The not respond to the product positively, then

The setup is a new concept brought in the grocery marketing. It entails a combination of menu planning and grocery delivery, which come in complete packages of groceries and recipes and also a week’s meals delivered to a client’s door. It does offer a limited selection of pre-planned five-dinner packages delivered directly to an interested client. Also, nutritional information will be provided together with the meals. In terms of the groceries delivery, appropriate recipes, those that take only a maximum of 20 minutes to prepare will also be attached. Nature of the Competitive Environment The company is a new product with its own idea. Its closest competitors might be the grocery stores and the restaurants that have delivery services. There are a number of companies that have developed delivery services themselves like some of the pizza chains delivering pizza and fried chicken. There is also a new service provider whose sole purpose is delivery therefore it will pick meals from the restaurant and do the delivery. Gourmet To Go however cannot find itself in competition with the rest since it provides totally different products from the rest.Gourmet To Go Market Strategy The startup base is in Tulsa/Tulsa County where it targets households with an income of $65000 per year, which is a fitting market niche for the product. The delivery is planned to be directly to the customer while advertisement of the product will be conducted through direct-mail brochures, newspaper ads, and an Internet Web page and radio spots. The plan is to have intense advertisement in the first four weeks of the business to provide ample awareness on its products. This market strategy is efficient and has many characteristics used by market leaders today. Market leaders know their way around the market, how to maneuver around it while providing new ideas and services. Example, the anticipation created by the newspaper teasers is a great way of accomplishing the curiosity of prospective buyers. Problems that Could Have Been Anticipated with the Product The product itself is aimed to a certain section of the market, specifically for consumption by that group. This means that the pricing is also for the targeted group. If the group does not respond to the product positively, then the company might incur losses. It is therefore prudent to consider a larger audience by switching the prices or providing different packages for different groups. This applies on both sides, for the meal-plan service and the grocery delivery service.Strengths and Weaknesses of Management and Organizational Plan The management team will comprise of the owner. The strength of this is that the owner understands the business better than any other person thus she can run it smoothly. The weakness is that she might not be qualified to take up the task. This might end up disastrous for the company itself. The organizational plan in itself is sound proof, covering all proper aspects of starting up a business. However, there are no designated specialists dealing with this particular section.Financial Projections for Startup Expenses and Capital Management The projections are to develop a customer base of 400 households at the end of the third year after start-up producing an income of  $120,000 per year useful to penetrate the market in future. By creating awareness and intense promotional campaigns, the objective will be achieved. An estimate of $25,000 will be allocated into the advertisements campaign. The total capital required to start the business is $258,000. The owner will come up with $183,000 while the rest of the capital will be financed via bank loans.