ENTERPRISE DESCRIPTION

Mix Shop is a shop that operating on a supermarket format, which provides various basic
necessities and groceries at low prices. A supermarket is a self-service shop offering a wide
variety of food, beverages and household products, organized into sections. Mix Shop will
provide groceries such as grains and breads, dairy and eggs, condiments, tinned, snacks, and
non-foods products which are kitchenware, household cleaners, and others hardware.

Mix Shop will be located at Pengkalan Chepa, Kota Bharu, Kelantan. The reason of choosing
this location is because Kota Bharu is a capital city of Kelantan and there are several education
institutions and boarding schools nearby, so that the students can buy their daily needs in low
prices. Our business hours will be 7 days a week from 10am to 10pm which is 12 hours a day.
Mix Shop with its slogan ‘Everyone Can Buy’ is means that we want everyone of us can spend
and buy their needs or groceries from Mix Shop no matter you are rich or poor. The purpose that
we want to establish Mix Shop is because we are aiming at allowing the low income group in
Malaysia such as the students, B40 groups, and M40 groups to obtain cheaper groceries. At the
same time, we are also planning for donating surplus foods or a little part of revenue to some
society that needs help.

Besides that, Mix Shop plans will be establishing more than one branches in every states in
Malaysia, especially in Kuala Lumpur and Selangor after the first branch in Kota Bharu was
successful. These 2 states have the biggest cities and we realized that there are still many citizens
are low income groups. We believe that Mix Shop can change the citizen’s lifestyle and make
their life become easier, and brings opportunities or advantages to the economics in Malaysia.
Supermarkets typically are chain stores, supplied by the distribution centers of their parent
corporations, and it will be increasing opportunities for economies of scale. Supermarkets
usually using our buying strength to buy goods from manufacturers at lower prices than smaller
stores can. In addition, self-service with shopping carts which are trolleys and baskets, and we
will also provide self-checkout machines with self-payment to our customers so that avoid the
customer long que for paying. These are what inspired us to establish Mix Shop and it is not only
can gain profits but can also help the low income groups and those who needs help from us.

SOCIAL MISSION
We believe that social mission is one of the important part that can leading the operation of a
business. As a social enterprise, Mix Shop is responsible to help those who needs our help which
are the low income groups. Our slogan ‘Everyone Can Buy’ is to ensure that every one of us are
able to buy groceries from Mix Shop. At the same time, Mix Shop will plan for donating surplus
foods to the charities which can provide emergency food relief to people who would then go
hungry. This action is not only can feed the peoples who go hungry but will also reducing and
recovering foods waste in Malaysia. In addition, we believe that our responsibility for customer
satisfaction is not only focused on the sale of a product or services, but also is the total
relationship a customer experiences when interacting with our company. We believe also in
honesty and truth in all trades and in providing products or services of the good quality at low
prices. At the same time, to help the B40 groups in Malaysia is one of the mission that we want
to do. So, Mix Shop will create employment chances to recruit the B40 groups and the
unemployment groups as our staff. This action is not only can reduce unemployment rate in
Malaysia but also make their life easier.
PRODUCT & SERVICES
The product and services section in our business plan is very important because this section is a
list that what’s our business (Mix Shop) is going to provide to our customers. Mix Shop is a
supermarket that will provide groceries that we usually need in our daily life such as grains and
breads, dairy and eggs, condiments, tinned, snacks, and non-foods products which are
kitchenware, household cleaners, and others hardware.
There is an example of product list shows that the products we will provide to our customers:
NO. PRODUCTS

1. Grains and Breads

a. Buns

b. Rice

c. Noodles

d. Oatmeal

e. Cereal

f. Flour

NO. PRODUCTS

2. Dairy and Eggs

a. Eggs

b. Cheese

c. Butter

d. Milk

Based on the product list above, the grains and bread, dairy and eggs is the foods that we usually
eat in every day such as breakfast, lunch and dinner. Grains and breads are packed with nutrients
including protein, vitamins and fiber. Dairy and eggs are also a source of protein and other
nutritional vitamins. Normally, we will have milks, breads and eggs for our breakfast. These is
the reason why Mix Shop will be selling these products and we know that these products are
daily needs for many of us.

NO. PRODUCTS

1. Condiments
a. Salts and Sugars

b. White and Black Pepper

c. Herbs

d. Soy Sauce

e. Chili and Tomato Sauce

f. Vinegar

g. Mayonnaise

NO. PRODUCTS

2. Tinned
a. Fruits

b. Beans and Corns

c. Tuna and Meats

d. Mushrooms and Vegetables

Based on the product list 3 and 4, condiments and tinned usually will stored in our kitchen.
Condiments is spice, sauce, or flavor that we added to our foods during cooking or after cooking.
However, tinned foods can be kept for a long time before there are opened and also can be our
back up foods at home. Because sometimes when we don’t have any fresh meats or vegetables at
home, the tinned foods can be served.
 NO. PRODUCTS

3. Snacks
a. Biscuits and Chips

b. Candies and Nuts

c. Chocolate

d. Beverages

Based on the product list 5, it is a small portion of foods generally can be eaten between meals.
Thus, the customers can get their favorite snacks in low prices from Mix Shop. Mix Shop will be
selling various choices of snacks since it is a convenience foods and beverages for every one of
us.

NO. PRODUCTS

3. Non-food Items
a. Kitchenware

b. Household Cleaner

c. Personal Hygiene

d. Miscellaneous Items

Based on the product list 6, non-food items will be also provided by Mix Shop. Non-food items
such as toothpaste, towels, toilet papers, shampoo and soaps, light bulbs, knifes, plates, spoons
and folks are basic needs in our home. So the customers are welcomed to Mix Shop and buy
their needs in low prices.
Furthermore, Mix Shop will plan to provide free delivery services to our customers who bought
RM 200 above. Mix Shop will create an app on Android and IOS, so that customers can just
shop by using the Mix Shop app through their mobile phones and tablets. We will ensure that the
products price on our app is just same with our shop. So for those consumers who facing
transportation problems or any problems, they will be recommended to use our app to make their
orders.

In addition, Mix Shop will provide self-payment kiosk to the customers. The reason of Mix Shop
wants to provide self-payment kiosk is because there is least supermarket in Malaysia have this
type of service for the customers. Customers just need to follow the easy procedures, which are
self-explanatory. The procedures will be guiding by our staff physically and they will help the
customers when the customers are facing problem with the self-payment kiosk. Customers just
have to scan their items one-by-one using the barcode reader and bag their items as they scan.
Then, they can straightly make payments and brought their items home. This system is so
convenience and save time.

INDUSTRY ANALYSIS
Industry analysis help understand the environment intend to work in and identify the importance
change that are take part in our market. Mix Shop is type of retail industry sector which is a
supermarket provide the various basic necessities and groceries at low prices to lower income
people and student primarily involved with selling food and also carry other household products
as well. In Malaysia, retail industry sector has a large and growing food retail market, supplied
by local and imported products from others country. In 2018, the number of establishments for
wholesale and retail trade sector in Malaysia recorded 469,024, recording growth of 4.8 per cent.
In this year 2020 due to the pandemic convid-19, government strict control under the Movement
Control Order (MCO) cause the drastic drop of foreign tourists, retail market was severely
impacted as retail poor sale and also have the negative growth rate. For the first quarter of 2020,
the retail industry recorded a fall of 11.4% in retail sales. Lower tourist arrival and MCO led to
poor retail sale performance of department store sub-sector. The business of this sub-sector
decreased by 17.5%. Next, for the second quarter, members of the retailers’ association project
are decline of 28.8%. Supermarket and hypermarket operators will not see big improvement in
their businesses in the coming months, expecting decline of 14.8%. The annual retail growth rate
for Malaysia in 2020 is projected by Retail Group Malaysia to be negative 8.7%, as compared to
last year.

Malaysia Retail Industry Quarterly Growth rate in 2020

Quarter Growth rate
First -11.4
Second -28.80
Third -3.5
Fourth -1.5
Whole year 2020 -8.7

In this technological and digital age, all of the company are encourage to do the e-commerce or
online instead the traditional enterprise especially in pandemic Covid -19 2020, all the company
or industry force to do the business online continuous their business. Nowadays, everyone
mostly like to use smartphone or computer browsing the internet, do the work or purchase
online. Mix Shop provide online platform to customer and focus on online business embracing
digital forms of commerce and step across from cash to cashless payments and provide delivery
service to meet the current environment. Mix Shop perceive that the online engagement impacts
the company. Therefore, Mix Shop need to have the online platform such as Facebook page,
Instagram account or development website page to deeper connection with customer. The online
business company needs to provide delivery service. Unlike purchasing in physical store,
customer can get product on time but through online platform, customer need to wait for
delivery. In addition, making digital payment a trend is an important topic for company to follow
e-wallet platform such as TNG or grab pay. Because of covid-19, company need changes in the
business processes such as distancing positions for customers waiting in check-out lines and
before walk in store they need to write their name and phone number and measure their body
temperature.

PEST ANALYSIS
PEST Analysis stands for political or legislative, economic, social, and technological. PEST
analysis is a useful framework for analyzing the external environment.
1. Political & Legislative
Stable political is important for the business long term. Political included specific policies and
regulations related to things such as labor laws, taxes, environmental regulation, tariffs and trade
policies are the rule for government in a country. Malaysia have sturdy and reliable local supply
chain network, and long-term sustainable growth prospects. In Covid-19, government's request
for essential business continuity retail businesses that handle food and daily necessities to people.
Retailers of shopping goods and luxury items cannot do the business because the product
unnecessary. The other entertainment shop cannot operate. To prevent with stock out issues,
stable supplies of products from business partners, stores had to come up with new operations,
such as limiting purchases to one per customer for certain products. Mix shop need to follow the
rules and regulations from government announcement to prevent any penalty. Mix shop should
also provide the name book and measure customers’ temperature before they come to physical
store and keep the social distance. Every employee is requested to wear their mask otherwise
they might receive penalty.
2. Economic
Domestic economic will to be unstable over medium to long term. Economic is the production
and consumption of goods and services are used to fulfill the needs of people. After a 4.5%
contraction in 2020 owing to the Covid-19 pandemic, Malaysia’s gross domestic product (GDP)
is expected to grow between 6.5% and 7.5% in year 2021. The strong of GDP grow will
improvement in global growth and international trade. COVID-19 pandemic impact the
economic through lockdown. When Covid-19, export and import transaction cannot be
continuous that cause the international trade overcome the therefore, economic go down and
company sales also not optimistic. Malaysia's unemployment rate is relatively low and stable it is
3.38% which means the population is experiencing close to full employment. The Malaysia
economic can affect the consumer purchasing power after that affect the company sales. Mix
Shop provides the necessary goods and daily use product. Therefore, if the economic is not
optimistic it will not affect more on the customer demand because Mix shop selling the product
that consumer needs and want at lower price to help the low income and student.
3. Social
Drastic change social will affect the business medium or long term. In the future, social lifestyle
will drastic change due to the high technology age. Many people like to do everything in online.
Therefore, company need to change their traditional operation to online business. Current
environment is the Covid-19, government restricted face-to-face service or direct selling, and
encourage e-commerce. Consumer lifestyle have to change due to the MCO, people need to stay
at home and only can perform online purchasing. People need to work at home and therefore all
of the activity via online channels has become normal. If people want to go outside, they should
wear their mask and bring along their alcohol disinfectant as these are the essential during this
pandemic. Hence, Mix Shop decided to provide online platform to satisfy current situation needs
to fulfill the changes of consumer lifestyle.
4. Technology
Technology is important as it can make the business running smoothly. Nowadays, company
prefer online business therefore, company need to have the electronic commerce (EC) to support
the online business. Mix Shop need to provide the E-wallet instead of cash payment to meet the
current demand such as e-wallet TNG, online banking or grab pay and others to make payment
without cash. Mix Shop needs to practice in used different social media platforms to attract
customer such as the TikTok video, Instagram and Facebook to promote the product. Providing
an online app is also a platform for customer to review our product more easily. It is also new
techniques that we adopt for store management and operational structure.

Political& Legislative Economic

 Sturdy and reliable local
supply chain network, and
long-term sustainable
growth
 Essential business
continuity
 Stable supplies of products
 name book and temperature
to customer before they
come to physical store
 Gross domestic product
(GDP) is expected to grow
between 6.5% and 7.5% in
year 2021
 Unemployment rate is
relatively low and stable it
is 3.38%
 Covid-19, export and
import transaction cannot
be continuous

Social Technology
 Lifestyle consumer have to  E-wallet instead of cash
change payment
 Work at home  Social media platforms
 Consumer online  Technology in workforce
COMPETITION ANALYSIS
Any business need to deeper understanding their competitor. It is useful to study what and how
they can success. Mix Shop is type of supermarket selling various basic necessities and groceries
product at lower price. The Eco Shop and MR DIY is our most important competitors in
Malaysia. Eco Shop is RM2.10 shop all of the product is fixed at only RM2.10. They selling the
product such as selling more than 10,000 daily household items, personal care, kids and baby
care and sport accessories, fashion accessories, beauty accessory and some of dried food. Eco
Shop has over 138 outlets all around Malaysia and not only the price and the idea behind the
brand is make the life easier. Next, the MR DIY already grown to become the largest home
improvement retailer in the region with stores across Malaysia. MR DIY now has a network of
674 stores and is the largest home improvement retailer in both Malaysia and Brunei. MR DIY
selling the product such as hardware, household, electrical, furnishing, car Accessories, computer
and mobile accessories, stationery and sports, toys, gifts and more that are offers a wide
selection of more than 16,600 types of products at 'Always Low Prices'. MR DIY expanded into
country such as Thailand, Brunei, Indonesia, Philippines and Singapore and also is the market
leader in home improvement retail. Both of the competitors also provide offline and online
business to satisfy customer.

The main weakness of Eco Shop is the product quality is lower which means it’s easy to damage
due to the price is fixed at RM2.10. Therefore the product quality is limited to have and product
is cheap. An addition, the product arrangement of the Eco Shop is not regularity and the placing
of the product is random hence it’s difficult to find the product we want. Eco Shop doesn’t
expand their company into other foreign country as they only operate in local. Next, the
weakness of MR DIY is they face public over sticker controversy because of selling car stickers
in the shape of a footprint, which was later found out to be showing Arabic scripts and this
already damage their image company. Mr. DIY does not operate a fixed price model and retail a
wider product variety at varying price point.

Strength Weakness

Eco Shop  Product fixed at only RM2.10  Product quality is lower

 Selling more than 10,000 daily
household items
 Over 138 outlets all around
Malaysia
and cheap
 Product arrangement is
not regularity and placing
the product is random
 Not expanded into foreign
market

MR DIY  More than 16,600 types of  Face public over sticker

products at 'Always Low Prices' controversy
 MR DIY expanded into country  Does not operate a fixed
such as Thailand, Brunei, price model
Indonesia, Philippines and
Singapore
 Largest home improvement
retailer in both Malaysia and
Brunei.
 Market leader in home
improvement retail

Compare with the competitor Eco Shop and MR DIY, our company Mix Shop is only focus
selling the various basic necessities, groceries and some household product below RM5. Unlike
the Eco Shop and MR DIY, Mix Shop not only sells the household item we also sells grains and
breads such as rice, flour or noodles and dairy and eggs. All product are sells at lower than RM5
that shows the difference of our company compare with others competitors Eco Shop and MR
DIY. Mix Shop product is more quality than the Eco Shop product and the price is lower than
the MR DIY. Therefore, we have the ability to compete with the competitors.

The competitor pricing strategy for Eco Shop is all products selling price fixed at RM2.10. It is
the demand based pricing strategy focuses on the level of demand for a product or service, not on
the cost of materials and labor. The production and sales levels would be the most profitable in
Eco Shop. Therefore, affect our sale strategy purpose provide the lower price to low income
group and student due to the price Eco Shop is less than our company. For MR DIY, price policy
is “Always Low Price”, MR DIY price is setting product variety at varying price point and
ensure lower price than competitor. MR DIY setting the price by follow the value and quality of
product and competitor.

Our company main competitor is Eco Shop and MR DIY because we have the same pricing
strategy it is provide low price to people and same target market. The table is list the estimate
market share for competitors.

Main competitor Market Share

Eco Shop  Gross margin and net margin of 29.95% and 3.61% respectively

MR DIY  Market share 29.10%

 IPO market capitalization of RM10 billion, price of RM1.60 per
share and RM1.5 billion in proceeds that will be raised
 Expected to grow at a compound annual growth rate (CAGR) of
10.2% between 2019 and 2024 to reach RM12.5 billion.

SWOT ANALYSIS
SWOT analysis is a useful framework that utilized to determine the strengths, weaknesses,
opportunities and threats of an organization. The objective of developing SWOT analysis is to
assist organization to create awareness and vigilant on analyzing factors that involved in making
business or organization decisions. Through implementing SWOT analysis, the organization
could constantly analyze their operation and enhance the effectiveness on organizing and
managing their business.
 STRENGTHS WEAKNESSES
 Strategic location  New establishment
 Low price  Limited funds
 Variety of product  Difficult in finding suitable workers
 Convenient  Changes of consumer demand
 Loyal customer returning

OPPORTUNITIES
 Diversify into new markets
 Improve production process
 Develop market share in new
countries
 Expand product lines
THREATS
 Increases competitiveness
 New company venturing in the
market
 Increasing of cost production

MARKETING SUB-PLAN
Marketing plan is refer as a comprehensive organization outlines that illustrates the methods of
implementing marketing strategy in an organization. It comprises details of current marketing
situation, target markets and a combination of marketing strategies that intend to be used to
achieve organization marketing goals. It also guides and provides evident directions to the
organization in order to achieve their business objectives and generate potential customer to
reach their target markets. The results obtained should be constantly evaluated and referred.

Target Market
Mix Shop is targeted to sell basic necessities, groceries and household products to low income
group especially students and families from B40 groups in Pengkalan Chepa, Kota Bharu,
Kelantan. This brings convenient to low income groups as there are several institutions and
boarding school nearby hence students and families from low income group could afford to
purchase their necessity in a low price.
Market Segmentation

Geographic Demographic Psychographic

 Located at Pengkalan  Targeted groups: Low  Individuals purchase
Chepa, Kota Bharu, income groups especially basic necessities and
Kelantan students and families groceries based on their
from B40 groups frequency of purchasing
Market Size
Market size is defined as the total number of potential buyers of a service or product within the
given market. Based on Statistic Malaysia, Kelantan had a population 1.89 million in 2019.

The Product
Product could be defined as any goods or services offered to a market to satisfy the needs and
wants of a customer. Product can be an item or services provided. Mix Shop provides a variety
of groceries and basic necessities which comprise grains and breads, dairy and eggs, condiments,
tinned, snacks, and non-foods products which are kitchenware, household cleaners, and
miscellaneous items. Meanwhile, Mix Shop also developed a brand new design for our food
packaging. The important features that make our product worth having are design, functionality
and reliability. The design of our food packaging included our logo, company name, information,
packaging sizes and colors. The products are then individually packed and sealed to prevent from
being damaged or contaminated. Mix Shop also provides self-service basis towards customer
which means with a shopping trolley or cart, customer could buy their groceries or daily needs
more conveniently. Furthermore, Mix Shop ensures that their products acquire from suppliers are
freshly made and have long shelf life to enhance customer purchasing towards their products.
Besides, Mix Shop also consider in improving the features of product in packaging material,
product displaying and quality of product.

The major competitors that offer similar products with Mix Shop are Eco Shop, MR DIY and
Setia RM2. The difference between Mix Shop with Eco Shop, MR DIY and Setia RM2 are the
variety of products offered below RM5 with exquisite quality. Mix Shop focuses on offering
daily needs such as grains and breads, dairy and eggs, condiments, tinned, snacks as our core
product and household products as our complementary product unlike those major competitors
focus on household products with vary prices. In addition, Mix Shop can be described as
innovative as the shop runs in the form of supermarket and provides self-service basis which
minority shop does. Moreover, Mix Shop also plans to provide self-payment kiosk for the
convenient of customers. Customers could just scan their merchandise using the barcode reader
and make their payment at the kiosk. This would enhance the efficiency of the payment process
by reducing the long queue and payment time and customer satisfaction towards purchasing.
The Customer
Customer refers as an individual that purchase goods or services from a shop or business. The
targeted customer for Mix Shop would be the low income group in Kelantan. Mix Shop is
mainly focused on selling basic necessities, groceries and household products especially to
students and families from B40 groups in Pengkalan Chepa, Kota Bharu, Kelantan. The aim of
operating Mix Shop is to help those who are in needs especially B40 groups to purchase their
basic necessities and groceries at low price. It’s also convenient as there are several institutions
and boarding school nearby hence students and families from low income group could afford to
purchase their necessity in a low price. The slogan of our shop is ‘Everyone Can Buy’ and we
ensure that every resident in Pengkalan Chepa are able to buy daily needs and groceries from
Mix Shop. The types of customer that are likely to purchase our product are potential customer,
need-based customer, loyal customer, new customer and connected customer. Mix Shop will
plan to uniform the approach to all customer groups as the aim of our shop is to ensure that
everyone can buy groceries or daily needs at low prices. The measurement utilized to identify
customer requirements is price, quality, convenient and choice towards customer. Mix Shop
plans to receive customer feedbacks in order to ensure high degree of customer satisfaction
towards our product through distributing survey form to customer and ask for the review after
customer experienced in purchasing our products. By utilizing customer feedbacks, Mix Shop
could identify more on customer consideration as well as improving our products towards
customer expectation.

The Place
Place is defines as a location of distributing or locating the products or services by a company to
the customer. Mix Shop plan to sell their products through physical store and e-commerce
platform. The physical store will be located at Pengkalan Chepa, Kota Bharu, Kelantan. The
purpose of locating our shop at Pengkalan Chepa is due to the strategic location of several
institutions and boarding school nearby and it’s convenient for students and families from low
income group to purchase their basic necessity and groceries in low price. Meanwhile, Mix Shop
also plans to create an app on Android and IOS, hence customers could just purchase their
products in a click of time. By adding products into their shopping cart using the Mix Shop app
via their mobile phones and tablets, customer can enjoy purchasing online without waiting for
long queue in physical store. Mix Shop will ensure that the products price on our app would be
similar to the price in physical store. Furthermore, Mix Shop will plan to provide free delivery
services to our customers who bought RM 200 above. For those customers who face
transportation problems, they will be recommended to use our app to make their orders. In
addition, customer could also access to our website or other social platform such as Faceboook
and Instagram for more enquiries.

The Method
Promotion is a part of marketing that involves advertising, business promotion, publicity, public
relations and etc. Mix Shop has planned to advertise their business social media platform such as
Facebook and Instagram. Advertising on social media could ensure advertising done in real time
and attract customer to pay a visit by clicking into the advertisement. Customer could also access
on the websites and social media platforms for making orders or enquiry more related
information such as the price, product list, order information and description of the product.
Customer could access our website anytime they wish to purchase our prodcuts. This helps to
build a good reputation and public image towards customer. Besides, Mix Shop will distribute
flyers or poster of their shop to residents in Pengkalan Chepa with the information to attract and
welcome customer that wish to buy daily needs and groceries to patronage their shop.

In addition, Mix Shop also provided membership promotion. Membership application is

provided for customer with a RM20 charges and once the membership is applied it’s for lifetime
membership. Member that purchases above RM200 are entitles a free delivery promo to your
doorstep. For customer that applies as our members, they are entitled to enjoy membership
discount of 5% for every purchases above RM250. Furthermore, customers that make their order
and payment through our website would entitle to receive a complimentary coupon when they
purchases above RM300.

Likewise, our major competitors also advertise their products online and offline but our shop
would be more effective as the social advertisements is measured in real-time. Mix Shop is able
to track the content of the business post and collect the information of who has clicked into the
advertisement and interested to purchase our products. In pricing, Eco Shop and Setia RM2 fixed
their selling price at RM2.10 and RM2 respectively. It is the demand based pricing strategy
which focuses on the level of demand for a product or service, but not on the cost of materials
and labor. For MR DIY, they applied competition based pricing strategies as they set their
product at vary prices and ensure they provide lower price than competitor. Unlike, our pricing
strategies are value-based pricing. Our prices are fixed below RM5. The purpose of setting this
price is to provide lower price to low income group families and students as we value our
customer more than our costs.