Assignment reflects about the managerial aspects & business planning of Garcia’s Sweet Delights

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Garcia's Sweet Delights is a new organic bakery firm which specializes in providing gluten-free products that provide a healthier outcome for the people. The firm is going to start their business in the US market especially in the high traffic area of the Spring Market. According to the food industry analysis, the innovative idea of providing healthier products will easily increase their demand in the bakery products within three consecutive years. By following the market analysis, it is seen that US people suffers from various health problem and therefore the firm had made these healthier bakery products. In relation to the market analysis, the firm will target three market segments such as those people who are food allergic, the dietary people and the doctor dietary people those who suffer from various health-related problems. In order to cope up with both direct and indirect competitors, the firm introduces various marketing and sales strategy that will help them to increase their business growth in the next three consecutive years. Furthermore, the management, operational and financial plan for the next three years will also be discussed in this paper.   

Industry Analysis

Garcia’s Sweet Delights competes with the Food Service Industry of the United States. Therefore, it generally competes with the other organic and non-wheat bakeries and sweet or desert firms in the food industry. Apart from this, it also competes with all the delis, restaurants and supermarket for a share of its consumer food dollar. Garcia’s Sweet Delights is mainly concerned with the competitors in the food industry, so they differentiate their products and services with an organic and healthy focus (Abdullahi, Abubakar, Aliyu& Umar, 2015). The healthy and organic bakery product of this firm will, therefore, provide huge benefits to the consumer because in present-day people are attracted towards healthy as well as organic products. The bakery firm is opening a new niche in the food industry, so it is clear that they have to compete with smaller and larger bakery business in the market. Competition in the local area is spare because the consumers of the United States are looking for a high quality, classy and unique product that provides them with healthy outcomes. In relation to that, the bakery firm will make an organic product with some special variables such as frozen cake and so on that can easily help them to compete with other bakery firms in their business(Chakrabarti-Bell, Patel, Ng & Hawkins, 2017).

According to the industry trends, most of the bakery firms offers bread, cookies, muffins, brownies as well as non-wheat goods. Therefore, the major concern of this bakery firm is to make their products different in comparison to the other bakery product of the food industry. For introducing these differentiated products category, the firm is going to incorporate varieties of non-wheat product so that it increases their customer base as well as it increases their business growth in the market. In other words, it is mainly seen that in current dayspeople are fond of gluten-free products and keeping that in mind, the firm makes their product in such a manner so that it fulfills all the needs of the consumer. As the Garcia’s Sweet Delights offers bakery products so the estimated industry sales rate will increase from 30% and of 50% in the second and third year respectively. Besides this, the firm will plan to increase their weekly sales by 10% so that it easily enhances their business growth in a few months. In addition to sales through company-operated bakery firm, the Garcia’s Sweet Delights introduces a new strategy to increase their estimated sales in concerning to the present industry trends(Hu, Lee & Zhou, 2015). With the help of innovative strategy and differentiated products and service approach the firm Garcia’s Sweet Delights can easily increase their estimated industry sales in the market. 

Market Analysis

Garcia’s Sweet Delights mainly focuses on the customers of the local markets with a special focus on other bakery firm, restaurants, and supermarkets in the US market. The US market provides an excellent climate for the bakery firm, and therefore the Garcia’s Sweet Delights bakery firm will easily enhance their business growth in the market(Chukwuma, Ezenyilimba& NO Agbara, 2018). In the present day, the Spring Market of the United States consists of various bakery firms and restaurants that sell sweets and bakery products therefore in order to compete with this firm proper market investigation is needed by the firm.

Market Segmentation

As the Garcia’s Sweet Delights makes healthy and organic products, therefore, the firm mainly focuses on three significant consumer groups, and they are the Doctor Diet group, the allergy group, and the diet craze group. All these groups consist of both local residents as well as the tourists that mainly visited the Spring Market of the US.

The Doctor Diet Group- In the present day, people are very health conscious and due to this reason they often like healthy as well as organic products. In addition, many people are often warned off certain foods by their supervisor or doctors because of their high blood pressure and cholesterol(Harth, Van Kerrebroeck& De Vuyst, 2016). Therefore, the bakery firm manufactures both healthy and organic products for this group of people, and thereby it increases their consumer base too. According to the American Heart Association in today's environment, most of the people in the US suffer from heart disease and concerning to that Garcia’s Sweet Delights bakery firm provides healthy product for this people.

The Allergy Group- In concerning to the Health Magazine of the US, about one of the four people suffers from various types of food allergy and therefore, the bakery firm manufactures products that are non-allergic to the people. Hence, it will also help them to increase their competitive advantage in comparison to the other restaurants or bakery firms in the local market.

The Diet Craze Group- As per the Self Magazine of the US, it is seen that most of the peoples of this country follow the proper diet in order to maintain them healthy(Jung, Zhu &Gruca, 2016). Therefore, the Garcia’s Sweet Delights bakery firm introduces a healthier product for this group of people so that they easily fulfill the needs of diet craze consumers and thereby enhances their business growth too. It is seen that this group of the target market is quite large and it is ever fluctuating so fulfilling this diet craze customers' needs is not so easy, but the firm tries their best to provide gluten-free products. 

Target Market Strategy

The target market on the basis of demographics mainly focuses on the three potential groups such as doctor group, allergy group, and the dieter's group. It is seen that both the doctor and allergy groups constitute a smaller portion of the consumers while the dietary group constitutes the major part. According to the market, the firm generally establishes in the Spring Market of the US, and the bakery firm main strategy is to target the older group of customers of age ranging from 50 to 65 years.

The firm mainly targeted this age group of consumers because they generally manufacture healthy and organic bakery products which can easily attract this consumer group(Kapelko, 2017). In addition, they also make a different designer cake, and bakery products for children's like cartoons, fairy tales and therefore they also targeted children of age between 5 to 15 years. Besides this, for the dietary people of age between 20 to 30 years, they make healthier and high-quality bakery items of various flavors. Therefore it can be said that their main target is the three potential group of people and they make products only to satisfy the needs of these groups of people.  

Market Needs

The Spring Market of the US provide a favorable climate for the bakery firm, and therefore the Garcia’s Sweet Delights bakery firm will easily increase their demand in the respective market(Kapya, Conradie& Black, 2018). According to the market needs, the people of this country are mainly interested in healthier products and following that the firm manufacture organic and healthy products for the peoples. 

 Competitive Analysis

In the Spring Market of the US competition of the bakery firm is quite high, and therefore, the Garcia’s Sweet Delights bakery firm will provide a differentiation approach in their product so that it increases their competitive advantage in the market. The people in the US are looking for healthier, unique and high-quality product that provide them a classy experience and they easily maintained their health(Kato, 2017). The market analysis shows that both the direct and indirect competitors such as bakeries, restaurants, and supermarkets have an established position and theyeasily increase their business growth. Therefore in order to compete with this companies and to overcome any entry barriers the firm is offering a completely new experience and higher quality products for their consumers. By these innovative ideas of incorporating healthy as well as the organic product will easily increase the competitive advantage of this bakery firm in comparison to both their direct and indirect competitors(Náglová&Horáková, 2017).

It is noticed that the competition of a bakery firm in the international market is high and therefore, in the beginning, some risks of enhancing the business will occur to this new bakery firm. In order to reduce the risk and to provide a high competition with other bakery firms in the market, they will appoint professional chefs those who have good knowledge regarding the use of the organic product. Hence, with the help of this chefs, they use higher quality organic flours to create gluten-free goods that easily increase their targeted customer base in the Spring Market of the US. Therefore, it can be said that with these innovative strategies the bakery firm not only enhances their competitive advantage but it also helps them to overcome the entry barriers of the chosen market.   

Marketing Plan

The marketing plan of this Garcia’s Sweet Delights bakery firm is to provide a unique experience to their targeted customers and became one of the leading bakery firms in the Spring Market. According to the marketing strategy of this firm, the advertisement of their healthy and organic products will be reached to the respective consumers through newspaper advertisements, fliers or leaflets and also by promoting their products in various markets in holidays. In other words, the business should be located in a high-traffic retail area of the Spring Market in the United States so that it easily promoted their products and services in the resident consumer groups(Markhayeva, 2016). Another marketing strategy will be that the firm will arrange campaigns in big cities of the US that help them to understand the needs of their potential consumers, and thereby it helps them to promote their business in this country.Besides this, the firm will also advertise their products on television and social media site to grab the attention of their targeted potential consumer base. Garcia’s Sweet Delights will generally target the affluent, progressive and well-educated consumers who are interested in trying newproducts and experiences in concerning to maintain a healthy life.   

Sales Strategy

The sales strategy of this Garcia’s Sweet Delights focuses on building a larger number of consumer base by providing them a good experience. With the addition of gluten-free and designer products of various flavors can enhance their targeted consumer base, and this may influence them to be one of the leading bakery firms in the Spring Market of the US(Olper, Curzi& Raimondi, 2017). Another sales strategy of this bakery firm is that they wanted to be known as a place where all sorts of healthier and organic products are found. This sales strategy not only grabs the attention of their targeted consumer group but also makes this firm famous in this particular market. According to the sales strategy, the firm also appointed an experienced service team those who know and possesses a friendly attitude towards people so that it also enhances their products sells in this Spring Market. Besides this, the bakery firm will provide an exceptional product at an affordable price so that every consumer can buy their innovative products, and thereby it increases their sells too. The yearly total sales chart and the pricing plan of this bakery firm is provided on the basis of the sales forecast and milestones respectively. 

Sales forecast- The sales forecast of this Garcia’s Sweet Delights firm is given below:

        In the US market, during the summer season, the bread sales will be slightly higher because a large number of people will be having picnics and BBQs at that time(Rezitis&Kalantzi, 2016). Therefore, the sales rate of this bakery firm will be higher at that time

        In other words, pastry and bread sales will be higher in November and December because of the presence of food-oriented holidays

The sales forecast shows the cost of sales is mainly based on the average food cost of the important foods items of this firm. The main strategy of this bakery firm is to provide low costs and high-quality foods that easily enhances the profitability of their business in the Spring Market.


The main plan of Garcia’s Sweet Delights is to increase their profit by 15% within the first year of their operation. The main goal of the firm is to reinvest and expand their stores in major cities of the United States(Shee&Stefanou, 2016). Therefore, in order to increase their sales as well as position, they incorporated the innovative bakery product and appointed experience chefs and staffs those who know about making organic and healthier products and handing the consumers respectively. Their main motive is to invest in a new market to develop their store and be directly rewarded for their profitability. 

Management Plan

Garcia’s Sweet Delights will be slow in hiring employees in the first few years of their operations, but they will appoint loyal staffs for their firm. Initially, the employees will have to be experienced in their roles and possess all sorts of capability to manage the functional operation of this bakery firm(Shein, Bell & Whitaker, 2017).As the firm grow their business, the new employees will be supervised and trained by the older as well as original employees of the management team who have promoted to a higher position. With proper supervision and training, the employees can easily understand the motive of the firm and thereby they will provide their best effort to grow the business.

Personnel Plan

Once the bakery firm becomes established in this Spring Market, and the cash flow statement is ready, then the management team or older employees will appoint a person for counter help and another assistant baker respectively(Zhang, & Wei, 2015). The main motive of this bakery firm is to promote from and select the best employees for their business growth.

. The firm increases their employee’s number by following the demands of the respected business. By following this appointing philosophy, the firm will be able to operate with lesser but productive staffs and reward them according to their performance. Therefore, proper rewards and supervision will help this firm to increase their consumer base, and they easily expand their business in various cities of the United States.  

Operating Plan

The bakery firm is going to start their business in the high traffic area of the Spring Market in the country of the United States. For starting the bakery firm, all sorts of kitchen utensils and bakery instruments are needed by the firm(Slukova, Kubin, Horácková&Príhoda, 2016). The company started with employee numbers of 4 people one is the chef, 2nd one is the assistant chef, the 3rd one is the manager, and the last one is the accountant. From that time they are going to operate more number of staffs in the second and third year of their operation and thereby increases their employee number from 14 to 97 people at the end of 3rd year.

The type of employees needed in this bakery firm is mainly assistant chef, managers, pastry bakers or baking staff, counter helper (full time), busser or dishwasher, kitchen staffs, waiter or waitresses, assistant baker (part-time) and a host. If all these employees are hired by the firm in the next consecutive years, then the bakery firm can easily increase their position and may be one of the leading bakery firms in the United States. In other words, at the beginning of the business, the inventory requirement for the firm is a store with a chef and all the necessary items required for baking purposes(Thomassen, Smith, Seiler &Schiraldi, 2017). Before starting the business, the firm has to make a good relationship with both internal and external supplier so that if any sorts of problem occur in future, the firm can easily handle this with the help of these suppliers.

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