Background of Spalk and its innovation

Discuss about the International Journal Of Innovation In Research.

Planning is forecasting future and when it is business plan than it correlates with preparing a database upon which the whole business of an organization will operate. In other words, making a blueprint of how all the norms and procedures will work (Shorrick, Aspinall & Serpis, 2017). This assignment consists of a business plan and its explanation for Spalk organization which amplifies the commentary of cricket worldwide so as to make it easy for spectators.

Background of the innovation for Spalk is very significant because in the world of technology everything upgrades from time to time. This completely relates to innovating new ideas for attracting more and more people to use Spalk. Redeveloping the software and bringing in new sections each season will be a target in terms of innovation (Brand & Rolland, 2018). It also focuses on changing the scenario of commentary which is pretty old-fashioned and going in the same level since years. Through this Spalk will create and enthusiasm amongst the young ones to show up their interest in cricket as talent. The stereotypes will be hence, proclaimed in order to develop the scenario of cricket commentary.

The mission of the company is to develop its business and get an edge over all the competitors existing. In other words, targeting matches and people so as to listen to the commentary through Spalk for the live matches they are watching (Haight, 2017). The mission of creating a business which is aiming to develop a new section is very difficult but not impossible upon which Spalk is continuously working with its team.

A goal of the business is to have an audience worldwide who consistently reaches and listens to the match’s trough Spalks. Not only listening watching the match is also complimentary.

Core activity relates to amplifying of the commentary which is shedding off by time and bringing in new innovation in it by adding some young commentators and changing the stereotypes which are going on (Gregory, 2018). Cricket and its vision of seeing how it is being played and performed is the one most core activity of the Spalk.

The main strategy includes attracting the major number of personnel’s who are young and interested in cricket so as to change the scenario of commentary in the world of cricket. Young people ignite the aura of every event so as Spalk is trying to amplify the crickets (Haque & Anastase, 2017). A strategy is very much primitive and very allocating which works upon the development of business and the way people think about commentaries which are a kind of revolution in the world of cricket.

Mission and goal of the company

The sustainable advantage is clear and transparent that company wants to target and bring up new talent in the world of commentators. Each and every person on Spalk gets a chance to show its talent for commentary (Echandía, 2017). This is a very new and innovative technique of boosting the enthusiasm of choosing your own passion which will definitely result in more progress.

Spalk is a service company which aims at providing entertainment services to its customers. It basically deals with sports such as cricket. A commentary is its major segment upon which it is operating in order to make the most use of it. According to previous analysis, the commentary section of cricket is being taken as some people in old suits speaking and analyzing the game which is the major target of Spalk. According to Spalk the commentary and this section can be given to young people as well so as to make it more attractive and creative (Pratama, 2018). This is the main target for which Spalk has made some sections in its website and app where people can also upload their views and also simultaneously can hear the commentary by professional on the match.

Basically, it is an initiation to connect more and more people on the basis of a game from across the world and also amplifying the talent in this field so as to get new talents for the same.

As far as it is known there are not so many apps or programs which concentrate on a commentary of a game (Peck, 2017). Hence, Spalk has framed a platform where people can come and show their talent as well as they can see other talents as well. This is a great innovation and value proposition in the world of cricket and commentary. Spalk has done a major innovation in terms of its products as it is providing a platform for the people who are having good skills of commentary.

Previously there were no such platforms where people use to talk about a game as a commentator which itself is a huge innovation (Lopez, 2017). Accessing such kind of facility worldwide is a big innovation in the field of sports. People who have the keen interest in such kind of activities will be most benefited by this. Hence, the value proposition of Spalk is very innovative and self-relying upon where people do there own commentary.

Core activity and main strategy

Change is inevitable. Hence, no one can prevent itself from change. In the world where each second a new technology arises change is very necessary (Vico, 2017). The operations and market in which Spalk is operating change occur from time to time. Like in terms of technology there is always some or the other up gradation and change which has to be there in Spalk as well so as to have business for a long run.

There are many expected changes which are listed as follows:

• Technological change

This section of change keeps on fluctuating and rising which has to be dealt in a proper manner so that if any problem arises it can be solved with proper planning and ascertainment.

• Rise in rivalry

More and more companies with the same business process will come up in a market which may cause a problem for the operations of the company (Haselip & Rivoal, 2018). This change in competition also needs to be properly dealt.

• Legal changes

The government of a country makes various laws and regulations which have to be followed by Spalk in order to have proper long-term operations in an authorized manner.

There are various ways of analyzing rivalries of an organization (Lane & Dieterlen, 2018). Likewise, Spalk can precede it with proper analyzation of market where it will have a proper feedback about the operation of companies in the same field and how this competition has to be dealt. Various other methods of external analysis can be used in which the range of companies which are coming in the same market as well as those which already exist is a must (Edwards & Wilson, 2017). Like Spalk can use observations and feedback method to know what is in demand and what is not in order to beat its competition and sustain in the market for a long period of time.

There are a lot of people which has been targeted in the market by Spalk (Plekhanov, 2018). People who are interested in commentary, people with certain age group, people who have the association with this game etc. hence, the market of Spalk is very big which has to be managed and properly assessed by the organization.

The positioning of product which Spalk is offering is itself very different and innovative in terms of value as it provides professional commentary as well as people can upload their own commentary on it which is a very different and approaching way of reaching its customers in a long run (Contreras Gómez, 2017). The business entity can make use of approaches such as Porters Generic strategies under which the entity can use of the components such as cost leadership, cost focus and differentiation strategy for developing a distinct position of the product or service in the market.

Sustainable advantage and value proposition

As Spalk is a service industry so it has 7p’s of marketing and they are elaborated as follows:

• Product

It provides a platform for the people who watch cricket so as that they proper access to match (Dorosh, 2017). Also, they can watch a live match with commentary as well as well record their own and upload it.

• Price

The value in terms of price is rewarded as a subscription where a person subscribes to the services for a period of time.

• Place

It is virtually available for the people who are interested in watching cricket and have an interest in a commentary for the same (Abam, 2018). Sports are another yet target product of this organization.

• Promotion

Media, online portals, social media etc. are the primary focus of firm to make more and more people aware of its product.

Above listed is the marketing mix of the firm which defines the strategy of the company to develop and market its product to the potential customers (Arrawatia, 2018). This is a way in which more and more people will be able to know Spalk and will get connected to it through a game which is a huge evolution in the world of technological up gradation on a fast pace.

The culture of the organization is simple and very much promising where people work with and enthusiasm for developing the app so as to attract more and more people to it. There are developers, professionals who have been assigned to do this work. The jobs and roles of the people are clearly stated and defined to them so that they work properly with least conflicts (Žaki, 2017). The matrix structure is followed by entity precisely in is premises where people are working with an edge very calmly and progressively. Under this, the flow of authority is vertically downwards, whereas the authority of the project manager flows sideways. Employees are expected to report to managers.  

All the necessary employment regulations are being followed by Spalk in its in-house strategy so that no employee feels any kind of problem in relation to its working cultures.  Discriminating act, equality act etc. are the major example which Spalk looks upon and completely follows (Contreras Gómez, 2017). The government of every company makes its clearly state able that each and every company operating under the environment have to follow some rules and regulations which are very necessary. Each and every employee is given various kinds of opportunities where they can develop and excel themselves with the growth of Spalk as well.

Expected changes and analytical methods

The below mentioned are some of the assumptions that have been predicted for Spalk:  

• Cost of material has been assumed to be $10000
• Assumptions for a price are of 1500
• An increase in the operating expenses by 5%  except other expenses has been assumed
• Tax on profit before tax is assumed to be 30% 
• Additional purchase of machinery and equipment’s has been done in 2019

Sales = 165000

Launch Cost- $8.0

Variable cost –3.5

Marketing Cost 1.0

*Assumption- Fixed cost = Marketing cost+ Launch Cost

                                          = $5000+ $80000

                                          =$85000

Break Even Point = Fixed cost/Contribution per unit

                             = $85000/$9.0

                             = $9444.44

Cash Flow Statement
	Amount ($)
	2018	2019
Cash Flow from Operating Activities
Cash sales	41,250.00	75,000.00
Realization from Debtors	61,875.00	87,500.00
Payment to Creditors	–	–
Expenses paid	(67,900.00)	(142,240.00)
Total	35,225.00	20,260.00
Cash Flow from Investing Activities
Machinery Purchased	(145,000.00)	(300,000.00)
Equipment Purchased	(45,000.00)	(125,000.00)
Total	(190,000.00)	(425,000.00)
Cash Flow from Financing Activities
Equity capital	$150,000	$356,000
Borrowings	$150,000	$50,000
Total	300,000.00	406,000.00
Cash surplus/ deficit	145,225.00	1,260.00
Opening balance	–	145,225.00
Closing balance	145,225.00	146,485.00

Profit & Loss Statement
	Amount ($)
	2018	2019
Sales	$165,000	$250,000
Miscellaneous income	$0	$25,000
A. Total	$165,000	$275,000
B. Cost of Sales	$74,250	$137,500
C. Gross Profit (A-B)	$90,750	$137,500
D. Operating Expenses
Salary	$40,000	$42,000
Rent	$4,500	$4,725
Utilities	$1,000	$1,050
Insurance	$5,000	$5,250
Depreciation	$10,000	$10,500
Marketing	$5,000	$5,250
Maintenance & Repairs	$2,500	$2,625
Other	$0	$400
Total	$68,000	$71,800
Operating profit	$22,750	$65,700
Less: Interest	$15,000	$11,500
Profit before tax	$7,750	$54,200
Less: Tax @ 30%	$2,325	$16,260
Net Profit AT	$5,425	$37,940

Balance Sheet
Assets	2018	2019
Current	$40,000	$56,000
Fixed	$145,000	$300,000
Other assets	$4,500	$50,000
Total Assets	$189,500	$406,000
Liabilities
Non-Current (Borrowings)	$150,000	$50,000
Total Liabilities	$150,000	$50,000
Equity	$150,000	$356,000
Total Liabilities & Equity	$300,000	$406,000

A risk is something which every business posses as when there is something happening there are always pros and cons associated with it (Shinohara & Saika, 2018). Spalk is a networking app which completely relates to cricket commentary and connecting people through it. Hence, where there is an idea which the company has, the possession of risk is also at the same level of success or no success. Likewise, in terms of having a proper plan for business, the ascertainment of the risk associated with its operations is a must for which Spalk have to do various analysis such as external and internal. On the basis of this analysis, the company will actualize what kinds of risks are associated with its operations.

As we know Spalk is an association which operates through the internet and there is a huge involvement of networks as it operates on showing high-quality match live. The first risk is associated with this, i.e. – if the network is low then it may create the problem for operations of the company. Hence, the company must have a good chain of a network where there is the least chance of failure (Galiano, Rodríguez & Saco, 2018). Risk of a network must be least for which the company has to make a proper plan.

Also, Spalk operates upon the evolution of a new idea which is very new to people as well. Hence, how these people will react to it in actual is also a concern for the business. This is a risk of choice which customer will make in order to accept Spalk’s new technology and the new idea of commentary. Whereas, the company has planned its proper targets and section of people which it is going to target. In order to overcome this risk company has to plan proper marketing of the application so as to have the best response of people who are interested and are operating it.

In a dynamic environment where Spark is already operating, there is a huge requirement of plans which can deal with consistencies (Armstrong et al., 2015). Growth is an aim of every business which has started its business so as to earn the profit and have a good position in the market and the field in which it is operating.  In order to keep developing and keep growing in the market following are the strategies:

• Innovation

Marketing mix and culture of the organization

This is the first and foremost strategy for growth and development of the business which results in a positive way (Baker & Saren, 2016). Customers in today’s world require the huge amount of new ideas and new techniques for their entertainment upon which Spalk has to concentrate on upgrading its operations from time to time.

• Control

A proper control over the operations which are happening in order to know what is happening in operations. This will help in examining the loopholes of the company in order to not stop anywhere in the long run of growth and development.

• Quality

Maintenance of quality for a long period of time can help the business to grow and excel in its field (Wu & Li, 2017). Hence, the commentary which Spalk shows must be maintained with good quality which will help the business to grow and excel its fields.

These are the factors upon which Spalk can maintain itself so as to have growth and development in the business which it is performing (Chaffey, 2016). Each and every business as to be very particular about these three sections of operations as this leads to proper growth.

Conclusion

It has been concluded by the above report that in order to have a proper business plan for any firm it is necessary to evaluate various internal and external factors so as to have an edge in the market. There is a lot of competition for everything in today’s world which has to be overcome by the firm which is operating in the dynamic environment. Hence, for the same, some strategies in order to have best results have to be formed and implemented while planning.

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