Professional Documents
Culture Documents
(INDIVIDUAL ASSESSMENT)
Dr.Naji Yazdi
17 October 2023
Table of Contents
Introduction................................................................................................................................2
Conclusion................................................................................................................................15
References................................................................................................................................16
Introduction
“Flowe” is a flower business company that was establish in the year 2022. Flowe always
imports raw materials (flowers) from the local suppliers like Burnaby Lake and United flower
cooperation. This allows Flowe to sell their products in cheaper price than the market. Flowe
is specialised in the cultivation, distribution, and sale process as they have pickup and
delivery facilities for customers, they also have the system by which if customers’ orders
their service through Shopphyfy, Uber eats, Square so Flowe delivers those customers in the
same day. This report addresses the purpose of conducting a business diagnosis for Flowe in
terms of identifying internal and external factors that potentially would have a significant
impact on the company's business. PESTLE and SWOT analysis models are used to
investigate the business market of Flowe and to identify potential business challenges for
Flowe.
PESTELE analysis
The small business of Flowe has developed its business plan with the target of serving mainly
the customers in West Point Grey of Vancouver, Canada. The company has mainly focused
on creating effective marketing and sales strategies based on the market condition of
Vancouver. Therefore, the external market environment of Canada is evaluated using the
PESTELE framework.
Factors Implication Favourable/
Unfavourable
Nations
(International.gc.ca, 2023)
growth-oriented companies
(Reuters, 2023)
(Statista, 2023)
(Reuters, 2023)
(Worldometers, 2023)
2023)
(Source: Self-developed)
Analysis
Canada’s political situation is quite stable for executing business operations peacefully and
businesses sustainable and compliant enough throughout business planning. The economic
condition of Canada is consistently growing which supports production scale and good
consumption rate of customers. Increased revenue of the flower business industry indicates
Canada is a favourable country for Flowe Business. Canada's employment rate is high,
PESTLE analysis has indicated high digitalisation and usage of technologies in businesses.
Flowe Business can positively implement advanced technologies for digital marketing.
Prevalence of ICT, social media, and digital devices is essential for accessing valuable
insights about target audiences, market trends, and consumer behaviour in marketing
activities (Canadaflowers.ca, 2023). On the contrary, extreme plastic pollution may hamper
the sustainability and ethical business scope of Flowe Business to a certain extent. The large
volume of tourists and visitors in Canada increases the target customers of flowers which is
quite profitable for business. Therefore, Canada is very profitable and favourable for starting
Flowe Business.
SWOT
Flowe Business is planned to set up with its own norms, unique business values, and
customer appeal. These factors are vital for interpreting the overall business scope along with
identifying potential threats for the company. SWOT framework is used for analysing unique
Opportunities Threats
delivering products on the same day dealing with an acute labour shortage
(Canada.ca, 2022)
(Source: Self-developed)
The above SWOT Framework has interpreted Flowe Business’s core business values. The
company has the strengths of providing good customer service, reliable product delivery, and
an extended supply chain. Flowe Business has the value of customer centricity by offering
extensive services and product offerings to customers. Market research indicates that the
number of Canadian e-commerce users has increased to 29.62% in 2023 (Statista, 2023).
With the growing demands of e-commerce services, Flowe Business has initiated its online
shopping and one-day home delivery options for customers. This efficient e-commerce
business has been beneficial to attract more customers to the business. On the other hand, the
e-commerce service of Flowe Business has also created a competitive advantage to a great
extent.
to other flower-selling companies in Canada. The company can sell products in a low-price
range due to its extended supply chain. As per the view of Mehta, Sharma, & Mehta (2022),
the well-managed supply chain reduces the company’s operating expenses as well as driving
profits. Flowe Business has a large supplier base both from local suppliers’ groups and big
suppliers such as Burnaby Lake, and United Flower Corporation. Modern supply chains of
the company have streamlined the process of getting flowers to market while reducing the
overall cost of products. On the contrary, Flowe Business deals with its lack of funding
sources and small network of investors. The company is interrupted to innovate services and
install new technologies due to lack of funds. Lack of cash flow hampers business activities
and does not let the company to meet expenses causing business failure (Khan, 2022). The
acute labour shortage in the agriculture industry creates problems in harvesting, caring for,
and storing fresh flowers. Companies also need to take care of the changing needs of
agriculture industry of Canada currently has 42% of skilled labour support (Cahrc-ccrha.ca,
2019). The main reason for the acute labour shortage is the lack of agriculture skills, young
people’s focus on the other industry, and lack of training for the employees. The growing
demand for workers and a shrinking supply of domestic workers have widened Canada’s
labour gap in the flower industry. This industry faces the critical problem of labour pressure
during the seasonal peaks of flowers. Flowe Business’s seasonal flower business of lide
arrangement and hand bouquets is hampered due to a lack of skilled workers in the company.
Endalew, Gebrehiwot, & Dessie (2022) have underpinned that lack of agricultural training,
high risk of health issues, tedious working hours, and limited wages are the main reasons of
labour scarcity in the business. Flowe Business would be unable to bring innovative changes
and install new services without the support of enough skilled workers.
The post-pandemic situation has changed the overall product purchasing intention and habits
of customers in Canada. Market insights imply that Canadian customers prefer to buy their
daily essentials such as food, groceries, and clothes rather than other products. Flowers and
bouquets are generally purchased for gifting and home decoration purposes. On the contrary,
only 22% of customers in Canada prefer to buy products for home improvement, gifts, and
DIY (Pwc, 2021). Flowers are not on the list of people’s most essentials which is reducing
the overall demand for flowers in Vancouver, Canada. On the other hand, Canadian
customers are also interested in buying products through loyalty and reliability programs.
42% of the customers prefer to buy products from the retailers that give more discounts (Pwc,
2021). Flowe Business plan does not include any plan of giving additional discounts or
loyalty programs to attract customers. The company’s business plan is not appropriate as per
customers’ shopping choices and demands which is the main reason for business challenges
to a great extent.
Lack of investment
Flowe Business is dealing with the challenge of lack of investment. The organisation has a
limited network of investors which is the reason for the limited financial support in this
business. Flowe Business is focused on developing high-quality flower delivery service with
a wide variety of flower options for getting better customer response. A large amount of
money is to be invested in giving proper care and maintenance to the flowers. As per the view
of Buyse, Heylen, & Schoonackers (2020), low investment prevents organisations from
operating business plans as well as hampers the overall business development plans to a
certain extent. The business plan of Flowe Business indicates that the company is facing a
high problem in maintaining enough cash flow to control the overall business outcomes.
Chen et al. (2021) have also stated that companies are restricted from accessing new
technologies due to a lack of resources and capital. Decreased capital of business has led
Flowe Business to limit 20% of marketing expenses and 10% of other expenses.
Limited expenses decrease product quality and service efficiency which is not good for
business growth in the competitive approach. Cash flow problems of businesses delay
product delivery and reduce overall business profitability that would hamper Flowe
Business’s growth prospects. Therefore, the organisation needs to adopt efficient strategies to
Acute labour shortage, lack of investment, and changing customer demands in Canada are
identified as the vital challenges of Flowe Business. These are critical problems of the
company which are not only hampering business growth but also eradicating possibilities of
future developments of business. Costa Dias et al. (2020) have mentioned labour shortage as
the source of many problems of decreased quality, revenue plunge, and so on. Due to a lack
of labourers, nurseries, and agricultural firms fail to produce huge amounts of of seasonal
flowers. The company cannot serve many customers for low and less quality production of
flowers. Therefore, the organisation needs to address this challenge to save it from utter
failure. Addressing the challenge would make the company more strategic and competitive in
many ways. On the other hand, Flowe Business has the strength of a large supplier’s group
both in the national and local markets. The company can use its large supplier base to recruit
more skilled and experienced workers (Govindan, Shaw, & Majumdar, 2021). A supply chain
network is highly essential for identifying efficient florists, and seasonal workers from
different sources. Therefore, the company can be more strategic by deploying its own supply
chain network to mitigate the critical problem of labour shortage to a certain extent.
Another identified problem is changing customer patterns of buying and product choices.
Today’s customers prefer more efficient and fast services from the company’s side that make
their shopping experience smooth enough. Flowe Business may include its 24/7 customer
helpline service system, online product ordering, and same-day home delivery system as the
motivations of customers. The company already has a strong customer service system that is
essential for attracting and retaining customers to a great extent. Better customer service,
speedy product delivery, and easiness of company interaction are the core factors for
retaining customer satisfaction (Palacios & Jun 2020). Therefore, the company’s strength of
exclusive customer service is highly efficient for dealing with the challenges. Flowe Business
need to address the challenge of getting the support of buyers and for ensuring business
success to a large extent. Low investment is another crucial problem that can result in stopped
business operations and a lack of business innovation. Organisations may use social media
and technologies in terms of reducing operational costs of businesses. Controlled operational
cost minimises pressure upon the company while increasing the chances of good profits.
Flowe, the flower business company should have some improvement areas of the client for
Choosing prime location for extended market reach: Flowe should choose few
prime locations for their company, from where they are able to regulate the business
properly. Flowe should decide these locations by considering some criteria like, the
place from where they will be able to operate their both online business and physical
store, suitable location from where Flowe will easily get raw materials for their
business and could be able build a seamless and strong supply chain for their product
(flower) supply.
Improving supplier’s network with new supplier partnership: Suppliers play the
key role in a flower business. Flowe should find suitable flower suppliers for their
flower business and build a strong supply chain to make their supply process seamless
essential for a flower business (Buyse, Heylen & Schoonackers, 2020). These
suppliers also offer unique and seasonal flowers that could set Flowe’s business apart.
Reliable suppliers could ensure Flowe receive fresh and high quality of flowers,
which is vital for customers satisfaction. They should also establish strong positive
relationships with flower suppliers to ensure a steady and fresh supply of flowers.
products (flowers). Flower should offer a range of flower variations allowing you to
cater to a broader customer base. Different types of flowers are available during
different seasons, by offering variations, Flowe cloud provides customers with options
that are in season, which often results in fresher and more affordable flowers. Flowe
should also build a range of aesthetic flowers. Because aesthetic choices matter in the
flower business. Different flower variations offer a diverse range of colours, shapes,
and fragrances, allowing customers to choose the flowers that best suit their aesthetic
preferences
Effective marketing and sale strategy adoption: An effective marketing and sales
strategy is crucial for the flower business of Flowe. Effective marketing strategies
help Flowe to reach potential customers, informing them about Flowe’s products and
services. Flowe should develop a professional website and maintain active social
media profiles to showcase their verity flower arrangements. Marketing builds brand
recognition, making Flowe’s flower shop more recognizable and trustworthy. A good
loyalty programs, fostering relationship (Efendi et al. 2022). Marketing and sales
strategy also helps Flowe stand out in a crowded market, highlighting what sets their
flower business apart. Effective sales strategies help Flowe to convert potential
customers into paying ones and increasing revenue. Flowe also could collaborate with
local event planners, wedding venues, or gift shops to expand your reach.
Competitive Pricing for best value offering to customers: Flowe should maintain a
competitive price of their products and services comparing to the market, it helps
them to achieve a good business position in the market. Flower prices can vary due to
seasonality and availability. Competitive pricing allows Flowe to adjust your rates
profitability is essential (Govindan, Shaw & Majumdar, 2021). Flowe need to ensure
that your pricing strategy allows you to cover costs and generate a reasonable profit.
experience plays a vital role in the flower business. Flowers are often associated with
emotions and special occasions. Ensuring a positive customer experience helps create
an emotional connection, making customers more likely to return for future occasions
(Mehta, Sharma & Mehta, 2022). Customers expect fresh and vibrant flowers from
handling and care of flowers from the time they're cut to when they're delivered is
vital. Timely and reliable flower delivery is very essential, especially for events or
occasions. A late delivery can result in disappointment and negatively impact Flowe’s
The management authority of Flower Business is struggling with the issues of acute labour
shortages and lack of investment along with the frequent changes in the purchasing behaviour
mitigate the labour shortages by maintaining consistency and effectiveness in the recruitment
procedure. Additionally, the operational manager of this company is responsible to put focus
According to Efendi et al. (2022), the labour shortages are a critical issue for a business, and
ongoing procedure.
maintaining consistency in the scheduling procedure to mitigate the issues of acute labour
communication with the potential and skilled labourers. Contextually, Hildebrandt, Stone &
Bryant (2022) can utilise the approach of the “recognise and reward” approach for managing
the labour shortages issues from the organisation. The front-line managers and operational
authority of Flower Business are responsible for managing and controlling the frequently
changing behavioural patterns of the customers. The management authority needs to be more
realistic and continuously provide emotional support to the customers for dealing with the
changing behaviour. More precisely, the organisational manager of Flower Business is also
responsible for identifying customer expectations, engaging the prospects, and evaluating the
The management authority of Flower Business can manage the frequently changing
behaviour of the customers by reinforcing positive innovative beliefs and shaping emerging
habits with new offerings. Concurrently, the organisational department can sustain the new
habits of the potential customers by utilising the contextual cues in an efficient way.
According to Abrardi, Cambini & Rondi, (2022), analysing consumer beliefs along with the
behavioural pattern at the granular level is the key component for managing the changing
behaviour of customers. On the other hand, the management department is also essentially
responsible for maintaining the stock of the situation for the issues of the lack of investment.
Additionally, the organisational manager is also responsible for building an efficient and
healthy relationship with the potential stakeholders for making the appropriate investment.
The operational manager of Flowe Business is responsible for conducting thorough research
before making an efficient investment for the business. Additionally, the management
authority can mitigate the lack of investment by managing a healthy and efficient relationship
with the investors. Contextually, Beer, Griffiths & Klemm (2023) critically analysed that, the
management of investment risks can efficiently create the transparency in the business
operation. The operational manager of Flowe Business is essentially responsible for the
of the risks along with the appropriate allocation of the resources could also mitigate the
problem of the improper investment. More precisely, monitoring along with the continuous
reporting is the key component to manage the investment risks in the business.
Conclusion
Overall, in this report highlights and elaborates few points related with Flowe’s flower
company. Flowe is dealing with acute labour shortage, so it’s become difficult for Flowe to
manage the demands of customer, customers in Canada. Flowe expecting to set its own farm
in order to sell their products (flowers) at competitive price in the market. Flowe Business
can positively implement advanced technologies for digital marketing. Flowe should develop
a professional website and maintain active social media profiles to showcase their verity
flower arrangements.
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