Entrepreneurship & Starting a Business-Free-Sample for Students

Questions: 1.Provide Comprehensive descriptions of your proposed Business Idea by highlighting2.Explain the different sources available for generating new Business Ideas and highlight the one you adopted the one you have adopted. 3.Describe any three forms of Finance and their sources that you may consider using for your chosen Business Idea. 4.Identify any 5 elements of the Promotional Mix and discuss how your Business can utilize them. 5.Five factors which will influence your Businesses Pricing. Answers: Introduction Food is a basic necessity for every person and people are always ready to indulge in great food and treats making it a lucrative business idea. This makes it the perfect business to consider starting up and highly likely to succeed if the idea is well planned. Some of the major factors leading to business failure are a high rental, labour and utility costs but the following business proposal helps eliminate these added expenses and helps convert the business success rate from 25% to over 70%. The proposal involved starting up a mobile fast food stall which would eliminate rental and utility costs allowing the venture to rapidly expand with low capital(Sant, 2012). 1.As opposed to traditional food stalls and restaurants, starting a mobile fast food stall helps eliminate monthly over heads costs like rental, labour and utility bills. In addition to cutting costs, the food van delivers incredible flexibility by allowing the business owner to set up shop at prime locations without needing to pay high rents. The business would target central business and shopping districts consisting of high population densities and would be mobile thus allowing the fast food stall to move to different locations, allowing the business to tap into a maximum number of clients(Gagliardi, 2006). There are already multiple mobile food stalls in most major cities but the demand for good, tasty and hygienic food is still high leaving lots of opportunities for new businesses to be established and expand. Positive and Negative Macro environment factors Some external Macro environmental factors likely to influence the business include: Flexible Competitiveness The fast food stall would be capable to visit prime locations and events which maximize sales. Government Policies The fast food vans require specialized and additional licensing such as a mobile food staff hygiene clearance certificate. Social and cultural forces Would need to target a universal social and cultural clientele thus not be capable of specialization Demographic factors Would not have fixed locations, therefore, needing to inform loyal clients on their daily route plan and location Technological Advancement Heavily dependent on mobile technology, applications and networking for communication to inform clients of daily menus and location. 2.Opportunities to start up a successful business are all around us but the entrepreneur needs to maintain an open mind towards identifying the opportunities(Publications, 2014). Today the internet has helped open up huge opportunities for every individual leaving it upon the individual to search for available opportunities to start a business and generate high income. Business opportunities should not be limited to availability of capital but rather should focus on the availability of resources and how they can be exploited to generate income. The internet and digital technologies can here for be termed as being the most important resources which can be used by entrepreneurs the identification information and ideas for highly demanded businesses 3.Capital is a basic requirement any entrepreneur requires to start a businesss venture, three forms of finance and entrepreneurs should have access to be listed below(Macchiavello, 2017). Personal Saving The first option for financial funding to start businesses should be the savings. Every person has the potential of generating income through employment which allows them to gradually save money to invest in the business. Capital from Assets Sales Invest extra income and savings into non-cash assets such as property, Gold, and diamonds. These can be cashed later to deliver financial capital. Credit Card/ Personal Finance Maintain a good credit rating which will help deliver quick access to personal loans and finance 4.Advertising The business would be advertised on the local news channels and print media which would create awareness among local clients regarding the new business(Lamb et al., 2011). Public relations The business owners and staff must build a close relationship with each of their customers. This allows the business and clients to build a connection and helps promote customer loyalty. Social media marketing The social media can be used to update loyal customers on the day's menu and available locations thus helping increase customer turnout. Direct marketing Their business would also have a staff member distributing fliers to pedestrians and office staffs in the regions which will help create additional awareness. Customer recommendations Happy customers are an important promotions element as they help to recommend a business if satisfied with products and services. Keeping the customer happy is there for important promotional tools which the business would rely on to promote it clientele. 5.Overhead costs Pricing is greatly influenced by a businesss overhead costs. The need to pay rent, Staff wages and utility bills all contribute towards determining the finish products or services costs. Staffing and labour Staffing and labour are also contributed towards determining a business product or service costs making it important to establish a business which has access to an abundance of skilled professionals rather than dependant on a handful of individuals. Raw materials Raw materials availability, quality, and purchase also contribute towards finished products and services pricing. Capital investment recovery The rate at which capital investment is recovered also determines a finished products pricing. Short recovery periods resulting hiking the finished products prices to secure higher profits. Target profit margins The targeting profit margin also determines the finished products final costing. Low profits mean more affordable products while high-profit returns hike the finished products pricing. Conclusion Identifying and starting up a successful business is influenced by many factors making it important each is carefully evaluated before the businesses plans are finalized and implemented. Bibliography Gagliardi, G., 2006. 9 Formulas for Competitive Business Success: The Science of Strategy. 1st ed. Seatlle: Science of Strategy. Lamb, C.W., Hair, J.F. McDaniel, C., 2011. Essentials of Marketing. 7th ed. Mason: Cengage Learning. Macchiavello, E., 2017. Microfinance and Financial Inclusion: The challenge of regulating alternative forms of finance. Oxon: Routledge. Publications, P., 2014. Entrepreneurship and Starting a Business. Toronto: Productive Publications. Sant, T., 2012. Persuasive Business Proposals: Writing to Win More Customers, Clients, and Contracts. 3rd ed. AMACOM Div American Mgmt Assn.