Executive Summary: New Pet Care Business Proposal and Analysis Report

This report presents an executive summary for a new pet care business, addressing the rising demand for pet services and accessories. It outlines the business concept, which focuses on delivering differentiated pet care services, including in-home care and a range of accessories. The summary includes a market analysis, competitor analysis (Animals at Home, We Love Pets, and PetSmart), and a marketing plan. It analyzes the entrepreneurship theory, rationale, and development plans for the proposal, emphasizing innovation and the satisfaction of pet owners' needs. The operational model, management structure, critical risks, and financial prospects are also discussed, alongside proposed funding plans. The report emphasizes the feasibility of the business, highlighting the potential for success in the growing pet industry and the ability to gain a competitive advantage by offering unique services and products.

ENTREPRENEURSHIP

EXECUTIVE SUMMARY
With the rise in pet industry, demand for quality services along with other types of
accessories, is rising in the market. Further, businesses are focusing on satisfying need of the pets
by emphasizing on wide range of services. Further, the pet industry is worth £6.1bn a year and it
is expected to expand in near future also. With the economic downturn in the past few years,the
entire pet industry has been adversely affected. This has prevented pet owners from purchasing
different type of services from the businesses operating in this sector.
The present business idea is based on setting up new business in the market where
concept of business is different. The entire business is based on delivering pet care services
which are highly differentiated. Moreover, in the present era demand for pet care services is
increasing where customers prefer to buy different services for their pet with the motive to
provide them convenience along with comfort. Therefore, it can be beneficial for the new
business where delivering pet care services can support in satisfying overall need and
requirement of the target market. The ranges of services are in home pet care brushing, shampoo,
feeding etcand pet care accessories involve dog water proof mattress, dog round bed, dog Tshirt,
dog snack spinach, cat food pouch etc. Competitors of the new business will be animals at home,
we love pets and pet smart. In order to successfully promote product or service range in the
market it is necessary to develop effective marketing plan
On the basis of market feasibility it has been identified that new business can be
successfully implemented where all the opportunities are favorable. Further, this can support in
enhancing market performance of the company and can assist in gaining competitive advantage.

Table of Contents
SUMMARY OF INVESTMENT PROPOSAL...............................................................................1
CRITICAL ANALYSIS OF THE ENTERPRENEURSHIP THEORY.........................................2
RATIONALE AND DEELOPMENT PLANS FOR THE PROPOSAL........................................3
COMPETITOR ANALYSIS...........................................................................................................4
MARKETING PLAN......................................................................................................................5
OPERATIONAL MODEL..............................................................................................................6
MANAGEMENT............................................................................................................................6
CRITICAL RISKS AND ISSUES...................................................................................................7
FINANCIAL PROSPECTS.............................................................................................................7
PROPOSED FUNDING PLANS....................................................................................................7
REFERENCES................................................................................................................................9

SUMMARY OF INVESTMENT PROPOSAL
The present business idea is based on setting up new business in the market where
concept of business is different. The entire business is based on delivering pet care services
which are highly differentiated. Moreover, in the present era demand for pet care services is
increasing where customers prefer to buy different services for their pets with the motive to
provide them convenience along with comfort. Therefore, it can be beneficial for the new
business where delivering pet care services can support in satisfying overall need and
requirement of the target market (Baron, 2012). No doubt, different pet care services are
present.But, to offer the differentiated one is necessary for enterprise. Due to this reason the
entire business is based on unique concept and is feasible too by considering the overall demand
for pet care services in the market. Apart from this, requirement of every pet differs from each
other and by understanding the same it is possible to satisfy their needs in most efficient manner.
Further, this business requires investment of large amount as pet care service requires trainers
and other individuals who can efficiently render different services to the pets. Moreover, this
business will offer pet care services at home of customers also, so that more convenience can be
provided to the target market. This will also be major source of attraction for the customers and
in turn, higher profits can be earned through this.
With the rise in pet industry demand for quality services along with other type of
accessories is rising in the market. Further, businesses are focusing on satisfying need of the pets
by focusing on wide range of services. Further, the pet industry is worth £6.1bn a year and it is
expected to expand in near future also (Pets at Home profits soar as vet services and grooming
demand rise., 2013). Engaged pet owners prefer to spend more on their pets and they are
interested in purchasing superior services. At present there is high demand in specialized diet for
cats, dogs, birds and other type of pets. During economic fluctuations buying decisions of the pet
owners have been adversely affected and they were not able to purchase services which are of
high quality (Brough, 2014). With the economic downturn in the past few years, the entire pet
industry has been negatively affected and this has prevented pet owners from purchasing
different type of services from the businesses operating in this sector. Further, at present,
economic condition has improved due to which it is appropriate for new business to enter into
this market with differentiated and unique services through which needs of the pet owners can be
satisfied efficiently. Apart from this, it is one of the most crucial tasks to decide which pet care
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services to be delivered as service range is wide and its selection is very important. Moreover,
concept of delivering pet care service at home is getting popular where majority of the owners
prefer to purchase their services at home for their pets. So, in this way, the present investment is
feasible and can be implemented easily.
CRITICAL ANALYSIS OF THE ENTERPRENEURSHIP THEORY
In order to successfully launch new business in the market, it is necessary to understand
the entrepreneurship theories on the basis of which unique idea can be easily implemented in the
market and this allows to deal with the market challenges. As per view of Kuratko (2012),
entrepreneurship innovation takes place when any new product or service is launched in the
market. Further, main stress is on satisfying needs of the target market so as to serve them better.
This theory totally relies on needs of the target market. For instance, at present pet owners have
need to provide comfort along with convenience to their pets (Kuratko, 2012). Therefore, in such
case it is beneficial for the businesses to allocate funds in setting up business with the help of
which pet care services can be delivered to customers in the market. Apart from this,
entrepreneurship theory relies on creativity and innovation where implementing new ideas in the
major affairs of the business can be beneficial for the business which can be started. However,
Pahl and Richter (2009) argued that for any business to be successful in the market it is
necessary to have unique idea so that overall operations can be carried out efficiently and in
appropriate manner. Therefore, this allows in gaining competitive advantage and acts as a
development tool for the business. For setting up any new business in the market, innovation acts
as base and through this, it becomes easy to enhance market performance (Pahl and Richter,
2009).
The innovation theory is applicable in case of new pet care business where idea of
delivering pet care services is unique and different also. Apart from this, majority of the people
living in UK have pets and they prefer to purchase large number of services for them. Moreover,
demand for services is increasing in the market where high quality services are expected by pet
owners. Therefore, this can be beneficial for the new business where requirement of different
pets can be satisfied efficiently and in appropriate manner. According to Stokes and et. al. (2010)
entrepreneurship theory helps in identifying the range of opportunities present which business
can easily undertake for its overall growth and benefit. Further, the new business being
implemented can easily support in economic development as well where large requirement of
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large number of pet owners can be satisfied easily. Moreover, it is well known fact that indulging
into different innovative practices it is possible to enhance profit margin and market share can be
enhanced easily. Therefore, with the help of entrepreneurship theory it is beneficial to work on
the new idea which is based on creativity (Stokes and et. al., 2010). Apart from this, it possesses
the capability to attract large number of individuals especially those who are pet owners as their
requirements can be met easily. This theory also shed light on the overall practices of
entrepreneur and how their concepts are different from other individuals present in the market.
Further, it leads to favorable outcomes for the business in terms of rise in market performance,
building brand image etc.
RATIONALE AND DEELOPMENT PLANS FOR THE PROPOSAL
One of the main motives behind implementing new business idea is to introduce business of
pet care in the market. Further, large number of differentiated services will be delivered and this
will support pet care owners. The ranges of services are:
 In home pet care
 Brushing
 Shampoo
 Feeding
 Administration of medicine
 Grooming
 Training
 Boarding
On the other hand pet care accessories are also present which will be rendered by new
business to its customers and they are as follows:
 Dog water proof mattress
 Dog round bed
 Dog T-shirt
 Dog snack spinach
 Cat food pouch
 Adjustable cat collar
 Nail scissor for dog and cats
 Calcium block supplement for birds
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 Honey sticks for birds
So, all these will be the range of items which will be offered to pets. Apart from this,
other accessories are also present which will be offered and through this it is possible for
business to offer large number of options to the target market. All the range of food accessories
are unique and different in nature. Further, these accessories will be sold online, as it will be
convenient for the customers who do not have time to purchase food items for their pets
(Barringer and Ireland, D., 2012). Entire range of accessories along with pet care services will be
delivered under one roof. Majority of the business will be operated with the help of physical
stores and online offering will be quite less. One of the main motives of opening physical store is
that through it, customers of the business can be easily attracted and they can know about the
range of pet care products offered to them.
Moreover, for successful implementation of pet care business in the market, a series of
stages will be followed which are; conducting market research in order to know overall
requirement of pet care services, obtaining view of pet care owners so as to know what kind of
services they prefer to purchase, deciding the range of services to be offered, identifying the
areas to be covered and developing operational plan along with management of resources.
Therefore, all these stages will assist new business in its effective implementation. On the other
hand, large numbers of challenges are present which the new company has to undertake with the
motive to operate successfully (Bessant, 2011). Though competition level is low in this type of
market, but, also various issues are present which need to be tackled in appropriate manner.
On the other hand, with the motive to deliver quick service to the target market, pet care
van is present through which business will deliver emergency and home care service to pets. This
will also act as effective source of attraction where needs of the pet care owners can be satisfied
efficiently. Apart from this, all the services will be offered at nominal price so that each and
every type of individual can afford same. Therefore, in this way development plan for the new
business is quite effective and can support in performing better.
COMPETITOR ANALYSIS
In the market of UK many businesses are operating which offers pet care services but the
services offered by new enterprise are totally different. Competitors of the new business will be:
 Animals at home
 We love pets
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 Pet smart
These three are the main competitors of new business in the market. Further, all these
businesses are also offering different types of pet care services. They are offering services since a
long period of time in the market and are well known by every customer. Apart from this, it is
one of the major challenges for new business to deal with competition in the market. Therefore,
in this case business will highlight its unique selling points where high quality, product
differentiation, competitive pricing etc. will support company to perform better and through this
large number of customers can be attracted easily. Moreover, advertising along with promotion
will also assist business in dealing with the issue of competition in the market. All the present
firms operating in the market are not offering home service along with accessories of pets
(Bridge, 2010). Therefore, it will also prove to be advantageous for newly established business.
Further, with the motive to perform better competitor analysis has been carried out on the basis
of which business has identified major activities of other companies in the market. Moreover,
with the help of this it is possible to build more effective strategies and which will help in
developing the overall strength of company. In short, competitor analysis is beneficial for the
organization in every possible manner where it is possible to focus on the key activities which
have not been carried out by other businesses in the market.
MARKETING PLAN
In order to successfully promote product or service range in the market, it is necessary to
develop effective marketing plan. For effective promotion of pet care services in the market,
social media will be employed as a tool. Further, business will develop its own page on social
media and entire range of services will be highlighted through same. This will assist in providing
proper knowledge along with information to the pet care owners in relation with the services.
Networking sites such as facebook, twitter etc. will be used for sharing information in relation
with the services. Apart from this, print media will also be employed where advertisement
through newspaper will support business in building better relationship with its target market.
Overall the marketing of services will take place on wider platform and this will enhance
performance of the business in near future (Bridge, 2012). Moreover, in starting discount and
other form of offers will be provided on the pet care services so that large number of customers
can be attracted through this. In short, through this purchase decision of customers can be
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influenced easily and this can assist in expansion of overall activities in near future. Therefore,
marketing plan developed will support new business in performing better.
OPERATIONAL MODEL
This model provides direction to the business in carrying out overall operations in
effective manner. Further, the entire range of operations will be carried out with the help of
physical store and this will assist in serving customers in the market. Moreover, the operations
will take place when business will receive order in relation with pet care services from its
customers and on the basis of same services will be rendered to them. Apart from this, customers
can approach company through email, call etc. Receiving order is one of the most important part
through which new business will understand the actual requirements of pet owners. Further, on
receiving order business will ask whether services are required at home or through the physical
store of the company. Apart from this, appropriate plan has been developed on the basis of which
each and every operation will be carried out. This will provide proper direction to the new
venture and in turn market performance can be enhanced easily. In short, the efficiency of all the
operations will be enhanced through effective operational plan and this will allow business in
gaining competitive advantage also which is beneficial for the enterprise.
MANAGEMENT
In order to operate successfully in the market, it is necessary for business to have
appropriate management structure. One individual who is owner of the business will look after
all the practices of the company. Further, individual will take all the major decisions linked with
expansion and modification in the services (Pahl and Richter, 2009). Apart from this, 4 to 5
individuals will be appointed who will act as trainer and services providers. Moreover, it will be
ensured well in advance that individuals appointed may have proper knowledge and experience
in relation with the pet care services and this will provide competitive advantage to the company
in every possible manner. Owner of the company will take each and every decision on the basis
of market analysis. Apart from this, with the business expansion more staff members will be
appointed so that it will become easy to meet with the requirement of pet care owners. Different
individuals will be appointed in various ideas such as dog care, cat care etc. This will directly
lead to business success and overall growth in the market. Apart from this, satisfaction level of
target market can be enhanced through this which is also one of the main motive of business.
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CRITICAL RISKS AND ISSUES
Every new business possess some kind of risk that are to be bear by the business holder,
however it is required to consider and overcome all the risks which can influence business
productivity. In respect to the introduction of pet care business, different challenges will be faced
by the company. The existing market competition is the major risk that is going to be faced by
new pet business. Within UK there are many business owners who are offering same type of
services hence, the company might face the risk of low client turnover in initial stages. However,
the risk can be reduced by offering unique services as compare to the competitors. On the other
side, limited availability of finance is considered as another risk which is to be faced by a new
start (Bessant, 2011). The new business is offering various updated and technological services,
however, the cost associated with them and the technological failure are also another type of
issues that can arise in the future. The business might face difficult in getting proper resources
for successfully conducting new business such as financial, human, physical etc. however,
effective management of such resources can be an issue associated with the business. The
business must find people who can take responsibility to look after pets with a emotional care
and it might be difficult to find and involves training cost.
FINANCIAL PROSPECTS
Financial resources are the major requirement for successfully starting up a new business
as lack of proper financial resources can have unfavorable impact on new pet business. For the
present business, owner will invest amount of £60,000. Along with this amount of £20,000 will
be invested in the form of personal capital and rest £40,000 will be acquired from bank loan. The
amount invested in the business will be used for recovering the major expenses and generating
revenues.
PROPOSED FUNDING PLANS
With the motive to operate successfully it is necessary for business to obtain finance from
different sources. Considering the present business, large amount of investment is required so in
this case financial source such as bank loan will be considered. Business will obtain loan from
financial institutions in the market and some amount of owner’s capital will also be used. These
two sources will strengthen financial base of the enterprise where each and every operation can
be carried out in appropriate manner. Apart from this, business will indulge into proper financial
planning so that situation associated with inadequacy of finance may not arise in near future. But
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on the other hand, it will enhance major expenses of the business as interest has to be paid for the
amount obtained and this will be unfavorable for company. These two sources will assist
business in carrying out large number of operations as per plan and business can satisfy need of
the pet care owners. Apart from this, when business will successfully operate in the market then
other sources will be used such as retained earning etc. Therefore, in this way wide financial
prospects are present with new company.
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REFERENCES
Books and Journals
Baron, R., 2012. Entrepreneurship: An Evidence-based Guide. Edward Elgar Publishing.
Barringer, B. and Ireland, D., 2012. Entrepreneurship: Successfully Launching New Ventures 4th
Ed. Prentice Hall.
Bessant, J. R., 2011. Innovation and Entrepreneurship. 2nd Ed. Wiley.
Bridge, R., 2010. How I Made It: 40 Successful Entrepreneurs Reveal How They Made
Millions.Kogan Page.
Bridge, R., 2012. My Big Idea: 30 Successful Entrepreneurs Reveal How They Found
Inspiration.Kogan Page.
Kuratko, D., 2012. Entreprenuership: Theory and Process, Practice. Cengage Learning.
Pahl, N, and Richter, A., 2009. SWOT Analysis – Idea, Methodology and A Practical Approach.
GRIN Verlag.
Stokes, D, and et. al., 2010. Entreprenuership. Cengage Learning EMEA.
Online
Brough, C., 2014. Pet businesses will prosper: Industry trends for 2014 and beyond. [Online].
Accessed through
<http://www.multibriefs.com/briefs/exclusive/pet_businesses_will_prosper.html#.VwygJZx9
7IU>. [Accessed on 12th April 2016].
Pets at Home profits soar as vet services and grooming demand rise., 2013. [Online]. Accessed
through <http://www.theguardian.com/lifeandstyle/2015/jun/04/pets-at-home-profits-soar>.
[Accessed on 12th April 2016].
THE UK PET INDUSTRY – IT’S MORE IMPORTANT THAN EVER., 2014. [Online]. Accessed
through <http://www.petbusinessworld.co.uk/uk-pet-industry>. [Accessed on 12th April
2016].
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