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SUBJECT: 561 – ENTREPRENEURSHIP

SUBMITTED TO:
SIR HAIDER IQBAL

SUBMITTED BY:
Seat No Name Gender Father Name
EP 21551006 AMMAR BIN SHOAIB S/O SHOAIB NABI KHAN
EP 21551073 SYED ASAD AHMAD NAQVI S/O SYED HASAN ASKARI NAQVI
EP 21551022 MOHSIN JAVAID S/O JAVAID SULTAN
EP 21551082 UMAR MUMTAZ S/O MUMTAZ AHMED
ACKNOWLEDGEMENT

We express our thanks to our dear course teacher Sir Haider Iqbal for assigning us a report dealing
with Entrepreneurship. In this regard, we would also like to thank ourselves as our good
teamwork and successful team spirit. Without cooperation and the support from each other, it
would not be possible to prepare such a resourceful report.

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Economists have never had a consistent definition of "entrepreneur" or "entrepreneurship" (the
word "entrepreneur" comes from the French verb entreprendre, meaning "to undertake"). Though
the concept of an entrepreneur existed and was known for centuries, the classical and neoclassical
economists left entrepreneurs out of their formal models: They assumed that perfect information
would be known to fully rational actors, leaving no room for risk-taking or discovery. It wasn't
until the middle of the 20th century that economists seriously attempted to incorporate
entrepreneurship into their models. Three thinkers were central to the inclusion of entrepreneurs:
Joseph Schumpeter, Frank Knight, and Israel Kirzner. Schumpeter suggested that entrepreneurs—
not just companies—were responsible for the creation of new things in the search for profit.
Knight focused on entrepreneurs as the bearers of uncertainty and believed they were responsible
for risk premiums in financial markets. Kirzner thought of entrepreneurship as a process that led
to the discovery.

REF: https://www.investopedia.com/terms/e/entrepreneur.asp

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TABLE OF CONTENTS

CONCEPT 5
Opportunity Identification 6
Research 6
Keys to Success 6
Intellectual Property 7

INTRODUCTION OF BUSINESS 11
Name of the Business 11
Category of the Business 11
Business Office Address 11
Background of the Entrepreneurs 12

SWOT ANALYSIS 13
Strengths 13
Weaknesses 14
Opportunities 14
Threats 15

PESTEL ANALYSIS 16
Political factors in the pestel framework 16
Economic factors in the pestel framework 17
Social factors in the pestel framework 17
Technological factors in the pestel framework 18
Environmental factors in the pestel framework 18
Legal factors in the pestel framework 19

PRODUCTION PLAN 20
Manufacturing process 20
Material and equipments 22
Experimental study 23
List of equipments use 23
Experimental study 24
Evaluations 26
Result and discussion 30
Conclusion 40

OPERATIONAL PLAN 42
Distribution plan: 42
Marketing: 43
Targeted audience 44

ORGANIZATION PLAN 46
Partnership agreement 46
Recitals 46
Article 46
Signing authority and control 54
Management team or organizational chart 55
Responsibilities of management 55
Assessment of risk 58

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CONCEPT

“MAAUDRY” Water Free Hair wash:


After so many research and development by our company we are now introducing the complete new product to the
market “MAAUDRY”.

What is MAAUDRY?

It is rinses free/water free shampoo a complete time saver, which can be used for various reasons like while
travelling, Medical purposes, color treated hairs etc. it can absorb the oil from hair and add real odor and freshness
on it.
Attributes, Specification and Key Features of MAAUDRY:
We are offering a good quality product which can clean your hairs without rinsing and kills germs as well. This
product is 100% pure and also approved by the Ministry of Health

It comes with variety of flavors and odor as well, its design is just simple which is easy to carry reliable and safe
Packaging

As far as price is concerned we are offering in the pack size of 120 ml at Rs. 200/- per piece

The main reason of this product is to make hair wash easy and also to save water along with perfect time savings.

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OPPORTUNITY IDENTIFICAITON:

Our product is Incremental Innovated but we can say that this product is completely new to the market as some are
also offering rinse free shampoos but in our product we are offering in variety of flavors and odors which is not
available in the market

Mainly this product is innovated by NASA for their space programs and we are introducing it to the general public
by adding different odors and germ killing agents.

RESEARCH & DEVELOPMENT:

Our research started with so various products and finally we have come to the point to make a water free hair wash
because, as you know the current situation time is passing very fast and people are very busy now a days and as
hairs are the first thing which appears and need to be looks fresh every single day.

First we started with the formula combination making of our product as it is the very important part of our product.
Some are selling it with various conditioning chemicals which may cause hair damage and inappropriate for hairs
after it becomes dry after wash

So for that we come up with better formula which can evaporate all kind of chemicals from hair after dry and also
gives the best effect of cleanness and odor.

At the final phase we tested our product on real and fiber hairs too and also approach the health ministry for further
confirmation of our best formula.

KEY TO SUCCESS:

1. Time Saving: MAAUDRY is really a perfect time saver hairwash as you just have to apply it and comb your
hair the gel will automatically dry and give you the best new freshness and odor on hairs.
2. Eco-Friendly: our product is a best example of Eco-Friendly environment as it can save a large amount of
water daily
3. Suitable for Patients: There are large amount of persons who are suffering from various diseases in which
they cannot wash their hairs by using water so our product will fulfill their need without any problem
4. Easy to Use: Our product is easy to use anywhere anytime without any hurdle

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INTELLECTUAL PROPERTIES

TRADEMARKS

A Trademark is a word, phrase, symbol, and/or design that identifies and distinguishes the source of the goods of
one party from those of others. A service mark is a word, phrase, symbol, and / or design that identifies and
distinguishes the source of a service rather than goods.

The requirements for filling of Trademarks are as follows.

Trademark Classification

The trademark of our business is classified under goods business listed at number 3 in the trademark classification
provided by Intellectual Property Organization of Pakistan.

Category of the business

Our business will lie under consumer goods specifically to chemical or cosmetic product.

Business Name

“MAAUDRY ENTERPRISES”

Details of the business

The business will be run under Partnership Act having 4 equal partners. All the rights, duties, responsibilities and
liabilities of partner will be explained in mutually agreed upon partnership deed. The business will manage its head
office and manufacturing site at two different places.

Logo/ Trademarks Details

The details which are provided at website for trademark design; there is flexibility for choosing the trademark
design. Our business trademark is the combination of both categories design mark and the word mark.

Proposition Date

As per the criteria of trademark registration, our trademark will have a proposed date for its use as it is never used
in any business yet so the date is yet to be finalized for registration.

Logo Name

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Logo name is selected on the basis of our business name i.e., MAAUDRY ENTERPRISES. The name can be
breakdown in the two parts. First is MAAU which is actually the abbreviation of all business partners first name
letter. We used the word Dry having in the context to our product specification which is a water free product.

Logo Description

The design mark of logo representing the gender of our product’s targeted market. The logo showing a lady in the
middle of the square shape image having washed long hairs and the second part consist of business name.

Color Claim

We have selected Purplish theme for our logo having the context behind that this bright color is often attracted and
liked by female mostly.

PATENTS
A patent is grant of exclusive rights for an invention to make, use and sell the invention for a limited period of 20
years. The patent grant excludes others from making, using, or selling the invention. Patent protection does not start
until the actual grant of a patent

A patent owner has the right to decide who may or may not use the patented invention for the period in which the
invention is protected. The patent owner may give permission, or license, to other parties to use the invention on
mutually agreed terms. The owner may also sell the right to the invention to someone else, who will then become
the new owner of the patent. Once a patent expires, the protection ends and invention enters the public domain, that
is, the owner no longer holds exclusive right to the invention which becomes available to commercial exploitation
by others.

Patentable Inventions in Pakistan

In order to be patentable an invention should have the following characteristics:

 The invention should be process or product


 The invention should be novel or new
 It involves an inventive step
 It is capable of industrial application

Patent applications are examined under the Patents Ordinance, 2000 and Rules there under for both technical and
legal merits.

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Guidelines for filing Patent Application in Pakistan

Title of Invention

Incremental Invention

Abstract

After the thorough research and assessing the society need, we made this level of invention. The following points
we cover in abstract.

The current issue of water scarcity what the society facing today. So having view in our minds we made this
product for especially those areas where the availability of water merely impossible or if it is available it’s not the
sweet water or it might be full of minerals which is very harmful for hair growth. Furthermore, we target those
people who do not enough time to get themselves ready like working women who always have in rush to get to
their jobs. In this case they must look prepare every day because hairs are most important feature in the women
beauty. If they do not take care of their hair surely they might have lost their beauty.

Field of the invention

Invention related to the field of cosmetic or hair care. More specifically it’s a customization or upgradation in the
hair care/ hair shampoo.

Description

For inventing such product, we keep in view all aspects. The product is capable of industrial application. It can be
manufacture in the industry with right amount chemical composition. The invention will be a boost in the present
era as it wills another great aspect of time saving and ease to use. Moreover, it will be available in both categories
such as organic and inorganic because nowadays the consumer is more conscious and aware about this aspect as
well.

Claims

We claim that this product invention is incremental having its ingredients import only for the making of this
shampoo. We are primarily getting approval to manufacture this unique product in the country.

COPYRIGHTS

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Copyright is a legal instrument that provides the creator of a work of art or literature, or a work that conveys
information or ideas, the right to control how the work is used. The intent of copyright is to advance the progress of
knowledge by giving an author of a work an economic incentive to create new works.

Artistic works

Our business name and logo art works are subject to copyrights under the British Copyright Ordinance 1962
applicable in Pakistan. Any illegal use of the both of our intangible properties without prior permission may leads
to legal consequences and can be sued for it.

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INTRODUCTION OF BUSINESS

NAME OF THE BUSINESS

“MAAUDRY ENTERPRISES”

CATEGORY OF THE BUSINESS

Consumer/ household Product, Hair Care – Chemicals

BUSINESS ADDRESS

HEAD OFFICE: 6th Floor, Universal Trade Building, I.I Chandigarh Road, Karachi

FACTORY ADRESS: Plot no C-12 North Karachi Industrial Area, Karachi Pakistan

BACKGROUND OF THE ENTREPRENEURS

Ammar Bin Shoaib

Commerce graduate from University of Karachi. Currently enrolled in M. Com program 2021. He is currently
working as an admin officer in Utopia Industries. His ambition to be a professional in Marketing field.

Syed Asad Ahmed Naqvi

Student of M. Com evening program batch 2021.Completed B. Com from Nazeer Hussain University, Karachi.
Working as an Assistant Production Planning and control Manager in keystone enterprises pvt ltd. Ambition to be a
good professional of his field.

Mohsin Javaid

Student of M. Com evening program batch 2021.Completed B. Com from University of Karachi. Working as an
Assistant Internal Auditor in Dreamworld Resort Hotel & Golf course. Ambition to be a good professional of his
field. Have some previous background of the retail business.

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Umar Mumtaz

Enrolled in M. Com batch 2021 having B. Com degree. Also enrolled in other certification as well. Finance
Executive in Dreamworld Resort Hotel & Golf course. A very experienced professional and good influencer having
impressive command on his work.

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SWOT ANALYSIS FOR OUR PRODUCT:

STRENGTHS:

Dry shampoo is the best solution for a quick hair refresh. When you need to be are running late, need to go
somewhere after the gym, or simply have naturally oily hair, dry shampoo is the ideal way to revive your hairstyle
without having to shower every day. Whether you’re an avid dry shampoo user or have never used it before, make
the most out of your second-day hair look by learning about 5 advantages of dry shampoo.

1. It Eliminates Grease: The main and probably most well-known advantage of dry shampoo is
that it gets rid of grease so your hair looks fresh and clean even when it’s been a couple days
since you washed your hair.
2. It Prevents Damage: Natural oils are good for your hair so when you are constantly stripping
those oils with shampoo and blow dryers, your hair dries out which leads to splitting and
damage. With dry shampoo though, you can embrace the natural oils and wait longer to
shampoo and blow dry your hair– making it healthier in the long run.

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3. It Creates Volume: Grease weighs down hair, which results in flatness. However, once you get
a bit of dry shampoo on those roots, your hair instantly transforms from dull and flat to renewed
and voluminous.
4. It Saves Times & Water: Dry shampoo is the most convenient option when you are running late
and don’t have time to shower. Instead of going through the process of showering, shampooing,
conditioning, and blow drying your hair, all you need to do is spend a few seconds to spray
your roots and you are good to start styling (or opt out for the natural look) without looking and
feeling like a grease ball.
5. It’s Affordable: The many benefits of dry shampoo definitely outweigh the cost. This is because
there are several different brands of quality dry shampoo that will revamp your hair for about
$10 a pop. With the numerous other advantages of dry shampoo, this one makes it just that
much better.

WEAKNESSES:

 Using dry shampoos too abundantly or frequently can lead to an accumulation of residue that can give your
hair a coarse texture.

 Overuse can also dry the hair by preventing natural oils from hydrating the hair, which can make it more
brittle. 

 Dry shampoo residue can block the pores of the scalp, which can cause inflammation or breakouts.

 The residue can also become a perfect breeding ground for the formation of dandruff.

 If scented, the fragrance may irritate certain scalps.

OPPORTUNITIES:

 Market growth. The hair-care market has been growing rapidly within the last five years, Therefore,
with the growth of the market volume of the product, this represents pleasant conditions for
expansion.
 Increased perception of active lifestyle and self-attractiveness. The target audience of this dry
shampoo mainly consists of 18 to 30 aged women and teenagers, who belong to the middle-class, live
in the urban areas, care about their attractiveness and, most importantly, use an active lifestyle.
Current trend for doing sports (with all the sports-facilities booming in Russia), expanded

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opportunities for frequent travelling and a growing tradition of going out periodically contributes to
the growth of the perceived target audience.
 Sophistication of hair-care.  The recent year the consumer’s expectations for hair-care products have
changed in a way that more and more daily operations with the hair are perceived as necessary for a
good-looking style. This results in a tendency of purchasing more professional-based hair-care
products, including not only traditional shampoos and conditioners, but also complementary products,
among which a dry shampoo might play a role.

 THREATS:

 Economic slowdown. The forecast for the future years predicts a considerable stagnation of economy
in themarket, which would mean the slowed down development of hair-care products and
unwillingness to pay more for high value-added products. While consumers will keep purchasing
traditional shampoos and conditioners, they may be hesitant to newer and expensive options.
 Localized manufacturing. The trend of establishing production facilities of cosmetics-related products
is in place, and that would mean that some competitors would have a chance to significantly lower
production costs and dominate the market with the low-cost strategic pricing options. Besides, local
production would allow reacting faster to the customer’s demand. If the researched company would
like to keep with the trend, additional heavy investments would be needed.
 Competitor’s reaction. There is always a threat that the technology for producing a dry shampoo can
be copied or even improved after a proper research by the R&D department of competitive firms,
which would lead to loosing the innovative approach and possibly involve company into destructive
price-wars.

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PESTEL ANALYSIS

A PESTEL analysis is a tool or framework for marketers. You can use it if you are seeking to analyze and screen
the external marketing environment of your company. The strategic management tool gauges macro-
environmental factors. The results make decision-making much easier.

Different macro-environmental factors can affect business strategies. So, it is vital to follow the PESTEL
framework. The aim is to assess how exactly the factors influence business performance.

You can judge 6 types of environmental influences in the PESTEL framework. They are political, economic,
social, technological, environmental, and legal. You should not see these factors as independent factors. They
are all interdependent. For example, technological advances can affect the economy in different markets.

The 6 factors I mentioned above make up the acronym PESTEL. Each letter represents one factor. It is often
called PESTLE. You may these factors using other tests too. PEST, STEEP, and STEEPLE are similar analyses.
Some other variations are STEPJE, STEP, and LEPEST. Managers can choose any, based on the nature of the
firm and the factors they wish to study.

POLITICAL FACTORS IN THE PESTEL FRAMEWORK:


Politics plays an important role in business. This is because there is a balance between systems of control and
free markets. As global economics supersedes domestic economies, companies must consider
numerous opportunities and threats before expanding into new regions. It also applies to firms identifying
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optimal areas for production or sales. Political factors may even help determine the location of corporate
headquarters.
Some of the political factors you need to watch are:

 Tax policies
 Stability of government
 Entry mode regulations
 Social policies (e.g. social welfare etc.)
 Trade regulations (e.g. the EU & NAFTA)

ECONOMIC FACTORS IN THE PESTEL FRAMEWORK:


Economic factors are metrics that measure the health of any economic region. The economic state will change a
lot of times during the firm’s lifetime. You have to compare the current levels of inflation, unemployment,
economic growth, and international trade. This way, you can carry out your strategic plan better.

Some examples of economic factors you can judge are:

 Disposable income of buyers


 Credit accessibility
 Unemployment rates
 Interest rates
 Inflation

SOCIAL FACTORS IN THE PESTEL FRAMEWORK


Social factors assess the mentality of individuals or consumers in a given market. These are also known as
demographic factors. Social indicators like exchange rates, GDP, and inflation are critical to management. They
can tell when it is a good time to borrow. These factors help find out how an economy might react to certain
changes.
The following are some social factors to focus on:

 Population demographics: (e.g. aging population)


 Distribution of Wealth
 Changes in lifestyles and trends
 Educational levels

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TECHNOLOGICAL FACTORS IN THE PESTEL FRAMEWORK
This step entails recognizing the potential technologies that are available. Technological advancements can
optimize internal efficiency and help a product or service from becoming technologically obsolete. The role of
technology in business is increasing each year. This trend will continue because R&D drives new innovations.

Recognizing evolving technologies to optimize internal efficiency is a great asset in management. But, there are
few threats. Disruptive innovations affect business. The best strategy is to adapt according to the changes. Your
strategies should sidestep threats and embrace opportunities.
This is a large challenge for management. Below is a list of common technological factors:

 New discoveries and innovations


 Rate of technological advances and innovations
 Rate of technological obsolescence
 New technological platforms

ENVIRONMENTAL FACTORS IN THE PESTEL FRAMEWORK


Both consumers and governments penalize firms for having an adverse effect on the environment. Governments
levy huge fines upon companies for polluting. Companies are also rewarded for having a positive impact on the
environment. The consumers are willing to switch brands if they find a business is ignoring its environmental
duties.

The impact on the environment is a rising concern. Note that the environment benefits the company too.

Few common environmental factors are:

 Waste disposal laws


 Environmental protection laws
 Energy consumption regulation
 Popular attitude towards the environment

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LEGAL FACTORS IN THE PESTEL FRAMEWORK
This step involves learning about the laws and regulations in your region. It is critical for avoiding unnecessary
legal costs.

This is the last factor in the PESTEL framework. These factors overview the legal elements. Often, start-ups link
these elements to the political framework. Many legal issues can affect a company that does not act responsibly.
This step helps to avoid legal pitfalls. You should always remain within the confines of established regulations.

Common legal factors that companies focus on include:

 Employment regulations
 Competitive regulations
 Health and safety regulations
 Product regulations
 Antitrust laws
 Patent infringements
It is common to conduct a PESTEL analysis before serious decisions. Managers might conduct it before any
large projects are undertaken. Understanding all the influencing factors is the first step to addressing them.

Remember, there are many factors other than these which can have an effect on business success.  The
evaluation is a one-to-one process. Each company should do it for themselves and find the key drivers of
change. You must identify the factors which have strategic and competitive consequences.

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PRODUCTION PLAN
MANUFACTURING PROCESS

INTRODUCTION
Hair is simple in structure, but has important functions in social functioning. Hair is made of a tough protein
called keratin. A hair follicle anchors each hair into the skin. The hair bulb forms the base of the hair follicle.
In the hair bulb, living cells divide and grow to build the hair shaft. Blood vessels nourish the cells in the hair
bulb, and deliver hormones that modify hair growth and structure at different times of life.
Washing the hair and scalp has become a near-universal practice. The method of doing so varies depending on
both geographic and economic factors.
Shampoos assumed importance as a product category with the advent of synthetic detergents. These were
developed in the l9303. Became widely used in laundry markets by the mid-l940s and appeared in a shampoo
format during the l9503.
Shampoos are probably the most widely used hair products today; based on synthetic detergents they are
relatively insensitive to water hardness.
Thus, allowing for the efficient rinsing since there are no scum residues. In the early days a shampoo could be
defined as an effective cleansing agent for hair and scalp but today the shampoo must do much more. It must
leave the hair easy to comb, lustrous and controllable whilst being convenient and easy tousle.
Sulphates, essentially, are what make shampoos turn into a thick lather in the shower. This ingredient, which
is standard for most of the shampoo products, has additionally come under attack for causing frizziness
(especially in curly hair) and damaging colored hair. After dying your hair or receiving a chemical treatment
(such as a Keratin or Brazilian blowout), Salons will often recommend asulphate-free shampoo and
conditioner to maintain thestyle.

A. Herbal Shampoo is used to make out hair Healthy, Shining, Soft Black andStrong
1) AMLA: To make the hair strong and Black.
2) REETHA: To cleaning the hair.
3) SHIKAKAI: To makes the hairsoft.
4) BRAHMI: To coolness.
5) LEAVES OF NEEM: To make the hair healthy.
6) ACID SLURRY: For Cleansing.
7) OTHERS LIKE: Perfume and colour.
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B. Advantages
1) Daily usable shampoo.
2) Powerful anti-dandruff agent.
3) Prevents hair loss and revitalizes hair roots.
4) The gentle cleansing action and perfect pH balance makes hair soft and shiny.
5) An effective hair nourished which acts as a tonic for hair growth.
6) Stops split ends.
7) Avoids headache.
8) A good hair conditioner & acts as a detangle.

C. Requirements of shampoo
1) To remove sebum (the secretion of the sebaceous glands) and atmospheric pollutants from the hair and scalp.
2) To remove the residues of previously applied hair treatments. e.g. polymeric constituents from styling lotions
and hair sprays.
3) To deliver an optimum level of foam to satisfy the expectation of the user.
4) To leave the hair in a satisfactory condition after rinsing so that it can be combed easily both in the wet and
dry state.
5) To perform as a vehicle for the deposition of beneficial materials onto the hair and scalp.
6) To be non-toxic and non-irritating to the hair and the scalp.
7) To be non-damaging to the tissues of the eye if inadvertently splashed

D. Classification of Shampoo
Shampoos are usually classified according to function, e.g. antidandruff, Medicated, 2-in-l Shampoo, Mild
baby shampoo, Basic beauty shampoo, Premium conditioning shampoo.

E. The Action Of Shampoo On The Hair


The original prime purpose of the shampoo is to cleanse the hair. The underlying science has been reported by
Lawrence and by Breuer, who recognized three basic components of Hair Soil:
l. Sebum the oily secretion of the sebaceous glands.
2. Protein matter arising from the cell debris of the stratum corium layers of the scalp and the protein content of
sweat.

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3. Atmospheric pollutants and residues from other hair-care products.

MATERIAL ANDEQUIPMENTS

Table 1: Materials required and Suppliers


Sr.No. Ingredients Company Supplier
1 De-ionized water
2 Alkyl Polyglucosides Blend Spe-chem Industry
3 Glycerin Godrej Industry
4 Coco-glycoside Galaxy Surfactant Limited
5 Glyceryloleate Galaxy Surfactant Limited
Methyl Paraben
6 Alta Laboratory ltd
7 Propyl Paraben Alta Laboratory ltd
8 Cetylhydroxy ethyl cellulose PraavarChemtech
9 Guar hydroxy propyl trimonium PraavarChemtech
10 Perfume Emami Blend
11 Reetha Extract By Extraction Method

A List of Equipment’s
. Soxhlet Apparatus
1)
2 Mechanical Stirrer
)
3 Homogenizer
)
4 pH Meter
)
5 Weighing Balance
)
6 Brookfield Viscometer
)

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EXPERIMENTAL STUDY

Table 2: Formulation Table

Quantityfor
Sr. No. Ingredients

Use 100%
1 De-ionized water 82.5 Solvent
8
2 Alkyl Polyglucosides Blend 12.0 Surfactant
0
3 Glycerine 0.50 Humectants
4 Coco-glycoside 1.30 Surfactant
5 Glyceryloleate 1.20 Surfactants
6 Methyl Paraben 0.30 Biocide
7 Propyl Paraben 0.20 Biocide
8 Cetylhydroxy ethyl cellulose 2.50 Thickener
9 Guar hydroxy propyl trimonium 0.30 Conditioning polymer
10 Perfume q. s. Distinctive Smell
11 Reetha Extract 2 Cleansing Conditioner

LIST OF EQUIPMENTSUSE

Table 3: List of Equipment’s

Sr Equipments Company
No. made
1. Weighing Balance Mettler Toledo

Agitator type (3-blade) maximum 2000


2. Mechanical Stirrer
S. M. Scientific Industry Pvt. Ltd. Mumbai
Digital
3. Techno India
TempretureCantroller (
Water bath )
WTW Series Inolab 7, 5, 12v/DC, Digital Model 111E-E1
4. pH Meter
Electronic, India
Brookfield Viscometer

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DV 11+pro, Voltage S.M.S. Scientific IndustryPvt.Ltd. Mumbai
5.
230v Frequency
50/60Hz
Power 30 VA

EXPERIMENTALSTUDY
In any cosmetic preparation it is necessary to have stable formulation before incorporation of active. The
effectiveness and stability depends on compatibility of active ingredients.
Various shampoos are available which are sulphate free, mild and gentle hair shampoo. Shampoos are super
effective cleansers that will remove pollution from scalp without causing excessive dryness to scalp and
maintain the natural moisture to skin.
The cleansing ability shampoo prevents the skin from dirt, dust, excessive sebum.

A. Product Formulation AndDevelopment

Table 4: Formulation of shampoo (Base) for 100 %


Sr. Ingredien F F F3 F4 F5
No. ts 1 2
1. De-ionised water 78.58 79.5 80.5 81.5 82.5
8 8 8 8
2. Alkyl Polyglucosides 10 10.5 11 11.5 12
3. Glycerine 0.50 0.50 0.50 0.50 0.50
4. Coco glucoside 0.80 0.90 1.10 1.20 1.30
5. Glyceryloleate 0.40 0.60 0.80 1 1.20
6. Cetyl hydroxyl ethyl cellulose 0.5 1 1.5 2 2.50
7. Guar hydroxyl propyl 0.10 0.15 0.20 0.25 0.30
trimonium
8. Propyl Paraben 0.25 0.25 0.25 0.25 0.25
9. Methyl Paraben 0.25 0.25 0.25 0.25 0.25

B. Procedure
All the apparatus were cleaned and weigh all the ingredients as per the formulation. Weigh de-ionised water as
per formulation and then add all sulfate free ingredients. Then conditioning polymer and thickener is added.
Mix all the ingredients properly by the stirring. Then glycerine is added. After that Propyl paraben and Methyl
paraben are added.

C. Incorporation ofactive
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In formulation the incorporation of active has been done. The desired properties and desire characteristics are
checked by varying the concentration various ingredients. Optimization of the shampoo was show in the
chapter Evaluation andresults.

Table 5: Incorporation of actives


Sr.No Ingredients Quantity in%
1. De-ionised water 82.58
2. Alkyl Polyglucosides 12
3. Glycerine 0.50
4. Coco glucoside 1.30
5. Glyceryloleate 1.20
6. Cetyl hydroxyl ethyl cellulose 2.50
7. Guar hydroxyl propyl trimonium 0.30
8. Propyl Paraben 0.25
9. Methyl paraben 0.25
10. Reetha Extract 2.00
11. Colour q. s.
12. Perfume q. s.

D. Packaging
The sulphate free shampoo should be pack in a suitable container in order to use conveniently and provide
facility to use for consumers.

EVALUATIONS
The evaluation of product was carried out in the following steps in order to ensure that the product is safe,
stable, well preserved and free from microbial growth.

A. In-Vitro Evaluation ofshampoo


1) Determination of physicalparameters
a) Appearance: Visually appearance of the formulation wasobserved.
b) Color: Colour of the formulations also checked visually.
c) Consistency: Consistency was also checked whether it is satisfactory or poor or viscous.
d) Tacky feel: When shampoo taken on palm for application then checked whether it feels tacky or not.

2) Determination of Ph: Shampoos are used for topical applications, so their pH should be similar to that of
with the skin. The skin has acidic mantel and the pH of the shampoo as per the standards should be in the
range of7.0-9.0
a) Apparatus- pH meter, Beaker
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b) Procedure- 200 g sample was taken in a 250ml beaker and dipped the pH rod in a sample and note the
readings. pHwas measured at 250C.
3) Determination of Viscosity
a) Principle: The resistance to movement of spindle is measured and expressed in term of viscosity in
seconds. The resistance being directly linked with viscosity can be expressed directly in terms of viscosity
by previous.
b) Apparatus: Brookfield Viscometer
c) Procedure: The viscosity of the prepared formulations was determined using Brookfield viscometer RV
series model. The selected formulations were poured into the sample adaptor of the viscometer and
viscosity was measured at25°C.
The measurements were carried out using spindle number 5 at the speed of 10 rpm and the viscosity was
measured at 5 min after the rotation of the spindle.
4) Determination of foaming power
a) Principle: The mechanism of foam development and stability the part of surfactants play in these
processes are complicated and even today not completely understood. In any case, an important part is
played by the reduction of surface tension and the formation of liquid crystal of the surfactant molecule in
the foam bubble well. The formation of liquid surface layer of surfactant molecule is essential hence only
substances capable of foaming such films will be good foam produces.
b) Apparatus: Beaker, Measuring cylinder
c) Procedure: Firstly 5ml of shampoo taken in a beaker and then 45ml of water was added in it. Stir it well
before solubilizing the shampoo in water, then this solution was transferred in 250 ml measuring cylinder
and inverted for 2 sec and again reverted to its normal position to get one shake, Such 12 shakes were
given to the shampoo solution.
After 12 shakes, the cylinder was kept aside for 60 sec. and reading were taken, by measuring the volume of
foam and water together and volume of water alone.
Formula-Foaming power- F1 -F2
Where, F1- Foam + water & F2- water (in ml)
5) Determination of Water Content
a) Principle: Water is removed by distilling the material with toluene and the volume of water thus isolated is
noted.
b) Reagents: Toluene – treated with excess of water and distilled
c) Procedure: Accurately about 10gms of the material was weighted and it was transfer in to the flask. About
200ml of toluene and a few pieces of dry pumice stone was added. The apparatus was connected and the

26 | P a g e
receiving end of the tap was filled with toluene poured through the top of the condenser. The flask was
heated gently for 15min and when the toluene begins to boil it was reflux at a rate of 2 drops / sec. until
most of the water had passed over. The rate to about 4 drops / sec. was increased when all the water had
apparently distilled over, the inside of the condenser tube was rinsed with toluene while brushing down the
tube with the tube brush attached to a copper wire and saturated with toluene. The distillation was
continued for 5mins. Then the source of heat was removed and the receiving tube was allowed to cool to
room temperature. Any droplets of water were adhering to the wall of the receiving tube, and then it was
scrub down with a brush consisting of a rubber band wrapped around a copper wire and wetted with
toluene. The water in the toluene had separated, and then volume of water was read.
i)
Water % by
Calculation
mass V x d x 100
=
M
Wher
e, V = Volume of water in ml at room temperature collected
in the receiving tube
d = Density of water of room temperature
M = Mass in gm of material taken for the test.

6) Determination of Microbial Examination: Microbial growth may occur in cosmetics and Personal care
product like shampoo, lotion, and gel many more are intended to be used as skin care preparation, hence
they come in contact with skin directly. Hence it is very important that the cosmetics product, must to free
from microbial contamination, so that it will ensure safety product to the client. The cosmetics product
must be safe and adequate preserved.
a) Apparatus: Test tube, Petri dish, colony counter, autoclaves.
b) Media and Buffer: Soybean casein digest agar medium- Dissolved in 40 g of soybean casein digest Agar in
1000 ml of distilled water. Boil if necessary in order to have a uniform. Close the flask with the metal cap
and autoclave at 122 ̊C for 20 minute. After autoclaving store it in a cool place can be used with 3 weeks.
Stock solution pH 7.2 phosphate buffer- Dissolve 34 g of potassium phosphate in about 500 ml of water
content in a 1000 ml volumetric flask. Adjust the pH to 7.2 by addition of NaOH (4%) add water
tomakeupvolumeandmix.Sterilizeat122̊Cfor20minute, storeunderrefrigeration. Dilutephosphatebuffer
solution pH 7.2- Dilute 1 ml of flask solution with distilled water in the ratio of 1:800 fill 50 ml each in
conical flask with cotton and sterilize at 122 ̊C for 20minute.
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c) Procedure: Melt sufficient number of soybean casein digest agar medium in test tubes in a hot water bath
and transfer while hot
intoconstanttemperaturewaterbathmaintainat48±2̊C.Weighhandtransferaseptically1gmofthesampletoconica
lflask containing sterile 50 ml of dilute phosphate buffer pH 7.2 shake well pipette out 1 ml portion into
three sterile dishes. Pour
meltedandcooledsoybeancaseindigestagarmediumoveritandrotatetheplatestomixthoroughly.Includetheplat
eat32C̊ for 72 hours in an inverted position.
Determine the average no. of colonies on soybean casein digest agar medium plates and multiply by 30, the
dilution factor. This will be the no. of micro-organisms per gram of the sample
7) Determination of Thermal Stability: In any rational design and evaluation of dosage form for drug, product
the stability of the active component must be major criterion in determining their acceptance or rejection.
Stability of a drug can be defined as the ability of particular formulation, in a specific container, to remain
within its physical, chemical, therapeutic and toxicological specification. Optimized formulation was
selected and kept for stability studies. Formulation were packed in a suitable container and sealed tightly
and studies were carried out for 30days. The international conference on Harmonization (ICH) guidelines
titled “stability testing of new drug substances and products” describes the stability test requirements for
drug registration application in the European Union, Japan and the united state of America.
Stability data for shampoo
Stability condition : Physical stability
Noondays : 30days

B. In- Vivo Evaluation ofshampoo


1) Photographic Evaluation: Photographic evaluation is carried to see the effect of the product visually .In
case of determination of cleansing activity. Photographic evaluation was adopted. In this method the
photograph of the skin before and after rinsing of skin were taken out and effect of product was
determined.
2) Determination of Exfoliation: In that volunteer was selected. Photograph of nose was taken before
application of product, and then product was applied on nose, rinse with water. After rinsing photograph
difference wasobserved.

RESULT AND DISCUSSION


A. In- Vitro Evaluation
ofshampoo.
1) Determination of Physical
Table 6: Determination of physical parameters
Parameter
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Sr. Physical
F F2 F3 F F5
No. Parameters 1 4
1. Color Yellow Yellow Yellow Yellow Yellow
2. Viscosity Spreadable Spreadable Spreadable Spreadable Spreadable
3. Spread ability Good Good Good Good Good
4. Feel Very good Very good Very good Very good Very good
5. Appearance Opaque Opaque Opaque Opaque Opaque

Table 7: Determination of physical parameters

Sr.No. Ingredients Formulation


F1 F2 F3 F4 F5
1. Color +++ +++ ++ ++ +++
+ +
2. Viscosity +++ +++ ++ ++ +++
+ +
3. Spread ability ++ ++ ++ ++ +++
4. Feel ++ ++ ++ ++ +++
5. Appearance ++ ++ ++ ++ +++

Abbreviatio
n
“+” = Poor
“++” = Good
“+++ = Satisfacto
ry
From the above formulation F3, F4& F5 has required property and hence these were selected as a base
formulation and these were further subjected In vitro analysis.
On the basis of In vitro analysis formulation F was found to have most desirable results.

Table 8: Characteristics of shampoo with variations in actives


SrNo. Ingredients Formulation
Fw1 Fw2 Fw3 Fw4 Fw5
1. Appearance +++ +++ +++ +++ +++
2. Color +++ +++ +++ +++ +++
3. Viscosity ++ ++ ++ ++ +++
4. pH ++ ++ ++ ++ +++
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5. Foam height ++ ++ +++ ++ +++
6. Feel +++ +++ ++ +++ +++

From the above formulation Fw3& Fw4 has required property and hence these were selected as a base
formulation and these were further subjected In vitro analysis.

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Table 9: Physical characteristics of Shampoo with active

Sr. No. Ingredients Formulation


Fwa Fwa Fwa3 Fwa4 Fwa5
1 2
1. Appearance +++ +++ ++ +++ +++
2. Color +++ +++ +++ +++ +++
3. Viscosity ++ ++ ++ ++ +++
4. pH ++ ++ +++ + +++
5. Foam height ++ ++ ++ ++ +++
6. Feel +++ ++ +++ +++ +++

From the above formulation Fwa3 and Fwa4 have required property and hence these were selected as a base
formulation and these were further subjected In vitro analysis. On the basis of In vitro analysis shampoo
formulation and optimization of formulation Fwa5 was found to have most desirable results and desirable
characteristics and hence it was selected.

Table 10: Characteristics of shampoo with base


Sr.No. Ingredients Formulation
Fwb Fwb Fwb Fwb4 Fwb5
1 2 3
1. Appearance +++ +++ ++ +++ +++
2. Color +++ +++ +++ +++ +++
3. Viscosity ++ ++ ++ ++ +++
4. pH ++ ++ +++ + +++
5. Foam height ++ ++ ++ ++ +++
6. Feel ++ ++ +++ ++ +++

From the above formulation Fwb4 and Fwb3 have required property and hence these were selected as a base
formulation and these were further subjected In vitro analysis.
On the basis of In vitro analysis shampoo formulation and optimization of formulation Fwb5 was found to
have most desirable results and desirable characteristics and hence it was selected. Formulation Fwb5 was
selected for the evaluation.

2) Determination of Accelerated stability Studies: The sample of Shampoo was kept at 8-100C, 25̊C, and
450C. The changes in physical appearance color, feel etc were studied.

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Table 11: Determination of accelerated stability study at room temperature

25°C
Sr.No. Parameters
Fwb Fwb Fwb Fwb Fwb
1 2 3 4 5
1. Color NC NC NC NC NC
2. Consistency NC NC NC NC NC
3. Spread ability NC NC NC NC NC
4. Appearance NC NC NC NC NC
5. Feel on application G G G G VG

Table 12: Determination of accelerated stability study at 45°C


45°C
Sr.No. Parameters
Fwb Fwb Fwb Fwb Fwb
1 2 3 4 5
1. Color NC NC NC NC NC
2. Consistency NC NC NC NC NC
3. Spread ability SC NC NC NC NC
4. Appearance NC SC NC NC NC
5. Feel on application G G G G VG

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Table 13: Determination of accelerated stability study at 8-100°C

8-100°C
Sr.No. Parameters
Fwb Fwb Fwb Fwb Fwb
1 2 3 4 5
1. Color NC NC NC NC NC
2. Consistency NC NC NC NC NC
3. Spread ability SC NC NC NC NC
4. Appearance NC SC NC NC NC
5. Feel on application G G G G VG

NC –No Change, G –Good, SC – Slight Change, VG – Very Good


Result: From above observations formulations Fwb3 was selected because it has satisfactory physical parameters.

3) Determination ofpH
Table 14: pH of Shampoo with Base
Sr. Day F1 F2 F3 F4 F5
No. s
1. Initial 6.2 6.2 6.3 6.3 6.3
2. 1st Week 6.3 6.2 6.1 6.1 6.1
3. 2nd Week 6.2 6.4 6.3 6.3 6.3
4. 3rd Week 6.3 6.2 6.2 6.2 6.1
5. 4th Week 6.1 6.1 6.2 6.1 6.4

6.45
6.4
6.35
6.3
6.25
6.2
F1 F2 F3 F4
6.15
F5
6.1
6.05
6
5.95

Initial1stWeek2ndWeek3rdWeek4thWeek

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Figure 1: Graphical representation showing pH of shampoo with Base

Table 15: pH of Shampoo base containing actives


Sr. Day Fwb Fwb2 Fwb3 Fwb4 Fwb
No. s 1 5
1. Initial 6.77 6.79 6.77 6.78 6.74
2. 1st Week 6.79 6.79 6.70 6.85 6.76
3. 2nd Week 6.78 6.83 6.73 6.78 6.79
4. 3rd Week 6.74 6.86 6.85 6.81 6.71
5. 4th Week 6.78 6.86 6.84 6.79 6.72

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6.9

6.85

6.8
Initial
6.75 1st Week
2ndWeek
6.7 3rdWeek
4thWeek

6.65

6.6
Fwb1 Fwb2 Fwb3 Fwb4 Fwb5

Figure 2: Graphical representation showing pH of shampoo with Actives.

Observation: In comparative stability study the pH of Clear shampoo was found to be in between 6.8 to 6.7. It
was near about to same initial pH ofshampoo.

4) Determination of Viscosity
Table 16: Viscosity of Shampoo base
Sr. Day F F2 F F F5
No. s 1 3 4
1. Initial 8300 8150 860 900 900
0 0 0
2. 1st Week 8950 8900 900 890 898
0 0 0
3. 2nd Week 9000 9000 880 900 900
0 0 0
4. 3rd Week 8250 8700 805 870 870
0 0 0
5. 4th Week 8350 8200 885 865 850
0 0 0

9100
9000
35 | P a g e 8900
8800
8700 Initial
8600 1st Week
8400 3rdWeek
8300 4thWeek
8200

F1F2F3F4F5
Figure 3: Graphical representation showing Viscosity of shampoo with base

a) Observation: In comparative stability study the viscosity of Clear shampoo was found to be in between
900-8400 cps at spin no. 5 and 10RPM.

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Table 17: Foaming power of Shampoo with actives
Sr. Day Fwb Fwb2 Fwb Fwb4 Fwb
No. s 1 3 5
1. Initial 69 697 69 691 69
0 9 8
2. 1st Week 69 698 69 696 69
8 8 2
3. 2nd Week 69 694 69 698 69
4 4 9
4. 3rd Week 69 699 69 694 69
3 2 7
5. 4th Week 69 697 69 698 70
5 5 0

800
700
600
Sr.No. 1
500
2
400
3
300
4
200
5
100
0

Figure 4: Graphical representation showing foaming power of shampoo

b) Observation: In comparative stability study the foam height of Clear shampoo was found to be in between
690-700ml

5) Determination of Moisture Content of final Shampoo

Table 18: Moisture content of Final Shampoo


Sr. Day Fwb Fwb2 Fwb3 Fwb4 Fwb5
No. s 1

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1. Initial 79.6 80.76 79.25 80.15 79.35
5
2. 1st Week 80.7 80.54 80.88 79.75 80.75
7
3. 2nd Week 79.8 79.45 79.34 80.76 79.24
7
4. 3rd Week 80.6 80.87 80.54 79.35 79.55
5
5. 4th Week 80.2 80.89 79.57 80.86 79.34
2 .

100
80 Sr. No. Days Fwb1 Fwb2 1 Initial 79.65 80.76
60 21stWeek80.7780.54
40 32ndWeek79.8779.45
20 43rdWeek80.6580.87
0 54thWeek80.2280.89.

123

Figure 5: Graphical representation Moisture content of shampoo

a) Observation: In comparative stability study the moisture content of Clear shampoo was found to be in
between 79-80 % at 105° C.

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6) Determination of Thermal stability

Table 19: Determination of Thermal stability


Sr.No. Parameters Week Result
1. Thermal stability 1st week Passe
d
2. Thermal stability 2nd week Passe
d
3. Thermal stability 3rd week Passe
d
4. Thermal stability 4th week Passe
d
5. Thermal stability 5th week Passe
d

B. In- Vivo Evaluation ofshampoo.


1) Photographic Evaluation: The formulated product is compare with the marketed product.

Sr.No. Parameters Sr.No. Parameters


1. Appearance 5. After wash Irritation
2. Quick foam generate 6. After wash Dryness
3. Foaming Power 7. After 1hour dryness
4. On Application Irritation 8. Fragrance

CONCLUSION
The sulphate free shampoo using Reetha improves manageability of product and provides
the necessary nutrients required for the hair. As the Reetha extract contains Vitamins A, D,
E and K found in this fruit are known to impart shine to your hair and make it smooth. Soap
nuts also exhibit insecticidal properties that help in killing lice on the scalp. Efficacy testing
was done using the extract which provides slight smoothness to the hair. The product was
found to have a good market potential and can be considered for launching under the
company.
The appropriate market for this product will be the upper middle class and working women.

39 | P a g e
Hence forth this product works on hair by providing a very thin layer on the hair shaft
which also prevents the direct damages of the hair due to hair shampoo or any other styling
product and also helps on easy washing.
It was observed that peoples look more for hair loss control property as well as good hair
growth and cleanser and give conditioning property. Hence, as a future consideration to
incorporate additives and herbal extracts this works on anti-hair fall property and enhance
hair growth with lesser cost so that it not only for premium market people as well as for
mass category can be considered.

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OPERATIONAL PLAN

DISTRIBUTION PLAN:

Marketing is the lifeblood of any business. Marketing Planning allows an organization to bring
together all elements of marketing, therefore providing clear direction to corporate marketing
efforts. Developing an insightful marketing plan ensures marketers contribute at the strategic
level in the organization. This course will enable participants to develop better marketing plans
that are workable, achievable and can deliver desired results.

CHANNELS THROUGH WHICH OUR PRODUCT WILL BE DELIVERED TO


FINAL CUSTOMERS:

A distribution channel is a chain of businesses or intermediaries through which a good or service


passes until it reaches the final buyer or the end consumer. Distribution channels can include
wholesalers, retailers, distributors, and even the Internet.

 DIRECT SALE:
Our potential customers can buy our product through our outlet which will be located at
our main Office.

 SALE THROUGH RETAILER:


Retailers are very important for the distribution of our product. They take the product in
bulk quantity from Wholesalers and sell to final customers. They are also important
because they are in direct touch with the potential customers.

 SALE THROUGH WHOLESALER:


Wholesalers are also very important for the distribution of the product. They sell the
product in bulk quantity directly to customers and retailers.

 SALE THROUGH AGENT:


Selling through agent is also necessary because they sell directly to the customers and
they have the knowledge of what the customers wants and how our product will be
benefits the customers.

41 | P a g e
MARKETING:
 SOCIAL NETWORKS AND VIRAL MARKETING.
Our product will be marketed also at social networks that are Face book and other platforms.

 PAID MEDIA ADVERTISING.


Paid media refers to external marketing efforts that involve a paid placement. Paid
media includes PPC advertising, branded content, and display ads. Paid media is an essential
component of revenue growth and brand awareness for online businesses. We will advertise our
product at media so that the customers can know about our product.

 INTERNET MARKETING.
Online marketing is the practice of leveraging web-based channels to spread a message about a
company's brand, products, or services to its potential customers. The methods and techniques
used for online marketing include email, social media, display advertising, search engine
optimization, Google Ad Words and more. Internet marketing is very common now days. We
will also market our product though internet, advertise on WebPages in local areas.

 EMAIL MARKETING.
Email marketing is the act of sending a commercial message, typically to a group of people,
using email. In its broadest sense, every email sent to a potential or current customer could be
considered email marketing. It involves using email to send advertisements, request business, or
solicit sales or donations

 POINT-OF-PURCHASE (POP) MARKETING.
A point of purchase (POP) is a term used by marketers and retailers when planning the
placement of consumer products, such as product displays strategically placed in a grocery store
aisle or advertised in a weekly flyer. Aisle displays, shelf-based coupon holders, on-package
coupons, posters, and more recently, digital displays are common examples of point-of-
purchase techniques. Posters and digital displays use brand-building to influence a consumer to
consider a product's merits.

 CONVERSATIONAL MARKETING.

42 | P a g e
Conversational marketing is a customer-centric and dialogue-driven approach to marketing. It
has become the go-to strategy for driving customer engagement, improving customer experience,
and growing revenue. Conversational Marketing is effective because it builds relationships with
customers through the experience of a conversation. Instead of asking people to go through lead
capture forms and wait for a response. And it's been proven as a successful way to use
marketing to drive user engagement

TARGETED AUDIENCE
The main target audience is working women and injured patients especially head injury patients

INVENTORY CONTROL

Inventory control is the process of managing stock once it arrives at a warehouse, store or other
storage location. It is solely concerned with regulating what is already present, and involves
planning for sales and stock-outs, optimizing inventory for maximum benefit and preventing the
pile-up of dead stock. It is a journey to achieve that delicate balance of inventory and manage it
properly so your business sees the optimal benefits. However, businesses both big and small will
all experience a variety of factors affecting inventory management. They always need to look at
stock levels and decide if they need more or if it will lead to overstocking. In bigger businesses,
there is often a large team of experts who analyses, predict and help make big decisions about
inventory.

DRY SHAMPOO MARKET: MARKET SEGMENTATION


The dry shampoo market depending upon function, demographic, distribution channel, and
region. On the basis of function, anti-dandruff, color protection, hair loss prevention, and others
are the segments that divide the dry shampoo market.
By demographic, men, women, and kids are the segments of the dry shampoo market. In terms of
distribution channel, the global dry shampoo market is segmented into modern trade,
convenience store, specialty store, drug store, online, and others.

The dry shampoo market is segmented as follows:

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Dry Shampoo Market, by Function
Anti-Dandruff
Color Protection
Hair Loss Protection
Others

Dry Shampoo Market, by Demographic


Men
Women
Kids

Dry Shampoo Market, by Distribution Channel


Modern Trade
Convenience Store
Specialty Store
Drug Store
Online
Others

Customer Support

Customer support is the range of services you offer to help your customers get the most out of
your product and to resolve their problems. Customer support includes things like
answering customer questions, providing assistance with on boarding, troubleshooting, and
upgrading customers to a new product or service.

44 | P a g e
ORGANIZATIONAL PLAN
1-Form of ownership of the organization

“Partnership’s”

2-There are Four Partners in Total

I. Ammar Bin Shoaib


II. Syed Asad Ahmed Naqvi
III. Mohsin Javaid
IV. Umar Mumtaz

PARTNERSHIP AGREEMENT

I. Partnership agreement made on 01st March 2021, between Ammar Bin Shoaib , Resident
of Gulshan-e-Maymar, Karachi, Pakistan, and Syed Asad Ahmed Naqvi Resident of
North Karachi, Karachi, Pakistan, and Mohsin Javaid, Resident of Ahsanabad, Karachi,
Pakistan, and Umar Mutmaz, Resident of Gulshan-e-Maymar, Karachi, Pakistan,
(“partners”).

RECITALS

A. Partners desire to join together for the pursuit of common business goals.
B. Partners have considered various forms of joint business enterprises for their business
activities.
C. Partners desire to enter into a partnership agreement as the most advantageous business
form for their mutual purposes.
In consideration of the mutual promises contained in this agreement, partners agree as
follows:

ARTICLES

ARTICLE ONE.

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Maaudry Enterprises, Profit Organization, Karachi Sindh.

The name of the partnership shall be “MAAUDRY ENTERPRISES”. The partnership shall
be conducted for the purposes of “MANUFACTURING BUSINESS”. The principal place of
business shall be at North Karachi Industrial Area, Karachi, Pakistan, unless relocated by
majority consent of the partners.

ARTICLE TWO

DURATION OF AGREEMENT

The term of this agreement shall be for, commencing on _________[date], and terminating
on _________[date], unless sooner terminated by mutual consent of the parties or by operation
of the provisions of this agreement.

ARTICLE THREE.

CLASSIFICATION AND PERFORMANCE BY PARTNERS

A. Partners shall be classified as active partners, advisory partners, or estate partners.


An active partner may voluntarily become an advisory partner, may be required to become
one irrespective of age, and shall automatically become one after attaining the age of 60 years,
and in each case shall continue as such for 10 years unless the partner sooner withdraws or dies.

If an active partner dies, the partner’s estate will become an estate partner for 10 years. If an
advisory partner dies within 10 years of having become an advisory partner, the partner will
become an estate partner for the balance of the 10 -year period.

Only active partners shall have any vote in any partnership matter.

At the time of the taking effect of this partnership agreement, all the partners shall be active
partners except _________ and _________, who shall be advisory partners.

B. An active partner, after attaining the age of _________ years, or prior to that age if the
_________[executive committee or as the case may be] with the approval of
_________[two-thirds or as the case may be] of all the other active partners determines that

46 | P a g e
the reason for the change in status is bad health, may become an advisory partner at the end
of any calendar month on giving _________[number] calendar months’ prior notice in
writing of the partner’s intention to do so. The notice shall be deemed to be sufficient if sent
by registered mail addressed to the partnership at its principal office at
_________[address],_________[city], _________ County, _________[state] not less than
_________[number] calendar months prior to the date when the change is to become
effective.
C. Any active partner may at any age be required to become an advisory partner at any time
if the _________[executive committee or as the case may be] with the approval of
_________[two-thirds or as the case may be] of the other active partners shall decide that the
change is for any reason in the best interests of the partnership, provided notice of the
decision shall be given in writing to the partner. The notice shall be signed by the
_________[chairman or as the case may be] of the _________[executive committee or as
the case may be] or, in the event of his or her being unable to sign at the time, by another
member of the _________[executive committee or as the case may be]. The notice shall be
served personally on the partner required to change his or her status, or mailed by registered
mail to the partner’s last known address. Change of the partner’s status shall become
effective as of the date specified in the notice.
D. Every active partner shall automatically and without further act become an advisory
partner at the end of the fiscal year in which the partner’s _________ birthday occurs.
E. In the event that an active partner becomes an advisory partner or dies, the partner or the
partner’s estate shall be entitled to the following payments at the following times:
_________[describe].
Each active partner shall apply all of the partner’s experience, training, and ability in
discharging the partner’s assigned functions in the partnership and in the performance of all work
that may be necessary or advantageous to further the business interests of the partnership.

ARTICLE FOUR.

CONTRIBUTION

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Each partner shall contribute $_____ on or before _________[date] to be used by the
partnership to establish its capital position. Any additional contribution required of partners shall
only be determined and established in accordance with Article Nineteen.

ARTICLE FIVE.

BUSINESS EXPENSES

The rent of the buildings where the partnership business shall be carried on, and the cost of
repairs and alterations, all rates, taxes, payments for insurance, and other expenses in respect to
the buildings used by the partnership, and the wages for all persons employed by the partnership
are all to become payable on the account of the partnership. All losses incurred shall be paid out
of the capital of the partnership or the profits arising from the partnership business, or, if both
shall be deficient, by the partners on a pro rata basis, in proportion to their original contributions,
as provided in Article Nineteen.

ARTICLE SIX.

AUTHORITY

No partner shall buy any goods or articles or enter into any contract exceeding the value of
$_____ without the prior consent in writing of the other partners. If any partner exceeds this
authority, the other partners shall have the option to take the goods or accept the contract on
account of the partnership or to let the goods remain the sole property of the partner who shall
have obligated himself or herself.

ARTICLE SEVEN.

SEPARATE DEBTS

No partner shall enter into any bond, or become surety or cosigner, or provide security for
any person, partnership, or corporation, or knowingly condone anything by which the partnership
property may be attached or taken in execution, without the prior written consent of the other
partners.

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Each partner shall punctually pay the partner’s separate debts and indemnify the other
partners and the capital and property of the partnership against the partner’s separate debts and
all expenses relating to such separate debts.

ARTICLE EIGHT.

BOOKS AND RECORDS

Books of account shall be maintained by the partners, and proper entries made in the books
of all sales, purchases, receipts, payments, transactions, and property of the partnership. The
books of account and all records of the partnership shall be retained at the principal place of
business as specified in Article One. Each partner shall have free access at all times to all books
and records maintained relative to the partnership business.

ARTICLE NINE.

ACCOUNTING

The fiscal year of the partnership shall be from _________[month and day] to
_________[month and day] of each year. On the _________ day of _________[month],
commencing in _________[year], and on the _________ day of _________[month] in each
succeeding year, a general accounting shall be made and taken by the partners of all sales,
purchases, receipts, payments, and transactions of the partnership during the preceding fiscal
year, and of all the capital property and current liabilities of the partnership. The general
accounting shall be written in the partnership account books and signed in each book by each
partner immediately after it is completed. After the signature of each partner is entered, each
partner shall keep one of the books and shall be bound by every account, except that if any
manifest error is found in an account book by any partner and shown to the other partners within
_________ months after the error shall have been noted by all of them, the error shall be
rectified.

ARTICLE TEN.

DIVISION OF PROFITS AND LOSSES

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Each partner shall be entitled to _________% of the net profits of the business, and all losses
occurring in the course of the business shall be borne in the same proportion, unless the losses
are occasioned by the willful neglect or default, and not the mere mistake or error, of any of the
partners, in which case the loss so incurred shall be made good by the partner through whose
neglect or default the losses shall arise. Distribution of profits shall be made on the _________
day of _________[month] each year.

ARTICLE ELEVEN.

ADVANCE DRAWS

Each partner shall be at liberty to draw out of the business in anticipation of the expected
profits any sums that may be mutually agreed on, and the sums are to be drawn only after there
has been entered in the books of the partnership the terms of agreement, giving the date, the
amount to be drawn by the respective partners, the time at which the sums shall be drawn, and
any other conditions or matters mutually agreed on. The signatures of each partner shall be
affixed on the books of the partnership. The total sum of the advanced draw for each partner
shall be deducted from the sum that partner is entitled to under the distribution of profits as
provided for in Article Ten.

ARTICLE TWELVE.

SALARY

No partner shall receive any salary from the partnership, and the only compensation to be
paid shall be as provided in Articles Ten and Eleven.

ARTICLE THIRTEEN.

RETIREMENT

In the event any partner shall desire to retire from the partnership, the partner shall give
_________ months’ notice in writing to the other partners. The continuing partners shall pay to
the retiring partner at the termination of the _________ months’ notice the value of the interest
of the retiring partner in the partnership. The value shall be determined by a closing of the books

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and a rendition of the appropriate profit and loss, trial balance, and balance sheet statements. All
disputes arising from such determination shall be resolved as provided in Article Twenty.

ARTICLE FOURTEEN.

RIGHTS OF CONTINUING PARTNERS

On the retirement of any partner, the continuing partners shall be at liberty, if they so desire,
to retain all trade names designating the firm name used. Each of the partners shall sign and
execute any assignments, instruments, or papers that shall be reasonably required for effectuating
an amicable retirement.

ARTICLE FIFTEEN.

DEATH OF PARTNER

In the event of the death of one partner, the legal representative of the deceased partner shall
remain as a partner in the firm, except that the exercise of this right on the part of the
representative of the deceased partner shall not continue for a period in excess of _________
months, even though under the terms of this agreement a greater period of time is provided
before the termination of this agreement. The original rights of the partners shall accrue to their
heirs, executors, or assigns.

ARTICLE SIXTEEN.

EMPLOYEE MANAGEMENT

No partner shall hire or dismiss any person in the employment of the partnership without the
consent of the other partners, except in cases of gross misconduct by the employee.

ARTICLE SEVENTEEN.

RELEASE OF DEBTS

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No partner shall compound, release, or discharge any debt that shall be due or owing to the
partnership, without receiving the full amount of the debt, unless that partner obtains the prior
written consent of the other partners to the discharge of the indebtedness.

ARTICLE EIGHTEEN.

COVENANT AGAINST REVEALING TRADE SECRETS

No partner shall, during the continuance of the partnership or for _________ years after its
termination by any means, divulge to any person not a member of the firm any trade secret or
special information employed in or conducive to the partnership business and which may come
to the partner’s knowledge in the course of this partnership, without the consent in writing of the
other partners, or of the other partners’ heirs, administrators, or assigns.

ARTICLE NINETEEN.

ADDITIONAL CONTRIBUTIONS

The partners shall not have to contribute any additional capital to the partnership to that
required under Article, except as follows: (1) each partner shall be required to contribute a
proportionate share in additional contributions if the fiscal year closes with an insufficiency in
the capital account or profits of the partnership to meet current expenses; or (2) the capital
account falls below $_____ for a period of _________ months.

ARTICLE TWENTY.

ARBITRATION

If any differences shall arise between or among the partners as to their rights or liabilities
under this agreement, or under any instrument made in furtherance of the partnership business,
the difference shall be determined and the instrument shall be settled by _________[name of
arbitrator], acting as arbitrator, and the decision shall be final as to the contents and
interpretations of the instrument and as to the proper mode of carrying the provision into effect.

ARTICLE TWENTY-ONE.

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ADDITIONS, ALTERATIONS, OR MODIFICATIONS

Where it shall appear to the partners that this agreement, or any terms and conditions
contained in this agreement, are in any way ineffective or deficient, or not expressed as
originally intended, and any alteration or addition shall be deemed necessary, the partners will
enter into, execute, and perform all further deeds and instruments as their counsel shall advise.
Any addition, alteration, or modification shall be in writing, and no oral agreement shall be
effective.

The parties have executed this agreement at _________[designate place of execution] the
day and year first above written.

CHECK SIGNING AUTHORITY AND CONTROL.

I. Abdul Ghaffor Haji ( Finance Manager )

II. Ateeb Ansari ( AM Finance )

III.Sajid Hussain ( GM Factory )

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MANAGEMENT TEAM OR ORGANIZATIONAL CHART

RESPONSIBILITIES OF MANAGEMENT

1-Ammar Bin Shoaib

(Chief Human Resource Officer)

The Chief Human Resource Officer (CHRO) is responsible for developing and


executing human resource strategy in support of the overall business plan and strategic

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direction of the organization, specifically in the areas of succession planning, talent management,
change management, organizational and performance

2-Umar Mumtaz

(Chief Financial Officer)

CFOs are responsible for ensuring the finance operation is efficient and effective. They have
primary responsibility for planning, implementing, managing and controlling all financial-
related activities of the business, including business planning, budgeting, forecasting and
negotiations

3-Syed Asad Ahmed Naqvi

(Production & Planning Manager)

 Coordinating production workflow for one or multiple products.

 Planning and prioritizing operations to ensure maximum performance and minimum


delay.

 Determining manpower, equipment and raw materials needed to


cover production demand.
4-Mohsin Javaid

(Marketing and Quality Manager)

Increasing brand awareness and market share. Coordinating marketing strategies with the sales,


financial, public relations, and production departments. Developing and managing
the marketing department's budget. Overseeing branding, advertising, and promotional
campaigns.

 Monitoring the production line and doing periodic Quality Control checks
 Implementing improvements to production processes that lead to overall increases in
product quality
 Working together with project leaders to discuss solutions to quality issues
 Satisfying customer expectations about the product's quality

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 Creating production plans for new products to guarantee quality from stage one
 Scheduling project plans along with the project team to fit project deadlines
 Writing reports on design, pre-production, and production to check on the quality status
of the product at all stages of production and inform the rest of the production team
 Complying with ISO accreditation requirements
 Auditing materials provided by suppliers to assure quality before incorporation into the
product
 Assessing the product's quality by testing for a range of features and seeing how the
product performs under stresses like impact, temperature, humidity, etc.
 Investigating causes of quality problems and proposing solutions
 Training new Quality Control employees
 Utilizing extensive knowledge of the product's inner workings to diagnose problems
 Continuing education on newly developing Quality Control techniques

5-Abdul Ghaffor Haji


(Finance Manager)
Financial managerare responsible for the financial health of an organization. They
produce financial reports, direct investment activities, and develop strategies and plans
for the long-term financial goals of their organization. Financial managers typically: ...
Help management make financial decisions.

6-Ateeb Ansari
(AM Finance)
Assistant finance managers help finance managers with a range of administrative
and financial tasks. These may involve assisting with billing invoices, preparing budgets,
managing cash flow, and requesting information from colleagues regarding purchase
orders.

7-Sajid Hussain
(GM Factory)

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Duties for the general manager will include allocating budget resources, formulating
policies, coordinating business operations, monitoring and motivating staff, managing
operational costs, ensuring good customer service, improving administration processes,
engaging with vendors, hiring and training employees,

5-Salaries of Management.

Salaries , Bonuses & Allowances Of Management


Designatio Fuel
Name n Salary Allowance Bonus (yearly)
Ammar Bin Shoaib CHRO 200,000 13080 100,000
Syed Asad Ahmed
Naqvi PPC 200,000 13080 100,000
Mohsin Javaid Marketing 200,000 13080 100,000
Umar Mumtaz CFO 200,000 13080 100,000
Sajjid Hussain GM 100,000 13080 50,000
Abdul Ghaffor Haji FM 75,000 13080 37,500
Ateeb Ansari AMF 50,000 13080 25,000

ASSESSMENT OF RISK

1-New venture will be faced with some potential Risk

 Product risk. Decide what you are selling. ...

 Market risk. Knowing your customer and why, how and where they buy related
products is arguably the most important risk factor to assess before launching your product. ...

 Financial risk. ...

 Team risk. ...

 Execution risk.

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