Business Plan: Market Analysis of Marvel Delight Chocolates Company

This assignment presents a comprehensive business plan for Marvel Delight Chocolates, an imaginary small company specializing in chocolate manufacturing and distribution. The plan encompasses a detailed overview of the company's mission and vision, product range, including different chocolate types, flavors, textures, and sizes. A thorough market analysis is conducted, focusing on target market identification and competitor analysis. The marketing mix, including product, place, price, and promotion strategies, is analyzed to determine the company's core marketing strategy. Additionally, the plan outlines market growth strategies, financial projections, resource requirements, profit and loss statements, breakeven analysis, cash flow forecasts, and a balance sheet. It also addresses potential risks and mitigation strategies and concludes with recommendations. The plan aims to establish Marvel Delight Chocolates as a competitive player in the chocolate market.

A Study on Business Plan of
Marvel delight chocolates
5/4/2019
Student Details

MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
Contents
Marvel Delight Chocolates: An Overview................................................................................4
Product Range of the Company..........................................................................................4
Chocolates.......................................................................................................................5
Flavors.............................................................................................................................5
Texture.............................................................................................................................5
Sizes................................................................................................................................6
Market Analysis of Marvel Delight Chocolates.......................................................................6
Target Market Analysis........................................................................................................7
Competitor's Analysis..........................................................................................................7
Marketing Mix (Core Marketing Strategy of the company).....................................................8
Product..............................................................................................................................10
Place..................................................................................................................................10
Price...................................................................................................................................11
Promotion..........................................................................................................................11
Market Growth Strategy of Marvel Delight Chocolates.........................................................11
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
Financial Projection of Marvel Delight Chocolates...............................................................13
Resources required and their Financing...........................................................................14
Profit Projection/ Profit and Loss Statement.....................................................................15
Breakeven Analysis...........................................................................................................18
Monthly Cash Flow Forecast.............................................................................................19
Balance Sheet...................................................................................................................23
Material Risks and their Mitigation........................................................................................24
Mitigation of Risks.............................................................................................................25
Conclusion and Recommendations......................................................................................27
Bibliography...........................................................................................................................29
Appendix...............................................................................................................................32
Resources required and their Financing...........................................................................32
Profit Projection/ Profit and Loss Statement.....................................................................33
Breakeven Analysis...........................................................................................................36
Monthly Cash Flow Forecast.............................................................................................37
Balance Sheet...................................................................................................................41
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
Marvel Delight Chocolates: An Overview
In order to make the business plan of a small company, Marvel Delight Chocolates
Company is taken into consideration (Burns, 2016). As per the guidelines, this company is
an imaginary company. This company is considered a small new business that is dealing in
manufacturing and distribution of chocolates. It manufactures chocolates with different
flavors and designs.
Mission: The sole mission of this company is to provide joy and happiness on the faces of
its customers by providing delicious chocolates to them. Their aim is to make chocolates
that will provide the engaging experience to its customers.
Vision: The vision of this company is to become long lasting market leaders by creating
mesmerizing chocolates for its customers. This helps them in getting a competitive
advantage over other companies.
Product Range of the Company
Marvel Delight Chocolates is an imaginary company that deals in chocolates made up of
different material, flavors and of different designs also. Chocolate is an eating substance
that is derived from the word cocoa. Cocoa is the base substance for all types of
chocolates. It is usually mixed with fat, milk or other substances to make desired
chocolates (G.Bromley & A.Harrast, 2011).
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
The product range of the company is not that big. It is a combination of Chocolates,
Flavors, textures, and Sizes. Further, in these categories, more subcategories are included
to provide variety to its customers. The product category of the company is discussed in
brief in the following lines:
Chocolates
In this category, the company provides three basic products that are made up of different
types of chocolates. Generally, there are different flavors of chocolates like milk chocolate,
hazelnut chocolate, dark chocolate and many more. The company provides only three
types of chocolates that are Dark Coco chocolates, Milk Chocolates, and Hazelnut
Chocolates.
Flavors
In this category of the chocolates, the company provides such chocolates, which are of
different flavors to its customers. the company deals in many famous flavors like fruits, dry
fruits, spicy, salty, savory, caramel, toffee, coffee, minty and floral chocolates.
Texture
The company has many categories of chocolates and one of them is texture. It tells about
the state and design of the chocolate. In order to be a key market player, the company
needs to attract its customers and in order to attract them, it needs to provide attractive
chocolates to them with different textures. Marvel Delight chocolate company deals in
textures like chewy, crunchy and smooth. Design is in a small block and big slabs
(JackGallo et al., 2018).
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
Sizes
The company manufactures chocolates in more than one size so that customer can buy
them according to its urge to purchase. The sizes of Marvel's chocolates range from small
to big. They mainly include mini bar chocolates, small bar sets, and combined bar sets for
combo purchases.
Marvel Delight Chocolates is a company that is expected to become a market player with
the help of products it is providing its customers. However, in order to do so, the company
needs a well-established and efficient market plan. With this view in order to make this
imaginary, company an effective competitor in the market current report will work upon it.
Market Analysis of Marvel Delight Chocolates
The qualitative and quantitative analysis of the market for a particular company is the
market analysis of that company. It is mainly done to study the dynamics and attractiveness
of the market in which the company deals in. the market of the company is analyzed in
other to analyze the industry attractiveness and environmental dynamics (Woerle, 2012).
By analyzing the market for a particular company the strength, weakness, threats, and
opportunities for a particular business in the prevailing internal and external environment
can be identified and evaluated. For effective analysis of the market for any company, its
key elements that need to be analyzed are its target market and competitor's analysis.
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
Target Market Analysis
It is the market, where the company should aim for the sale of its goods and services. In
simple terms, the target market is the combination of customers and geographical
boundaries that a business should serve. For the selected company that is Marvel Delight
Chocolates, the target market is the customers that fall in the range of 20 to 50years of
age. The range of age is identified by analyzing the buying power of the customers but not
of their relatives.
The aim of the company is to make chocolate according to the differences in preferences of
the taste of various customers. Their target market is also distributed according to the
psychological thinking of the persons, their preference for eating chocolates. After
analyzing, the target market next important element of market analysis is the effective
analysis of its competitors (Ward, 2016).
Competitor's Analysis
In this type of analysis, the focus is paid on identifying and analyzing the key competitors of
the company. It includes evaluating the profit margin, sales turnover, goodwill, etc of the
competitor firm with respect to the selected company. In the current study, the selected
company is imaginary however; the competitor's analysis of the company is analyzed in the
real world by considering real companies as the competitor of Marvel Delight Chocolate
Company.
Many companies are dealing in all over the world. In order to gain a competitive advantage
over those companies, Marvel Delight Chocolate Company needs to acquire such
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
technology, software, and human skills that will help them to know about their competitor
than ever before (Stringer, 2015). In order to stay one step ahead of competitors, it is
important to regularly conduct efficient competitive analyses.
In order to conduct an effective and efficient competitive analysis selected company for the
study can consider the following points:
For a thorough analysis of the competitors, it is first important to identify the first 10 close
competitors of the company.
When the top 10 competitors of the company are finalized then conduct research to find out
and match the contents of the company with Marvel Delight Chocolates Company.
Analyze the marketing strategies of the competitor companies and evaluate them in terms
of the selected company.
With the help of this competitor's analysis process, Marvel Delight Chocolates Company
can look into its prospects and take into action some effective marketing strategies to
achieve competitive advantage over others (Sutton, 2013). It can even go for social media
marketing which can influence masses with one stroke.
Marketing Mix (Core Marketing Strategy of the company)
Marketing strategy is the overall business game plan of a particular company in order to
serve all elements of the market and become the key market player. It is the combination of
strategies of business in order to reach to their target customers and influence them to buy
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their products, by getting them aware with all products and services of the company
(Simoneaux & Stroud, 2016).
The market strategies of any company tell about the company value prepositions of that
company it also tells about key marketing message, information, stakeholders and some
other elements (Bewayo, 2010). Marketing plan of the company is also disclosed by
formulating and evaluating marketing strategies of the company (Blackburn et al., 2013).
The best method to identify the core marketing strategy of the company is to analyze its
marketing mix elements. By analyzing the marketing mix elements of the company,
everything about product, price, place, and promotion of the products and services of the
company can be identified and rectified.
The marketing mix of Marvel Delight Chocolates is analyzed in the following lines in order
to assess the core marketing strategy of the company. E. Jerome McCarthy first proposed
this concept in 1960.
Source: Core Marketing Strategies (Marketing Mix) (Singh, 2012)
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
Product
The respective company manufactures an item in order to satisfy the needs and wants of
its target customers. It is the base through which, the company manages to get a
competitive advantage over other (Walker & Consulting, 2009).
Marvel Delight Chocolates Company's product range is not very wide and not very small. It
is of medium range and provides a variety of products to its customers. They deal in all
types and textures of chocolates in order to satisfy all groups of target customers. It deals
with products like milk, hazelnut, and dark chocolates. Also, deliver various flavors of
chocolates. This helps the company in establishing a competitive marketing strategy for its
competitors.
Place
It is also considered the main element in determining the marketing strategies for the
company. It tells about the target market and target customers for the company. It also tells
about the geographical region in which the company is going to serve.
In case of Marvel Delight Chocolates, the target market for the company are the customers
ranging between the age of 20 years to 50 years and apart from this it also concentrates on
the preferences of the customers (Singh, 2012).
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
Price
The price is also considered a key element of determining core-marketing strategies of the
company. It differentiates between the affordable and high-end products and between the
types of customers based on their affordability.
Marvel Delight Chocolates focus on keeping prices moderate for its chocolates and the
range of price will vary for different sizes, textures, and flavors of the chocolates. The range
of price will attract the customers more as it is moderate in nature that can be afforded by
any bellow average middle-class person.
Promotion
The last element of the marketing mix is promotions; however, it is the most important
element when it comes to marketing strategy. It deals with the promotion of manufactured
products by the company so that the information about it can be reached until target
customers and they will create an urge to purchase it.
In the case of selected company Marvel Delight Chocolates, the promotional techniques of
the company are good in its own way. The company uses all basic means of promotions
like print, audio, and video, however, still lacking in promoting the brand to its highest
levels.
Market Growth Strategy of Marvel Delight Chocolates
It is increased in the demand for products delivered by the company or increase in their
area of services or both. It is a slow process and shows the achievements of the company
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MARVEL DELIGHT CHOCOLATES BUSINESS PLAN
over time. The growth of the company in the market will be slow when the customers do not
whole-heartedly accept the products and services (Schaper and Others, 2010). It can be
possible because of the quality of the product, price of the product or other factors.
The market growth of any company can be achieved by following a set model of
organizational growth strategy. The organizational market growth strategy model consists
of mainly four parts that are Market Penetration, Product Development, Market
Development Strategy and Diversification Strategy. All mentioned elements of the model-
based on market and products of the company. This model tells about the current phase of
the organization due to which company can make appropriate growth strategies.
Source: Organizational Market Growth Strategy Model (Hussain, 2013)
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