Case Study

What is required is 1- Summarize the entire text. 2- Answer the two questions

CHAPTERS. CRAFTING A BUSINESS PLAN AND BUILDING A SOLID STRATEGIC PLAN 203 When identifying opportunities, an entrepreneur must pay close attention to new potential markets and product offerings. Are competines overlooking a niche in the market we could easily exploit? Is there a better way to reach our customers, such as a great focus on online sales Are there new markets we can expand into with our existing business! Can we develop new products that offer customers better value? What opportunities are trends in the industry creating! 20 ENTREPRENEURIAL PROFILE World Wrestling Entertainment The rapid growth in online streaming of video contented World Wrestling Entertainment (WWE) to shift away from relying on cable television distribution of its shows to launching its own 24/7 online streaming network. WWE Network as all of the WWE five pay per view events, original program ming, reality shows documentaries, classic matches from its archives, and more than 1.500 hours of video on demand. Customers pay a flat monthly subscription fee to gain access to all WWE network content through its web site and through apps that are compatible with most tablets and smart phones. Viewership of pay per view over cable and satellite television has been declining while online streaming has continued to grow as a new medium for video content wwe believes that the new business model provides an opportunity to generate more predictable and growing revenues As WWE Network's experience illustrates opportunities are all of factors that are be yond entrepreneurs' control. Constantly canning for those opportunities that best match their compa mies strengths and core competences and pounding on themaad of competitors is the key to success Threats are negative external forces that inhibit a company ality to achieve its mission threats Boals, and objectives. Threats to the business can take a variety of form, ach as new com negative external forces petitors entering the local market, a government mandate regulating a business activity, an ece that inhibits company nomic recession, rising interest rates, mounting cergy prices of technology advances making it to achieve sms a company's product obsolete. For instance, the growing reach of cellular phone networks and songs, and objectives advances in smartphone technology pone a threat to companies that provide traditional landline Hands On ... How To Beat the Big Guys the news that sends shivers down the spines of all business krowledge, butter section, superior customer service, a hassle Owners everywhere W. Mart for any otherbox.com freeting experience, the quality and others "Not everyone ing to town How can my wall business competence the largest was the lowest Quality at the lowest price." says one expert taler in the world they word "Can my business? Although no business owner welcomes that of this man Rule 2. Emphasize the Unique Aspects of Your nitude from a giant competitor with greater power more Company and How They Benefit Your Customers name recognition, and a reputation for driving a compa out of business, it is no reason to fold up the tent and go home Joe Rumanfounder of Hangers Cleaners of Kansas City Smart entrepreneurs know that by forming and executing the Missouw faced with the challenge of competing with Proctor & proper strategy. they can not only survive in the face of larger Gamble entry into the dry cleaning market with its national out of Tide Dry Cleaners Hangers Cleaners had been able to competitors but also thrive in their presence Great service by offering an environmentally safe dry Rule 1. Don't Play Their Game cleaning process. Hangers Cleaners used carbon dioxide in stead of the hash chemicals traditionally used by diy dearers A fundamental concepting is to avoid matching your.com owner. Tide Dry Geaning offered eco-friendly dry cleaning pany's weakness against a competitors strengths. For instances to compete with a large national brand, Runyan pursued because Wal-Mart bus in such huge volume from its support le Hangers focused on soffbeat image. The com can extract the lowest prices from them. Small companies purchauspynt out entertaining promotional maks. Save away thirts ing from those same supplens cannot, therefore makineserse bearing the nation to Shift Me put funny messages on its for small companies to try to compete with Wal-Mart and other age, and held a St. Patrick's Day tagate party in the parking and retailers on piceries you all company has another more lot. The company to pay close attention to customer service significant cost advantage, competing on the basis of price ranges has several programs to help with funding for local pe for disaster Entrepreneurs who competency phase profits and schools The company offers van service for pick-up features that and counters cannot provide produa and delivery to affluentreghborhoods willing to pay a premium fcontinued) 204 SECTION II. THE ENTREPRENEURIAL JOURNEY BEGINS Hands On ... How To (continued) for the extra service. Although many of the other local dry clean special events. EPC Cigar's sales grew to more than $1.5 milion in es sufered after the entry of Tide Dry Cleaners, Runyan's business revenue within the first year has continued to experience growth in revenues and profits Rule 7. Be Great at Something Customers Value, Rule 3. Hit 'em Where They Ain't Such as Service and Personal Attention Big companies usually aim at big markets and often ignore small but Do not make the mistake of choosing a middle-of-the-road profitable niche markets, which are ideal targets for small companies strategy where one writer says there are yellow res, dead arma Ashley Rosebrook and Stefan Peters entered a crowded personal dels, and once-creat companies that are slowlying out of bu zed photo printing industry with their website Pinhole Press. Whenness" Successful small companies offerentiate themselves from researching the industry, they found that most of the competition their target, more powerful rivals by emphasizing superior, friendly offered too many choices for the most common customer-ce personal service, something there makes the unique capa Grandparents and parents. By creating a simple site that is easy to ble of doing Successful small companies also treat their customers use, Pinhole found a niche in the market. The founders recently sold like VIPs. Many small business owners know the customers by Pinhole for 533 million to a large software company name, something that large companies cannot achieve. One of the best ways to determine thy how to provide superior service Rule 4. Hire the Bestand Train Them and personal attention is to identify your top five customers and Small companies usually cannot afford to pay the highest wages periodically ask them, "How can we serve you better? in an area, however, because their companies are small, entrepre Rule 8. Get Involved in the Community neurs have the opportunity to create a work environment in which employees can thrive. For instance, one small company attracts and Entrepreneurs can make their small companies stand out from the retains quality workers by allowing them to use flexible work sched crowd by supporting events in their local communities. A big budget ules that make it easier for them to manage their busy lives. The is not a prerequisite for instance, Pizza Ranch fraises host com owner also invests heavily in training workers so that they can move munity impact" nights. Family members and friends of employees up the organization and the pay scale faster. The training pays bus tables to help fundraising for local causes Plaza Ranch donates off, however, in the form of greater productivity lower turnover, all of the eveningstips plus a matching share of the profits. The events generally draw additional donations from the community increased customer satisfaction, and higher sales per employee. Paying attention to seemingly small details such as more commu The events help the franchises build relationships in the community and make genuine and enduring relationships with customers nication, frequent recognition for jobs well done, les bureaucracy and flexible benefits, enables small companies to build a loyal 1 Why do many small businesses tail when a big discount motivated workforce that can outperform those a large companies retailer such as Wal-Mart enters their market? Rule 5. Bring Back What the Big Boys 2. Work with a team of your classmates to identify a local small business that competes with a bigger competitor Have Eliminated Which of these strategies has the small company employed Ron Samuek founded Avenue Bank in Nashville, Tennessee, in 2007, to become a stronger competitor? What the strategies not long before the financial crisis rocked the banking industry Would you recommend to the owner of this business? However, Avenue Bank not only survived one of the most difficult times in banking since the Great Depression, but the company's old 3. Based on your work in question develop a one-page fashioned approach to banking also resulted in strong and steady report summarising your strategic suggestions growth Avenue focuses on highly personalized service, which is not longer available in many national bank chains. Avenue Bank offers New Day, April 2011 1301, Nr. The the same personalized service to small businesses and entrepreneurs 2007.05.16 The Web The bank works with start-ups by offering concierge services, work ing to meet their unique needs from start-up through growth kecil of State Mate The GS. Rule 6. Use the Cost Advantages C of the Internet to Gain an Edge timal Guncil for Sale Gary MET Ernesto Perez-Carrillo and his family launched EPC Cigar as include a top advertising in large cities, commercials on cable channels, rado ads in large markets, and print ads in rational business magazines and specialty publications that cater to the wealthy. This type of advertising is quite costly and not always Aprill 2013 highly effective. One ad might cost up to half EPC Cigar's total marketing budget. Because the company could not afford a tradi Se www.me tional advertising campaign, the company put its marketing bude the Me Social Media News get into the Internet, social media initiatives, trade shows, and Can CHAPTERS. CRAFTING A BUSINESS PLAN AND BUILDING A SOLID STRATEGIC PLAN 203 When identifying opportunities, an entrepreneur must pay close attention to new potential markets and product offerings. Are competines overlooking a niche in the market we could easily exploit? Is there a better way to reach our customers, such as a great focus on online sales Are there new markets we can expand into with our existing business! Can we develop new products that offer customers better value? What opportunities are trends in the industry creating! 20 ENTREPRENEURIAL PROFILE World Wrestling Entertainment The rapid growth in online streaming of video contented World Wrestling Entertainment (WWE) to shift away from relying on cable television distribution of its shows to launching its own 24/7 online streaming network. WWE Network as all of the WWE five pay per view events, original program ming, reality shows documentaries, classic matches from its archives, and more than 1.500 hours of video on demand. Customers pay a flat monthly subscription fee to gain access to all WWE network content through its web site and through apps that are compatible with most tablets and smart phones. Viewership of pay per view over cable and satellite television has been declining while online streaming has continued to grow as a new medium for video content wwe believes that the new business model provides an opportunity to generate more predictable and growing revenues As WWE Network's experience illustrates opportunities are all of factors that are be yond entrepreneurs' control. Constantly canning for those opportunities that best match their compa mies strengths and core competences and pounding on themaad of competitors is the key to success Threats are negative external forces that inhibit a company ality to achieve its mission threats Boals, and objectives. Threats to the business can take a variety of form, ach as new com negative external forces petitors entering the local market, a government mandate regulating a business activity, an ece that inhibits company nomic recession, rising interest rates, mounting cergy prices of technology advances making it to achieve sms a company's product obsolete. For instance, the growing reach of cellular phone networks and songs, and objectives advances in smartphone technology pone a threat to companies that provide traditional landline Hands On ... How To Beat the Big Guys the news that sends shivers down the spines of all business krowledge, butter section, superior customer service, a hassle Owners everywhere W. Mart for any otherbox.com freeting experience, the quality and others "Not everyone ing to town How can my wall business competence the largest was the lowest Quality at the lowest price." says one expert taler in the world they word "Can my business? Although no business owner welcomes that of this man Rule 2. Emphasize the Unique Aspects of Your nitude from a giant competitor with greater power more Company and How They Benefit Your Customers name recognition, and a reputation for driving a compa out of business, it is no reason to fold up the tent and go home Joe Rumanfounder of Hangers Cleaners of Kansas City Smart entrepreneurs know that by forming and executing the Missouw faced with the challenge of competing with Proctor & proper strategy. they can not only survive in the face of larger Gamble entry into the dry cleaning market with its national out of Tide Dry Cleaners Hangers Cleaners had been able to competitors but also thrive in their presence Great service by offering an environmentally safe dry Rule 1. Don't Play Their Game cleaning process. Hangers Cleaners used carbon dioxide in stead of the hash chemicals traditionally used by diy dearers A fundamental concepting is to avoid matching your.com owner. Tide Dry Geaning offered eco-friendly dry cleaning pany's weakness against a competitors strengths. For instances to compete with a large national brand, Runyan pursued because Wal-Mart bus in such huge volume from its support le Hangers focused on soffbeat image. The com can extract the lowest prices from them. Small companies purchauspynt out entertaining promotional maks. Save away thirts ing from those same supplens cannot, therefore makineserse bearing the nation to Shift Me put funny messages on its for small companies to try to compete with Wal-Mart and other age, and held a St. Patrick's Day tagate party in the parking and retailers on piceries you all company has another more lot. The company to pay close attention to customer service significant cost advantage, competing on the basis of price ranges has several programs to help with funding for local pe for disaster Entrepreneurs who competency phase profits and schools The company offers van service for pick-up features that and counters cannot provide produa and delivery to affluentreghborhoods willing to pay a premium fcontinued) 204 SECTION II. THE ENTREPRENEURIAL JOURNEY BEGINS Hands On ... How To (continued) for the extra service. Although many of the other local dry clean special events. EPC Cigar's sales grew to more than $1.5 milion in es sufered after the entry of Tide Dry Cleaners, Runyan's business revenue within the first year has continued to experience growth in revenues and profits Rule 7. Be Great at Something Customers Value, Rule 3. Hit 'em Where They Ain't Such as Service and Personal Attention Big companies usually aim at big markets and often ignore small but Do not make the mistake of choosing a middle-of-the-road profitable niche markets, which are ideal targets for small companies strategy where one writer says there are yellow res, dead arma Ashley Rosebrook and Stefan Peters entered a crowded personal dels, and once-creat companies that are slowlying out of bu zed photo printing industry with their website Pinhole Press. Whenness" Successful small companies offerentiate themselves from researching the industry, they found that most of the competition their target, more powerful rivals by emphasizing superior, friendly offered too many choices for the most common customer-ce personal service, something there makes the unique capa Grandparents and parents. By creating a simple site that is easy to ble of doing Successful small companies also treat their customers use, Pinhole found a niche in the market. The founders recently sold like VIPs. Many small business owners know the customers by Pinhole for 533 million to a large software company name, something that large companies cannot achieve. One of the best ways to determine thy how to provide superior service Rule 4. Hire the Bestand Train Them and personal attention is to identify your top five customers and Small companies usually cannot afford to pay the highest wages periodically ask them, "How can we serve you better? in an area, however, because their companies are small, entrepre Rule 8. Get Involved in the Community neurs have the opportunity to create a work environment in which employees can thrive. For instance, one small company attracts and Entrepreneurs can make their small companies stand out from the retains quality workers by allowing them to use flexible work sched crowd by supporting events in their local communities. A big budget ules that make it easier for them to manage their busy lives. The is not a prerequisite for instance, Pizza Ranch fraises host com owner also invests heavily in training workers so that they can move munity impact" nights. Family members and friends of employees up the organization and the pay scale faster. The training pays bus tables to help fundraising for local causes Plaza Ranch donates off, however, in the form of greater productivity lower turnover, all of the eveningstips plus a matching share of the profits. The events generally draw additional donations from the community increased customer satisfaction, and higher sales per employee. Paying attention to seemingly small details such as more commu The events help the franchises build relationships in the community and make genuine and enduring relationships with customers nication, frequent recognition for jobs well done, les bureaucracy and flexible benefits, enables small companies to build a loyal 1 Why do many small businesses tail when a big discount motivated workforce that can outperform those a large companies retailer such as Wal-Mart enters their market? Rule 5. Bring Back What the Big Boys 2. Work with a team of your classmates to identify a local small business that competes with a bigger competitor Have Eliminated Which of these strategies has the small company employed Ron Samuek founded Avenue Bank in Nashville, Tennessee, in 2007, to become a stronger competitor? What the strategies not long before the financial crisis rocked the banking industry Would you recommend to the owner of this business? However, Avenue Bank not only survived one of the most difficult times in banking since the Great Depression, but the company's old 3. Based on your work in question develop a one-page fashioned approach to banking also resulted in strong and steady report summarising your strategic suggestions growth Avenue focuses on highly personalized service, which is not longer available in many national bank chains. Avenue Bank offers New Day, April 2011 1301, Nr. The the same personalized service to small businesses and entrepreneurs 2007.05.16 The Web The bank works with start-ups by offering concierge services, work ing to meet their unique needs from start-up through growth kecil of State Mate The GS. Rule 6. Use the Cost Advantages C of the Internet to Gain an Edge timal Guncil for Sale Gary MET Ernesto Perez-Carrillo and his family launched EPC Cigar as include a top advertising in large cities, commercials on cable channels, rado ads in large markets, and print ads in rational business magazines and specialty publications that cater to the wealthy. This type of advertising is quite costly and not always Aprill 2013 highly effective. One ad might cost up to half EPC Cigar's total marketing budget. Because the company could not afford a tradi Se www.me tional advertising campaign, the company put its marketing bude the Me Social Media News get into the Internet, social media initiatives, trade shows, and Can