Road-Coffee Bike Café

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On the Road-Coffee Bike Café that produces beverages for its customers. The Café mobility helps the work staff provide indoor and outdoor experiences as well. The motorbikes help delivery and access to customers due to its flexibility. Employees can also relate with clients on a personal basis to increase social bonds and loyalty.

Operational Business Decision.

The mobile services work best in major cities or small towns. These demographics are filled with people usually on the go. Consumers who are in a constant rush tend to appreciate little luxuries say vanilla lattes, espressos and other occasional splurges. Providing readily accessible coffee bikes will, therefore, prove successful in such settings. The appropriate and most conducive bike assemblies will be established to facilitate standard sanitation and easy mobility. The beverage service equipment will be certified according to the appropriate materials, and sanitation standards acceptable by the health regulators. Proper sanitation will build trust among the customers in the products offered. Customers value efficient services, the company’s mobility will facilitate fast delivery of its products to the consumers, not to mention accessing areas that may be inaccessible for other delivery methods. Coffee brewing requires finesse, the company, therefore, plans on hiring the best barristers to ensure that quality and versatile brews are produced. Providing quality and different blends will facilitate consumer satisfaction, and consequently promote the coffee brand, aside from building the clientele loyalty. The coffee brands will be versatile to tap the enormous preferences of the public, while some consumers may opt for stronger brews, others may instead prefer mild or flavoured coffee. The operational costs of the mobile café will be lower in comparison to the structure-based cafes; therefore, the company plans on capitalising on this concept. The products will be offered at lower and affordable prices to win more buyers and as a result curve a loyal niche in the coffee business.

Tactical Business Decision

Running a successful business is contingent on the managers’ business intelligence. Business intelligence entails possessing relevant qualifications needed to evaluate a company’s data for better decision making and the reduction of unnecessary costs. The coffee company will compile all the necessary short term research about the development and running of an efficient business, taking into consideration the dynamics involved in mobile catering services. Such research is deemed imperative if the company wishes to be stable and accrue maximum benefits in the competitive environment. The study will impart insight on the available opportunities that the company needs to concentrate on, to be a step ahead in the mobile coffee business. The company will also focus on creating viable and alluring logos that will attract more consumers to their products. Branding goes hand in hand with the coffee experience, therefore establishing a lasting and satisfactory experience will help the buyers to associate the coffee brand with success, thus promoting better retention tactics. The bikes’ first operations will be accurately detailed, that is, all the inventory sales, customer behaviour and preferences will be documented. The initial operations will also help the managers in identifying the best periods to serve the beverages, based on the consumer traffic and costs generated at any given time. The recorded inventories will help the company establish efficient logistic decisions, employee and customer management, not to mention sales forecasting. Based on the sales lists, the company will be able to plan for future growth and innovations.

Strategic Business Decision

The Road-Coffee Bike café plans on evaluating the coffee business environment to establish strategic operations regarding the future conditions of the industry. The company’s decisions will help the managers to visualise the prospects and directionality of the business, say its expansion. The company plans on establishing at least three cycling units within the year. The company’s patterns based on the following sales will be used to evaluate and predict any potential impact on the company’s operational environment. A journal of accounts is thus necessary to keep the record of the company’s development and sales. For best results, constant research will be carried out to provide new insights to improve the buyers’ coffee experience, say improved menus. For sound strategic decisions, the Road-Coffee bike company will continually review and foresee the results of the set projects and their impact on the company’s development. The long term goals for the company entail the provision of quality products and services to the public at affordable prices. Establishing fair product costs, given the economic awareness of the public will attract more consumers since they will be able to accommodate the occasional luxuries at reasonable prices.
The company’s bike strategy will help in sustainability. Countries and populations have with the modern ages become mutually dependent, such that environmental concerns are now a global initiative. The business world today focuses on social accountability and ecological sustainability (Noren et al. 2004). Business today are expected to generate quality services and products and add value to the society. The bikes will be powered by physical energy thus alleviating the use of harmful pollutants into the environment. The Coffee-Bike Café wishes to play an active role in community development additionally. Research shows that small companies can impact tremendous changes on the economic aspects of a country. It is estimated that an average of £1 spent by small businesses can generate about 63p for the local economy relative to the 40p produced by larger business (Federation of Small Businesses 2013).

Business Launching

The firing of the Road-Coffee Bike Café is aimed at promoting brand awareness to the local consumers. The company’s main objective during the launch is to educate the consumers on the core values of the business and in so doing inspire brand loyalty and trust. Trust is always earned, therefore providing quality services to the buyers will also help cement their loyalty, subsequently giving the company an added competitive advantage against its local competitors. Before the launching of the business, detailed planning will be conducted to account for the projected budgetary considerations. Understanding the population is vital for any business to progress. Aside from targeting a labour force, it is important that the company focuses on creating expensive brands that will make them stand out from the rest of the competition. The recent economic recession made consumers wary of spending a lot of cash on luxurious vacations and lifestyles, and they are hell-bent on seeking smaller rewards instead, say occasional splurges and luxury drinking and eating. The company plans on introducing its sumptuous brands during the launch while showcasing its skilled barristers.
The planned event will include entertainment and a small acoustic band that will help attract the customers and also provide a serene environment that will encourage consumer interaction and coffee consumption. A casual dining environment will be created that will enable the guests to marvel at the creative crafts of the coffee barristers. The company will provide free samples and assorted accompaniments to the guests. Promotional packages will also be distributed to encourage the purchase of the coffee. Successful business launches are contingent on efficient planning, this not only requires being financially adept but also necessitates testing the waters, that is, if the firm and its strategies are viable and feasible. During the launch, the company’s employees will actively interact with the consumers to get their opinions and preferences. The customers’ insights will be factored in the progressive plans of the business to ensure that complete satisfaction is achieved. Consumer satisfaction promotes customer loyalty. Consumer understanding, such as their purchase decisions, will also help in business management, and also offer the company with some leverage on the value they can provide their clients, thus earning them a competitive advantage over their competitors. The company’s launch will also be used to fish out prospective investors that will help in expanding the business across the state. An efficient cash-forecasting mechanism will prove critical in the planning of the companies’ resources and management. Below is an estimated budgetary allocation for the business launch and initial operations 1. The licences and the permits should be obtained before the onset of the firm.

Equipment

Estimated Costs

Recommendations

Coffee Bicycles and equipment.

£ 15,000- 50,000

May vary depending on design.

Initial inventory

£1000- 5000

This will also facilitate product launching costs.

Uniforms and paper products

£1000-3000

The cost will vary depending on design and material.

Small wares: cups, saucers etc.

£ 1000-2000

Dependent on quantity and quality.

Licences and permits

£ 2000-4000

The costs will vary depending on the area of operation.

The business permit, employer identification number (EIN), food license, insurance, et cetera can be evaluated at an average of £167-330 per month. A brewing bike can be obtained from as low as £ 15,000 (Bland 2015).

References

Bland, A., 2015. Food Bikes Gaining Popularity Because of Their Convenience. [Online] Available at: www.scpr.org/news/2015/01/16/49318/food-bikes-gaining-popularity-because-of-their-con/ [Accessed 16th January 2017].
Federation of Small Businesses. 2013. Local Procurement: Making the Most of the Small Businesses, One Year On. United Kingdom: The Federation of Small Businesses.
Noren, G. et al., 2004. The Role of Business in Society. Stockholm: Confederation of Swedish Enterprise.

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