[Solved]- BUSN6770 Financial management for decision-making and control
Luca
and Susan intended to start an ice cream business near Westbrook Bay in
Margate, Kent. Data from the UK Office for National Statistics provided that
the population estimate for Margate, Kent, as of 2020 was 65,339, with an
annual population change of approximately 0.70% (UK Office for National
Statistics, 2020). The data further provided that about 31,723 males and 33,616
females inhabit Margate. Around 14,000 people in the area are children and the
youth aged 0-17 years, 36,000 adults aged 18-64 years, and the remaining 15,500
the elderly aged 65 years and older.
On the
other hand, as of 2020, the population of Westbrook Bay in Margate was
estimated to slightly surpass 4,000 inhabitants, with the population density estimated
at 42.08 (Kent County Council). Similar to the larger area of Margate, the
majority population in the region comprises the millennials, who consume food
in a bar or a restaurant 30% more than any other generation cohort (Woo &
Nam, 2020; Kuhns
& Saksena, 2017). Literature evidence demonstrates that the Millennials
prefer convenience over all the other generational units, especially in
relation to food-at-home purchases (Kuhns & Saksena, 2017; Mancino, 2010;
Mancino et al., 2010; Todd et al., 2010). Scholars have also affirmed that this
generational cohort s largest budget share is consumed by ready-to-eat foods,
such as ice creams. Besides, Millennials make fewer trips to the grocery and
spend less on home-based meals unless they have more children living in a
household (Kuhns & Saksena, 2017). Luca and Susan assumed that Westbrook
Bay in Margate was the right location for the business. This is justifiable considering
the high population of the youths and children in the area.
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