Business Plan for Organic World: A Retail Business in London

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Business plan

Table of Contents
Introduction......................................................................................................................................1
Task 1...............................................................................................................................................1
How business will operate...........................................................................................................1
Name of the business...................................................................................................................3
Visual identity..............................................................................................................................3
Values in the business..................................................................................................................4
Task 2...............................................................................................................................................5
Primary research..........................................................................................................................5
Secondary research......................................................................................................................5
Quantitative research...................................................................................................................5
Qualitative research.....................................................................................................................6
Task 3...............................................................................................................................................6
Ethical dilemma regarding the business......................................................................................6
Task 4...............................................................................................................................................8
How you will comply with diversity and equality law?..............................................................8
Rights of employees....................................................................................................................9
Task 5...............................................................................................................................................9
Assets and liabilities....................................................................................................................9
How you will avoid cash flow problems?.................................................................................11
Conclusion.....................................................................................................................................11
References......................................................................................................................................12

Introduction
In the modern era setting up any new business is not regarded to be an easy task as it requires
management of different form of resources. Further, it is a well known fact that large amount of
funds are required at the time of setting any business and it financial resources are not managed
in the best possible manner then in such case it can have negative impact on the overall
performance of the firm in the market (Scarborough, 2016). The first main task at the time of
setting any business is to decide well in advance like how the business will be carried out, who
will be responsible for conducting the operations, the real target market and the real practices
that needs to be carried out for the growth and development of the firm.
Task 1
How business will operate
The new business plan is associated with offering organic and other retail products to the
households in the market of London. Further, it is a well known fact that demand for organic
products is rising at a faster pace in the market and in turn this is a kind of opportunity for the
new business. The retail industry of UK is highly developed and high growth prospects are
present. Moreover, with the rising health issue it has become easy for the different firms to offer
products that are healthy such as the organic range. Along with this, in the year 2017 the industry
generated £395billion retail sales and it is indicating that contribution of the overall industry in
the economic development of the nation is quite high (Jenna Smith, 2019).
The target customers will be individuals who are highly health conscious. They prefer healthy
eating by consuming fruits, vegetables and other eatables items that are organic. One of the valid
reasons behind consumption of organic products is the rising level of health issue due to
consumption of normal products (Hatten, 2015). So, in this case by serving the selected target
market it will be feasible for the new business to maintain its long term position in the market.
Considering the business model several main elements are present in the overall model through
which the overall practices will be carried out efficiently.
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Key partner
Business owner
Owner’s
relative
Key activities
Offering organic fruits
and vegetables
Organic retail products
Key Resources
Human
Physical
Technological
Financial
Value
Proposition
Organic food
items that are
healthy and
fat free
Customer
relationship
Online marketing
Customer
segment
High class
people
Health
conscious
people
Cost structure
Development of mobile application
Building physical stores
Carrying out marketing practices
Revenue stream
Sale of organic food items
Key partner
Business owner
Key activities
Providing services and
tour packages linked
with sustainable
tourism
Key Resources
Technology
Employees
Value
Proposition
Sustainable
tourism
Marketing
Responsible
travel
Customer
relationship
CRM strategies
Channels
Online
Offline
Customer
segment
People in
Middle and
upper Income
level
Cost structure
Setting up office
Online website
Marketing and recruitment
Revenue stream
Product/service sale
References
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The above business model highlights the key activities or the elements that are linked with the
success of the firm. Further, it is a well known fact that when all the key resources will be
utilized or managed efficiently then it will support the business in gaining competitive
advantage. Moreover, the revenue stream will be sale of organic food items in the market and in
case if the firm fails to offer the products in a proper manner then overall position will decline
due to this. The value proposition will be on the basis of quality food items where different
standards will be set so that in near future no such quality issues may arise.
Name of the business
The name of the business will be organic world and as the name represents it will offer wide
range of eatable items to the target market.
Visual identity
For the new business the most important part is to set appropriate identity so that customers can
easily recognize the business and they can know about it.
Above shown is the sample of the logo for the new business. Further, the logo will clearly
demonstrate that company will offer organic food products in the market so as to meet with the
expectations of the customers. The logo of the new business will be redeveloped on timely basis
so as to retain the loyal customers. Along with this, it is a well known fact that the new firm has
to face large amount of difficulties in attracting customers and if they fail to do so then in such
case it has adverse impact on the overall performance. Building right logo for the new business
will allow in high customer engagement and in turn it will act as development tool for the entire
business in the market.
Values in the business
Considering the right values in the business is regarded to be most important. Further, the new
business will focus on promoting different form of values. Environmental is one of the main
value where it will highlight that through organic farming the overall surroundings will be
protected and overall farming of the organic products will be done. This will clearly demonstrate
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that the business will take initiatives for protecting the environment and in turn it will have
positive impact on the overall performance (Maylor, et al. 2016). Secondly, social as another
value will be promoted by the business like the actions taken will be favorable for the society.
The individuals who are health conscious will be targeted efficiently by the firm. Hence, social
value will also be shared and promoted by the new business and it will act as development tool
for the organization.
Task 2
Conducting right market research is considered to be very important as through the growth rate
of the firm increases and in turn it brings favorable results also. The present business will be
newly established in the market and in this case right market research will be carried out for
knowing customer preferences and trends and obtaining market knowledge also.
Primary research
Primary research will be carried out for knowing the customer preferences and trends. Further,
this research will assist in knowing what type of organic food items or other retail products the
customers prefer to purchase. In case if their liking patterns and other form of preferences are not
known then the business will face large amount of difficulties in conducting overall practices.
Secondary research
Secondary research will also be carried out for the new business. Mainly the secondary data
published regarding the growth of retail industry, demand for organic products in the market and
the type of organic products preferred will be taken into consideration. Mainly the secondary
source will involve the different books, online articles and journals that provide most feasible
information.
Quantitative research
Quantitative research is also very important as it is associated with the numerical data through
which the business efficiency can be increased. The quantitative research that will be carried out
associated with knowing the actual number of customers purchasing organic products in a
particular time period. Further, the growth of online organic industry data will be undertaken so
that proper decisions can be taken for the entire business. In short, this type of research will
contribute a lot in examining whether the trends are favorable or not and on long term basis the
business will be able to sustain in the market.
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Qualitative research
The qualitative research is of non numeric nature whether numbers are not at all considered for
knowing the actual condition of the market. Further, the qualitative research regarding customer
preferences and perception towards organic products will be known. This type of research will
assist in knowing whether the preferences of people towards organic products are very high or
not. Qualitative research can be mainly conducted by interacting with the different individuals
and it will bring favorable outcomes also (Foster, et al. 2016). This will allow in conducting the
business practices efficiently and desired goals will be accomplished.
Task 3
Ethical dilemma regarding the business
Considering the present case provided where the new business has given opportunity to associate
with other firm so that business can be promoted by a popular website. But the key issue
highlighted in the case is that the company has been badly accused due to mismanagement of the
staff. Along with this, some unethical practices were present in the firm such as harassment,
bullying, discrimination etc. No doubt some advantages will be present to the new business like
operations can be easily marketed and the brand publicity level will also enhance through this.
The main task is to take decision like whether to continue with the firm from the point of
marketing or to consider issues such as harassment etc that can spoil brand image of the
company.
It is a fact that business that does not value its staff members is considered to be highly unethical
and in turn no such brand prefers to associate with it. In the initial stage if the new business
wants to manage its brand image in the market then the feasible option is to ignore the
opportunity of utilizing website of that firm. Considering the legal case of Ashley Alford vs.
Aaron’s Rents (2011) where Alford works at Aaron’s Rents and she was sexually harassed by
Richard Moore who are is her manager (Kevin McCoy. 2017). Further, she complained against
the manager many time but no such valid actions were taken by the company for protecting the
employee. Therefore, in this case the solution was out of court settlement.
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Task 4
How you will comply with diversity and equality law?
At the time of selecting any candidate it is necessarily required to comply with the different laws
on the basis of which best candidate can be selected any possible manner. Mainly I will
undertake proper planning that will support me in selecting the applicants by complying with
equality and diversity law. Firstly I will prefer to gain proper knowledge and information about
the equality and the diversity law. Apart from this, I will also take advice from the HR
professionals of other companies to whom I know and one of the main benefit will be that they
will guide me like how I can promote equality and diversity in the workplace.
Secondly after selecting the candidate I will take feedback from other officials in the workplace
and through this I will be able to know whether my practice is in accordance with diversity and
equality law or not. I will follow each and every guideline that is followed in the equality and
diversity act such as providing opportunities etc. In accordance with the equality act I will
provide equal opportunity to the individual and at the same time I will protect the human rights
also.
Rights of employees
Giving appropriate right to the individual hired within the workplace is necessary. Further, I will
provide the right to take decisions within the workplace. Employees will be able to take
decisions on their own regarding what operations to be carried out, how it will be carried out and
the type of tools required to carry out operations etc. This right is most crucial and in the case if
the staff members are allowed to take decisions on their own then in such case it brings favorable
results (Vom Brocke, et al. 2016). Secondly main right will be to work on their own and in their
preferred style. No such individual or boss will be appointed who will manage staff activities and
due to this they will feel dominating. Employees will feel free and their confidence level will
also increase to conduct the assigned operations in the proper manner. Further, it is a well known
fact that when employees are given proper right within the workplace then in such case their
motivation level increases and their prefer to contribute in the business affairs. The third main
right that will be provided to the staff is linked with evaluating their own performance within the
workplace. They can judge their performance level and can know whether they are working
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efficiently or not. In case if their performance is not up to the mark then in such case initiatives
can be easily taken for performance improvement point of view.
Another main right that I will provide to the employees is regarding designing training programs
and working for the development of others. This will surely enhance the actual motivation level
of the staff and in turn the productivity level of the firm will increase. Hence, these are some of
the key right that will be provided to the staff and they can work accordingly.
Task 5
Assets and liabilities
The key assets of the business are cash which is the major one and it is savings of the owner that
is kept in order to meet any unforeseen contingency. Accounts receivable is another main asset
of the business and it is the amount that is received after the sale of the products in the market.
Inventory will be major asset where it will undertake the organic food items that will be stored
by the company and afterwards they will be offered to the target market. Property will be another
asset of the new business and it will be the physical store through which products will be offered
to the customers. One of the main liability will be loan that will be taken from the bank in order
to carry out the operations of the business properly (Behrangrad, 2015). The owner has taken
loan from the bank so as to avoid the situation such as inadequacy of finance.
Further, some expenses in case of the new business will be present. One of the main expense will
be marketing where promoting of the business will take place for wider publicity. Second main
expense will be development of the mobile application. The new business will offer services
with the help of mobile application and its development will be key expense in case of the new
business. Salary to the staff will be also the key expense where different individuals will be
appointed and they will be provided salary (Faour-Klingbeil, et al. 2015). In order to manage the
key expenses of the business budget has been framed and it will surely provide proper support to
the firm in managing the overall financial resources efficiently.
Along with this, the gains will be sale of organic products in the market. It will be one of the
major gain as the entire product range will be offered to the individuals in the market. The
income received by offering products in the market will be the major gain. Another main gain
will be income received by offering products through the mobile application and this will also be
the main source that will contribute a lot in covering all the key expenses of the firm in the
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proper manner. Hence, these will be the main gains and some additional gains are also present
such as income received in the form of sponsorship, government grants etc.
How you will avoid cash flow problems?
In order to avoid any cash flow problem proper planning will be carried out. Along with this,
proper budget will be formed that will help in estimating the key expenses and accordingly
financial resources will be matched (Wu, et al. 2015). Moreover, financial expert will be hired
who will take care of the financial resource and this will be beneficial for the firm in the market.
Hence, through these entire practices cash flow problem will be avoided in the best possible
manner. Moreover, no such unfavorable situations will arise on long term basis as proper funds
will be present.
Conclusion
Hence, from the overall analysis it can be concluded that setting up new business in a right
manner is considered to be very important. The new business named organic world will offer
wide range of products in the market that are healthy. The target market will be people who are
highly health conscious and this will bring favorable outcomes. Moreover, market research will
be carried out in the proper manner so as to know whether business can easily grow or not.
Along with this, primary, secondary, quantitative and qualitative information will be taken into
consideration and this will contribute a lot in the business success.
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References
Behrangrad, M., 2015. A review of demand side management business models in the electricity
market. Renewable and Sustainable Energy Reviews, 47, pp.270-283.
Buil, I., Catalán, S. and Martínez, E., 2016. The importance of corporate brand identity in
business management: An application to the UK banking sector. BRQ Business Research
Quarterly, 19(1), pp.3-12.
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Faour-Klingbeil, D., Kuri, V. and Todd, E., 2015. Investigating a link of two different types of
food business management to the food safety knowledge, attitudes and practices of food handlers
in Beirut, Lebanon. Food Control, 55, pp.166-175.
Foster, G., O'Reilly, N. and Dávila, A., 2016. Sports business management: Decision making
around the globe. Routledge.
Hatten, T.S., 2015. Small business management: Entrepreneurship and beyond. Nelson
Education.
Jenna Smith. 2019. Overview of Retail Sector in UK [Online]. Accessed through <
https://www.prospects.ac.uk/jobs-and-work-experience/job-sectors/retail/overview-of-the-retail-
sector-in-the-uk>. [Accessed on 14th March 2019]
Kevin McCoy. 2017. Sexual Harassment: Here are some of the biggest cases [Online]. Accessed
through <https://www.usatoday.com/story/money/2017/10/25/sexual-harassment-here-some-
biggest-cases/791439001/>. [Accessed on 14th March 2019]
Maylor, H., Blackmon, K. and Huemann, M., 2016. Researching business and management.
Macmillan International Higher Education.
Nuthall, P.L., 2018. Farm business management: the human factor. CABI.
Parris, D.L., Dapko, J.L., Arnold, R.W. and Arnold, D., 2016. Exploring transparency: a new
framework for responsible business management. Management Decision, 54(1), pp.222-247.
Scarborough, N.M., 2016. Essentials of entrepreneurship and small business management.
Pearson.
Vom Brocke, J., Petry, M. and Gonser, T., 2016. Business process management. In A Handbook
of Business Transformation Management Methodology (pp. 137-172). Routledge.
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Wu, K.J., Liao, C.J., Tseng, M.L. and Chou, P.J., 2015. Understanding innovation for sustainable
business management capabilities and competencies under uncertainty. Sustainability, 7(10),
pp.13726-13760.
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