An Introduction to Business Studies
The aims of a business are when a specific company wants to achieve after the business has been set up and is making profit. The objectives are how the business will reach its aims and targets after the actual business has been set up.
Businesses set up objectives so they can evaluate how their business is doing in their market, also they can see if they are making profits etc.The most important aim of my business will be to survive the first year because I have many competitors in this market. My second aim will be to make sure all my customers are happy with the products my business will offer them; I will ensure good quality goods.Before I start my business I will need to choose my businesses smart objectives, it is crucial for a business to have these SMART objectives. SMART stands forS-pecificM-easurableA-chieveableR-ealisticT-ime boundMy proposed SMART objectives are going to be:S- My business will sell gym/combat sports equipmentM- To double the total profits I made the first year in the second yearA- I will want my profits to increase at least 1% every monthR- I want to be employ staff with good sales skills, also I want a suitable supplier who will meet the deadlines for the supplies I need.
T- These wills be achieved just before a year of the business being formedThese are my SMART objectives for my planning process:S- I will set up and get my sports equipment shop up and runningM- I will have my company set up within 1-4 months so the company can meet my profit goalsA- I will ensure my supplies meet the customers’ needs so I can get maximum profit and satisfy the customersR- I will keep my staff to be close friends/ family so that they are reliable and meet my needs, however other types of staff will be hiredT- I will have all these objectives done by 7-10 months in the 1st year of the business being set upResearch methods- Internet, Business studies online, Revision guidesPart TwoLocation of my businessI have found a location for my business and have decided to locate my business at 5a New Road, Bromsgrove, Worcestershire, B60.I looked into many sources e.g. Internet, Estates agents (Andrew grant) etc in finding a suitable commercial property to locate my sports retail company. There are many factors and opinions that I looked into before choosing this location for my business. Below are the factors that made me decide that I was going to use this location.
Factors for choosing my business location* The location of the business is located very near to the main Bromsgrove high street this is very beneficial because the high street area is a very busy location, meaning my business will attract many customers from the location that I have chosen.* The property has a car park opposite so any staff or customers who will need to travel in a vehicle to get to the business location can use this service.* It has good WC facilities for staff (toilet facilities)) which have only recently been made so no changes will be needed to these facilities.* The front of the property has recently been painted meaning there wont be much damage done to the display frontage.* There is premises of approximately 38.
8 sq m (417 sq ft), meaning there is plenty of space to store stock for sports gear, clothing etc.Part ThreeCompetitionThere are few competitors in the Bromsgrove area; they are dispersed around different parts of Bromsgrove. Below is a list of the different competition my business will have and there location.CompetitionBusinessLocationGilesports138-140, High St, Bromsgrove, Worcestershire B61 8ESBromsgrove sports1,church St, Bromsgrove, B61 8DDFirstDavid Lloyd club, slideshow drive, Bromsgrove, B60 1GJSports worldBromsgrove Town centreGilesports- This sports retail store provides equipment for all different types of sports such as football, cricket, and rugby etc. The only types of sports equipment they do not provide or have limited selection of is contact sports equipment. This may include sports such as boxing, Thai boxing, contact martial arts, and even hockey equipment.
Gilesports offers low prices for there sports clothing however they sell some clothes of there own brand. Meaning some of there clothing brands won’t be as popular as ones in other shops such as Adidas, Nike and so on. Due to this factor they have low prices for there own brand clothes. There own brand clothing is any price between �2.
00-�3.50, other brands such as Nike will be the average price �3.00-�5.99. The prices of sports equipment will generally cost between �1.99-�15.
00Bromsgrove Sports- Bromsgrove Sports mainly targets at the young teenagers who attend school. Due to the fact of having this target audience not only do Bromsgrove Sports sell sports wear, accessories and sports equipment they also sell general school clothing such as school uniforms -Blazers, Trousers, shirts, tie, and school badges. No other sports shop in Bromsgrove offers this these of products. Also they provide trophies for people, who wish to buy one for themselves or somebody else. They offer a variety of product however same as Gilesports they have hardly any contact sports equipment for sports such as boxing, Thai boxing, contact martial arts.
First- This business is a gym/sports centre/shop meaning they offer a variety of different services and products however the shop is not very big and only provides small items which could be needed in the gym or sports centre e.g. mouthguard, trainers, shin pads etc. The products here cost no more then �10.00 pounds however the services can cost up to �15.
00 per visit.Sports World- offer a variety of different products for non contact and even contact sports. The business sells clothing, accessories, and sports equipment. In general prices for clothing can be �2.99-�4.00+, prices for accessories can be �2.
00-�4.00.Part FourDeciding suitable ownershipTypes of business ownershipAdvantagesDisadvantagesSole Trader- A sole trader (A sole proprietorship) is someone who sets up and runs the business all on their own. A sole trader is unincorporated meaning the sole trader is not legally separate from the business.The business is normally small and easy to set upOnly a small amount of capital has to be put in to get the business startedThe owner can make decisions quickly and can chose his hours to work, also they get full profitThe sole trader has to take full responsibility of a businessIf a sole trader is ill the business could go bankruptThere is also the risk of unlimited liability, where the sole trader can be forced to sell personal assets to cover any business debts.This business has unlimited liabilityPartnership- A partnership is when there is two or more people working in a business, there can be up to twenty partners in a partnership.
In this type of business the profits are shared with each other.There is shared responsibility in the businessThere is someone to consult over business decisionsThere can be specialization in the businessThe partners can have disputes over certain business decisionsThe business had unlimited liabilityDisagreements can occur over the profits e.g. A worker may not be doing much work but he might get paid the same as someone who does workPrivate Limited Company- A private limited company also known as an Ltd. This type of business has shareholders with limited liability.Easy and not very expensive to set up.
They are smaller than a PLC meaning decisions can me made more quicklyThere may be lack of capital due to the no share regulationBusiness typeAdvantageDisadvantageCo-operative- is a type of business which is organized, and controlled by the people who use its products and services.Control of the business is kept for only the people who use the business and use its servicesA large investor or group of investors cant make the decisions just because they have made a large investment in the businessWhoever is a part of the business has a fair say in the decisions made in the businessMembers do not have a incentive to invest in a percentage of the capital made in the businessThere is a voting system upon decisions(1 vote per person)Public limited company- Also known as a PlcThe business can raise a large amount of capital from the shares that have been broughtThe business can be taken over due to the fact anyone can buy shares of that particular businessThe business can become to large, resulting poor efficiency of how the business is run. Meaning profits will be lost.AnalysisI have researched five different types of business ownership. I have looked at sole trader, Partnership, Private Limited Company, Co-operative and finally a Public Limited Company. I have concluded that the least appropriate type of ownership for my sports business is being a Sole trader mainly because my business will be a fairly large business and I will need help in getting the business started up e.
g. I will need help with the starting costs of the business and getting it up and running, I wont be able to take as many holidays as I wanted etc. After considering the different business types I was left with a Partnership and a Private Limited Company. This is because both these types of businesses match my business requirements e.g. having more than one person working in the business, being easy and affordable to set up the business.
Type of ownership I have chosenAfter looking at all the different types of ownership I have finally chosen a partnership for my sports business. I have chosen this type of ownership mainly because there is shared responsibility so I won’t be making difficult decisions on my own and will have opinions of all the other partners in the business to expand. Also I have chosen this type of ownership because my partners can be specialized in areas of the business e.g. one of my partners can be specialized in working in the actual shop and selling goods on the other hand the other partner could be looking after financial problems and may not actually be in the shop retailing goods.
Also if I was running the business alone I would be able to afford the business set up costs on my own. With the contribution of my partners I can get the business up and running. For my final conclusion about my type of ownership I researched all the types of ownership and found a partnership the most convenient.Other types of ownershipI looked at all the different types of ownership carefully and considered many factors both positive and negative when choosing my business ownership. I didn’t consider setting up and running the business solo (on my own) due to the fact my business was going to large to run on my own.
Also I wouldn’t have been organized on my own so that’s the main reason why I didn’t choose to set up the business as a sole trader. I didn’t want the business to be a private limited company because I don’t believe my business is big enough for people to buy shares in my business. The same with public limited company the same reason and that would have been just as worst because the public people would be able to buy shares.ConclusionThe type of business ownership that I have chosen to use in my business is a partnership. This partnership will consist with family members, friends and support staff. There will be between 2-10 partners in my partnership business.
Part FiveCustomers’ needs questionnaireQuestionnaire1) Are you a Male or a Female? Please tick one optionMale…..
Female…..2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.
ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.Nike…
.. Everlast….
Adidas…. Reebok..
.Puma….
.. Other…
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Lionsdale… (Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale..
…Female…
..2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.
Nike…..
Everlast….Adidas..
.. Reebok…Puma.
….. Other.
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..Lionsdale…
(Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale…..Female.
….2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one.
If you tick other please tell us the brand.Nike….
. Everlast….
Adidas…. Reebok..
.Puma…..
. Other…..
……
…..
……
……
…..
……
……
……
…..
…..
..Lionsdale… (Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale.
….Female.
….2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.
ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)6) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.Nike…
.. Everlast…
.Adidas….
Reebok…Puma…
… Other…
……
……
…..
…..
…..
…..
…..
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………..Lionsdale… (Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale…..Female…..2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.Nike….. Everlast….Adidas…. Reebok…Puma…… Other………………………………………………………Lionsdale… (Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale…..Female…..2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.Nike….. Everlast….Adidas…. Reebok…Puma…… Other………………………………………………………Lionsdale… (Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale…..Female…..2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.Nike….. Everlast….Adidas…. Reebok…Puma…… Other………………………………………………………Lionsdale… (Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale…..Female…..2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.Nike….. Everlast….Adidas…. Reebok…Puma…… Other………………………………………………………Lionsdale… (Please tell us the brand1) Are you a Male or a Female? Please tick one optionMale…..Female…..2) What age range are you between? Please tick one of the optionsAgeTick5-1011-2021-3030+3) What is your favorite sport? Please tick other if the sport you have chosen is not thereSportTickFootballRugbyBoxingOther (please state sport in the tick box provided)4) What time of product are you most likely to buy from a sports shop? You may tick more then one box.ProductTickClothingBoots, trainersAccessoriesOther( please state in the tick box)5) What is you favorite brand for clothing, boots and trainers, and accessories you may tick more then one. If you tick other please tell us the brand.
