Business Report: PINK CHAIRS Café, Bury, UK - Analysis

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This report provides a comprehensive analysis of the PINK CHAIRS café business, focusing on its foundation and development. The introduction highlights the importance of the business sector for economic growth and introduces the café concept, emphasizing its unique selling points such as discounts for women and online delivery. Task 1 delves into the business idea, location, and competitive advantages, including competitor analysis and strategies to attract customers. Task 2 presents a PESTLE analysis, evaluating the political, economic, social, technological, legal, and environmental factors affecting the business. Task 3 outlines the marketing objectives, strategies, and marketing mix, including the launch event, budget, and target market. The report concludes by summarizing the key findings and recommendations for the café's success, emphasizing the importance of quality, affordability, and effective marketing.
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FOUNDATION OF
BUSINESS
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Table of Contents
INTRODUCTION...........................................................................................................................................3
TASK 1 (Part A).............................................................................................................................................3
Part B...........................................................................................................................................................4
TASK 2..........................................................................................................................................................4
TASK 3..........................................................................................................................................................6
Part A.......................................................................................................................................................6
Part B.......................................................................................................................................................6
TASK 4..........................................................................................................................................................7
Marketing Objective................................................................................................................................7
CONCIUSION................................................................................................................................................8
REFERENCES................................................................................................................................................9
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INTRODUCTION
Whole economic growth of a country is affected by growth in business sector of that
country. Business generate employment in country, brings foreign exchange through export and
opportunities to new ideas. Business is an idea to provide some goods or service to public at
large and supported by numbers of employees to make it happen. Recent trend of moving out to
café is increasing very fast and to enjoy benefit of this a cafe named as PINK CHAIRS is
considered as growing business. Under this project we will discuss about business idea,
objectives of business, PESTLE analysis of business idea, marketing strategies and budgets for
promotions, marketing mix of business to make it successful (Mulder, 2012).
TASK 1 (Part A)
Our business is related to food sector, which basically is a café to provide ready food
services. Location for this café is in Bury, United Kingdom as quantity of cafés is not that much
there. This business is to provide special discounts to women and this is a very new idea to
attract large consumer group of women’s. Also men are who moves in there with a girl will also
gets discounts. Café PINK CHARES will have its outlet in London also so that large consumer
group can enjoy testy food. Operating through stores and also online delivery free up to 8 kms
will make it more reachable for consumers. A county of growing youth will always turns
beneficial for businesses like cafes. Food business is considered as one good idea because as far
as life exists humans will be continuous to consume food. Quality food at reasonable and
affordable price will always be appreciated and attracts more and more consumers.
Many cafes are already operated throughout the country and serving large consumer
group but new addition of PINK CHAIRS will be a tough competition for them. Business of cafe
always attracts more consumers if ambience of café provides some positivity to them. To
compete best with competitors quality of service must be good but price charged must be little
lesser with them. This can be done by employing staff which is highly efficient but looking for
opportunity to earn. Staff who feels thankful to provide them a job this will work hard for
business to make it successful (Weske, 2012).
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Cafes like AT HOME, BISCUTES AND CHOCOLATES are considered as our
competitors because they are operating from long years back and already had attracted large
consumer groups. This is a challenge for every new business but to overcome this issue discount
coupons, surprise gifts, special discounts on birthdays etc. will be given. To attract consumers of
every age group their needs to be different elements of surprise for all of them. More entertaining
staff, reachable location, special privilege to women’s, affordable prices makes PINK CHAIRS
to be considered as a growing business.
Part B
Objectives are aspirations to achieve and maintain as business run and grow. In business
planning every aspect is considered and set of objectives is created and work towards their
achievement is done. Objectives of café business are-
Profitability- To make it easy for every business to survive in long run profits are very
important. To attain profitability two ways are considered one is to reduce cost and work
on same level or to increase sales by more promotions. Profitability means revenue is
more than its cost.
Customer satisfaction- To make good consumer services which leads to satisfied clients
and helps to retain consumers. Also through mouth publicity by satisfied new consumers
also gets attracted and growth in business is attained (Zikmund and et. Al., 2013).
Employee retention- To recruit employees on recurrent basis leads to increase in cost
which a new business cannot bear. A satisfied employee will work more efficiently and
always tries to work for same company for long time. Saving in cost will be achieved.
TASK 2
PESTLE analysis is a strategic analytical tool which is used to analyze impact of external
issues on business. The acronym PESTLE has six factors which are political, economic, social,
technological, legal, and environmental. A whole analysis describes how all these factors affect
existence of business.
Political- Pestle analysis of political factors identifies impact of government policies on
business. Regional integration is a current trend and external factors provide an
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opportunity to expand globally. Infrastructure created by government provides easy
access to new markets. Country with more political stability will attracts more business.
Economic- Economic model of a country signifies regarding changes in economic
condition of a business. Economic factors needed to be considered for business are rate of
growth in country, employments rates, labour cost. High economic growth and low
labour cost in an economy attracts new business (Wakker, 2013).
Social- Social conditions reflects trend that is followed by consumer group. Business of
café must considers factors like growing coffee culture, growing middle class families,
culture of exploring new places. All these positive factors will attract food business to
grow and expand.
Technological- In today’s world of growing use of technology made it very easy for
every business to make public appearance at large. Rising in technology make easy
availability of services even at door steps of consumer by home delivery. Highly
technical machines used to make some different coffees and also to decorate it which
makes it more marketable. A new business will always consider a country which is more
into technology as chances of being successful will be high.
Environmental- Changing environment have effect on every business and PESTEL
analysis helps to understand this changing environment. Reflects about sustainability of
business, growth opportunities of business. Establishing business in Countries which
supports environmentally friendly products then this must be considered and followed to
attract more consumers. Before establishing a business in a country it is necessary to
know that a product is as per environmental condition of that country.
Legal- Establishing a new business requires to follow laws and regulations of that
establishing country. Product safety regulations, increasing employment regulations, new
product registration requirements. Country with more complex legal system restricts
many business ideas to really transform into business. As every business wants to run
with less legal complications. A legal system also increases cost to business.
Analysis of all these factors helps a business to make a fair decision regarding location in
which a business should be established. Profits in long run and sustainable growth help a
business to really grow. Analysis of all factors brings all possibilities of uncertain future in
present and decisions must be taken after considering all these factors. Ignorance of any factor
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can brings a business in a position where existence of business is not possible as it puts all efforts
down which are taken to bring business into existence and incur a unbearable loss. So it is
advisable to have PESTEL analysis and through this analysis business of café PINK CHARES
is recommended to establish in UK.
TASK 3
Part A
Launching of a café is done with gathering of hundreds of people at location of PINK
CHAIRS in evening from 6 pm onwards as they are the one who are ultimate consumers.
Invitation to this launch party will be open to public at large by purchasing a voucher which will
only be a conformation about total number of public in attendance to the event. To sale any
product its introduction to consumers is necessary and this must have a graceful impact on public
at large to attract them. Objective of consumer satisfaction is possible when a quality product is
served to them. When public at large will be in attendance to launching event then quality of
food can be judged with reaction of public (Rhee, 2012). Name of a chef who is famous and is
working with PINK CHAIRS will also helps to gain publicity as consumers will be excited about
delicious food. To attract consumers discount vouchers and free complementary food will be
served.
Inviting public at large will create a consumer group and mouth publicity is one of the
biggest publicity one can do. Consumers who are in attendance of the event when served well
then a positive image will create that will attract more consumers. Cost which is incurred for
event and marketing will be reimbursed in future when sales got increase due to different
marketing strategies. As public at large is quite satisfied with services and food and mouth
publicity will create an impact on sales.
Part B
BUDGET FOR PROMOTIONS
PARTICULARS
AMOUN
T
COST OF FREE VOUCHNERS 5000
COST OF COMPLEMENTORY 3500
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FOOD
COST OF DECORATIONS 1000
COST OF PROMOTIONS 1800
TOTAL COST 11300
Vouchers serve free meal to consumers those who are in attendance to the event as 200
people were in attendance of the event and averaged cost per person is 25.
Complementary food is served to consumer on next visit if it within one month and on an
average 100 people is expected to visit again and cost of serving complementary food will be
35 per person.
Decorations to make venue more attractive and comfortable for public at large are done. A
big screen on which all products with their prices and information about free vouchers is
demonstrated (Bendell, 2017).
Cost of promotions includes advertisements, pamphlets, roadshows and banners.
All these cost will be incurred to make wide and impactful public appearance. First
impression is always have impact on mind of everyone and this event of launching should be
done in a grand manner.
TASK 4
Marketing Objective
As a new business house our intention to be established as a business house which
provides quality products? As business objective of being serving public at large products are
provided at a reasonable price to some premium products. By serving consumers quality product
at reasonable price will convey to consumers a brand image which puts consumers need as first.
As an objective to serve public at large products will be of mass marking so large consumer
group can cover.
Target Markets
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Main targets for our cafe is women’s but also with that it is also considered that
consumers will not only be women’s in future. Young generation is one who is primary
consumer to PINK CHAIRS and satisfaction of them will be prime concern. As young
generation is one who always intended to rooming around and experience new places. Giving
special privilege to women will create difference from competitors. Women’s are more attracted
to places where special advantages are provided to them. Positive image will be created for cafe.
Marketing Strategies
For targeting young generation attractive offers like discount vouchers, complementary
meal will be provided. Special discount to women’s will be given, couples celebrating
anniversary will be given special coffee free as a token of love. This special strategies will be
communicated by online promotions on social media as young generation is very much active on
it. Online advertising and promotion through quality product in a wide range of choice will
attract more consumers (Brown and Constantz, 2017). Marketing mix also includes quality as
important factor as more people are attracted for quality instead of price.
Marketing Mix
Four P’s of marketing strategy is described as how they help to make a product
marketable. First P is price which specifies that a product which is available at affordable price
to all will always have large consumer group. Pricing must always be done by considering
targeted consumer group. Second P is for product which specifies that a quality product will
always be preferred by consumers. And variety in products will influence each consumer group
to buy product. Next P is for place as businesses like food is highly affected by its location.
Location of a cafe must be reachable to consumers and also serving food at door step of
consumers by online orders. This makes business more competitive. Next P is for promotion as
promotions plays a very important role in success and failure of business. Promoting in right
direction will leads to increase in sales and ultimately profits will be high.
CONCIUSION
From the above project report, it has been concluded that foundation can only be get
success in case a well organize ideas is been get into action. It can help the company or
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individual to get maximum results in near future time. For this purpose, marketing condition and
other important aspects are required to be analyses before entering into the market. This well
help in attaining overall gains and competitive advantage over other companies.
REFERENCES
Books and Journals:
Mulder, M., 2012. The daily power game (Vol. 6). Springer Science & Business Media.
Weske, M., 2012. Business process management architectures. In Business Process
Management (pp. 333-371). Springer, Berlin, Heidelberg.
Zikmund, W.G. and et. Al., 2013. Business research methods. Cengage Learning.
Wakker, P. P., 2013. Additive representations of preferences: A new foundation of decision
analysis (Vol. 4). Springer Science & Business Media.
Rhee, R. J., 2012. The Tort Foundation of Duty of Care and Business Judgment. Notre Dame L.
Rev. 88. p.1139.
Bendell, J., 2017. Terms for endearment: Business, NGOs and sustainable development.
Routledge.
Brown, P. W. and Constantz, B., 2017. Hydroxyapatite and related materials. CRC press.
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