4.

Business Model Weaknesses

While developing our business model and examining our competitor’s business model
we discovered some weaknesses in our model. We also received feedback from the company
and its investors regarding other weaknesses in the model. They are stated below.

 Unreliable cash flow at beginning of start-up.

 Small staff with minimal knowledge of the machinery and its maintenance.
 UpcylCO would be vulnerable to the pandemic.
 Products will reach customers at a slow rate.
 Improper marketing may cause low demand in service.

5. Competitive Strategies

While formulating the business model several competitive strategies where devised to
aid in boost of sales and grant advantages over our competitors after analysing their strategies
and business model. According to Michael Porter, there are four types of competitive
strategies; Cost-Leadership Strategy, Differentiation Strategy, Focus Strategy and Cost
Focus Strategy. UpcylCO will be employing the Cost-leadership strategy where our products
prices are more affordable compared to our competitors. The raw materials, coconut husks,
needed for our production will be acquired at the lowest possible price and we are equipped
with the best machinery to properly manufacture quality products, coco peat and chips.

UpcylCO plans to sustain this advantage over the competitors by being efficient in our work,
always providing the best quality of products and having fast customer responsiveness.
UpcylCo will be constantly improving the quality of products produced and services provided
by employing the best machinery available. Our competitive strategy partnered with our
competitive advantage and our willingness to adapt to our constantly changing market will
help us topple our competitors by providing affordable, high-calibre products.
"Competitive Strategy: Four Types of Competitive Strategy." IEduNote. Last modified
February 8, 2021. https://www.iedunote.com/competitive-strategy.

"SWOT Analysis: – How to Develop a Strategy For Success." Management Training and
Leadership Training - Online. Accessed October 12, 2021.
https://www.mindtools.com/pages/article/newTMC_05.htm.