I had always dreamt of this project even before I joined college. I believe it will be my first step towards my dream business world. I think I am a high achiever and as the theory of achievement puts it, I chose this opportunity not because I don’t desire other more significant projects, but because this seems achievable. I would not wish to start on a bigger task with a higher chance of failing and neither do I want to begin with a project that will not pose any challenge on my way. I believe this opportunity has a moderate chance for success.
I am also self- reliant, a virtue that has seen me through most of my smaller projects in my early education. I like getting other people’s advice and new ideas, but the feeling of making my own decisions and being able to face the consequences alone really pushes me forward. Being self-reliant gives control over my life and thoughts. I also get to plan and organize my daily life activities. With control and being independent, I believe I can stay focused on my business project and am very hopeful that this project will be a total success. During the next six months I am planning to spend most of my leisure time attending seminars and talking to people who have tried this business and learned from them.
Question 2.
I firmly believe I can succeed in this business. Apart from what I have learned in class so far, I have also interacted with other people in business in the baking industry. Some of them are my age mates and are doing well. My father also owned a small bakery where I spent most of my childhood and am proud to say that I learned firsthand from some of the best. I would love to produce bread and cakes that free from preservatives which have side effects in the long-run. Unlike many bakeries, am dreaming of products made from natural ingredients only. Almost all bakeries I know of, use preservatives in their business, I honestly don’t know whether the company would be profitable if I go natural like am planning or if customers would love it but am willing to take the risk. After all, how will I ever know if I don’t try it out? To manage my surprises in the business, recently I started supplying doughnuts over the weekends from a bakery in the neighborhood on commission. I believe this helps me learn how to cope with the uncertainty of the market, and help not to over-rely on my plan as well as help learn to embrace the inevitable.
Question 3.
My confidence level on this bakery project is on the ceiling. It is the reason I started supplying on behalf of a different bakery to understand the market. I keep my daily progress records regarding new customers gained and how much commission I make on every trip. I try to avoid bad-mouthing the bakery because I know I need not bring someone down to succeed. I have people who think the idea is a mere joke, but I stand for myself without fear and am pushing through with my plans no matter what. I am expecting stiff competition in the market so I am planning to start small and grow slowly as I assess the market. I am a good speaker, and during my days at my father’s bakery, I learned a lot on how to handle both employees and customers. My communication and collaboration skills are also unquestionable given that since I started the supplying business, I have tripled the number of customers I got in week one. I am planning to continue supplying the doughnuts for the next six months so that I can know more on how to build my interpersonal relationships and to drive away any fear instilled in me.
Question 4.
My business idea is to start a bakery. I am dreaming of becoming the leading bread and cakes producer in the region in the next five years. Since my childhood, I have seen companies take snacks like cakes and also bread, but most of them keep complaining of the preservatives used to make these foodstuffs. These preservatives are associated with many terminal diseases such as ulcers which have become so prevalent in today's society. It is my dream to be able to produce the same products but with use of natural ingredients only. Am dreaming of a healthy state and am determined to be a part of that change. It also beats logic that in the world today there are places that other companies still do not supply their products to due to distance despite the many modes of transport existing. I plan to explore all areas in the region. My motto is”Let us Feed The World,” and it is my driving force towards my expansion in the soonest time possible if all things fall in place.
Question 5.
The employment of bakers is expected to grow by 8% in the next ten years. The increase in population is projected to lead to higher demand for bakery products such as cupcakes, pies, and cakes from bakeries and restaurants. Bakers earned a median annual wage of$25,690 in the year 2017. The industry caters for 2.1% of the Gross Domestic Product of the United States. The production brings more than $30 billion in revenue each year to the country. The products that make up the market segment are
- Pies 2%
- Soft cakes 8%
- Retail bakery products 10%
- Cakes 15%
- Rolls 19%
- Bread 32%
The barriers to entry into the industry include a large amount of initial capital required to purchase equipment, stiff competition from the established brands. However, small bakeries need less money to start and run. Smaller bakeries can attract customers by staring with specialty products such as whole-grain products.
The most accessible path to becoming a baker is through experience in long-term job training. Even though no formal education is required, some bakers begin their careers through apprentice programs or by attending a technical school. The practice mainly focuses on cover nutrition, food safety, and basic math. Some technical institutions require one to have a high school diploma or an equivalent before being admitted. In order to become a baker, certification is only a proof of skills to work at a baking establishment, but they are not mandatory. The most important qualities for a baker are communication skills, math skills, and both physical strength and stamina
Question 6.
The baking industry in the United States comprises companies that manufacture baked goods. Dating dates back to 2600 BC. The Egyptians first did baking in that era. It then followed top ancient Greece before coming to the Roman Empire where the industry now became more popular to the whole world thanks to the global spread of the Roman Empire. The development of machines and the Industrial Revolution led to the growth of the baking industry. The upcoming trends in the sector include Technology and innovation where employees are being replaced with machines and increased efficiency in production. Other current trends include product characteristics which are as a result of changes in tastes and preferences, economy scales of production, and reduction in industry profitability due to increasing costs of inputs. Some of the primary factors that determine the success of a bakery in the market today include the ability to pass on costs to consumers, supply contracts in place for critical issues, proximity to major markets, the establishment of brand names and use of efficient work practices.
Question 7.
According to the IBISWorld, as the economy is recovering the purchasing power of consumers is increasing at an average rate of 0.6%. Consumers are expected to continue changing their eating habits hence higher demands for products like fortified loaves of bread, sprouted and organic sweets and gluten-free loaves. An increase in the stability of the prices of inputs is expected in the next five years. This result increased profitability in the industry. External competition is also growing. In the last five years, imports have been growing at an average rate of 15 per year. However, exports of bakery products have also risen by 9.8% over the last five years.
According to the Best Consumers: Demographics and Consumer demands, households with children lead in the consumption of cakes and cupcakes. Consumption is even higher when the children are high school students. The same family also leads to consuming cookies. Married couples with school-aged children are the best customers for the prepared desserts. Between
Question 8.
Limited Growth- The market for bakery products in the United States is already flooded. Most consumers consider their health before paying for bakery products. My team and I are thinking to produce products that gluten-free and have no unnatural preservatives. We also intend to offer artisan bread which is not readily available from elsewhere.
Opportunities at the early stages of the business. I could like to take advantage of the opportunities available. One of them is to offer gourmet bread which I believe will bring higher profits since we will not have to change to large production to prepare a particular type of bread. Organic baked products are also my main area of production, and according to statistics, the market for organic goods is growing faster than the average industry growth rate.
Unhealthy Competition- I plan to only engage in healthy competition with other firms. In the business, there will be zero tolerance to any under-hand method of winning customers. We will come up with ways of handling firms are competing unfavorably too.
Question 9.
I expect increased quality in production and efficiency with time. I hope to see a more organized display of merchandise, fewer mistakes, and increase in sales. I believe as the employees would be getting better day by day their focus would be to the customers making the business customer-oriented which I hope will result in increased sales. On the other hand, other than planning to find more innovative ways of producing we also aspire to train our employees on how to employ the new techniques and integrate them into our normal mode of production.
We also know the nature of our competitors since some of them have been in the market for a while now. We intend to capitalize on areas where we have economies of scale and engage more in the regions that are considered less profitable by our competitors. Most of our competitors do not produce organic products, so we plan to explore the organic field and mark consumers before other firms venture into it.
Question 10.
In the world we live in today, health is the primary concern. Diseases that were no longer there traditionally are very rampant, and scientists attribute most of these diseases to our eating habits. Many people are suffering from terminal illnesses that can be controlled if not eliminated by watching what we take in. Unfortunately, some of these diseases –causing agents are taken into our bodies without our knowledge thanks to money-hungry businessmen and women whose primary concern is profits. While producing organic products, we would help avoid diseases that caused by the chemicals we swallow as food. Having been raised by a baker, I believed I know the tiny details that have to be added or deducted in the production process to achieve a healthy baking experience. I also possess excellent communication and collaboration skills which I intend to instill to my teammates so that we can all be focused towards a common goal.
References.
Bajaj, B. K., " Manhas, K. (2012). Production and characterization of xylanase from Bacillus licheniformis P11 (C) with potential for fruit juice and bakery industry. Biocatalysis and Agricultural Biotechnology, 1(4), 330-337.
Degbey, W., " Pelto, E. (2013). Cross-border M"A as a trigger for network change in the Russian bakery industry. Journal of Business " Industrial Marketing, 28(3), 178-189.
