EvRide Electric Bikes: Business Plan, Market Analysis, and Strategy

This document presents a comprehensive business plan for EvRide, a startup focused on manufacturing electric bikes in the United Kingdom. The plan outlines the company's vision and mission to contribute to carbon emission reduction, aligning with the UK's net-zero goals. It includes a detailed market analysis, highlighting the potential demand for electric bikes and the competitive landscape, using SWOT and Porter's Five Forces analyses. The marketing strategy emphasizes the four Ps (Product, Price, Place, Promotion) to effectively introduce and promote EvRide's electric bikes. Risk analysis identifies potential challenges such as low initial demand, battery station infrastructure, and competition from established automotive players. Operational planning focuses on resource allocation, team and machinery, efficiency, and logistic management to ensure smooth manufacturing and distribution. The plan also addresses financial stability, emphasizing the importance of budgeting and cost control. The document concludes with recommendations for strengthening the business plan and achieving future goals, aiming to attract potential investors and guide EvRide toward success in the electric vehicle market.

BUSINESS PLAN AND
ANALYSIS

TABLE OF CONTENTS
EXECUTIVE SUMMARY.............................................................................................................3
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Company’s Description-..............................................................................................................3
Market Analysis-..........................................................................................................................4
Porter’s five forces-......................................................................................................................4
Marketing:....................................................................................................................................6
Risk analysis:...............................................................................................................................6
Operational planning:...................................................................................................................7
Financial stability:........................................................................................................................8
Reviewing business plan:.............................................................................................................9
Recommendation:......................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

EXECUTIVE SUMMARY
This report has outlined the business plan of electric bikes of EvRide company. It includes the
company description, products and services offered by the company and the market analysis for
EvRide. This has also discussed the areas from where the funds could be raised for the company
as well as the recommendation for strengthening the company for future results,
INTRODUCTION
Business plan is the written format of how the new business will work by defining its objectives
and strategies they will use to achieve these goals and objectives (Finch, 2019). It gives outline of
the company from marketing, financial as well as the operational planning. EvRide is the new
start-up of manufacturing electric bikes for the people. This business plan will discuss about the
company description, marketing analysis, financial planning as well as the operational planning.
Further, it involves the review form the potential investor for raising the funds and the
recommendations for strengthening the plan to achieve the future goals.
MAIN BODY
Company’s Description-
EvRide is will be an automotive manufacturing company. EvRide is the new company
coming up with the new idea of manufacturing electric bikes to reduce the pollution for
preventing the planet. The company is going to be headquartered in United Kingdom. Electric
bikes are not much in demand but they will be in demand in the future as the electric cars have
been much demand in present. As this company has planning for the start-up so it is not small
medium scale company.
Vision and mission-
The vision and mission of this company is to help the government in combating the carbon
emissions produced by the petrol and diesel vehicles by manufacturing the electric bikes. As UK
want to become net zero carbon emission country by 2050 so this company will help the country
in achieving this goal.
Products and services-

Product of the EvRide company is the Electric bikes. The services provided by this company are
free trial ride, insurance facility of the electric bikes and free servicing facility for 1year of the
bikes at the company.
Market Analysis-
Market analysis is the tool used to evaluate the market of a specific industry or sector.
This study enables the marketers to understand the dynamics of the market, competition within
the industry, potential customer’s segments and many other factors (Puyt, et.al. 2020). Market
Analysis for Electric bikes will help to understand the demand, target customers, factors which
can affect the business.
Swot Analysis of the company-
Strengths
This company has started producing the
electric bikes in present which will help them
lead the market when the demand of electric
bikes will be created in the market.
Weaknesses
The company’s biggest weakness is that there
is not much demand of electric bikes so much
profit will not be generate.
Opportunities
The opportunity for this company is that in
coming time there will be high demand of
electric bikes in the future.
Threats
The threats is that there will be some
businesses in coming time who will
manufacture the electric bikes so this will
create competition for EvRide company.
Porter’s five forces-
Porter’s forces model will help EvRide company to analyse the five competitive forces to
determine the strengths and weaknesses (Carraher, 2018). It involves understanding the
competition and enhancing the profitability of the company.
Porter’s five forces are-
Competitive rivalry- This force enables the company to know the intense level of the
competition within the industry. Rivalry competition is considered high when there is fewer

business offering the products and services to the customers. The intensity of the competitive
rivalry can be affected by the large number of the companies increases the rivalry because more
companies will compete with the same products and for the same customers. If the customers
found other company’s prices suitable then they go elsewhere (Perera, 2020). Low switching
costs for the customers will also lead to the increase in the competition rivalry. EvRide company
can face this challenge of competitive rivalry in future when there will be more demand in future
of the electric bikes.
Threat of substitutes- Substitution products are those products are the same products produced
by other companies. There is big threat of the substitution to the companies as customers can
easily switch to the other company which is providing lower costs products. The threat of
substitutes impacts the companies by competition as well as from price. A threat of substitute
exists when the demand of the product gets affected by the change in the price of the substitution
products. EvRide will have less threat of substitution.
Power of Buyers- The buying power of the customers impacts the production company. When
there are more suppliers and one buyer then the buying power is much strong. Under this market
conditions, the price is set by the buyers. Buyers are weak when they cannot easily switch to the
other suppliers (Hole, Snehal and Bhaskar, 2019). EvRide company in present will not face this
problem as there are not much suppliers of the electric bikes. This problem will be faced when
the demand of the product will increase and the competitors will arrive in the market.
Power of the Suppliers- The producing or manufacturing industries requires the raw materials
for the production, this requirement leads to relationship between the industry and the company.
Suppliers are more powerful when there is significant cost for switching the suppliers as well as
when the customers are powerful (Min, Liangwen and Yue, 2018). EvRide company is the
powerful supplier as there is no competition in present as there is very less demand of the electric
bikes.
Threat of new entrants- When there is less barriers in the entry of new businesses as well as it
costs less time and efforts then they easily enter the market which leads to threat for the existing
companies. The barriers can be created by government, knowledge of patents and proprietary
restricts for entry and many more. The companies can easily enter if there is common technology
used and working at much low scale. EvRide company will not face this issue in present as very
less people are starting this business.

Marketing:
Marketing is one of the most important thing for every business organization mainly new
start up, company need to use effective marketing strategies which will allow them to be
effective and promote their product and brand image in the market (Baines, Fill and Rosengren,
2017). There are four mix of marketing which EvRide can use to understand marketing that will
promote their business, these are:
Product mix: product and service is main pillar of every business organization, this is main
reason why business is formed. EvRide have electric bike as main product which will be
introduced to the market, this company will going to face issue because of less demand.
Although product of the company is innovative which will survive highly competitive market,
product mix of marketing will help company to define their product in the market.
Price mix: price is key element of every product and service, every product need to have price
which can be affordable by the customer. EvRide need to set price of the bike affordable for their
customer which means they need to cover cost with gross margin and net margin. It is very
important for the company to set price affordable to survive in the market.
Place mix: distribution become essential for every product, company need to decide place for
their product. EvRide need to place stores in mega city of the country which means they need to
cover every possible area where demand can be fulfilled. EvRide need to have strong supply
chain to meet demand, strong distribution channel will allow company to become stable.
Promotion mix: promotion is main pillar of marketing, this allows company to promote their
product and service with the help of advertising. EvRide need to use offline as well as online
media to promote their product and service (Deepak and Jeyakumar, 2019). Use of social media
will allow company to become successful and help them to target right audience.
Risk analysis:
Every business organization need to analyse risk which arrive in the business process
which means risk assessment become essential, EvRide is introducing electric bike which have
certain risk associated, these are:
Less demand: demand of electric bikes are still low even after success of electric cars, customer
are not preferring to move from fuel bike to electric bike impacting demand in the market
(Sadgrove, 2016). EvRide have to face this risk when entering auto mobile industry, it is very
clear that electric vehicle is trending in the market which means demand will increase.

Battery station: battery station will become major risk for EvRide, this company might fail
because placing battery station at every corner is not possible and it is very costly for the
company. There is high risk associated with this idea, company need to consider other solution
or partnership process where they can hire company to place battery station at corner (Chiu and
Choi, 2016).
High competition: big player in auto mobile industry are one of the major risk for the company,
electric vehicle is trending and customer will demand electric bikes. With brand name and
reputation these big player can provide high competition to EvRide, this company will going to
face competition from Duccati and Suzuki.
Logistic challenges: logistic challenges are some of the most common type of challenges that
arrive in the business process, here company unable to fulfil demand on time. EvRide will going
to face this issue when their business will grow, this company is still need to manage supply
chain to fulfil demand of logistic. There will be import/export challenges that will arrive in the
business process.
Operational planning:
Every business organization mainly those companies who are planning to manufacture
goods need effective operational plan which will provide support to achieve organizational goals
and objectives (Jayachandran and et.al., 2021). EvRide need to develop ongoing/ standard
operational plan which will allow them to take small step and achieve key points or aims, there
are certain parts of operational plan which EvRide need to consider to make their operation
successful, these are:
Resource allocation: every production unit need resouce or raw material to start manufacturing
process, EvRide need to allocate raw material such as metal, battery, vehicle parts and other
important piece of the bike. This company need to contact local supplier who are ready to
provide raw material at lower rate so that company can control their cost.
Team and machinery: team of skilled worker play vital role in operational process, to handle
machinery, company need to provide skilled worker. EvRide need to have skilled worker and
latest machinery for production process, this company will survive the market if have ability to
bring those people onboard who can craft better electric vehicle.
Efficiency: efficiency is key pillar of operational planning, this simply means production process
need to be efficient enough to meet the demand of operational process (Mateljak and Mihanović,

2016). EvRide need craft strategies to make their production effective for example short term
single use plan for every unit of production. Skilled worker need effective strategies to make
things possible and to achieve organizational goals and objectives.\
Logistic management: logistic management play vital role when it comes to manufacturing and
distributing process, it is very clear that company need to set different distribution channels and
station to fulil demand of the customer. EvRide need to set parameter to meet rising demand in
logistic area, this company will face issue because of starting phase but later this will cover
logistic issue.
Financial stability:
Every business need financial stability to achieve organizational goals and objectives,
budget play vital role of start up. EvRide need proper budget allocation to make their plan
successful. Projected cost will be different from actual cost as this company is new to market and
carry no experience (Bank, 2016). There are two type of cost which EvRide need to consider to
ensure financial stability, these are:
Project cost:
Item Cost
Land and building $100000
Plant and machinery $100000
Technology and innovation $50000
Capital $200000
Civil work and legal duty $1000
Other $2000
Total $453000
Ongoing and maintenance cost:
Item Cost
Tax and duty $1000
Insurance $5000

Salary and wages $2000
Miscellaneous $1000
Other $2000
Total $11000
Reviewing business plan:
Every business plan need approval from potential investor, they provide all necessary
improvement in the plan and prepare final draft, there are many case where review of investor
allowed company to become stable and make their business plan effective. EvRide is one of the
most innovative business plan that meet all demand of investor in terms of; money, stability and
effectiveness of the product. There are certain important element which need to be consider to
ensure this business plan is effective, these are:
Risk factor: risk is one of the most important element which business need to consider, this
means risk analysing and solving risk become essential to achieve success. EvRide need to
analyse risk for example; this company have biggest risk associated with survival in highly
competitive market, competitor who are ready to bring down EvRide with innovation and
affordable price range (Bendtsen, Clausen and Hansen, 2021). Apart from competition, lack of
budget become an issue which means if investor denied to provide projected budget the company
might fail to achieve goals and objectives. EvRide need to analyse those risk which might occur
before, during and after completion of business plan.
USP: every business organization focus on making their product unique which means they might
bring innovation; unique selling point allow company to be competitive in highly competitive
market (Ristiawan, 2019). EvRide is focusing on electric bikes which is already innovative, USP
about this product lies in design of, for example; there is no gear box for bike which means
consumer will not have to focus on changing gear as they can enjoy smooth ride. EvRide focus
on continuous innovation which means they need to manufacture more innovative bikes that can
meet demand of consumer.
Key provider: every business organization need support from stakeholder who are ready to
provide budget and resource. EvRide have key provider who are ready to provide every essential
element required in the completion of business plan. There are certain stakeholder, these are:

Supplier: supplier play vital role when it comes to production and manufacturing process,
company need to find those suppliers who are ready to provide raw material at lower price.
EvRide need those suppliers who can provide raw material in low price which allow company to
cover cost occurring in production, manufacturing of electric bikes will cost higher which need
to be controlled with cutting cost occurring in the manufacturing process.
Stakeholder: stakeholder are key provider of the business, they become important pillar of every
business organization. EvRide need set equity of every stakeholder according to their power and
interest in the business, this company will dilute some of equity for key stakeholder for example;
investor will demand 10% of the company which is decided according to valuation set by
EvRide. apart from investor, other stakeholder will hold remaining equity of the company.
government: government is key provider in this business plan because without permission of
Road Commission, EvRide can not lunch their product in the market which means company
need to provide this business plan to government and have to ask for permission.
Recommendation:
More budget: budget plan vital role in every start up plan, this is most essential part which
decide success. It is highly recommended for EvRide to focus on budget and proper allocation
because this might become reason for failure, this company is entering that market which is
already full of giants who have surplus profit to manufacture electric bikes (Smets, 2018). There
is still high risk associated with this business plan as investor will not like to invest because this
requires high budget and have more chance of failure. Budget provided by investor will allow
them to become stable in highly competitive market. EvRide need to consider financial plans
provided by investor to make business plan successful in the market and achieve success.
Innovation: innovation is key element in achieving success, this allows company to think
innovative and become unique in the market. EvRide need to focus on continuous innovation to
better their future outcome, electric bike are no completely innovative, there are many players
who provide electric bike. This company need to bring something innovative for example;
removing gear box system to make bike easier to write. Likewise, this company need to provide
innovation to customer for future survival in the market, innovation will become key element for
the company in highly competitive market. EvRide need to bring innovative product to stay in
auto mobile market and enjoy surplus profit.

Effective strategies: business strategies is one of the most important thing in every business
organization, this allows company to bring those strategies on board which not only can boost
sales but this can help them to achieve goals and objectives. EvRide need to craft those business
strategies which can achieve organizational goals and objectives, this company already have
effective business strategies but still they need to craft better strategies for example use of social
media to promote their product and service.
CONCLUSION
This report has discussed business plan and understand requirement to start a new
business plan. Later this report has discussed description of business plan and provide product
and service which is needed by the business in the market. Later this report has discussed market
analysis which include SWOT and porter five force to understand competition in the market.
Later this report has discussed marketing plan and risk analysis to examine risk that arrive in the
business and discussed operational plan with financial projection that include cost. Later this
report has discussed key element of business plan which will be presented in front of investor. At
last this report has provided recommendation that will help company to achieve future outcome
in the process.

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