Plan for Small Business
This business operation plan describes the way in which a cup cake shop will be set up, the products that will be sold, the geographical location and the way long-term marketing goals will be set and achieved. Other details contained in this plan include: the manner in which the workforce will be trained and retained as well as how various pricing strategies will be integrated into the current marketing mix.
The product offeringThe production facilities will reflect the scale of the marketing mix being targeted, the level of profitability and need to expand the business. Initially, for employees (two bakers and two sellers) will be hired and given the requisite training. Additionally, a marketer who is familiar with both internet and local advertising campaigns will be hired. The marketer will be responsible for ensuring that the products on offer are properly positioned in terms of promotional strategies.Sweets and cup cakes will be baked within the same shop.
The bakery will be situated at the back of the shop. Showroom will be situated at the front of the shop. For a large order of candies, customers will be advised to place their orders two days in advance in order to have their products prepared to their specifications.The marketing plan All products will be marketed in the newspapers and the internet, while gifts will be positioned strategically outside various local supermarkets for people to sample them.Marketing objectivesThis free-sample marketing strategy will be expected to bring in as many customers from the local geographical setting as possible. On the other hand, internet and newspaper adverts will target customers from both national and international markets.
The main marketing strategy will be to reach out to reach out to customers within the locality before embarking on newspaper and internet advertizing. The income generated after a successful local marketing initiative will be used to launch an internet and print media-based marketing campaign.Targeting and positioningAt the beginning, marketing positioning and penetration may be gradual, but with time, more and more of the targeted markets will be penetrated. The main challenge will now be countering competition, by targeting the retention of all existing customers as well as reaching out to new ones.The marketing mixPrice: The pricing strategy will be governed by the prevailing competition. The optimal pricing will be determined through various objectives.
The current profit maximization objective will be used to increase the current profits while taking into account costs and revenues. In situations whereby lower long-term profits are predicted, the objective will be abandoned, and instead, the current revenue maximization objective will be adopted. Indeed, the cup cake shop business is expected to thrive on latter objective, since emphasis will be put on maximization of long-term profits through an increase in the market share and reduction of the overall operation costs.Product: The products sold will include different types of candy: mini cup cakes, mini chocolates, mini biscuits and small sweets distributed as souvenirs in weddings. All these candies will be designed to the liking of the customer, especially with regard to shape, taste and other elements of design.
Place: The location for the business will be in Souq Waqif, one of the most famous traditional markets in Qatar. Although supplies will be made available locally, the designs of the cakes will be borrowed from those that are common in Lebanon and France.Promotion: Owing to the limited number of promotional tools available for the small business, quality will be a priority area. This is the reason why suggestions will be collected from customers. The employees will receive specialized training on how to make various types of cakes, biscuits, chocolates and small sweets.
The revenue maximization objective will be supplemented with other measures of improving quality such as quality leadership and maximization of the profit margin. The latter approach will be ideal when quantities are low. On the other hand, the former will be suitable for purposes of positioning the product as a market leader in terms of quality.The marketing budget will make a provision for the creation of a website where the shop’s e-commerce strategies will be drawn out. This will be aimed at maintaining a commanding presence on the internet Efforts will be made to update the website regularly with the latest products on offer, especially during various occasions such as Valentine’s Day and graduations. The operations planThe various elements of operations plan include location, hours of operation and production facilities.
The location will be selected depending on the favorability of various factors: site visibility, volume of traffic and population. Specifically, the shop will be situated in one the most famous Qatar malls. The hours of operation will initially be 8 am to 9pm. The appropriate changes in the working hours will be made in response to the needs that arise, with the ultimate goal being making the shop into a 24-hour service business setting. The default price set up will be at an average level. In other words, they will neither be too high nor too low.
The main target for the products will be all occasions and the corresponding product needs that arise in each occasion. Some of these occasions include baby birth, weddings, graduation ceremonies, Valentine’s Day, and birthdays.In summary, this business plan is expected to be easy to implement as long as the laid down strategies are followed. Emphasis will be on maintaining high quality in order for the task of cutting out a niche to be an easy one. The response to the customers’ needs will be the step towards achieving the goal of living up to the promise of quality leadership.
