QUESTION ONE: Canadian business environment
Canada offers a competitive business environment suitable for investment. It is the best ninth country among sixty world largest economies. The environment is welcoming with a highly educated workforce and strong economic growth record (Wesson, 2007). For instance, the country recorded a 0.6 expansion in economic growth in the first quarter of 2016.It has a sound and stable banking system which is also conservative and one of the strongest in the world. The research and development technology is highly developed and competitive. The country is multicultural hence suitable for foreign investment. It offers quality universal health, education and overall living conditions. The economic structure is highly developed and diversified. The economy is characterized by high industrialization and urbanization due to high manufacturing and mining activities in the country (Wesson, 2007).
The country has abundant natural resources with minerals and energy industries becoming the center of its economy. It is the largest exporter of energy holding the largest oil and gas reserves in the world. It is also the largest supplier of agricultural products in the world. However, the Canadian economy is highly dominated by the services industry such as business, health, retail and education, which has developed due to technology. There is a strong trade relationship between India and Canada based on bilateral trade agreements (Wesson, 2007). India has exported products worth 2 billion to Canada and there economic ties are expected to grow over time. However, in order to ensure strong ties, the India and Canada are holding Comprehensive Economic Partnership Agreements (CEPA) negotiations to improve economic relations. The government of Canada consists of the federal and provincial governments. The federal government is the one responsible for matters concerning business, currency, banking, trade, transportation, commerce and external relationships.
Reference
Wesson, T. (2007). Canada and the new world economic order: Strategic briefings for Canadian enterprise. Concord, Ont: Captus Press.
Question 2: Opening an organic grocery store in Canada
The first reason why this business would be successful is because I have adequate experience in dealing with food products from my previous work experience. Besides the healthy food market is on a continuous growth rate in Canada due to awareness by many consumers on healthy eating. This can be attributed to the high level of obesity and aging population in the country. The government has also put in necessary efforts to educate the public on the importance of healthy eating. Therefore, consumers are now attracted to organically produced food which is proven healthy and nutritious to human being (Wright & Sainsbury, 2007). Due to this increasing concern on healthy lifestyle, the opening if an organic grocery store will definitely attract many customers and become a successful business.
Some of the ethical concerns to consider will include food safety, supplier standards, public health issues and employee relations. The business will strive to ensure high quality food products, with good storage conditions and correct labeling. Food safety will be number one priority beyond financial concerns. We will establish a close relationship with the supplier to ensure their foods are indeed produced organically under suitable conditions. The business will also ensure total compliance to public health requirement and regulations such as hygiene requirement (Wright & Sainsbury, 2007). The employees will be treated well and given a favorable wage for their work.
The form of business I would propose is partnership with my former high school friend. This will make it easy to contribute the starting capital for the business which will give room for its flexibility and potential growth. There are no complex procedures involved in forming a partnership and therefore the simplicity makes it a suitable choice. The two of us will share the various responsibilities and hence good management of the business (Wright & Sainsbury, 2007). A partnership will allow the making of quality decisions because we will help each other in the decision making process.
The reason why I think I will be a great entrepreneur is because I have adequate knowledge of the Canadian grocery market. This will help me provide the most needed grocery products to the customers hence matching the demand. My personal characteristics also give me an upper hand. For instance, I am a highly motivated person with positive outlook to life. I am versatile, self-driven and tolerant. I am also flexible, open-minded and possess good business skills.
Reference
Wright, S., McCrea, D., & Sainsbury's (Firm). (2007). The handbook of organic and fair trade food marketing. Oxford: Blackwell Pub.
Question 3: New management
The new management structure would be the functional organizational structure whereby the organization will be divided in smaller functional groups based on specialization. This can be in terms of departments such as marketing, procurement, human resource, IT and accounting departments. This management structure is effective because the company is able to benefit fully from specialization (Reynolds & Holwell, 2009).The departments are run by experts and hence maximum utilization of employee potential. Coordination of jobs under specific units is also made easier and more organized. This increases the efficiency and effectiveness of the management team. There is also low wastage of resource due to minimal duplication of efforts and resources. It is also easier to identify training needs and provide for them at each departmental level.
In order to maximize efficiency in the company, I will focus on reduction of labor cost by cutting down on time wastage and improvement of work flow process. In order to reduce the cost of inventory, I will facilitate the reduction of work in progress inventory and safety stocks. I will purchase new technological equipment and replace the old ones to ensure optimal use and utilization of equipment. We will due timely focus into the market changes and expectations through quality market research (Reynolds & Holwell, 2009). Employee motivation during the change will include their maximum involvement and participation in the whole process. The company will also facilitate employee training to provide additional learning on the new management structure. The company’s goals will be aligned with the employees’ personal goals to increase motivation. Open communication will be encouraged through the question-answer program to ensure the employees get the most needed answers to the ongoing change hence reducing doubts (Reynolds & Holwell, 2009). The key points to consider in the change to the new structure include the organization culture, the cost of change, the company’s objectives and the existing trend in the industry.
Reference
Reynolds, M., & Holwell, S. (2009). Systems approaches to managing change: A practical guide. London: Springer.
Question 4: Marketing plan executive summary
Root Company, Canada, deals with the selling of children, men, and women’s clothes, footwear, and handbags. The target market includes athletes, casual people and children. Our main competitors are the Gap Inc. and the American Eagle in the USA. The company targets the athletic market by producing quality sweat pants for their work outs and supplies to most athletic departments. The casual wear such as t-shirts, jeans and sweaters are meant for the casual people. They come in various sizes, colors, designs and qualities to increase the variety of choices for the consumers. Kid’s wear are also significant products which sell highly and promote the company’s revenues. Our product strategy concentrates on the graphic designs, patterns and fabric. The company uses high quality fabric materials to produce its products. The designs and graphics are unique, fashionable and creative based on the target customer. The company works closely with the sourcing and technical departments to ensure quality products (Doole & Lowe, 2008). The graphics and design team work closely with the management and technical team to produce high quality clothing and handbags. The company takes full responsibility to manage the whole production process up to the selling process. Our strategy market place includes Stone road mall, York dale shopping center, Belleville mall and Metropolis at Metro town. Our promotional strategy is coupons which entitle the customers to buy our products through with discount. The company uses the far-reaching pricing strategy in its various stores to meet the needs of the consumers according to their budget.
ReferenceTop of Form
Doole, I., & Lowe, R. (2008). International marketing strategy: Analysis, development and implementation. London: Cengage Learning.
