INEN301 Innovation And Entrepreneurship: Organic Farming And Marketing Techniques Assessment 3 Answer
TITLE OF THE ASSIGNMENT- PERSONAL BUSINESS PLAN (Report)
The entrepreneurship in new ventures conceptualizes innovative ideas to initiate a new business proposition. The report on business plan presents a lucrative idea of determining healthy life through the business proposal, which is solicited by setting up a business named “Rural and Earthy Edibles”. The whole exercise of organic farming and marketing of the same both in retail and wholesale will be beneficial both to the Business as well as the people of UAE (Parahoo et al. 2017).The business plan will emphasize on the vision of the enterprise, the market position of the organization, attractive pay and perks for the employees and mitigating business risks through contingency strategies.
Overview of the Organization
The Rural and Earthy Edibles Company will proceed with the idea of organic farming and the marketing techniques to be followed in determining its position, attractive offers for the employees and market differentiation. The Business will start as a small operation at the outset, and it will slowly emerge into a brand name for itself with the increase of immovable property of the Business and the customer base (Butt Ai Shamsi et al. 2018). As informed by Ram & Pathak (2019), the innovation and entrepreneurship aspect of the Business will be aimed towards evolving better techniques of water effectiveness, organic production, better yield, improvement of nutrition value in the products and recyclable product usage.
Vision and Goals
The existing crisis scenario of the market and the meagre availability of organic vegetables in the UAE market are all external factors which can be a great stage to launch the business idea. The implementation of the business idea will serve the values which will be beneficial as my prolonged experience of observing and helping my parents in farming will be an upper hand than a sheer novice (Armanda et al. 2019). The product will be a requirement in the days to come for all and sundry. Presently the purpose will reflect on the conscious populace of UAE in buying these organic with the escalation on their awareness levels (Ahmed & Krishnakumar, 2018). The mission of the company is to create awareness of the immunity level of the human body with organic food and vegetable supply.
Marketing and Implementation Strategy
The implementation plan will be unique as the whole vision statement of the Business will be philanthropic in nature "Service to customers by providing the ultimate organic products". The first-hand knowledge of farming of my parents will be put to good use as I have many techniques of farming known to me since a boy. The drip irrigation technique requires less consumption of water while giving better results (Birkenholtz, 2017). The merits of vertical farming are also well known and will be put to good use on the farm. All these will enable a much viable and profit-making sector for Organic Farm.
The importance of organic farming and the positioning of the farm with a low priced but high quality of organic products with lesser transport cost for the retailers and consumers. The vegetable retailers of the city will be contacted and will be offered organic vegetables. Interested retailers will be supplied with vegetables, and the feedback will be obtained (Bazaluk et al. 2020). On receipt of better feedback, augmentation of production will be undertaken. If the feedback on a particular product is not conducive, a brainstorming with fishbone analysis to understand the problem and mitigate the problem from the root will be initiated.
Figure 1: The Brand Positioning Strategy
(Source: Bazaluk et al. 2020)
The business proposal will emphasize on the compelling value of including all genders in the farming company. The value proposition highlights the open concept of office with talented people from all walks of life in an integrated organizational culture. The company will offer equal wage to the employees at the same position with a mixed package of perks and other bonuses like vacations, retirement benefits, and working hour flexibility (Pometing, 2017). The differentiation in terms of marketing proposal for the company will emphasize on the performance and reliability of the organic products sold at minimal pricing (Grashuis & Magnier, 2018). Penetration pricing will be chosen as a marketing objective for the company products.
Risks and Mitigation
The plan is worthy as the same will be able to prove for itself a profit generation entrepreneurship. By the end of the third year, there will be enough capital with the Business to set up its own retail establishment within the farm or in the vicinity with the added prerogative to customers to allow them to visit the farm. The fifth-year target would be to set up at least 03 production farms with the same acumen and efficiency. The increase of organic vegetable consumption will duly increase in the next five years, allowing the Business to increase its retail outlets too. The cost-effectiveness of the goods will be more than the competitors as the localized distribution system will be incorporated (Röös et al. 2018). The utmost risk in this Business is the non-acclamation of the produce by the authorities. However, the same will not deter or hinder the production or the Business as the vegetables will still be available to be sold in the market, thereby allowing the Business to get back the invested amount.
Entrepreneurial Ethics & Further Development Strategies
The ethics of entrepreneurship are comprised to enable society to be a better place. The entire objective of the Business is aimed towards providing quality food and vegetables to people at affordable rates. Hence, the objectivity of the Business is only met once the fulfilment of entrepreneurial ethics is maintained. The Business is self-sustaining nevertheless I would like to be advised by the founder of Ras al-Khaimah, who is the largest producer of organic vegetables in the UAE (Butt, 2019). The in-depth knowledge of the person and long vision was the reason the Business has stood the ground for so many years.
Further Development Strategies
The difference between entrepreneurship and innovation is different since innovation is coming up with a creative idea which involves techniques while entrepreneurship is to cash on the innovation with bulk selling proposition of the ideas in want of making a profit for the commercial ventures of innovation. Universities apply the curricula and theoretical aspects of teaching their scholars to become good leaders. The action plan will involve the timeline of proposing an idea, hiring employees for the production, training them, promotion and advertisement of the company, investment sources planning, determining supply chain and finally delivering the products at selective outlets. (Kindly refer to the Gantt Chart)
Figure 2: The Gantt Chart on the Timeline of the Proposed Business
(Source: Self-Created, 2020)
In conclusion, the business plan will have humanist, include global citizen as customers, with caring teachers as mentors at universities to make us engineers in the business proposal plans.
- The proposed business plan on organic farming is the conceptualization of entrepreneurship.
- Rural and Earthy Edibles is selected as the company for producing organic fruits, vegetables and products.
- The company will engage in the both wholesale and retail business with a social media presence.
- The company aims to keep the minimal price for the products while covering the production cost and other expenditures.
Visions and Goals
- The long term vision of the company is to provide organic food to UAE customers.
- The purpose of the business is to create an innovative proposition for UAE customers on organic farming products (Di Pietro et al. 2018).
- The vision of the company is to create awareness among the customers on growing importance on organic food and edibles.
The mission of the company is to set a business in the less ventured sector of organic farming which will provide fruits, vegetables, and food of certified A-grade quality to the domestic customers. The company also plans to expand its business in European countries in the coming two-to-three years.
Marketing and implementation strategy
- The marketing strategy involves products, pricing, promotion and place.
- The initial products to be offered by the company is fruits, vegetables, pickles, flowers, manures, and bio-fertilizers (Parajuli et al. 2020),.
- The pricing strategy for the products is kept at minimal pricing where the fruits start at 12 AED, and maximum the prices of packaged edibles will be fixed at 150AED.
- The promotional strategy will be focused on billboard advertisements near the farm, local and international newspapers, social media and television.
- The place strategy chosen for the farming company will now focus in Dubai, which will later be expanded in other countries and the UAE domestic market.
- The company positioning will be in the low priced section using the penetration pricing strategy (Moock, 2018).
- The compelling value to the employees and the society will be based on all-inclusive workforces, better and equal pay package for all the genders.
- The differentiation of the products offered by the firm will depend on the reliability of the products, pricing, and performance in the domestic market.
The company will plan a contingency strategy to mitigate the risks in the business which may crop up due to climate change, instability in the governance, increased price oil may improve the transportation costs, warehousing issues for storing consumables and other diseases like virus attack. The risk mitigation strategy will include in forecasting the risks, avoidance of the dangers, controlling of the dangers, transference of risks and monitoring the risks. The contingency plan will have sufficient backup resources, drafting the plan and distributing them to the stakeholders.
Entrepreneurial ethics and development strategies
- The entrepreneurial ethics focus on eight elements.
- The environment needed to be respected by the company while setting up new business ventures.
- The strong performers in terms of the workforce must be rewarded and honoured.
- The company must maintain integrity in its approach in offering its products and services.
- The focus of the company needs to be on the demands and requirements of the customers (Rana & Paul, 2017).
- The company must be focused on the results accumulated through the revenue and reinvest the profit for growth of the company.
- The company must avoid imitating its rival companies in terms of pricing or products (Leppala, 2019).
The personal board of directors will comprise my family members and tutors who have experience in this field of profession. They will guide me in my attempt to conducting a novel idea into a business. I want to incorporate corporate social responsibility through my business plan. The other strategies will involve in harnessing multiple talents from various field like financial management, human resources, research, and development in the company and other aspects to enhance the experience of the customers in the organic edibles. The action plan will involve the proposing of the business idea to the relevant authorities in the university, selecting a site for conducting the farming, maintaining timeline for recruiting people through advertisement and arranging adequate funds for the business. The supply chain will be determined to transport the goods to the final users, developing a plan for social media presence, asking influencers to advertise the firms and choose a timeframe for the yield and packaging the products for final delivery to the users.
In conclusion, organic farming will be supported by global citizens being the customers of the company. The university will succeed in creating engineers of tomorrow to invest in new projects like organic farming and introducing innovative ideas to improve the packaged products for international customers. The caring teachers will mentor the students on their projects and help them to comprehend the concepts of entrepreneurship and innovation.