Andy Ross completed his bachelor’s and master’s degrees at prestigious schools which led him to high profile positions in well-known firms, but after a few years his discontent grew. Although the pay was good and the benefits among the best offered, Andy felt something was missing. Newly married and in a nice home that put them at the edge of their financial capabilities, Andy’s desire to own his own business was all consuming. It was difficult to describe to his wife exactly why this was so important, yet it compelled him to search for a business concept that he and his wife could start and operate together.
Then, when invited to a friend’s birthday party for their young child, it came to him; A themed birthday party business. Here is how they planned to advertise their business: We do it all… from set-up to clean-up! Andy’s Parties offers full-service, themed children’s parties and enrichment classes. Our great theme parties include everything for a great party: ? Great Games and Activities ? Themed Craft Project ? Themed Party Favors ? Themed Paper Products ? Pinatas and Invitations Included With Most Theme Parties ? All food, drinks, and supplies Set-up, clean-up, and more – all led by our fun and energetic staff! Andy’s Parties offers approximately 30 theme parties, the most popular of which include Girlie Spa, Rockin’ Dance, Princess, Pirate/Treasure Hunt, Murder Mystery and Safari. Andy’s Parties’ packages are all inclusive and we subcontract non-core services such as bounce house rentals, professional entertainers (magicians, balloon-twisters, etc), and high-end adult catering. Reasons to have an Andy’s Party: ? We do everything so you don’t have to! ?Our prices are very competitive with other party services and venues.
We have a party at your home – that alleviates any concerns about the chaos and safety hazards posed by larger venues with many strangers. ? We have great experience with kids’ party services and also larger event planning. ? We love our jobs and will ensure a fun party for your children and their friends! Andy and his wife launched their business in 2004 by leasing a small space in a local retail center where they could offer daytime classes, host themed birthday parties for parents that didn’t want them in their home, and as a base for operations.They hired high school students to run the parties and provided them with extensive training.
Over the past several years the business has flourished with over 1,000 parties a year with average revenues of $400 per party. QUESTIONS: 1. Using at least two references explain why an individual would choose to leave a good career to start a small business with no prior experience, no existing model to follow and without significant capital?With the use of two references the reason why an individual would leave a good career to start a small business with no prior experience and no existing model to follow and without significant capital would be the drive and the entrepreneurial spirit pushing them to pursue their dreams.
Many Entrepreneurs are sitting under the leadership of many companies simply because they do no want to leave their comfort zone and sacrifice to get more from their talent and dreams.One of the main deterrent that halts the growth and emergence of entrepreneurs is the fear of failure. Potential business owners are stuck working for major corporations because of the fear of failure and no willing to sacrifice the little they are earning to make more with a little more sacrifice.
One successful owner of a subway food restaurant that I know advised me to always desire to work for myself in the United States. This owner is a master’s degree owner who quit a fortune 500 corporate position to start working on his own enterprise.Although he does admit that he experience some failures here and they he succeeded and grosses four times as much as he made with corporate America with only one of his several locations. Moreover he has the flexibility to do others things and he not confined to one schedule through out the course of the year just as most employees of corporate America are. 2. List at least three reasons why Andy’s Parties achieved success so quickly and has been able to sustain it over the past 8 years when statistically most small businesses fail within the first few years?The three reasons why Andy’s party achieved success so quickly and has been able to sustain it over the past 8 years is because 1. The nature of his business.
2. The cost involved in starting his business. 3.
The possibility of failure in his business field. The nature of Andy’s business plays a major role in the success of his company the reason is because people are always celebrating and this calls for party decorators. The demand for them is very high.There is always someone having a birthday party who would need help in decoration, someone would need help planning for a baby shower, another would need help for planning a mothers 50th or 60th birthday this makes the party planning companies high in demand. Secondly the cost in starting up a business like this does not cost much; literally you can start a business like this with a capital of 500 dollars. Finally the risk of failure is very low because of the demand of party planner and with the start up cost not being so high there isn’t much to fair for it the company should fail. .
What do you think Andy and his wife’s plans might be for their business going forward? I think Andy and his wife might be looking to expand their business since the company is very successful depending on how comfortable with Andy trying the global market he might be able to penetrate the global sector and rake some profits from outside of the United States. By creating a website that displays the company offerings and services people can be willing to pay extra to have Andy and Co to plan their next party or event.