Business Management: Hot & Cold Company

1.0 Executive Summary

        For this business management coursework, students were given one month to complete it in a group of five. Students were required to explain the management functions of our hypothetical company that we would like to own in the future. Besides, we had to recommend five effective ways that we would use to motivate our employees and carry out an external environmental analysis. After a discussion, our group decided to open a company in the beverage industry as we are passionate about coffee. We spent two weeks doing our respective research before finalizing on the name of our company as well as the management functions. The three parts of this assignment was split equally among the five of us. Through this assignment, we have gotten a better grasp of the four functions of business management.

3.0 Introduction- background of the company

Hot & Cold Company is a newly launched coffee company in beverage industry. Currently, we have a café that sells beverages and light food. It is a partnership between Quek Li-Ann, Wong Jing Yee, Lim Cheng Ching, Nasirah bt. Hakim and Goh Kar Yun. All five of us are passionate for coffee. Thus, we decided to turn our passion into a money-making business. The company is named as ‘Hot & Cold’ as both hot and cold coffees are delicious in their own ways. We want to offer our customers the best of both worlds. Our target market are students and working people as our company can provide leisure time for them to relax and improve their relationships among partners and friends.

4.0

4.1 Planning

The planning of the company will be setting out the vision and mission. The mission of our company is to provide our consumers with specially brewed coffee at a reasonable price. We will provide a clean and comfortable environment inclusive of a close and detailed service to let our customers enjoy the atmosphere in Hot & Cold cafe. Besides that, the vision of our company is every day, anytime, one person one coffee.

           On the other side, the strategic planning consists the tasks we will accomplish in 5 years period. In that particular period, Hot & Cold Company will open a chain store in every state in Malaysia. Then, we will run the tactical plan in a duration of 2 years, which is to open 10 branches in Klang Valley. The company’s operational plan is to reach the breakeven point within 6 months. Secondly, the staff of Hot & Cold Company will be trained and qualified to meet the customer’s expectations. Each customer will have a one-to-one and detailed service by our staffs. However, the weakness of our company is the cost of the coffee beans we used to make the coffee, especially with the recent implementation of Goods and Services Tax (GST). Consequently, we would have to pass on the high cost of coffee beans to our customers by increasing the prices of our coffee.