The Establishment of Hookah Bar in Denver - Essay Example

Hookah Bar The first step in the establishment of Hookah Bar in Denver will involve the conducting of a study involving the kind of strategies and opportunities that exist in the area. Specifically, this stage will involve a study into the business practices of the existing companies in order to find out the areas that have not yet been covered sufficiently. Denver is a cosmopolitan region that attracts people from different parts of the world. Therefore, the region comprises of many cultures, which determine the kind of practices and preferences adopted by the populations. As such, it becomes necessary to consider the nature of business practices and the manner in which the businesses align with some of the dominant cultural practices in the region. In the field of entrepreneurship, it is important for business practices to align with aspects of the culture in order to avoid the mismatch between the nature of services and the dominant cultural practices that influence market trends (Lee-Ross and Conrad 60). The process of establishing a Hookah Bar in Denver will also require a study into the balance between the level of risk and rewards. This stage will involve the conducting of a thorough survey that will require the determination of a range of issues that affect the variables of profitability, revenue, expenses, and other factors that directly relate to the business. It will be important to consider the fact that some of the issues that affect the business are dependent on the costs of operation. Calculations will be conducted regarding the levels of overheads and other costs in terms of how they influence the factors of performance and sustainability of the market. As such, the business will be considered to be viable if the promise of rewards outweigh the kind of risks involved. Presently, the prospects of success are high given the fact that existing businesses have remained relatively stable for a long time. One of the most important factors that shall be considered when establishing the business is the creation of a strong client base. The establishment of a strong client base will require an assessment of the cultural aspects in the Denver population in order to determine the consumption patterns and other important factors that can help to strengthen the clientele. I will find out from the clients some specific information about their likes and dislikes in the existing businesses. The major objective will be to capitalize on the weaknesses of the existing players on the market to maximize on the gains reached by the populations. It will be necessary to consider the establishment of a range of strategies that can be relied upon by the workers in ways that connect with the interests of the business. Provision of affordable and high quality products and services will be the main strategy that will attract and retain clients within the region (Sweeney 45). Customer service is one of the areas that shall be considered in the establishment of the Hookah Bar in Denver. In order to operate above the rest of the businesses and compete favorably in the market, information will be sought regarding the way in which the existing competitors treat their customers. This will involve determining ways in which customers are handled and the efficiency of services. Moreover, information will be found on the ways in which complaints from customers are handled. In the long run, the objective of such a strategy will be the development of a good rapport with the clients so that I increase the possibility of winning returned clients. I will also keep records about the specific details of the customers and encourage them to maintain correspondence with the business. In this manner, it will be possible to develop good communication between the business and the customers with the view of retaining the customers and attracting many others. In standard practice, customers usually respond positively to good customer care services. A strong element of hospitality will help in elevating the profile of the business. Similar businesses in Denver are exposed to the same kind of market conditions in terms of opportunities and threats. Largely, these businesses operate within the same range of customers and operate within the same kind of market forces. Comparative analyses have shown that hospitality businesses that invest more in quality customer handling are less likely to suffer loss of customers as compared to those that fail to invest in such services (Enz 90). Accordingly, the setting up of the Hookah Bar business in Denver will include the integration of quality and courteous customer care services to the different kinds of clientele that comprise the Denver population. Timing is another important factor that will be considered in the establishing of the Hookah Business in Denver. Businesses have peak and off-peak seasons. The establishing of a business should coincide with the peak seasons in order for the business to benefit from the synergy of the high volume of trade. During such moments, the business can create a pool of clientele and establish its influence and profile on the market with relative ease as compared starting the business at time of low-key commerce (Sheppardson and Heather 58). Festive seasons are the most appropriate for beginning a business. The Hookah Bar business in Denver will begin in the months of December or in April in order to coincide with Christmas of Easter festivities. The spending patterns of the middle class shall be one of the primary targets of the business. This segment of the market has significant purchasing power and disposable income that would have significant impact on the business. Usually, the creation of strong market conditions is regulated in terms of the various ways that bring new levels of services on the markets. Existing markets in Denver operate along nearly similar methods. The population of Denver has continued to change over the times. Similarly, preferences have continued to shift in line with the populations. Therefore, it is important for new entrants on the market to conduct the kind of business that fit into the new market realities on the market. The existing players on the market have neglected certain market segments. Therefore, one of the strategies that will be adopted involves the identification of the specific areas that have been neglected in order to adjust services in line with their demands. On this score, it becomes necessary to determine the manner in which dominant players on the market have failed to take advantage of emerging realities to enter into new market segments. The establishment of Hookah Bar in Denver Colorado requires an assessment of various market indicators that can be relied upon to establish a profitable and stable business. The first task will involve conducting of a market survey to establish the various variables that connect with the necessities of the business. The type of customers and the standard of services of existing businesses in the locality will form the basis for establishing the Hookah Bar. The main objective is to ensure that the business enters the market with significantly better level of services and products than the existing businesses. The specific factors of the competitive advantage could involve a range of strategies that such as value addition, high quality customer service, efficient and effective communication, and the provision of high standard goods and services. This strategy would be relied upon to ensure that the existing clientele benefit from the range of services that will be offered at the facility. The determination of the demographic factors of the clients is one of the most important points to consider. Demographic variations usually impact on the manner in which various clients adopt their preferences and attitudes on goods and services (Morris, Donald and Jeffrey 31). As such, it will be important to determine the dominant patterns of behavior among the clientele in order to find out the way in which the business can be regulated in line with the demands. The dominant attitudes and cultures are important determinants of market trends. Usually, market trends affect the performance of businesses in the sense that businesses that the purchasing patterns of the customers are normally dependent on matters of attitudes and preferences. As such it would be necessary to find out the dominant clients in Denver in order to adjust the level of services and products to their standards. However, the business will also accommodate the interests of the minority groups as reflected in the demographics. Works Cited Enz, Cathy A. Hospitality Strategic Management: Concepts and Cases. Hoboken, N.J: John Wiley & Sons, 2010. Lee-Ross, Darren and Conrad Lashley. Entrepreneurship and Small Business Management in the Hospitality Industry. Routledge, London. Morris, Michael H, Donald F. Kuratko, and Jeffrey G. Covin. Corporate Entrepreneurship and Innovation: Entrepreneurial Development Within Organizations. Mason, OH: South-Western Cengage Learning, 2011. Sheppardson, Chris, and Heather Gibson. Leadership and Entrepreneurship in the Hospitality Industry. Oxford: Goodfellow Publishers, 2011. Sweeney, Kep. The New Restaurant Entrepreneur: An Inside Look at Restaurant Deal-Making and Other Tales from the Culinary Trenches. Chicago, IL: Dearborn Trade Pub, 2004. Read More