business idea

Most of the people have a high taste for ice cream, which is the reason as to why a business idea of opening a gelato shop is a great one. However, due to the fact that this may not necessarily be the only gelato shop in Las Vegas, it is essential to carry out SWOT analysis for the explanation and identification of the different factors that may affect the operations of the gelato shop. The SWOT analysis will involve the identification of the strengths of the business, the weaknesses, the opportunities as well as the threats that could negatively affect the gelato shop.

Strengths

One of the strengths of this proposed gelato is the ability to provide unique flavors, which means that it will be easy to attract new customers. Ability to devise and introduce new flavors in the market can be helpful in attracting new buyers, due to the fact that people may tend to change their taste and preference by trying a new product. This will mean that more customers and buyers will be attracted. Additionally, the geographical location of the gelato shop is suitable due to the availability of ready market. Rationale for this assertion in the Las Vegas the population is high, a clear indication of the market and the locality of the shop in an airstrip will mean more consumers and customers (Sousa, Antonialli, Pereira, Ribeiro, Pires, Moreira & Pereira, 2019). Moreover, this gelato will have little fat content which means that it will be healthier when compared with other related products.

Weaknesses

One of the identifiable weaknesses is the lack of skills and the experience in the management if gelato shop, which means that difficulties may be experienced in the process of management. Another challenge is that introduction of gelato as a new product needs the educating of consumers, implying that people tend to be reluctant in trying new products. The other weakness is that vendors supplying the ingredients may tend to be unreliable or even hike prices anytime, which may be an extra cost incurred. As well in the event of delays by the suppliers of the ingredients, inconveniences may result into the losing of customers.

Opportunities

The most notable opportunity of the gelato is ability to provide unique product, that is free from nuts which is completely new into the market. For the purposes of increasing the sales, prepackaging will be done which will enable the portability of the gelato different places such as home or even to offices. The ingredient used for the gelato that is chocolate is preferred for health benefits creates new opportunities for the gelato. Additional opportunity is that new geographical areas will provide a ready market. Basically, the greatest opportunity for this gelato shop is the unique nature of its product and the health consideration of the ice cream provided.

Threats

The gelato shop will face the threats of competition from the shops providing the same product or even related products such as stores of yoghurt and ice cream. Lack of brand recognition is another possible threat due to the fact that this gelato shop will be introducing a new flavor and most people prefer buying products from recognized brands. Another threat that will face the gelato shop is the raising concern of the issues of health, with most people arguing that these creamy products have high fat content which has brought about the prevalence of obesity in Las Vegas. This means that people are avoiding such products at all costs (Marcotrigiano, Magarelli, Sorrenti, Bertamino, Di Ninno, De Giglio & Napoli, 2019). Despite the fact that gelato has lower content of fat, in some way it is not so much different from ice cream.

References

Marcotrigiano, V., Magarelli, P., Sorrenti, G. T., Bertamino, E., Di Ninno, F., De Giglio, O., & Napoli, C. (2019). Official controls regarding artisanal ice cream shops: public health policies and consumer protection in the Italian and European legislative frameworks. Annali di igiene: medicina preventiva e di comunita, 31(1), 76-85.

Mazzuto, V. (2017). Innovate to internationalize: a case in the Italian gelato industry.

Sousa, M. M. M. D., Antonialli, F., Pereira, R. C., Ribeiro, M. N., Pires, F. D. C., Moreira, S. D. S., & Pereira, R. G. F. A. (2019). Development and optimization of coffee gelato: a sensory perspective. British Food Journal, 121(5), 1116-1124.