Golden Field Company Analysis

Do you need this or any other assignment done for you from scratch?
We have qualified writers to help you.
We assure you a quality paper that is 100% free from plagiarism and AI.
You can choose either format of your choice ( Apa, Mla, Havard, Chicago, or any other)

NB: We do not resell your papers. Upon ordering, we do an original paper exclusively for you.

NB: All your data is kept safe from the public.

Click Here To Order Now!

Description of the opportunity

The proposed Golden Field business seeks to provide synthetic field carpets to clients who are sports teams across the US. The proposed business will reap maximum benefit from customized and smaller turfs as compared to competitors who provide very large turfs that are limited to standard playing grounds. Therefore, the business will gain from customers who may want to hire the smaller field carpets for temporary or mobile sports campaigns.

Explanation of the business concept

The Golden Field business ideal operates on the assumption that there is need to introduce a unique smaller and easily movable carpets to serve the interest of mid-level sports organizations and individuals. The business idea is to construct four small soccer fields (targeting seven-aside) and turf surface. The four small fields will serve clients who want training ground, home ground, and facility for hosting small matches.

Industry overview

The US field and turf manufacturers have made tremendous steps in the development and modification of the seven aside football fields. Several companies have been in the front line in the manufacturing of the fields and carpeting that are not only customizable, but also affordable. The market for synthetic turfs has been growing at an annual rate of 5%. The growth over the last three years is represented in the graph below.

Year 2010 2012 2014
Quantity of field turfs sold 3456 5677 6890
Percentage growth 30% 59% 67%
Ratio in the market 2% 5% 7%

The table below summmarises the percentage growth and Market shares of the field construction and turf laying industry.

Projected Growth in the Next three Years

Year 2014 2015 2016
Percentage growth 35% 45% 67%
Ratio in the market 9% 13% 15%

Target market

Product target market positioning is directly linked to the success in the short and long term, especially for a new product. Such a product should be positioned as the first of its kind in the market to appeal to the targeted customers. Young populace, especially between the ages of 18-35, is the major market target for the proposed Golden Field product due to their sports enthusiasm. Additionally, the Golden Field product may target sports institutions and teams since they have very high demand for sports facilities.

To increase credibility and maintain professionalism, the Golden Field Company will remodel its marketing channels to encompass processes and features that flawlessly facilitate a healthy and a lifetime relationship between the business and its target clients. Among the new development elements that can be incorporated in this arrangement are trust, reliability, distribution, fair retribution process, and passing accurate information to target audience to keep confidence within its marketing networks (Bowden 66).

Competitive advantage to be achieved in the market

The company will have advantages such as competitive prices, convenience, expansive market coverage, low operational costs, and variety of products. Operation efficiency and market niche provide an indication of how well the company manages its resources, that is, how well it employs its assets to generate sales and income. It also shows the level of activity of the corporation as indicated by the turnover ratios.

The level of activity for the proposed Golden Field Company will remain relatively stable over the years despite threat of counterfeiting, increased taxation, competition, and constant change of taste and preference. In order to stay afloat, competitive price, which is half the price offered by competitors, will be implemented to ensure that the Golden Field remains the choice for middle class income earners yeaning for affordable sporting facility (Kotler and Keller 24).

Usually, price/earnings ratio is commonly used to evaluate performance of an entity. As a matter of fact, despite economic swings, the company will embrace properly researched policies to ensure survival. Among the policies will include diversification, expansion, affordability, and quality in the sports facilities.

The company has a brighter and sustainable future based on statistical growth of market, market expansion, production efficiency, and very competitive prices which cannot be offered by competitors. The company’s almost half the market price offer on its high quality products will continue to lure the middle class customers who make up almost 40% of market (Bowden 68).

Economics of the opportunity

The Golden Field will focus on the delivery of excellent sports services. Within the market segment, the objectives of the business strategy includes ensuring sales increase by 40%, increase in the sales margin by more than 20%, and increase in the presence of the business by 55%. In the end, the Golden Field Company has the potential of doubling its revenues within two years from inception.

Management team description

In the process of successfully managing an establishment of the Golden Field magnitude, it is imperative for the business owners to establish a strong human resource management strategy. Besides, it is important for the owners to create an ideal environment for customer-employee relationship (Kotler and Keller 31). With reference to the Golden Field, the management team will consist of the operations director, marketing director, and supply chain director.

All the directors are owners of the business. Under the directors, there will be supervisors who will manage the field attendants. In addition, the business proposes to have a standby marketing team consisting of two employees. Basically, the business will adopt the inverted triangle management model whereby the employees will have to take most of the responsibilities with the directors limited to leadership and goal setting. This strategy is aimed at ensuring sustainability of the human resource requirement.

The proposed organizational chart

The proposed organizational chart

Marketing team

The Golden Field will have a clear chain of command with the directors being at the apex of the management platform. The corporate culture will consist of systems that manage employee motivation, security, welfare, and personal remuneration. In summary, a mixture of scientific management and employee welfare at the Golden Field will ensure that the business retains its employees and constantly add value to their basic skills.

Amount and purpose of the money being requested

The business will require initial capital of $2,105,185. The breakdown, pricing, and gross profit are summarized in the table below.

Year 1 Year 2
Sales 100% $1,765,650 2,295,345
Less: COGS 50% $882,825 1,147,673
Gross Profit 50% $882,825 1,147,673
Operating Expenses
Selling Expenses 40% $706,260 734,510
Technology Development 28% $494,382 533,933
Advertising Expenses 20% $353,130 459,069
Salaries, Wages 29% $512,039 584,039
Office Supplies 1% $10,000 13,083
Rent 1% $16,652 17,651
Utilities 1% $594 689
Insurance 1% $8,828 8,828
Depreciation .19% $3,300 4,361
Total Operating Expenses 119% $2,105,185 2,356,163
Profit (loss) before taxes -70% ($1,222,360) (1,208,491)
Taxes -1% $16,244 21,117
Net Profit (loss) -70% ($1,238,604) (1,229,608)

Works Cited

Bowden, John. “The Process of Customer Engagement: A Conceptual Framework.” Journal of Marketing Theory & Practice, 17.1(2009): 63-74. Print.

Kotler, Philip, and Kevin Keller. Marketing management. 14th ed. 2012. New Jersey, NJ: Pearson Prentice Hall. Print.

Do you need this or any other assignment done for you from scratch?
We have qualified writers to help you.
We assure you a quality paper that is 100% free from plagiarism and AI.
You can choose either format of your choice ( Apa, Mla, Havard, Chicago, or any other)

NB: We do not resell your papers. Upon ordering, we do an original paper exclusively for you.

NB: All your data is kept safe from the public.

Click Here To Order Now!