Grey gold of North Europe will be a franchise of history club, cooking club and real estate Company called Grey gold owned by a group from North Europe. The business is in real estate and food services industry and has successfully established its brand name in North Europe, South Europe, Spain, France and ready to launch the same in Apulia (Italy) by virtue of its fine quality cakes, fusion food and distinctive service.
The purpose for this business plan is to provide a written guide for selling and managing property in Apulia to north Europeans of Grey gold, of North Europe and seek financing from relevant institution and investors by providing detailed funding business plan. This franchise of Grey gold will be owned by Taleb AlAmeri and will be primarily involved in the provision of variety real state packages such as plumber and electrician. In addition to the above, it will involve fresh food products such as cheese, chocolate and fresh, cream cakes, health cakes and brownies.
The business mission statement is to be solution oriented innovatively and the vision is to be one of the leading telecommunication companies in Africa. The objective of the company is to provide job opportunities youths, generate income for owners and to give 10% of the revenue back to the community.
The fundamentals of this business success rest with the capacity to deliver value to the customer at competitive prices (Siegel, 1993). With the background knowledge of stiff competition in the food industry within Dubai, this franchise aims at attracting and retaining its customer through the provision of fine quality food products and distinctive service. In addition to the above, the fundamentals of this business will encapsulate best demonstration of ethical practice within both the internal and external environment. This is because of the backdrop knowledge of the stringent measures and legislations that govern the food industry.
The food industry is expected to grow in the near and innovative approaches to food service and delivery will define success within this industry. Changing consumer demographics and increasingly complicated customers are pushing food service businesses to the drawing boards. The success of this franchise will depend on the capacity to create a powerful market niche that cannot be broken.
What makes the business very unique is the realization that businesses and consumers are increasingly demanding more leading edge in service and product delivery in the most efficient, time saving and reliable way.
General company description
The Grey gold situated at North Europe will be primarily involved in the provision of fine quality cakes and fusion food. This will encompass the provision of more than 20 types of fusion food, 40 cake creations and pastries, with a flavorful range of ice cream and beverages.
Mission statement: To provide world class food services to the customer.
Vision: To become a leading provider in fine quality cakes and fusion food.
The company will offer value addition services innovatively using the existing technology for reliability and efficiency. With a powerful website to be developed, the customers will be able to sample and purchase their preferred choice of quality fine cakes and fusion foods online. The website will be used to advertise and sell the products and services offered by the company.
Company Goals and Objectives
To have the franchise operating exactly three months after receiving adequate funding.
Obtain $ 200,000 of capital by 31st December 2010 to staff and launch the business towards achieving its long term goals.
To attain the stated year goal of recruiting employees by the beginning of the year 201
Achieve excellent levels of high ethical standards within the food industry.
Have a healthy, successful company that is a leader in customer service and that has a loyal customer following.
Achieve a sales target of $20,000 within the first three months of the operation.
Business Philosophy: The most important aspect of this business is to provide value to the customer through distinctive service and in a manner that guarantees their return.
The more than 20 types of fusion food, 40 cake creations and pastries, with a flavorful range of ice cream and beverages will be sold to all customers of different backgrounds in Europe. However, I envisage drawing the larger bulk of my customer base from the residents of Europe City. Because of the increasing innovative marketing approaches, the marketing strategy will strive to reach customers of diverse backgrounds and will then be narrowed down to touch on the specific market niche.
Food industry is a growth industry that has leaped from one phase to the other and is expected to record tremendous growth in the future Changes that will arise in the future will mainly be in regard to changing demographics and the complexity in the demands of the customer. This will also include changes in technology that will define the operations and customer service delivery. My company will stay in tandem with the changes in the food industry and at pace with technological advancement to reap the most out of the benefits presented by these two growth scenarios.
My greatest strength and competency that will also be my competitive advantage is the unrivalled experience in the food industry and chain management. As the owner of this franchise, I plan to put in an aggressive and innovative marketing campaign within this industry that will immediately smoke away competition and enhance my entry and strong regional presence in North Europe and countries such as France, Spain, and Italy.
I strongly believe that the competitors’ strength will be based on tears of operation that have made them acquire a deeper sense of understanding of the customer. In fact, after an intensive research on the competitors’ strengths and weaknesses, the company realized that the competitors’ strengths are based on the experience, location, advertisement, employee, technology, financial, political connection and goodwill.
I plan to plough in my vast experience in management within the food industry to his business and ensure its survival. In addition to the above, my capacity to raise capital that will cover important business start-up areas will provide me a competitive advantage against my competitors who has struggling with waning confidence in small and medium sized entrepreneurs by banks. Furthermore, I expect to reap from the efforts of the main company in regards to brand and image building.
This will be a sole proprietorship type of business. This is because I believe the inability to raise adequate capital forms the reason behind enlargement and partnerships. Capital is not a problem in my case. Furthermore, sole proprietorship offers the best and simplest environment in regard to decision making. I plan to execute my decisions and discharge my duties within this business without any opposition and inhibition.
This will be an entirely food business that will only deal with the products of the mother company. I will sell the more than 20 types of fusion food, 40 cake creations and pastries, with a flavorful range of ice cream and beverages offered in all Secret Recipe outlets.
After an intensive research on the competitors’ strengths and weaknesses, the company realized that the competitors’ strengths are based on the experience, location, advertisement, employee, technology, financial, political connection and goodwill. These will form the areas that will define my competitive disadvantages.
As a new franchise, I plan to get into the market at a slightly reduced sales fee in comparison to my competitors. This will form the introductory offer of the business that is aimed at drawing the customer to the business.
My marketing ill revolve around the need to adapt my brands to meet local and regional culture because of the understanding that branding act as a means of linking items that are part of product line and emphasizes the individuality of product items. This emphasis can only be achieved in instances where products items fit into the local or regional culture of the target market. This is a food industry and therefore I expect very little conflict with the culture of the people in Europe.
In addition to the above, the adapting of these brands to fit into the local and regional culture of the target market is a competitive advantage that is commonly used by competing firms engaged in the sale of similar or substitute products. In essence, this means that a firm that outperforms the others in the primary goal of performance-profitability-has competitive advantage. A reference back to the branding generic model of firms can be made, where the question of whether firms are branding strategies is cost driven or value added arises (Flyvbjerg, 2002).
Value added competitive advantage arises in instances where competing firms attach strong cognizance to the understanding of local or regional culture before launching their product lines. Companies succeed in branding strategies that their rival because their products are positioned to capitalize on their unique characteristics of a local or regional group and which, in one or more aspects, their rivals find hard to emulate. According to Flyvbjerg, (2005), the competitive advantage gives it a basis for outperforming competitors because of the value that firms are able to present to the customer. These will define my marketing plan.
Marketing services in the company
Competition has gone global and the market and industry dynamics have necessitated the need for companies to make concerted efforts streamlined towards ensuring that high quality goods and services are offered in the market at competitive prices. This has resulted in the adoption and implementation of several tools and strategies geared towards the aforementioned goals attainment. One of the strategies that have been soundly embraced by a multitude of companies is the effective marketing strategies with the strategic aim of achieving higher competitive advantage. The reasons for this are certainly clear; strategic marketing strategies are positively correlated with customer loyalty and profits.
Canyon Ranch has not been left out in its push to stay ahead of the competition. One area that differentiates marketing Canyon Ranch and a physical good is the extensive application of marketing information systems that brings together the various items of data into one particular point for analysis. This has enhanced away through which firm foundations for methods of interpreting information that is presented to it is easily achieved. According to Kotler and Keller (2009), “a marketing information system is a continuing and interacting structure of people, equipment and procedures to gather, sort, analyze, evaluate, and distribute pertinent, timely and accurate information for use by marketing decision makers to improve their marketing planning, implementation, and control.” As opposed to the physical good, the application of MIS within Canyon Ranch is developed from internal reporting systems, marketing research system, marketing intelligence systems and marketing models that all seek to respond proactively to the changing demands of its clients.
Management and organization
As I have stated, the day to day management of the business will be my primary duty with the support of other individuals that will form part of employees in the company. The procedure of running the business will be through delegation.
The managers and the staff are very important for the company as they are the means through which goals are realized, duties are carried out and they provide the links between the organization and the clients.
Group management Grey gold will often be a daunting task to many irrespective of the position one holds in the society. There can be concerns as regards maintaining the levels of discipline while at the same time increasing levels of cohesion and improving productivity. Described by many as genius, Tuckman was able to describe the four stages in explicit manner by demonstrating that the process of group development in most instances is subconscious, but knowledge on the understanding of this role can effectively assist a group to achieve its objectives with ease and speed. The Tuckman model constitutes four stages of group development that include the forming, the storming, norming and performing. This model seeks to understand the processes of group development and thus provides better understanding of factors that give rise to group conflicts. Transformational group leadership theory seeks to inspire group members with the aim of having a shared vision. This theory proposes leadership does not lead from the front, always visible, delegation of most of roles and a big fraction of time spent communicating.
The next group leadership theory is the balanced processing. According to Kotler, (1988),“balanced processing refers to a leader behavior that is less susceptible to denials, distortions, and exaggerations.” Thus ensures that the integrity of the group leadership process is not only maintained but the leader stays within the accepted path in achieving high levels of group cohesion. The best group leadership model is the transformational leadership because it fits into the unique characteristics of my group. This is because as a group in its last stage of development, the important ingredient we need is the maintenance of high levels of integrity.
The initial management team consists of the founders who will be working jointly as shareholders. The founders of the company share a vision for the success of Frees pace Communications Limited. Their duty will involve day to day running of the business which involves finance, logistics and human resource.
In future the company will have a general manager, finance manager and human resource manager who must have a degree or diploma with the relevant course from a recognized University or College.
Apart from the management team, the company is having three (3) assistant agents at the head office and one (1) assistant agent in each outlets totaling to six (6) assistant agents. The company is planning to employ watchmen, office messenger and more assistant agents as we will be expanding. These personnel have and will have minimum qualification of “O” level education.
The management team has been able to recruit other personnel through networking and train them within the already existing outlets before they are posted to the new outlets. “The business will also consider advertising through posters, internal memo, friends and relatives, internet, electronic media like radio and printed media like newspapers”.
The recruitment process will involve short-listing of the applicants, interviewing of the shortlisted applicants, selection of the successful applicants and finally issuing the appointment letter. We will also recruit through confirmation of the interns and the volunteers.
Orientation, training and developing of staff
Grey gold Company will carry out orientation, training and development of staff through induction, on the job training, contract training, refresher courses, internship and evaluation after training.
The company is looking forward to become custodians of a very fragile yet integral good: customer trust, therefore the company will maintain refresher courses to ensure all our staffs are properly aligned when it comes to personal integrity.
The company will offer to the personnel a very competitive basic salary according to the qualification, experience, position and expertise. The salary will also be based on what the competitors offer and the company’s returns. There will be a commission for the sales personnel and prompt payment for wages.
Incentive is also another factor that the company has put at the top of priorities. Incentives will enable, motivate or encourage a particular course of action which in turn will contribute to the company success. We will offer allowances in terms of overtime, leave, millage, hardship and many more as they may arise. There will be bonuses including awards in terms of value for money and certificates.
Currently the company provides tea, soft drink and has installed a television system. The business will soon embark on taking our staff to the trips, have insurance cover for them and remit contributions on their behalf to their respective insurance companies.
The company will require the following support services; financial advisor, legal advisor, banking system, security support services, infrastructure and insurance services.
The company has at its disposal a sum total of $20,000 as a financial source from directors’ personal savings. We are therefore looking for funding from other investors and banks. The business finance will be used to for the facilities, equipment, materials, cash for operating expenses and salaries, fees and other costs.
Capitalization based on the shareholders contributions is $20,000.
Proposed funds from borrowing sources
For the business to operate as proposed, the start-up cost must be met. The company is therefore proposing funds from borrowing sources of $ 20, 000
Total investment is the sum of own contribution and the proposed funds from borrowing sources which is $40,000. The following sections lay out the details of the financial plan for rapid, but controlled growth for the next one year. The simple structure to be adopted by the company will provide a great deal of flexibility resulting in few coordination problems hence quick reaction to changes in the market.