Business Plan of Crochet Clothing

SUBMITTED BY:

LEONCIO, BERNADINE ALIZAH C.

Accountancy Business Management

12 ABM 6 – MATATAG

Emilio Aguinaldo College – Cavite

Senior High School

Andres, Ruffanie G.
Entrepreneurship Teacher

Date Submitted:
April 12, 2021
 TABLE OF CONTENT

Section I : EXECUTIVE SUMMARY……………………………………………………………3

Section II:BACKGROUND AND BUSINESS CONCEPT………...……………………………..4

Section III: DESCRIPTION OF THE BUSINESS………………………………………………...5

Section IV: VISION AND MISSION OF THE BUSINESS………………………………………6

Section V: MARKETING PLAN………………………………………………………………….8

REFERENCES:………………………………………………...……….…...…………………..11

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 Section I
EXECUTIVE SUMMARY

Pure Pattern’s is a business that involves the art of crochet applied to clothing products. Crochet
is a process of creating fabric or products from yarn, thread, or other material strands using a
crochet hook. It focuses in creating fabric products like dress, bag, cash wallet and other type of
clothing using the art of crochet. The product of this company is produced with bare hand, time
and effort of the manufacturer.

Introducing the art of crochet is no easy task. As a start, Pure Patterns will employ crochet
professional who share the passion and creativity in creating crochet products in the City of
Bacoor, Cavite. The best part of this business is, all the products are 100% handmade and
customized to customers’ preference. The exclusivity of these products will definitely earn
customers’ satisfactions.

The evaluation of the business strengths, weakness, opportunities and threats provided
insights in the starting operation of the business. Initially, a direct selling approach combined with
penetration pricing is utilized to introduce the business to the market. Pure Pattern’s will also
utilize social media as means of promotion and advertisement to reach more numbers of potential
customers. The plan focuses on the company's growth strategy, suggesting ways to capitalize on
established customer relationships as well as the introduction of new crochet products and services
tailored to particular customer.

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 Section II
BACKGROUND AND BUSINESS CONCEPT

Pure Patterns is a business which implicates the art of crocheting. According to American
crochet expert and world traveler Annie Potter, "The modern art of true crochet as we know it
today was developed during the 16th century. It became known as 'crochet lace' in France and
'chain lace' in England.". The term crochet is derived from a French term “croche” which means
“hook.” Crochet is the process of creating fabric by interlocking loops of yarn, thread or strands
of other materials using a hook.

The business focuses on the satisfaction of the customers and preserving the art of crochet.
This also focus in creating fabric products like dress, bag, cash wallet and other type of clothing.
The product of this company is produced with barehand, time and effort of the manufacturer. Pure
Patterns will also provide customized and ready-made product to meet customers special request
or demand.

Pure Patterns business concept is based on the fashion trends these days. Nowadays, most
individuals commonly use ready-to-use products and clothing, though there are some brands which
offers personalized limited product like Nike or Adidas which offers customized shoes but comes
at a more expensive price. Since everyone seemed to be into fashion, I wanted to offer and share
my appreciation with the art of crochet. I discovered this when my grandmother was still alive.
She used to create dresses for me which was so special because it was made from her love, time
and effort. I would like to share these feelings towards other people, the affection that this product
may share and most importantly the art of it.

The customer will surely be satisfied because they are the designers of the product. They
will be satisfied with the artistry of these, the colors, the pattern combinations, and the outcome of
the product.

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 Section III
DESCRIPTION OF THE BUSINESS

The business is called “Pure Patterns.” It is located at Bacoor City, Cavite and is owned by
Bernadine Alizah C. Leoncio. Pure Patterns is a sole-proprietorship business. Sole-Proprietorship
is the most simple business type, it is operated by one person only. The person who owns the
business is responsible for its debts, individually because the owner and the business has no
separate identity under the law. Pure Pattern was created based on the fashion trends nowadays ;
also to appreciate and promote the art of crochet.

The purpose of this business is to develop and enhance the crochet crafts. This kind of art
should not be wasted and ignored, this should appreciated, innovate and make use of. Another
purpose is to provide employment to individuals with passion in crochet. There are talented people
who can make a lot of combinations and styles with crochet. Instead of neglecting their talents we
must make use of it, appreciate it and those talents could help them individually.

Pure Patterns will have a social media business account so that the communication between
customers and sellers will be easy. Social media in the modern era is the most in demand tool that
is being use for both personal and professional transactions. Potential customers would the youth
of this era, because they are fashionable, trendy and they appreciate different styles, arts and
designs. People of younger or older age may be included for they can use and choose from the
different varieties Pure Patterns can offer.

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 Section IV
VISION AND MISSION OF THE BUSINESS

Mission:
Pure Patterns is dedicated to providing customers with authentic handmade crochet
clothing and other products to customers. The business prioritizes client satisfactions through the
production of quality and affordable crochet products to all of its customers. Through consistent
creativity, competency, quality and originality, Pure Patterns strive for excellence in each aspect
of the business.

Vision:
Pure Patterns aims to become the world’s preferred provider, manufacturer and
distributor of crochet products. Pure Patterns envision the expansion of its branches locally and
globally by engaging the talent and passion of individuals to provide satisfaction to customers
and stakeholders through crochet products.

STRENGTHS WEAKNESS

• Pure patters offer a customized or • It takes a longer time to produce the

idealized design of the product.
• Use variety of patterns and color
combinations that is unique and
refreshing with the people’s taste in
fashion.
• Communicating with the business owner
itself is attainable and easy.
• The products are affordable to the
customers.
• No staff cost
• Financial business transactions are easy
to handle.
customized products.
• There are a few customers who seemed to
be reluctant on buying online and some
who are not into crotchet clothing’s.
• There will not be a personal interaction
transaction and checking out of products.
• Start-up business that consumers have no
idea about.

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• This business can start with a very low
investment.
OPPORTUNITIES
• Currently the use of internet is in demand
and this could be an opportunity for a
business.
• Partner up with some influencers to be
able to advertise the product.
• The use of technology as an advertising
tool, and showcasing crafts.
THREATS
• There are clothing businesses already in
the society that is not crotchet.
• There are also existing crotchet clothing
business that can already be found in the
online market/
• Current threat is the COVID 19. It seems
to be risky purchasing products from
small businesses.
• Increasing population of bogus buyers.
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 Section V
MARKETING PLAN

A. Target Market
The target market is composed of men and women, 16-40 years of age, with mid-range
incomes which makes 18.94% of the population. The target customer is very fashion forward and
trend conscious, residing in an urban area. They are either shopping for themselves or for their
children. Pure Pattern’s customers are definitely sensitive towards having the most up to date and
fashionable clothing and accessories using crochet designs but at an affordable price.
The business will be located in Bacoor City, Cavite. The main office can be used for personal
transactions for personalized items. It is located in Bacoor, Cavite due to the proximity of the
crochet craft workers that will be employed by the company.

B. Product: It’s Nature and Sustainability

The product has different kinds of yarns to be used. One is ‘wool’ which is good for practicing
stiches, loops, combinations and other basic and small products like wallet or phone holder. Second
is ‘cotton’ which is good in making warm weather clothes, and is not that flexible. Third is ‘Acrylic
yarn’, the most affordable one and is available in any store. Last kind is a ‘crochet thread’ which
is good in making doilies, and a lot more kind to be used.

The company is named Pure Patterns because the product itself is made up of different
patterns and combinations in crochet, that’s what made it pure at the same time. All products are
made from the time and effort of the person who enjoys crochet and helps these producers get
relaxed somehow. It is comfortable when using it, for a cold weather or even warm weather.
Crochet products are known to last for a long time like normal clothes. The lifespan of the crochet
product will depend upon the usage of the customer.

C. Future Product Plan

The production of items to be faster and improved. The designs being offered to be innovated
and designed unique and has strong fashion sense, so that customers would be attracted and
interested with the product Pure Patterns offers.

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 D. Pricing Scheme
A Pricing Scheme enables business set a range of standard prices for a product in addition
to the default price. This allows business to create special pricing for: specific customers,
customers originating from particular marketing campaigns, specific volumes of goods/services
and different currencies.
The pricing strategy that will be used is penetration pricing. It uses low prices to enter a
new market or to launch a new product or service. This strategy is used to entice customers to
patronize a certain product or service. It also serves as a deterrent to the competition. Once a
customer base has been established, Pure Patterns can subtly move the prices higher, to a moderate
price for a longer-term strategy.
Since the company will provide custom made item for our customers. The price of each
product will differ from each other. The product will be priced using the formula:

Supplies + Hourly Rate + Expenses x 1.3 (30% Markup) = Product price

E. Future Pricing Plan

Pure Patterns can offer discount to loyal customers after reaching a certain amount of
transaction. Through this strategy, customers will be enticed to order bulk order especially for
different occasion that may require a large quantity of orders. Aside from transaction discount,
Pure Patterns can provide holiday discount for different occasions like Christmas, New Year,
Valentine’s day, etc.

F. Place & Distribution

A distribution channel, in simple terms, is the flow that a good or service follows from
production or manufacturing to the final consumer/buyer. Distribution channels vary but typically
include a producer, a wholesaler, a retailer, and the end buyer/consumer. A distribution channel
can also provide a sense of how money flows back from the buyers to the producer or original
point of sale.
Pure Pattern main office will be located in Bacoor City, Cavite. Since the manufacturer and
retailer of the product is the same company, direct sale will be used as a distribution channel. The
manufacturer or producer sells directly to the end consumer. The direct form of distribution is

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typically used by producers or manufacturers of niche and expensive goods and items that are
perishable, in this case are custom or personalized crochet clothing products.

G. Future Place/ Distribution Channel

Pure Patterns, is aiming to sell to regional markets in the future. The products are available
online on company main website. Personalized product can be requested thru online request and
transaction. Products are shipped using the services of a 3rd party distributor. Shipping is available
throughout the week and on holidays to ensure customer satisfaction

H. Promotional Technique
Promoting refers to any type of marketing communication used to inform target audiences of
the relative merits of a product, service, brand. It is important because that is what makes the
business unique from other competitors, not just with the service and product. Promotion is what
makes you entice a customer and shows what you can offer. It advertises your company and the
products available from the company.
Digital platform, social media and our website are the main ways to promote our business All
ready-made items with their corresponding prices are listed on the website and people can place
orders in a friendly manner through the basket and credit card payment system. Custom made
products are ordered online along with the required quantities and customization request. word-
of-mouth works as the most important promotional tool for the company.

I. Future Promotional Technique

In the future Pure Patterns will use influencers and celebrities that will model and endorse the
products and the company. Magazine, television channel featuring the Pure Patters and a lot of
production to make an impact and for Pure Patterns to be known widely. There will be a discount
and gift certificate for loyal customers, and at least a holiday special promo offers.

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References:
Laxman, S. (2018, July). “What is Crochet? From its Origins to Current Relevance”. Retrieved
from https://www.contrado.co.uk/blog/what-is-crochet Marks, R (2009)

Thomson, B. ( 2012). “Crochet Guru”. Retrieved from https://www.crochetguru.com/

“A Brief History of Crochet” (2015, May) . Retrieved from

https://www.woolandthegang.com/blog/2015/05/a-brief-history-of-crochet

“Checklist for Starting a Crochet Business: Essential Ingredients for Success”. Retrieved from
https://www.bizmove.com/business-plan-pdf/crochet.htm

“History of Crochet” . Retrieved from https://www.crochet.org/page/CrochetHistory

“My Mom’s Crochet” (2013, Jan). Retrieved from

https://sites.google.com/site/bbacbeb2302group3/business-plan

“A Brief History of Crochet” (2015, May) . Retrieved from

https://www.woolandthegang.com/blog/2015/05/a-brief-history-of-crochet

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