SM5065 Cultural and Creative Industries

The objective of this paper is to discuss business model canvas that include their key partners, key activities, value propositions, customer relationships, customer segments, key resources, marketing channels as well as cost structure and revenue streams. In addition to that, the paper will also provide detailed discussion about target market and customer segmentation so that the firm can achieve their goals. It is followed by value chain and discussion about the pest or external business environment. Lastly, an appropriate conclusion with recommendation is provided for the paper.

The aim of this paper is to discuss business plan of the new costume firm named, “Drapes for all”. This is a start-up business that is focussed to manufacture and design wide range of premium quality costumes for the business. Value propositions of this brand is premium quality product at a minimum price range that can help them to gain a competitive advantage and enhance their sales or overall profit margin. Under covid situations or pandemic situation, this competitive advantage can help them to achieve their strategic goals. The brand will emphasize on manufacturing clothing for all types of customer base (this includes women, children and men).

The objective of this paper is to discuss business model canvas that include their key partners, key activities, value propositions, customer relationships, customer segments, key resources, marketing channels as well as cost structure and revenue streams. In addition to that, the paper will also provide detailed discussion about target market and customer segmentation so that the firm can achieve their goals. It is followed by value chain and discussion about the PEST or external business environment. Lastly, an appropriate conclusion with recommendation is provided for the paper.

From the above analysis of business model canvas of “Drapes for all”, it is studied that the key partners of this business are investors, consumers, suppliers and other major stakeholders. This has helped them to improve the overall business approach and enhance their customer base both in short term as well as in the long term (Erasmus, Strydom & Rudansky-Kloppers, 2017). On the other hand, key activities of this firm (Drapes for all) include manufacturing wide range of costumes for premium quality. The key activities also involve marketing and promotions along with strategies for improving customer relationship. Lower product price and premium product quality with easy accessibility are the three major components of value propositions for this brand. Long lasting and beneficial relationships are established with the B2B and B2C customers with the help of customer relationship management that can benefit the firm in long run. Target market for this business is young customers and price sensitive customers, who are highly concerned with the latest fashion trends.

The key resources for this firm are shops, online stores as well as design agencies. In addition to that, the physical stores, digital or online stores will be used as a marketing channel. From the above model, it is observed that the firm is faced with higher business expenses due to rise in expense on advertisement and marketing, cost remuneration among employees, cost of raw materials and cost of the product design. In addition to that, the revenue streams of this brand include sales of the products and sales of the assets. They will also gain revenue from commission rates.

Determination of the customer segmentation is essential for any brand as it can help them to improve market position of the brand and also increase overall sales (Kalam, 2020). In addition to that, the concerned business might gain a competitive advantage by targeting the young customer base (Scarborough, 2016).

1. Psychographic segmentation- In this section, the brand will target customers who are highly concerned with the latest demographic trends and those are concerned with social image. Targeting the customers who are highly sensitive about social image will help the firm to achieve significant growth (Radovic Markovic & Salamzadeh, 2018).

2. Geographic segmentation- The target market of this brand involves all regions across Australia. In addition to that, the brand will also target customers in local regions as well.

3. Behavioural segmentation- Customers who show frequent purchase of the products or latest costume in any regions of Australia will be the primary target of this brand.