SUBMITTED TO: SIR SHAHREYAR ALAM

SUBMITTED BY: HAFIZ ABDUR REHMAN F2018266320

HASEEB ALI F2018266352

DANYAL AHMAD F2018266339

FINAL PROJECT
BILL GATES

Entrepreneur and businessman Bill Gates and his business partner Paul Allen founded and built
the world's largest software business, Microsoft, through technological innovation, keen business
strategy and aggressive business tactics. In the process, Gates became one of the richest men in
the world.

One of the most prominent entrepreneurial techniques observed by bill gates is the authenticity
of his lean start up idea.

Lean startup plan

Idea

He found the perfect business idea, and he was ready to take the next step. There was more
to starting a business than just registering it with the state. he put together this simple guide
to starting his software business. 
Planning of the business

According to him a clear plan is essential for success as an entrepreneur. It will help you
map out the specifics of your business and discover some unknowns. A few important topics
to consider are:

 What are the startup and ongoing costs?

 Who is your target market?
 How long it will take you to break even?

Building the business (Analyzing cost)

He analyzed that your personal costs will be dependent on your location and the materials
you choose to use. Higher end materials, such as acetate or plating, will inherently cost
more to use in your production line. When it comes to your website, you’ll likely want to
invest in a professional design if you hope to attract those with higher incomes. A basic DIY
website may run you only a few hundred dollars a year (or less), but it may not be as
welcoming for your customers.

Determining the expenses

Software company’s owners can prepare their budgets based on the following:

 Raw material costs

 Retail space costs

 Salaries for employees

 Production space

 Manufacturer rates

Defining a target market

He was well aware of the fact that usually the people who buy software are those who are
devoted to computing skills and have a good deal of income.

Methods of making money

Bill gates was aware that software company make money by charging a profit margin on
each product sold in terms of their services and copyrights that is you have to buy a license.
The more popular and rare a particular product is, the higher the profit margin can go.

Charging customers

He was well aware the top software can be sold for Rs.400, 000 or more, though the average
product sells for between Rs.1000 and Rs.3000

Estimating Profits

Bill gates found that software famously has some of the best profit margins a business
owner could hope for. Linux famously makes about Rs.52 of profit for every rupee  spent on
their software and that’s including all of their marketing and royalty expenses. If you
operated at roughly the same profit margin, you'd only need to sell 1,000 products at
Rs.1500 to make Rs.7500, 000 in profit.

Making business more profitable

Bill gates knew that software owners may also consider designing their own hardware or
other high-end accessories to supplement their line. Be aware though that making your own
hardware requires state or local licenses.

Naming the brand

He made sure that choosing the right name is very important. Read our detailed guide
on how to name your business. We recommend checking if the business name you choose is
available as a web domain and securing it early so no one else can take it.

Forming the legal entity

He was aware of establishing a legal business entity such as an LLC prevents you from
being personally liable if your sunglasses line is sued.
Register for taxes

He was well aware that you will need to register for a variety of state and federal taxes
before you can open for business.

Open a business account

He knew that using dedicated business banking and credit accounts is essential for personal
asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car,
and other valuables) are at risk in the event your business is sued.

 This separates your personal assets from your company's assets, which is necessary
for personal asset protection.
 It also makes accounting and tax filing easier.

Get a business credit card

 This helps you separate personal and business expenses by putting your business'
expenses all in one place.
 It also builds your company's credit history, which can be useful to raise money and
investment later on.

Set up business accounting

He made sure that recording your various expenses and sources of income is critical to
understanding the financial performance of your business. Keeping accurate and detailed
accounts also greatly simplifies your annual tax filing.

Obtain necessary licenses and permits

He knew that failure to acquire necessary permits and licenses can result in hefty fines, or
even cause your business to be shut down.
Get insurance for your business

He knew that insurance is highly recommended for all business owners. If you hire
employees, workers compensation insurance may be a legal requirement in your state.
 Define your brand

Bill gates was well informed that your brand is what your company stands for, as well as
how your business is perceived by the public. A strong brand will help your business stand
out from competitors.

How to promote brands

He knew that you should be marketing your software line in a way that fits your brand and
speaks to your particular audience.

How to keep customers coming back

He knew that your software will first and foremost have to strike a nerve with the sense of
your audience. You'll also need to offer consistent and excellent customer service, as well as
quality product that last for years.

Establish a web presence

He established a business website allows customers to learn more about your company and
the products or services you offer. You can also use social media to attract new clients or
customers.
Moreover Bill gates had an extremely well defined canvas model. He knew since the very first
that he had to keep the things in order so that he could sustain in the market.
Customer Value Channels Customer Revenue Key activities Key resources Key partners Cost structure
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 E Commerce
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KONARD BILLETZ

When Konrad Billetz was looking for a manufacturing partner for his interchangeable eyewear
startup, he turned to Alibaba.com to search for factories. He hoped he’d find one that would help
him make glasses with lenses that would pop in and out, allowing customers to snap a single pair
of lenses into any number of frames. But he got refused but after that she became the famous
owner of an eye wear known as Frameri.

He used the feasibility analysis technique in order to turn his business into a re known brand.

Feasibility study

Business plan is a written document to accomplish a business idea and design strategy to achieve
the goal. For developing a business plan company should analyze the industry, analyze the
market, develop economics of business, design marketing plan, analyse management team &
company structure and finally make the financial projections.

Feasibility analysis is related with determining the viability of a business unit and it is a
preliminary business evaluation whether the idea is worth pursuing. Proper time for feasibility
analysis is the early in thinking. There are four areas of feasibility analysis. Such as
Product or service feasibility analysis

As the produced product is high quality, it has a competitive advantage. Consumers are excited
to avail and eagerly waiting to use the sunglasses. Though it has to compete with the world
renowned sunglasses brand like PRAD and Oakley it has a great desirability to the customers.
Moreover company is going to introduce the product by focusing the young generation of
Worldwide. In recent times per capita income is growing and economy growth rate is 1.5% as it
already reaches the maximum. Demand for sunglasses is ever increasing in Worldwide market.
Because of rapid technological advances the world is getting closer. Besides a number of factors
plays vital role in globalizing the business. Technology, political, market, cost, competitive
forces has impact on the business globalization. As the globalization of business increase the
demand for sunglasses also increase. Though it has to face competition, it can capture the market
due to high quality.

Industry or target market analysis

Industry or target market analysis is related with the evaluation of the overall industry or the
target portion of the market. Industry analysis is related with similar company and target market
is related with specific group of customers. For analyzing the industry or target market
globalization strategy is very essential. As the company is going to launch the sunglasses outside
the country then the global business issue is very essential. This company can lead the global
sunglasses market. As the product quality is high then it is easy to access to foreign market.
There are many international business strategy are available. Such as global strategy which is
related with standard product, economics of scale, cross cultural learning. The company will go
for global strategy to capture the market. Besides, sunglasses industry is very promising industry
in the European country as it has become the necessary daily commodity. In this feasibility study
of the company the target market is the young generation of the Worldwide. Then it has to focus
on the other segment. For leading the market if will follow the global strategy. Besides this
strategy, there several international or global business strategy are international strategy which is
related with export import, transitional strategy relating to sharing material, people, idea and
multi domestic strategy which is related with implementing one single model globally such as
Heinz brand. As we will produce the high quality sunglasses we will uses global strategy to
capture the target industry.

Organizational feasibility

Organizational feasibility is related with the business capability to run the business unit
successfully. As the company is already producing high quality product the company has the
organizational capability to run the business unit successfully. This is related with management
prowess and resource sufficiency. The company has expertise management body to run and
capture the market. Besides the company has enough resource to produce the quality sunglasses.
Management prowess and resource sufficiency makes the sunglasses to competitively
advantageous position. Besides, this company has sufficient online selling and marketing expert
and equipment.

Financial feasibility

Financial projection is done by the company management. Company has estimated all the
relevant cost associated with the producing and marketing to reach the target customers. For
financial projection company has made some assumption. Besides this, it measures the total start
up cash needed and similar business expense. For simplicity company is assuming unchanged
sales unit and all the transaction are carried out in the year end and there would be no carry over.

Industry and competitor analysis

Porters five forces model is designed to address the profitability probability of the company.
How much the company is vulnerable to the future scenario? By this analysis company strength
and weakness can be easily be understood. There is several factors influence on the industry
attractiveness or profitability such as:

Threat of new entrants: Threat of new entrance in sunglass industry is moderate. For that reason
the company gets extra benefits. As sunglass industry is a mature industry and it requires
medium initial investment, it discourage to entry new company. Here the company produces a
high quality sunglass which is much differentiated. So, the new entry threat is comparatively
low. Besides, there are no barriers to entry by the government.

Rivalry among competitor: Rivalry among competitor is high as all the company is producing
high quality sunglass. Besides, the number of sunglass producer is high. Rivalry among industry
is a great detrimental to the industry profitability. To avoid this competitions company has
chosen worldwide country and the target group of customers are young generation. Strength of
the company is the target market economy is upward trend.
Threat of substitute product: The threat of substitute is low in the sunglass industry as there is no
substitute product in the market to replace the sunglass. As there is no substitute product in the
near future the attractiveness of the company is high. But a concern is that there may have
invented substitute product which will reduces the profitability.

Bargaining power of supplier: Bargaining power of suppliers is medium as there is the company
can purchase raw materials to many sources. The raw materials to produce sunglass are different
silicon powder and metal substance. These materials are available in the market. Besides, the
company purchases raw materials from diverse group of suppliers. So the bargaining power of
suppliers is low means high attractiveness of industry.

Bargaining power of customers: As the company need to compete with the renowned brand like
Prada and Oakley customers has the competitive advantage. Besides there many renowned brand
available in the Worldwide. Customers can purchase sunglasses any of them. Moreover,
customers of Worldwide are quite informing about the market. So, the bargaining power of
customers is medium meaning that profitability is comparatively competitive.
ASHOK JHUNJHUNWALA
Ashok Jhunjhunwala, faculty in-charge for the Centre for Battery Engineering and Electric
Vehicles at IIT Madras, made an electric based car and he believes the cost of developing a
battery pack is on its way down as better cells with more power get off the block. He says prices
will drop to $150 per unit from $200 per unit in two-three years.
The state, an established automotive hub with large multinationals including Ford Motor and
Nissan Motor, recently launched an EV policy that offered incentives not dissimilar to ones put
out by other states. It has lowered eligibility limits for the industry to get capital subsidies and
put on the table the land in its southern districts at steep discounts for manufacturers to set up EV
plants. In the process, it is trying to net a legion of young startups.
He managed to do so by using the techniques of growth strategies, mergers and ex mergers along
with franchising.

He knew that external growth, mergers, acquisitions along with franchising and growth strategies
are his way to success.

External Growth

External growth strategies (or inorganic development) are about growing production or market
scope with the aid of resources and skills that are not established internally by the organization
itself. Instead, these services are acquired by merging / acquiring or collaboration with other
businesses. Therefore, external growth plans can be split into M&A (Mergers and Acquisitions)
and into strategic alliance.

Mergers and Acquisitions

Extension of business: M&A can be used to broaden a company's reach in terms of geography,
products or market coverage.

Consolidation: M&A can be used to bring together two competitors in order to increase market
power by reducing competition; to increase efficiency by reducing overcapacity or sharing
resources, for example headquarters or distribution channels; and to increase efficiency in
production.

Capacity building: M&A can increase the capabilities of business. For example, rather than
researching a new technology from scratch, acquirers can wait for entrepreneurs to prove an idea
and then take them over to incorporate the technological capability into their own portfolio.

Speed: M&A allows acquirers to move quickly and this can be an asset in itself, wrong-footing
competition and shifting the shape of the market quicker than rivals can respond.

Financial efficiency: This can encourage a firm with a strong balance sheet to combine with
another company with a weak balance sheet, enabling the latter to save on interest payments
using the stronger company’s assets to pay off its debt.

Tax efficiency: For example, income or tax losses, subject to legal limitations, can be
transferable within the merged business to benefit from different tax regimes between sectors or
countries.

Asset stripping or unbundling: Some companies are successful at identifying other companies
whose underlying assets are worth more than the company's entire price. It allows purchasing
these businesses and then easily selling (unbundle) separate business units to different customers
for a total price that is considerably higher than what was initially charged for the whole. While
this is often rejected as pure opportunistic profit-making (asset stripping), if the business units
find better corporate parents through this unbundling process, then there can be effective gain in
economic growth.

Mergers and acquisitions put the businesses together by full ownership shifts. However,
businesses can also share resources and activities without sharing in the ownership of the parent
corporations to follow a shared strategy. Two major forms of strategic partnership exist: equity
and non-equity alliances.

Equity partnerships include the formation of a new company held separately by the participating
parties. The most popular type of equity partnership is the joint venture, in which two companies
remain independent but create a new company that is jointly owned by parents. Alliances with
several partners may also be formed, and these are called a consortium alliance.

Typically, non-equity partnerships are looser, and do not include the ownership obligations.
Non-equity partnerships are also contractual-based. One common form of contractual alliance is
franchising, where one company (the franchisor) gives another company (the franchisor) the
right to sell the franchisor's products or services at a particular location in return for a fee or
royalty.

Licensing is a similar form of contractual agreement which allows partners to use intellectual
property in return for a fee, such as patents or trademarks. Other type of loose non-equity
partnership, common in automotive supply, is long-term subcontracting agreements.

GROWTH STRATEGY

Growing up a business is the process of enhancing a certain indicator of the performance of a

product. A company can expand in terms of its staff, customer base, foreign reach, income, but
sales growth is most often calculated. There are various ways to expand an enterprise. Igor
Ansoff identified four growth strategies, and summed them up in the Ansoff Matrix. The Ansoff
Matrix (also known as the Product / Market Expansion Grid) enables managers to easily
summarize and compare these possible growth approaches to the risks associated with each. The
theory is that risks increase every time you step into a new quadrant (horizontally or vertically).
The four strategies are those of:

Market penetration: marketing more of the new company's goods to established customers. To
enter the current market and expand the consumer base, a company should reduce costs,
strengthen its distribution network, spend more in marketing and increase internal production
capacity.

Business Development: marketing more of established business goods to new customers. This
strategy is about meeting new segments of consumers or spreading globally by targeting new
geographical areas.

Brand Development: creating and selling new goods to established clients Brand creation
involves making certain improvements to existing products to add value to consumers for
purchasing or designing and releasing new products alongside the current offering of a business.

Diversification: reach new markets with new goods that are either related to the current offering
of a business or entirely unrelated to that. Diversification can in effect be divided into three types
of strategies for diversification:

Concentric / Horizontal diversification (or similar diversification): to reach a new market with
a new product somewhat connected to the current product offering of a business.

IDENTIFYING DETERMINANTS

Worldwide automobile demand is tied to vehicle prices, per capita disposable income, fuel
prices and product innovation. On the supply end, vehicle prices stem from material and
equipment costs, with higher steel and plastic prices raising manufacturers' purchasing costs
and, ultimately, retail prices. During the past five years, automakers have been plagued with
high steel and plastics prices, which have raised manufacturing costs and product prices. On
the demand side, per capita disposable incomes determine affordability for consumers. As
incomes increase, the propensity to purchase motor vehicles increases as they become more
affordable. Incentives are used to generate sales during periods of low economic growth. Over
the past five years, there has been a significant increase in the number of automobile financing
companies being established in the BRICs. This has resulted in the number and range of
automobile loans increasing, which has contributed to stronger industry demand. In the
developed world, overall improved quality among most manufacturers has caused buyers to
feel freer to use price to differentiate similar products. Consumers are increasingly better
informed about a vehicle's actual cost and less likely to accept large annual price increases. In
an era of low inflation, customers familiar with dealer cost information from consumer
publications and the internet have become more astute when negotiating the purchase of a
vehicle. In this way, consumer awareness and access to information can determine demand.
Movements in fuel prices also generally influence the demand for vehicles by type. During
periods of high fuel prices, more fuel-efficient vehicles are in demand. Over the past five
years, the price of fuel has been rising, which has encouraged the adoption of hybrid and other
fuel-efficient models. For example, Japanese carmakers offering more fuel-efficient vehicles
took market share from manufacturers of large vehicles throughout the latter half of the past
decade. Last, product innovation can spur demand, especially with regard to more fuel-
efficient vehicles such as hybrids and electric models. The more fuel-efficient a model is, the
more likely a consumer will be willing to invest up front in a new car for potential savings on
fuel costs down the road.

Other than these entrepreneurial techniques an entrepreneur should adapt following traits in order
to be successful in this market.

ANATOMY OF A SUCCESSFUL ENTREPRENEUR

Owning your own business gives you a sense of freedom and empowerment. You can
build things and watch them grow. Entrepreneurs make decisions for them, realize their
creative visions, and develop lasting relationships with other entrepreneurs, customers,
and vendors. It’s a great way to live. That’s why I’ve founded so many companies I can’t
get enough. That’s why I’ve put together these tips to help you to become more
successful.

KEY FACTORS FOR A SUCCESSFUL BUSINESS

Following are to be observed when you are seeking a successful and a long run business.

CHALLENGE YOURSLEF

If you want to be a successful entrepreneur, you have to challenge yourself. No one else is
going to push you, so it’s up to you to do it. Challenges keep entrepreneurs nimble and on
their toes. If you’re constantly looking for the next challenge, you’ll always be prepared
for what comes your way.
BE PASSIONATE

If you don’t love what you do, don’t do it. I truly believe it’s as simple as that. As an
entrepreneur, you’re going to have to put in long hours and make sacrifices for your
business. When you’re passionate about what you do, putting in the long hours won’t feel
like a sacrifice anymore. If you’re not passionate about what you do, you’re not going to
have the motivation to keep going when you’re stressed and tired.
TAKE RISKS

Successful entrepreneurs also know which risks taking and which they shouldn’t. Learn to
recognize the risks that will benefit your business and take them.

Taking risks has a dangerous side, but the opportunities they present often far outweigh
the potential dangers. Learn how to identify which risks are worth taking and you’ll learn
how to be a successful entrepreneur .

TRUST YOURSELF

If you don’t believe in yourself, who will? Being a successful entrepreneur means that
you’ve learned to listen to your intuition and rely on your wisdom when making decisions.
Your ability to trust and believe in yourself will show your confidence. People are more
likely to follow and trust confident leaders. Trusting in your own skills will also take some
of the pain of uncertainty out of being an entrepreneur. When you feel uncertain,
remember how much experience and knowledge you have. Most entrepreneurs start their
business after years of experience working for someone else.

REDUCE FEAR

Fear stops action. Entrepreneurs have to be able to pivot and quickly take action when
they see an opportunity or recognize a mistake. With fear riding on your shoulder, you
won’t be a successful entrepreneur. As an entrepreneur, if you let fear be your guide, you
won’t be able to listen to your intuition, you’ll be afraid to take the necessary risks, and
your judgment will be clouded by emotion. Find ways to reduce and manage your fear and
you’ll be a much more successful entrepreneur.

VISUALIZE GOALS

When I recommend that entrepreneurs visualize their goals, I don’t intend for them to
close their eyes and see the goal in front of them.

What I want you to do to visualize your goal is to define it so clearly that it’s real and
tangible.
For example, which of these is a more accomplishable?

1. I want to become a successful entrepreneur.

2. I will become a successful entrepreneur by starting a business that solves a problem
for this specific niche of my audience.

MAKE PARTNERSHIPS

I’ll admit that this one might be a little bit obvious.

Successful entrepreneurs aren’t successful within a vacuum. We all have a great team and
support network behind us. And when I recommend hiring great partners, I don’t just
mean someone who can do the job you’re hiring them for. I want you to hire partners who
have great character and whom you like and respect.