Innovation and Entrepreneurship (ENT6800): Amorini Wood Furniture Plan

This report presents a detailed business plan for Amorini Wood Furniture, a start-up specializing in selling furniture in London, UK. It begins with an executive summary highlighting the importance of innovation in business success. The introduction defines entrepreneurship and innovation, emphasizing their value in long-term business operations. The report outlines the business idea, including the sale of various furniture types and customizable options, along with services like polishing and free delivery. It analyzes the current demand and statistics in the UK furniture market, the business model for generating profit, and the business cycle stages. The report differentiates Amorini Wood from competitors, discusses challenges, identifies the ideal customer, assesses market positioning using the 4-Ps of marketing, and examines competitors. It further explores funding sources and methods to protect the business idea, concluding with a summary of the findings and references.

Innovation and
Entrepreneurship

Table of Contents
Executive summary..........................................................................................................................3
INTRODUCTION...........................................................................................................................4
Start-Up Business Idea...........................................................................................................4
Current industry demand and statistics on the market............................................................4
The Business Model to generate profit and the cycle of business..........................................5
Examine how company is different from other companies with similar products.................6
Challenges to the business venture.........................................................................................7
Examine the ideal and prospective customer for the product / service..................................7
Asses the positioning in the London market and the 4-Ps......................................................7
Discuss three current competitors already present in the market...........................................8
Discuss 2 sources of funding to support the idea...................................................................9
Discuss the approach in protecting the business idea.............................................................9
CONCLUSION..............................................................................................................................10
REFERENCE.................................................................................................................................11

Executive summary
The innovation plays an important part in the success and the failure of the business,
having innovative ideas and creative innovation leads a company towards growth and success,
the small firms analyse the significance of innovation in the entrepreneurship, it enables
entrepreneur to gain competitive advantage in the market. This report highlights the importance
of innovation plays in the success of a business. It includes the innovation of business idea for a
new start-up business in the London and how it can be developed and planned out using brief
business plan and theoretical knowledge of entrepreneurship and evaluation of various
approaches which are highlighted in detailed.

INTRODUCTION
Entrepreneur is considered as an individual who creates a new business where all the
rewards and losses are faced by them. They are defined as the innovators for setting up their
businesses which is known as entrepreneurship. Innovation is defined as creation of ideas,
processes and products. The importance of innovation in entrepreneurship is the value for
running the business for the long term And competition stimulates For coming up with the new
ideas which are cost effective and qualitative. Amorini Wood furniture Is taken as the base
company. It is a start-up business which is specialise in selling Of furniture in London, UK. In
this report, it covers a business plan for an organisation to work. this will define the details about
the different production services, business model, challenges of the business idea, source of
funding along with the approaches in protecting the business idea.
Start-Up Business Idea
Amorini Wood is a start up business which will sell furniture to the customer. The
organisation will sell all types of furniture such as home furniture, office furniture which can
include dining table and chairs, sofa sets, office tables and many more. Along with this, the
customer has also a choice for customized furniture in which they can give their ideas and
creativity for building furniture (Ahsan, 2020). The services provided by the organisation is that,
when a customer by the furniture, the polishing will be done at the half price is and also the
organisation is also offering free delivery up to three kilometres. Organisation also make sure
that’s the quality of wood that they are offering is all good quality and runs for a longer period of
time. The products and services that they are delivering are cost effective with super quality.
Moreover, they all also provide services in which the people of the organisation will visit that
area where the customer wants their furniture to be set. The people will analyse their area and
will decide the furniture For them Along with the colour and design which will suit their
location.
Current industry demand and statistics on the market
The furniture industry of UK is the second largest consumer in Western Europe. The UK
households purchase 14.4 billion worth of furniture and furnishing (Brush and et. al., 2017). As

COVID-19 has impacted the lives of everyone, the furniture industry of UK Was also restricted
and the customer was not able to purchase because of the lockdown which was imposed across
the globe in 2020. The furniture market in UK was performing well in last five years. In Europe,
the UK is playing a central role in terms of furniture industry as they have highest shares of
retailers and distributors. There are many international organisations which are playing in the
markets of UK and also dominate. The furniture organisation also comes with innovative ideas
such as 3D virtual stores in which the customer can easily walk around the store and zoom the
product for a closer look. The online seller has also the contribution to the furniture industry by
selling the modern as well as traditional furniture.
The Business Model to generate profit and the cycle of business
The business model is defined as a plan which is uses by the organisation for making the
profit. This plan is used in all the new as well as for existing businesses (Baker and Welter,
2017). In context to the selected organisation, it is used to identifying those products and services
which organisation is planning to sell, target market an additional expenses. This business model
covers all the cost and financing sources of the start-up businesses, customer strategy for
marketing, the number of competitors and different revenues.
The Business Cycle:
The business cycle is defined as the fluctuations which the business is faces while running in
the market. The business is always challenging especially for start-up as they require different
strategies for penetrating into the market for achieving the growth. In context Amorini Wood
furniture, the business cycle is mentioned below:
Stage 1: Seed and development
In context to the selected organisation, this stage is the official stage where the development
of different ideas for the organisation takes place. The funds for the company are generated with
the help of family, friends, and colleagues.
Stage 2: Startup
After generating the ideas and testing, the start-up is ready to make the official
announcement. It is known to be the most risky stage of the business cycle (Cañeque and Hart,
2017). In context to the company, they can adjust themselves when they will start to get initial

feedbacks from the customers who help them in making the changes to the organisation as well
as their products.
Stage 3: Growth and establishment
In context to Amorini Wood furniture, the growth of the organisation is taking place and a
stable income will take place regularly. In this stage, all cash flows will be improved as well as
to help covering all the additional expenses. The entrepreneur will be able to analyse that after all
the earnings done by the organisation, profits are improving slowly. Along with this, they will
hire people for the organisation and also spend time on them for recruitment and selection
process. Moreover, the entrepreneur roll will also change and has the responsibility to define and
communicate the goals of the organisation to the people.
Stage 4: Expansion
The selected organisation has now established and also earning profits and now it's time to
expanded firm. It can be expanded by analysing all the resources, cost and potential returns
which helps in expansion (Dou and et. al., 2019). Along with this, they also evaluate the current
performance of the organisation, quality of the products given to the customers and the impact on
the future customers.
Stage 5: Majority and possible exit
In context to the selected organisation, at this stage, the organisation has maintained their
stability with a regular stable profit and enjoys the growth rates. The entrepreneur has two
choices in which either expansion of the organisation our exiting the business. They will analyse
the entire situation during the expansion stage and evaluate the financial stability if the expansion
of the organisation is not successful Leading 2 exit the business.
Examine how company is different from other companies with similar products
The furniture industry in the United Kingdom is the largest industry. The organisation provides
different types of furniture along with different styles and colours which are trendy and popular
in the markets of UK (Fontana and Musa, 2017). Amorini Wood furniture is selling furniture of
high quality which is pocket friendly for the customers cost. Along with this, the organisation is
also providing teams which are specialized in analysing the location in which the customer wants
to set the furniture. These teams will evaluate and decide which type of furniture along with the
styles and colours are appropriate for the location. Moreover, this furniture company is also

service of polishing the furniture at a discounted rate when a customer purchases the furniture.
Furthermore, the firm is offering free delivery all the furniture up to 3 kilometres of radius
(Galindo-Martín, Castaño-Martínez and Méndez-Picazo, 2019). The organisation is also offering
catalogues of customizable furniture sample in which the customer can choose from it and along
with this the organisation also provides the facility to customise furniture by bringing out their
ideas and creativity to build the furniture according to them. Customer can also opt for
assembling of the furniture by the team of the company at free of cost if the purchase is act or
more than a certain level. When customer opt this service, the assembling team will be sent by
the organisation for fitting the furniture at the desired location and they will do not take any
penny from them.
Challenges to the business venture
Amorini Wood furniture can face various challenges while penetrating into the market as
there are large companies which are offering different types of furniture with high quality
standards as well as the UK has the largest furniture industry which has a large number of
competitors in the market. Along with that, while offering furniture at low cost they can face a
loss if they are not able to sell their products to a minimum number of customers. This can lead
to huge loss to the organisation as well as they can even face bankrupt and exiting the business.
Examine the ideal and prospective customer for the product / service.
Customers are the essential for the survival of any business, company manufactures good
and services in order to satisfy their customers, the prospective customers are the customers who
are interested in the product and services of the firm, they help in enhancing the profitability and
productivity of the business effectively (Galvão and et. al., 2020). In case of Amorini Wood
furniture, the ideal and prospective customers are the all the individual from the age group of 20
years across in the geographical area of the London, the especial focus of the firm is on the
millennial as this group is the one who mostly prefer the personalised items.
Asses the positioning in the London market and the 4-Ps.
The marketing plan is the defined as the framework used by the company in order to to
plan and organise the company’s strategy, it helps marketer to set desired goals and objectives

and analyse the target customers and understand their needs and wants (Halibas and et. al.,
2017).There are mainly four elements of the marketing plan which are product, price, place and
promotion. In context to the Amorini Wood furniture company, the marketing plan will help in
effective planning of their strategy, the various elements of marketing plan in context to the firm
are discussed below:
Product: The product is the commodity offered to the customers, it is the product and
services that a firm offers to the customers in order to satisfy their needs and wants. In case of
Amorini Wood furniture, firm is offering unique and personalised high quality of furniture to
the targeted customers in order to satisfy their needs.
Price: The element is the price, it is the value or the cost that consumer pays in exchange
of the good and services brought by the him or her. In case of the Amorini Wood furniture
company, initially company is planning to offer their products and services at the low cost
strategy in order to attract large customer base in the marketplace.
Place: The place is where the company plans to sell their product and services and how
to deliver their services most effectively. The main focus of the marketer is to get products and
services easily available to the consumers. The Amorini Wood furniture, firm is targeting to
offer their services across London and using direct distribution channel.
Promotion: The last element is the promotion, it is the process of making consumer aware
of the product and services using various promotional activities (Herron, 2020). In case of
Amorini Wood furniture, company will use social media marketing as well as advertising in
order to promote their firm.
Discuss three current competitors already present in the market.
The competitors analysis is one of the essential analysis which allows marketer to analyse
the level of competition available in the market and their strength and weaknesses prevailing in
the market, this analysis helps in analysing their competitors available in the marketplace and
accordingly take corrective actions, in addition to this they competitive analysis also help
business organisation to understand the opportunities and threat available in the for them and
how to handle both effectively (Junior and et. al., 2020).Proper analysis of this helps in gaining
competitive advantage and enhancing their performance. In case of Amorini Wood furniture, the
three main current competitors already available for the company in the market place are
Dunelm, which is the UK’s home furnishing company providing home furnishing item, another

one is the Range, which is also one of the current home, leisure furnishing company and can be
great competitor for the Amorini Wood furniture company. And the third one is the Furniture
village which offers great choice of excellent furniture for the living, dining and the sleeping area
to the customers (Xie and et. al., 2021). In order to effectively deal with its competitors Amorini
Wood furniture company will provide unique and value added products and services as low cost
strategy across UK.
Discuss 2 sources of funding to support the idea.
Source of funding is defined as the finding the various source of finance in order to carry
out the business effectively, for any business to start and carry out needs capital. For an
entrepreneur to carry out their business there are number of option or sources of finance
available to him (Lumpkin, Bacq and Pidduck, 2018). In case of Amorini Wood furniture, source
of funding can be used by the company are discussed below:
Own capital: The one of the essential source of funding that can be used by the firm can
be the own capital, the own capital of the entrepreneur includes his own personal assets like
stocks, mutual funds and so on.
Venture capital fund: The another type of source of fund that can be used by the
company can be the venture capital, they are basically the private equity firms which provides
funds to the small business entrepreneurs to start their business effectively (Macke and et. al.,
2018).
Discuss the approach in protecting the business idea.
The intellectual property is defined as the process of possessing the ownership of an
thought or design by the individual the one who created it, it is simply the term used in the
property law, it allows individual to possess certain rights on the unique kind of design created
by him, so that no other individual can copy his work or idea without his or her permission
(Ratten and Usmanij, 2021). There are mainly four type of intellectual property which chosen
firm can use in order to protect their business ideas which are discussed below:
Copyrights: The first type of intellectual property is the copyrights, under this the
protection is provided to the author for their unique authorship, it provides protection to writings,
picture, music, art and other form work (Sá, Casais and Silva, 2019).

Patents: The another form of the intellectual property is the Patents, this is for protecting
the property rights to the inventor, it protects the right of the property owners.
Trademarks: The another type is the trademark, the trademark allows individual to
protect their words, phrase, symbols or design or a combination which are unique, it protect them
from copying by the others.
Trade secrets: The last type of intellectual property is the trade secret, this allows business to
protect their confidential information from other business (Schaltegger, Beckmann and Hockerts,
2018).
The above intellectual property will allow the Amorini Wood furniture to protect their
firm, its products, information from copying and misuse by the others.
CONCLUSION
From the above discussion, it can be concluded that innovation is important for an
entrepreneur to implement on the organisation as well as on their products and services which
they are providing to the customers. The entrepreneurs can also face both success and failure at
the same time if the strategies are not able to implement appropriately. In this report, it includes
the details about the production services which is provided by the organisation. It also includes a
business model in which the life cycle of business is discussed and the point of difference in
which the organisation is different from the other companies. There are various challenges that
the start-up businesses face in the organisation is explained. By positioning in the London
market, a marketing plan is being discussed along with the prospective customers and the
competitors who are already present in the market. And at last the two source of funding this can
be utilised by the organisation for the start-up as well as the approach is for protecting the
business idea is explained.

REFERENCE
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