Popcorn Haven Business Opportunity
BUS 362 Introduction to Entrepreneurship
November 10, 2014
Popcorn Haven Business Opportunity
Franchising began back in the 1850's when Isaac Singer invented the sewing machine (Daszkowski, 2014). In order to distribute his machines outside of his geographical area and provide training to customers, Singer began selling licenses to entrepreneurs in different parts of the country and franchising was born (Daszkowski, 2014). Even in the face of the recent worldwide economic slowdown, the franchise sector has grown and remained a significant global force. There is usually a much higher likelihood of success when an individual opens a franchise since a proven business model is in place. The products, services, and business operations have already been established in franchising. Ideally suited to small and medium-sized enterprises, franchising encourages small business development in every business sector. Franchising is a great catalyst for wealth and job creation. Today, franchising is helping thousands of individuals be their own boss and possess and operate their own business. DeRon Ragland grew up in the Chicago-land area where cheese and caramel popcorn was a popular snack. He never thought that he would one day own the largest popcorn shop that anyone had ever seen (Popcorn Haven, 2014). He already knew that popcorn was a huge commodity in his home town, however the shops only offered a small number of flavors. These flavors included: butter, cheese, and caramel. DeRon and his twin brother Deon Ragland, who happened to be his business partner as well, resided in different states (Georgia and Illinois). They conducted research for both states and found that there were over 2,000 popcorn shops in the Illinois area and zero popcorn shops in Calhoun, Georgia (Popcorn Haven, 2014). With Deon residing in Calhoun for over five years, they moved to put a plan in motion and introduced Calhoun to a popcorn experience they would never forget (Popcorn Haven, 2014). Popcorn Haven was born subsequent to the plan. DeRon and Deon set out on being not just an ordinary popcorn shop, but a “gourmet popcorn shop” offering over 100 different flavors of popcorn to begin with (Popcorn Haven, 2014). Currently, they offer 250 flavors of popcorn. DeRon and Deon learned that there is a lot to perfecting this trade by ideas shared through one of the popcorn experts, who has been in the industry for over 25 years (Popcorn Haven, 2014). The process of making one tub of popcorn – cooking, cooling, and coating – is very labor intensive and takes from 50-180 minutes (Popcorn Haven, 2014). From start to finish, the popcorn is made with 100 percent real ingredients. The average popcorn shop makes their popcorn with savory shake on powders. Popcorn Haven takes pride in the fact that they make their popcorn with real ingredients. For example, their white cheddar popcorn is made with real white cheddar and their snickers popcorn is made with real snickers (Popcorn Haven, 2014). Today, Popcorn Haven consists of nine corporate owned stores and eight franchises (Popcorn Haven, 2014). As an entrepreneur, I can obtain retail space and open a shop that sells popcorn. The average popcorn shop has four to ten flavors. However, the uniqueness of Popcorn Haven has convinced me to open one of their franchises. Popcorn Haven has 250 flavors of popcorn and special recipes. These special recipes made with real ingredients set Popcorn Haven apart from other popcorn shops. The goal of developing a strategic plan is to create a competitive advantage – the aggregation of factors that sets a small business apart from its competitors and gives it a unique position in the market that is superior to its competition (Zimmerer, Scarborough, & Wilson, 2008). According to Zimmerer, Scarborough, & Wilson (2008), from a strategic perspective, the key to business success is to develop a unique...
Please join StudyMode to read the full document