Professional Documents
Culture Documents
Table of Contents
Introduction.................................................................................................................................................2
Aim/ Objective.........................................................................................................................................3
Analysing “industry”, “customers”, & “competitors”..................................................................................3
Industry Research Analysis......................................................................................................................3
Customer Research Analysis....................................................................................................................4
Analysis of Competitors...........................................................................................................................4
“Product” & “Company” Description...........................................................................................................4
“Marketing strategy”...................................................................................................................................5
Market Overview:....................................................................................................................................5
Target Audience......................................................................................................................................5
Market Statistics......................................................................................................................................6
Market demands:........................................................................................................................................6
Market dynamics:........................................................................................................................................6
Marketing Blend:.........................................................................................................................................6
Produce:..................................................................................................................................................6
Location:..................................................................................................................................................7
Cost:........................................................................................................................................................7
Businesses Plan...........................................................................................................................................8
Processes Strategy.......................................................................................................................................9
Development plan.......................................................................................................................................9
Labour.......................................................................................................................................................10
Critical Risks...............................................................................................................................................11
Monetary Plan...........................................................................................................................................13
“Balance Sheet”.....................................................................................................................................13
“Cashflow Statement”...........................................................................................................................14
“Income Statement”..............................................................................................................................14
Conclusion:................................................................................................................................................15
References.................................................................................................................................................15
Introduction
“ "Bakery" & "confectionery" industry is one of "Pakistan's" fastest-growing industries. People
hunt for value in such items & want to acquire those that can match their expectations & satisfy
their hunger . ”
Aim/ Objective
primary aim of this research is to build a bakery in Multan that is distinct from others
presently in operation.
Bakery will be known as “Baker's Castle,"
It will provide choice of "confectionery" items that may be customised as per client
preferences with diversity of additives & tastes. In additional,
"Baker's Castle" will provide “gluten-free”, “organic”, & “low-fat options”.
Project is aimed towards persons in “medium” & “upper” income brackets.
It will be built at location with "steady stream of traffic" & "plenty of parking".
It will also be adjacent to other “cafés” & “businesses”, allowing consumers to simply
trek to bakery. “Gulgasht", near to "Hardee's", is location worth considering.
Cost of the project will be determined by a variety of criteria, including rental payments,
sitting area, baking apparatus costs, and salesperson recruiting.
“Cakes”, “brownies”, “cupcakes”, & “cookies” are among products proposed.
"Bakery" is expected to cost roughly "Rs.3.98 million", with project being funded with "50
percent" equity & "50 percent" financing. This project's expected "net present value", "internal
rate of return", & "payback period" are "Rs. 8.31 million", "53 percent", & "2.61 years",
respectively.
Analysing “industry”, “customers”, & “competitors”
Industry Research Analysis
“ In comparison to places like "Lahore", "Islamabad", & "Karachi", "Multan" does not provide
wide range of "confectionery products". Industries that do function in city are generally same,
offering same items with just minor variations in quality. All of these businesses are based on
similar concept. " Baker's Castle" offers rather uncommon concept of creating customer requests
"directly in front of them", using a range of "toppings" and "tastes" based on demand . ””
“ This novel concept, which has yet to be adopted in city, presents potential for company to
expand & engage with other "confectionery companies". Reality that items' tastes will vary
markedly from those now available on market also provides a chance. Nevertheless, "Le Café" is
one of confectionery enterprises that might pose danger, given that it offers items of great quality
& value & is also located in "Gulgasht". This might lead to more competitiveness . ”
“ Item will be cooked next to them, with "additives" added as needed. Consumer study concludes
with discussion of how client will be approached This will be accomplished by using "social
media", "billboards", & first establishing smaller version of firm in location frequented
by targeted clientele in ways to collect &evaluate consumer feedback comprehensively . ”
Analysis of Competitors
“ In "Multan", none of "confectionery enterprises" are based on concept suggested in this venture.
Nevertheless, there's few companies that offer comparable services & might be competitors.
Previously said, "Le Café" is prominent rival in this industry because it produces majority of
bread items & widely renowned for its "excellent taste". Also, it offers things such as "bread",
"savoury pastries", & other items that "Baker's Castle" does not .”
“ This might be source of power for "Le café". Nevertheless, all of its items are "pre-baked",
& they do not provide same choice of "toppings" & "flavours" as "Baker's Castle", which might
be disadvantage. " Le café" also doesn’t sell "gluten-free", "low-fat”, “organic cakes". Additional
rivals might involve "Shangrilla", "Oven Delights", "Masoom's", & others offer personalised or
ordinary “cakes but lack confectionery items” or doesn’t deliver "great quality" alongside
"flavour" . ”
“Marketing strategy”
Market Overview:
“ "Multan" has evolved dramatically in last "5 years", with introduction of "universities", "great
medical facilities", & "appealing residential" programs. " Consumers & entrepreneurs" are
flocking to this metropolis, which will aid "Baker's Castle" in attracting more consumers.
Currently, area is supplied by "modest eateries" & "coffee shops", although none of them are
based on "Baker's Castle" concept . ”
Target Audience
“ "Baker's Castle" will appeal to broad selection of individuals. "People of all ages", since
"youngsters to adults", similar to “tasty snacks”, & hence would include in “target market".
Consumers with "middle to high income" would primarily concentrate. " Locals" will use "food
service" mostly for "huge gatherings" & "festivities". " Baker's Castle” will be able to count on
repeat customers all year. Buyers who just adore delicious treats will appreciate "Baker's
Castle's" foods. "bakery" would able to suit demands of customers who want "basic",
"straightforward cakes" or "custom-flavoured delicacies". " Baker's Castle" will be chosen by
clients that want peaceful, contemporary, & pleasant ambiance when they want to come in & sit . ”
Market Statistics
“ Geographic : "Multan" & its environs will be centre of "Baker's Castle". Similar "bakeries" have
” “
previously opened in "Multan", but they do not provide same range of items as "Baker's
Castle" will . ”
teenagers" . ”
Market demands:
Is looking for things with "diversity & flavour".
Considers "service speed".
Seek enjoyable & amusing time.
Demands clean, pleasant, & appealing atmosphere.
Market dynamics:
“ "Market trend" has shifted from "plain cakes" to "bespoke cakes" & other "delicious cupcakes",
which "Baker's Castle" will supply . ”
Marketing Blend:
Produce:
“ "Baker's Castle" main goods are "cakes", "brownies", & "cookies", & "product quality" is crucial
to "company's success". This "bakery" will concentrate "cleanliness & sanitation", employ high-
value goods, & "guarantee" that entire "cakes" are correctly cooked in order to assure quality of
product. Innovations play significant role in the company's "growth & success". This
"bakery" will set off by selling variety of "cake varieties", varying after "plain chocolate" &
"vanilla" to more luxurious alternatives like "red velvet" & "German chocolate cake", as well as
various “frostings, toppings", & tastes. " Baker's Castle" must, however, reinvent their product in
order to increase their industry . ”
“ For doing this, "bakery" will last to "create & test new recipes for new cake and icing varieties".
As result, firm will get additional variety to recommend & might be capable to entice other
customers. Baker's Castle" will also make few of "seasonal cupcakes", such as
"pumpkin" through "autumn months" or "coconut lime during the summer", that will only be
accessible during certain times of year. This will offer people something to anticipate in months
ahead, as well as boost sales as people indulge on "cakes" “they adore that are only available for
a limited period. " Baker's Castle" will not only expand as company, but also enhance sales, by
creating new item tastes” . ”
Location:
“ In region of "Multan", "Baker's Castle" will operate as "single bakery". Despite fact that firm
began as “tiny bakery in small town", its aim to remain to expand. To do this, firm will
progressively begin further of same "bakeries" in surrounding towns before expanding to wider
areas. Similarly, when additional "bakeries" open, "catering business" “will expand, & capacity
to serve many events at once may be achieved”. " Baker's Castle" will produce "website" where
clients can "place orders" since "internet" is remarkably valuable way to increase business to
bigger variety of places. Consumers may then grab their purchase at local "bakery", or "Baker's
Castle" will find safe way to mail “cakes" & other items if they are not "close one". Not only will
this expand “number of customers who can access business, but it will also help” "Baker's
Castle" to find best sites for building new productive "bakeries", depending on wherever highly
purchases made . ”
Cost:
“ Strong “market share”, “survival”, & put back on financing will be major goals for "Baker's
Castle" 1st once it launches. “By achieving these goals, company will eventually grow
successful. With these objectives in mind, corporation will set pricing that are "competitive".
Result, "Baker's Castle" will be able to continue in business with pricing that are not as high as
rivals', which would certainly drive costumers. Though, by not falling significantly below market
value, company will be capable to get as considerable money as feasible while remaining
effective”. Because prices ensure "Baker's Castle's" market dominance & existence, firm will be
able to use funds to "pay returns on investments" &, ultimately, revenue . ”
Advertising:
“ This will not only assist "Baker's Castle" get further regional “business”, “but it will also boost
company's chances of receiving referrals from "community". " Baker's Castle" will use public
relations in variety of ways, including participation in community activities, sponsorship of local
events”, & contribution of "gift vouchers" , "baked products" for "fundraisers". This would
show corporation's willingness to make effective “in & aid neighborhood”, which will appeal to
residents. It will provide firm favorable publicity. " Baker's Castle's" success will be dependent
on public awareness . ”
Menu items
• biscuits
“ ”
“ In addition to this list of options, “our bakery will also provide services such as” .
”
Businesses Strategy
“ Main focus of strategic planning part should be on how "operations will bring value to your
customers" . ”
“ You'll go through manufacturing cycle &how it affects working capital in this section. When
does your firm, for example, pay for inputs? How long does product take to make? When
does buyer purchase item &, more crucially, when does customer paid for it? From acquiring
lease to stocking up on "high-quality goods", starting a bakery may be an expensive venture . ”
Processes Strategy
“ Strategy overview is provided in first paragraph of your strategic planning section. How does
your company stack up in terms of cost and quality? ”
“ Different items, such as manpower needed for working, apparatus, and so on, may be included in
operation plans . ”
Development plan
"Development plan" outlines "development strategy" as well as comprehensive timeframe for
“
implementation. launching of several new ventures will need large amount of effort & time. "
Organizations" can utilise "development plans" to guide them in terms of their "goal, vision, &
values", as well as their "product or service, target audience", & "success tactics" . ”
“ "Baker's Castle's development plan" outlines activities & procedures for identifying
& implementing growth opportunities inside & between companies . ”
“ "Bakery makers" have been obliged to tackle their products "staple' brand in order to
"preserve" & "grow market share". Marketers have responded by restructuring goods to make
food extra delicious, strengthening them with beneficial "ingredients to make them healthier", &
"devising novel delivery systems" . ”
“ To preserve & strengthen their "market position", "Baker's Castle" will produce new items.
These new items would consist of subsequent : ”
“ Latest flavours & variants – “they are described to as "line extensions," & they refer
to creation of different types or flavours of similar invention” . ”
“ "Market expansion strategy", identified as "market development", involves trading existing items
in recent shops. “Baker’s Castle" might adopt “market growth plan for variety of reasons”.
“There may be little possibility for expansion in existing market due to intense rivalry.
company's sales and earnings will not rise until it finds new markets for its products”. To boost
sales & earnings, "Baker's Castle" will “extend its product range or add new features. Small
businesses that use product growth strategy, also known as product development, keep selling in
their current market”. To enhance "bakery's profit share", "product expansion growth plan" will
be effective . ”
“ "Baker's Castle" will design "website & social media presence for our company that will include
several images of our baked goods". Those who subscribe to our email listing will receive
exclusive offers & concessions. We'll do our website appealing & give all of the knowledge
you'll need to find our bakery quickly. We're thinking of launching an online mail-order site
where our “consumers may place orders for local pickup or shipment”. In addition, we will keep
track of emails we acquire from visitors and customers and begin an email campaign to notify
them of offers & "new bakery goods" . ”
Labour
1. Specialty Chef
“ ”
Our company relies heavily on teamwork, & sorts of personnel we hire are determined
“
& mop up spills as they occur. We will also hire maintenance worker to assist in the
repair of any broken equipment.
3. Management and marketing
“ ”
•Marketing Strategy Planning: Ensure our marketing fulfils our business objectives
“
what needs to be done, and what has to be adjusted in order to better our marketing . ”
• Training and Consulting: With our personalised training and consulting services, we
“
• Training & Consulting: With our personalised training and consulting services, we
“
Critical Risks
“ Each fresh business initiative confronts variety of threats to its existence. following are the most
important elements for this business venture's success : ”
•Maintenance of quality & sanitary standards: Low-quality items do not attract or please
“
customers, thus they must be maintained. Quality & flavour are most important criteria in candy
industry . ”
•Pricing plan: Understanding needs of target consumers & pricing strategy are both “key risks
“
when starting a new firm. Products should be reasonably priced so that target clients may readily
purchase them” . ”
“Current assets ”
“Pre-Operation Costs ”
162,000 144,000 126,000
Legal, Licensing, & training costs
9,000 8,000 7,000
“ ”
“Account Payable ”
505,227 604,993 712,477
“Other Liabilities ”
“Deferred Tax ”
- 76,796 276,625
“Long Term Debt (Project Loan) ”
1,463,450 1,172,510 836,465
Long Term Debt (Working Capital
“
527,238 422,421 301,353
Loan) ”
Financing Activities :
“ ”
Repayment
-
“ ”
Issuance of Shares
“ ”
(395,756) (457113)
Cash Provided by Financing Activities
“ Investing Activities ”
“Capital Expenditure”. - - -
“Acquisitions”
Cash Provided by Investing Activities - - -
846,629 854,532 149,2828
“ ”
“ NET CASH : ”
“Income Statement”
ADM. Expense
“ ”
876,000 963,600 1,059,960
ADM. Benefit Expense
“ ”
87600 96,360 105,996
Building Rental Expense
“ ”
900,000 990,000 1,089,000
Electricity Exp. Outlet
“ ”
360,000 396,000 435,600
Travelling Expense
“ ”
91,738 109,541 128,536
Communication Expense
“ ”
17,520 19,272 21,199
Office Expense
“ ”
8,760 9,636 10,600
Promotional Expense
“ ”
183,476 219,083 257,072
Depreciation Expense
“ ”
287,840 287,840 287,840
Amortization of PRE. Operating Cost
“ ”
18,000 18,000 18,000
Amortization of Legal, Licensing & training Cost
“ ”
1,000 1,000 1,000
SUBTOTAL
“ ”
2,831,935 3,110,332 3,414,803
Operating Income
“ ”
677,952 1,291,671 1,963,323
Gain-Loss on Sale of Office Equipment
“ ”
- - -
Earnings Before Interest and Tax
“ ”
677,952 1,291,671 1,963,323
Interest Expense on Long term debt (project loan)
“ ”
226,886 193,368 148,262
Interest Expense on Long term debt (Working Capital
“
81,740 69,665 53,414
Loan) ”
SUBTOTAL
“ ”
308,627 263,033 201,676
Earning Before Tax
“ ”
369,325 1,028,638 176,1647
Tax
“ ”
- 76,796 199,829
Net Profit/(Loss) After Tax
“ ”
369,325 951,843 1561,818
Conclusion:
All aims & objects stated in introduction section above are fulfilled and achieved in project. Here
we learnt a lot about business insights. We learnt about many things, how to handle business,
how to start and idea, learnt about different planning strategies, also critical overviews, also
learnt about monetary or financial planning & much knowledge enhanced.
References
.feedough., n.d. .feedough.. [Online]
Available at: https://www.feedough.com/product-mix-explanation-examples/
[Accessed 07 04 2022].