Good Diabetice Cream: Business Plan Example

A Shop Selling Healthy Ice Cream for People with Diabetes in Dubai

In Partial Fulfilment of the Requirements in

Introduction 3

Literature Review 3
1. Integration of the Business in the Market and Potential Success 3
2. Establishing the Need for the Business 4
3. Benefits of the Initiative 5

Methods 5

Results and Discussion 5
Legal Structure, Organisational Structure, and Marketing Plan 8
1. Legal and Organisational Structure 8
2. Marketing Plan 9
Conclusion 9

Reference List 10

Introduction
The proposed business is an ice cream shop that would sell healthy products for people with diabetes. The name of the proposed business is “DiabetICE Cream”. The main goal of the proposed business venture is to address a growing health need for consumers (Orton, Menkens, & Santos, 6) – specifically increasing obesity rate and incidence of diabetes among patients. The literature review constitutes information that establishes the need for the business, the benefits of the business to the community, and context of the health issue in Dubai. Through research, various issues pertaining to the ice cream business will be studied using existing literature. The legal and organisational structure, as well as the marketing plan for the proposed business will also be discussed in the latter part of the report.
Literature Review
Integration of the Business in the Market and Potential Success
As formerly noted, the proposed business is a store that sells healthy ice cream to diabetic patients. The proposed business is feasible because many brands that sell healthy ice cream have already penetrated the market in other parts of the world. In the UAE alone, particularly in Dubai, various ice cream brands that sell healthy food options have established their business in the country since 2010. In a report for The National, Ligaya cited the expected entry of five ice cream brands in the UAE. For this reason, the business will be competing with major ice cream brands in Dubai. Hence, the challenge for the business is to establish its brand so it would be able to compete with others in the local market. Nonetheless, establishing the business in Dubai is feasible due to the increasing demand for healthy food options (Ligaya).
More Icecream is a brand that offers ice cream products for people with diabetes in Dubai. The brand prides itself for selling ice cream made from real and fresh ingredients. The Ice Factory is another brand that offers healthy ice cream for its customers. DiabetICE Cream will be competing with these two brands as well as others in the business. Table 1 below shows the proposed business’s competitors.
Famous Healthy Ice Cream Brands in Dubai
Source: Change Market: Dubai
Establishing the Need for the Business
Aside from the proliferation of healthy ice cream stores in Dubai, which means that a market exists in the city, the growing need for health food options also establishes the need for the DiabetICE Cream. Establishing a business that sells ice cream to diabetics in Dubai is a viable venture due to current health issues in the local market. In 2014, the Dubai Health Authority reported the rapid urbanisation in Dubai and the increase in household income that led to upward social mobility have altered the lifestyle of people not only in Dubai but in other countries in the Gulf Cooperation Council (GCC). Due to these factors, many people have become accustomed to a sedentary lifestyle (Oxford Business Group, 18). Consequently, prolonged sedentary lifestyle led to the prevalence of serious diseases including cardiovascular diseases, hypertension, and diabetes. Furthermore, current information about the incidence of diabetes prove that “the UAE ranks second highest in the world for diabetes prevalence [at 20 percent], followed by Saudi Arabia (16.7%), Bahrain (15.2%), and Kuwait (14.4%).
Health authorities in the UAE have created several plans and programs to address the prevalence of diabetes in the country. Based on health forecasts, reports reveal that in the coming years, the number of diabetes patients in the UAE will likely increase by 100%. As reported by the Dubai Health Authority, “Dubai patients in the UAE are expected to double from 350,000 in 2000 to 700,000 in 2030”.
The current health issue in the UAE raise the importance of addressing diabetes. Solutions would more likely come from the health sector. However, this health issue may also be addressed on various levels. In the business sector, for instance, particularly in the food industry, businesses or companies may address the problem by offering health options for people suffering from diabetes. Such is the main goal or objective of the proposed business – an ice cream shop for people with diabetes. The business proposal highlights the viability and profitability of the business considering the trends in the food industry. Many businesses and companies have introduced health food choices for diabetics in the past years.
Benefits of the Initiative
The proposed ice cream business is highly recommended due to the demand for health food options in Dubai. As formerly noted, the rate of diabetes cases in the UAE has significantly increased over the years since 2000. Moreover, health authorities are expecting that the number will double in the next twenty years (Dubai Health Authority). Due to the existing and expected diabetes patients in the UAE, the ice cream business is expected to accrue a significant number of customers who would be dependent on the business’ products and offerings. Added to this is the local population’s growing interest in fast food and dining at restaurants.
In a research study conducted about women’s perspectives and experiences in the UAE, Trainer (60s) revealed that many women in the country have become overweight or obese and acquired chronic diseases such as diabetes due to their high demand of fast food. Fast food have become most people’s choice due to convenience. The business would be able to offer fast food options for the local market including a healthy fast food option for people with diabetes. Furthermore, Trainer (60s) reported that many consumers, particularly women, have become conscious about their weight and health. Based on the research conducted by Trainer (61s), many Emirati women desire to lose weight through healthy diet and exercise. The ice cream business would be able to provide the need of this market segment, particularly in offering healthy food options that are in demand in the local market.
Methods
The research methodology is guided by quantitative research. Since the main objective of the report is to assess the viability of the proposed business within the context of sustainability, data to explore the health issue will be obtained through primary research. The survey method will be used to gather data from 20 participants who will be chosen through random sampling and based on their willingness to participate in the research. Descriptive statistics will be used to interpret data.
Results and Discussion
The results of the research study proves that there is a viable market for the ice cream business in Dubai. In the research, 20 participants answered a brief survey about the proposed business plan. The results of the research are as follows.

Only 4 out of 20 participants tasted healthy ice cream before but all of them expressed their interest in purchasing it again. The remaining 16 also said that they would be interested in trying healthy ice cream.
Figure 2. Decision to Buy Ice Cream from DiabetICE Cream
Figure 2 shows that all 20 of the participants would try DiabetICE Cream’s health ice cream.
Figure 3. Ice Cream Preference
Figure 3 above shows that all of the participants prefer healthy ice cream over regular brands.
The outcomes of the research illustrate that there is a promising consumer base for DiabetICE Cream. All of the participants showed interest and preference to healthy ice cream, which could mean that there is a growing awareness about the benefits of healthy ice cream to consumers. Furthermore, those who have not tasted healthy ice cream expressed their interest in trying this product. DiabetICE Cream may then meet the interests and preferences of consumers.
Legal Structure, Organisational Structure, and Marketing Plan
Legal and Organisational Structure
In terms of legal and organisational structure, the business will start of as a sole proprietorship following a tall structure. The business is expected to start small, which is why it would be owned by a proprietor. As a tall structure, the proprietor will employ managers with distinct skills and capabilities – the HR and Operations Manager, the Marketing Manager, and the Sales and Accounting Manager. Under the HR and Operations Manager are the employees who will be working for the business. Figure 4 below shows the organizational structure of the business.
Figure 4. Tall Structure of Sole Proprietorship
Later on, the business may expand to a partnership organisational structure. One of the reasons for expansion would be the potential to collaborate with health institutions to promote the business’ brand and products or offerings. The business, for instance, may work with various health care institutions such as hospitals and clinics to introduce its products to diabetic patients. As a partnership, the business will collaborate with health care facilities and institutions where professionals and practitioners would recommend ice cream products or directly distribute them to patients. In this way, the business and health care institutions may share profit and revenue.
Marketing Plan
Marketing channels will include the business’ own store within the central business district, and through health care institutions. Marketing will be done using traditional, digital, and online media. The business will be promoted in newspapers and magazines, radio and television, and through social media.
Conclusion
The foregoing discussion illustrates aspects of the proposed business. Considering the current health conditions in Dubai, establishing DiabetICE Cream would be advantageous due to the high demand for health food options. Existing data obtained prove that there is a place for the brand in the market despite the presence of other ice cream brands. The brand would be able to compete because of its unique value proposition. For the brand to succeed, it is imperative that it establish partnerships with health care professionals and institutions to promote the brand to its target market – patients with diabetes and eventually, health conscious people that follow a strict diet and lifestyle.
Reference List
Change Market: Dubai. (2012). The top 5 places for ice cream in Dubai. Retrieved from: http://www.bacio-gelato.com/wp-content/uploads/2012/08/media_unico_piccolo.pdf
Dubai Health Authority. (2014). Why invest in healthcare in Dubai? Retrieved from: https://www.dha.gov.ae/EN/SectorsDirectorates/Directorates/HealthRegulation/HealthCareInvestment/pages/whyinvestinhealthcareindubai.aspx
Fisher, M., Houghton, M. & Jain, V. (2014). Cambridge IGCSE Business studies coursebook. Cambridge, MA: Cambridge University Press.
Ligaya, A. (2010). Appetite for healthy confectionery being fed. Retrieved from: http://www.thenational.ae/business/retail/appetite-for-healthy-confectionery-being-fed
Orton, S., Menkens, A. & Santos, P. (2009). Public health business planning: A practical guide. Jones & Bartlett Learning.
Oxford Business Group. (2008). The report: Dubai 2008. Oxford Business Group.
Trainer, S. S. (2010). Body image, health, and modernity: Women’s perspectives and experiences in the United Arab Emirates. Asia-Pacific Journal of Public Health, 22(3), pp. 60S-67S.
Viau, L. (2011). The United Arab Emirates (UAE): Agri-food Supply Chain. Retrieved from: http://www5.agr.gc.ca/resources/prod/Internet-Internet/MISB-DGSIM/ATS-SEA/PDF/5981-eng.pdf