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Entrepreneurship and small business- Start-up Business Plan
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Assignment-1
MGT 402-Entrepreneurship and small business
An entrepreneur Start-up
Business Plan
A business plan is any simple plan, not only limited to the business start-up plan that helps the
management to understand the current situation of the enterprises (strengths, weakness,
opportunities and threats) and look forward into the future. A start-up plan is a business plan which
consists of the mission, vision, objectives and action plans for the future of the new enterprises
while the business plan drawn during the operation of the firm is vital for running the firm
effectively, acquire new customers, partners, loans and so on. According to Fiore (2005), a
business plan involves two dimensions; an organizing tool to simplify and clarify your business
goals and strategy, the second one is a selling document that sells the business idea and shows that
a product or a service can make a profit and attract funding and company resources.
Imagine you started a new business as an entrepreneur in Saudi Arabia. Briefly mention the
specific steps which you consider necessary to a successful business plan.
Please, think and share information on the following items:
1. Owners, capital structure and company profile
a. Your Business Name, Address, E‐Mail
b. Form of ownership: What is the legal structure? Sole proprietor, Partnership,
Corporation….
C. Investment capital
2. Company Business Description (300 – 400 words)
A. Scope and type of business
What business will you be in? What will you do? What market segment will you
choose?
• Business idea: what is your big idea? Is it a product or a service? What makes your
idea different?
• Mission Statement
• Company’s short-term and long-term goals and objectives.
• Target market and demographics: Who will your customers be? Where do they live?
What is your target market passionate about?
B. Business Philosophy
What is important to you in your business?
• Describe your Industry: Is it a growth industry? What long-term or short-term changes
do you foresee in the industry? How will your company take advantage of it?
• Describe your most important company strengths and core competencies: What factors
will make the company succeed? What do you think your major competitive strengths
will be? What background experience, skills, and strengths do you personally bring to this
new venture?
• Risk Assessment: Evaluate the strengths and weaknesses of your business using SWOT.
•Who is your competition and how do you beat them?
Note: Use APA style of referencing
Answers:
1. Owners, Capital Structure and Company Profile
Business name: DigCart
Address: 540 Tahliah Street – Albawady
Jeddah – 12345 – 6789
Saudi Arabia
Email: [email protected]
Form of ownership: Partnership
Investment capital: $2.5 million
2. Company Business Description
A. Scope and Type of Business
DigCart will provide online marketplaces for retail and wholesale trade. The business will
operate through three key segments: Cloud Computing, eCommerce, and Digital Media. The
eCommerce segment will comprise retail and wholesale platforms. The Cloud Computing segment
will consist of Dig Cloud, which offers extensive database, machine learning, big data analytics,
and computing services across multiple industries. On the other hand, the Digital Media segment
will provide advertisement services for third party businesses and news and trends to DigCart
customers.
DigCart aims to facilitate online, data-driven retail and wholesale trade and sustain optimal
customer engagement through digital media services. The business will offer online trade services,
whereby retail and wholesale businesses will pay to advertise and sell via the eCommerce website.
The business idea is unique because it prioritizes customer satisfaction and loyalty. For instance,
rather than paying registration or user fees, customers will only pay for marketing and technical
assistant services.
DigCart’s mission statement is “To facilitate easy retail and wholesale trade globally.” The
business’s short-term goals include implementing monthly discounts for loyal customers,
providing daily news and updates to enhance customer engagement, and providing personalized
customer experience to meet customers’ unique needs. Its long-term goals include reaching one
billion global consumers, creating fifty million jobs, and supporting over five million profitable
retail and wholesale businesses on DigCart platforms by fiscal 2035.
DigiCart targets a diverse global market, including the Middle East, the Europe, the United
States, and China. Its customers comprise different genders, age groups, and income levels. The
customers live in developing and developed countries with improved technological structure,
which enhances smartphone, tablet, and personal computer use. These customers are passionate
about searching for items on the internet and getting news and updates on social media (Fedushko
& Ustyianovych, 2022).
B. Business Philosophy
DigCart operates in the ever-changing eCommerce industry. Following technological
advancements, the eCommerce industry is growing rapidly, requiring businesses to innovate
strategies to sustain their competitiveness. For instance, Daqar & Smoudy (2019) argue that the
eCommerce industry is experiencing short-term changes, such as pricing pressure and customer
segmentation due to commoditization. DigCart will overcome pricing pressure by differentiating
its services to achieve value pricing that outperforms existing marketing pricing. The business will
also use customer segmentation to achieve competitive pricing and customer acquisition. The
industry is also experiencing long-term changes, such as social commerce and personalization.
Social media platforms, including Instagram, Facebook, Twitter, Pinterest, and TikTok, are
increasingly becoming key players in eCommerce (Brahma & Dutta, 2020). DigCart will integrate
social commerce into its activities by ensuring its presence on various popular social media
platforms to provide its customers with current news and trends. Daqar & Smoudy (2019) reveal
that e-commerce retailers use data analytics and artificial intelligence (AI) to provide personalized
shopping experiences. Hence, DigCart will use AI to enhance targeted advertising, provide
customized product or service recommendations, and send personalized emails.
The primary strengths of DigCart include customer engagement, partnership, embracing
change, and integrity. The business will prioritize its customers’ interests and build customer trust
by analyzing customer needs and delivering commitments. The business will also embrace change
by investing in the latest technology and research and development (R&D) to promote innovation
and adapt to new practices and conditions. In addition, the business will partner with financial
institutions and relevant organizations to acquire adequate funding and skills. While DigCart uses
segmentation, discounts, and personalization to promote retail and wholesale trade, it will attract
a broad customer base, increasing its profitability. Engaging customers on social media platforms
will help the business sustain customer loyalty and competitiveness. As an administrative and
financial professional, I will incorporate analytical, accurate record-keeping, communication,
teamwork, and problem-solving skills into the new venture to drive its short- and long-term goals.
Risk Assessment: SWOT Analysis of DigCart
Strengths:
Weaknesses
•
Diverse business portfolio
•
Many sellers
•
Customer focus
•
High dependence on a single market
•
Innovative culture
•
Change management
•
Partnership
– the Middle East market
•
Limited funding for technology
investment and R&D
•
Segmentation and personalization
strategies
•
Geographical advantage – a sound
understanding of the Middle East
customer behavior and expectations,
which other e-commerce businesses
might lack.
Opportunities:
Threats:
•
Global expansion
•
Competition from local businesses
•
International partnerships
•
Competition from established e-
•
Technological innovation
commerce businesses
•
Political and economic tension. (Al
Sarhan, 2017)
DigCart’s competitors include local retail and wholesale businesses, and established global
e-commerce businesses such as Amazon, Noon, and Alibaba. The company will beat its
competitors by marketing its brand on digital and online media platforms to build brand awareness.
The company will also partner with reliable financial institutions to facilitate R&D and change
management. In addition, DigCart will use innovative segmentation and personalization strategies
to increase customer experience and loyalty.
f
References
Al Sarhan, A. S. (2017). United States foreign policy and the Middle East. Open Journal of
Political Science, 7(04), 454.
Brahma, A., & Dutta, R. (2020). Role of social media and e-commerce for business
entrepreneurship. International Journal of Scientific Research in Computer Science,
Engineering and Information Technology, 01-18.
Daqar, M. A. A., & Smoudy, A. K. (2019). The role of artificial intelligence on enhancing
customer experience. International Review of Management and Marketing, 9(4), 22.
Fedushko, S., & Ustyianovych, T. (2022). E-commerce customers behavior research using
cohort analysis: A case study of COVID-19. Journal of Open Innovation: Technology,
Market, and Complexity, 8(1), 12.
College of Administrative and Financial Sciences
Assignment-3
MGT 402-Entrepreneurship and small business
Due Date: 30/11/2023 (End of Week-7) @ 23:59
Instructions – PLEASE READ THEM CAREFULLY
• Assignments submitted through email will not be accepted.
• Students are advised to make their work clear and well presented; marks may be
reduced for poor presentation. This includes filling your information on the cover
page.
• Students must mention question number clearly in their answer.
• Avoid plagiarism, the work should be in your own words, copying from students
or other resources without proper referencing will result in ZERO marks. No
exceptions.
• All answered must be typed using Times New Roman (size 12, double-spaced)
font. No pictures containing text will be accepted and will be considered
plagiarism).
• APA style for references
Learning Outcomes:
1. Describe the place of small business in history and explore the strengths and weaknesses of
small business.
2. Design a solid projected financial plan and conduct a breakeven analysis for a small company.
3. Demonstrate the ability to deliver and communicate marketing massages in coherent and
professional manner.
4. Illustrate the ability to think independently and systematically on developing a viable business
model.
Assignment Workload:
This assignment is an individual assignment.
Start-up Business Plan
Assume yourself as an entrepreneur of a small-scale business in Saudi Arabia.
(In Continuation to the Assignment -1)
3. Products and Services
a. Describe in depth your products or services. (Technical specifications)
b. What factors will give you competitive advantages or disadvantages? Examples include level
of quality or unique or proprietary features.
4. Marketing Plan
a. Market Research- Why?
b. Market Research- How? Primary or Secondary Data?
c. In your marketing plan, be as specific as possible; give statistics, numbers, and sources. The
marketing plan will be the basis, later on, of the all‐important sales projection.
Product
• Describe the most important features. What is special about it?
• Describe the benefits. That is, what will the product do for the customer?
Customer
• Identify your targeted customers, their demographics
Competition
• What products and companies will compete with you?
• How will your products or services compare with the competition?
Strategy
• Outline a marketing Strategy.
Promotion
• How will you promote your Product?
• What will be your promotional budget?
Distribution Channels
How do you sell your products or services?
Answers:
1.
2.
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