Enterprise Creation Report: Funding, Operations, and Market Research

This report delves into the critical aspects of enterprise creation, focusing on the establishment and growth of a furniture business, 'Royal Furniture.' It meticulously examines the importance of securing funding, outlining key business operations, and conducting thorough market research to identify target customers and analyze competition. The report covers sales forecasting, the management of running costs and expenses, and the development of both short-term and long-term objectives, including brand recognition, customer acquisition, and market expansion through online and offline sales channels. It details the business structure as a sole proprietorship, discusses facility architecture, training and development for employees, and the role of marketing, particularly through market research and consumer feedback. Furthermore, the report analyzes various marketing channels, such as network marketing and email marketing, alongside pricing strategies like slashing prices, emphasizing quality, and everyday low pricing. It concludes by exploring different costing methods, including fixed, variable, indirect, direct, opportunity, and operating costs, providing a comprehensive overview of financial planning and business management within the furniture industry.

Enterprise Creation

MAIN BODY
It explains importance of funding, business operations which are to be taken into account, market
research which has to be carried out, forecasting of sales related activities, running costs and
expenses as well and in what ways it would prove to be helpful in coming years.

Short Term (0-12 months)
Further another objective of the business is to establish their position in the market so that people
will know them and their work. It is important for them to complete their assignment as and
when they are allotted to them that helps them in developing their goodwill in the market for the
long period of time. If the order the business will get will be delivered on time, then the
customers will start developing interest and trust in them and if the quality of the furniture is
good then their value will start developing in the market. It is important for them to capture the
market at the initial level as the customer base maintained at the beginning would be retained for
the business for the longer period of time.
Medium Term (12-36 months)
This would also enhance their goodwill in the market and through online sales their revenue and
profit will get enhanced at the same time. In today’s world nobody has time to visit the
showroom on the workshop. Their facility on the online platform is such that they could provide
customers, furniture on customized basis according to their requirement as well. By adopting

both this technique they will easily get their online and offline sales which help them in
expanding the business at the large scale. Online platform provides them new customers from the
different cities which supports the business in an effective manner.
Long Term (36 months onwards)
These objectives are helpful in transformation of business by making bigger and better in the
upcoming future. The long-term objective for a furniture business can be following:
• To extend the market reach for growing the revenue in different and specific ways.
• The most important long-term goal for every business is to increase the sales with huge
profit margin. Set a monthly objective to give yourself something to aspire for if your
goal is to grow the number of clients or customers you have by the end of the year.
• The other long term business objectives are to create awareness about brand and its name
recognition. This is not a one-time event; it is a long-term process. Being instantly
recognizable in your community, on the other hand, goes a long way toward acquiring
new customers and keeping old ones.
• Nowadays, social media popularity plays an important role in increasing the reputation
and followers for your product. Firstly, the best and effortless way to get customer’s
attention is by providing amazing services and hence, getting many positive reviews as
much as possible.

Furthermore, the business entity chosen by the entrepreneur, whether a sole
proprietorship, a partnership, a limited liability partnership, a one-person company, or any other
enterprise, must be included in the business model, as well as any other mandatory registrations
for the firm, such as a Shop Act License, GST registration, and so on. The mentioned firm
‘Royal furniture’ is a sole proprietorship firm with a variety of ranges available in which it
expands its business.

Whether it's milling, drilling, grinding, or final assembly, the facility architecture must be
properly analyzed for best space utilization and to save time spent in each department.

Furniture designers normally start the process by translating their thoughts into blueprints, shop
drawings, computer-aided designs, or other comparable plans from which the pieces of furniture
are made.
Companies may also send workers to various training programs outside of the organization to get
technical knowledge or to enroll in a course that is related to their job role. TNA is generally a
component of the assessment process, and at the end of the year, an employee must have
completed all of the manager's training and development needs.
Training and development, which was formerly undervalued, is now a critical component of
every company's overall strategy.

Terry Hatcher is the company's marketing manager. Terry came to Royal Furniture from the
marketing department of the Thomasville Furniture business, where he oversaw national catalog
manufacturing and advertising. Terry also employed as a direct sales supervisor for a furniture
wholesaler, which closed owing to merger and acquisition. Terry earned a B.A. in literature from
the University of Washington.

• With the help of market research, furniture business is able to improve their customer
services by taking corrective measures.
• The research helps in making the marketing effort more effective by analyzing all the
factors which influences the business and taking corrective actions in the marketing
campaigns to get more customers.
• It may confidently make great marketing decisions armed with your market research
findings. You may confidently launch fresh campaigns, knowing that you've personally
communicated with your target audience and can craft appropriate messaging.

Consumers who have used your product evaluate it both offline and online and can suggest other
consumers to it via word-of-mouth marketing. When it comes to testing new products and
services, people prefer to follow the advice of people they know, thus this marketing is both free
and successful. Customers are which can develop a business and would also contribute in
dissolving as well. They are useful and helpful for reaching targets and setting up of goals as
well, it would be necessary for the companies to fight competition and attract more and more
people from market by forming a chain which would prove to be fruitful in coming years.
Consumers are counted as a base foundation for every business which would help in overcoming
hurdles which would come in between the growth and expansion of firm.

Conclusions
It can be concluded from above prepared table which explains competition prevailing in the
environment and its connected or linked competitors as well. It would be helpful in assessing
what strengths are being possessed by a business over a period of time and what have been its
weakness as well. It helps to understand which competitor is having and ascertaining which
capability and ability to compete.

Channel Method Timing Cost
Networkin
g
Network marketing is a channel
similar to direct selling in which
salespeople earn sales through
their personal networks. They
could, for example, promote a
product on their own social media
to inform their relatives and friends
about it. This sort of marketing
channel emphasizes on educating
people about the product and
making a direct sell to them using
information, photographs, or your
personal observations of the
product's value. Another example
of a communication marketing
channel is networking marketing.
This channel is
time taking
because it
takes time in
making
connection
through
personal
network
The cost is
high due to
networking
and earns
through
personal
networks
which causes
high
expenditure.
e-business Email marketing is another form of
communication marketing medium.
This channel refers to promotional
emails that have a specific
message and are distributed to a
targeted audience. A forthcoming
discount, a new product release, or
modifications to a known product
This channel is
less time
taking in
providing
information to
the targeted
consumers.
The cost
incurs here is
very less with
comparison to
other channels
as it provides
information on
a single click.