Report: Business Plan for Starting an Organic Food Company

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This report details the process of starting a small organic food business, focusing on the UK market. It outlines the business's vision and mission, aiming to deliver high-quality, healthy food options. The report covers objectives, methods to achieve them, and a detailed time-scale for project management, including goal setting, work delegation, and marketing strategies. It addresses problems faced by small businesses in the food industry, such as regulatory compliance and market competition, and provides background research on market trends. A marketing strategy emphasizing market penetration, local focus, and customer awareness is proposed. The report also includes an impact analysis and identifies key constraints, concluding with a summary of the business plan.
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How to start a small business
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Contents
INTRODUCTION...........................................................................................................................3
Method to achieve the objective.............................................................................................3
Time-scale..............................................................................................................................4
Background of the problem....................................................................................................5
Background search.................................................................................................................5
Marketing Strategy.................................................................................................................7
Impact Analysis......................................................................................................................8
Constraints..............................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12
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INTRODUCTION
Small Business is explained as an independent managed, operated and owned
organisation which is small or limited in size and their revenue depends on number of company
operations and industry size. In simple terms, small-business is a privately owned and operated
with relatively small turnover and staff numbers and it typically, seen as a constituting part of
specific commercial and economic-sector. The selected organisation for this report is Organic
Food and it explain about all task and they deliver organic and healthy food. From the
perspective of UK food industry, small business identified more opportunities to perform work in
an organised manner (Bagdoyan, 2019). Vision of organic food is to offer and deliver healthy
and good quality food. Mission of Organic food is to maximise the customer base and this helps
to perform work appropriately in small industry. The selected topic for this report is how to start
a small business and it helps an individual as well as organisation to manage work in an
organised manner. Moreover, this report highlights on detailed information related with expected
time-table of project. Problems in a detailed manner will also include in this report and in last,
marketing strategy will also focus in this report.
AIM
The aim of Organic Food is to deliver better food options by establishing specialised
organisation to defeat the hunger with healthy vitamins and nutrients.
OBJECTIVES
To manufacture good quality food which maximise nutrients and vitamins in a person
or individual.
To prepare and manage the food products according to the food policy for perform
work with safe products.
To generate regular access for offer good quality food to complete work in an active
and healthy manner.
Method to achieve the objective
With understand of all factors this is identified that all task which is performed by
management of Organic Food are completed in an organised manner (Banovic, Grebenar and
Pichler, 2015). On the other side, this is important to analyse about organic food perspectives and
all most each objective relate with food quality. So objectives are considered towards completion
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of work in a healthy manner and it define about all task that it helps in analyse area with more
efficiency. On the other side objectives are achieved through engage with organisation plan and
it helps for analyse different perspectives to improve the efficiency in a proper manner.
Moreover, Organic Food is performing their work at a large level and this helps management to
complete work with motive of deciding targets and objectives and induce them according to
management for performing all work in an efficient manner (Dangelico, Nastasi and Pisa, 2019).
ACTION PLAN, DISCIPLINED STAFF, GOAL SETTING and TIME-MANAGEMENT are
the important perspectives and it helps organisation to perform work according to decided
objectives.
Time-scale
Project Description of Work Start and End Date
Managing Goals The first perspective of Organic Food
is to decide all goals and objectives for
performing work and managing project
for a same project.
Start date to decide goal is 25-
06-2021 and end date is 30-
06-2021. One week is
appropriate for decide all
goals.
Accomplish of
Objectives
After deciding goals work is delegated
in smaller objectives so they are easily
adopted by management.
01-07-2021 is start and also
end date of project. It is
because this helps to start
work in minimum-period.
Decide of work
methods
One of the most important perspectives
is to define and engage all work areas.
This helps in completion of task
according to decided methods.
Start date to decide work
method is 02-07-2021 and end
date will be finish of project.
Monitor work
performance
It is crucial for an organisation to
manage all work in a respective
manner so in monitoring all work is
checked to complete them according to
objectives.
This is a constant process so
there is no regular period.
Monitoring date is same with
start of project and end date is
also last date of project.
Marketing Promotion and advertising perform an Start date of the project is 05-
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important role for marketing strategy
of organic food. Both print and digital
methods are used to perform work
properly.
07-2021 and end date is 12-
08-2021. It helps to introduce
products within local level.
Background of the problem
Small business is often identified as a vibrant and dynamic segment for the local or
national economy of the country. From the perspective of Organic Food, the primary driver of
economic growth is small business (de Vries, Veer and de Vries, 2018). But, it is complex or
difficult for management to perform business in small industry because of different guidelines
and rules. In simple terms, the major problem related with business is to follow all rules and
regulations related with business. FSA is the authorised unit of UK and they are responsible for
manage and organise all work in an appropriate manner which is related with food industry of
the UK. On the other side, there are different task performed by the business of food regulations
such as to check raw-material quality, analyse of food safety standard, managing organisation
work, etc. Food regulations are ensured by the management of Organic Food staff to check all
food manufacturing is done according to decided standards.
Background search
According to the viewpoint of Nils-Gerrit Wunsch, 2020 Small industry encompasses
about all activities which is related with a specific food services area. The current understanding
of market defines that all area which is related with small business segment is farming,
manufacturing units, poultry farm business, food production, etc. In the present scenario, there
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are different task performed by management and as per this all task are managed with decided
approaches with motive of implementing it an industry that provide wide scope and
opportunities. Food industry is identified as one of the small food production units and they are
always in demand. So new business will be established in the food industry and according to
current food consumption of United Kingdom region approximately 55% food organisation
better sales (Dressler and Paunović, 2019). Moreover, this helps small food houses to earn better
amount in the British Food Market. Food and Drink industry is UK’s largest manufacturing
sector and this helps to complete work by managing commitments towards sector performance.
From the perspective of Saipriya Iyer, 2020 one of the most important functions related
with business is to manage the work by managing task and out breaking them according to all
those factors that helps management to organise all work in a positive manner. Due to pandemic
conditions, all organisations face constant challenges and it also generate problems for Organic
food industry. FSA (Food Security Agency) of UK is performing work for ensure quality and
safety standard of food (Fernando, Mathath and Murshid, 2016). According to current market
conditions, a lot of problems are faced by the management and due to this food industry is largest
sector and it helps to manage work according to decided global economy.
UK creates exceptional food and drink factors and according to the current market scenario, this
is identified that UK exporters, international buyers, investors, etc. are major stakeholders. It
results the food culture, modernised and crafted according to the taste and imagination of buyer.
But, it is also generate complex factors and this is because all buyers trends related with food
market are dynamics. Food and Drink manufacturing is maximising their size with rapid speed
and according to this supply chain considered to gain market access in UK globe. High Standard
is identified as another problem and it explain that research create problem for thrive results
according to the UK globe region.
With a great many new food and drink items dispatched to showcase every year, UK based
makers are not hesitant to push the limits of food creation, and adjust to assorted crowds and
evolving tastes. From growing new advances that drag out food timeframe of realistic usability
to making new liberated from items to meet a developing business sector, UK-based
organizations capitalize on the widely acclaimed science and flourish in this inventive climate.
With understand the concept of Thomas, 2017 The expanding occurrences of food-related issues
have incited buyers to achieve fundamental changes in their eating routine and way of life,
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making them more wellbeing cognizant than any other time in recent memory (Goodman and
Hawkins, 2015). Naturally, the line of reasoning is redirected towards buying food sources
without added additives that may hamper one's wellbeing. The interest for items that don't
convey the 'solid' name then will undoubtedly lessen, and to remain at the top, the need to
dispose of fake constituents from items has gone to the front as one of the significant difficulties
looked by food and drink administrators.
One of the central points that have prompted expanded diabetes predominance is corpulence,
connected to a significant admission of sugar by means of handled food varieties and grains. This
acknowledgment has, since the last a large portion of 10 years, prompted shoppers avoiding
items containing fake sugars and other added additives and it create problem for individuals to
adopt unhealthy food.
Marketing Strategy
The term market entry strategy is explained as a process and planned distribution which
is used for delivering the products and services according to a new target market. Small business
is highly competitive so market strategy performs a crucial role for enter and sustain in a new
market. From perspective of creation, establishment and management contracts this is easy for
respective organisation for perform work in market and for this market strategy perform an
important role (Heiens, Pleshko and Ahmed, 2019). From the perspective of Organic Food,
Market Penetration strategy is explained as a method to enter successfully in the market. Market
Focus of the Organic Food is to retain in the areas and this explain about all those perspectives
which support local business for perform their work in more efficient manner. The current Food
Market of UK is highly competitive so some positive factors for marketing of Organic Food
through induce of Market Penetration methods are mention as follow:
Focuses on local market and existing customers- When an organisation perform their
work with in the area that is understand by them than it is easy to perform work with
more efficiency. Organic Food manages their task in the market of UK and this defines
about all task which helps in marketing of products according to decided perspectives.
Local market is easily understand by the management so products offered by
management match with their needs. It helps to gain competitive-advantage through
selecting and offering products that are healthy for individuals.
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Increase in awareness- Marketing communication is identified as one of the most
important perspectives to maximise and enhance market size of organisation. In the
context of Organic Food, the increase in awareness is done through manage all work in a
proper manner. This defines about all work perspectives such as to promote products
according to geographical region (Ismail and Kuivalainen, 2015). It also helps to segment
market because this help company for perform work in proper manner specifically,
through understand of consumer and market needs in an effective manner.
With the analyses of above perspective this is identified that local market and customer
awareness perform an important role. For understand customer need this is important to induce
market penetration strategy as this helps to perform work in an organised manner for make its
long term existence and sustainability in market.
Impact Analysis
Functions and operations of the food industry define about all tasks which are used to
complete the work in an efficient manner. With understand of current market scenario, this is
identified that internal and external environment both impact on the organisation. Moreover, the
current needs and wants of the employees also impacts on organisation and it last how society
impacts on the Organic Food will also mention as below:
ENVIRONMENT FACTOR- There are different factors exists outside the organisation and it
define this is important to undertake all those factors by which business is surrounded.
Government policies and regulations related with food packaging and it define about all areas
that help in managing work in a proper manner (Lefebvre, De Steur and Gellynck, 2015). VAT,
Service Tax, etc. are some factor that impact on organisation and they are beyond the control of
Organic Food. This define that it is complex to manage work in a proper manner.
ECONOMIC In the current scenario, all economic factors related with business are focused
towards completion of work in a profitable manner. Due to current pandemic conditions this is
challenging for UK to sustain the economic policy. It define that the current positions of business
reflected towards completion of work according to current economy factor. Change in the
disposable income is another factor and this results individual not spends their excessive income
to buy products. This is also beyond the Organic food and according to this management also
faces challenges to perform work in a proper manner.
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INTERNAL FACTORS- This factors generate challenges for management and all of them create
problems to manage work in a proper manner. From the perspective of Food organic it is
identified that internal influence relates with business policies and it govern operations
performed by business considered towards maximise of all those areas. Food and Beverage
business define that highly important factors helps to manage task in a well-portion manner as
this is used in managing task according to adoption of all those policies which is important to
work.
SOCIETY IMPACT- The current market scenario defines about the entire task that helps to
manage task according to decided events (McHugh and et. al., 2014). This govern that it is
important for Organic Food to engage themselves in the social events and it is because the events
promote operations of the organic food to manage all work in a proper manner. One of the
current scenario, related with business define that due to change in social trends this is important
for Organic Food to work according to them. This is because it is essential for business to
manage and offer products as per society demands as it increase or maximise the food demand.
Like, Covid-19 formulates pandemic conditions so most of the individuals are focused towards
consumer only those food items that is healthy. It also refers that Organic Food deal within the
healthy food only because this it is trend and also helps customers to perform work in proper
manner.
EMPLOYEE impact- With explore functions and operations of the UK food industry this is
identified that workforce perform an important role but this is difficult for employers to manage
workforce because employees belong to different cultures. This results that management of
Organic food need to implement policies that work universal for all persons (Mugridge and
Wang, 2018). Moreover, to undertake positive factors this is important for management to
motivate individual because this helps to complete task in an organised manner. Also, motivated
employees perform work in an accurate manner and this result to complete work according to
decided objectives.
According to the systems it is understand that all factors impacts on the business operations and
functions. Like, environment factors create problems to manage work due to change in
geographical conditions. Similarly, society also influence market it govern that if products not
match with their demand or they are not safe for society results there is decrease among sale of
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products. Employees also perform an important role but in simple if work is not divided equally
among them than there is delay in sale of products.
Constraints
ARRANGE OF FINANCE- An advance is a type of obligation caused by an individual or other
element. The bank—typically a company, monetary establishment, or government—progresses
an amount of cash to the borrower. Consequently, the borrower consents to a specific
arrangement of terms including any money charges, premium, reimbursement date, and different
conditions. At times, the moneylender may expect guarantee to get the credit and guarantee
reimbursement (Müller and et. al., 2020). In simple terms, Bank Loan is focused by management
to manage work in proper manner.
LOCATION- The "Organic Food" deal their items basically in the road of London by focusing
on just wellbeing cognizant individuals who need to get sound without losing taste of lousy
nourishment. It is worked close to Convent garden that is profoundly most active space of
London. Due to effect of COVID 19 low quality nourishment influences the existence of
individuals as it decreases human resistance ability to conquer this issue "Organic Food" think of
a thought of sound and dietary food with dessert at customer door step (Smith and Diggans,
2020). As London is where individuals are love food and yet centre on their wellbeing and diet to
remain better perspective for them.
GOVERNMENT APPROVAL- Organic food perform work through induce of better perspective
and specifically, FSA guidelines are adopted by management. Along with this UK government
regulation is also followed by management because this helps in completion of work according
to local policy.
RESISTANCE FROM LOCAL BUSINESS- The current local food organisation faces high
competition and due to this local business adopts unique factors because it helps to manage work
with sustainability (Tardivo and et. al., 2017). On the other side, Organic Food use innovation to
overcome from challenges of local business.
RESISTANCE FROM LOCAL PEOPLE- Pandemic conditions generate problems and it result
local individuals considered towards completion of task. This define one of the major problems
resulted in management of work to induce all policies in an organised manner. To overcome
from local people resistance Organic Food used and manage work in a systematic manner.
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CONCLUSION
. With the analysis of above report it is concluded that to start a small business this is
mandatory for management and entrepreneur to perform work according to all factors which is
related with business. Organisation and entrepreneur formulate business plan and this helps
management to complete work with more efficiency and it helps to attract large base with
customers. Cost, locations, government role, etc. help business for manage task in an appropriate
manner and this helps management to complete work according to the decided plan. Small
business consider about all those method which is used for maximising their business to increase
sale and profits of business. Similarly, business faces different problems such as resistance from
government, industries authorities, etc. So to overcome from them marketing strategy for
performing business in the local market and at small level is also understood and it helps for
deliver better value to individuals or buyer in the products. With focus on impacts of micro and
macro factors on business it is easy to engage better policies for completion of work in a manner
which impacts less on operations and functions of business.
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REFERENCES
Books and Journals
Bagdoyan, S.J., 2019, October. Small Business Administration: Steps Taken on Long-Standing
Weaknesses in SBA's Oversight of Tribal 8 (a) Firms, but Additional Actions Needed,
Statement of Seto J. Bagdoyan, Director, Forensic Audits and Investigative Service,
Testimony Before the Subcommittee on Investigations, Oversight, and Regulations,
Committee on Small Business, House of Representatives. In United States. Government
Accountability Office (No. GAO-20-184T). United States. Government Accountability
Office.
Banovic, B., Grebenar, V. and Pichler, G., 2015. “6 Steps” For Determining Of Efficiency Of
Small Entrepreneurs. Economy of eastern Croatia yesterday, today, tommorow, 4,
pp.232-238.
Dangelico, R.M., Nastasi, A. and Pisa, S., 2019. A comparison of family and nonfamily small
firms in their approach to green innovation: A study of Italian companies in the agri
food industry. Business Strategy and the Environment, 28(7), pp.1434-1448.
de Vries, H.P., Veer, E. and de Vries, K.V., 2018. An examination of SME social media use in
the food industry. Small Enterprise Research, 25(3), pp.227-238.
Dressler, M. and Paunović, I., 2019. Towards a conceptual framework for sustainable business
models in the food and beverage industry: The case of German wineries. British Food
Journal.
Fernando, Y., Mathath, A. and Murshid, M.A., 2016. Improving productivity: A review of
robotic applications in food industry. International Journal of Robotics Applications
and Technologies (IJRAT), 4(1), pp.43-62.
Goodman, E. and Hawkins, A., 2015. New Business: Next Steps: The all-in-one guide to
managing, marketing and growing your small business. Pearson UK.
Heiens, R.A., Pleshko, L.P. and Ahmed, A.A., 2019. A comparison of the relationship marketing
outcomes of SMEs vs large enterprises in the Kuwait fast food industry. British Food
Journal.
Ismail, N.A. and Kuivalainen, O., 2015. The effect of internal capabilities and external
environment on small-and medium-sized enterprises’ international performance and the
role of the foreign market scope: The case of the Malaysian halal food industry. Journal
of International Entrepreneurship, 13(4), pp.418-451.
Lefebvre, V.M., De Steur, H. and Gellynck, X., 2015. External sources for innovation in food
SMEs. British Food Journal.
McHugh, N and et. al., 2014. First steps towards self-employment–Microcredit for enterprise in
Scotland. Scottish affairs, 23(2), pp.169-191.
Mugridge, J. and Wang, Y., 2018, September. Applying decision tree in food industry–a case
study. In International Workshop of Advanced Manufacturing and Automation (pp. 383-
388). Springer, Singapore.
Müller, J and et. al., 2020, November. Success factors for implementing Business Analytics in
small and medium enterprises in the food industry. In 2020 IEEE International
Conference on Technology Management, Operations and Decisions (ICTMOD) (pp. 1-
8). IEEE.
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Saguy, I.S. and Sirotinskaya, V., 2014. Challenges in exploiting open innovation's full potential
in the food industry with a focus on small and medium enterprises (SMEs). Trends in
Food Science & Technology, 38(2), pp.136-148.
Smith, E. and Diggans, J., 2020. Next Steps to Grow the Bioeconomy. Health security, 18(4),
pp.297-302.
Tardivo, G and et. al., 2017. Value co-creation in the beverage and food industry. British Food
Journal.
Topleva, S.A. and Prokopov, T.V., 2020. Integrated business model for sustainability of small
and medium-sized enterprises in the food industry. British Food Journal.
Vu, H.M and et. al., 2017. Measuring business sustainability in food service operations: a case
study in the fast food industry. Benchmarking: An International Journal.
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