University Venture Report: Launching Biscuiteers Diabetic Biscuits

This report details the launch of Biscuiteers, a new venture focused on producing diabetic-friendly biscuits. It begins with an introduction highlighting the venture's goals and the report's structure. The main body includes a market analysis, assessing the competitive landscape and target audience, followed by an examination of tangible and intangible resources required for the venture. A proposal outlining the business overview, product benefits, and marketing strategies is presented. The report also identifies the necessary skills and abilities for successful launch, along with promotional activities and channels for pre-launch and launch phases. An itemized cash budget and forecasts are provided, and the selected venture type is discussed. The report concludes with a summary of the key findings and recommendations for launching Biscuiteers.

LAUNCHING A NEW
VENTURE

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
P1 Explain a new venture identifying target market and competitive analysis...........................3
P2 Determine tangible and intangible resources required for venture........................................4
P3 Proposal to launch a new venture...........................................................................................5
P4 Skills and abilities required to launch a new venture.............................................................6
P5 Different promotional activities and channels to support successful launching....................6
P6 Promotional activity plan for launch and pre launch..............................................................8
P7 Itemised cash budget and forecasts........................................................................................8
P8 Selected venture type............................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES................................................................................................................................1

INTRODUCTION
Launching of new venture is a very detailed and comprehensive process where some innovative
or new product is launched by a new business organisation (Kuratko and Hornsby, 2017). This
report will highlight the new venture idea of Biscuiteers and also assess its feasibility. The target
market of the new venture will be analysed and further the different types of tangible or
intangible resources that are required will be analysed accordingly. The report will also evaluate
the different skills and capabilities that are required by a business and further the promotional
activities that the venture can adopt at the time of pre-launch and launch will be presented in the
report. lastly the budgets at the time for launch and cash flow forecast will be prepared along
with the appropriate venture that can be adopted by the new venture which will be discussed.
MAIN BODY
P1 Explain a new venture identifying target market and competitive analysis
A new business is started Biscuiteers of producing biscuits for diabetes people. It is found
that many people are suffering from diabetes. also, due to covid 19 these people are at high risk
as well. hence, here a new venture will be established where variety of diabetic friendly biscuit
will be manufactured. there will be different flavours and variants of biscuit produced. It will be
for those people who are suffering from diabetes. therefore, market analysis done is as (Boso,
Adeleye, and Gyensare, 2019)
Threat of new entrants
It refers to threat of new entrants that brings in innovation in product. So, as in retail
industry the threat is high. Many new ventures can emerge and provide new products. Along
with it, with lack of entry and exist barriers new entrant can operate in this sector.
Bargaining power of suppliers
It refers to bargaining power of suppliers. So, there are more supplier than power is less.
company can easily switch from one to another. But if supplier are less then power is more. it is
because it requires high cost to switch. Also, company has to depend on them. thus, in this
bargaining power is less as there are more suppliers available.
Bargaining power of buyers
It refers to bargaining power of suppliers. So, there are more buyers than bargaining
power is less. customer can easily switch from one to another. But if buyers are less then
bargaining power is more. it is because it requires high cost to switch from one company to

another. So, here bargaining power is less as customer can easily switch from one company to
other as there are variety of options available for them (Michelle, 2019). Buyers generally
demands a lot their desire is always like to get the best offerings with the payment of minimum
price as possible.
Threat from substitute products or services
If the new product or services come into the market and meet the similar needs in other
alternative ways. However, in case of diabetic biscuits there are few alternative available. so, in
this the threat of substitute power is less.
Rivalry among the existing players
In this it is related to existing competition among companies in the market. It is found
that there are certain companies offering diabetic biscuits to customers. but they do not focus on
diabetic biscuits. Therefore, it is found that power of competition among existing companies is
moderate.
so, from market analysis it is found that new companies can easily enter in market. also,
there is moderate competition between existing companies. but with this new firm competition
may arise.
P2 Determine tangible and intangible resources required for venture
In order to start a new venture, there are many resources which is required in it. The
requirement of resources depends on type of business to be started. Basically, resources are of
two types that is tangible and intangible. Therefore, it is necessary to find out these resources so
that venture is successfully set up (Morgan, 2019). Besides that, on basis of those resources
budget is estimated, and they are allocated. Likewise, in Biscuiteers as well there are several
tangible and intangible resources required. It is as follows:
Tangible- they are the resources which is seen and touched. it is known as physical items which
is having a defined value. Also, they are shown in balance sheet.
Land- It is required on which the buildings of Biscuiteers will be constructed. The land will be
owned.
Labour- they are staff who will be working for company in performing various operations. The
labour will work on machines to manufacture products.
Building – this will include the manufacturing plan, warehouse, office building, etc. of venture.

Machinery – the business will require different types of machines that are used in manufacturing
products, packaging, labelling,
Inventory- It includes raw material that is required for producing products.
HR- HR is needed to perform various business operations. in Biscuiteers HR is required for
providing training, marketing and other tasks.
IT resources – there is requirement of various IT systems such as computer, network, etc. to
perform business operations.
Intangible- It is resource which can not be seen or touched. they are goodwill, patent,
Patent and copyright- The patent are business idea and concept which is followed in it. along
with it, copyright is needed for procedure followed in producing products.
Trademark- it will be needed to represent sign or symbol of company on product.
Thus, these all are some tangible and intangible resources required for venture. It will
help in starting business and achieving goals and objectives.
P3 Proposal to launch a new venture
A proposal is prepared to launch this venture in market. It gives insight on what activities
are to be done and how it will be launched (Rippa, Ponsiglione, and Zollo, 2019). Thus, it is
defined as below:
Business overview – Biscuiteers is a company that will be engaged in manufacturing biscuits to
diabetic people.
Products offered- here, there be variety of flavours and variants of biscuit that will be offered.
along with that, cookies will be offered as well.
Benefit of product – the biscuits are made sugar free and is suitable for diabetic people. They can
easily consume it as it does not contain sugar. It will help in managing sugar level and are
diabetic friendly. Moreover, it is good for health as well.
Target people- here, target people are those who are suffering from diabetes. Also, due to covid
19 there is high risk for diabetic people.
Price range- It will be of low cost and easily affordable to people. The price will be $ .50.
Marketing – there will be various ways through which marketing of biscuits will be done. But
focus will be on promoting it via social media so that large number of people are attracted. Then,
ads will be given in newspapers as well.

P4 Skills and abilities required to launch a new venture
Launching a new product in the market is not an easy task as company has to perform several
functions for this such as: hiring skilled workforce, taking better decision, marketing, sales and
others. Some skills which are required in successful launching of cookies for diabetic patient
include:
Time management: Successful launching a new product is when it is delivered and
launched in the market as per the set time and planning. As per the current trend and
requirements company require launching new product in a timely manner. So, making customers
feel valued by providing new product such as: diabetic cookies, Biscuiteers company can make
it successful (Kirkley, 2016).
Decision-making: Taking decision is other main skill which is required in having
manager for launching a new product in the market. They need to decide and take decision
regarding when to launch, target market, where to launch and others.
Communication: It is one of the main skill which include: active listening, body
language, oral communication and written communication in order to interact with different
nature of customers and stakeholder. Before launching, manager require making plan and for that
they need to communicate all strategies and plan with employees so, for making them understand
communication is must.
Ability of managing staff: After hiring skilled workforce by HR it is important for
manger to manage them by motivating them, encouraging them and using effective ways for
making them able to support in successful launching.
Ability to raise money: After managing money at their own, manager require identifying
appropriate sources from where they can get more money as they require investing in resources,
technologies, purchasing of raw materials and others (Burns, 2017). So, having ability to select
better ways of raising money is other effective skill make manager able in successful launch of
diabetic cookies.
P5 Different promotional activities and channels to support successful launching
After planning, it is important to select promotional channels from which Biscuiteers can
promote their new product in the market and make people aware about features of new products.

Selection of better promotional channels allow company in attracting target market to the great
extent. There are different types of promotional activities and channels as well such as:
Personal selling: It is a traditional way in which marketer meet customers directly or
personally and make them aware about features of new product. For making, it successful
communication, knowledge of product in details, improved relation with customers are required.
Advertising: It is also a traditional but the most used way of promotion in which
Biscuiteers can advertise in newspaper, television, magazine and others. It all depends on up to
their financial stability. Nowadays, companies are advertising their products by uploading
images on social media platforms (Paesbrugghe and et.al., 2018).
Publicity: It can be done by creating media, celebrities, broadcasting media and word of
mouth by people or existing customers.
Online marketing: It is trending type of promotional activity in which companies
require making use of technologies, mobile phone and digital tools for uploading images. In this
type companies do not require meeting customers directly as they can communicate with them
online on social media platforms, websites and others.
Here are some channels via which Biscuiteers company can promote its new diabetic cookies
such as:
Social media: There are several platforms are available such as: p interest, Instagram, Facebook
and others which can be used by this company. By choosing one or more than 1 platform
company can make a page and upload pictures along with features of diabetic cookies.
Newspaper and radio: By advertising using celebrities in newspaper and television, it can make
all viewers aware about reasons of buying their new product and successful launching.
SEO: It is the best way of launching new product and getting hot customers. In this type, people
search what they want and if company has same features of products ad services then customers
are more likely to set up consultation (White, 2018).
So, from the above discussed all channels and types it is analysed that Biscuiteers will
select personal selling and direct marketing because initially company require meeting customers
directly. As it is a new product so, for making them aware direct selling will be the best and
along with it they can make use of social media platforms as there is no requirement of heavy
investment.

P6 Promotional activity plan for launch and pre launch
Promotional plan can help Biscuiteers in expanding business, launching product in a
successful manner by using effective strategy. There are some factors which needs to be
considered while making promotional plan include:
Past sales: It is important to measure past sales in order to set goals as to which % now it
wants to increase sales. Strategies are being used accordingly so, it is important to view past
sales and strategies used before.
Budget: Budget and finance is the main factor because selection of promotional channels
and type depend upon the availability of financial resources. So, it is important to identify
sources of finance, availability of resources in order to select the type of promotion (Cogoljević,
2019). It can help company in becoming cost effective and complete product launching in an
effective manner.
Target market and goals: Selection of promotional activity as well as channel depend
upon the target market. For example: if company target 50 and above age group of people then it
requires selecting either television, newspaper and direct promotion rather selecting online
because this age group of people mainly rely upon newspaper. It gives answer to company of
why as reason of promotion.
Place: Selection of promotional channel considering target market as from where they
can get information as per their convenience (Hubley and Copeman, 2018).
After focusing on all these areas, in promotional plan, company requires selecting the
type of promotional activity and time given on them each day. For example: 2 hours on
Instagram for uploading images, 2-3 hour on direct marketing and others for balancing and
maintaining.
At the time and after launching product, company requires monitoring of selected
promotional channels and requirement of more funds for expanding business and as per the
viewers.
P7 Itemised cash budget and forecasts
Cash budgets indicate the overall income and expenses that might be earned by the venture and
helps in developing a fair estimation related to the overall revenue that might be generated and
affects the decision making as well (Géraudel, Gast and Gundolf, 2017). The pre- launch cash
budget can be developed in a following manner:

Particular Amount (in £)
Technological instruments 200
Employees and expert
personnel
300
Promotions 500
Research and development 250
Miscellaneous 350
Total £ 1600
The cash asset budget helps in ascertaining the cash that will be required to buy the pre- launch
assets that can be further developed in the following manner for Biscuiteers:
Particular Amount (in £)
Stock/ Inventory 600
Cash 1450
Equipment 2000
Premises/ Store 1500
Miscellaneous Assets 450
Total £ 6000
The cash flow forecast predicts the overall income and expenses that is predicted by the
company to be earned in the upcoming time period (Kasahun, 2020). The cash flow forecast for
the next 18 months can be prepared in following manner:
(Amount in £)
Particular Quarter 1 Quarter 2 Quarter 3 Quarter 4 Quarter 5 Quarter 6
Opening b/ f 35000 56600 83650 116850 153850 176000
Cash Income
Cash 17000 20000 25000 28000 15000 60000
Asset Sale 20000 0 0 0 7000 0
B/R 16000 18500 19000 20000 20500 21000
Total inflow 88000 95100 127650 164850 196350 257000
Cash Expenses
Direct Material 2000 2100 2200 2300 2000 3000
Direct Labour 1900 2000 1800 1600 1800 1600

Manufacturing o/ h 3000 3150 2800 3000 2950 2500
Selling & distribution o/h 4500 4200 4000 4100 3600 3900
Assets brought in 20000 0 0 0 10000 90000
Total outflow 31400 11450 10800 11000 20350 101000
Net cash flow 56600 83650 116850 153850 176000 156000
Therefore, the cash flow forecast indicates that the overall cash revenue generation of cash
indicates that the net profitability of the Biscuiteers is expected to be very high.
P8 Selected venture type
There are a variety of legal forms that can be used in order to formulate a suitable venture type
so that the business can function profitably and the overall profits that are earned by the venture
are higher. The different ventures can be analysed in following manner:
Sole Proprietorship: Under this type of venture, there is a single owner who is responsible for all
the income and losses that might be earned in the business and also indulges in all the decision
making. The sole proprietorship business type is very easy to implement and helps in the
retention of maximum profits in the business itself (Lewis and Kaleem, 2019. ). The major
strengths of this type is that it can be implemented in a very simplified manner and additionally
the retained income is also very high. Since the business is operated by a single person mainly,
the limitations of this type is that the decision- making might not be done comprehensively.
Additionally, the dependency on a single individual is also very high leading to increased risk
exposure.
Company: The Company form of venture is the one where there are two or more directors of the
company that indulge in all the decision making on behalf of company which is treated as a
separate legal identity (McMeeking, Baskerville and Sim, 2017). The major strength of this
business is that the overall decision making is more comprehensive and the overall liability also
gets reduced of individual directors. The limitation of this type of venture however is that the
formation of a company is a very complex task which requires too much time and hence the
overall delay in the functioning of the company gets expanded.
Limited Liability Partnership: The limited liability partnership is the one where the liability of
the partners is limited to a certain extent only and they are not liable for all the business
decisions. The major advantage of this business type is that the risk gets minimised as the overall

liability of the partners gets minimised and limited. The overall benefits in taxation etc. are also
available to an LLP but the major drawback is that this is a very costly form of venture (Kwon
and Lee, 2017). It is not easy to set up a LLP and the amount of regulations that are imposed on
this type of the ventures is also very high. The overall benefits of this type of venture can be
utilised very well if the overall business activities are implemented at a wider scale.
The selected venture type which will be most suitable for the business currently i.e. for the
Biscuiteers is the sole proprietorship where the overall profit generation would be more. The
shingle owner would reduce the overall expenditures of the company and the maximum amount
of profits would be retained in the business itself (Dungan, 2017). This will help in investing the
maximum amount back in the business itself. Additionally, the sole proprietor also has the option
to convert into any other form of venture so that profitable situation can be created.
CONCLUSION
The research conducted in the report above helps in concluding that the overall proposed venture
of Biscuiteers is a very successful idea. The different resources that are required by the business
was evaluated and a proposal was also developed accordingly. The variety of skills such as
effective decision- making etc. was identified in the report and a promotional plan detailing the
strategies was prepared. The report further prepared a financial projection statement for the
venture for a period of 18 months and lastly sole proprietorship was suggested as the appropriate
venture type.

REFERENCES
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Dungan, A., 2017. Sole Proprietorship Returns, Tax Year 2015. Statistics of Income. SOI
Bulletin, 37(2), pp.2-28.
Géraudel, M., Gast, J. and Gundolf, K., 2017. New product and service launching in new
ventures: a multilevel approach to innovation antecedents. Economics of Innovation and
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Hubley, J. and Copeman, J., 2018. Practical health promotion. John Wiley & Sons.
Kasahun, A.K., 2020. The Impact of Working Capital Management on Firms’ Profitability-Case
of Selected Sole Proprietorship Manufacturing Firms in Adama City. IOSR Journal of
Economics and Finance (IOSR-JEF), 11(1), pp.45-55.
Kirkley, W.W., 2016. Creating ventures: decision factors in new venture creation. Asia Pacific
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Lewis, M.K. and Kaleem, A., 2019. Partnership-based equity instruments. In Religion and
Finance. Edward Elgar Publishing.
McMeeking, K.P., Baskerville, R. and Sim, D., 2017. Partnership Law and its spawn: did LLP
deliver on its promises?.
Michelle, E., 2019. Launching Constellate Publishing: An evaluation of small press genre fiction
publishing in Canada.
Morgan, J., 2019. A New Venture And Its Possibility In Sonora, Mexico: $ plit, The Future Of
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Paesbrugghe, B. and et.al., 2018. Personal selling and the purchasing function: where do we go
from here?. Journal of Personal Selling & Sales Management. 38(1). pp.123-143.
Rippa, P., Ponsiglione, C. and Zollo, G., 2019. Do new ventures explore, exploit or both? A
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