Market Analysis for Cool Point Gourmet Ice Cream Parlor - Essay Example

The cool point gourmet ice cream parlor needs to have an analysis of the market that is available in Vermont. The following areas will be essential in assessing the potential market.

Target Market
The market analysis is expressed by the market size through the potentiality of the market and the volume that is characterized by a particular potential area of investment. The ice parlor will tend to concentrate on the Vermont area which constitutes mainly the youth. This will create a huge consumer base. This is because the youth are the main consumers of ice cream. This also makes up the potential market for a business entity. The data for the best area for the best place to invest may come from financial data from major competitor Ben and Jerry's ice cream and customer surveys. What gives the company an upper hand is the enthusiasm and passion for producing unique, tasty ice cream. This is the part where the team will capitalize on the opponent's lack of new variety in the market and introduce variety to the market.

Competitive Analysis
This relates to the differences in the market. The differences are in terms of movements either upwards or downwards. The ice cream business is an open market that is by many competitors. However, the business tends to be fair since the investment capital is enormous. Therefore, cool point gourmet ice cream parlor will employ other techniques to lure its customers. The business entity will use discounts, unique packaging, and offers to lure customers. These actions will help to compete well with other businesses selling ice cream.

SWOT Analysis
Strengths and Opportunities
The business entity will extract information from the past to positively evaluate and predict the possible growth of the business in the future. The ice cream business has been found to have an ease of growth. However, the business is dependent on the weather seasons. Its peak is summer whereby it requires only a few weeks to be established. Another factor affecting the growth of the business is holidays and days. The business has been denoted to have a peak on weekends and holidays. Therefore, this business entity will put into consideration the holidays and all weekends.

Weaknesses and Threats
The business, however, is faced with competition from other firms in the same field. The other challenge is the seasons that do not favor the consumption of the commodity at hand. The place to source enough funds for the venture also poses as a potential challenge.
The business entity will tend to apply for a loan from the available financial institutions. The quality standards will also be high to have a fair competing ground with the competitors already in the market.

The business is estimated to give returns of over $2000. However, this must comply with the seasons whereby the product involved has the largest demand. Other determinants of the operating funds include government restrictions and the fluctuations in prices of the inputs.
Even Analysis

The business is expected to break even at least three months after it is established. The main factor for this particular business will be the application of current technology that will reduce costs. The firm will tend to substitute the use of energy from electrical to wind and solar power in its preparation of its commodity. The firm will also pack its commodity in means that tend to red Read More