Understanding of business and management issues in relation to the planning and development of a small business
Assignment Brief
Written Assignment Submission Instructions
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TERM (COHORT): Term 2 (BLUE) |
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MODULE: IY005 Business Development and Entrepreneurship |
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ASSIGNMENT TITLE: Individual report |
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WEIGHTING: 60% |
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Report Task |
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Assignment Due Date: 14/04/2019; (23:59) Assignment Word Limit: 1500 words (+/-10%) Mark Value: 60% |
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Notes:
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Students individually will write a detailed REPORT about the product they presented in WEEK 5. Produce a report of 1500 words based on a proposed new eco-business start-up of your choice. This must provide a clear plan of how you would start, run and develop your proposed business idea. Your report must demonstrate that you have considered all of the important practical and organisational issues relating to your proposed enterprise and demonstrate your ability to understand and apply appropriate theoretical frameworks to your own business ideas. |
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Your report should cover all of the following areas and where appropriate must make explicit reference to appropriate theories; |
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Topic area |
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A detailed description of the product, its form and the functions it is intended to fulfil. |
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A brief description of how you intend to produce your product including details of all of the resources required, their associated costs and any practical issues relating to their procurement; |
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An analysis of the competitive nature of the environment into which your product will be launched and details of any specific risk factors that will affect your business; |
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A marketing plan explaining how your product will meet the needs of at least one targeted segment. |
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Details of your business’s financial plan which should include a projected income statement detailing all likely expenditures and revenues. |
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A discussion of the strategic goals of your business including a projection of how you plan to grow your business during the first year; |
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Reflect on business experience, decision-making, personal development and overall learning gained during the module. |
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Sample Answer
Business Development Report: EcoFresh – A Sustainable Packaging Start-Up
Introduction
EcoFresh is a proposed eco-business start-up that aims to offer biodegradable and compostable food packaging solutions for small food retailers, cafes, and street vendors. This report provides a structured plan outlining how EcoFresh would be started, managed, and developed. It includes a description of the product, production and resource planning, market analysis, marketing strategy, financial forecasting, strategic goals, and a personal reflection on the business development process. Relevant business theories and models are applied throughout to demonstrate a critical understanding of entrepreneurship and start-up planning.
Product Description
EcoFresh’s core product line will consist of plant-based food containers, cups, and cutlery made from materials such as cornstarch, sugarcane bagasse, and PLA (polylactic acid). The packaging is designed to serve environmentally conscious consumers and businesses looking for sustainable alternatives to plastic. The product will be functional, durable, and heat-resistant, fulfilling the need for safe and eco-friendly food packaging. Additionally, all products will carry certification of compostability in compliance with EU and UK environmental standards.
EcoFresh aims to differentiate itself through innovative product design, including custom branding options and unique packaging styles that enhance the customer’s brand image while reducing environmental impact.
Production and Resource Planning
EcoFresh will use a contract manufacturing approach, partnering with a certified biodegradable packaging manufacturer based in Europe. This strategy reduces upfront capital investment while ensuring quality and scalability. Materials such as cornstarch and sugarcane bagasse will be sourced through sustainable suppliers, with procurement agreements in place to ensure steady supply and fair pricing.
Resources required include:
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Initial inventory investment: £20,000
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Brand development and website: £5,000
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Distribution/logistics setup: £10,000
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Marketing budget (initial): £8,000
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Legal and certification costs: £2,000
Practical challenges include import regulations, supply chain delays, and currency fluctuations, which will be mitigated by selecting UK-based distributors and maintaining stock buffers. The Lean Start-Up methodology (Ries, 2011) will guide EcoFresh’s operations by focusing on testing, customer feedback, and iterative product development to avoid overproduction and waste.
Market and Competitive Analysis
EcoFresh will operate in the growing market for eco-friendly packaging, driven by government regulations banning single-use plastics and rising consumer awareness. According to IBISWorld (2023), the UK eco-packaging market is expected to grow by 12% annually.
Key competitors include Vegware, BioPak, and GreenMan Packaging. A Porter’s Five Forces analysis shows:
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High competitive rivalry due to many established players.
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Moderate threat of new entrants due to increasing demand and regulatory support.
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Low buyer switching costs, making brand loyalty essential.
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Moderate supplier power due to few certified material sources.
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Low threat of substitutes, as plastic alternatives are being phased out.
EcoFresh’s competitive advantage lies in customisable designs, affordability for small businesses, and strong sustainability credentials. Key risk factors include market saturation, price sensitivity, and regulatory changes.
Marketing Plan
EcoFresh’s marketing strategy is guided by Segmentation, Targeting, and Positioning (STP). The primary target segment includes independent food retailers in urban areas who seek affordable, eco-friendly packaging to appeal to environmentally conscious customers.
Continued...