Report 1 – Operations and Marketing of Sea Treasure
Business: Sea Treasure Chinese Restaurant (North Sydney)
1.0 Situational Analysis
1.1 Influences in establishing a SME
There are factors that influence a prospective SME owner to start-up a business. These factors include personal qualities, skills, and qualifications. These qualities are attributable to creating a friendly environment, developing interpersonal skills during decision-making, and require motivation in creating the best quality food. Owners are tempted by motivation to recreate renditions of authentic yum cha, seasonal hotpots, and traditional Chinese banquets.
In regards to establishment, the purchase of an existing business would benefit the business’s operations and marketing. One, the seller may offer invaluable advice on how the operations of a kitchen is run and how to market the business, due to their familiarity of the geographic location. Previous owners can proffer suggestions and advice on the current way to market the business through social mediums and advertising food products in local food events. Purchasing an existing business will also mean maintaining a solid customer base.
1.2 SWOT Analysis
· The restaurant has built up a strong reputation in the industry
· Easily acquiring stock
· Employ an effective quality management
· Staff have low productivity levels
· Outsourcing pre-made food to a different company.
· Able to improve environmental sustainability – purchasing eco-friendly ingredients and products
· Local food stall events to promote new food products
· Possible bad reputation left by previous owners
· Hygiene of food is not up to standard
1.3 Classification of Business
By size, Sea Treasure is considered a small business according to ABS (less than 20 employees). Sea Treasure hires chefs to work in the kitchen, waiters to serve customers and a manager that oversees everything. In terms of legal structure, Sea Treasure is more shaped as a partnership. Operations-wise, the business shares the workload to improve productivity. As there is no legal entity, the business could suffer from unlimited liability, which could dampen the financial growth of the business. However, operating a partnership is less costly to operate than a company.
1.4 Vision and Goals
The vision of Sea Treasure could be described as “to be the region’s most differentiated and high quality dining restaurant, providing innovative products that cannot be found in other similar restaurants.” The aim is to promote the quality of the food. Thus, the operational plans would be to organise and coordinate employees so that productivity levels are stable. Long-term strategic and tactical plans would be to forecast a projected sales target and aim to achieve it within a specified time. This would foster an expansion of the business as well as increase in market share.
2.0 Marketing Plan
2.1 Identifying the target market
Identifying and selecting a target...