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Juicefrozy Company Market and Management Analysis Report (Assessment)

Juicefrozy is a frozen drink machine rental service. This service specializes in church functions, children and adult birthday parties, weddings and barbecues, etc. It plans to set up concession services at local and fundraising events within the state. The frozen beverage is supposed to have alcohol to be included in its composition, but it is enjoyable without it as well. However, if the customers choose to have alcohol in their drinks, they must purchase it and add it in themselves. This is a unique service for the area; however, frozen drink machine rentals have been growing throughout the nation. The chosen beverage concentrate has natural flavorings and few preservatives. This makes the concentrate far superior, both in quality and in taste, comparing it with the other brands in the market. The company seeks to provide a quality product far beyond what is found at convenience stores which offer frozen drinks.

Juicefrozy delivers the machine that has everything necessary for making the gatherings become a real success. The cart delivery includes 200ml cups, straws and salt. The only things the customer must provide are the place to arrange the meeting and the friendly environment for the attendees to feel comfortable and free. Delivery also includes the mixing of the first batch. This is the stage when the customer can add some alcohol to his or her drink. The cart provided by Juicefrozy is easy in delivery; moreover, this factor minimizes as well the chance of any furniture damage. The cart has a deep tray which will help contain spills, and further to reduce furniture or carpet damage. Next morning’s pick – up is provided for the rental cost, and will be performed at a time convenient for the customer.


The objectives for this business are the specific goals which are achievable by Juicefrozy in the first few years. These objectives are mentioned below. First of all, it is necessary to increase the number of machines from the current three to eight ones in the next two years. The second goal is to go full time within the first nine months. And finally, the last aim the company is to achieve is to gain a market share within the state.


Juicefrozy will provide the community with an alternative beverage to be served for any age group at any event. We will provide delivery, which includes complete setup of the machine as well, and make the first batch of mix for the customer. Machines will be delivered well in advance of party time so that the mix will be ready in time. The following facets of Juicefrozy ensure its success. The company guarantees unique services, unmatched in both quality and presentation. The customer will be surprised with the low operating overhead. Moreover, the consumer will make sure on his/her own that this machine is a beneficial word of mouth advertising. Additionally, Juicefrozy appears to be a healthy, versatile drink which is suitable for all the ages.

Company’s summary

Juicefrozy is a new company in this area which provides frozen beverage machine rentals to individuals and non – profit organizations. The frozen beverage is versatile because it can be either single or a frozen cocktail. Juicefrozy is created as a sole proprietorship owned by its founder. The company will be operated from the owner’s home.


Juicefrozy offers drink machine rentals with complete delivery, setup and pickup. We will be the first business of its kind in the area. Product quality will include fresh juices served singly or as a cocktail. Juicefrozy has pledged to use only the healthiest and freshest ingredients for our frozen drinks.

Market Analysis Summary

This service will be for everyone who plans a gathering or some meeting as well as even a party. Every household, business, church or event is its potential customer (Ferrell, & Hartline, 2010). From weddings to barbecues, the fun and convenience catch on like a wildfire as everyone at the event will enjoy a delicious frozen drink. Some examples of excellent rental or concession opportunities are churches, weddings, club fundraisers, family outings, group outings. Currently, at these types of events, customers have a choice of purchasing soda or water. And, though these two products can be delicious and cause a lot of fun, there is still something missing apart of these two choices. The company has an excellent alternative; Juicefrozy will provide quality beverage, fresh juices. These drinks are far superior to the taste and more nutritious than soda or water. Moreover, they will add some new flavor to your event and make your party more interesting and unforgettable.

Market segmentation

Juicefrozy company targets at all the segments of the population beginning with children and teenagers and ending with adults. Everyone who will taste these drinks and cocktails will be fond of them irrespective of age because this is a beverage people of all ages can enjoy. It is a fun as well as an affordable alternative to the familiar party drinks that are available, and everyone is used to. The market segmentation focuses more on areas of service than on potential customers. The only limitation will be on how far the company is willing to travel and how much area can be covered through advertising.

Marketing Analysis

Due to the fact that this is a lucrative business, Juicefrozy has no competitors in the market. This is due to the fact that there are no other established companies in the target area which provide similar services. Juicefrozy has the advantage of being the first in the market providing these services as a company in this state.

Target Market Segment Strategy

The Juicefrozy machine rental business is a new concept that will be interesting to undertake and profitable at the same time. In order for Juicefrozy to make any impact on the similar and relative bossiness companies operating in the sphere of entertainment and events’ arrangement, we must focuses on a specific market segment whose needs match our offerings. The target customer is everyone planning an event and wishing to provide an original alternative beverage which will surprise their guests with its new fresh taste.

Market analysis

The party products market is popular and demands quality services. Juicefrozy is able to provide this area with the products and services it is seeking for. The unique nature of a frozen drink machine service demands it to be an indispensable part of any celebration or gathering. The market party product is growing throughout the state as well as some cities. Juicefrozy has the advantage of being a pioneer in this part of the state and its environs.

Service Business Analysis

As mentioned in the previous sections, there is no relevant competition for Juicefrozy at this time. This is a novel business in an exciting, expanding new industry; we care about setting up to reap the benefits of pioneering with this part of the country. That is not to say that the company will be unable to compete with a business offering complementary services. We intend to entrench ourselves so fully in the segment, so that our customers would never dream of using anyone else for their partying needs. That is why it is necessary to mention that our company should never stop developing and rest on the laurels, so to stay competitive in the market, according to David A. Aaker (1998), it is necessary to attain the following aims in the future:

  • capture the trends of consumers;
  • packaging;
  • follow the trends of distributors” (p. 315).

Strategy and implementation summary

The beginning operation of Juicefrozy will be basic with the three machines. It is imperative to the success of the company that smart financial decisions are made, and that the business does not expand too quickly. This could result in not having the funds necessary to operate. Different juices will be added as they become necessary and as market demands.

Competitive Advantage

We start with a critical edge – there is no direct competition at this point. Available options for this area include the snow cone trolley, purchasing the separate ingredients and using a blender to make frozen drinks, or canned purchased at retail shops, Coca Cola suppliers that bring sodas to the gatherings which Juicefrozy is targeting. These options all pale when compared with the lively taste and nutritious quality of Juicefrozy’s frozen beverages. Customers will be reached through advertisements such as business cards, flyers, newspapers adverts, and a website and through word of mouth from satisfied customers. It is our goal to make each occasion the best it can be. By doing our utmost to ensure this, we expect positive feedback from our customers.

Sale Strategy

The Company will provide the first rate service during each aspect of rental, from time of booking, to set up, and all the way through to pick up. Each member of the Juicefrozy team will be adept at both sales and social skills. It is our goal to be the most friendly, knowledgeable business in this area. This will help Juicefrozy become number one in sales, and it will contribute to remaining the one.

PEST Analysis

It is essential that those conducting a PESTLE analysis have sound knowledge of the industry. However, they should avoid just concentrating on issues that have always been crucial in the industry at the expense of other factors or of ‘group think’. They need to be aware of the wider environment and how it might interact with the project (Ferrell, & Hartline, 2010). Further, anyone conducting a PESTLE Analysis for a project should continuously update it to take into account the ever changing nature of the environment in which it is located. As every parent knows (possibly with apprehension), certain trends can be easily discerned over the television programs, especially advertisements.

So it is with a PESTLE analysis; certain trends can be seen from viewing what happens in other countries. A useful tool when scanning the general environment is a PEST analysis. This refers to political, economic, social, and technological factors. It is worth noting that some commentators include the legal and environmental factors, separately, preferring to extend the acronym to PESTLE (Grant, 2005). However, the legal element of the acronym can be subsumed within the political factor. In addition, the use of the last E (which refers to environmental factors) is often meant to signify the effects of our lifestyles on our environment, such as the use of fossil fuels and their impact upon climate change. In this respect, it can be captured within the ‘social’ factor, or indeed within all four factors in one form or another. Therefore, it is not important whether we use PEST or STEP or PESTLE, but it is crucial to understand how this framework can be used and be aware of its limitations. As long as the choice of acronym is clearly defined, we have a consistent approach.

What will PEST do for the organization? PEST analysis is simply another tool to help the organization detect and monitor those weak signals in hope of recognizing the discontinuities or fractures shaping the environment that will ultimately find their way into the competitive environment. It provides a link between the general and competitive environments in that weal signals in the general environment can become key forces for change in the competitive environment (Handlechner, 2008). The political factor of PEST deals with the effects of government policy. In as much as government policy is worked out through legislation, it encompasses all the legal elements of this analysis. This includes items such as government stability, taxation policy, and government regulation. Government stability is not a major issue in western economies. Government regulation does not need to be something for companies to fear. Essentially, environmental regulations, such as reducing pollution, may act to spur competitive companies on to innovate and reduce expenses to counter the increased costs of regulation.

The political instability of a country and poor relations with its neighbors will increase the uncertainly over a project. Countries undergoing civil unrest while possibly providing higher returns make business projects uncertain, increasing costs and risks. Countries that have a general consensus amongst political parties are less likely to cause serious problems for projects during changes of governmental than those that move from a wholesale embrace of free market reform to a centrally controlled, interventions and de-privatized economy (Porter, 1998). Finally, in the political arena, we must not forget that other key stakeholders, such as Trade Unions and Non Governmental Organizations, in a project might exert considerable influence. The questions that those planning of the project must ask in this regard, therefore, are:

  • How stable is the political scene likely to be over the lifespan of the project of the business and beyond?
  • How do the national and local parties view the business?
  • Do you know what are the polices and priorities of thee various parties as they might affect the project?
  • What are the chances of national and local elections occurring in the course of the business or project?
  • What are the chances of change in administration and how will this affect the business?
  • Should an administration not change and what is the chance that its policies might change over the lifetime of the project or business?

The business team as well as forecasting and accounting for such influences will also want to try to manage them (Schnaars, 1998). There will be a greater requirement for more effective consultation with all stakeholders at the outset of the business than it is now. Practice public relations and communication strategy for example will continuously promote the benefits of a politically sensitive project. It will also respond appropriately when problems occur and or are encountered throughout the project’s lifecycle. Managers will need to be given the appropriate training in all these areas. In the case of Juicefrozy, the setting in which the company is located has ensured that the proprietor is able to enjoy the prevailing political circumstances.

Key economic indicators include interest rates, disposable income, unemployment rates, retail price index, gross domestic product, and exchange. However, economic indicators can never provide a complete picture (even of the subset of data they purport to track), but rather give a snapshot and simplification of complex economic phenomena (Turner, 2007). This makes scanning and monitoring the general environment for signs of economic shifts which might impact an organizations’ industry a little.

The strengthening of an economy will generally benefit industries and companies, but the extent of its effect will vary according to the economic factors which are the most affected. For example, the construction industry and manufacturing are the most susceptible to increase in the rate of interest (Henry, 2008). Manufacturing organizations which export goods abroad will be scanning the general environment for signs of appreciation in exchange rates, the effect of which will be to make it harder for them to sell their goods abroad but relatively easier for importers to sell their goods in the domestic market.

Economic cycles and inflation rates can have an effect not just on the cost of running the business but also on its outcome, dramatically affecting its economic viability (Mercer, 1998). Essentially, availability and price off capital will be affected by stock market instability, changes in interest rates, and any ensuing currency may have a bearing on the economic viability of a project.

The questions that the manager of this organization must ask in this regard, therefore, are:

  • What is the current general economic environment like?
  • How stable are the economic conditions over the life of the project and beyond?
  • If there are likely to be changes how will they affect the business in terms of capital funds available as well as business costs?
  • Will there be any change to the reserves need for the business?
  • How will such innovations affect the future operational costs as well as revenues?
  • How will such changes influence the eventual users and or consumers?

The business team will want to forecast such impacts and try to manage them. Some economic risks can be insurable. Other proactive strategies can include borrowing capital from a number of sources, buying foreign currency to reduce exchange risks or forward buying fuel at a fixed price to avoid fluctuating costs.

Social factors include culture changes within the environment and are often referred to as socio–cultural. For instance, the increase in genetically modified food and lobbying from consumer groups forces the government to scale down its introduction of genetically modified crops (Schnaars, 1998). Clearly, such social trends are of great importance to companies which research on and produce genetically modified products. Many have been caught unawares by the strength of consumer response and find that they must first allay consumer fears if they want their products to be fully accepted.

Social factors will largely affect the long term use of the project’s produce and in particular its economic viability. Different demographic patterns, greater social mobility and changes in family and lifestyle can have a dramatic effect. In many countries, there has been an increase in the number of elderly people as a result of higher life expectancies. This company is set up within a social setting which embraces dynamism. Essentially, this gives the company an upper hand since there is no company of this kind which has managed to come up with such an approach to business.

Without doubt, some of the major changes taking place in the general environment that impact the competitive environment are technological. For instance, for small retailer operating in a remote location, the financial outlay of marketing its product to customers nationwide would prove prohibitive (Schnaars, 1998). However, with the advent of the internet, a retailer can access these consumers with a basic webpage advertising of its wares worldwide. It is interesting to note that small family businesses find their goods being demanded far outside their national borders due to advertising their products through the internet and, therefore, the global access to their services.

Technological discoveries supersede established technologies. The rate of change in technology and innovations has the effect of causing new industries to emerge and also changes the ways in which existing industries compete. Technological advances include the internet, the use of sophisticated software, genetic engineering and nano technology (Mercer, 1998). The rapid change in technology has altered the dynamics of industries, such as banking, financial services, and insurance. This has allowed new entrants to enter the market at a lower cost than it has been for incumbents, thereby offering more competitively priced products and services and gaining market share in the process.

The internet has been compared the industrial revolution in terms of the changes it has brought about. The pace of modifications in technology is increasing. Their unpredictability is increasing. Markets are becoming increasingly turbulent. This makes it important to try to detect the weak signals which grow into discernible patterns that have potential to change the ay the industries operate (Handlechner, 2008). Moreover, if tipping points are unexpected, we need to alter our thinking via the use of scenario planning to expect the unexpected. Organizations may not be able to predict these events, but they will be in a stronger competitive position to respond to them once they have occurred.

The questions, which those companies that plan the business venture must ask in this regard, therefore, are (Porter, 1998):

  • What existing environmental policies are there which might affect the project?
  • Are there the best practices in the field that could be used to assists the project?
  • Are there new environmental concerns that might arise and could affect the business process or its continued operations?
  • How could these affect the business process or outcome?
  • Could these influence the way the business is eventually used?
  • What impact does the business have on its community and how can it be managed?

The business planning team must evaluate the environmental impact a business might have at the planning stage, but also continuously monitor and remedy any adverse problems that arise (Turner, 2007). These aspects will ensure that the proprietor of this company is able to market his/her business across the globe. Essentially, with such technological advances, it is worth noting that there is a high likelihood that the company will be able to gain a market share based on the nature of the dynamic service it offers.

Limitations of PEST Analysis

The economic example of some of the limitations of dealing with macro environmental analysis (Turner, 2007). First, PEST analysis is not simply writing a ‘shopping list’ which includes the use of disparate bullet points without consideration of their wider ramifications. In listing the economic factors, one must, for example, clearly draw out the implications of each factor in the general environment, and their increasing unpredictability acts to limit the use of PEST analysis. Some have argued whether the competitive environment has the greatest impact on the firm’s market and products or it does not have any. Whilst the agreement that the competitive environment has the greatest effect on an organization’s ability to achieve competitive advantage, it would be unwise to refrain from analyzing the environment.

SWOT Analysis

SWOT analysis refers to strength, weaknesses, opportunities and threats. Strengths and weaknesses refer to the organization’s internal environment over which the firm has control (Ferrell, & Hartline, 2010). Strengths are aspects where the organization excels in comparison with its competitors while weaknesses are areas where the organization may be at a comparative disadvantage. Opportunities and threats refer to the organization’s external environment, over which it has much less control. SWOT may arise in both the general and the competitive environment. However, the unpredictable nature of events in the general environment tends to make the use of SWOT analysis more problematic.

Taken together, scenario appalling and PEST analysis can help identify the external opportunities and threats which an organization faces. The firm’s internal strengths and weaknesses cab best be determined following the appraisal of its resources and capabilities. SWOT analysis allows an organization to assess its current strategy in light of its changing environment and its competitors, and to help turn potential threats into opportunities and weaknesses into strengths (Mercer, 1998). A key point to keep in mind is that it is the external analysis that precedes the internal analysis of a firm’s resources and capabilities. SWOT analysis can be usefully conducted once the audit analyses of the external environment and the firm’s own internal environment have been completed. Doing a SWO analysis will help the company in identifying the strengths and weaknesses. By knowing the strong points and weak points, the management will be in a position to increase the benefits they posses while minimizing the weaknesses or turning them into strengths. The management will be able to know how to evaluate them in advancement of realizing the company’s goals and objectives. Threats that exist will become crucial in making decisions on what to do and when to do it and to avoid negative impact on the investments.


The strength of this company is founded in the personnel and the management that it has. First and the foremost, the management has personnel who are knowledgeable about the business. This is because they have experience to work in a beverage enterprise in the past.

Secondly, supportive employees are handy to this company. It is worth noting that getting employees for startup companies is not an easy task. However, despite the challenges that are looming, the company has got supportive employees who are willing to see it flourish amidst the prevailing circumstance. The company has got sufficient capital to keep it running for the next eight months which ensures that it will not close down in case of negative challenges


Not all the employees have got the relevant skills. This is a weakness because the company might not be in a positions of employed qualified personnel for now. Owing to the fact that this is a startup company, there is looming fear especially in light of the prevailing economic conditions as to how the company will maneuver through. Furthermore, the fact that this is a new venture exposes the employees and the investors in a worrisome mode wondering how the company is going to perform in the market.


There is a list of prevailing opportunities which seem to favor this venture. They include availability of credit facilities, availability of market, weak competition and supportive regulations.


The main threat of this company is the fact that the current prevailing economic situation might not favor the company growth at the moment.


Organizations must deal with a number of activities and decisions in marketing their products to customers. These activities vary both in complexity and scope. If an organization is to have any chance of reaching its goals and objectives, it must have a game plan or a road map for getting there (Grant, 2005). A strategy in effect outlines the organizational game’s plan for success. Effective marketing in this case requires sound strategic planning at a number of levels in this organization (Handlechner, 2008). The manager or planner must concern himself with macro issues such as the corporate mission, management of the mix of strategic business units, resource acquisition and assignments, and corporate policy decisions.

The marketing plan provides the outline for how the organization will combine product, pricing, distribution, and promotion decisions to create an offering those customers will find attractive. The marketing plan will also concern itself with the implementation, control and refinement of these decisions.

This will ensure that the company develops a corporate advantage based on the information which has been gathered after research (Handlechner, 2008). A competitive advantage is something that the firm does better than their competitor that gives it an edge in serving customers’ needs and or maintaining mutually satisfying relationships with important stakeholders. Competitive advantages are critical because they set the tone, or strategic focus of the entire marketing program.

Market Planning

This is where we start to map out the way the market works. To begin with, draw out the route your product takes to final consumer through the various channels of supply. There are many different reasons for doing this at the analysis stage, such as:

  • to gain an understanding of your current routes to market;
  • to assess potential new routes to market;
  • to establish where your current strengths and weaknesses lie in comparison to those of the competition;
  • to highlight opportunities for growth;
  • to focus on the areas where your position may be at risk;
  • to establish the options for segmentation.

Marketing Strategy Decisions

An organizational marketing strategy describes how the firm will fulfill the needs and wants of its customers. It can also include activities associated with maintaining relationships with other stakeholders, such as employees or supply chain partners. Stated another way, marketing strategy is a plan for how the organization will use its strengths and capabilities to match the needs and requirements of the market (Ferrell, & Hartline, 2010). A marketing strategy can be composed of one or more marketing programs; each program consists of two elements which are a target market or markets and a marketing mix sometimes known as the four Ps ( product, price, place, and promotion). To develop a marketing strategy, an organization must select the right combination of target market(s) and marketing mix(es) in order to create distinct competitive advantages over its rivals.


All organizations Juicefrozy included need to be aware of the events taking place in their general environment and understand what impact they might have on their industry and markets (Porter, 1998). Changes in the general environment can affect the way existing industries compete and cause new industries in the market just as in case with Juicefrozy. Therefore, it becomes important for Juicefrozy to scan and monitor their general environment in order to detect signs of change. Weak signals, which are often difficult to detect, may act as a precursor of discontinuities (Porter, 1998).

These discontinuities may arise as a result of step changes in technology, for example, and represent structural changes that will have an impact on the industry which this company is operating under. If the management of the Juicefrozy is able to deal with tipping points that are unexpected and unpredictable, it must be willing to exceed its limits, think outside its usual parameters and expect the unexpected. In that way, although the organization cannot predict when tipping points will occur, it can at least learn to expect them.

The use of scenario planning will be relevant in this case in order to help the company come up with different ways of thinking about its environment. Scenario planning will involve developing a challenging, plausible, and internally consistent view of what the future might turn out to be. They are not forecasts in the sense that the company will be able to extrapolate using the past data. However, they do deal with the future and provide a tool of analysis for the firm to structure the abundant information that is contained in the present (Porter, 1998). Major benefit of scenarios is to help organizations such as Juicefrozy to recognize the weak signals that signpost changes in the environment, and to enable managers to question the assumptions they hold about the nature of competition.

PEST analysis will also be used for making sense of the company’s general environment. The political, economic, social and technological factors are interrelated. By monitoring changes in these factors, the organization will be more able to position itself to take advantage of the opportunity and mitigate any threats.

SWOT analysis deals with the strengths and weaknesses in the internal environment of the firm, as well as the opportunities and threats of its external environment. It can be applied when the company has undertaken an analysis of its external environment using PEST analysis to identify the opportunities and threats, and when the organization has conducted an appraisal of internal capabilities to determine its strengths and weaknesses, and therefore, its ability to handle external threats and opportunities (Grant, 2005). We have seen a relationship between the general and the competitive environments. Events taking place in the general environment will find their way into an organization’s competitive environment. Therefore, scanning and monitoring the general environment, using analysis tools, such as scenario planning and PEST, will actually benefit the organization in its competitive environment. It will take advantage of structural changes likely to affect its industry (Schnaars, 1998). All important technological trends can be detected and used before they alter the ways in which organizations such as Juicefrozy compete in an industry.


Aaker, D. A. (1998). Strategic Market Management (5th ed.). New Jersey: Wiley.

Ferrell, O. C., & Hartline, M. (2010). Marketing Strategy. California: Cengage Learning.

Grant, R. M. (2005). Contemporary strategy analysis. New York: Wiley-Blackwell.

Handlechner, M. (2008). Marketing Strategy. Amsterdam: GRIN Verlag.

Henry, A. (2008). Understanding Strategic Management. Oxford: Oxford University Press.

Mercer, D. (1998). Marketing strategy:the challenge of the external environment. California: SAGE.

Porter, M. E. (1998). Competitive advantage:creating and sustaining superior performance : with a new introduction. New York: Simon and Schuster.

Schnaars, S. P. (1998). Marketing strategy:customers and competition. New York: Free Press.

Turner, J. R. (2007). Gower handbook of project management. Hampshire: Gower Publishing, Ltd.

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