Assignment 1: To Build or Buy
Professor: Angela Harris
Business 402- Small Business Management
May 1, 2015
The small business that I chose to compete with is a beauty shop that I visit weekly. This beauty shop is located in the city of Dale City, VA. This Business is called Images Beauty Shop. Images Beauty Shop is surrounded by several different types of businesses such as schools, grocery, and a few other retail stores. Images Beauty Shop was owned by older women previously, but the owner moved to a different part of the State to resume her business. Images Beauty Shop is now owned and operated by a single individual and offers competitive prices when compared ...view middle of the document...
I plan to fix these issues in my business and will implement a strategy for a business concept that would directly compete with the beauty shop. I would complete the strategic management process, which includes nine steps. They include developing a clear vision then translating it into a meaningful mission statement, assessing the company’s strengths and weakness, scanning the environment for significant opportunities and threats facing the business, identifying the key factors for success in the business, analyzing the competition, creating company goals and objectives, formulating strategic options and selecting the appropriate strategies. In order for the business to be successful I would need to translate strategic plans into action plans, and establish accurate controls.
1. Vision and mission statement- The Company vision statement “To help customers feel better about them and have a great appearance”. The mission statement “To provide quality service while successfully satisfying the needs of every customer”.
2. Assess the company’s strengths and weakness- I would do an assessment of the company’s strength and weaknesses. Some of the company’s strengths are a good solid customer base, earning a profit, expenses are low, and it is profitable year round. Weaknesses include not opening on time, not following posted opening and closing times, and excessive waiting times due to only having one stylist.
3. Scan the environment for significant opportunities and threats facing the business- Some of the threats facing the business are similar business offering lower prices, having more employees, offering quicker services, and providing more entertainment while waiting. Some opportunities are competitive prices which can grow your customer base, flexible operating hours which are convenient for customers that have odd working hours, and quality services and products.
4. Identify the key factors for success in the business- Key factors for success are marketing the business so that potential customers are aware of what services you are offering, and the menu of options. Also managing the profits and expenses appropriately will be a huge factor when operating the business.
5. Analyzing the competition – You must know your competition as well as you know your own company. Knowing your competitions strengths and weaknesses will put you at an advantage, making you successful, increasing profit, and expanding your customer base.
6. Create company goals and objectives- Goals are long range attributers that the firm seeks to accomplish. Objectives are quantifiable and more precise- they should be specific, measurable, assignable, realistic, timely, and written down. This can be tied into the vision and mission statements. My company’s goal is to satisfy the needs of the customers. My objectives will be to provide quality services to customers by greeting them when they walk through the door, maintaining a clean environment, and...