among owners and
employees to work hard and give their maximum efforts in
fulfilling commitment. It directs them to execute business
operation according to the standards due to which they can
maximise the satisfaction level of customers and build brand
image in market.
P4: Skills and capabilities required to launch a new venture
The growth and success of new venture is not only based on the resources but also the
skills and attributes of entrepreneur through which all business decision are taken to execute
business operations in more effective and efficient manner. Having an adequate skills and
proper knowledge will help in operating business in complex business environment and grab
an opportunity to achieve huge customer strength. Such skills and capabilities are described
as under:
Ability to raise money: Money is an important aspect which supports an enterprise to
run its business functions more smoothly (Read and et. al., 2016). Thus, it is important for an
entrepreneur to have skills of arranging and raising funds from different sources as it
becomes difficult for new venture due to lack of trust and reliability. Therefore, skill of
convincing financial institutions, venture capitalist etc. should must acquired by an
entrepreneur.
Management skills: It is important for an entrepreneur to manage and allotment of
funds of such areas where they can get profitable outcomes in near future. It is also important

to allocate resources so as to utilise them in an optimum manner. This will help in generative
huge profits and high sustainability.
Risk taker: As entering tin market is quite challenging for new venture due to
complexity and contingency of market environment. Therefore, an entrepreneur must have
risk taking abilities so that they can motivate their workers and took decisions in order to deal
with risk factors in more effective and efficient manner (Sidik, 2012).
Decision making skills: An entrepreneur must have attained decisions making skills
which help in formulation of effective plans and policies for the betterment of an enterprise.
As there are internal and external factors exist in business environment which affects their
business operation in adverse manner thus to deal with such factors, an effective decisions
must required to made.
Leadership skills: It is important to bring motivation and confidence among
employees due to which they can work hard and focus on achieving desired goals and
objectives. Therefore, an entrepreneur should have leadership skills due to which they can
motivate their workers and enforces them to work hard so as to achieve growth and success
within shorter period of time.
TASK 3
P5: Determination of promotional activities and channels for launching new venture
There are different promotional channels and tools through which Delicious Dishqo
can be promoted in market in positive manner. It helps in grabbing an attention of large
number of customers throughout the world due to which the restaurant can receive huge
number of customers. Such promotional activities include:
Social media platform: It is such platforms where the large number of people are
active thus become a profitable platform through which the company can attract them
towards the products and services offered in market (Yu, Chen and Nguyen, 2014). It
includes Facebook, Instagram, Twitter etc. Thus, it is an effective way of attracting and
interacting young generation at less time.
Mobile Billboards: It is considered as an effective promotional tool which helps in
grabbing an attention of large number of customers throughout the world with the help of

their punch lines, stickers, logo etc. It helps them in recognising in market and make unique
and different from their rivals.
Personal promotions: It includes such tactics of providing information to public with
an objective of attracting them towards the food products and services they newly offered in
market. Such tactics includes distribution of catalogues and brochures among the local
community. It help in gathering people’s views and help in maintaining strong bond with
them due to which they can make them loyal customers.
P6: Formulation of appropriate promotional activities plan for both launch and pre-
launch
It is essential for Delicious Dishqo to grab an attention of lots of customers through
designing promotional activities before and after launch of restaurant in market. As due to
high competition in market, it is necessary for management of Delicious Dishqo to make an
effective decisions and plans in advanced so to compete with them in an effective and
efficient manner and find own position in market. Therefore, launching restaurant in an
effective way will bring interests among customers to visit at once.
Pre-launch promotion: At this stage, the management make all plans and strategies
in advance in order to launch business in market more successfully. Such activities includes
promotional activities, preparation of websites etc. with an objective of attracting minds of
customers (Zafar, Yasin and Ijaz, 2012).
Launch: This is the stage where the new enterprise is launching in the presence of
media representatives and celebrity so as to spread information in front of public. Publishing
advertisement on newspapers, Live telecasting on TV will help in reaching to the maximum
number of customer’s mind. Through this, it gets an opportunity to Delicious Dishqo to build
strong bond with the public which directly make positive impact on their new business.
TASK 4
P7: Monthly cash budget for the pre and after launch phase
Cash budget provides information regarding the cash amount spend on each business
activities in achieving desired goals and objectives. It informs management about the
adequacy of funds so that they can arrange funds if any shortage found. It provides an
opportunity to the management to manage and allocate funds to different business activities

with an expectation of getting maximum output in return. Therefore, it is also required for
Delicious Dishqo to prepare the cash budget before the launch of restaurant and after 12-18
months.
Cash budget of Delicious Dishqo restaurant before launch
Year 2015 Jan Feb Mar April May
Food Sales amount 42,152 42,563 43,526 43,568 44,124
Beverage Sales 19,751 12,451 12,456 13,452 14,528
GROSS SALES (Total) 61,903 55,014 55,982 57,020 58,652
COGS
Food 14,525 14,046 14,364 14,377 14,561
Beverage 6,515 3,113 3,114 3,363 3,632
GRAND TOTAL 21,040 17,159 17,478 17,740 18,193
GP 40,863 37,855 38,504 39,280 40,459
General and
Administrative
Employees Salaries 15,476 13,754 13,996 14,255 14,663
Management Salaries 3,400 3,400 3,400 3,400 3,400
Employer
Taxes/Benefits (15%
Wages) 2,265 2,058 2,087 2,119 2,168
Employees 1,133 1,029 1,044 1,059 1,084

Compensation (6%
Wages)
Advertisement 800 800 800 800
800
Bookkeeping 150 150 150 150 150
Credit Card Charges
(1%) 619 550 560 570 587
Insurance 250 250 250 250 250
Legal and Professional
Fees 100 100 100 100 100
Misc. Other 250 250 250 250 250
Office Supplies 175 175 175 175 175
Rent 3,200 3,200 3,200 3,200 3,200
Repair and
Maintenance 300 300 300 300 300
Small Equipment 200 200 200 200 200
Telephone [phone]
Garbage 200 200 200 200 200
Utilities 1,200 1,200 1,200 1,200 1,200
Total Gen. and Admin.
(Fixed) 29,867 27,766 28,062 28,378 28,876
NET PROFIT OR LOSS 10,996 10,089 10,443 10,901 11,583
SBA Loan 3,582 3,582 3,582 3,582 3,582
Cash Flow After 7,414 6,507 6,861 7,319 8,001

Financing
Draw 4,000 4,000 4,000 4,000 4,000
Net Cash Flow 3,414 2,507 2,861 3,319 4,001
Accumulated Cash
Flow 5,921 8,782 12,101 16,102
Average Daily Sales /
22 days 2,814 2,501 2,545 2,592 2,666
Cash budget after first 12-18 months
June July Aug Sept Oct Nov Dec
YTD
2013
44,325 44,658 45,210 45,325 46,251 46,325 47,125 5,35,152
15,574 15,487 16,421 16,251 17,452 17,245 17,845 1,88,913
59,899 60,145 61,631 61,576 63,703 63,570 64,970 7,24,065
-
14,627 14,737 14,919 14,957 15,263 15,287 15,551 1,77,215
3,894 3,872 4,105 4,063 4,363 4,311 4,461 48,806
18,521 18,609 19,025 19,020 19,626 19,599 20,013 2,26,021
-
41,379 41,536 42,606 42,556 44,077 43,972 44,958 4,98,045
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