Business Idea Analysis Essay Example

suitable way to promote my cafe and create awareness in the area.

The reason I wanted to promote my business is to reach my target market. I had several promotion options to choose from and selected the most suitable while also considering my budget constraints. To determine the appropriate advertising cost, I used the internet for calculations. To assess the effectiveness of my business, I prepared financial documents such as a cash flow, a trading profit and loss account, a balance sheet, financial ratios, and a break-even chart. By analyzing these records, I can determine how effective my business is. Additionally, for marketing research, I could have obtained more detailed information about my competitors and potential demand for my business by getting more questionnaires filled out.

My business mainly focuses on providing hot drinks and food within a cafe environment. I provide three different types of services which include serving waiting customers for take away, serving waiting customers for drink/eat in, and serving waiting customers for delivery. Although there are additional services that could have been offered such as free delivery or snacks while customers wait for their orders.
In terms of finances, I chose to obtain a loan from the bank but other options such as borrowing money from family or friends were also considered. Any issues with my business would affect every aspect including marketing, production, and finances. It is important to find alternatives to resolve any problems and restore normalcy promptly.

Having researched the market and financial aspects of my business, I have determined that my idea is viable. Despite being a first-year business owner, I expect to face obstacles, so it's crucial for

me to anticipate future plans and potential issues in order to guarantee the success of my cafe over the next year. On the whole, my business plan is powerful enough to secure a loan from a bank as there is a gap in the industry and promising prospects for success according to my market research. In conclusion, I am optimistic about the potential of my business not only to thrive but also to expand in time.

If my market experiences a decline, I have the option to expand into a different market. Along with this, I have presented an overview of the SWOT analysis and PEST for my cafe. The SWOT analysis is a powerful, yet simple method for understanding the current state and potential future opportunities of a company or product. It can be used to evaluate businesses and products alike and is often used as an initial step in developing marketing or business strategies. SWOT stands for strengths, weaknesses, opportunities, and threats.

By conducting a SWOT analysis for my business, I can identify its internal factors such as strengths and weaknesses, as well as external factors including opportunities and threats. This assessment will provide valuable insights into the positives and negatives of my business, along with potential advantages and disadvantages.