Concrete Installation Limited Liability Company - Case Study Example

Concrete Installation and Fiberglass Business Plan Student’s Name University Concrete Installation Limited Liability Company Description Concrete Installation Limited Liability Company is an Oklahoma based company with its offices positioned at Sulphur. The company plans on becoming the leading provider of concrete framework in Oklahoma. The realization of the top leadership position will be attained by the availability of working facilities and the employees outstanding workforce as part of the organization investments. Due to the current complex construction projects, the company has developed sophisticated formwork solutions thorough products and services in a variety of specializations in Y-walls, Shafts, and the circular walls. Additionally, Concrete Installation LLC is equipped with highly experienced and qualified stuffs working in concrete constructions in a decade hence having the ability of creativity and manufacturing of products to a given custom component that is required to complete the formwork complete outcome. Concrete Installation company targets commercial and residential structures, educational projects, Civil construction among other types of concrete needed building. The company expects to meet the safety of the employees, customers and the environ operating by embracing the health administration and occupational safety rules and regulations in society. The company marketing strategy is to form marketing alliances with the already established company leaders while pursuing its services to residential and commercial builders in cities, counties and governmental contracts. To easily penetrate to the diversified market, the company plans to apply the direct sales forces, the partnering selling technique and the sub-contracting. The company financial considerations tend to be profitable during the first year of operation. As such, the company expects to generate an almost1.5 million dollars’ revenue within the next three years. Strong Components of Concrete Installation Limited Liability Company Executive Summary The executive summary of the plan provides a succinct synopsis of the entire business plan (Entrepreneur Workbooks, 2013). The summary further explains the business plan market opportunity based on the scope and size through winning family home contracts to the federal government contracts. Additionally, the summary indicates the direct sales plan for the company so ass to access all channels in the market. Industry Analysis The industry analysis pinpoints the potential customers in the market industry ranging from the heavy construction to the single-family housing. As such, the analysis highlights specific segments for the business to invest inn, thus the heavy construction segment that is having an annual growth of 5% based on the business specialization. Strong financial Plans The company has strong financial plans that are required to analyze and calculate the expected cash flows, the income projections and the required expenses. Additionally, the financial statements and operating budgets are within the expectation of any ambitious company hence the projections are of reality. As such, the business plan is likely to be successful and it might receive funding from stakeholders. Weak Components of Concrete Installation Limited Liability Company Competitors The business plan fails to provide the full details of the competitors towards the company because all the business plan has competition. As such, the analysis from the Concrete Installation LLC indicates a major weakness in understanding the targeted market. In the process, the business plan gaining market competition against its competitors proves challenging based on a weak marketing idea due to a saturated market Business Risks Assessments Due to globalization, the is existence of high multinational corporations offering concrete installation services. Concrete Installation LLC fails to position financial risks assessments especially with the expectation that the company sales with grow quickly. Overestimating the market can contribute towards financial growth challenges of the company especially if the targeted number of consumer to purchase the product is not attained (Ekeng, 2015) Products and services The business plan fails to promote its products and services by having clear explanations of the products through diagrams and photos. Additionally, the company does fail to indicate the niche and the service fills of the product and services that are unique so as to satisfy the market demand (Burnett, 2013) Fiberglass World, Inc. The company is a growing company by producing patented products that intends too revolutionary the building market. Fiberglass company is located in United States of America under the protection license agreement with the inventor of the company. Fiberglass World Inc. has specialized in the production of the building tiles and the insulated designed fiberglass walls that are already supported by two U.S.A patents. The company strives to be the majority provider and distributor in the market industry through advocating for strict quality-quality products, quick time deliveries and offering low cost product prices to the customers. The company is managed by Mr. Thompson for more than 40 years. The manager forecasted the urge to develop a new product in the construction industry. His experience led the employees within the Inc. to have creative knowledge that contributed towards the company new innovation roof tile products that can be manufacture unto any shape, color, texture of a stucco look, while adhering to cheaper prices. The company targets the construction industry that tend to order wholesale roofing, siding and insulation materials from companies. The company supply different products such as asphalt shingles, clay tiles, organic shingles, solar shingles, fibered cement shingle, metal roofing and recycled tile roofing. Though such products are already in the market, Fiberglass World, Inc. product is entirely new into the market based on different manufacturing process hence the name fiberglass insulative architectural roof tiles (Fiberglass plate). Financially, the company first phase of the plan is to have $526, 000 for the positioning of the company and $ 1.6 million in phase two during the implementation and the operation of the company. All the phases are expected to be rounded up within two years to ascertain the company achievements. Strong Components of Fiber World, Inc. Plan Company Analysis The section provides a detailed strategic view of the company and describe the kind of the products that the company it offers such shingle tiles and then newly innovated fiberglass product. The analysis further indicates on the previous success attained by the company through its business. Industry Analysis The analysis indicates the annual sales expected in the industry and the amount project to increase in the industry hence a healthy business opportunity because the market size is large. The report further indicates the market segmentation, thus from family houses construction, residential constructions, non-residential construction so as to distribute its products in a wholesale technique. Such a technique indicates the diversified services rendering from the company (Fasih, 2014) Product Development Goal Mr. Thompson has worked for Fiberglass World, Inc. in the past 40 years and he has seen the need to innovate a new different product in the construction industry. The new innovate products is intended to meet the market the market demand with a priced competitive advantage for the company hence the success of the company. Innovative products are easily attributed to the market especially if the current product are out of demand or unsatisfactory (Reguia, 2014) Weak Components of Fiberglass World, Inc. Plan Competitive Analysis Generally, a business plan is expected to have a competitive analysis that easily identifies and analyzes the business competition (Kotter, 2013). Additionally, the purpose of the competitive analysis is to identify the strength and the weaknesses of the competitors within the industry so as to have a distinct knowledge advantage in the market. Though Fiberglass World company competitive advantage is to offer new innovated product of high quality under competitive price, the report fails to showcase who the competitors are, the strengths and weaknesses of the competitors and the current products in the market. As such, the competitive approach might showcase shortcomings. Operation Plan The company analysis indicates that its product will be of quality and the delivery of the products and services will be based on the customer’s timeframe request. Conversely, the plan fails to indicate how it will deliver the goods and services as per the time frame, its operating hours and the manufacturing process so as to produce quality products. Management Team Glass World, Inc. plan fails to indicate references on how the professional team have qualified for the newly innovated product and services. The company needs to provide the resume for each member within the company, outlining the duties and the responsibilities of the staff members based on the qualification and experience. Analysis and Evaluation of the companies Similarities Both the identified companies have specialized in the construction industry in product and services rendering. The companies target similar market and similar customer demands in the construction industry. Additionally, both companies have similar objectives and missions, thus focusing on sustainable development based on financial growth and to be in a leadership position. To easily penetrate to the targeted market, the companies, both companies are advocating for strategic alliances during their operational faces. Differences The companies differ based on the type of product being distributed into the construction industry, Concrete Installation LLC focus on constructing shafts, Y and circular walls while Fiberglass World, Inc. focuses on roofing tiles, shingles and fiberglass plate. The financial considerations are different across the two companies. Fiberglass World Inc. sales forecast for the 1st annual year is above $600, 000 but not more than $700,000 while Concrete Installation LLC sales forecast is $70, 000 annually. Fiberglass World Inc. is a manufacturing company in construction industry while Concrete Installation is an installation company hence differences in services delivery to the customers. Additionally, Fiberglass world Inc. has been in the market for more than four decades while Concrete LLC has been in the industry for almost one decade hence an indication that Fiberglass company holds a competitive advantage. Improving the Business Plans Testing and Validating Business Assumptions The above business plans have a clearly identified their assumptions but failed to showcase its testing and validation. The testing and validation need to focus on enlisting as to why the business might fail and why the expected sales expectations will not be achieved. In the process, the plan and testing gives the assurance if the business plan is likely to survive by changing the course or by trying different strategy before the implementation of the business plan. Risk Mitigation Plan The above two companies fails to advocate for the risk mitigation plan for the potential challenges that are likely to face the companies. As such, the business plan should entail the currency devaluation risks, inconvertibility risks, regulatory risks, competitive risks and the market risks (Waters, 2015). All the risks have negative influences towards the financial cash flow of the business plan hence mitigating such risks will contribute towards the success of the business. Extensive Research Though the business plans for the two companies showcased research findings on the targeted customers and how the industry works, an extensive research is needed in the field of the business competitors. Through extensive research, an analysis and findings needs to be presented in the competitive marketing for easier interpretation of the business plan competitive environment (Haden, 2015) Competencies Demonstrated I happen to demonstrate my ability to do the assignment properly based on identification, evaluation, and the development as per the assigned instructions. Having theoretical and practical knowledge embedded with cognitive skills positioned me to have the ability to do the assignment well. My ability to manage information assisted me to use the gathered data to base my conclusions in the analysis of the two positioned companies. Additionally, my competency is demonstrated in research and analysis by identifying interesting topics and the ability to evaluate problems and advocate for workable solutions. Challenges Faced and Overcoming them Business Plan Topic Selection Having more than 500 business plan displayed in the website, it became very challenging to select two business plans for review and analysis. Each business plan was of interest to the global development objective. As such, based on insightful review, I managed to select the above business plan topics based on my interest since they have theoretical aspects for critique and support of the project. Conducting Analysis of the Components Analyzing the strong and weak components in the business plan proved challenging because all the business structures are similar in structure and attributed to be of quality standard. Conversely, through intense research in literature review in formulating quality business plan, I was able to develop a critique knowledge whereby I was able to distinguish both the strong and the weak components of the business plan. Lessons Learnt Product Definition A Business plan needs to have fully defined products that are to be distributed to the market (Ehmke, 2015) Business Plan Objective/goal Business plan requires objectives/goals that will spearhead the plan to be successful. Any plan without goals is bound to fail. Understanding the Market Understanding the market enables the business planner to have figures regarding the number of customers that are available and the product and services can easily be appreciated in the market industry. Competitive Technique The Entrepreneur is expected to have competitive advantage and the ease market penetration of goods and services so as to successfully compete with the already identified competitors. Financials The financial expectation need to range with the business objectives for the successful implementation of the business plan. Ambiguous financial that is much below the business errant is a threat to the plan, similarly when overestimating the financials needed. References List Burnett, J. (2013) Core Concept of Marketing. A Global Text. New York. Entrepreneur Workbooks. (2013) Business Planning and Financing Management Series. The Business Plan and Executive Summary. Mars. Pp. 18. Ekeng, A. (2015) Problems and Prospects of Marketing in Developing Economies. International Journal of Business and Management, 4(9), pp 182. Ehmke, C. (2015) The Elements of a Business Plan: First Steps for New Entrepreneurs. Purdue Universities. Fasih, M. (2014) Impact of Service Quality on Customer Satisfaction and Customer Loyalty. Pakistan Journal of Commerce and Social Sciences, 8(2), pp331. Haden, J. (2015) How to Write a Great Business Plan: Comparative Analysis. Journal of Business Management Kotter, S. (2013) Choosing Strategies for Change. Change Management. Harvard Business Review. Reguia, C. (2014) Product Innovation and the Competitive Advantage. European Scientific Journal, pp. 149. Waters, J. (2015) A Comparative Analysis of Public and Private Political Risk Insurance Policies with Strategic Application for Risks Mitigation. Duke Journal of Comparative and International Law, vol. 25, p. 362. Read More