Assignment 1- Innovation and Entrepreneurship (GC02000)

 My business idea

The idea of this business developed from the term ‘Organic health’ as a brand which refers to a kind of business where organic fruits and vegetables will be sold in the London market. This wholesaling business will be handled by two partners. The major motto of this business will be, selling organic fruits such as apples, pears, peaches, grapes, strawberry etc., and also include selling some organic vegetables such as cucumber, potatoes, tomatoes, spinach etc. UK farmers will be the supplier of this business and restaurants, food courts, catering, supermarkets, street markets and shops will be the consumers of it.

Moreover, the business will be soon developed to provide valuable facilities to comfort its customers. Facilities such as online selling and customer services will include inquiries through emailing and telephone and also home delivery facilities. On the other hand, improving the business by working on the given feedbacks of customers will be followed to maintain the business in the long run. Advertisement on various channels and social media will help the business work accordingly by creating a familiar service for the people. The business will be offering after-sale services since competitors will fail to provide the same particular products and offers. Therefore, the business will also be following sustainable competitive advantages. The aim of this business will also be gaining substantial profits by providing quality products and services with great management and organizing system.

Justification of my business idea

According to Mie et al. (2017), organic food refers to naturally produced foods that avoid artificial pesticides as much as it can and offers a healthy lifestyle. In a report from Grand View Research (2017), it was predicted that by 2025 the expected result will be USD 320.5 billion profited by food and beverage services. Non-GMO products provide health benefits and as a result, the demand for these will be following to increase in great amounts soon in the future. Seemingly, fruits and vegetables are overpowering the organic business market with 37% of revenue share in 2015. On the other side, poultry products are increasing the growth of this segment as well with a CAGR of 13% over the time period.

In 2015, it resulted in that non-dairy beverage including soymilk, rice and oat accounted for about 33% of the total share of organic beverages. Moreover, 13.5% CAGR resulted for beer and wine production and it introduced many categories of beverages in the market which increased the global economic situation of the country. Therefore, the results indicate a statistic of increasing global sales of organic food between 2000 to 2018. In 2018, a report on profits through organic food claims that 95 billion U.S. dollars amounted as again and in 2000 it was about 18 billion dollars (Shahbandeh, 2020). It depends on a country and their certifier that, organic food can differ remarkably but it is always advised to produce those following inartificial ways.

About business model

The proposed business model describes a unique idea that will eventually lead it towards tremendous success. The organic health business model aims to follow the whole procedure to develop a healthy service for their consumers. Developing countries similar to India and Africa are the best source for importing organic fruits and vegetables. The imported products will be stored in organic farms and later start distributing those in various places. These shipments and distributions could be done by air, road and ships all over the country in the UK. Consequently, imported fruits and vegetables will be provided to the hotels, restaurants, supermarkets and street shops.

Sustainability of my business

In a report, Wales (2018) described that commercial farming hampered nature in a critical amount which caused biodiversity loss, water pollution and soil erosion for the maximum usage of synthetic chemical fertilizers, pesticides and herbicides. Firstly, organic foods production, is more nature friendly since it avoids toxic chemicals and creates less water pollution, creates biodiversity and reduces many other damages. Moreover, organic foods work as an alternative and they are quite sustainable. Secondly, in organic food production, toxic chemicals are mostly avoided or minimized in use and the production includes less irrigation and less intensive tillage (Zimmerman, 2020).

As a result, the production of organic food ensures biodiversity in categories, improves soil quality and reduces pollutions of toxic chemicals. Thirdly, organic foods are not responsible for degrading the environment, rather it helps to reverse damages to the soil and improve the number of production (Organic, 2019). The concept of organic farming ensures care for our people and nature. Fourthly, organic foods help to decrease non-renewable energy use by reducing agrochemical needs (FOA, 2020). Organic agriculture contributes to mitigating the greenhouse effect and global warming through its ability to sequester carbon in the soil.

Organic agriculture practice can also help to regenerate carbon to the soil, increase the productivity of the crops and help to bring back the carbon storage system accordingly. Research shows that carbon components remain good in amount in organic farming and help to retain the soil farmed. As a result, carbon plays a vital role in mitigation potential and saves nature from natural disasters. Even after much researches, the data on soil organic carbon are very less in number and many developing countries failed to collect these data properly. Even after explaining that organic farming is tremendously beneficial for nature and consumers, it does not provide an ultimate solution for every environmental problem related to the production of foods. Researchers claimed that organic farming needs a great amount of land compared to commercial farming (Wales, 2018).

It is a great challenge since extra lands need to be a cover-up for organic farming and crops production. It has been predicted that by 2050 the demand for food will be increased about 59 to 98 percent because of the growing population worldwide. It has become a major provocation for agricultural business and they are overthinking the solution of feeding the growing pollution while maintaining the climate condition under control. This challenge demands many unique solutions and it is becoming tougher because the goal of organic farming in developed countries currently is about meeting the needs of those who can afford the luxury to buy the highest quality food (Varanasi, 2019).

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