UNIVERSITY OF SUNDERLAND PROGRAMME

ASSESSMENT COVER SHEET / FEEDBACK FORM

Student Name and ID: Module Code and Name:

Samarkhodjaev Saidvali BH25JJ UGB 234 Managing Entrepreneurship, Innovation

and Creativity

Center; College: Due Date: 06 May 2019 Hand in Date: 2019.

Assessment Title: Individual Assignment

Learning Outcomes Assessed:

Learning Feedback relating learning outcomes assessed and assessment criteria given to
Outcomes students:
Assessed:

Areas for Commendation:

Areas for Improvement:

General Comments:

Assessors Signature: Overall Mark (subject to Moderators Signature:

ratification by the assessment
board)

Students Signature: (you must sign this declaring that it is all your own work and all sources of
information have been referenced)

Content
ASSESSMENT COVER SHEET / FEEDBACK FORM...............................................................1
 ..........................................................................................................................................1
Part 1........................................................................................................................................3
My story................................................................................................................................3
Part 2........................................................................................................................................4
Creative destruction. How is technology and new business models disrupting society?......4
Technology............................................................................................................................4
Part 3........................................................................................................................................6
Business concept plan...........................................................................................................6
Introduction......................................................................................................................6
Market research...................................................................................................................7
Secondary research:.............................................................................................................7
Primary research:..................................................................................................................8
Target market.......................................................................................................................8
Marketing.............................................................................................................................9
Human resource...................................................................................................................9
Legal issues.........................................................................................................................10
Operations..........................................................................................................................10
Risks....................................................................................................................................11

Part 1
My story
I have a nice opportunity to describe the entrepreneur skills of my family and

whom I admire most as a successful business runner. Looking back to my childhood

the only person that I admired was my father Samarkhodjaev Iskander and still

remains him. I wondered how he was earning the money and the way of his thinking

to innovate and bring his products to a new level or the way how to find the best

decision for solving organizational problems. However, when I was a child he was not

sharing much with me talking about his difficulties at work. As a matter of fact, he

was trying to explain how to communicate with people in a right way, moreover he

explained his tactics and all effects that could be after them. My father himself started

working from his early ages, with my grandfather they came up with an innovative

idea related to the system for sewing machine. The main idea was to separate the

metallic roller in torque in order to avoid rubbing between them. For this type of

innovation, they got a copyrights. Nowadays, by observing my father’s success in his

life, I set a goal to surpass him. And the business plan with the plan of how will I

surpass him are showed in the third paragraph of this assignment.

Part 2.
Creative destruction. How is technology and new business models disrupting
society?
In the area of globalization technology and society are developing non-stop

day by day. Of course it leads to the progress of civilization, but on the other hand it

has incorrigible negative effect. To be more exact, it become a reason of destructing

the society. Referred to Joseph Schumpeter, Creative destruction is a constant

development of product and processes in terms of innovation by which the new ideas

are replacing the outdated mechanisms of work. This paper is intended to analyze how

society is disrupted by such factors as technology and new business models.

Technology.
Today, technology has a huge impact on people, it became one of the most

necessary tool of modern society. Despite of the fact that it simplifies our life, it

increases level of laziness and decrease social communication which as a matter of

fact is one of the most important factor in running business. Paul Mobley in his article
“Technology reduces laziness” confirmed that technological advancements are pulling

down the physical labor (Mobley 2006). As more technology progressing, as more

people are degrading physically and mentally. For instance, technology availability

gives an opportunity to get all information whether it is necessary or not. People are

used to solve any problem that they face through the surfing the internet. A few

decades ago, people had to use their intellectual capabilities, ask people for the

advices, read books for making a researches, gather information to use a garbage can

model and from that make their own and possibly right decisions. However, today

everything is changed, the majority of people, especially young generation stop

thinking themselves and rely to internet sources whether it reliable or not.

Consequently, our brains are losing its natural features to think and analyze. In my

assumption, thus, the future generation will completely get rid of independent

thinking that will lead to regression. In addition to this, people become less sociable.

In fact, social networks allow us to communicate online. The love and emotions are

absent from communication. People just forward the content. the communication is

manipulative. It’s based on data, market demand, reputation in the society and

popularity. Society treats the rich and poor differently. Society selects the leaders

based on popularity and not on principle and merit. Now these things are reducing the

love, trust and emotions in good people. It’s was not this way earlier, because people

did not have access to other state’s content and viral things.

Do we communicate with respect? We are affected by technology and living

competition on this earth.

Today we are ready to communicate with almost anyone, and many of us do

not have time to communicate because we are busy in our own life and problems. We

don’t have time for others without meaning (money, reputation).

Nowadays, the business is gaining new momentum. To be more specific, many

organizations are trying to get online system. There a so many social programs in
which companies are implementing their advertisements and developing the

marketing sphere. For example, online shops, on one hand, this type of

communication is increasing brand recognition of the company, on the other hand,

people do not see all the benefits of the product at all. There is a dark side of making

business online. For instance, to buy any product person have to enter all his personal

information and credit card data, this opens up many opportunities for network thieves

to make fraudulent transactions. There are several negative ways of using online

shopping:

1 – Scammers create fake sites posing as legitimate companies and offer

online shopping and many customers trust them to enter credit card data, thereby

becoming victim of robbery. Thus, people become distrustful to everyone. However,

people should authenticate the site before doing something there. The second problem

is that it can negatively reflect on the image of the famous companies, and moreover

they can lose even the loyal customers.

2 – Customer cannot check the quality of the product and it leads to the growth

the rate of returns. Picture on the screen is not always match the reality. However, this

problem is going to be solved soon. For example, IKEA is one of the greatest

furniture company in the world, they managed to create the program in which person

can choose the good, and through the camera can fit it on the screen. Person can easily

see all the sizes of the product, buy that the chance of returns will rocketed down.

Seeing such creativities, I made up my mind that I will try to bring a new level of

furniture production to Uzbekistan.

Part 3.

Business concept plan.

 Introduction.
Nowadays there are so many people who try to create their own business, however,

as a matter of fact 90% of them fail to do it properly, 5% face problems that they

cannot solve as well, and only 5% get success. The are 3 reasons why people cannot

run their business as well:

1 – Business plan is not always well prepared. And during the process the

mechanism of work is going wrong. It calls “Critical successful thinking” when

people thing they do everything correct.

2 – There are often such situation when the stuff or even the heads of the

companies have a disagreement between each other. And the company face

disintegration.

3 – Third problem is that the investment is not enough as it was predicted. And

as the result is poor the investor himself loses the interest to invest and require

whether the results of profit or the money that were invested in.

Taking advantage of such demand among the population many entrepreneurs

start their business in the production of furniture. But most of them are failing because

of the reasons that were mentioned above. For present, there is a demand for a high

quality furniture and people are interested in having a well decorated home with all

necessary things in it, like “Smart houses”. The mission of this business is to make

people’s life easier. The advantage of this production is a number of factors that

intend to bring innovation in furniture market as well. The first factor is the

introduction of special application, in which the client can see several examples of the

arrangement furniture in the particular room. It gives an opportunity to check the

variety of placing and choose the most convenient one. The second factor is that the

all raw materials are importing to Uzbekistan and distributors are making money by

putting their interest rate, however, they have to pay the taxes for the custom, making

the price more expansive. I, in turn, intend to produce the necessary materials by
myself to become my own supplier. This process will be described in detail in the

section “Operations and processes”.

Market research
First of all, it is needed to do primary and secondary research. All the aspects should

be attentively considered, and calculations should be done carefully. However, not

always our prediction come true in life.

Secondary research:
The population of Tashkent for the 2018 year made up 2,5 million people out of 54%

are males and 46% are females. 48% are underage of 25 years. 35% are middle age

people who are 25-55 years old. And only 17% are elder generation. My potential

clients are people of middle age that constitute of 35% of population (875.000

people). There are 8 companies which are potential competitors for me. Besides them

there are 40 companies that just exist as a furniture manufacture. 3 Companies which

are distributing raw materials from Russia and China. All companies are well

prepared and have a strong position in market.

Primary research:
As I was working for the company called “Shellby Trading” and had a manager

position there, I could see all the problems that company have inside and outside.

Working there for several years I made up a good network with the people from

whom we were buying the raw materials. As for today, I am a well-known person in

all the area that are related to the furniture business. All of them are searching for

suppliers who would give them low prices. This is the best opportunity for me to use

it.

Target market.
There are several categories of people to whom the organization will sell its products.

The range of our manufacturing products will be wide and includes all type of

furniture for office and home, but the most beneficial and financially profitable for
our factory will be the realizing of office furniture, because it will require a huge

volume of orders.

Therefore, I am going to attract the attention of office managers, especially in new

opening offices and big companies because they will need a high quality furniture for

a long term.

Also, the other type of potential clients are those people within age range of 25 and

older who intended to buy ready furniture for home. That is why, I will promote my

product among population despite of their financial status, because the price will

adapt to the requirement and affordability of any client with different finances. As an

addition, we will provide a service of personal ordering. To be more exact, we can

produce a furniture for home based on a personal requirements and wished design of

clients.

Beside of this, we are going to be a supplier of raw materials for furniture

manufacturing factory shops. So, we also will concentrate our attention to the

satisfying of 40 furniture manufacturing companies, that exist in Tashkent.

Marketing.
Our marketing strategy will be very simple but effective. According to the statistics,

the most frequently visited social media is Telegram channel, the second one is

Instagram, Facebook takes the third place in the list of effective advertising channels.

However, we have to analyze which channel will attract the attention of our target

auditory. After a consultation with several marketing companies such as Turn Key

Marketing ….

Initially, I am going to open my own account in Telegram, Facebook and Instagram

and promote my page through the help of blogger who is interested in it. After the

reaching of Instagram auditory, according to the marketing plan we will be focusing

on collaboration with Mass social media such TV and radio. We will provide with
advertising campaign in order to show in TV. This advertisement will include all

important information about our products.

In addition to this, we will advertise our own app through the Appstore and Google

app platform.

This will be my initial marketing strategy, because other steps will be taken after

further results of advertising.

Human resource
My working team will consist of 8 employees. Everyone will have their own

obligations and responsibilities according to their specialization. For instance,

accountant who will make calculations, lawyer that will be responsible for the legal

issues, 4 workers who will conduct assembly of furniture. However, manager will

have basic responsibilities as: purchase of raw materials and sale of goods. As a

founder, I will expect from my accountant working experience and it is necessary for

him/her be educated. For the workers in the factory shop education is not necessary,

but they have to be qualified and experienced as well in this sphere. Manager should

have a good network, communication skills, polite, organized and punctual. Lawyer

must be educated and have a high education diploma.

Legal issues.
First of all, the organization should be registered and legalized by law of the

Uzbekistan Republic. through an automated registration system, functioning 24/7,

integrated into my.gov.uz;

When registering a legal entity (commercial organization), only the application and

constituent documents are sufficient. For registration of individual entrepreneurs (sole

proprietors) Only an application is required.

Operations
Initially we have to rent the suitable facilities with covered space. For conducting the

whole process of producing the furniture it is required to have special equipment such
as: equipment for wood cutting, gluing machine as for the PVC and as for the press

machine, grinding machine, drills, screwdrivers, all the necessary instruments for

workers, office for me, lawyer and accountant. Following the sketches of the customer

workers will collect furniture.

Risks
In any business there are 100% of risks to fail. It is necessary to understand on

what you are relying and what you should expect. Sometimes there are some force

majeure situations that are negatively effecting on everything starting from finance

and ending with the moral relationship.

So many entrepreneurs try to copy businesses and run by themselves, there are risks

that my business will be copied, that is why I will protect my intellectual property and

get a patent for the program and recycling processes. One more potential risk is that

prices will be increased for the wood. Government may put some restriction for

cutting the wood in order to protect the nature. Moreover, there are some problems

that will be able to lead the company to the bankruptcy as:

1 The range of clients will decrease

2 Facilities for work will be lost

3 Equipment will get damage and it will stop production process

4 Workers will leave the company and work on my competitors and share all the

secrets

That is why it is needed to find a right solution. First of all, everything should

be predicted and correctly undertaken. Beforehand all situations must be considered,

and proper measure should be taken.

Financial
 References.

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