Category: Business Planning

Introduction

The ESPRIT is a well know brand name company in the worldwide, and it has controlled retail space of over 450,000 square meters in more than 43 countries spanning 5 continents. It operates approximately 560 directly managed retail stores and has over 7,000 wholesale outlets comprising free-standing stores, department store shop-in-shops and doors in boutiques. Esprit will introduces its clothing products in India.

Marketing Strategic Analysis

Environment Analysis

To increase the quality of the strategic decision-making of going to India, it is necessary to consider the external environment (external analysis) and internal environment (internal analysis) prior to making irrevocable decisions. This section describes the environmental tools that were used for the subsequent analysis in the strategic choice element of the investigation.

SWOT Matrix

The SWOT Matrix is a tool that analyses the strengths, weaknesses, opportunities, and threats that organisations face. The strengths and weaknesses relate to internal aspects of the organisation and the opportunities and threats are factors that exist within the external environment in which the organisation operates.

Strengths

One of the biggest assets that Esprit has is the strength from a global dispersion; this gives Esprit their other strengths, which lie in their global and local availability and convenience; the fact that they have an outlet in most countries.

Weaknesses

Esprits overhead is 13% higher in terms of percentage of revenues than Boss and 17% higher than Bonds. This increased overhead is not a result of an excessive advertising budget, since only 6% of Esprit sales goes toward advertising and 10% of Bonds sales goes to marketing in India.

Opportunities

One thing that Esprit has an abundance of is opportunities, because of their strengths and weaknesses, Esprit have a variety of venues that they could go into and improve themselves.

Threats

• Exchange rates are a big threat.
• The major increase in substitute products as well as price wars all account for Esprit to vary of the changes that are occurring in the market and at the same be somehow over come the difficulties that they have to face.

Limitations to the SWOT Matrix

• It Does not account for uncertainty of future.
• Does not give holistic model of the organisation.
• Not aimed at option evaluation or selection.
• May cause problems if not approached honestly  i.e. over-perceiving strengths in order to hide weaknesses.

Segmentation

In order for Esprit to be successful in India, it is important to segment the market using appropriate criteria in order to target precise segments like age, gender, income effectively.

Targeting

Esprit should target customers aged 25-35yrs in India which can be divided into two existing customers and new customers. Existing consumers are those who are aware of the brand. Marketers believe it is much easier to retain existing customers than it is to acquire new ones, in order to maximise profitability. The most important customers to Esprit are those who are loyal and who own an Esprit Charge-card. By referring to their customer database, Esprit will be able to identify which of theses customers fall into their target segment. Once this has been identified, Esprit in Australia must use effective preservation strategy like offering gifts and discounts.

Positioning

Esprit aim is to satisfy the broad majority of people with quality products at attractive prices by being innovative. Esprit spent only 0.3% of its revenue on media advertising, compared with 3%-4% for most specialty retailers.

Marketing Mix

Esprits well-designed marketing mix is in consistency with its medium quality fashion clothing at affordable price positioning and its selling concept.

Product

• Its brand ESPRIT has been a leading international lifestyle fashion brand name applied to an extensive range of womens, mens and childrens apparel, footwear and accessories.
• Licensed products bearing the ESPRIT name ranges from timewear, eyewear, jewel and fragrance, to bedding and other home products.
• In addition, the Group owns the RED EARTH brand name and distributes its cosmetics, skin and body care products.

Price

Customers recognize Esprit as providing good quality clothing at reasonable prices; therefore, the company should maintain flexible pricing strategy to be able to compete with the competitors in the market.

Promotion

The key message associated Esprit line is classy and flexible. The companys promotional plan is diverse and include a range of Websites, TV, Newspaper, it is be a champion marketing plan that include all the communications channels and to ensure using the existing Esprits database to target the target customers as well as loyal Esprit shoppers.

Multi-Channel Distribution Strategy

ESPRIT offers different kinds of the products under the same brand name. Such as womens, mens and childrens apparel, and timewear, footwear, eyewear, jewel, fragrance and so on. Also, ESPRIT Group owns the RED EARTH brand name and distributes its cosmetics, skin and body care products.

Changes in Marketing Strategies

Market Spaces Components

Esprit.com/in will create an effectively electronic marketplace, also called market space, to the company. It is part of a process that will facilitate us to continue given that a service to our customers no matter how or when they want to shop. This market space includes numerous main components as follow.

Customer

The website is obtainable to the millions of customers who visit the stores each week and to regular Web users. Because of the vast range of delivering services, customers in Australia and some other countries can buy goods from the website.

Sellers

Customers can buy the goods directly from the website, and get the goods by delivery. There is a special free store delivery for the home customers. Customers can select delivery to Esprit Store in the Shopping Basket in website and collect the order from the nominated store.

Product

It offers a huge array of online shopping for more than 20,000 products designed per year for 12 product lines for women, men and kids and additionally a broad diversity of license products for every part of life. Lots of items are greatly discounted.

Intermediary

Although Esprit is the click-and mortar retailer, it also use some other website as the intermediaries to found more customers. For example, B*shop (European), E*shop (German), and Vendor portal are some of its intermediaries that can connect to the Esprit website after customers comparison. Furthermore, all the Esprit retailers are also the e-commerces intermediaries.

Business Partner

The company encourages other website to consider the partnership with Esprit.com/in to expand its business. For example, the Esprit.com/in has launched a new and improved with renowned companies.

ESPRIT e*club Card

ESPRIT will provide the ESPRIT e*club card and it would be very different strategy they process than other brand names companies. For example, if the customers buy over CAD $200. And the ESPRIT e*club card would provided several functions to the customers. For other companies, such as Gap and Roots, they would not be same as EXPRIT. They dont have any discount card, or reward card as like as ESPRIT. However, since there are so many competitors in the market place. So, ESPRIT gives their customer bigger benefits, which is that their customer can apply the ESPRIT e*club card for free. And the customer can pick the application form in the every retail stores or apply on the website. And it will be more convenience to their customers.

Working of ESPRIT E*Card

For every purchase with ESPRIT e*club card in one of their stores, they will credit customers account with e*points. And when customers have accumulated 1,500 e*points, then they will receive a coupon for e*points by mail. As a member of the e*club, the customer will enjoy many more benefits, such as free call center service, offers from cooperation partners, and personal access to your account balance. Also, ESPRIT e*club card is completely free and without obligations. And the customers personal data is only used for internal purposes.

Design of Outlets

Esprit designs its stores with colorful theme and with big fashion pictures on the windows, and also they classified their clothes or accessories very clear. So, their customers can feel young and fashion atmosphere when they walk into the stores. In addition, they design their in side of the store as bright as possible. They also use red background with white color letters to impress their customers.

Compare to Mexx or Banana Republic, there retail stores design looks like more mature. And their target market is trend to office style and more formal. So, it will not attract many youth customer to interest in or want to purchase it. Because of the image of the store structure will make them to feel the price more expensive than ESPRIT.

Product Life Cycle Stage With Respect To Promotion

• Introduction Stage.
• Growth Stage.
• Maturity Stage.
• Declination.

References

Chaney Joseph, (2007), Fashion chain Esprits H2 profit up 50 pct. Web.

Clothing Retailing in Australia  Industry Report, 2007, 56 pages. Web.

Madison HGCD to aid fashion giant, Esprit, in return to NY  Retail  Brief Article. Real Estate Weekly. 2003. FindArticles. Web.

Executive Summary

Per Ludum is a game development company that will work on an independent basis, meaning that it would not involve the publishers support. The studio will produce digital video games that are interactive adaptations of various literature works. The companys target market would be North American people from 14 to 30, one of the most high-paying public of video games. The company is situated in Downtown St. Petersburg, Pinellas County, Florida. Its office will be open for business meetings with investors and weekly or monthly briefings with employees. Apart from these meetings, most employees enjoy remote work, which is also advantageous for the economy of resources. The firms strengths lie in the unity of its individual members who work separately and yet with a common goal. The extensive freedom of the employees might be perceived as a weakness, yet, if managed effectively, it might produce beneficial results.

The video game industry is exponentially growing with large revenues and low-cost entry expenses. This fact allows assuming that there is an opportunity to easily penetrate the market with new products. Moreover, each product can become popular among customers because of its unique design or narrative. The companys team involves managers, designers, visual and sound artists, and programmers. Some of these people can work from their homes with their equipment and software and even participate in other firms projects. However, there are responsibilities and deadlines that these employees to which should adhere and respond to. These people are professionals in their spheres, so their united work will produce unique products that would enlarge the companys proprietor and investors revenues. Since the studio is independent, it requires a minimum startup cost, almost all of which can already be paid by the proprietor. The business seems to be profitable due to the growth of the industry and the recent technological advancements made highly available and cheap.Mission

The mission of Per Ludum is to provide the North American public with a quality interactive narrative on cultural and historical topics. The stories of American and classical writers deserve new interpretations through a new, creative form such as video games. Thus, Per Ludum aims to satisfy and implement the desires of video game players to see their favorite narratives in visually appealing and technically advanced games. The players may open the opportunity to immerse into the atmosphere of the books more deeply and perceive the sense of the imaginative worlds in their personal experience.

Vision

The vision of Per Ludum is to enrich the cultural and intellectual experiences of the North American players through the help of interactive narratives or video games. Per Ludum desires to provide excellent products that contain not only entertainment value but educational opportunities as well. Moreover, the company is open to collaboration with starting writers who want to gain attention to their literary works.

Objectives

The company has several goals to achieve in the first years of its existence. First of all, Per Ludum aims to enter the market with a distinctive advertising company, attracting its target market and producing high-quality products. Next, the publishing of the first game is the primary concern of the enterprise since it marks its first revenue and the other image. Finally, the company aims to pay off the debts and shares of its investors to continue to work independently in the three years of work.

Business Description

Per Ludum will be an independent video-game developing company that will produce high-quality digital products for a medium-sized audience. Namely, Per Ludum studio will work as a small team of creative specialists to design concepts, create specific game design solutions, and produce art, sound effects, music, and voice-over to complete ready-made video game projects. Moreover, the marketologists will create advertisements for its projects and guarantee its successful sales and distribution.

The company will be located in Downtown St. Petersburg, Pinellas County, Florida; however, some workers of the company come from other states and work remotely. Hours of operation will be Monday through Friday, from 10 am to 4 pm; yet, most employees, such as artists and voice actors, can choose an individual schedule. The department that always functions through mentioned hours is marketing. Finally, Per Ludum will start with a sole proprietorship with the potential of upgrading to a corporation in fifteen years. Apparently, there is a possibility and a need to acquire a partnership after several projects are done.

Product Overview

The product that the company will create and distribute will be outsourece video games which plot is based on existing classical or recently published books from authors of different proficiency levels. Precisely, the produced video games will be interactive stories with a strong narrative and authentic, ingenuine visuals. The product will satisfy the customers desire to immerse into the plot of the renowned and newly discovered stories, experience the characters emotions, and fulfill some ideas about the books endings. The games will be distributed through Steam, the most popular and affordable for individual developers game market. Thus, the customers might access the games easily through their online accounts in the service. In the future, the Per Ludum will employ its independent writers who would write the books and plots individually for the company. As a result, there would be an additional product for saleprint books.

Personal SWOT

Strengths

Per Ludum offers quality product creation and highly skilled cross-platform video game project creation and development. Thanks to the small size of the studio staff combined with its high professionalism and the wide profile of activities, the studio are capable of long-term development. Specializing in the development and design of outsourcing projects, a team of developers, narrative designers, illustrators, and programmers ensures fast and high-quality creative planning and project implementation. The company has the resources for expansion, a team of strong specialists, and the flexible form of an independent development studio, which gives it creative freedom and access to quality execution. Thus, the strengths of the company are in its flexibility and competence.

Weaknesses

It should be understood that the studio often tends to avoid orders that have too wide freedom of execution due to the danger of excessively long work on the project. Perhaps such issues may be perceived skeptically at first glance, but it should be borne in mind that the company considers them in its development plans and will resolve them in the future. Such confidence in resolving studio issues rests on the competent and creative members of the company, whose team is confident in their abilities and the company itself is confident in them. Of the negative features of the work process itself, it is important to consider that the presence of a free schedule and deadlines leads to some employees doing the work out of time. Many team members are attracted by the freedom to allocate free time, work from home, and creative freedom. This implies the fact that some of the employees are not in the mood for frequent social contacts, which can make brainstorms and meetings a little complicated and delayed.

Opportunities

The development of new technologies in the process of manufacturing new products and their components offers new opportunities for the market in general and the studio in particular. For example, the release and development of a new version of the game engine Unreal allow one to implement bold projects from a technical point of view, spending much fewer resources during production. In general, the trend of technology development and the increasing availability of tools and resources for developers speaks of an optimistic future for the industry.

Threats

The main threat to the company is redistributing the interactive entertainment market towards large-budget projects and strict regulation by large corporations. Intense competition with large businesses seeking to aggressively take over small studios can pose a serious threat as the companys assets grow. The specificity of the sphere, which is constantly changing trends and tastes of the audience, also influences, but the creativity of the team and the willingness to experiment with innovative methods give favorable forecasts for the future.

Market Strategy Analysis

Notable competitors in the indie development and publishing market include Devolver Digital, 11-bit studios, and Paradox Interactive. While occupying the same market as Per Ludum, these big developers and publishers still have key features that are both strengths and weaknesses. Devolver Digital covers many areas and niches within the game development market, but their love of risky and experimental projects often results poorly. On the other hand, 11-bit studios specialize in creative projects with a very dark design, gameplay, and narrative, which often negatively affect sales. The most notable among the competitors is Paradox Interactive, which specializes in niche genres such as grand strategy or simulation and management games, as well as role-playing video games. As a rule, the audience of Paradox consists of paying fans of the genre, which on the one hand, pays off projects, but on the other hand, slows down the development of the studio.

Industry, Competitors & Business SWOT

Before evaluating the strengths and weaknesses of Per Ludum in comparison with competitors, it is worth looking at it from the perspective of the game development market. In general, the market has several positive and negative features, where the former include flexibility and high margins, usually around 83%, which is a fairly high indicator. The negative aspects of this area are a longer sales process for which it is important to plan and predict a longer conversion funnel and the high cost of providing employees. The threat to the market is the link between development and technical equipment, such as graphics cards and processors, the market of which sometimes falls into crisis peaks, affecting the development sector. In general, the market has great prospects for expansion and scaling due to the loyalty of the old audience and the constant influx of a new one, and the importance of modern culture. Based on this, it can be understood that in comparison with other studios, Per Ludum has several advantages. The studios projects are aimed at a wide audience while not losing the creative design of the product and the emotional connection with the player, which sets it apart from the background of 11-bit studios.

Unlike Devolver Digital, Per Ludum does not have wide audience coverage, focusing primarily on a well-defined target audience. This allows for more accurate forecasts of sales and changes in customer and market sentiment. This approach makes the studio similar to competitors from Paradox. However, Paradox Interactive focuses on almost one main genre and a very narrow but paying audience. Per Ludum, in turn, has a more flexible approach and a broader approach to products, which gives the company several advantages in the market compared to Paradox. In other words, despite internal issues, in the interactive entertainment market itself, Per Ludum has a wide range of advantages over its competitors.

Target Market

The audience of the firm is extremely wide, embracing people aged 14 to 35, whose ability to pay is also distributed in the spectrum from small to stable and large. A wide range of game genres and multi-platform development allows the studio to produce products for both young audiences and young and middle-aged people. Multiplatform also allows you to cover parts of the audience that are different in terms of paying capacity. As a rule, the widest market is the mobile games market, and the narrowest one is the console one. Marketing aimed at different segmented parts of the target audience will promote the product to the required audience. Certain genres, such as simulation and management games, give the company the ability to quickly assess changes in the genre and the needs of the players for the prompt implementation of new features in the projects being developed. The target audience also has a certain regional binding based on the genre and market characteristics. In the case of Per Ludum, the target audience consists mainly of residents of North America.

Marketing Mix

The main products of the studio are multi-platform casual and light-level games that target a wide audience. Their price varies from the size of the game and the platform. For example, the cheapest sector of products, mobile games, costs $ 4.3 to $ 5. Games for PC and consoles are higher due to the size and cost of development, which results in prices ranging from $ 15 to $ 35. This approach to pricing and platforms allows for more flexibility in collecting audience data and engaging as many people as possible. Based on this, marketing targeting is calculated, for example, simple native advertising integration in mobile applications for the mobile sector. For the console and PC product segment, advertising is aimed at influencers who are popular with the target audience, at integration in their materials, as well as direct advertising on social networks and with

Organization and Management

The structure of the organization includes several related hierarchical levels and departments. The highest job position is that of a CEO, who, at the same time, is a proprietor of Per Ludum. The CEO oversees the operating system of the company as a whole, supervises each department, and decides the financial matters of the company. This person should be proficient in business and economics and specifically the video game industry. The department that relates to the CEO is that of marketing. In the marketing team, a marketing director supervises the actions and initiatives of a product manager, PR manager, and advertising director. The team is involved in creating strategies for the effective promotion and distribution of the companys digital products.

The other part of the organization, programmer and designer employees, is responsible for the core processes of creating the product. Namely, a lead designer assists the CEO in the supervision of the studio and develops the concepts for further work. Next, a team of game mechanics designer, level designer, and narrative designer create the interactive, environmental, and storytelling parts of the products. Furthermore, the programmers led by one person compile the technical aspects of video games to adjust them to certain engines and make the systems of the products accessible to the buyers. Thus, these employees should be high-quality professionals who can guarantee the technical and conceptual integrity of the products.

The final division of the employees is art specialists and sound designers. Precisely, the company will employ several game artists who would supply the conception art, 2D frames, animations, and 3D objects if needed. Since the company specializes in visually-rich games, the works of these people are highly appreciated. Additionally, an art director will try to direct the artists so that their efforts deliver consistent results. Moreover, there will be composers and voice actors in the studio to enhance the quality of the products and make them more immersive. Consequently, a sound engineer oversees their work. Both divisions can have individual graphics since their continuous presence in the studio is unnecessary and does not help their work. In this manner, the departments can produce their input into the whole process of creating the most effective.

Organizations Culture and Management Style

As was said earlier, some of the workers might have individual schedules and work from home if this seems comfortable with them. Such a decision is determined by the management theory that the company views as the most productive practice. Namely, Systems Management Theory considers employees equally important parts of the whole enterprise that should work according to their functions (Corporate Finance Institute, 2019). That is why the company allows all these people who need to work remotely to do it in their way. However, there are briefing meetings that should gather all the department members that were invoked. The CEO, managers, and lead employees are responsible for effective communication between the employees. There is no need to locate them all in the office at the same time. Therefore, the office is rather a company headquarters than the place requiring all workers visits.

Although the organization and management style might seem chaotic to an outsider, there are several requirements for work that should be considered vital. Per Ludum adheres to the philosophy of social responsibility, so that one of the primary functions that the company operates is benefiting society (Stobierski, 2021). Precisely, the studio produces entertainment content and art and culture products that reflect the values and interests of modern society. Therefore, the company aims to employ workers who are professionals not only in their specific fields but also in the humanities.

Financial Plan

Independent video game development studios are financed differently than average enterprises and even video game studios in general. The distinction lies in the fact that studios of such kind demand fewer resources and employees than large companies. Moreover, the employees can engage in other projects and work for the company only part-time since it is enough for sustaining the manufacturing process of a digital product. Despite the fact that the company does not function full-time and requires a minimum of resources, its output might gain considerable attention via correct marketing and quality of the product. Additionally, an important distinction of independent studios from traditional ones is that they rarely work with excessively expensive publishers. The general use of distribution market Steam makes it easier for the developers to sell their products with a minimal amount of costs. Thus, even modestly financed studios like Per Ludum have the potential to gain significant revenue.

Investment Request & Startup Cost

However, there is an issue of the game development industry that affects the financial part. Namely, the revenues can be gained only after a game is produced. Certainly, there is an opportunity to publish early-access products, but new firms make these propositions free to attain future customers. Then, the first gains are obtained after a long period of creation which on average takes from six months to a year. Per Ludum plans to publish an early-access version of a game to gain attention from potential clients and to finish the version of a game for sale in seven to eight months. Thus, first, revenues can be earned from donations of awaiting customers who would purchase pre-orders and then from the sales of the completed product after its publication.

Yet, the process of creation demands initial expenses, at least in one-time investments. These expenses include technology equipment, IT support, CRM software, and program development costs, among the most expensive. The total start-up cost of Per Ludum amounts to approximately $6,847, including the payment for the first-month rent. Fortunately, these expenses can be almost completely covered by the savings that the proprietor aims to invest. Besides, there is a possibility to gain access to credit for expenses that savings cannot pay. Support from investors could be useful in the matter of monthly expenses rather than long-term ventures. Additionally, some money for expensive equipment can be saved if the proprietor hires employees who already possess the equipment and software. There is a significant chance that this is the case. Thus, venture capital exists, and a missing part of the budget could be attained from getting credit.

Operational Expenses

Finally, there are monthly operational expenses that could be paid through financial support from outside investors and banks. These expenses include the rent of the office that should be run as a place for briefings. Certainly, it requires only a modest service since meeting in the office will not often be conducted. Yet, the firm should pay for electricity, internet, software licenses, and else. It is possible that external investors would guarantee help with these expenses and salaries for the workers. After the revenues from publishing the first product are gained, the company can pay off these expenses. In this way, it is safe to assume that the companys financial success depends on the proprietors savings, the smart use of resources and services, and promotions.

Conclusion

Per Ludum has a perspective view of the market opportunities for producing video game products for the North American population. Its mission is to create narratives that could be accessed through imaginative visuals and sound to immerse the players and bring their attention to cultural and historical knowledge. The company will produce adventure games based on literature works of classics and modern writers. Its core competitive advantage lies in the low-budget opportunity of resources distribution and uses and producing high-quality products due to the technical availability for manufacturing. Moreover, numerous materials can be adapted and presented to the market through a concise marketing strategy. Thus, the creative approach and the economy of resources being its key characteristics, it promises significant revenues for its proprietor and investors.

References

Corporate Finance Institute. (2019). Management theories. Web.

Per Ludum monthly expenses. (2021). [Graph].

Per Ludum monthly revenues. (2021). [Graph].

Per Ludum organizational chart. (2021). [Diagram].

Per Ludum start up costs. (2021). [Graph].

Stobierski, T. (2021). Types of corporate social responsibility to be aware of. Business Insights. Web.

Kernel Keto

Kernel Keto is a medium-sized business that works with a growing number of customers throughout the country. Its initial goal is to reach the mark of $1 million in sales by the end of the second year since the companys business was launched. The company developed an effective strategical position using the strategic approaches of customer perceptions factors and the business model of selling physical products. This paper demonstrates a business plan for Kernel Keto, which will include analyzing the industry trends, developing the strategic positioning, choosing distribution channels, and presenting a SWOT matrix balancing risks and opportunities.

Product Description

Kernel Keto is a company that produces keto granola bars. These bars consist of a mixture of almonds, cashews, pistachio, Thai coconut, and maple syrup. The snacks are produced with no added sugar, food colorants, or artificial flavors. Kernel Keto provides consumers with a wide variety of bars to choose from. Along with the nuts bars, there are bars with dried strawberries, cherries, raspberries, and blackcurrants. These bars are low-carb snacks, so they are not covered with chocolate glaze, which usually contains added sugar. However, in the future, it is possible to launch product lines with glaze, the ingredients of which are pure cocoa paste with cocoa butter, blueberry paste, cranberry paste, raspberry paste, and orange, lemon, or lime peel paste. Fruit and berry spreads will use a unique icing recipe and present a crispy crust, while the cocoa paste is the more traditional choice for soft and delicate icing. This choice of glazing was made because of these products bright colors, usefulness, and recognition.

The Mission Statement

The mission statement of Kernel Keto is Fill the body with truly healthy ingredients. The purpose of Kernel Keto is to produce low-carb snacks that consist of natural ingredients. Many existing granola bars that are advertised as healthy are full of carbs and added sugar. Kernel Keto makes a difference because it offers nourishing granola bars, high in proteins, natural, and delicious, all at the same time. Kernel Ketos bars are created for vegans, vegetarians, meat-eaters, athletes, children, and those who snack on the go.

The price of the product is another of its strengths, as the ingredients of the product are purchased at competitive prices from local suppliers. Equally important, Kernel Keto provides additional services to its customers. For example, selling at wholesale prices, gift-wrapping or packaging with an alternative design for cafes and restaurants, and free shipping for large orders. Kernel Keto also offers a free tasting of new products on the companys opening day, with samples of bars with new tastes sent along with greeting cards. Additional services will demonstrate attention and respect for customers. At the same time, the overall relationship to the customer can be expressed through the common desire to create healthy and tasty products and improve the mood of customers.

The management style and attitude towards employees is an important elements of how a company positions itself in the market and is perceived by customers and partners. Therefore, Kernel Keto intends to provide a corporate culture that supports high moral values and takes care of its employees by creating stable and favorable working conditions for them. The work environment will have a transparent nature so that the HR department can help employees solve problems when they arise and monitor the quality of process management.

Kernel Keto will adhere to the rules of fair competition concerning the rest of the industry. This is an important element of success, given that the health food market is new and players who start to follow the existing rules are constantly appearing in it. Equally important, Kernel Keto will use original manufacturing techniques developed by technologists in the US and manufactured in China according to the proposed schemes. Kernel Keto aims to increase its sales revenue to $1 million by its second year of a business launch. Overall, Kernel Keto hopes to become one of the market leaders and establish its strategic position with a permanent base of loyal customers.

Trends in the Industry

During the last 5 years, consumers have shown an increased demand for organic products. Their attention to health is great, and they adhere to diets, the menu of which consists entirely of organic products. Natural food manufacturers that allow low-sugar sweets are also benefiting from this trend. As a rule, production costs for organic products are higher, which creates certain obstacles for producers. At the same time, the organic market shows steady growth despite the growing prices for the constituting products. Another serious problem is that organic products are only available to higher-income consumers, representing the main buyers group. The industry saw a 22% growth in 2017-2022 and experts predict a further 17% growth over the next 5 years, including 15% growth for granola and nutrition bars (Organic snack production industry, 2022). General Mills Inc. and Campbell Soup Company are the largest players in the US organic snack food industry.

Even though these market giants have considerable experience in the production of fast food products, less experienced manufacturers have an equal chance with them due to the nature of the industry. In todays organic snack food industry, companies produce packaged foods that are available for retailers. The organic ingredients that are used for production are certified by the USDA. It is noteworthy that today there are such categories of organic products  industrial products and services, salty snacks, fruit snacks, granola and nutrition bars, and others. Therefore, Kernel Keto, as a manufacturer of granola and nutrition bars, competes with both manufacturers of similar products and other types of products.

Strategic Position

Wise company managers ensure that their strategic position lies at the intersection of the companys strengths and interests. Industry trends and developments, market changes and opportunities brought through new technologies are also of great importance. Scholars mention that small companies that have a good understanding of the process of choosing or establishing the right strategic position can quickly grow from local sellers that target local buyers to a national manufacturer with average sales volumes. Therefore, Kernel Keto will pay special attention to strategic positioning to achieve its goal of $1 million in profit in two years. The researchers emphasize that manufacturers should properly prioritize and avoid investing in activities with lower priority. Therefore, the scholars mention that defining a strategic position is about creating a meaningful position in the market. This is a very sensible observation, and Kernel Keto will make every effort to create a unique position in the market.

Traditionally, strategic approaches to distinguish the company include customer perception factors, market segment, market share, operational and technological advantages, proprietary products, technology, abilities and relationships, sales channels, business model, first-mover advantage, lean start-up, and branding. Kernel Keto will rely on customer perception factors, including societal impact, features, price, quality, customer service, and convenience. It will also utilize the business model approach, choosing the sell physical products business model. For instance, the manufacturers and retailers can sell the products directly to consumers, through wholesale sales, brokering, leasing, shared ownership, subscription service, per-use fee, advertising and sponsorship, licensing and franchising, auction, donations, and grants. Therefore, Kernel Keto will rely on the direct and wholesale types of sales.

Distribution Channels

The company will sell the products in grocery stores, cafes and restaurants, and also in sports venues. Public places are good for advertising and attracting new clients. At the same time, Kernel Keto will sell the products online with direct delivery. Given the new realities associated with the pandemic, many shoppers are buying groceries in advance, and orders for home delivery are expected to rise. Unfortunately, soon, we can expect reduced demand in places of mass gatherings of people due to quarantine restrictions.

SWOT Matrix  Balancing Risks and Opportunities

SWOT matrix is a handy tool to determine the expected risks and opportunities, which is very important for determining development paths and strategies, including the strategic market position. Risk types include market, competitive, technology, product, execution, capitalization, and global risks. Companies often use the SWOT matrix to balance the risks and opportunities. For Kernel Keto, its main threats include competition with Munk Pack, Magic Spoon, and Perfect Keto.

On the other hand, given the growth trends in the industry of organic products, more favorable conditions for sales growth can be expected. Low barriers of entry for new competitors is another considerable threat. Some opportunities balance the threats: low-carb granola and bars have high demand among people who need a healthy diet. Also, Kernel Keto is in a niche market of health and wellness, a sub-niche of nutrition, and it has great potential among vegetarians, vegans, meat-eaters, and other people who prefer healthy lifestyles.

Reference

Organic snack production industry in the US  market research report. (2022). IBIS World. Web.

Concept and Vision

The daily life of the older people under medication is timely consideration for their medicines. The majority of the aged people have to take medication regularly, and due to their age, timekeeping has been a problem. Failure to keep time has made it impossible for older people to follow up on their medication on time. The scheduled time for any medication should be followed by the patient regardless of their age. For the case of aged people, it has been a challenge to adhere to their medications timed schedule. Mostly, it has been noticed that most of the older people have been skipping medication as scheduled due to their age factor. As they get older, some of these older people develop memory loss, and forgetting becomes a challenge.

Moreover, it is difficult for these older people to follow their medical schedule daily without being reminded. Therefore, there is a need to develop an innovative technology that will help them take medication on time. The most effective technology for solving this challenge is the use of a medical watch. The medical watch would help solve the issue of aged people forgetting about their medication schedule (Medical alert system., n.d.). The watch would use artificial intelligence technology that automatically reminds the older people about their medication. The activity will make the older people unable to forget their medication as scheduled by doctor. The requirement in this watch is for the clients to key in their schedule, the name, and medicine dozes for their daily activity. Like the telehealth technology, the watch will have the ability to get doctors directives over time.

Brief Market Analysis

In this scenario, the medical watch technology is related to manufacturing smartwatches for medical use in China. China has continuously advanced its technology in the healthcare department through the application of artificial intelligence systems. China has been offering its technological innovation to the next level, capable of manufacturing medical watches. This company will therefore develop medical watches after the idea is made. The market for the medical watch has been increasing in China, with most of its clients being aged people.

Brief Customers and Customer Development

The medical watch product will attract customers from different places, especially aged people. Older people are more targeted in this technological product development due to their challenges. Considering the report that older people have forgotten about the majority of their medication schedule, the older people forget to take their medicines on time and thus affecting their health. The medical watch product will make these older people take their medication on time and regularly as scheduled by their doctors. Most of these patients take medicines daily according to the doctors advice, which makes them risk their lives after forgetting.

Some health challenges requiring the patients to take medication daily include diabetes, heart disease, and stroke. Failure to handle these types of drugs daily makes older people risk death. Therefore, the target customer in this product development is more senior people. The medical watch would ensure that the aged people follow their medication well without any challenges. The older people, in this case as clients, will get reminded about their medication (Tun, Madanian, & Mirza, 2021). The watch will alarm the patient by articulating their name, the required medicine, doses, and where it is stored. The identification of customer requirements was made through interviews. The primary reason for the demand for medical watches is that older people forget much about their medical schedules.

The challenge of older people forgetting their medication might lead to severe health risks in their life. Notably, with this problem, clients need to be alert and take medicines even when alone (Lu et al., 2016). Not all time that caregivers will be present to help older people take their medications. The medical watch will provide essential support to older adults. The current technology has only provided the interaction between the nurse and the patient. However, the implementation of this technology would help eradicate challenges of medical dosage failure by older people.

Taking the medication on time had not found a solution in the past. Therefore, the medical watch made using artificial intelligence technology will help curb the past challenges for the aged. The aged people will have the ability to follow their dosage on time after providing the medical watch (Howell et al., 2017). The main targeted client informing this product are the older adults. Notably, most of these older people viewed hospitals and home care facilities where face interviews were done. The impression of medical watch is mainly made for the aged people taking medicines in the society.

Business Model

The business model is necessary after finding the demands that medical watches might have in the community. The development of business models is vital in ensuring that required information and resources are gathered. The essence of developing this model is to help get the required outcome out of the business plan. The planned business, in this case, is medical watch for the patients.

Team

For the medical watch business to work effectively, there is a need for expert workers who will support implementation. The present team in this business consists of experienced workers in artificial intelligence technology to execute patient service requirements. The business has incorporated different members to make it successful after execution. These business idea members include manufacturers, marketers, information technology experts, accounting teams, and support. The manufacturers in this business would be capable of incorporating machine learning and engineering to make an effective medical watch product.

The business would consider some people with similar projects who utilize artificial intelligence technology. Secondly, the information technology experts will have the ability to carry out the configuration of alarms, screens, storage, and all other medical watch parts. The marketing team also can promote the business through the social media, TVs, and other channels of communication. The accounting team also consists of excellent financial analysts for enabling the management of capital. The team is fully supported by a support team that ensures that all activities are carried out well. The support team will provide the older people with support on any question regarding the operability of medical watches. The support team is skilled in both the technological and mechanical bits of the product.

Financial Analysis

7. Future Action Plan

The current businesss future will consider expanding the medical watch business sales to the older people in the community using medication. The demand increase will preferably improve the future gains of the company. For the future to be bright, the organization will require some strategies for expansion. One of the opportunities for enabling the end of the business is increasing the financial aid for the company. Secondly, improving promotional activities for reaching a higher number of customers is essential in future goals achievement. For instance, employment of social media platforms like Instagram, Twitter, and Facebook for marketing. The expansion of the company in future will depend on the required service delivery to the target customers.

References

Tun, S. Y. Y., Madanian, S., & Mirza, F. (2021). Internet of things (IoT) applications for elderly care: a thoughtful review. Aging clinical and experimental research, 33(4), 855-867.

Medical alert system. (n.d). Best Medication Reminder Watches. Web.

Howell, E. H., Senapati, A., Hsich, E., & Gorodeski, E. Z. (2017). Medication self-management skills and cognitive impairment in older adults hospitalized for heart failure: A cross-sectional study. SAGE available medicine, 5, 2050312117700301.

Lu, T. C., Fu, C. M., Ma, M. H. M., Fang, C. C., & Turner, A. M. (2016). Healthcare applications of smart watches. Applied clinical informatics, 7(03), 850-869. Web.

Business Description

My perceived form of business is a hotel business which shall offer food, alcoholic and non- alcoholic beverages and outside catering services. The hotel shall have a restaurant, a coffee shop and a bar. The hotels name shall be Delicacy Hotel and Restaurant and shall be located at 9 East 89^th Street in New York City. The target market of the business shall mainly be students and staff from neighboring schools, such as The Dalton School. The type of food sold shall mainly be fast foods which shall be packaged in environmentally friendly materials. A la carte meals shall also be prepared to customers on request. The restaurant shall offer assisted services to the guests. The projected date of commencement of the business is 1^st January, 2014.

The business shall employ the services of other staff members. The composition of staff shall be a full-time general manager, finance controller, 3 general cashiers, an executive chef, 4 cooks, 6 waiters, one storekeeper, 3 floor attendants and 2 security personnel. This staffing plan shall be efficient for a fast-food business concept and will ensure that the business is neither over-staffed nor under-staffed.

Form of Business

The business shall be a limited partnership business comprising of two business partners. One of the partners shall be actively involved in the day-to-day running of the business in the capacity of the General Manager while the other shall be a quasi-partner who will only contribute capital to the business and share from its profits. This partner is the investor being targeted through the creation of this business plan. The capital contribution and profit-sharing ratio shall be 1:1 between the partners. I also target Citibank as the provider of funds in the form of a bank loan.

This form of business ownership shall offer the following benefits to the business:

1. Decision-making shall be fast, making the business take advantage of short-lived business opportunities (Schneeman, 2013).
2. The liability of one of the partners shall be limited, meaning that his/her personal assets shall be viewed separate from the assets of the business especially in the case of liquidation (Schneeman, 2013).
3. There is no double taxation as the case is with Corporations. The partners share of profits shall be treated as personal income and taxed as such.

Chart of Accounts for the Business

The following are the accounts to be maintained by the business, owing to its nature:

Accounting Methods to Be Used

Generally Accepted Accounting Principles shall be adopted by the business to guide in the preparation of financial statements which meet the qualities of good accounting information in terms of relevance, reliability, comparability and consistency. Some of the accounting principles to be adopted by the business in the preparation of financial statements include the revenue recognition principle, the matching principle, full disclosure principle, the cost principle, the principle of materiality and that of conservatism. The business shall adopt the accrual financial reporting basis where incomes and expenses shall be recognized when services are offered and received respectively, regardless of whether cash will have been received or paid out. Other business accounting principles to be adopted include the International Financial Reporting Standards and shall also be incorporated into the business wherever applicable. This shall be aimed at keeping abreast with changes in accounting practices. International Financial reporting standards (IFFRS) are slowly replacing the Generally Accepted Accounting Principles (GAAPS) in a bid to ensure uniformity, especially due to the effects of globalization (Axson, 2013). A good application of the application of IFRS shall be during the pricing of material issues by the stores department where last in, first out (LIFO) shall never be used since IFRS do not recognize it. Revaluation of assets shall also be done whenever the book values of non-current assets of the business deviates considerably from their real market values, which is a principle in IFRS.

Proforma Income Statement

The following is the pro forma Income statement for Delicacy Hotel and Restaurant for the year ending 31^st December 2014.

Proforma Balance Sheet

The following is the pro forma balance sheet as at 31^st December 2014:

The assumption made is that the business shall command a considerable portion of the market after spending much on promotional activities. This is supported by the availability of educational institutions in and around East 89^th Street where the business is located. The next assumption is that the business shall be granted all the licenses it needs in order to operate. Another assumption is that most of the students who are above 21 years of age take alcohol, hence its a ready market for the business bar. The start-up funds shall be provided by two investors, the quasi partner and a loan from the bank. Both parties shall contribute $150,000 each, which shall be used to acquire the non-current assets to be used to drive the revenue generating activities of the hotel. The pick-up truck shall be used to carry raw materials from the market to the hotel. It will also be very helpful in supporting the outside catering activities of the business. Miscellaneous expenses shall comprise the cost of items such as packaging materials, vehicle fuel and other expenses which are not major in the organization.

Internal Controls for Asset Protection

The business will employ several asset protection strategies in order to ensure that assets are safeguarded from harm or theft. Firstly, insurance cover for the facility and all the fixed assets of the business shall be taken from American International Group, Inc. This will transfer the risk from any externalities to the insurance company for compensation in case of loss which will be a relief to the management. Secondly, the standard operating procedures and user manuals of all equipment shall be availed at the asset locations in order to ensure that users understand how to operate them. Periodic maintenance of the equipment shall also be conducted to maintain the assets in good working conditions. In addition, operation of all the hotel equipment shall be assigned to specific qualified personnel. This will be for accountability reasons and will also serve to minimize the likelihood of losses arising from equipment mishandling. Challenges of equipment handling by unauthorized employees shall be addressed through implementing strict actions against employees who do so without due authorization. This way, the assets of the business will be safeguarded from all internal and external eventualities, thus securing the investment.

Customer and supplier information shall be treated with utmost confidentiality. To do this, several measures shall be taken. The information shall be stored in computers with user-specific passwords. Access to such information will be restricted to only the authorized personnel. Furthermore, printed documents containing customer and supplier information shall be locked up safely in document cabinets and shredded when they are no longer required by the organization. All employees shall be educated on policies relating to customer privacy and the consequences of non-compliance to boost customer and supplier information security.

Impact of the Regulatory Environment

The hotel business is regulated by several laws which the business shall be keen to comply with (Barth & Hayes, 2009). To operate within the law and to shield the business from litigation relating to non-compliance, the business shall adhere to all policies relating to its area of operation. All operating licenses shall be taken to permit legal operation. The business shall ensure the highest possible hygiene standards so as to produce foods and beverages that are fit for human consumption (Wood, 2013). The basic guidelines of the law of contract shall form the basis of the transactions between the business and its customers. In addition, alcoholic beverages shall not be served to people who have not attained the minimum drinking age of 21 years.

The organization shall also maintain proper books of accounts in accordance with the Generally Accepted Accounting Principles and International Financial Reporting Standards. To safeguard the interest of creditors and the quasi partner, the business shall employ the services of external auditors from PricewaterhouseCoopers who shall conduct an independent scrutiny of the accuracy of financial statements and give an opinion on the same in accordance with Sarbanes-Oxley Act (2002). To fully comply with the Act, the general manager shall be personally responsible for ensuring that the accountant complies with the Act and give an assurance to all stakeholders of the business that all the accounting requirements are complied with (Fletcher & Plette, 2008). These are aspects of the regulatory environment which shall have a direct bearing on the operations of the business. In all business decisions, the legal form of the matter shall prevail so as to always operate within the law.

References

Axson, D. A. (2013). The management mythbuster. Hoboken: Wiley.

Barth, S. C., & Hayes, D. K. (2009). Hospitality law : managing legal issues in the hospitality industry. Hoboken: John Wiley & Sons.

Fletcher, W. H., & Plette, T. N. (2008). The Sarbanes-Oxley Act : implementation, significance, and impact. New York: Nova Science Publishers.

Schneeman, A. (2013). The law of corporations and other business organizations. Clifton Park: Delmar Cengage Learning.

Wood, R. C. (2013). Key concepts in hospitality management. Los Angeles: SAGE.

Introduction

A business plan is an outline of the business goals, strategies, and resources that an entrepreneur desires to employ in an investment. It further details the financial forecasts by showing the probable business revenues and expenses. In writing a business plan, there are several steps that need to be observed.

Discussion

The entrepreneur should begin by defining the business goals and objectives. They indicate the wishes and hopes that the entrepreneur hopes to attain through the business along with the competitive advantage. The entrepreneur should also describe the product or service offerings. They can be stated in the form of the problems that the business seeks to solve in society. The business model defines the sources of revenue for the new business. In addition, writing a business plan involves describing the industry, target market, and competitors. Market research helps the entrepreneur to make informed decisions about the business. The business plan must define the marketing and sales strategy. It entails indicating ways and means to be used to reach and sell to the target market. A financial plan is drawn to show the projected balance sheets, income statements, and cash flow statements. The last part of writing a business plan is the executive summary, which appears in the first pages. The executive summary is written last as it provides a brief overview of the business plan. Its purpose is to clarify everything and highlight the key points covered while writing the business plan.

Conclusion

Lastly, it is good to review the business plan besides recommended templates and samples to get an understanding of the scope and format that are standard in the target market and industry. The assessment helps to improve the structure of the business plan and ensures that important points are not omitted.

Executive Summary

Herbal is a small herbal company that has recently had a breakthrough in cancer research as one of its painkillers cured liver cancer of a lab rat. At the moment, the companys CEO is looking for an investment of AED 3 million to refine the drug and start testing it on human subjects. With the constant growth of the cancer drugs industry, Herbal has massive potential to capture a large market share due to the innovative nature of the new drug. The companys further activities in terms of marketing, operation, and management will be analyzed. Also, the compliance with the current legislation will be assessed, and the budget will be planned. Key risks and potential barriers will be identified and addressed, the timeline of key further activities will be set, and the exit plan will be designed. Overall, Herbals prospects are estimated as favorable, but certain possible complications will require extensive attention.

Introduction

This business plan aims to present an innovative pharmaceutical company, Herbal, to potential investors. The plan will include such key elements as a description of the business, marketing and operations suggestions, management and financials, as well as exit strategy for investors. Opportunities for Herbal are vast; as a company that specializes in natural medications, it can capture the attention of healthcare providers and patients.

Business Description

General

Herbal is a business that is currently at the stage of a breakthrough associated with the discovery of a drugs effectiveness in treating one type of cancer in lab rats. Herbals owner, Majid, who inherited the business from his father, reported outstanding results of further testing; the medication completely cured the liver cancer of one of the lab rats. The company is looking for investors to collect funds to continue testing the drug on human subjects.

Industry Background

The global industry of cancer medication has recently evidenced a massive spike in sales. According to Herper from Forbes, annual sales could reach $147 billion in 2018, which points to the vast potential for the development of new medications. Essential characteristics of the modern market include:

• Cancer patients living longer after diagnosis;
• The U.S. healthcare system spends the most on cancer drugs (as an absolute amount);
• Europe spends the most (as a percentage of total spending);
• Rising approval of cancer drugs;
• Economic prices;
• Predominantly patients pay for their medications.

Plans Goals and Potential

The plan is aiming to attract interests of potential investors for continuing testing Herbal of human subjects. Opportunities for the plan are vast since the pharmacological industry makes large investments in Research & Development and welcomes new entrants to the market.

Uniqueness of Opportunity

The opportunity to invest in Herbal and facilitate research on human subjects is unique since not many pharmaceutical companies can boast of the natural ingredients from which their medications are made. The fact that Herbal is made from natural components and has proven to be effective is a unique fact, which can be later used to the companys advantage.

Statement of Resilience

Key Performance Measures

To facilitate marketing and sales of the future product, Herbal can use the following key performance measures:

• Cost per Lead for assessing whether Herbals marketing campaigns are cost-effective;
• Cost per Customer Acquisition for determining the cost of each marketing step targeted at convincing customers to choose Herbal;
• Customer Retention for analyzing the effectiveness of Herbal in retaining long-term customers;
• Opportunity-to-Win Ratio for evaluating Herbals success when it comes to transforming leads into actual sales of the drug.

Market Analysis

The global market for cancer drugs is forecasted to make $111.19 billion in 2020 (Zion Market Research). With the recent breakthroughs in biological therapy, healthcare professionals can now increase the procedures for therapeutic targets as well as work on the identification of genes that can predict the occurrence of tumor cells (Zion Market Research). In 2015, the global market for cancer drugs accounted for $78,238.9 million, significantly facilitated by the discovery of various types of cancer and thus increasing the demand for drug therapies (Zion Market Research). Also, apart from the European and American markets, the Asia-Pacific region and the Middle East are also expected to grow.

Marketing

Target Market

Healthcare professionals, governments, and individual patients are all targets of Herbal. In case of the medications success on human subjects, Herbal is expected to be used for the treatment of liver cancer within a variety of healthcare settings. The target markets size is assessed below, but what is especially relevant is not only the size but also the expected demand: with the 5-year survival rate of 18 percent (Cancer.Net Editorial Board), the demand can be expected to be high due to the dramatic threats posed by liver cancer.

Market Size

Key global players in the production of cancer medication include Pfizer, Bayer, Johnson & Johnson, Novartis, Merck, Bristol-Myers Squibb, and many others (Zion Market Research). According to the prognosis, the global market for cancer drugs will grow at 7.4% to reach $161.3 billion by the end of 2021 (Zion Market Research). The market is segmented in accordance with different therapeutic aspects of cancer treatment, such as immunotherapy, chemotherapy, targeted therapy, and others.

Competitive Analysis

Competition in the cancer drugs market is associated with the demand of healthcare providers, governments, and patients to get effective medication at lower costs. Annually, top-selling cancer drugs generate over $50 billion, with the industry leaders Rituxan, Avastin, and Herceptin (produced by Roche) generating $21 billion alone (Stone).

Estimated Market Share

Since annual data sales of the global cancer drugs in the UAE alone are not readily available, the estimated market share of Herbal will be calculated based on worldwide figures. If to take into account a rough estimate $50 billion generated by the global cancer medication industry, and the forecasted $2 billion in sales for Herbal, the estimated market share of the company in the global arena will be 4%.

Operations

Business Location

Since Herbal has already established its business in Abu Dhabi, it is recommended to continue its operations there. Despite the fact that 75%-85% of medications used in the UAE are imported from abroad, the government encourages the Research & Development (R&D) of new products that can benefit the industrys growth (Medisal).

Locations Advantages

Abu Dhabi is the location where many UAE pharmaceutical companies operate; Medisal, Neopharma, Gulf Pharmaceuticals, and others have established offices in the city for the increased convenience of logistics and the overall operations. As the capital of the UAE, Abu Dhabi is the most appropriate location for Herbal because it will open new opportunities to find investors, hire skilled personnel, and facilitate productive marketing.

Issues of Zoning

Issues associated with the chosen locations include the need to make a substantiate investment from the beginning, the governments desire to regulate licensing and incorporation of businesses, difficulties with finding talent, high costs of renting offices, as well as expenditures associated with traveling to Europe and the US to find new partners and investors.

Implications of Taxes

Currently, there is no sales tax or value-added tax imposed on the UAE businesses; however, the situation may change between January 1, 2018, and January 1, 2019, due to the decision of GCC countries to introduce a unified value-added ta at the rate of 5% (Baker and Al Mulla 8). Therefore, Herbal should be prepared for possible changes and take into account the fact that tax payments may transform into a substantial aspect of expenditures.

Analysis of Logistics and Transportation

In the beginning, Herbal will cooperate with local logistics firms to ensure a smooth operation of distribution processes. It is crucial to ensure the Herbal gets delivered to pharmacies and hospitals around the UAE; therefore, the company can also involve distributors that are already working with healthcare facilities and pharmacies to optimize transportation.

Legislation/Compliance

The key legislation of the UAE with which Herbal is required to comply is linked with the prohibition of preparing, producing, and marketing medications without attaining a license. Also, without a permit, Herbal will be unable to open up a pharmacy or a production plant.

Management

Profiles of Key Management

Herbal is managed by Mr. Majid (CEO) who has recently taken a personal bank loan to refine the new product. A Vice President will be hired to guide the operations of Herbals Project and R&D Manager, a Human Resource Manager, an Administration Manager, an Accounts Manager, a Marketing Manager, and a Production Manager.

Companys Legal Structure

As Herbal is a small company that was inherited from the family, the most appropriate choice of its legal structure at the current stage of development is a sole proprietorship. Unlike a partnership or a corporation, this legal structure is not hard to create since it gives full control to Herbals owner, Majid, who will also be subjected for personal liability regarding the companys financial operations.

Advisors, Consultants, and Board of Directors

Herbals Board of Directors will consist of a Vice President (CEO), a Director of Communications, a Director of Finance, a Director of Research and Development, a Development of Marketing and Sales, and a Director of Operations. Also, the company will hire part-time consultants (from spheres of pharmacology and marketing) to independently review Herbals progress and give advice on further steps.

Financials

To facilitate further research and development of the product, an additional AED3 million ($816,800) is needed. It is expected that R&D will take up to AED734,600 ($200,000); marketing efforts will cost approximately AED367,300 ($100,000); operational and production costs are prognosed to make up AED1,101,900 ($300,000) while other expenses will take the remaining AED793,400 ($216,000).

Critical Risk Analysis

Potential Problems and Mitigation

Potential problems that Herbal may face as a small business vary depending on the companys readiness to delve into large-scale testing and production. Hiring, providing employee benefits, cash flow management, and client dependence are key issues to consider. To hire skilled employees, Herbal will have to go through an extensive screening and selection process to only hire those people who have experience in the field. As a small business, Herbal will need the help of investors to establish a competitive benefits package to retain its employees. The optimization of budgeting and invoicing practice will benefit cash flow management while the diversification of the client base will prevent Herbal from relying on a small number of customers.

Environmental Risks

Environmental risks can range from external threats from competitors to the lack of investors interests. At the moment, the UAE does not have a competitive market of pharmaceuticals; however, Herbal is threatened by foreign giants such as Bayer or Pfizer that import their products from overseas. Another risk is the inability to find reliable investors that will fund the R&D of Herbal and test it on human subjects. Lastly, changes in legislation and taxation policies may limit the companys success.

Alternative Plans

Alternative plans for Herbal may include moving to the US to pursue extensive research and finding investors as well as making a pause in research to get new ideas.

Exit Strategy

Plans for Investors

A private offering is a strategy that can be used for Herbal, which is a sole proprietorship. Shares of Herbal will be offered to individuals interested in purchasing the company. This strategy is more affordable and requires less time while allowing the owner to target only those people who share similar interests with the company.

Assets Transferring

All assets (ranging from human resources to hardware) will be conducted within a set timeframe depending on urgency. It is crucial that Herbal develops an agreement with investors with regards to including specific assets that should change ownership upon the transfer.

Business Strategy Continuity

If an emergency arises, Herbal should have an effective continuity strategy to withstand the limitations associated with the emergency. Storing valuable data on external devices, transferring operations to co-workings if the office is unavailable, or forecasting potential disruptions are all strategies that can become effective for maintaining the companys continuity.

Successors

Despite the fact that Herbal was inherited from a father by a son, Herbal will choose successors based on their contributions to the business through expertise and overall success. Over the course of several years, Herbals CEO will conduct reviews and assessments of employees and managers productivity to determine who contributes the most. The contributors will become individual successors; however, if assets are transferred to corporate entities, the latter will be considered successors.

Project Plan

Objectives

The project plans goals are to find investors who will be interested in supporting Herbal in its R&D efforts and make an overall presentation of the business and its aims. As a small business, Herbal expects to develop a groundbreaking medication that will add value to the global industry of cancer medications.

Timing Plan

It is expected that it will take approximately sixteen months from research to delivering Herbal to pharmacies and hospitals. The plan will be divided into three key stages: research and testing on human subjects, development, and refinement of the drug, and production, marketing, and distribution.

Deadlines and Milestones

• From December 1, 2017 to April 1, 2018  research and testing;
• April 1, 2018  October 1, 2018  development and refinement;
• October 1, 2018  February 1, 2019  production, marketing, and distribution.

Works Cited

Baker, McKenzie, and Habib Al Mulla. Doing Business in the United Arab Emirates. Bakermckenzie, 2017. Web.

Cancer.Net Editorial Board. Liver Cancer: Statistics. Cancer.Net, 2017. Web.

Herper, Matthew. The Cancer Drug Market Just Hit $100 Billion and Could Jump 50% in Four Years. Forbes, 2015. Web.

Medisal. Market Place. Medisal, 2017. Web.

Stone, Kathlyn. Top 20 Blockbuster Cancer Drugs. The Balance. 2017. Web.

Zion Market Research. Global Cancer Drugs Market Size & Share Will Grow USD 161.30 Billion by 2021: Zion Market Research. Zion Market Research, 2017. Web.

Introduction

Setting up an independent practice is a challenging task for a nurse practitioner, mainly because of legal and financial constraints. According to Bosse et al. (2017), full practice authority for advanced practice registered nurses is recommended to achieve the high quality of primary care. Nevertheless, many states do not allow nurse practitioners to practice without a collaborative agreement with a physician (Buppert, 2018). As shown on the map prepared by the American Association of Nurse Practitioners (AANP, 2018), New Jersey is among the states that set reduced practice authority for nurse practitioners. This means that state law requires a career-long regulated collaborative agreement with another health provider in order for the NP to provide patient care, or it limits the setting of one or more elements of NP practice (AANP, 2018, para. 3). This aspect of the legislation might limit the nurses capacity to open an independent practice because it creates the need for supervision and prevents nurses from carrying out the full range of duties as care providers.

In states with full practice authority, such as Vermont, Connecticut, or District Columbia, nurses can perform all manipulations required to provide patient care, from patient examinations to prescribing controlled substances (AANP, 2018). This model has a positive influence on primary care quality because it increases the number of independent care providers available and allows nurses to apply all their knowledge and experience to practice without limitations. While setting up an independent practice in one of the full practice states would be more beneficial, the present business plan considers an NP-led clinic in New Jersey.

Business Structure

In order to open an independent practice, it is critical for a nurse practitioner to consider various business structure available today. For a small clinic, there are two key options available: sole proprietorship and partnership. The primary difference between these business structures is the number of owners and their scope of authority and responsibility. Hopson and Hopson (2014) state that sole proprietorship is the easiest form of ownership because it only involves one person who is fully responsible for the business. Partnership, on the other hand, will include two or more owners who may have different responsibilities or authority (Hopson & Hopson, 2014). A partnership can also assist the nurse practitioner with financial concerns since it requires both partners to invest in the business (Hopson & Hopson, 2014). Given that New Jersey laws require nurse practitioners to work with a collaborative agreement, it would be beneficial to consider opening an independent practice in partnership with a physician.

Employee Structure

There is a variety of jobs that must be performed in clinical practice, and thus the nurse practitioner will need to recruit at least ten members of staff. As seen in Figure 1, the nurse practitioner/practice administrator and the physician are at the top of the organizational chart because they have the most authority and responsibility (Johnson & Garvin, 2017). Additionally, there is also the administrative, patient service, clinical, and assisting personnel (Johnson & Garvin, 2017). The administrative staff includes billing and coding, accounting, and insurance personnel. The IT function should also be part of the administrative department, but it could be outsourced to control the costs. Employees in patient services include receptionists, who are responsible for meeting patients and creating appointments. The clinical staff involves nurse practitioners and clinical assistants who see patients and render medical care. Lastly, the support staff includes cleaning, maintenance, and security workers, who can either be outsourced as needed or employed full-time. The chosen employee structure will help to control personnel costs while enabling the practice to run smoothly.

Services

The clinic will focus on providing primary care services to the local population. According to research, there is an issue of reduced access to primary care among certain populations, such as elderly persons (Hahn & Cook, 2018). Establishing an NP-led primary care clinic will help to improve access to care in the local community and have a positive influence on population health. The nurses working in the clinic will provide patient assessments, order and interpret diagnostic tests, and prescribe treatments.

Costs

The monthly costs of establishing an independent practice include a variety of expenses required to run this type of business successfully. Monthly costs are usually lower than start-up costs because there is no regular need to lease a new facility or buy new equipment. Table 1 presents an overview of the monthly costs of running an independent nursing practice in New Jersey. However, it is essential to note that these numbers are estimates and might vary from one area to another, as well as among different practices.

Table 1. Estimated monthly expenses.

Projected Monthly Income

In order to calculate the projected monthly income required to support an independent practice, it is essential to combine the total monthly expenses with any loan repayments and taxes. The total estimated monthly expenses for the clinic are $74,500. If the nurse practitioner has taken a $200,000 bank loan for ten years at an interest rate of 7% to start the practice, they would need to include an additional payment of $2,322.17 each month. Finally, the taxes paid by partnerships in New Jersey differ depending on the income but should be no more than 9% of the net income. Hence, the projected monthly income required to support the planned independent practice would be about $85,000.

References

American Association of Nurse Practitioners. (2018). State practice environment.Web.

Bosse, J., Simmonds, K., Hanson, C., Pulcini, J., Dunphy, L., Vanhook, P., & Poghosyan, L. (2017). Position statement: Full practice authority for advanced practice registered nurses is necessary to transform primary care. Nursing outlook, 65(6), 761-765.

Buppert, C. (2018). Nurse practitioners business practice and legal guide (6th ed.). Burlington, MA: Jones & Bartlett Learning.

Hahn, J. A., & Cook, W. (2018). Lessons learned from nurse practitioner independent practice: A conversation with a nurse practitioner entrepreneur. Nursing Economics, 36(1), 18-22.

Hopson, J. F., & Hopson, P. D. (2014). Making the right choice of business entity. The CPA Journal, 84(10), 42-47.

Johnson, J. E., & Garvin, W. S. (2017). Advanced practice nurses: Developing a business plan for an independent ambulatory clinical practice. Nursing Economics, 35(3), 126-141.

Goals are essential to ensure that the goals and objectives of a firm are achieved in an effective and efficient manner. Goals play a critical role especially in research, development, marketing, distribution and sales. The first goal of the company is to provide its customers with state of the art wheelchairs. The world is experiencing a lot of advancement in the field of information and technology.

However, not much of these advancements have been put forward to improve the livelihood of disabled individuals.

With the technology and expertise that the company contains, it shall develop state of the art wheelchairs that will assist physically disabled individuals to perform their daily activities in an effective and efficient manner. This will not only improve their productivity, but it will also increase their comfort and mobility.

The second goal of the company is to ensure that the wheelchair venture is profitable in the short run and in the long run. To achieve this, the company has developed strategic plans and policies that aim at reducing the cost of production. The company is located at a strategic location where skilled labour is readily available.

The location also guarantees easy importation of raw materials and exportation of finished products to the target market in Dubai. With these factors in place, the company shall enjoy the economies of scale, reduce its production costs, and adjust its selling price to enjoy maximum profits (Braue, 2000).

The final goal of the company is to satisfy the needs of its customers. To achieve this, the company shall develop high quality wheelchairs that conform to the needs, tastes and preferences of its customers. At the same time, the company shall ensure that the selling price of the product is affordable to its target market.

As a result, the wheelchair sales of the company shall increase and its brand reputation will grow resulting into brand loyalty hence sustaining the operations of the firm in the short run and in the long run (Spender, 2012).

Value Propositions

Our product shall aim at improving the mobility of disabled individuals. It has always been a practice of wheelchair manufacturing firms to provide its customers with reliable wheelchairs. However, these wheelchairs do not contain the latest technologies that will maximize the users experience.

On these grounds therefore, our product shall have a modified design of the traditional wheelchair to incorporate the sophisticated features that shall be installed. Additionally, the modification will give it a smart look. This will not only improve its appearance but it will also improve its performance hence meeting the ever-increasing demand of the market.

The wheelchair shall have an additional set of wheels behind the propelling wheels to improve its efficiency and power distribution. The wheelchair shall also have adjustable leg-rests. This will enable one design to be used by individuals of different size and ages. Enhanced sensors, communication, and navigation systems shall be installed in the wheelchair.

With the help of the camera and radar systems, the sensors shall work in synchrony with the breaking system to eliminate any chance of head on impacts.

The communication system shall be powered by two different 3G systems that will enhance the functionality of the navigation system (this will be linked to Google maps), monitoring system (monitoring the health of the user and contact necessary authorities in case of an emergency), and the weather system.

The wheelchair shall be powered manually or with the use of electricity (running on rechargeable batteries). These batteries shall be charged in the following ways:

1. By electricity.
2. By solar.
3. By power generated from manual propulsion of the wheelchair.

The batteries shall have a long life and will be able to propel the wheelchair for approximately 20-30 kilometres depending on speed and terrain. The wheelchair shall also be fast and powerful going to the speeds of approximately 40 km/hr.

Value Chain

As it has been stated earlier, our product shall be manufactured in Australia. This is due to the easy availability of the factors of production (labour, land and capital). The proximity of the manufacturing plant to the port will ensure that the process of importing raw materials and supplying the finished products shall be easy.

To ensure that the manufacturing, transportation, marketing, and delivery of the product to the consumer are effective and efficient, our company shall collaborate with other agencies especially in Dubai. The company shall contract a clearing and forwarding agent to ensure that the shipping and clearing of the products in the ports of Australia and Dubai is conducted securely.

The company shall also contract a transporting and warehousing company to store the products and deliver them to outlets where they shall finally be sold to the consumer. Finally, the company shall hire an advertising agency to create market awareness of the product to the public.

Trade-offs

The manufacture of our product requires huge of financial investments. It shall therefore be difficult for our firm to produce such a high quality product and set a low selling price. It is with regards to this fact that the final product shall be sold at a similar market price as other smart wheelchairs within the market despite the fact that the initial goal was to sell the product at a lower price.

However, from a critical view, the value that the consumers shall get from our product shall be much higher than the price that they have paid for. The performance and features that the product has is much higher than that of similar products in the market. With this in mind, it is expected that customers shall be willing to pay extra to enjoy high quality service from the product.

The firm is willing to spend even much more on research and development to ensure that the product conforms the needs and requirements of its customers. With a high performance product, the firm is expected to develop loyal customers who will improve the reputation and recognition of the brand within the market.

Strategic FIT

The operations of our company have in synchrony to ensure that the development stages of the product follow a systematic manner from the point of its design until it is sold. The strategic location of the manufacturing plant in an industrial region shall increase the ease at which factors of production can be acquired. The product shall also be developed in stages.

In every stage of development, consumers shall be given a chance to evaluate the features of our product and give us feedback on what to needs to me maintained, improved or done away with altogether. Finally, our firm understands that ad-hoc management is the key to the success of any organization (Glazer, 2011). Therefore, the company has adopted a decentralized management system where the Board of Directors head the firm.

The Board of Directors is made up of the owners of the firm one of whom is the Managing Director. Under him are departmental heads and the staff of each department.

With its decentralized form of management, employees at all levels of management play a critical role in the decision making process. Information also flows in all directions. This form of management also encourages teamwork hence ensuring that the overall operation of the firm is effective and efficient.

Continuity of Direction

To ensure that the operations of the firm are effective and efficient, it shall be necessary for the management to hold frequent meetings. These meetings will ascertain the overall performance of the firm in comparison with the set goals and objectives. It is here that strategic changes can be developed and implemented. With the help of Porters 5 forces, the firm shall constantly monitor the industry as well as the market (QuickMBA, 2012).

The firm also needs to have a clear under of its internal and cKnowledge of political, economic, social, technology and legal frameworks that affect its operations are also critical (Stewart, 2011).

Finally, the firm will have a feedback mechanism that will assist in understanding the needs and requirements of its customers. All these factors will play a critical role in the success of our product ensuring the profitability and sustainability of the firm in the short run and in the long run.

References

Braue, C 2011, The challenges of asset management: Part one. Web.

Glazer, R 2011, Measuring the Knower: Towards a Theory of Knowledge Equity, California Management Review, vol. 40 no. 3, pp. 175-194.

QuickMBA 2012, Porters Five Forces: A Model for Industry Analysis. Web.

Spender, J 2012, Organizational Knowledge, Learning, and Memory: Three Concepts in Search of a Theory, Journal of Organizational Change Management, vol. 9 no. 1, pp. 63-78.

Stewart, T 2011, Intellectual Capital: The New Wealth of Organizations, Nicholas Brealey, Chicago.

Introduction

Queen Kebab Shop (QKS) will be a fully owned joint venture business. The shop will be situated at Waterford Plaza Shopping Center in Karawara. It will be along Manning Road and at Corner Kent Street. The QKS will offer kebabs made from various sauces, a choice of salads, and freshly baked bread. Besides, the shop will provide tastiest kebabs, and its menu will be wide.

The menu will comprise of deserts, salads, vegetarian dishes, and specialties. The specialties will include mixed platters, Garlic bread, great coffee, sweets, pizza, dips, and samosas.

Baklava specials, cakes, lamb, mixed, chicken, Mezze, on rice, and shish kebabs will also be offered at affordable prices. QKS will focus on offering the most delectable food originating from fresh ingredients. Thus, its menu will have products and specialties section to meet the rising demands of clients.

Identified opportunities for opening up the promising Queen Kebab Shop

To carry out this promising business, the QKS advertising campaigns will target the older generation and youths. There are numerous and promising business opportunities in the area where QKS will be located. For instance, there are residential settlements, schools, businesses, technology parks, and higher learning institutions.

All these are situated around Karawara, Bentley, Como, Wilson, Shelly, Manning, Waterford, as well as Victoria Park where the shop will be located. Therefore, the target market will comprise of students and tutors from the nearby higher learning institutions such as Curtin University, Penhros, Aquinas, and Cannig Colleges.

Other markets that QKS will target include both adults and children from the residential settlements, schools, businesses, and technology parks.

How Queen Kebab Shop will serve the clients differently

QKS intends to serve the target market in a different way from how business currently serves it. First, QKS will emphasize on the development of menus that clients wants. Nonetheless, since the requirements of clients eventually vary, QKS will phase out old products by introducing new ones (Ritcher, 2012).

Food items in QKS menu are expected to vary in attractiveness. Secondly, clients usually attach the values of products to the charged prices. Since most competitors charge low prices on their products, QKS will offer its products in two categories to have an established integrity and brand identity.

QKS, unlike other market rivals, will offer core value products and affordability products. These products categories will have different price attachments to satisfy clients who have different perceptions on prices.

Third, market rivals rarely use different product promotion tools. QKS will use various promotional tools to serve its clients. The adverts will be carried out through press and posters, online, televisions, and radios. Besides, the shop will use door drops, loyalty schemes, direct mails, merchandizing, points of sales displays, and sales promotion to serve the clients (Angehrn, 1997).

Product details will be made available through the press, but products promotion will be done through television. Finally, QKS will have different outlets to make products more accessible to the clients. The outlets will have employees who wear standard uniforms.

The focus will be to offer prompt and friendly services to clients. Food processing will be transparent to allow customers judge and view food ingredients as well as the hygienic standards.

Marketing mix to be used by Queen Kebab Shop

QKS will utilize various marketing mix to achieve its business objectives. The first aspect is effective service and products pricing (Ritcher, 2012). QKS will price its products in different ways. To be market leader, the shop will categorize the food items according to the prices charged.

In fact, products prices will be match those of other market opponents. Valuable products that require high-end icons will have higher prices attached to them. QKS will ensure that customers who buy many goods get discounts. The shop will examine the product pricing at the point of sale to increase its sales.

The other ingredient that Queen Kebab Shop will employ is situating services and products in a strategic positions where they easily accessible. This will entail distribution channels and special stores where products and services can be promoted and sold. Furthermore, distribution channels will be opened to establish QKS products and effect online promotion (Brown, 2009).

The third aspect will be to focus on products that the shop intends to sell. This will comprise of physical products, brand icon, and serving the available products. The shop will verify the right product to sell before instigating its sales and distribution to the target market (Ritcher, 2012).

QKS will ensure the products are fashioned properly towards meeting the demands of the target market. This will ensure that clients develop products preference towards the offered products.

Finally, QKS will strategically promote its products and services through various means. This will involve using advertisement channels like radios, televisions, internet, and newspapers. Besides, the shop will send sales representatives on a door-to-door promotion mission to facilitate the recognition of its products brands and service identity.

Online internet presence

The presence of an online internet will be useful for QKS. As indicated by Li and Wang (2010), for QKS marketing to be effective, it has to integrate both the marketing principles and technology. As such, the websites for this shop will encompass product-marketing dimensions including communication, transaction, technical merit, and relationships with clients.

The internet will be used to advertise products, indicate charged prices, and allow customers to give their feedbacks (Roberts & Zahay, 2012). Thus, it will be used to relate with clients, offer products, and for improving both service and product deliveries.

SWOT analysis

Strengths

• Unusual menu choices

QKS anticipates a tremendous growth because of the extraordinary menu choices it offers the clients. The menu brings a variety of products and specialties to clients. This extraordinary menu is the biggest strength that increases QKS competitive advantage.

• Quality food

Besides providing a unique menu, QKS is also committed towards the provision of quality products to customers. The competitors are capable of copying and introducing unique menu products and specialties. However, the shop has opted to differentiate its food items through quality. This will ensure customer sustainability.

• Large customer base accruing from the working vicinity

The large pull of customers is an additional strength to the business. The customer base consists of residential settlements, schools, colleges, and the increasing number of the office workers that need food delivery services. These large pools of customers will increase QKS sales revenues. This will eventually be used for its expansion and growth.

Weaknesses

• Incapacity to service the incoming customers

QKS might lack the capacity to service a large pool of walk-in customers. The working staffs are few and clients accommodation space might be limited. This might contribute negatively to its sales revenues.

As QKS reputation grows, the capacity to serve customers during dinner, lunch hours and breakfast will be limited. The limitations may be in terms of the quantity of food and efficiency in delivering services. Order delays and low food productions might make the QKS lose some of its customers.

• Limited funds

QKS lacks funds, and this can hinder its rapid expansion. As a mere shop, it has not generated enough capital to expand its operations. Moreover, QKS is not large enough to benefit from the economies of scale. Lack of enough capital might negatively affect its capacity to deliver services to the clientele.

Opportunities

• Rapid growth reported in the market segment

There is growth potential in Kebab business as clients have increased demands. The growing number of the working class, students, residential settlements, and schools within Waterford environment provide new opportunities for QKS business growth. The growing number of walk-in customers is also a growth opportunity for QKS.

• New menus that are without direct competitors

QKS has an opportunity to offer new menus that other competitors hardly offer. Offering a new menu that is different from those in the market will make this shop have an increased competitive edge. In fact, offering new menu without any direct competition will increase the demand for its food items and customer base.

• Increased demand for take away

QKS should utilize the increasing demand for take-away. The increasing number of take-away customers that swarm kebab shops during evening hours offers an incentive for QKS growth. The shop should increase its capacity to meet the rising demand of clients.

Threats

• Competition from entrenched kebab shops

The biggest threat facing QKS is competition from large and well- established kebab shops. These competitors have networks around the town where QKS will operate its businesses. Some independent competitors already offer a combination of products.

• Pricing strategy and menu adoption

Rivalry kebab shops are likely to imitate QKSs menu. After imitating QKS menu, market competitors may opt to lower their prices below those that are charged by QKS. This competition strategy may make the business lose most of its potential customers. QKS faces increment in input prices and the escalating cost of doing business.

Bibliography

Angehrn, Albert. Designing mature Internet business strategies: The ICDT model, European Management Journal 15, no.4 (1997): 361-369.

Brown, Ellen. Great Year-Round Grilling in the Northeast: *The Flavors * The Culinary Traditions * The Techniques. New York: Globe Pequot, 2009.

Li, Xi & Wang Young. Evaluating the effectiveness of destination marketing organizations websites: Evidence from China, International Journal of Tourism Research 12, no.5 (2010): 536-549.

Ritcher, Tobias. International Marketing Mix Management: Theoretical Framework, Contingency Factors and Empirical Findings from World-Markets. Berlin, Germany: Logos Verlag Berlin GmbH, 2012.

Roberts, Mary & Zahay Debra. Internet Marketing. Boston, MA: Cengage Learning, 2012.