Entrepreneurial Opportunities: Restaurant Business Plan

This report, focusing on 'The Italian Table,' a small and medium-sized restaurant venture, delves into the intricacies of identifying entrepreneurial opportunities. It begins by exploring various sources of entrepreneurial ideas and innovation, emphasizing external environmental factors like social, economic, technological, political, and environmental influences, alongside Drucker's seven sources of innovation and different innovation types. The report then proceeds to a market gap analysis, employing techniques such as customer identification, marketing segmentation, and an examination of industry environment factors, including competitors, suppliers, and customers. Data is presented to evaluate the gap analysis, and marketing potential is assessed through the interpretation of survey results. Finally, a SWOT analysis is conducted to evaluate the entrepreneurial idea, coupled with an assessment of competitiveness and market environments, culminating in conclusions and references to support the analysis.

Identifying Entrepreneurial
Opportunities

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Determination and evaluation of different sources of entrepreneurial ideas and innovation 1
TASK 2............................................................................................................................................3
P2 Explain the rationale and the market gap for a specific entrepreneurial idea........................3
TASK 3............................................................................................................................................5
P3 Presenting data to evaluate gap analysis................................................................................5
P4 Interpretation of data to provide evidence of marketing potential.........................................6
TASK 4..........................................................................................................................................10
P5. SWOT analysis to assess the entrepreneurial idea..............................................................10
P6 Evaluating competitiveness and market environments........................................................11
CONCLUSION..............................................................................................................................12
REFERENCES .............................................................................................................................14

INTRODUCTION
Entrepreneurship is a concept which includes the activities related to designing,
launching and running of a new business. These ventures are small in nature and required large
amount of resources to carrying business activities effectively. The individual and person who
create new start-ups are known as entrepreneur. It determines risk taking ability in order to
maximise income and growth easily. Launching and running a new business is required specific
abilities to perform properly in challenging situations. Through this, an entrepreneur can grab
several opportunities to maximise their business structure in target market (Farmer, Yaoand
Kung‐Mcintyre, 2011). This report will defined about the planning of a new venture as “The
Italian Table”. It is a small and medium size restaurant. This project represent evaluation of
different sources of entrepreneurial ideas and innovation and market gap analysis with relevant
tools and techniques. It will also determine Swot analysis of organisation and Evaluation of
environment factors to test viability of business ideas.
TASK 1
P1 Determination and evaluation of different sources of entrepreneurial ideas and innovation
For a new venture, it is required that entrepreneur determine several resources that helps
in maximising growth and profitability easily. In this process, they need to use innovative ideas
and creative thoughts to make desired changes and modification on the bases of customer's
requirement and need. There are different sources of entrepreneurial ideas and innovation which
are given below as -
External environmental sources: Social factor : According to this factor, entrepreneur requires to be aware about market
trends and customer demand to opt a better choice. This factor is consider individual's
desire and obligation towards a unique and new idea. Thus, they can initiate a new
opportunity in target market. Economical Factor: This factor is essential to composing appropriate growth and
evolution practices on the bases of new ideas. UK has better economical condition, so it
can be an advantage for entrepreneur to associate their business with amended
opportunities. It can be a better choice for an entrepreneur to execute their ideas in those
economies.
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 Technological Factor: For an entrepreneur, it is essential to analyse execution process of
technology in their business idea to grab maximum opportunities easily. An innovative
idea is associate with technological advancement that helps to enhance knowledge and
expertise. Political Factor: For an entrepreneur, it is require to acquire information regarding
governmental policy and regulations. In UK, political condition is very stable and
supporting for food industry.
 Environmental Factor: Entrepreneur must focus on the environmental factors which
assists new business firm of small enterprise and owners to bring up in this competitive
business globe. This will help them to take corrective measure while performing the
functions of an organizations. It provide help to people to gain required benefits as per
their actual needs.
Drucker's 7 sources of innovation:
 Unexpected – For a business, it is important to implement advance technology and
innovative ideas to produce unique service in target market. These products and service
should have to be most effective and impactful than others.
 Incongruity – For a new venture, it is require to introduce new and quality products in
target market to getting higher competitive advantages easily. Through this, “The Italian
Table” can capture customer's attention toward their products and services.
 Innovation based on process need – Innovation is a most effective procedure that us to
make appropriate changes on the bases of process need. By implementing these
procedures, “The Italian Table” can easily maximise sales and profitability of firm.
 Changes in industry and market – Innovation is basically uses to make positive alteration
in products and services. Through this, “The Italian Table” can easily changes market of
food industries.
 Demographics – This is a most specific business approach that helps to make proper
classifications of organisational segmentation. Through this, an organisation can easily
gain higher competitive advantages from target markets.
 Changes in perception – The changes in customer's perceptions are uses to provide
numerous opportunity to an business organisation. It can be identify through customer's
feedback and opinions for specific services.
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 New knowledge, both scientific and non-scientific – In a new start up, it is required that
an entrepreneur implement new ideas on the bases of their knowledge and interpersonal
skills (Grégoire and Shepherd, 2012). All these activities and approaches are based on
Innovation.
Types of innovation:
 Products and process innovation- These types of innovation are basically uses to make
effective modification and alteration in business products and services. Through this, they
can easily provide higher satisfaction to customers by quality changes. These are the most
beneficial business approaches that uses to getting maximum profit and growth.
 Incremental innovation – This innovation process is basically used for utilizing creative
ideas and existing technologies in customer satisfaction procedure.
 Disruptive Innovation – It is an expensive tool that helps to implement new process and
ideas in innovation.
 Radical Innovation – This innovation process is basically assist in introduce product,
process and services with new and familiar features. It is basically perform on the bases
of cost of services.
Difference between invention and innovation and the role of creativity:
Innovation Invention
This is a most effective procedure that uses to
make positive changes in organisational
existing products and services on the bases of
creative ideas and thoughts. It derives to
enhance values of exiting products and
services.
This process determines, development of new
products by making positive changes and
alteration (Fuentes and et.al., 2010). This is
require to implement new ideas and thoughts in
business procedure. Through this an
entrepreneur can easily introduce new and
creative ideas in target market.
Difference between a product or service idea and a business idea:
Product idea Business idea
In this process, organisation analyse customer's
requirement and need for specific product.
For a new venture, it is requiring to adopt
creative ideas and thoughts to provide quality
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Through this, they can easily make positive
changes by implementing advance technology.
services to their customers. Through this, “The
Italian Table” can easily get higher competitive
advantages from target market.
TASK 2
P2 Explain the rationale and the market gap for a specific entrepreneurial idea
In order to retain and achieve desired growth, it is necessary for company to implement
innovative and creative ideas. Entrepreneurs should analyse different markets and their future
targets in order to measure the gap and try to fill it as soon as possible. To fill market gap, The
Italian Table can use following techniques:
Identifying customers: Entrepreneur should analyse their markets and customers in
order to know about their tastes, needs, demands and preferences. The Italian Table can run
survey on customers in the area in which they are going to start their venture (Korsgaard, 2013).
With this, they will come to know amount above mentioned factors and they can also decide
appropriate price for their dishes and drinks.
Marketing segmentation -
 Behavioural: This type of segmentation will segment the population on the basis of
lifestyle, believes, culture and its values for customers.
 Demographic: In this population is divided on the basis of age, gender, occupation,
nationality and income sources of customers (Nassif, Ghobril and Silva, 2010). This pose
great impact on business profitability and entrepreneurs needs to study all those factors
properly.
Product or services:
 Tangible: Entrepreneur providing foods and drinks are tangible items. With these
tangible item, they can satisfy their customer in better way,
 Intangible: Entrepreneur can provide better customer services by decreasing the waiting
time and providing high quality dishes and drinks. This is an alternative way to satisfy
customers and are one of the important factor.
Industry environment -
4

 Industry competitors: It include those organisations that are already existing in the
market and giving tough competition to new start-ups. Entrepreneur have to analyse the
threat a competitor can pose and manage accordingly. As restaurants are very common
business, so entrepreneurs have to plan their venture carefully so that they can minimise
threat given by others. As entrepreneur have different cuisines and varieties, with this
they can establish a good reputation in the competitive market.
 Bargaining power of suppliers: It is necessary to have less bargaining power of supplier
in order to maximise profitability. The Italian Table have tie ups with different suppliers
with this they can easily maintain their stocks and have the ability to bargain the prices
for raw materials which they are supplying. Entrepreneurs look for other suppliers as
bargaining power of suppliers is high as they have other options in the market which are
paying them more (St-Jean and Audet, 2012). Here, entrepreneur should have the power
to convince them.
 Bargaining power of customer: They are the key strengths of business as without them
their is no growth and success of restaurant. In order to attract customers, entrepreneur
have to set low or reasonable prices. As customers have variety of options in the market
and to retain them they have to build strong strategies. By establishing a restaurant, they
can easily gain maximum customers.
 Threats of substitute: As restaurant is very common so threat of substitute is very high
for The Italian Table.
 Threats of new entries: Anyone can enter market anytime, so to retain market position,
entrepreneur have to implement innovative and creative ideas. They can include different
varieties of dishes which will attract customers towards them.
So, starting of a restaurant will be a great venture as there is more chances of success in
this business. From above model, entrepreneur can go for this new idea.
TASK 3
P3 Presenting data to evaluate gap analysis
Gap analysis is a most effective business approach that helps to determine difference
between organisation's current position and their future targets. All these activities helps to make
positive changes on the bases of customer's requirement and need (Kotha and George, 2012). For
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“The Italian Table”, it is required to analyse that where they supposed to be and where it is
currently. After analysing this, they can easily build impactful strategy to make positive changes
to getting maximum benefits and effectiveness. For this, firm can adopt data analysis strategy in
their business activities as -
Questionnaire
Name-
Email ID-
Contact No.-
Q 1. Do you think that “The Italian Table” render quality food and services to their customers ?
A. Yes
B. No
Q 2. What type of training helps to maximise employee's performance and organisational
productivity ?
A. On the Job
B. Off the Job
Q 3. Does implementation of mobile application helps to capture large market share ?
A. Yes
B. No
C. Can’t say
Q 4. Does digitalisation contributes in getting competitive advantages in future period of time
for “The Italian Table” ?
A. Yes
B. No
Q5. Any suggestion for Further modifications and changes for betterment.
P4 Interpretation of data to provide evidence of marketing potential
Theme 1: Quality food and services for the customers of “The Italian Table”
Q1. Do you think that “The Italian Table”
render quality food and services to their
Frequency
6

customers ?
A. Yes 18
B. No 12
Particulars No. of respondents
A. Yes 18
B. No 12
Total 30
Mean 15
Median 15
Mode 6
Findings – From the above graphical representation, it has been analysed that in between 30
respondents, 18 respondents thinks that “The Italian Table” provide quality products and services
to their customers on the bases of their requirement and need. Through this, organisation can
easily get higher competitive advantages by providing higher satisfaction to their customers and
clients.
7
A. Yes B. No
0
2
4
6
8
10
12
14
16
18
18
12
Column C

Theme 2: Requirement of training helps to maximise employee's performance and
organisational productivity
Q2. What type of training helps to maximise
employee's performance and organisational
productivity ?
Frequency
A. On the Job 16
B. Off the Job 14
Particulars No. of respondents
A. On the Job 16
B. Off the Job 14
Total 30
Mean 15
Median 15
Mode 2
8
A. On the Job B. Off the Job
13
13.5
14
14.5
15
15.5
16
16
14 Column C

Findings – On the base of above presentation, it has been identifying that On the job training
method are more beneficial for employee's of “The Italian Table” than off the method. Out of 30
candidates, 16 individuals are in its favour while 14 are not.
Theme 3: Implementation of mobile application helps to capture large market share
Q3. Does implementation of mobile
application helps to capture large market
share ?
Frequency
A. Yes 17
B. No 8
C. Can’t say 5
Particulars No. of respondents
A. Yes 17
B. No 8
C. Can’t say 5
Total 30
Mean 10
Median 8
9
A. Yes B. No C. Can’t say
0
2
4
6
8
10
12
14
16
18 17
8
5
Column C

Mode 2
Findings – As per the above survey, it has been summarised that implementation of mobile
application can be a beneficial approach for “The Italian Table”. Through this, they can easily
build positive relation with target customers. In between 30 individuals, 17 are agree with this
while 8 candidates are not thinks the same.
Theme 4 : Contributes of digitalisation in getting competitive advantages in future period of
time for “The Italian Table”
Q 4. Does digitalisation contributes in getting
competitive advantages in future period of time
for “The Italian Table” ?
Frequency
A. Yes 19
B. No 11
10
A. Yes B. No
0
2
4
6
8
10
12
14
16
18
20
19
11
Column C