Introduction Phase: Tactical Plan
Entrepreneurs strive to develop a tactical plan detailing the mission and vision of their anticipated organizations, existing rival companies, the projected average profitability, and the scope of operations among others. This paper offers a comprehensive analysis of the above elements with a focus on Dough Pizza, which is a new outlet ready to be opened in Lynchburg, VA.
The Nature of Business and Products Offered
Dough Pizza is a business that seeks to satisfy clients’ desire for affordable and high-quality fast foods. The busy schedule of many contemporary families and students has left them with limited time to prepare meals. The proposed business will seal this gap by providing delicious fast-food products at reasonable prices.
Specifically, Dough Pizza will offer a variety of fast-food items, including pizzas, sandwiches, and salads among other delicacies. These products will be customized to match consumers’ tastes and preferences (Bamford & Bruton, 2018). Therefore, Dough Pizza’s commodities will be unique as depicted through its commitment to offering clients the opportunity to select their preferred product sizes, colors, and even prices.
Dough Pizza’s Mission Statement and Scope of Operations
It is crucial for businesses to clarify the purpose they were established to serve, including the objectives of their operations and the targeted customer base. This message is presented in the form of a mission statement, which, in turn, has to be in line with the respective organization’s vision (Bamford & Bruton, 2018). Dough Pizza’s mission entails providing delicious and affordable pizzas, salads, and sandwiches that satisfy its customers in a student and family-friendly setting. This mission indicates the company’s agenda of ensuring that the local community and students never lack their favorite fast foods at any given time of the year.
Regarding the scope of operations, Dough Pizza intends to focus on pizzas, salads, and sandwiches, which seem to be in high demand among present-day families and college students. Moreover, these products will be limited to clients in Lynchburg, VA. To differentiate itself from its rivals, this company plans to offer products with sizes and colors that match customers’ requests. This strategy implies that all clients will be assured of acquiring pizzas and salads among other specials whenever they visit the outlet.
Industry and Key Competitors
Dough Pizza will operate in the restaurant sector, specifically the pizza industry. The increasing demand for fast foods in contemporary society reveals why this sector has been growing steadily over the years. Consequently, Dough Pizza has a high probability of performing well in this industry. However, such an achievement will primarily depend on its capacity to differentiate its products from those of other rival companies.
The business is expected to compete with organizations such as Papa John’s and Dominos. In addition to being well known and fully developed, these companies have been operational for a long time. Hence, the new outlet will need to establish carefully planned marketing and differentiation strategies to ensure that it remains profitable and, consequently, operational in the restaurant industry.
Dough Pizza’s average profitability in the marketplace is expected to be approximately $96000 for the first year. This amount is achievable if proper marketing tactics are deployed such as the use of social media platforms (Flórez, Escobar, Restrepo, Arango-Botero, & Valencia-Arias, 2018). Hence, in addition to the cost of establishing operations in Lynchburg, a start-up outlet such as Dough Pizza will need to factor in other expenses of roughly $20000. For instance, print and televised advertising activities may cover almost $4000 while the production of flyers and brochures to be delivered to college students in the nearby university is projected to consume close to $5000. The anticipated profitability cannot be achieved without investing in public relations, website development, and roadshows. As a result, it will be vital for Dough Pizza to allocate another $11000 to cover these costs.
The Proposed Business Site and Cost of Establishing Operations
Dough Pizza will be located in Lynchburg, which is a city in Virginia. This business site has been selected due to its huge customer base. Specifically, Lynchburg has a population of close to 79000 people (Whitehouse, 2018). Moreover, the city has famous academic institutions, including the University of Lynchburg and Liberty University, from where the proposed outlet plans to get some of its clients (MacGillis, 2018). Factors such as Lynchburg’s rising population and Dough Pizza’s proximity to an academic center indicate the company’s strategic location on this site.
It will be imperative to acquire a business license at a cost of approximately $50. In addition, registering the company using the selected name, Dough Pizza, will require about $12. The issuance of a business permit in Lynchburg is only limited to companies that record gross purchases of more than $10000. Dough Pizza’s management team may consider this question, “Suppose one of you wants to build a tower, won’t you first sit down and estimate the cost to see if you have enough money to complete it?” (Luke 14:28, New International Version) when assessing its readiness to open the new business.
Conclusion
Every venture is established with a view to fulfilling a particular need in the market. This paper has focused on Dough Pizza, which is a business outlet proposed to operate in the restaurant industry in Lynchburg, VA. Some of the key competitors in this sector include Papa John’s and Dominos. The company’s operators will need to understand the cost of conducting business in this region, including marketing strategies that can guarantee the achievement of the anticipated profit of $96000.
References
Bamford, C. E., & Bruton, G. D. (2018). Entrepreneurship: The art, science, and process for success (3rd ed.). New York, NY: McGraw-Hill Education.
FlĂłrez, L. E. G., Escobar, M. I. C., Restrepo, A. H., Arango-Botero, D., & Valencia-Arias, A. (2018). Influence of social networks on the purchase decisions of university students. Cuadernos de GestiĂłn, 18(1), 61-84.
MacGillis, A. (2018). How Liberty University built a billion-dollar empire online. The New York Times. Web.
Whitehouse, F. R. (2018). Generation Solutions of Lynchburg (B). Atlantic Marketing Journal, 7(1), 103-112.