Assignment # 2

Entrepreneurship and Innovation-BBA

Student Name: Haider Ali Registration # BAB211010

Marks : 02 Marks Obtained:_______
Date of Submission: 27th March 2022 (Sunday Midnight via MS-Team)

NEW VENTURE CREATION –

Under Rs. 5000-10000
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1. What is your Business Idea?

My Business Idea Is to Sell Hands free/Earphones online on DARAZ.com. Being
an regular user of this product I understand its importance and opportunity to earn
profit. Hands-free is used by all age group of people and everywhere so the market
segment for this product is huge and hence the chances of success of this idea is
too.

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2. Why this idea is so important?
According to Statista, the annual sales of headphones in the US alone is projected
at $16.84 bn in 2022. Here are some facts about mobile users in Pakistan from
PTA:
Total mobile users as of Dec-2016: 136,489,014
Total 3G/4G users: 37,574,396
Hands-free Market is big People of all age group now a days uses Hands-free out
of the 136,489,014 mobile phones users in Pakistan 75%of them uses hands-free.

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3. What is market significance of your business idea?
The headphone market has been growing steadily in the last couple of years and is
projected to continue its growth well into the next decade . About 28% of
headphone users also report an intention of purchasing headphones at some point
within the year, so there’s plenty of market space to occupied for merchants selling
to a specific niche.s
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4. What is the location of your Business?
I’ll be selling products on Online E-commerce website DARAZ.Online Business is
profitable in Pakistan more and more people are shifting to online purchasing to
save time and money it has also become profitable for businesses and
entrepreneurs because now they can start there business without any physical place
they can operate and rune their business from home saving a lot of expense on
renting or buying office etc. Daraz seller account gives you access to millions of
customers for your products at 0% commission rates. Also, Daraz helps your
business by assisting with fast and reliable shipping, professional services & secure
and timely payment. With a little investment and lesser commission, on having the
chance to sell your products, you can earn well from Daraz.
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5. How many new jobs this Business will create?

This is a sole proprietorship so it won’t be creating new jobs as it’s a small setup
can’t do big with only Rs.10000 ill be working alone buying product from
wholesale market and selling it on daraz
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6. What is Total Business Investment Required?
I can start this business easily with an investment of Rs.10000 as hands-free are
cheap product and even cheaper in stock/wholesale price
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7. How you are going arrange capital to start this business?
I have some savings and the rest I can lend from my parents and friends
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8. What is strategic financial planning of your business?
My vision is to provide good quality cheap hands-free to everyone. I want to
provide them handsfree according to their need different people have different use
of handsfree Some use it for calls other uses them for music and some for gaming
so they need different type and quality of handsfree for different purposes the
biggest customer of handsfree are those who need them for calling and music right
now I want to target this big one segment which is easy to serve as they prefer to
buy mid range handsfree .
I will buy Handsfree from wholesale market which is in Raja Bazar Rawalpindi I’ll
buy good quality made in china handsfree which are cheap and popular and are
easily sold and have high margin I will also buy some up range handsfree of the
company “Faster” they recently started business in Pakistan they are not very
famous right now but their product is one of the best in the market so this mixture
of low range and mid range handsfree will be my product line I’ll buy these from
market in stock price where the low range are sold for 70-120 rupees and can
easily be sold online for R.s 350-600 and if we talk about mid and upper range
handsfree from faster company they can be bought at stock price of 200-300 and
their retail price is 500-950 so the profit margin is very high Daraz cut commission
on sale but after cutting my expenses and cost and commission I will be left with
huge and enough profit to expand this business.

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9. When you are going to start this business (By 1st week of April is must)
Ill gather the required investment half of which will be provided by parents, do
some market research and contact some wholesalers in Raja Bazar it will take
4/5days to complete research and finalize the companies whose products I’ll sell so
I will start this business within the first week of April. Inshallah if all goes as
planned Ill be running this business on 4th of April.
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10.What is expected 1st Return on your business (April -?) Develop the
road map of Weekly- Monthly Return
This will be my first experience so I don’t have a good idea of the returns but
according to the research I have done and consultation from Experts who are
already in this business the first few weeks can go without profit it can go for a
month may be as my new daraz account will not be on the starting pages of the
website but hopefully the sales will start and with each sale and a good review my
product will go one page up to the front . As per expectations and Some of my
friends already in this business the business will start running smoothly within 3
weeks of it start
Weekly: 8/10 pieces will easily be sold in a week in start of the business and it will
increase to 15/20 pieces after some sales and good reviews which means an
average of 2000-4000 will be my return in a week depending upon which type of
handsfree are more selling
Monthly: Expectation is that 100-250 will be sold in a month after some smooth
running of business and coming within the first 8 pages of the website that means
an average return will be between 60000-10000 .
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11.How you are going to Sustain and growth this business
If and inshallah my business runs successfully and starts generating good amount
of profit I would like to expand and enter new markets I would create social media
accounts of Facebook, Instagram etc. Give discounts and deals add other mobile
accessories products. In order to sustain and increase growth in this business I
would to social media marketing target the specific audience include variety in my
products i.e. Gaming Handsfree, Bluetooth,earbuds etc