Enterprise and Entrepreneurship: Business Plan for Frida Ltd Apparel

This report presents a business plan for Frida Ltd, an apparel company focused on sustainability. It outlines the motivation for the business, driven by the environmental impact of the clothing industry, and details the process followed in developing the business idea, including market research, competitor analysis, and prototype testing. The plan incorporates feasibility studies covering technical, economic, legal, scheduling, and operational aspects. The product line focuses on sustainably sourced tops, bottoms, and accessories. Potential market opportunities are discussed, emphasizing the growing demand for conscious apparel and the flexibility of the fashion industry. The report assesses the attractiveness of the clothing industry, considering both its potential and volatility. Frida Ltd's vision is to become a leading retail company providing sustainable clothing and promoting conscious consumer choices through optimal resource recycling and consumer awareness. The business plan aims to provide a framework for the seamless management of the company's operations while mitigating the environmental impact of the fashion industry. The document is available on Desklib, a platform offering a wide range of study resources for students.

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Enterprise and
Entrepreneurship
Frida Ltd.
Apparel Company

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Motivation for the Business
• The apparel industry is defined as the most competitive and hazardous among all other industries, due to the fact that clothing items are
wanted and needed by every individual, who get influenced by the ongoing trends.
• Usually the sellers and suppliers in this industry aim to produce more than sufficient amounts of clothing items and henceforth cause
problems towards the environment (CERAMI, 2022).
• To help mitigate the effects of current effects of climate change and spread awareness among the consumers, to take wise choices while
buying products, the company thrives to create a sustainable clothing brand.
• The brand will provide conscious choices, along with production of clothing items, using recycled and reusable fabrics. In this manner, the
company will be able to nullify effects of greenhouse gases.

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Process Followed
• Identification and Evaluation of the Cause – The first and foremost step followed by the company is to identify the problem, which needs
to be obliterated and henceforth, evaluating its significance, in the dynamic environment.
• Determination of the target Consumer Base – The management of Frida Ltd., understands the importance of consumers and their loyalty
towards the company. Therefore, it’s next step is to identify the audience, which it needs to influence and target.
• Research of the Market – The overall market segment includes multiple factors, which can significantly impact the business. To define the
situation and position which the company will be in, if it adopts the current idea, the management analyzed various aspects of the market and
underlying conditions.
• Analysis of the existing competitors – After examination and analysis of the existing products or solutions for the problem, company aims to
solve, it is crucial to observe and examine the current competitors or providers of such substitute. This helped Frida Ltd., pinpoint the
weaknesses and strengths of the competing firms.
• Building the Idea – Through analysis of the current condition of the clothing industry and all the factors affecting it, the management
proposed relevant ideas to positively impact the market and the masses. The idea to sell sustainable clothing items, is affected and influenced
by the such conditions.
• Testing the Prototype – With rise of social networking sites and the fashion industry itself, the company adopted modern methods and
techniques to test the manufactured product. Through marketing techniques, it analyzed the reaction or response of the consumers along with
giving away certain amount of sample products to influencers or the public (Hou, 2021).
• Iteration based on feedback – The last step to successfully create a profitable business idea is to assess the response of the consumers, so as
to understand where the product stands and what features are considered favorably impactful to the audience as well as the environment. Also
the loop holes need to identified before assessment of the merits, so as to avoid them in the real run of the business.

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Feasibility Studies Conducted
• Technical Feasibility – The research and examination of all the technical resources available to the company, is defined under this method and
helps an organization to better manage its technical resources as well as administrate its application.
• Economic Feasibility – For any type of company, the cost benefits analysis is critical to follow, for drafting relevant strategies to improve the
budgeting process and determination of cost, price of the products to be sold. Hence, the company can avoid unnecessary wastage or losses.
• Legal Feasibility – The assessment of the legislation or the law governing clothing industry, helps avoid the ill effects of non-compliance,
such as penalties. Frida Ltd., concentrates on creating a seamless and coherent legal structure, for efficient workings.
• Scheduling Feasibility – This method implements the idea of assessing and proposing specific time limits for each activity to be performed in
the whole business process. Through estimation of time limits, the operations can be performed more efficiently.
• Operational Feasibility – Frida Ltd. has adopted this type of study, to comprehend the need for each activity performed, and to examine as to
why such operation is required in the business process. Through maintaining the operational integrity, the company optimally utilizes the
available resources.

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Product Details
The company intends to create a sustainable and environment friendly products which will help mitigate the ill-effects of clothing industry
towards the climate, whilst aiming towards impacting the consumers, for adopting sustainable and conscious choices. Furthermore, by creating a
systematic and seamless supply chain process, the company intends to avoid wastage of valuable resources ( Inkon, 2019). The overall tasks
performed for this purpose, involves procuring the material which are recycled or sustainably made, afterwards the supply chain process needs to
be defined and training must be provided to the workers for operating machinery and equipment.
• Tops, Blouses, Shirts and Uppers – In terms of profitability, the management has decided to direct its efforts towards the production and
manufacturing of tops or uppers, due to their popularity and demand in the market.
• Lowers or Bottoms – The company will also be manufacturing sustainably made bottoms, such as pants, trousers, skirts and shorts. They will
be designed in a manner beneficial to the company as well as the environment.
• Accessories – Even though the accessory market is thriving in the fashion industry, it is less popular as compared to the above two products.
Henceforth, the company will be concentrating on accessory market with comparatively lower investments.

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Potential Market Opportunities
• With the continuous expansion of the fashion and retail industry, the company holds numerous opportunities to enhance their profitability
along with focus on the long term objectives such as wealth maximization. The idea to sell sustainable clothing items, do not require a
significant amount of investment to be made, instead the management can start from scratch by opening an online store with minimal
investments made towards sale of conscious apparels.
• Clothing is identified as the need and want of every kind of individual, henceforth Frida Ltd. can utilize this opportunity to serve different
types of customers as well as impact their choices. To do so, the company must adequately conduct the customer research and analysis to
identify every type of need and want of their targeted audience (Karrar, 2020).
• The fashion industry is the most creative and flexible out of all the other industries, the company can appoint various individuals from the arts
field or even those belonging to the other sectors, to create designs and henceforth the tangible products for the consumers. Due to the fact
that the fashion is influenced by raw thinking of the public and leaves plenty of room for creativity .
• With technological advancements and integration of the social media towards the fashion industry, it is easier for any entity to create desirable
materials for manufacturing innovative and high quality products that helps influence the masses favorably along with creation of
opportunities for expansion in the international clothing industries, to sustain the business for a substantial period of time.

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Industry Attractiveness
• The industry attractiveness is identified as an industry’s potential to be profitable for any business to enter such industry and retain itself
successfully (Morillo, 2021). It is commonly referred to as the profit potential and the higher it is, the better it is for the company. Usually the
market conditions such as the competitors present, the demand of the product and current trends define the profit potential of any type of
industry. By analysis of such attractiveness, an organization can take appropriate steps to help improve their product and grab available
opportunities.
• For entering in the clothing industry, the company must address how beneficial it will be to establish themselves in this industry and whether
they will be able to sustain for long term. The management has adopted necessary steps to understand all the market conditions currently
present and henceforth has described this industry as extremely profitable and flexible.
• However, it is critical to evaluate the demerits of this industry as well, such as the fact that clothing market is highly volatile, due to changing
consumer choices and needs. Henceforth, it is not adequate to only identify and examine the merits of such industry, for this purpose the
company intends to create relevant plans and reserves, to support the contingent events which may arise in the future, whilst leaving adverse
effects on the workings of the business.

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Vision of Frida Ltd.
The vision of Frida Ltd., a clothing retail company, is described as the idea generated and implemented to be the world’s top most retail
company, who aims towards providing sustainable and responsibly made clothing items, while thriving to influence the masses for making
conscious decisions, to obliterate the ill-effects of greenhouse emissions and their impact on the climate. Through proper and systematic analysis
of the methods followed in the business process, the company concentrates on recycling and reusing the existing resources optimally. Also, it will
help create awareness among the current consumer base which the company targets (Xu, 2020).

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Conclusion
The following business plan proposed for Frida Ltd. Helps understand the business process more effectively and defines necessary steps which
are required to be followed for seamless management of the whole process. Furthermore, the impact of fashion industry on the environment is
also been analyzed and examined, so as to avoid unfavorable situations and conditions.

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References
• CERAMI, F., 2022. Muebles Arte business plan: how an incumbent can survive disruptive innovations.
• Hou, K., Deng, S. and Zhong, Y., 2021. Decision Making in Business Plan Writing and Analysis of Firm Characteristic: Associated with
PaperGreen Business Report. Frontiers in Economics and Management, 2(5), pp.30-38.
• Inkon, K., 2019. A cross-sectional study on the relationship between business plan, entrepreneur type, development stage and profitability of
US SMEs. Academy of Entrepreneurship Journal, 25(1), pp.1-21.
• Karrar, H.H., 2020. Business plan.
• Morillo, I. and Sensat Solà, M., 2021. Quae's business plan.
• Xu, X., 2020. Compose the Business Plan. In Introduction to Entrepreneurship (pp. 139-163). Springer, Singapore.