Analysis of Entrepreneurial Opportunities for Food & Fun Restaurant

This report provides a comprehensive analysis of entrepreneurial opportunities, focusing on the case of the Food & Fun restaurant in London, UK. It explores various sources of entrepreneurial ideas and innovation, examining external environmental factors such as political, economic, social, and technological influences. The report delves into Drucker's seven sources of innovation and differentiates between invention and innovation, as well as product/service and business ideas. Furthermore, it analyzes the rationale and market gap for the restaurant, utilizing tools like customer identification and market segmentation. The report also covers industry environment, including competitors, suppliers, and customers. Gap analysis is performed to evaluate the entrepreneurial idea, including the use of questionnaires for data analysis. A SWOT analysis is conducted to assess the restaurant's strengths, weaknesses, opportunities, and threats, and the competitive market environment is evaluated to determine potential viability. The report concludes with a summary of findings and recommendations for future growth and success.

Identifying Entrepreneurial
Opportunities

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Determine and evaluate different sources of entrepreneurial ideas and innovation..............1
TASK 2............................................................................................................................................4
P2 The rationale and the market gap for a specific entrepreneurial............................................4
TASK 3............................................................................................................................................6
P3 Gap analysis in the evaluation of a specific entrepreneurial idea..........................................6
P4 Interpretation of data to provide evidence of market potential..............................................7
TASK 4............................................................................................................................................9
P5 SWOT analysis to assess the entrepreneur idea.....................................................................9
P6 Competitive and market environments in which the idea will be launched........................11
CONCLUSION..............................................................................................................................12
REFRENCES.................................................................................................................................14

INTRODUCTION
Entrepreneur is someone who starts their own business venture by identifying
opportunity to make a profit. A person operates a company alone and makes money through start
up by considering risks, uncertainties and other factors. They come up with new ideas,
innovation for producing goods or services to satisfy customers desired expectation.
Entrepreneurs always look for various opportunities to grow business and achieve competitive
advantage with the help of bringing changes, creativity, curiosity, innovation and inventions
within organisation (Abu-Saifan, 2012). This report is based on Food & Fun restaurant which
recently opened up in London, UK. This assignment will different sources of entrepreneurial
innovation and explain market gap for specific entrepreneurial ideas with tools or techniques. It
will present data and interpret those for proper gap analysis. There will apply SWOT frameworks
regarding entrepreneurial ideas as well as evaluate competitive market environment to assess the
potential viability.
TASK 1
P1 Determine and evaluate different sources of entrepreneurial ideas and innovation
There are number of entrepreneurs who started their own businesses and become
successful. They bring new innovative thoughts or ideas while starting a venture so that better
outcomes can be get in an effective manner. Many of individuals generally find big opportunities
for showing their talents and knowledge through developing business and apply skills for
running in smooth manner. The Food & Fun is new restaurant that established in London as an
entrepreneur who decided to starts a business venture for generating higher number of revenues
or profits and satisfy customers needs or wants (Audet, 2010). There is required a proper study
for running business operations in which environmental factors considered. They can affects on
the organisation functions or activities so management make decisions to create effective
strategies and action plans to survive in the competitive environment. Here described some
external environmental factors to understand in better manner such as:
 Political: There are several political factors that have direct impacts on the business firm
as it includes rules, regulations, taxation, restrictions, policies and procedure that can
affects on the organisational functions or its operations. Therefore, company have to
follow such rules that formulated by the government of UK. Food & Fun restaurant can
1

be grow by serving variety of foods to the customers due to getting relaxation from
taxations as well. The political situation which is present in UK strong and many benefist
are provided to new start-up's. This will enables the new restaurant is to use such
condition as beneficial factor to earn large number of income because less rate of tax is
applied on new business activities.
 Economical: This is another important factor that can change according to environment
and it is beyond the control of management. In this included growth rates, GDP,
fluctuation and exchange rates that affects on the profitability of firm (Costanzo, 2010). It
is necessary to make better pricing strategies and consider economic crises while running
operations. The economy of UK is very strong which provides the opportunity to the
small organisation is to fulfil their needs through attaining funds from various investors.
This will have huge importance in getting large number of opportunities of expansion in
future.
 Social: Many of organisations are facing some social issues due to improper knowledge
of customer's needs or wants. There are required an appropriate study to identify the
potential consumers and their choices, tastes and preferences so that effective goods or
services can bes provided to the right people. This can be beneficial in building healthy
relationship among targeted audiences.
 Technological: in the modern era, everything is going to be digitalised and every firm is
focusing on adopting best advanced technologies to make their work easy or effective as
well. It can be seen that every individuals are addicted with technologies or other devices
for managing their works and these have become their part of life. Therefore, Food &
Fun restaurant also should undertake advanced technologies to perform various activities
in an adequate way. There are many changes are happen in technology on regular basis
which are required to implement by small business (Vurro, 2010). Establishment of
mobile technology and digital plat form helps in survival and provides the opportunity to
improve their sales and profitability in future period of time.
Drucker's 7 sources of innovation: Unexpected: Entrepreneurs try to adopt best strategies and effective technologies for the
purpose of producing better quality of products or services which will help in achieving
2

competitive advantages in well manner. There should be unique and featured products
that differentiates from other competitors. Incongruity: There is necessary to introduce find better opportunities for introducing new
product or services so that higher income can be generated. The Food & Fun restaurant
focus on capturing target market through providing different flavour of foods to the
customers. Innovation based on process need: in this defined that innovation is one of the best way
to bring several changes and effectiveness in business firms which are needed to achieve
competitive advantages (Perrini, 2010). Company can get higher returns through
implementation of plans and procedures as well. Changes in industry and market: It can bes analysed that innovation generally
considered for modification and alteration of existing products so that effective items can
be produced. The Food & Fun is trying to capturing market through bring changes in
flavours or tastes. Demographics: This is helpful component that helps in classified business according to
segmentation so that potential customers can be targeted. Change in perception: It is required to identify customers perception regarding goods or
services that helps in growing business.
 New knowledge, both scientific and non-scientific: There is necessary to execute and
implement particular ideas, innovation and knowledge for running business firm in an
effective manner.
Types of innovation:
Products and process innovation: In the business organisation, innovation play vital role
in bringing changes, some alteration in existing products or services so that customers can be
attracted towards firm (Silva, 2011). This is essential in increasing maximum level of satisfaction
of customers by considering modification and qualities that result higher profits or growth.
Difference between invention and innovation and the role of creativity:
Innovation Invention
It play an important role in bringing several
effective changes in goods or services so that
better quality of products can be produced with
This is associated with new product
development with the help of modification and
alteration. Company considered the inventions
3

innovative ideas and creativity. of new items for getting attention of targeted
customers.
Difference between a product or service idea and a business idea:
Product idea Business idea
In this, company have to find customers needs
or desired expectation towards goods or
services so that they can produce better quality
of products with additional features and
valuable materials as well.
In this considered an appropriate business plan
and create strategies to run operations or
functions of organisation. The Food & Fun
requires to adopt best ideas for producing
variety of food items with better quality so that
competitive advantages can be gained.
TASK 2
P2 The rationale and the market gap for a specific entrepreneurial
In the present scenario, many of companies are trying to compete with tough competitors
and making effective strategies for surviving in the marketplace. It is necessary to formulate
appropriate plans or strategies for implementing innovative ideas and creativity so that future
goals or outcomes can be achieved (Ghobril, 2011). There are required to analyse gaps between
different market and targeted audiences that must be measured as much as possible. The Food &
Fun restaurant has to undertake some effective tools or techniques for the purpose of fulfil
marketing gap such as:
Identification of customers: It is necessary to identify target customers and their desired
needs, wants, choices,demands and preferences regarding particular goods or services.
Entrepreneur also analyse consumer tastes for providing effective food items to them as Food &
Fun restaurant conducted survey and gathered informations to produce variety of products for
satisfying customers desired needs (Nassif, 2011). It support to them in finding resources and
factors that will help in producing drinks and dishes as well.
Marketing segmentation Demographic: In this process, company classified its targeted audiences on the basis of
age, gender, income, nationality and regions etc. these have major impacts on enhancing
sales and generate higher revenues in well manner.
4

 Behavioural: In this, entrepreneur undertake some major components for finding
appropriate customers and target audience. It included lifestyles, culture, values,
behaviours, beliefs and attitude of customers so that business can be run in an effective
manner.
Product or services: Tangible: The Food & Fun provides tangible products as well as food material to the
targeted audiences so that they can be satisfied in more efficient way (Henning, 2012).
They also focus on capturing market through organic food stuff to the people.
 Intangible: In this included several services that cannot be seen or touched but customers
can feel it. Entrepreneur try to satisfy its customers by providing better quality of services
so that they will be loyal towards firm. The Food & Fun provide quick services and better
infrastructure to customers for attracting them.
Industry environment Industry competitors: In this considered various organisations that have occupied good
position in the particular marketplace and give tough competition to the new small
businesses. The owner of Food & Fun is also required to analyse strong competitors
because restaurants businesses are common and many of competitors are available in the
markets so they are biggest threats of firm. Proper planning and strategies required to
overcome such threats and grow business in competitive environment. Bargaining power of suppliers: Company focus on bargaining power of suppliers that
have major impacts on profitability and productivity. The Food & Fun considered various
suppliers which provide better quality of material so that good drinks or dishes can be
prepared (Kauranen, 2012). They can bargain with suppliers regarding pricing of raw
materials or stuffs which is effective due to availability of number of alternatives as well. Bargaining power of customers: It is required to consider customers choices and
purchasing behaviours because they are key people for getting success in the future.
There is necessary to attracts more customers by adopting strategies such as setting lower
price on goods or services. it will help in building healthy relationship among customers
in adequate manner. Threats of substitute: It can be analysed that restaurant business is very common in the
marketplace so there are many of substitutes available of The Food & Fun Restaurant.
5

 Threats of new entries: There is necessary to create better ideas and adopt strategies for
generating higher profits or revenues.
TASK 3
P3 Gap analysis in the evaluation of a specific entrepreneurial idea
Entrepreneur always try to develop business by adopting best tools or techniques as well
as effective strategies so that targets can be attained (Kraus, 2012). Gap analysis play an
important role in analysing major differences between company's current position or conditions
with set standard for future. It is required to examine several changes and environmental aspects
that support in meeting customers desired expectations. For The Food & Fun Restaurant, there
must be required to identify various gaps that occurred while achieving set targets or future
goals. This will be support in adopting best strategies and tools or techniques for creating
positive image among competitors. In this consider an appropriate strategy for data analysis such
as:
Questionnaire
Name-
Email ID-
Contact No.-
Q1. Does the quality of the food products provided by Food & Fun Restaurant is optimum?
 Yes
 No
Q2. Which mode of training is more suitable for for the purpose of maximisation of
performance and productivity of organisation?
 Off the job
 On the job
Q3. Does application of digital technology helps to acquire large market share?
 Agree
 Disagree
 Cant say
Q4. Does implementation of digital technology helps to attain competitiveness in business
6

operations in future period of time?
P4 Interpretation of data to provide evidence of market potential
Theme 1:
Q1. Does the quality of the food products
provided by Food & Fun Restaurant is
optimum?
Frequency
A. Yes 18
B. No 12
Particulars No. of respondents
A. Yes 18
B. No 12
Total 30
Mean 15
Median 15
Mode 6
Findings: From the above data, it can be analysed that there are 18 respondent out of 30 agreed
about the quality of goods or services which are provided by The Food and Fun restaurant
7
A. Yes B. No
0
2
4
6
8
10
12
14
16
18
18
12
Column C

(George, and Kotha, 2013). Rest of persons do not agree because of poor image in the market
place.
Q2. Which mode of training is more suitable
for for the purpose of maximisation of
performance and productivity of organisation?
Frequency
A. On the Job 16
B. Off the Job 14
Particulars No. of respondents
A. On the Job 16
B. Off the Job 14
Total 30
Mean 15
Median 15
Mode 2
Findings: form the graphical representation, it has founded that company required proper
training and development programs for enhancing employees skills or knowledge so that
productivity and productivity can be increased in adequate manner (Korsgaard, 2012). 16 out of
30 suggests on the job method for better training and learnings to workers.
8
A. On the Job B. Off the Job
13
13.5
14
14.5
15
15.5
16
16
14 Column C

Q3. Does application of digital technology
helps to acquire large market share?
Frequency
A. Agree 17
B. Disagree 8
C. Can’t say 5
Particulars No. of respondents
A. Agree 17
B. Disagree 8
C. Can’t say 5
Total 30
Mean 10
Median 8
Mode 2
Findings: The Food & Fun Restaurant can use several advanced technologies for improving
business performance and run its operations in smooth manner (Shepherd and Grégoire, 2010).
17 out of 30 agreed to adopt technology for bringing changes and effectiveness in the firm. 8 out
of 30 think that it would be expensive and increase costs for organisation.
9
Agree Disagree Can’t say
0
2
4
6
8
10
12
14
16
18 17
8
5
Column C