Description of Business and Its Uniqueness
The business that I will venture into to earn profit will be selling eggs on wholesale. It is a key business and interesting one because it follows the Chinese proverb mentioned in the book, which states that a journey of a thousand steps begins with a single step. I will begin my business from scratch, in which I will mainly concentrate on taking it to the next step. I consider my business to be unique because it has numerous aspects.
For instance, it is an absolutely new business in which I will concentrate on stabilizing profits that flow into the business and increase people’s lives in modern society. “A healthy business climate also contributes to the quality of life and standard of living of people in a society.” (Ebert & Griffin, 2017). Besides, it is unique because eggs and animal products can be sold at any given time and can serve various purposes.
Profitability of Business
The business will be profitable because its main source of revenue is from my capital of $400000 which will be more than the expenses. The only expense that I will incur on the eggs is transporting them from one place to the other. “The underlying premise of a market economy is to create shared value—in theory, at least, effective businesses benefit because they earn profits on what they sell, and customers also benefit by getting what they want for the best price available.” (Ebert & Griffin, 2017). When people receive the desired product, the company has a chance to exceed expenses and generate stable revenue.
Type of Competition Business Will Face
The key competition that the business idea will face is the production of eggs from other producing personnel or companies. Besides, I will face competition from the core group’s supply of eggs at slightly low prices compared to my price. “To gain an advantage over competitors, a business must produce its goods or services efficiently and be able to sell at a reasonable profit.” (Ebert & Griffin, 2017). For instance, I aim to sell high-quality eggs at $36 per tray with 30 eggs, while others may sell poor quality at a low price. Competition is a key factor that should be taken under consideration by every manager.
Economic Environmental Impact on Business
It is important to note that the economic environment is impactive to any business idea involving environmental aspects. For instance, the breeding of cocks may depend on the physical environment of the place. Hens breed well in wet seasons as compared to the drier period. As a result, the group will have a high production compared to the low temperature. Contextually, consumer spending affects prices, investment decisions, and the number of workers businesses employ. “For example, if an economy is doing well enough that most people have jobs and wages are high, a growing company may find it necessary to pay even higher wages and offer more benefits to attract workers from other companies.” (Ebert & Griffin, 2017). My business may suffer from expenditures from the business, which is dangerous in maintaining my employees.
Socially Responsibility to Customers
The egg industry is committed to ensuring that people worldwide have access to a sustainable, good-quality food supply. The egg industry is different – we don’t just talk about it, we do something about it, and we are socially responsible for this factor. “Social responsibility, meanwhile, is a related concept that addresses the overall way in which a business attempts to balance its commitments to relevant groups and individuals in its environment.” (Ebert & Griffin, 2017). Making high-quality food available to the hungry throughout the world is a priority for egg businesses. As well as donating eggs, we also work with developing countries helping to establish sustainable egg supplies for communities.
Socially Responsibility to Local Community
During the next 40 years, the world population is expected to increase by another 3 billion people. It is estimated that already, one billion people are currently underfed and undernourished. Globally we have limited resources, yet we need to produce more food. Egg production has low greenhouse gas emissions due mainly to its high feed efficiency. “Controlling pollution, the injection of harmful substances into the environment, is a significant challenge for contemporary business.” (Ebert & Griffin, 2017). Consequently, we protect the environment from pollution. Eggs offer a socially responsible solution to the dilemma of how to feed 9 billion people using our planet’s finite resources.
Socially Responsibility to Employees
My egg wholesale business will be socially responsible to the employees because it will earn them income. Discrimination will be restricted as it is one of the key factors to increase performance. “By law, businesses cannot discriminate against people in any facet of the employment relationship for any reason not related to performance.” (Ebert & Griffin, 2017). The business will enhance cooperation development between the members and the key people connected to the business. It will enable them to develop communication skills to gain ideas from one another and hence understand the key aspect of a business.
Form of Ownership
The business will be effective for the sole proprietorship ownership of the company because it will enable me to make my own decisions and decide what is good or bad for the company. “The sole proprietorship is owned and usually operated by one person.” (Ebert & Griffin, 2017). Besides, this ownership has fewer business taxes requirements. Similarly, the latter has fewer registration fees or comparatively more straightforward banking. Finally, sole proprietorship ownership will be effective because of simplified business ownership.
Advantages and Disadvantages of Form of Ownership
The advantages of a sole proprietorship include Easier processes and fewer requirements for business taxes, fewer registration fees, more straightforward banking, and simplified business ownership. Moreover, “freedom may be the most important benefit of sole proprietorships.” (Ebert & Griffin, 2017). However, “if the company fails to generate enough cash, bills must be paid out of the owner’s pocket.” (Ebert & Griffin, 2017). Also, the disadvantages of the proprietorship may be difficulty in obtaining funds, and in some cases, it may incur some higher tax incidences and charges.
International Considerations That Will Affect Business Abroad
Key international considerations that will affect my business include feed consumption, water intake, intensity and duration of light received parasite infestation, disease, and numerous management and environmental factors. “Factors affecting the global environment at a general level include international trade agreements, international economic conditions, political unrest, and so forth.” (Ebert & Griffin, 2017). Besides, the quality of the eggs produced will be another core international consideration that may affect the business resulting in poor management of opportunities. It will increase the threats that may affect my business opportunity.
International Considerations That Will Affect Business at Home
At home, the key international considerations that may impact my business include legal liabilities, economic factors, environmental factors, and the help of stakeholders. “The stakeholder model can also provide some helpful insights into the conduct of managers in international business.” (Ebert & Griffin, 2017). Besides, the environment in which the eggs will be breeding is another key aspect that may hinder my production of eggs in society or community. Finally, smoke technological factors such as coming up with a technology that deals in the manufacture of eggs by artificial insemination may hinder the business.
Mission Statement of Business
It is important to understand what the mission statement includes and what factors may increase the performance of an organization. “Many enterprises also have missions and mission statements, statements of how they will achieve their purposes in the environments in which they conduct their businesses.” (Ebert & Griffin, 2017). My key mission for the business will be to produce first-hand eggs that will enhance the smart production of the future hens and cocks that can also fertilize to increase my stock and profits of the business. Chickens can live for many years and lay eggs for many of these years, and this is the greatest advantage of the business.
Long-Term, Medium-Term, and Short-Term Goals Related to Mission Statement
My mission statement’s long-term goals will be analyzed deeply and classified into two main parts. “Long-term goals relate to extended periods of time, typically five years or more.” (Ebert & Griffin, 2017). The first key goal will be to serve as the demonstration farm to the public about the methods of rearing with improved practices. Secondly, I will aim to supply improved breeding eggs and chicks to the farmers at reasonable rates affordable to them. On the other hand, my short-term goal will be to raise different kinds of domestic birds to provide feathers, eggs, and meat as “short-term goals are set for perhaps one year and are developed for several different areas.” (Ebert & Griffin, 2017). “Intermediate goals are set for a period of one to five years.” (Ebert & Griffin, 2017). In this goal, the company will strive to increase sales revenue by 15% in one year and decrease expenses by 5%.
Decision-Making in Business
Assuming that my business will have several employees and managers, the decisions of the business will be made using a senate meeting which will discuss a concept and agree on the plans to be implemented in aching what is required. In the selection of the key partners to the business, the decision will involve employees because they are the main individuals who do business to run with ease. However, all employees’ suggestions should be monitored. “Most employees are honest, but many organizations remain vigilant.” (Ebert & Griffin, 2017). The managers will be the meeting heads to ensure that they reach a basic solution that will impress my clients.
Authority Distribution in Business
The authority will be distributed from the managers to the employees, and it is called line authority. “The type of authority that flows up and down the chain of command is line authority.” (Ebert & Griffin, 2017). I will become the overall managing director of my company to ensure that all the day-to-day activities are put in place as required. The accounting manager will take the following authoritative role, which will take on some key activities.
Total Quality Management Integration into Business
“I will successfully integrate the TQM into my business by clarifying the employees’ vision, mission, and values. Also, I will increase my level of leadership. “TQM begins with leadership and a desire for continuously improving both processes and products.” (Ebert & Griffin, 2017). Finally, I will identify Key Customer groups and ensure Solicit Customer Feedback. Developing an Improvement Plan is a key aspect that managers can follow to ensure that the business runs smoothly as required.
Supply Chain Strategy for Business
While the Business Strategy constitutes the overall direction of an organization, the Supply Chain Strategy constitutes the actual operations of that organization. “Supply chain strategy is based on the idea that members of the chain will gain competitive advantage by working as a coordinated unit.” (Ebert & Griffin, 2017). The supply chain of my business will be an overwhelming aspect that will mainly improve the basic guidelines of a business. I will develop a great business that will attract customers from all parts of the community, region, or country. For instance, the ion can supply the eggs to Europe to achieve my key objectives.
Motivational Theories Applied to Business Employees
I will concentrate on Maslow’s hierarchy of needs and McClelland’s achievement motivation theory. Using Maslow’s hierarchy of needs, I will ensure that I achieve the required goals of the business to motivate me to achieve the employee’s interests. The first approach will be classical, as many successful organizations use this model. “According to the classical theory of motivation, workers are motivated solely by money.” (Ebert & Griffin, 2017). Many employees work for a salary, and this is one of the greatest motivational factors. The second model is Maslow’s hierarchy of needs. “Psychologist Abraham Maslow’s hierarchy of human needs model proposed that people have several different needs that they attempt to satisfy in their work.” (Ebert & Griffin, 2017). When workers meet all their needs, they are motivated to stay in the organization.
Strategies for Enhancing Job Satisfaction and Morale
The key strategies that I will use to enhance job satisfaction and morale will be realistic with my expectations and recognizing good work. “Job satisfaction reflects the extent to which people have positive attitudes toward their jobs.” (Ebert & Griffin, 2017). Communicating with employees is also important to ensure that they receive what they derive.
Legal Regulations That Will Impact Employee-Employer Relationship
Employees can successfully manage the employee-to-employee relationship by putting up policies that restrain them from vices such as jealousy, hatred, and dishonesty. “These include employee safety and health, various emerging areas of discrimination law, employee rights, and employment at will.” (Ebert & Griffin, 2017). Besides, managers can earn a good relationship by embracing diversity.
Development of Workforce
I will give workers a chance to develop their knowledge. “Development refers to teaching managers and professionals the skills needed for both present and future jobs.” (Ebert & Griffin, 2017). I can develop workforce development by taking the following practices: Re-Examine Regional Labor Market Information and Evaluate Programs and Practices.
Market Segmentation in Relation to Business
Concerning segmentation, the business can be distributed into two major parts with different managers to ensure that employers work at specified points. “Once they have identified segments, companies may adopt a variety of strategies.” (Ebert & Griffin, 2017). When all parts of an organization are divided, the main strategies can be developed.
Demographic, Geographic, and Psychographic Segmentation
Demographically, the business may have 200 people who will help me run it, including the manger s and employees. “Demographic variables describe populations by identifying traits, such as age, income, gender, ethnic background, marital status, race, religion, and social class.” (Ebert & Griffin, 2017). I will hire urban residents to make sure that they easily get to working place. Also, I will make sure that our target audience shares similar interests and beliefs.
Pricing Strategies of Business
Choosing a pricing strategy might be complicated due to competition. “The pricing of a product, selecting the best price at which to sell it, is often a balancing act.” (Ebert & Griffin, 2017). As mentioned earlier, my pricing strategy will be $360 per dozen, in which the dozen contains 30 eggs echo, implying that I will be buying twenty dozen in a day.
Tactics for Existing and New Products
“Some tactics for exciting new products in my business may be sharing ideas with other competitive companies. “Planning is often concerned with the nuts and bolts of setting goals, choosing tactics, and establishing schedules.” (Ebert & Griffin, 2017). I may cooperate with them to find out the best strategy for my company. As a result, receiving good communication with the same businesses.
Distribution Concerns for Business
Regarding the distribution concerns, the business will supply its goods to all parts of the world. “Distribution is the set of activities that moves products from producers to customers.” (Ebert & Griffin, 2017). My business will supply its products across the states, regions, and communities regardless of my location.
Advertising, Sales Promotion, and Public Relations of Business
Choosing the right methods of promotion is crucial for any business. “Advertising is any form of paid nonpersonal communication used by an identified sponsor to persuade or inform potential buyers about a product.” (Ebert & Griffin, 2017). Managers can make advertisements in social media groups to make individuals realize that there is an egg business that is cheap term as compared to top operating skills.
Lessons Learnt from Business Plan
“From the entire plan, I have learned that there is more information that an individual should know to begin a business. Moreover, it is not easy to define what type of businesses should be created and how to apply the best strategy. “The term small business is not easy to define.” (Ebert & Griffin, 2017). Beginners should be ready to curb all the challenges and replace them with equitable opportunities, which will increase the running.
Measure of Success for Business
The measure of success for this will be to achieve my mission and business objectives. Successful organizations follow approximately the same plans. “Regardless of their goals, many successful entrepreneurs share certain characteristics.” (Ebert & Griffin, 2017). Supplying eggs to all parts of the world will enhance increased satisfaction rates among the employees, which will increase interaction.
Ebert, R. J. & Griffin, R.W. (2017). Business essentials. Pearson Education. Web.