The Opportunity When analyzing the Opportunity I was evaluating the business idea itself in terms of market attractiveness and business model viability.
These kinds of skills and experiences will be helpful in launching RFD. However, neither of them has sufficient work experience in the restaurant industry. Also the business model lacks process innovation and is therefore easy to copy. The success of the business thus heavily depends on the knowledge and skills of third party individuals, resulting in increased operating cost and risk.
The people behind RFD have a deficiency in both. An industry expert would have picked up this detail straight away, so I assume the plan has not yet been discussed in great detail with experts and, therefore, there is a risk of more substantial flaws in the plan.
However this point is insufficiently addressed by just providing the names and current job titles of four potential board members. Forecasts for related product categories such as luxury chocolate in retailing would help in evaluating the potential market.
Thus the business model lacks sustainable process innovation that would give it a considerable competitive advantage. However the business plan mainly addresses the very obvious possibility of geographical expansion. The choice of the luxury segment in the market is thus justified by the intensifying competition in the quick-service and casual segments and not by market data suggesting a need for a luxury option.
Also both are first time entrepreneurs with no experience in how to manage unexpected challenges. This raises doubt on their passion as well as their willingness to get their hands dirty on the shop floor if things are not going as well as projected. People, customized service, quality, portioning and ambiance are given as key differentiators but none of them can be protected.
Furthermore analyzing the proposed floor plan I noticed that the kitchen and the dessert prep station are not adjoined, which will lead to challenges in daily operations.
This increases uncertainty that the business will be able to perform as projected and therefore I would not recommend investing in it. There are also several opportunities for new revenue streams, the company could launch its own premium line of chocolates, truffles or ice creams with gourmet food retailers and they could sell a line of desserts or back recipe books.
A great possibility to show their interest in foodservice would have been to do their summer internship at a restaurant chain. My analysis focuses on the fit between the people and the opportunity only.
The identified market could be attractive to some extent but it is unlikely that it will develop outside a niche. This lack of operational experience and knowledge raises the question of their ability to successfully operate and grow a restaurant.
The People When analyzing the venture I was evaluating if the team of people possesses the necessary skills, experience, contacts and attitude required to start up and operate the proposed business. Successfully building a multi unit restaurant chain demands a team of people with considerable industry experience and execution skills.
Ice Cream cannot be regarded as sufficient for a restaurant start up. A formal presentation of the plan by the team would allow further investigations; such a meeting would also allow gaining more insight into the context and proposed deal structure.BUSINESS PLAN CRITIQUE 3 Executive Summary This paper will analyze the business plan proposed in the Room for Dessert case by assessing each factor individually.
It will start by evaluating the people factor, which includes the men and women starting the venture, outside parties, and/or any key resources.
It will then evaluate the opportunity %(25). Rutabaga Sweets dessert bakery business plan executive summary. Rutabaga Sweets is a dessert bar and bakery in Washington D.C/5().
Teaching Note to (). Harvard Business School. Harvard Business Review. ] In this memo I summarize my analysis of the business plan for Room for Dessert (RFD) and evaluate if the proposed venture represents a good investment opportunity.
My analysis focuses on the fit between the people and the opportunity only. ***** The above analysis only presents a brief summary of the main points I find critical in. Room for Dessert & Case Summary Situation This case presents a business plan for a startup company called "Room for Dessert" (RFD), which is a fine dining restaurant focused on serving a niche market that includes desserts and beverages such as.
subject: Business Plan for Room For Dessert Date: [ ] In this memo I summarize my analysis of the business plan for Room for Dessert (RFD) and evaluate if the proposed venture represents a good investment opportunity.
My analysis focuses on the fit between the people and the opportunity only. SUMMARY Donna Karan New .Download