Fra-Pas Frozen Yoghurt: Business Type, Analysis and Factors

This report provides an in-depth analysis of Fra-Pas Frozen Yoghurt Shop, focusing on its business structure as a partnership between Paddy Jackson and Frank Jones. It evaluates the company's operational environment, including an assessment of Porter's five forces, identifying competitive rivalries, supplier power, customer bargaining power, threats of substitutes, and new entrants. The report further examines the macro-environmental factors (economic, social, and technological) influencing the business's growth potential in the UK food market. The analysis highlights how these factors, along with the partnership model, contribute to Fra-Pas's market position and competitive advantage, concluding with strategic recommendations for sustainable growth and addressing challenges like supply chain issues and competition within the frozen yogurt sector.

Running head: MANAGEMENT
Management
Name of the student
Name of the university
Author note

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Table of contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Conclusion.......................................................................................................................................7
Reference list and bibliography.......................................................................................................8

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Introduction
Emerging food industry in UK has brought various opportunities for the entrepreneurs for
developing their business in the market (Göbel et al. 2015). The purpose of this study is to shed
light on the demonstrating different forms of business organization and highlight the partnership
business of Fra-Pas Frozen Yoghurt Shop. Discussing the porter’s five forces analysis,
competitive advantage of the company has been analyzed. At the end of this study, three
important macro factors have been discussed, which can play influential role for driving the
business growth of Fra-Pas Frozen Yoghurt Shop.
Discussion
Evaluate partnership as the business type by highlighting Fra-Pas Frozen Yoghurt Shop
Depending on different forms of business organizations the business activities as well as
the growth rate of the company can be influenced (Goel, Bandara and Gable 2018). Analyzing
different forms of business it can be classified into four types such as sole traders, partnerships,
companies and franchises. The sole trader is being considered as the common business
ownership type. It has become highly popular among the people as due to lack of complication in
paper work, the decisions regarding the business is being quickly taken by the owner (Schölin,
Ohlsson and Broomé 2017). On the other hand, it is true that in case of sole trader ship business,
the profit directly goes to the sole trader. In case of partnership business, it can be said that in
the year 2002, the partnership Act in business has been introduced with different legal forms
(Goel, Bandara and Gable 2018). In order to maintain big accuracy in the business practices,
partners are being provided limited liabilities. Through the business partnership forms, the
knowledge and skills are being shared, that help to raise the capital flow in the organization. On

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the other hand, the major benefit of partnership business is here both the profit and loss are being
shared, which reduces the risk on the business risk.
Companies are being owned by the stakeholders those appoint the directors for providing
the proper business direction. The major decision ion the companies are being taken by the Chef
executive officer (Goel, Bandara and Gable 2018). Hence, it can be said that the company is the
legal body that manages the entire business procedure. Another way, it cannot be denied that
franchising business has become highl8y popular in all over the world. A franchise takes the
permission for selling product as well as trade under a certain name of an organization in a
particular area. As the legal restrictions, the raw materials are being purchased by providing the
agreed percentage of profit to the parent organization.
In case of Fra-Pas Frozen Yoghurt Shop, a well set partnership business type has been
shown between Paddy Jackson and Frank Jones. Analyzing the partnership business of Fra-Pas
Frozen Yoghurt Shop, it can be said that it is the combination of creativity and quality. Both the
partners have come from the hospitality background. In that case, the using their skills and
ability Paddy Jackson and Frank Jones have got the chance to effectively enter in the market. By
following the legal process of partnership business, each of them has contributed £30000, which
have helped to secure the lease of the shop for 3 years. By involving individuals in the decision
making process, in the growing business revenue, both the owners have decided to finance
£20000 in the form of business loan from bank. By adopting this initiative, Paddy Jackson and
Frank Jones wanted to introduce new products in the market. However, due to recent emerging
challenges regarding the supply of Yoghurt, the price has become major concern for the partners.
In case of avoiding such losses, both of them have decided to bring changes so that the long
terms viability can be maintained in the workplace. Analyzing the entire case study and

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reviewing the cooperation of both the partners towards the emerging issue, it can be said that
Fra-Pas Frozen Yoghurt Shop can be set as the true example of partnership business.
Porters’ 5 forces analysis of Fra-Pas Frozen Yoghurt Shop
Situation Analysis
Competitive rivalry The concept of frozen yogurt is quite innovative concept in
the market, which can help to grab the attention of large
numbers of people (Schmutz et al. 2018). However, in case of
UK market, various frozen yogurt selling organizations such
as Yorurtland, SweetFrog, TCBY and Red mango have
started grabbing the attention of the customers. By
introducing added frozen yogurt can be beneficial for
maintaining its uniqueness in the market as well as
maintaining sustainable position in the competitive business
environment.
Bargaining power of the
suppliers
Analyzing the current UK market, it can be said that supply
chain has become the major concern for the yogurt selling
companies (Bogue, Collins and Troy 2017). In that case,
increasing demands of the customers are not being satisfied
by the organizations. In this situation, price of the products
are increasing due to unavailability of the products in the
market. Hence, it can be said that bargaining power of the
suppliers is high, that can create challenges for Fra-Pas
Frozen Yoghurt Shop to gain competitive advantage in the

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market. In this situation, the company needs to focus on
developing strong relationship with the suppliers so that raw
materials can be brought in high discount. If legal agreement
can be done with a particular supplier, it will help to maintain
uninterrupted supply chain, which can help to give tough
competition to its competitors.
Bargaining power of the
customers
Although the frozen yogurt is the unique concept in the
market, but analyzing the current business scenario, it has
been identified that few organizational have started selling the
frozen yogurt, which has helped to maintain the availability of
the product in UK market (Chandan 2017). Therefore in case
of frozen yogurt, the bargaining power of the customers is
moderate. Through effective promotional practices Fra-Pas
Frozen Yoghurt Shop will be able to develop its strong brand
image on customers mind for gaining competitive advantage.
Threats from substitute
products
Ice cream can be considered as the major substitute product
for frozen yogurt (Horti, Fielding and Moore 2017). In case of
UK market, ample numbers of ice cream parlors have
increased the threats of substitute products for of Fra-Pas
Frozen Yoghurt Shop. A different Ice cream section can be
introduced so that the sales can be increased and competitive
advantage can be gained.
Threats from new entrants in
the market
Analyzing the growing economic situation in UK it can be
said that, it has brought various business opportunities for the

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entrepreneurs (Verriet and Leroy 2017). It can be said that
supply chain has become the major concern in this industry.
Due to such reasons, it can be said that the threats from new
entrants is low for Fra-Pas Frozen Yoghurt Shop, which can
help to the organization to give tough competition to the new
entrants.
(Created by author)
Three macro environmental factors that can impact on improving of Fra-Pas Frozen
Yoghurt Shop
Economic factor
After the huge financial crisis, the UK economy has started developing from 2016.
Analyzing the economic situation in UK, it can be said that size of economy has been increase
9.7% compared to the pre downturn peak, which has brought the annual changes of 2.3% in UK
economy (Ig.ft.com 2019). The economic growth has started recovering, which can bring the
positive growth in this organization. On the other hand, if the market popularity from last 7 years
can be analyzed, in that case, it will be identified that the frozen yogurt market has achieved the
$2 billion business, which is quite impressive (Ig.ft.com 2019). In this situation, it can be said
that, due to the economic opportunities as well as growing market situation, it will be easier for
the company to bring business opportunities in the market.
Social factors
Analyzing the society trend in UK, it can be said that frozen yogurt has become one of
the favorite deserts for the UK people. It cannot be denied that in the competitive food industry,

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unique concept like frozen yogurt are being highly appreciated by the people (Horti, Fielding and
Moore 2017). Due to its unique concept, it has got high appreciation from all age group of
people in the market. Not only in the Ice cream parlors, in case of juice bars the frozen yogurt are
being available for satisfying the needs of the customers. Therefore, analyzing the social factors
in UK, it can be said that, social factor can play an important role for bringing the business
opportunities for of Fra-Pas Frozen Yoghurt Shop.
Technological factor
Due to increasing opportunities in the market, UK has become one of the popular
technologically advanced country. Technological innovation not only improved the living
standard of people, but also brought advancement for the food selling organizations. Due to the
technological opportunities, the chemical and physical changing process through the microbial
fermentation have become easier (Jfoodprotection.org, 2019). As a result, the production rate as
well as the business opportunities has got increased. In this situation, it can be said that
technological factor is in favorable condition for Fra-Pas Frozen Yoghurt Shop as it has made the
milk preservation and yogurt manufacturing process easier.
Conclusion
In this study, it can be concluded that yogurt business has started growing in the UK food
market. Analyzing the economic, social and technological factors, it can be said that due to
changing living standard of people it can be said that the Fra-Pas Frozen Yoghurt Shop will get
various opportunities for developing its business in UK market. However, in the Porter’s five
force analysis some of the negative factors have been identified, which can plan influential role
for gaining the competitive advantage in the market. Analyzing the situation, it can be said that

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the company needs to focus on improving its supply chain process so that it will be able to
sustain in the competitive market and achieve its business goals.

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Reference list and bibliography
Bogue, J., Collins, O. and Troy, A.J., 2017. Market analysis and concept development of
functional foods. In Developing new functional food and nutraceutical products (pp. 29-45).
Academic Press.
Buehler, A.J., Martin, N.H., Boor, K.J. and Wiedmann, M., 2018. Evaluation of biopreservatives
in Greek yogurt to inhibit yeast and mold spoilage and development of a yogurt spoilage
predictive model. Journal of dairy science, 101(12), pp.10759-10774.
Chandan, R.C., 2017. An Overview of Yogurt Production and Composition. In Yogurt in Health
and Disease Prevention (pp. 31-47).
Göbel, C., Langen, N., Blumenthal, A., Teitscheid, P. and Ritter, G., 2015. Cutting food waste
through cooperation along the food supply chain. Sustainability, 7(2), pp.1429-1445.
Goel, K., Bandara, W. and Gable, G., 2018, September. A Typology of Different Forms of
Business Process Standardisation (BPS). In International Conference on Business Process
Management (pp. 179-193). Springer, Cham.
Horti, A., Fielding, B.A. and Moore, J.B., 2017. Nutrient Content in Yoghurt: A Comprehensive
Survey of the UK Yoghurt Market in Advance of Government Mandated Sugar Reduction and
Reformulation. Proceedings of the Nutrition Society, 76(OCE4).
Ig.ft.com 2019. Retrieved from: https://ig.ft.com/sites/numbers/economies/uk/ [Accessed on 21st
Jan, 2019]
Jfoodprotection.org 2019. Retrieved from: http://jfoodprotection.org/doi/pdf/10.4315/0362-
028X-43.12.939 [Accessed on 21st Jan, 2019]

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Medium.com 2019. Retrieved from: https://medium.com/@smoothiefactory2018/how-to-start-a-
business-with-frozen-yogurt-franchise-in-uk-2ff93aa6aafc [Accessed on 21st Jan, 2019]
Schmutz, U., Kneafsey, M., Kay, C.S., Doernberg, A. and Zasada, I., 2018. Sustainability impact
assessments of different urban short food supply chains: examples from London, UK. Renewable
Agriculture and Food Systems, 33(6), pp.518-529.
Schölin, T., Ohlsson, H. and Broomé, P., 2017. The role of regions for different forms of
business organizations. Entrepreneurship & Regional Development, 29(3-4), pp.197-214.
Shah, N.P. ed., 2017. Yogurt in health and disease prevention. Academic Press.
Verriet, J. and Leroy, F., 2017. Yogurt's flexible image during its rise in popularity in post-war
Belgium. Appetite, 108, pp.132-140.