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P&P PINEAPPLE HOME MADE
The best OTOP for the great PROFIT
Preface In the present time there are many new business are launched in Chiang rai province which offer a lot of products to market and respond the demand of tourists. In other word, the new business style calls OTOP, the product that is popular in a group of many people that can make a profit to many people. This reason we create OTOP in order to gain a lot of profit. In our business mention on local product which make of local fruit (pineapple) and it can make a profit to an investor and then it can attract tourists going to buy it. In doing business that have the competitors who produce a product to compete with and we going to achieve the goal while we have the advantage over the competitors. P&P Pineapple Group
Page |3 Executive Summary P&P Pineapple Homemade Company offers the quality products which through high technology in the production process and applies with local wisdom to offer market and also respond the demand of tourists who are our target marketing. In other hand an investor can gains more profit because of we survey the amount of tourist arrive to Chiang rai increases in annual thus they take money to an investor. In financial evaluation that shows the profit in each year and then it can show analyzing the Income statement, Balance sheet and Cash flow to an investor to see the cost and profit in monthly in five years. The risk management that we analysis the problem that occur in factor. Some problems which we can solve it but almost external problems that we can not solve it because those are the wide rang which we can not solve it by ourselves if without the help of government and all sub- association. Our business can not run and gain profit anymore
Page |4 Table of content Preface Executive summary Table of content Content Chapter 1: P&P pineapple Homemade Company Chapter 2: Industry Profile Chapter 3: Market Feasibility Study; Market Analysis Chapter 4: Technical Feasibility Study Chapter 5: Financial Analysis Chapter 6: Risk Management Chapter 7: Conclusion Reference A B C D 1 10 15 33 49 64 69
Chapter 1: P&P pineapple Homemade Company The History of Nang Lae Pineapple Phu Lae Pineapple About pineapple To growing a pineapple Types of pineapple in Thailand Compare with another types of pineapple Growing for fresh consumption Harvest The harvest for fresh consumption The harvest for sending to industrial factory The harvest pineapples for getting high-quality Keeping the pineapple’s shoot Shipping The nutrition worth Project objective Benefit of project Chapter 2: Industry Profile Nature of industry The main product The secondary product Situation Industry 10 10 10 10 11 11 11 1 2 2 3 3 4 5 5 5 5 6 6 6 6 9 9
Page |6 Vision of P&P Pineapple Company Mission Strategy Corporate Level Business Level Functional Level Organization chart of P&P Pineapple Company Chapter 3: Market Feasibility Study; Market Analysis General Environment Analysis Political Economy Social Customer behavior as a social change Technology 16 16 16 16 20 22 28 28 28 28 32 32 33 33 33 Marketing Mix (4p’s) Product Price Place Promotion 34 39 12 13 13 14 15
Customer Analysis Competitive Analysis STP Analysis
Page |7 Sale for cast Conclusion Chapter 4: Technical Feasibility Study Production and Operation Analysis Product characteristic (in detail) Specification Dimension Life time Product process Service process Location Machine/ tools/ equipment Logistics Management Facility Management 40 40 40 46 46 46 47 47 48 50 50 51 52 52 52 52 52 52 52 52 53 53 53 54 54 54 54 55
Cost of Investment Pre- operating cost
Investment cost Land Building Equipment Tools Depreciation
Page |8 Raw material Cost Direct Labor Cost Overhead
Management Analysis Selling Cost Administration Cost
Conclusion Chapter 5: Financial Analysis Income statement Cash Flow Balance Sheet Chapter 6: Risk Management Internal risk Financial risk Human resource risk Manufacture Marketing 71 71 71 72 73 73 74 74 74 74 75 75 75 75 56 56 61 66
External risk Social risk
Competitive force Rivalry among competitive Potential entry of new competitors Potential development product
Page |9 Bargain power of supplier Bargaining power of consumer 76
Chapter 7: Conclusion References
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P&P Pineapple Homemade Company
At the beginning time our group has to meeting together about our business project. We have many ideas to launch the project business from Nang Lae resources. So at the result we have launched Nang Lae pineapple business project and gotten along with the project feasibility course at Mea Fah Luang university because Nang Lae sub-district has the plant a lot of economy plants, Nang Lae pineapple and became symbol brand of Nang Lae sub-district and as well know by people in northern regions and all in Thailand. So it can make high income for local people, good for standard of living.
Nang Lae pineapple
The history of Nang Lae pineapple Mr. Kheng Sae-oui who is a Hainan Chinese (emigrate from china) and who lead the pineapple comes to grow for the first time in Nang Lae district Chiang province. He married with mrs. Jan Kerdkome and the hometown at Pakkong village in Chiangmai. Then, they emigrate for living in Pah Zang Wiwat village moo.17 Nang Lae district in Chiangrai. Mr.Kheng gets back to China and brings this pineapple seeds from Singapore in year 2480 about 30 shoots and have 3 breeds as follow; 1. Young breed has small size, thorn, sweet meat and good smell 2. Mat sail breed has a big size that young breed, thorn, sweet meat, be luscious and good smell 3. This breed has no thorn, large-sized, sweet and good smell. This breed is very popular until now. In the first year both 3 breeds have white meat, sweet and crisp but the next year its color change to honey color, sweet, and the smell is like honey. In year 2505 Mr. Komelue Khoenphech who is the viilage headman of Nang Lae district buy 30 shoots of pineapple from a garden of Mr. Kheng to grow then spread the breed next and this breed is very popular of general consumer and are famous until now.
P a g e | 11 Phu Lae pineapple Phu Lae pineapple is the pineapple that born from growing pineapple of Phuket breeds in area of Nang Lae district, Chiangrai province. This pineapple breed has small-sized, the meat is dry, yellow and gold color, sweet and crisp when it is grown in Chiang Rai area, it will give a product follow the quality of Phu Lae pineapple that be sweet , crisp meat, have small-sized on the average 4-5 fruits per kilogram. Now the area of growing pineapple in Chiang Rai where is about 12,575 farms by spread in 6 amphur areas that are Amphur Mueng, Chiangsaen,Tueng, Pan, Mae souy and Amphur Wiang Pa Pao. Pineapple Pineapple (Ananas comosus) is the common name for an edible tropical plant and also its fruit (although technically multiple fruit merged together, and perceived as one). It is native to Paraguay and the southern part of Brazil. Pineapple is eaten fresh or canned and is available as a juice or in juice combinations. It is used in desserts, salads, as a complement to meat dishes and in fruit cocktail. While sweet, it is known for its high acid content (perhaps malice and/or citric). Pineapples are the only bromeliad fruit in widespread cultivation. It is one of the most commercially important plants which carry out CAM photosynthesis. The word pineapple in English was first recorded in 1398, when it was originally used to describe the reproductive organs of conifer trees (now termed pine cones). When European explorers discovered this tropical fruit, they called them pineapples (term first recorded in that sense in 1664) because of their resemblance to what is now known as the pine cone. The term pine cone was first recorded in 1694 and was used to replace the original meaning of pineapple. In the scientific binomial Amanas comosus, ananas, the original name of the fruit, comes from the Tupi (Rio de Janeiro, Brazil) word for pine nanas, as recorded by André Thevenet in 1555 and comosus means "tufted" and refers to the stem of the fruit. Other members of the Ananas genus are often called pine as well by laymen. Many languages use the Tupian term ananas. In Spanish, pineapples are called piña "pine cone" in Spain and most Hispanic American countries, or ananá (ananás in Argentina) (see the piña colada drink). They have varying names in the languages of India: "Anaasa" (in Telugu, annachi pazham (Tamil), anarosh (Bengali), and in Malayalam, kaitha chakka. In Malay, pineapples are known as "nanas" or "nenas". In the Maldivian
P a g e | 12 language of Dhivehi, pineapples are known as alanaasi. A large, sweet pineapple grown especially in Brazil is called abacaxi.. To growing pineapple. Appropriate climate, pineapple needs quite high temperature that between 23.9 – 29.4 c and rained average 1,000 – 1,500 milliliters per year. Pineapple cans good growing in all types of soils. Types of pineapple in Thailand, There are five types of pineapple that popular both growing and eating so we use their physical body to divide into each type, 1. Pattawia Pineapple; this type is well known by people by the name Sriracha Pineapple and so on such as Prachinburi, Samroyyod. Popular grow for manufacturing and popular grow in Prachuabcririkun, Conbuli, Petburi, Lampang and grow for sell in fresh pineapple, because a sweet and slightly sour succulent pineapple with soft lemon-yellow flesh. General about Pattawia pineapple, it’s has green-orange leaves and in another side is silver-gray, in the center of leave is red in brown. And has different shape, weight can reach 2-6 kilograms. While it green, it mean it’s young and while it’s yellow it’s can harvest it has greenish peel and its taste is sweet and sour. 2. Intorachid; it was an oldest type of Thailand pineapple. Growing all part of Thailand and ChaSherngsao is a main province where grow this type of pineapple. General; it’s has both side thin red in brown leave. It’s smaller than Pattawia, sweet and appropriate for fresh consumption. 3. Kao pineapple; it’s a native pineapple. Farmer must grow with Intarachit pineapple so it can come from Intarachit as well and Chashuengsoa is the main production. General; it’s has yellow in green leave, shorter than Intarachit pineapple. It’s has golden yellow with sweet and sour. But it has low quality pieapple, medium size.
P a g e | 13 4. Phuket or Sawee pineapple; popular growing in Phuket, Chumporn, Nakornsritammarat and Trat so it also has another name as Chumporn, Sawee or Tratsritong. General; it has green leave and smallest than another type of pineapple. It’s appropriate for fresh consumption and popular in southern part of Thailand. 5. Nanglae or honey pineapple; can grow in only Chiangrai General; it is seemly like Pattawai and more sweet that Pattawia and appropriate for fresh consumption. Compare with another pineapple types,
Good Physically 1. Pattawai; appropriate for can production 2. Phuket pineapple; good taste sweet and sour. 3. Namg Lae pineapple; it’s has thin skin, sweet and sour 4. Intarachit pineapple; it’s can endure with environment.
Use as a garden tree; pineapple that grow to use as garden tree, it came from pineapple specie that for consumption including with; 1. Intarachitplang; the center of leave is pink and the border is dark-brown and brown thorn. 2. Dang Bang Clao; the center of leave is green and red; border is yellow and red and red thorn. 3. Laung Bang Clao; the center of leave is cream in yellow, border is green and green thorn as well 4. Dang Pattawia; the center of leave is green in red, border is red and red thorn 5. Sapparod dang sam sri; green in the centre, cream in the border and pink and green in thorn 6. Sapparod Clai; its look like Intarachit pineapple in 1.5-2.00 inch.
P a g e | 14 Growing for fresh consumption In pair 25-30 centimeters 25-30 cms Duration 50 cms 60 cms Walk between 100 cms 90 cms Among of pineapple 7,000-8,000 6,000-7,000
Growing for manufacturing It’s add more pineapple tree in the land for reduce the size of it. And use pineapple tree 12,000-13,000 per rai. Harvest In Thailand, growing the pineapple can do almost all year. Thus the harvest can do almost all year too, but, at most that the pineapple bear a fruits have 2 times, that are pineapple period year which pick the triple of advantage more than fruit which ripens out of season, at this period will stay between April arrive at June and pineapple fruit which ripens out of season period which will stay on October arrive at December. • The observation of pineapple can consider from the appearance as follows: Shell will change from green to green with yellow and orange or dark green glossy Small leaf will dry and be brown or pink Small of pineapple eyes will swell obvious more big eyes and the eyes rut will tight with full speed ahead Smell the pineapples that ready for harvesting will have its own fragrance The crowed of the pineapple will be down when use the finger to flick, if it has clear sound that is not old, if it has dark sound that is very old. The harvest for fresh consuming To use a knife cuts at stalk and also remain the tuft for protecting the rotten that because of the wound that is born from plucking tuft. After that cut the leafs out for a shoot receiving the sun light extremely and remain 1-2 shoots for replacing original. And the remain shoot, dig or pluck out for growing or selling. The harvest for sending to industrial factory: will pluck the stalk only.
The harvest pineapples for getting high-quality: should harvest 3 times;
P a g e | 15 • • • The first time: will get about 20 – 25% of all in the plot. The second time: should harvest after first time about 5 days and will get about 40 – 60 % of all in the plot. The last time: should harvest after the second time about 5-7 days by harvesting the remain part. Keeping the pineapple’s shoot: after already harvested the first time, should do as follow; 1. Pick a shoot that has a fruit out of the plot (will occur with pineapple) 2. Cut the leaf by being high from the ground about 1 palm span. If it is a drought should cut the leaf tally upward again. The chop will help to bear the fruits quickly and can harvest 2-3 times. Shipping After harvested should send to a factory or receiver within 1-2 day. A truck must clean and be appropriate with pineapple quantity. Before bring load must arrange the pineapple by given the tuft side down below for taking the weight and protecting the bruised-fruit. The nutrition worth: in the 100 grams of pineapple’s meat, it has the elements as follow; • Moistness • Energy • Fat • Carbohydrate • Fiber • Protein • Phosphorus • Calcium • Vitamin A • Vitamin B1 • Vitamin B2 • Vitamin C 84.90 grams 54 calories 0.30 grams 14 grams 0.50 grams 0.40 grams 8 milligrams 22 milligrams 17 milligrams 0.09 milligrams 0.04 milligrams 22 milligrams
* Source: Nutrition division, Department of Health, Ministry of Public Health
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Figure 1.1: Geography Map of Plantation Nang Lae Pineapple Nowadays, there are many competitors in pineapple market contribute to the price for down and surplus pineapple in the market. Our group concern with this problem and fine appropriate way to help local people for manage their product, so we find the way to send pineapple to manufacturing for transforming it to be each product such as fresh pineapple with export quality and direct from our cooperation farm that is a backward strategy. Moreover, this strategy wills an advantage of company because we are the owner of our supply. Next we can control our farming process to keep the pineapples to complete with standard which is no chemical. Our pineapple is 100% natural. Pineapple is an excellent source the trace mineral manganese, which is an essential in a number of the important in energy production and antioxidant defenses. For example, the key oxidative enzyme super oxide. The energy production factories within our cells), requires manganese. Just one cup of fresh pineapple supplies 128.0% of the DV for this very important trace mineral. In addition to manganese, pineapple is a good source of thiamin, a B vitamin that acts as a cofactor in enzymatic reactions central to energy production. “PINEAPPLE is really fruit of choice”.
P a g e | 17 More than above information, we can use pineapple to apply to make new product such as pineapple can, pineapples yam, pineapple vine, dry pineapples, and pineapple snack. The less part of pine apple, we use it to do some of product such as leaves; pineapple paper, rind of it to make fertilizer and core of pineapple, we transform to become pineapple core syrup. And now a day, the technology become more and more powerful then pineapple could apply to many products. It can be the medication aspect such as the root and fruit of pineapple are either eaten or applied topically as an anti-inflammatory and as a photolytic agent. It is traditionally used as an antihelminthic agent in the Philippines. Anti-inflammatory are the thing that the property of a substance or treatment that reduces inflammation. Anti-inflammatory drugs make up about half of analgesics, remedying pain by reducing inflammation as opposed to opioids which affect the central nervous system. healthcare practitioners have reported improved digestion in their patients with an increase in pineapple as their "fruit of choice" within a meal plan, we haven't seen published studies that document specific changes in digestion following consumption of the fruit (versus supplementation with the purified extract. However, we suspect that the core fruit will eventually turn out to show some unique health-supportive properties, including possible digestion-related and anti-inflammatory benefits. Everyone loves colorful, pineapple can be easiest menu as delicious fresh fruit salad, plus pineapple is a perfect addition to any meal and makes a great snack or dessert. So why don't you enjoy fresh fruit salad more? Simply because it's been thought that cut fruit rapidly degrades, so fruit salad, which can take 15 minutes to prepare, would have to be freshly prepared to be good. For the easy step, Combining diced pineapple with chopped shrimp, grated ginger and a little olive oil. Season to taste and serve this fragrant shrimp salad on a bed of romaine lettuce. Mix diced pineapple and chili peppers for an easy to prepare salsa that's an exceptional complement to fish such as halibut, tuna and salmon. Drizzle maple syrup on pineapple slices and broil until brown. Serve plain or with yogurt. Chopped pineapple, grated fennel and cashews go well together and are especially delicious as a side dish to chicken. Pineapple is a wonderful addition to fruit salads, especially those containing other tropical fruits such as papaya, kiwi and mango.
P a g e | 18 Moreover, this way can distribute income for local people. In term of transforming pineapple to have high value in itself and make various products to response to marketing and have high market share. In finally; our business might useful for local people and another business can adapt for suitable of their business and get benefit more and more. The reason that our company would do in this business, because of the company can identify, plan and implement community based income generating activates in the selected target villages (Nang Lae sub-district) then Support the communities in setting up groups for income generation (saving group, production group, etc) rural and community development. And our company has Coordinate and co-operate with local authorities, line agencies, suppliers, distributors and other partner organizations, especially with the Department of Agriculture and Extension. In community development aspect, we arrange and facilitate meetings at community level, support communities in their empowerment so that Development and plan business concepts support in the access of markets are in easy and smoothly business. Project objective(s) • • • • • To make more benefits to investor To provide our products to the tourist To set our products up to be attractiveness and well-known by the tourists To know how owner can increase the product following the demand of tourist To cooperate with all stakeholders
Benefits of Project • • • • • Get profits for investor Create customer satisfaction and word-of-mouth Be well-known and accepted by the tourist The tourist have loyalty to our product Total sales will increase every years and top the goal in each year
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Nature of Industry Nowadays, there are a lot of products those are produced from fruit, vegetable, meat and anything else. This reason the members of group make decision to choose producing product from local fruit which local residents in village who plant it a lots and make a occupation. It is Nang Lae village due to where have to plant a lot of pineapple and we can take the raw material easily to produce products. Our products that we produce that is divided two kinds there are main product and secondary product. The main product: Cookies, there are many companies to make cookies many tastes to offer tourist such as Chewy cookie, Nestle, Holiday Sugar and anything else and those make the marketing in local and it causes a lot of people like it and do not care their heath, so our product that focus on healthy of costumer that we make cookie from pineapple because pineapples has properties to care health such as protect high blood pressure, bronchitis and anything else. Moreover, we can get benefit from this product more and more. Jam, in the present, it has many brands to produce jam in marketing such as Tour, Best Food, Nestle, Doi Kham, REAL Berri Fruit ingredient LTD and anything else. Our product is selected and passes producing efficiently. The product has the modern packaging for several segments of tourist such as packaging for tour. Canned Pineapple, there are many brand to produce canned fruit such as Malee, Maling, Tesco Canned Fruit, Unif, Doi kham. TipCo and all on. We select the raw material to produce it and pass to check from National food Institute for tourist satisfaction. Secondary Product The secondary products are about producing remainder of pineapple there are Sa Paper and Fertilizer. Sa Paper that has many industries to make it to offer costumers and make remainder to happen high useful.
P a g e | 20 Fertilizer that many brands to offer farmer such as Kai To San, P B, Double red elephants and etc. Our product is suitable for agriculture Situation of Industry Our business will separate the product is two parts. Main products Product Cookies Jam Canned Pineapple Fresh Pineapple Pineapple Juice Secondary Product Product Sa Paper Fertilizer Vision of P&P Pineapple Company 1. To be the best seller OTOP product. 2. To be the best quality of OTOP product. Mission We also use DEVELOP missions to our organization; D; double target, when we set our aims including with market share and profit, we don’t stop only this aims so we must try to make both market share and profit more than our aims as well. E; enthusiasm, Nang Lae people concern about pineapple and fine the way the grow their pineapple to be good as much as they can and learning the new techniques the adapt to use with. V; victory, Nang Lae people must have their own aims and try to go to meet it. And believe that our success in our organization come from local people who grow pineapple and make our customer satisfy with our products and ensure that they will come to buy our product again. Raw material Leave(Tissue) of pineapple Rind of pineapple Raw material Pulp of pineapple Pulp of pineapple Pulp of pineapple Pulp of pineapple Pulp of pineapple
P a g e | 21 E; ethic, we must to have ethic in our business, honest with them self, our customer and our organization as well. L; lean, we must to control our expenses and cut the cost that not necessary for our business. O; opportunity, fine new opportunities in our business and fine new techniques and our new customer as well to get more market shares. P; people is important, because Nang Lae people are the maim source in our business, all department that have their own important to business so our organization must concern about Nang Lae people and give them opportunity to leaning new knowledge in producing Nang Lae Pineapple also fine the new things that can help our business success. Main source of producing Nang Lae Pineapple products to serve to Make sure that the customer satisfies with our products Have high quality to run our business and honest and accept by people. To teach Nang Lae people to learn more techniques about how to Responsibility for Nang Lae sub-district and Chiang rai province tourist and enhance the quality of product
product good Nang Lae Pineapple. because where is the main source of production Strategy Strategy is the decision to plan the rule system in company and have the goal of process that conform to environment for the organization can carry on in the future by relating the participation of every part in a farm to make decision. Strategy of our company that concern with three factors. There are corporate Level, Business Level and Function Level. In other hand the other strategies of P&P Pineapple Company are 1. To manage the natural recourses by using the modern information for sustainability. 2. To create the knowledge and development as well as increase the raw material in local to become high profit. 3. To create the occupations in local and get benefit from this business more and more.
P a g e | 22 Corporate Level Our firm use strategy that is corporate level due to expand the business that relates old business by our company to enter and to increase the value the local raw material. The Corporate Level of our firm that produce the product increase to separate the marketing more and more or focus on a group of tourist that is growing in industry. 1. Focus on especially some part and find the strategy to piece making and increase net income from old customer such as local people or the citizen in province or in country. So we increase the value of products by developing the demand of tourist such as increase various tastes. 2. To create loyalty of tourist and expand new market for finding various tourist. It causes our product that many people know as well as distribute revenues to local people and get more benefit. 3. To expand and make relationship in business for expending new market.
Business Level Business Level that is competitive Strategy that focuses on the profit from products and our products focus on the quality, make customer satisfaction. In our company has the price for suitable for tourist who have high income and less revenue can buy it. In Business level that separate the strategy two factors. These factors our company concerns them. These are competitive strategy, co-operative strategy. Our business, we analysis the competitors by we study their product and information in trend and then we will adapt our products to high quality and we use differentiation, Lower cost/ Cost leadership, focus and quick response for example we produce the new product and make different thing and have low price, it cause tourist can consume it. Co-operative that has two kinds there are Collusion, we have to cooperate between companies in local country, the second, alliance, we create network in business for competition in marketing such as Mutual service Consortia, Joint venture, Licensing Arrangement ,Value Chain Partnership between Supplier,
P a g e | 23 Manufacturer and Distributor for Long relationship.
Functional Level Functional level that determine in deep level of department to affect to products and service following the duty of each department. Our company that is the rules, objectives, aims following the company’s strategy as well. The company where divide the division for managing the resources that receive from headquarter to high efficiency. Our company divides ten divisions Strategy Management, Production, Operations, Logistics, Marketing, Purchasing, Financial, R&D, Human Resource Management.
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Organization Chart of P&P Pine Apple Company
Marketing R&D Purchasing Production
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Market Feasibility Study Market Analysis
General Environment Analysis Political Political is the impact that cause the consumer behavior then it appearance as both positive and negative side, according to the early year even if the nation political have been confused but the consumers behavior were stable not worse and not great as well, consumer still consume at the standard level not rise to high consume level. Moreover the politic impact the consumer behavior according the follow; Good political status Consumer behavior Purchase product Explain Not change anyway, still purchase the four dimension of needs and sometime purchase luxury product to serve their Travel Have some meal satisfy Tourist always travels with relaxation, tourism rate rapidly high. Always have a meal outside or at the restaurant
Economy Chiangrai has many festival, event, and exhibition which attract the foreign and domestic tourist who influence and enhance economy in Chiangrai province. Ministry of Tourism and Sports, Thailand Guest Arrivals at Accommodation Establishments (Hotels,Guesthouses,Resorts) in Chiang Rai
Nationality 2009 Thai Brunei Cambodia Indonesia Laos Malaysia 163,283 50 7 512 167 1,710 January-March 2008 150,941 1 3 152 11 842 D(%) + 8.18 + 4900.00 + 133.33 + 236.84 + 1418.18 + 103.09
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Myanmar Philippines Singapore Vietnam China Hong Kong Japan Korea Taiwan Austria Belgium Denmark Finland France Germany Italy Netherlands Norway Russia Spain Sweden Switzerland United Kingdom East Europe Canada USA India Australia New Zealand Middle East Israel Africa Others Grand Total Thai Foreigners : Last update 2 Nov 2009 116 48 404 1 746 62 1,532 755 2,095 239 2,125 1,033 110 7,394 3,984 1,767 2,232 802 201 723 971 1,604 1,929 45 696 2,780 49 881 100 29 3,534 12 2,584 207,312 163,283 44,029 181 147 334 25 484 171 2,222 749 4,446 862 1,818 1,523 533 7,422 4,506 1,745 3,781 1,059 553 1,172 1,512 2,284 3,311 330 584 6,945 50 1,298 229 214 5,215 12 2,301 209,968 150,941 59,027 - 35.91 - 67.35 + 20.96 - 96.00 + 54.13 - 63.74 - 31.05 + 0.80 - 52.88 - 72.27 + 16.89 - 32.17 - 79.36 - 0.38 - 11.58 + 1.26 - 40.97 - 24.27 - 63.65 - 38.31 - 35.78 - 29.77 - 41.74 - 86.36 + 19.18 - 59.97 - 2.00 - 32.13 - 56.33 - 86.45 - 32.23 + 0.00 + 12.30 - 1.26 + 8.18 - 25.41
Ministry of Tourism and Sports,Thailand Guest Arrivals at Accommodation Establishments (Hotels,Guesthouses,Resorts) in Chiang Rai
Nationality April - June
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2009 Thai Brunei Cambodia Indonesia Laos Malaysia Myanmar Philippines Singapore Vietnam China Hong Kong Japan Korea Taiwan Austria Belgium Denmark Finland France Germany Italy Netherlands Norway Russia Spain Sweden Switzerland United Kingdom East Europe Canada USA India Australia New Zealand Middle East Israel Africa Others Grand Total Thai 142,289 1 65 114 1,082 143 29 438 299 65 1,179 499 3,285 159 974 123 36 3,529 2,209 1,250 1,660 69 89 1,416 171 709 659 5 230 2,946 57 848 104 9 2,078 6 685 169,507 142,289 2008 143,449 146 48 1,289 504 117 758 546 125 1,978 1,678 6,220 429 1,704 492 154 6,743 3,791 1,667 3,565 210 111 3,428 303 1,437 1,913 112 485 3,382 138 3,162 301 196 2,466 66 2,103 195,216 143,449 D(%) - 0.81 - 55.53 + 137.95 - 16.07 - 71.67 - 75.62 - 42.27 - 45.33 - 48.33 - 40.39 - 70.25 - 47.19 - 62.89 - 42.85 - 75.06 - 76.74 - 47.67 - 41.74 - 25.01 - 53.44 - 66.92 - 19.72 - 58.71 - 43.72 - 50.65 - 65.55 - 52.60 - 12.89 - 58.66 - 73.18 - 65.35 - 15.72 - 67.41 - 13.17 - 0.81
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Foreigners : Last update 2 Nov 2009 27,218 51,767 - 47.42
Chiangrai festival, event, and exhibition are the activities that enhance the value of destination then it cause the variable of economy include currency exchange, income distribution, employment, new jobs opportunities, and local empowerment. Moreover, tend of economic growth in Chiangrai going to rise in next 5 year with the result from early years, Chiangrai going to be the choice of destination for investing in many segments. And then the development mention on the local participate which show the significant of local stakeholder, and the local product will be accepted on the nation standard.
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Social Gender and age of excursionist and tourist arrive in Chiangrai 2551
Domestics Categories Men Gender Women Total (%) 15-24 25-34 35-44 Age 45-54 55-64 65 up Total (%) Excursionists 50.66 49.34 100.00 12.14 25.43 42.31 17.08 2.66 0.38 100.00 Tourists 52.68 47.32 100.00 15.83 34.29 33.87 10.65 3.69 1.67 100.00 Total 52.20 47.80 100.00 14.95 32.17 35.89 12.19 3.44 1.33 100.00 Excursionists 55.34 44.66 100.00 7.25 17.94 40.46 27.10 4.58 2.67 100.00 Foreigners Tourists 54.53 45.47 100.00 5.67 31.87 38.67 18.98 4.11 0.71 100.00 Total 54.75 45.25 100.00 6.10 28.10 39.15 21.18 4.24 1.24 100.00
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Occupation of excursionist and tourist arrive in Chiangrai 2551 Categories Excursionists Occupation Propriety Government Officer Employee Housekeeping Student Retirement Agriculturist Labor Other 20.30 15.37 19.73 10.63 11.01 0.19 3.61 18.79 0.38 Domestics Tourists 19.23 15.89 11.55 7.98 13.21 3.39 5.89 22.42 0.42 Total 19.48 15.77 13.50 8.61 12.69 2.63 5.35 21.57 0.41 Excursionists 33.97 21.37 15.27 9.54 7.25 1.91 0.38 10.31 Foreigners Tourists 37.25 16.15 15.01 11.05 6.23 1.13 3.82 9.35 Total 36.36 17.56 15.08 10.64 6.51 1.34 2089 9.61 -
P a g e | 33 Customer behavior as a social change Issue concern Social change Explain Social change cause behavior change follow the consumer the outside
motivation , then the consumer search for the valuable and reasonable product so it result our business be the one choice that offer Health market the quality and efficiency product Consumer seeing the product that good for their health and make them far from the risk and disease so that our business offer them the healthy product made from the quality ingredient so it tend to make the Religion high pro fit from this issue Religion does not impact our business, even if consumer were in different religions but every one can consume our product that does not separating and focusing on the religion. Our business can serve all of the cultural communication religions and make the profit That is the benefit to our business from cultural communication, the foreign tourist can reach our product, and the currency Environment disaster Pollution Wildlife invasion exchange will take place. If the pollution occur (air, water, noise, vision), the environment disaster and the wildlife invasion take place so it not concerning with our business, the business can run without care about the pollution.
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Domestic, foreigner excursionist and tourist behavior 2551(%) Domestics Categories Excursionists 1. Travel/ leisure 2.Meeting/Incentive/Convention 3. Business Objective 4. Government practice 5. Visit friend and relative 6. Exhibition and trade 7. Religious 8. Others Total 37.95 13.09 6.64 17.65 16.51 0.57 7.59 100.00 Tourists 34.94 11.07 6.09 7.14 37.32 0.18 2.32 0.12 100.00 Total 35.66 11.55 6.84 9.65 32.35 0.27 3.58 0.09 100.00 Excursionists 36.26 12.98 6.11 22.90 20.23 0.76 0.76 100.00 Tourists 35.27 6.94 2.83 8.50 45.47 0.28 0.71 100.00 Total 35.54 8.57 3.72 12.40 38.64 0.41 0.72 100.00 Foreigners
P a g e | 35 Domestic, foreigner excursionist and tourist behavior 2551(%) Categories Excursionists Amount of province 1 province 2 province 3 province 4 province 5 province up Total 90.51 8.16 1.14 0.19 100.00 Domestic Tourists 91.49 7.26 1.07 0.06 0.12 100.00 Total 91.26 7.48 1.09 0.09 0.09 100.00 Excursionists 98.09 0.76 0.76 0.38 100.00 Foreigners Tourists 95.18 3.54 1.27 100.00 Total 95.97 2.79 1.14 0.10 100.00
P a g e | 36 Domestic, foreigner excursionist and tourist behavior 2551(%)
Domestic Categories Amount of visiting A time 2 times 3 times 4 times 5 times up Total Excursionists 91.08 5.88 1.99 0.95 0.91 100.00 Tourists 81.90 13.93 2.14 0.95 1.07 100.00 Total 84.10 12.01 2.08 0.95 0.86 100.00 Excursionists 96.56 2.67 0.76 100.00
Foreigners Tourists 89.24 9.92 0.85 100.00 Total 91.22 7.95 0.83 100.00
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Domestic, foreigner excursionist and tourist behavior 2551(%) Domestic Categories Fellow traveler Singer Friend or couple Family Cousin Co-worker Other Total Excursionists 39.28 26.76 21.63 3.98 8.35 100.00 Tourists 22.99 27.52 27.22 5.78 11.49 100.00 Total 30.69 27.33 25.88 5.35 10.74 100.00 Excursionists 37.40 32.06 20.61 2.67 7.26 100.00 Foreigners Tourists 20.11 43.20 29.46 2.27 4.96 100.00 Total 24.79 40.19 27.07 2.38 5.58 100.00
Domestic, foreigner excursionist and tourist behavior 2551(%)
P a g e | 38
Domestic Categories Amount of fellow traveler 1 2 3 4 5 6-10 10 up Total Excursionists 64.52 16.70 10.06 2.85 2.85 2.09 0.95 100.00 Tourists 61.43 15.12 11.85 4.88 2.74 2.44 1.55 100.00 Total 62.17 15.50 11.42 4.40 2.76 2.36 1.40 100.00 Excursionists 77.10 9.16 10.31 1.91 1.53 100.00
Foreigners Tourists 64.45 15.58 12.32 4.96 2.12 0.42 0.14 100.00 Total 67.87 13.84 11.78 4.13 1.96 0.31 0.10 100.00
P a g e | 39 Technology In the present time, technology becomes the important factor that influence the customer behavior and market conduct activities that is the technology contribute to easier, faster and higher quality, interaction between customer and product. Issue concerning Internet Explain Internet impact our business as the positive way that is the consumer can find out our business via our website, and they get the several information of our business and Telephone product in their mine. Telephones are the significant factor in our business, we take it to communicate with consumer and supplier when must to make the order and sometime use to make the Fax bargaining. The important equipment use to
communicate with consumer or supplier then it make our business to easy
Competition Analysis (3C Analysis) In formulating business strategy, managers must consider the strategies of the firm's competitors. While in highly fragmented commodity industries the moves of any single competitor may be less important, in concentrated industries competitor analysis becomes a vital part of strategic planning. Competitor analysis Customer Analysis We are going to analyze the customer behavior to achieve the goal, several factors. We focus on groups of tourist because they go to travel to Chiang rai a lots in each year. We divide group of tourist by sex, occupation, income and anything else to make satisfaction to them Competitive analysis The study about competitive according to what their product, where they positioning, how much their cost, how about their promotion, what are they straight and weakness, how about their segmentation, and know about competitive product
P a g e | 40 life cycle. In addition, we know about competitive and we use the competitive information to improve our company. Competitor analysis Competitor analysis that we concern many factors to compete with it. Our competitor is Tab Tim Tong Shop. It locate in Mae Chan district which is near our shop. The strategy in marketing we focus on a group of tourist who is a consumer. • We advertise a shop to tourist know about it • We choose the product which is guationranteed from National institute for tourist satisfaction. • The products in a shop to guarantee by symbol (Main Product) • We have technology which is cleanliness. • We have amenity service such as toilets ATM. • We have the processing management in a shop Weakness • We do not have some service enough. • We do not have the transport to carry to tourist enough. • We do not have various products to offer tourist. Opportunity • The government support small business (SMEs) • The marketing has many channel distribution. Threat • There are substitute products and many brands to buy products.
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Fresh Nang Lae Pineapple
P&P Pineapple company serves fresh pineapple (grade A) from Nang Lae village to consumers in all genders, ages, and class of society and who favor fresh pineapple.
We focus on tourists who fascinatingly pineapple and take h yeacare their health.
We present our product under “P&P Pineapple” brand which easily to remember as well as come to locate our brand in the mind of tourists. We serve fresh pineapple to local market with our shop. Then, tourists can purchase our product with one stop shopping. When tourists visited to Mae Sai or other place who can stop to shopping at our shop, so it has located far from Mae Fah Luang University around 2 Kilometers and opposite a PTT petro station. We have a lot of facilities that serve to tourists such as a large parking, clean toilet, and small park. Tourists can enjoy shopping in our shop and relax from journey, too. We present our product under “P&P Pineapple” brand which easily to remember as well as come to locate our brand in the mind of tourists. We serve our products to P&P Pineapple shop. When tourists visited to Mae Sai or
We serve Nang Lae pineapple jam to consumers with family groups. It is easy and comfortable to consume in fasttime. They can eat with bread or sandwich in breakfast or every time that they want.
We focus on tourists who like pineapple jam to enjoy eating overtime, and want energy to encounter with activities. Moreover, our pineapple jam increases their delicious taste in urgent-time, too.
P a g e | 42 other place who can stop to shopping at our shop, so it has located far from Mae Fah Luang University around 2 Kilometers and opposite a PTT petro station. We have a lot of facilities that serve to tourists such as a large parking, clean toilet, and small park. Tourists can enjoy shopping in our shop and relax from journey, too. 3. Pineapple Cookie We present Nang Lae pineapple cookie to consumers who like snack and enjoy after meals or break-time. Our pineapple cookie serves with fullflavoured taste and sweet smelling. We focus on tourists who can enjoy eating pineapple cookie with milk in their breakfast that is urgent-time, to be snack that help to reduce their hungriness, or snack on free time. Moreover, tourists can purchase pineapple cookie to be gift for their family, friends etc, because our package is beautiful and luxurious. We serve to We focus on tourists consumers who who like pineapple love take care their juice that has sweet health. This product from natural and presents pineapple who care about juice which is low healthy. Our product fat and more fibers. has low sugar which makes their healthy, firm, and fresh as well as pineapple juice assists and support their excretory system. We serve Nang Lae We focus on tourists
P a g e | 43 who want relax with delicious pineapple can and get benefit of healthy. Moreover, pineapple can will increases color and makes their to enjoy eating after meals or breaktime. 6. Fertilizer P&P Pineapple We focus on launches the Nang agriculturists who Lae fertilizer to the care about market that made environment from pineapple, and friendly. And we it’s also lower price offer them with than the other lower price for help company. local community Pineapple fertilizer and support has high quality and environment not has dangers to friendly, too. natural environment. 7. Sa Paper We produce Sa We focus on general Paper to the market people that like that made from the beautiful unique of rest of Nang Lae. Sa Paper to use in And then, it also special time or wrap a present, can others. use to product, or many works. Marketing Mix (4Ps) Product - customer need: we serve the high quality of products from Nang Lae Pineapple to our customers by concerning the cultures, tradition or lifestyle. Customers can find and buy our product at our shop where is one stop shopping to serve to the customers. There are many products that we serve to the customers including with Nang Lae fresh pineapple, Nang Lae fresh pineapple juice, Nang Lae Pineapple can, Nang Lae Pineapple cookie and Nang Lae pineapple jam all of these can reponse the customer’s needs with Nang Lae pineapple. Price – cost: we set reasonably price for our customers by set it be concerned as pricing pineapple can to consumers with every ages and genders who can enjoy eating immediately when they open and mix with ices.
P a g e | 44 strategy, suggested retail price, volume discounts and wholesale pricing, cash and early payment discounts, seasonal pricing, bundling, price flexibility, and price discrimination and then we divide price of products two kinds, They are price for Thai tourists and price for foreigner tourists by we increase price from standard price to high price for them Place: all of our products available and sell in our shop where be one stop shopping shop. Located in the central of village and nearby highway that the customer can easy to get there and our shop designed in Lanna and modern style mix together to attract the customers to visit our shop. Promotion: We aspect the promotion concerning as Chiang rai tourism season categories Seasons High season ( November - April) Promotions Sample Open booth in several events and festival in Province. Bonus Pack Leaflet Price – off Premium Sample Leaflet
Low season ( May - October )
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Sales forecast for First Year
Domestic Month Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total The amount of tourist 20,000 15,000 15,000 25,000 10,000 5,000 4,000 3,700 7,000 9,500 10,500 20,000 144,700 Expense per person 200 200 200 200 200 200 200 200 200 200 200 200 2,400 Domestic expense 4,000,000 3,000,000 3,000,000 5,000,000 2,000,000 1,000,000 800,000 740,000 1,400,000 1,900,000 2,100,000 4,000,000 28,940,000 The amount of tourist 6,000 5,300 5,100 5,900 4,000 2,000 1,800 1,500 2,000 4,300 6,100 7,300 51,300 Foreigner Expense per person 250 250 250 250 250 250 250 250 250 250 250 250 3,000 Foreigner expense 1,500,000 1,325,000 1,275,000 1,475,000 1,000,000 500,000 450,000 375,000 500,000 1,075,000 1,525,000 1,825,000 12,825,000
Sales forecast for Second Year
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Domestic Month Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total The amount of tourist 22,300 17,000 16,500 27,000 11,100 6,000 4,980 3,900 7,300 9,850 11,500 21,500 158,930 Expense per person 220 220 220 220 220 220 220 220 220 220 220 220 2,640 Domestic expense 4,906,000 3,740,000 3,630,000 5,940,000 2,442,000 1,320,000 1,095,600 858,000 1,606,000 2,167,000 2,530,000 4,730,000 34,964,600 The amount of tourist 6,350 5,500 5,400 6,050 4,400 2,200 2,070 1,700 2,100 4,480 6,270 7,500 54,020
Foreigner Expense per person 270 270 270 270 270 270 270 270 270 270 270 270 3,240 Foreigner expense 1,714,500 1,485,000 1,458,000 1,633,500 1,188,000 594,000 558,900 459,000 567,000 1,209,600 1,692,900 2,025,000 14,585,400
Sales forecast for Third Year
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Sales forecast for Forth Year
Domestic Month Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total The amount of tourist 24,800 24,000 20,000 18,500 19,500 18,000 31,000 29,800 14,200 12,500 7,100 6,800 5,450 5,300 4,360 4,200 7,680 7,400 11,260 10,000 14,000 12,900 25,200 23,000 184,550 172,400 Expense per person 280 250 280 250 280 250 280 250 280 250 280 250 280 250 280 250 280 250 280 250 280 250 280 250 3,360 3,000 Domestic expense 6,944,000 6,000,000 5,600,000 4,625,000 5,460,000 4,500,000 8,680,000 7,450,000 3,976,000 3,125,000 1,988,000 1,700,000 1,526,000 1,325,000 1,220,800 1,050,000 2,150,400 1,850,000 3,152,800 2,500,000 3,920,000 3,225,000 7,056,000 5,750,000 51,674,000 43,100,000 The amount of tourist 6,650 6,500 5,900 5,750 5,800 5,650 6,350 6,200 4,800 4,680 2,750 2,530 2,670 2,500 2,000 1,890 2,360 2,250 4,820 4,600 6,550 6,400 7,750 7,680 58,400 56,630 Foreigner Expense per person 320 300 320 300 320 300 320 300 320 300 320 300 320 300 320 300 320 300 320 300 320 300 320 300 3,840 3,240 Foreigner expense 2,128,000 1,950,000 1,888,000 1,725,000 1,856,000 1,695,000 2,032,000 1,860,000 1,536,000 1,404,000 880,000 759,000 854,400 750,000 640,000 567,000 755,200 675,000 1,542,400 1,380,000 2,096,000 1,920,000 2,4840,000 2,304,000 18,688,000 16,989,00
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Domestic Month Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total The amount of tourist 20,500 21,500 20,500 33,000 15,000 7,500 5,600 4,550 7,800 12,500 14,500 26,500 193,950 Expense per person 300 300 300 300 300 300 300 300 300 300 300 300 3,600 Domestic expense 6,150,000 6,450,000 6,560,000 10,560,000 4,800,000 2,400,000 1,792,000 1,456,000 2,496,000 4,000,000 4,640,000 7,950,000 59,254,000 The amount of tourist 6,800 6,100 6,000 6,500 4,950 2,890 2,800 2,150 2,500 5,000 6,800 8,000 60,490
Foreigner Expense per person 350 350 350 350 350 350 350 350 350 350 350 350 4,200 Foreigner expense 2,380,000 2,135,000 2,100,000 2,275,000 1,732,500 1,011,500 980,000 752,500 875,000 1,750,000 2,380,000 2,800,000 21,171,500
Sales forecast for Fifth Year
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P a g e | 50 Conclusion In the early year of conducting business that we concern many factors to analyze before setting it such as Political, Economy, Social and Environment, and Technology. These affect to our business directly. To know customers, we have to know the demand of them and then offering the product to customers for satisfaction. STP (Segmentation, Targeting and Positioning) we place the products as appropriate with the right taget. We have to concern marketing mix strategy (Product, Price, Place, and Promotion); the way to enhance the company value then all information must appear as the useful for the business decision making and offer to the market.
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Technical Feasibility Study
Production and Operation Analysis
Product Characteristics (in Detail) We have the main products and we describe detail of each product: 1. Nang Lae pineapple is grow only up in Nang Lae sub- district in Chiang Rai province because of climate and geography of this area to make Nang Lae pineapple is very fresh, sweet, luscious and crisp. So it can make the customer satisfaction and create word of mouth. - 1 kg 15 baht
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2. Pineapple jam; we produce pineapple jam with various sizes, packaging and appropriate with customer use such as 100 grams 600 grams In packaging Ingredient Fresh pineapple pulp 500 grams 1. 2. 3. 4. 5. 6. Pineapple juice 250 grams Sugar 800 grams Water 50 grams Pectin powder 1 tablespoon C-tric acid (from lemon acid) 2 teaspoon Salt ½ teaspoon Process 1. 2. 3. Put pineapple pulp and juice, and water in a brass pan on the stove that has heat in medium level. Watching until pineapple pulp into bright. The first, divided sugar 50 grams mixes with pectin powder to scatter in a brass pan, and then stir until sugar vanishes. Put the all of sugar that remain in a brass pan, and then rushed minor of the heat and stir at all times. Small size including 6 bottles Nang Lae pineapple 150 bath Medium size including 12 bottles Nang Lae pineapple 300 bath Large size including 24 bottles Nang Lae pineapple 450 bath. 28 baht
P a g e | 53 4. 5. 6. 7. Add C-tric acid (from lemon acid) and salt and stir at all times about 1 – 2 minutes, and then slow down of heat. Watching pineapple jam that be sticky (uplift the ladle and watching the jam that be stream down), and then off the heater. Wait until jam is warm and pack in clean vessel. The finally, waiting until jam be harden and ready! for close up tightly.
3. Cookie; our product focus on health of customer. In product does not much sweet of sugar. We have only one size that standard for customer that is Ingredient 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. General powder (for cookie) 400 grams Soda powder ¼ teaspoon Baking powder 1 teaspoon Corn powder 10 grams Vanilla powder 1 teaspoon Dried milk 10 grams Fresh butter 100 grams Margarine 100 grams Icing 100 grams One egg Vanilla scent 1 teaspoon Fresh pineapple 1 kg. 300 grams 59 baht
P a g e | 54 Process 1. 2. 3. Prepare to crush pineapple pulp and mold size about 2 cm, and then take into refrigerator for a night. Sifted general powder, soda powder, baking powder, corn powder, vanilla powder, and dried milk together. Whip fresh butter with icing until swelling and put an egg, then slow down of whip and mix powder (from no. 2) together. And then take to mold with stuffing pineapple (from no. 1) and take an egg yolk paint for cookie face. 4. 5. Bake about 350 Fahrenheit (about 20 minute). Waiting until cool and pack into package.
4. Nang Lae pineapple juice to produce from fresh 100 % Nang Lae pineapple. We divide following quantity and kind types, there are bottle and can. Standard can 17 baht Size of bottles 600 ml 1.25 l. Ingredient 1. 2. 3. 4. 5. 6. Fresh pineapple 3 fruits Sugar 1½ kg Salt 30 grams C – tric acid 2 teaspoon Water 3 measuring cup Sodiumbensoet 1 teaspoon 22 bath 120 baths
P a g e | 55 Process 1. 2. 3. 4. 5. Crush pineapple pulp and take to sift with cloth for separate juice. Boil sugar that make be syrup. Boil pineapple juice about 10 minute, and then add c-tric acid, salt, and syrup together. Off heater, add Sodiumbensoet and stir together. Wait until cool and ready to packing.
5. Nang Lae pineapple can ; we produce fresh Nang Lae pineapple with syrup in can which has: 100 grams 29 bath 230 grams 58 bath Ingredient 1. 2. 3. 4. 5. 6. Pineapple Sugar 800 grams Water 250 grams C-tric 2 teaspoon Salt 50 grams Sodiumbensoet 1 teaspoon
Process 1. 2. 3. 4. 5. Remove pineapple into small size and take through sterilize process by hot steam machine. Boil sugar, water, c-tric, and salt that make are syrup. Off heater, and then add Sodiumbensoet mix with syrup and stir. Waiting until cool. Take pineapple and syrup into cans. Close up tightly by machine and take cans to sterilize process again.
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6. Pineapple Fertilizer; we produce from other part of pineapple such as bark of pineapple has; one size is 20 kilograms 350 baht. Ingredient 1. Pineapple 3 kg. 2. Molasses or brown sugar 1 kg. 3. A plastic bucket (pitch-dark and has a cover) Process 1. Cut pineapple into small piece and put in a plastic bucket. 2. Add molasses or brown sugar mix with pineapple together, and then close up tightly and keep in shady area. 3. Undergo fermentation about 7-8 days that change to brown fluid and fragrantly. 4. Pack brown fluid in bottles.
7. Sa Paper; we produce from the leaves of pineapples Ingredient 1. The leaves of pineapples 2. Caustic soda 3. Chlorine 4. Water 5. The used paper
P a g e | 57 1. Bring the leaves of pineapples about 300 grams, caustic soda 40-60 grams and water 1 liter to boil together and then pour the boiled water out. Next, wash the leaves of pineapples 2-3 times. 2. 3. 4. Bring the used paper about 30 grams to soak in the water and then thoroughly spin it. Then, bring the Chlorine to dissolve in the pineapples that already boil with caustic soda about 15 minutes for changing the color of the leaves of pineapples. Bring the paper that already spin and the leaves of pineapple to pour in the basin that have 18 liter of water, then use the sieve to winnow for making it to be equal. After that, bring to sun until the paper dry. Next, take to transfer follow your need and want.
Specification, Feather, Dimension, Life Time, etc. Specification The pineapple is local fruit of the Chiang Rai that can eat refreshments or transfer to other products such as pineapple jam that make of 100% pineapple meats have not sweet too much and also have pineapple meat is mixing inside, cookies that emphasize for the health of a consumer and also not sweet too much, pineapple juice makes of 100% pineapple meats and have mellow smack , not sour and not sweet too much, pineapple can in syrup, pineapple fertilizer make of other part of pineapple such as bark of pineapple and so on. Every kind product is One Tumbol One Product goods or OTOP. Dimension The pineapple market is interesting in the Chiang Rai because of pineapple is the fruit that bear fruit all year and the requirement of the pineapple still has the requirement continuously because possibly both of food and a gift. From the patrol in the market now, a customer still have the requirement consumes goods in a lot of amount because customer can seek easily and comfortably in consuming. By the target group will emphasize at a tourist mostly.
Life Time • Items Main products Life Time
P a g e | 58 5 days • Nang Lae fresh Pineapple jam Cookies Nang Lae fresh juice Nang Lae pineapple can 1 years 3 months 6 months 1 years -
Secondary products Sa paper Fertilizer
Product/Service Process Product process Our products and service, we plan two things together. Our products that will be the instant products which customers can use in that time and they bring it to go anywhere. In product, we will follow our products after customers buy it. The method that we use making the questionnaire to survey the attitude of customer with our products after that we survey it already. We take the information to analyze to see the strength, weakness, opportunity and threat (SWOT) that products how it can develop to be high quality and make customer satisfaction. In our products will check about quality, cleanliness, standard of universal and anything else.
National food Institute National Food Institute
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Costumers Figure 4.1: Product Process Service process In service of our business that concern the satisfaction of customers the first step, we give the employees to know about customers who have favor for their business. The company should study the demand of customers what they want to kind of products. Moreover, we should know target of costumers, and separate a group of consumers clearly. To create the distribution channel for consumer can access easily. To find the information of them such as where they like to go or to visit that we can take our product and employees serve a group of customers. To survey the queer information of consumers for instances the pocket money of consumers etc. The second step, to find the good ideas for developing products. The third step set the strategy of service of consumer such as our products has to be cleanliness and safety for they believe in our products. The fourth step, it is important thing by our company have to train the employees by we hire the expert in service to teach all of employees before doing the real work. The fifth step set the quality goal of service and profit to consumer. The sixth step, to study the environment and competitors when we know the planning of competitors that we can adapt the product or develop to equal or high level more than it. The seventh step, enduring and do not unsatisfied about quality of service so a company could adjust the products in all time. All of 7 seven steps are the method that consumers satisfy in our product when they are served from employees in a company. Training process Trained employees Customers
P a g e | 60 Employee (Seven steps) Figure 4.2 Service process Serve
Location Our shop launched and located near our market and customer at Paholyotin road by our shop and facility locate on 383 Moo 2 Tasud sub-district Muang district chiang rai province 57100. The reason that we locate in local because we can take the raw material easily and do not waste the cost of transfer.
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Figure 4.3 Layout Feasibility
P a g e | 62 Machine / Tools / Equipment. P&P Pineapple homemade, we bring the high the technology to produce the product because high technology in product because using high technology in producing, it causes the products to be high quality. Our equipments that decorate with of product. Sometime some of equipments and tools to use in one time, we have to focus on the number of them in using in processing. The company maintains the tools, equipment, and machine by we check about working of them in annual. If we select machine, tools, equipment are appropriate with each product, it cause the product to complete. Logistics Management We manage the transportation, warehousing, inventory, customer/order enter and administration that the movement of the organization’s finished products to its customers, the main activities associated with physical with distribution include inventory control, warehousing, and storage such as one track carries about 10001500 kgs. We have another vehicle to carry on finish goods to a shop. We have to check pre & post transport.
Raw material component supplier
Raw material management
The organization Processing finish Goods
P a g e | 63 Figure 4.4: Logistics Management Facility Management Our company encourages in management everything the lowest effect to natural environment such as: - Building: A company will check an orderliness of a building every year if there is the defect, we will repair at that. - Natural Environments: 1. Manage of dry garbage 2. Manage of waste 3. Manage of danger garbage - Security System: 1. There is checking equipment tool every year 2. Safety; there is a guard looks after the period night 3. There is circuit camera closed - Information System Management: about receipt and expense
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Cost of Investment Pre-Operating cost Landscape Fee 1. Register for opening the company 5,000 2. Register for the goods 5,000 Total 10,000
Investment Land and building
Depreciation 5 Year
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Equipment • Office + Table + Sofa + Computer Printer + Telephone + Fax + File cabinet + Calculator + Refrigerator + Air Conditioner + Chairs
7,500 5,000 40,000 1,300 8,000 3,000 1,500 5,000 60,000 5,000 6,000 40,000 20,000 27,000 30,000 6,000
5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year 5 Year
1,500 1,000 8,000 260 1,600 600 300 1,000 12,000 1,000 1,200 8,000 4,000 5,400 6,000 1,200
125.00 83.33 666.66 21.66 133.33 50.00 25.00 83.33 1,000 83.33 100.00 666.66 333.33 540.00 500.00 100.00
+ Jam + Cookie + Pineapple juice + Pineapple cans + Pineapple paper + Fertilizer
Tool of manufacturing + A cooking oven + Whisked powder machinery + squeezed fruit juice machinery + Compressed-can machinery
120,000 20,000 6,000 50,000
5 Year 5 Year 5 Year 5 Year
24,000 4,000 1,200 10,000
2,000.00 333.33 100.00 833.33
Operating Cost Raw material Cost Pineapples sell on cash 15 ton and sell for 4,000 per ton Jam Pineapple for making jam 1.5 ton and sell for 4,000 per ton Sugar 90 kilograms and 20 baht per kilogram 6,000 1,800 72,000 21,600 Monthly 60,000 Yearly 720,000
P a g e | 66 Cookie Pineapple 1 ton Flour 2 tons and 20 baht per kilogram Eggs 90 stalls and 70 baht per stall Butter 30 kilograms and 50 baht per kilogram Baking soda 2.5 kilograms and 32 baht per kilogram Pineapple juice Pineapple 2 tons and 4,000 per ton Syrup 25 liters and 300 baht per liter Pineapple can Pineapple 1.5 tons and 4,000 per ton Syrup 50 liters and 300 baht per liter Citrix acid 1 kilogram and 150 per kilogram Sa paper Pineapple (Grade B) 1 ton and 2,000 per ton Caustic soda 50 kilograms and 25 baht per kilogram Accessories (flowers, bamboos and etc) Fertilizer The leavings of pineapple Microbe 1 crate Molasses 100 kilograms and 8.5 baht per kilogram Direct Labor Cost Labor 20 persons, 4,000 baht per month 80,000 960,000 7,750 850 93,000 10,200 2,000 1,250 500 24,000 15,000 6,000 6,000 15,000 150 72,000 180,000 1,800 8,000 7,500 96,000 90,000 4,000 40,000 6,300 1,500 80 48,000 480,000 75,600 18,000 960
Overhead Security guards 1 person, 4,000 baht per month Housekeepers 2 persons, 3,000 baht per month Total manufacturing
Monthly 4,000 6,000 674,720
Yearly 48,000 72,000 8,096,640
Selling Cost Salesman’s salary expense 2 persons
P a g e | 67 Advertising Total selling cost Administration Cost Office salary expense 4 persons Telephone Electronic Total 30,000 38,000 360,000 456,000
20,000 2,000 20,000 42,000
240,000 24,000 240,000 504,000
Conclusion In this chapter, it causes we know about specify of product characteristics, specification, dimension, life of time of our product that we take it following the demand of marketing. Analyzing facility layout where we could take about industry of producing products, office, godown for raw materials and anything else. Analyzing the machine, tools and equipments that how we could use them per producing in one time. Planning and management logistics and net work of raw material and products before we will produce product and after product to finish. Management about systems in a company such as security system, cleanliness system and anything else. We know about cost investment such as pre- operating cost and investment cost (land, building, equipments and tools) depreciation of them and analyzing raw material cost, direct labor cost and overhead that how to use them per month and annual. We still analyze administrative cost (electricity, Telephone, Fax salary and etc) how we use the budget in organization.
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Financial Risk There are several financial risks in P&P pineapple homemade company including with Risks Foreign Exchange Risk Solutions Accept the risk Offer the promotion as well as we can to motivate the consumer even the Capital Availability Risk variable of money exchange. Accept the risk Motivate the investor as mention on the benefit they are going to get in next 1-5
P a g e | 83 year. Capacity Risk Accept the risk instance determining an interest rate Commodity Price Risk and control sale on account. - Accept the risk Fixed the price of product as well as we can, then control the cost of manufacturing and organizing such as deduct the cost of raw material regarding find out the new chain or new Taxation Risk supplier that offer us the best. - Accept the risk - Learn information about taxation such as label tax and property tax and also excise as the annual evaluate taxation. Human resource risk Risk - Tragedies, accidental death, illness, injury to owners - Policy and strategy risk in Organization - Ability, Skill and Attitude risk Solutions - Accept the risk - Offer welfare to employees - Accept the risk - Determine Policy and Strategy clearly for everyone knows all. - Accept the risk - Crucial to have an attitude of optimism - Cultural risk and hope - Accept the risk - Set culture role in organization such as uniform. If who do mistake, we will - Management process risk have punishment to them. - Accept the risk - Regard the work of person before getting a promotion
- Set the rule of account payable for
P a g e | 84 - Efficiency administration risk - Accept the risk - Motivate employees by paying a pride for them when organization the strange The company will define gets more benefit. weakness of our production and process - Accept the risk because it made of product identity - An executive has to have the ethical in competitive advantage of pineapple’s herself or himself for employee believe product. Make the process of manufacture and respect. was planned then the process of manufacturer easier to meet standard and can be monitoring, controlling and maintenances.
- Employees of a company can be fraudulent - Believe in executivemoney. - The threat of losing risk - Too much Inventory can be the risk of firm - Under standard of management
- Not enough customers. - Low Market Share - Slow development. - Cannot meet with customer satisfaction - Economic is not stability that may danger of every business
- Accept the risk - The company define the opportunity and threat of marketing process and some part of manufacturing process then can be promote pineapple’s product to be the first choice on the
P a g e | 85 - Customers are changing their need dramatically. other hand the pineapple product need the stable level of market share and need the expectation of customer.
- Demographic occupation) (age, gender, the - Accept the risk moreover,
demographic also risk as can not approach or do wrong way about it.
- Have to provide and get in to various categories of demographic, we can serve the tourist as much as we can such as the regional categories according to our shop provide product line to both of domestic and foreigner tourist then we can serve them the quality product. In other word, age risk; our product serve for tourist as all level of age because we mention on the tourist who may be child, working man, or retire.
Rivalry among competing P&P pine apple has the competitor that is TUB TIM TONG (Mae chan districe) then our company has more advantage than TUB TIM TONG as following: Has own factory and shop Cooperate with other stakeholder such as tour agency Better in packaging
P a g e | 86 High quality of production Onsite working clean and fresh The products always fresh Attractive both product appearance and shop appearance Our products line be the identity and differentiate Only one the great pineapple product shop in Chiangrai province
Potential entry of new competitors TUB TIM TONG charge higher rate than P&P pineapple because it has no own factory and has no production process it just have marketing process only because it is retailer. Potential development product Our shop offers the alternative products for tourists more than TUB TIM TONG such as: Pineapple juice help tourist reduce their thirsty and make tourist awake then it can replace water or other kind of drink, and Pineapple Cookie is the one kind of snake that offer the quality and mention on healthy so that it can replace other kind of snakes that be the junk food. Bargaining power of supplier P&P pineapple can appreciate with local supplier and stakeholder in terms of quantity and finance so can be the force bargaining position with supplier than TUB TIM TONG in advance Bargaining power of consumer P&P pineapple has the force over the consumer according to the consumer can not bargain with our standard price because our products were set market price so our company force consumer by motivate consumer about our quality’s product through the ISO standard and attract the consumer with luxury package that appropriate with market price. Moreover, our product mention on local community which support to distribute income to local community.
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P&P Home Made Company is launch to provide products to the tourist, including with fresh Nang Lae pineapple, Nang Lae pineapple jam, cookie, jam, canned pineapple, sa paper and fertilizer. All of our products made by all part of Nang Lae pineapple. So our products are available in our shop which is one stop shopping souvenir and gift shop, and our shop is design to be attractive to the tourist in order to get the profits from the tourists who buy our products. We cooperate with stakeholder or tour agency to bring the tourists comes to visit our place. According to our shop has many quality products to serve the tourists so our company gets more profits from our products and the profits are increase year by year and can make sure the investor gets the money back from this business because of our employees are full of knowledge and skill in this business. In another hand our company must use many strategies to run the business.
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References Information of amount of tourist [update 2009 May 16]. Available from: http://www.chiangraifocus.com/ Information of amount of tourist [update1997, 1998, 2007, 2008, 2009]. Available from: http://www.tourism.go.th/2009/th/statistic/tourism.php?cid=27 Information of Pipe apple. Available from http://www.thaitambon.com/tambon/tprodtsrc.asp? PRODUCT=0230650&CATID=02&PRODTYPE=0230 Information of seeds of pine apple Available from http://ait.nisit.kps.ku.ac.th/dbfieldcrop/variety/vapineapple1.htm Information of how to cook pine apple yam Available from [update 2008 July 28]. http://www.krunid.com/board/index.php?topic=25.0 Information of how to cook pine apple cookie Available from http://www.bloggang.com/viewdiary.php?id=noonong&month=022008&date=25&group=16&gblog=5
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Group members 1. Miss Tanaporn Tel: 0861979120 2. Miss Patitta Tel: 0812876239 3. Mr. Wanlop Tel: 0838603345 4. Miss Kanika Tel: 0824833019 5. Miss Sirinan Tel: 0838603478 6. Miss Siriporn Tel: 0845005857 7. Mr. Jirapun Tel: 0838652623 8. Mr. Bancherd Tel: 0832064882 Somprasuk ID: 5031205034
E-mail: firstname.lastname@example.org Katanyooowattana E-mail: email@example.com Phutthawong ID: 5031205074 ID: 5031205056
E-mail: firstname.lastname@example.org Maneemool ID: 5031205122
E-mail: email@example.com Kanthawicha ID: 5031205178
E-mail: firstname.lastname@example.org Pongphab ID: 5031205179
E-mail: email@example.com Sanmanorach ID: 5031205200
E-mail: firstname.lastname@example.org Hankome ID: 5031205206 E-mail: email@example.com
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