Bco 314 Small Business Management Task Brief Rubrics

Bco314small Business Management Task Brief Rubrics

Develop a report on a Small Business development project, which can be your start-up, a franchise, your own family business, a small business you would like to work for, or the establishment of a new subsidiary of a corporation in another country. The report should include a cover page, table of contents, an introduction to the sector/industry, a brief company summary and background, review of past performance, analysis of key issues including internal and external challenges, a SWOT matrix, and references in Harvard style. The report must be at least 2,500 words, formatted in Arial 12.5 pts, double justified, and include relevant graphics. It is an individual assignment due via Moodle by Sunday, November 11, 2023, at 23:59 CEST, and accounts for 40% of the course grade. Focus on demonstrating understanding of small business characteristics and strategic growth management, applying relevant concepts and research, and communicating ideas clearly and concisely.

Sample Paper For Above instruction

Title: Strategic Development of a Small Family Business in the Organic Food Sector

Introduction to the Sector/Industry

The organic food industry has experienced exponential growth over the past decade, driven by increasing consumer awareness regarding health, sustainability, and environmental concerns. This sector encompasses organic farming, retail outlets, and distribution chains that focus on organic produce and related products. According to the Organic Trade Association (2022), the industry in the United States alone reached a market value of over $60 billion, with a compound annual growth rate (CAGR) of approximately 9% from 2017 to 2022. The sector is characterized by high consumer demand for transparency, quality, and sustainability, which influences business operations and marketing strategies. Small enterprises play a vital role as they often serve local markets with personalized service, fostering community loyalty and environmental stewardship.

Company Background and Summary

GreenHarvest Organics is a family-run business established in 2010 in Vermont. Initially started as a small farm, it has expanded into a retail and distribution company specializing in organic vegetables, fruits, and eco-friendly packaging. GreenHarvest prides itself on sustainable farming practices, transparency, and community engagement. The company sources produce from local farmers who comply with certifications from the Organic Materials Review Institute (OMRI). Over the years, GreenHarvest has built a strong customer base through farmers' markets, local grocery stores, and an online storefront, and plans to expand its regional presence over the next five years.

Past Performance Review

GreenHarvest's financial records indicate steady growth, with annual revenues increasing from $500,000 in 2015 to over $2 million in 2022. Profit margins typically hover around 15%, attributed to premium pricing and efficient supply chain management. The company has successfully diversified its product offerings, including organic snacks and ready-to-eat salads, which contributed to a 20% increase in sales last year. Additionally, GreenHarvest has received organic certification renewals and positive customer reviews, reinforcing its reputation within the community. However, rising input costs and fluctuations in demand during seasonal periods pose ongoing challenges.

Analysis of Key Issues

GreenHarvest faces several internal and external challenges. Internally, maintaining consistent quality and scaling operations while preserving sustainability principles is complex. External challenges include market competition from larger organic producers and supermarkets offering organic lines at lower prices, regulatory compliance with evolving organic standards, and supply chain disruptions, especially with local sourcing. Additionally, climate change affects crop yields and farming schedules, impacting product availability. Market competition also intensifies as new entrants enter the local organic market, compelling GreenHarvest to innovate and differentiate.

SWOT Analysis

  • Strengths: Strong community loyalty, high-quality products, sustainable practices, personalized service.
  • Weaknesses: Limited scale, higher input costs, dependency on local supply chains, higher price points.
  • Opportunities: Growing demand for organic products, potential for expanded regional markets, online sales growth, partnerships with local restaurants.
  • Threats: Competition from large chains, fluctuating raw material costs, regulatory changes, climate impacts on agriculture.

Conclusions and Recommendations

GreenHarvest's position as a small, community-focused organic producer provides a competitive advantage rooted in quality and sustainability. To sustain growth, the business should invest in marketing to expand regional recognition, diversify product lines further, and explore technological innovations such as farm management software to improve efficiency. Strengthening supply chain resilience and developing strategic alliances with local farms and retailers can mitigate external risks. Moreover, embracing e-commerce and digital marketing will facilitate reaching broader markets and better customer engagement.

References

  • Organic Trade Association. (2022). Organic Industry Survey. Organic Trade Association. https://OTA.com
  • Hill, J., & Lynn, S. (2020). Sustainable Business Strategies in Agriculture. Journal of Agribusiness, 17(4), 123-138.
  • Smith, A. (2019). Managing Growth in Small Enterprises. Small Business Economics, 52(2), 345-359.
  • Miller, R. (2021). The Role of SWAT Analysis in Strategic Planning. Business Strategy Review, 33(1), 45-52.
  • Jones, P., & Silver, D. (2020). Challenges of Local Sourcing in Organic Agriculture. Agricultural Economics, 31(4), 558-569.
  • United States Department of Agriculture (USDA). (2022). Organic Farming Data. USDA Economic Research Service. https://ers.usda.gov
  • Williams, T. (2018). Competition and Differentiation in Small Food Businesses. Journal of Small Business Management, 56(3), 440-455.
  • Brown, K., & Green, D. (2021). Climate Change and Agriculture: Impact on Small Farmers. Environmental Research Letters, 16(2), 24-33.
  • Thompson, L. (2019). Digital Strategies for Small Retailers. Marketing Insights, 15(4), 78-85.
  • Johnson, P. (2022). Regulatory Environment for Organic Food. Food Policy, 104, 102305.

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