Individual Report on Case Study: Little Dessert Shop Business Analysis

This individual report presents a case study analysis of Little Dessert Shop, examining various aspects of its business operations. The report begins with an introduction to the assignment and outlines the learning outcomes, which include understanding different business organization types and demonstrating knowledge of the relationship between a company and its environment. The report then delves into the different types of business organizations, including sole proprietorships, partnerships, and corporations, with a specific focus on why a partnership is the most suitable structure for the case study. The report also explores macro-environmental factors affecting the business, such as economic and demographic forces, and natural and physical forces. Furthermore, it applies Porter's Five Forces analysis to assess the competitive landscape of the dessert shop. The conclusion summarizes the key findings and the references used are also provided.

Individual report
Case Study based

Table of Contents
Introduction......................................................................................................................................3
Different types of business organizations....................................................................................3
Macro environmental factors affecting business.........................................................................4
Economic factors.....................................................................................................................5
Demographic forces.................................................................................................................5
Natural and physical forces......................................................................................................5
Porter’s Five Forces Analysis......................................................................................................6
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

Introduction
The assignment has been done in the form of Individual Report on a Case Study: Little Dessert
Shop. The learning outcomes of this assignment are to acknowledge various forms of companies
and demonstrating knowings of links among company and the working surroundings. The Case
study has been done through answering the queries of Marry Jones in the form of questions.
Report ends with conclusions based on analyses and knowledge gained after answering the
questions and research.
Different types of business organizations
Every workplace should grasp several legal setups which categories the authorities and
shortcomings of members in the workplace, management and risking living being and financial
structure. The type of business figures out which personal expense form structure to record and
the organization's and proprietors lawful liabilities. Business association, an element designed for
bringing out organizational structure. These companies are interrelated on report of
administering legal contracts and trading rights, land ownership rights.
Types of business organizations
Sole Proprietorship
Looking upon some of the sole ventures as individual leading. The companies are claimed by
single being, usually a being who has daily obligation about keeping the organisation going .
Sole ownerships own all the resources of the commercial enterprise and the welfare produced by
it. In addition to this they evaluate total responsibility regarding any of his weaknesses and
shortcomings. As per the legal measures and authorities, overall the proprietor is responsible.
Partnerships
Under partnership, the least of two persons are required to share profit and loss regarding one
company. In such firms, the legal procedure does not consider the business and its proprietors.
The interested parties that is individuals prepare a contract and work according which consists of
how interests and profits would be divided. How disputes and arguments would be settled and
how coming compliance would be merged. In initial days only policies are made as to how

partnership would be resolved if sometimes situation of separation arises. From starting stage to
split up stage rules are framed as to which procedure will be undergone to work out situations.
Marry and Sue can register them only as partner because for other types of organization;
number of owners should be either one or more than 10. Hence, Partnership is the only business
organization type which best represents Mary and Sue’s Little Dessert Shop..
Corporations
A Corporation, made and is acted upon, is recognised as a different and variant factor, separated
and longed from the individual who has the main aim in it. A corporation can be pressurized and
the legal actions can be taken and the one responsible can be sued and can go on authoritative
arrangement. The owners of organisation are its investors who hold major aim and act as
promoters. They are allotted the higher management whose aim is to modulate and frame
significant strategies. The company has his own identity and would not dissolve when any of the
partner setback.
Limited Liability Company (LLC)
The LLC is a moderately new variant of mixture earning structure which is presently admissible
among different parts of economic markets. It is supposed to deliver limited danger highlighting
work culture and the expense ratio and functional ability of an association. Evolution is highly
perplexing and official than that of an overall organization.
The businessman are persons, and the span of the LLC is typically got to known when the
organisational documents are found. At last whenever needed by selection of the single person at
the hour of end point. LLC's are assigned not to consist higher than two of the four qualities that
distinguish enterprises: Limited obligation to the grade of resources; congruity of living;
integration of the executives; and loose adaptability of ownership power.
Macro environmental factors affecting business
Definition:
The macro-environment in common - it's just climate in the market surroundings. It affects how
all business sources work, execute, decide and structure procedures at the same time. It is very
special, which means that business has to keep up with the changes. It consists of external
components that are not controlled by the organization but this definitely has an effect. The
variables that make up a large-scale climate are monetary elements, powers of separation,

mechanical elements, real character and powers, governmental and judicial powers, and cultural
and social powers.
Factors:
Economic factors
In common it can be said that the economy can be affected on two mandatory characteristics that
is level of organisation in production and the procedure to make decision on behalf of
consumers.
Some examples of economic factors affecting business:
 Rate of Interest
 Rate of exchange
 Recession
 Rise in Prices
 Taxation
 Demand and supply forces
The economic factors, especially Demand and Supply can help Little Dessert Shop to improve
business by delivering delicious and fresh dessert to target different segment customers. This will
control the supply of quality products in the market and as an economic effect, demand will
raise.
Demographic forces
One and all pieces of the economic market is suffered in regards to the global forces on people.
They are categorised by their educational level, cultural well beings, living standard and others.
Little dessert shop can improve its business by targeting niche market based on these
factors. Mary can shortlist the market based on Demographic forces and tries to identify area
where competition is low and try to fulfill the demand of this market where supply is low.
Natural and physical forces
All commercial enterprise essentially takes into consideration its natural resources and planet.
The other resources which can be renewed like jungles, agricultural products and those which

can not be renewed like coal, oil, minerals and the others. All of them are strictly linked to
production activities. So, natural and physical forces can be:
 Climatic flexibility
 Pollution
 Weather Situations
 Accessibility of both man made and artificial resources
 Legal compliance that manage surroundings
 Existence of specific biological species
This factor could help firm to deliver natural desserts which is pollution free and regulated by the
government. Health conscious people will show their interest to buy from Little Dessert Shop.
Porter’s Five Forces Analysis
The setback for the Five Forces Analysis belongs to these competitive forces:
1. Business competition (level of rivalry among existent firms)—intense rivalry leads to
decreased income expected for organisation in the aforementioned business. There is high
competition within Dessert Shop; hence, Mary and Sue require providing uniqueness in
their product to minimize this competition.
2. Terror of substitutes (products or services)— The available alternative goods will restrict
the power to hike cost. Little Dessert Shop has huge competitor, thus, Mary and Sue is
not in the position to increase the prices of the product and they have to sale their services
at comparably low price to survive in the market.
3. Negotiating quality of purchasers —compelling consumers have an important outcome
on monetary value. Here, due to large number of Dessert Shop’s; competition is strong
and buyer has high bargaining power.
4. Negotiating quality of suppliers—powerful suppliers can request superior cost and
restrict profit. Negotiating power of suppliers is reduced as suppliers who deliver best
quality Desserts at very cheap rate.

5. Barriers to entry (threat of new entrants)—act as a deterrent against new competitors.
There’s no barriers for entries and because of this, threat of new entrants are high. There
are certain formalities requires for any new startup to enter into this market. The huge
demand for Desserts attracts new entrants to enter into this business.
Analysing industry and rivals
Conflict in commercial enterprise is based on the fundamental financial constitution. It goes on
the far side the usual contenders. Conflict situations in an industry based on five powers are
crucial. The full capability of these quality ascertain the prospective for net income in the
business. The welfare is sounded in status of the long-term return on the funds provided. Various
companies have various advantages prospective, similar to the total capability of the five
different powers among companies.
Analysing economy to form a competition strategy
Business research allows an organization to build a large system that best protects against or
influences bad powers in support of itself. Understanding real sources of power is the key to
building real ingenuity.
Mary and Sue can achieve competitive advantage by making their product unique either
by minimizing the prices or increasing the quality of their product and services. All five forces
revolver around the competition in the same industry and this competition could only minimize;
if company sales unique product or same product in a unique way.

Conclusion
Both micro and macro factors affect a company's efficiency. All choices made by a company
must consider both of these situations. Advertising methods must also be based on them to
achieve business goals. During the killing of Porter's 5 powers; the mobile characteristics that
influence conflicts and benefits should be recognized by the great powers that structure the
fundamental structure of the business. Despite the fact that these moving variables may have
some strategic characteristics, the zero analysis of the fundamental characteristics of the sector
should not be included.

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