Managing Human Capital Entrepreneurship Assignment

Managing Human Capital Entrepreneurship Assignment

Managing Human Capital Entrepreneurship Assignment

Slide 1

The entrepreneur is a business leader search for new ideas and executes them for nurturing managerial economic development and growth. Entrepreneurship is the most significant inputs in the country’s economic development (Westhead and Wright, 2013).

Vite Fries is a locally possessed outlet of fast food that will be established as a global franchise. Vite fries will offer quality food at affordable price, with good environment, and attractive packaging. This business is the perfect answer to the increasing demand of fast food that can be consumed while doing shopping in the shopping mall.

Slide 2

In today’s competitive scenario, it is becoming very tough to distinguish an outlet of fast food business from another. The United Kingdom the one of the world’s stable economies and has experienced its share of unfriendly economic instabilities (Profitable Ventures, 2018).

Vite Fries will majorly focus on selling fries. Hard drinks such as alcohol will not be preferred for selling in the outlet, because the business encourages a positive and healthy lifestyle of UK. In its place, business will provide an Italian Soda in order to complement the fries.

Speaker Notes

Vite Fries will sell gourmet fries in a pinecone shape container with a different choice of sauce. The business idea will make use of the notion of Belgium Fries, where the products will be prepared with fresh potatoes, and fried two times. The business outlet will offer friendly and excellent service to the customer in order to support the youthful, energetic, and fun ambiance.

The business will purchase fresh potatoes along with other vegetables directly from the small farmers by considering the quality and freshness of the vegetables. These vegetables will be purchased at reasonable prices from the farmers to support them in earning their livelihood.

Vite Fries is a privately established business. It will be listed as a Limited company, with the possession 25%- Carl, 25%- Sam, 25%- Guy, and 25%- Harry.

Slide 3

1. Vision

The vision of Vite Froes is to create an existence in the market as a popular native outlet serving fast food and attain a good share in the market of the fast food industry of UK.

2. Mission

The mission of Vite fries is to become the most successful outlet of fast food in the UK, initiated with the single retail site within a big mall as a market tester.

3. Speaker Notes

A vision statement is a pronouncement of the objective of the business, planned to direct the internal decision-making. This statement is not restricted to the organizations and can be utilized by government entities or non-profit organizations (Jacobson, Brail, G and Woods, 2011).

The Vite Fries is aimed at expanding the number of outlets by the third year and offer the franchise to the neighboring cities.

A mission statement is framed to highlight the purpose of the organization, recognizing the objectives of its activities or operations (Ward, 2018).

Vite Fries will struggle to become the best brand of local fast food in the domestic market. Business desires to offer a complete experience to the customers while visiting the outlet, as they will observe about this captivating new pop culture.

Slide 4

PESTLE Analysis

In the world, UK possesses the highest rate of fast-food consumption. It is famous for having diverse cultures and taste that has a huge influence on the worldwide success of the industry of fast food (IBIS World, 2018). However, the growth of the industry is affected by diverse factors such as Political, Economic, Social, Technological, Legal, and Environmental that in combination create a framework i.e. PESTLE Analysis.

Speaker Notes

1. Political – The labeling of Genetically Modified food has become very essential from 2004 as new rules. The purpose behind this is to make customers aware of the genetically modifies ingredients used in the food. Besides this, the government of UK is establishing strict rules in the food sector to make customers aware of different unhealthy practices takes place in the fast food industry (Food Standard Agency, 2018).

2. Economic – The start-up cost of setting-up cost of the fast food business in the UK is very low, hence it is very easy to enter in the industry. Besides this, franchising is said to be an additional useful factor and assist in establishing an effective image of the brand (Statista, 2018).

3. Social – In UK, people have a busy lifestyle and therefore the fast food is growing due to their convenient and quick services.

4. Technological – The industry of fast food is developing at a fast pace and in this technology has performed an essential part for the continuing success. Vite Fries have to be updated with the altering technologies in order to remain in the competition.

5. Legal – The agency of food standard is accountable for the public’s health in terms of food that is served in the UK. It is very essential for the industry of fast food to comply with the regulations framed by the FSA in the interest of public health.

6. Environmental – The outlets of Fast food such as McDonald's and KFC are commonly known for the making and ingesting of food derived from animals. Appropriate actions need to be taken to take care of the rights of the animals and there are already various campaigns organized against the exploitation of animals in slaughterhouses.

Slide 5

While the worldwide economy has been unrestrained for numerous industries, the industry of fast food has not been enormously affected. Even when the society is increasing its awareness, regarding the health risks that come with consuming the unhealthy food item, their share in the market has increased in the last 5 years (EuroMonitor International, 2018). Besides this, the businesses of the industry possess some strength, weakness, opportunities, and threat that are identified with the health of SWOT Analysis.

Speaker Notes

1. Strength – One of the strengths of Vite Fries is the fast food industry is growing in the market. Various aspects present in the industry that could be covered in the market. Moreover, the Vite Fries price is cheaper as compared to other famous fast food businesses such as McDonald's, KFC, and budget kind.

2. Weaknesses – One of the biggest weaknesses is the Vite Fries restaurant is a new established that has to experience huge competition with big players.

3. Opportunities – The fast food industry is growing and business has many chances to grow its services at other locations with a variety of offerings.

4. Threats – Vite Fries has to deal with huge competition from the big players i.e. KFC, Burger King, and McDonald's.

Slide 6

Segmentation

Vite Fries major segment that will be targeted is the young generation of UK. Presence of extra-curricular activities among the youth of UK, it is very general for high schoolers to take their lunch in shopping malls, not at their residence.

Target Market

Vite Fries aims to serve the bulk of youngsters and teenagers in the UK.

Speaker Notes

Segmentation

The secondary marketing of Vite Fries is the working class of UK. With a different type of malls in the UK, Liver Pool One is the port for job seekers and shoppers alike. Moreover, this mall is one of the famous destinations among tourists. They will visit Liver Pool One, in search of the modern trend and will have no time to go for a full-time meal while doing shopping.

Target Segment

The youngsters and teenagers group has been selected to target because the 15 to 25 age group is considered as the age where the efforts of the brand building could offer some value to the managing business. These are the one with fixed or limited incomes and look for the price and value relationship that will not affect their budget.

Slide 7

Company

Clean

Merchandising

Hang out

Simple

Fresh

Pop Culture

Vite Fries

Yes

Yes

Yes

Yes

Yes

Yes

KFC

Yes

No

Yes

No

No

No

McDonald's

Yes

Yes

Yes

Yes

No

Yes

Speaker Notes

Vite Fries possess various advantages over its competitors such as:

Exclusive blend idea of dipping sauce

Backup merchandise products that support in brand building

The fried potato of Vite Fries is prepared 100% fresh, as compared to other outlets of fast food that serve frozen fries.

Slide 8

The marketing mix is comprised of different strategies or actions that can be utilized by a business to market its products among the target audience. It includes 4Ps that is a product, price, place, and promotion (Richter, 2012).

Speaker Notes

1. Product – Vite Fries majorly offer fries with their exclusive dipping sauces. Key products are Italian Soda, Corporate merchandise, and Belgium fries.

2. Price – The pricing strategy of Vite Froes is sited as general, means that £4.00 is the average spending of the customer for light lunch or snack in the UK.

3. Place – The place that has been selected to place the outlet of Vite Fries is Liver Pool One shopping mall of UK, to target youngsters and teenagers to enjoy fast food while doing shopping.

4. Promotion – Vite Fries will make use of brochures and wall posters in order to advertise the offering. Moreover, a grand opening ceremony will be organized to attract customers. Attractive infrastructure will be designed to make customers feel good and enjoy the ambiance.

Slide 9

The strategy of Vite Fries is based on offering the products in the market properly. The business will establish its first outlet as a sample in the market that will be a model of increasing the number of outlets in the upcoming period. The focus of the business will be on quality and launching a positive image in the domestic market.

Speaker Notes

A blend of a local store and local media programs of marketing will be used at every place. Marketing of local store is operative, compiled by the print ad. As soon as an awareness of the store will be increased, the use of wider media shall be used. By offering an energetic and fun atmosphere, with invincible quality at a suitable price in a friendly and clean outlet, Vite Fries will be the new topic of the town.

Slide 10

The Vite Fries will make use of three diverse tactics of marketing in order to increase the awareness among customers. The most essential tactic of the business will be in store marketing and word of mouth.

Speaker Notes

The marketing programs of the business will be the cheapest as well as effective programs because the target location possesses high traffic.

The second tactic is the local store marketing. It will be a plan with a low budget that will offer support of community and awareness of the offering. The third marketing tactic will be the use of local media. However, the third tactic will be costly and will be utilized carefully as a compliment whenever necessary.

Slide 11

Vite Fries is presently the innovative idea of four founders, who will responsible for taking important decisions of the business.

Speaker Notes

The company will hire two cashiers, two bus boys, and to cooks per location. This is said to be the perfect personnel number for an outlet of the fast food business. Every employee will work for around 38-42 hours every week. The recruitment of these employees will be done by inviting the candidates in the store with their resume for the interview and the most suitable candidate will be hired. At the initial stage, the four owners of the business will provide training. Moreover, motivation will be done by offering attractive perquisites.

Slide 12

The Ansoff Matric is a tool of strategic planning that offers a framework to support senior managers, marketers, and executives for future development. It is comprised of four strategies i.e. product development, diversification, market penetration, and market development (Mckeown, 2013).

Speaker Notes

In order to grow in the market, Vite Fries will make use of Market development strategy of Ansoff Matrix under which it will plan to expand its market by increasing number of outlets.

Slide 13

Introduction Stage – To get the perfect place to establish the first store of Vite Fries

Growth Stage – Challenge in attracting the customers due to the presence of big players in the market.

Maturity – The business can face huge competition for McDonald’s, KFC, and Burger King that can affect the profit margin of the business.

Decline – The business can more towards declining stage due to the market entry of new players with innovative strategies and technologies.

Speaker Notes

In order to deal with all these challenges, the owners of the business need to hire a marketing expert that can suggest attractive strategies to attract more and more customers and give strong competition to the big players in the market. Besides this, it need to check the quality of the food regularly and should make use of advanced technologies to offer innovative as well as tasty fast food items.

Slide 14

Sales projection for the first year i.e. 2019 is £ 300,000 in the second year i.e. 2020 it will reach £500,000 and in the third year, it is expected to reach £ 1,000,000.

Start-Up Requirement

Start-up expenses

 

Furniture and Interior

£16,500

Packaging and Stationery

£8,500

Legal

£3000

Kitchen and Fixtures

£21,600

Rent

£15,000

Contingencies

£4,200

Total start-up expenses

£68,800

Start-up Assets

 

Cash Required

£50,000

Long-term Assets

£0

Other Current Assets

£0

Total assets

£50,000

Total Requirements

£118,800

Speaker Notes

Slide 15

From the above analysis, it can be said that Vite Fries will be proved as one of the successful fast food restaurants in the UK, which will give strong competition to McDonald's, KFC, and Burger King. The tasty Belgium fries with exclusive sauces will give customers an unforgettable fast food experience at an affordable price that has yet not been provided by any of the existing fast food production restaurants.

References
1. EuroMonitor International (2018) Fast Food in the United Kingdom [online]. Available from https://www.euromonitor.com/fast-food-in-the-united-kingdom/report [accessed 30 September 2018]
2. 
Food Standard Agency (2018) Genetically modified foods [online]. Available from https://www.food.gov.uk/safety-hygiene/genetically-modified-foods [accessed 30 September 2018]
3. IBIS World (2018) Takeaway & Fast-Food Restaurants - UK Market Research Report [online]. Available from https://www.ibisworld.co.uk/industry-trends/market-research-reports/accommodation-food-service-activities/takeaway-fast-food-restaurants.html [accessed 30 September 2018]
4. Jacobson, D., Brail, G., and Woods, D. (2011) APIs: A Strategy Guide 1st ed. U.S: "O'Reilly Media, Inc.".
5. Mckeown, M. (2013) The Strategy Book ePub eBook: How to Think and Act Strategically to Deliver Outstanding Results 2nd ed. UK: Pearson.
6. Profitable Ventures (2018) Top 10 Small Business Investment Opportunities in UK for 2018 [online]. Available from https://www.profitableventure.com/uk/ [accessed 30 September 2018]
7. Richter, T. (2012) International Marketing Mix Management: Theoretical Framework, Contingency Factors and Empirical Findings from World-Markets 1st ed. Germany: Logos Verlag Berlin GmbH.
8. Statista (2018) Number of overseas resident visits to the United Kingdom (UK) from 2002 to 2018 (in millions) [online]. Available from https://www.statista.com/statistics/287133/annual-number-of-overseas-visits-to-the-united-kingdom-uk/ [accessed 30 September 2018]
9. Ward, S. (2018) Mission Statement [online]. Available from https://www.thebalancesmb.com/mission-statement-2947996 [accessed 30 September 2018]
10. Westhead, P., and Wright, M. (2013) Entrepreneurship: A Very Short Introduction 1st ed. UK: OUP Oxford.