Business Proposal 3a2b2j

UMS UNIVERSITI MALAYSIA SABAH

SCHOOL

:

SCHOOL OF LABUAN INTERNATIONAL BUSINESS AND FINANCE

CODE

:

UW00302 (SEC. 103)

COURSE

: FUNDAMENTALS OF ENTREPRENEURIAL DDDDDDDDDDDBDACCULTURATUON (APK)

LECTURER

:

MR. IFTEKHAR AMIN CHOWDHURY

GROUP NAME

:

APK HOLLIC GROUP (GROUP 15 SEC. 103)

APk HOLLIc 2 The Business Proposal


Executive Summary................................................................................................................................................. 6 Background Analysis ............................................................................................................................................... 8 APK HOLLIC Background ........................................................................................................................... 8 Vision ........................................................................................................................................................ 8 Mission ...................................................................................................................................................... 8 Tutor House Moto..................................................................................................................................... 9 APK HOLLIC Product .................................................................................................................................. 9 Management Plan ................................................................................................................................................. 10 Organisational Chart for APK HOLLIC ...................................................................................................... 10 Management Profile ............................................................................................................................... 11 Roles and Responsibilities of Managers ................................................................................................. 13 Human Resources Needed...................................................................................................................... 14 APK HOLLIC Logo ..................................................................................................................................... 15 APK HOLLIC Workers () and Facilities ...................................................................................... 15 APK HOLLIC Group Location .................................................................................................................... 16 Product/Service/Process ....................................................................................................................................... 16 The Uniqueness of Product/Service/Process .......................................................................................... 16 Intellectual Property ............................................................................................................................... 17 Industry and Market Analysis ............................................................................................................................... 17


Environment Analysis (PEST Analysis) .................................................................................................... 17 Political ......................................................................................................................................................... 17 Economical ................................................................................................................................................... 18 Social ............................................................................................................................................................ 18 Technological............................................................................................................................................... 18 Industry Analysis ..................................................................................................................................... 19 Size, Growth Rate, Sales Projection ......................................................................................................... 19 Key Success Factors ................................................................................................................................... 19 Market Analysis....................................................................................................................................... 19 Market Segmentation & Target Selection ............................................................................................... 19 Buyer Behaviour.......................................................................................................................................... 20 Market Strategy .................................................................................................................................................... 20 Target Market ........................................................................................................................................ 20 Market Segmentation ........................................................................................................................... 20 Market Distribution ............................................................................................................................... 21 Competitors analysis ............................................................................................................................ 21 Action Plan (Marketing Mix 4P) .......................................................................................................... 21 Product Overview........................................................................................................................................ 21 Price .............................................................................................................................................................. 22 Promotion..................................................................................................................................................... 22 Place ............................................................................................................................................................. 22 Production/Operation Plan ................................................................................................................................... 23 Production/ Manufacturing plan ............................................................................................................ 23 Equipment for Our Business Booth/Stall ................................................................................................ 24 Stock management ....................................................................................................................................... 24 Safely measurements.................................................................................................................................... 24 Financial Plan ........................................................................................................................................................ 25 Forcasting Business Financial .................................................................................................................. 25 Popia Thai...................................................................................................................................................... 25 Hot pot .......................................................................................................................................................... 26


Others material ............................................................................................................................................. 27 Estimated Profit for each product (per unit) ................................................................................................ 27 Forecasted Profit / Loss .......................................................................................................................... 27 Estimated Cost and Profit for 3 years ..................................................................................................... 30 Risk Management SWOT Analysis (Strenght + Weakness + Opportunity + Threats) ........................................... 33 For Hot pot .................................................................................................................................................... 33 For Popia Thai ............................................................................................................................................... 35 Conclusion ............................................................................................................................................................. 37 Reference .............................................................................................................................................................. 38 Appendix ............................................................................................................................................................... 39 Appendix 1 .............................................................................................................................................. 39 Appendix 3 .............................................................................................................................................. 40


Executive Summary Our group name is “APK HOLLIC” and focuses on food industry. Our group main product for APK is “Hot Pot” and “Popia Thai” which is traditionally foods originally from China. In addition, we also selling Potato Chips if have a demand on market. Our main objectives in this business is becoming the entrepreneur who leading a group in the market for food industry, in addition to being a profitable group in the this industry which produces highquality products.Our main products that we sell are “Hot Pot”, “Popia Thai” and Potato Chips which are in food industry. The main reason on why we choose to involve in food industry is because, in present day, human life style improve day by day together with the economic condition, this is also include on how they improve their food style, where they want the best quality of food with convenient price and that is why we come with our product to utilise and fulfil their desire with better services. Our group main product for APK is “Hot Pot” and “Popia Thai” which is traditional foods from China. For the Hot Pot we have two types of sauce which are spicy and non-spicy, and contain variety types of choices, like fish ball, meat ball, hot dog, and etc. These foods only can be found in main land China and hardly to find it in Malaysian that is also the reason we prefer to sell these foods for our group product. In addition, these foods also have difference in term of taste and the colour. We also sell “Potato Chips” if it has a high demand on market. During this carnival, our target customers are students, lecturers and staffs who are just within the university. Since our outlet is located within the campus, our target market is mainly focus on those customers who always comes into the university. In our management team, we have seven post mainly president, planning manager, product manager, operational manager, marketing manager, human resource manager and financial manager. Each one in our group possesses this post to make sure our business will working smoothly and efficiently.


As for our operation, our self will be doing the “Hot Pot” and “Popia Thai”. For “Hot Pot”, one of our team , that is international studentsfrom China will assist and guide us on how to cook and prepare the “Hot Pot”. And for the “Popia Thai” will be assist and guide by one of our team member that know very well on how to make the best “Popia Thai”. In conclusion, everyone in our team will working together in order to make sure our business plan is a successful plan. Market Distribution: To introduceour group product to the public, we use a very simple approach by using the Internet, for example using Facebook to our product. As we all know, the internet is very broad field of communications and be able to connect the whole world. Action Plan (Marketing Mix 4P): To get maximum profit from the selling of the “Hot Pot”, “Popia Thai” and other investment product, we had several strategies to catch customer value toward our product. The marketing strategy are divided into four, that is the product, price, promotion, and place. The company’s capital is invested by each of the group . Each of us member contribute RM25 as capital of product deposits, expense, and cost advertising. This summary of financial plan is included our investment on antivirus and cake that we will launch on market. For the APK event (two days), we estimate the total cost will be RM 699.10, the total sales RM 986.00 and the total of profit RM 316.90 where the total profit margin is 45.99%. Moreover for the three years forecasting of cost and profit, we estimate the total cost are RM 366,666.80, the total of sales are RM 540,328 and the total of profit are RM 173,661.20.


Background Analysis APK HOLLIC Background Our group name is “APK HOLLIC” and focuses on food industry. Our group main product for APK is “Hot Pot” and “Popia Thai” which is traditionally foods from China’s. In addition, we also selling Potato Chips if have a demand on market. Our cost to produce “Hot Pot” is RM 116.70, which is can produce 100 unit(stick) of hot dog and 50 unit(stick) fish ball and we sell 1 unit(1 stick) for only RM 1. Besides that, the cost to produce “Popia Thai” is about RM 56.80 which is can produce 100 unit (roll) of “Popia Thai” and we sell RM 2 for 3 unit (roll). In addition, if people or customer demands more on “Hot Pot” and “Popia Thai”, we will increase our production to meet the demand. Our group also have a difference marketing strategy on how to promote and sell these foods to test the market if there have a demand for our product, for example we our product on Facebook and make an ment in UMSKAL to take a pre-order before the APK event start. Our main target customer is UMSKAL students which is most of them is Muslim, so the process to make this product will be conducting in Islamic way and by Muslim and helping by nonMuslim . Moreover, we also selling Potato Chips if have demand on market and the ingredient to make this food we can use the same ingredient for Hot Pot and Popia Thai, so that we can save budget and avoid the waste. For the Potato Chips, our main target customer is international students from China because this type of food is very popular in China beside local student.

Vision Our group vision is to become the leading group in the market for these types of business in addition to being a profitable group in the industry which produces high-quality of products.

Mission Our group's mission is to selling a high quality product in term of to transfer the value to our customers and give better services.


Tutor House Moto “Sell High Quality Products with Convenient Price”

APK HOLLIC Product Our main products that we sell are Hot Pot, Popia Thai and Potato Chips where this business is under the food industry. The one reason why we choose to involve in food industry is because in present day, human life style improve day by day together with economic condition, this is include improve their food style where they want quality food with convenient price and that is why we come with our product to utilise and fulfil their desire with better services. In addition, every human have are different perception and opinion (their thinking), they want something new and different because this is what we call human characteristic, so we want to serve them with our new product which is hard to find on local market because this product ideas is from main land china’s.


Management Plan Organisational Chart for APK HOLLIC

President / CEO (MohdRedwan Bin Jumat)

Planning Manager AzlinaEng& Fan Wen Liang RohayuBintiMohamad

Operational Manager MohdPirdaus Bin Muntak SittiAminahUsman

Product Manager RahayuBintiAsmaniahNurliyaniNisa

Marketing Manager Nor Effendi Bin Abidin Adzrin Bin MuhajimKuan Chew Linn

Human Resource Manager

Financial Manager Anna Lau


Management Profile Mr.Mohd. Redwan bin Jumat BBA. (Hons) Chief Executive Officer Mr. Mohd Redwan is a graduate of the University Malaysia Sabah with a degree in Islamic Finance. Mr. Redwan has over 5 years of experience in the management of Finance based operations. Ms.AzlinaEng BBA. (Hons) Planning Manager Ms. Eng holds a degree of International Banking from University Malaysia Sabah. She has over 3 years’ experience in the banking sector at Maybank. Ms. Fan Wen Liang BBA. (Hons) Planning Manager Ms. Fan also holds a degree of International Banking from University Malaysia Sabah. She has over 2 years of working in the financial offshore department at LOFSA. Ms.RahayubintiAsmaniah BBA. (Hons) Product Manager Ms. Rahayu holds a degree of International Banking from University Malaysia Sabah. She has over 4 years marketing experience in financial industries. RohayubintiMohamad BBA. (Hons) Product Manager Ms.Rohayu holds a degree of Islamic Finance from University Malaysia Sabah. She has over 2 years’ experience in the banking sector, Islamic Bank. Adzrin bin Muhajim BBA. (Hons) Marketing Manager Mr. Adzrin holds a degree of Islamic Finance from University Malaysia Sabah. He has over 4 years marketing experience in IT Industries.


Mr. Nor Effendi bin Abidin BBA. (Hons) Marketing Manager Mr. Effendi holds a degree of Islamic Finance from University Malaysia Sabah. He has over 4 years marketing experience in financial industries. Mr.Mohd. Pirdaus bin Muntak BBA. (Hons) Operational Manager Mr. Pirdaus holds a degree of International Finance from University Malaysia Sabah. He has over 2 years marketing experience in banking industry, RHB Bank. Ms.SittiAminahUsmanBBA. (Hons) Operational Manager Ms. Aminah holds a degree of Islamic Finance from University Malaysia Sabah. Shee has over 3 yearsofexperience in financial and operational industry. Ms. Anna Lau BBA. (Hons) Financial Manager Ms. Lau holds a degree of International Finance from University Malaysia Sabah. She has over 2 years ing experience in banking industry, Maybank. Ms.Kuan Chew Linn BBA. (Hons) Financial Manager Ms. Kuan also holds a degree of International Finance from University Malaysia Sabah. She has over 3 years ing experience in Prudential Assurance Malaysia berhad. Ms.NurliyaniNisa BBA. (Hons) Human Resource Manager Ms. Nurliyani holds a degree of International Banking from University Malaysia Sabah. She has over 2 years experience in human resource department, Hong Leong Bank.


Roles and Responsibilities of Managers

Type of

Roles and responsibilities

Managers Chief Executive

 Advises the Board

Officer

 Advocates / promotes organization and stakeholder change related to organization mission  s

motivation

of

employees

in

organization

products/programs and operations  Interfaces between Board and employees  Interfaces between organization and community  Assists in the selection and evaluation of board  s Board's evaluation of Chief Executive Planning

 Developing activities within the company.

Manager

 Providing a project management of leadership.  Formulating a goal and work schedule.  Formulates policies and planning recommendations to the Board  Decides or guides courses of action in operations by staff

Product Manager

 Maintaining a product and service.  Developing the process of design.  Taking charge of the process of building and operating.

Marketing

 Developing marketing strategy and plan.

Manager

 Developing marketing opportunity.  Researching a potential market as well as customers.  Looks to the future for change opportunities


Operational

 Ensuring a smooth operation of various processes to the

Manager

production of goods.  Maintaining the quality of goods.  Oversees operations of organization

Financial

 Providing a financial advice for the company.

Manager

 Making a clear budgetary plan for short and long term planning.  Manages financial and physical resources

Human Resource

 Responsible for mentoring, guiding and developing the whole

Manager

team as a unit.  Forecasting the labour recruitments.  Manages human resources of organization

Human Resources Needed Human Resource Needed Well-trained workers

Explanation 

All of the workers need to be trained before all of them are put to work because with these method it can ensure a smoother and more systematize work organization within the group.

Workers with technology awareness



In order to accomplish this business proposal, certain worker needs to have knowledge regarding with technologies especially with computer hardware and software.


Workers with better



communication skill

All of the workers need to have a good communication skill that makes it easy for them to communicate not only

within

the

organization

but

also

with

the

customers. With this kind of trait, it’s easier to attract and persuade the customer to try the products. Workers with cooking experience



Some of the product needs to be cook, so a worker with cooking experiences is needed to complete the product in order for the rest of the group to present it to the customers.

APK HOLLIC Logo

APK HOLLIC Workers () and Facilities Our group can choose any employee who meets the eligibility requirements. This is due to produce high-quality products requires that employees in accordance with the requirements of our group policy. In addition, to meet the requirements, our group also conducts tests and interviews to select only the best. Our target is to get workers that specialise on our business activities, which is taught in that industry and served by a good track record. Our group also have various facilities such as computer use, kitchen tools, and other facilities. Other facilities we provide are online pre-order, free delivery, .etc. for our customers.


APK HOLLIC Group Location The location for our business will be in car parking near the Main Hall (Dewan Utama) which is start on 28 April 2012 until 29 April 2012.

Product/Service/Process The Uniqueness of Product/Service/Process Our group main product for APK is “Hot Pot” And “Popia Thai” which is traditional foods from China. These foods only can be found in main land China and hard to find it in Malaysian, that is why we prefer to sell these foods for our group product. In addition, these foods also have difference in term of taste and the colour. For the Hot Pot, we have two types of sauce which are spicy and non-spicy, and contain variety types of choice like fish ball, meat ball, hot dog, and etc. Our group also has a difference marketing strategy on how to promote and sell these foods to test the market if there have a demand for our product, for example, we our product on Facebook and make an ment in UMSKAL to take a preorder before the APK event start. Our main target customer is UMSKAL students which is most of them is Muslim, so the process to make our product will be conduct in Islamic ways to watch over its “halal” quality. Besides that, our product is one of the halal food that we bring especially from China. In China, mostly its food is non-halal food and this will attract customer to try our main product. The types to cooking process it also very healthy because we fried it with higher quality of cooking oil. This will make the taste of our product is healthier and this will control the originality the taste of the product. Our packaging is also unique from other group. This is because the way we serve with the sauce that we bring from China will attract more customers. In addition, we also selling “Potato Chips” if there is demand on market, so we will try to test the market, especially our target customers students from China.


Intellectual Property For our group main product, under intellectual property law, our main product are granted certain exclusive rights to a variety of intangible assets that is copyrights, trademarks, patents, and trade secrets in some jurisdictions. Our main product is our own recipe because we include the sauce that is we can get the ingredients in Malaysia. The special sauce only we can find in China. Then, our main product is originality and copyright from China. These exclusive rights give benefit to our group from the property that we bring from China and also providing a financial incentive for the creation of an investment in intellectual property. This will avoid from others group to copy of our product and doing same things with our main products. For the investment product, the intellectual property is owned by the supplier, our group just selling their product and get profit. If there is any problem regarding the investment product will be fully under supplier responsibility and our just selling the product on market.

Industry and Market Analysis Environment Analysis (PEST Analysis) Political The fluctuating political environment in the country can be dangerous. The factor of political that we must care of is: 

Government Policies:

Although our group/company is new, but we have to obey the policies of the Government where we run our business activities. We have to handle this situation very tactfully and obey the policies of the Government as prescribe by the government in order to run this kind of business. 

Price Policies:


Price policies are also an important factor. We maintain & design its price policies keeping in view the income & income distribution of the people living in the country. That is why all the classes are the target by us. Economical The product that is being launched is a simple to the economic conditions will determine whether the people would be willing on the product that is not part of their basic needs. Economical factor that our group should focus on are about: 

Income:

Income is an important economical factor of our company. This factor decides which class is going to be target by us. In the early time we are focusing on the studentsbudgeting. 

Consumption Behaviour:

Our group estimated the consumption behaviours of the people, their liking and disliking and make decision accordingly. Social As for social part we also need to consider in several factor that is: 

Culture:

It is easy for us to adapt to the culture because we are doing our business in own country so we know how to blend in the society. 

Religion:

We are accepted by Malaysian Religion as well. This product concept is origin from China and it is hard to find in Malaysia and the process to make this product also will be conduct on Islamic way (halal). Thus, this will makes our company to easily blend in. Technological The technological factor that we should consider of is: 

Research & Development:


Research & Development is also an important factor in the Technological factor. Our company always the work of research & development in order to introduce the new technology for a better quality product. 

Capital Formation:

Capital formation means stock of machinery. We have a stock of machinery in order to run its business activities. In other words, our company has a good amount of Capital Formation.

Industry Analysis Size, Growth Rate, Sales Projection This product target market is among the population in UMSKAL include staff and students. The roughly size in UMSKAL population is about 2,000 or more people. In our sales projection,this food product which is hotpot product we targeted that our sales is around RM 1000 or more. It is depend in selling and buying session Key Success Factors The key success factors are: 1.1.1 Introduce new product among students and staffs 1.1.2 Differencess and uniqueness compare to the other business 1.1.3 Lower capital and budget in term of foods 1.1.4 Another choices of foods.

Market Analysis Market Segmentation & Target Selection This target market is the population in UMSKAL includes lecturers, staffs and students, who are most likely to find another kind of foods. Besides that, this is the population most likely to find another food that is basically in other type of food Since we have the package for course Hot Pot food, our specific target market is students of UMSKAL, roughly 2,000 students, and staffs.


Buyer Behaviour Mostly the clients’ behaviours is just looking for a lowest price. So as we concerned, as our marketing strategy we place a lower price at our services which is affordable for our clients especially students.

Market Strategy Target Market A target market or target audience is a group of people that will basically need or want your products and services. Target market is defined in of age, sexual orientation, gender, economic class, religion, ethnicity, or location. However, our target customers are students, lecturers and staffs who are just within the university. Since our outlet is located within the campus, our target market is mainly focus on those customers who always comes into the university. Through the segmenting our target market, we can easily identify our target customers, implement marketing strategies, guides our decision making and more importantly, provide the needs and wants of our target customers in a certain product. So, we have offered “Hot Pot” And “Potato Chips” as one of our new product for our target customers of different age and income. Students and staffs within the university will likely buy our product because of its good taste and lots of varieties to choose. However, our outlet is also accessible due to its location which is within the campus. Our customers won’t have to go outside just to buy for food products but instead they can just buy it fast and easy. Thus, our target customers are students, lecturers and staffs within the university with different age, sex and income. Market Segmentation In market segmentation, our main focusis students and staff (UMSKAL), because our APK Expo will be held on UMSKAL. So to generate our profit we will attract our customer direct and indirect ment to come to our booth/stall and we also take pre-order if that customer want it and this also include for our investment.


Market Distribution To introduce our group product to the public, we use a very simple approach by using the Internet, for example using Facebook to our product. As we all know, the internet is a very broad field of communications and be able to connect the whole world. Competitors analysis APK HOLLIC of establishment is very effective. However, since we are a new on this industry, we need to do more on the competition with another group (companies) on the same industry. That is one of the ways our group makes some investment to diversify the risk and to get more profit in long term range. Action Plan (Marketing Mix 4P) To get maximum profit from the selling of the Hot Pot, Popia Thai and other investment product, we had several strategies to catch customer value toward our product. The marketing strategy are divided into four, that is, the product, price, promotion, and place. The marketing strategy is important for a company to market their product, and the most important is to get a customer value to our product, so our product can be selling efficiently. Product Overview Our product for the APK for this semester is the Hot Pot and Popia Thai, the Hot Pot is the unique dish that origin from the Chinese people, the other name for the Hot Pot that we always heard is steamboat. The Hot Pot is a unique dish because of its method of making and the taste of the dish. Not many people had a chance to taste the Hot Pot before in their life especially the Malay and Indian people, because the dish is not parallel for their culture. So, that is why we choose the Hot Pot as our product for the APK, so many people especially students of UMSKAL can experience a unique taste of the Hot Pot. As we all known, many people will want to taste a new dish to experience it by themselves of the unique and special taste of Hot Pot, so the product can be sell smoothly and make its maximum profits. We also attach sample for our product on Appendix 1.


Price For the price of this Hot Pot product, it depends on how many stick that someone had eaten. Our company suggest that one stick for RM 1.00, because it is the most affordable and relevant price for our targeted customer that is, students. In attract more customers to purchase our product, we will make a promotion for this product, such as, buy 5 sticks and get free 1 stick. By doing this, many people will purchase 5 sticks to get 1 free stick. Promotion Advertising is any paid form of non-personal mass communication through various media to present and promote product, services and ideas. So far, our products have d through many different ways and media. We will promote our product by using an attracted poster, so the customer will attract to know more about our product. Also our company will market our product in Facebook. As we all know, many people especially studentshave a Facebook , the product marketing in Facebook is the effective way to introduce our product to the targeted customer because by using Facebook to marketing our product the cost will be cheap and many people especially students will notice our product in no time. Then, by marketing our product on Facebook, it will reduce the marketing cost, and the product marketing will be more efficiently. Here example of our promotion on Facebook, you can see the really picture on appendix 2.

Place Decisions with respect to place focus on making the product available in adequate quantities at places where customers are normally expected to go for them to satisfy their needs. For


place, our company will find the most strategic place to attract customer to purchase our product, so we can maximize our product selling. The strategic places that we mention is places that will make our customer feel convenience to purchase our product. Then, it will make them easily to purchase our product.

Production/Operation Plan Production/ Manufacturing plan As our in the introduction of this proposal, our group had introduced the product that we will sell during the day of APK event. We will sell Hot Pot, Popia Thai, and if have a demand on market will launch our Potato Chips. This is because for the Potato Chips, the cost to produce is too high and cannot catch up the break event point to produce this foods, that is the reason why we only sell it only if have a demand from customers especially students who come from China. The Hot Pot and Popia Thai will be our main products and we will add more special taste to differentiate with another product on market. So we will variety our products like for the Hot Pot we have hot dog, meatball, fish ball, and etc. and for the Popia Thai, we will make it in variety of taste such as vegetable, and local taste and maybe we will focus on vegetarian customers for this Popia Thai. For our investment product on antivirus and cake has a high demand. Our venue will be held at near the Main Hall in our campus. The target customers will be students and UMSKAL Students where as we know from local students (Malaysia Students) and foreign student. In attracting our customer to come to our booth/stall, we will make some promotion such as buy 5 stick of Hot Pot free 1 stick. Moreover, for the cake will serve our customer with good services and give them free delivery with special packaging and for the Antivirus, we will give free installation to each and every our customers. Our product also cheap than other prices of other stores can offer, we will watching the market price or competitive prices and ensure to put our prices at an optimum and convenient prices so that we can give customers the felling to buy our product. Beside the prices, customers always consider quality is the second most important criteria for them to buy any product.


That was for the Antivirus. For the Hot Pot, we will use the raw material such as selected vegetable and others ingredients in order to make it more delicious and accepted in others tastes.

Equipment for Our Business Booth/Stall  Camera(for customers memory with us)  Table and Chairs  2 x Laptop Machineries, raw material and human resources needed. We already attach with this paper the material that our group will used in order to sell our products to customer on Appendix 3. Stock management

We will produce our product by forecast the demand quantity from the market, so we can reduce the excessive production on the operation. This is also can avoid from being loss on profit and increase our revenue. We already estimated that we will produce Hot Pot for 50 stick/unit for the sales on the 1st day, and if the demand increase, we will try to meets the demand by increasing our production, such add more 100 stick/unit on the 1st day. For the Popia Thai, we will try to sell 100 rolls/units on 1st day to meet the demand. Safely measurements

In measurements, all of our product will be maintain safely, especially in matter of Hot Pot. We will divide and giving the quantity of it to each and every customer with the same amount and quantity to make sure that they will be satisfied with our products. For the Antivirus, the measurement will remain the same as when we get it from our suppliers until the day we sell it to our customer on that day.


Financial Plan The company’s capital is invested by each of the group . Each of our will contribute RM25 as capital of product deposits, expense, and cost advertising.

Forcasting Business Financial Sales forecast:

Product

Hot Pot

1 unit product = RM 0.99

Popia Thai

1 unit product = RM 1.99

Price per unit

First day

Second day

Total Sales

(RM)

( 28/4/2012)

(29/4/2012)

(RM)

Hot Pot stick

0.99

100

100

200.00

Popia Thai

1.99

30

30

120.00

Cake

2.50

20

20

100.00

Antivirus

-

-

-

566.00

Total Sales (RM)

986.00

Detailed of the cost for each item

Popia Thai Items

Unit

Price Per Unit(RM)

Quantity

Price (RM)

@ 1 pack

4.00

5

20.00

Cabbage

@ 1kg

5.00

1

5.00

Carrot

@ 1 kg

5.00

1

5.00

1

6.00

Popia

Cooking oil

@

Green apple

@

6.00

1

6.00

Cucumber

@

4.00

1

4.00

@ 350 g

0.80

1

0.80

Salt

6.00


Thai Sauce

@1 bottle

10.00

1

10.00

Total

56.80

Hot pot Items

Unit

Price Per Unit (RM)

Quantity

Price (RM)

Hot dog

@ 1 pack

2.30

5

11.50

Fish ball

@ 1 kg

8.90

2

17.80

Grab stick

@ 500 g

5.50

2

11.00

Seafood tofu

@ 500 g

7.50

2

15.00

Fish sandwich

@ 500 g

9.80

2

19.60

Fish cake

@ 1 kg

9.90

2

19.80

Chili powder

@ 100 g

2.20

1

2.20

Garlic

@ 1 kg

3.90

1

3.90

Onions

@ 1 kg

3.50

1

3.50

Cooking oil

@ 500 g

2.60

1

2.60

Soya sauce

@ 1 bottle

3.00

1

3.00

Ajinamoto

@ 150 g

3.00

1

3.00

Salt

@ 350 g

0.80

1

0.80

Sesame

@ 150 g

3.00

1

3.00

Total

116.70


Others material Items

Unit

Price Per

Quantity

Price (RM)

Unit(RM) Satay stick

@ 1 pack

6.90

1

6.90

Plastic bag

@ 1 pack

11.50

1

11.50

Plastic bag

@ 1 pack

2.20

1

2.20

Paper

@1 pack

5.00

3

15.00

Total

35.60

Estimated Profit for each product (per unit) Item

Total Cost per unit

Price per unit (RM)

Profit per unit(RM)

(RM) Hot Pot stick

0.50

0.99

0.50

Popiah Thai

1.00

2.00

1.00

Forecasted Profit / Loss Total costs: RM 209.10 Total sales: RM 320.00 Forecast Profit: RM 110.90 Margin of profit = (RM 110.90/RM 320.00) * 100% = 34.66%


PRO FORMA CASH FLOW STATEMENT APK HOLLIC Company Cash Flow Statement in Year 2012 1st day 28/4/2012 Balance b/f

2nd day 29/4/2012 408.45

Cash inflow Capital

300.00

-

Sales

493.00

493.00

793.00

901.45

Stock

334.55

334.55

Rental

30.00

30.00

Promotion

15.00

5.00

Transportation fee

5.00

5.00

384.55

374.55

Profit/Loss

408.45

526.90

Balance c/f

408.45

Cash outflow


PRO FORMA FINANCIAL STATEMENT INCOME STATEMENT APK HOLLIC Income Statement in Year 2012

RM Sales

320.00

Beginning inventory

0.00

Purchases

209.10

Ending inventory

0.00

Gross profit

RM

(209.10)

DDDDDDDDDD 110.90

Expenses: Rental fee

60.00

Transportation

10.00

Promotion

20.00

Operating income

(90.00) 20.90


Estimated Cost and Profit for 3 years The above is estimate the profit in 2 days. If estimate in three years, 3 years = 1096 days/2= 548 days Total costs: RM 209.10*548 days= RM114586.8 Total sales: RM 320*548 days =RM175360 Forecast Profit: RM 110.90*548 days =60773.2 PRO FORMA CASH FLOW STATEMENT APK HOLLIC Company Cash Flow Statement in Year 2012, 2013 and 2014 1st year (RM) Balance b/f

2nd year (RM)

3rd year (RM)

43577.06

86854.12

180109.33

180109.33

180109.33

180409.33

223686.39

266963.45

Stock

122222.27

122222.27

122222.27

Rental

10950.00

10950.00

10950.00

Promotion

1835.00

1835.00

1835.00

Transportation fee

1825.00

1825.00

1825.00

136832.27

136832.27

136832.27

Profit/Loss

43577.06

86854.12

130131.18

Balance c/f

43577.06

86854.12

Cash inflow Capital Sales

300.00

Cash outflow


PRO FORMA FINANCIAL STATEMENT INCOME STATEMENT APKHOLLIC Income Statement in Year 2012, 2013 and 2014 RM Sales Beginning inventory Purchases Ending inventory

RM 175360

0.00 114586.80 0.00

Gross profit

(114586.80) 60773.20

Expenses: Rental fee

32715.00

Transportation

5475.00

Promotion

5505.00

Operating income

(43695.00) 17078.20


PRP FORMA BALANCE SHEET

APK HOLLIC Balance Sheet in Year 2012

RM CURRENT ASSET Cash

130266.20

Total assets

130266.20

OWNER EQUITY Beginning capital

300.00

Operating income

129966.20

Total Equity

130266.20


Risk Management SWOT Analysis (Strenght + Weakness + Opportunity + Threats) For Hot pot The goal of swot analysis is to match the company strengths to attractive opportunities in the environment while eliminating or overcoming the weaknesses and minimizing the threats. Strength Pricing- Our Company offers a lower price than other product such as steamboat or stewnone of which offer the same bundle of features which gives us an edge with price-conscious customers. Even though our product is quite similar with steamboat or stew but our product is more cost effective. Traditional food- Hot Pot is a traditional food from mainland China. So, it’s the opportunity for Malaysian people to taste the uniqueness of other country foods. The ingredients of the Hot Pot contain variety type of choice such as fish ball, fish cake, hot dog, and some vegetables. It is also can mix with seafood such as, prawn, squid, chicken slice, and sliced meat. We eat all of this with soup while hot. Taste- had unique taste. Beside we had two types of soup which are spicy and non-spicy so customer had choice to choose weather spicy or not. Weaknesses New product- major weaknesses we faced are Hot Pot is a new product in food market industry. Not many people knew about the existence of the product. Besides, Hot Pot is not a Malaysian local food and was origin from mainland China, so people still hesitate to try this food. Lack of brand awareness- Hot Pot has no established brand or image, whereas steamboat or stew has strong brand recognition.


Customer trust- because this food is origin from mainland China so, customer is curious about the halal status of the food. Customers allergic- not all of our customer can eat seafood. Maybe some of them are allergic to seafood and cannot eat it. Opportunities Save time- Hot Pot is a save time food. Customers do not have to wait for a long time to eat it. Easy made food- Hot Pot is a simple dish. Just boil all the ingredients and dip it into the soup. Besides, it can be eaten together with rice and suitable to eat at dinner-time. Cost efficient product- Hot Pot is a cost efficient product. The ingredients of Hot Pot easy to get beside, it can get with many in quantities. Threats Increased competition- Many market had a similar food with Hot Pot such as steamboat and stew. Customer had variety of choice whether to eat Hot Pot or steamboat and stew. Besides, it was a new product in the market, so customer still had lack of confident in this food. Downward pressure on pricing- increases competition and market-share strategies are pushing Hot Pot prices down. Steamboat and stew are relatively expensive. Vegetarian- not suitable for vegetarian because these foods is based on protein and carbohydrates such as sliced meat, seafood, fish ball, hot dog, fish cake and etc. Business strategies to overcome obstacles and risk in business.


Risk and contingency for hot pot As a new product food market industry, Hot Pot must deal with a number of risks and contingency that will happen in the future. Risk we faced in the Hot Pot business is the confident customer level. This is because Hot Pot is a new product in a food market industry and still had no brand name or image, unlike steamboat or stew that had its own brand name or image. Beside, Hot Pot is a traditional food from mainland China so customers are curious about the status of halal of Hot Pot. However, we are trying to solve this problem. Mostly all the ingredients we get from local supplier and was halal to eat. Besides, we do it in the Islamic ways means we are very specific in the tremendous and importance of hygiene and cleanliness of our product. Lack of marketing strategy- Our main media to promote our product is through media or internet such as social networking Facebook. We use Facebook because Facebook is the major community’s network in Malaysia and news can spread easily. Facebook is the fastest ways to promote product with low cost and very effective ways.

For Popia Thai Strength Pricing- our company offers a priced lowers than other spring rolls which offer the same bundle of features which gives us an edge with price-conscious customers. Even though our product is quite similar with other spring rolls but it’s more cost effective. Traditional food- it was one of the traditional food and became Malaysian choice to eat it while had their breakfast, tea time or as supper. Taste and figured- had unique taste. It was a type of food with vegetables, some meats as filling wrapped in a thin sheet of pastry and eaten with home-made sauce


Weaknesses Same product- Popia Thai is quite similar to local spring rolls. Besides that, customer cannot distinguish between local spring rolls and Thai spring rolls at a glance. This is because, it still look the same, even though Popia Thai are bigger than local spring rolls in size. Lack of brand awareness- As we know food industry has grown rapidly within time and there are many instant foods in market that has its own brand or image. So, our product still new and had no brand or images. Customer Trust- of course halal status is the main aspect that our customer worried. Thai spring rolls are halal to eat. Opportunities Vegetarian food- Popia Thai are suitable for those who in diet. This is because 100 percent of the ingredients are based on vegetables. For those who are not vegetarian also can eat this food because it still contains vitamin, which is good for the body. Cost efficient product- Popia Thai was a cost efficient product. We can get the ingredients of Popia Thai easily with lost cost and higher quantity. Threats Increased competition- many markets offer a variety of food beside Popia Thai such as fried banana. Customer had variety of choice to eat this food during tea time. Our close competitor is those who sell the same product because they already had their own customer loyalty. Downward pressure on pricing- increases competition and market-share strategies are pushing Hot Pot prices down. Because there is same product in the market the prices tend to decreases but with difference features and taste.


Health- for those who concern about their health, Popia Thai was not their choice to eat because it is quite cholesterol and was fried with deep-frying method and make it more oily and oil not good for health. Business strategies can overcome obstacles and risk in business in long term. Risk and contingency for Popia Thai As a new product food market industry, Hot Pot must deal with a number of risks and contingency that will happen. Risk we faced in the Popia Thai business is the confident loyalty. This is because there is a same product in the market with the slightly difference that are. Besides that customer are hesitates to try new food as they comfortable with their regular food. Besides we do it in the Islamic ways means we very specific in the tremendous and importance of hygiene and cleanliness of our product. Lack of marketing strategy.our main media to promote our product is through media or internet such as social networking Facebook. We use Facebook because Facebook is the major communities’ network in Malaysia and news can spread easily. Facebook is the fastest ways to promote product with low cost and very effective ways.

Conclusion In conclusion, our group/company selling product with convenient price that very affordable for customer to buy our product and the most important is our main target customer is students that they can buy our product with affordable price with high quality foods. This is one way of our contribution to our customers. Together with the investment that we conduct, it will reduce the risk of loss, beside can diversify our profit. Our product is a breakthrough to a new kind of product that ever exists and hard to find in local market which mean our main objective is to leading the market is very serious. In this innovated product and service that we provide we can create utilize their want besides their needs.


Reference 

http://en.wikipedia.org/wiki/Marketing_plan



http://www.mplans.com/tutoring_service_marketing_plan/marketing_vision_fc.php



http://www.articlesbase.com/social-marketing-articles/new-marketing-plan4290857.html



Thill, C. B. (2012). Business Communication Essentials. Pearson.



Jacobs, C. (2012). Operational and Supply Chain Management. Mc Graw Hill.


Appendix Appendix 1

Hot pot

Popia Thai


Appendix 3 Raw material such as potatoes, secret ingredients, paper plates, skewers, plastic spoons and others. As for human resources needed, our group will be called all of our to work together in order to make our product getting buy and selling it until it finish.

Hot pot Ingredients A

Ingredients B

Hot dog

Chilli powder

Fish ball

Garlic

Grab stick

Onions

Seafood tofu

Cooking oil

Fish sandwich

Soya sauce

Fish cake

Ajinamoto Salt Sesame Green onion

Popia Thai Ingredients

Seasoning Ingredients

Cabbage (sliced)

Pepper

Carrot (sliced)

Salt

Spring roll wrapper Cooking oil Green apple (sliced) Cucumber (sliced)

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