Before starting a business, there should be some valid market research pertaining to the market as well as entire industry (Finch, 2013). The present report is going to deal with the business idea of supplying of rose oil from Bulgaria to England. The objectives of business is to investigate into rose oil industry of Bulgaria as well as to find out the feasibility of business idea of supplying rose oil from Bulgaria to England. For this regard, a market reach is going to be carried out along with section of diffe
A) Viable marketing related research on business for the supply of rose oil from Bulgaria to England
His business idea is for the supply of rose oil from Bulgaria to England. Herein, the research indicates that oil rose is a symbolic plant species for Bulgaria. The country is well known for large scale commercial enterprise production and the best quality of the produced rose oil. The significant historical records have pointed out that the production of rose was started in Bulgaria in 16th century (Kovacheva and Rusanov, 2015). The largest production of rose have enabled this country people to go for manufacturing of rose water and rose oil. It has been witnessed that Bulgaria is the largest exporter of rose oil and is well known for quality producers of rose oil (Perfume & Cosmetics Manufacturing in the UK: Market Research Report, 2015).
Previously, the largest part of harvested rose flowers within Bulgaria was used for manufacturing rose oil. However, in the preset era, 90% of rose flower are used to produce rose oil in Bulgaria. According to the market research, it has been witnessed that annual production of Bulgarian rose oil was 870 and 2000 kg in last 15 years (Kovacheva and Rusanov, 2015). The fluctuation in production of rose oil is due to unfavourable climate conditions. The rose oil is directly to sell in the markets however, producers and suppliers have strong connections through out supply chain.
The application of secondary information has presented that the rose oil is used in the cosmetics industry for the production of Shampoo, shower gel, face cream, essential oils and many others . The rose oil producer country is going to increase competitiveness be the means of reducing production costs, introducing superior quality as well as by increasing the volumes of organic rose oil. Following table represents the importers of rose oil :
Illustration 1: The main destinations for Bulgarian rose oil export
(Source : (Kovacheva and Rusanov, 2015)
England's cosmetic manufacturing companies have specific need in regard to rose oil for the production of cosmetic goods. However, the prices of rose oil are too high and it can be purchase in affordable prices just only adopting bulk purchasing. As per the predication made by rose-growers and rose oil producers, the expected size of rose plantations in Bulgaria could be at least 1500-2000 kg on annual basis. Nonetheless, the adoption of efficient production practices would be used for making further development in rose industry. The establishment of new rose plantations is not the solution of rose oil sector. The present business idea is of supplying rose-oil in England however, it is quite important to identify the demand of rose oil in the region.
Within England, it has been witnessed that Perfume and Cosmetics Manufacturing industry is expanded over last decades, instead of being a mature industry. Nonetheless, the manufacturers have been shifted to alternative goods for manufacturing so that products can be sold at lower prices while reducing cost of production (Perfume & Cosmetics Manufacturing in the UK: Market Research Report, 2015). The purchasing power of consumer in England have been waned and the customers are looking for cheaper alternatives. However, the fashion industry is having growing demand for the products that are used of rose oil, hence, the business owner can have opportunities of selling rose oil in England.
B) Literature review on issues to determine the issues
The reports herewith is based on a business idea of supplying rose oil from Bulgaria to England. However, the market of rose oil is growing day by day but it is riskier to enter into the market without having a proper market research. The investigation is going to identify the issues that may be faced in the market of England. The investigation conducted by Jones and Penaluna, (2013) evident that the production of oil rose is seen fluctuated in past years that will significant affect the supply of sun product. As a new venture is coming with an idea of supplying rose water from Bulgaria to England then , it has to face issue regarding to availability of rose oil.
Nonetheless, Finch (2013) represented that in supply process companies have to face issue in regard to the transportation and with the present case supply of rose oil is affected by transportations. The owner can have specific problem to the transportation between Bulgaria to England. The major of investigation is to find out the cheaper transportation from Bulgaria to England. However, the producers are well known but transportation can be problem that is going to be faced by new business.
In addition to that, Kovacheva and Rusanov (2015) represented that rose oil is too expensive and the rose oil industry of Bulgaria is having higher production cost which is the major factor behind the increased price of rose oil. For a supplier, it will be costlier to transport rose oil to England and it would become difficult to get hinger products from this business. The demand of rose water in England is the major factor that affects the business idea of new business. In the investigation conducted by Kovacheva and Rusanov (2015) presented that perfume and cosmetic industry of England is going to have cheapest way to produce cosmetic products because the consumption power of people have been reduced and they are demanding for cheaper and low priced quality products. The business owners assume that it can be only possible through making the production cost as low as possible. The investigation presented that cosmetic industry of England is moving towards low cost raw material but rose oil is a expensive products. This can be seen as the problem that could be faced by new business (Perfume & Cosmetics Manufacturing in the UK: Market Research Report, 2015).
Furthermore, the investigation conducted by Jones and Penaluna (2013) stated that major challenge to the rose industry is of increasing volume and proportion of the produced organic rose flower and oil. The rose oil industry of Bulgaria is also facing such issues however, it is required to have a proper research. Nonetheless, it has been investigated that the market is steadily growing market demands for organic rose flower and oil during the last decade. The production of organic rose flower and oil requires adoption of new rose growing practices, separate harvesting and processing of the rose flower. Another issues that can be faced by the business owner is related to export export rule and regulations. It has been witnessed that the industry is going to have variations inn production of rose oil that impacts the availability of products and affect the suppliers. There are some of the gaps that affects the business and can turn into the issues of business. The manufacturers of cosmetic industry are going to evaluate the prices of rose oil that will also affects the business. Furthermore, it significantly impacts revenue as well as profit.
C) Three smart research objectives
This marketing research is based on a business idea of supply of rose oil from Bulgaria to England. Prior to start a business it is important to come up with the proper research that can provide a clear idea of business opportunities (Bowling, 2009). As per the given information business owner have good contact with producers of rose oil so the business of supplying of rose water from Bulgaria to England is chosen. The objectives of present industry are here under:
- To investigate into rose oil industry of Bulgaria
- To find out the feasibility of business idea of supplying rose oil from Bulgaria to England
- To study the issues that may be faced during real implementation of business idea
The objectives described in the above section are showing that the investigation is going to conducted in a fruitful manner as it is important to identify the opportunities of business before get started (Bryman,2012).
D) Ways of collection of Data to address research objectives along with research Methodology
Market research is associated to collect suitable information in regard to business problem. In the investigation, it is important to access the market information that will further helpful in taking business decision. The problem of present business case is to find out the feasibility of business idea to supply rose oil from Bulgaria to England. For this investigation, the information is going to be collected from primary and secondary sources. The primary data collected method in which the information is collected from the first time on the other hand secondary data collection sources are the sources from which the information is already exist as gathered from other people. In this way, information is going to be collected from various sources (Rigorous, 2011).
Research paradigm are known as continuum that are referred to scientific as well as different metaphysical beliefs, and such beliefs can be used into a theoretical framework so as to test significant theories. The present report is going to identify the feasibility of business proposal hence, the use of qualitative research techniques and theories related to trade can be understood in effective manner (Aveyard, 2011). The feasibility of business idea will be analysed using qualitative technique, however, some quantitative techniques will be used to assess the primary data for this market research. The use of qualitative research technique is useful in evaluating subjective aspects of investigation.
For this investigation positivism research philosophy will be used because mostly the data are going to be collected from secondary sources. Furthermore, to investigate into primary sources, descriptive research design will make in use. The investigation is going to include objective aspects for researching into business idea. The primary data will be investigated using deductive research approach. The use of descriptive research design will be more suitable as the topic requires to conduct in-depth study into fact and figures related to issue.
Data Collection Techniques
As earlier stared that the data are going to be collected from primary and secondary sources, hence, both the techniques will be used to collect the data. It has been witnessed that secondary data can be collected from the books, journals as well as the online articles. On the other hand, for collecting primary data a questionnaire is going to be designed (Creswell, 2009). The respondent of questionnaire will be the manufacturers of cosmetic products in England. The data will be collected by meeting them personal and encourage them to fill the questionnaire.
Sampling is the method that is used to identify the suitable population for the investigation. For this investigation simple random sampling method is used as to give equal chance to the population i.e. manufacturers of cosmetic products to be selected in research (Fink, 2010). The sample size will be 15 manufacturers of cosmetic products in England.
Gantt chart and project timelines
The report above presented the market research that has been done carried out for checking feasibility of business idea i.e. supply of rose oil from Bulgaria to England. The report explained that the businesses owner is going to face such issues to implement the business idea however, there are opportunity for earning profits. For this, data are going to be collected from primary as well as secondary sources.
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