The hospitality industry, tasked with ensuring persons away from home feel welcomed and their distinct needs met, significantly contributes to economies worldwide. This service provision sector has been constantly evolving, with the landscape marking high competition as corporations strive for maximum positive customer experience and loyalty. For this assignment, our group chose to develop a Business Model Canvas for an Arabic coffee shop whose main products are beverages and snacks relating to Arabic cuisine and an interaction medium for Arabic culture such as music and not limited to belly dances. This essay will expound on our hospitality business concept, giving justification for all the sections of the business proposal. Moreover, it will utilize examples and existing literature to explain the decisions for this business concept.
The concept
Aiming for a hospitality venture incorporating creativity, innovation, and unique immersiveness, an Arabic culture coffee shop presented itself as the most germane course of action. In addition, the coffee industry has recently noticed a boom as the consumption of coffee has been increasing steadily worldwide (Rahardjo et al., 2019). Jafari-Sadeghi (2020) defines this entrepreneurial motive as opportunity entrepreneurship, which encompasses establishing businesses and harnessing more lucrative opportunities. Within this pool of coffee enthusiasts, a coffee shop business emerges as the best venture to address the needs of multitudes of people and an excellent opportunity to provide this service close to local consumers. However, our business concept, the Arabic coffee shop, transcends the confines of the traditional coffee shop business, as it entails a cultural perspective that extends beyond serving beverages, aiming to invite customers to unravel and relish in the diversity of Arabian traditions.
Key partners
Grounded in the basic principles of a business model canvas (BMC), it is vital for a business to partner with significant entities to form meaningful relations to facilitate business support (Burns, 2022) and streamline operations (Bytestart, 2024). Therefore, our business will partner with the local Arab community to ensure that our service authentically reflects the traditions, cultures, and ambiance of Arabia. The local community who lives here will also spread the word about our operations and keep us in line, ensuring our concept is credible and appealing. We will also engage with coffee distributors who will aid the distribution of our services and facilitate the distribution of raw materials. The business calls for the participation of local farmers, as they will be responsible for providing raw materials such as milk and dairy alternatives, eggs, and not limited to varieties of coffee beans. Forging these partnerships with local suppliers will also ensure the sourcing of authentic Arabic ingredients, translated into quality and accurate Arabic offerings. Another necessary partnership is with event planners and performers, through which our business will ensure customers’ exposure to events, music, and culture.
Key activities
At its core, our business demands certain vital activities to be efficient in its operations. These activities range from strategic tools instrumental in refining products to communication aids and tasks that ensure the business’s competitive advantage and unique positioning (Timmons & Spinelli, 2008). Since our business incorporates the cultural aspect, it is beyond dispute that one of our fundamental activities is regularly scheduling and hosting events showcasing Arabian cuisine, music, and belly dances to attract and appeal to a broad demographic. Another crucial activity is staff training (Unger et al., 2011) to ensure they exhibit exemplary proficiency in serving and making Arabic cuisines.
Extending the discourse on training, Areiza-Padilla et al. (2020) denote that in the coffee shop, there is a prevalent pattern of ethnocentrism, where individuals perceive that their culture is superior to that of others. This preconception stems from people’s high regard for products and services that are nationally produced rather than foreign (Areiza-Padilla et al., 2020; Walker and Brown, 2004)). Therefore, it is essential to recognize ethnocentrism in our business contexts by approaching the celebration of Arabian culture with sensitivity while simultaneously acknowledging other perspectives within the surrounding community. Staff training in serving and making Arabian cuisine will incorporate these viewpoints to support an inclusive space that facilitates cultural exchanges and mutual understanding.
For our business will be new and not familiar to many people, we have to partake in rigorous marketing strategies (Amadi and Owolabi, 2024) to generate leads, spread awareness, and enhance brand recognition that will help to drive sales and generate revenue (Bytestart, 2024). Marketing activities will be in the form of social media content creation, where social media platforms such as Facebook, Instagram, and Linked-In will be deployed to promote products and services and share updates on meaningful business operations (Obschonk et al., 2018). In this digital landscape, Tuten (2023) and Berger et al. (2021) elucidate that social media marketing is an indispensable tool for newly established businesses. Thus, by leveraging these platforms, our business will be set to compete with larger companies and also will inspire engagement for the brand.
Key resources
Operating a business necessitates assets that will support the attainment of the value proposition. Arabic Coffee Shop’s essential resources include promotional materials, which will be conduits for advertisement and represent what customers should expect when visiting the establishment. Another resource is the reservation systems, whose role logistics takes is fostering inclusivity and ascertaining efficiency. By implementing an online reservation system, we will create a platform where customers’ experiences can be personalized and streamlined, as they can smoothly plan their visits. The business can give real-time customer feedback through this system, illuminating their preferences and aiding data-driven decision-making. This resource will enhance customer satisfaction and loyalty, community participation and engagement, and indicate a commitment to diversity and inclusion when effectively utilized.
Another pertinent resource is word-of-mouth information sharing, where the business will heavily rely on actively sharing relevant information with customers and local community members. By encouraging the dispensing of customer experiences and reviews, the business will cultivate and nurture a sense of shared ownership, cementing the coffee shop’s position as an integral part of the community.
Value proposition
According to Payne et al. (2020), value propositions in business undoubtedly constitute one of the most integral elements as they are through which a business outlines the primary offering it provides to clients (Barringer & Ireland, 2018). Our value proposition lies in the immersion of customers into a joyful presence of Arabic food and beverage and providing a spot for engagement with Arabic culture. Our authentic cultural experience will be sensational and remarkable for clients inclined to learn and participate in cultural symbols such as belly dances and other Arabic dances. One aspect of coffee shops is their undeniable role as social hubs, as people meet for work, relaxation, and entertainment in these spaces. Therefore, at the heart of our coffee shop is a commitment to host cultural events through which individuals can enjoy Arabic music, live performances, and belly dances. This engagement will give customers entrancing and engrossing experiences that create momentous and indelible impressions.
Moving on to customer relationships, we aim to build relationships with our clients through social and local media. Through active engagement in these channels, the coffee shop will provide information on behind-the-scenes cultural events and respond to customers’ comments and feedback. The business also finds loyalty programs and collection of coupons appropriate, which Meyer-Waarden et al. (2023) explicate reflects an ongoing commitment towards customer value and satisfaction. This strategy will foster customer loyalty and repeat business (William, 2021). Arabic coffee shop is also recognizant of clients who are students and may not be in an optimal position to afford the products and services we will be offering. For this, we will implement special rewards and discounts for students.
To deliver our products and value proposition to our diverse customer base, we will deploy various channels to cover business aspects of distribution, supply, and marketing. These channels include the aforementioned social and local media and local events facilitated by the local Arab community. Additionally, the company will undertake a website informing everyone of our business capabilities. The coffee shop will also strive to be part of local festivals, which is an immersive and impactful way to extend the reach of the business. We also comprehensively comprehend the necessity of a business having multiple revenue streams. Thus, the business will generate revenue from the sales of beverages and snacks such as pastries and desserts. During events, the business will charge fees for entry and offer group packages that include features such as reservations for seats, exclusive menu options, and event tickets, which will enhance the social aspect of our coffee shop and capitalize on the demand for events. This diversification of revenue generation is a strategic approach, ensuring the creation of a well-rounded business model and financial viability for the hospitality venture.
In conclusion, the Arabic coffee shop is a feasible proposition for an exceptional culinary destination and a cultural haven for visitors and locals to immerse themselves in Arabic traditions and heritage. By leveraging strategic tools such as social media marketing, inclusion of cultural events, and consistent involvement with local festivities, the business strives to go beyond the confines of traditional coffee shop establishments. It aims to ensure authenticity, credibility,y, and exceptional quality to stand out to the target customers and substantially carve its niche in the competitive hospitality landscape.
Part 2: Reflective essay
Throughout this module, we have partaken in various tests and questionnaires to enhance our entrepreneurial understanding and attain pertinent skills. Through these, I have unearthed my natural inclination towards innovation, as this aspect holds a weighted significance with regard to staying competitive in the ever-evolving contemporary landscape (Satalkina and Steiner, 2020). I have also uncovered a risk-taking propensity, which underscores a mentality open to change and unafraid to unravel unfamiliar grounds (Diandra and Azmy, 2020). As a person who highly regards a culture of creativity, this perspective is essential in the business environment as it creates a competitive advantage and fosters a generation of new leads and new ideas and solutions for emerging business hurdles.
The managerial tests provided valuable insights into my attributes and shortcomings in the managerial sector. I realized that in business, a good manager has to put effort into understanding the employees inside and out so that they can leverage their strengths and lead them to handle their tasks more effectively. As I am, one has to be a goal-oriented entrepreneur to create a clear sense of direction and purpose and, hence, act as a motivator in the workplace. It is also a conduit for benchmarking to aid in assessing employees, which is essential to track the progress of individuals, hence identifying areas that necessitate improvement and giving constructive feedback appropriately.
The test results also revealed a criticism of my attributes, where my communication skills are lacking. Based on the Big Five personality trait theory (Obschonka et al., 2018; Watson et al., 2020), I exhibit more introverted traits than extroverted ones, which indicates a substantial gap in the word-of-mouth promotion of the business and creation of a wide social circle for engaging with stakeholders and prospective clients. Aligning with the transformative leadership theory, I must improve these skills to excel in my given roles, particularly by being more assertive and social.
To sum up, this reflective analysis unravels the intricacies of entrepreneurship and management, illuminating my commendable attributes of being goal-oriented, risk-taking, and innovative. On the downside, my introverted self is susceptible to gaps in assertiveness and communication, which are critical attributes in managerial contexts, and calls for a detailed, consistent commitment to the definition of these skills to ensure effective team building and maximization of efficiency.
For these areas of improvement, creating a personalized action plan that will guide enhancement efforts is essential. To begin with, I will concentrate on forging out and cultivating worthwhile, one-on-one interactions with team members, individuals highly influential in the industry, and coworkers. I will also seek mentorship from professionals, where I will gain insights into beneficial tactics and strategies, leading to professional and personal growth. Moreover, a culture of continuous learning is pertinent in this scenario, where ongoing development will strengthen my business acumen (Jones et al., 2020). Through these insights and improvement strategies, I aim to excel academically and thrive in the business labor markets when faced with real-life situations.
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