Entrepreneurship Development

Proposed Development

Being a venture which meets the bakery as well as refreshment needs of people, this idea possesses vast scope for being developed into a multinational organisation with outlets spread across various locations within United Kingdom. This project has the potential to be developed into a large scale cafe which offers breakfast, lunch and dinner meals for people visiting Mayfair for shopping or leisure purpose. Further, the space that is allocated for the get-together and parties can be expanded to organise DJ parties, music concerts, live art or dance performances in order to provide entertainment to customers and tempt them to visit the store again for an excellent overall experience. Also, the entrepreneur has the option to facilitate business growth and expansion and shift Layers Bakery Café to a new location which has a wider and quick reach to a large quantum of population. By increasing the scale of operations, this enterprise stands the chance to retain more number of customers on a daily basis by way of focussing upon the quality of food & beverages provided. This will assist the enterprise in gaining popularity by word-of-mouth publicity through those consumers which are content with the bakery and snacks rendered to them and further want their relatives, family members, friends or acquaintances to derive the same experience as them (Khazaeli and et. al., 2018)

By focussing upon improving the experiences derived by customers and building healthy relationship with them through well-mannered and amiable staff, this venture idea stands a chance to enhance the sales and profits by a fair quantum within a span of 1 year from launch. By incorporating food pertaining to different cuisines and cultures, this business will ensure a high brand value and position in marketplace by fulfilling the needs and preferences of people belonging to diverse set of religions, communities or ethnic groups (Camp, 2015). Further, by devising a well-structured marketing strategy and strategic management plan, entity can easily gain rapid success and growth provided that these strategies and planning yield the desired outcomes within the stipulated time.

Opportunity Formation

The entrepreneurial idea of launching a bakery which is a combination of cafe and bakery shop has been gained by constantly analysing and evaluating the latest consumer needs and trends as well as gaining an insight into the overall market of United Kingdom. The idea of this bakery cafe is derived from the study of shops and brands that are already present in Mayfair, London. The research reflected that the prices of food and beverages offered by bakeries and cafes present within this area are quite high and not easily affordable by people of all economic groups and specially that segment of population which is unemployed. Looking upon this thing as opportunity and taking advantage of this, entrepreneur has proposed the idea of launching a bakery cum cafe. This business will offer specially made gluten free products and snacks for the health conscious segment of UK population. Further, the idea of allotting a separate segment of the outlet for small scale parties and get together is developed to meet the needs and demands of younger generation which is fond of partying and clubbing but are not employed or earn less to afford rich venues (Parvin, Jinrong and Rahman, 2012). The idea of combining entertainment with provision of adequate quantum of food and beverages is largely developed to provide an overall pleasurable experience for customers. Further, the prices of bakery products and beverages are intentionally proposed to be relatively low so as to attract the attention of a large number of people.

Perceived Uniqueness of Product

The uniqueness of the proposed entrepreneurial idea lies in the provision of products of two sectors, namely bakery and cafe industry, within the same business outlet. Further, the idea of providing gluten free products for the people within London, UK who are suffering from diseases like diabetes, obese or have a health conscious psyche is a creative thought. This is basically proposed to make sure that no segment of population remains untouched by the excellent quality experience provided by Layers Bakery Café. The unique selling point for any business is the product or service offered by them which distinguishes the firm from other enterprises in the same sector. The USP of the entrepreneurial idea related to launch of a bakery cafe will be the provision of entertainment facilities in the form of parties and get-togethers along with high quality and low priced bakery products and snacks (Kansiime and et. al., 2018). The uniqueness of this business can be further enhanced by investing upon improving the quality and value added service quotient to build a loyal customer base and retain the old consumers. It should be ensured by the entrepreneur at all the times that the offerings of business are aligned with the market environment and customer needs and preferences.

Opportunity Development

It is essential for the entrepreneur to adopt an effective business plan so as to ensure that the business idea of bakery cafe can be developed from a local outlet to a well-established business entity (Oyelola and et. al., 2013). By carrying out the development of this business idea into a national-international franchise, entrepreneur will ensure success and growth of Layers Bakery Café within a short period of time. The significance associated with developing this business idea into an international business lies in a well devised organizational structure, effective business design, structural layout of development plan and adoption of adequate as well as effective marketing strategies. To carry out the development of this entrepreneurial idea into a business venture, huge funds would be required by the entrepreneur which can be procured by way of commercial or private sources. Devising an efficient business strategy will assist the enterprise in enhancing the overall product and service delivery of Layers Bakery Café. This will require a number of modifications post the review and analysis of the business venture plan. This will lead to a well devised development of the bakery cafe as proposed and imagined by the entrepreneur. Further, when the venture will employ a number of marketing tools and tactics, it will assist in gaining the attention of a large base of customers and catering to the needs and demands of people (Leonidou and et. al., 2018).

Business Canvas Model

This forms the structural layout or important segments of the proposed business idea of launch of Layers Bakery Café.

The location selected for the launch of this venture project is Mayfair, London which prevails in United Kingdom. It is an effluent area situated at the heart of London and is a hub of commercial business pertaining to a number of sectors (Kurowska-Pysz, 2016). This place is visited by thousands of localities and tourists on a daily basis which renders lucrative opportunities for Layers Bakery Café to grab the attention of a large base of customers. For turning the venture project into a national-international franchise, it is essential that the entrepreneur takes into account the overall environment of bakery industry (food & bevarge sector). Thus, Porter Five Force analysis has been conducted to gain an insight into this industry and develop an understanding of the nature of competition along with the ways to combat this rivalry.

Porter Five Force Analysis

This analysis will assist the entrepreneur in determining the drivers of revenues and profitability for Layers Bakery Café so as to develop strategies and plans in accordance with them:-

Threat of new entrants: This element determines the barriers that a new entrant has to face while entering into food & beverage industry. The barriers to entry within this sector are found to be low which implies that companies can enter easily. The capital required for entering this sector is relatively low and economies of scale are also beneficial (Nkechi, Emeh Ikechukwu and Okechukwu, 2012). In this regard, Layers Bakery Café will provide gluten free products for health conscious segment and baked items like biscuits, cookies, pies, cakes and breads for other people. Also, this enterprise will provide tea and coffee to consumers along with snacks which consequently mean that they will face lower threat of new entrants due to their unique offerings.

Threat of substitutes: This force refers to the contention of buyers to find substitute products with same or lower prices and better quality and which possess the capability of switching easily. The factors that influence consumer buying behaviour are buyer's switching cost, ease of substitution and product differentiation. This tends to become an opportunity for Layers Bakery Café as although there are businesses present within food & beverage industry which offer gluten free products yet none of them offer the facilities associated with a cafe or party space. Layers Bakery Café has low threat of substitutes and it possesses the potential to easily survive in the competitive era of UK. This helps the firm to face competition and earn high revenues and profits.

Rivalry among existing competitors: This factor determines the competitiveness of food & beverage industry. The rivalry within this sector is found to be high (Sekliuckiene and Kisielius, 2015). Thus, it is necessary that businesses stay aware of their competitors and understand the significance of implementing uniqueness in their product and service offerings. The plans for New Product Development (NPD) should also be made in accordance with the strategies and products being offered by rival entities such as Greggs Plc (leading bakery company of UK), Cafe Coffee Day, Starbucks which are the top companies in global market. The biggest advantage of Layers Bakery Café is that there are very less bakery cafes which have separate party segment as well as offer gluten free products taking into account the large quantum of health conscious population of United Kingdom.

Bargaining power of supplier: This refers to the power possessed by suppliers of companies within food & beverage industry to offer products at prices of their contention. Within this sector, the bargaining power of suppliers is found to be low owing to the well-established market for bakery and cafe products (Naudé, 2014). Yet as the product and service offerings of this enterprise will be highly unique and exceptional along with the provision of goods at lower prices, Layers Bakery Café has the potential to enhance the prices of products post the well establishment of company within London, UK as the enterprise will themselves have to procure raw materials which can assist in development of gluten free food items.

Bargaining power of buyers: This refers to the ability of customers to curb firm under pressure to demand prices as per their own accord (Movahedi, R. and Yaghoubi-Farani, 2012). Buyers within food & beverage industry enjoy high bargaining power owing to the presence of a number of supermarkets, grocery stores, confectionary stores etc. To keep a control upon switching of products and brands, Layers Bakery Café will offer bakery products and snacks at low prices in the initial stage of the venture. Further as the entity will provide healthy food and baked articles, it stands the opportunity to gain attention of health conscious segment prevailing within London, United Kingdom.

SWOT analysis

SWOT analysis has been conducted by the entrepreneur to gain knowledge of the probable strengths, weaknesses, opportunities and threats which are estimated post the launch of Layers Bakery Café in Mayfair, London, United Kingdom.

Conclusion

On the basis of above discussion, it can be concluded that development of entrepreneurial ideas into well-established enterprises can take place only when constant market research is conducted in order to gain knowledge of latest trends and techniques persisting within industry and also the customer purchasing behaviour psyche. Also, it has been analysed that business canvas model is an effective strategic management as well as lean start-up model that lays out the structure of the proposed business idea. It assists in gaining a gist of the overall venture idea and the possible pathways through which the growth and expansion of this business within global market can take place. Further, it has been ascertained that a business idea can be feasibly developed into a national-international franchise only when proper planning is done for turning the ideas into action. Besides this, it has been evaluated that a business enterprise can gain rapid success and growth in market only when the operations, functions and processes of enterprise are constantly reviewed, monitored and also altered if the need is felt.

From the points mentioned above and on the basis of overall process of entrepreneurial development, I have acknowledged that important facts and ideas pertaining to idea formation and development can be gained from constant evaluation of market. It has also been ascertained that a business can be created and developed only post the occurrence of an innovative and unique idea in the mind of entrepreneur. This entrepreneurial idea should possess the capability to solve the economic or social problems that are being encountered by people of any country. In this regard, the idea to launch Layers Bakery Café came into the mind while gaining an insight into the psyche of UK population and getting knowledge about the existence of a large quantum of this population as being health conscious. Business canvas model, SWOT analysis and PESTLE analysis have been conducted to gain an insight into the feasibility of venture project. After evaluation of industry, it was clear that continuing with the idea will ensure profits for the entrepreneur.

References

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• Mohamed, Z. and et. al., 2012. Enhancing young graduates’ intention towards entrepreneurship development in Malaysia. Education+ Training. 54(7). pp.605-618.
• Movahedi, R. and Yaghoubi-Farani, A., 2012. Analysis of the barriers and limitations for the development of rural women’s entrepreneurship. International journal of entrepreneurship and small business. 15(4). pp.469-487.
• Naudé, W., 2014. Entrepreneurship and economic development. International Development. Ideas, Experiences and Prospects.
• Nkechi, A., Emeh Ikechukwu, E. J. and Okechukwu, U. F., 2012. Entrepreneurship development and employment generation in Nigeria: Problems and prospects. Universal Journal of Education and General Studies. 1(4). pp.88-102.
• Oyelola, O. T., and et. al., 2013. Entrepreneurship for sustainable economic growth in Nigeria. Journal of Sustainable Development Studies. 2(2).
• Parvin, L., Jinrong, J. and Rahman, M. W., 2012. Women entrepreneurship development in Bangladesh: What are the challenges ahead?. African Journal of Business Management. 6(11). pp.3862-3871.
• Terziev, V., Arabska, E. and Nichev, N., 2018. Social entrepreneurship development in Bulgaria.
• Camp, S. M., 2015. Entrepreneurship Development, Patterns of. Wiley Encyclopedia of Management, pp.1-5.
• Fortunato, M. W. and Alter, T., 2015. Community entrepreneurship development: an introduction. Community Development. 46(5). pp.444-455

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