MGT 402-Entrepreneurship and small business
| Kingdom of Saudi Arabia Ministry of Education Saudi Electronic University | المملكة العربية السعودية وزارة التعليم الجامعة السعودية الإلكترونية |
College of Administrative and Financial Sciences
Assignment-1
MGT 402-Entrepreneurship and small business
Due Date: 09/03/2024 (End of Week-7) @ 23:59
| Course Name: Entrepreneurship and small business | Student’s Name: Zainab Almalki |
| Course Code: MGT402 | Student’s ID Number: 180145033 |
| Semester: First | CRN: 23949 |
| Academic Year: 2023-24 | |
For Instructor’s Use only
| Instructor’s Name: Eman Alshami | |
| Students’ Grade: Marks Obtained/Out of 10 | Level of Marks: High/Middle/Low |
Instructions – PLEASE READ THEM CAREFULLY
- The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
- Assignments submitted through email will not be accepted.
- Students are advised to make their work clear and well presented; marks may be reduced for poor presentation. This includes filling your information on the cover page.
- Students must mention question number clearly in their answer.
- Late submission will NOT be accepted.
- Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.
- All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).
- Submissions without this cover page will NOT be accepted
- Weight 10 Marks
1. Describe the place of small business in history and explore the strengths and weaknesses of small business.
2. Design a solid projected financial plan and conduct a breakeven analysis for a small company.
3. Demonstrate the ability to deliver and communicate marketing massages in coherent and professional manner.
4. Illustrate the ability to think independently and systematically on developing a viable business model.
Assignment Workload:
This assignment is an individual assignment.
Start-up Business Plan
Assume yourself as an entrepreneur of a small startup business in Saudi Arabia.
Write brief notes on the following objectives:
- Owners, capital structure and company profile (2 Marks)
a. Your Business Name, Address, E‐Mail
b. Form of ownership: What is the legal structure? Sole proprietor, Partnership, Corporation….
C. Investment capital
- Company Business Description (300 – 400 words)
A. Scope and type of business (4 Marks)
What business will you be in? What will you do? What market segment will you choose?
• Business idea: what is your big idea? Is it a product or a service? What makes your idea different?
• Mission Statement
• Company’s short-term and long-term goals and objectives.
• Target market and demographics: Who will your customers be? Where do they live? What is your target market passionate about?
B. Business Philosophy (4 Marks)
What is important to you in your business?
• Describe your Industry: Is it a growth industry? What long-term or short-term changes do you foresee in the industry? How will your company take advantage of it?
• Describe your most important company strengths and core competencies: What factors will make the company succeed? What do you think your major competitive strengths will be? What background experience, skills, and strengths do you personally bring to this new venture?
• Risk Assessment: Evaluate the strengths and weaknesses of your business using SWOT.
•Who is your competition and how do you beat them?
Note: Use APA style of referencing
1. Owners, Capital Structure, and Company Profile:
a. Business Name, Address, E‐Mail:
- Business Name: Saudi Explore Tours & Travels
- Address: Riyadh, Saudi Arabia
- Email: info@saudiexplore.com
b. Form of Ownership:
Saudi Explore Tours & Travels will operate as a sole proprietorship. As the entrepreneur, I will be the sole owner of the business, responsible for all aspects of its operation and management.
c. Investment Capital:
The initial investment capital for Saudi Explore Tours & Travels is estimated at SAR 200,000. This capital will cover start-up costs, including licensing fees, marketing expenses, website development, and initial operating expenses.
2. Company Business Description:
A. Scope and Type of Business:
Saudi Explore Tours & Travels specializes in providing comprehensive travel services to both residents and visitors in Saudi Arabia. Our focus is on organizing and facilitating a wide range of travel experiences, including tours, transportation, accommodations, and related services. We aim to cater to the needs of domestic and international travellers who are seeking unique and authentic experiences within the kingdom.
Our services will encompass everything from arranging guided tours of historical sites and cultural landmarks to coordinating transportation and accommodations for travellers exploring the diverse landscapes of Saudi Arabia. Whether it’s a cultural excursion to the UNESCO World Heritage site of Al-Hijr (Madain Saleh), a thrilling adventure in the vast deserts of Rub’ al Khali, or a relaxing beach getaway along the Red Sea coast, Saudi Explore will curate tailor-made travel experiences that showcase the best of the kingdom’s offerings.
By focusing on delivering high-quality, personalized services, we aim to attract travellers who are seeking immersive and memorable experiences beyond conventional tourist attractions. Our target market includes individuals, families, and groups who are passionate about exploring the rich heritage, natural beauty, and cultural diversity of Saudi Arabia. Through innovative tour packages, exceptional customer service, and a commitment to authenticity, Saudi Explore aims to become a trusted partner for travellers seeking unforgettable adventures in the kingdom.
Business Idea:
At Saudi Explore Tours & Travels, our business idea centers on providing curated travel experiences that highlight the abundant cultural heritage, natural wonders, and diverse attractions of Saudi Arabia. Unlike conventional travel agencies that often prioritize mainstream destinations, we aim to specialize in promoting off-the-beaten-path locations, immersive cultural experiences, and adventure tourism opportunities within the kingdom.
Our vision is to offer travellers a chance to delve deeper into the authentic essence of Saudi Arabia, beyond the commonly visited tourist spots. Whether it’s exploring ancient archaeological sites such as Al-Ula and Al-Hijr (Madain Saleh), venturing into the expansive deserts of the Rub’ al Khali, or discovering hidden oases nestled amid rugged mountain ranges, Saudi Explore seeks to unveil the lesser-known gems of the kingdom.
Moreover, we are committed to showcasing the rich cultural tapestry of Saudi Arabia through immersive experiences that allow travellers to interact with local communities, participate in traditional festivities, and savor authentic cuisine. From cultural festivals and heritage tours to culinary adventures and handicraft workshops, Saudi Explore will curate a diverse range of experiences that provide insight into the kingdom’s vibrant heritage and traditions.
Additionally, adventure tourism will be a key focus area for Saudi Explore, catering to thrill-seekers and outdoor enthusiasts looking to embark on adrenaline-pumping excursions such as desert safaris, hiking expeditions, and scuba diving trips along the Red Sea coast. By offering unique and off-the-beaten-path travel experiences, Saudi Explore aims to appeal to a growing segment of travellers seeking authentic, immersive, and memorable adventures in Saudi Arabia.
Mission Statement:
To inspire exploration, foster cultural exchange, and create unforgettable travel experiences that showcase the beauty and diversity of Saudi Arabia.
Short-term and Long-term Goals and Objectives:
- Short-term: Establish a strong online presence, build partnerships with local tour operators and accommodations, and launch marketing campaigns to attract the initial customer base.
- Long-term: Expand our range of travel services, diversify into niche markets such as eco-tourism and luxury travel, and become a leading provider of experiential travel experiences in Saudi Arabia.
Target Market and Demographics:
Our target market includes:
- Domestic travelers: Saudi residents seeking weekend getaways, family vacations, and cultural experiences within the kingdom.
- International travelers: Tourists interested in exploring the hidden gems, historical sites, and natural wonders of Saudi Arabia.
- Adventure seekers: Outdoor enthusiasts, hikers, and adrenaline junkies looking for unique adventure tourism experiences.
B. Business Philosophy:
Industry Description:
The travel and tourism industry in Saudi Arabia is poised for rapid expansion, propelled by the government’s ambitious initiatives to promote tourism and diversify the economy (Albuhlul, 2022). With the recent relaxation of visa regulations and substantial investments in tourism infrastructure, the industry is witnessing unprecedented growth and transformation. These developments present lucrative opportunities for entrepreneurs to tap into the burgeoning travel market in the kingdom.
Saudi Arabia’s rich cultural heritage, diverse landscapes, and historical landmarks make it an attractive destination for domestic and international travelers alike (Mazzetto, 2022). From the ancient ruins of Al-Ula to the vibrant cities of Riyadh and Jeddah, the kingdom offers a myriad of attractions waiting to be explored. Moreover, with the advent of Vision 2030, a comprehensive plan aimed at reducing the country’s dependence on oil and fostering economic diversification tourism has emerged as a key sector for driving growth and employment.
The relaxation of visa regulations, including the introduction of tourist visas for the first time, has opened up Saudi Arabia to the world, allowing travelers from around the globe to experience its unique culture and hospitality. Additionally, the government’s investment in mega-projects such as NEOM, the Red Sea Project, and Qiddiya aimed at developing world-class tourism destinations further underscores the kingdom’s commitment to becoming a premier tourist destination (Aloulou & Alarifi, 2022).
In this dynamic landscape, Saudi Explore aims to carve a niche for itself by offering innovative and immersive travel experiences that cater to the evolving preferences of modern travelers. Whether it’s exploring the ancient Nabatean city of Madain Saleh, embarking on a desert safari in the Empty Quarter, or indulging in luxury accommodations along the pristine shores of the Red Sea, Saudi Explore seeks to curate unforgettable journeys that showcase the best of what the kingdom has to offer.
By leveraging technology, local expertise, and strategic partnerships, Saudi Explore aims to differentiate itself in the market and establish itself as a leading provider of experiential travel experiences in Saudi Arabia. With a keen focus on quality, authenticity, and customer satisfaction, we are committed to reshaping the travel landscape and unlocking the full potential of tourism in the kingdom.
Company Strengths and Core Competencies:
- Expertise in Saudi Arabian travel: Our team possesses in-depth knowledge of the local culture, geography, and attractions, allowing us to design authentic and immersive travel experiences.
- Strong network: We have established partnerships with local tour operators, accommodations, and transportation providers, enabling us to offer competitive prices and seamless service.
- Personalized approach: We prioritize customer satisfaction and aim to tailor our services to meet the unique preferences and interests of each traveler.
Risk Assessment (SWOT Analysis):
Strengths:
- Unique travel offerings showcasing the diverse attractions of Saudi Arabia.
- Strong network of local partners and suppliers.
- Personalized customer service and attention to detail.
Weaknesses:
- Reliance on external factors such as political stability and economic conditions.
- Initial capital investment required for marketing and infrastructure development.
- Competition from established travel agencies and online booking platforms.
Opportunities:
- Growing demand for experiential travel and adventure tourism.
- Expansion of tourism infrastructure and government support for the industry.
- Increasing interest in sustainable and eco-friendly travel options.
Threats:
- Political instability and security concerns in the region.
- Economic fluctuations affecting consumer spending on travel.
- Competition from international travel agencies and online booking platforms.
Competition and Competitive Advantage:
Our primary competitors include traditional travel agencies, online booking platforms, and local tour operators. To differentiate ourselves, we will focus on:
- Offering unique and off-the-beaten-path travel experiences.
- Providing personalized service and attention to detail.
- Leveraging our local expertise and network of partners to offer competitive prices and exclusive deals.
- Investing in digital marketing and social media to reach a wider audience and build brand awareness.
In summary, Saudi Explore Tours & Travels aims to capitalize on the growing demand for experiential travel experiences in Saudi Arabia by offering unique, personalized, and authentic travel services. With a focus on innovation, customer satisfaction, and local expertise, we aspire to become a leading provider of travel experiences that showcase the beauty and diversity of the kingdom.
References
Albuhlul, E. A. M. (2022). The Potential Role of Sports Tourism in Supporting Local Economies in the Kingdom of Saudi Arabia (Doctoral dissertation, Flinders University, College of Humanities, Arts and Social Sciences.).
Aloulou, W. J., & Alarifi, M. (2022). The Context for Business in Saudi Arabia. In Understanding Contexts of Business in Western Asia: Land of Bazaars and High-Tech Booms (pp. 477-494).
Mazzetto, S. (2022). Sustainable Heritage Preservation to Improve the Tourism Offer in Saudi Arabia. Urban Planning, 7(4), 195-207.
