Critically explore the risks, challenges and key issues in relation to Essay - 2

Critically explore the risks, challenges and key issues in relation to starting up a new restaurant in Cardiff Bay in light of the current economic climate in the UK 01312 - Essay Example Full and quick services restaurant growth for 2015 is forecasted up to 3.4% and 3.7% respectively (Technonic, 2014). The industry value in UK economy with around 35,032 business, 590,915 employees and value of  £26.7billion in 2014 (IBIS World, 2014 and Department of Environment Food and Rural Affairs, 2014). The industry also witnessed an increase in distribution index on an average 1.3% with 4.7% increased outcome for 2014 (Office of National Statistics, 2014 and Office of National Statistics, 2015). The development of world’s deprived regions has widely captured the attention of opportunists for being early starters in the new markets via filling the spotted gap. One of such regions emerging regions offering fair opportunities is Cardiff Bay. The mining valley holds the status of world’ first industrialized city (Cardiff Caerdydd, N.d).The last two decades history of the region is adventurously full of growth events and developments. A forecasted population growth and heavily changed lifestyle are promising measures for services business industry (Cardiff Caerdydd, N.d). Ranked as the 10th largest UK city, Cardiff Bay attracts around 18 million visitors a year till 2012. From 1000 registered buildings, 547 are of food businesses including bar, cafà © and restaurants in Cardiff Bay (Ruddick, 2012).Though, the region still needs huge reforms and administrative facilities but critics show positivity towards success of the growing entity. A new sole-proprietorship entity has developed a business plan for entering the Cardiff-Bay restaurant industry to capture opportunities. The plan is apparently developed but lacks the description of risks and challenges associated with the external environmental factors. It is agreed upon a fact, that developing an effective business plan is as challenging and attention seeking as the running a business (Mullins, 2012 and Chesbrough, 2012). Hence, below presented report is a