Fra-Pa's Frozen Yoghurt Shop Case Study: Partnership, Microenvironment

This case study examines the partnership of Frank and Paddy, who established Fra-Pa's Frozen Yoghurt Shop. The analysis delves into the characteristics of a partnership firm, contrasting it with other business structures. It explores the application of Porter's Five Forces model to assess the competitive landscape of the frozen yogurt market, including competitive rivalry, supplier and customer power, the threat of new entrants, and the threat of substitute products. Furthermore, the study investigates the microenvironmental factors influencing the business, such as competitor analysis (Mee Cha, My Cookie, and The Shake Lab), customer behavior, public perception, and market intermediaries. The case study concludes by summarizing key findings and emphasizing how these elements contribute to the firm's overall business strategy and success in attracting customers and achieving profitability.

CASE STUDY

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
1 Partnership firm........................................................................................................................1
2 Porters 5 force model ..............................................................................................................3
3. micro environmental factor.....................................................................................................4
CONCLUSION................................................................................................................................5
REFERENCE:..................................................................................................................................6

INTRODUCTION
Partnership is business in that two or more person share profit & loss, ownership, capital,
risk and return. Frank and Paddy two partner start business for sharing liability and risk. Frank
and Paddy start a partnership fir for aching profit. So the company use different model and factor
for managing business relation between the competitor and organisation. In the case study will
be analysis knowledge of partnership firm and how to work business for long term, how achive
competitive advantage and improve business throw the micro environmental factor.
TASK
1 Partnership firm
A business unity is an organization that use resources to provide good and services to
customer for money or other services. In business organization come different type and forms of
ownership. Types of business organization; sole proprietorship: a sole person owned by the
business. That type business work at small level business entities. Partnership: in that business
two or more person contribute resource. In that all partners share profit and loss equal manner.
Corporation: is business organization owner have limited liability and limited involvement in the
company, and cooperative: in that business a group of operates come in a business for mutual
benefit(Allavena, 2018.).
Types of partnership :
general partnership: it will be define partner who participant daily work and operation in the
company. Each partner have equal right to participant in the management, business control and
decision making. Company assets and liability are divide equally.
Limited partnership: in limited partnership involve one general partner that have unlimited
liability are owner of business or they have limited liability. In that the limited partner work
limed and that partner not usually involve daily business.
Limited liability partnership: in that partnership partner haver limited liability of every partner.
It means partner work for organization protect risk, legal problem and financial problem.
In the case study Frank and Paddy run a partnership firm 'Fra-Pa's Frozen Yoghurt shop'.
They use different strategy for increase supply and attract customer. Frank Johan and Paddy
Jackson work together because they think partnership work is Easy and Inexpensive(Grover,
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Cheon and Teng, 2014.). In Partnership both partner focus on business development. Frank and
Paddy share profit and loss, financial and non finance issue etc. they are equally invested in the
business success. Partnership is incentive for there employee. Frank and Paddy think in the
partnership firm more capital are available, reduce risk, and flexibility etc. But in partnership
firm Frank and Paddy liability increase, they divide there authority.
Frank and Paddy think when they work in partnership they have more advantage in the
business. Because partnership formalities are easy and legal, one partner have experience in the
work. They share decision and decision related issue. Frank and Paddy power to clear potential
partner to clear about what there profit and loss. so the Frank and Paddy sale Yoghurt. In this
they clear about the product sale. In partnership business Frank and Paddy polling money for the
making profit, share skill and resources. Partnership is a important part of the business.
Frank and Paddy work together and sale product on lower price for attracting customer
for developing there business. Frank and Paddy want to supply more and more product and earn
profit from there Fra-Pa's Frozen Yoghurt shop. The company make strategy for the attracting
customer and cover market attention. In partnership. Frank and Paddy want to develop there
products and sales. In Partnership firm Fra-Pa's Frozen Yoghurt shop Frank and Paddy want to
pooling money, sharing individual skill and resources and sharing profit and loss.
Forming a partnership
According to company low the partnership are usually registered with in state. In that
business requirement for the registration of the partnership. For registration the company have
clear partnership agreement, type of partnership, and role or responsibility of each partnership.
The Frank and Paddy have followed some rule for the making better partnership. They have
share values, partners complimentary skill, track record together, clearly define partnership role
and responsibility and select write business structure(Grundy, T., 2016).
Frank and Paddy use some partnership characteristics for the making better partnershipin
there business Fra-Pa's Frozen Yoghurt shop. All partners are involved there personal share and
liability in partnership. Frank and Paddy work together for achieve conman goal. Similar ethos or
system of beliefs on each partner. Both work with there role and responsibility for same time
period. When Frank and Paddy share resources, ideas, and creativity for improving business.
Frank and Paddy support and diversity for the partnership development. Frank and Paddy
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discuses there partnership related problem, issue, and solution and how to achieve target and
objective.
2 Porters 5 force model
Introduction:
Porters five force model help organization to analysing competition between the business.
That help to identify strengths and weakness. That model apply at economic segment for
improve profitability and customer attraction. Porters 5 force model wide use for analysing
industries and competitors(Hagedoorn, 2016). This model Frank and Paddy apply Fra-Pa's
Frozen Yoghurt shop for measuring competition intensity, increase profitability and
attractiveness of consumer.
Competitive rivalry:
it is important model for Frank and Paddy for analysing there competitor of Fra-Pa's
Frozen Yoghurt shop and they want to know ability rivalry. The company fra-pa's frozen yoghurt
owner want to manage relationship between competitor company. So the company build strong
relationship for a formal and quantitative approach to selling the same services. The competitor
help to share information about the latest technology and mutual benefit.
Bargaining power of supplier:
in that model define suppers powers for drive good and service price. That will be
affected number of supplier demand on there bargaining power. Frank and Paddy want to
manage suppliers relationship between their shop and suppliers. So the company provide there
suppler new offer, better product services, and good commission. For attract suppler there
product and services. The company use average price for the customer attracting and business
development.
Bargaining power of customer :
in that customer drive price according to there satisfaction, product quality. The customer
expect Frank and Paddy to provide product are good at lower cost, better customer services.
Frank and Paddy want to manage good relationship from there shop and customer. So the Frank
and Paddy offer there customer attracting price, offer, and latest product. Frank and Paddy for
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achieve competitive advantage so they make less competitive services, share there customer to
use there competitor product and services (Rice, 2015).
Threat of new entrants:
Threat of new entrants also affect market and company product and services. The new
entrains define new competitor. Profit making company attract competitor for achieve there
objective. For the managing relationship competitor so the Frank and Paddy increasing there
productivity for improve profit but they also help competitor according to competitor
requirement. When Frank and Paddy share information about new entrains for manage
competitor relation(Saxton, 2018.). new enterers' probability is more so the company have threat
for new development.
Threat of substitute product or services:
threat of substitute product define services and benefit a product from another company.
In that company face high level risk. Frank and Paddy manage relation there competitor
accrediting to substitute product and services.
3. micro environmental factor
Micro environment define factor of affecting firm ability to maintain successful
consumer relations. Small force with company that effect. In micro environment companies and
industry will be not effected firm size, capacity, and capability.
Competitor analysis :
Mee Cha: It provides tasty food and services to consumers. Consumers have given 4.5 ranking
to business. 68% audience have marked it excellent because of its amazing services. Tea, coffee
of restaurant is very popular.
My Cookie: It has great position in Melbourne. Restaurant concentrates on offering luxurious
services to guests. Customers have given 4.5 ranking to its services.
The shake Lb: Restaurant has started its journey with creamy treats. Wide range of products
offer by organisation.
Mee chaa My cookie The shake lab
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rating 4.6 4.5 3.4
Starting year 2011 2015 2015
location At popular place Good location normal shop
Firm size big medium Small
price Make high price
because company is
popular so.
Use price for improve
business
Use minimum price
for attracting customer
Menu Milky, fruity, premium
slush, frozen yoghurt,
Drink, coffee, snacks,
Gieant scramble
Protein shake ,
Signature Shake ,
Waffle cups/sticks
Mee Cha My cookie The Shake Lab
Established 2011 (company no.
07762881)
2015 2015(company no.
09471586)
Rating 4.6 4.5 3.4
Menu/prices Mini-frozen yoghurt -
£2.80 (with any
topping)
£2.00 – no topping
Large with any topping
£6.00
Drink, coffee- £3.00
Snacks-£5.00
Gieant scramble-£8.00
Protein shake - £4.00
Signature Shake - £4.00
Waffle cups/sticks -
£4.00
Companies
house info
Strong company,
lowering debts and
creditors
Medium size firm
with limited debts
Micro-company
Financially weaker
company but still has
stock to sell
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The competitor mee chaa, my cookie and the shake lab is the major competitor company
that company effect on the Yoghurt shop customer. That reason chosen that competitor
company. Search on Google competitor of Yoghurt shop and choose major effect than select that
all company. In future company product price will be increase and company make profit.
Micro environment factor:
customer:
in business environment enterprises aim to provide there customer product and services.
The company want to earn profit through services. Customer of FROZEN YOGHURT SHOP
think to purchase product and services. Because of that shop work for the providing good
services there customer. The customer help to improve there business using there services. The
company sale product according to consumer need and demand. That shop provide regularly
bases customer services. For the customer attraction the shop employee provide there customer
offers, free delivery services. online services(Siaw, and Yu, 2014).
Public:
public define general people. Public is a group customer that use potential interest or
impact on services. Frank and Paddy want to provide services that services are satisfied there
customer group(Straussman, and et.al., 2016).
Market intermediaries:
it will divide individual or business house that come in business for selling company
product, distribution of goods and services, and promotion of their company. Market
intermediaries lay a main role for improve FROZEN YOGHURT business. The company decide
there services cost according to their product and services.
CONCLUSION
From the above study it has been summarised that Frank and Paddy start work
partnership for earn profit. In the study analyses partnership firm forming and how to build good
partnership. The firm want to manage good relation between the competitor firm threw the five
force model. The company also want to improve there business threw the micro environmental
effect. The company improve there business for the using different effect like customer, public
and intermediaries.
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REFERENCE
Books and Journal
Allavena, 2018. The inflammatory micro-environment in tumor progression: the role of tumor-
associated macrophages.Critical reviews in oncology/hematology. 66(1). pp.1-9.
Grover, V., Cheon, M. J. and Teng, J. T., 2014. The effect of service quality and partnership on
the outsourcing of information systems functions. Journal of Management Information
Systems.12(4). pp.89-116.
Grundy, T., 2016. Rethinking and reinventing Michael Porter's five forces model. Strategic
Change.15(5). pp.213-229.
Hagedoorn, J., 2016. Inter-firm R&D partnerships: an overview of major trends and patterns
since 1960.Research policy. 31(4). pp.477-492.
Rice, J.F., 2015.Adaptation of Porter's five forces model to risk management. DEFENSE
ACQUISITION UNIV FT BELVOIR VA.
Saxton, T., 2018. The effects of partner and relationship characteristics on alliance
outcomes. Academy of management journal. 40(2). pp.443-461.
Siaw, I. and Yu, A., 2014. An analysis of the impact of the internet on competition in the
banking industry, using Porter's five forces model. International Journal of Management.
21(4). p.514.
Straussman, R. and et.al., 2016. Tumour micro-environment elicits innate resistance to RAF
inhibitors through HGF secretion.Nature.487(7408). p.500.
Online Reference:
partnership. 2014. [online]. available through<[online].available
through<https://www.sciencedirect.com/science/article/pii/S104898431300146X>
public and private partnership 2016 [online].available
through<https://datacompass.lshtm.ac.uk/127/>
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