Small Business Management: Delicious Sandwich Company UK Analysis

This report provides an analysis of the 'Delicious Sandwich Company', a hypothetical small sandwich business in the UK. It examines whether the business qualifies as a small business based on factors like initial capital and employee count, and provides a general background of the company, explaining its competitive strategies within the sector. A detailed business portfolio is drafted, incorporating relevant business theories and literature, and sound conclusions and recommendations are offered for the business's growth and implications within its market. The report also covers marketing strategies, location analysis, and sales forecasting to understand the potential of the business. The company aims to offer high-quality, healthy sandwiches at moderate prices, with a focus on fresh, locally sourced ingredients. The ultimate goal is to establish a strong market presence and potentially expand operations in the future. Desklib offers a platform for students to access similar solved assignments and past papers.

Small Business Management
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Table of Contents
Introduction......................................................................................................................................3
1. Why your chosen business may or may not qualify as a small business.....................................3
2. Provide the general background of your chosen business and explain how it competes within
its sector...........................................................................................................................................6
3. Draft a detailed business portfolio on the company, based on a rigorous, comprehensive and
detailed knowledge base of theory/literature - from at least three topics covered in class..............8
4. Draw sound, reasoned conclusions, make recommendations and/or discuss the implications
for the business within its sector....................................................................................................10
Conclusion.....................................................................................................................................12
Reference.......................................................................................................................................13
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Introduction
The rise of the small business has been considerable in the modern age of globalization, owing to
the significant contribution of the small business units towards the nations’ economies and
industry. This assignment is based on the management of a small business. Running business
normally involves time and effort. A small business involves many multiple activities in the
organization. A small business differs from a large one. An owner in a small business has to
manage many multiple activities to run the business and achieve organizational goals (Storey,
2016). In this assignment an example of a sandwich company named ‘Delicious Sandwich
Company’ is assumed to be opened in UK. The company will sell good quality sandwich at a
moderate price in various corners of UK. The background and the detailed portfolio of the
company has been given. Various business theories have been discussed and some points have
been recommended for the promotion of the business. The port folio of the business with all its
features and possibilities have been discussed in this chapter for a solid understanding of the
learner. The learner will have a detailed idea of managing of small business.
1. Why your chosen business may or may not qualify as a small business.
The company is not a small industry because the Chosen business is a Delicious Sandwich
Company who will provide good quality sandwich made from good & fresh bread to its
customers. The sandwich will be made from the locally grown fresh crops from the farm. The
crops will be prepared on site, which means that customers get the best at what they deserve. We
estimated an annual income of 12 million by the first year and so on. We really think by
providing good sandwiches and with the moderate price we can give the customers what they
really deserve i.e. with Quality. Our objective is to provide good quality of sandwich to
customers for a longtime. As the people at this present age are health conscious, healthy and
fresh sandwich will be provided to the customers. In addition, it has been decided that 50 pieces
of sandwich will be distributed regularly for the school buses. The long-term vision is to win
National Sandwich Tournament of the Year. The main purpose of the company is to provide pure
and healthy sandwich to the customers for a long time. There are many threats that are
surrounding the company like that the idea of a sandwich making company is a very new and
unique one that may drop due to popularization of the company. There is another threat that the
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company may not get the required funds for their expansion. There are many small shops that
sell sandwiches in the area and there are hard competition due to this fact. It needs to make best
sandwiches in the area so as to attract individuals to come and buy sandwiches and standout with
the others. The company needs to make sure that it provide the best quality sandwiches with the
reasonable to expand the business. The company will like to expand its business by opening two
or three shops in this current year so that they can expand the business in the next year. The
company will then think for appointment of CEO to decide new visions for the company so that
their expansion goes according to plan. On the other hand, if we cannot reach the expansion plan
prescribed then the business model called into question so this step may not take place as they
may crumble the business. Marketing industry is very important as it tell us what we need to do
to success. The company has to choose a good location where there are maximum people where
we can make a sandwich bar. The company needs to price its sandwiches reasonably, so the local
residents can buy it always. The company will research the items that are to be filled in the
sandwich so that they meet the expected expectation of the customers. When the company has
maximum customers under its fold then the company may try different types and flavors to add
to the sandwich and people can have a like on it. While choosing a location for the company
there must be an intense research of the specified location the area and its people alike. The
results of the research are that: Two places have been seen as a worthy place to start the
company. One is ready to buy and other is on lease. The other locations are too small, these
locations are much closer to highways, and there are sandwich shops nearby which will prove as
a healthy competition at the end. The other place, which is on leave, is the most expensive and
the place need complete makeover. The company then made research based on the specific area.
Taking into consideration, the company has decided that it will open three branches in the city.
One is near the Sainsbury Supermarket in London, other is near a school in the city of
Cambridge and the third one is near the store of Tesco in London.
All the Other Sandwiches are open all day
The research is done on the basis on the people who eats sandwiches and their preferences. The
items in the sandwiches are Bacon, Egg and Tomatoes etc., all in one or individually. Many
individuals prefer to get a cup of coffee with the sandwich. Seventy percentages of people have
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sandwiches that comprises of Bacon, Ham or Tuna. One type of People having these kinds of
sandwiches generally have soft drink, other prefer to have coffee to soft drink.
Afternoon customers are likely to buy sandwiches between 11 am to 2 pm and pay up to 2 pound
to 3.6 pounds.
UK sandwich market is now worth over 1.9 billion pounds. Over 70 percentage of the
population, buy sandwiches at least once a year. Where 60 percentages of these populations
consume eat at home during breakfast and the remaining at lunch. Sales forecast tells that that
for the first one month we have to sell 50 sandwiches for breakfast and 50 Sandwiches for lunch
which will exponentially grow overtime. All costs should be associated with the type of bread
and the ingredients that was in the sandwich.
After carefully analyzing these factors, we can conclude that Delicious Sandwich Company is a
small industry now but it can grow overtime if all the factors are kept in mind and can become
one of the defining company in this sector. Two main differences have been highlighted as
features of our company. The first one is that in our company location in different all the nearby
sandwich makers sell sandwich in the evening only. But ours will remain opened two times a day
and those are morning and evening. This will help the customers to get the products at the right
time in any place. Secondly, as our products will be produced from fresh food, the sandwich will
be hundred percent pure and healthy. The quality will be the unique one to the customers. 251
The main reason of considering my business as a small business for having an initial capital
under £10 million and the number of employee is 10. For some of the additional features, my
business will be considered small business and they are the following:
Small size: My business is of a small size. It is going to start with a very small capital and total
10 employees in the entire company (Goss, 2015). These features differ it from other large
businesses.
Autocratic management: My business is of a small size with an autocratic management. The
entire business will run according to my own plan and the decision will be taken according to my
own opinion (Wynarczyk et al., 2016).
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Relationship: As this is a small type of business, as an owner, it will be my responsibility to
keep contact with all the customers and make a relation with them for smooth business running.
Features: As a small business owner, it will be my responsibility to overview all the aspects of
the business – managing customers, purchasing raw materials, production, operations and supply
of the finished products of my company (Hatten, 2015).
Business tools: As a business owner, I have to maintain some business tools like applying some
business theories, advanced technologies and others.
Considerations: As a business manager and leader, it is my responsibility to consider all the
necessary facts with prudence for the promotion of business like dealing with the customers and
employees, taking necessary decisions at the right time at the right place and others. 472.
2. Provide the general background of your chosen business and explain how it competes
within its sector.
Background of my company: Delicious Sandwich Company is a UK based small sandwich
company that will serve sandwich in the cities of the United Kingdom. This small company has
opened three outlets for selling sandwich. The first is near the Tesco store in London, the second
is near a school in Cambridge city and the third one is near the supermarket of Sainsbury in
London. The initial capital of my company is under £10 million and the number of employees is
10 only. The company will initially work in the market of United Kingdom and then in the
international market.
There is a considerably change in the lunchtime of people overtime as noodles and soups etc ,
but no modern has quietly replaced the Sandwiches from the plates of the people , there are many
types of sandwiches in the market but the basic idea of it is the same . My Sandwich Company
deemed a fixed place in the market apart from competition from other companies. The sandwich
companies featured are growing very quickly, which gives the Delicious Company a very good
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platform to enter the sector with remarkable growth. Most franchise sees that the funding to a
Sandwich company is small when you see that all you have to do is set a Sandwich bar.
Location: The franchisor is solely responsible for the location or area of the store, as it need to
be in a place where maximum customers come. If the company wants to expand then my
company has to be strong financially. Another important aspect of this is staff of my company.
As the company has already engaged 10 staff initially, the company has to provide all their
facilities with good salary. The company, apart from collecting funds from banks and investors,
should be independent to run business from its own profit.
Marketing the company: The responsibility of the marketing team is to promote the sales
volume for a long term basis. The franchise of the company will try as their level best to
contribute to the promotion of business. As the new business is going to start, my management
has decided to make three marketing campaign in three business places of the United Kingdom.
These three marketing campaigns will help my company to build its initial market by
recognizing potential customers. One more marketing tool is that my company will resort to the
social media. Most of the people spend their times in social media. My company will advertise
its new business on the pages of some social media like Facebook, Twitter, Instagram and others.
The next step of marketing is that some sales executives will deliver sandwich door to door to
the customers. This will satisfy them and the business will be promoted. The final step of
marketing tactics of my company will be that a special flavor will be added to all sandwich for
the attraction of the customers
. The FSA (Food Standards Agency) can advice the company on all the food safety related
issues. Their booklet contain everything the company need to know regarding food safety and
making the company premises more hygienic for the customers. The company must check that
the employees working at the company should have proper guidance. The company should be
registered with the authorities as they may conduct inspections in the future A failed inspections
means that the company may be shut down, or the company’s license or customer’s health may
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get affected by eating your contaminated food. The company must keep its stock down just like
the prices to attract better growth in the market. As the customers are health aware the
sandwiches are mostly health aware, they are made by using low fat items. The company should
think above coffee and snack, as customers prefer a bread or cake to go with it. Starting a
business is more fruitful than buying an existing one the company not get the freedom to invent
and alter as in Starting company but in case of existing business the company need to sell the
same type of sandwiches and cannot do any alteration , as alteration means losing customers
It is probably certain that that overall, market is changing and it tends to grow more
exponentially grow in the near future. There will be a major competition within the sector; there
are three major drivers of future growth.
1. Availability: Twenty years ago there were only a few places where anyone could buy
sandwiches, nowadays, there are many outlets in various corners of a city where people get
sandwich. This proves an acute competitive market. . In a major city like London where there are
many sandwich outlets within a minute’s walk. This shows the competition that Sandwich
Company is facing nowadays.
2. A wide range of alternative: One thing is correct that the business of sandwich is facing an
acute competition in the market, which the customers can easily opt for. The competitor of the
Sandwich Company is not a snacks company but either a Burger or a pastry company.
The major problem that can happen with the sandwich industry is the food poisoning
outbreak. Therefore, BSA should check on daily basis that this kind of problem should not
happen. Making of Sandwiches should be just-in-time business .Sandwich should be served fresh
unlike many other companies who do not provide fresh food.
3. Draft a detailed business portfolio on the company, based on a rigorous, comprehensive
and detailed knowledge base of theory/literature - from at least three topics covered in
class.
Delicious Sandwich Company has targeted to grow its business 5% per three months. The sales
volume of the company has been targeted to be £80,000 initially. This proves the slow
development of the business as it is a small business. By the end of three years the sales figures
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of the company has been targeted £2,70,000 with a profit of £1,50,000. The company will do
business in the United Kingdom initially and then it will spread its business in the international
market. The company, for its development, will follow the two theories and they are discussed
below:
Six Sigma method: The Six sigma is a method through which my company will increase its
business capabilities and improve its business. It will increase the performance of the employees
and improve the profits of the organization. The employee morale, products and services will
increase and accordingly the productivity of the company will increase. The six sigma proves the
improved process and well control of the organizational resources (Anbari, 2018).
Customer Satisfaction: Through applying Six Sigma method, the quality of process and service
of the company will increase and thus, the customers will be satisfied (Akpolat , 2017).
Constant improvement: As this is a food business, it is dependent on the customers’ choice.
Hence ,the business of Delicious Sandwich Company needs constant improvement to survive in
the market.
Improvement of process through the team: There are several processes in the management of
my company. Through this step of Six Sigma method, the processes are to be improved through
the team working in process.
Changes based on fact: As Six sigma is a fact-based tool, Delicious Sandwich Company will
prevent defects over defect detection. It will drive ultimate customer satisfaction and will reduce
variation, waste and increase the flow of standardization by creating a competitive advantage.
The second method that will be followed by my company is the Total Quality Management
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Total Quality Management: The total quality management is a process through which a long-
term success is achieved by customer satisfaction (Ross, 2017). Through this TQM method, all
the members of my company will participate for the improvement of products, services and
organizational culture. The following are the steps in the TQM method:
Team: Through this method, there will be a good teamwork in my company leading to
productivity (Sallis, 2014).
Teamwork reward: The team members will be rewarded according to their performance and
thus, they will be motivated.
Training: The employees will be trained through proper training for the improvement of their
performance.
Employee measure quality: The employee performance will be evaluated for the organizational
development.
Strive for continuous development: Through this system, my company will strive consciously
for the development of the organization through sales, services to the customers and also the
organizational culture.
Value of the organization: Value of the organization is very important for an organizational
development. Through various theories and principles of business, Delicious Sandwich
Company will increase the value of the organization and thus uphold the image of the
organization. 195
4. Draw sound, reasoned conclusions, make recommendations and/or discuss the
implications for the business within its sector.
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Feedback is a very common and essential method in any type of organization and hence, it is
important in Delicious Sandwich Company also. The feedback can be both on the managerial
level and also on the customer level. On the managerial level, it is my responsibility to get
feedback from employees whether they are performing well or not. On the customer level, it is
necessary to get a feedback from customers whether are getting good product and service from
the company. The employees, after getting their performance, will be rewarded and motivated
for their better performance. The products will be developed after getting product and service
feedback. The following recommendations are suggested for the future development of my
company:
1.All the safety measures for the employees and customers should be taken in the business
premises so that the employees and customers can be protected from the risk of any danger and
can be compensated for accidental death and injury.
2. To provide service by the sandwich company to its customers & innovate new menus and
meals for the customers by understanding their needs.
3. To enhance the sale of sandwiches in traditional and nontraditional areas.
4. The association is a non-commercial organization that is run on behalf of FEAT (Food Events
& Things), FEAT is also involves in activities undertaken British Sandwich Food to go
Association.
Membership of this association is open to those who are involved in sandwich making industry
including companies, vendors, shop owners, retailers etc given that they maintain the minimum
standards given by the association.
In case of big companies and risky manufacturers, the association will send their own inspector
for inspection of facilities and manufacturing units and safety system of the company.
In case of small companies, the report send by the individual company of its safety features are
somewhat be sufficient.
5. Feedback from both the customers and employees will be taken for organizational
development.
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Conclusion
In conclusion, it can be said that small business cater to the economy of a country by supporting
to medium and big business. In a small business, the owner has to manage all the business
activities from top to bottom. In this assignment a company named’ Delicious Sandwich
Company’ is going to be opened in the United Kingdom. Various positive and negative aspects
of the business have been discussed here. The Six Sigma theory and the Total management
theory has been discussed here to handle the business. At last, some important recommendations
have been suggested for the development of the business.
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Reference
Akpolat, H., 2017. Six sigma in transactional and service environments. Routledge.
Anbari, F.T., 2018. Innovation, project management, and Six Sigma method. In Current topics in
Management (pp. 111-126). Routledge.
Goss, D., 2015. Small Business and Society (Routledge Revivals). Routledge
Hatten, T.S., 2015. Small business management: Entrepreneurship and beyond. Nelson
Education.
Ross, J.E., 2017. Total quality management: Text, cases, and readings. Routledge.
Sallis, E., 2014. Total quality management in education. Routledge.
Storey, D.J., 2016. Understanding the small business sector. Routledge.
Wynarczyk, P., Watson, R., Storey, D.J., Short, H. and Keasey, K., 2016. Managerial labour
markets in small and medium-sized enterprises. Routledge.
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