The Royal Bay Bakery

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Charles Krusekopf ◽  
Rebecca Frances Wilson-Mah
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Market Price ◽  
Business Community ◽  
Ethical Review ◽  
Exit Strategy ◽  
Content Type ◽  
Business Valuation ◽  
Small Family ◽  
Exit Strategies

Theoretical basis There are a range of business evaluation methods that can be applied to determine the value of a business. Ultimately, the valuation of a business is what someone will pay for it when the sale transaction is completed. When determining the value of their own business, business owners are often influenced by how hard they have worked to start and build up the business, what the business represents and their projections for the future (Hawkey, 2017). This case provides an opportunity for students to consider exit strategy planning and how to establish a fair market price for a business, how to consider the value of good will and, in particular, the value associated with running an environmentally conscious bakery operation. The trend toward environmental responsibility and green practices in the small business community has started to have an impact on the value of small companies (Inc. 2021). Finally, the case raises the issue of the personal values of the owners and the related implication of finding a buyer with similar values and interests for a bakery business. Research methodology This case was field researched and the company and individuals are not disguised. One of the authors interviewed the two owners of The Royal Bakery. There were three interviews over a six-month period. The interviews were audio recorded. An ethical review for this research was completed at the co-authors’ institution, and a case release was signed. Case overview/synopsis The Royal Bay Bakery presents Dave Grove and Gwen Snyder who, with over 30 years in the bakery business, had started to consider next steps toward retirement. Royal Bay Bakery was profitable and growing. As they prepared to retire and sell the business, they were unsure about how to maximize the value of the business. They also wanted to find a buyer who would recognize and continue their business commitment to environmental and social sustainability. Complexity academic level This case may be taught in a class on exit strategies for small family businesses in the context of a small business course. This case is appropriate for both undergraduate seniors and graduate students. The case may be used to help students understand small business valuation, family ownership and exit strategies and environmental practices in small businesses. Instructors may choose to emphasize specific conceptual tools, including SWOT analysis, and business valuation. The case may also be used to reinforce applications of exit strategy for small, family-owned businesses.

London’s local Olympic legacy

2019 ◽  
Vol 12 (2) ◽  
pp. 142-163 ◽  
Author(s):  
Michael B. Duignan
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Local Development ◽  
Secondary Data ◽  
Business Failure ◽  
Business Policy ◽  
Content Type ◽  
Business Sustainability ◽  
Ex Post ◽  
Small Business Sustainability

PurposeLondon’s Candidature bid projected an irresistible legacy of lasting benefits for host communities and small businesses. Yet, local post-Games perspectives paint a contrasted picture – one of becoming displaced. This paper aims to draw on event legacy, specifically in relation to rising rents, threats to small business sustainability and impact on place development by empirically examining London’s localembryonic legaciesforming across one ex-hosting Olympic community: Central Greenwich.Design/methodology/approachIn total, 43 interviews with local businesses (specifically, small retailers and hospitality businesses), local authorities, London-centric and national project actors and policymakers underpin analysis, supported by official London 2012 archival, documentary and media reports, were conducted to add texture and triangulate primary and secondary data sources.FindingsJuxtaposing ex ante projections vs emerging ex post realities, this paper reveals a local legacy of small business failure fuelled by rising commercial rents and a wider indifference for protecting diverse urban high streets. Embroiled in a struggle to survive, and barely recognised as a key stakeholder and contributor to legacy, small businesses have and continue to become succeeded by a new business demographic in town: monochromatic global and national chains. Typifying the pervasive shift toward clone town spaces, this article argues that corporate colonisation displaces independent businesses, serves to homogenise town centres, dilute place-based cultural offer and simultaneously stunts access to a positive local development legacy. This paper argues that such processes lead to the production of urban blandscapes that may hamper destination competitiveness.Originality/valueExamining event legacy, specifically local legacies forming across ex-host Olympic communities, is a latent, under-researched but vital and critical aspect of scholarship. Most event legacy analysis focuses on longer-term issues for residents, yet little research focuses on both local placed-based development challenges and small business sustainability and survival post-Games. More specifically, little research examines the potential relationship between event-led gentrification, associated rising rents and aforementioned clone town problematic. Revealing and amplifying the idiosyncratic local challenges generated through an in-depth empirically driven triangulation of key local business, policy, governmental and non-governmental perspectives, is a central contribution of this article missing from extant literatures. This paper considers different ways those responsible for event legacy, place managers and developers can combat such aforementioned post-Games challenges.

Power, dependence and frustration

2015 ◽  
Vol 23 (3) ◽  
pp. 250-275 ◽  
Author(s):  
Gerard Stone
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Business Owner ◽  
Content Type ◽  
Information Power ◽  
Theoretical Perspectives ◽  
Advisor Roles ◽  
The Relationship ◽  
Practical Implications ◽  
Advisory Role

Purpose – This study aims to explore the existence and strength of power through focussing on the manner in which accountants exercise power in their advisory relationship with small business. Design/methodology/approach – Interviews provided insights into accountants’ power-related perceptions, experiences and use of power in the advisory relationship. A questionnaire accessed evidence from small business owner-managers (SBOMs). Power theoretical perspectives informed the analysis of the findings. Findings – Accountants’ expert and information power is a consequence of SBOMs’ dependence on their accountants’ expertise and knowledge. Accountants construct advisor roles and exercise power in a manner indicating that they attempt to manage rather than exploit power imbalances to the detriment of dependent SBOMs. However, outbreaks of frustration and conflict in the relationship illustrate the difficulties in managing the dysfunctional consequences of power imbalances. Research limitations/implications – While the findings are restricted to the Australian accountant–small business advisory relationship, they offer a basis for research into the effect of power on the relationship in other national contexts. Research which includes the views of managers of failed small businesses would also extend this work. Practical implications – The study’s focus on accountants’ experiences can assist practitioners endeavouring to develop advisory relationships with small business and designers of professional development programmes seeking to optimise the value of the advisory relationship. Originality/value – The paper extends the study of power to the under-researched yet important accountant–small business advisory area. Its findings are of interest to accountants and accounting policymakers who envisage a broadening of accountants’ small business advisory role.

scholarly journals Formation of Entrepreneurial Climate as a Factor of Social and Economic Development of the Region

2018 ◽  
Vol 50 ◽  
pp. 01012
Author(s):  
Galina Kocharnaya ◽  
Oleg Divichenko ◽  
Inna Demenenko
Keyword(s):  
Economic Development ◽  
Small Business ◽  
Small Businesses ◽  
Social Protection ◽  
Business Community ◽  
Mutual Aid ◽  
Business Climate ◽  
Social Mechanism ◽  
Social And Economic Development ◽  
Entrepreneurial Climate

The paper considers the formation of entrepreneurial climate in the conditions of social and economic development of the region. At present, one of the priority directions of social and economic policy of the region is the development of small businesses. In turn, the entrepreneurial or business climate acts as a paramount component of small business development. The study of the current state of entrepreneurial climate in the region makes it possible to define current problems of its development and ways to solve them. The social mechanism of entrepreneurial enterprise climate formation in the region is directly focused on the formation of certain motives, ideas, behavior patterns of all business subjects (business community and authorities). This is revealed through the following principles: state support, priority objectives, equal conditions, diversification, partnership, social responsibility, social protection, public representation, exchange of experience, competitive advantage. For successful formation of entrepreneurial climate in the sphere of small business as a factor of social and economic development in the region it is critical to use such methods as monitoring, ranking, public-private partnership, business partnership, social support, multilevel training, multi-purpose competition, social selection, social cooperation in order to ensure interaction of small enterprises based on the principles of mutual aid, transparency and autonomy.

Depreciation rules and small business longevity

2014 ◽  
Vol 3 (1) ◽  
pp. 10-32 ◽  
Author(s):  
Don Bruce ◽  
John Deskins ◽  
Tami Gurley-Calvez
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Recovery Period ◽  
Business Activity ◽  
Initial Attempt ◽  
Marginal Tax Rate ◽  
Policy Makers ◽  
Content Type ◽  
Tax Rate ◽  
The Usa

Purpose – When a small business purchases a capital asset, its cost for tax purposes is spread over the useful life of the asset through the process of depreciation. It has become common in the USA for policy makers to enhance depreciation rules in an effort to increase business investment in a less-costly manner than across-the-board marginal tax rate cuts. Indeed, short-term depreciation policies are often billed by policy makers as a way to save America's small businesses. However, little is known about the actual effects of depreciation policies on small business activity. This paper aims to discuss these issues. Design/methodology/approach – In this initial attempt to test the political claims regarding the importance of depreciation rules, the paper uses a 12-year panel of tax returns for Schedule C sole proprietors to empirically examine whether more generous depreciation policies influence small business activity at the extensive margin. Specifically, the paper estimates a series of multivariate models to explain sole proprietors’ decisions to remain in business as functions of their financial, demographic, and tax situations, including measures of the present discounted value (PDV) of a stream of tax deductions for depreciated capital under various rule structures. Findings – Throughout the analysis, the authors are unable to find evidence that favorable depreciation rules lead to greater rates of entrepreneurial longevity among Schedule C sole proprietors. Originality/value – Discrete choice results suggest that increases in the PDV of tax reductions from depreciation (e.g. depreciating the value earlier in the recovery period) might actually lead to higher probabilities of small business exit, while survival analysis finds no clear influence of depreciation on spells of small business activity.

Prediction model of business success or failure for Palestinian small enterprises in the West Bank

2018 ◽  
Vol 10 (1) ◽  
pp. 60-80 ◽  
Author(s):  
Samir D. Baidoun ◽  
Robert N. Lussier ◽  
Maisa Burbar ◽  
Sawsan Awashra
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Small Firms ◽  
West Bank ◽  
High Rate ◽  
Business Failure ◽  
Business Success ◽  
The West ◽  
Content Type ◽  
Random Guessing

Purpose The aim of this study is to examine the factors that lead to success or failure of a small business in the West Bank of Palestine. Design/methodology/approach This study methodology is a survey research, testing the Lussier model of business success and failure with a sample of 246 small businesses (90 failed and 156 successful) to better understand the reasons of their success or failure using logistic regression statistical analysis. Findings The model is significant (p = 0.000); it will predict a group of businesses as successful or failed more accurately than random guessing 99 per cent of the time. The model will also predict a specific small firm as successful or failed 94 per cent of the time vs. 50 per cent for random guessing. The r-square is very high (r = 0.70), indicating that the model variables are, in fact, significant predictors of success or failure. Results indicate that having adequate capital, keeping good records with financial controls, making plans and getting professional advice on how to manage the firm are the most important factors for the viability and success of small businesses. Practical implications With the high rate of small business failure globally, results of this study provide a list of variables that contribute to the success of small firms. Firms that focus on these important factors will increase their odds of success. Thus, avoiding failure, firms better utilize resources that contribute to economic growth. Originality/value This is the first study that looks at success and failure of small businesses in Palestine. There is no one single accepted theory that may be applied to small businesses. This paper aims to further contribute to the global validity of Lussier success and failure model moving toward a theory to better understand why some businesses succeed and others fail.

scholarly journals Effects of public procurement of R&D on the innovation process: evidence from the UK small business research initiative

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kostas Selviaridis
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Small Firms ◽  
Market Failure ◽  
Public Procurement ◽  
Innovation Process ◽  
Business Research ◽  
Content Type ◽  
Research Initiative ◽  
The Uk

Purpose The study aims to investigate how pre-commercial procurement (PCP) influences the activities, capabilities and behaviours of actors participating in the innovation process. Unlike much of PCP research underpinned by a market failure theoretical framework that evaluates the additionality of innovation inputs and outputs, this paper focusses on the role and capacity of PCP in addressing systemic failures impeding the process of innovation. Design/methodology/approach PCP effects on the innovation process were studied through a qualitative study of the UK small business research initiative (SBRI) programme. Data collection comprised 33 semi-structured interviews with key informants within 30 organisations and analysis of 80-plus secondary data sources. Interviewees included executives of technology-based small businesses, managers within public buying organisations and innovation policymakers and experts. Findings The UK SBRI improves connectivity and instigates research and development (R&D) related interactions and cooperation. Through securing government R&D contracts, small firms access relevant innovation ecosystems, build up their knowledge and capabilities and explore possible routes to market. Public organisations use the SBRI to connect to innovative small firms and access their sets of expertise and novel ideas. They also learn to appreciate the strategic role of procurement. Nonetheless, SBRI-funded small business face commercialisation and innovation adoption challenges because of institutional constraints pertaining to rules, regulations and public-sector norms of conduct. Research limitations/implications The study contributes to existing PCP research by demonstrating innovation process-related effects of PCP policies. It also complements literature on small business-friendly public procurement measures by highlighting the ways through which PCP, rather than commercial procurement procedures, can support the development of small businesses other than just facilitating their access to government (R&D) contracts. Social implications The study identifies several challenge areas that policymakers should address to improve the implementation of the UK SBRI programme. Originality/value The study demonstrates the effects of PCP on the activities, capabilities and behaviours of small businesses and public buying organisations involved in the innovation process.

Entrepreneurial motivation and small business growth in Rwanda

2015 ◽  
Vol 7 (3) ◽  
pp. 212-240 ◽  
Author(s):  
Emiel L Eijdenberg ◽  
Leonard J Paas ◽  
Enno Masurel
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Family Background ◽  
Primary Data ◽  
Small Business Owners ◽  
Business Growth ◽  
Developed Country ◽  
Content Type ◽  
Entrepreneurial Motivation ◽  
Small Business Growth

Purpose – The purpose of this study is to investigate the relationship between entrepreneurial motivation and small business growth in one of the poorest emerging countries: the African least developed country (LDC), Rwanda. Design/methodology/approach – On the basis of theoretical resources and a pre-study of interviews with local experts in Rwanda, the authors developed a survey for this study. Based on primary data from 133 Rwandan small business owners, the authors conducted an exploratory factorial analysis to uncover the underlying factors. Subsequently, the authors conducted regression analyses to test the hypotheses. Findings – The analyses show that the predictors for the growth of small businesses can be divided into three factors: one factor with a mix of motivations related to family background, necessity and opportunity motivations; one factor with items predominantly related to opportunity motivation; and one factor with items related to necessity motivation. The first factor has the strongest positive effect on small business growth followed by the second factor. The factor concerning necessity motivation was irrelevant for further inclusion in the regression model, due to insufficient reliability. Research limitations/implications – The study contributes to the debate in the literature about which entrepreneurial motivations affect the growth of small businesses in LDCs. Practical implications – The results reported in this study also have implications for how small business growth in LDCs can be supported and stimulated by policy-making practice. Originality/value – This study shows that entrepreneurial motivation is not a clear distinction between necessity and opportunity, but that a mix of motivations is important to assess the growth of small businesses in an LDC, which is an understudied context.

scholarly journals Are international small business owners really that different?

2019 ◽  
Vol 27 (1) ◽  
pp. 92-117
Author(s):  
Sarah Gundlach ◽  
Andre Sammartino
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Business Owners ◽  
Small Business Owners ◽  
Female Entrepreneurs ◽  
Content Type ◽  
Individual Traits ◽  
Tolerance For Ambiguity ◽  
The Impact ◽  
Do So

Purpose The purpose of this paper is to investigate the impact of individual traits and attributes on the entrepreneurial and internationalization actions of Australian businesswomen, many of whom run small businesses. Design/methodology/approach This study is exploratory and quantitative, based on a questionnaire survey of 323 Australian businesswomen. Drawing upon the extant literature on internationalization, gender and entrepreneurship, the study explores two micro-foundational relationships of interest – personality and capability assessment differences between female business owners and their employed counterparts, and the impact of such traits and assessments on their internationalization. A further question is explored in terms of any differentials in perceptions of barriers in internationalization. Findings The findings show key personality dimensions do not differ dramatically between Australian businesswomen working in their own businesses (i.e. entrepreneurs) or as employees in organizations, while there are surprisingly few differences between women who are engaged internationally and those yet to do so. When comparing the female entrepreneurs and employees, in particular, the findings around tolerance for ambiguity and management efficacy are notably counterintuitive. This leads to the development of testable propositions to refine the causal claims in this domain. Practical implications The study calls into question the distinctiveness of entrepreneurs and entrepreneurial endeavors, at least for female businesswomen. Originality/value By including entrepreneurs and employees, women who have engaged internationally and those that are yet to do so, the study avoids some of the potential self-selection and confirmation biases inherent in studies of only entrepreneurs or small business owners. The investigation of individual traits, attributes and experiences as micro-foundations for internationalization motivations challenges existing theories of small business expansion.

scholarly journals Socio-economic sourcing: benefits of small business set-asides in public procurement

2018 ◽  
Vol 18 (3) ◽  
pp. 217-239 ◽  
Author(s):  
Timothy Hawkins ◽  
Michael Gravier ◽  
Wesley S. Randall
Keyword(s):  
Small Business ◽  
Transaction Costs ◽  
Government Spending ◽  
Small Businesses ◽  
Perceived Risk ◽  
Design Methodology ◽  
Public Procurement ◽  
Content Type ◽  
Source Selection ◽  
Selection Processes

Purpose Small businesses are critical to economic health and encouraged in government spending by set-asides – annual small business sourcing goals that often are not attained. Little research has explored the negative and risky stigmas associated with small business sourcing. Design/methodology/approach This research explores reduced transaction costs of small business sourcing to government buyers. A survey of 350 government source selections reveals lower transaction costs derived from lower perceived risk of receiving a bid protest and via more efficient source selection processes. Findings Contrary to common bias, the performance level of small businesses is no less than that of large business. Thus, small businesses engender lower transaction costs for correcting supplier’s performance. On the basis of these findings, managerial and theoretical implications are discussed.

Entrepreneur assistance & economic development in Florida libraries

2015 ◽  
Vol 43 (3) ◽  
pp. 400-418 ◽  
Author(s):  
Janet Elaine Franks ◽  
Carol Johns
Keyword(s):  
Economic Development ◽  
Web Sites ◽  
Small Businesses ◽  
Public Libraries ◽  
Public Library ◽  
Business Community ◽  
Business Service ◽  
Content Type ◽  
Additional Information ◽  
The Usa

Purpose – The purpose of this paper was to identify essential resources that entrepreneurs need; to determine which resources and services are available at public libraries in two Florida counties; and to suggest additional ways for public libraries to increase their value and visibility among the business community. Design/methodology/approach – Information was gathered using structured and open-ended questions, using the Qualtrics survey technology provider, to obtain both quantitative and qualitative responses. Library administrators were contacted to identify relevant library staff to participate in the survey. Pasco County Library System administrators agreed to distribute the survey to their staff. Hillsborough County Public Library Cooperative administrators provided email addresses of staff selected to participate. Web sites of the libraries, their counties, and their partners were also examined for additional information. Findings – The results suggest that the libraries are able to satisfy most of the requests of entrepreneurs. One exception was consulting, which was not consistently available, according to respondents, but could be offered at the library by business service organizations. Suggestions for promoting library business resources were proposed, based on survey responses and the websites of the libraries, their counties, and their business service organization partners. Research limitations/implications – This research studied key public librarians and staff employed at Pasco and Hillsborough counties in Florida. Some of the resources identified as useful for entrepreneurs in these counties may not be generalizable to communities outside the state of Florida, or outside the USA. Additionally, the survey did not explore what is not being done or what could be done if the libraries had more resources. Practical implications – This study provides information on the resources and services that public libraries provide entrepreneurs. It also offers suggestions for libraries to become more valuable and visible to their local business community. Social implications – As entrepreneurs and small businesses contribute substantially to economic development, public libraries that provide assistance to them help their communities prosper. Originality/value – This study is a collaboration between an academic reference librarian with a recent MBA degree, and an Entrepreneur Services Manager and Florida SBDC Center Director, who together provide a unique perspective and interpretive value toward promoting economic development.

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