Business
Creation And Growth (GST302)
PowerPoint Presentation
CONTENT
• Name: Olayinka Samson Aremu 1. Problem Definition
• Matric number: NOU135308312 2. Innovativeness of the proposed solution
• Study centre: Lagos 3. Feasibility of the proposed solution
• Programme: B. Sc. Mass 4. SWOT analysis and strategy
Communications 5. Financial analysis and sustainability
• Incubation centre: Victoria Island 6. Financial impact and sustainability
PROBLEM DEFINITION
SOEM Global Limited is a food snacks company and the manufacturer of Ha Pop. Ha
Pop is a high-quality packaged popcorn made from finely sourced ingredients which
contribute to its good taste and nourishment.
Our products undergo strict production processes to ensure hygiene of the product.
We come about the idea of packaging popcorn in 2022 when we moved to
Abeokuta, which is the startup location. We discovered that the packaging popcorn
brands in Abeokuta markets are being supplied from Lagos and the supply process is
rigorous for wholesalers. So we went into research and discovered the opportunity
in being a packaged popcorn manufacturer in Abeokuta and its environs.
Our vision is to be a known name in the food snacks business, producing tasty
popcorn to meet the cravings of every popcorn lovers and easing the supply process
of popcorn to wholesalers in Abeokuta and its environs.
Our mission is to be a modern packaged popcorn company that produces quality
popcorn that meets the demands of popcorn lovers and wholesalers in Abeokuta.
INNOVATIVENESS OF THE PROPOSED
BUSINESS
Abeokuta is a fallow land for a business such as packaged
popcorn. The main competition are the roadside popcorn
sellers which are not hygiene for consumption judging by
the environmental solutions on the road.
Our popcorn would undergo hygiene production process
and packaged in clean branded nylons. We will deliver to
wholesalers and markets in a van.
FEASIBILTY OF THE PROPOSED BUSINESS
The potential factors that would support the feasibility of producing packaged
popcorn in Abeokuta are:
1. Availability of raw materials: The primary raw material is pop kernels which
are widely grown in Nigeria and there imported pop kernels which can be
bought from suppliers within Abeokuta.
2. Cost of production: some of the production materials, like groundout oil,
are cheaper in Abeokuta and the cost of labour is low compared to Lagos.
3. Local demand: There is a string demand for popcorn in Abeokuta and the
surrounding areas.
4. Transportation: The transportation and distribution infrastructure in
Abeokuta and it’s surrounding areas is adequate. We would efficiently
transport the popcorn to the buyers.
SWOT ANALYSIS
Strength: our strength lies in the availability of raw materials and low cost of
labour. High demand of popcorn in Abeokuta due to its affordability and
popularity among consumers. We will also create jobs and stimulate economic
growth in the city.
Weakness: Local roadside popcorn sellers and competitions from Lagos
manufacturers.
Opportunity: Increasing demand for healthy snacks which would be capitalized
on by producing low fat packaged popcorn.
Threats: Dependence on external factors such as weather and market
fluctuations which could impact the availability and cost of raw materials. Also
Economic instability and inflation in the country.
FINANCIAL ANALYSIS AND SUSTAINABILITY
To set up this business in Abeokuta would cost around 2 million
Naira. This will pay for space rent, 2 popcorn machines, 2 sealing
machines, branded packaging nylon, white bagging nylon, tables,
stainless bowls, utensils, bags of corn, sugar, salt, groundnut oil,
flavour and 3 months salary.
The cost of producing a pack of N50 popcorn is not more than
N20. We would sell to retailers at the price of N40, the retailers
would sell at N50. We will have a gain of N20 on each pack. This
way, selling 15,000 pack a per month we will be getting 15000 x 20
= N300,000 monthly. And this will increase as we grow.
POTENTIAL IMPACT AND SUSTAINABILITY
Producing popcorn in Abeokuta has the potential to have a significant
impact on the local economy and community. Some of the impacts and
sustainability to consider are;
• Job creation: one of the most significant impacts of producing
popcorn in Abeokuta is the potential to create new job to stimulate
growth in the region. This would help to reduce unemployment.
• Local sourcing: sourcing raw materials locally would reduce transport
coats and support local sellers which would have a positive impact on
the local economy.
• Market demand: meeting market demand would ensure the financial
viability and long-term sustainability.
• Social ethics: ethical and social considerations would be taken into
account, including fair labour practices and workers’ safety.
