Final dissertation

Submitted in part fulfilment of the requirement for the degree of Master of Science in Entrepreneurship China's Enterprise Education Development Business Plan – Venture World By Kang Kuo URN: 6507983 Faculty of Arts and Social Science University of Surrey September 2018 Word count: 15,498 © Kang Kuo Executive Summary This dissertation paper will be constructed of two main part: The first part is focus on research, in terms of market and industry analysis, research methodology, market research (follow the lean startup method), and business model canvas In the market and industry analysis section, PEST analysis and some useful competition analysis tools including ADL matrix, Porter's five forces, and competitors intelligence analysis will be used to build a comprehensive understanding of China's entrepreneurial environment and enterprise education ecosystem Then, the initial assumptions of entrepreneurial marketplace in China will be embedded into questionnaire and tested by online survey The result of this survey shows that there is a huge gap in China's enterprise education industry, and the characteristics of the respondents also fit to Venture World's target customer segments Based on the research, the Minimum Viable Product (MVP) of Venture World is built and will be introduced into market to learn essential market needs, customer behavior and pivot the business strategy constantly The MVP will be tested in Market Research part which will follows the process of The Customer Development Model developed by Steve Blank At the end of research part, there are two business model canvases (BMC) will be displayed The initial BMC is based on the Market and Industry Analysis, and the whole business idea will be pivoted due to the findings in Survey and Market Research part The second part is the most exciting section in this paper, that is the business plan of Venture World In this part, it will present the feasibility and sustainability of Venture World Venture World will adopt Holacratic organization structure, a revolutionary management system for a rapidly changing world, to operate the business in a more elastic and more open innovative way The milestones for next three years has been set to insure the company can fulfill the expectation of growth And the financial plan reveals the financial forecast of Venture World in the next five years It can be seen in the financial plan that Venture World will start generating profit the third year after it start, and it will also be a turning point for Venture World as it achieves the economies of scale, and it will start growing exponentially In the end of the paper, the risks and opportunities arise from latest global affairs, and the future scaling plan of Venture World will conclude the research findings, practical strategies and business ideas of this Venture World business plan Table of Contents Overview Venture World combines sharing economic and platform business model to offer an open innovation environment to entrepreneurs and entrepreneurial related businesses in China Venture World also provides a more convenient way for UK's universities, enterprise education organizations, and SMEs (Small to Medium Enterprises) to move into China market via integrated online platform Mission Venture World is an O2O (Online to Offline) platform for China University students to learn entrepreneurial skills (Lean Startup Method, Financial Management, Business Model Canvas, ), obtain resources they need (e.g seed funding resources, business partners networks, market and industry information, etc.), and explore opportunities they can get involve (e.g international trading trends, latest technology trends, etc.) Problems and Solution Nowadays, China not only have the most incubators in the world (more than 7,500 incubators), China government also encourage university students to start up their businesses by providing sufficient financial support However, it is difficult to build up stable and effective entrepreneurial environment because that there is lack of robust enterprise education system, and the link between university students, entrepreneurial bases, venture capitals, and enterprise educators is not strong enough The most effective and efficient way to raise the quality of enterprise education in China is introduce British style enterprise education system into China Venture World will be the bridge linking UK and China entrepreneurs and related organizations Chinese university students can learn entrepreneurial skills and knowledge through Venture World online courses platform UK enterprise educators will also be invited to China to hold lecturers and seminars Furthermore, British and Chinese entrepreneurs, investors, universities, and enterprise education organizations can all connect together through Venture World online community They can share their ideas to others, find possibilities to become business partners, and utilizing the resources they have to support each other Opportunity China's reform and opening-up policy, OBOR (one belt one road), Made in China 2025, and US-China trade war are stimulating the transformation of China's economy It causes China's transition from manufacturing-based economy to service-oriented and personal consumption-based economy (U.S Energy Information Administration, 2018) Although this transformation has led to bankruptcy of many Chinese companies, it also creates a new era of entrepreneurship in China, as the main trade partner of China is going to change from America to England and other European countries, and it will bring in extensive opportunities for new startups who are prepared to build their businesses in this blue ocean market without competing with large Chinese companies which has occupied US-China market for decades With the development of OBOR, the cargo rail transport between Europe and China has grown form 20 runs in 2011 to 3673 runs in 2017 (Hui, 2018) Rail freight provides faster transit times than ocean freight shipping, and lower cost than air freight, which can promote the relationship between Europe and China's businesses, and make it more favorable for new startup businesses to import materials and products from Europe to ease the impact of US-China trade war The Target Market and Market Size The target customer segment of Venture World will be university students in China who are going to start up their business in the next three to five years, as the research survey shows that the people who are going to start up their business in next the three years have stronger motivation to learn entrepreneurial skills According to Ministry of Education and National Bureau of Statistics' data, there were 26.958 million university students in 2017, and the number is still climbing (Data.stats.gov.cn, 2018) One third of them (8.986 million students) have strong willing to start up their business (Ru, 2018) Objectives Based on the industry analysis and market research, Venture World has set up some feasible objectives for the next five years: Acquire 16,500 members by the third year, and 34,000 members by the fifth year Sell £ 40,000 of online courses, in-person seminars, and unofficial business activities by 2021 and start making profit Raising gross margin above 80% by 2021 to cover increasing fixed cost Cooperate with 50 venture capitals, 100 universities, 1,000 incubators and co-working spaces by 2022 10 ...September 2018 Word count: 15,498 © Kang Kuo Executive Summary This dissertation paper will be constructed of two main part: The first part is focus on research, in... Porter''s Five Forces will be used to analyze the industry''s attractiveness, threats and profitability Finally, Competitors intelligences analysis will select two influential competitors in the industry... development of venture capital, providing lower interest rate for entrepreneurs, reduction of tax rate Finally, construct energetic entrepreneurial environment through strengthen enterprise education