Objectives :
The overall objective is to develop the capability to be more entrepreneurial, or more able to support the entrepreneurial process, in privately owned small and mediumsized businesses. Participants should gain knowledge and understanding of: The broad issues and practice of business start-up and development from both a conceptual and practical viewpoint Personal strengths and weaknesses in relation to elements of the entrepreneurial process Aspects of the process of business development on the exploration of an issue.
Learning Outcomes:
Upon completion of the course, students should be able to:
1. Evaluate the challenges faced by entrepreneurs
2. Build a business plan by designing a strategic plan, conduct a feasibility analysis, understand franchising and how to buy an existing business
3. Develop a marketing plan and how to use e-commerce, create a successful financial plan.
4. Implement the plan through the sourcing of finance, selecting the correct location and teambuilding for success.
5. Assess the global aspects of entrepreneurship
6. Analyse case studies
7. Conduct research; write reports and/or present analysis and conclusions.
Assignment One: Brief
Description:
This assignment designed to give you the experience of investigating and recommending solutions to a business problem. Read the scenario (business problem) below and present solutions to managers within the client organisations. Write a clearly structured, well- argued and appropriately referenced report of 4000 words. You are expected to deal with complex issues faced by the owner, both systematically and creatively, make sound judgements in the absence of complete data, and communicate their conclusions clearly to specialist and non-specialist audiences.
Problem
In the heart of London's city centre, the popular SpiceSky restaurant prides itself on the quality and range of its Indian food since 1988. The restaurant has been recording a yearly increase in sales since its grand opening more than two decades earlier. The restaurant owner Ali Mahal, nevertheless, has invited your company to offer solutions to a gradual decline in sales that has been recorded the last 12 months. More specifically, Ali explained that sales, which have grown every year since he opened the restaurant, have actually dropped over the last twelve months. Yet, London's central restaurants, as well as the town's city centre have continued to prosper.
Moreover, to get a full picture, you have decided to visit the restaurant and investigate first-hand the experience of dining in SpiceSky.
Day 1: Lunch Time
You have visited SpiceSky and found yourselves over a table with vegetable samosa, pakora, chicken spring rolls, lamp tikka, tandoori chicken, and two bottles of Hadia beer. One of your colleagues, passionate with cold beer, immediately states: this beer is lovely; I think Hadia is a rice beer isn't it? Ali replied, "Ah, yes, it is created by mixing herbs with boiled rice and leaving the mixture to ferment for around a week. But, we had to remove that from our menu as we needed to reduce our costs. We serve instead English beers. We save Hadia just for friends. Somehow, we had to reduce the costs and therefore we decided to remove some dishes and beverages.
After you finished with your dinner, you asked Ali explaining in more depth what he thinks has caused the sharp decline of sales.
Ali: Well, I have realized that all the downtown restaurants have dramatically increased their television advertising. "I've been using the same advertising for years: a few spots on local radio, an occasional newspaper spot, and a billboard on the main highway, 5 miles from the restaurant. When I see the fancy advertising run by my competitors, it is clear that I have an advertising problem. I want you to tell me what I can do to make my advertising more effective!" Once the interview is complete, you informed Ali that you will go back and prepare a proposal that will describe how he may be able to help SpiceSky get back on track.
Day 2: Later that day
Back in the office, you have started the examination of SpiceSky's reports. You began studying the advertising of both SpiceSky and its competitors. At some point, you identified that that some of the neighborhood competitors, including a big chain Indian restaurants, have always had a large promotional budget, including television ads. The advertising deficit isn't new. He tries to identify all the things that have changed since SpiceSky's sales trends turned downward. Does Ali really have an advertising problem? Is it a problem with competitive positioning? Is it a problem with a change in the external operating environment? Has Ali just missed out on some growth opportunities? Then, just as hunger starts to set in, you remembered the vegetable samosa, pakora, lamp tikka, and tandoori chicken you had for lunch. Maybe your hunger has led to a discovery!
One of your colleagues calls Ali for a follow-up interview. The dialogue is the following:
Colleagues: Ali, as you suggested, the downward sales began twelve months ago. Aside from the advertising you mentioned earlier, what other changes have occurred inside of your business within the past year?
Ali: Just a few things. Although sales are down, our profits haven't suffered very much. Since we hired a cost comptroller just over a year ago. We have effectively managed our costs by changing suppliers and dropping some of the more costly items from our menu.
Colleague: Such as changing the rice beer?
Ali: 'The Hadia that we served costs us almost 5 pounds per bottle. Customers don't like to pay more than 3 pounds per glass for a beer, so we were doing little more than breaking even on it. Besides, our competitors also serve English beers.
Colleague: Have you noticed changes in your customers?
Ali: Other than the fact that they are coining less often, no! They are the same faces that I have seen for years.
Colleague: Have the complaints or comments changed?
Ali: A few complained on removing an item or two from the menu. A couple about the Hadia change.
Colleague: Has there been a change in personnel?
Ali: Yes, we've had more than the usual share of turnover. I've turned over most personnel decisions to the controller. We've had trouble maintaining good kitchen help.
Colleague: Have you noticed any changes to the competitors that you have not already mentioned?
Ali: Most of the nearby places are doing the same things they have done for years. The chain Indian restaurants have the same promotions each year and their menu doesn't change very much.
Assignment two:
Entrepreneurship & SMEs
Final Examination Brief
Learning Outcomes Build a business plan by designing a strategic plan, conduct a feasibility analysis, understand franchising and how to buy an existing business Develop a marketing plan and how to use e-commerce, create a successful financial plan.
This is an individual piece of work. The assignment is business plan writing. The length of the assignment should be about 4000 words (+/-10%). The word limit does not include ‘administrative' sections of the assignment: the cover or title page, table of contents, table of figures, reference list, list of works cited, bibliography, or any appendices. Use Harvard Referencing for all Harvard related purposes.
Task: You are required to write a business plan which will provide direction and increase the probability for success of a business idea within the today contemporary and very competitive market.
The business plan should include at least the following contents / elements:
Part I - 150-200 words
Company overview o Mission statement - the purpose of the business o Vision statement - what the business desires to achieve in the long run o Business Core Values - the operating philosophy and principles that will guide the intern al business conduct as well its relationship with its customers and partners
Part II - 800-1000 words
Objectives - Specific, Measurable and Motivational, Attainable, Realistic, Time Bound Products Customers - consumer behavior and customers of the industry Industry and market analysis o Industry o PESTLE - Political, Economic, Social, Technological, Legal, Environmental conditions and trends (specify those they are opportunities or threats) o Customer o Competition - direct and indirect competitors, market share, strengths and weaknesses Internal business strengths and weaknesses
Part III - 1500-1800 words
Business differentiation - how it will be achieved and perceived by customers Competitive advantage - reasons for which customers will choose your business as opposed to other alternatives Marketing Strategy o Target markets strategy o Marketing mix Product PricePromotion and advertising Placement - distribution system Sales strategy o Sales monthly forecasting - 2 years period
Part IV -750- 1000 words
Operations Strategy o Business operations model o Buildings, Equipment, Technology, Cars, o Processes - i.e. Imports, Purchases, Production, Marketing, Sales, Warehouse, Accounting, Human Resource Management
o Organizational structure o Internal employees and external associates (outsourcing)
Part V - 200 - 300 words
Financial 2 year projected budgets o Financial model (own capital, loans, external shareholders) - chart o Administrative & Operating expenses - chart o Selling expenses- chart o Financial expenses - chart o Break Even Point Analysis (sales amount, sales units, and period point) o Cash flow management