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Contents

PAGE

Description of the Business

Justification of Location

Selection of Appropriation Labour

Sources of fixed and working Capital

Role of the Entrepreneur

Type of Production

Levels of Production

Quality control measures

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Use of Technology

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Linkages

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Potential for Growth

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Government Regulations

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Ethical Issues

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Bibliography

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Appendix

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Description of the Business


The name of my business will be Stashas Punch Shop. It will be a sole trader business
owned by Stasha King Massiah. We will strive for excellent service to the customer
directly. This business will be involved in the sales of local foods such as a variety of
punches, meals throughout the day consisting of bakes, breads, and pies with different
fillings. The business will cater to the general public with affordable prices, and good
food.
The opening hours of my business will be from 9:30 am to 8:30 pm from Monday to
Saturday. Our mission statement will be to provide our customers with the best quality
goods and services at the right price to achieve consumer satisfaction.

Justification of location

The business will be located in Arima #6 Queen Street. The reasons why I chose this area
are:
Little direct competition
There is no similar type of business close in proximity, which would not affect my
profits.
High Traffic flow
Queens Street is a very busy street with a very height flow of consumer traffic.
Exact target market
The customer flow on Queen Street consists of a lot of minimum and low income earners
which I plan to carter to with my price ranges.

Selection of appropriate labour


The type of labor that my business uses is mixed labor. Mixed labour consists of the use
of unskilled labor which is persons who have to be trained in order to do their tasks such
as cashers, replenishers and wrappers. There will also be skilled labor in use in my
business; these are persons who have been fully trained they can help with the running of
the business.
1. There will be four cashiers who help cash the customers orders. They will also
help the customers determine the best meal plan to suit their preferences and
budget.
2. Four persons for the replenishing of stock on a weekly basis to always guarantee
fresh ingredients for best quality food.
3. Eight wrappers to package the food according to the customers preference stay in
or take away. Also, four persons continuously stationed at a counter which will be
equipped with blenders, a sink, and ingredients for the punches.
4. I will need at least one accountant who would manage and prepare the financial
statements for the business. The accountant will advise the buyers on what type of
products are more profitable to ensure that the business shows profit.
5. There would be two supervisors to ensure that the staffs are performing efficiently.
He/she would also be dealing with customers if there are any complaints he can

relay the necessary information that would help improve the business ensuring
customer satisfaction.
6. There would also be two security officers to provide a secure eating environment
and hopefully prevent robbery, improperly attired persons and fights.
In total, there will be 22 employees.

Sources of fixed and working capital


Fixed capital are usually assets that are considered fixed in that they are not used up in
the actual production of goods or services, but have a reusable value such as refrigerators
land, and computers.

Sources of fixed capital are:


1. Refrigerators are used to keep perishable items at there respective temperature
without spoilage, such as dairy products and meats.
2. Land ownership saves a business from high rental costs of properties.
3. Computers will be used by accountants and cashiers to calculate the income and
expenditure.
Working capital is changed in the course of production, for example stock and grocery
bags.
1. Stocks will be constantly flowing in and out of the business as sales will result in
the purchasing of more goods for resale.
2. Brown bags and grease-proof paper will also be used frequently because it will be
used for the packaging of food.

Role of the Entrepreneur

The role of the entrepreneur is to raise finances in order to begin production and take
risks in entering the market. They make decisions on what, how, when, for whom and
where to produce. The entrepreneur is also responsible for the managing of the business.
Three functions of the entrepreneur are:
Inventing and commercializing new goods and services
To manage the sale of products
To manage the business

Type of Production
The type of production used in my business is tertiary production. Tertiary production is
the sector that provides the services that are important to the first two stages such as
marketing. This deals with taking the finished products and selling it to the consumer.

Levels of Production
The type of production used in my business will be Domestic production.
In domestic production everything is produced locally. This level does not involve any
imports from foreign countries. Both human and natural resources are employed and the
whole economy is dependent upon what it can produce from this resource.

Quality control measures

Two quality control measures that a business should adhere to are:

Making sure goods arent expired This helps to prevent the company from getting a
bad name. If goods are expired, the quality of food will be drastically reduced which will
cause customers to no longer purchase from this business, causing a loss in revenue.
Clean environment The business should always remain clean to encourage customers
to visit the store and purchase food. The more customers that are attracted to the store
will increase the revenue being made.

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Use of technology

Two types of technology which will be used in my business are:

1. Security Cameras will have a huge role to play in the security of the
customers and the business, these cameras will monitor the day to day
activities of customers to make sure they are safe and they do not shop lift.
2. Computers have a huge role in providing information for financial
statements as well as reporting for all aspects of the business, such as planning,
monitoring and implementation of strategies, marketing etc. Information can
be accessed quickly from the internet to help improve the business.

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Linkages

Stashas Punch Shop would be using a backward linkage as we plan to use


our own fruits and vegetables that we have grown in our garden. Our garden
will be located on # 4 Gasparillo Rd, Santa Cruz. The produce will be
transported by refrigerated trucks to my business, thus preventing spoilage
from occurring. This would benefit us because less money will be spent on
purchasing goods, thus making us earn more profits.

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Potential for growth (Internal)

Expanding our range of products:


By expanding our range of products we will give our customers a wider variety of
brands and items to choose from. This should cause a higher influx of customers
thus improving sales because we will be meeting more of the customers needs.
Hiring more persons
By hiring more persons we will improve the efficiency of the business. By having
more cashiers, packers etc.

Potential for Growth

Internally is the expanding of the store for more storage space for products that are for
sale and it will also prevent the inventory from being overstocked. While expanding we
can add a lot more variety of goods because of the additional space. The more goods
available will cause us to earn more profits.
Externally- the potential of growth is created by opening new branches for customer
satisfaction. This will prevent customers who live far from coming to only one location;
instead they would have lots of options to choose from.

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Government Regulations
These are the two government regulations that impact my business:
Taxes: Reduce the amount of money available for investment in the business. The tax is
paid out of the profits made; therefore the more profits made the more taxes are owed.
Minimum Wage As of February 1st 2012 the minimum wage was increased to $12.50
per hour. This results in higher payrolls costs for the company and less profits.

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Ethical Issues

One ethical issue relating to production is, we do not keep our employees under harsh
conditions. They have very flexible working hours and we encourage and try to motivate
the employees so they can work better. The better our employees work we reward them
with bonuses or an employee of the month award to boost their enthusiasm. This will
ensure that our customer service is always top off the line.

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Bibliography

Books:
Essential Principles of Business for CSEC - by Dr. Alan Whitcomb

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Appendix
Profile 2
LINKAGES
Harsh browns

Forward Linkage - Potato


Backward Linkages - Vegetable Garden

Potato

Primary Production

Agriculture

Tertiary Production

Stashas Food Stores

Fruits & Vegetables

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