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This Project is a part of 1203302 Project Feasibility Study and Evaluation Course in the second semester of 2012. In this project is studying the feasibility of Tim chic ice cream homemade, which is include generally Marketing Analysis (General Environment Analysis) as tool, which consist of political, economy, social, environment and technology analysis. This project makes everyone who interested to get knowledge and information about ice cream homemade business before make decision to investment, including preoperational process and operation process of preoperational for the benefit to investment and profit of doing this Tim chic ice cream homemade business. We expect that our project will provide benefit more and more interested person, moreover, if they are any error in this project or whatever, our ground made an apology at this opportunity.

Group member 1. Mr.Teerasak 2. Mr.Pongsakorn 3. Miss.Naruemon 4. Miss.Rattiyakorn 5. Miss.Anongnat 6. Miss.Witchaween 7. Mr.Wasan 8. Miss.Kanya Pongteeraporn Jangsiriwattana Sophon Sawangtananan Mungmee Suebchiang Tongsrimadun Udom

TABLE OF CONTENT Page Preface Chapter 1: Introduction 1.1 Background and Significance of the Project 1.2 Project Objective(s) 1.3 Benefits of Project and Activities/Time Frame 1 2 2

Chapter 2: Industry Profile 2.1 Nature of Industry 2.2 Situation of Industry 2.3 Product/Service (in General) 4 16 17

Chapter 3: Market Feasibility Study 3.1 Market Analysis 3.1.1 General Environment Analysis - Political - Economy - Social - Environment - Technology 3.1.2Competition Analysis (3C Analysis) - Competitor Analysis - Customer Analysis - Competitive Analysis 3.2 STP Analysis 3.2.1 Segmentation 22 22 22 23 24 25 26 27 27 27 28 28 28

3.2.2 Target Market 3.2.3 Positioning 3.3 Marketing Mix Strategy - Product - Price - Place - Promotion 3.4 Sales Forecast/Profit Estimation 3.5 Marketing Expenses (Sales Incentive) 3.6 Conclusion

28 32 32 32 32 33 33 33 53 54

Chapter 4: Investment Cost 4.1 Cost of Investment 4.1.1 Pre-Operating Cost 4.1.2 Investment Cost 4.1.3 Buildings 4.1.4 Location 4.1.5 Facility Layout 4.1.6 Machine/Tools/ Equipments 4.2 Depreciation 4.3 Conclusion 55 55 55 57 58 58 61 75 78

Chapter 5: Production and Operations Analysis 5.1 Product Characteristics (in Detail) 5.2 Specification, Feathers, Dimension, Life Time, etc. 5.3 Production/Services Process 5.4 Operating Cost 79 91 92 105

5.4.1 Raw material Cost 5.4.2 Direct Labor Cost 5.4.3 Overhead (If Any) 5.5 Logistics Management 5.6 Facility Management

106 106 106 108 108

Chapter 6: Administration analysis 6.1 Management Analysis 6.1.1 Facility Cost (Electricity, Telephone, Fax, etc.) 6.1.2 Salary 6.2 Conclusion 110 111 112 112

Chapter 7: Financial Analysis 7.1 Financial Assumption for Business. 7.1.1 Profit/ Loss Statement 7.1.2 Cash Flow 7.1.3 Balance Sheet 113 113 113 118

Chapter 8: Risk Management 8. Risk management 8.1 Operation factor 8.2 Human Resources factor 8.3 Marketing factor 8.4 Financial factor 8.5 Economic factor 8.6 Technology risk 119 119 119 119 119 119 120

Chapter9: Summary 9.1 Summary 121



1 Chapter 1 Introduction

1.1 Background and Significance of the Project Chiang Rai is the northern part of Thailand far from Bangkok 785 kilometers. The area is about 11,678.369 square kilometers or 7,298,981 Rai. There are a beautiful natural resource, river, mountain, and forest. It is kind of the old city that tells the history of habitation from the past to the present. Chiang Rai has the best weather in winter because the good landscape that is mountain, and many interest places such as architecture, nature, or sport and recreation. Most of tourist that came to Chiang Rai is ecotourism, they like in the winter because the charm of nature. In this province has many places attraction for example, Phu Chi Fha, Doi thung, Golden triangle, King meng rai monument, memorial clock tower, etc. (Michael Holland, 2012) This city is a major tourist destination and citys economy province of Thailand according to the economic plan of development in the South China border - Indo China.There are routes that link to the countries of East Asia. It is the one of the Province that linked to the neighboring countries. Nowadays, in Chiang Rai is developing to develop the border economic in many area as know GRAETER MAEKHONG SUBREGION or GMS to support the trade cooperation between countries in the Maekhong region.( (GMS data, 2010) So, now there are many people come to invest in Chiang Rai and also can increase more traveler come to visit as well. Travelers both Thai and foreigners come to visited Chiang rai through the Chiang Rai Immigration about 1,680,248 people a years (Statistic of Getting into the Kingdom of personnel and vehicles, Chiang Rai Immegration, 2009) Our project business is Tim chic ice cream homemade. This project makes for generation Y (15-35 years old). Our store will be located at the way to go to Khua Phaya Mang Rai or The Bridge over the Mae Kok River (new one) in Chiang Rai. This is a new bridge and connection with all avenues in Chiang Rai. The way to go there is attractive to visit because has restaurant and bar and restaurant with chill out style so, we forecast that can make our business growth and more profit from local. We present a Tim chic ice cream homemade in chic and modern style and welcoming feeling with shades of pastel (color of pink and warm brown), make the customers feels relax and romance, it help to have more concentrated. Tim chic ice cream homemade for the traveler and local people. We have many menus of ice cream and drinks, and we proud to present a delicious ice cream that made fresh for twice a week. The guest can should the special ice cream for each season that the store prepared specially. Tim chic ice cream homemade menu preparations emphasize the use of local and seasonal ingredients encourage the local people in age around 15-35 years old and love ice cream homemade. From reason there are popular because there are outstanding and unique. We have to serve the things that what the customer want such as ice cream homemade flavor, free Wi-Fi, books, and the beautiful decoration for take a photo, etc.

2 Please come and join us. Our goal is to incorporate elements of ice cream homemade and drinks that takes place in Chiang Rai. Tim chic ice cream homemade welcomes you to enjoy a meet up with friends, enjoy a delectable varieties flavor of ice cream or one of our special menus.

1.2 Project Objectives 1. To analysis market. 2. To make new products in market. 3. To observe the famous of group customer. 4. To study potential of business. 5. To study behavior of customer. 6. To study planning budget of business. 7. To study feasibility of market. 8. To study grown of business. 9. To study segment of market. 10. To study segment of customer.

1.3 Benefit of project 1. To understand behavior of customers. 2. To understand potential of business. 3. To understand customers want and need. 4. To understand feasibility of market. 5. To understand planning budget of business. 6. To understand segment of customer. 7. To understand growth of business. 8. To get a lot of profit from the structure of service and product. 9. Can know about to set up the planning of the business and to do the business successful. 10. Can analyze the market in the future and analyze the business feasibility. 11. 1.4 Activities/Time Frame 12. Gantt chart and Time Frame of the study

Activities 1. Choice Topic 2. Searching information * Media (Variety show) * Internet * Magazine 3. Topic Submission * Fix problem * Search information

Nov. Dec. Jan. 2 3 4 1 2 3 4 1 2 3 4

3 4. Introduction Submission * Background * Significant * Benefit * Gantt Chart 5. Study the business profile * Companies image * Logo and Brand * Product design 6. Study Analyze market feasibility * STP Analysis * 4Ps * Competitor Advantages 7. Study technical Feasibility * Determine the necessary resource. * Comparing with competitor 8.Study and Analyze the financial of our business * Financial Annual report * Determine cost 9. Study and management the risk of our business * Risk Analysis and Other * Control Risk Analysis 10. Project Advertising * Determine story broad * Prepare story broad 11. Writing and analyze the report * Evaluation * Restage 12. Checking Final-draft 13.Conclusion the feasibility of business and suggestion Table 1.1

4 Chapter 2 Industry Profile 2.1 Nature of industry The origins of ice cream can be traced back to the Persian Empire, people would pour grape-juice concentrate over snow, in a bowl, and eat this as a treat, especially when the weather was hot. Snow would either be saved in the cool-keeping underground chambers known as yakhchal, or taken from snowfall that remained at the top of mountains by the summer capital Hagmatana, Ecbatana or Hamedan of today. In 400 BC, the Persians went further and invented a special chilled food, made of rose water and vermicelli, which was served to royalty during summers. The ice was mixed with saffron, fruits, and various other flavors (My Kitchen Treasures, 2012). In at least the 4th century B.C. Early references include the Roman emperor Nero (A.D. 37-68) who ordered ice brought from the mountains and combined with fruit toppings, and King Tang (A.D. 618-97) of Shang, China who had a method of creating ice and milk concoctions. Ice cream was likely brought from China back to Europe. Over time, recipes for ices, sherbets, and milk ices evolved and served in the fashionable Italian and French royal courts (OpenRice, 2012). Ancient civilizations have served ice for cold foods for thousands of years. The BBC reports that a frozen mixture of milk and rice was used in China around 200 BC. The Roman Emperor Nero (3768) had ice brought from the mountains and combined it with fruit toppings. These were some early chilled delicacies. Arabs were perhaps the first to use milk as a major ingredient in the production of ice cream.[citation needed] They sweetened it with sugar rather than fruit juices, and perfected means of commercial production. As early as the 10th century, ice cream was widespread among many of the Arab worlds major cities, including Baghdad, Damascus, and Cairo. It was produced from milk or cream, often with some yoghurt, and was flavored with rosewater, dried fruits and nuts. It is believed that the recipe was based on older Ancient Arabian recipes, which were, it is presumed, the first and precursors to Persian flooded. Maguelonne Toussaint-Samat asserts, in her History of Food, that the Chinese may be credited with inventing a device to make sorbets and ice cream. They poured a mixture of snow over the exteriors of containers filled with syrup, for, in the same way as salt raises the boiling-point of water, it lowers the freezing-point to below zero.

5 It has also been claimed that, in the Yuan Dynasty, Kublai Khan enjoyed ice cream and kept it a royal secret until Marco Polo visited China and took the technique of making ice cream to Italy. Japanese green tea ice cream with anko sauce. In the sixteenth century, the Mughal emperors used relays of horsemen to bring ice from the Hindu Kush to Delhi, where it was used in fruit sorbets. When Italian duchess Catherine de Medici married the Duke of Orlans (Henry II of France) in 1533, she is said to have brought with her to France some Italian chefs who had recipes for flavored ices or sorbets (WhereFoodComesFrom, 2012). There is uncertain evidence to show that what time accurately Ice Creams first introduced to Thailand. It is believed that Ice cream was first imported from Singapore to Thailand a hundred years ago in late King Rama IV to King Rama The 5th period. Ice cream was primarily served as a royal dish. It is regarded as the most popular in this era (Thaibizcenter, 2011). Coolness and the sweetness of the ice cream will make you feel relaxed instantly. They had paid considerable concentration to the quality and purity in the manufacturing process. At that moment, Thai people called ice cream are I-Tim. Initially, the popular Ice cream or I-Tim was not in fact an ice cream mixture as we recognize now but instead was syrup mixed with ice. Soon after, several flavors, lets say, Lod Chong (rice noodles made of rice eaten with coconut cream), O lieng (Thai black coffee), Black bean, Chao Guay (a sort of Chinese vegetable jelly black in color) et cetera had been added. In Thailand there are many ice cream shops introduce in Thailand such as Swensens, Dairy Queen, and Baskin Robbins. Those of ice cream shop are the brand name and very popular in nowadays because of their quality products and services. Ice cream is a frozen dessert usually made from dairy products, such as milk and cream, and often combined with fruits or other ingredients and flavors. Most varieties contain sugar, although some are made with other sweeteners. In some cases, artificial flavorings and colorings are used in addition or instead the natural ingredients. The mixture of chosen ingredients is stirred slowly while cooling, in order to incorporate air and to prevent large ice crystals from forming. The result is smoothly textured semi-solid foam that is malleable and can be scooped. The meaning of the phrase ice cream varies from one country to another. Phrases such as frozen custard, frozen yogurt, sorbet, gelato and others are used to distinguish different varieties and styles. In some countries, such as the United States, the phrase ice cream applies only to a specific variety, and most governments regulate the commercial use of the various terms according to the relative quantities of the main ingredients. In other countries, such as Italy and Argentina, one word is used for all variants

6 (My Kitchen Treasures, 2012). Analogues made from dairy alternatives, such as goat or sheeps milk, or milk substitutes, are available for those who are lactose intolerant, allergic to dairy protein, or vegan. The most popular flavors of ice cream are vanilla and chocolate. Nowadays, there are many kind of ice cream product. The following are the example of ice cream product this present. 1. Hokey Pokey

Figure 2.1 Hoky Poky Photo by: THE NIBBLE They were usually layered with three different flavors of ice cream, and each crosswise slice would reveal all three they cost one or two pennies, and children would buy half a slice for half the price...The wrapped slices were sold to ice cream vendors. Whole bricks were sold to ice cream shops to be sliced and served, and also to householders, who had to rush home to serve them to their families before the ice cream melted. The three flavors were typically chocolate, strawberry and vanilla. This combination of flavors became known as Neapolitan ice cream. As late as the 1960s, one could purchase a box of individually wrapped slices in the supermarket that closely resembled what the hokey pokey man sold many decades earlier from his cart. (The Nibble, 2005)

7 2. Gelato

Figure 2.2 Gelato Photo by The Nibble Gelato is Italian-style ice cream. It is made from water, milk and/or soymilk, combined with flavorings, sweeteners, and a stabilizing agent. Gelato comes from the Italian word for frozen. Traditionally, it has had two major points of differentiation from American ice cream: density and butterfat. Unlike ice cream, gelato machinery whips almost no air into the product (i.e., much less overrun), resulting in a dense and more intensely flavored product. For example, American brand Ciao Bella Gelato contains 20% air by volume (overrun) compared to 60% in most American brands. To proceed with the classic description, Italian gelato typically has 4% to 8% butterfat, although Ciao Bella Gelato, a leading U.S., brand, has 12% butterfat. (The Nibble, 2005)


Figure 2.3 Baked Alaska Photo by The Nibble A masterpiece of chemistry: ice cream, cake and meringue baked in the oven until the meringue browns. Ice cream, in a rectangle or mounded in a pie plate, is covered on all sides with slices of sponge cake or pound cake, which is then covered with meringue. The entire dessert is then placed in a 425F oven just long enough to firm the meringuethree or four minutes. The meringue is an effective insulator, and in the short cooking time needed to finish the dessert, it prevents the ice cream from melting.

9 4. BOMBE

Figure 2.4 Bombe Photo by The Nibble A combination of frozen parfait and ice cream, in a mold; the mold can be conventional (round, oval) or an unusual shape (flower, lobster). As with a frozen souffl, fruit can be added, and the mixture can be molded to individual portions or large molds. It is a classic French dessert and an elegant end to a dinner. Ice cream and fruit bombes were very popular in Victorian times; the molds were often lined with cake or biscuits. (The Nibble, 2005)

5. FROZEN SOUFFL A dessert that has a base, usually a cooked custard, that is lightened with whipped cream or cooked egg whites and then still-frozen in a souffl dish in a conventional freezer. Fruit can be added, and the mixture can be molded in individual ramekins or molds or in large molds. (The Nibble, 2005)

Figure 2.5 Frozen Souffle Photo by the Nibble

10 6. FROZEN CUSTARD or SOFT-SERVE ICE CREAM Soft-serve is a frozen dessert similar to ice cream, but served at a warmer temperature from a machine that extrudes the ice cream into soft, swirled peaks (see photo at right). It is much lighter than ice cream, lower in milk fat and and higher in overrunup to 60% air by volume. Frozen yogurt is also available in softserve form. With both ice cream and frozen custard, the ingredients are mixed at 21F; then the ice cream goes into a hardening room where it becomes rocksolid at -40F. Soft ice cream leaves off this last step. Frozen custard is perceived as tastier because it is warmer and doesnt numb the taste buds. What we know today as soft serve or frozen custard and were originally regular Figure 2.6 Frozen Custard Photo by the Nibble French ice cream or glace

(pronounced GLAHS). 2005)

(The Nibble,


Figure 2.7 Frozen Yogurt Photo by The Nibble A dessert is made of low fat or nonfat yogurt plus sweetener, gelatin, corn syrup, flavoring and sometimes, coloring. It is churned in an ice cream machine. Frozen yogurt is available soft-serve and hard-packed. It both freezes and melts much more slowly than ice cream, since yogurt has a much higher freezing and melting point than milk. The beneficial bacteria Lactobacillus bulgaricus and Streptococcus therm ophilus are believed to be killed when the yogurt is frozen. If you are making frozen yogurt at home, you can use nonfat yogurt and milk in place of regular milk and yogurt in the recipes. We recommend that you use a high quality ice cream maker to freeze these mixes, as yogurts require a longer freezing time than ice cream. (The nibble, 2005) The inspiration of establishing our business is come from the trend of consuming ice cream of Thai people in nowadays. Many of Ice Cream business generate more income than other business. Many ice cream businesses try to provide a difference product and service to attract more customers because there are many competitors in this industry. So, to introduce the new business in this market, we have to provide the different. Our business present about ice cream made from cow milk. The name of our business is Tim chic ice-cream homemade . Our product has inspiration from umm milk that is product of Farm Chokchai. Their product made from raw milk from cows. As you can see in Lung-Chom () who is direct competitor of our business, they locate behind Chiangrai Prachanukhor hospital. Tim chic provide ice-cream in the different style from our competitor. We offer for customer in style of dine in shop which is popular form in the present, it is corresponding with the consumer behavior because the consumers prefer comfortable, chill out, and dine outside home which

12 Tim Chic support all of these. Moreover Tim Chic provides ice-cream in hot pot that it is interesting, funny and easy to eat and Tim Chic offers space for dine in such as living zone, Wi-Fi zone which appropriates. We use chic style by modern furniture but our still concordant with the natural decorate within our shop as the result Tim Chic is different from our competitor. Moreover, Tim Chic provide ice-cream catering, it is a business that provides convenience for customer who would like to have party. And our shop have a special menu is honey toast. The honey toast is pound loaves of bread out of the four brackets came out as the meat cutters. Then remove the butter, then baked or fried with butter. Topped with honey and lift my laptop. In General ()

Figure 2.8 I-Tim Lung Chom our direct competitor condition Photo by Tai Noi Jom Son

Figure 2.9 The example of I-Tim Lung Choms product Photo(Tim Chic) Jom Son by Tai Noi In special


Figure 2.10 Tim Chic condition

Figure 2.11 Tim Chics Produce

14 About service Nowadays service is the contribution to attract customers. Tim Chic provides catering that the customer can select Ice cream, which they want. Our Ice cream sells at the shop different from catering. Ice-cream is sold on catering; it is difficult to find and other competitors do not have. Moreover our catering deals with Business Incubator of Student and generation Y of Chiang Rai who provides the major customer for us according to cooperative contract. We offer menu that customers can choose by themselves, it depends on the price that we agreed. Tim Chic is the first Ice cream in the hot pot style shop, which can dine in. It suits for meeting area. The shop is decorated in chic modern style. There are reading books corner and Wi-Fi service. Customers can choose Ice cream by themselves or it is called self-service. And they can choose the package that they satisfy and fulfill a Ice cream by themselves. In festival Tim Chic gives a discount to customers. Moreover customer can place an order via telephone and Tim Chic and Tim Chic delivers according to the condition of distance and price. For distance, Tim Chic delivers within 10 km. that is far from the shop. For the price, we will deliver to customers who order more than 400 baths. Tim Chic opened in everyday (11.00 am. 20.00 pm.) Except weekend opened (10.00 am.22.00 pm.)

Vision Tim Chic is recognized as the one of leading of Ice cream caf. In Chiang Rai according to quality of product and customer service in customers mind. Mission Tim Chic is the first specialized of Ice cream homemade caf in Chiang Rai. It provides exquisite Ice cream hot pots, which are quality, product shelf life concerned with environment friendly extraordinary packaging in Chic modern style caf being more attractive as well as Ice cream reinforcement. Customers are also provided in self-service together with excellent personal services including facilities and high technology offered within caf to create the customers impressive shopping experience and also customers mind tend to

15 market expansion toward other and sales. Our employees are offered in social welfare with ethical management. The significance of management is to create its stakeholders feel happy and funny according to Tim Chic slogan Lets get happiness with Tim Chic Strategy Tim Chic is Ice creamer distributor who provides Ice cream in modern style by put in the hot pot. Tim Chic creates and designs Ice cream by ourselves. We use strategy in 2 levels; corporate level and functional level.

16 2.3 Situation of Industry Present trend in market of ice cream homemade in Chiang Rai is not many investor to invest in ice cream homemade business, the most of ice cream homemade have styles and flavors similar not have new idea, new style and new flavors so that not have many competitors, so this is the good way to make new business about ice cream and make more chance to serve the product to customers to get the something new with high quality. Ice cream homemade that important in ingredient and these things make each store is different. In addition we have packaging and good quality of ingredient.

Foods store in Thailand must have assurance standard for food and drug organization or Clean Food Good Taste to guarantee. The assurance have the effect to the consumer to make sure to using the product, nowadays the consumer concern about their health and our store need the certificate to guarantee for our product.

17 2.3 Product/Service Ice Cream Flavor, Toppings, and drinks

Milk flavor

Figure 2.12 Photo by

Banana-Coconut flavor

Figure 2.13 Photo by

Cream cheese Flavor

Figure 2.14 Photo by


Strawberry cheesecake flavor

Figure 2.15 Photo by

Eggnog flavor

Figure 2.16 Photo by

Bubble gum flavor


Figure 2.17 Photo by


Green tea flavor

Figure 2.18 Photo by

Orange Yoghurt flavor

Figure 2.19 Photo by

Apple Kiwi Sherbet flavor

Figure 2.20 Photo by

20 Toppings - sprinkles - mini marshmallows - gummy bears - peanuts - mini M&Ms - crushed Oreos - peanut butter chips Figure 2.21 Photo by

Milk shake

Figure 2.22 Photo by

Honey toast

Figure 2.23 Photo by

21 Conclusion Ice Cream has a long history that first introduced in the royal dish. It was transferred to be change by the time and difference favorite of each country even in the process of making and flavors. Ice cream transfers to Thailand and become more popular in nowadays because Thailand is the warm country. Ice cream can help to reduce the temperature of the body and make the body freshly. Thats why Ice cream is popular. We realize that ice cream will more popular because now the weather is hotter. Thailand has hot weather and even in the cold season Thai people still consume ice cream because although the weather is cold in the morning and evening but at the afternoon is very hot. Its not cold whole day. We would like to open the new business about ice cream homemade caf. This caf provide the seat for dining and many facilities to respond for the need of trend of customer. Nowadays, people prefer to dine out and spent their free time to meeting with their friend in outside home. Our target group is generation Y or people who are about 15-35 years old. These groups will spent their time with friend and prefer to sociality. So, our service will serve for the need of guest the condition and decorate style will respond for the target group. We would like to be the leader of ice cream caf in Chiang Rai. So we have to increase our product and service quality and continue improve it by gathering it the feedback from our customer and learn about our competitor. We have a strong competitor in this industry is Lung-Chom which provide the ice cream homemade like us. So, we would like to make our product different by serving the ice creams in the hot pot that are the first introduce in Chiang Rai. Lets get happiness with Tim Chic

22 Chapter 3 Market Feasibility Study

3.1 Market Analysis 3.1.1 General Environment Analysis Before we start our Tim Chic ice-cream homemade Business in Chiang Rai, we need to study about feasibility first by searching more information from Internet, and ask the information of the local people. This information is important because it is very realistic. After we have this information, we need to use Marketing Analysis (General Environment Analysis) as tool, which consist of political, economy, social, environment and technology analysis. Political Chiang Rai is low conflict in Political in Thailand. Many people in Chiang Rai can live in peace because of their political fair view point and the effect of some previous government has support many provinces in the north and northeast of Thailand by giving a lot of welfare and fund for their budget to do everything. Many people in Chiang Rai are consists of private employees, government employee and entrepreneur. Reason is there are many benefits from political policy of some old government left to local people in Chiang Rai which reflect by Chiang Rais GDP growth, good public utility and consumer goods like OTOP which made jobless people have their own income. Good Point There are few political conflict can happened in Chiang Rai Province because many politicians viewpoint almost same that cause high harmony in Chiang Rai society which make image of Chiang Rai Political looks good. Bad Point When the conflict of politic have appear, local people will create their mob to do something for achieve their or satisfy them which disturb our business and guests. This problem is hard to control because of human power is very high.

23 Summary of Political Analysis To invest Tim Chic ice-cream homemade in Chiang Rai province is a good way for our business because there are few politic conflict which is hardly to appear in Chiang Rai province. Chiang Rai people viewpoint are going in the same way. We need to understand Chiang Rai people viewpoint to success in our business. Economy Chiang Rai is the northern province of Thailand where have many tourist attractions, education institution which motivate many people to invest the business. We have the information about Chiang Rai people revenue has increase each year pass which support the Good GDP growth of Chiang Rai Province, so it prove us that Economy stability of Chiang Rai province is good for invest our business. The following reason supports to invest sports complex in Chiang Rai. Reason is the good information that reflects about Chiang Rai GDP and politician revenue average has proved that many local people have their buying power enough to enjoy their good product and service. So there are many business owner are interest to invest their business in Chiang Rai area. Good Point There are a lot of circulate money in this district from many business relate to education, entertainment, health, tourist and other business. We have the opportunities to run our Tim Chic ice-cream homemade smoothly and profitable. Good economies will good for everything. Bad Point There are high competitive in many business in Chiang Rai Province because of good status of economic like GDP and high politicians revenue average. To run our Tim Chic icecream homemade, we must provide good price, promotion, service. Summary of Economic Analysis Chiang Rai Province is the big city where has it good status of economic that reflect by high GDP and Politician revenue average while there are many business have their high competitive too. To sell good product or service is not good enough to match with this area. We need to provide Idea and creative to adapt in our business to attract customer.

24 Social Chiang Rai Province located in the northern of Thailand. The culture in Chiang Rai is Lanna culture which has its characteristic on speaking language, costume, belief, and lifestyle. We can call Chiang Rai Countryside Social even Chiang Rai is Boom and develop with a lot of building in its downtown. There is much kind of people live in Chiang Rai like 24hinese, hill tribe, and local people that cause Chiang Rai social has variety. Today Chiang Rai Social is more various because many people want to live in Chiang Rai with their own reasons that reflect on the increase of Muslim in Mae Sai, Southern People, Rich people from another part of Thailand and Foreigners who married with Thai people. Many people who come to visit Chiang Rai have the chance to see The Lanna society. There is some reasons support Chiang Rai to be good location for running business. First, Social in Chiang Rai province is various because of there are many people live in Chiang Rai. Business owners have to concern about consumer culture lifestyle and behavior majority to enter Chiang Rai market on their business goal. Second, the social of Chiang Rai has low conflict inside because Chiang Rai is a famous one in the northern of Thailand. Many business owners concentrate on their business more than eliminate their competitors like another province in another part of Thailand. So many new business owners can feel peace and friendly from many people in Chiang Rai. Good Point There are many kind of customer in many generations in Chiang Rai which cause of variety in Chiang Rai. Lanna people behaviors well known as they are friendly that increase the good image of Chiang Rai. Bad Point Even there is much kind of people in Chiang Rai with good growth rate of revenue average, The competitive still high in many business circles while the price of land still growth and expensive like many big cities in Thailand. To invest in this land, we must provide a lot of money and more creative ideas.

25 Summary of Social Chiang Rai original Social is Lanna Social: many people who live in Chiang Rai province are local people. In today, the development has come to Chiang Rai with many people from other province of Thailand that makes Chiang Rai Social growth with economy. If we want to enter market smoothly, we must concern about consumer analysis deeply. Environment Analysis Chiang Rai Province is the big area which has many kind of atmosphere where attract people to live, trade, tour and learn. Environment of Chiang Rai Province weather is not too bad. It doesnt have high pollution like the big city like Chiang Mai and Bangkok. Chiang Rai province is good area one to run the business because of its weather quite good, Its temperature is cool in the night and not too hot in the day which is better than other province in Thailand. According to Chiang Rai Corporation (2009), This destination is the average temperature throughout the year (2552) at 24.8 degrees Celsius. The maximum temperature is 37.5 degrees celsius, the lowest temperature at 8.7 degrees celsius (p.6). But the current climate has changed quite a lot as a result, the climate of Chiang Rai. Which includes the City of London has changed as well the shorter winter. The summers are long lasting even more during the month of April. According to Chiang Rai Corporation (2009), Summer of Chiang Rai from February May. Average temperature of 27.3 degrees Celsius, the maximum temperature is 37.5 degrees celsius (p.6). So if we locate Tim Chic ice-cream homemade here. This point of environment can support us and our customer a lot to enjoy in our shop for long time. Good point Chiang Rai provinces environment support our business with many factors such as it business characteristics, good weather, good topography and tourist attractions especially the scatter area of ice-cream business that let we gain high advantage of our Tim Chic ice-cream homemade. Bad point We have to concern Chiang Rai pollution from dust which comes from traffic jam, raining in the long period in rainy season, and smoke from farmer who burn some plant after they finish harvesting seasons

26 Summary of Environment Chiang Rai province has a good environment because there are a lot of ecosystems to produce oxygen around the area. The weather of Chiang Rai has a lot of hot day long time once a year in everyday even we have to get hard work or serious with something from human and environment, but it is not bad at all for our shop. Technology Technology in Chiang Rai province always improve following from consumer demand and Technology news. New items always import to Bangkok first before distribute to another province beside some business owner in other province has order by them self specially. In control of our Tim Chic ice-cream homemade, we have our policy to provide enjoy and good flavor to attract our customer. Our competitor always do this too because there are a lot of new item in shopping mall in many big cities even Chiang rai province have too but not high quality like another famous big cities like Chiang Mai and Bangkok and we decide to select this area because of following reasons. Good Point Nowadays we will see that the light food business is become more popular such as coffee shop, bakery shop and ice cream shop. Ice cream shop has a few competitors when compare with coffee shop and bakery shop. Especially, Ice cream home made that are become more popular in a few years. So, Ice cream homemade is the best way best business when consider to the factors even in product style, producing process, channel of selling, creating brand, cost of investment, and market share. In nowadays, market of Ice cream homemade is growing not less than 40% per year or has a market value about 1635 million Baht with 30 percent of the total market value of premium ice cream. (Expected market capitalization of approximately 5,450 million Baht)( Kasikorn Thai Research Center., 2012), because of the several flavor and the form of ice cream that are unique and not quite expensive. It uses the quality raw material. Also, the investment not spent quite much money. Bad Point There are a limited of brand name that not become more well know to consumers. Also, the amount of branches and amount of outcome are not enough for the need of consumer.

27 Summary of Technology Analysis Technology in Chiang Rai province is improving follow market news and customer trends. Many business owners import their high technology items to use in their business from big city and we have a chance to learn about customer demand though technology from other sport business nearby while collecting competitive information to make our plan and strategy for encourage incoming risk. 3.1.2 Competition Analysis (3C Analysis) Competitor Analysis In Chiang Rai has no ice cream homemade too much, if there have the same form such as same flavor, same utensil or same decorate. Our shop has something different from other shop, have new some flavor and use hot pot to be utensil. Tim chic ice cream homemade has located on the way to go to Khua Phaya Mang Rai or The Bridge over the Mae Kok River (new one) in Chiang Rai. The way to go there is attractive to visit because have restaurant and bar and restaurant with chill out style and his is a new bridge and connection with all avenue in Chiang Rai so, this area has no ice cream shop we will be present Tim chic ice cream homemade. However, our direct competitors are Luong Chom ice cream (located by Prachanukroh hospital) and Happy plus (front of Mae Fah Luang University) both of shop have ice cream homemade. First place is Luong Chom ice cream (located by Prachanukroh hospital) there is no flavor and topping too much, no Wi-Fi zone, have nature atmosphere and second place is Happy plus (front of Mae Fah Luang University) there is no flavor and topping too much, have some cake, shop is small is not enough for customers. It is better to have both of advantage at one as Tim chic ice cream homemade. Customer Analysis Our customers are generation Y (15-35 years old) and it can be classified into 3 groups it depends on the factors that use to group of customer. - Student is the first one we focus on target segmentation. They like to have something new and like to chat and enjoyed with their friends or find the place to reading book to prepare their self for examination, then our shop have to serve new flavor and new services. Our shop have price for student can buy it.

28 - Working people this group is very easy going and has high income because they have their job. They behavior looks like teenage group but they care about service more than student. They have higher expectation as they pay their money higher for high services, so we have Wi-Fi zone to provide for this group. - Tourist is not stable to get profit from this group because Chiang Rai have more tourist in winter season and summer season is not have too much, so this group want to relax and take a photo then our shop have decorating for take a photo. - Other is always customers comes to our shop because it has located on the way to go to Khua Phaya Mang Rai or The bridge over the Mae Kok river (new one) in Chiang Rai. Competitive Analysis Tim chic ice cream homemade has different from other shop. It has new things to prefer to customers such as new flavor, new utensil and have area to take a photo. In Chiang Rai no have this ice cream style, so this is interesting for customers.

3.2 STP Analysis 3.2.1Segmentation We considerate to use Demography and lifestyle segmentation to separate targeting into 5 sample groups. The local Chiang Rai community (general public, etc.), tourist who visit the city, downtown business workers, student and irregularly customer. 3.2.2Target Market

Target Market

The local chiang rai community Tourist Business workers Student Irregularly

Figure 3.1

29 We divided group of customer into 5 groups, the local Chiang Rai community, tourist who visit the city, downtown business workers, student and irregularly customer. This chart shows about target market of us, because student and the local community have easy to introduce for sale and have many people more than other group. We focus on the group of student more than other group because of the amount of student on this location. Student prefers to join the ice cream more than other and the price is suitable for the buying power. There are 4 school closely to our ice cream shop; Chiang Rai Wittayakhom, Dumrong Rassongcroh Chiand Rai, Samakkee Wittayakhom Chiang Rai, and Chiang Rai international Shool. Chiang Rai Wittayakhom Shool. In 2012, there are 2,795 students; women 1,405 students and men 1,390 students. Only for the high school there are 1,544 students as follow information. (Chiang Rai Wittayakhom Shool, 2012)
Number of classrooms 5 5 5 15 Number of students Men Women 132 86 107 110 87 86 329 279

Level Grade 7 Grade 8 Grade 9 Total

Total 218 217 173 608

Table 3.1 Number of lower secondary schools student

Level Grade 10 Grade 11 Grade 12 Total Number of classrooms 7 7 7 21 Number of student Men Women 172 153 144 212 120 135 436 500 Total 325 356 255 936

Table 3.2 Number of upper secondary schools Student Samakkee Witthayakhom Shool. It is the high school grade 7- Grade 12. There are 4,000 Students. The area of school about 50 acres, 13 building, 90 classrooms, and the operation room 40 rooms. (Samakkee Withayakhom School, 2012) Dumrong Ratsongcroh there is about 13 acres of the whole area and it is the high school grade 7- Grade 12. In each level have 12 class room and the total of classrooms are 72 classrooms. There are student about 2,981 people and Teacher 130 people.(Dumrong Rassong croh School, 2012)

30 Chiang Rai International School, they are now taking admissions for Nursery to Grade 9, with the additional Grade 10-12 being introduced each following year. (Chiang Rai International School, 2012) The second group that we focus to is Tourists because in Chiang Rai is developing to develop the border economic in many area as know GRAETER MAEKHONG SUBREGION or GMS to support the trade cooperation between countries in the Maekhong region.( (GMS data, 2010) So, GMS can help to increase more travelers come to visit Chiang Rai. according to the research of Chiand rai immigration (2009) show that travelers both Thai and foreigners come to visited Chiang rai through the Chiang Rai Immigration about 1,680,248 people a years and tend to increase in every year.(Statistic of Getting into the Kingdom of personnel and vehicles, Department of tourism, 2009) as show following

Income from tourism Unit : Percent

30% Foreigner Thai 70%

1500000 1000000 Peoples 500000 0

Number of Visitors Unit: People

Thai foreigners Thai Visitors foreigners

Figure 3.2 Estimate number of tourists and Income of Chiang Rai 2009 (Department of Tourism, 2010)

4,972,660 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 2,490,744 179,782 170,054 39,172 Inbound Outbound Inbound Outbound Inbound 39,191 Outbound

Thai Thai Inbound Mynmar Outbound

Mynmar Thai Outbound Foreigners Inbound

Foreigners Mynmar Inbound Foreigners Outbound

Figure 3.3 The Statistics of traveling inbound-outbound at the border of Mae Sai 2010 (Department of tourism, 2010)


3,000 2,500 2,000 1,500 1,000 500 0

2,671 1,444 947


124 Inbound Outbound Inbound Outbound Inbound

43 Outbound


170 Outbound

Thai(Borderpass) Thai(Borderpass) Inbound Mynmar Outbound Foreigners Inbound



Thai(Borderpass) Outbound Thai(Passport) Inbound Foreigners Outbound

Mynmar Inbound Thai(Passport) Outbound

Figure 3.4 The Statistics of traveling inbound-outbound at the border of Chiang Saen 2010 (Department of tourism, 2010)

8,000 6,000 4,000 2,000 0

1,863 1,887 1,695 1,677 Inbound Inbound Outbound Outbound

4,953 3,270 3,599





Thai(Borderpass) Mynmar(Borderpass) Thai(Passport) Foreigners(Passport) Thai(Borderpass) Inbound Mynmar(Borderpass) Inbound Thai(Passport) Inbound Foreigners(Passport) Inbound Thai(Borderpass) Outbound Mynmar(Borderpass) Outbound Thai(Passport) Outbound Foreigners(Passport) Outbound

Figure 3.5 The Statistics of traveling inbound-outbound at the border of Chiang Khong 2010 (Department of tourism, 2010)




32 The information above mean that there are many travelers came to visited Thailand and tend to increase in every year, so, our shop can be the point rest for car and traveler because we located in sub road that link to the urban to avoid the traffic jam in the main road and also link to many famous area in Chiang Rai such as Chiang Rai Memorial clock Tower and night barza. According to to research of Payao University (2011) at The most impression place in Chiang Rai is Chiang Rai Memorial clock Tower 67.5% and the other one is Doi Tung 50.1%. So, the easy way to come from Clock tower to Doi Tung without the long waiting of traffic jam is the road that passes our caf and they may visit us.

3.2.3Positioning Tim Chick Ice-cream homemade is located on the way to go to Khua Phaya Mang Rai or The Bridge over the Mae Kok river (new one bridge) in Chiang Rai. Our shop has homemade and regional style. We will present our shop with chill out style that feeling regional of Chiang Rai. Tim chic ice cream homemade has different from other shop. It has new things to prefer to customers such as new flavor, have area to take a photo, served icecream in exotic container.

3.3 Marketing Mix Strategy Product We provide service in the Ice Cream Flavor such as milk flavor, Banana-Coconut flavor, Cream cheese Flavor, Strawberry cheesecake flavor, Eggnog flavor, Green Mangoes with Sweet fish sauce flavor, Bubble gum flavor, Green tea flavor Orange Yoghurt flavor and Apple Kiwi Sherbet flavor. Toppings on ice cream are sprinkles, mini marshmallows,

gummy bears, peanuts, mini M&Ms, crushed Oreos and peanut butter chips and the last one are drink for example milk shake served with honey toast for a customer favorite. Our products are sold together, and we also appreciate the relaxed atmosphere for customers and less expensive to purchase as appropriate. Price We set the price that for everyone can afford a market because of its ice cream. We are going to explore for its competitors because it has many ice cream shops opened in the same area.

33 Place Our stores are in the area of education and tourist areas, and we plan to expand into other areas that around outside to provide consumers with easy convenient access to transportation. Promotion Technology as the larger society in our lives if they told us the name and to the other and said that would be good to follow the next plan is to promote the internet. We create web sites, blogs and let everyone know about our history, revenue, and we will update our post when we get to everyone. 3.4 Sales Forecast/Profit Estimation Year 1 January

Table 3.3 February

Table 3.4

34 March

Table 3.5


Table 3.6


Table 3.7


Table 3.8

35 July

Table 3.9


Table 3.10


Table 3.11


Table 3.12

36 November

Table 3.13


Table 3.14

37 Year 2 January

Table 3.15


Table 3.16


Table 3.17


Table 3.18

38 May

Table 3.19


Table 3.20 July

Table 3.21


Table 3.22

39 September

Table 3.23


Table 3.24 November

Table 3.25


Table 3.26

40 Year 3 January

Table 3.27


Table 3.28


Table 3.29

41 April

Table 3.30


Table 3.31


Table 3.32

42 July

Table 3.33


Table 3.34


Table 3.35

43 October

Table 3.36


Table 3.37


Table 3.38

44 Year 4 January

Table 3.39


Table 3.40


Table 3.41

45 April

Table 3.42


Table 3.43


Table 3.44

46 July

Table 3.45


Table 3.46


Table 3.47

47 October

Table 3.48


Table 3.49


Table 3.50

48 Year 5 January

Table 3.51


Table 3.52


Table 3.53

49 April

Table 3.54


Table 3.55


Table 3.56

50 July

Table 3.57


Table 3.58


Table 3.59

51 October

Table 3.60


Table 3.61


Table 3.62

52 Total Sale for Sale forecast

Table 3.63

53 3.5 Marketing Expenses (Sales Incentive) Year 1

Table 3.64

Year 2

Table 3.65

Year 3

Table 3.66

54 Year 4

Table 3.67

Year 5

Table 3.68

3.6 Conclusion From the sales forecast of our business, in the summer period is March to May that it high period sales in every year because this period is a high demand of customer who travel in Northern of Chiang Rai and therefore it make increase income to our business. Tim Chic is a small business that provides Ice cream and beverages. We use all marketing strategies to promote the shop be well known and to target specific groups, and use it as a machine to gain most profit as we can. Thus, marketing strategies is an important one for our business that help us to make customer satisfy our product and for forecast the potential profit to maximize it and for reduce cost.

55 Chapter 4 Investment Cost 4.1 Cost of Investment 4.1.1 Pre-Operating Cost Pre-Operating Cost Land reclamation cost Design layout cost Billboard tax Registered company cost Billboard cost Total pre-operating cost Table 4.1 4.1.2 Investment Cost Investment cost Product Description Land Air condition Car Computer INFARSTRUCTURE Tim Chic Shop Building Glass-Aluminums Car Park Total of Infrastructures EQIUPMENT Armchairs Holmby 1,490 4 5,960 1,250,000 50,000 80,000 1,380,000 1 1 1 3 1,250,000 50,000 80,000 1,380,000 Price 870,000 13,300 507,000 17,350 Unit 1 3 1 1 Total 870,000 39,900 507,000 17,350 150,000 20,000 850 10,000 15,500 196,350

56 Armchairs Ransta Beside table Sofa Ressebo 2/seats Table Bistra Chairs Bune Table & Chairs 4/seats Exhuast Fan POS SET Furry Carpets Scatter Cushion Flowers Scatter Cushion Floor Lamp Wall Lamp Tablecloth Trays Basin Shelves Adjust needed Mirror Wall Lamp in rest room Tissue Roll Bins Bottle Soap Mop Toilet Flush Shower Spray White Bidet 1,890 499 2,990 6,000 1,000 17,490 1,220 12,500 399 249 299 859 699 199 159 3,990 1,990 1,290 2,390 299 89 139 950 4,050 600 1,050 6 3 2 5 6 1 3 1 3 6 4 5 5 8 1 2 2 2 2 2 4 2 2 2 2 2 11,340 1,497 5,980 18,000 6,000 17,490 3,660 12,500 1,197 1,494 1,196 4,295 3,495 1,592 159 7,980 3,980 2,580 4,780 598 356 278 1,900 8,100 1,200 2,100

57 Total of Equipments MACHINE & TOOLS Ice cream making machine Counter Freezer Ice cream Showcase Mlik Powder Ice cream Scoop Tray Ice cream powder Hot Pot Glucose Powder Emulsifier Stabilizer Ice Cream Total of Machines & Tools Total Fix Asset Table 4.2 4.1.3 Building 40,000 42,500 30,500 4,100 490 450 990 120 320 550 530 120,550 1,565,329 1 1 1 1 3 10 3 10 3 2 1 36 126 40,000 42,500 30,500 4,100 1,470 4,500 2,970 1,200 960 1,100 530 129,830 1,639,537 64,779 87 129,707

Figure 4.1

Figure 4.2

58 4.1.4 Location

Figure 4.3 4.1.5 Facility Layout INFARSTRUCTURE Tim Chic shop Price: 1,250,000 Baht.

Figure 4.4

Photo by :

59 Glass Aluminum Price: 50,000 Baht.

Figure 4.5 -

Photo by:

Car Toyota STD 2.5J

Price: 507,000 Baht.

Figure 4.6 Photo by:

60 -Car Park Price: 80,000

Figure 4.7 Photo by; We will set for standard size for our car parking; it can park total 3cars in car parking. We will use metal sheet for car parking roof, and using normal steel towers. About standard size for 1car, parking is (W) 3m and (H) 6m.

Pattern of store building Structure

Figure 4.8

61 Pattern inside of store First Floor

Figure 4.9


Machine/Tools/ Equipments

Equipments - Armchair Holmby Natural Color. Price: 1,490 Baht.

Figure 4.10 Photo by:

62 - Armchair Ransta Natural Color Price: 1,890 Baht.

Figure 4.11 Photo by: - Sofa Ressebo 2 seats Price: 2,990 Baht.

Figure 4.12 Photo by: - Beside table Price: 499 Baht.

Figure 4.13 Photo by:

63 - Table Bistra Price: 6,000

Figure 4.14 Photo by: - Chair Bune Price: 1,000 Baht.

Figure 4.15 Photo by: - Table & Chair for 4 seats Price: 17,490 Baht

Figure 4.16 Photo by:

64 - All in one ACER Aspire Z1620-214G1T20Mi/T002 Price: 17,350 Baht.

Figure 4.17 Photo by: - POS SET Price: 12,500 Bath.

Figure 4.18 Photo by: -Air-Condition Sumsung AS-13UGPN Price: 13,300 Baht.

Figure 4.19 Photo by:

65 - Exhaust fan 12 Mitsubishi EX-30SH3T 1160 m3/hr Price: 1,220 Baht.

Figure 4.20 Photo by: - Floor Lamp (IKEA) Price: 859 Baht.

Figure 4.21 Photo by: - Wall Lamp (IKEA) Price: 699 Baht.

Figure 4.22 Photo by:

66 - Furry Carpet Price: 399

Figure 4.23 Photo by: - Scatter cushions Price: 249 Baht.

Figure 4.24 Photo by: - Scatter cushions Price: 299 Baht.

Figure 4.25 Photo by:

67 - Tablecloth Price: 199 Baht.

Figure 4.26 Photo by: - Tray Price: 159 Baht./ per 1 set

Figure 4.27 Photo by: REST ROOM - Basin HELWAGEN (IKEA) Price: 3,990 Baht.

Figure 4.28 Photo by:

68 - Shelves adjust as needed (IKEA) Price: 1,990 Baht.

Figure 4.29 Photo by: -Mirror Acne E. Brand Price: 1,290 Baht.

Figure 4.30 Photo by: -Wall Lamp in Rest Room Price: 2,390 Baht.

Figure 4.31 Photo by:

69 -The tissue rolls Price: 299 Baht.

Figure 4.32 Photo by: -Bins with lids. Price: 89 Baht.

Figure 4.33 Photo by: -Bottle Soap Dispenser Price: 139 Baht.

Figure 4.34 Photo by:

70 - Mop Price: 950 Baht.

Figure 4.35 Photo by: - Toilet flush valve NEWLINEAR white. AMERICAN STANDARD Price: 4,050 Baht

Figure 4.36 Photo by: -Shower spray CT-998#WH(HM) White Price: 600 Baht.

Figure 4.37 Photo by:

71 -Venus White bidet. Price: 1,050 Baht.

Figure 4.38 Photo by:

Machines & Tools - Ice cream making machine (NEMOX) 26 Kk. 2500 W. Price: 40,000 Baht.

Figure 4.39 Photo by:

72 - Cool Star Counter freezer. 120x75x85cm 2 doors CT-120C Price: 42,500

Figure 4.40 Photo by: - Ice cream Showcase 11 trays. 310x702x1165 mm (-18c -22c) Price: 30,500 Baht.

Figure 4.41 Photo by: - Hot Pot Price: 120 Baht.

Figure 4.42 Photo by:

- Ice Cream Scoop

Price: 490


Figure 4.43 Photo by: - Ice Cream Tray Price: 450 Baht.

Figure 4.44 Photo by: - Ice cream powder (Vicky Brand) 5 Kk. Price: 990 Baht.

Figure 4.45 Photo by:

- Milk Powder

Price: 4,100 Baht.


Figure 4.46 Photo by: - Glucose powder 5 Kk. Price: 320 Baht.

Figure 4.47 Photo by: - Emulsifier 500 k. Price: 550 Baht.

Figure 4.48 Photo by:

- Stabilizer Ice cream Premium 500 k.

Price: 530 Baht.


Figure 4.49 Photo by:


Depreciation Year 1

Table 4.3

76 Year 2

Table 4.4

Year 3

Table 4.5

77 Year 4

Table 4.6

Year 5

Table 4.7

78 4.3 Conclusion

Transportation is another factor important to the business because parts of satisfactions customer depend on shipping to the customer. Our businesses have logistic planning to focus on environment and safety. Good business must have Corporate Social Responsibility that make the business move forwards. Responsibility to environment is how we save energy usage and depend on air pollution. Safety in our business is shipping to the customer to be safe and makes customer satisfaction. Our business concern about information technology to make the convenient for customer. Tim chic have located close to community and centre of Chiang Rai that make the customer want to have convenient machine to helps so, our business must have cleaning and maintenance equipment together. All customers have got service and convenient to be equal.

79 Chapter 5 Production and Operation Analysis 5.1 Product Characteristics (in Detail) Tim Chic is Ice creamer distributor who provides Ice cream in modern style by put in the hot pot. Tim Chic creates and designs Ice cream by ourselves. We set the a lot of special Ice cream for you; 5.1.1 Milk flavor 5.1.2 Banana-Coconut flavor 5.1.3 Cream cheese Flavor 5.1.4 Strawberry cheesecake flavor 5.1.5 Eggnog flavor 5.1.6 Bubble gum flavor 5.1.7 Green tea flavor 5.1.8 Orange Yoghurt flavor 5.1.9 Apple Kiwi Sherbet flavor 5.1.10 Milk shake 5.1.11 Honey toast


1. Milk flavor

Figure 5.1 Photo by Ingredient 1. Full Cream (non pasteurized) 2. Milk 1 L. 3. Condensed Milk 1 can 4. Sugar 1.5 cups 5. Roasted Pistachio Nuts 20 grams (It doesn't have to be pistachio though; you can also add your own dry fruits, for example: walnuts, or none at all) (Pounded to a coarse powder) 6. Nutmeg powder 1/2 a teaspoon



2. Banana-Coconut flavor

Figure 5.2 Photo by Ingredient 1. 2 medium bananas 2. 1 tablespoon almond butter 3. 100 mL coconut milk 4. 4 ice cubes 5. A few squares of dark chocolate, chopped


3. Cream cheese Flavor

Figure 5.3 Photo by Ingredient 1. 2-1/2 cups half-and-half cream 2. 1 cup milk 3. 1-1/4 cups sugar 4. 2 eggs, lightly beaten 5. 12 ounces cream cheese, cubed 6. 1 tablespoon lemon juice 7. 1 teaspoon vanilla extract


4. Strawberry cheesecake flavor

Figure 5.4 Photo by Ingredient 1. 1/2 cup spiced cookie butter or spread 2. 8 ounces strawberries, washed, hulled, and cut into large dice 3. 1 cup granulated sugar 4. 1 1/2 teaspoons finely grated lemon zest (from about 1 medium lemon) 5. 1 tablespoon plus 1 1/2 teaspoons freshly squeezed lemon juice (from about 2 medium lemons) 6. 1 cup whole milk 7. 8 ounces cream cheese


5. Eggnog flavor

Figure 5.5 Photo by Ingredient 1. 2 cups heavy whipping cream 2. 1 cup milk 3. 4 whole cloves 4. 1 teaspoon grated nutmeg 5. 1/4 teaspoon cinnamon 6. Pinch salt 7. 2/3 cup white, granulated sugar 8. 6 egg yolks 9. 1 teaspoon vanilla extract 10. 2 Tbsp rum, bourbon, or brandy


6. Bubble gum flavor

Figure 5.6 Photo by Ingredient 1. 2 cups heavy cream 2. 1 cup whole milk 3. Large saucepan 4. Colander 5. Two bowls 6. 5 eggs 7. 2/3 cups sugar 8. Ice cream maker


7. Green tea flavor

Figure 5.7 Photo by Ingredient 1. 3/4 cup milk 2. 2 egg yolks 3. 5 Tbsp sugar 4. 3/4 cup heavy cream, whipped 5. 1 Tbsp matcha green tea powder 6. 3 Tbsp hot water

87 8. Orange Yoghurt flavor

Figure 5.8 Photo by Ingredient 1. 4 medium oranges 2. 2 cups plain low-fat yogurt 3. 1/2 cup of orange juice

88 9. Apple Kiwi Sherbet flavor

Figure 5.9 Photo by Ingredient 1. 1 cup sugar 2. 1 cups water 3. Juice of lemon 4. 5 fresh kiwis, peeled

89 10. Milk shake

Figure 5.10 Photo by Ingredient 1. 1 c. cold milk 2. 4 large scoops vanilla ice cream 3. Blenders 4. 1 tbsp. vanilla extract 5. Drinking glasses


90 11. Honey toast

Figure 5.11 Ingredient 1. Small 1/2 loaf of white bread (unsliced if available), preferably from an Asian bakery or use thick Hawaiian style bread 2. 2 tbsp butter 3. Honey 4. 1-2 scoops of vanilla ice cream


91 5.2 Specification, Feathers, Dimension, Life Time 5.2.1 Ice cream homemade - Ice cream homemade no preservative there is shot time. But we will make ice cream days per day, not overnight to give customers confidence in the quality of the fresh and new product.

92 5.3 Production/Services Process


1Milk flavor

Figure 5.12 Photo by Direction 1. 2. 3. 4. Boil Milk and keep stirring so that it does not boil over. When the Milk is boiling, slowly add in some condensed milk. Know that as the milk thickens some more add the sugar. Once all the sugar has dissolved the milk becomes watery again. Therefore boil some more. 5. Add the roasted pistachio and the nutmeg powder. 6. Once it is thick, the consistency should be a little less thick than the condensed milk you have added, take it off the heat. 7. Pour into the ice mold and refrigerate. 8. Wait until after half-an-hour, open up the ice-cream mold and stir all the contents up once more, so that no icicles form. 9. Freeze again. 10. Serve: remove from the ice cream mold and serve.


2 Banana-Coconut flavor

Figure 5.13 Photo by icecream.html Direction

1. Slice bananas and place in freezer for an hour until frozen, or overnight. Place frozen

bananas, coconut milk, almond butter and ice cubes in food processor or blender (I used a Vitamix, of course). Blend until smooth. Top with chocolate.
2. This recipe makes 2 large servings. You will be so surprised how creamy the bananas

get in the blender. You wont believe that this ice cream is dairy free! I used greenish bananas, and the ice cream did not have a strong banana flavor. I think I like this recipe even more than my previous coconut milk ice cream recipe It is a bit lighter, more refreshing, and not quite as rich.


3 Cream cheese Flavor

Figure 5.14 Photo by Direction 1. In a large saucepan, heat the cream and milk to 175; stir in sugar until dissolved. Whisk a small amount of hot mixture into the eggs. Return all to the pan, whisking constantly. Cook and stir over low heat until mixture reaches at least 160 and coats the back of a metal spoon. 2. Remove from the heat. Whisk in cream cheese until smooth. Cool quickly by placing pan in a bowl of ice water; stir for 2 minutes. Stir in lemon juice and vanilla. Press plastic wrap onto surface of custard. Refrigerate for several hours or overnight. 3. Fill cylinder of ice cream freezer two-thirds full; freeze according to manufacturers directions. Refrigerate remaining mixture until ready to freeze. Transfer to a freezer container; freeze for 2-4 hours before serving. Yield: 1-1/2 quarts.


4 Strawberry cheesecake flavor

Figure 5.15 Photo by Direction 1. Spread the cookie butter on a sheet of parchment paper using an offset or rubber spatula, shaping it into a roughly 10-by-6-inch rectangle. Transfer the parchment to a baking sheet and place it in the freezer until the cookie butter is stiff and pieces easily tear off, at least 2 hours. (It will not be completely frozen.) 2. Meanwhile, place the strawberries and 1/3 cup of the sugar in a small, nonreactive saucepan and stir to coat the strawberries with the sugar. Mash with a potato masher until about half of the strawberries are completely smashed but some medium-sized chunks remain, about 1 minute. 3. Place the pan over high heat and cook, stirring occasionally, until bubbles form along the edge, about 3 minutes. Skim any foam from the surface of the sauce with a spoon and discard. Add 1/2 teaspoon of the lemon zest and 1 1/2 teaspoons of the lemon juice and stir to combine. Bring to a full boil, cooking until foam coats the surface, about 1 minute. 4. Remove from the heat and skim and discard the foam. Transfer the sauce to a medium heatproof bowl and let it cool to room temperature, about 45 minutes. Cover and refrigerate until completely chilled, at least 1 hour. 5. When the cookie butter and strawberries are ready, place the remaining teaspoon of lemon zest, the remaining tablespoon of lemon juice, the remaining 2/3 cup of sugar, the milk, and the cream cheese in a blender and blend until smooth. Immediately freeze in an ice cream maker according to the manufacturers directions. Keep the ice cream in the bowl of the ice cream maker.

96 6. Remove the cookie butter from the freezer, tear it into rough 1- to 2-inch pieces, and fold them into the finished ice cream with a rubber spatula. (Work quickly, as the cookie butter will soften and be difficult to handle as it warms up.) 7. Add the chilled strawberry sauce and fold just until a thick swirl is visible. Serve immediately for a soft ice cream, or transfer the ice cream to an airtight container and freeze until solid. Allow the ice cream to sit at room temperature for 15 minutes before serving if frozen solid. The ice cream can be kept for up to 2 weeks.


5 Eggnog flavor

Figure 5.16 Photo by Direction 1. Put the 1 cup of milk and 1 cup of the cream into a heavy saucepan (2 quart). Add the cloves, nutmeg, cinnamon, and a pinch of salt and heat until steamy, but not boiling. Lower the heat to warm, cover, and let spices steep for at least a half hour. Pick out the whole cloves and discard. Add the sugar and stir until it is dissolved. 2. Put remaining 1 cup cream in a metal bowl, resting in a larger bowl of ice water. Place a fine mesh strainer over the bowl of cream. 3. Whisk the egg yolks in a medium sized bowl. Slowly pour about half of the heated cream milk mixture into the egg yolks, whisking constantly so that the egg yolks are tempered by the warm mixture, but not cooked by it. Scrape the warmed egg yolks back into the saucepan. 4. Return the saucepan to the stove on medium heat, stirring the mixture constantly with a wooden spoon, scraping the bottom as you stir, until the mixture thickens and coats the spoon. You should be able to run your finger across the coating and have the coating not run. This can take about 10 minutes. The second this happens the mixture should be removed from heat immediately, and poured through the sieve over the ice bath to stop the cooking (step 5). 5. Pour the custard through the strainer (from step 2) and stir into the cold cream to stop the cooking. Once initially chilled in the ice bath, chill the mixture thoroughly in the refrigerator (at least a couple of hours). 6. When it comes time to churn the ice cream, stir in the vanilla extract and the rum, bourbon, or brandy. Then process the mixture in your ice cream maker according to the manufacturer's instructions.

98 7. Remove ice cream from the ice cream maker and transfer it to an airtight container; store in your freezer for several hours before eating. Note that the ice cream will be quite soft coming out of the ice cream maker. It will continue harden in your freezer. If stored for more than a day, you may need to let it sit for a few minutes to soften before attempting to scoop it.


6 Bubble gum flavor

Figure 5.17 Photo by ice-creamflavor/ Direction

1. Gather 10 or more pieces of your favorite bubble gum and set them aside. In a 2. 3. 4. 5. 6. 7.
saucepan, mix one or two cups of heavy cream plus one cup of milk. Bring the milk and cream mixture to a boil; then remove the saucepan from the stove's heat. Add the bubble gum to the mixture and let it stand in the saucepan for 10 minutes. This allows the milk and cream to absorb the bubble gum's flavor. Drain the ingredients through a colander and into a medium-sized bowl. Strain out and discard all the pieces of bubble gum. Combine five egg yolks with two-thirds cup of sugar in another medium bowl and mix until fluffy. Beat the egg and sugar combination into the flavored milk and cream mixture. Reheat the saucepan on the stove until the mixture reaches 100 degrees F or until it becomes thick. Stir the ingredients constantly to keep them from boiling or you will get custard instead of ice cream. Cool the mixture in the refrigerator. Pour the mixture into the ice cream maker and let it stir for about 25 minutes or until it thickens. Scoop out the ice cream and store it in a container. Freeze for up to two hours to ensure firmness. Use red food coloring or pink bubble gum-flavored syrup if you want your ice cream to be pink instead of vanilla yellow. You can also use these options if you want to enhance the flavor.


7 Green tea flavor

Figure 5.17 Photo by Direction Mix hot water and green tea powder together in a bowl and set aside. Lightly whisk egg yolks in a pan. Add sugar in the pan and mix well. Gradually add milk in the pan and mix well. Put the pan on low heat and heat the mixture, stirring constantly. When the mixture is thickened, remove the pan from the heat. Soak the bottom of the pan in ice water and cool the mixture. Add green tea in the egg mixture and mix well, cooling in ice water. Add whipped heavy cream in the mixture and stir gently. Pour the mixture in an ice cream maker and freeze, following instructions of the ice cream maker. Or, pour the mixture in a container and freeze, stirring the ice cream a few times. *Makes 4-6 servings


8 Orange Yoghurt flavor

Figure 5.18 Photo by Direction 1. Peel, deseed and chop four medium oranges. Place the chopped oranges in a bowl and set aside. 2. Pour 2 cups of plain low-fat yogurt in another bowl. Use a fork to whip the yogurt for five minutes, until it attains a smooth texture. 3. Pour the whipped yogurt in a blender. Add the chopped oranges and 1/2 cup of orange juice. Run the blender on high speed for three minutes, or until the mixture turns frothy. 4. Serve immediately. Drink the orange yogurt plain, or accompany it with garnishes of your choice, such as a teaspoon each of chopped nuts and orange peel; a few strawberries and a teaspoon of fresh mint; or a slice of vanilla ice cream.


9 Apple Kiwi Sherbet flavor

Figure 5.19 Photo by Direction 1. Place the sugar and water in a small saucepan; stir over medium heat until all of the sugar is dissolved. Allow cooling; combine with the lemon juice. Cover and refrigerate until cool. 2. Pure the kiwis in a food processor until smooth. Combine with the chilled syrup. 3. Strain mixture through a mesh strainer, if desired, to remove the seeds. 4. Add to ice cream maker and follow manufacturer's instructions for freezing.


10 Milk shake

Figure 5.20 Photo by Direction

1. 2. 3.

Place ice cream, milk and vanilla in blender. Cover and blend until smooth. Pour into tall glass and enjoy.



11Honey toast

Figure 5.21Photo by Direction 1. Heat oven to 360 degrees F 2. Cut loaf of bread in half 3. Gently cut the soft center bread out, leaving enough on the sides to provide a strong base. 4. Take the soft center piece and cut it into 2 or 4 symmetrical pieces (depending on the shape and size of bread loaf) 5. Spread butter on all pieces, including the insides of the hollowed out base 6. Place all the bread on a cookie sheet or oven safe dish and bake for 8-10 minutes, or until golden brown. Be sure to watch the bread as it starts to brown so it does not burn. 7. Remove from oven drizzle desired amount of honey inside the base and on the sides. Gently place the loose pieces of bread back inside, being careful not to burn yourself. 8. Drizzle more honey on top of the bread pieces 9. Top with 1-2 scoops of vanilla ice cream 10. Serve immediately while still warm Serves 1-2 people


105 5.4 Operating Cost

List Milk*3


175/5L. = 525


24 = 600

Whole Milk*2

175/1.5L. = 350

Half and half Cream*3

170/1L. = 510

Heavy Cream*3

120/1L. = 360

106 5.4.1. Raw material cost

Table 5.1 5.4.2 Direct labor Cost

Driect Labor Cost Position Persons Salary Bartender 1 6000 Ice Cream Chef 1 8000 Waiter 3 4500 Table 5.2

Total 6000 8000 13500 27500


Overhead (If Any)

Year 1

Table 5.3

107 Year 2

Table 5.4

Year 3

Table 5.5

Year 4

Table 5.6

Year 5

Table 5.7

108 5.5 Logistic Management 5.5.1 Property Management Transportation is another factor important to the business. If shipment is delayed for too long. It may be not good for our business. So, we there for look for the company or supplier that locate near our business for economical and convenient transportation to our business.

5.5.2 Logistic Planning We focus on two factors are: 1. Environment To minimize the negative impact and enhance well-being towards the environment in terms of both energy usage and air pollution. 2. Safety In terms of safety, we are look to the maintenance and transportation fleet condition checking. The company has realized the importance on these elements to accommodate in terms of safety for long haul transportation which results in safety for the business as a whole. 5.6 Facility Management Tim Chic has the facility management to providing the facility tools for customer and protection internal shop following: Customer Facility 1. Air conditioner 2. Free Wi-Fi Internet 3. Library corner Internal shop Facility 1. Telephone 2. Imac : computer system to collected data used internal and 3. POS set : Point of sale machine for calculated and checking the circulation per day 5.6.1 Property Management Our shop located space in the center of the city and this place is centrally located and has many tourists come to Chiang Rai, on a road near the community and commercial buildings.

109 5.6.2 Facilities Operations and Maintenance Operations and maintenance facilities, we try to encourage employees to do the cleaning and maintenance equipment and facilities as well, to increase the operating time and cost of the shop.

110 Chapter 6 Administration analysis

6.1 Management Analysis Organization Chart

General Manager

Ice cream




Description the characters and duties of employee in each department of Taste me as follows: 1. Manager Directly response to provide the internal control to be effective and levels of productivity are always impressive. To increasing sales is responsibilities of manager because it will drive the growth of the store and manager of our store response to train and order the employee know exactly role they has to play too, if sometimes have the problems manager must to know and find the way to solve these problem. 2. Ice cream Chef Response for all about Ice cream, made Ice cream, beverage and control the quality and flavor of Ice cream it is importance because the most revenue of our store comes from Ice cream, so it should be delicious and appetizing. Thinking new menu and special menu is importance too because it is making surprisingly for customers.

111 3. Waiter / waiter all rounder This position has many duty responsibilities about served Ice cream or beverage to customers these things are importance because they must to meet customers in face to face, greet customers, receive order, they should have good personality, hospitable, and service mind. Sometimes waiters are cleaner or help to check neatness of the store.

6.1.1 Facility Cost

Table 6.1

Table 6.2

Table 6.3


Table 6.4

Table 6.5 6.1.2 Salary Driect Labor Cost Position Persons Salary Bartender 1 6000 Ice Cream Chef 1 8000 Waiter 3 4500

Total 6000 8000 13500 27500

Table 6.6 6.2 Conclusion Transportation is another factor important to the business because parts of satisfactions customer depend on shipping to the customer. Our businesses have logistic planning to focus on environment and safety. Good business must have Corporate Social Responsibility that make the business move forwards. Responsibility to environment is how we save energy usage and depend on air pollution. Safety in our business is shipping to the customer to be safe and makes customer satisfaction. Our business concern about information technology to make the convenient for customer. Tim chic have located close to community and centre of Chiang Rai that make the customer want to have convenient machine to helps so, our business must have cleaning and maintenance equipment together. All customers have got service and convenient to be equal.

113 Chapter 7 Financial Analysis 7.1 Financial Assumption for Business. 7.1.1 Profit/ Loss Statement Year 1

Table 7.1 Year 2

Table 7.2

114 Year 3

Table 7.3 Year 4

Table 7.4

115 Year 5

Table 7.5

7.1.2 Cash Flow Year 1

Table 7.6

116 Year 2

Table 7.7

Year 3

Table 7.8

Year 4

Table 7.9

117 Year 5

Table 7.10

7.1.3 Balance Sheet Year 1

Table 7.11 Year 2

Table 7.12

118 Year 3

Table 7.13 Year 4

Table 7.14 Year 5

Table 7.15

119 Chapter 8 Risk Management 8. Risk management The strategies to manage risk typically include transferring the risk to another party, avoiding the risk, reducing the negative effect or probability of the risk, or even accepting some or all of the potential or actual consequences of a particular risk ISO/DIS 31000 (2009). 8.1 Operation factor Our business makes ice creams homemade are subjected to sensory evaluation. The ice cream ingredients are mixed together and their temperature rose to 50C to enable dissolution. The mixture is then homogenised for two minutes at 65C using the Silversonhomogeniser. Next, the mixture is pasteurized at 80C cooled to approximately 20C and pressure homogenised. The mixture is rapidly cooled to 5C in a batch chiller and later processed in the cooled surface heat exchanger. Periodically samples are extracted to determine "over-run". So, important things are temperature and fresh. 8.2 Human Resources factor The risk maybe occurs with employee of organize which every organization must be confronting with risk. The recruitment employee in each position can make risks. 8.3 Marketing factor Employee in this department is responsible to find customer such as there is make different channels to promote our store for increase customer. So, we should more promote. 8.4 Financial factor Our business have financial factor about to control manufacturing and raw material to produce the product. 8.5 Economic factor Our businesses have to control totals sales on winter season because this season not have customer too much

120 8.6 Technology risk Business risks can range from everyday operational shortcomings to rare cataclysmic failures. Over the past decade, Information Technology (IT) systems have become critical to every aspect of business resulting in a level of dependence on IT not seen in the past. As a result, IT Risk, once a minor component of operational risk, is emerging as a major hazard for organizations to identify and manage. For risk management in Ice cream hot pot (Tim Chic) is always needs to follow the news for find the information about development or changing the technology. And bring the knowledge or information that obtain bring to adapt and development techniques, for distribution and receive customer information from internet and customer satisfaction.

121 Chapter 9 Summary 9.1 Summary of Project Feasibility Study of Tim chic ice cream homemade business. Tim chic Ice cream homemade business located is the way to go to Khua Phaya Mang Rai or The bridge over the Mae Kok river (new one) in Chiang Rai. This is a new bridge and connection with all avenues in Chiang Rai. Tim chic ice cream homemade menu preparations emphasize the use of local and seasonal ingredients encourage the local people in age around 15-35 years old and love ice cream homemade. Tim Chic provides catering that the customer can select Ice cream, which they want. Tim Chic is the first Ice cream in the hot pot style shop; the shop is decorated in chic modern style. Tim Chic opened in everyday (11.00 am. 20.00 pm.) Except weekend opened (10.00 am.- 22.00 pm.) We have a perfect CHIC at the heart of making ice cream shop. Unusual in that the Presentation. To an interest in young people and tourists. Because the restaurant is outstanding. Atmosphere of fun and relaxation together. I also have a Presentation with exotic ice cream. Served by the pot. Make it more interesting. We made a chic cream Ice cream of choice to do.

122 Reference Michael Holland. Chiang Rai Province. (2012) From OpenRice.(2012-03-30),.... OpenRice Group Inc. from (2011-11-01), from (2012-06-04), Butterscotch Pecan Ice cream. from (2012-07-17), The History Of Ice Cream. from .(2011-11-13), 2 . from (2012-06), All Types Of Ice Cream. Lifestyle Direct Inc, from Lynda Lintow, Maniac. How to Make Kulfi (Indian Milk Ice cream), from (2012-02-20), Banana Coconut Milk Ice Cream. from (2012-11-01), Cream Cheese Ice Cream Recipe.(2012-06) . from Amy Wisniewski. Strawberry Cheesecake Ice Cream Recipe. from Elise Bauer.(2008-12-27), Eggnog Ice Cream. from eHow Contributor. How to Make Bubble Gum Ice Cream. Demand Media, Inc.(1999-2013), from Setsuko Yoshizuka. Matcha Green Tea Ice Cream.,from Esperance Barretto. How to Make Orange Yogurt. Demand Media, Inc.(1999-2013), from Susan Whetzel. Kiwi Sorbet.,from

123 eHow Contributor. How to Make a Vanilla Milkshake. Demand Media, Inc.(1999-2013), from Erin De Santiago.(2009-11-19), Many dessert menus at Japanese restaurants feature a popular dish called honey toast. With just a few basic ingredients, this is a simple treat anyone can make at home.from (2013-01-30), Technology Risk. All about Jarinya Na Pikul nd Warach Madhyamapurush, Thepotentialfortourism developmentandtourismdestination, (2011)From B8%88%E0%B8%B1%E0%B8%A2%2021.pdf CHANVITTAYAPARN OA CENTER, Chiang Rai Information Technology (2012)

1203032 Project Feasibility Study and Evaluation Second semester 2012

Group 5 Group member 1. Mr.Teerasak Tel. 0841745052 2. Mr.Pongsakorn Tel.084-646-2969 3. Miss.Naruemon Tel. 0888622787 4. Miss.Rattiyakorn Tel 0821906639 5. Miss.Anongnat Tel. 0858278463 6. Miss.Witchaween Tel.0874145227 7. Mr.Wasan Tel. 0801691981 8. Miss.Kanya Tel. 0873049241 Pongteeraporn 5131207059 Section.2

E-mail: Jangsiriwattana 5231207062 Section.2

E-mail: Sophon 5231207048 Section.2

E-mail: Sawangtananan 5231207144 Section.2

E-mail: Mungmee 5231207126 Section.2

E-mail: Suebchiang 5231207093 Section.2

E-mail: Tongsrimadun 5231207090 Section.2

E-mail : Udom 5231207007 Section.2

E-mail: Present to