Report: Business Collaboration and Risk Management for UniSamColes Ltd

Verified

Added on  2022/10/10

|38
|7194
|461
Report
AI Summary
This report presents a business plan and risk management analysis for UniSamColes Limited, a proposed collaboration between Unilever, Samsung Electronics, and Coles, intended to operate in the retail industry in Sydney, Australia, and be listed on the ASX. The report details the rationale behind choosing these companies, emphasizing their strong market positions and potential for innovation, as well as the benefits each organization would derive from the collaboration, such as increased competitive strength and access to pooled resources. The report also summarizes the business's purpose, structure, and service delivery, including the use of both physical outlets and an e-commerce portal. It considers the current economic climate in Australia, including falling retail sales and the impact of the USA-China trade war, and suggests that collaboration is a strategy to diversify risks and meet the anticipated increase in future demand. Furthermore, the report outlines the business details, licenses, and permits required, and provides the collaboration business plan template with the risk management plan.
Document Page
Running head: BUSINESS COLLABORATION AND RISK MANAGEMENT
Business Collaboration and Risk Management
Name of the Student:
Name of the University:
Author Note:
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
1
BUSINESS COLLABORATION AND RISK MANAGEMENT
Summary report for business:
Overview of business:
The business plan and the risk management executed delves into a new business venture
called UniSamColes Limited. The company would be based in Sydney Australia and would
operate in the retail industry. The company would be listed on the ASX. UniSamColes Limited
would be an autonomous company formed by the collaboration of Unilever, Samsung
Electronics and Coles. The company would have its own board of management with autonomous
decision making power. The board of directors of UniSamColes Limited would have
representatives of the three companies. However, the three collaborating companies would have
the power to interfere in the decision making processes of UniSamColes Limited. The business
plan mentions that the product line of the company would primarily consist of the products of the
three collaborating company. However, the product line may also include goods from other
companies to a minor proportion. The management of UniSamColes Limited would make
important strategies like risk management strategies to operate in Australia.
Why you chose these organization:
The three organisations were chosen to form the collaboration due to various reasons.
The first reason for choosing these three companies namely, Unilever, Samsung Electronics and
Coles is their strong respective market positions. For example, Unilever is one of the largest
FMCG goods marketing companies in Australia while Coles is the second largest supermarket
chain in the country. The second reason for choosing these companies is their capabilities to
emerge as market leaders which they fail to achieve owing to the presence of stronger
competitors. For example, Coles though capable of emerging as the largest player in the retail
Document Page
2
BUSINESS COLLABORATION AND RISK MANAGEMENT
market, loses to Woolworths. This brings into light the third reason which necessitates this
collaboration-innovation. The three companies would be able to pool their resources and
introduce innovation in the Australian market.
Benefits of each organization:
The three companies namely, Unilever, Samsung Electronics and Coles would be able to
derive several benefits by forming a company namely, UniSamColes Limited which would
combine their capabilities. The first benefit which these three companies would enjoy by
collaborating would be increase in their competitive strength. Unilever faces tough competition
from its stronger counterparts namely, Nestle and P&G. Similarly, the competitive strength of
Samsung and Coles is largely reduced by Apple and Woolworths respectively. Thus, by forming
a company namely, UniSamColes Limited which would market their products at large, these
three companies would be able to boost their competitive strength. The second benefit which the
three companies would obtain by collaborating would be increase in core capabilities by pooling
resources. The third benefit which the companies would enjoy would be increase in the sales and
revenue generation of their individual products against the products owned by their respective
competitors.
In conclusion:
One can conclude that the three companies namely, Unilever, Samsung and Coles should
launch the company namely, UniSamColes Limited in Australia to boost their competitive
power. The company should operate in the retail market in Australia. The management of the
company should make appropriate business strategies aligned to the market conditions of the
country to cement the position of the company in the fiercely competitive market.
Document Page
3
BUSINESS COLLABORATION AND RISK MANAGEMENT
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
4
BUSINESS COLLABORATION AND RISK MANAGEMENT
CollaborationBusiness Plan Summary
[Please complete this page last]
[Your collaboration business plan summary should be succinct and focus on why your collaboration is going to be
successful. The answers should reflect the more detailed answers provided throughout the body of the plan.]
Name the Collaboration
List the Partners of the Collaboration
Name UniSamColes Limited
Location Sydney
The Legal Entity
Lead Agency/Legal Entity name:M/s UniSamColes Limited
ABN:Will show post acquisition
ACN: Will show post acquisition
Location:Sydney
The Purpose of the Collaboration
Note the benefits to be achieved by the collaboration:
The demand for goods in the Australia is like to increase in the future and the county is expected
to recover from the economic downturn at a gradual pace
Document Page
5
BUSINESS COLLABORATION AND RISK MANAGEMENT
Description of the Collaboration
The company would provide retail services both using its outlets and on its ecommerce
portal which would be attached to its official website namely, ‘www.unisamcoles.com.au’. It
would also provide retail services through its mobile application called ‘UniSamColes app’,
which would be compatible to both Android and Apple operating systems.
Organisations chosen and reason for choosing:
The organisations chosen to form the collaboration are Unilever, Samsung Electronics
and Coles. The reason for choosing these organisations is that they have the potential to lead the
FMCG, electronics goods and retail markets respectively in Australia. However, they are
inhibited to attain the coveted leadership positions. Unilever faces competition from companies
like P&G. Samsung Electronics and Coles receive competition from Apple and Woolworths
respectively. Collaboration would boost the competitive advantages of these three companies in
Australia and maximise their revenue generation.
Benefits of each organisation
Benefits of the organisations are that each of the companies can improve upon their
revenue and ensure that each of the companies can be compatible with one another so that
customers can improve. At the same time, it can bring about a development of the Australian
economy and ensure that the collaboration is successful so that more companies can gain the
confidence of such merger. It can even overthrow the existing dominating powers that the
individual companies possess.
Document Page
6
BUSINESS COLLABORATION AND RISK MANAGEMENT
Summarise collaboration
The collaboration can help in the development of a proper retail market that can be
capable of challenging the authority of Woolworths. It can help in the increase of the economic
condition of Australia. At the same time, development of the company can be beneficial mainly
because it can provide the Australian market with stiff competition as well as form new
collaboration techniques.
Practice Principles
Principles
a. Equity- The company will list out IPO’s (initial public Offerings) and will list itself in ASX
(Australian Stock Exchange)
b.Diversity- The Company will be following a strict gender diversity policy within the workplace
to ensure the presence of a safe and healthy workplace and avoid any forms of problems within
the industry.
c.Social Justice and Empowerment- The social policies of the company and the empowerment of
the business will help the organization to ensure success
The Future
Vision statement:
The vision statement of UnisamColes limited will be to establish itself as one of the most
important retailer of Australia and achieve a growth rate of at least 10% within the next 3
yearsGoals/objectives:
The achievement of the goals of UnisamColes limited is only possible through the successful
achievement of the business mission
The Finances
attached
Monitoring and Evaluation
Monthly balance sheets which reflect the financial viability of the Collaboration
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
7
BUSINESS COLLABORATION AND RISK MANAGEMENT
Document Page
8
BUSINESS COLLABORATION AND RISK MANAGEMENT
The Collaboration
Service Delivery
Services:
M/s UniSamColes Limited would provide retail services in Australia and would be
headquartered in Sydney. The company would be a collaboration of Unilever Australasia,
Samsung Electronics Australia Pty Limited and Coles Supermarkets Australia Pty Limited. The
company would listed on the ASX. The company would provide retail services both using its
outlets and on its ecommerce portal which would be attached to its official website namely,
‘www.unisamcoles.com.au’. It would also provide retail services through its mobile application
called ‘UniSamColes app’ which would be compatible to both Android and Apple operating
systems. The company would provide FMCG products, electronic products and food products. A
major portion of the product umbrella would largely consist of products owned by Unilever,
Samsung Electronics and Coles. The product umbrella of the retail chain would be aligned to its
mission and vision.
What is the anticipated demand for these services currently?
The aim of the retail business would be catering to the demands of the retail sector of
Australia. The Australian Bureau of Statistics mentions that sale in the Australian retail sector
has fallen by 0.1 percent in July 2019 (Abs.gov.au. 2019). The Australian Broadcasting
Corporation supports this claim of the ABS and point out several reasons for this fall in the sales
in the retail sector in Australia. The ABC mentions that factors like low increasing in the wages
and rising concerns of job security have resulted in consumers spending less amount of money
on retail purchases. These factors have created lower demands for goods in the retail sector in
Document Page
9
BUSINESS COLLABORATION AND RISK MANAGEMENT
Australia which in turn has resulted in generation in lower revenue in the retail companies (Letts,
2019). The fast moving consumer goods or FMCG sector in Australia is expected to grow at an
annual rate of 0.5 percent (Ibisworld.com.au, 2019). The consumer electronics goods market in
Australia is expected to at a mere rate of 6% (Statista.com, 2019). Pisa, This means that on the
average as many has three sectors in Australia namely, retail, FMCG and consumer electronics
are facing fall demands in Australia which means they would experience fall in business
generation and consequent fall in revenue generation. Reuters mentions that the Australian
economy is facing greater risks of business risks owing to hostile events in the international
market like the USA–China trade war (Pandey & Cole, 2019). Viviers and Rossouw (2015)
mentions in this respect that forming clusters comprising of companies diverse industries can
enable companies to pool resources and diversify the risks. One can infer from this discussion
that the Australian economy is facing economic downturn which has resulted in fall in demand
for goods in the retail, consumer electronics and FMCG markets. The companies functioning in
these industries like Coles Supermarkets, Unilever and Samsung Electronics respectively are
facing fall in revenue. Thus, it can be pointed in the light of this discussion that these three
companies can collaborate in order to diversify the prevailing fall in market demands for their
goods and consequent fall in revenue.
Is there likely to be increased demand and what will drive this growth?
The demand for goods in the Australia is like to increase in the future and the county is
expected to recover from the economic downturn at a gradual pace. Deloitte mentions that
factors responsible for the economic downturn in the country are waning. The Reserve Bank of
Australia has reduced its rates of interests which has more liquidity to the companies (Rumbens
& Guttmann, 2019). The Australian Prudential Regulation Authority has extended credits to the
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
10
BUSINESS COLLABORATION AND RISK MANAGEMENT
investors in the country (Apra.gov.au, 2019). These strategies are driving the economic growth
in Australia and gradually leading to its recovery from the downturn.
Business details
Business name:
The name of the proposed business would be UniSamColes Limited. The company would
be a collaboration of Unilever Australasia, Samsung Electronics Australia Pty Limited and Coles
Supermarkets Australia Pty Limited.
Trading name(s):
The trading name of the company would be UniSamColes Limited.
Date registered:
The date of registration would be recorded in the documents of the company once it is
obtained from the relevant authority.
Location(s) registered:
The state of registration would be New South Wales.
Business structure:
M/s UniSamColes Limited would be a public limited company listed on the ASX.
ABN:
The company would apply for the Australian Business Number on the Business
Registration Service. The same would appear on the documents of the company once the same is
obtained from the relevant authority (Business.gov.au, 2019).
Document Page
11
BUSINESS COLLABORATION AND RISK MANAGEMENT
ACN:
M/s UniSamColes Limited should apply for an Australian Company Number since it is a
company. The same should appear on the documents of M/s UniSamColes Limited once
received from the Government of Australia.
GST:
M/s UniSamColes Limited should apply for registration of goods and service tax or GST
once it achieves an ABN (Ato.gov.au, 2019).
Domain names:
M/s UniSamColes Limited should apply for the domain name ending with ‘.com.au’. The
company would acquire the domain name once it obtains an ABN (Business.gov.au, 2019).
Licences & permits:
M/s UniSamColes Limited should obtain licenses and permits in order to conduct
business in Australia. The company would be required to obtain different types of licenses
pertaining to different areas of operations. For example, the company would acquire license to
erect signage, disposal of wastes, selling alcohol products and for playing sounds. The company
would acquire permits and licenses pertaining to GST, importing goods and tax rebates. The
company should comply with the laws while operating in the country (Ato.gov.au, 2019).
Collaboration premises
Business location:
M/s UniSamColes Limited would be based on Sydney, New South Wales. The company
would aim at acquire at least five retail outlets within Sydney right in the initial phase. The
company would simultaneously enter Canberra, Melbourne and Brisbane. The target number of
chevron_up_icon
1 out of 38
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]