Principles of Business

Candidate’s Name: Dennis StewartTitle: ProductionTheme: Establishing a BusinessName of School: Titchfield High SchoolCentre Number: 100121Submission Date:Registration Number:Teacher’s Name:Subject: Principles of Business

IntroductionThis report has been written to inform the reader about the undertakings of the business and the how the business will be constituted. Also, there is information on the connections to the business and the necessary legal documentations.

AcknowledgementsThanks to God for giving me the strength to do this assignment, also thanks to my parents for seeing the need to help me. Thanks to the teacher for giving me pointers and suggestions for the SBA.

Executive Summary

Table of ContentsContent Page Description of the business 6

Justification of Location 7

Selection of Appropriate Labour 8

Sources of fixed and working capital 9

Role of the Entrepreneur 10

Type of Production 11

Levels of Production 12

Government Regulations 13

Ethical Issues 14

Bibliography 15

Appendix 16

Description of the BusinessThe name of the business is Country-side Jerk Centre. The business will be a sole trader type of business. The main business will be preparing authentic Jamaican produced jerked meat for customers. The jerked meat can also be prepared to order depending on the availability of that specific meat. The objective of the business is to provide the best, well-seasoned, unique jerked meat for the people of Portland and all visitors from other parishes even for foreign nationals.

Justification of LocationThe business is located at 31 Lakefield Road, Port Antonio, Portland. Some persons may know the location as “beside the big Supermarket.”This location was chosen for many reasons some of which include:

The availability of a super market nearby where I can get some of the ingredients for the preparation of the meat.

o The next reason for choosing the location is because it is in the town where most people traverse.

o The final reason is because there are many tourists who come to Portland for its jerk pork, which we can provide without the hassle of traveling all the way to Boston.

Selection of Appropriate LabourIn the business, the type of labour that will be used is labour intensive. We will be hiring ten persons for now until there is an expansion in the business. The persons being employed are one delivery guy who is going to deliver the food that have been ordered. There will be two security guards who will watch the business place, one in the day and one during the night. We will have two chefs with the necessary skills of preparing jerked meat. We will also have two cashiers that will work on shifts six hours each six day a week. There will also be three axillary workers who will clean the restaurant six days each week. The reason for choosing a labour intensive is because the food needs to be prepared by hand to ensure a unique preparation each time an order is made. This also include the fact that the machine can’t do all the things necessary for preparing the meat properly.

Sources of Fixed and Working Capital

Fixed Capital

The business will be requesting a loan of one point five million dollars ($1,500,000.00) from the bank, Jamaica National. The loan will be repaid after time as the business grows. This capital will be used to purchase the building and also the necessary machinery needed for the day to day running of the business, some of these machineries includes: cash registers, alarm system, stoves, ovens, etc.

Some of examples of fixed capital include: Building, Land, etc.

Working Capital

The business will be provided with capital from personal savings. This amount is six hundred and fifty thousand dollars ($650,000.00). A sum of two hundred thousand dollars ($200,000.00) will be borrowed from family members. These capitals will be used to purchase food boxes, flyers for advertising the business, paper rolls for the cash register, groceries, etc.

Some examples of working capital are: Cash, Bank balances, etc.

Role of the Entrepreneur

The entrepreneur of Country-side Jerk Centre will be carrying out various roles which will include:

o Coming up with the capital necessary to run the business.

o Organizing all the factors of production, bringing together all the resources necessary.

o Acting ethically and socially responsible.

o Coming up with new and creative ideas that will boost production of the business.

There are many functions of the entrepreneur, some of which would include:

Planning : the entrepreneur will be responsible for setting goals, deciding on resources needed, and the time line to meet these objectives.

Organizing : the entrepreneur of the business will be responsible for bringing together all the resources needed, in order to provide the goods.

Evaluating : the entrepreneur will be responsible for accessing output base on objectives set to determine how well they were met, and what steps can be taken to improve performance in the future.

Types of Production

This business, Country-side Jerk Centre will be engaged in secondary production.

This involves getting the raw materials from the Primary production and converting it into finished products to be sold to consumers.

The business will buy raw meat form certified butchers and we will then prepare the meat for consumption by our consumers.

Levels of Production

The business Country-side Jerk Centre will be engaged in domestic level production.

Domestic level production involves producing goods and services not just for the family or community but for the local market. In other words, it means not making enough to be exported.

We will be preparing food to order, so there is no chance for us to expand into exporting to foreign countries.

Quality Control Measures

The entrepreneur of Country-side Jerk Centre, have many measures that are put in place to ensure that the quality of the food being prepared meets the demands of the customers. Some of those measures are listed below:

The food that is prepared will be checked by the head chef before being delivered to the customer. This will ensure that the customer is getting a well-prepared meal.

The goods bought at the market will be thoroughly checked to ensure that the business receives only the best so that they can give their best.

Use of TechnologyTwo types of technology that will be employed by the business are:

Computer Cash register

The technology listed above will enhance the efficiency of this business by doing the following:

Computer- the computer will allow the business to communicate with potential customers and also giving the business an edge by being on social media. By doing this the business will be better able to advertise its goods to the market.

Cash register- the business will use this to calculate the financial transactions with the customers. It will also help by providing a means of keeping cash and printing receipts.

LinkagesCountry-side Jerk Centre will be involved in forward linkage. This is when the finished products of one industry becomes the raw materials of another industry.

The business will benefit from this linkage as the meat bought from the butcher will be bought in bulk and not one-by-one so the price will be slightly less expensive.

Potential for GrowthInternal growth

For this business, there will be a infrastructural expansion in the next two years. This expansion will include purchasing more goods and machinery. And also, employing more persons.

External growth

The business intends to have more branches being started up in different parishes within Jamaica. This will be done over a five-year period.

Governmental RegulationsThe regulatory practices governing the establishment of businesses refers to the rules and regulations by which persons who wish to establish a business should be guided. Country-side Jerk Centre will have to be duly registered with the registrar of companies before the business operations can commence. A certificate of registration will be issued to the business and must be appropriately displayed in the place of business. Country-side Jerk Centre will be required to get a copyright

license.

Certificate of registration: this shows that the business is operating legally and the entrepreneur will not be fined or imprisoned for illegal operation.

Copyright license: this is the exclusive right to publish or record a work. If you use someone’s work and do not have a copyright license, this is known as copyright infringement or plagiarism. The business could be terminated or the entrepreneurs could be fined or imprisoned for committing the act of plagiarism.

Ethical IssuesEthical issues refer to the beliefs about what is right and wrong behavior or action.

One ethical issue that Country-side Jerk Centre will have to adhere to is:

Keeping Promises: Food cooked to order is promised to be available within a specific time period. If this promise is not kept, then the customer(s) will leave to purchase goods elsewhere and the business will suffer a loss.

If promises are kept customers will have more faith in the products of the business and will more likely buy them.

Bibliography CXC Principles of Business with SBA, Study Guide & Exercises

Carlong Publishers