Company Description and SWOT Analysis

RUNNING HEAD: COMPANY DESCRIPTION & SWOT ANALYSIS

COMPANY DESCRIPTION & SWOT ANALYSIS

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Introduction

Basically a smoothie is a drink made from vegetables or fruits, generally with added liquid like milk, yogurt or juices and flavoring of sugar, honey or spices. The advantage of smoothies against juice is that they include the whole vegetable or fruit which means that they provide fiber that is necessary for maintaining a healthy digestive system(Levy & Tapsell, 2007). Another benefit related to smoothies is that they are a pleasant and easy way of consuming the recommended daily intake of vegetable and fruits. This business plan is for a Non-Alcoholic Beverages Company offering a unique variety in smoothie drinks. This part of business plan will provide a brief description of our company, mission statement, and trends in non-alcoholic beverage industry, selected strategic position for company, proposed distribution channels, expected risks and SWOT analysis.

Company Name & its Significance:

The name of our NAB Company is Hall Healthy Smoothies. The name is significant as it communicates the unique feature of our products which will include all healthy ingredients. The natural ingredients formula will be helpful to lose weight and have energy required by human body to function well.

Company’s Mission Statement & Rational:

Hall Health Smoothies is an innovative non-alcoholic beverages company dedicated to provide high quality and reasonable priced smoothies made of natural and healthy ingredients. The company is objected to become a go-to place for its target customers including students, faculty members and staff of nearby college and universities that will help them to get a healthy and quick snack or meal. We are objected to make moderate growth, annual profitability and healthy products with unique and exciting taste tailored to target customers’ needs. So basically, our mission is to help in providing energy, weight loss and a better life style.

Trends in the Non-Alcoholic Beverage Industry:

Non-alcoholic beverages industry is expected to experience several changes with better for-you-brands. These changes will likely have an equal impact on large and small companies communicating a story about functions, purpose and ingredients(Osuntogun & Aboaba,2004). Fruit juice beverages and sugary sodas will continue to forfeit shelf space to drinks promising energy and nutrition, while all being formulated with lesser calories from sugar and simpler and fewer ingredients. Moreover, the traditional beverage categories continue to lose base to newer niche concepts. Following are some specific reasons of selecting this type of non-alcoholic beverage:

Strategic Position:

• Increasing demand and interest of consumers in beverages containing natural ingredients
• Increasing trend of using zero-calories beverages
• Capture and unique position in market by offering differentiated products

The non-alcoholic beverage industry is one of the most competitive, dynamic and volatile industry and is susceptible to little variations in behavioral change and perceptions of customers(Kinnucan et al., 2001). Hall Healthy Smoothies will need to develop and employ smart strategies in order to successfully compete and survive in the industry. Our strategy would be to position our company on the basis of following primary features.

The selected strategic position is rather complex one and need smart and precise moves to make plans successful and bring expected results. The strategy need to be implemented in intelligent way to distinguish our beverage from others within the industry. In order to develop a distinguished position within the industry, we will focus on offering a unique taste with full freshness of natural ingredients included in the beverages. We will also hire competent and experienced dieticians and chefs to offer healthy smoothies full of natural freshness of fruits and vegetables. Focus of our efforts will be on providing exactly what if not more than that what is communicated to customers.

• Providing beverages with full nutrition of vegetables and fruits included with natural goodness
• Offering the products and services meeting the highest marks of excellence
• Being truthful to customers by providing what is said and communicated to them

Company’s Distribution Channels:

As our company is at initial stage of its operations, we will not use any formal distribution channels for now. Customers will be served with freshly prepared beverages soon after placing orders. Initially we will set up bars at two different locations near to universities within the selected areas. However, we will offer the option of online orders. Customers can place orders to our dedicated website and orders will be fulfilled within next one hour. The range of online delivery will be within the city at initial level.

Types of Risks (including any Regulatory Risks):

Three types of risks Hall Healthy Smoothies will potentially face include the following:

SWOT Analysis:

• Regulatory Risks: This kind of risks are expected as our company is at initial stage and will need to comply with the requirements of being registered and follow the relevant industry regulations
• Product Risks: This kind of risks can be expected as Food and Drugs Administration have established strict requirements for food and beverage industry which our company will need to comply with.
• Competitive Risk: This kind of risk is expected as the non-alcoholic beverages industry is experiencing intense completion and new firms need to adopt innovative approaches to successfully operate within the industry.

Conclusion

This part of business plan provided a brief description of our company, mission statement, and trends in non-alcoholic beverage industry, selected strategic position for company, proposed distribution channels, expected risks and SWOT analysis.

References

Osuntogun, B., & Aboaba, O. O. (2004). Microbiological and physico-chemical evaluation of some non-alcoholic beverages. Pak. J. Nutr, 3(3), 188-192.

Kinnucan, H. W., Miao, Y., Xiao, H., & Kaiser, H. M. (2001). Effects of advertising on US non-alcoholic beverage demand: Evidence from a two-stage Rotterdam model. Advances in Applied Microeconomics, 10, 1-29.

Levy, G., & Tapsell, L. (2007). Shifts in purchasing patterns of non‐alcoholic, water‐based beverages in Australia, 1997–2006. Nutrition & Dietetics, 64(4), 268-279.