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Unit 7.5 Business Essentials Level 4 Athe

11 Pages 2723 Words 884 Downloads


Business environment components are considered by management to take care that business operations are executed appropriately. It is essential that internal and external factors are examined by administration to anticipate information about market conditions and their impact on system functionality. Organisation require that efficient activities are conducted which help firm to accomplish success and growth. Present report is based on Bursting Cafe, which is located in United Kingdom. In this assignment, food stall is established in University to promote information about firm to young people. As, new outlet is opened near that area which helps management to acknowledge taste and preference of public. PESTEL analysis is executed by members to anticipate influence of extrinsic components on business. Thereby, make appropriate marketing plan to enhance customer base and sales; and generate adequate revenue from business (Hair Jr and et. al., 2015).

Task 1

Part 1 - Business idea and their performance

Bursting Cafe is a corporation which is situated in United Kingdom. Business person has planned to open a new mobile outlet in country. New variants are launched by individuals to provide different choices to consumers; to purchase food items in according to their taste and preferences. This help company to segment business in those areas which have large number of visitors. High street technique is used by firm, through which mobile van facility helps management to increase their customers reach; thereby provide them appropriate products and services to fulfil their demands. Along with this, it is necessary that employees are skilled and competent, so that quality items are offered by Bursting Cafe. This benefits administration to provide innovative and unique food items to people and increase their customer base. With help of mobile van, Bursting Cafe is able to enhance sales and profitability.

Chocolate Iced, Ginger Mojito and Gourment Coffee are various items that are provided by Bursting Cafe to people. Besides this, business person have formulated new tactics such as sugar less goods for health conscious candidates and diabetic patients. This benefits company to attract clients, compete with competitors and enhance profitability.


Unique Selling Proposition

Cafe Benardo

Prime objective is to target individuals which have high income. Administration have fixed relatively high rates for items, as quality products are delivered by firm. Social media tool is used by members to spread awareness to public about their variants (Min, 2015).

The Coffee Academics

Chocolate brownie, mojito and muffin are various things which are famous in market. Along with this, company provide sugar free brownie to clients.

Mc Cafe

Prime locations are covered by firm to grab attention of large number of customers. Food items quality is adequate and are offered at affordable rates.

Bursting Cafe require that latest tools and techniques should be used by management which help them to provide quality food items to customers. It is necessary that firm provide quality things and at reasonable prices to compete with rival organisations in same sector. Cafe Benardo, The Coffee Academics and Mc Cafe are various firms which provide similar food items to people. So, it is essential that innovative ideas are designed by business person to regulate and maintain their brand reputation globally. This help enterprise to establish competitive advantage and enhance market share.

PART - 2 objectives of business activity

Administration of Bursting Cafe require to formulate adequate business strategies and polices to make system function efficiently. This helps firm to utilise resources efficiently and deliver adequate hygienic food items and drinks in marketplace. Effective business plan is formulated, which helps firm to carry out appropriate business activities and target specific segments. Along with this, innovative ideas are formulated by business persons to establish competitive advantage over other brands (Hugos, 2018). This benefits company to increase customers base and increase profitability. Management of Bursting Cafe have formulated various objectives which are stated beneath:

To deliver quality products:

Skilled and competent individuals are employed in firm which help administration to deliver quality items in market. This benefits firm to grab attention of large number of people and retain clients for longer period. With help of mobile van which is setup near University, Bursting Cafe is able to capture large market area and target young people. So, business person will be able to regulate business operations, enhance growth and generate adequate revenue from business.

To provide food items at reasonable prices:

Management require to set appropriate rates to attract customers. As in United Kingdom, there are large number of cafe established. Executive require to use appropriate pricing strategies, as mobile van is set up near University area where individuals want items at reasonable rates. So, it is necessary that Bursting Cafe deliver quality products and at adequate prices. This benefits company to survive in stiff competition and enhance reputation in marketplace.

To satisfy customers:

Business person prime goal is not only to deliver quality items to customers. Along with this, Bursting Cafe require to establish strong clients base. As, business is expanded and outlet is setup near University area; students want to adequate items in respect to their taste and preference. If effective products are provided and at appropriate prices, than firm will be able to satisfy needs and wants of people (Demil and et. al., 2015).

To implement innovative ideas:

With implementation of latest tools and techniques in system, administration deliver unique and innovative items in marketplace. In Bursting Cafe, various new features and attributes are added in products such as sugar less drinks to attract large number of people. Along with this, digital technology helps firm to establish online platform of business and enhance customer's reach. This benefits company to use adequate raw material and increase profitability.

Entrepreneurs require to have adequate funds to start business as sole trader and establish outlet and purchase appropriate assets for conducting operations. If business person don't have much money available, than partnership is best technique that can be used by administration. In context of Bursting Cafe, partnership is effective technique which benefits individuals to carry out adequate business operations and deliver quality food items in marketplace. This helps firm to compete with other companies and enhance market share and position.

Task 2

Environmental Analysis for the new business

Administration require to have complete and accurate information about business environment and its components to make system function effectively. It is necessary that Bursting Cafe evaluate external factors to anticipate information about surrounding of business; because this impact on operations either directly or indirectly. Thus, business person need to consider these components while conducting decision-making process; so that appropriate judgements are made for firm (Douglas and et. al., 2016). PESTEL analysis is executed by management to ascertain impact of extrinsic elements on Bursting Cafe functionality are stated beneath:

  • Political: Government frame various policies and legislations to regulate and manage organisations. It is essential that administration make system according to laws and rules of regulatory bodies.

Impact: Bursting Cafe need to build efficient relations wit political organisation of United Kingdom. This help business person to regulates operations effectively; thereby timely acknowledge changes that are taking in policies.

Significance: Administration will be able to handle alterations and expand firm easily with help of political components.

  • Economical: Organisation require that appropriate business operations are conducted in proficient manner, so that best outcomes are generated.

Impact: Firms are largely impacted by activities that are related with economical factors. Bursting Cafe pricing tactic is affected by inflation rate of United Kingdom; as it is necessary that firm is able to grab attention of large number of customers.

Significance: Items require to be valued appropriately, so that company establish positive impact on consumer's mind. Management need to utilise economical elements and make system accordingly (Werner and Tang, 2017).

  • Social: Appropriate strategies and policies need to be framed by management and take care that natural resources are utilised efficiently and society is not damaged.

Impact: Bursting Cafe provide quality products to customers to attract large number of people and fulfil their needs and wants.

Significance: Company will be able to timely attain targets and objective, if management have adequate support from population.

  • Technological: Productivity and quality products are provided by firms, if new tools and techniques are used by administration (Sun and et. al., 2015).

Impact: Latest technologies are implemented by Bursting Cafe in system, so innovative and unique things are delivered by firm in marketplace. This benefits firm to provide quality items to customers.

Significance: Workforce will produce items in appropriate way with aid of adequate technologies that are used by firm.

  • Environmental: This component defined as marketplace where organisation deliver items and services to fulfil requirements of people.

Impact: In Bursting Cafe business operations are conducted appropriately and business person is able to anticipate information about its surrounding.

Significance: Management require to acknowledge internal and external elements, thereby regulate organisation activities.

  • Legal: Regulatory bodies prime goal is to secure rights of employees and customers. Various acts and laws are formulated by ministry bodies to take care that administration provide adequate working conditions and facilities to members.

Impact: Bursting Cafe market reputation and performance will be affected adversely, if employer don't follow laws and regulations.

Significance: Company require to function in according to legislations, so that best and appropriate outcomes are generated (Hnátek, 2015).

Task 3

Part -A: Define event launch

Business person of Bursting Cafe require to introduce new events to present enterprise and aware public about existence of firm. Administration require to have legal permission for conducting activity in nation and invite famous musical celebrity. University ground is appropriate place which help company to enhance customer base and sales. Along with this, company even require to provide security to individuals and food products. Advertisement in social media and newspapers are appropriate tool to provide information to people about food items. Bursting Cafe uses notice board and template to convey event data to students. Large amount of funds are invested to conduct event, but this will benefit firm to establish brand image in individual's mind for longer duration.

Part -B: Preparation of a budget for project

Bursting Cafe is partnership organisation that is regulated by two individuals. In business and event are conducted by funds which are invested by both persons. They require to make appropriate plan and design adequate budget to utilise money efficiently (Gratto and Hess, 2015). Thus, this plan is designed by business person to invite famous musical celebrity and conduct effective event.

Particulars  Event launch 
Amount  12300
Components for event Cost 
Venue  1300
Catering 600
Advertising 250
Decoration 200
Transportation 400
Anchor 250
Guest 1200
Table 700
Chairs 600
Equipment 1600
Corporate social responsibility 2200


Net position 



Task 4

Organisation require that effective marketing strategies are formulated by administration in according to external environment conditions. This helps Bursting Cafe to use systematic approach for conduction adequate business operations and generate adequate profit from business. These are various components that are inserted in business plan are as follows:

Marketing objectives

Mobile van is used by administration of Bursting Cafe to enhance reach of organisation and position items appropriately. This is food sector firm, so it is necessary that quality food products are delivered as mass offering. This benefits company to accomplish marketing objectives and establish brand image and goodwill.

Target market

University is appropriate location, which helps Bursting Cafe to target young individuals. Mobile van is situated near student area but firm want to attract whole population.

Marketing strategy

Bursting Cafe target area is University, so members of Bursting Cafe will easily communicate information about food items to people. Advertisement brochure and banner are appropriate tool used by management to promote to public about their variants. Marketing mix don't require much alterations and products will be developed according to taste and preference of people (Pearson, 2017).

Marketing mix





Cost of production is used management to set appropriate prices of items.

Stall competitive advantage is established, if standard things are provided by firm and at reasonable prices.


Food products that are provided by Bursting Cafe to fulfil demands of people.

Hygienic items are delivered by firm to grab attention of large number of clients.


Sales operations are conducted by management.

University is location chosen for event, which help firm to target youth.


Posters and banners are tools used by manger to advertise information about their items and firm.

Bursting Cafe don't require to invest large amount of funds, as it is food sector organisation.


As per above report, it can be comprehended that administration will have to perform various activities to introduce a new business in market. PESTEL analysis is appropriate tool which helps members to acknowledge market conditions, thereby make system function effectively. This helps firms to anticipate information about need and wants of people. Along with this, management will get data about potential marketplace; thereby setting outlet in same. Thus, adequate supply chain management system is launched by organisation to provide adequate products and services to customers; to fulfil their demands.


  • Hair Jr, J. F. and et. al., 2015.Essentials of business research methods. Routledge.
  • Min, H., 2015.The essentials of supply chain management: New business concepts and applications. FT Press.
  • Hugos, M. H., 2018.Essentials of supply chain management. John Wiley & Sons.
  • Demil, B. and et. al., 2015. Introduction to the SEJ special issue on business models: business models within the domain of strategic entrepreneurship.Strategic Entrepreneurship Journal. 9(1). pp.1-11.
  • Douglas, C. and et. al., 2016. The HackensackUMC Value-Based Care Model: building essentials for value-based purchasing.Nursing administration quarterly.40(1). pp.51-59.
  • Werner, C. H. and Tang, M., 2017. Essentials of the Management of Creativity and Innovation in Education, Business, and Engineering. InHANDBOOK OF THE MANAGEMENT OF CREATIVITY AND INNOVATION: Theory and Practice. pp. 347-364.
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