SME Report: Nisa Retail's Growth, Challenges, and Strategies in the UK

This report provides a detailed analysis of Nisa Retail, a UK-based SME, focusing on its entrepreneurial origins, startup processes, business concept, and competitive advantages. It explores the current level of demand and the competitive environment in which Nisa operates, along with the company's growth and development to date. The report also examines the challenges Nisa faces in managing and running its business, including cash flow problems, marketing limitations, hiring difficulties, and strategic planning. Furthermore, it outlines Nisa's current growth and development strategies, government support measures available, and the company's consideration of social and sustainability goals. The analysis concludes with recommendations for Nisa to enhance its future growth and overcome existing challenges, particularly by leveraging external agencies for strategic guidance.

Managing Small and Medium
Enterprises

TABLE OF CONTENTS
.........................................................................................................................................................1
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Explaining the nature of the entrepreneur behind the venture....................................................3
Explaining the SME start-up processes......................................................................................3
Explaining the business concept and sources of competitive advantage....................................4
Explaining the current level of demand and the competitive environment................................4
Explaining growth and development of the business to date .....................................................5
Describing challenges of managing and running business.........................................................5
The SMEs current growth and development strategy.................................................................6
Any government support measures that help business overcome the challenges faced.............6
Business has considered social or sustainability goals and whether there is opportunity for
business.......................................................................................................................................7
Recommendations.......................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
The small and medium enterprises is comprise the investment which is involving less
than 10 lacks and not exceeding its capital more than 1 crore. The selected company is Nisa
which is operating as the retailer in the UK, with serving various groceries and food and non
food items to large number of consumers. This report provide detail about the nature of the
entrepreneurial behind the venture. Also, explaining the SME start-up processes. Further,
defining about the concept and source of competitive advantages with the current level of
demand and competitive environment. also, this report provide detail about the growth and
development of the business nd the challenges of managing and running the business. Also,
explaining the current growth and development state of Nisa and the governmental support
measures which helps business in overcoming the challenges faced. Lastly explaining about the
social and sustainability goals for adopting the opportunity.
MAIN BODY
Explaining the nature of the entrepreneur behind the venture
The Nisa company is mainly established by two entrepreneurs as of the Dudley Ramsden
and peter Garvin. The main purpose and nature of the entrepreneur by establishing Nisa is to
assist large number of retailers for donating the money to the charities and for good causes
which helps the communities. The nature of the entrepreneurs to take the risk and start the new
enterprise for achieving the mutual gaols. The entrepreneur partners mainly for trading and
serving large number of consumers with wide-ranging of services with providing the competitive
prices with providing wide selection of service and products portfolio with the high quality of
products in all the categories (Bhatnagar and et.al, 2021). With the entrepreneurial spirit this
helps In supporting the retailers vision with providing the best fresh quality core service which
is convenient in nature and assisting with the best support services.
Explaining the SME start-up processes
The start up processes for establishing the SME supermarket as of the Nisa stores as by
identifying the ideas for the business, with the identification of the ideas for establishing the
supermarket store in the UK by the entrepreneur. The second step is to set up and develop the
logo and name of the business to be established as the supermarket stores in the county. For the
supermarket its Nisa (Das Nair and Landani, 2019). Further it involves the process of evaluating

the ideas by measuring its outcomes and results after implementing into reality as by researching
the success of an idea. Further developing the business plan by structuring the supermarket as of
the small business operation and planning the need of products and various services to be served
by the Nisa and analysing the financial projections with determining the products prices, costing
of distributing and obtaining raw materials (Ajala and et,al., 2021). Further, choosing the funding
sources and getting retaining and licensee for operating the supermarket. Lastly, setting up the
software used for operating the small business and maintaining digital presence as for marketing
all the products and services with using online websites.
Explaining the business concept and sources of competitive advantage
The main business concept of the supermarket is it mainly assembling various product
portfolio and organizing into the stores as for Selling and distributing to large number of
consumers with serving wide ranges of services and the products. The main aim of the business
as operating the supermarket stores is to sell products to the consumers and earn the profits.
Further various sources of attaining competitive advantages for operating the supermarket stores
in the dynamic market as Selling products with differentiation and with the low prices and
providing optimum quality (The Nisa story ,2022). Furthest more the infrastructure of the
company and attaining large consumers with offering various discounts helps in attaining
competitive advantage over the others with providing large range of products portfolio.
Explaining the current level of demand and the competitive environment
As the current demand of the supermarkets is at moderate level as it is mainly serving
large number of grocery products to large number of consumers also offering various financial
and other service. As the consumers in the dynamic market love shopping and the supermarket
stores are offering wide range of products with discounted prices for attracting large number of
consumers (Ramaz and Nino, 2021). This helps in gaining demand of the supermarket. Further
the demand rises at the time of crises of the supermarket for serving all the grocery products at
home. Also, the company is operating into highly competitive market where large number of
stores established for serving the consumers by attracting the loyal users. The min competitors
are the Sainsbury, Morrisons, Asda. The stores are established which results in competing the
Nisa for providing the grocery products.

Explaining growth and development of the business to date
Growth and development in the business mainly helps in achieving business success by
advancing funds and more investments. Nisa is substantially growing its operations and its stores
the company recently matched by growing its stores around 5000 outlets by beating the changing
circumstances. As the acquisitions which helped in growing the sales with 10%. Further the
company achieved sales growth around £1.6 billion in 2021. With the fastest growing the sales
helps in achieving profits and revenues of the company. Thus, the growth and development of
the supermarket aids in achieving the greater sale by fulfilling and satisfying the consumer
needs with offering wide range of products portfolio.
Describing challenges of managing and running business
The major challenge that have to be faced by firm like Nisa retail company is been
described as follows:
Cash flow problems: To manage business for the long run it is very much required that
there is proper availability of cash so that all the business work is carried out smoothly without
many problems (Marom and Lussier, 2018). Also, management of cost in terms of revenues
earned also needed to be care of so that there are enough profits available to the firm for various
operations.
Lack of proper marketing: Small business are not able to spend lot of money in selling
the products in the market through use of marketing channels as it involves huge amount of cost.
Also, due to ineffective marketing very less brand awareness is among people about the
company products and further there is lack of strong brand image in the market.
Hiring and selection: Small business requires pool of human resources that are ready to
work for the business in available compensation and also have the required skills and
competencies to carry out various tasks. Thus, such type of challenge often creates problems for
small business to bring any kind of innovation and change within the workplace in easier
manner.
Business strategy: All the business that are working hard build up the attractive business
strategy so that they are able to remain competitive in the target market. However, small business
like Nisa finds difficulties in conducting market research and developing business strategy that
would allow attracting more customers and help earn more profits in the future.

The SMEs current growth and development strategy
In the current strategy of Nisa it can be said that the firm is focused on the sustained
growth where it is focusing on opening of new stores so that large market share might be
covered. Furthermore, the development strategy of Nisa retail is to bring innovation and
creativity within the workplace so that successful business operation might be conducted over
the years (Barbosa, Castañeda-Ayarza and Ferreira, 2020). Also, firm is working on offering
competitive prices to targeted consumers so that larger market share might be covered within the
specified time frame. Moreover, for the continuous growth and development its is partnering
with one of the most top brands so that greater revenues might be generated over the years. Also,
growth of the company is dependent upon use of the latest technology and hence major objective
of Nisa is to install the latest technologies at the workplace so that faster business operations
might be carried out. Moreover, technologies help in making the business run smoother and also
saves the unnecessary cost of the business. Also, the current growth strategy of this small retail
business is promoted various companies' product in market in such a way that people not only
develop interest in buying certain goods and services but also develop higher customer loyalty so
that it result in repeated purchase against some big brands in UK that are also performing
extraordinary well and are geographically operating in various regions of world.
Any government support measures that help business overcome the challenges faced
For overcoming all the challenges that is faced by the Nisa retail company the
government of UK also provides support and assistance in the form of incentives and subsidies
that promotes the small business and allows them to grow on larger scale. Also, through such
incentives the company is able to carry out the daily operations in bets manner without worrying
about the daily expenses and cost involved in purchase of raw materials. Thus, this also helps in
maximizing the revenues for the firm (Howard, Ulferts and Hannon, 2019). Furthermore,
government helps such small retail business to access to the international markets thus resolving
the marketing issues relating to selling of various products. Moreover, to allow the firms to
develop the best business strategy government helps in setting up special economic zones where
the rates of the electricity, water, land etc. had also been minimized so that ease in the business
might be provided. Moreover, schemes like innovation voucher had also been launched by UK
government so that small retail business might be promoted within the country so that more
revenues are generated. Thus, through such schemes cost of the company might be covered and

the best people might be hired for various business roles among various level within the
workplace.
Business has considered social or sustainability goals and whether there is opportunity for
business
Nisa retail UK is actively involved in conducting all the operations of the business that
are aiming to reduce the negative impact on the environment on the large scale. Furthermore, it is
concern in disposing all the waste generated in the workplace in the landfill. Also, for being
ethically responsible the firm is putting certain efforts in minimizing the overall carbon
emissions' so that fuel consumption might be reduced. Furthermore, the major sustainable gaols
of the company is to develop techniques that would not only promote the business in the market
but also help in the assuring the quality of products to the targeted consumers so that best
goodwill would be developed within the market (Runyan and Covin, 2019.). Further, the
company has recently aimed in reducing the paperwork and was successful in saving more than
175 tonnes with major focus on the sustainability among the workplace. Also, the company
adopted the transparent working policy where any query related with the customers are solved
quickly. Moreover, the firm is focused on reducing the overall food wastage so that it is able to
fulfil the corporate social responsibility and become responsible small retail business in UK.
Recommendations
 It is recommended to the Nisa retail that it should focus on taking the help from the
external agencies that would suggest them the best business strategies so that it would
able to grow in the future (Julien, 2018). Moreover, through the support of the external
agencies and partners the firm would be able to find out the ways through which
production might be maximised and also consumers might be offered goods that have
value for the money.
CONCLUSION
From the above report it can be concluded that, the SME are mainly established as for
achieving the business goals with limited number of employers and investment as a capital. Nisa
operating as the retailer stores serving consumers with all the retail products including food and
non-food items. This report also helps in addressing all the start up processes implied in the Nisa
company, also the current level of demand and various challenges faced by the business which

impacts its growth and the profits earning capacity. The current growth and development stage is
adopted as or providing diverse product ranges for sustaining the competitive environment.

REFERENCES
Books and Journals
Ajala, L.O and et,al ., 2021. Risk Assessment of Metal (Loid) s Exposed to Infants via
Consumption of Weaning Foods from Different Supermarkets in Sheffield,
UK. Biological Trace Element Research. 199(5). pp.1664-1673.
Barbosa, M., Castañeda-Ayarza, J. A. and Ferreira, D. H. L., 2020. Sustainable strategic
management (GES): Sustainability in small business. Journal of Cleaner Production.
258. p.120880.
Bhatnagar, P and et,al, 2021. Are food and drink available in online and physical supermarkets
the same? A comparison of product availability, price, price promotions and nutritional
information. Public health nutrition. 24(5). pp.819-825.
Das Nair, R. and Landani, N., 2019. The role of supermarket chains in developing food, other
fast-moving consumer goods and consumer goods suppliers in regional markets (No.
2019/59). WIDER Working Paper.
Howard, T. L., Ulferts, G. W. and Hannon, J., 2019. Leadership styles of small business owners:
Linking theory to application. Journal of Leadership, Accountability and Ethics. 16(2).
pp.47-55.
Julien, P. A., 2018. The state of the art in small business and entrepreneurship. Routledge.
Marom, S. and Lussier, R. N., 2018. Developing a small business management concentration
within a business degree. Small Business Institute Journal. 13(2). pp.15-30.
Ramaz, O. and Nino, Z., 2021. MARKETING INTELLIGENCE AS AN IMPORTANT ASPECT TO STUDY
COMPETITIVE ENVIRONMENT. European journal of economics and management sciences.
(3). pp.3-6.
Runyan, R. C. and Covin, J. G., 2019. Small business orientation: A construct
proposal. Entrepreneurship Theory and Practice. 43(3). pp.529-552.
Online
The Nisa story . 2022. [Online]. Available through:<https://www.nisalocally.co.uk/the-nisa-
story/>;