Business Report: John Louise Fashion, Retail Industry Analysis

This report presents a comprehensive analysis of a business plan for John Louise Fashion, a retail company operating in the UK. It begins with a summary of the business, including its target customers and visual identity. The report then delves into creating business values, emphasizing social, environmental, and equality considerations. Market research, including primary and secondary research methods, is explored to assess the retail industry's scope. The report addresses dilemmas related to negative online content and provides solutions to comply with equality and diversity laws. Furthermore, it describes business assets, liabilities, expenses, and potential cash flow problems, offering strategies for effective financial management. The report concludes with a discussion of the rights of new employees and a detailed cash flow statement, offering insights into maintaining financial stability and achieving business success.

Academic essays

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK 1............................................................................................................................................1
Summarizing the business...........................................................................................................1
Name of a business......................................................................................................................1
Visual identity.............................................................................................................................1
Creating the values to promote a business..................................................................................1
TASK 2............................................................................................................................................2
Market research...........................................................................................................................2
TASK 3............................................................................................................................................3
Resolving the dilemmas and provide justification......................................................................3
TASK 4............................................................................................................................................3
Complying with Equality and Diversity law...............................................................................3
Rights will the new employees should have...............................................................................4
TASK 5............................................................................................................................................4
Describing business asset, liabilities, expenses and gain............................................................4
Ways to avoid cash flow problems.............................................................................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Academic essay is the specific writing form. The report is also based upon new small
business whose capital budget is £20000. The report will summarize how the business will
operate and also describe the values that promote a business. In order to develop the business
plan, report will also conduct primary research and secondary research. Further, the report will
provide solution for current dilemma and then provides way to comply with ethical and diversity
laws. And then describe the ways to avoid cash flow problems.
MAIN BODY
TASK 1
Summarizing the business
The business is operating in retail industry and the company is in United Kingdom in
Birmingham. The target customer for the business are – youngsters, men and women. The
business model for the current business is manufacturer of products.
Name of a business
Name : John Louise Fashion.
Visual identity
For John Louise Fashion, its visual identity is company's symbol and the quality of a
material that is offered to the customers. Brand identity is basically done to attract the customers
towards a brand and provide best shopping experience as well (Johnson, Christensen and
Kagermann, 2018). In the same way, the quoted firm is also uses social media as a promotional
tool and distribute the products at nearby areas so that people will know about the new firm and
it also includes the element such as building architecture, color scheme and the staff also have
same dress code that helps to attract the customers towards them.
Creating the values to promote a business
In order to promote the business, it is also necessary to have values and this includes:
Social : as the company deal in retail industry where the firm offers the latest fashion
branded clothes to their customers and in the context of it, the customers shifts towards another
when they find new and fashionable clothes. In the same way, John Louise Fashion also make
sure that it keep following the latest fashion clothes so that it will help to satisfy the need of their
customers (Zott, Amit and Massa, 2018).
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Environmental: In the context of environment, the company has to follow sustainability
act and try to minimize the carbon footprints as well. Apart from this, the company should
purchase the raw material that are recycle when not in used and make sure that it properly
dispose any hazardous waste material. By focusing on resource management environmental
activities which can produce operational and strategic values by reducing the cost and enhancing
revenues as well. Thus, it leads to create positive impression upon the customers as well.
Equality and Diversity: The company should hire diver workforce so that it helps to
generate good ideas which directly creates positive impact upon the business. Moreover, there
should not be any discrimination in the working area and the owner should not be bias so that the
production level of the company increases (Amit and Zott, 2018). Apart from this, having
diverse workforce will also help a business to maximizes the revenues and leads towards
success.
Promotional tool: John Louise Fashion should uses modern promotional tool that helps
to let people know about new products offered by the firm. Further, it also includes social media,
e- brochures, advertisement in which seasonal offers, discount vouchers and new arrivals should
also include. It has been analyzed that if company spent little on promotional activities, then it
helps to collect revenues as well. Thus, in this way if the company create higher value for its
business then it will help to lead a business towards a success.
TASK 2
Market research
Primary research: For market research, he survey is prepared in order to determine the
scope in retail industry. This is done to analyze or determine the current size, scope in retail
industry (Bryman, 2016). So that it will help to take better action for the welfare of John Louise
Fashion. Further it has been analyses that through survey, the answers will help to show the
result such that there is a wide scope in retail sector that is why, starting a business in retail
sector is more beneficial.
Secondary research: in secondary research, the already published article and books is
chosen so that it will help to take decision accordingly. Further, it has been analyzed that using
secondary research, not exact but hypothetical result are determined that also help to start the
business in this sector or not.
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Quantitative research: in this research, whatever the data collected from the survey, it
helps them to converted in numeric form using SPSS tool that help to get exact and correct
information (Patton, 2019). Further, it has been analyzed that this market research will help to
provide correct information as compared to quantitative.
Qualitative research: in this research, the data which is collected from survey, this helps
to convert the answer into theoretical manner so that it will help to take better decision
accordingly. In this qualitative research, researcher get hypothetical result, so that it will help to
take better decision accordingly.
TASK 3
Resolving the dilemmas and provide justification
As the dilemma is regarding the negativity that is published in website and this also
creates negative impression upon employees as well as demotivated the staff. In order to
overcome this solution, immediately inform security to check who is responsible behind this. It is
also suggested that the company should follow Data Protection Act. Further, as the company
follow employment act in which the company did not harass or discriminate the people but on
the other side, it has been suspect of treating their employees badly but actually it is not. As the
company have diverse workforce in which it has all variety of employees who help them to solve
any complex issues. Further, to solve this issue, the company should conduct direct meeting to
their employees in order to clarify about this dilemma (Gustafson, 2015). For motivating the
staff, the company owner should have direct conversation so that there should not be any
miscommunication and this negative rumor also affect the brand image of the company and
affected its customer base as well. To resolve this, the company should also publish the article in
which it has been clearly stated about the company's actual performance and whatever written in
the website is not accurate. Further, in that article, a firm may also show the evidence which
clearly show that this is all rumor but the reality is completely differed from this, this article
helps to retain the employees as well as customers base and this also assist to protect the brand
image from getting damage.
TASK 4
Complying with Equality and Diversity law
In UK, there is a need to follow Equality Act, 2010 which states that the company did not
discriminate the employees on the basis of race, caste, gender, age and disability. In the same
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way, John Louise Fashion has to follow the law of Equality at work place in which the company
should treat their employees equally and even at the time of recruitment or selecting the
applicant, the company cannot discriminate people or candidate on the basis of their age, gender,
race, caste or disability (Masselot, 2017). Overall, the company should provide equal opportunity
to all the applicant to present themselves and on the basis of their capability the company should
select best out of many who posses the skills which actually they required. Therefore, the
company should comply with equality and diversity law at the time of selecting applicants.
Rights will the new employees should have
In small company, the new employee have many rights and some of them are as
mentioned below:
 The company should paid at least National Minimum Wages, that is in UK, currently
£6.70 per hour for the worker whose age is 21 or more and for 18 to 21 year age people
the amount is £5.30 per hour. Further, for the age group of 16 to 17, the minimum wage
is £3.87 per hour (Lawson, 2018).
 Within two months of starting a job, the company should provide them a written
statement that clearly stating basic detail and term or condition of employment which
includes sick leave, pension scheme, minimum notice period etc.
 The employer cannot make any illegal deduction from the new employee wages.
 Under Health and safety laws, it is the right of an employee to have daily and weekly rest
breaks. If the employee do extra work, it is the right to get extra amount for the same
period (Pritchard, 2018).
TASK 5
Describing business asset, liabilities, expenses and gain
Assets: Tools, shops, warehouse
Liabilities: Phone, Bills
Expenses: Staff wages
Gain: Salary, reinvested money
Ways to avoid cash flow problems
Cash flow statement for John Louise Fashion
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July August September
Cash inflows
Opening cash balance 20000 27500 35810
Revenue generated via services delivered
to patients 22000 23100 24255
Income generated through other sources 2000 2000 2000
Sum of cash inflows 44000 52600 62065
Cash outflows
Material 7000 7700 8470
Labour 3000 3000 3000
Overhead 4000 3465 3638
other expenses 2500 2625 2756
Sum of cash outflows 16500 16790 17865
Ending cash balance 27500 35810 44201
The initial capital to run a business is £20000 and a there are many liabilities and
expenses which the company is bear, therefore it is quite necessary to make proper cash flow
statement and to avoid many problems. There are many ways which are as mentioned below:
Planning: The real key to avoid cash flow problem is to do proper planning and to attain
this, the business owner should carefully analysis the profit and loss of a business, them make
proper cash flow analysis.
Create forecasting cash flow: the company should set the target for next 12 months in
order to keep trace the finance and also avoid some shortfalls as well. Further, there is a need to
make forecasting cash flow statement. For instance, John Louise Fashion should take any
seasonal variation so that it will help to make proper forecasting cash flow. This will also avoid
the problems (Almeida, Campello and Weisbach, 2014).
Stay on top of stock management: to make proper cash flow and avoid the problem,
there is a need to have proper and efficient stock management, therefore proper reconciling
should also be done (Ways to avoid Cash flow, 2017). In this way, the company will remain on
the top and it has been analyzed that an efficiently managed stock control system also creates
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positive impact upon the cash flow. It is so because the company will never hold too much stock
and the company also have money tied up in it.
Carry out the comparative analysis: Small business should do a comparative analysis,
this help to determine where the company is not performing as expected in order to gain better
understanding about the actions which should be taken to make sure to get best result.
Avoid filling delay in deposit and other taxes:The company should also avoid filling
delay in deposit of a payroll and some other taxes (Richardson, 2016). Because it has been
analyzed that if the company pay late taxes, then they have to pay penalties as well. And that is
why, the company should avoided filling late deposits. In this way, the company's cash flow
problem are analyzed.
CONCLUSION
By summing up above report, it has been concluded that having perfect strategy to run a
business is one of the essential key element. In the same way, John Louise fashion store also
have strategy to run a business and lead it towards a success. Further, the report also concluded
that using primary and secondary research, the market research can be done and it helps to take
better decision for the business. Report provide solution and justification in order to cope with
different dilemmas and also cleared that the quoted firm should have to comply with Equality
and Diversity law at the time of selecting applicants. Lastly, report conclude different ways in
order to avoid the problem of cash flow.
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REFERENCES
Books and Journals
Almeida, H., Campello, M. and Weisbach, M. S., 2014. The cash flow sensitivity of cash. The
Journal of Finance.59(4). pp.1777-1804.
Amit, R. and Zott, C., 2018. Creating value through business model innovation. MIT Sloan
Management Review.53(3). pp.41-49.
Bryman, A., 2016. Integrating quantitative and qualitative research: how is it done?. Qualitative
research.6(1). pp.97-113.
Gustafson, P., 2015. Managing business travel: Developments and dilemmas in corporate travel
management. Tourism management.33(2). pp.276-284.
Johnson, M. W., Christensen, C. M. and Kagermann, H., 2018. Reinventing your business
model. Harvard business review.86(12). pp.57-68.
Lawson, A., 2018. Disability and equality law in Britain: The role of reasonable adjustment.
Bloomsbury Publishing.
Masselot, A., 2017. The state of gender equality law in the European Union. European Law
Journal.13(2). pp.152-168.
Patton, M. Q., 2019. Qualitative evaluation and research methods. SAGE Publications, inc.
Pritchard, K., 2018. Employee engagement in the UK: meeting the challenge in the public
sector. Development and Learning in Organizations: An International
Journal. 22(6)/pp.15-17.
Richardson, S., 2016. Over-investment of free cash flow. Review of accounting studies.11(2-3),
pp.159-189.
Zott, C., Amit, R. and Massa, L., 2018. The business model: recent developments and future
research. Journal of management.37(4). pp.1019-1042.
Online
Ways to avoid Cash flow. 2017. [Online]. Avaialble through:
<https://smallbiztrends.com/2017/06/avoid-cash-flow-problems.html>.
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