The sole purpose that pushes an individual to begin a business is to make a profit. The way of making a profit from sakes involves the ability of the seller to convince the market to have their preferences favorable to the products of the consumer. The producer, therefore, invests much of the time in making the product to win the interest of the market (Pham & NguyenDang, 2019). The challenge is typically found when it comes to the translation of the ideas to work. Many entrepreneurs tend to imagine that the best and what seems to be the only way of conquering a more significant share of the market is by making their products look differently. This is true, but it should be noted that it works in conjunction with some other strategies to bring success to the business (Lam, 2018).
Factors to Consider When Starting a Business
In as much as the innovation strategy will work, there is a need to find the target group for the product. That is the people that are expected to be the customers and the region of coverage of the supply of the product. At all times, the product should be examined if the product is set to be sold in either the global, local, national, or the regional market (McKenzie & Sansone, 2019). This, therefore, will mean that the need of the people in such a targeted market is investigated keenly to have prosperity in the business.
The market gap should be done appropriately through the feasibility studies for accuracy (Pham & NguyenDang, 2019).
The other strategy that needs to be considered by the producer is strategies of marketing and branding the product. The way the product is branded means a lot to the consumers. Therefore the branding should be done in a way that attracts the people to buy (Lam, 2018). The promotion has become much better with the improvement in technology. Today promotion can be done at a sitting and reach a more significant population than what personal sales would do (Pham & NguyenDang, 2019). The coming of computers has enabled processes like teleconferencing and online marketing. The smartphones as well will guarantee the seller that a larger population that uses the smartphones will be reached by the information regarding the product (McKenzie & Sansone, 2019). Using social platforms will give a safer game since it will reach many people as well.
At times to start the process of implementing the idea of business may be a problem of resources. In this respect, it will be necessary for the persons to think of joining ut their financial efforts and raise a serious business that will sell (Watson et, al., 2028). Partnerships may be preferred for such cases to come up with a solution. The large and stable financial base will give security to the business and will help it to prosper. There is as well as the consideration of the ancillary industries (McKenzie & Sansone, 2019). This leads to the centralization of firms. It is advantageous to set a business where there is support gain from other companies.
In some cases, a firm may be using the by-products of another as its raw materials and hence helps the other firm to dispose of them off (Pham & NguyenDang, 2019). The interdependence of the firms shows the importance of coming together. At the same time, in areas like in technology, it is profitable to start the business together for a bitter and more significant growth by combined ideas. The technology advancement field, for example, has individual specializing in different areas which with combined effort can result in considerable profitability realized by the entrepreneurs (Lam, 2018).
Another aspect to be considered by the entrepreneur before setting of the business is the availability of alternative goods. These may be either substitute. The products that are different from the right product to be produced but can be used in place of the same (Watson et, al., 2028). The pricing of such goods will determine the profit margin for the product. If there are many substitutes for the same product, then it will be risky to supply such product, for example (Pham & NguyenDang, 2019). When the alternatives are cheaper, then the market will prefer substitutes. Both of the products serve the same purpose, and hence pricing will be the point of differentiation. It is therefore advisable to invest in areas of low competition. This is mainly a challenge in third world countries (McKenzie & Sansone, 2019).
Also, it is essential to look at the social, economic, and political condition of the area before setting the business. For the company to do well, it will need the resources in abundance which can be found in the developed countries. Such developed countries can be taken advantage of (Watson et al., 2028). The purchasing power in such states are as well high and can help in the prosperity of the business (McKenzie & Sansone, 2019). The population determines the size of the market for the products as well. Therefore the company should set in places of high population density to boost its sales volume (Lam, 2018). Such developed countries also have a stable political state. The peace will help give an assurance of continuous flow of resources without interruption. This will significantly contribute to the success of the business. An entrepreneur should consider these critical factors before setting the company in place (Pham & NguyenDang, 2019).
Small Business Plan
To start a small business, the following strategy can be applied to realize the profit and success of the company:
The Higher Life Designers
Higher life designers are dedicated to providing the most recent designs to the locals and international groups. With the increase in the demand for the products, the company is set to be the world most preferred for sportswear (McKenzie & Sansone, 2019). The quality is a priority which is set to attract the customers to the place where they will find their satisfaction (Lam, 2018). The dressing room is set for the preference of the customers and the changing of the gowns by the brides.
Strategies That Will Lead To Success
To ensure that the sales volume increases every month with a net increase at the end of every financial year.
- Continue to bargain 67% of the total market demand.
- Become the best and most preferred boutique in the whole globe.
Strategies to Success
The Company is set to raise its sales to 785,000 pounds by the end of the second financial year from 577,000 invested in the beginning. The business will be tuned towards maintaining a profit margin of 67% and have realistic and reasonable outlets in the form of expenses. The store will, in addition, strive to be the first to give the supplies of the most recent designs (Pham & NguyenDang, 2019). The application of the research will achieve this through computers and consistent research on how to provide the best of the service (McKenzie & Sansone, 2019). This will be implemented to ensure the customers find their satisfaction at all times they come to the shop.
The Mission of the Company
High life designers are en enterprise that will aim at giving the best of designs wear globally. It will target to fit all kinds of people with all types of cloth designs and to provide the latest models that have never been in supply in the market (Lam, 2018). The shop will provide room for hiring as well for suits and wedding gowns at affordable prices. It will strive to equip its customers ahead of its competitors to win the market. It will use computers and the most recent machiners with the best of designers to maintain its quality.
The Motto of the Company
Be the best designers of the globe at the most affordable price for the willing customers
Products. The shop will be equipped with all kinds of wear for both the female and the gents. It will work in specific sell: trouser, dresses, t-shirts, shirts, both long and short-sleeved, blouses suits, skirts, belts, and the wedding gowns (McKenzie & Sansone, 2019). All these will be flexibly prepared in the taste of the customer upon request. All addition and colorations of would be done depending on how the customer’s orders. The satisfaction will come from the law and demand of the customers (Lam, 2018). There will be suits and other designer clothes for hire the costumes will be of all sizes to accommodate all individuals.
The internet and online platforms will be set to advertise the products of the company. This will invest much on the social platforms that will reach multitudes of people at once. There will as well use of the advertising media both audio and the audiovisual. Buying airtime to advertise in theses platforms will target the locals majorly. There shall be billboards also hanged to help in reaching this information to the people (Watson et, al., 2028).
The higher life designers will have much of the focus on the official and sports individuals to help in promoting its sales. The researches done according to the objectives of this company have had the complete realization of the whole group to sell to (McKenzie & Sansone, 2019).
Plan of Finances
Cost for set up. The whole process of acquiring and constructing the building and furnishing the room is estimated to take 110,000 pounds.
Variable cost. Since the company will use such variable items such as airtime, tapes, and many others, its variable value is set at a different cozy of 3%to 5% of the cost.
Cost of fixed items. The fixed assets are set to take the rest of the amount to start the business off.
Lam, K. (2018). Behavioral Integration LLC a Business Plan. California State University, Long Beach.
McKenzie, D., & Sansone, D. (2019). Predicting entrepreneurial success is hard: Evidence from a business plan competition in Nigeria. Journal of Development Economics, 141, 102369.
Pham, P. U., & NguyenDang, Q. (2019). Developing Quality of School Meal and Start-up Business Plan of New Canteen Model in Viet Nam.
Watson, K., McGowan, P., & Cunningham, J. A. (2018). An exploration of the Business Plan Competition as a methodology for active nascent entrepreneurial learning. International Journal of Entrepreneurial Behavior & Research, 24(1), 121-146.