Peppery Restaurants Business Plan: Performance and Success Factors

This report presents a business plan for Peppery Restaurants, a restaurant established in London, United Kingdom, focusing on its market analysis, legal status, and operations. It delves into the main components of the business, including profitability, human resources, customer relationship, and effective marketing, highlighting their interrelation. The report includes a SWOT analysis identifying the restaurant's strengths, weaknesses, opportunities, and threats, as well as a PESTLE analysis examining the political, economic, social, technological, legal, and environmental factors affecting the business. Furthermore, the report discusses the importance of effective small business planning and performance, and evaluates potential issues that may impact the success of small business management through entrepreneurship.

Enterprise
Table of Contents
INTRODUCTION.................................................................................................................................3

MAIN BODY........................................................................................................................................4
Background of the organization.........................................................................................................4
The main component of the business and there inter relation............................................................5
Effective small business planning and performance..........................................................................8
Evaluate the potential issues arising that may impact the success of small business management
through entrepreneurship...................................................................................................................9
CONCLUSION...................................................................................................................................10
REFERENCES....................................................................................................................................11

INTRODUCTION
An enterprise is established by an entrepreneur for making profit from the business. It
is the activity of creating, innovating and setting up of business by taking financial risk for
the profit creation. The enterprises offer different types of product and services to consumers.
There are different types of enterprises such as sole enterprises. That enterprise which is run
by an individual is called the sole enterprises the another is partnership, cooperative society
and joint stock company. Managing the overall environment of the business in order to
achieve the set goals and objectives of the business is called the enterprises management.
Entrepreneur is the person who creates an enterprises from the business idea by taking
risk(Almeida and Santos, 2018). A business plan can be measured as the written document
that demonstrates how a business starts by defining its goals and how these goals can be
achieved. The internal audience as well as the external audience uses the business plan as it is
an important document. The business plan is made to attract the new investor to invest in the
business enterprises. Executive summary, marketing strategy, product and services, financial
planning and many more are included in the business plan. In this report, a business plan is
developed that will contain the business strategy, legal state, marketing and finance. It
includes the main component of the business and their inter relation. In last the report will
include the performance and planning of small business and the evaluation the issues arising
that impact the success of business management (Borowski, 2020).
MAIN BODY
Background of the organization
In this report the chosen business plan is based on the restaurants which are established in
England, United Kingdom by the name of peppery Restaurants. The peppery restaurant is
established in the London which is in a prime location. The restaurant allows all the group of
people to visit. The regular needs of the customers are fulfilled by the organization. The very
first comes the market analyses in the business plan of restaurants (Burkhanov, 2018)
1. Market Analysis- the internal atmosphere and ambience of the restaurants attracts
more customers and make them feel satisfied. The organization has to determine the
wants and needs of the consumer. The restaurants will provide the customer not only
the meals but also a theme based atmosphere of the restaurants. The beach sand is
considered as the theme applied in the restaurants for business plan implementation
(Hanák and Grežo, 2020).

 Target market- the restaurants will provide the services like food,
decoration, menu, server costumes and many more. On the basis of different
target market, the beach sand theme has been executed in which the
restaurants will provide the artificial atmosphere of beach and the sand.
 Value and age- not only the children but also adult likes the beaches and the
sand on the beach. In perception to every age group the theme will attract the
children as well as adult and old age group people.
 Gender- the theme has been designed in order to attract the both male and
female gender. Both gender will be attracted from the theme (Inkon, 2019).
1. Legal status- the restaurants undergoes many activities when it starts such as
planning of type of food, restaurant decoration and its menu. But the restaurants
have to follow the several legal concerns before running the business. Proper
follow of legal activity helps in smooth running of business without any fine,
additional expenses or legal action.
2. Operations- the restaurant is situated in the posh area of stem bridge England;
United Kingdom.it is the responsibility of the organization to satisfy the wants and
needs of the customers. The customer can easily reach to the restaurant as it is
located near the Wal-Mart supermarket which can be used as the landmark. There
are many schools and colleges located near the restaurants that will helps in easily
find out the restaurants by the customers and also increase the sales and
reputations of the business.
The main component of the business and there inter relation
Every business is important and unique whether it is small enterprises or the large
enterprises either they serve in a specific market or in the whole world. Give below are the
key components that are present in the business whether it is large or small (Katz, 2018).
 Profitability- the main aspect of the business is to generate the profit from the
business enterprises. Profitability helps the business to expand and grow. The
important elements of the turning a profit is controlling the cost and marketing
desirable goods and services. in context with the restaurants, profitability is the
essential term as it helps the restaurants to grow and expand into many areas.
 Human resources- different sector of the business manage the human resources in an
effective manner. The human resources involves the recruiting the right staff,

workforce expand. The business of restaurants requires different types of skilled
workers and staff so that they perform their task in an effective manner.
 Customer relationship- the inter relation between the representatives of the company
and the customer is called the customer relations (Lee and Shin, 2020). The company
must work in accordance with the customers as customer is known as the king of
business. The company should pay attention to the customer feedback, addressing
public relations issues, policies for handling problems. In relation to the business of
restaurants, the administration of it must maintain the good relations with the
customers in order to survive in the market.
 Effective marketing- marketing is an activity that helps in promoting the products
and services of the company. Business of every sizes uses the marketing to promote
their product so that the customer aware of their products and services. marketing play
a vital role in the relation of customers because it is the only way of making
interaction with the customers (Lee, 2018).
SWOT analysis on restaurants as a business plan is given below-
SWOT analyses are framework tool that helps the business in identifying their strengths,
weaknesses, opportunities and threats. The strength and weaknesses are considered as the
internal factor of the company where as the opportunity and threat are considered as the
external factors of the company.
 STRENGTH- the main strength of the restaurants is its authentic taste and the theme
of the restaurants that helps in attracting more and more new as well as existing
customers. Different varieties of meal and food, beverages and many more items
provided by the peppery restaurant helps in increasing its sales and the helps in
generating the revenue. The restaurant is located in the posh area which can consider
as one of the biggest strength of this restaurant business. Some of the key strength of
the restaurants can be its effective and highly skilled staff, highly experienced
management team, modern and theme based environment of the restaurant.
 WEAKNESSES- the restaurants serves different types of meals for the vegetarian
people but only serve few verities of food in the category of non-vegetarian. Since
now days the people prefer non vegetarian more as compared to the vegetarian.
Competitors weakness also considered as one of the biggest weakness of the this
restaurants. Since the restaurant is located in the posh area due to which they charges

high prices for the meal. Long waiting duration because of less staff and low
efficiency booking system and price confusing can be measured as the weakness of
the restaurants.
 OPPORTUNITY- In today’s world the people are more focused on its health
because of covid-19 pandemic. Most of the people follow the health conscious trend.
Addition of healthy meal in the menu of the restaurant helps the business in surviving
for the long term and increases the sales and attracts more customers. Loyal returning
customers and high exposure location can be an opportunity for the restaurants. The
business can uses many marketing strategy in order to generate the sales and attract
more loyal customers.
 THREATS- the biggest threat in the restaurant sector is high competitions. Different
restaurants business is available in different areas having theme based. The main
threats are high completion where the restaurant is situated. The one of the main
threat is that the competitors offer different types of authentic Thai food to its
customers which in turn reduce the sales of our restaurants. The cheap prices of food
can be threat to the restaurant because the competitors of this offer authentic food in
the cheap prices that allow them to increase their sales and revenue.
The PESTLE analyses are tool that is used to identify the external factor that influences
the organization either in the positive way or in the negative way. The restaurants sector uses
the pestle analyses to identify the components that are affecting their business such as
(Marques, 2020)-
 Political factor- the business of restaurant is highly influenced by the political
factor. The factors involve in this are tax reforms or health and safety guidelines.
If the business find out these regulations that affecting their business then they can
take appropriate decisions to reduce these affects. The regulation related to health
changes from country to country. The UK have different health regulation where
compared to other countries such as India or Pakistan where street food
regulations are applied.
 Economic factors- the increase in the inflation rate in the economy, affect the
prices of ingredients or raw material. Due to which the prices of the food also
increases and due to which man peoples avoid going to restaurants. Disposable
income of the consumer is considered as the another economic factor that affect
the restaurants business because if there is more disposable income of the peoples,

thee people prefer more to go in a high quality restaurants such as Starbucks,
KFC, subway and many more.
 Social factor- these factors can influence the business of restaurant either in the
positive way or vice versa. In today’s scenario, peoples are shifting towards their
health they are avoid the junk and street food. This means that the people will
prefer more organic food as compared to junk food. This can affect the menu of
the restaurants.
 Technological factor- it is measured as the most dynamic factor of pestle
analysis. The restaurants are affected because of rapid changes in the technology
and the advancement of it. Different types of technology like CCTV cameras can
be installed to watch the restaurant. Different types of accounting software can be
used by the business which can increase the flow of profitability if the software
uses properly (Masciocchi, 2020).
 Legal factors- the business of restaurants are highly affected by the legal and
local bodies because these regulatory authorities visit in frequent manner to check
the kitchen and store of the restaurants. The legal authorities check the food
quality, the expiry date of the food, staff and other hygiene surroundings.
 Environmental factors- the factor play a vital role in the pestle analysis. The
restaurants must look both the internal and external environment of the business.
Placing some plants and take care of cleanliness attracts more customers. The
restaurant must have its external surrounding clear so that the people can easily
reach to the place. The restaurants must recycle the food and a good food waste
management policy should be implied.
Effective small business planning and performance
The business managers tell that the business planning and the performance of business are
linked with each other. The business cannot expect high performance if the planning of the
business is average. Achieving of high performance in the absence of planning can be
considered as god luck of the business. Business planning can be defied as the managing and
operating and regularizing every activity of the organization so that the goals and objectives
of the company can easily be achieved. Whereas business performance is another concept
which tells how the business is going on. Business planning can be termed as the roadmap for
the enterprises in order to find out the high performance. The planning is an essential term
that require in the business of restaurants. A good planning done by the manager of the

restaurants helps in getting the good performance of the business (Sandkuhl and Stirna,
2018).
 Significance- due to the lack of time, much small business neglects the functions of
planning in their company. Without the formation of basic strategy or plan, the
performance of the company cannot be measured. Without defined goals, strategies to
compete and beat the competition, and printed measurement standards, even success
are impossible to define. It is crucial to plan and apply the strategies you choose to
achieve high performance. The restaurant has to undertake at least the basic strategy
or plan in order to measure the performance of the company.
 Function- Business and strategic plans are often easy or complex. The vital issue is
whether or not they're clear, cryptic and affordable. The company must understand the
goals, plans and strategy. Whether the restaurant business use these plans to manage,
fund, or receive investment money, the goals must be clear, the strategy reasonable,
and the processes leading to performance measurable. If enterprises perform their
work by carefully researching and preparing plans, it greatly improve chances of
success (Tipu, 2018).
 Potential- Achievement can be measured as a moving target. Performance is linked to
the long-term success of company. In contrast to the environment of large companies,
small companies often merge the people with the organization. Therefore, the
restaurants personal and performance goals are inextricably linked to corporate goals.
 Time frame- the performance of the company can be measured which is dependent
upon the business planning. This is where the goals, processes and the strategy of the
company are displaced. The performance of the company can be measured through its
past results which includes the income and expenses of the company. The
performance of the restaurant business can be measured through its past statistical
data.
 Effects- The consequences of mixing enterprise making plans with overall
performance dimension are essential to the best fitness of your company. Many small
enterprise proprietors, coping with in a bootstrap fashion, frequently degree overall
performance in subjective terms, without route or definition. Those that integrate
enterprise making plans with overall performance dimension apprehend their
products, competition, a success techniques and purpose success tons higher than the
ones enterprise proprietors who do now no longer plan at all. The consequences of

this wide hole commonly display dramatically while evaluating internet profits and
regular success.
Evaluate the potential issues arising that may impact the success of small business
management through entrepreneurship
There are different issues and challenges that arise which can affect the small business
of restaurants. These issues and challengers are given as-
 Financial issue-different restaurants underestimate the capital for starting and
expanding the business. Finance is essential for running the business. In order to
hire the new staff, leasing a building for the restaurants, stocking the kitchen,
buying the assets for the business and many more requires the large amount of
capital. Established business can go through financially, mainly in the course of
recessions after having fewer customers.
 Competitions- different sectors of business is facing the issue of competitions.
The restaurants which are present in the major cities face huge competitions. The
manager of the restaurants must have the knowledge of how to market his
business. It is the duty and responsibility of the manager to bring the new
customers. The restaurants having independent owner have to work hard to
develop their own customer base and to get competitive advantages.
 Marketing tactics of the restaurants- choosing the wrong strategy for marketing
of business can create a bad impact on the business of restaurants. It is tricky to
choose the right marketing strategy for the restaurants. Defining brand message,
growing recognition and developing loyalty are crucial to restaurant’s growth. the
manager need to make sure about the reliable marketing recommendation in order
to develop tailored made restaurants marketing strategy (Зинина and Оленцова,
2020).
 Staffing- the manager of the restaurants must have the knowledge of their
employees. Because poor staffing is considered as the issue faced by many
restaurants in present scenario. The organization must sure about having a good
staff in place in order to make it in the hospitality sector. The issue can be resolve
by training and guiding the staff, hiring the skilled staff and many more.
 Finding the right supplier—it is difficult for the new restaurant to develop the
good relationship with their suppliers in terms of partnerships. Cost effectiveness,
flexibility and reliability takes time in proper evaluation. It is hard and time

consuming process of researching and connecting all the suppliers which the
owner need to operate their business with (TOMASSONI, 2019).
 Poor planning- poor planning is the major issues faced by the entrepreneurs in
successfully running the small business. Planning in the restaurant is crucial
because without the proper planning the business of restaurants cannot be
survived. In order to compete with this challenges, the restaurants must plan their
menus and theme of the restaurants according to the customers so that there wants
and need will completely satisfied.
CONCLUSION
From the above information, it has been concluded that entrepreneurs establish the
enterprises in order to make the profit by selling the products and services to their target
customers. Business plan is essential for any organization because without the proper
planning a business cannot sustain for the long run. Form the report, it has been concluded
that there are different components of the business which are inter related to each other. And
there are different factors or elements that demonstrate the effectiveness of the business
planning and performance. The business planning and business performance is directly
proportional to each other. At last, the file concluded different issues faced by the business of
restaurants and the suggestion to overcome these issues and challenges are also explained.
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