Business And Management Examples and Topics

Business Paper

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Business and Management: Business Paper

Business

Business is any activity that is legal in the eye of law and done for the purpose to generate revenues. In other words, business is any legal entity that operates under a particular business law and regulation to generate money or revenues for the owner while benefiting the employees.

What is a Good Business?

There is no specific definition that can define what a good business is. But several considerations are there. Hence the key and important factors that are considered to decide what a good business are being listed and analyzed below.

Business Idea

No business can be considered as a good business until and unless it has been based on an incredible idea and concept. The business idea is the main factor that defines the real face of the business. Business is so important and crucial because it is a very essential way that leads one business to stand out from the competitive one. The business idea is a side that plays a role in the consideration of business as good because it does not only involve that what the business is about, but it also clarifies that what the business will be doing or what will be the main goal or objective of the business. So based on this, if the business idea of a business is good and enough innovative, then the business can be reflected as a good business.

Talent (Potential Talent)

An aspect that is considered when stating that a business is good or not is the talent the business has. Talen of the business means the employees or managers or actual runners of the business. Hence, concisely, a business can be thought of as a good business if the talent it has is potential, skilled, and competent because talent (human talent “employees”) is the backbone of any business in the business world.

Leadership

Leadership is the source that ensures the success and goodness of a business or organization. Leadership includes the activities of the leaders of a business and their effectiveness in the decisions regarding the business and its success. In short, the role of leadership in business is a crucial thing to consider when taking business is good or bad. Despite this, leadership is the source that develops the relationship between business and its employees while ensuring that everything is fine such as business operations. So based on this, a business would be good if the leadership of it is enough good, effective, and even exceptional.

Corporate Culture

Corporate Culture is the way that assists a business in getting success. In business, motivation and support, as well as the internal environment, are the scenes behind the success of the business. Hence, a business would be a good business if its corporate culture is effective and efficient with a healthy work environment.

What does Good Mean?

Briefly, a good business is an activity that the owner(s) believes in. Any business or business activity that aligns with the values and passion of the owner or runner while ensuring the provision of opportunity the actual and real talent, interest, value, rights, success, and development of everyone involved in. And this is the role that a business actually play.

Subject: Business and Management

Pages: 2 Words: 600

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Business Plan

[Author’s name]

[Institute’s name]

Business Plan

Company Overview

The development of a business organization is the initial practical approach that is associated with different aspects of consideration. Adequate planning is a necessity to measure to ensure the successful attainment of different business objectives. The considered organization is characterized as a non-profit organization with the title, “Blue.” The core focus of the business domain of “Blue” is to develop better ways of recruitment for specific individuals who are characterized as homeless individuals and former criminals. The organizational operations of “Blue” are mainly recognized in the form of providing career services to homeless and ex-convicts living in the area of Downtown, Los Angeles.

Due to the growing issue of homelessness and poverty in the region, the higher management of this non-profit organization is focusing to provide better grounds of economic stability of underprivileged individuals. Different business operations and functions will be adopted by the company to meet the core goal of ensuring better job opportunities for the homeless and former criminals. It is noteworthy to mention that the company of “Blue” is focusing to play its role as the mediator between jobless individuals and the business organization. The central agenda is to provide necessary grounds to both recruiters and individuals to attain their financial objectives.

The mission of the Company

It is important to define the overall mission of “Blue” to successfully formulate associated objectives. The central mission of this company is to increase recruitment services for homeless and criminal groups situated in the Downtown area of Los Angeles. This specific geographical area is selected because statistics indicate a high intensity of the issue of homelessness and criminal activities. The practical measures to cater to this issue can be considered as the increasing connections between unemployed individuals and business organizations who are interested to recruit them. The active involvement of different stakeholders in this scenario is necessary to achieve organizational objectives effectively and efficiently.

Location

The location for this business organization is recognized as the region of Downtown of Los Angeles. The primary focus of considering this area is to successfully target the deserving workforce that appeared in the forms of homeless individuals and the ones who were previously involved in criminal activities.

Legal Structure

Illustration of legal structure is another critical measure to ensure the successful form of an overview of the company. At the initial stages of business development, this organization is characterized as the sole owner in the form of a non-profit organization. It is significant to indicate that later the idea of this business expanded and accepted by different shareholders that eventually turned business structure as the partnership. The approach of a business partnership is a helpful practical measure to ensure the successful completion of different organizational tasks and operations by different shareholders. The business domain of business partnership requires proper formulation and execution of different work tasks for different team members. It is essential for the management of the organization to explicitly define organizational goals and responsibilities in the case of all the team members.

Management Team

The management team for “Blue” is categorized as a group of individuals that functions at a higher level of management. This respect is adopted to meet the successful execution of different day-to-day responsibilities in order to facilitate a deserving workforce through diverse business functions. The management for the team of “Blue” has consisted of three levels of management. These levels are recognized in the forms of higher management, middle management, and lower-level management. Organizational tasks are assigned to consideration the segmentation of management. The services for the team members are defined as the active consideration of job placement, receiving assistance with resume development and interviewing for the individuals who are homeless or former criminals.

Subject: Business and Management

Pages: 2 Words: 600

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Business Plan

Date

Name/Title of Event

Annotation (explanation/summary detailing why the event is important)

Challenges

Opportunities

Strategies to manage risks

Technological advances (relating to production, distribution, and marketing, specific to each category)

Day

Executive Summary

Business based on selling healthy products

The business has a vision to promote healthy products

Key points included in the plan are products offered, sales and promotional activities and financial projections

SWOT ANALYSIS

Strength: Unique selling proposition

Weakness: Natural Products are perishable

Opportunity: New Product offering

Threat: Change in prices of raw materials

In order to eliminate the risk of perishable goods, fresh supply will be obtained according to the demand

PRODUCTS

Yogurt, fresh salads and fruits combinations, and fresh juices

Equipment to made juices, modern equipment to reduce labor efforts.

Marketing Plan

Target Market: Student and Staff inclined towards healthy food

The unique value proposition will be used to target audience

Data about products will target audience wants will be obtained using a survey

Products will be provided according to demand to reduce risks

The online survey form will be filled by the students and staff via the Facebook page of School

Operations Plan

Week 1: Initiation and Hiring

Week 2: Construction

Week 3: DecorationWeek 4: Purchase of equipment and raw material

Employees will need to sign a contract of at least three months

Technology will be used to install equipment and construction of the canteen

Financial Plan

90000: Decoration

20000: Raw Material And Inventory

160000: Equipment

200000: Security And Lease Payment

Owners will make a contribution in the capital so there is no risk of unavailability of capital

The research will be done to look for raw materials and equipment that will cost low price

CONCLUSION

The business plan comprises of summary, SWOT analysis of business, marketing, and operational plan and financial plan

Risk planning is done to mitigate all the risks that will be coming in the way

Technology will assist in many ways in the phases of market plan

Subject: Business and Management

Pages: 1 Words: 300

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Business Plan

[Author’s name]

[Institute’s name]

Business Plan

Financial Data Analysis

Financial data analysis is a necessary condition to examine how the nonprofit business of “Blue” is doing to meet organizational objectives. The broad perspective of financial analysis comprised of consideration of budgets, cash flow anticipation, and detailed analysis of financial statements of the company. The practical domain of financial analysis involves spectrums of cash flow analysis and budget deviation analysis ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"VMvdsEPl","properties":{"formattedCitation":"(Fridson & Alvarez, 2011)","plainCitation":"(Fridson & Alvarez, 2011)","noteIndex":0},"citationItems":[{"id":270,"uris":["http://zotero.org/users/local/qLzeF6Hj/items/9EDJ6ISY"],"uri":["http://zotero.org/users/local/qLzeF6Hj/items/9EDJ6ISY"],"itemData":{"id":270,"type":"book","title":"Financial statement analysis: a practitioner's guide","publisher":"John Wiley & Sons","volume":"597","ISBN":"1-118-06420-8","author":[{"family":"Fridson","given":"Martin S."},{"family":"Alvarez","given":"Fernando"}],"issued":{"date-parts":[["2011"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Fridson & Alvarez, 2011). Moreover, the financial team of the organization will also focus to pay close attention to balance sheet analysis and the domain of activities analysis. Some relevant and feasible financial tools will be considered by the team to ensure an accurate form of financial data analysis.

Estimating Assets and Liabilities

Critical calculation and evaluation of financial ratios is a necessary step to determine the financial position of the company. Assets and liabilities are two major forms of financial operations of the company. For “Blue”, the domain of assets is comprised of different items of value owned by the company. These specific assets could be used as the source of cash generation for the organization. For the management of “Blue”, these physical aspects include real estate, necessary equipment, vehicles, etc. Trademarks, patents, cash reserves, and different forms of investments are also characterized as assets for the organization. The start-up cost value in the form of assets for the organization is based on the worth of approximately $1 million. A critical consideration of the company’s liabilities is also a critical measure to achieve outcomes of financial analysis. The payable amount for “Blue” mainly recognized as payroll, taxes, and various forms of rental agreements.

Analysis of Income and Expenditure

Sources of income for the company mainly established as fundraising, financial contribution by donors, and different forms of sponsorship. A comparison of anticipated income and expenditure is an essential measure to determine the actual financial growth of the organization. The approach of the net operating ratio will be used to determine the balance between the income and expenses of the organization.

References

ADDIN ZOTERO_BIBL {"uncited":[],"omitted":[],"custom":[]} CSL_BIBLIOGRAPHY Fridson, M. S., & Alvarez, F. (2011). Financial statement analysis: A practitioner’s guide (Vol. 597). John Wiley & Sons.

Subject: Business and Management

Pages: 1 Words: 300

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Business Plan

Name of the Student

University Name

Business Plan of M-Organic

Executive Summary

This business plan is for a restaurant named M-Organic. Two partners are investing money to start this food business. The location for this business is selected in the Mid Town New York. It will be a new medium-sized restaurant. M-Organic will emphasize organic and original cultural and innovative food. M-Organic is dedicated to ecological and sustainable development and health of the populace.

Moreover, the restaurant will be buying local foods and local food materials. The aim of M-Organic is not only the profits but the health of the society. It will benefit the local farmers and develop a taste for organic food in the community. The investors felt the need for this business because of the excessive junk foods and limited availability of healthy and hygienic foods. The business will be financed by the contribution of both partners, with an equal ratio of investment. The initial required investment is forecasted as the US $ 100,000. For this business both the partners will be actively involved in the operations, One of the partners will manage the accounts and general administration of the business, while others will manage the market, procurement and legal obligations of the business. The business will be registered as a limited liability company.

Services

M-Organic will be offering a fun place to have food that is naturally rich in taste and healthy as well. The restaurant will also be providing free reading materials regarding organic foods and its benefits, plus some free sample recipes so that people can make them at home as well. Our Chef Betty has an extensive catalog of ethnic ingredients and recipes. M-Organic projections are that most of the purchases will be from the recommendations of the chef. Traditional ways will be used to offer the consumers with a varied, rare menu. Chef Betty will be emphasizing healthy organic meals, being aware of the drift towards healthy and sustainable cuisines within the restaurant industry.

Customers

M-Organic will be looking forward to segment the market into various groups and target accordingly. The first group will be the lonely rich people who are growing in numbers and who can afford healthy organic meals. Also, these people have to eat clean, healthy and foods naturally rich with vitamins and minerals. M-Organic will also provide these customers with statistics related to the ingredients used in the cuisines so they can select their meals in accordance with their dietary and supplementary needs and wants. The second segment will be the happy young couples who prefer to eat healthily and live a healthy happy life with healthy children. The third group will be rich people who are tired of fast foods and desire organic diets as well as traditional cookery. The fourth segment will be dieting women. More and more women are getting interested in getting in good shapes and joining gym classes etc. These consumers are expected to be predominantly interested in healthy foods offerings.

Management

M-Organic has already gathered a strong team that will be managing the operation of the business. Mr. Hector will be the GM (general manager) and co-owner of the restaurant. Hector has a master degree in hotel management and a vast experience in the hotel industry. Jordan is the second partner with an equal amount of investment. He is the direct marketing and supply chain of the business. Jordan is holding a masters degree in Marketing and supply chain management. He has experience as a marketing manager in a multinational organization. The restaurant will initially require 20 staff, including one Accountant, two Sales executives, four 4 Chefs, eight waiters, three cleaners and two security guards. Mr. Kyle will be in charge of all of the accounting and finance functions. Mr. Kyle has five years of experience as an Auditor and Accountant (CPA). Mr. Kyle fiscal control expertise will be valuable in keeping M-Organic on point and cost-effective. He will report directly to the GM Hector. Mr. Weidman and Mr. John will manage the sales and marketing department. They will report to and report to the Director of Marketing and Supply Chain Mr. Jordan. The hiring of staff will be done through a committee of Mr. Hector, Mr. Jordon, and The Chief Chef Mr. Betty. Besides the hiring of employees and managing all the documents concerning employees. Lastly, Betty will be the head chef of M-Organic. She will be in charge of the back-end production along with three assistant chefs who will be hired after a month of initial operations. Chef Betty has over 15 years of knowledge and expertise in traditional foods and more than eight decades of experience in pure organic meals. Ms. Betty will be the production manager, and she will supervise all the staff working inside the restaurant such as chefs and waiters. The security guards will report to the Accountant as he will also work as an Admin manager.

Most important to M-Organic is the economic accomplishment which will be realized through stern financial controls. This is important for M-Organic because we want to flourish and become economically stable so that we can expand our business in terms of employees and locations.

Human Resource budget

In the table below the detailed budget of the monthly salaries of the employees is given.

Position

No. of Employee

Salary

Total

General Manager

3000

Director of Marketing

3000

Chief Chef

2000

Accountant

1800

Sales Executives

1500

3000

Chefs

1500

4500

Waiters

1200

9600

Security

1200

2400

Cleaners

1200

3600

32900

Financial Budgeting

The cost to open the restaurant is $100,000. The bulk of the expenditures are in restaurant layout and the purchase of all necessary assets which will pay worth $ 60,000 only. The revenue generation will cover the expenses excluding the initial month salaries. The owner's source of money is in the form of cash in hand. The total Human resource budget for the first month is the US $ 32900. The total Marketing budget for one month is the US $1000 excluding the salaries of the marketing staff. The total registration and license expenses of the company per year are the US $ 500. The total operating budget of the company is the US $ 3000 per month which includes the purchase of materials for cooking, the total variable cost and the factory overhead cost.

Start-Up Summary

The cost to open the restaurant is $100,000. The bulk of the expenditures are in furniture and the kitchen equipment $ 60,000. The total capital of the business is worth $100,000 of the start-up expenses will be sponsored by the owners. There is no debt financing, and the working capital is 100 percent based on equity financing. Moreover, the company's forecasted cash flow statement with monthly details forecasted balance sheet and projected income statement is prepared. Which reflects the budgeted sales, investments, and performance of the company.

Balance Sheet

M-Organic projected company balance sheet follows. We anticipate running at a loss in the initial stage of the first year, shrinking our net worth marginally. As the operations become lucrative in the later years, our net worth will grow. Total working capital that M-Organic will need initially is $140,000, out of which $40,000 will be borrowed from an investor.

Pro Forma Balance Sheet

Year 1

Assets

Current Assets

Cash

$ 5,000

Inventory

Other expenses

$ 5,000

$ 35000

Total Current Assets

$ 10,000

Long-term Assets

Furniture

$ 30,000

Office e\Equipment’s

Kitchen Equipment’s

$ 5,000

$ 20,000

Total Long-term Assets

$ 55,000

Total Assets

$ 100,000

Liabilities and Capital

Year 1

Current Liabilities

Subtotal Current Liabilities

$ 0

Long-term Liabilities

$ 0

Total Liabilities

$ 0

Capital

$100,000

Total Capital

$ 100,000

Net Worth

$100,000

Profit and Loss/Income statement

Pro Forma Profit and Loss

Year 1

Sales

$505,000

Direct Cost of Sales

$320,000

Other Costs of Sales

Total Cost of Sales

$320,000

Gross Margin

$ 185,000

Expenses

Payroll

$120,000

Marketing/Promotion

$12,000

Depreciation

Rent

$ 36,000

Utilities

$ 20,000

Taxes

$8,000

Net Profit

($11,000)

The negative value of an income statement shows the net losses of 11,000 during the first years due to some unavoidable expenses for the long term benefits of the organization.

Cash FlowCashflow statement of the company shows the monthly flow of cash during the first fiscal year of the company.

Table

Month

Cash Inflow

Cash outflow

January

$ 20000

$ 40,000

February

$ 25000

$ 40,000

March

$ 35000

$ 42,000

April

$ 35000

$ 42,000

May

$ 40000

$ 43000

June

$ 40000

$ 43000

July

$ 45000

$ 43000

August

$ 50000

$ 44000

September

$ 50000

$ 44000

October

$ 55000

$ 45000

November

$ 55000

$ 45000

December

$ 55000

$ 45000

Total

$ 505,000

$ 516,000

The business is a new idea which will need a lot of fo expenses and struggle in the first year. In the initial six months it was going in loses then restaurant's cash inflow will go higher than the cash outflow. The total cash flow it the end is forecasted as the net outflow. Shows the losses of $ 11,000.

Market Plan

Industry

Restaurants performance in 2018 was considered moderate in terms of growth and more of the same is expected in the coming year as customers continue to demand handiness and value. The race is growing because grocery stores and bakeries are increasing their effort on readymade meals. The wage growth rate is also forecasted to increase by the end of 2019 (business outlook, 2019). Business environments for the eatery industry are projected to continue to be positive

Customers are progressively getting interested in wholesome and healthy menu preferences, locally obtained food and food manufactured in an ecologically and naturally conscious way. Customers are paying closer thoughtfulness to food quality, food production, sustainability, and nutrition content. The NRA(National Restaurant Association) "What's Hot survey of professional chefs," American Culinary Federation associates make public a new age of concept-based diet developments that emphasize more on how foodstuff is manufactured and arranged than on precise constituents or items (Cavusoglu, 2018)

Market anticipation

M-Organic anticipates that it will attract customers with different characteristics or of various segments such as couples, diet conscious employees, rich people, etc. The business also assumes that in the beginning, the business will not be able to attract a huge number of customers, but with the passage of time when the taste starts getting developed, and dieting women, rich and diet conscious people start arriving, many prospective customers will get attracted and will start following these healthy smart people. Most importantly, M-Organic looks forward to attracting customers with its tasty cuisines and corporate social responsibility gestures in the community and on social media.

Competition

Currently, there are no competitors in the locality that specifically offers only organic meals and operates with the idea of providing organic, healthy food for diet-conscious customers.

Pricing structure

Important Assumptions

Our meal prices will be ranging from $7.00 - $20.00

Average lunch prices will be around $8

Average dinner prices will be around $12

Marketing and Sales Strategy

Customers

M-Organic will be looking forward to segment the market into various groups and target accordingly. The first group will be the lonely rich people who are growing in numbers and who can afford healthy organic meals (Lian et al., 2017). Also, these people have to eat clean, healthy and foods naturally rich with vitamins and minerals. M-Organic will also provide these customers with statistics related to the ingredients used in the cuisines so they can select their meals in accordance with their dietary and supplementary needs and wants. The second segment will be the happy young couples who prefer to eat healthily and live a healthy happy life with healthy children. The third group will be rich people who are tired of fast foods and desire organic diets as well as traditional cookery. The fourth segment will be dieting women. More and more women are getting interested in getting in good shapes and joining gym classes etc. These consumers are expected to be predominantly interested in healthy foods offerings.

M-Organic will only be providing dine-in services to the customers. In the future, we plan to offer home delivery services nearby.

Sales strategy

Attracting customers through various promotional activities and implementing these strategies at the right time at the right place is essential for any business success (Ingram, et al., 2015).M-Organic will be promoting its food and menu in seminars in the local community, on social media and word to mouth in the initial stages of its operations. M-Organic does not plan to spend a lot on the marketing strategies on media except on social media and banners. M-Organic pricing will focus on rich customers as well as the middle-level customer. The middle-level customers will have less variety of food in the initial stages of the business and will not include in luxury items in contrast to the rich class menu.

We also plan on connecting with our local chamber of commerce and food authority so to utilize their networking amenities for our opening and marketing. M-Organic will be operating in a prime location with easy entrance. Due to our small size, we will be able to provide outstanding quality by hand-selecting our market specials. The same notion holds in our employment requirements, by hand picking our workers we will be able to attempt to provide unrivaled service to clients and also growth opportunities to our employees. The total marketing budget is the salaries of marketing staff and the advertisement campaign expenses. The salaries of marketing staff per year are $ 72,000, and the advertisement expenses are 12,000 per month. So the total marketing budget will be $ 84,000. The wage growth rate is also forecasted to increase by the end of 2019 (business outlook, 2019).

Operational Budget

The operational budget of the business includes the purchases of materials, utilities, maintenance cost, and overhead expenses. The restaurant operational budget will change with the changes in sales. The volume of sales influences it. The company has forecasted the estimated operational budget at $ 40,000.

Capital Budget

The capital budget includes the purchase of machinery and other long term assets. The restaurant needed total long term assets worth $ 60,000 which includes the ovens, stoves, other kitchen instruments. The details of the company's capital budget are given below.

Kitchen Utensils are purchased worth $ 10,000. Cooking instruments and stainless steel tables with food graded material are purchased worth $ 10,000. The furniture, chairs, tables, and restaurant layout cost worth $ 10,000.

Summary

M-Organic will be looking forward to segment the market into various groups and target accordingly. The first group will be the lonely rich people who are growing in numbers and who can afford healthy organic meals. Customers are paying closer thoughtfulness to food quality, food production, sustainability, and nutrition content. The organic food menu will be having a line of really delicious and low-fat meals. Now a day, most of the lonely rich are tech employees, and most of those these tech employees work on the internet. They tend to hang out with alike individuals, but badly want to get away from their jobs and use their earnings that they are racking up. M-Organic has already gathered a strong team that will be managing the operation of the business. Mr. Hector will be the GM (general manager) of the restaurant while the other partner Jordan will control the marketing and supply chain functions of the restaurant. M-Organic will be offering a fun place to have food that is naturally rich in taste and healthy as well. The restaurant will also be providing free reading materials regarding organic foods and its benefits, plus some free sample recipes so that people can make them at home as well. The cost to open the restaurant is $100,000. The bulk of the expenditures are in furniture and the kitchen equipment $ 60,000. The total capital of the business is worth $100,000 of the start-up expenses will be sponsored by the owners. There is no debt financing, and the working capital is 100 percent based on equity financing.

References

2019 business outlook: Restaurant industry. (2019). Rsmus.com. Retrieved 26 February 2019, from https://rsmus.com/economics/the-real-economy/the-real-economy-volume-48/update-by-industry-restaurants.html

Cavusoglu, M. (2018). An analysis of technology applications in the restaurant industry. Journal of Hospitality and Tourism Technology.

Ingram, T. N., LaForge, R. W., Williams, M. R., &SchwepkerJr, C. H. (2015). Sales management: Analysis and decision making. Routledge.

Lian, J., Zhang, F., Xie, X., & Sun, G. (2017, April). Restaurant survival analysis with heterogeneous information. In Proceedings of the 26th International Conference on World Wide Web Companion (pp. 993-1002). International World Wide Web Conferences Steering Committee

Subject: Business and Management

Pages: 9 Words: 2700

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Business Plan

Name of the Student

University Name

Table of contents

Executive Summary4

Services4

Customers4

Management5

Finances6

Business Description and Vision7

Mission7

Vision7

Objectives7

An Idea7

Key company principals8

Definition of the Market8

Industry8

Market Needs9

Target market9

Dieting Women9

The Lonely Rich10

The Rich and Diet Conscious10

Happy Young Couples10

Markey anticipation11

Products and Services11

The Menu11

Organic Ingredients11

Traditional Recipes with a twist12

Product Description12

Competition12

Pricing structure12

Organization and Management13

Company Ownership13

Key personnel13

Marketing and Sales Strategy14

Customers14

Sales strategy15

Financial Management15

Start-Up Summary16

Balance Sheet16

Profit and Loss/Income statement17

Cash Flow19

Cash Flow Table19

Business Plan

M-Organic

Executive Summary

This business plan is for a restaurant named M-Organic. It will be a new medium-sized restaurant. M-Organic will emphasize organic and original cultural and innovative food. M-Organic is dedicated to ecological and sustainable development and health of the populace. Moreover, the restaurant will be buying local foods and local raw materials. M-Organic will not just focus on profits but the health of society, the benefit of local farmers and developing a taste for organic food in the community.

Services

Customers

M-Organic will be looking forward to segment the market into various groups and target accordingly. The first group will be the lonely rich people who are growing in numbers and who can afford healthy organic meals. Also, these people have to eat clean, healthy and foods naturally rich with vitamins and minerals. M-Organic will also provide these customers with statistics related to the ingredients used in the cuisines so they can select their meals in accordance with their dietary and supplementary needs and wants. The second segment will be the happy young couples who prefer to eat healthily and live a healthy happy life with healthy children. The third group will be rich people who are tired of fast foods and desire organic diets as well as traditional cookery. The fourth segment will be dieting women. More and more women are getting interested in getting in good shapes and joining gym classes etc. These consumers are expected to be predominantly interested in healthy foods offerings.

Management

M-Organic has already gathered a strong team that will be managing the operation of the business. Mr. Hector will be the GM (general manager) of the restaurant. Hector has broad management familiarity of businesses ranging from ten to 60 employees. Mr. Kyle will be in charge of all of the accounting and finance functions. Mr. Kyle has five years of experience as an Auditor and Accountant (CPA). Mr. Kyle fiscal control expertise will be valuable in keeping M-Organic on point and cost-effective. Mr. Weidman, as an HR Executive, will be looking after the Human resources function and report to General Manager (GM) directly. His functions will include hiring employees and managing all the documents concerning employees. Lastly, Betty will be the head chef of M-Organic. She will be in charge of the back-end production along with a couple of assistant chefs who will be hired after a few months of operations. Chef Betty has over 15 years of knowledge and expertise in traditional foods and more than eight decades of experience in pure organic meals.

Most important to M-Organic is the economic accomplishment which will be realized through stern financial controls. This is important of M-Organic because we want to flourish and become economically stable so that we can expand our business and in turn provide the community health benefits and the local farmer's economic benefits. Furthermore, success will be made sure by giving a high-quality service and exceptionally clean, non-greasy food with many health benefits. M-Organic plan to increase menu charges as the business gets crowded.

Finances

The cost to open the restaurant is $220,000. The bulk of the expenditures are in furniture and equipment entirely $180,000. $180,000 of the start-up expenses will be sponsored by the owners. The owner’s source of monies is in the form of cash in hand.

Business Description and Vision

Mission

M-Organic is a healthy place to eat where our chefs will look after your health and taste, combined with an intriguing natural atmosphere with excellent services. We want rational profits and a satisfying place to work for the staffs.

Vision

M-Organic vision is to develop a taste for home and locally grown foods in the community and push society towards a healthy lifestyle and expand local production.

Objectives

M-Organic expects sales of $350K the first year, more than half a million the second.

Personnel expenses less than $150K in the first year, less than $200K the second year.

Gainful in year two, better than 8% of earnings on sales by the end of year three.

An Idea

M-Organic is an idea that is soon to be a reality. The concept of M-Organic was to start a brand that will be beneficial for society physically and economically. Also, to make as many loyal customers as possible so that they can be our advocates in the mission of promoting organic foods and local produce along with attractive profits.

We become what we eat is what inspired this idea. M-Organic looks forward to making people eat healthy so that they can be healthy and act healthy mentally, spiritually and physically. If the business flourishes, it will not only attract people who prefer healthy food for themselves and their families, but also those who are looking to make profits with something that is not only for money but for the benefit of humanity or the community. M-Organic will not be just a business but a campaigner and promoter of local products and health.

Key company principals:

• Provide less oily, fresh, local produce, healthy and quality food

• Provide a clean, open, and friendly atmosphere with quality services

• Provide customers with complete information regarding menu

• Customers satisfaction

Definition of the Market

Industry

Moderate growth expected for restaurants

Market Needs

There are many perceived needs among the target market of M-Organic. According to M-Organic, the targets market needs are:

Wants diversity and varying taste, preferably something fried or smoked with a side dish with enriched taste

Looks for the swiftness of service

Wants an entertaining and relaxing experience

Looks forward to a clean, attractive, open and friendly environment

Enjoys eating out bit prefer healthy foods

Has an active lifestyle

Comes from several ethnic upbringings

Target market

Dieting Women

The organic food menu will be having a line of really delicious and low-fat meals. The restaurant will have tables of women meeting to discuss all kinds of matters while feeling positive and good about the diet they are having. More and more women are getting interested in getting in good shapes and joining gym classes etc. These consumers are expected to be predominantly interested in healthy foods offerings. M-Organic will provide this segment with an exclusive menu with low-fat, low-carb, and high nutrient tasty food. A special menu of organic smoothies will be available as well. Also, M-Organic will share some extra knowledge about the food they eat and their benefits.

The Lonely Rich

Now a day, most of the lonely rich are tech employees, and most of those these tech employees work on the internet. They tend to hang out with alike individuals, but badly want to get away from their jobs and use their earnings that they are racking up. Most of these people spend on appetizers, drinks, and tips. M-Organic looks forward to providing them with refreshing drinks, and healthy meals, as well as more and more people, are getting diet conscious, especially people who have no physical activity and sit on a chair all day long. The lonely rich people also include in old people, who are growing in numbers and they can afford healthy organic meals. M-Organic will provide these customers with statistics related to the ingredients used in the cuisines so they can select their meals in accordance with their dietary and supplementary needs and wants.

The Rich and Diet Conscious

This group of rich people are tired of fast foods and desire organic diets as well as traditional cookery. These rich people are massive in numbers with incredible swaying ability over the community, government, and private enterprises. M-Organic will try its best to attract these people and make them a loyal customer. This will undoubtedly increase the profits of the business, but most importantly, they will influence many other people to follow them.

Happy Young Couples

This segment of the happy young couples prefers to eat healthily and live a healthy happy life with healthy children. M-Organic will be providing an atmosphere that will encourage people to bring dates and spouses to have a healthy diet with a healthy conversation. These young couples are usually very prosperous but sensible and do not spend much on unhealthy activities and food.

Markey anticipation

M-Organic anticipates that it will attract customers with different characteristics or of different segments such as couples, diet conscious employees, rich people, etc. It is also assumed by the business that in the beginning, the business will not be able to attract a huge number of customers, but with the passage of time when the taste starts getting developed, and dieting women, rich and diet conscious people start arriving, many prospective customers will get attracted and will start following these healthy smart people. Most importantly, M-Organic looks forward to attracting customers with its tasty cuisines and corporate social responsibility gestures in the community and on social media.

Products and Services

The Menu

The menu of M-Organic will be exceptionally simple but with a variety. M-Organic will keep a small but specialized collection of constants in the beginning on the menu. This will assist the business in lessening the leftover and planning raw materials and purchasing with ease in the start.

Organic Ingredients

M-Organic will be using organic raw materials and luxury ingredients that will be priced in accordance with the wealthy that are looking to spend extra money to have a healthy and light body. We will also have an exclusive menu for middle-level people that will also include only organic ingredients but not luxury ones. M-Organic will be particularly naturally mindful as well and spread the idea and across our literature. Eating at M-Organic will feel like having donated to nature, home economy, and public health.

Traditional Recipes with a twist

M-Organic Chef will have offer food with different cultural backgrounds. M-Organic will attempt to acquire the entire authentic and traditional ingredients essential to hold on to the interesting cultural recipes.

For the above reasons, M-Organic is expecting to not just competitive in the locality but one of its kind. Besides, with our farmland, we will have the advantage of having organic products with minimum costs and swift availability.

Product Description

Few of our products are:

BBQ fish with creamy sauces

Roasted beef with pepper mayo

Mix fried veggies with BBQ and black pepper sauce

Traditionally fried veggies

Organic smoothies

Competition

Currently, there are no competitors in the locality that specifically offers only organic meals and operates with the idea of providing organic, healthy food for diet-conscious customers.

Pricing structure

Important Assumptions

Our meal prices will be ranging from $7.00 - $20.00

Average lunch prices will br around $8

Average dinner prices will be around $12

Organization and Management

General Manager (GM): Mr. Hector

Manager Finance: Mr. Kyle

HR Executive: Mr. Weidman

Head Chef: Miss Betty

Driver and a purchaser: Mr. Adam

Company Ownership

M-Organic will be starting as a sole proprietorship, maintained by its founders.

Key personnel

M-Organic has already gathered a strong team that will be managing the operation of the business. Mr. Hector will be the GM (general manager) of the restaurant. Hector has broad management familiarity of businesses ranging from ten to 60 employees. Mr. Kyle will be in charge of all of the accounting and finance functions. Mr. Kyle has five years of experience as an Auditor and Accountant (CPA). Mr. Kyle fiscal control expertise will be valuable in keeping M-Organic on point and cost-effective. Mr. Weidman, as an HR Executive, will be looking after the Human resources function and report to General Manager (GM) directly. His functions will include hiring employees and managing all the documents concerning employees. Lastly, Miss Betty will be the head chef of M-Organic. She will be in charge of the back-end production along with a couple of assistant chefs who will be hired after a few months of operations. Chef Betty has over 15 years of knowledge and expertise in traditional foods and over eight years of experience in pure organic meals.

Most important to M-Organic is the economic accomplishment which will be realized through stern financial controls. This is important of M-Organic because we want to flourish and become economically strong so that we can expand our business and in turn provide the community health benefits and the local farmer’s economic benefits. Furthermore, success will be made sure by giving a high-quality service and exceptionally clean, non-greasy food with many health benefits. M-Organic plan to increase menu charges as the business gets crowded.

Further recruitment of employees will be conducted after the opening of the restaurant. These prospective positions will include two assistant chefs, three waiters, one hygiene maintainer, etc.

Marketing and Sales Strategy

Customers

M-Organic will be looking forward to segment the market into various groups and target accordingly. The first group will be the lonely rich people who are growing in numbers and who can afford healthy organic meals. Also, these people have to eat clean, healthy and foods naturally rich with vitamins and minerals. M-Organic will also provide these customers with statistics related to the ingredients used in the cuisines so they can select their meals in accordance with their dietary and supplementary needs and wants. The second segment will be the young happy couples who prefer to eat healthily and live a healthy happy life with healthy children. The third group will be rich people who are tired of fast foods and desire organic diets as well as traditional cookery. The fourth segment will be dieting women. More and more women are getting interested in getting in good shapes and joining gym classes etc. These consumers are expected to be predominantly interested in healthy foods offerings.

M-Organic will only be providing dine-in services to the customers. In the future, we plan to offer home delivery services nearby.

Sales strategy

We also plan on connecting with our local chamber of commerce and food authority so to utilize their networking amenities for our opening and marketing.

M-Organic will be operating in a prime location with easy entrance. Due to our small size, we will be able to provide outstanding quality by hand-selecting our market specials. The same notion holds in our employment requirements, by hand picking our workers we will be able to attempt to provide unrivaled service to clients and also growth opportunities to our employees.

Financial Management

Start-Up Summary

The cost to open the restaurant is $220,000. The bulk of the expenditures are in furniture and equipment totally $180,000. $180,000 of the start-up expenses will be sponsored by the owners. The owner’s source of monies is in the form of cash in hand.

Balance Sheet

Pro Forma Balance Sheet

Year 1

Assets

Current Assets

Cash

$10,000

Cash in Bank

$30,000

Total Current Assets

$40,000

Long-term Assets

Furniture

$100,000

Vehicles

Office e\Equipment’s

Kitchen Equipment’s

$30,000

$20,000

30,000

Total Long-term Assets

$180,000

Total Assets

$220,000

Liabilities and Capital

Year 1

Current Liabilities

Accounts Payable

$20,000

Current Borrowing

Other Current Liabilities

Subtotal Current Liabilities

$20,000

Long-term Liabilities

$60,000

Total Liabilities

$80,000

Capital

$140,000

Retained Earnings

(00)

Total Capital

$140,000

Net Worth

$220,000

Profit and Loss/Income statement

Pro Forma Profit and Loss

Year 1

Sales

$279,163

Direct Cost of Sales

$61,957

Other Costs of Sales

Total Cost of Sales

$61,957

Gross Margin

$217,207

Gross Margin %

77.81%

Expenses

Payroll

$88,200

Marketing/Promotion

$10,000

Depreciation

Rent

$174,000

Utilities

$2,550

New location setup

$25,000

Total Operating Expenses

$299,750

Profit Before Interest and Taxes

($82,543)

EBITDA

($82,543)

Interest Expense

Taxes Incurred

Net Profit

($82,543)

Net Profit/Sales

-29.57%

Cash Flow

Table

Cash Flow

Year 1

Cash Received

Cash from Operations

Cash Sales

$100,163

Subtotal Cash from Operations

$279,163

Additional Cash Received

Sales Tax, VAT, HST/GST Received

New Current Borrowing

New Other Liabilities (interest-free)

New Long-term Liabilities

Sales of Other Current Assets

Sales of Long-term Assets

New Investment Received

Subtotal Cash Received

$279,163

Expenditures

Year 1

Expenditures from Operations

Cash Spending

$88,200

Bill Payments

$244,265

Subtotal Spent on Operations

$332,465

Additional Cash Spent

Sales Tax, VAT, HST/GST Paid Out

Principal Repayment of Current Borrowing

Other Liabilities Principal Repayment

Long-term Liabilities Principal Repayment

Purchase Other Current Assets

Purchase Long-term Assets

Dividends

Subtotal Cash Spent

$332,465

Net Cash Flow

($53,301)

Cash Balance

$677,899

References

Ingram, T. N., LaForge, R. W., Williams, M. R., & Schwepker Jr, C. H. (2015). Sales management: Analysis and decision making. Routledge.

Ttra.com (2019). Retrieved 27 February 2019, from https://ttra.com/wp-content/uploads/2018/04/RestaurantIndustryOutlook_2017.pdf

Subject: Business and Management

Pages: 15 Words: 4500

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Business Plan

[Author’s name]

[Institute’s name]

Business Plan

Management

“Blue” is a non-profit organization that is initiated founded by Sami. As the leader of this organization, the main focus is to develop better practical ways of recruitment for homeless and criminal individuals. The owner of this business initiative mainly considers personal wealth to develop a channel of integration between unemployed, homeless and criminal people and the organizations that can hire these entities. At the starting point of this organizational domain, the homeless and criminal groups of downtown Los Angeles are considered. The focal point of this consideration is to start the idea from a small level and gradually enhance this entire perspective to assist homeless and criminal people with their financial needs. The business program in the form of Blue is focused to offer a wide range of recruitment opportunities to the people who are homeless and were formerly involved in different criminal activities. The business approach of Blue as a non-profit organization will attain corporate balance in the form of net assets for the entire program.

Objectives

Assessing actual statistics of homeless and criminal groups in the downtown area of Los Angeles

Enhance connection with business organizations that are in the position to hire specific groups of homeless and criminal individuals

As a non-profit organization, the core aim is to play an organizational role as a mediator between jobless, homeless and criminal people and business-oriented organizations.

Key to Success

Developing better practical strategies to ensure the financial sustainability of the homeless and criminal groups prevails in the downtown area of Los Angeles

Proposing and arranging different training workshops for business organizations to increase the potential of hiring homeless and criminal groups to ensure their involvement in the mainstream business of the city

Gives the necessary guarantee about the overall working conduct of the specific groups of homeless and formal criminals

Gradually expanding the horizon of these collaborative activities to different areas to enhance the overall effectiveness of this non-profit organization in the region

Mission

The non-profit organization of Blue is focusing to enhance job opportunities for homeless and criminal groups in the downtown of Los Angeles. This objective can be attained by enhancing connections with different business organizations in the region that can hire these specific underprivileged groups. The entire success of this non-profit organizational approach is to ensure the active involvement of different stakeholders in the entire scenario.

Company Summary

The non-profit organization of Blue focuses to provide services to the homeless and criminal groups situated in the downtown area of Los Angeles. Diverse business functions are considered to meet the standards of increasing job opportunities for these groups. The organization of Blue is focused on actively contacting business organizations that are interested to hire these groups as the active part of their business teams. Blue is a small-scale non-profit entity that targets specific groups of homeless and criminals in the downtown area of Los Angeles.

Company Ownership

At the initial stage of company development, Blue is formulated by the sole proprietor. The original idea of company developed by Sami as the single responsible entity of all the company’s matters. The growing expansion of the company requires exploring different channels of financing in case of non-profit organizational work. The company owner needs to consider diverse options of financing to ensure the proper functioning of different organizational activities. The possible options are recognized as institutional donors, individual donors and government assistance. Income ventures can also be considered as a suitable option for the company in the long-run operating prospect. The inclusion of necessary shareholders is essential to meet the objective of financial assistance effectively.

Estimated Financial Assistance from Different Entities

Time-Frame

Institutional Donors

Individual Donors

Government Aid

Personal Contribution

Income Ventures

1st Quarter

$500

$400

$800

$500

$1000

2nd Quarter

$750

$550

$850

$1100

3rd Quarter

$1200

$700

$900

$1100

$1500

Subject: Business and Management

Pages: 2 Words: 600

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Business Policy & Strategy

Strategic Management

Answer 1

The business policy started around the year 1911 when a course was offered at Harvard Business School introduced a course to enhance capabilities of management. Formal inclusion of strategic management in the university curriculum came around 1969 when a course in business policy a must for all business schools. This course was offered to enhance the management skills of students who had taken basic management courses before. The process started with the establishment of short-term planning techniques, but these were not able to predict the future, and long-term policies had to be put in place. Strategic management was the new term, which included the long-term planning aspects related to the business. The subject is basically concerned with decisions taken by top management. A strategy is a tool or way in which businesses respond to changes in their external environments. The basic aim of relating strategy and business is to unfold the various aspects of its external environment and, more specifically, to react to any steps taken by competitors CITATION The \l 1033 (The Institute of Chartered Accountants of India). In business, the term strategy is used to represent a joint effort from all departments that are directed towards achievement of organizational goals and objectives. The strategic management process encompasses many different steps that form the key concepts of this subject.

Mission and Vision

Both the above concepts are based on the basic values of any organization and play an important part in its success because a company aims to become what is stated in these two statements. Vision statements show where a company wants to be with reference to its competitors over a specified period of time. The mission statement is more specific in nature and is more closely related to the competitive advantage of particular firms.

Goals and objectives

After stating the mission and vision statements, goals and objectives are put in place. A goal is the desired outcome, which will help a company to attain its mission and vision. Objectives are statements into which goals are broken so that these goals are attained. The objectives should be specific, measurable, attainable, realistic, and timely.

After setting out the above aspects, strategies are formulated by companies. These strategies are then implemented, and actual results are then compared to the desired ones. If there is a considerable difference between the two sets of results, many aspects have to be reconsidered. The organization may have set unrealistic or unattainable goals in the first place, or the strategies applied do not match the resources of company. A review of the whole system will have to be undertaken so that problem area can be properly identified.

Answer 2

It is important that the whole organization works in a strategic harmony because it can then work towards a unified direction as a single unit. An organization whose aim is to increase its market share will have to increase its spending in the advertising and marketing aspects. These funds will have to be released by the finance department, and the appropriate manpower will be provided by the HR department. Thus, the basic goal of increasing market share should be communicated to all departments. Another reason is that there will be no confusion among the departments if there is adequate strategic harmony among them. There will be an appropriate allocation of resources among all the departments if organization is working towards a common goal. The changes in external environment will also be noticed in a timely manner, and companies will take appropriate actions to cater to these changes. There will be set roles and responsibilities for all people in the organization, and people will also know what they are supposed to do and how. There will be a set chain of command which will define who will be reporting to whom. All these parts will make sure that performance of an organization is satisfactory all the time. If there is a lack of harmony among the various departments, it will immediately affect the morale of employees because they will not know what they are supposed to do and who are they supposed to report CITATION Dav04 \l 1033 (Avison, Jones, & Wilson, 2004). There will be steps taken by various departments that will not match each other and will create further confusion among workers. In the example given above, if the marketing department wants to increase market share by increasing sales and HR department does not hire people having excellent selling skills, this will create problems for both the departments and organization in particular. Attaining of strategic objectives and appraisal of performance will be much easier when there is strategic harmony between all departments. This will make a higher management job much easier.

Answer 3

Financial statements consist of a balance sheet, income statement, statement of cash flows, and owner's equity. There are different purposes for all these statements. A balance sheet shows the -position of a business at any given point in time; an income statement shows the impact of overall operations of a company on its financial measures like gross profit and net profit. The statement of cash flows shows the inflow and outflow of cash from various different sources. A statement of owner’s equity shows the changes taking place in shareholder’s equity. The first strategic aspect of these statements is related to the income statement. A review of this financial statement will show whether the venture is profitable or not. For a short period of time, a loss is bearable because there may be some huge expenses made by business, but in the long-run, business should show profits. Another concern may be that expenses incurred by business are increasing over a period of time, resulting in lower profits. Businesses will have to find the reasons for increase in expenses. The revenues or sales form a major portion of income for any business; if the business has a strategic goal of increasing market share, it should see a consistent increase in its sales and profits. There can be a scenario where sales are increased, but expenses are increased in higher proportions as compared to sales, this will not increase profits for the company. The example is given above regarding an increase in market share for a company will mean that there should be more sales and a higher amount of selling and administrative expenses to make sure there is an increased market share. For a year or two, the profits for this company may not be very high, but in the long run, profits will increase. Another aspect that can be shown from the income statement is a choice of company between debt and equity financing. If company has been paying huge amounts of interest, it will mean that it has taken loans to run its operations. On the other hand, equity financing needs company to pay dividends to shareholders. A balance sheet shows the resources of a company and funding sources for these resources. Any organization which has grown as its strategic objective will show a consistent increase in the number of assets shown in balance sheet CITATION Han15 \l 1033 (Karadog, 2015). Financial statements provide a check and balance to see if businesses or companies are going in the right direction or not. Statement of owner’s equity shows the number of shareholders, amount of dividends paid, and amount of profit retained by company for reinvestment. A company pursuing growth will retain a larger portion of money from its profit as compared to a company that has short term goals and objectives. A statement of cash flow shows various transactions involving cash. A company that is running its operations properly will have a positive cash flow from operating activities. Information from all the financial statements is used as an aggregate to assess the extent to which strategic goals and objectives have been met and how close is a company getting to attaining mission and vision.

Answer 4

All team strategies will be connected to corporate strategies so that they can assist in the attainment of strategic targets. Team management skills will require that people from different departments are bound together with a common aim of organizational benefit. These skills will be generated by letting employees work as a team over and over again. Different combinations can be tried to make effective teams so that employees can also know their strengths and weaknesses. The performance measures will also be set in accordance with the strategic objectives of company, which will mean that a higher score on these measures will help organization in attaining its long-term goals and objectives. As a manager, a person will have to study the profiles of all employees available and note down their individual skills and capabilities. After assessing individual workers, managers will have to align individual skills and attributes to strategic goals and objectives of organization, which will make sure that there will be a proper fit between individual and organizational achievements. This process of aligning individual aspects with corporate goals and objectives will take considerable time, but once achieved, it will provide considerable benefits to the organization. It will also facilitate the top management in reviewing team performance and assessing individual contributions towards attaining strategic goals and objectives.

References

BIBLIOGRAPHY Avison, D., Jones, J., & Wilson, D. (2004). Using and validating the strategic alignment model. The Journal of Strategic Information Systems, 223-246.

Karadog, H. (2015). Financial Management Challenges In Small and Medium-Sized Enterprises: A Strategic Management Approach. Emerging Markets Journal.

The institute of Chartered Accountants of India. (n.d.). https://www.dphu.org/uploads/attachements/books/books_5997_0.pdf. Retrieved from https://www.dphu.org: https://www.dphu.org/uploads/attachements/books/books_5997_0.pdf

Subject: Business and Management

Pages: 5 Words: 1500

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Business Proposal

[Name of the Writer]

[Name of Instructor]

[Subject]

[Date]

What is Business Environment?

A business is run in an environment where it is surrounded and affected by a number of factors. These factors add up to make the overall business environment for the organization. Any entity has to adapt quickly to the changes in the environment if it wants to succeed. The main subject of this document is the external environment that Tesla Motor will have to face in India. The country presents a lucrative opportunity being an emerging market.

Characteristics of Indian Business environment

The major characteristic of the business environment in the country is the presence of both private and public sector organizations in the scenario. Both these sectors do participate actively in the business activity in the country. The government policies are promoting both kinds of businesses in the country. Tesla Company will benefit from the initiatives offered by the government.

The people of the country generally have lower income levels. The GDP per capita in the country is $1929 per annum CITATION Wor17 \l 1033 (World Bank). This implies important aspects of the economic activity as people are the basic unit in any country’s economic activity. For the Tesla Company, this will imply that the prices have to be lowered in order to increase the revenues. Current prices of the cars offered by the company are too high and it should try and bring the prices down in order to be successful in a market like India.

The major supplier to the company would be Adient pvt Ltd which is also a big supplier to the Tata Company. It provides the majority of seats and other security components to the various big companies manufacturing cars in the country. Tesla will be able to make use of the expertise of this and other relevant suppliers. The company can also manage the bargaining power of suppliers by keeping a large number of suppliers associated with itself.

The rate of capital formation in the country was 31% as of 2017 CITATION Wor17 \l 1033 (World Bank). The shortage of capital is one of the major aspects of the business environment in India. The capital available per head is low as well as the rate of capital formation in the country. The people are seldom induced to invest. The people also do not have the tendency and capacity to save any amounts of money. The business environment does not play the adequate role in the overall development of the country. Tesla being a huge company will be able to bring in considerable capital on its own. The shortage may be filled in by some bank loans and other similar arrangements.

The level of technology usage is also quite high in the country. This is parallel to the higher usage of technology in the business field. The various sectors of the country apply up dated techniques to produce the output which is due to the availability of latest technology. The other aspect is that the people are much educated to use the available technology properly. All these factors will help Tesla company to start the production in the country.

The company will offer a huge number of jobs to the local people. The company will be able to find labor at a lower rate in India. It will offer a higher rate of compensation to the employees as compared to the competitors. It will also make sure that equal contribution is put in by the company in terms of employee benefits. In addition to these, the labor will be provided with extensive training and skill development courses. The training will be given to the employees regarding every aspect of the process. This will help the company to convert the workforce into a strategic asset or advantage. This will help the company to gain an advantage over the competitors who give lesser pay to the employees.

The country has an emerging economy which attracts many of the largest companies in the world. This economy will offer a brilliant opportunity for the company to do the business. Most of the inputs that are needed by the company will be available from inside the country.

The company can cash in the environmental aspects of the business as well as the society. The government aims to shift to the renewable energy resources completely by the year 2030. This presents a lucrative opportunity for the company to come in and take the benefit from it.

The company has a very good reputation all around the world which will mean that the financial institutions will not hesitate to forward any loans to the company.

The environment shows a slow pace of reforms from the point of view of the labor as well as the industrial disputes resolution. The industrial disputes have much negative effects on the business as they can lead to strikes and other related stoppages to the work.

The government in the country takes an unwanted stance regarding the business activity. This stance shows the weaknesses of the system. There is a lack of quick facilities available for the solution of problems faced by the businesses. There is a lot of delay in the offices that involve the government officials.

The markets of the country do not have enough access to the foreign markets. Although the country exports a lot of products, the markets that are being covered are very limited. There is however great room for the country to improve the situation especially in the agricultural products.

Some relevant data for the company

The most relevant data for the company is related to the various aspects of the economy. On the global level, there will be a continuous increase in the sales of vehicles. The country will become the biggest user of renewable energy resources by the year 2020. One of the largest cities New Delhi aims to have 25% electric Vehicles by the year 2023. The development of the solar and wind energy sectors will mean that these two can account for 75% of the total energy capacity in the country. The battery storage limit may increase to 40 Gw by 2040. There has been a huge trend of change that is visible in the energy market of the country. The renewable energy sector has emerged because of major issues raised against the pollution. The government has aimed to produce 175 gigawatts of renewable energy by March 2022. This will account for 40% of the total energy needs of the country. The new technology may increase the revenues of the automotive industry by 30%. These revenues may increase the growth rate of the industry by 4.4% (Springer India- New Delhi).

References

BIBLIOGRAPHY B.S.Sahay. "Supply chain Management Practices in Indian Industry." Internatinal Journal of Physical Distribution and Logistics Management (2003): 582-606.

Springer India- New Delhi. "Automotive Revolution & Perspective Towards 2030." Auto Tech Review (2016): 20-25.

World Bank. https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?locations=IN. 2017. <https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?locations=IN>.

Yadav, S.K.S. "Changing Scenario of India's Business environment: A lesson to Bangladesh." Daffodil Internatoinal University Journal of Business and Economics (2015): 171-189.

Subject: Business and Management

Pages: 4 Words: 1200

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Business Proposal

[Name of Student]

[Name of Professor]

[Name of Class]

[Day Month Year]

Business Proposal

Introduction

This report is about a business proposal that is to be presented to investors in order to gain their investment and support. The business is based in Yangon, Myanmar, a popular tourist destination. This area has a mix of British colonial architecture, skyscrapers and Buddhist pagodas are some famous attractions of this area. It is also a site of spiritual importance because of a huge pagoda complex by the name of "Shwedagon Paya". This pagoda complex attracts thousands and thousands of pilgrims every year. The business being set up in this area will be a Joint-Venture Wholesale Company. This business will focus on selling food products that would be sourced both locally and internationally. The choice of either using locally sourced products, international brands will depend on the market condition. As it is a religious site and draws a huge number of followers, this allows for a massive untapped market with high consumer demand for fresh food products.

S.W.O.T Analysis

As is the case with any business startup, its potential strengths and weaknesses need to be assessed. This is where S.W.O.T analysis comes in, which takes into account the strengths, weaknesses, opportunities, and threats that any new or existing business might face when entering a new market. The S.W.O.T analysis for this business is as follows:

Strengths

By having a physical location to sell their products, the business would be able to perfectly perform B2C and B2B relationships. They would effectively manage their relationship with their customers and other retailers from whom they buy and sell their products. Another strength that the business would have is that their products would be locally sourced. This would allow the business to provide and maintain a high quality for the products sold. This would also allow the business to keep cost of production low by locally sourcing their product, which will inadvertently affect their pricing strategy and will allow them to sell products at a much lower price compared to its competitors. There is also a system being put in place for online orders and home deliveries, so customers who cannot physically come to the stores can still get products in their location (Vossen, 88-94).

Weaknesses

The business has a lot of strengths in place but even with all these strengths they still would have to face some weaknesses in order to effectively manage the company. The biggest weakness that the business would have to face is employee management. As the area is new for management and the employees would be hired from the area itself, it will be hard to manage employees. If managers are not well trained, they would not be able to effectively manage employees and would not be able to give the best service to customers. Also, as we are still in process of developing warehouses to hold inventory for the business, we do not have enough space to hold a high amount of inventory. So we might even incur some loss if we are not able to sell the product before they expire. Lastly, training and adapting employees to use the digital online system will take some time (Zikovic, 91-99).

Opportunities

Opportunities refer to the "future prospects", taking into account that it is one of the major tools that could keep a business going. It is significant to note that there are several paradigms of opportunities, ranging from employees to employers. There are several strategies that could be used as a notion of opportunity. One of the major market strategies is, "Internet and diverse marketing". Internet is one of the most effective and potent platforms that not only empowers market but incorporates diversity as well. Diversity also refers to the formulation of connections between different market segments. Internet marketing is one of the growing approaches that takes into account a code of productivity and progression. Internet marketing is also a labor of digital easers to opt for the product, in fact, it is a tool that can strengthen the roots of business in terms of the global market. Such an approach towards marketing will make the company implement its mission statement that infers delivery of quality product with lower price in a highly effective way, provided internet is one of the best platforms of properly operated businesses. Greater the diversity, broader will be the channel and more consumers would buy products and services (Chesbrough, 354-363).

Threats

A threat is defined as anything that could hamper or bring a deviation in the set pattern of a business. It is more like an unwanted approach that not only creates hurdles in the passage of success but it also asserts a negative influence taking into account that a threat may cause serious financial harm. It is significant to note that threat could be both, long term and short term. One of the greatest threats is barriers to trade business because all channels are directed by a set cycle. There is also one other threat which is a gap between the assumed and provided situations because there is a high possibility of complications in quality, a product of negligence, moreover sub quality and inferior products is also one of the major themes because it is a prominent factor in losing a client and an dent on the business royalty (Saebi & Lasse & Nicolai, 567-581) .

Solutions

There is no unsolvable problem in this world. In subject matter, there are a number of solutions to consequences and threats that are being faced by businesses. One of the major solutions is "media maintenance", taking into account that it is one of the figures that can not only empower the project but will inculcate great valor. Moreover, our products and our services would be under security taking into consideration is that there would be a huge scale service with a very low margin. It is important to note that the internet is not only a platform that connects but it is a source of communication of trends and approaching times as well. Moreover, this business would be more of an approach towards life where anyone can get his desired product and services.

Investor Runs

Investors are the core affluences that design a business. It is significant to note that investors see those who spend their skills for a company or a business in order to give it a go or proceed with efficiency. Without investors, a company cannot exist because they are actual volunteers who think and strive for business. It is an undeniable fact that investors tend to create a support system for businesses. On the same stance, investment return to internal confluxes is necessary to address performance. Investment return is more of a scale that could measure profit or loss value. It is measured on the sale of performance with the ambition to address future goals. Another important thing to consider is investment return balances, the stance of pressurizing someone to spend money. Investors are free to spend money to empower the cores of business.

Work Cited

Chesbrough, Henry. "Business model innovation: opportunities and barriers." Long range planning 43.2-3 (2010): 354-363.

Saebi, Tina, Lasse Lien, and Nicolai J. Foss. "What drives business model adaptation? The impact of opportunities, threats, and strategic orientation." Long range planning 50.5 (2017): 567-581.

Vossen, Robert W. "Relative strengths and weaknesses of small firms in innovation." International small business journal16.3 (1998): 88-94.

Zivkovic, Jelena. "Strengths and weaknesses of business research methodologies: Two disparate case studies." Business Studies Journal 4.2 (2012): 91-99.

Subject: Business and Management

Pages: 3 Words: 900

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Business Proposal

Your Name

Instructor Name

Course Number

Date

Title: Business Proposal

Objectives

Short term objective

To develop a satisfied custom base by launching a 'try at home' program that will allow customers to try five pairs of sunglasses at home before deciding which sunglasses pair they would like to keep.

To maintain the quality of service.

To advertise more in the local community.

To make the website more user-friendly.

Long term objective

To increase the number of skilled employees

To increase sales revenue by 15 percent in the coming years.

To expand in-store optometry.

To introduce progressive lenses soon.

Product/ services

Providing a ‘try at home’ program to allow the customer to try 5 pairs of sunglasses before deciding which pair they want.

Industry outlook

The optical industry is growing rapidly. Wearing glasses has become an accessory and fashion statement for younger adults. It is expected that due to the 'try at home’ approach sales revenue will increase. This 'try at home' program will increase customer satisfaction. Shipping charges will be kept to a minimum. Glasses will be provided in a stylish case that will be embossed with different designs and logos.

Strategies

Different possibilities of programming will be explored to make the company website user-friendly. Features will be added to the website that will allow us to determine the individual desire of customers. Customers will create their profiles. This will provide us with information such as liked products and their frequent searches and will allow us to communicate effectively with customers. Features will be added to the website that will make the frame selection easy and less stressful. Social media advertising strategies will be adapted to hire highly skilled programmers, web developers, and engineers. A digital marketing strategy will be used to attract customers. A mobile app will be introduced that will provide data regarding styles and fashion trends customers are interested in. Future fashion trends will be anticipated by creating dummy frames for customers reviews. This strategy will help minimizing the design cost as well as collecting demand information. Different features will be introduced on the website that will allow collecting the facial data. This will help to focus on product marketing towards customers depending on their facial features. A digital marketing strategy will help to create a community that will attract fans and convert them into customers.

Our target market will be both female and male between ages 18-40 years. Our customers will be students, working professionals, and sportsperson. The frames will be offered in different types of designs and colors that can meet the need of the customers. To keep the cost of frames and lenses low, company will work directly with the frame suppliers and will manufacture its own lenses. This will help in minimizing the frame and lens cost and will attract more customers. For the promotion of this new program, we will use social media. The Facebook page will be created that will allow anyone to post their reviews. All details regarding products will be shared on Twitter, Pinterest, and Tumblr. We believe in all our customers to look fashionable and stylish without spending much of money ADDIN EN.CITE <EndNote><Cite><Author>Kapferer</Author><Year>2018</Year><RecNum>1260</RecNum><DisplayText>(Kapferer and Valette-Florence)</DisplayText><record><rec-number>1260</rec-number><foreign-keys><key app="EN" db-id="axzrwpxxqvwtw5evsf3xrer2arfwsa5f0e5d" timestamp="1574189792">1260</key></foreign-keys><ref-type name="Journal Article">17</ref-type><contributors><authors><author>Kapferer, Jean-Noël</author><author>Valette-Florence, Pierre</author></authors></contributors><titles><title>The impact of brand penetration and awareness on luxury brand desirability:: A cross country analysis of the relevance of the rarity principle</title><secondary-title>Journal of Business Research</secondary-title></titles><periodical><full-title>Journal of Business Research</full-title></periodical><pages>38-50</pages><volume>83</volume><dates><year>2018</year></dates><isbn>0148-2963</isbn><urls></urls></record></Cite></EndNote>(Kapferer and Valette-Florence)

Operation

The operation procedure of this program will be followed by the already available resources of the company. The website page will be modified by adding some new features to attract customers. The cash handling segment will include accounting software and electronic cash management. This will help in the proper management of revenues and daily sales generated by the business. Staff will be hired that are aware of programming and effective marketing. Managers will be given frequent training and different development programs will be arranged for the employees. This will improve their understanding. regarding maintenance of the brand quality and image among customers.

Bibliography

ADDIN EN.REFLIST Kapferer, Jean-Noël, and Pierre Valette-Florence. "The Impact of Brand Penetration and Awareness on Luxury Brand Desirability:: A Cross Country Analysis of the Relevance of the Rarity Principle." Journal of Business Research 83 (2018): 38-50. Print.

Subject: Business and Management

Pages: 2 Words: 600

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Business Report

[Author Name(s), First M. Last, Omit Titles and Degrees]

[Institutional Affiliation(s)]

Executive Summary

Total Quality Management is an approach that uses tools and techniques to implement TQM in the operations of a company. It remained as an area of excellence of Toyota. Toyota gave a practical outlook on the implementation of TQM in operations and management. In order to respond the increasing demands of quality, the company came up with the implementation techniques of Total Quality Management. The first step initiated by the company was to stop switching workers between machines and expanded those practices to other operational divisions. The company has its own version of the TQM which is usually referred to as TPS or Toyota production system. At Toyota, Kaizen is a way of life that is the principle of continuous improvement. The production system at Toyota is characterized by Just in Time manufacturing, manufacturing according to needs, and Kanban and Jidoko or autonomation. In 2001, the company also established “The Toyota Way” that sums up its goals and objectives of quality. The company has adhered to the core principal of manufacturing high-quality products since its founding. Eventually, this has become the source of competitive advantage for the company.

Introduction

The total quality management is a sustainability approach which centers at customer satisfaction by providing them with the optimum level of quality in products and services. It is the customer-centered approach and uses tools and techniques to implement TQM in the operations of a company. This report seeks to discuss the excellence and successful employment of TQM at Toyota, which is its area of excellence of the company ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"F8f437b3","properties":{"formattedCitation":"(Dahlgaard & Mi Dahlgaard-Park, 2006)","plainCitation":"(Dahlgaard & Mi Dahlgaard-Park, 2006)","noteIndex":0},"citationItems":[{"id":489,"uris":["http://zotero.org/users/local/orkqtrjP/items/FMU4NZUF"],"uri":["http://zotero.org/users/local/orkqtrjP/items/FMU4NZUF"],"itemData":{"id":489,"type":"article-journal","title":"Lean production, six sigma quality, TQM and company culture","container-title":"The TQM magazine","page":"263-281","volume":"18","issue":"3","author":[{"family":"Dahlgaard","given":"Jens J."},{"family":"Mi Dahlgaard-Park","given":"Su"}],"issued":{"date-parts":[["2006"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Dahlgaard & Mi Dahlgaard-Park, 2006). Firstly, the report will discuss the background and the need for total quality management in the company and then it will make an analysis of how the company successfully applied TQM principles in its manufacturing and services. Toyota gave an outlook to the TQM practices and it is said that TQM today is due to the quality improvement practices at Toyota Motors Co., Ltd. The company has received several awards for its TQM practices counting the Deming Application Prize in 1965 and the Japan Quality Control Award in 1970.

Background

Toyota is one of the leading Japanese companies in the automobile industry and its products are marketed and sold worldwide. The company was established in the year 1937, on August 7, it is known for manufacturing vehicles and financing in other industries as well. The primary market of the company in Japan, Europe, North America, and Asia as well. The manufacturing of automobiles in Toyota involves numerous steps such as design, production, and assembling of parts. The automotive division also involves marketing and selling of products. The company owns subsidiary companies as well named as Daihatsu focused on manufacturing mini vehicles and cars and Hino that manufactures trucks and buses.

The parent company, Toyota manufactures components and parts of the vehicles, and currently, three types of cars are sold at Toyota comprising conventional, hybrid and full cell vehicles. The company's product line ranges from mini-vehicles, compact cars, buses, and sports cars to pickup trucks. At Toyota, the automobile segments were facing several issues such as defects in products due to the wear and tear of machinery. Owing to this fact the productivity lessened in the operating division. The systematic defects, that can be defined as worker's confusion in working from one machinery to other required the solution to the issue. In order to increase productivity and overcome the issue of ascending defects, and respond to the increasing demands of quality, the company came up with the implementation techniques of Total Quality Management.

Analysis and Discussion

Toyota faced huge challenges as part of the implementing strategy of TQM in its operations. The challenge was to implement TQM on the various problems that the company experienced and those glitches were related to the operational design of the production of its products. In addition, it was also linked with employee behavior and the way employees were treated. It is evident that the challenge was on the management on how well they work with the operations of the company to produce optimum output for the company. The first step initiated by the company was to stop switching workers between machines and assigned individual responsibility of employees on machines. In a way, the principle of training and development was implemented in the operational unit as part of bringing total quality management practices in Human Resource of the company ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"NVGWSoV9","properties":{"formattedCitation":"(Miranda Silva, J. Gomes, Filipe Lages, & Lopes Pereira, 2014)","plainCitation":"(Miranda Silva, J. Gomes, Filipe Lages, & Lopes Pereira, 2014)","noteIndex":0},"citationItems":[{"id":487,"uris":["http://zotero.org/users/local/orkqtrjP/items/NJG3UTTB"],"uri":["http://zotero.org/users/local/orkqtrjP/items/NJG3UTTB"],"itemData":{"id":487,"type":"article-journal","title":"The role of TQM in strategic product innovation: an empirical assessment","container-title":"International journal of operations & production management","page":"1307-1337","volume":"34","issue":"10","author":[{"family":"Miranda Silva","given":"Graça"},{"family":"J. Gomes","given":"Paulo"},{"family":"Filipe Lages","given":"Luís"},{"family":"Lopes Pereira","given":"Zulema"}],"issued":{"date-parts":[["2014"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Miranda Silva, J. Gomes, Filipe Lages, & Lopes Pereira, 2014). After this Toyota expanded its TQM practices in other departments and operational divisions.

The customer-focused approach of the company provides it with the principles that have been imitated by a number of companies around the world. The company has its own version of the TQM which is usually referred to as TPS or Toyota production system. The primary challenge of TPS was to produce the desired results of high-quality service to Toyota customers, equal and fair treatment to workers, providing them with job security and flexibility and reduction in cost ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"FQc6KeLZ","properties":{"formattedCitation":"(Amasaka, 2008)","plainCitation":"(Amasaka, 2008)","noteIndex":0},"citationItems":[{"id":488,"uris":["http://zotero.org/users/local/orkqtrjP/items/XZF6UWZ6"],"uri":["http://zotero.org/users/local/orkqtrjP/items/XZF6UWZ6"],"itemData":{"id":488,"type":"article-journal","title":"Science TQM, a new quality management principle: The quality management strategy of Toyota","container-title":"Journal of Management & Engineering Integration","page":"7","volume":"1","issue":"1","author":[{"family":"Amasaka","given":"Kakuro"}],"issued":{"date-parts":[["2008"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Amasaka, 2008). For this purpose, Toyota integrated the principle of Kaizen or continuous improvement. At Toyota, Kaizen is a way of life. It enabled all the employees at the company to follow the standardized guidelines that replicate the mission, goals, and vision of the company. In addition, it supports the culture which the company tries to maintain in process development and employee relations. Kaizen at Toyota enabled the company to develop and maintain a healthy relationship with the clients ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"PBigT6j5","properties":{"formattedCitation":"(Amasaka, 2008)","plainCitation":"(Amasaka, 2008)","noteIndex":0},"citationItems":[{"id":488,"uris":["http://zotero.org/users/local/orkqtrjP/items/XZF6UWZ6"],"uri":["http://zotero.org/users/local/orkqtrjP/items/XZF6UWZ6"],"itemData":{"id":488,"type":"article-journal","title":"Science TQM, a new quality management principle: The quality management strategy of Toyota","container-title":"Journal of Management & Engineering Integration","page":"7","volume":"1","issue":"1","author":[{"family":"Amasaka","given":"Kakuro"}],"issued":{"date-parts":[["2008"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Amasaka, 2008). Kaizen implemented total quality management in the operational management of the company and it became a valuable element in the TPS and promoted training and customer-focused management responsibility that reflects TQM’s philosophies.

The production system at Toyota is characterized by Just in Time manufacturing, manufacturing according to needs, and Kanban and Jidoko or autonomation. Toyota implemented just-in-time production in order to meet customers’ demands efficiently and promptly and this production technique linked the production activity to the real demand in the market place. Just-in-time production heavily depends on precise processes based on the number of items needed in a specific time. It was a planning challenge but the Toyota Production System has reacted to this issue by adopting an approach that meets this challenge in a cost-effective and efficient manner. Just-in-time is itself, grounded on four crucial principles that work collaboratively to aid this unique concept at a basic level: Heijunka, Elimination of waste, Takt time and Kanban.

03992245Figure SEQ Figure \* ARABIC 1Toyota Production System

Figure 1Toyota Production System

right0

At the TPS, there is no room for compromise when it comes to quality. Jidoka or autonomation integrates quality appraisals into each stage of the manufacturing process. The origin of Jidoka or autonomation can be traced back to Sakichi Toyoda, Toyota’s founder. He made the Toyoda power loom, which was the first one in the world with a non-stop shuttle change motion and automatic stopping device. Jidoka ensures that any abnormalities in the process are resolved promptly by guaranteeing that all processes are noticeable. Quality is throughout checked and every team member is accountable for quality evaluation before the products are transferred to the subsequent production line. Any error identified is dealt in no time. The Kanban System manages the just-in-time process, it is a scheduling system, different from the TPS and exists to manage and control the quantities in each process of just-in-time process and lean manufacturing. Toyota implemented this system in 1953. The mandatory amount and units are written on the card that is communicated to the people involved in the proceeding process in the Toyota plant. Toyota established rules and principles to implement Kanban. Three distinctive steps are involved in kanban which leads to the process completion.

In 2001, the company established "The Toyota Way", as part of its global expansion and in this, it sums up its goals and objectives of quality. It comprises of two main pillars "Respect for People" and “Continuous Improvement”. The company declares that it felt the need for presenting the latest values, goals, and guidelines to the employees belonging to different cultures and backgrounds and work for the company. It is a system intended to offer tools for people to allow them to continuously improve. It is the culture of the process improvement methods which is dependent on employees for waste elimination, identifying issues and fixing them. It is a system intended to provide techniques to people to constantly hone their work. The Toyota Way means high dependency on people.

Conclusion

An analysis of the implementation techniques of TQM at Toyota reveals that how Toyota achieved success in the areas of creating job satisfaction for its workers and enabled them to take responsibility of reducing defects and enhancing quality in its manufacturing and operations division. The production system at Toyota pops out from the real experiences and the system is enriched with real-world effects and implications. The system plays a vital role in evolving the operational quality of companies all over the world. Hundreds of companies are following the TQM methods implemented by Toyota even to this date that clearly indicates the success of the company. The company has adhered to the core principal of manufacturing high-quality products and serving to society, since its founding. Eventually, this has become the source of competitive advantage for the company.

References

ADDIN ZOTERO_BIBL {"uncited":[],"omitted":[],"custom":[]} CSL_BIBLIOGRAPHY Amasaka, K. (2008). Science TQM, a new quality management principle: The quality management strategy of Toyota. Journal of Management & Engineering Integration, 1(1), 7.

Dahlgaard, J. J., & Mi Dahlgaard-Park, S. (2006). Lean production, six sigma quality, TQM and company culture. The TQM Magazine, 18(3), 263–281.

Miranda Silva, G., J. Gomes, P., Filipe Lages, L., & Lopes Pereira, Z. (2014). The role of TQM in strategic product innovation: an empirical assessment. International Journal of Operations & Production Management, 34(10), 1307–1337.

Subject: Business and Management

Pages: 5 Words: 1500

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Business Report - Country Analysis

Business Report- Guatemala

[Name of the Writer]

[Name of the Institution]

Executive summary

Guatemala is a country boarded by Mexico, located in Central America. It is one of the most populated countries in Central America with an estimated population of 16.6 million. It is a representative democracy and its largest city is known as Guatemala City which is also its capital. Tourism in Guatemala is growing because of the fascinating sights and historical importance of this land that appeals thousands of tourists across the globe. It has a well-developed transportation system and despite the existence of a railway network since 2007, rail service was suspended so no freight train runs in the country. It is a country with multicultural people. It is the biggest economy in Central America. For boosting its economy, it is dependent upon reforming and increasing private revenues and private investments for pro-growth investments in human capital and infrastructure. Guatemala has a gross domestic product of $125.9 billion that is mainly based on its purchasing power. Major industries working in Guatemala are textiles, furniture, flowers, processed foods, chemicals, and oleum etc. half of the economic activities occur in manufacturing (20%), commerce (18%), agriculture (12%) and private sector (14%) sectors.

Macro environment of Guatemala

According to the IMF report present in 2018, Guatemala grew around 2.8% because of strong remittances from the U.S private consumption and external trade. Guatemala is supported by the U.S financially and enjoys privileged proximity to Mexico. It is recognized as a country with high potential in different sectors i.e. agriculture, tourism, mining, hydroelectric and geothermal energy, etc. Major challenges that Guatemala is facing are poor infrastructure, corruption, vulnerability, low fiscal revenues, dependence on the low-added remittances and industries, ethics division, underemployment, social and political instability, etc. The unofficial unemployment rate in the first quarter of 2018 was 2.8% according to the trading economics but it underestimates the country's informal sectors (60%) according to Guatemala’s Labor and Social Security Minister. One of the damaging social crises in legislation was granting of the amnesty to people who were charged with an allegation of human rights violation during the Guatemala civil war. Though all these facts and figures cannot be undermined, at the same time, it has been witnessed that Guatemala is struggling hard to make the situation better. Industry sector accounted for 25.75 in 2017 in GDP and 21.0% of employment in 2016. Main industries that are helping Guatemala grow are: coffee, textile, paper industry, pharmaceutical, rubber, tourism, and petroleum. Another industry that is adding to the GDP is mining that is extracting nickel, zinc, and iron. The agriculture sector is accounted for 10.6% of GDP in 2017 and employed 29.02% out of an active population in 2018. According to Focus Economics Consensus Forecast, there are 3.0% chances of expansion of the Guatemala economy in 2018 and 3.1% chances of economic expansion in 2020.

Trade, liberation, diversification of the exports and conduct of international trade are the areas that showed progress. An important advancement has been witnessed with the signing of the DR-CAFTA and establishment of the application rules by WTO. From the last decade, there has been witnessed an increase in the export of goods by 10 % that added value of US$ 3,430 million in 2004. Though Guatemala’s historic poor infrastructure always limits its growth. World Bank identified the development of the infrastructure as the second most important determinant after education. Roads have always been important for reducing the rural poverty. For building the social cohesion and improving access to rural areas to the markets, health centers and schools infrastructure must be considered. Public investment has been categorized as the second most important pillar of the Government's development plan. The main focus of the Central Government shifted towards transport sectors in public infrastructure.

Though the foreign direct investment in Guatemala is much less than other countries, a steady increase in FDI has been noticed. An increase of US$ 2 billion in the inward stock of FDI has been witnessed in early 1990 that was recorded by US$ 4.5 billion in 2005. Most of the FDI was dependent on the finance sector, manufacturing and petroleum due to the gradual liberation of foreign investment laws

Corruption is also among the major factors that determine the economic growth of Guatemala. According to the Corruption Perceptions Index, Guatemala has been listed at: least 144 corrupted nation nation out of 175 countries. Corruption Rank in Guatemala is 106.10 from 1998 until 2018 and was recorded low of 59 in 1998. Corruption curbs the economic growth and this fact become more evident that steps must be taken for making Guatemala, a corruption-free country so that more and more investors would come and help it in making its economy stronger.

Political and social instability

According to the study done by Patricia Galicia, there are a number of social issues but most disturbing is generally free but still too expensive education. Failure of the food program and delay in attaining of the teaching material and textbook is the most damaging social issue. Teachers are over-burdened with the number of students. In rural areas, sometimes one teacher has to teach three groups of students.

Legislation

After the civil war, those who were charged with an allegation of murder and other major crimes were not punished that weakened Guatemala's legislation. Another legislative issue is one would be held responsible for past Human Rights Violation. Amendments in the laws could help in making Guatemala more attracting for the investors.

Economic condition and stability

Stability of Guatemala is challenged many times because of the social issues that have been listed above. Guatemala is struggling for improving its economy as more than half of the population is living under the poverty line. Economic stability would help Guatemala in attracting more foreign investors.

Factor Endowments

Basic and advanced factors of production are increasing in Guatemala as business opportunities are increasing. Guatemala is endowed with natural resources i.e. petroleum, lead, nickel, zinc, iron and a small amount of the jade, gold, and silver. Only 13% of the land is farmed. Industrial minerals, metals, fossil fuel, and investment are the main resources. An increase of 10% in the production of metallic mineral has been seen. Labor power is also present, development in infrastructure, natural resources, and increase in the educational opportunities are grabbing the attention of the other countries that wanted to expand their business in other countries and are looking for the opportunities. Though, there are both factors positive and negative but still the improving condition of Guatemala in attracting many foreign companies by providing better business opportunities.

It mentioned above in the section of the macro-environment, it is a land full of natural sources that foreign companies that are interested in exploring and extracting natural resources have a great chance of expanding their business. The textile industry is one of the major industries that is growing in Guatemala and is providing chances to those companies that want to flourish their garments companies in Guatemala. The export industry is incorporating new exportable supplies and nontraditional products that are appealing to the companies that wanted to do trade with Guatemala.

Legal framework for foreign investment is the most grabbing element that sheds light on the business opportunities that Guatemala is providing to foreign companies. Law in Guatemala promotes the foreign investment that includes a provision which guarantees private property rights for both the Guatemala nationals as well as the foreigner investors.

Analysis

Critical evaluation of the above-mentioned facts and stats shows that there would be several benefits for the Canadian company would expand its foreign operations in Guatemala. The first benefit would be cheap labor as there is no competition in Guatemala and also high unemployment rates would help in the successful launching of foreign operations. The second main benefit would be exponential rates of success as no other companies are working in Guatemala. Legislation of Guatemala is providing more rights to foreign investors for own land etc. Its laws are more protective than any other country’s laws when it is about protecting those who would be providing their population with the job opportunity. Just four major industries are growing in Guatemala so there are more chances for other industries to establish in no time.

Before taking any final call, it is important to take in considering other negative factors as well that may threat or hinder the way of successful launching of foreign operation of the Canadian company. There are issues like corruption and low fiscal revenues. Infrastructure may not be as supportive as it should be. Political and social instability may also hustle the way things should have work and ethical division and high rate of a crime if dealt with care more investors could be attracted. This thing must be kept in mind that any company needs to make some strategies that they could use for making any environment and country favorable for their growth. The strategic strength of a company is proven when it mitigates its risks and challenges by taking full advantage of the positive aspects and elements present in the target country.

Recommendation and conclusion

Keeping all the stats, risks and benefits in mind, undoubtedly Canadian company must expand its foreign operations in Guatemala. In business, this fact cannot be denied that risks and benefits go hand in hand, so if the Canadian company wants to grow in the international market they must take all the negative and positive factors in consideration. Apart from the cheap labor, there are other advancing industries i.e. technology. Unemployment would lower the annual expense if this Canadian company would launch its foreign operations in Guatemala, it would also help to increase the overall profit of the company. So taking in account the above-mentioned numbers and facts, it could be said that expanding business in Guatemala would be a wise decision if only careful planning is being done against the risks that would mitigate with time. Presence of natural resources could be also used for increasing the profit of the Canadian company and availability of the cheap material could be taken as another factor that would help in bringing this Canadian company at the top of the world’s best companies list.

End Notes

Bengoa, Marta, and Blanca Sanchez-Robles. "Foreign direct investment, economic freedom, and growth: new evidence from Latin America." European journal of political economy 19, no. 3 (2003): 529-545.

Copeland, Nicholas. The Democracy Development Machine: Neoliberalism, Radical Pessimism, and Authoritarian Populism in Mayan Guatemala. Cornell University Press, 2019.

Grandin, Greg, and Elizabeth Oglesby. "Washington Trained Guatemala Killers for Decades." The Nation (2019).

Mercadal, Trudy. "Documenting the Human Cost of Guatemala’s Civil War." In Oxford Research Encyclopedia of Latin American History. 2019.

Tsai, Pan-Long. "Determinants of foreign direct investment and its impact on economic growth." Journal of economic development 19, no. 1 (1994): 137-163.

World Bank. Latin America and the Caribbean Regional Office. Environmentally and Socially Sustainable Development Department. Republic of Guatemala Country Environmental Analysis: Addressing the Environmental Aspects of Trade and Infrastructure Expansion. World Bank, 2006.

Zagaris, Bruce. "VII. MIGRATION ENFORCEMENT Trump Administration Concludes Migration Enforcement Accords with Guatemala and Mexico." Reporter 78 (2019): 80.

Zhang, Xiang. "The socioeconomic geography of Chinese outward foreign direct investment in Latin America." GeoJournal 84, no. 4 (2019): 961-982.

Subject: Business and Management

Pages: 6 Words: 1800

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Business Report: Company Analysis

Name of Writer

Date

Contents

TOC \o "1-3" \h \z \u Executive Summary PAGEREF _Toc25359961 \h 4

Company Description PAGEREF _Toc25359962 \h 4

Background PAGEREF _Toc25359963 \h 4

Products PAGEREF _Toc25359964 \h 5

Financial Performance PAGEREF _Toc25359965 \h 5

Current news PAGEREF _Toc25359966 \h 5

Community Involvement PAGEREF _Toc25359967 \h 6

Company’s international strategy PAGEREF _Toc25359968 \h 6

Current Strategy PAGEREF _Toc25359969 \h 6

Competitors and comparative advantage PAGEREF _Toc25359970 \h 7

Critics of strategy PAGEREF _Toc25359971 \h 7

Marketing Approach PAGEREF _Toc25359972 \h 7

Sale Territory PAGEREF _Toc25359973 \h 7

Customization PAGEREF _Toc25359974 \h 8

Distribution Channels PAGEREF _Toc25359975 \h 8

Communication method PAGEREF _Toc25359976 \h 8

Logistic Approach PAGEREF _Toc25359977 \h 9

Production Location PAGEREF _Toc25359978 \h 9

Country Factors PAGEREF _Toc25359979 \h 9

Technological Factors PAGEREF _Toc25359980 \h 9

Product factors PAGEREF _Toc25359981 \h 10

Human Resource Management Approach PAGEREF _Toc25359982 \h 10

International employee PAGEREF _Toc25359983 \h 10

Staffing Policy PAGEREF _Toc25359984 \h 10

Incentive policy PAGEREF _Toc25359985 \h 11

HR philosophy PAGEREF _Toc25359986 \h 11

Impact on Host Country PAGEREF _Toc25359987 \h 11

Analysis PAGEREF _Toc25359988 \h 12

Benefits PAGEREF _Toc25359989 \h 12

Costs and Risks PAGEREF _Toc25359990 \h 13

Recommendation and Conclusion PAGEREF _Toc25359991 \h 13

Bibliography PAGEREF _Toc25359992 \h 15

Appendix PAGEREF _Toc25359993 \h 16

Appendix 1 Products and services PAGEREF _Toc25359994 \h 16

Appendix 2 Trend of share price PAGEREF _Toc25359995 \h 17

Appendix 3 Revenue Growth rate PAGEREF _Toc25359996 \h 17

Appendix 4 Global Merchants Growth PAGEREF _Toc25359997 \h 18

Executive Summary

The Chinese smartphone vendors, “Xiaomi” is known because of its tremendous progression by selling mobile phones and other electronic products in different parts of the world. Today, the company is managing to sell millions of products along with cellphones and other gadgets of daily use that can facilitate tasks of daily life. Along with the golden success of the company, there are a lot of gaps that the corporation needs to cover. These gaps include managing product diversity and its approach in different areas of the world, where the product is supplied. The company also needs to manage its pricing strategies and mold them in a way that branding stance is not tarnished by the comparison with other brands.

Company Description

Background

Xiaomi Corporation is a Chinese electronics company that was founded by Lei Jun in 2010. The headquarter of the company is in Beijing. There are about 15000 employees working for Xiaomi in different countries such as the Philippines, Indonesia, and South Africa. According to the Forbes magazine, the founder and the CEO of the company has a net worth of US$12.5 billion. He is China’s 11 richest person and 18 the richest person in the world. Xiaomi is known as the world’s 4 most valuable technology company making a valuation of more than US$46 billion. Xiaomi Inc is a privately-owned company that deals in Chinese electronics particularly smartphones. Xiaomi is one of the youngest companies on the Fortune Global 500 list reported in 2019. The first smartphone of Xiaomi was released in 2011 in August and by 2014, Xiaomi was known as the country's largest smartphone company. By the start of the second quarter of 2018, Xiaomi was the fourth-largest smartphone manufacturer company, being a central market in China and the second-largest smartphone brand in India.

Products

Xiaomi deals in mobile apps, bags, fitness bands, smartphones, shoes, trimmers, bags, MI Televisions, and earphones. Xiaomi produces a number of smartphones such as Mi Series, Mi Max Series, Mi Note Series, and Redmi Series. There are a wide range of categories in each of the product that is produced by the company, such as the collection of smart home products, varieties in smart bands and smartwatches, and smartboard.

Financial Performance

Xiaomi's fourth-quarter profit is more than triples to 1.85 billion yuan ($ 275.59 million). This revenue exceeded by 1.7 billion yuan at an average estimate of 10 analysts. According to the annual report of 2018, the total revenue of the company has increased by up to 27% and it made 4.4 billion yuan that is lower than the average estimate of 13 analysts i.e. 47.4 billion yuan.

Current news

Currently, Xiaomi has launched its new smart TVs also called Mi TV 4x 65-inch. Also, the overall offline business of the company grew by 70% in 2019 and this year is termed as festive as compared to the last year. However, the smartphone business is also found to be growing by 50% month to month while the offline TV business grew by 400% every year.

Community Involvement

Xiaomi manufactures products that are equally useable for all the generations and age groups, such as women using electronics, teenagers using phones and officials using office electronics.

Company’s international strategy

Current Strategy

Xiaomi’s international revenue accounts for about 43.9% of the total revenue that is made by the company by now. In the present year, the major global market of the company is in Latin America and European countries. Today, there are more than 80 markets. There are a lot of opportunities that the company has, in order to grow in the global market. There are a lot of challenges that are faced by the company. Firstly, the company has temporarily left the Brazilian market that has imparted economic instability and some operational issues. By the resignation of Hugo Barra who initiated international expansion, Xiaomi has lost its trademark case to Apple over the name of its tablets known as Mi Pad. Today, the stock of the company has fallen to 45% since the development and growth in the Hong Kong Exchange in July in 2018. it is important to note that the smartphone shipment has also declined in China over time. The reason given by the company is, people are holding on to devices for longer as compared to the past. It is considered that Xiaomi’s patent portfolio is very thin as compared to the large companies who are its major competitors and it ultimately paved the way for a risk of lawsuits that hold patent rights in the countries that Xiaomi wants to enter.

Competitors and comparative advantage

There are a lot of competitors of the company, taking into account the impact of the international market. It is observed that the ten major competitors are Motorola Mobility, Huawei, HTC, OPPO, Vivo, Samsung, Lenovo, Apple, and Sony. Taking into account the global expansion, the company has sold about 70 million mobile phones in 2015. Adhering to the aim of selling quality at cheap rates, the company has built a robust ecosystem. Even today, the company was expected to about 80 to 100 million units every year, but the plan failed because of the decline in the domestic market and increased competition.

Critics of strategy

Taking into account the short-term strategy, Xiaomi needs to empower needs to update the products that can be used by a variety of people. Also, the company needs to be diverse because people are holding on telephones for long terms so there is a need to introduce some new products. Long term strategy highlights that Xiaomi needs to strengthen its international market so that a large number of customers can be attracted.

Marketing Approach

Sale Territory

Xiaomi, a Chinese smartphone company has expanded internationally as well. The company is operating in different countries i.e. South Africa, the Philippines, and Indonesia. Today, Xiaomi is one of the international brands, that is why company has laid out special strategies but there are some barriers that are faced by the company. Xiaomi's international growth was initiated by Hugo Barra, one of the top Android executives. The international plan of Xiaomi comprises ten countries in Europe, Asia, and Latin America.

Customization

There is no apparent or evident customization adopted by Xiaomi, almost all the smartphones belonging to a particular model have the same features. Although products are used by diverse people, still there are no specific changes that are made for particular people. It would not be wrong to say that there is no particular customization that is being made or embedded.

Distribution Channels

Xiaomi has always used something unique and different in its strategies and one of its examples is the distribution channel. It is highlighted that the company does not have any offline retailer store so all the distribution is made through online stores. All the products are distributed by using the same online stores and there is no physical source through which these products can be supplied to the customers.

Communication method

All communication is performed with the help of online sources. It is highlighted that communication through online sources is evident from the non-physical existence of the company. Moreover, the company uses social media account and its official website to communicate with its customers and deals with the issues that the company faces.

Logistic Approach

Production Location

Today, Xiaomi is termed as the fourth-largest smartphone manufacturer in Singapore, China, Malaysia, and India. Xiaomi is planning to expand to some other countries as well but major locations for production are those, mentioned above.

Country Factors

There are a lot of factors affecting Xiaomi, such as political, economic and sociocultural factors. Xiaomi is more confined to the Chinese political system which can promote the maximum selling of services within the country. Economic factors refer to the rising disposable incomes where consumers have a majority of options to spend on their own. Sociocultural perspectives refer to the desire of buying and producing affordable gadgets. It is one of the reasons for the consumer electronics manufacturer like Xiaomi to be celebrated. Unfortunately, Xiaomi being a Chinese brand presents its own problems all-around poor quality is associated with the label of “Made in China”.

Technological Factors

In a general context, Xiaomi products are considered to be technologically advanced. There are a lot of users who are impressed by the high technical specifications that are one of the major sources of packing critical specifications into wallet-friendly devices. It is asserted that there is a wave of technology that can be used by the company in a far better way. There are a lot of technological options with which Xiaomi is presented, software areas and wearable technology. The areas of the software include artificial intelligence and machine learning that can show and represent the immediate use cases for the personal assistant technology available on mobile devices. New hardware is also reaching the market, accompanied by the fifth generation of mobile communication technology 5G that would be implemented in the new devices. Wearable products such as headbands and smartwatches are also technological advances.

Product factors

There are a lot of factors that, make the product both credible and within the reach of the consumers. It is highlighted that the product (smartphones) are sold with comparatively low prices along with affordable and advanced specs that can make this product both affordable and effective to use. Also, the product is available in different geographical areas, highlighting the broad range of supply of the product.

Human Resource Management Approach

International employee

There are a lot of employees who are international, belonging to different areas. The total number of international employees is 12,550. Taking into account the global progression of the company, it is evident that there are a lot of employees who belong to the different areas of the world.

Staffing Policy

Xiaomi applies and uses a geocentric policy. The company hires employees who belong to different backgrounds with an aim to promote diversity and multi-cultural attitude. Xiaomi wants to maintain a balance across the teams and people that are hired from different backgrounds. Also, the staffing policy includes the versatile experience of the employees so that the quality maxims can be encouraged and maintained. According to Saha, (2019) Xiaomi is one of those companies that is incorporating not only experience but also other aspects and features that can improve the quality of the company along with the maintenance of the brand.

Incentive policy

There are a lot of incentives that are offered by the company for the employees, taking into account the retention of employees and maintenance of “Employee satisfaction”. It is asserted that Xiaomi has introduced incentives for the achievement of employment goals not only to encourage the working of the employee but also assert the enforcement of career. There are several compensation plans for the employees such as fixed cash compensation, long term equity incentives, and retirement benefits.

HR philosophy

The HR philosophy of Xiaomi is more like employee-oriented. The company plans and makes efforts for the learning of the employees by allowing employees to work in a diverse environment and develop modern skills. As a result, not only the company is positioned at the height of success and innovation but also, the employees are given the opportunities to add to their knowledge and learn more. In a nutshell, the philosophy of HR is to focus on employees, their culture and the avenues that can help them to grow.

Impact on Host Country

Taking into account the geocentric staffing policy of the company, the diverse recruitment and versatile culture creates a lot of job opportunities that are well paying for the people of the host company. It is highlighted that the company will be welcomed and there would be a positive approach towards the employees so that the company can get its roots strengthened in the other part of the world. Also, the country’s economy would grow along with the appraisal of the economy of the host company. Thus, a two-way progression can be evaluated out of the analysis of the impact on the host country.

Analysis

Benefits

There are a lot of businesses that are associated with allowing the company to operate in different countries. Firstly, it would enhance the economy of the country because of the diverse and multi-cultural approach of the company. It will enable people to get jobs and lift the country from the edge of poverty. Allowing Xiaomi to do business in a country will help people to use products that are made in the country itself, reflecting a competitive market. After that, the HR philosophy and the staffing company will help the company (Xiaomi) to empowers not only itself in terms of its essence but employees will be benefited in different ways, there would be more options for learning for the employees along with the compensations that can support employees. Also, the company would get an option to build its infrastructure that can benefit the local market.

Costs and Risks

There are some risks and costs that are associated with Xiaomi Corporation. These risks refer to the risks that the company can face in terms of its products, the resources available and the market that the company will be facing. It is highlighted that one of the greatest risks is the unacceptance of products. As observed in the year, 2015-2017, there was a tragic fall of the company from a unicorn to unicorpse, this fall would have been derived from the market so the company might be at a risk. Xiaomi is known for selling cheap products so the stance and essence of branding are hampered because people prefer things that are expensive along with credibility.

The costs are also considerable, firstly, Xiaomi has to spend a lot of money to intervene in the other region and make its place because not all the geographic locations are supporting a brand. Also, the company would have to invest a lot and any unfortunate risk, as mentioned above can cause a long-term loss to the revenue of the company.

Recommendation and Conclusion

It is recommended that the company should try to develop strong and applicable strategies that can help Xiaomi to be strong enough to face any of the obstacles in the market. The company should manage the pricing policy as per the geographic area because the economic status of the people of the country plays a major role in defining the market value of the company.

It is concluded that Xiaomi is one of the companies that has bagged a lot of praise and worth in the market with the entry in market, Xiaomi is positioned at a different and unique level in market because of the positive impact. The company needs to grow and increase its range of products and the availably of product at different locations in order to be consistent with the already set image. In a nutshell, Xiaomi is one of the companies that have a lot of options to grow and make up the mark in the world.

Bibliography

" Mi Global Home". 2019. Mi.Com. Accessed November 21 2019. https://www.mi.com/global/about.

"Xiaomi Global official Website丨mi.Com - Mi Global Home". 2019. Mi.Com.

Li, Mingle, Suling Jia, and Wenyu Derek Du. "Fans as a source of extended innovation capabilities: A case study of xiaomi technology." International Journal of Information Management 44 (2019): 204-208.

Putra, Vio Bangkit Hani, Andi Tri Haryono, and Azis Fathoni. "ANALYSIS THE FACTORS INFLUENCING PURCHASE DECISION OF PRODUCT OF SMARTPHONE XIAOMI AND OPPO WITH THE TOP OF MIND AS INTERVENING VARIABLE (Case Study on Smartphone User Community Xiaomi and OPPO in Semarang)." Journal of Management 4, no. 4 (2018).

Saha, Sudipta. "An Analysis of the Marketing Activities of Xiaomi Mobile." (2019).

Shujie, Yuan. "Driving Factors for Successful Brand Extensions in Chinese Market: The Case of Chinese Brand Xiaomi Tech." (2017).

Appendix

Appendix 1 Products and services

https://www.google.com/search?q=products+and+services+of+xiaomi&source=lnms&tbm=isch&sa=X&ved=2ahUKEwim2eykoPvlAhXD26QKHZKZALkQ_AUoAXoECA8QAw&biw=1440&bih=789#imgrc=7OfAotDXFO3pfM:

Appendix 2 Trend of share price

https://i01.appmifile.com/webfile/globalweb/company/ir/announcement_us/2018_ANNUAL_REPORT.pdf

Appendix 3 Revenue Growth rate

https://www.google.com/search?q=xiaomi++Revenue+Growth+Rate&source=lnms&tbm=isch&sa=X&ved=2ahUKEwj4nI_WofvlAhVHyoUKHbgiAT4Q_AUoAXoECA4QAw&biw=1440&bih=740#imgrc=MJi8QT5_8A1DqM:

Appendix 4 Global Merchants Growth

https://www.google.com/search?biw=1440&bih=740&tbm=isch&sa=1&ei=Zn3WXYatCsOIacuXoKgI&q=xiaomi+++Global+Merchants+Growth&oq=xiaomi+++Global+Merchants+Growth&gs_l=img.12...64922.64922..65911...0.0..0.204.204.2-1......0....2j1..gws-wiz-img.h6l_c0dX0zc&ved=0ahUKEwiG-MDXofvlAhVDRBoKHcsLCIUQ4dUDCAc#imgrc=aOopN0NMvUK-0M:

Subject: Business and Management

Pages: 8 Words: 2400

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Business Research

RUNNING HEAD: BUSINESS RESEARCH

Impact of Social Media on Digital Marketing

[Name of Student]

[Name of the Institution]

Impact of Social Media on Digital Marketing

Introduction

Social media is established in its strong position in the lives of human beings in different forms. Today, the influence of social media can never be ignored as it impacts the choices of individuals. The influence of social media makes it essential for business entities to consider the option of social media for the expansion of the business. The increasing role of social media in the context of business can observe in many different forms. Currently, the functioning of social media can never imagine without the active involvement of social media. Undoubtedly, the perspective of social media dramatically changes the traditional context of marketing for business organisations.

Background

Today, social media is established as the major platform for the business corporation to advertise their products and services to the customers. The growing role of social media also helps to expand the range of potential customers by approaching different segments of the population effectively and efficiently. Now it becomes common to question for the management of the business firms to figure out how the perspective of social media can be used to enhance the overall productivity of the business. The idea of social media illustrated as the adoption of low-cost instruments that ensure the effective combination of technology and social interaction. The prospects of internet and mobile are usually used to attain the approach of social media. Facebook, Twitter, Instagram, and YouTube established as the major forms of social forms that connect a number of people with each other at a global level ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"kr7r3ef8","properties":{"formattedCitation":"(Lamberton and Stephen, 2016)","plainCitation":"(Lamberton and Stephen, 2016)","noteIndex":0},"citationItems":[{"id":1094,"uris":["http://zotero.org/users/local/7Hi3kAOD/items/ZEVIRCD9"],"uri":["http://zotero.org/users/local/7Hi3kAOD/items/ZEVIRCD9"],"itemData":{"id":1094,"type":"article-journal","title":"A thematic exploration of digital, social media, and mobile marketing: Research evolution from 2000 to 2015 and an agenda for future inquiry","container-title":"Journal of Marketing","page":"146-172","volume":"80","issue":"6","author":[{"family":"Lamberton","given":"Cait"},{"family":"Stephen","given":"Andrew T."}],"issued":{"date-parts":[["2016"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Lamberton and Stephen, 2016, p. 160). Social media is a great opportunity for marketers to use the approach of social media to enhance their voice and ensure better forms of communication with customers and target consumers. The practical implications of social media make it possible to effectively personalise the specific brand and help the main message of advertisement conversationally.

Individuals used social media as the necessary option in their daily life to explore the changing trends about different commodities. This form of exploration eventually impacts the buying behaviour of the customers in extensive form. On the other hand, business producers can effectively utilise this opportunity to meet their targets of marketing. Social media marketing is established as the mandatory department for the business organisation that focuses on the adoption of different suitable digital marketing strategies according to the actual business requirements. The prospect of social media established its position as a great phenomenon that connects billions of people on a single platform. It is one successful way for business marketers to actively communicate with the customers and enhance their awareness about the brand. Presence of social media website in both forms of desktop and mobile devices enhance the engagement level of the potential customers ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"yCVd5vhO","properties":{"formattedCitation":"(Drury, 2008)","plainCitation":"(Drury, 2008)","noteIndex":0},"citationItems":[{"id":1095,"uris":["http://zotero.org/users/local/7Hi3kAOD/items/GFTBL35J"],"uri":["http://zotero.org/users/local/7Hi3kAOD/items/GFTBL35J"],"itemData":{"id":1095,"type":"article-journal","title":"Opinion piece: Social media: Should marketers engage and how can it be done effectively?","container-title":"Journal of Direct, Data and Digital Marketing Practice","page":"274-277","volume":"9","issue":"3","author":[{"family":"Drury","given":"Glen"}],"issued":{"date-parts":[["2008"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Drury, 2008, p. 275). This particular platform gives the easy option for everyone to express their ideas and opinions about the brand. This form of information can further helpful for the business organisation to utilise this knowledge to enhance the efficiency of the product according to the changing requirements of the potential customers. Active social media users convey their valuable feedback about the product. This form of intervention of the customers ensures their active participation in the marketing departments of the organisations. The engagement process is the major form of the increasing role of social media. Organisations tend to use reviews of the customers to develop their marketing plans for the future successfully. The approach of social media can use by the business entities to provide an explicit identity to your business. The platform of social media is a great option for the marketing departments to build a useful relationship with the individuals who might not be connected with the products or service otherwise.

Statement of the Problem

The growing use of social media in different contexts of the business makes it essential to identify how the prospect of social media has the potential to influence the business. Marketing is established as one mandatory form of the business and the success of the business at large level can never imagine without the active role of social media. It is worthy to figure out how the approach of social media impacts the functioning of digital marketing specifically in case of brand identification and brand awareness for the customers.

Conceptual Framework for the Study

It is critical to comprehensively assess the theoretical grounds to determine the existing relationship between factors of social media and digital marketing. The concept of digital marketing is the new trend of marketing that gives a new perspective to the overall domain of the business in many different forms. Digital marketing is established as the form of marketing which involves the growing role of digital technologies most probably in the form of the internet. Digital marketing provides a cost-effective and active platform for business organisations to successfully market their products and services ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"wuT8fVth","properties":{"formattedCitation":"(Whiting and Williams, 2013)","plainCitation":"(Whiting and Williams, 2013)","noteIndex":0},"citationItems":[{"id":1096,"uris":["http://zotero.org/users/local/7Hi3kAOD/items/4GEEE9JV"],"uri":["http://zotero.org/users/local/7Hi3kAOD/items/4GEEE9JV"],"itemData":{"id":1096,"type":"article-journal","title":"Why people use social media: a uses and gratifications approach","container-title":"Qualitative Market Research: An International Journal","page":"362-369","volume":"16","issue":"4","author":[{"family":"Whiting","given":"Anita"},{"family":"Williams","given":"David"}],"issued":{"date-parts":[["2013"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Whiting and Williams, 2013, p. 364). The theoretical perspective of social interaction can be helpful to determine the changing aspect of digital marketing specifically in the case of social media. Interaction theory helps to determine how effective people use the platform of social media to share their opinion about different products and services.

Research Questions

How effective is social media in enhancing awareness about products or services for clients?

How social media change the functioning of digital marketing?

Literature Review

Introduction

Today, the increasing role of technology advancement greatly impact different aspects of consideration. Undoubtedly, the role of technology can never ignore to achieve different organisational tasks. When it comes to the growing intervention of technology in business operations than social media is established as one key player. The role of social media is greatly important when it comes to exploring growing forms of marketing. It is interesting to identify how powerfully the medium of social media influences the functioning of digital marketing. This form of examination further helps to make better inference about the development of the business that is directly linked with the different forms of marketing strategies ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"V5fIXd9J","properties":{"formattedCitation":"(Tiago and Ver\\uc0\\u237{}ssimo, 2014)","plainCitation":"(Tiago and Veríssimo, 2014)","noteIndex":0},"citationItems":[{"id":1957,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/PMD37WJ2"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/PMD37WJ2"],"itemData":{"id":1957,"type":"article-journal","title":"Digital marketing and social media: Why bother?","container-title":"Business horizons","page":"703-708","volume":"57","issue":"6","author":[{"family":"Tiago","given":"Maria Teresa Pinheiro Melo Borges"},{"family":"Veríssimo","given":"José Manuel Cristóvão"}],"issued":{"date-parts":[["2014"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Tiago and Veríssimo, 2014, p. 705). It is worthy to examine how the platform of social media can successfully use by the business organisation to enhance their business profitability by attracting more customers through digital marketing.

At the first place, it is important to define the concerns of social media and digital marketing comprehensively. Now a day, social media is a growing trend due to the advancement of technology. The approach of social media makes it easy for people to connect and turns the world as a global village closely. On the other hand, the perspective of digital marketing is recognised as the form of marketing of products or services through the use of different digital technologies ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"MzxM9lzf","properties":{"formattedCitation":"(Chi, 2011)","plainCitation":"(Chi, 2011)","noteIndex":0},"citationItems":[{"id":1958,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/76GKABN7"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/76GKABN7"],"itemData":{"id":1958,"type":"article-journal","title":"Interactive digital advertising vs. virtual brand community: Exploratory study of user motivation and social media marketing responses in Taiwan","container-title":"Journal of Interactive Advertising","page":"44-61","volume":"12","issue":"1","author":[{"family":"Chi","given":"Hsu-Hsien"}],"issued":{"date-parts":[["2011"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Chi, 2011, p. 50). Internet is established as the main source of digital marketing, but smartphones, display advertising, etc. are other critical factors in the entire perspective of digital marketing. It is significant to indicate how social media can use to ensure increase functioning of marketing in the form of digital marketing. Here the particular focus is to examine the impact of social media on digital marketing critically.

Background Literature

It is observed that the option of social media dramatically changes the perspective of marketing for customers. Today, consumers have more authority as compare to the prior time periods. Different former research studies build the idea that growing intervention of social media eventually challenges the traditional operations of marketing. It became essential for business organisations to transform their marketing and branding strategies to attain better outcomes from the changing scenario of digital marketing. On the other hand, the literature on this particular topic also indicates that social media can use as the great opportunity to expand the paradigm of marketing and access as many customers as possible in no time.

There are some key assumptions involves in case of the growing involvement of social media in the entire scenario of marketing strategies for the business entities. It is established by the researchers that social media shift the entire power of marketing in the hands of customers as they have immediate access to different sort of products through advanced technologies. Changes in consumer behaviour are one major indicator that makes it essential for the business organisation to focus on the tool of social media in the form of digital marketing. It becomes evident for a business firm to reconsider their marketing strategies and align their approach of branding according to the changing demands of the market. Comprehensive analysis of the past literature also helps to identify how the traditional methods of marketing completely differ from the new perspective of digital marketing. The role of social media is immense during the entire phase of the transition of the marketing of products or services.

Parent Literature

Consideration of the former research work on the topic will help to identify the basic ideas involves in the entire scenario of considering social media as the approach to enhance digital marketing. The approach of former research work helps to determine the appropriate theory relevant to the broad idea of the use of social media in the context of marketing. Development of the theoretical grounds is important to evaluate the existing association between the paradigms of social media and the changing perspective of marketing strategy in the form of digital marketing. Former research work is helpful to determine the impact of social media on digital marketing particularly in the context of branding. The theoretical concept of Web 2.0 was developed by T O'Reilly in 2004. The main focus of this particular idea is to critically highlight the major prospects that play their role in the form of web development ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"FPubZPis","properties":{"formattedCitation":"(Murugesan, 2007)","plainCitation":"(Murugesan, 2007)","noteIndex":0},"citationItems":[{"id":1954,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/GBIHXIGS"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/GBIHXIGS"],"itemData":{"id":1954,"type":"article-journal","title":"Understanding Web 2.0","container-title":"IT Professional Magazine","page":"34","volume":"9","issue":"4","author":[{"family":"Murugesan","given":"San"}],"issued":{"date-parts":[["2007"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Murugesan, 2007, p. 34). Consideration of various indicators of web development is essential to figure out the actual role of web services with the utilisation of the new application. The concept developed by O'Reilly appeared as the foundation to evaluate the different and new functions of social media applications. This form of knowledge eventually assists in suitable patterns concerning the adoption of various business models. In his book, (O’reilly, 2009) illustrated the detailed approach of web 2.0 and its practical implications. A detailed assessment of the concept of web 2.0 reveals how the traditional methods of commodity endorsement replaced by the advanced forms of applications ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"IcjUsZZg","properties":{"formattedCitation":"(O\\uc0\\u8217{}Reilly, 2009)","plainCitation":"(O’Reilly, 2009)","noteIndex":0},"citationItems":[{"id":1953,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/4BHP3K5X"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/4BHP3K5X"],"itemData":{"id":1953,"type":"book","title":"What is Web 2.0","publisher":"O'Reilly Media","URL":"https://books.google.com.pk/books?id=NpEk_WFCMdIC","ISBN":"978-1-4493-9107-2","author":[{"family":"O'Reilly","given":"T."}],"issued":{"date-parts":[["2009"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (O’Reilly, 2009, p. nd).

The conceptual form of Web 2.0 helps to recognise the entire approach of information sharing and collaboration that can be considered in the form of the World Wide Web. A detailed assessment of the idea reveals how the approach of Web 2.0 can be helpful for business entities to achieve their business objectives through the option of digital branding. Social media is established as the one important feature of the broad concept of Web 2.0. It is identified by the previous research work that the systematic process of Web 2.0 helps to determine the growing functions of different forms of networking applications. The growing concept of Web 2.0 used as the platform of the evolution of the approach of social media. Considering the broad form of the Web 2.0, the term of social media is defined as the group of different internet-based applications that are developed on the ideological and technological consideration of the main idea of Web 2.0. This form of consideration eventually permits to effectively create and exchange user-generated content in a suitable manner.

Digital marketing is another major concept that involves the entire scenario of examining the impact of social media in this context. It is vital to determine the theoretical foundations of the practical approach to digital marketing. The idea of digital marketing was introduced to differentiate the current form of marketing from the conventional ways of marketing of the product or service. Former research studies provide evidence that the approach of digital marketing is used by the business organisation in the form of different strategies to utilise the facility of digital platform. Chaffey and Chadwick (2009) keenly discuss the entire perspective of digital marketing in a detailed manner. Digital media is established as both opportunity and a threat for the business entities concerning the growing use of technology advancement in the case of marketing ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"XiqMMUkO","properties":{"formattedCitation":"(Chaffey and Ellis-Chadwick, 2019)","plainCitation":"(Chaffey and Ellis-Chadwick, 2019)","noteIndex":0},"citationItems":[{"id":1955,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/CJGU6GGQ"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/CJGU6GGQ"],"itemData":{"id":1955,"type":"book","title":"Digital Marketing","publisher":"Pearson","URL":"https://books.google.com.pk/books?id=-1yGDwAAQBAJ","ISBN":"978-1-292-24162-3","author":[{"family":"Chaffey","given":"D."},{"family":"Ellis-Chadwick","given":"F."}],"issued":{"date-parts":[["2019"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Chaffey and Ellis-Chadwick, 2019, p. nd). Researchers come up with the opinion that there is need of offering better intervention plan and practical strategies to attain maximum positive output from the practical implications of digital marketing. It is important for the department of marketing to adopt new skills to attract customers through the approach of digital instruments. The strong connection between e-Marketing and digital marketing is thoroughly discussed by (Wind and Mahajan, 2002) in their research work. The practical implications of the approach of e-marketing established as the basic guide to achieving the targets of digital marketing by attracting as many customers as possible ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"7JcDumlo","properties":{"formattedCitation":"(Wind and Mahajan, 2002)","plainCitation":"(Wind and Mahajan, 2002)","noteIndex":0},"citationItems":[{"id":1956,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/PLNTT88I"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/PLNTT88I"],"itemData":{"id":1956,"type":"book","title":"Digital marketing: global strategies from the world's leading experts","publisher":"John Wiley & Sons","ISBN":"0-471-00875-3","author":[{"family":"Wind","given":"Yoram Jerry"},{"family":"Mahajan","given":"Vijay"}],"issued":{"date-parts":[["2002"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Wind and Mahajan, 2002, p. nd).

Immediate Literature

Detailed consideration of the current research work is important to ensure a better understanding of the prevailing connection between the theoretical concepts of social media and marketing. It is vital to observe how the perspective of social media has the potential to strongly influence the changing perspective of marketing for business organisations. There are many different research studies that critically focus to discuss the changing role of marketing in case of the increasing trend of social media. Over the years, marketers tried to find suitable marketing ways that can be effective to attract and retain the great form of customers to the product or service ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"w56GNqtn","properties":{"formattedCitation":"(Mangold and Faulds, 2009)","plainCitation":"(Mangold and Faulds, 2009)","noteIndex":0},"citationItems":[{"id":1959,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/V6WF3J3B"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/V6WF3J3B"],"itemData":{"id":1959,"type":"article-journal","title":"Social media: The new hybrid element of the promotion mix","container-title":"Business horizons","page":"357-365","volume":"52","issue":"4","author":[{"family":"Mangold","given":"W. Glynn"},{"family":"Faulds","given":"David J."}],"issued":{"date-parts":[["2009"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Mangold and Faulds, 2009, p. 358). Seeking customer’s attention is the main objective of the approach of business marketing. There is a need for offering different marketing strategies according to the need of the business.

Digital marketing is recognised as a somewhat new approach for marketers to attain better prospects of market strategies. The main aim of this form of consideration is to effectively and efficiently utilise different technological tools to ensure better practical forms of marketing. The strategy of the marketing mix was established as the initial aspect that encourages marketers to use different forms of marketing strategies. Consideration of the perspective of marketing mix indicates that marketing is a multi-faceted social procedure that involves consideration of different relevant aspects. Evolving trends of business make it essential for business organisations to focus adoption of different forms of marketing. Current research studies focus on this domain that technological advancement ultimately changes the overall social perspective of society. These days, customers are highly influenced by the stronghold of digital advances that also appeared in the form of the growing use of social media. Today, people invest a huge range of time by using different social media platforms. Facebook, Twitter, Instagram are established as major forms of social media that are greatly used by customers. Researchers come up with the idea that different platforms of social media can use as the opportunity to ensure mandatory and successful interaction between customers and business organisations ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"FhAx3tG2","properties":{"formattedCitation":"(Stephen, 2016)","plainCitation":"(Stephen, 2016)","noteIndex":0},"citationItems":[{"id":1960,"uris":["http://zotero.org/users/local/lMSdZ3dY/items/MJTUX6NP"],"uri":["http://zotero.org/users/local/lMSdZ3dY/items/MJTUX6NP"],"itemData":{"id":1960,"type":"article-journal","title":"The role of digital and social media marketing in consumer behavior","container-title":"Current Opinion in Psychology","page":"17-21","volume":"10","author":[{"family":"Stephen","given":"Andrew T."}],"issued":{"date-parts":[["2016"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Stephen, 2016, p. 20). It is established that the services of social media can be used to attract potential customers towards the product. There is another school of thought who come up with the consideration that digital marketing needs to critically perform when it comes to the influence of social media. The growing involvement of social media can be negative for brand awareness and brand loyalty as customers have higher chances to get knowledge about a different product. The impact of social media mainly appeared in the form of authority of customers that ultimately makes it difficult for marketers to ensure better forms of digital marketing.

Knowledge Gap

Identification of the knowledge gap between the existing and the required form of literature is important to identify the main aspect of consideration. Critical understanding of the previous research work on the issue makes it easy for the researcher to identify what is already done and what needs to do more in case of this particular issue. When it comes to the evolution of the influence of social media on digital marketing than there is the presence of limited research work. There is a minimal form of research approach that is linked with the exploration of the existing relationship between social media and digital marketing. Brand awareness is recognised as the one major indicator of the overall perspective of digital marketing. Business organisations consider the approach of digital marketing as the option to enhance the perspective of brand awareness by capturing the attention of a large range of customers. There is no such evidence where the approach of research work is mainly focused to check the impact of social media on digital marketing specifically in the context of brand awareness. It will be feasible to adopt the approach of systematic and comprehensive research work to find out the potential association between social media and digital marketing specifically in the context of brand awareness for the customers.

Research Topic

Deep analysis of the former research work on the issue makes it easy to identify the specific topic to attain the approach of research work. Considering the detailed exploration of different forms of roles of social media and digital media helps to construct an actual research topic for this study. The research topic is crafted as the critical examination of the impact of social media on digital marketing mainly in the context of brand awareness.

Methodology

Comprehensive understanding of the previous research work on the issue makes it easy for the researcher to get necessary directions when it comes to adopting specific methods of research. It is essential for the researcher to adopt the most suitable and flexible form of methodology to ensure unbiased and valuable outcomes in the end. Concerning the nature of the research domain on this particular issue, the approach of exploratory research will be adopted to gain better knowledge about the impact of social media on digital marketing. The approach of exploratory research allows the researcher to adopt flexible ways to attain better knowledge about the prevailing connection between social media and digital media. It is the option of exploration of different concerning aspects to ensure the deep involvement between the two major factors of social media and digital marketing. Different techniques can be used to attain the required approach to the research process of exploratory research. It is the duty of the researcher to adopt the most suitable way of attaining require a form of knowledge. Thorough research of the previous work is one viable option to gain maximum information about the issue.

Limitations

The major limitation in the case of this research work is that it only focuses on one medium of research. It might be further helpful to adopt different approaches of the research to attain a better understanding of the entire perspective of the impact of social media on digital marketing. The second main limitation of this particular study is only committed to checking the influence of social media on digital marketing in the context of brand awareness. There are many other factors that can be considered when it comes to exploration of the association between these two main domains.

Expected Outcomes

Deep understanding of the previous research work helps to figure out the expected outcomes in the form of defining the association between social media and digital marketing. The growing perspective of social media in the lives of customers helps to anticipate that the influence of social media in case of digital marketing can never be ignored. The perspective of social media can successfully use to enhance the awareness level of the customers by endorsing product through different social media platforms. It is expected that social media play a positive role in the entire scenario of digital marketing when it comes to the enhancement of brand awareness.

Conclusion

To conclude the discussion about the perspective of social media and its growing influence on digital marketing, it is important to indicate that currently, the concept of digital marketing can never be imagined without the active involvement of social media. Different tools of marketing can be used to achieve better outcomes from the approach of social media when it comes to increasing brand awareness within potential customers.

Research Methodology

The research methodology is a critical part of the research that provides useful direction to the researcher. It is the proper way to establish how the process of research will be conducted by adopting specific methods of research according to its suitability with the actual research question. The qualitative research form is selected to identify the impact of social media on digital marketing. The option of exploratory research work helps to determine the existing literature on the issue of the role of social media in case of digital marketing. A thorough assessment of the former research work on this topic is one useful research approach to effectively determine the fact that how social media have the potential to influence the perspective of social media.

Qualitative Research

Qualitative research is characterised as one effective form of research to collect non-numerical data and make better inferences about the anticipated trends. There are different options of research designs that can be used to execute the approach of qualitative research work effectively. Each method has certain implications according to the actual requirements of the issue. The approach of exploratory research is considered to examine the overall implications of social media in the scenario of digital marketing. The research method of detailed analysis of the previous research work on the issue will be considered to examine the prevailing connection between social media and digital media. The research prospect of analysis of the former research studies on the issue will help to identify what is previously done on this issue and what are requirements for the future. Detailed examination of the previous research literature on the issue reveals that there is a number of research studies that focus to explore the impact of social media on marketing and the other context of the business. Most relevant research studies are considered as the standard former research work on the issue to provide better domains about the impact of social media on digital marketing. The research studies during the time-period of 2000 to 2019 are selected to establish better knowledge about the influence of social media on the growing approach of digital marketing.

Hypothesis Development

Appropriate hypothesis development is one critical stage of the research to ensure the significant outcomes in the end. The idea of hypothesis development is directly linked with the theoretical approach. Construction of the hypothesis development helps to build a testable statement about the actual aspect of consideration. When it comes to the formulation of hypothesis development then this specific stage is closely linked with the research questions of the study.

H1: The approach of social media has a significant impact on digital marketing.

H0: The approach of social media does not have a significant influence on digital marketing.

There is a need for examining different forms of previous research work to identify different relevant indicators. This form of consideration will be helpful to establish how digital marketers can use social media as an effective platform to enhance the perspective of brand identification and brand awareness. Data for this research work will be attained in the form of proper examination of different former research studies on this issue. The outcomes of the previous research works provide directions that how social media is closely connected with the practices of digital media.

Analysis and Interpretation

Comprehensive analysis and interpretation of the former research studies are important to make inferences about the actual research question of this study. Analysis of the former research studies will help to interpret the existing association between social media and digital marketing effectively and efficiently. Examination of the relevant indicators or factors is also mandatory to proper better practical implications for the future. Former research work on the issue helps to figure out that there are different aspects that reflect the existing association between social media and digital marketing. The major advantage of the use of social media is that it is an effective platform to increase brand awareness for potential customers. Practical implications of the use of social media reveal that it is one of the most profitable forms of digital marketing that can be used to enhance the overall visibility of the business ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"WkTJ6Z47","properties":{"formattedCitation":"(Ashley and Tuten, 2015)","plainCitation":"(Ashley and Tuten, 2015)","noteIndex":0},"citationItems":[{"id":1097,"uris":["http://zotero.org/users/local/7Hi3kAOD/items/UFM8YZU8"],"uri":["http://zotero.org/users/local/7Hi3kAOD/items/UFM8YZU8"],"itemData":{"id":1097,"type":"article-journal","title":"Creative strategies in social media marketing: An exploratory study of branded social content and consumer engagement","container-title":"Psychology & Marketing","page":"15-27","volume":"32","issue":"1","author":[{"family":"Ashley","given":"Christy"},{"family":"Tuten","given":"Tracy"}],"issued":{"date-parts":[["2015"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Ashley and Tuten, 2015, p. 22). Creation of social media profiles provides a chance to the organisation to display their brands to the potential customers and attract them towards different forms of sale options. It is attained that the strategy of social media can be helpful for business organisations in the long-term concerning the perspective of brand recognition. Use of social media is also one cost-effective method that makes it possible for the business organisation to attain maximum outcomes effectively and efficiently.

Examination of the former research work also indicates that the active role in the form of social media is the successful chance for business organisations to enhance engagement level with the customers. It is one good way to actively interact with the customers and find out their desired and feedbacks about the products and services. Enhancement of brand loyalty is another major perspective that can effectively achieve through the suitable application of social media ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"EltVlwGT","properties":{"formattedCitation":"(Edelman, 2010)","plainCitation":"(Edelman, 2010)","noteIndex":0},"citationItems":[{"id":1098,"uris":["http://zotero.org/users/local/7Hi3kAOD/items/QZXX7P2X"],"uri":["http://zotero.org/users/local/7Hi3kAOD/items/QZXX7P2X"],"itemData":{"id":1098,"type":"article-journal","title":"Branding in the digital age","container-title":"Harvard business review","page":"62-69","volume":"88","issue":"12","author":[{"family":"Edelman","given":"David C."}],"issued":{"date-parts":[["2010"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Edelman, 2010, p. 65). The presence of a business on the platform of social media makes it easy for the customers to remain connected with the brand and remain updated about all forms of business developments. Attainment of healthier customer satisfaction is another major aspect that can effectively achieve through the proper utilisation of the platform of social media. Regular connection with the clients helps digital marketers helps to identify what is actually expected from the customers.

Summary of the Findings

It is observed that the fun provided by social media channels along with the opportunities to ask suggestions in an entertaining way often motivates individuals to consider the products promoted by these channels with more attention. It is notable to mention that various social media entities promote a consumer to consumer approach in order to create common knowledge about different products and services. A direct channel has been created for managers to communicate with clients on the basis of this approach. Retailers can enhance the appeal for their social media entities through interactive applications and contests in order to attract more users. When it comes to social media marketing, retailers need to be educated about the behaviour and attitude of consumers to promote their products in an effective manner. Selection of an appropriate digital marketing strategy depends upon the behaviour of consumers. Therefore, it is important for retailers to get a better understanding of how consumers perceive social marketing. In order to define a brand, retailers use ‘user-generated content’ as it produces social currency for them. Viral advertising proved to be effective for retailers to provide more information regarding their products on the social media platform. It is evident that a viral approach to online advertising is more advantageous as it affords the retailers a greater degree of creative license. One must need to understand that viral communication increases the likelihood of reaching a vast number of audiences in a short span. The success of viral advertising is achieved through various factors such as humour, stealth, sexuality, and positive experiences. Businesses need to be creative as social media provides a significant platform for retailers and marketers to gain control of their marketing ADDIN ZOTERO_ITEM CSL_CITATION {"citationID":"jbOuuhnh","properties":{"formattedCitation":"(Felix et al., 2017)","plainCitation":"(Felix et al., 2017)","noteIndex":0},"citationItems":[{"id":1099,"uris":["http://zotero.org/users/local/7Hi3kAOD/items/BTYCFKME"],"uri":["http://zotero.org/users/local/7Hi3kAOD/items/BTYCFKME"],"itemData":{"id":1099,"type":"article-journal","title":"Elements of strategic social media marketing: A holistic framework","container-title":"Journal of Business Research","page":"118-126","volume":"70","author":[{"family":"Felix","given":"Reto"},{"family":"Rauschnabel","given":"Philipp A."},{"family":"Hinsch","given":"Chris"}],"issued":{"date-parts":[["2017"]]}}}],"schema":"https://github.com/citation-style-language/schema/raw/master/csl-citation.json"} (Felix et al., 2017, p. 122). Active contribution of brand marketers and consumers help to control social currency. Furthermore, businesses get a better understanding of their customers if they are allowed to share their concerns in an adequate manner. It would be beneficial to create a positive environment for customers that businesses are willing to listen to their concerns. Business gets a better understanding of the client’s concern to formulate their marketing strategies in that particular manner. Marketers are advertising their business and brand through social media entities, so it is beneficial for them to respond to customer questions and grievances instantly. Providing better response in no time assure customers that marketers value them. Customers are willing to get the services of a particular brand if they are assured that they will receive assistance at the earliest possible time. Marketers are effectively using geo-targeting features to reach a specific audience in accordance with the products and services of a business. Change in consumer behaviour is a major aspect for marketers to focus on the tool of social media in the form of digital marketing. It is noteworthy to mention that the majority of the population is attracted to social media in order to communicate with one another and to get information about various products and brands. Comprehensive analysis of customer behaviour reveals that customers are more likely to respond to any advertisement that they find catchy. Hence, marketers need to promote their products through social media channels. Businesses whose marketing strategies include social media advertising often obtain better response as compared to other means of advertising.

Digital marketing is transforming the entire paradigm of branding. Digital marketing through social media is a crucial element for building a brand and expand it in order to bring success. Direct one to one interface with customers helps to gain insights about client’s behaviour. Marketers use digital marketing to direct viewers to their products and services through various on-air programming. Social media is a great tool for businesses to have in their marketing arsenal as it allows more people to see promoted products and services. The results of this project indicate that social media is an efficient tool for digital marketing as it enables an advertisement to reach to multiple people. Higher traffic is essential for a company to climb on the ranks, which is achievable with different marketing strategies. Majority of companies are gaining profit through attractive advertising content, which enables them to draw more customers to their products and services. Companies with a social media marketing plan attract more people towards their brand through increased traffic.

Conclusion

To conclude the discussion about the impact of social media on digital marketing, it is important to indicate that currently, the concept of marketing can never complete without the consideration of social media. The influence of social media on marketing can observe in many different forms. Consideration of these relevant indicators helps to establish that the objectives of brand identity and brand awareness can successfully attain by adopting suitable social media strategies.

Bibliography

ADDIN ZOTERO_BIBL {"uncited":[],"omitted":[],"custom":[]} CSL_BIBLIOGRAPHY Ashley, C., Tuten, T., 2015. Creative strategies in social media marketing: An exploratory study of branded social content and consumer engagement. Psychol. Mark. 32, 15–27.

Chaffey, D., Ellis-Chadwick, F., 2019. Digital Marketing. Pearson.

Chi, H.-H., 2011. Interactive digital advertising vs. virtual brand community: Exploratory study of user motivation and social media marketing responses in Taiwan. J. Interact. Advert. 12, 44–61.

Drury, G., 2008. Opinion piece: Social media: Should marketers engage and how can it be done effectively? J. Direct Data Digit. Mark. Pract. 9, 274–277.

Edelman, D.C., 2010. Branding in the digital age. Harv. Bus. Rev. 88, 62–69.

Felix, R., Rauschnabel, P.A., Hinsch, C., 2017. Elements of strategic social media marketing: A holistic framework. J. Bus. Res. 70, 118–126.

Lamberton, C., Stephen, A.T., 2016. A thematic exploration of digital, social media, and mobile marketing: Research evolution from 2000 to 2015 and an agenda for future inquiry. J. Mark. 80, 146–172.

Taiwan. J. Interact. Advert. 12, 44–61.

Mangold, W.G., Faulds, D.J., 2009. Social media: The new hybrid element of the promotion mix. Bus. Horiz. 52, 357–365.

Murugesan, S., 2007. Understanding Web 2.0. IT Prof. Mag. 9, 34.

O’Reilly, T., 2009. What is Web 2.0. O’Reilly Media.

Stephen, A.T., 2016. The role of digital and social media marketing in consumer behavior. Curr. Opin. Psychol. 10, 17–21.

Tiago, M.T.P.M.B., Veríssimo, J.M.C., 2014. Digital marketing and social media: Why bother? Bus. Horiz. 57, 703–708.

Whiting, A., Williams, D., 2013. Why people use social media: a uses and gratifications approach. Qual. Mark. Res. Int. J. 16, 362–369.

Wind, Y.J., Mahajan, V., 2002. Digital marketing: global strategies from the world’s leading experts. John Wiley & Sons.

Subject: Business and Management

Pages: 17 Words: 5100

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Business Research Design (BRD)

Title page

Business Research Design

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University

Course

Tutor

July 12, 2019

2.1.6 Task

Starwood Hotel’s mobile strategy focused on optimizing sites for targeting maximum customers. The marketing strategies highlighted in the video and article can be used by new businesses for conducting an effective consumer market research. The company assured that the brand was advertised in 10 different languages. The sites were launched because the company was focusing on reaching customers from different countries and cultures. Another strategy of Starwood to persuade buyers includes the apps for offering better buying opportunities to the clients. The apps are also available in different languages, a strategy adopted for fulfilling the requirements of customers belonging to different countries. There are iphone and android apps for catering the needs for different consumers CITATION You132 \l 1033 (YouTube, 2013). The company managed to attract more clients through apps because they are faster and offered convenience to the buyers. These apps deliver extra values to customers such as by saving their time and travel cost. The mobile app strategy has allowed Starwood to gain customer loyalty.

Sheldon and MacMillan (2006) identifies strategies used for attracting and persuading customers. Companies have adopted R&D methods for learning about customer preferences by conducting market research. The new businesses must be able to conduct market survey for finding the expectations and preferences of customers. Cementing innovation is a practical way of building strong relationship with the customers. Customer centric innovation stresses on investing money in technology and ensuring that the products developed connects with the buyers. Identification of new capabilities allow companies to satisfy customer needs.

2.3.1 Task

Organizations must be able to adopt adequate strategies for helping customers in getting the jobs done. The best strategy for targeting potential customers is by offering value proposition. The organization aiming at attaining competitive edge can offer superior value such as by offering bonuses or discounts without comprising the quality. The company can offer favorable points that make customer feel superior. This means that the customer will gain extra benefit on the product purchased CITATION JAn06 \l 1033 (Anderson, Narus, & Rossum, 2006). Another strategy that organizational can pick for doing customers job right is by hiring marketers and product developers that assess customer profiles and design processes that are appropriate for those jobs. This requires considering customer characteristics and product attributes. The organization can focus on the social and emotional dimensions by considering personal attributes of customers CITATION CMC16 \l 1033 (Christensen, Hall, Dillo, & Duncan, 2016).

The company can conduct research to find consumer preferences such as by asking the maximum amount of money they are willing to pay for the job. Simillary research can be done for finding the customers who are not buying the products and searching the rreasons. They can also The strategies explained by Direst, Sthanunathan and Weed can be used by companies for gaining significant advantage. The firms can establish insight engines like Unilever that allowed the company to shift resources to the local markets of the world. The purpose of creating such engines is to collect information about customer preferences that can be used for reaching potential customers CITATION Dri16 \l 1033 (Driest, Sthanunathan, & Weed, 2016).

3.1.3 Task

I agree with Dawar who mentions that “businesses that fail to realise the rapidly growing power of AI assistants, and consequently are not looking for ways to use AI platforms in their business research, will be at a major disadvantage”. This is because AI assistants can improve workflow that will directly impact productivity and efficiency of employees.

I think there are ways in which organisation could benefit from purchasing consumer data from companies like Google. Consumer information maintained by Google can be used for identifying the potential customers of specific services. For example an a retail travel agency can find where customers are spending most on traveling and vacations. I think Dawar has not exaggerated the potential significance of AI because it actually create massive opportunities for the businesses. AI can be used in businesses such as it will allow firms to streamline customer services.

Certain but not al customers will reject the attempt by companies such as Google and Amazon to make AI assistants central to how we live and work. They may raise concerns regarding privacy or data breach. Google already faced criticism on breaching privacy of the users CITATION Nir18 \l 1033 (Dawar, 2018).

The organization can perform research on how companies have benefited from AI before integrating it for improvements of consumer services. This research will include analysis of how Google is supporting companies for data product evaluation. Similarly the organization could also investigate the challenges that of AI such as privacy threats CITATION Dri16 \l 1033 (Driest, Sthanunathan, & Weed, 2016).

Task

The way in which analysis group treat employees is quite similar to the way in which my organization is managing workforce. The most visible similarity is that my organization offers a friendly environment to employees like AG. It also gives them opportunity to work on different projects CITATION AG15 \l 1033 (AG, 2015). The reward strategies used by AG is also adopted in my organization by leaders for motivating employees. however there are also some differences such as AG has created a flexible and open culture. on contrary my organization has given more power to the supervisors that give employees limited authority CITATION AG151 \l 1033 (AG, 2015).

Samuelson explains that AG has adopted the best way of monitoring the reward and employee performance. The company has managed to retain talented employees by offering them rewards and acknowledging their work CITATION MSa15 \l 1033 (Samuelso, 2015). Contribution-based pay is another effective strategy that encourages employees to perform better. The company don’t rely merely on systems that maintain records on who is selling more products. Employees are asked tow write self-evaluation on what they achieved each year.

As employees differ in interest and motivations organizations can conduct research for understanding what type of employees they need to hire. The company can adopt AG’s policy that focuses on asking employees about their interests during interviews and recruitments CITATION MSa15 \l 1033 (Samuelso, 2015). Previous performances at the companies can also be considered for identifying their motivations.

Checklist

Questioning is recognized as a powerful tool for attaining organizational value. Follow-up questions are critical for reading people and posing inquiries in appropriate manner. This allow organization to find the issues faced by employees and their level of satisfaction. This is also an effective strategy for finding the complains and working to resolve them for the provision of best work environment. The organization can use the follow-up questions for mitigating the risks of future pitfalls CITATION AWB18 \l 1033 (John & Brooks, 2018).

The organization must keep questions open-ended when it intends to search for workplace issues. This will allow employees to provide better information about the difficulties or conflicts that affect their work quality and efficiency negatively. This is a practical way of getting deeper insights into the unknown issues and allow company to take actions for mitigating them CITATION AWB18 \l 1033 (John & Brooks, 2018). Closed-ended questions in such situations can be incomplete and wrong.

The sequence right suggests that the questions must be asked for gaining information and creating impression management. The personal taking answers must be adopt good communication skills and listen to the employees carefully. It is more preferred to built a two-way communication in which employees get equal chance of speaking CITATION Dri16 \l 1033 (Driest, Sthanunathan, & Weed, 2016).

The right type of tine, sequence and framing are crucial for deciding how information can be shared for reaping the benefits from conversations. The tone must be soft that would encourage the employees to speak and share their viewpoints.

3.5.6 Thoughts on ATI

I agree with the viewpoints of Govindarajan who talks about the panned opportunism that is focused on using technology for the enhancement of organizational performance. I think that the companies can integrate technologies for making counterintuitive decisions CITATION VGo16 \l 1033 (Govindarajan, 2016). I agree with Shoemaker and Tetlock because they illustrate ways for overcoming organizational deficiencies. It is important for the organizations’ to make good judgments that requires using econometric and operational research based tools. The forecasts are made by considering data, logic and analysis. I agree that the best methods for identifying organizational weakness is by boosting team accuracy and tracking prediction of performances CITATION PJH16 \l 1033 (Schoemaker & Tetlock, 2016).

The concepts of ATI highlighted by Govindarajan and Shoemaker and Tetlock can be used for preparing organization in better way for meeting future challenges. I think that the companies can integrate the methods of training employees for making accurate predictions. Training enhances workers ability of making accurate forecasts and eliminates the chances of errors. This will allow companies to adopt practical ways for mitigating future challenges. I also believe that the concept of cognitive bias can also be used for making better judgments. Awareness of cognitive bias prevent managers from engaging in wrong judgments. Planned opportunism is also an effective strategy that can be used by organizations for attaining organizational efficiency. By incorporating the concepts of diverging, evaluating and converging the organization improves its competency of making right decisions. it begins by making right assumptions and them conducting the evaluation of business activities.

References

BIBLIOGRAPHY AG. 2015. Liz Milsark - Why Analysis Group? . Retrieved 07 11, 2019, from https://www.youtube.com/watch?v=zPN04WJYapI

AG. 2015. Noam Kirson - Why Analysis Group? . Retrieved 07 11, 2019, from https://www.youtube.com/watch?v=v0Kdw9lPD-Y&feature=youtu.be

Anderson, J., Narus, J., & Rossum, W. 2006. Customer Value Propositions in Business Markets. Harvard Business Review , 91-96.

Christensen, C. M., Hall, T., Dillo, K., & Duncan, D. S. 2016. Know Your Customers. obs to Be Done. Harvard Business Review , 54-62.

Dawar, N. 2018. Marketing in the Age of Alexa. Harvard Business Review , 80-86.

Driest, F. v., Sthanunathan, S., & Weed, K. 2016. Building an Insights Engine. Harvard Business Review .

Govindarajan, V. 2016. Planned Opportunism: Using weak signals to spur innovation. Harvard Business Review , 54–61.

John, A. W., & Brooks, L. K. 2018. The Surprising Power of Questions: It goes far beyond exchanging information. Harvard Business Review , 60-67.

Samuelso, M. 2015. Analysis Group’s CEO On Managing with Soft Metrics. HBR .

Schoemaker, P. J., & Tetlock, P. E. 2016. Superforecasting: How to Upgrade Your Company’s Judgment. Harvard Business Review , 73–78.

YouTube. 2013. Starwood Hotel's Mobile Strategy: Mobile Web vs. App . Retrieved 07 11, 2019, from https://www.youtube.com/watch?v=OAjiNwrpczs&feature=youtu.be

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