Feasibility Study for a Coffee shop

Feasibility Study for a Coffee shop Order Description – Feasibility Study In 1,750 words undertake a feasibility study to explore the potential viability of a business idea or social enterprise and present your findings. You are only allowed to go above or below this word count by 10% otherwise marks may be deducted. Marks will be awarded as follows: • Introduction to the business idea (10%) • Establishing the feasibility of your idea (10%) • Market research and competitor analysis – is there a demand for your product/service? (20%) • Financing an enterprise – how much do you need and where will finance come from? (10%) • Operational issues – getting your product/service to market (10%) • Pricing strategy – engaging with the market (10%) • Summary and Recommendations (10%) • Use of resources and research (10%) • Structure, style, language and presentation of work (10%) My idea is a coffee shop *Consider the risks may I will have it. *Price your product or service: Knowing the difference between cost, price and value can increase profitability: • the cost of your product or service is the amount you spend to produce it • the price is your financial reward for providing the product or service • the value is what your customer believes the product or service is worth to them For example, the cost for a plumber to fix a burst pipe at a customer's home may be £5 for travel, materials costing £2.50 and an hour's labour at £10. However, the value of the service to the customer - who may have water leaking all over their house - is far greater than the £17.50 cost, so the plumber may decide to charge a total of £50. Pricing should be in line with the value of the benefits that your business provides for its customers, while also bearing in mind the prices your competitors charge. *Areas Covered by the Task • Competition • Customers • Price • How can we reduce costs? • How can we avoid costs? • How can we increase revenue? • Location (near to the any university) • Brand • Advertising • Finances • Risk