Business Planning (Home Sweet Décor)

Abstract

This report provides insight into a proposed home décor business that will operate in the home textiles’ segment of this industry. This is an industry that has been gaining considerably in recent years as a result of increased disposable income, high rates of urbanisation, and the desire for people to improve their spaces. For this reason, this is a market offering considerable opportunities for new businesses. • The goal of this report is to create a business plan that a business will use as a guideline in its entry into home textiles. The business in this case is Home Sweet Décor, which will provide sheets and bedding; this includes sheets and pillow cases, blankets, bed spreads, mattress covers, and quilted textiles. • This report has provided useful information concerning the home textiles’ segment of the home décor market. This is a market segment that has been growing and is projected to continue augment. As a business, Home Sweet Décor will need to establish a system to monitor its growth in penetration as it enters the market. This will also include the capability to anticipate changes in demand. • The marketing strategy that this company will adapt should be carefully considered. A major aspect to consider in this case is pricing, which should be determined after careful consideration of certain factors, such as the customers, cost incursion, and competition. The pricing strategies used by Home Sweet Décor were value and loss leader pricing. Other essential aspects that the business will need to include as part of its marketing strategy are warranty policies, sales tactics, advertising budgets, and product improvement in the future. • There are processes that comprise part of the operations of Home Sweet Décor, which includes information flow, which will occur via cross functional communication and diagonal communication. The business has identified some equipment for use that will boost efficiency. Quality control will be vital due to its role in ensuring that only the best products are offered to customers. Home Sweet Décor 4 • The personnel of Home Sweet Décor will run the business, as they are the ones who, through their roles as per their job descriptions, will enable the business to occur. Accordingly, the CEO who is the owner of this business is part of the personnel. Other key personnel are the heads of the marketing, operations, sales, and human resources departments. • Regarding the finances of Home Sweet Décor, this remains vital towards its success. Therefore, this begins with the business developing its budgeted accounts and demonstrating that its finances will be required to initiate the business. Other essential aspects of finance that the business has explored in this report include: cash flow forecasts, financing of shortfalls, and determining the break-even position.