Internal and External Constraints Facing Venetian Ices Ltd Essay

Constraints ar laws, which the company must abide by. in that location are two antithetical types of constraints these are internal and external constraints. Internal constraints are those that the company controls their selves such(prenominal) as* Availability of finance* Existing company indemnity* Peoples deportmentExternal constraints are decisions that are made outside the companys control such as* Government and EC legislation* Competitors doings* Lack of technology* The economic environmentThe internal constraints facing Venetian internal-combustion engines include1.EquipmentVenetian Ices ingest equipment in order to produce their goods and alike keep the spyglass option frozen. So obviously they go forth need equipment such as freezers (to store the ice clobber), in the buff ice slam reservation machines in order to produce the ice cream for the customers. They willing similarly need a mobile van, so that customers could get ice cream in different areas. An other equipment that Venetian Ices could gain is packaging, this will be for customers who would want to buy a whole tub of ice cream from them. There are some problems, which may occur when renewal or extra equipment is needed. Venetian ices could in fact find themselves in a position where they are unable to afford the equipment that they would want on tap(predicate) to them. In the case of additional equipment there may not be enough room on the sight of enough employees to operate completely the machinery.2. Financing the development of a Franchisee operationVenetian Ices must translate finance to their franchisees in order to get them started and set up in the business world. Venetian Ices can get their finance from a twist of places and ways. The first is retained profit, but that can possible prove catchy for them, as sm every last(predicate) companies such as themselves only tend to get along a small profit. They can also get their finance from change as much ice cr eam as they possibly can. Venetian ices would contrive to buy all the equipment and premised that they would require when they are setting up a business up and also comporting all of the die harders in their franchisee. This means that when a new franchisee joins at first Venetian Ices have to spend a lot of capital and get little suffer in return.3. Staffing for Increased Production OutputBy increasing the frame of staff it would increase the output of the company, but this will mean having to pay out more money in order to pay their new employees. Also they may have a problem with the size of the premises. There could be a problem with the amount of slew allowed to work in the building, if there isnt enough room for everyone they would have to employ slight people hence they would like.Some External constraints that may affect Venetian Ices include1.Raising financeHow much finance Venetian Ices can invoke depends a lot on the public who purchase ice cream from them and al so investors who settle to invest money in the company. This could cause a problem though because in winter ice cream is little popular and a whole lot less people would get down and purchase ice cream during the cold period. This could therefore mean investors will not want to invest in an ice cream company, which for parting of the reason will not raise much finance.2. Planning licenceIf Venetian Ices decided they wanted to expand their premises or decide to build new premises for their company, they would require planning permission from the local anesthetic council or the government. If Venetian Ices did decide to go ahead with an extension or the building of a new building without a contract from the government activity then they could be taken to court and forced to abandon work on their new premises completely.3. FranchisingVenetian Ices do not have complete control over its franchisees, as the franchiser does not always grade them on. This can mean that franchisees ma y run the business against the company policy and use different and methods. For example if the franchisee trains the staff in how to elicit then the staff must do exactly as they are told to, if they recruit people in a different way or people who Venetian Ices dont want. This could lead to the company having a bighearted reputation.4. LawVenetian Ices must follow and work by all the laws. There has being laws set about methods of employment, training, European regulations and also solid food which would defiantly apply to Venetian Ices. These laws can be checked a lot by government inspectors.5. TourismTourism is a big market place for Venetian Ices as they make up a large serving of customers in some areas where there are mobile and ice cream parlours. Tourist also often purchases goods on impulse. However, Venetian Ices cannot insure that the flesh of tourists in a certain area will remain the resembling all the time.6. Foot and lip DiseaseAnother outbreak of tooshie an d utter can cause serious problems for Venetian Ices. Foot and Mouth affect cows, which Venetian ices, depends on for its main ingredient, which is milk. Another rear and mouth epidemic breaking out would make it hard obtaining the milk and also getting it transported as certain areas of the countryside would be shut off, therefore making transportation hard. Foot and mouth can also cause touristry to drop in certain areas and possibly even close. This would lead Venetian Ices in an awful position in them areas affected by foot and mouth. There could possibly be people who would want to stay absent from the ice cream due to foot and mouth.