University of Northampton: Business Opportunity Report, MKT3026

This report examines the impact of market trends on entrepreneurship, focusing on Sainsbury. It analyzes emerging trends like omnichannel marketing, customer relations, product innovation, supply chain management, subscription retail, and CSR policies. The report identifies a business opportunity for Sainsbury by leveraging technologies like Augmented Reality (AR) and Virtual Reality (VR) to enhance customer experience and online sales. It outlines the steps for developing new services using these technologies, including problem identification, idea generation, concept development, business analysis, development, testing, commercialization, and post-evaluation. A feasibility study assesses the potential benefits and practicality of implementing AR and VR, concluding that Sainsbury has the resources and legal standing to succeed. The report emphasizes the importance of innovation and adapting to market changes for sustained business success.

Opportunity
Innovation and
Entrepreneurship

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
Background of the company...................................................................................................3
Emerging trends in market.....................................................................................................3
Impact of changing trends in market......................................................................................5
Identification of business opportunity....................................................................................5
Development of product or service........................................................................................6
Feasibility study......................................................................................................................7
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

Introduction
For a business to successfully survive in the market need to analyse the market trends so that
the available opportunities and trends can be identified which can helps the companies in gaining
these opportunities while minimising the negative impact of threats in business sustainability.
Innovation plays an important role in gaining a competitive advantage in the market so that the
changing needs of customers can be well satisfied and the products and services of business can
be continuously improved (Abramovici, Göbel and Dang, 2016). It also helps in grabbing the
opportunities for growth and development in the market so that high profitability can be achieved
with increasing sales. In this report the impact of market trends on entrepreneurship will be
discussed so that new businesses can be developed based on the emerging trends in market so
that profits through the business opportunities can be maximised. Further the feasibility study of
the business will also be done so that its effectiveness in achieving company goals can be
studied.
Main Body
Background of the company
J Sainsbury plc is the second largest retailer chain in the UK having a market share of
about 16% and dealing through hypermarkets, superstores, convenience shops etc. so as to reach
to their customers. The company was founded in 1869 and is headquartered in London, UK with
its 1,415 shops located in various places around the world. The company deals in groceries and
general merchandise and provide high quality products and services to its customer so that high
customer satisfaction can be achieved. As the company has many competitors in the retail market
it is important that regular innovations in its products and services are brought so that high
customer satisfaction can be achieved (Alvarez, 2017).
Emerging trends in market
As technology is evolving and is being increasingly used in all the sectors and businesses it
is important that highly advanced technology is also used by the company so that it can improve
its services and enhance customer experience. It is important that the emerging trends are
monitored by Sainsbury so that it can avail market opportunities to further grow in the market
while minimising the negative impact of these trends. Some of the emerging trends in market
are:

 Using Omni-channel for marketing: With the involvement of technology in marketing
about company it is important that various channels are used by Sainsbury so that it can
engage, retain and delight its customers. This can also help in attracting more number of
customers by reaching to them through various channels so that sales can be increased by
influencing more number of customers (Biemans, Griffin and Moenaert, 2016).
 Improving customer relations: Customer retention and their loyalty towards company is
important in developing a better image in market so that a competitive edge can be
achieved. It is thus essential that better relations are maintained with customers through
regular customer feedbacks, surveys, improving customer experience etc. so that they can
be made happier by the products and services of company.
 Innovation in products and services: Retail is the most competitive industry which
makes it important that regular innovation is brought in the company products and
services so that customers can be made loyal towards the company. It is also essential
that Sainsbury offer products at competitive prices so that more number of customers can
be attracted towards the company (Cecora, 2019).
 Improving supply chain management: Supply chain management plays an important
role in the effective delivery of the products so that both time and cost effectiveness of
the delivery process can be maximised. Also this help the companies in providing fast
and free delivery to the customers on time so that better customer engagement can be
achieved through increased customer satisfaction.
 Rise in subscription retail: This is an increasing trend wherein the retailers offer the
customers ability to a set price so that they can further avail a variety of offers and
discounts that can help in enhancing customer relationships. This also help the companies
in increasing their sales as in order to avail the complete benefit of the subscription, the
customers revisit the retailers so that sales of company can also increase along with
increased loyalty of customers (Charter and Tischner, 2017).
 Including CSR policies: CSR policies are applied by most of the businesses so that they
can increase the benefits of all the stakeholders and also improve reputation in the
market. Sainsbury can include CSR policies so that more number of customers can be

attracted through less damage caused because of the business operations and functions of
company.
Impact of changing trends in market
The changing trends ion market needs to be closely analysed by Sainsbury so that it can
continue to innovate its processes, products and services so that high customer satisfaction can
be achieved through their increased engagement. Integration of technology is important in all the
departments of the company like finance, marketing, delivery, store management etc. so that
better outputs are achieved through increased productivity of company. Sainsbury can increase
its market presence through involving digital marketing, use of social media platforms etc. so
that better sales can be achieved (Konu and Komppula, 2016). Also with the help of technology
like Google analytics, SEOs etc. the preferences of customers can be tracked which can help in
delivering better products and services to them so that customer satisfaction can be increased.
Through providing online shopping facilities to the customers, the convenience of customers can
be increased and delivery can be made at their doorstep which is essential in enhancing customer
experience. Thus the impact of changing market trends on retail industry is huge which help the
companies in improving their products and services so that large customer base can be
developed. It also helps the companies in being more competitive in market which is essential in
gaining available opportunities.
Sainsbury can also effectively implement CSR policies in the company with the increasing
preference of customers of products and services which cause least harm to the environment
thereby maximising the interest of all its stakeholders. It can also help in enhancing the legality
of the business which can help it in becoming more attractive in market both in terms of
customers and employees. Subscription retailing can be done by the company so that repeated
sales can be achieved along with increased loyalty of customers through competitive prices and
best offers and discounts that can help in gaining a competitive edge in the market (Pal and
Suresh, 2016).
Identification of business opportunity
It is essential that the market trends are analysed and interpreted by the companies so that
they can identify opportunities for growth and development in the market by innovation and
improvement in their products and services. Use of information technology can be effectively

done by Sainsbury so that it can effectively use the data in improving its sales and developing
better reputation in market. Augmented Reality (AR) and Virtual Reality (VR) techniques can
also be used by Sainsbury that can help in enhancing customer experience and increase its online
sales as a composite view can be generated for customers which can help them in making better
decisions related to purchase decisions (Zeng and Sun, 2016). These technologies can also be
integrated in the regular business of Sainsbury so that various retail functions can be improved
like shelf assortment, store design and layout so that better and attractive store designs can be
formed that can increase the convenience of both the customers and staff members. These
changing trends provide opportunity to Sainsbury in improving their market presence and
enhancing customer experience so that sales of company can be increased.
Augmented Reality can be used by Sainsbury to understand the customers in a better
manner so that their likes and preferences can be analysed which can help the company in
offering the products as per their demands. AR can also help in providing a better view of the
products so that customers can make better decisions and their online shopping can become more
convenient so that better customer relations can be developed thereby increasing customer
loyalty (Mongelli and Rullani, 2017). VR can be used by Sainsbury so that better customer
experience can be generated through more interactive and customised experience which can help
in enhancing customer satisfaction. The company can also use VR in training and development
of its staff members so that they can be made more effective in their delivery of services which
can help in increasing customer experience. The company can manage effectively its branches
with the help of these technologies so that uniform strategies can be applied throughout the
organisation and also the effectiveness of company can be improved.
Development of product or service
In order to innovate the products and services of a company it is important that they are
efficiently developed by following specific stages so that such services and products can be
developed which can help in enhancing customer experience. This can also help in increasing the
viability and sustainability of the developed products and services so that customer loyalty
towards company can be increased and effective development can take place. Following are the
steps that need to be followed by Sainsbury so that it can develop such services that use AR and
VR technologies:

 Problem identification: It is important the problems related with existing services of
company are identified through existing users and service staff. The problem identified
by Sainsbury is that the online shopping app of company needs to be made more effective
so that better customer experience can be produced.
 Idea generation: In this stage ideas are generated related with improvement of the
services which can involve participation of both the users and service staff. Through this
activity the idea regarding involvement of AR and VR technology in the online shopping
app is generated (Samli, 2016).
 Concept development and evaluation: At this stage the idea developed need to be
evaluated based on its feasibility in the market and its effectiveness in achieving
company goals. At this stage the AR and VR technologies can be integrated in the system
of company so that online shopping can be made more convenient.
 Business analysis: The developed idea in the above stage can be analysed in terms of its
economic, technological and operational feasibility so that it can be developed on a large
scale and made available in the market. The company must have required finances and
technology to support the development of system and implement AR and VR effectively.
 Development and testing: The developed technique can now be tested in sample market
so that reviews can be gained from customers and necessary improvements can be made
which can help in making the technology more effective.
 Commercialisation: After gaining success in the sample market the technology can be
launched at a large scale so that commercial benefits can be gained by the company along
with enhancing the convenience of customers (Schmitz and Guerrero, 2017).
 Post evaluation: This relates with evaluating the technology through methods like
customer feedback, surveys etc. so that the effectiveness of developed service can be
evaluated.
Feasibility study
It is important that the ability of developed service is analysed in terms of increased sales of
company along with enhanced customer experience is analysed so that its feasibility in market
can be evaluated. This also helps the company in determining the benefits that are gained in

respect of the investments made so in its development. Sainsbury can effectively implement AR
and VR in its services as it has the required finances, technology to support AR and VR and also
it is legally feasible for company to use the developed technology. Also regular feasibility
assessment can be done through financial statements of company so that it can be further
developed so that better customer satisfaction can be achieved.
Conclusion
From the above report it can be said that market trends are important to be analysed by
business so that the opportunities developed due to these trends can be captured by the company
by innovating its processes, products and services. This help in increasing the sustainability of
business along with increased customer satisfaction. It is important that the stages of
development of products and services are applied by the company so that highly feasible and
effective products and services can be developed.

References
Books and Journals
Abramovici, M., Göbel, J.C. and Dang, H.B., 2016. Semantic data management for the
development and continuous reconfiguration of smart products and systems. CIRP
Annals, 65(1), pp.185-188.
Alvarez, C., 2017. Lean customer development: Building products your customers will buy. "
O'Reilly Media, Inc.".
Biemans, W.G., Griffin, A. and Moenaert, R.K., 2016. Perspective: New service development:
How the field developed, its current status and recommendations for moving the field
forward. Journal of product innovation management, 33(4), pp.382-397.
Cecora, J., 2019. Cultivating grass-roots for regional development in a globalising economy:
innovation and entrepreneurship in organised markets. Routledge.
Charter, M. and Tischner, U. eds., 2017. Sustainable solutions: developing products and services
for the future. Routledge.
Konu, H. and Komppula, R., 2016. Customer involvement in a new service development
process: The case of “Feelgood in Lapland”. Anatolia, 27(4), pp.421-432.
Mongelli, L. and Rullani, F., 2017. Inequality and marginalisation: social innovation, social
entrepreneurship and business model innovation: The common thread of the DRUID
Summer Conference 2015. Industry and Innovation, 24(5), pp.446-467.
Pal, G.K. and Suresh, P.V., 2016. Sustainable valorisation of seafood by-products: Recovery of
collagen and development of collagen-based novel functional food
ingredients. Innovative food science & emerging technologies, 37, pp.201-215.
Samli, A.C., 2016. Empowering the market economy through innovation and entrepreneurship.
Springer.’
Schmitz, A., Urbano, D., Dandolini, G.A., de Souza, J.A. and Guerrero, M., 2017. Innovation
and entrepreneurship in the academic setting: a systematic literature
review. International Entrepreneurship and Management Journal, 13(2), pp.369-395.
Zeng, W., Wen, W., Deng, Y., Tian, Y., Sun, H. and Sun, Q., 2016. Chinese ethnic meat
products: Continuity and development. Meat science, 120, pp.37-46.