- May 3, 2014
- Posted by: essay
- Category: Term paper writing
- 1.Â Â Â Â The type of business functions will be established
The following types of the business functions will be established: business functions (including marketing and sales), finance function, Human Resource Functions, Administration Function (including IT) and customer service function.
- 2.Â Â Â Â 4. The type of structure the business will adopt
The type of business structure that is chosen for the present small business is the easiest one ”“ sole proprietorship, because this form is the most appropriate for the administration of the small shop.
- 3.Â Â Â Â Selection of the required human resources
In order for the retailer to operate efficiently it requires qualified human resources for store-based and non-store positions. For instance, job opportunities in the small shop include customer assistants (who directly assist customers or prepare orders for delivery to customers who have ordered online), manager (who manage a team of assistants), warehouse workers (who help catalogue and store various goods). Non-store positions include business personal (such as marketing manager and sales manager), and logistic personnel (who plan and carry out the distribution of clothes to the shop).
- 4.Â Â Â Â Â The marketing approach
The focus of the marketing strategy in this case will be focused on digital marketing and company’s online presence. In addition, some non standard promo activities may be held outside the shop in order to attract the audience to enter. Also, advertising in local media is advisable in order to increase boutique’s popularity and its brand knowledge among the local community.
In terms of digital marketing, fashion industry was quite conservative in it relation towards the digital marketing, but in the recent period fashion companies have understood the opportunities of interactivity and personalization provided by the brand’s digital presence and the advantages of digital platforms for the fashion brands and they began to introduce their digital marketing innovations aiming to build a powerful digital presence.
The target audience of the fashion boutique is the women and men, 25 ”“ 55 y.o. with the average+ income. It should be noted that the people with high income usually aren’t interested in the participation the internet audience researches and therefore their share in the certain website audience is hard to assess. The choice of websites for using in the digital marketing campaign for fashion shop therefore should be based on the general media indexes of the websites such as a monthly number of visitors, unique visitors, frequency of visits and also on the affinity index which characterizes the level of correspondence of the site audience to the target audience.
The company will have an online shop as well. Company’s Website often starts out its life as just one more way to ‘advertise’ and provides a point of contact with potential and existing customers. But pretty soon it gets to be more than that. The focus builds on ways for visitors to enjoyÂ the experience and the site is used to try to build closer relationships with them. Attractive website is vital for any fashion company because it forms customers’ perceptions. In addition, it is considered that the Web is perhaps a natural home for advertisers who sell directly through the Internet.
The usage of social media will allow the shop to attract the attention of the target audience immediately and also to distribute it further to other users without the support of the company-producer. Other social media opportunities for the fashion boutique include fashion and life style podcasts, participation in the fashion forums and especially fashion blogs, picture and video sharing, and others. The recommendation to develop the presence of the brand in the social media is a wise one, because it’s potential is tremendous, and the better brand will feel itself in this new social relations, the better brand-knowledge, brand reputation, customers’ loyalty the brand will obtain.
Additionally, company will use context advertising which allows targeting specifically those users that are interested in fashion shops (the decision of the textual advertising appearance to the certain user will be made by automated systems based on the content displayed to the user).
- 5.Â Â Â Â Required budget for the business
Estimated budget required for the launch of small fashion boutique in one of the UK’s cities is GBP 30Â 000. Obviously, the final coast will depend on the chosen location of the shop (different areas even in the same city have different values).Â Monthly expenditures will consist of wages, tax and national insurance, insurance, rent, utilities, telephone and other necessary costs.
- 6.Â Â Â Â Possible risks involved in this business
Possible risks that may emerge were described in the analysis of environment include the rise of existing competitors and possible appearance of new competitors. Also threats may include a high level of unemployment, rise of inflation and the level of domestic interest rates, tax policy changes or credit rate increasing.