Solution of Assignment Synopsis & Project Dissertation Report
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Entrepreneurship Process & Behaviour
Your family business of selling textiles is going through a bad phase with changing consumer preferences. With the change in market dynamics. you are left with no other option but to explore new opportunities to establish yourself all over again. How would you choose your next venture? How would you use your past experience to ensure minimalistic loss due to shift in your business model? Support your answer with relevant assumptions.
Answer:- My family business of selling textiles is going through a bad phase with changing consumer preferences. With the change in market dynamics. you are left with no other option but to explore new opportunities to establish yourself all over again.For any business that provides a product or service to customers. the act of finding. targeting and obtaining new customers is always going to be among its top priorities.
But what many businesses tend to forget is that once a customer makes the first purchase. there is much more to be done in the customer relationship. Smart businesses know that the first purchase is really just the beginning. and that the real business value lies in retaining that customer.
We live in an era of risk and instability. Globalization. new technologies. and greater transparency have combined to upend the business environment and give many CEOs a deep sense of unease. Just look at the numbers. Since 1980 the volatility of business operating margins. largely static since the 1950s. has more than doubled. as has the size of the gap between winners (companies with high operating margins) and losers (those with low ones). Almost one year ago. I made the transition into writing full-time. As I confessed at the time. it was a difficult decision. Not because I didn t love writing. but because I loved my previous work so much. One year later. I am happy to report I have found just as much joy and fulfilment in my current work as I did in my previous. It capitalizes well on my strengths as a person.Service-Based Business Models & Circular Strategies for textiles
I would use my past experience to ensure minimalistic loss because it contains an overview and evaluation of service based business models & circular strategies in textiles that are currently present or emerging on a global scale. Circle Economy has made every effort to ensure that the data and information in this document are correct. However. do to the nature of the research and sources employed; much of the information is subject to subjectivity.
At the same time. innovative examples of successful service-based models in the textiles industry do exist and it is from these examples that we can learn how to move the textile industry forward towards greater impact in environmental sustainability. increased competitiveness of the supplier/ manufacturer and an increased access to high quality. affordable products for the consumer. The purpose is not only to inspire but also to encourage identifying promising opportunities and successfully developing new business models by offering them the necessary guiding information. We offer a clear business rationale for adopting sustainable business models. an overview of key drivers and barriers. and recommendations with regard to the suitability of the different types of business models for certain markets. products or a given starting point of a company.
Service based business models & circular strategies are part of a broader group of sustainable business models and can be described as models applying one or more out of three main approaches:
Circular (creating value from waste). These models will prove essential for businesses that want to be future-proof in a society where resource constraints are a growing problem and consumer attitudes are shifting towards alternatives for ownership and consumption. The following Business Model Framework is proposed to accommodate the categorization of the different types of service-based business models and circular strategies in textiles:-
The majority of the business models evaluated are still in early stages. Due to the fact that most of the new concepts require a broader consumer mind shift and change in industry practices. lead times for these models towards profitability are much longer. In spite of the lack of profitability or scale of most of these models today. it doesn t mean there is not a great potential.
For most of the business models applied by brands there is no significant revenue being generated. as of yet. To date. we see that the added value is relatively indirect via consumer loyalty and marketing potential. Therefore. a large part of the success of these models is determined by communication; whether a company is able to translate the activities into positive brand value.
Almost all types of service based business models & circular strategies require a new way of working with and relating to your customers and value chain. For example it requires increased influence on. control over. or collaboration with the value chain. T
What is the difference between Innovation. Invention and Creativity? What. among these. is most important to build a sustainability plan for a start-up?
Answer:-The process of translating an idea or invention into a good or service that creates value or for which customers will pay. To be called an innovation. an idea must be replicable at an economical cost and must satisfy a specific need. Innovation involves deliberate application of information. imagination and initiative in deriving greater or different values from resources. and includes all processes by which new ideas are generated and converted into useful products. In business. innovation often results when ideas are applied by the company in order to further satisfy the needs and expectations of the customers.
New scientific or technical ideas are the means of its embodiment or accomplishment. To be patentable. an invention must be novel. have utility. and be non-obvious. To be called an invention. an idea only needs to be proven as workable. But to be called an innovation. it must also be replicable at an economical cost. and must satisfy a specific need. That s why only a few inventions lead to innovations because not all of them are economically feasible.
Creativity is a function of knowledge. curiosity. imagination. and evaluation. The greater your knowledge base and level of curiosity. the more ideas. patterns. and combinations you can achieve. which then correlates to creating new and innovative products and services. But merely having the knowledge does not guarantee the formation of new patterns. The bits and pieces must be shaken up and iterated in new ways. Then the embryonic ideas must be evaluated and developed into usable ideas. In other words. there really is a process.
Sustainable business is in large part about changing business practices. Successful sustainable businesses are focused on the creation of new products. services. or practices that address or mitigate environmental and social concerns in new ways. Success in implementing sustainable business practices relies on entrepreneurship and innovation.
Entrepreneurship and innovation are relevant in many different sustainable business contexts. They are fundamental for the success of start-up companies that are providing innovative solutions to meet environmental or social challenges. Entrepreneurship and innovation are also highly relevant for established businesses.
Companies undertake sustainability entrepreneurship for a variety of reasons. including to enhance their brand name and reputation and to benefit financially by being market leaders in business practices that reduce environmental and societal impacts in their sphere of operating influence. They also engage in sustainability entrepreneurship to affect positive societal change.
Briefly explain various risks that associated with the early stage of a start-up. Is it possible for a start-up to create a fire-wall from these risks in any way? Explain with relevant examples.
Answer:- There are 4 stages of a start-up s life cycle
Seed Stage:- While a company is in the seed stage of its life cycle. an entrepreneur focuses on identifying business advisers. developing a business concept. and designing the product or service the business will market. In the seed stage. a primary risk is the failure to design a business plan and strategy that will enable the company to become profitable as it makes sales and earns revenue. Other significant risks include a dependency on seed money to cover operational costs for a longer period than anticipated. or a lack of funds to cover rising employee and infrastructure costs.
During a company s start-up phase. an entrepreneur will lease or purchase a storefront. factory. or another business space. and interview and hire employees. The business owner introduces the company s product or service to potential customers. including product testers. and other business or personal acquaintances. Start-up stage risks include the inability to get a sufficient number of customers to create the cash flow needed to fund operations. or deliver the necessary volume of products or services. in the appropriate manner to remain a viable business.Another risk is the costly impacts of making hiring mistakes in the early stages of the company.
Risks related to a company s growth stage include deciding to exploit a company s accomplishments by expanding. rather than keeping the company stable and profitable; and expanding into new markets that are too small to support all the companies competing in it. A company risks depleting needed reserves by developing new products and installing new production lines to sell products that are not accepted in new markets. Another common risk is a failure to understand how to properly establish a valuation for the product or company.
Once a company achieves its desired share in one market. it pursues new markets. and designs and implements new distribution channels to support those markets. The business might create a new division or acquire another business as a means to market new products.
Problems might arise during the expansion stage if the business owner delegates primary responsibilities to other employees who negatively affect the managerial effectiveness of a fast-growing and increasingly complex enterprise. Additionally. sufficient cash might not be available to satisfy the financial demands that accompany growth due to ill-advised investments.
Yes. we can create a firewall from this risk any way.A firewall separates a protected network from an unprotected one. the Internet. It screens and filters all connections coming from the Internet to the protected (corporate) network. and vice versa. through a single. concentrated security checkpoint. A firewall makes sure that you cannot reach the Internet from the internal network. nor vice versa. unless you pass through this checkpoint (also known as choke-hold firewall). Some systems even require you to telnet the firewall.But even before you define what type of firewall best suites your needs you will need to analyse the topology of your network to determine if the various components of your network. such as hubs. switches. routers and cabling are suitable for a specific firewall model.
You are an Entrepreneur working with a new entrant. working on a plan to enter instant noodles market in an already crowded market. Explain the importance of selection of customer segment and their respective choices to justify your decision to launch or discard your plan.
Answer:- Market segmentation is the segmentation of customer markets into homogenous groups of customers. each of them reacting differently to promotion. communication. pricing and other variables of the marketing mix. Ideally. relevant differences between buyers within each segment are as small as possible. Thus. every segment can be addressed with an individually targeted marketing mix.
A market is a group of potential customers who have similar needs and are willing to purchase goods or services to satisfy those needs. Good marketers focus on the customer and develop marketing mixes for very specific target markets. On the other hand. poor marketers focus on their products when defining markets. leading to missed opportunities and questionable customer satisfaction. The point here is that a market is external to an organization; it doesn t make sense to segment potential markets based on the features contained in your products or services.
It is possible to satisfy a variety of customer needs with a limited product range by using different forms. bundles. incentives and promotional activities.
The pricing models of many web based services are a good example. They often include a free plan to attract undecided first-time customers (reducing uncertainty and concerns. initiation customer lock-in). In addition. there normally is a moderately priced plan for light users like individuals and small businesses as well as a more expensive plan for heavy users. The paid plans include more features and functions as well as higher service levels.
When narrowing down the mass market. it is helpful to think of two basic types of markets: generic markets and product markets. A generic market is a market of customers with generally similar needs. which organizations satisfy in a variety of ways. An example of a generic market would be the transportation market for a city; buses. trains. cars. bicycles. and walking. are all methods of getting around town.For example. a printer s target of mid-sized firms with mid-size projects is not a measurable definition. However. a target market of firms within a radius of 20 miles. with annual revenues of $10 to $25 million and a need for four-color printing runs of approximately 5. 000 pieces is a clear definition.
Once your target market is defined through your knowledge of product appeals and market analysis. and can be measured. you should determine whether that target market is large enough to sustain your business on an on-going basis. In addition. your target market needs to be reachable. There must be ways of talking to your target audience.
Evaluate the statement “You simply cannot have a flourishing entrepreneurship ecosystem without large companies to cultivate it. intentionally or otherwise.”
Answer:-When a whale dies. the 30-100 ton body — or “whale fall” — slowly. silently sinks to the ocean bottom where it becomes the wellspring of a complex new microcosm of seabed flora and fauna that can thrive for well over half a century. These new ecosystems with their hundreds of species from flesh-eating sharks to sulphur-metabolizing worms also include “innovative start-ups” — previously undiscovered new sea animals that have naturally selected to flourish in the unique ecosystem.
You simply cannot have a flourishing entrepreneurship ecosystem without large companies to cultivate it. intentionally or otherwise mean that. The Family is a strategic. minority. long-term shareholder. We grow a portfolio of investments in scalable companies. ideally from an early stage so as to create a privileged relationship with their founders. We identify the best of the best. finding Entrepreneurs through a process based on content and education. We then work with founders. providing them with resources (education. unfair advantages. and capital) and maximizing their chance of large-scale success. In other words. we operate our own proprietary ecosystem. designed to defeat toxic start up environments and to build scalable businesses.I ve been thinking a lot about the challenges that midsized and larger companies face when trying to do more innovation. It s not a secret that they need to do more innovation; everyone knows this. It s not really a secret what innovation is. or what the potential benefits might look like. We ve seen the results of good innovation in the marketplace. It s not that people are stupid and don t understand how to innovate. although many are more comfortable with existing methods and tools. and haven t been trained in new innovation tools or perspectives. But training and tool introduction isn t a major barrier.
No. the recurring theme of failing to innovate in a corporate setting has more to do with the failure to find things and discover things. I d like to address what you need to find and discover. because if we can name the barriers or challenges. we may be able to eliminate them and accelerate innovation.
Write a short note on traits of an entrepreneur. Critically evaluate your own traits using SWOT to align them with that of an entrepreneur.
Answer:- To be a successful entrepreneur. you must have -- or develop -- certain personality traits. Here are nine characteristics you should ideally possess to start and run your own business:
Entrepreneurs are enthusiastic. optimistic and future-oriented. They believe they ll be successful and are willing to risk their resources in pursuit of profit. They have high energy levels and are sometimes impatient. They are always thinking about their business and how to increase their market share. Are you self-motivated enough to do this. and can you stay motivated for extended periods of time? Can you bounce back in the face of challenges?
Creativity and Persuasiveness
Successful entrepreneurs have the creative capacity to recognize and pursue opportunities. They possess strong selling skills and are both persuasive and persistent. Are you willing to promote your business tirelessly and look for new ways to get the word out about your product or service?
Company workers can usually rely on a staff or colleagues to provide service or support. As an entrepreneur. you ll typically start out as a “solopreneur. ” meaning you will be on your own for a while. You may not have the luxury of hiring a support staff initially. Therefore. you will end up wearing several different hats. including secretary. bookkeeper and so on. You need to be mentally prepared to take on all these tasks at the beginning. Can you do that?
Superb Business Skills
Entrepreneurs are naturally capable of setting up the internal systems. procedures and processes necessary to operate a business. They are focused on cash flow. sales and revenue at all times. Successful entrepreneurs rely on their business skills. know-how and contacts. Evaluate your current talents and professional network. Will your skills. contacts and experience readily transfer to the business idea you want to pursue?
Launching any entrepreneurial venture is risky. Are you willing to assume that risk? You can reduce your risk by thoroughly researching your business concept. industry and market. You can also test your concept on a small scale. Can you get a letter of intent from prospective customers to purchase? If so. do you think customers would actually go through with their transaction?
As an entrepreneur. you are in the driver s seat. so you must be proactive in your approaches to everything. Are you a doer -- someone willing to take the reins -- or would you rather someone else do things for you?
One of your responsibilities as founder and head of your company is deciding where your business should go. That requires vision. Without it. your boat will be lost at sea. Are you the type of person who looks ahead and can see the big picture?
Flexibility and Open-Mindedness
While entrepreneurs need a steadfast vision and direction. they will face a lot of unknowns. You will need to be ready to tweak any initial plans and strategies. New and better ways of doing things may come along as well. Can you be open-minded and flexible in the face of change?
According to Swat Analysis my strengths are:-
I will naturally focus on the right things that have the biggest impact on your life.
I will save time by focusing on things that will bring you the greatest returns.
I become more resourceful and therefore make better decisions every single day.
I put yourself in a position to raise your standards and therefore improve your results.
I can contribute more value to others and to the world around you.
According to swat analysis my weakness are:-
I can focus on spending your time on areas that bring you most confidence and self-assurance.
I can delegate tasks and projects to people that are more proficient with getting them done.
I can dramatically reduce your levels of stress. overwhelm and frustration by focusing on just the things you are naturally good at.
Draw up a Business Plan for Food-Kart . a service that would deliver fresh. hot food of choice from well-established restaurants across a given locality to the office goers and residents. Include the impact of driving forces in development of a business plan.
At first glance a food Kart business seems pretty simple – all you need is a truck and a menu. right? Not quite. Just like any small business a food truck requires planning – what kind of food do you want to sell? How do you know your customers will like it? Who are your customers? Opening a food truck without any planning or investigation can lead to problems.
Creating a Food Kart Business Plan
Once you ve done your homework and studied the need. wants. competition and determine where and when your food truck will be open. all that information needs to be organized into a business plan for potential investors. A business plan consists of the following parts:
Think of it as your introduction. Make it interesting. to keep your readers attention. Here are some tips for writing an executive summary geared toward a food truck business plan.
Company Description – This part of a business plan is sometimes referred to as a business analysis. It tells the reader the location. legal name and style of restaurant you want to create.
Market Analysis- This part of restaurant business plan is sometimes referred to a marketing strategy. Who are you going to be serving? Who is the target audience for your food truck business? And who is your biggest competition? Why are customers going to choose you over them?
p>Marketing- What methods do you plan to use to promote your food truck? How are you going to target your core audience?
Business Operation- Sometimes referred to as Products and Services. This is where you tell investors about your hours and how many employees you plan to hire.
Management & Ownership- Explain who is going to do what at your food truck. including any potential employees whom you feel will be a great benefit to your business.
Food Kart were once confined to highly urban areas in big cities or as part of a fairs and festivals circuit Places actually have caps on the number of food kart licenses distributed each year. to keep from being overrun with food kart on every corner. Today food karts are popping up all over. including suburban and rural areas. Food Kart are also gaining in popularity for personal parties – instead of hiring a restaurant or caterer to provide food. parents are renting food trucks for their child s birthday. Brides and Grooms are featuring food trucks at their wedding receptions.
You run a 20-year old family-owned business based in Chennai. manufacturing Headlights exclusively for General Motors. With an increased demand of cars internationally. General Motors has given you and option to increase the supplies by two folds. To increase the manufacturing capacity. you would need Land. Plant & Machinery and Working Capital. Explain at length your options to secure finances to run the business. Please state your assumptions clearly.
Answer:-I amrunning a 20-year old family-owned business based in Chennai. manufacturing Headlights exclusively for General Motors. With an increased demand of cars internationally. General Motors has given you and option to increase the supplies by two folds. To increase the manufacturing capacity. I will need Land. Plant & Machinery and Working Capital.
Options to secure finances to run the business:-
Get a Bank Loan
Lending standards have gotten much stricter. but banks such as ICICI. IDB. SBI have earmarked additional funds for small business lending. So why not apply?
Try Crowd funding
A crowd funding site like Kickstarter.com can be a fun and effective way to raise money for a relatively low cost. creative project. You ll set a goal for how money you d like to raise over a period of time. say. $1. 500 over 40 days. Your friends. family. and strangers then use the site to pledge money. Kick-starter has funded roughly 1. 000 projects. from rock albums to documentary films since its launch last year. But keep in mind. this isn t about long-term funding. Rather. it s supposed to facilitate the asking for and giving of support for single. one-off ideas.
Pledge Some of Your Future Earnings
Young. ambitious and willing to make a bet on your future earnings? Consider how Kjerstin Erickson. Saul Garlick and Jon Gosier are trying to raise money. Through an online marketplace called the Thrust Fund. the three have offered up a percentage of their future lifetime earnings in exchange for upfront. undesignated venture funding.
Attract an Angel Investor
When pitching an angel investor. all the old rules still apply: be succinct. avoid jargon. have an exit strategy. But the economic turmoil of the last few years has made a complicated game even trickier. Here are some tips to win over angel interest:
Add experience: Seeing some grey hair on your management team will help ease investors fears about your company s ability to deal with a tough economy. Even an unpaid. but highly experienced adviser could add to your credibility.
Know your stuff: You ll need market assessments. competitive analysis and solid marketing and sales plan if you expect to get anywhere with an angel. Even young companies need to demonstrate an expert knowledge of the market they are about to enter as well as the
Secure an SBA Loan
With banks reluctant to take any chances with their own money in the wake of the credit crisis. loans guaranteed by the Indian. Small Business Administration have become a hot commodity. Indeed. funds to support special breaks on fees and guarantees on SBA-backed loans have run out a number of times.
Under law. the SBA can t guarantee loans to businesses that can obtain the money they need on their own. So you have to apply for a loan on your own from a bank or other financial institution and be turned down.
Raise Money from Your Family and Friends
Hitting up family and friends is the most common way to finance a start-up. But when you turn loved ones into creditors. you re risking their financial future and jeopardizing important personal relationships. A classic mistake is approaching friends and family before a formal business plan is even in place. To avoid it. you should supply formal financial projections. as well as an evidence-based assessment of when your loved ones will see their money again. This should reduce the likelihood of unpleasant surprises.
Brian Scudamore. Founder of 1-800-GOT-JUNK?. North America s largest junk removal service. Brian Scud more started his company 1-800-GOT-JUNK? in 1989 straight out of high school with $700 and a beat-up old pick-up truck. Today they have 95 franchise partners across North America with a true national presence; they are in 47 of North America s top 50 cities.
Scudamore was a risk-taker. but firm in his vision. "With a vision of creating the FedEx of junk removal. " says Scudamore. "I dropped out of University with just one year left to become a fulltime JUNKMAN! Yes. my father. a liver transplant surgeon. was not impressed to say the least." He chuckles. "He is onside now." Many entrepreneurs minimize their risks by outsourcing to contractors. Scudamore chose a different route. "I hired my first employee a week after I started. I knew I needed the help. His name was David Spiderman. a good friend of mine. I really didn t know yet how to hire so I just asked a buddy." It may have started as a matter of simply not knowing what else to do. but it became a philosophical issue for him. "On a bigger level. I always believed in hiring people vs. contract or consultants. I felt that if I wasn t willing to make the investment then I was questioning my own faith in the business."
On the other hand. he s a big believer in letting other people share some of the risk. His choice of franchising as a business model allowed him rapid growth without having to turn to outside investors or other funding sources. "It s the ultimate leverage model. People pay you a fee up-front to help them grow. Rather than lose control my vision by going public. I chose franchising. It s the ultimate growth model."
Their recipe for success has been simple. Take a fragmented business. add clean shiny trucks that act as mobile billboards. uniformed drivers. on-time service and up-front rates. and then mix in with a culture that is young. fun and completely focused on solid. healthy growth. He has managed to retain 100% ownership and bootstrapped the business solely out of cash flow. something that is very rare these days.
Although this is a simple business. they couldn t possibly have grown this quickly without technology. Taking a low tech business and putting a high tech spin on it allowed them to rapidly distinguish themselves from their competition. All calls come into a central 1-800-GOT-JUNK? Call centre where they do all the booking and dispatch for their franchise partners. Franchise partners then assess all of their real time reports. schedules. customer info. etc.. off of JUNKNET. their corporate intranet. This allows franchise partners to get into business quickly. and to focus solely on growth — working on the business vs. working in the business. 1-800-GOT-JUNK? Will do about $79 Million in 2014. not a bad return on a $700.00 investment! Brian s BHAG (Big Hairy Audacious Goal) is $200 million and 250 franchise partners by Dec 31st. 2019. He says confidently. "We will get there."
Critically evaluate the business model of 1-800-GOT-JUNK.
Answer:- For years. the hauling business 1-800-GOT-JUNK? drew attention for its seven-minute daily "huddles. " in which all 100 or so corporate employees assembled to exchange status updates. This check-in kept staff aligned as founder Brian Scudamore scaled his companyfrom a single unit to a franchise operation with $137 million in sales and 220 operators. Today. the daily huddle serves the same purpose but for twice as many people. It s helping to align three companies: JUNK and Scudamore s new house-painting and moving companies.
Expandinginto adjacent industries is obviously easier than green-fielding a whole new market. Processes that translate among companies make scalingsmoother still. "In 1996. I read Michael Gerber s The E-Myth. and it taught me that people don t fail; systems do. " says Scudamore. He spent the next 14 years optimizing systems--like the huddle--for JUNK. hoping many would be replicable in businesses he knew would someday follow.
Scudamore began by collecting the company s best practices for everything. including greeting a customer and closing a sale. "When we identified systems and processes that didn t exist. we d decide how to solve them. " he says. Scudamore wrote each process on a single sheet of paper. If it didn t fit. it was too complicated. By the time Scudamore launched WOW 1 DAY Painting in 2010 and You Move Me last year. the JUNK manual covered more than 200 processes. roughly 70 percent of which could be ported to the other operations.
Scudamore also exploited JUNK s infrastructure. The company s killer app is a homegrown booking-and-dispatch service called Junknet used by franchisees: Minimal adaptation produced Paintnet and Movenet. All three companies use the same marketing strategies--heavy on pay-per-click. And JUNK s call center expanded easily to accommodate WOW 1 DAY and You Move Me.
The result? Within three years of launch. WOW 1 DAY was a $5 million company. And You Move Me hit that benchmark in just six months.
Many entrepreneurs minimize their risks by outsourcing to contractors. Scudamore chose a different route. "I hired my first employee a week after I started. I knew I needed the help. His name was David Spiderman. a good friend of mine. I really didn t know yet how to hire so I just asked a buddy." It may have started as a matter of simply not knowing what else to do. but it became a philosophical issue for him. "On a bigger level. I always believed in hiring people vs. contract or consultants. I felt that if I wasn t willing to make the investment then I was questioning my own faith in the business."
Briefly explain the role a franchise partner plays success of such a business model. Support your answers with relevant assumptions and examples.
Answer:- It s important to know the ins and outs of any business. especially when it comes to franchising and familiarizing yourself with the roles and responsibilities of a franchisor and franchisee. The franchisor and franchisee relationship is a vital component to the franchise business structure. As a result. a well-balanced franchisor and franchisee relationship is the key to success for any franchise business. A good franchise business structure always has a well-established business model. However. it is necessary for both franchisor and franchisee to follow the rules and responsibilities that each role requires. Unsure of what these entail? We have a handy list outlined below.
Follow the franchise s system and operations
Buying into a franchise has its advantages. one of which is having an effective business model set up. This not only removes the guesswork for day-to-day operations. but is the necessary foundation for the franchisor and franchisee to succeed together!
Manage the success and growth of the franchised business
While the franchisor provides overall support and resources to help franchise partners succeed. franchisees are still responsible for managing their business and ensuring its growth. Taking ownership of a franchise business is the sole responsibility of the franchise partner. However. don t forget about the overarching business model and follow the guidelines outlined by the franchisor.
Marketing and upholding the brand s image
While the franchisor is responsible for brand reputation management. franchisees are responsible for marketing their businesses in their assigned market areas. Franchise partners also play a role in protecting and fostering the brand s image. This usually means complying with HQ s policies. and seeking approval when rolling out any marketing campaigns of their own. This builds stronger brand unity which helps the franchisee and the business as a whole. Keep in mind that it s a collective effort— the HQ s marketing team is there to make the franchisee s job easier!
The retail optical services market is highly competitive and starting an outlet in your own name is a risky affair. A franchise made sense. because it reduces some - not all - of the risks. offers a familiar brand name to build on and provides support with marketing and other aspects. There are several franchisors out there and I considered them all. I decided to go for a Boots Opticians franchise."
"Boots reputation with UK consumers is excellent and brand awareness is almost universal. Also. because I was applying for one of the first Boots Opticians franchises. there was more scope to get involved in developing the operational systems. This was important to me I found that longer-established franchisors had a less flexible attitude.
How would you launch the same business in a market like India? Please state your assumptions and challenges clearly before you explain your B-Plan.
Answer:- One of the most important reasons to plan is that you may be held accountable for the projections and proposals it contains. That s especially true if you use your plan to raise money to finance your company. Let s say you forecast opening four new locations in the second year of your retail operation. An investor may have a beef if. due to circumstances you could have foreseen. you only open two. A business plan can take on a life of its own. so thinking a little about what you want to include in your plan is no more than common prudence.Believe it or not. part of planning your plan is planning what you ll do with it. No. we haven t gone crazy--at least not yet. A business plan can be used for several things. from monitoring your company s progress toward goals to enticing key employees to join your firm. Deciding how you intend to use yours is an important part of preparing to write it.
Do you intend to use your plan to help you raise money? In that case. you ll have to focus very carefully on the executive summary. the management. and marketing and financial aspects. You ll need to have a clearly focused vision of how your company is going to make money. If you re looking for a bank loan. you ll need to stress your ability to generate sufficient cash flow to service loans. Equity investors. especially venture capitalists. must be shown how they can cash out of your company and generate a rate of return they ll find acceptable.
Although this is a simple business. they couldn t possibly have grown this quickly without technology. Taking a low tech business and putting a high tech spin on it allowed them to rapidly distinguish themselves from their competition. Call centre where they do all the booking and dispatch for their franchise partners. Franchise partners then assess all of their real time reports. schedules. customer info. etc.. their corporate intranet.
Question No. 1
Which of the following shows the process of creating something new?
Question No. 2
Which one of the following gives suggestions for new product and also help to market new products?
Existing products and services
Central and State governments
Question No. 3
Which of the following is used by entrepreneurs to acquire experience in an international market before making a major commitment?
Question No. 4
The entrepreneur was distinguished from capital provider in:
19th and 20th century
Question No. 5
A person who managed large project was termed as the entrepreneur in the _________.
19th and 20th century
Question No. 6
What is the process by which individuals pursue opportunities without regard to resources they currently control?
Question No. 7
Having less than 50 percent of equity share in an international venture is called:
Question No. 8
Having more than 50% ownership position that provides the entrepreneur with managerial control is called:
Diversified activity merger
Question No. 9
Which one of the following is the process of entrepreneurs developing new products that over time make current products obsolete?
New business model
None of the above
Question No. 10
Which of the following factors is the most important in forcing U.S companies to focus on new product development and increased productivity?
Question No. 11
Which of the following is alternatively called corporate venturing?
Act of stating a new venture
Offering new products by an existing company
Question No. 12
Individuals influencing an entrepreneur s career choice and style are known as which of the following?
Professional support network
Question No. 13
The activity which occurs when the new venture is started is called:
Question No. 14
The level at which an individual is viewed by society is called:
Question No. 15
Which one of the following is an important source of idea generation due to their familiarity with the needs of market?
Existing products and services
Central and State governments
Question No. 16
Members of distribution channels are excellent sources for new ideas because:
They are familiar with the needs of the market
They earn a handsome profit from new business
They do not bother if entrepreneur bears a loss
They have well-developed sales force
Question No. 17
Which one of the following is the most important characteristic of a successful business website?
Question No. 18
Which one of the following is the next stage to the Concept Stage of Product Planning and Development Process?
Product Planning Stage
Product Development Stage
Test Marketing Stage
Question No. 19
SBA stands for:
Small business accountants
Small business administration
Small business adequacy
Small business advisors
Question No. 20
Why should an entrepreneur do a feasibility study for starting a new venture?
To see if there are possible barriers to success
To identify possible sources of funds
To estimate the expected sales
To explore potential customers
Question No. 21
Information regarding all of the following is related to operations. EXCEPT:
Question No. 22
For which of the following copy right acquisition is desirable?
All of the above
Question No. 23
Which of the following is TRUE for Disclosure Document?
It gives recognition that he was the inventor of the idea in past
It gives recognition that he is the first the inventor of the idea
It gives recognition that he will be the invent an idea in future
It gives recognition that he wants to copy the idea
Question No. 24
Which of the following are the Fast-growth young companies?
None of the above
Question No. 25
Which of the following factor has allowed small companies to act like they are big ones?
Question No. 26
The resistance of employees in an organization against flexibility. growth. and diversification can be overcome by developing:
Question No. 27
For the success of business plan the goals should be
Question No. 28
The Grameen Bank model is affectively used by which of the following institute?
Question No. 29
Which one of the factors should be considered while assessing the space for business?
Access from roadways to facility
All of the given options
Question No. 30
Which two work environments should be good for spawning the new enterprises?
Finance and marketing
Finance and R&D
Marketing and R&D
Marketing and IT
Question No. 31
Which one of the following should consider in economy while conducting environmental analysis?
Channel of distribution
Question No. 32
Which one of the following is a barrier to new product creation and development?
Trial and error
Question No. 33
Which of the following is not true concerning the difference between managers and leaders?
managers are appointed
managers influence through informal means
leaders may be appointed
leaders can influence beyond formal authority
Question No. 34
Persons who are able to influence others and who possess managerial authority are termed ______________.
Question No. 35
Which of the following has been identified as a source of power in leadership?
all of the above
Question No. 36
What is a target market?
A group of customers a venture reaches by accident
All consumers who purchase the venture s product
A specific group of potential customers toward which a venture aims its marketing plan
A chain of discount stores
Question No. 37
In stage of responsibility allocation process the entrepreneur follows:
Highly centralized decision making process
Highly decentralized decision making process
Somewhat centralized decision making process
No particular standard
Question No. 38
Factors contribute to the creation of new venture EXCEPT:
Central and State Governments
High interest rates
Question No. 39
Which one of the following gives suggestions for new product but also helps to market new product in the market?
Existing products and services
Question No. 40
Which of the following is the most important for the entrepreneur. while starting a new venture. to make an assessment of?