business development That means we have to sell 32 pairs of designer jeans per week
In class we conducted a activity to help us with the task, we worked as a group we had to pick a product to sell which we chose a designer jeans, are business was open for 50 week in the trading year. That means we have to sell 32 pairs of designer jeans per week (1600/50 weeks) in order for the business be safe I have to sell average of 32 jeans.
Break-even sale=fixed costs/contribution
I have highlighted my break-even analysis chart, on my diagram below. This gives the owner of designer jeans company a clear indication where it is, and what the owner need to do to break-even. The chart makes the process easier when opening a new business, business by making a chart it shows the loan company at what time the owner expect to gain profits. I can now calculate were my business is going in long term.
From the table I have provided I can now see that if I sell 40 pairs of designer jeans per week I would make about £10000 profit for the trading year, I process the information that I have provided to excel and produced a graph, the graph below shows were I break-even.
The graph I have provided it shows that I break-even quickly (at 70.00-3) (business is safe) than I started making profits easier.
Total Costs/ the total cost is all the business needs to pay which is determined by adding the variable cost to ...
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From the table I have provided I can now see that if I sell 40 pairs of designer jeans per week I would make about £10000 profit for the trading year, I process the information that I have provided to excel and produced a graph, the graph below shows were I break-even.
The graph I have provided it shows that I break-even quickly (at 70.00-3) (business is safe) than I started making profits easier.
Total Costs/ the total cost is all the business needs to pay which is determined by adding the variable cost to fixed costs. As the volume of production increases, total cost increase as more money is going towards variable cost
Revenue / is all the money coming in the organisation.
Profits/loss is basically all the money coming in to the business after expenses.
Introduction
Task 1
The aim of this assignment is to analyse and describe how two different types of organisation which operate for difference reasons (one profit making organisation Sainsbury and a charitable organisation Oxfam) can achieve their aims and objectives.
In order to complete this task effectively a variety numbers of research is required. I will be using the internet to help me find out the annual report of companies plus their aims and objectives in order to meet the requirement of the assignment.
Oxfam Charitable Organisation
Oxfam is a charitable organization that aims at making the world a better place to live in and a world where there is no longer poverty and suffering. They want to help ensure that every individual is assured of a sustainable livelihood, education and health, life and security, a right to be heard and a right to equity.
As it is a not profit organization Oxfam relied mainly on donation from people all over the world. Oxfam have many charitable shops that collect it donation. The donation varies it could be anything from: records, clothes, money, books etc.
D1
One example of the activity carries by Oxfam
In 2004 Oxfam carry out Music month an activity that helped them raise almost 100,000. This large donation came mainly from 25,000 vinyl records from Downtown Retail in Belfast.
The main purpose of Oxfam Music Month is to raise more money to overcome poverty and suffering throughout Africa. They also want to raise the profile of music in Oxfam shops, and let people know they can come to Oxfam not just for CDs and videos at bargain prices, but for rare and collectible records too. Donated records and CDs are becoming a hugely important source of income for many of Oxfam shops and during 2005 they intend to increase dedicated music sections in many of their outlets.
It is not easy running a charitable organization it require a lot of work one of them is tying to make people aware of the poor situation that others are accoutring in other part of the world.
Money spent on our Aims & Objectives shall not be less than 80% of the agency's total expenditure and the administrative costs shall account for at most 20% of the agency's total expenditure. In the 2001/02 year, the money spent on our Aims & Objectives was 81.6%.
Sainsbury's
TASK 1
Sainsbury is an organization that operates to make profit for it shareholder. This company is best known as a supermarket retailer. But it has a series of other activities. Its full list of operations is as follows: Sainsbury's Supermarkets. Sainsbury ‘s local, Bells Store, Jacksons Stores and JB Beaumont, Sainsbury’s to you and Sainsbury’s Bank. It employs 153,000 people.
They objective are to serve customers well and provide shareholders with good, financial returns. They aim to ensure all staff have opportunities to develop their abilities and are rewarded for their contribution to the success of the business. Sainsbury’s policy is to work with all of they suppliers fairly, recognising the mutual benefit of satisfying customers' needs. the other aim is also to fulfil responsibilities to the communities and environments in which they operate.
Sainsbury's goal is to deliver an ever improving quality shopping experience for customers with great product at fair prices. They aim to exceed customer expectations for healthy, safe, fresh and tasty food making their lives easier everyday.
D1
key feature of Sainsbury's business
Sainsbury’s focus on customer/market segmentation. Sainsbury's divide their customer base into 10 separate segments. Customer intelligence is gathered through analysis of Nectar Card (formerly Reward Card) purchases. This information is used to tailor what Sainsbury's offers in terms of goods and services to an appropriate market segment. Sainsbury's tries to do this by having stores that are differentiated, reflecting the variety of market places that they occupy.
In order to make the most of their 463 stores, these are classified according to three different formats:
∙ 275 stores are classified as 'Main Mission' outlets. This means they concentrate on providing for the weekly family shop. These stores vary in size between 20 000 and 48 000 square feet
∙ 64 stores are in the 'Main Plus' format. These are the very large supermarkets (otherwise known as hypermarkets). They occupy in excess of 45 000 square feet area and focus on a wider range of food products as well as more non-food items
∙ The remaining 124 stores are in the 'Mixed Mission' format. They include Sainsbury's Central (which range from 7000 and 20 000 square feet) and Local stores (ranging from between 2000 and 6000 square feet area)
one of Sainsbury aims is to make shopping more quick and effortless for customers. In order to find out, how this can be done the marketing and research department has to look into this case. This cost Sainsbury’s money. Which the finance department has to produce, because of it pyramid structure it could take time for the finance department to receive the information from the marketing department and also for the finance department to reply back. The all point is that Sainsbury’s structure can have a big disadvantage in the running of they business in order to avoid this situation from happening they need to make sure that correct information rich the correct people on time.
In order for any organization whether profit making or charitable organization to meet they goals, achieve it aims and objectives they will need to have
-Human resources: this includes people working for the organization, it is very important in another word (staff)
Sainsbury believe that in order to make customers happy the staff should be happy too. They believe if there is a family atmosphere it will make the staff enjoy what they are doing and customers would benefit.
-Physical Resource such as building , equipment, because staff can not work out side.
-Financial resources and technology resource a very important element in the running of today’s business