Business plan proposed by Andrey, Tolebi, Hieu and Tair ATHT Pub - Term Paper Example

GROUP WORK Business plan proposed by Andrey, Tolebi, Hieu and Tair ATHT Pub ‘Public House’ Service industry requires coming up with services that will serve customers and give them satisfaction. This requires innovations or improvement on the existing services. This business plan will give information on a proposed public house within a pub that would be set up by ATHT enterprise. The public house will be set within the pub area where it would be assessed by those who would be coming to the pub. People may want to hold meetings or even events that would require them to be seated. There would be a market for this public house because of location aspects. It would be easier for customers who come to the pub to use the added facility within the pub. The potential customers will be loyal customers of the pub and other interested parties who would not be customers of the pub. There is a likelihood that this service will be paid for by the pub users. This is because of its location within a public place. The service will be new but will be set up in a well know pub, and it will enjoy the benefits of a good name of the pub. Customers who come to the pub will get to know about it and are likely to make use of it. Customers would also feel free to use it because it is within a place that they understand and trust to provide quality products and services. The place would also be located near the university and most of its customers would be the university students. ATHT enterprise has determined that most university students and other people who visit the pub would require a public place. The best location would be just within the known pub. The whole set up would require about would require an amount of money close to $60,000. This would be the initial capital that would be used to set up the furniture within the pub area where events will be taking place. Ongoing financing that would be required would serve to add facilities in place. This would be from the savings made from the sales of the Public house (Pratt 2011, 181). This is an idea that would be profitable within a short time because of the services it would provide and its location. ATHT enterprise limited proposes to set up this public house to provide the customers with new services. INDIVIDUAL WRITTEN WORK Executive summary In the modern times customer, oriented services are require to benefit the customers in a satisfactory manner. Service providers need to research on what the customers would want to satisfy their needs. Such a research would ensure the provision of quality services that would be appreciated by their customers. This would achieve customer satisfaction that would contribute to the customers being loyal to the product. Likewise, the customer will enjoy increased sales and profits from the same. Service providers need to understand what the customers would want in relation to service provision. Such an act would benefit both customers and the provider, and the two individuals will be contented. ATHT enterprise did a research on what customers would want and identify that setting up a public house would be beneficial to customers. The enterprise identified that most University students were using the pubs around the university surroundings for various purposes that included holding of informal and formal meetings. The research also established that new services were needed. This would include provision of new brands of beers, availing opportunities for new offers and having a distinctive design that would be attractive to people. These served as gaps within the service industry that needed to be filled by providing the necessary services. The enterprise will provide a range of new products and services to customers who would visit the pub, public house. Customers will view live performances by various band groups and individuals. Beers of German and Czech origin will also be provided in the public house. In addition to this, various new beers would be provided to customers. Another thing which makes the place competitive is that it has got enough parking spaces and is located near a university. The place would also experience low competition, which would, be an advantage in terms of profit making. The public house would be accessible to people aged 18 years and above, and it would be a requirement to provide identification cards. The environment in which the business will be operated will be studied so the appropriate services are provided (United States 1994, 14). The in the coming years ATHT Enterprise Limited is to have a chain of Public Houses in various parts of United Kingdom. This will enable the firm to achieve its goal to have increased range of services. The firm also plans to have franchise outside the United Kingdom. The firm also aims at increasing its staff with time and having a band for life performances. On strategy and implementation, the firm proposes to have the following activities; promotion, sales strategy and unique selling. On promotion, the firm would employ advertising to reach a large number of customers. Sales strategy would include employing systems of discounts and use of public house club cards. The price of beers in the public house would also be slightly higher than of the pub. ATHT also proposes to come up with plans that would enable it to set up its own equipment for beer brewing in future. Technique such as JIT and the use of ICT would also be employed to ensure proper stock control and management. ATHT enterprise limited aims at implementing various strategies that would ensure quality services are provided to customers. The firm is determined to succeed in the service industry by exploiting available opportunities. Aims and objectives of the business ATHT enterprise limited proposes the following aims and objective during its operations. • To provide an 18-19 century atmosphere to its customers. • To have a band for live music performances. • To have increased staff members in future. • To provide the most recent and fresh beers to its customers • To create a chain of “Public Houses” • To have franchise abroad. • To provide a wide range of services to its customers • To provide beers of German and Czech origin to its customers The business environment The business’ surrounding would be termed as its environment because it is where the business is situated and carries its activities. It would be anything external to the business that would affect the activities of the organization. It encompasses the following aspects; political factors, social cultural factors, economic factors, legal factors and global factors. The businesses use the environment to identify opportunities and threats that it may face (Kew & Stredwick 2005, 20). For instance, ATHT enterprise limited has identified that there exists an opportunity in the environment. This opportunity is to provide customers with beers of Czech and German origin. The opportunity also encompasses the provision of fresh beer that is not provided by any other pub. The other opportunity is to provide bands for live music performances that would attract customers. ATHT enterprise has also identified that there are no pubs that provide their customers with 18-19 century atmospheres. This is an opportunity for them to exploit and generate profit from it (Hitt &Hoskisson 2011, 39). Service description This section explains the activities that the firm would be carrying out in its bid to provide services to its customers. It also entails how the firm would be carrying out its activities and the people who would be carrying out such activities. In the case of a new firm, the proposal would explain the source of income that would be used to start the firm itself (Covello & Hazelgren 2006, 96). This would entail how the enterprise will carry out its activities once it set up. ATHT is a new firm that will be started within a pub. It will offer services that are drink related within it public house. Its services will be available to people aged 18 years or more. It will provide its customers with fresh beer that has not been provided by other pub in the past (Covello & Hazelgren 2005, 205). It will also encompass activities aimed at providing beers of Czech and German origin to customers. In addition, the firm will provide an atmosphere that would be related to the 18-19 century. ATHT aims at having franchises in later stages. This would be aimed at providing its customers with their service in foreign countries. The firm also would establish a band that would enhance live performances by various artists. It is the aim of the enterprise to have a chain of Public houses that would provide the same services to various customers. The firm would also establish its own kitchen equipment to carry out its activities. In addition, the firm seeks to its own brewing equipment that it would use to make beer for its customers. The firm plans to increase its staff members to ensure that more services are given to customers than earlier stages. All activities within the Public House would be charged at a slightly higher price as compared to the pub (Pinson 2008, 44). The firm will obtain a loan of about $60,000 as startup capital. This would be used to acquire the required employees to work for the firm. Part of the amount would also be used to set up equipment that would be used in service delivery (Abrams 2003, 60). The marketing area This area is concerned with activities that would be put bring services close to customers. Such activities would also serve to inform customers of products in the market. Marketing section would also give information on where the promotion activities would be done and for what purpose. The people targeted in the marketing mix should also be specified in the marketing area (Pinson 2008, 45). ATHT will carry out promotion mix aimed at attracting university students from the surrounding areas. This would be carried out by issuing out posters with detailed information of the firm’s activities. These posters would be distributed within the surroundings of the university and the pub area. This would pass information on services provided to customers of the pub and other people who may come to the pub. Promotion mix would also involve advertising in the media. This would encompass the products that the firm will be offering (McKinney 2003, 03). Marketing would also be done through giving a discount to customers in some products or services provided by the firm. An example would be individual club cards availed to customers. This would motivate them and would even facilitate sharing of information (Schenck 2005, 57). Financing ATHT enterprise Limited will seek to obtain a loan from a bank to supplement available funds. The loan will amount to $60,000 and would later be paid to the bank within the first 12 months of operation. Each of us will contribute an amount totaling to $200. This amount will be banked in the business’s account. It would serve as a proof of the existence of the business. Table showing finances of the firm. Description Amount Andrey $200 Tolebi $200 Hieu $200 Tair $200 Loan from the bank $60,000 Total $68,000 At the end of the first year (12 months) the firm expects to have obtained money amounting to $90,000 from the sales. After all expenses have been pain together with cost associated with service production, it is expected that the firm will make a profit of around $1900. Table 2.Table showing expenses and profit Expense Amount incurred Public house set up ($30000) Equipment ($15000) Staff payments ($20000) advertising ($450) Legal fees ($150) Total expenses ($71000) Total sales $90000 Loan payment ($60000) Other expenses ($11000) Profit $1900 List of References Abrams, R. (2003), The successful business plan: Secrets & strategies, Palo Alto, Calif: The Planning Shop. Covello, J. & Hazelgren, B. (2006), The complete book of business plans: Simple steps to writing powerful business plans, Naperville, Ill: Sourcebooks. Covello, J. & Hazelgren, B. (2005), Your first business plan: A simple question and answer format designed to help you write own plan, Naperville, Ill: Sourcebooks. Hitt, M., Ireland, R. & Hoskisson, R. (2011), Strategic management: Competitiveness & globalization, Mason, OH: South-Western Cengage Learning. International symposium, ISAEBD 2011, Dalian, China, August 6-7, 2011: Proceedings. (2011). Berlin: Springer. Kew, J. & Stredwick, J. (2005), Business environment: Managing in a strategic context, London: Chartered Inst. of Personnel and Development. McKinney, A. (2003). Real business plans & marketing tools: Including samples to use in starting, growing, marketing, and selling your business, Fayetteville, NC: PREP Pub. Pinson, L. (2008), Anatomy of a business plan: A step-by-step guide to building the business and securing your company's future, Tustin, CA: Out of Your Mind & into the Marketplace. Pratt, J. (2011), Financial accounting in an economic context, Hoboken, NJ: Wiley. Schenck, B. (2005), Small business marketing for dummies, New York: John Wiley & sons Inc. United States. (1994), Industry, technology, and the environment: Competitive challenges and business opportunities: report, Washington, D.C.? U.S. Congress, Office of Technology Assessment. Bibliography Table 1: table showing finances of the firm Table 2: table showing expenses and profit Appendix The price of the beer within the Public House will be 3.10 pounds The price of snack will be between 1.0 -20.0 pounds Loan from bank $60000 Personal contribution Andrey $200 Tolebi $200 Hieu $200 Tair $200 Bank statement on contributed amount $800 Assets of the firm Kitchen equipment Furniture Ovens Legal fees paid $150 Copy of insurance cover document Read More