Business Opportunity Report: Analysis of UK Retail Sector Trends

This business opportunity report provides a comprehensive analysis of the UK retail sector, examining current and emerging market trends. The report identifies key trends such as sustainability, reinvention, the rise of e-commerce, and investment in omnichannel retail strategies. It highlights the impact of these trends on businesses and identifies potential entrepreneurial opportunities. The core of the report proposes a new business idea: an online vegan grocery store that leverages e-commerce and sustainable practices to deliver curated shopping experiences and vegan food products directly to customers. The report includes a detailed development plan for this business, including strategies, pricing models, and evaluation methods, justifying the opportunity based on current market dynamics and consumer behavior.

BUSINESS
OPPORTUNITY
REPORT
Table of Contents
1

INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Determining market sector or segment...................................................................................3
Analysis of current and emerging market trends and its impacts on business sector.............4
Identifying entrepreneurial business opportunity...................................................................5
Development of Business and Justification............................................................................6
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
Business opportunity is simply a package of opportunity that allows the buyers to begin a
business and become an entrepreneur and establish their operations in the market. Business
opportunities allow an establishment of new internal business according to the trends and
behaviour of the market. This report is developed for studying the past, present and emerging
market trends that is this report covers analysis of current market situations and imaging trends
for a particular business sector. Moreover, various is different opportunities identified from the
trends and data evaluated. According to this new business opportunity, potential entrepreneurial
business opportunity is explored for development of the business and a product or a service
which is required by the customers and not available to them required amount.
MAIN BODY
Determining market sector or segment
There are several different business opportunities and market sectors exist in the world which is
been explored by different individuals with their unique business ideas. The business sectors are
of different types and sizes having their separate legal structures and regulations (Viriyasitavat,
Anuphaptrirong and Hoonsopon, 2019). These business organisations are broadly known as
public or private according to their nature and Company, entity, firm and entrepreneurs
according to their sizes. The market sectors are also separate and numerous existing in the
marketplace an out of those most important segments which contributes most to the economy are
hospitality sector, retail sector, manufacturing sector, agricultural sector and many other.
For this report retail sector is analysed and evaluated where current trends existing in the retail
sector are highlighted along which the emerging trends. The retail industry is huge and potential
sector of an economy. The retail sector works as the medium between the manufacturer and the
and consumers of goods and services. Retail industry is huge creating jobs for large number of
population and serving the needs of the consumers. The retailers purchase products from the
manufacturers in bulk and in large numbers and make sales to consumer at a mark-up cost
earning their respective profits.
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Analysis of current and emerging market trends and its impacts on business sector
Retail sector is evolving and changing on a very rapid speed bringing various big challenges and
opportunities for the people and the businesses (Hopkinson and et. al., 2018). Currency in UK
BREXIT took place which makes the economy slow and economy changed large scale business
restructuring by many people losing their jobs and lot of stores getting closed as they were in
great debt. Despite of this online sales and business continue to grow increasing its overall sales
and revenue units. These drastic changes in the economy bring great impact on the businesses
and different market sectors. Retail sector is also affected by the new emerging trends and many
new opportunities has driven to the marketplace.
Figure 1: Emerging E-Commerce Trends, 2020.
Few trends which are potential and bringing new entrepreneurial opportunity for the people are
as follows.
 Sustainability is one of the biggest issue and emerging trend in retail industry as it is one
of the biggest and major contributor to global carbon admission. Retailers playing a very
big role in increasing the carbon emissions and polluting the environment. Although
sustainability is a big moral aspect and also a very significant business opportunity. many
retailers in the UK have sustainability on their agendas and keep it on priority but those
who don’t are at great threat and risking their survival and sustainability in the
marketplace for long years (Mendling and et. al., 2018).
 Reinvention, every individual or customers nowadays expect unique experiences both in
stores and by online purchases. Reinvention is becoming a very essential and important
factor for retailer to survive in the market either by providing curated marketplaces or bi
connected spaces or digital journeys. Customers are always willing and waiting to have
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an emotional connect to their shopping experiences which can be enhanced by retailers
by way of providing curated experiences that no single retailer present in the market can
provide. Increasing digitalization and advanced technology place an increasingly
important and creative role enhancing the customer experiences and making them
available there curated buying experience.
 Rise of e-commerce, according to different surveys and research it is highlighted that UK
is the third largest E-Commerce industry in the world (Maunder, 2019). The trend of
online shopping is increasing and becoming more potential but this significant growth
comes with a unique set of challenges towards the organisations. Businesses that are
managing their inventory and holding good stock are likely to a sustainable competitive
advantage allowing them to make from deliveries and render top services to their
customers. E-Commerce is a huge opportunity for existing businesses and new emerging
entrepreneurs.
 Investment in Omni-channel retail strategy is one of the most essential and newly
highlighter trend of retail industry. The only channel retail strategy is basically a
customer centric strategy which allows retailers to develop healthy relationship with
customers, providing them exactly what they need whenever they need and rendering
them a personalized purchase or shopping experience. Increasing Omni channels retailing
and e-commerce allowing the entrepreneurs and retailers to hold higher level of revenues
as it it increases their connectedness with their consumers along with providing is in
comfort to consumers as they can make their purchases by just few clicks while sitting at
their homes. Some retailers are already tapping into mobile shopping in innovative
manner as it is the new future and business Opportunity.
Identifying entrepreneurial business opportunity
In above section thorough analysis of retail industry and the current and emerging trends of the
retail sector in the UK are explored. The motives of analysing and evaluating emerging trend of
retail industry are to identify the available entrepreneurial opportunities for business (Ram,
2018). Many different opportunities are become available in the market place on regular basis.
As in recent times BREXIT took place in the UK which impacted the economy in both negative
and positive manner by bringing the challenges and many new opportunities for the
entrepreneurs and business organisations.
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Figure 2: Digital Customer Experience Trends, 2020
The most profitable and potential business opportunity which is currently emerging in the UK
economy for retailers is adopting Omni-channel retail strategy by making potential use of e-
commerce and digitalization along with developing potential customer experiences and
satisfaction. by looking at these opportunities a new entrepreneurial business idea is making use
of internet and e-commerce for rendering sustainable vegan food products to people (Chen,
Cheung and Tan, 2018). Vegan food is highly in demand by the public as the population in UK is
becoming aware and moving towards vegan food where they do not consume those dairy or food
products which are produced from animal derived ingredients. The demand for vegan food is
enhancing which is a potential opportunity for new businesses and emerging entrepreneurs.
Development of Business and Justification
The new business opportunity which is determined from the above evaluation of retail sector
trends and available data is making use of e-commerce and sustainability trend for re-innovating
and re-inventing the retail business by serving vegan food products. Basically it is a online vegan
grocery store which is developed sustainable means and with the help of advanced digital
technology (Rachinger and et. al., 2019). The idea is innovator because currently there is no
other retailer present in physical or online marketplace which is exclusively selling vegan
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grocery products at the door steps of the customers by just few clicks while sitting at their
homes. There are many supermarkets which are available online and physically for fulfilling the
needs of people and sending them all grocery items. But “Vegan co.” will be the first
entrepreneur who is a vegan grocery retailers in the marketplace.
 Business idea- The business idea is simple of re-innovating the grocery sector with the
help of e-commerce by supplying the grocery products at the doors types of people by
just few clicks and available delivery service for 24*7. Basically “Vegan co.” will be
taking orders online on that personalized application and delivering goods to people at
the doorstep according to their feasible timing and available for them 24*7. “Vegan co.”
also taking feedbacks and suggestions from people about the services and what all other
vegan grocery items they would like to have in our store (Conti and et. al., 2018).
 Objective- The objective of “Vegan co.” is very simple, the entrepreneur will be entering
The E-Commerce retail industry with a innovator business idea of selling vegan grocery
items to the people by sustainable means and sources. Another of “Vegan co.” is to
renders curated shopping experience the people which the help of digital technology
digital tools.
 Strategy- The strategy of entrepreneur behind “Vegan co.” is of product development
with innovative means. In other words the entrepreneurs enter the marketplace with a
new product that is vegan grocery products by using digital means are making effective
use of emerging E-Commerce trend and profitability. Product development strategy is a
part of Ansoff matrix which in total have four strategy that is market penetration, product
development, market development and diversification. How to do so strategies product
department is the most suited for the entrepreneurs as they already existed in the UK
market but the product is innovator and the business idea is fresh. The product
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development strategy is adopted for serving a new product to the existing customers
according to their buying behaviour and emerging trends in the UK economy.
 Pricing strategy- The price of goods and services at which entrepreneurs are offering
their products in the market place to the potential customers is a very important factor.
“Vegan co.” is a new business idea and adventure which is entering the market with E-
Commerce trend of conjuring goods to people by sustainable means. The pricing strategy
which is best suited for “Vegan co.” at the very beginning in is price penetration. This
pricing strategy states that initially the price of products and services which are offered
by the companies are low as it is a new business and buying behaviour of people cannot
be predicted (Bordeleau, Mosconi and Santa-Eulalia, 2018). The four in the very
beginning good will be made available to people and services are rendered at low prices
which very less profit cut but with the increasing popularity and revenue the pricing
structure off company will be revised and evaluated according to the performance
standards and sales units.
 Evaluation- For evaluating the performance level and standards “Vegan co.” can use of
different evaluation tools such as KPI's and benchmarking. KPI stands for key
performance indicators bye analyse evaluate the revenue and make comparisons with past
to data. As the entrepreneur enter the market with the new products that sold the company
do not have any past data but the revenues can be evaluated and compared with the
planned or budgeted revenues. This implies that “Vegan co.” while establishing their
business would have made predictions and plants about the average expected revenue,
entrepreneurs can compare their expected revenues which their earned revenue to
evaluate performance.
 Justification- The new business idea of serving vegan grocery products to people by
taking orders online and sending them curated experiences and satisfaction according to
the trends of retail industry. The idea is to making potential use of e-commerce and Omni
channel marketing strategy to take a customer centric approach by providing them vegan
grocery products at the door steps with sustainable means whenever they need and
wherever they need (Delen and Ram, 2018). This idea is potential as currently in UK
economy E-Commerce trend is at boom people are moving and diverted towards the
technology seeking for comfortable and curated shopping experience. “Vegan co.” Is
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serving exactly what customers want, at low prices and whenever they need their
products to be delivered that is delivery is taking place according to their prescribed
timings. Therefore it can be said that the idea and the new entrepreneur business is
potential and developed according to the emerging market trends in retail industry.
CONCLUSION
The above report conclude that business opportunity and emerging economic trends of market
sector works hand in hand in aligned manners. The business opportunities are created according
to the trends the entrepreneurs just need to identify them and appropriately explore them
according to their abilities and available resources. The above assessment holds a thorough
evaluation and analysis of the UK retail sector and it’s trends both current and emerging. At the
end by exploring the business opportunities justified and potential entrepreneurial business idea
is developed.
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REFERENCES
Books and Journals
Ram, U., 2018. “The Promised Land of Business Opportunities:” Liberal Post-Zionism in the
Glocal Age. In The New Israel (pp. 217-240). Routledge.
Maunder, W. J., 2019. The uncertainty business: risks and opportunities in weather and climate.
Routledge.
Mendling, J. and et. al., 2018. Blockchains for business process management-challenges and
opportunities. ACM Transactions on Management Information Systems (TMIS). 9(1).
pp.1-16.
Hopkinson, P. and et. al., 2018. Managing a complex global circular economy business model:
opportunities and challenges. California Management Review. 60(3). pp.71-94.
Viriyasitavat, W., Anuphaptrirong, T. and Hoonsopon, D., 2019. When blockchain meets
internet of things: characteristics, challenges, and business opportunities. Journal of
industrial information integration.
Chen, Y., Cheung, C. M. and Tan, C. W., 2018. Omnichannel business research: Opportunities
and challenges.
Conti, M. and et. al., 2018. Internet of Things security and forensics: Challenges and
opportunities.
Bordeleau, F. E., Mosconi, E. and Santa-Eulalia, L. A., 2018, January. Business Intelligence in
Industry 4.0: State of the art and research opportunities. In Proceedings of the 51st
Hawaii International Conference on System Sciences.
Delen, D. and Ram, S., 2018. Research challenges and opportunities in business analytics.
Journal of Business Analytics. 1(1). pp.2-12.
Rachinger, M. and et. al., 2019. Digitalization and its influence on business model innovation.
Journal of Manufacturing Technology Management.
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