Mumbo is the manufacturing and retailing of cakes within a local area. Mumbo is a private company with 9 private investors looking to expand into the market. The purpose of this business report is to provide accurate recommendations on the operational, marketing and human resource management process that will assist when implementing a café to the cake house. The cafe will allow the business to maximise customers and reputation within the community resulting in business success. However, in the past 7 years Mumbo’s has been thriving well in the market with over 150 customers moving in and out of the store per day and was calculated $2.5 million in revenue 2012. In reviewing Mumbo’s statistics and store performance it is to a great extended that the following recommendations can help Mumbo to achieve success in the local market by using the high quality products, marketing through social media and integrate qualified employees.
It is highly advisable for Mumbo’s to take operation function into consideration because it is the effective and efficient provision of products and services. When implementing a café Mumbo will be require to apply a combination of high quality goods and services to achieve success in the local area.
Goods cans include cakes, hot drinks, and food; it must range from a variety of options for customers.
Services can include bathrooms, Wi-Fi connection, entertainment facilities for children’s, good will within the stores and in the community by forming a charity organisation, TVs within the stores and also the business must represent themselves to the public as an environmentally caring firm by operating solar panels.
Overall, Mumbo’s must value the triple P which is corporate social responsibility, as a result the store should double the figure to about 300 customers served per day and profits maximising to 60% per product sold. Bring about the opening of additional stores across Sydney which leads to higher chance of success in the local areas.
Quality management is to a great extended a vital procedure to be take into reflection when installing a café to the store as it is the strategy which a business uses to make sure that its products meet customer expectations. This will allows the business to
Minimise waste and defects.
Strictly conform to Standards
Reduce Variance in final output
Mumbo’s can achieve this by implementing the following recommendations at the new store:
Sharing responsibility among all the members of the business
Continues improvement on how the way things are done
Constantly focusing what customers want and need
Implementing High quality technology on how products are produced
As the café is installed the store will operate smoothly without any misunderstandings and faults within the store giving it a competitive advantage over other businesses. This will also increase the businesses reputation within the surrounding community as consumers continue to increase resulting in 45% increase in sales as the costs associated with waste and faulty products are reduced.
Marketing is a total system of interacting activities designed to plane, price, promote and distribute products to present and potential customers. Basically the role of marketing involves brining the buyer and seller together and making sales. To do this, Mumbo’s must apply the following methods:
Mumbo’s should advertise their new café opening to the public in the most logical manner because some advertisements could not be as effective as others saving time and money due to business profit motive. At the moment the advertisements should be placed in local newspapers and radio stations and in future TV stations.
Mumbo’s at the moment is operating within a niche market as the business provides a variety of products that are suitable to all age groups that can include