Business Report: Evaluating a Frozen Yoghurt Partnership in Birmingham

This report examines the business partnership of Frank Jones and Peter Jackson, owners of a frozen yoghurt shop in Birmingham. It categorizes their business as a general partnership, highlighting its ease of creation, minimal documentation, and low cost. The report then applies Porter's Five Forces framework to analyze the competitive landscape, including competition within the industry, potential new entrants, supplier power, customer power, and the threat of substitute products. The analysis suggests that while competition and the threat of substitutes are high, the business can leverage its quality, pricing, and service to gain a competitive advantage. Furthermore, the report explores macro-environmental factors, such as economic, technological, and social factors, and their potential impact on the business's growth and stability. The conclusion summarizes the findings and emphasizes the importance of strategic planning and adaptability in the frozen yoghurt market.

Introduction of business

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Evaluation of Partnership as a type of Business Organisation ...................................................1
Porter 5 Forces Framework to Analyse the business and the basis of taking competitive
advantage.....................................................................................................................................1
Macro Environmental Factor for the Business ..........................................................................3
Conclusion.......................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
This report consist the case study of the business partners Frank Jones and Peter Jackson.
They owned the frozen yoghurt shop in Birmingham city. This report briefs about the type of
business they own. The effect of Porter 5 forces on the business of both the partner will also be a
part of this report. Factors related to micro economy based on the business model of Frank Jones
and Peter Jackson will also be discussed in this report.
MAIN BODY
Evaluation of Partnership as a type of Business Organisation
The partnership between Frank Jones and Peter Jackson is more similar to general
partnership.
Essence of General Partnership:
 General partnership is very easy to create there is not any formalities of state filling is
require in general partnership.
 Documentation is minimum in general partnership only a basic agreement between the
partners regarding profit shares and liabilities in the business.
 Not any formation fees is require in general partnership. So it is low cost partnership
beneficial for small businesses.
 All the hustle related to annual meetings and others aspects such as keeping personal
assets away from the partnership and others are not required in general partnership so it is
more hustle free and free flowing partnership.
Based on the above mentioned facts about the general partnership the partnership between Peter
Jackson and Frank Jones is more like a general partnership. Both the partners have invested the
money in the business initially. The scale of the business is revelatory small because they both
invested not a huge money to set up the whole business. Not any specification is done about the
annual meetings in the case study. So it is convenient to specify the partnership between Peter
Jackson and Frank Jones as a general partnership.
Porter 5 Forces Framework to Analyse the business and the basis of taking competitive
advantage
Porter 5 Forces
Porter specifies 5 forces that can impact the businesses in the larger context of the
business. These forces are:
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Competition in the Industry: Competition in the industry depict all the business entities related
to the frozen yoghurt and its sale. Frozen yoghurt has a potential consumer base in England so
the competition is relatively high in the market for Frozen Yoghurt. Numerous outlets in the
Birmingham can be seen for selling frozen yoghurt. Level of competition in the market puts a
huge impact on the businesses specially to the small entities (Tallman, Luo and Buckley, 2018).
Small entities gets affected very easily from the decisions of other established business
organisations in that market. The partnership business of both the partners can offer the best
quality of Frozen yoghurt an the most attractive price range so it can reach to maximum number
of people in the market and even they can give free home delivery service to its customers so
more customer base can be covered in the market by them. This force is high for the business.
Potential of new Entrants into the Industry: Small investment businesses always carry the
huge potential for the new entrants to enter into the market. This business of Frozen Yoghurt
demands not heavy investment to start so the chances of the new entrants to enter into the market
is relatively high based on the demands of the frozen yoghurt in Birmingham. Frank Jones and
Peter Jackson can extend the business outlets in other places of the city to cover most of the
consumer base (Bergantino,2015). They even can bring new varieties to the product to attract
more customers in the same market. Based on the above facts this force is high for the business.
Power of Supplier: Suppliers of the raw material are always crucial for the businesses. Due to
high demand of Frozen Yoghurt the competition is high in the market because of the numerous
outlets and so as the number of suppliers are also plenty so the partners can deal regarding the
raw material with the most affordable supplier in the market. Because of the plenty of supplier in
the market this force is medium for the business.
Power of Customer: Customer is the ultimate goal of all the business organisations. All the
business organisation make their policies based on the potential customer base for the products.
Power of customers will always be high for all the businesses because they are the only factor
behind the success or failure of the business (Fabbri and Klapper, 2016). Frank Jones and Peter
Jackson can serve the best product and service to attract the maximum customer base. This force
is high.
Threat of Substitute Products: Substitute products always place a big threat to the businesses.
Today variety of substitutes are available for any product in the market (Cusumano,Yoffie and
Gawer, 2019). Frozen Yoghurt can also be replaced with other products in the market like other
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ice creams and other cold products. Both the partners can provide multiple varieties so more
customer base can be attracted by them. This force is always high.
Macro Environmental Factor for the Business
Economical Factors: Both the partners can enhance the scale of the business with the help of
financial resources. Extension of the business will help in connecting with more number of
customer base that will be more profitable for the business and will lead to growth and stability
for the business.
Technological Factors: Both the business partners can involve technology in conducting the
business operations. Technology will provide a luxury to sale its product online as well (Nguyen,
Newby and Macaulay, 2015). In England people are very much active on social sites so all the
customers on the social sites can be approached with technological inclusion in the business.
Social Factors: Business partners can involve in social activities so it can connect with more
peoples. Social awareness create a very positive impact on the image of the business and it
enhance the trust in the people for the business also.
Conclusion
This report concluded about the partnership of Frank Jones and Peter Jackson related to
the Frozen Yoghurt business. This report also concluded about the Porter 5 Framework to
analyse the business of frozen Yoghurt and the effect of all the forces on the business of Frozen
Yoghurt. Three macro environmental factor also concluded in this report that can improve the
business.
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REFERENCES
Books and Journals
Tallman, S., Luo, Y. and Buckley, P.J., 2018. Business models in global competition. Global
Strategy Journal.8(4). pp.517-535.
Bergantino, A.S., 2015. Incumbents and new entrants. Rail economics, policy and regulation in
Europe. pp.171-209.
Cusumano, M.A., Yoffie, D.B. and Gawer, A., 2019. The Business of Platforms: Strategy in the
Age of Digital Competition, Innovation, and Power. HarperCollins Publishers.
Fabbri, D. and Klapper, L.F., 2016. Bargaining power and trade credit. Journal of corporate
finance.41. pp.66-80.
Nguyen, T.H., Newby, M. and Macaulay, M.J., 2015. Information technology adoption in small
business: Confirmation of a proposed framework. Journal of Small Business
Management.53(1).pp.207-227.
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REFERENCS
books and Journals
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