Business ethics
Analyse sectorielle : Business ethics. Recherche parmi 300 000+ dissertationsPar Jnrmamaz • 8 Mars 2019 • Analyse sectorielle • 3 042 Mots (13 Pages) • 507 Vues
Business and Entrepreneurship
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Business and Entrepreneurship
Describe The Value Proposition of the Innovation: What Is It, Who Is It for, What Are the Compelling Benefits for The Target Market.
The value proposition is the assurance that is given to a customer to make them believe that cannabis company will deliver value to them. It explains the profits that the company have to offer, who the company is offering the profit, and the company is the best chosen in delivering the benefit. However, it is crucial to develop the value proposition that it be clear and concise. The value proposition consists of the target buyer, the problem to solve, and the reason for being the best candidate for the work. Focusing on people through conducting market research to know their needs as well as keeping in mind the purpose of the value proposition which is to find and satisfy unmet needs of the target demographic group (Bouchard & Dion, 2009).
It is not easy to determine the actual value of cannabis company in any business. However, its value is very crucial in preparing for the engagement with suitors of business. The emerging cannabis industry provides many opportunities to a wide variety of skill sets. It is clear that it provides a major global economic driver as well as in Canada. Jobs are being created through the engagement of selling cannabis, the creation of new technologies are being deployed and capital is flowing which has improved the economy (Bouchard & Dion, 2009). Therefore, cannabis is highly valuable.
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Porter’s Five Forces for The Company to Be Successful
Porters five forces model which give the analysis concerning the competitive environment in which the cannabis company operates and the markets where products is sold. The product here specifically is the cannabis which is aimed at treating some few individuals suffering from pain as well as those with anxiety and depression. Cannabis can be used to treat in many ways for example compounds found in cannabis helps in supplementing the endocannabinoid receptors and speeding up the recovery and growth of tissues. For those few individuals who have used marijuana, have admitted that it is helpful in solving issues concerning anxiety, pain and depression. It balances and align the system of endocannabinoid system, which provides relief for the individuals who are depressed in various ways. Therefore, there is a positive connection between cannabis and the management of pain, anxiety and depression. It lightens the mood and reduces other symptoms of depression such as the loss of appetite, anxiety and insomnia. Carrying out this kind of business may not be easy since it is termed as illegal business in some countries unlike few such as Canada. Even though it is legal in Canada, there are some rules that guides the sale and the consumption of the plant in the country. For the company to engage in selling cannabis to its potential customers, it should be done according to the rules, such as they should ensure only customers above 18 years, and 30 grams for an individual. Also, provide a place for the consumption of the product without interference. Therefore, the company requires to adhere to the rules for it to be licensed in the sale of cannabis. (Bouchard & Dion, 2009).
However, in Canada, it is legal to engage in selling cannabis, thus companies that are involved in selling cannabis need to carry out the business under the rules and regulations, rules such as not travel with cannabis, especially outside the country, individuals understanding the risks of wrong usage of cannabis. Working under the laws will enhance the success of the business thus for the Cannabis company requires to ensure the las are active and in use for the business to continue its operation.
For the company establish successful business, there are some market analysis that need to be carried out to ensure that, the needs which are not met of the target group will be met at the same time to ensure will emerge the best to outshine the closest competitors. The market research will help in identifying ways of increasing the demand of the product. It is like finding the market opportunity that is aimed at becoming the best company of selling cannabis to its potentials customers.
Besides, the employment of qualified staff, understanding of the federal state and the local regulations, the access to license, industry focus and team work in the cannabis industry will actually promote the achievement of the company objectives and make much profit. The focus and other important factors keeps the company on track which will ensure the objectives are met at the end of the financial period.
Attributes and Effects in Regard with Cannabis
The usage of marijuana seems to have both positive and negative effects. However, ta first place the positive side of the cannabis is the usage of treating of the anxiety, depression and pain. From the research that has been conducted, the compounds of marijuana seem to have a great help to people with treatment resistant epilepsy. From some of the individual who have reported that marijuana is the only thing which helps in controlling their or their children’s seizures. Therefore, marijuana performs it work in a better way when positively used. On the other hand, when marijuana in wrongly used it may cause a lot of problems such as addiction which may even end up causing cancer for some individuals. The smoking of marijuana in most of the time are affected in the livers due to wrongly use of marijuana. It is important and good enough if it is prescribed well and used as per the prescription.
There are five porter’s forces that acts on the business of cannabis on the table below.
Porters 5 forces | Forces acting on the project | One overall hi/med/lo rating | Hi and lows |
The threat of entry | Allowing the entry into the market from any channel or industry greatly affects the business. | The rating is relatively high if the business is strong and has proper research. | Allowing the entrance of other entrepreneurs into the market creates competition which is good in ensuring the quality goods in the market. On the other hand, the lows are such as stiff competition from other sellers. |
Supplier power | Basically is the power of supplying the products to the identified demographic group in need with minimum cost that will promote the maximum profit. | The rating is relatively high if the business is strong and has proper research. | In the identification of the unmet needs of targeted group, enhances high sales. On the other hand, it makes hard in life to transport risky goods over a long distance which may end up being too expensive. |
Buyer power | This is the number of people are attracted to the business. It greatly depends on the type of good, price and the business terms. Requires the entrepreneur to critically carry out the market research to enhance the buyer power. | The rating is relatively high if the business is strong and has proper research. | The more number people or consumers into the business will facilitate the success of the business. The main aim of starting the business is to serve the consumers. However, on the other hand the lows, lack of purchasing power of the consumers will not promote the business success. |
Threat of substitutes | With the presence of the substitutes in the market, they may hinder the entrepreneur in taking over the market. For the cannabis, there are some of the alternatives such as opioid-based pain medication that can be used in treating pain for people and individuals with anxiety and depression. | The rating is relatively high if the business is strong and has proper research. | Substitutes exists in the market of selling cannabis that is used in the treatment of pain, however, for the business to succeed the owner needs to produce an outstanding product that cannot be matched by any competition. On the other hand, the presence of the substitutes in the market hinders the success of the business, thus, it is important to carry out market research before setting up business with substitutes. |
Competitive rivalry | Basically is the existence of different companies producing the same product. However, the idea here is to become the chosen one. This can be dome through critical analysis of the market froes and the needs that are required to be satisfied. | The rating is relatively high if the business is strong and has proper research. | Outshining the competitor is one way of business success, there are many ways to improve the business so that you become the chosen as compared to the rivals. On the other hand, businesses set in a competitive environment faces many challenges, with challenges hinders the business success. |
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