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Course Title: Financial Market & institution

Course Code: FIN-322

Submitted To:
Md. Amdadul Hoque
Assistant Professor
Department of Finance & Banking,
Comilla University

Department of Finance and Banking

Date of submission
 Executive summary

Choco treat is such a Chocolate business that bring about some healthy, economically
priced and great tasting item. The market demand has never been greater for food that is
healthy, economically priced and great tasting. Choco treat always tries to focus on
customer want. We start our business only four items such as kacagolla, Donuts,Swiss
roll,Chicken pestey. We focus on food’s quality rather than quantity. We effectively foresee
understand and meet the needs of our customers ensuring maximum satisfaction. We strive
to gain and maintain the justified trust of our employees, customers and business partners through our open,
honest and principled approach.

We launch the choco treat business in 1 january ,2022.We some friends generate idea to
start a Chocolate business. We start business with small amount of capital. We choose the
online market for selling our foods due to covid 19 . We use website, email, social media,
Facebook, Youtube to reach our customer. We try to reach chocolate lover people with our
chocolate item with reasonable price. We deliver on our promises in accordance with
international quality standards and in support of our company goals.

Competitors as a frame of reference to differentiate our product is another type of

positioning. Positioning our items against competitors is an obvious challenge and asserts that
our product is superior with a competitive edge. The challenge of competitiveness motivates
our commitment to be on the cutting edge of technology in all areas of our business. Choco
Treat will always try to keep their quality with reasonable price.

The starting cost of our business is 25000 Tk include variable and fixed cost. The sale in the
year-1, the estimated sales is tk-50000. In the following year the anticipated sales are
75000. Conversely, in the Year-3, sales is predicted about 1,20,000. In the meantime, in
year-4 sales is estimated about tk-2,00,000. We are optimistic about our forecasted sales if
situations remain steady.

We are a dedicated to fully satisfying our customers needs through our commitment to do
our job better each day. Our People are the company’s most valuable asset. Qualified and
motivated people produce exceptional results. Quality is the purpose of all our internal
processes. We are passionate about the art of chocolate-making and we are continuously
striving to create perfect premium chocolates that will put a smile on our customers face. We
will continue to use nothing but the finest quality ingredients and implement strict operational
procedures to ensure that the chocolates produced are perfect. As the choco family, we
display effective teamwork by providing the necessary support for each other and make the
most of our differences in knowledge, skills and experience through mutual respect and
insight.

COMPANY & BUSINESS DESCRIPTION

OUR VISION

Our vision for the future is to become a leading national chocolatier that emphasises on
excellence and perfection by creating the finest and the most indulgent chocolates with our
spirit of innovation.

OUR MISSION

We are passionate about the art of chocolate-making and we are continuously striving to
create perfect premium chocolate and cake items that will put a smile on our customer’s face.
We will continue to use nothing but the finest quality ingredients and implement strict
operational procedures to ensure that the chocolates produced are perfect.

CORPORATE CORE VALUES

1.PASSIONATE

We at Tasty Treat are always passionate

about the wonderful art of chocolate-making
and we are continuously pursuing our
passion to produce the finest quality of
chocolates by combining traditional
techniques with modern technology.

2.INNOVATIVE

Our strong innovative spirit at Tasty Treat is what

drives us to continue developing new interesting
and bold flavours for our chocolates. We take
inspiration from the ingredients and flavours native to the region to create new chocolates
that will surprise and delight our customers.

3. METICULOUS

To ensure that the chocolates produced are

perfect, we employ strict measures
throughout our operations to ensure that the
quality of our chocolates is uncompromised.
Our customers can rest assured that they
will be satisfied every time they take a bite
of Tasty Treat chocolates.

Market analysis

Target market - As we launch a new product in the marketplace, at the initial stage we
target the local University student as our customer. On the other hand we hope student have
great choice for such types of item. Mainly our business is online based but we have also a
plan to create a first impression of our buyer through a 'Fair Stall '

As our main aim is customer satisfaction we segment the total market to provide our service
most effectively through 4 main types of market segmentation :

(1) Demographic

(2)Psychographic

(3) Geographic

(4) Behavioural

1. Under the demographic segmentation we concenrtrate upon the several genric traits
like : age, religion, gender, income, ethnicity, occupation etc.
2. Under the psychologic segmentation we breakdown our customer under the criteria of
beliefs, values, lifestyle, social status, opinion activities.
3. In the segment of geographic criteria we group together our target customer with
regard to their physical location, needs, wants and cultural consideration.
4. Past action "this term is relevant to our behavioural segmentation. In this concept we
concentrate on :spending habit, browsing habit, brand engagement etc .

Competitor analysis:
Location analysis:
Under the location analysis of our Under the competitor analysis we consider such
projected product we have to take into factor :
account such types of factor like:
(1) Proximity to the source of supply. (1) We determine our competitor first.

(2) Actual transportation cost.
(3) Proximity to customer.
(4) Availability of special skill.
(5) Community consideration.
(6) Site consideration.
(7) Quality of life issues.
(8) Local competition.
(9) Climate cultural attraction.
(10) Local zoning.
(2) Determine what product the competitor offer.
(3) Then research the competitor sales tactics
and result.
(4) Take a look to their pricing as well as any
perks they offer.
(5) Analyze how they market their product.
(6) Take a look upon the competitor content
strategy.
(7) What technology stack they use?

(8) Finally perform a SWOT analysis to learn

their strength, weakness, opportunity, threats.
 Marketing plan

Positioning strategy: Our positioning strategy focuses on how we will complete in the
market. An effective positioning strategy considers the strength and weakness of the business.
 Quality or product benefit strategy: On this strategy we focuses on quality. We
serve healthy items like donuts .Many people believe that carbohydrates is for our
diet. But we need some carbohydrates to fuel our body because it works as our
energy. Take three donuts in the morning, it satisfies 1500 calories which a adult
needs per day. Sugar in a donuts might work as stress reliever.
 Pricing: This strategy focuses on the relationship between the price and quality. A
lower priced product will position for affordability. That’s why we offer lower and
reasonable price. When comparing with other’s product, we try to meet the demand at
an affordable Price.
  Competitors: Using competitors as a frame of reference to differentiate our product
is another type of positioning. Positioning our items against competitors is an obvious
challenge and asserts that our product is superior with a competitive edge. For
example: Chicken - based fast food restaurants encourage customers to eat chickens.

Customer Acquisition Channel:

Customer acquisition channels are how we bring in new customers. These are some popular

customers acquisition channels include:

1. Facebook: Live video streaming, One to one messaging, advertising

2. YouTube: Longer, more informative and entertaining video content.

3. Paid Social: Short snappy ads with compelling visuals.

4. Referrals: Discounts and loyalty rewards.

5. Email: Email can be a great channel for nurturing existing leads into customers.

6. Website: From offering our new leads valuable information to providing deeper
existing customers through subscription and loyalty.
7. Event Marketing: Our team holds monthly customer and prospects events .Persons
events are the best ways to interact with potential customers.
 Sales plan
Inbound Sales: In this sales, people are coming to us because of our successful content
Marketing. Unlike inbound sales our target customers are already engaged with our products
such as: email subscribers, blog readers or social media channel followers.
Outbound Sales: In this sales, the sales reps are proactively seek out the potential
customers and move them closer to the sales. Our sales team has to reach out the right
customers who have not engaged before.
Customer Centric Sales Methodology: It promotes meaningful conversations with
prospects to identify their needs. We target critical decision makers and ask questions to
understand their situation, align with their needs and offer relevant solutions.

Sales Organization Structure:

Territory Organization Structure: Organizing our sales team by territory allow each
persons to develop familiarity with a specific geographic locations. We can build rapport with
local businesses, get to know regional competitors and track target accounts.
Sales Channels:
Direct Channels: In this method we directly sell the goods to the customers. There is no
involvement of intermediaries in this distribution. We distribute our products mainly by retail
outlets and internet selling.
Indirect Channels: Indirect distribution involves a series of intermediaries between the
producer and the client. When at least one intermediaries lies between us and the client,
issues about increasing costs may appear. We sell the goods to a wholesaler, the wholesaler
to a retailer and then to the customer.

Tools and Technologies:

Sales tool refer to the digital tools used by the sellers to make their works easier.
 CRM: Customer relationship management software assists in the management of our
business relationship with customers.
 Email marketing platform: To let new and existing customers know about our
products, we can turn to email marketing. This is a great way to get the world out
about our product.
 Financial Considerations
Choco Treat
Start-up cost Statement
For the 1st Year

Particulars Tk Tk

Variable Costs:
Raw Materials 5000

Wages 2000

Electricity 1500

Supply and gas 1000

Depreciation of factory machinery 500 10000

Total variable costs ---------------

Fixed costs:
7000
Factory Machinery
5000
Fixed employee salary
15000
3000
Equipment
----------------
----------------
Total fixed costs
25000
----------------
Total cost:
 Sales
Sales
250000

200000

150000

100000

50000

0
Year -1 Year -2 Year -3 Year -4

Figure: Sales Forecasting

Here we can see in the graph that, in the year-1, the estimated sales is tk-50000. In the
following year the anticipated sales is 75000. Conversely, in the Year-3, sales is predicted
about 1,20,000. In the meantime in year-4 sales is estimated about tk-2,00,000. We are
optimistic about our forecasted sales if situations remain steady.

Break Even Analysis Of Choco Treat:

¿ cost
BEP
Selling Price PU −Variable Cost PU

15000
= 125−50 = 200 units
Here, Total Revenue is 25000
Total Cost is 25000,
Profit = ( 25000-25000)
=0
Break even point 200
To earn profit 50000 the Choco Treat business have to sell 866 units

Expected profit & Loss

An annual P& L chart plots annual revenue, COGS, expenses, EBITDA. It thus enables you
to quickly see visually how the company is doing financially. Some people prefer to show
this is to investors & lenders rather than a table of numbers due to its visual impact. Here is
an example of how the chart looks like:

Here in the graph, we can see the profit is increasing day by day. We can increase our profit
by increasing sales volume. Thus, we can see in the graph that, in the year-1, the estimated
sales is tk-50000 to increase our profit. In the following year the anticipated sales is 75000.
Conversely, in the Year-3, sales is predicted about 1, 20,000. In the meantime in year-4 sales
is estimated about tk-2, 00,000. We are optimistic about our forecasted sales if situations
remain steady. Thus, we can increase our profit.

Techniques to increase profit

We can increase profit by following some techniques:
 Reduce utilize

 Reduce labor cost

 Review discounts & promotion

 Review your pricing Strategy

 Optimize your marketing efforts

 Tax advantage of tax break

 Raise your prices

 Avoid price competition.

 Funding Requirement

 Bank Loan: The most inexpensive method of business finance. Somewhat

unattainable to start up businesses unless you have two years in business, a credit
score of at least 650 and high annual revenue.

 Online Loans: High approval rates and fast funding, but most require a year in
business. Can be the most expensive option of business funding with high interest
rates and frequent repayment deadlines?

 Line Of Credit: A popular method of funding that can be withdrawn at your own
pace and requires financial statement and some time in business. Smaller borrowing
limits make it supplementary rather than the bulk of funding for growing businesses.

 Venture Capitalism: While this method takes effort and patience, it can be a great
option if you are willing to give up some control over your business. The right
investor can lead to large amount of funding, a larger network and business advice. Be
wary of selecting an investor with incompatible values or skills set for your business.
Crowd funding: Offers feedback from customers, funding flexibility and a wide network if
people to market to. Unfortunately, you never know how much funding you can secure, so it
is unreliable as a steady source of funding.
 Angel Investors: An angel investor is an individual who provides capital for a business
or businesses start-up, usually in exchange for convertible debt or ownership equity.
Angel investors usually give support to start-ups at the initial moments and when most
investors are not prepared to back them.

 Business Incubator Group: An incubator firm is an organization engaged in the

business of fostering early-stage companies through the different developmental phases
until the companies have sufficient financial, human, and physical resources to function
on their own.