Business Proposal Food Emporium -- Business Proposal

Business Proposal

Food Emporium -- Business Proposal

This business proposal outlines an emerging model for food preparation. The business will be called the "Food Emporium" and will be located in the downtown Kuwait City area. The overall trend in food services is one that is learning towards health and this trend is expected to develop exponentially as more and more consumers become more health conscious and discover the advantages of living healthier lifestyles. The model consists of some combination or blend of a coffee shop, a cooking school, and retail shop mixed into one spread across two floors. Customers can partake in any of the activities within the store; however it is recommended that they enjoy all three simultaneously to receive the full experience that the location has to offer.

The layout is carefully designed to ensure that the most effective use of space is maintained. On the top floor is the coffee shop and in the middle are the fully equipped kitchen stations where the cooking classes take place. There will be another cooking station in the ground floor (shop part) of the area where you can see the bakers make the bread and baked goods. Everything is designed as an open plan where everything is viewable, so you see your food or other people's food being made fresh. Although there will be staff members who can prepare food for customers, the idea is for the customer to be actively participating in the food preparation. Customers can prepare meals in conjunction with the instructors so that they can learn the techniques. The idea is to build a community of people who enjoy healthy living and provide a relaxed and open environment where people can collaborate within this atmosphere.

Business Model Outline

The company will be operating within the food services industry which entails a great deal of competition. The operation will be headquartered in Kuwait and will be developed to grow on a franchise model. The model will produce income in a variety of ways. First there will be a retail operation that sells the freshest food and produce available in the area. This will serve as the core of the business. However, customers can also take classes or even rent kitchen space in order to prepare the food they have already purchased. There will be a discount available for customers who have purchased their ingredients directly from the operations retail space. There will also be a coffee facility that will allow customers to sit leisurely and drink premium beverages.

The business model is directly challenges some of the traditional food preparation and food service traditions. However, this is a result of an industry trend and this emerging sector is predicted to experience rapid growth as more and more consumers begin to take their diets more seriously. Therefore the target market and demographic will consist of those consumers within regional proximity within Kuwait. It will take some time to reach members of this target market however there are many things that can be done to expedite the process. For example, free training sessions can be conducted in schools about the benefits of eating healthy and at the same time this will help build awareness of the organization. Furthermore, children will be a key demographic as well as young parents and professionals.

Since the food services industry is so competitive and there are so many competitors it is unlikely that the company will be able to capture a large portion of the total market. The world foodservice industry is expected to reach almost $992 USD in 2014. As a result, this industry it doesn't require a large market share to be profitable. A small fraction of a percentage will be all that is necessary to make the model work. Furthermore, the market is already flooded with competitors so competition will be high however the Food Emporium will be competitive because it offers a fresh perspective on food preparations. If the business is able to capture one percent of market share within the first three years then it will be a tremendous success.

There are many barriers to entry that include items such as location, supply chain development, and marketing. The business model has already been developed in foreign markets and it has proven to work. However, there may also be some cultural barriers that the organization might encounter in Kuwait. Yet these barriers can be overcome by educating the consumer base through effective advertising. The model is so unique to the area that it should also receive a great deal of word-of-mouth advertising. The company must also be able to find a suitable location as well as develop a supply chain that can offer the freshest food and produce sources. Local vendors will be given preference in developing the supply chain.