Description of Store:
North Beverages is a store that will be opened in the Commons Corner of North
Park Secondary School. It will have 2 storage room connected and a large room
to operate in. The products are a large variety of smoothies, fruit juices, herbal
teas, bubble tea, coffee, espresso’s, cappuccino’s , candies and snacks.
Are they needs/wants?
These are needs and wants. Individual’s need to eat and drink to survive but our
products are also wants because there are many other options for the students
and staff at North Park Secondary School.
Why did you decide on these products?
We decided on these products because beverages and some snacks are
something’s that everyone eats/drinks. People of all age groups will buy these
products because everyone drinks and eats. We have noticed that the staff and
students of North Park have a taste for these products. We have noticed the staff
with coffee a lot and the students with slushies alot especially in the summer
time.
What will you name the store?
We will name our store: NORTH BEVERAGES
Competition-North Beverages will be selling many beverages and snacks. The
Cafe is also located inside of the school so it is easy for the students to buy the
products. Our prices are cheaper than the ones from the Cafeteria so people will
prefer to buy them from North Beverages. There are also stores located outside
of North Park that sell the same products such as Hasty Market, Foodland and
Bramalea City Center. These are located at a minimum of 5 minutes from the
school so it will still be easier to purchase those products from North Beverages.
Target Market- Our target market is the students and staff at North Park
secondary school. Since individuals that are not attending North Park are not
allowed inside the North Park students and staff will be ones that will mostly buy
our products. To purchase a beverage such as a smoothie or coffee you can get
it from the cafe, which is expensive. There are stores outside that can also
provide these products to the students but to get there people will need to walk
about 5 minutes and getting it from North Beverages is more convenient.
Competition-North Beverages will be selling many beverages and snacks. The
Cafe is also located inside of the school so it is easy for the students to buy the
products. Our prices are cheaper than the ones from the Cafeteria so people will
prefer to buy them from North Beverages. There are also stores located outside
of North Park that sell the same products such as Hasty Market, Foodland and
Bramalea City Center. These are located at a minimum of 5 minutes from the
school so it will still be easier to purchase those products from North Beverages.
Risk Assesment: Before beginning our venture, North Beverages will face many
potential problems such as finding employees with the right skills to make sure
the business will be successful. As it will be a new store with new products
being offered, gaining a large amount of customers will be tough. Once North
Beverages gains customers, potential risks may arise concerning the business.
Originally when the commons corner was first opened, the store it had faced
theft and vandalism. These were the main reasons as to why the store shutdown. These are very evident problems that North Beverages may face now.
Another risk that the business may face is price conflicts. The company has
many competitors in and around the school that may interfere with the sales at
North Beverages. The managers of North Beverages had gone to each of the
company's competitors and observed their prices. Although North Beverages
prices are lower than our competitors, some hold different promotional offers. To
avoid this, North Beverages has better and more distinct promotional offers and
specials that, according to an online survey, many North Park students and staff
would prefer.
The company’s competitor’s reaction will be to change their pricing strategies
in an attempt to bring back their costumers. They may also introduce new foods
to attract the student and staff populations attention. Competetors outside of
North Park such as ‘Hasty Market’ will most likely try new promotions strategies.
The overall reaction of our competetors will be that they will want to take
immediate action to shut-down our business so there will be less competition for
them.