MGT 1022

LSM DA-3

Name-Vaibhav Bardhan
Competitors-

Luxottica Group S.p.A.- Luxottica represents one of the world’s largest eyewear companies
that manufacture and sells eyewear frames, catering to more than 20 licensed designers’ brands
like Chanel, Tiffany and Burberry, and various house brands including REVO and Ray -Ban.
It has approximately 7,000 franchises (around 615 stores) and operates Lens Crafters and
Pearle Vision optical stores, Sunglass Hut, Watch Station and Watch World, and the
EyeMed Vision Care group.
Essilor International S.A.-Essilor International S.A., formerly Essilor International
Compagnie General D'Optique SA, is a France-based ophthalmic optics firm that strategizes,
manufactures and markets a range of lenses to enhance as well as protect eyesight. It also
develops and sells equipment for prescription laboratories, instruments and services for eye
care professionals .
Johnson & Johnson Vision Care Inc In- 1959, Johnson & Johnson Vision Care started
operating as Frontier Contact Lenses, a small firm in Buffalo, New York which manufactured
hard contact lenses. In 2017, the company acquired Abbott Medical Optics (AMO), a leader
in ophthalmic solutions which offers technologies in cataract surgery and laser refractive
surgery (LASIK). Johnson & Johnson Vision has its business units in the USA, Brazil,
Singapore, UK and Germany.
Lens kart-With its headquarters located in Faridabad, India, the company was incorporated in 2010,
and currently has a workforce of over 4,000 employees, manufacturing over 300,000 glasses every
month. They even have a manufacturing facility in China where 20% of their optical frames are
manufactured.

MARKET STRATEGY-
Seeing the scenario of the Indian market in goggles, as we have a primary focus to help humanity
with the electro glasses, we would pitch the customers based on serving humanity, we would also
show them the profits earned through the normal selling being used in the charitable trust for
manufacturing of the electro glasses.
This would not only attract the customers but would also help them to serve the basic humanitarian
cause. We would also send the customers the image of the electro glasses made from the profit earned
from selling normal glasses to them hence maintaining trust between customers and sellers, by
sending them photos we ensure them with quality of goods and trust that they have shown upon us
and hence increasing the quantity of the sales.
Further to face our competitors we would also provide testimonials of our current customers saying
the comfort and reliable designs that they have received from our company and side by side helping
the needful of the society, the testimonial would be the great marketing strategy as more people would
develop trust in the company and hence would order more from us.
Besides this we would be having a transparent transaction sheet, enabling customers to see our profit
loss statements and can also check the amount of money that we have spent on the solving of
humanitarian causes for partial vision disabled people hence.
FINANCIAL PLANNING-
• What is Financial Planning?
A financial plan is like a financial game plan for your start-up. It outlines your company’s current
financial state, your goals for the future, the actions you’ll take to reach those goals, and how much
it’s going to cost.
Financial planning is the process of putting your “game plan” together and documenting it. Using
data, you make assumptions about revenue, expenses, and other financial parts of your business to
forecast the financial trajectory of your business.
• Why is Financial Planning Important for Start-ups?
It costs money to grow a business, and most people don’t have unlimited resources. If you don’t plan
for how you’re going to grow and how much it’s going to cost, you can easily waste your two most
precious resources—time and money.
On top of that, if you plan on pitching investors, they’re going to expect to see a financial plan. They
need to know that once they give you hundreds of thousands or millions of dollars to grow your start-
up, you have a plan for exactly how you’re going to use the money.
Essentially, financial planning forces you to think strategically about how to best use your resources
and what your expected results are.
• How much revenue will we generate?
While talking the revenue that we have planned to generate is around 20 lacs per annum considering
the cost of machines and other another miscellaneous costs would add up to make the final product,
we also expect to increase this amount to 30 lacs per annum as calculated from the product life cycle
graph and other business cycles that we have analysed before the launch of our product
• How much do we have to spend on sales and marketing?
The approximate amount that we allotted for marketing was around 3-4 lacs out of the total revenue
we have planned to generate which comes to around 20% of the total revenue generated, also
according to the product lifecycle graph while in the stage of marketing sales are not that high and
the product has just started to make a profit it is still the stage of the infant in the market, further, we
should give proper percentages total revenue for advertising and marketing as it will help to launch
the product properly.
By answering these types of questions with data and numbers and turning them into a financial plan,
we will have a clearer picture of what growth looks like, how much it’ll cost, and how to measure
success.
INITIAL EXPENDITURES-
• Making of Inventory (20% of the Initial Expenditure)
Start-up inventory cost is the amount of inventory you have manufactured to help take the project further.
It is important to calculate the inventory cost at the start because most start-ups fail only because they
have overstocked themselves without realizing the actual amount of orders they are going to get.
• Legal Procedures (15% of the Initial Expenditure)
Includes the cost of acquiring charted accountant, issuing various policies, and taking multiple insurances
and we may also include the cost of submitting the various documents to government agencies for issuing
various certifications and licences
• Machine Cost (35% of the Initial Expenditure)
It involves the cost of new machines to manufacture the desired product and also includes the maintenance
cost for the same, it is the largest contributing part to revenue.
• Taxes (15% of the Initial Expenditure)
Taxes are a necessary evil that comes around every year. When you’re developing a budget, it’s almost
impossible to assign an amount or a percentage to allocate for taxes. They depend totally on the amount
of revenue your start-up generates, which is also something that you can’t predict.

• Office Cost (10% of the Initial Expenditure)

Everyone desires a fancy office. But everything comes at the right time. There is no need for you to
purchase or rent a huge workplace. Focus on the success of your business first – your dreamy office can
wait until you establish yourself.

RUNNING EXPENSES-
A running expense is an expense a business incurs through its normal business operations. Often
abbreviated as OPEX, operating expenses include rent, equipment, inventory costs, marketing, payroll,
insurance, step costs, and funds allocated for research and development.
• Salaries (40% of the Running Expenditure)
It includes the salaries of the staff members, managers and other employees that are working in the
company and which are the main asset to the company’s wealth.
• Electricity (25% of the Running Expenditure)
Includes the power consumption of the corporate office as well as the manufacturing house, it also
includes the electricity that is consumed by the huge machines included in the manufacturing house.
• Payment for Renewal of various licence (15% of the Running Expenditure)
There is certainly money kept for the renewal of the various licences such as ISO Standard, municipal
corporation licence, and licences awarded from industrial associations.
• Facilities for employees (20% of the Running Expenditure)
The company provides various facilities for employees such as a transportation facility to come to the
manufacturing unit from their home, also adding to the company by providing food and refreshments to
the employees during their work hours.
MAINTAINING EXPENSE-
Company major amount goes into the maintenance cost of the machine as daily check-ups and
servicing need to be done to have smooth functioning of the machines incorporated into the
manufacturing unit, it is vital to do so because it aids to increase the machine life as well as it helps
to the machine to work on the maximum power when needed producing the desired number of the
product and hence increasing the sales of the over product. Besides the maintenance of the machine,
there is the cost for the maintenance of the overall factory arena starting from daily cleaning of the
factory surfaces to the cleaning and maintaining overall factory decorum.
Objectives of the Business (in terms of Profits for the near future)-
Mission statement
Electro Glasses will take a leading market share position in every state in which its brands operate, and
achieve, best in class, operations and therefore operating. In this competitive market, every business
organisation has so many challenges with tackling many direct and indirect challenges. Electro Glasses’
ultimate goal is to achieve its strategic aims and vision, for its organisation has its strategic plan. So,
Electro Glasses also has its strategic plan to achieve its ultimate aims and vision. To be the market leader
it needs to earn more customers in other words it has to sell its products and services on a large scale to
capture the market OUR COMPANY has given impressive and unique service to its customer by selling
its quality products and services in low price which is affordable to all economic level of customer.
Besides this, it has taken social responsibilities by providing many services to different groups and levels
of customers such as it has divided age groups to provide its impressive services to provide free NHS
service to elder people as well as children who are under 16 and again it provides a noticeable discount
in some products to them. This type of social activity helps organisations to leave a good message in
society.
Objectives
• Increased revenue
• Increased margin by marketing promotion and sales
• Work and time management
• Achieving the key customer pledge
• Reduced costs
• Reducing staffing cost
• Reducing administrative overhead
• Reduction in machinery overhead
• Reduction in management overhead
• Promoting staff efficiency
• Working feedback
• Store management
• Effective change
• Use of Information Technology
• Online feedback
Ultimately Electro Glasses aim to be the best optical retailer in India with the market leader intending
toward monopoly.

THANK YOU