Statistics about Coffee Consumption in the United States - Essay Example

The coffee shop will focus on quality delivery with minimum time. The price range is specially selected keeping in mind the students and also the available market competition. Special attention has been given to the existing competition in the market. A marketing plan is being designed keeping in view the start-up budget and business requirements. All the operational requirements especially the suppliers and the equipment necessary for the successful operations of the coffee shop are catered as well.

The need for staffing needs special attention and for these reasons, part-time employees will be present at the coffee shop. In the end, the most important part that is financial projections is being provided which provides a detail view on the cash inflows and outflows.business descriptionThe coffee shop will be a limited partnership between three friends. Two of them named Jane and Rena will provide the capital for the initial setup of the coffee shop and the third friend named John will get 20% of the profits but he won’t participate in the management of the business as he is the owner of the place where the shop will be located.

Rest 80% of the ownership will be in the hands of Jane and Rena. All will be active partners in the managerial decisions. The reason for this type of partnership is to minimize the initial investment cost as if John’s property won’t be used for the purpose of the coffee shop the rentals will increase the cost and because John won’t be participating in managing the coffee shop, it’s a limited partnership.Our coffee shop will be aligned with all the health and safety requirements.

Clean and distilled water, with a proper filtration system, will be part of the coffee shop. All the checks and measures related to the safety and environment of the coffee shop will be given the utmost importance.The coffee shop will be a great place where customers can come and socialize. The comfortable environment with an open interior, wooden floors, clear window displays and décor and all we will serve is the best coffee so that our customers could enjoy and relieve their stress.

industry and market analysis The main target segment of our coffee shop is the students and faculty as our location is near a university campus but on the basis of market analysis i.e. the growth rate, the potential of the city for the business and the Denver market conditions, we came across a great deal that nowadays students want convenient locations for studying and meeting with good tasting coffee and on the same side not to worry about charges. We will rely on this factor and cater to their needs in an efficient manner.

growth rate According to the COFFEE STATISTICS REPORT 2010 edition, there is a 7% annual growth rate in the business of coffee shops. There is an $18 billion U. S coffee market. uncontrollable variables The market is a free market. Perfect competition makes it difficult as there is a threat of new entrants. Government regulations on the taxes and coffee industry also play a vital role which in turn affects the in house operations, in turn, resulting in high prices.