Detailed Business Model and Feasibility Analysis of Safe Environment

This report introduces 'Safe Environment', a for-profit waste management business venture in New South Wales, Australia, aimed at minimizing waste and improving environmental conditions. The report details the business model canvas, outlining key partners like municipalities and organic farms, key activities such as waste collection and recycling, and the value proposition of providing cost-effective waste management solutions. It identifies customer segments including the mass population, manufacturing firms, and government entities. The analysis covers revenue streams, cost structure, and a thorough feasibility assessment encompassing market, technical, human, and financial aspects, concluding that the business is viable and addresses a critical environmental need. Desklib provides access to this and other solved assignments for students.

Running Head: ENTREPRENEURSHIP 1
Entrepreneurship: Safe Environment

ENTREPRENEURSHIP 2
Executive Summary
In today’s business environment, introduction of new and innovative business can affect the
growth and success of existing businesses. To introduce a new business, entrepreneurs need to
be very creative and innovative so that they can operate their business successfully. The major
objective of this report is to introduce a new business of waste management and minimization
and the organization will be named as “Safe Environment”. This organization will be established
in New South Wales State of Australia as the percentage of wastage is increasing every year.
This is the major reason that company is introducing this business. This includes the business
report that defines different blocks of business model canvas for this firm like key resources, key
activities, value proposition, and key partners, cost structure, revenue streams etc. In the end
section, feasibility analysis of the business is conducted to analyze different resources.

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Table of Contents
Introduction.................................................................................................................................................4
New Business Venture and Services............................................................................................................4
Business Model Canvas...............................................................................................................................5
Customer Segment..................................................................................................................................7
Value Proposition....................................................................................................................................7
Customer Relationships...........................................................................................................................7
Channels..................................................................................................................................................7
Key Activities...........................................................................................................................................8
Key Resources..........................................................................................................................................8
Key Partners............................................................................................................................................8
Revenue Streams.....................................................................................................................................8
Cost Structure..........................................................................................................................................8
Feasibility Analysis.......................................................................................................................................9
Market Feasibility....................................................................................................................................9
Technical Feasibility.................................................................................................................................9
Human Feasibility....................................................................................................................................9
Financial Feasibility................................................................................................................................10
Conclusion.................................................................................................................................................11
References.................................................................................................................................................12

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Introduction
Entrepreneurship is a practice that shows the willingness and capacity of an individual to develop
and manage a business undertaking along with its risks so that it can make a significant profit.
An example of entrepreneurship is to start a new business that is innovative and unique from
existing business (Drucker, 2014). To produce profits, an entrepreneur combines labor, land,
capital and natural resources. In today’s competitive business world, entrepreneurial spirit is
featured by risk taking and innovation. There are some innovative businesses which can be an
important part of country’s ability and they can change the life of people and environment in
global environment.
Considering this fact, this report is focused on introducing a for-profit business of waste
management that will be collecting, recycling/composting the market waste from municipality
waste processing plant and factory emissions to use as a consumer good. The business will be
named as “Safe Environment” which will aim to improve the life of people, environment and
natural resources. This report describes the business model canvas for this new and innovative
business idea that will be established in Australia. At the end, it conducts the feasibility analysis
of Safe Environment’s business.
New Business Venture and Services
Australia is one of the richest nations all over the world still this country is losing the recycling
race and it is ranked on 17th among OECD countries. In the country, waste generation has
increased considerably by 25% between 2006-2006 and 2016-17. Australian population is
generating more waste at 2.2 tonnes of waste per person per year. Wastage is the most quickly
increasing economic and environmental as per the report of ABS (Department of the
Environment and Energy, 2016). The wastage in the country includes metal, industrial waste,
food, paper, plastic etc. In this way, it is the best and innovative business idea to introduce in
Australia so that it can assist country’s government and society.

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Figure 1: Waste Generation of different OECD nations
(Source: Department of the Environment and Energy, 2016)
Safe Environment will be established to minimize different types of wastage in Australia. The
organization will be set up in New South Wales as the rate of wastage is more than other states in
country. This organization will work as a social enterprise that will work for the environment and
society and it will generate significant profits by charging a reasonable price. This fees will be
paid by the municipalities and related factories (Australian Bureau of Statistics, 2018). This new
business will give municipalities a cost effective and feasible alternative to landfilling wastage.
This organization will create an effective value proposition that will develop a positive
perception in the mind of society people. In order to provide these services, Safe Environment
will adopt effective tactics and strategies that will help the company to minimize the wastage and
make changed in the life of people and environment.
Business Model Canvas
Business Model Canvas is a startup and strategic management template that is used to develop
new and document existing business models. It helps the new business to produce more revenues
and profits in the particular industry (Boyd, et al, 2017). Business model canvas of a business
includes different activities and processes by which a new startup develops and captures the
value by establishing an operational communication among different ingredients of new business
venture. Business Model canvas for Safe Environment is drawn in the below table:
Key Partners
 Municipalities in
Key Activities
 Creating awareness
Value
Proposition
Customer
Relationships
Customer
Segments

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New South
Wales
 Manufacturing
firms in the areas
 Green Markets
 Organic Farms
 Government
 Domestic firms
and institutions
 Recycling units
towards waste
minimization
 Promoting
environmental
education
 Creating better
relationships with
customers and
firms
 Collection of waste
 Channelizing
recycling waste
materials to
recycling units
 Safeguarding the
life of people and
natural resources of
Australian
environment
(Garlapati, 2016)
 Offering
regular
collection of
wastage
 Recycling the
wastage to
consumer
goods
 Reduce the
waste
management
costs
 Enhance
customer by
acquiring the
customers
who care
about the
environment
via awareness
and branding.
 Use of
innovative
and modern
technology in
collection and
recycling
process
 Adoption of
best
environmental
 Long term
relationship
with
customers
 Waste
counselling
to people
and
manufacturi
ng firms.
 Measuremen
t of
percentage
waste
minimizatio
n and cost
reduction.
 Ensuring the
people to
improve
their lives
 Ensuring the
people for
improving
the lives of
people
 Population in
New South
Wales
 Manufacturi
ng firms and
factories
 Environment
concerned
people
 Government
 Farmers
Key Resources
 Good network with
manufacturing firms
and municipalities
 Hard working team
Channels
 Waste Collectors
 Branding and
awareness
campaigns

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 Financing
 Hardworking
volunteers
 Waste collection
trucks and bicycles
 Support from
municipality
 Land to segregate the
waste material
practices and
strategies.
 Web-based
recyclable waste
collection platform
like website and
mobile app.
 Events to aware
the people and
firms.
Cost Structure
 Salaries to its staff and volunteers
 Cost of logistics to collect the waste
materials
 Costs of promotion and awareness
campaigns
 Spending on communication with
manufacturing firms and others
 Development and maintenance of app and
website.
Revenue Streams
 Monthly fees of waste collection from municipalities and
factories
 Profits and income from recyclable waste
 Selling of recycled products
 Funds from government
 Revenue generation from customer segment (Lehmann,
and Joseph, 2015)
Customer Segment
In business model canvas, it is one of the most significant blocks that are used to develop its
customer base. For Safe Environment, the company is targeting the mass population of New
South Wales, manufacturing firms and related factories, Government, environment concerned
people, municipalities etc. The organization is collecting the garbage and wastage from
municipality waste processing plant (DaSilva and Trkman, 2014). By this business idea, the firm
is targeting to make the Australia population and businesses free from wastage and population.

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Value Proposition
The value proposition of the company will be famous in the nation because it will be operating
the business to resolve the social issue of waste minimization. The value proposition of Safe
Environment is focused on providing the collect of wastage, recycling the waste into consumer
goods and offering the waste management services on affordable prices. To attain its objectives
and mission, the company will develop effective strategies and environment practices. It will
encourage the people to involve in minimizing the wastage and protecting the environment.
Customer Relationships
For this business, it is essential to develop effective relationships with the targeted customers.
Safe Environment will make the people sure that its unique and innovative business will make
their life good and easier. It will provide waste management counseling to the people and
manufacturing firms so that they can manage their factory emission (Ngoc & Schbitzer, 2009).
Additionally, it will conduct campaigns to make personal contact with the targeted customers.
Channels
By using different channels, Safe Environment will communicate with the customers and offer
its services. There will be some people who will go to collect the wastage and garbage from
municipality processing and factories. It will conduct different awareness and branding
awareness campaigns (Brunner & Rechberger, 2015). In addition to this, it will create a website
and application to provide the recyclable waste collection services.
Key Activities
Key activities of Safe Environment include developing awareness towards waste minimization
and promoting environmental protection in Australia. This business aims to collect the waste and
recycle them in consumer goods. The company is introducing this business in Australia so that it
can protect the life of people and environment. It will be able to generate the revenues by
providing these services and attaining its objectives (West, Ford & Ibrahim, 2015).
Key Resources
The primary resources of Safe Environment are its volunteers and waste collectors who play an
important role in this business. Moreover, other resources are such as funds, support from
municipality, land to segregate the waste material, waste collection trucks and bicycles etc. The
company will be developing good network with the government and municipalities.

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Key Partners
Key partners of Safe Environment are municipalities in New South Wales, green markets,
organic farms, government, manufacturing firms in the area, recycling units and domestic firms
and institutions. These are the key partners of Safe Environment with whom the company will
develop partnerships for providing its services in Australia (Kirzner, 2015). It will assist to
minimize the issue of waste emission.
Revenue Streams
Through revenue streams, the company will be able to generate the revenues and profits. At Safe
Environment, the revenue will be generated by collecting the monthly fees of the waste
collection, income and profits from recyclable wastage, selling or recycled products and revenue
from targeted customers. The revenue stream is wide for this business so it will be profitable for
Safe Environment to establish this business in Australian state.
Cost Structure
Cost structure of Safe Environment includes salaries and compensation to the employees, costs
of logistics, cost of advertising and expenses on communication with manufacturing firms and
others. In addition to this, this organization will spend an amount on development and
maintenance of app and website (Thi, Kumar & Lin, 2015).
Feasibility Analysis
Feasibility analysis is a vital tool which is used by business to evaluate the risks and benefits that
is linked with new business introduction (Ye, 2015). There are different types of feasibility
analysis for Safe Environment which is stated below:
Market Feasibility
Market feasibility is the process to analyze and determine the market conditions in the country.
In the case of new business venture, it plays a vital role to its growth. Under this analysis, Safe
Environment will evaluate the conditions and trends in the market and environment (Martinez-
Sanchez, Kromann and Astrup, 2015). As mentioned above, the percentage of wastage is higher
among OCED nations so this business is profitable to establish in Australian market. The firm
will be offering its waste collection services considering the increased wastage in rural areas. It

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will consider whether there are some other companies which are offering the similar services in
New South Wales State.
Technical Feasibility
Technical feasibility analysis is the analysis that is conducted on the basis of an outline that
includes different needs of waste management system in the country. It will evaluate that
company has the technical capabilities to complete the activities on time. Same Environment will
develop a system by which it will offer its waste collecting services to the targeted customers
(Kinnaman, 2017). It will use updated technologies to collect the wastages and to recycle it in
consumer goods. In addition to this, logistic services will be used effectively. It will analyze
different technical needs of business like website, mobile application, waste collection
techniques, data sources etc.
Human Feasibility
Human resource feasibility has an important role as it is a primary resource for the business of
Safe Environment. Safe Environment is planning to offer waste collection and management
services to Australian population. The company will hire the staff and volunteers who are
concerned towards social mission and society. Under this human feasibility analysis, the
organization will ensure that its human resources are making efforts to make the environment
safe and pollution free. For this, the company will recruit the less educated individuals in
Australia and develop employment opportunities for them. It will provide better salaries to its
employees so that they can retain them (Caliendo, et al, 2015). Thus, analyzing the human
feasibility will assess the competencies and skills of management.
Financial Feasibility
Financial feasibility of a new business can be assessed looking at different information of
company like profitability, fund generation, project costs and investment made by the company
in starting phase. Safe Environment needs to focus on different costs and expenses which will
occur in introduction phase. It will set a start-up budget by including different costs and
expenses. It will consult pricing policies with the partners and suppliers (Martinez-Sanchez,
Kromann and Astrup, 2015). The firm will use different technologies and techniques which will
assist the organization to provide the services effectively. The start-up budget for Safe
Environment is given below:

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Start-up Requirements
Expenses Amount
Capital Asset Purchase
Employees’ salaries
Promotion
Website Development
Rent
Total Start-up Expenses
$100000
$15000
$1500
$1200
$1600
$119,300
Start-up Assets
Cash
Long term Assets
Current Assets
$70000
$0
$0
Total Start-up Requirements $211,300
Conclusion
From the above analysis, it can be concluded that an entrepreneur needs to be very innovative
and creative while introducing a new business. He/she needs to consider all the related factors
and aspects. These factors assist the company to establish business successfully. The above
report consists of all the important aspects and components in the form of business model canvas
which are very important for the growth and success of business. By this business, Safe
Environment will be able to minimize the wastage in Australia and its states. At the end,
feasibility analysis of the company is conducted in context of different resources.

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References
Australian Bureau of Statistics, 2018, Total Waste Generated, Available from
http://www.abs.gov.au/ausstats/abs@.nsf/Lookup/by%20Subject/1370.0~2010~Chapter~Total
%20waste%20(6.6.2). [Accessed on 27 May 2018].
Boyd, B., Henning, N., Reyna, E., Wang, D., Welch, M. and Hoffman, A.J., 2017. Hybrid
organizations: New business models for environmental leadership. UK: Routledge.
Brunner, P. H., and Rechberger, H., 2015, Waste to energy–key element for sustainable waste
management. Waste Management, 37, 3-12.
Caliendo, M., Hogenacker, J., Künn, S. and Wießner, F., 2015. Subsidized start-ups out of
unemployment: a comparison to regular business start-ups. Small Business Economics, 45(1),
pp.165-190.
DaSilva, C.M. and Trkman, P., 2014. Business model: What it is and what it is not. Long range
planning, 47(6), pp.379-389.
Drucker, P., 2014. Innovation and entrepreneurship. UK: Routledge.
Department of the Environment and Energy, 2016, Australian National Waste Report 2016,
Available from https://www.environment.gov.au/system/files/resources/d075c9bc-45b3-4ac0-
a8f2-6494c7d1fa0d/files/national-waste-report-2016.pdf. [Accessed on 27 May 2018].
Garlapati, V.K., 2016. E-waste in India and developed countries: Management, recycling,
business and biotechnological initiatives. Renewable and Sustainable Energy Reviews, 54,
pp.874-881.
Kinnaman, T.C., 2017. The economics of residential solid waste management. UK: Routledge.
Kirzner, I.M., 2015. Competition and entrepreneurship. University of Chicago press.
Lehmann, J. and Joseph, S., 2015. Biochar for environmental management: science, technology
and implementation. UK: Routledge.

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Martinez-Sanchez, V., Kromann, M.A. and Astrup, T.F., 2015. Life cycle costing of waste
management systems: Overview, calculation principles and case studies. Waste management, 36,
pp.343-355.
Ngoc, U.N. & Schbitzer, H., 2009, Sustainable solutions for solid waste management in
Southeast Asian countries, Science Direct Journal.
Thi, N. B. D., Kumar, G., & Lin, C. Y., 2015, An overview of food waste management in
developing countries: current status and future perspective. Journal of environmental
management, 157, 220-229.
West, D. C., Ford, J., & Ibrahim, E., 2015, Strategic marketing: creating competitive advantage.
Oxford University Press, USA.
Ye, C., 2015. Feasibility analysis of e-textbook and e-reader adoption at a business school:
Perspective from information systems students. Academy of Educational Leadership
Journal, 19(3), p.345.

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