[Type the document title]

Executive Summary This Cyber Café will provide a unique forum for communication and
entertainment through the medium of the internet. The public want to access to the
methods of communication and volumes of information now available on the internet
and access at a cost they can afford and in such a way that they aren’t socially &
economically. The goal of this Cyber Café is to provide the community with a
social, educational, atmosphere for worldwide communication. The amount to run this
Cyber Café is RM 250000 which includes the cost of the equipment, services,
furniture, cabling, decoration, fixed cost and variable cost. All this amount we
trying to get loan from CIMB Bank with Business Premises Loan Scheme. This Cyber
Café will organize and runs by 4 shareholders since they finish the study and take
specialist in this subject. Two of the shareholders already had a degree in
networking and others shareholders have a experience in technician. We were
expecting to maintain about three years to establish our market and settle the bank
loan. Successful operation in the first three years will provide Cyber Café with a
customer base that will allow it to be self-sufficient after three years later.
Objective The objectives for the first three years of operation include:  The
creation of a unique, upscale, innovation environment that will different in this
Cyber Café from others internet café.  Educating the communicating on what the
Internet café.  Formation of an environment that will bring people with diverse
interest and background together in a common forum.  Affordable access to the
resource of the internet and other online services  To establishing in the market
 To create the IT lifestyle at the area. Mission As the popularity of the internet
continues to grow at an exponential, easy and affordable access is quickly becoming
a necessity of a life. This Cyber Café provide communities with the ability to
access the internet, enjoying play games and share internet experience in a
comfortable environment. The people of all ages and backgrounds will come to enjoy
the unique, upscale, educational and innovative the cyber café provides. Key to
success The key to the success are:  The establishment of this Cyber Café is as a
community hub for socialization and entertainment.  The creation of an environment
that won’t intimidate the novice user. This cyber Café will position itself as an
educational resource for individual wishing to learn about the benefits the
internet has to offer. Company Overview This cyber café are registered as name
Rhythm International Cyber Café and located at Seremban 2, NSDK. Rhythm
International Cyber Café will provide full access to email, internet application,
the lasted games product, other application like MS Office and Adobe Reader. This
cyber café also provides customers with a unique and innovative environment for
enjoying their time here. Rhythm International {Subject Name} Page 1
[Type the document title]
Cyber Café will appeal to individuals of all ages and background. We want to make
this business as a integration centre for the users who expert in computers and
users who just in the beginning to use the computer. By the way, Rhythm
International Cyber Café also will be the starting for the lifestyle in this area.
Company Ownership Rhythm International Cyber Café is hold by 4 shareholders. As the
founder of Rhythm International Cyber Café, we are owners and the holding share of
this Cyber Café is divided into four of us. Startup Summary This Cyber Café startup
costs will cover computer equipment, site renovation and modification, capital to
cover losses in the first year and the communication equipment necessary to get its
customers online (promotion and others). The communication equipment necessary to
provide the Cyber Café customer with a high speed connection to internet and the
service it has to offer make up a large portion of the startup costs. These costs
will include the computer terminals and all costs associated with their set-up
costs will also be designated for purchases of 2 laser-jet printers and scanner. In
addition, costs will be allocated for the purchase of computers spare parts such as
mouse, microphone, keyboard, monitor, printer ink and other maintenances. A single
estimated figure will be allocated for this purpose. The renovations or
modification cost estimate will include the costs associated with preparing the
site for opening the business. The expecting cost to run the cyber café was shown
below: Company location & Facilities As site has been chosen at Seremban 2 & Nilai,
Negeri Sembilan, there are many various reason of this sites. The various reasons
including:  Proximity to the business community  Proximity to the residential
area, schools and colleges/private university  Proximity near to bus station 
Parking availability  Low Rent Services Rhythm International Cyber Café will
provide full access to emails, internet application, the fastest games registered
product, other application like Microsoft Office, printing, scanning, Fax services,
repairing (Desktop and Laptop) and selling Computer hardware & Software. This cyber
café also provide customers with a unique and innovative environment for enjoying
their time in our cyber café. Service Description Rhythm International Cyber Café
will provide its customers with full access to the internet and common computer
software and hardware. There is some of the internet and computing services
available to the customers are listed below:  Access to internet explorer  Access
to popular software application like Adobe Photoshop and Microsoft Office  Access
to laser and color printing Technology {Subject Name} Page 2
[Type the document title]
Rhythm International Cyber Café will invest in high speed computers to provide its
customers with a fast and effective connection to the internet. The computers will
be reliable and fun to work with. Rhythm International Cyber Café will continue to
upgrade and modify the system to stay current with communication technology. One of
the main attraction associated with internet café’s is the state of the art
equipment with latest technology that is available to use. Future services As
Rhythm International Cyber Café grows in this two sites, more communication systems
will be added. The possibility of additional units has been accounted for in the
current floor plan (expansion). As the demand for the internet connectivity
increases, along with the increase in competition. Rhythm International Cyber Café
will continue to add new services to keep its customer base coming for more in the
two sites. Market analysis Rhythm International Cyber Café is faced with the
exciting opportunity of being the first-mover in the Negeri Sembilan cyber café
market. The consistent popularity of coffee, combined with the growing interest in
the internet has been proven to be a winning concept in other markets and will
produce the same results in Negeri Sembilan. Market segmentation The target
customer can be dividing into three group. First group is familiar with the
internet and desire a progressive and inviting atmosphere where they can get out of
their offices or bedroom. Normally this group is expert in using computer and their
jobs needed to the computer using. Second group is not familiar with the internet
yet and just waiting for the right opportunity to enter the online community. The
third group is for children who aged about 8 to 14 years old. This group is the
main target because it can bring about 50% years of whole profit in a month to the
cyber café. Usually they are more attractive to online games and spend a lot of
time in here. In addition to these three broad categories, Rhythm International
Cyber Café target market can be divided into more specific market segments. The
majority of these individuals are student and business people. Strategy and
implementation Rhythm International Cyber Cafe has three main strategies. The first
strategy focuses on attracting novice Internet users. By providing a novice
friendly environment, Rhythm International Cyber Cafe hopes to educate and train a
loyal customer base. The second, and most important, strategy focuses on pulling in
power Internet users. Power Internet users are extremely familiar with the Internet
and its offerings. This group of customers serves an important function at Rhythm
International Cyber Cafe. Power users have knowledge and web-browsing experience
that novice Internet users find attractive and exciting. The third strategy focuses
on building a social environment for Rhythm International Cyber Cafe customers. A
social environment, that provides entertainment, will serve to attract customers
that wouldn't normally think about using the Internet. Once on location at Rhythm
International Cyber Cafe, these customers that came for the more standard
entertainment offerings, will realize the potential entertainment value the
Internet can provide. Strategy pyramid Attract Power Internet Users

{Subject Name}

Page 3
[Type the document title]
Rhythm International Cyber Cafe's second strategy will be focused on attracting
power Internet users. Power Internet users provide an important function at Rhythm
International Cyber Cafe. Rhythm International Cyber Cafe plans on attracting this
type of customer by:  Providing the latest in computing technology.  Providing
scanning and printing services.  Providing access to powerful software
applications. Social Hub The third strategy focuses on building a social
environment for Rhythm International Cyber Cafe customers. A social environment,
that provides entertainment, will serve to attract customers that wouldn't normally
think about using the Internet. Once on location at Rhythm International Cyber
Cafe, these customers that came for the more standard entertainment offerings, will
realize the potential entertainment value the Internet can provide. Attract Novice
Internet Users Rhythm International Cyber Cafe's first strategy focuses on
attracting novice Internet users. Rhythm International Cyber Cafe plans on
attracting these customers by:  Providing a novice friendly environment. Rhythm
International Cyber Cafe will be staffed by knowledgeable employees focused on
serving the customer's needs.  A customer service desk will always be staffed. If
a customer has any type of question or concern, a Rhythm International Cyber Cafe
employee will always be available to assist.  Rhythm International Cyber Cafe will
offer introductory classes on the Internet and email. These classes will be
designed to help novice users familiarize themselves with these key tools and the
Rhythm International Cyber Cafe computer systems.

Competitive Edge Rhythm International Cyber Cafe will follow a differentiation

strategy to achieve a competitive advantage in the cafe market. By providing
Internet service, Rhythm International Cyber Cafe separates itself from all other
cafes in Eugene. In addition, Rhythm International Cyber Cafe provides a
comfortable environment with coffee and bakery items, distinguishing itself from
other Internet providers in Eugene. Marketing Strategy Rhythm International Cyber
Cafe will position itself as an upscale coffee house and Internet service provider.
It will serve high-quality coffee and espresso specialty drinks at a competitive
price. Due to the number of cafes in Eugene, it is important that Rhythm
International Cyber Cafe sets fair prices for its coffee. Rhythm International
Cyber Cafe will use advertising as its main source of promotion. Ads placed in The
Register Guard, Eugene Weekly, and the Emerald will help build customer awareness.
Accompanying the ad will be a coupon for a free hour of Internet travel.
Furthermore, Rhythm International Cyber Cafe will give away three free hours of
Internet use to beginners who sign up for an introduction to the Internet workshop
provided by Rhythm International Cyber Cafe. Pricing Strategy Determining a fair
market, hourly price, for online use is more difficult because there is no direct
competition from another cyber-cafe in the area. Therefore, Rhythm International
Cyber Cafe considered three sources to determine the hourly charge rate as some
charge a monthly fee, while others charge an hourly fee. In addition, some
providers use a strategy with a combination of both {Subject Name} Page 4
[Type the document title]
pricing schemes. Thus, it can quickly become a high monthly cost for the
individual. Second, Rhythm International Cyber Cafe looked at how cyber-cafes in
other markets such as Kuala Lumpur went about pricing Internet access. Third,
Rhythm International Cyber Cafe used the market survey to evaluate these three
factors resulted in Rhythm International Cyber Cafe's hourly price of RM2.50.
Promotion Strategy Rhythm International Cyber Cafe will implement a pull strategy
in order to build consumer awareness and demand. Initially, Rhythm International
Cyber Cafe has budgeted RM2,000 for promotional efforts which will include
advertising with coupons for a free hour of Internet time in local publications and
inhouse promotions such as offering customers free Internet time if they pay for an
introduction to the Internet workshop taught by Rhythm International Cyber Cafe's
computer technician. Rhythm International Cyber Cafe realizes that in the future,
when competition enters the market, additional revenues must be allocated for
promotion in order to maintain market share. Sales Strategy As a retail
establishment, Rhythm International Cyber Cafe employs people to handle sales
transactions. Computer literacy is a requirement for Rhythm International Cyber
Cafe employees. If an employee does not possess basic computer skills when they are
hired, they are trained by our full-time technician. Our full-time technician is
also available for customers in need of assistance. Rhythm International Cyber
Cafe's commitment to friendly, helpful service is one of the key factors that
distinguishes Rhythm International Cyber Cafe from other Internet cafes.

SWOT Analysis The SWOT analysis provides us with an opportunity to examine the
internal strengths and weaknesses Rhythm International Cyber Cafe must address. It
also allows us to examine the opportunities presented to Rhythm International Cyber
Cafe as well as potential threats. Rhythm International Cyber Cafe has a valuable
inventory of strengths that will help it succeed. These strengths include: a
knowledgeable and friendly staff, state-of-the-art computer hardware, and a clear
vision of the market need. Strengths are valuable, but it is also important to
realize the weaknesses Rhythm International Cyber Cafe must address. These
weaknesses include: a dependence on quickly changing technology, and the cost
factor associated with keeping state-of-the art computer hardware. Rhythm
International Cyber Cafe's strengths will help it capitalize on emerging
opportunities. These opportunities include, but are not limited to, a growing
population of daily Internet users, and the growing social bonds fostered by the
new Internet communities. Threats that Rhythm International Cyber Cafe should be
aware of include, the rapidly falling cost of Internet access, and emerging local
competitors.

{Subject Name}

Page 5
[Type the document title]
STRENGTHS:
RHYTHM INTERNATIONAL CYBER CAFE has a valuable inventory of strengths that will
help it succeed. These strengths include:  Knowledgeable and friendly staff: We've
gone to great lengths at RHYTHM INTERNATIONAL CYBER CAFE to find people with a
passion for teaching and sharing their Internet experiences. Our staff is both
knowledgeable and eager to please.  State-of-the art equipment: State- of- the art
equipment part of the RHYTHM INTERNATIONAL CYBER CAFE experience includes access to
state-of-the-art computer equipment. Our customers enjoy beautiful flat-screen
displays, fast machines, and high-quality printers.  Upscale ambiance: When you
walk into RHYTHM INTERNATIONAL CYBER CAFE, you'll feel the technology.  Clear
vision of the market needs: RHYTHM INTERNATIONAL CYBER CAFE knows what it takes to
build an upscale cyber cafe. We know the customers, we know the technology, and we
know how to build the service that will bring the two together.
WEAKNESSES :

Strengths are valuable, but it is also important to realize the weaknesses RHYTHM
INTERNATIONAL CYBER CAFE must address. These weaknesses include:  A dependence on
quickly changing technology: RHYTHM INTERNATIONAL CYBER CAFE is a place for people
to experience the technology of the Internet. The technology that is the Internet
changes rapidly. Product lifecycles are measured in weeks, not months. RHYTHM
INTERNATIONAL CYBER CAFE needs to keep up with the technology because a lot of the
RHYTHM INTERNATIONAL CYBER CAFE experience is technology.  Cost factor Associated
with keeping state-of-the-art hardware: Keeping up with the technology of the
Internet is an expensive undertaking. RHYTHM INTERNATIONAL CYBER CAFE needs to
balance technology needs with the other needs of the business. One aspect of the
business can't be sacrificed for the other.
OPPORTUNITIES :

RHYTHM INTERNATIONAL CYBER CAFE's strengths will help it capitalize on emerging

opportunities. These opportunities include:  Growing population of daily Internet
users: The importance of the Internet almost equals that of the telephone. As the
population of daily Internet users increases, so will the need for the services
RHYTHM INTERNATIONAL CYBER CAFE offers.  Social bonds fostered by the new Internet
communities: The Internet is bringing people from across the world together unlike
any other communication medium. RHYTHM INTERNATIONAL CYBER CAFE will capitalize on
this social trend by providing a place for smaller and local Internet communities
to meet in person. RHYTHM INTERNATIONAL CYBER CAFE will grow some of these
communities on its own by
{Subject Name} Page 6
[Type the document title]
establishing chat areas and community programs. These programs will be designed to
build customer loyalty. THREATS: Threats that RHYTHM INTERNATIONAL CYBER CAFE
should be aware of include, the rapidly falling cost of Internet access, and
emerging local competitors.  Rapidly falling cost of Internet access: The cost of
access to the Internet for home users is dropping rapidly. Internet access may
become so cheap and affordable that nobody will be willing to pay for access to it.
RHYTHM INTERNATIONAL CYBER CAFE is aware of this threat and will closely monitor
pricing.  Emerging local competitors: Currently, RHYTHM INTERNATIONAL CYBER CAFE
is enjoying a first-mover advantage in the local cyber-cafe market. However,
additional competitors are on the horizon, and we need to be prepared for their
entry into the market. Many of our programs will be designed to build customer
loyalty, and it is our hope that our quality service and up-scale ambiance won't be
easily duplicated
Management Summary Rhythm International Cyber Cafe is owned and operated by 4 of
us. The company, being small in nature, requires a simple organizational structure.
Implementation of this organizational form calls for the owner, to make all of the
major management decisions in addition to monitoring all other business activities.
Organization Structure These is the organization chart for 2 sites (Seremban 2 and
Nilai): Personal Plan The staff will consists of few fulltime staff in which some
of them will take care Seremban 2 branch and Nilai branch respectively. We act as a
technician as well. Financial Plan After having a discussion and survey about the
loans, we prefer to get loan from CIMB Bank. The interest rate will be counted as
follows:  1st year – 3.5% interest  2nd year – BLR – 1.0% interest  3rd year –
BLR + 0% interest  Thereafter – BLR + 0.6% interest For the first three years, we
concentrate to pay the bank loan and establish on our market. After three years,
when bank loan already done, the cyber café will upgrade in term of computer
specification, adding more computers for each site and finally renovate our two
premises to make our café looks more attractive. Summary of business Even the cyber
café business look easy to manage and bring a lot of profit, it seems difficult
because they have to be more sensitive to the computer & IT world. It needs a long
term planning and always {Subject Name} Page 7
[Type the document title]
sensitive to what customer look. It needs a person who acquires highly innovative
and up to date knowledge on its services. The person who runs a cyber café needs to
have a lot of courage & very high sense of initiative. Beside knowledge on IT
technology, the owner must be good in financial administration and business
strategies.

{Subject Name}

Page 8