TASK 1

Reported to: Juwanela Guruwo

Reported by: Katlo Mosinyi

1.0 Introduction

The purpose of this report is to present my analysis of my questionnaire and assess different areas of
the 2 ideas that have been seen as suitable for us to venture. I look at different factors such as our
strengths and political factors that may affect us now and later on during our project. I have me and my
group’s final choice and my justification and judged each idea for the project.

2.0 Evaluation of options

What idea was preferred more by respondent.

Idea Number of respondents threat choose the idea

Mocktails 19
Merchandise 17

2.1 Option 1: Mocktails

These mixed drinks have the potential to be successful, why, presentation and complexity, these 2
factors can really pull in our target market, teenagers. If we can do it right and make the display of our
beverages pop out and stand we can really attract all kinds of customers. Also we are planning around
November it gets hot enough to encourage people to buy our drinks.

2.1.1 Research findings

Questionnaire question 1

How big should the cup be?

 How big should the cup be?

18
16
14
12
10
8 7 7
6 5
4
2
0
360ml 500ml 600ml

Mocktails
Product quantity
19 respondents

The results show that 5 respondents prefer 360ml cups while 7 preferred 500ml and the other 7 prefer
600ml. 360ml was the least preferred probably because most people favor a larger amount of drink
though an equal amount of people choose 500 ml and 600ml, this might mean an equal amount of
people prefer 500ml because this is the amount bottled drinks often have and the most amount possible
( in this case it is 600ml). Therefore our best decision is to have a size in between so we can at least save
some of our supplies though some people might get disappointed at the drink size so we will get a few
cups around a litre if we can find any.

Questionnaire question 2

How much should the drinks cost?

 How much should it be?

18
16
14
12 11
10
8
6
6
4
2
2
0
P30 P35 P40
19 respondents

Mocktails
Product Price

The results show that 11 respondents preferred the price option of P30, 6 for P35 and 2 for P40. This
was a surprise because it meant that 8 people prefer the more expensive option. Still the majority still
voted for the cheapest option but the chance that people are willing to buy our drinks for more than P30
means we can put our prices around P35. It would be a risk for us to put our price around P40 since very
few preferred it but it also means there is a chance some will buy our drink around this price.

Questionnaire question 3

What flavours would you like? (Please put 2 here)

 What flavour would you like? (please select 2 of the options)

18
16
14
12
10
8 7
6
6 5 5
4 3 3
2
2
0
0
Orange Blueberry Coke Guava Mango Pineapple Red berry Tropical
19 respondents

Mocktails
Product Flavours

The results show that out of the 8 flavors blueberry was the most picked being chosen by 7 respondents,
and pineapple with 6 votes, coke and tropical with 5 votes, orange and mango with 3 votes, red cherry
with 2 votes and guava with 0 votes being the least picked flavor. There were no surprising numbers.
Since no one voted for guava will not add it to our flavours and whether we add the rest of the flavours
will be determined on which ones make the best mocktails .

Questionnaire question 4

When should we start selling?

 When should we make the stall?

18
16
14
12
10
8
6
4
2
0
Monday Wednesday Friday
19 respondents

Mocktails
Product Sales day

The results show that 1 respondent prefer we sell on Monday, 6 respondents prefer we sell on
Wednesday and 12 prefer on Friday. There is some sense that be made out of the numbers, Monday is
usually when in general go back to work and as much as a drink would be nice some may not see it as
the best for a drink, Wednesdays’ most people are feeling tired and would want something to treat
themselves with and Friday most people are preparing to rest for the weekend and a drink would be
most desirable when they’re about to rest.

2.1.2 PEST ANAD SWOT ANALLYSIS

Political
 We would also like to sell outside the
school, but finding a place that is safe,
too far to get to and we are allowed to
sell around will be an issue.
Economic
 Most of the work will be done ourselves,
in other parties might involve transport
and security. These 2 factors will depend
on whether the location is safe, public
and near us.
 We might have to use gloves to appear
more professional as we may have to
distribute our product by hand. We may
 also have to cover our hair to in
 Social
 Mocktails are colorful and different from
the average soft drink at Spar or any
other regular shop. Such a product is sure
to a few interested customers willing to
buy a vibrant and not so usual beverage.
 Some people may feel uncomfortable
having a drink being made by students
who are not professionals, and maybe
discouraged to buy from us
Strengths
 Group members can learn the
necessary skills for mocktails and
then we can distribute our
product in different locations and
have a high change of making
money.
 We can easily move our location
and sell in multiple areas.
Opportunities
 We can sell at school were
students have money, since they
are young they will be tempted
to try a new, colourful drink.
 We are going to sell around the
beginning of summer so
hopefully when we start sell it is
hot enough make our market buy
our product.
2.1.3 Advantages and disadvantages of Mocktails
Advantages
1. We have a large market so there are a lot of opportunities.
2. We can move to areas where our products could be more in demand.
Technological
 One of our my members is
confident that they have the
necessary equipment to make
the mocktails, I believe their
confidence is well placed, but
also other aspects make help me
trust this assurance such as their
experience in producing the
product.
 Due to insufficient capital our
stand for where we sell our
mocktails will might look
unattractive and simple.
Weaknesses
 We do not have a lot of money
available to us. We don’t have
jobs so other sources of income
are deficient and bounded.
Threat
 There have been signs of
abnormal weather in the area so
there is a chance that in summer,
the season we are counting on to
encourage people to buy our
mocktails, might be cold and
even discourage people not
buying.
 The drinks might get
contaminated, and we might
have complaints and refunds.
Disadvantages

1. There are some people who do not like sugary or sweet drinks such as some adultery people.
2. These drinks require us to learn the skills to make them, so there may be a lot of mistakes as it
would be a newly learned skill.

2.1.4 Evaluative Comment

From the questionnaire it would seem mocktails would be the better idea to go with. Our product would
be great to sell in summer, we can learn how to make them fast in less than a week and our stand can
be moved to different locations so we can advertise and sell in multiple places. Even though it was the
most preferred by respondents it is quite risk since selling drinks on the street is not very popular in the
area.

2.2 Option 1: Merchandise

We thought to ourselves people hear merchandise, clothing often comes to mind but with a little
research we found there is a large variety of merchandise to start up a business with. In spite of that we
aim our focus to small, trinket type merchandise. Some for decoration and others as trinkets, like
something small yet amusing and convenient that you have like air pods, colorful stickers brilliant
watches and It could be cheap to produce if done right and can be sold for a reasonable price and make
a profit.

2.2.1 Research findings.

Questionnaire question 1

What should we sell(select one)

 whats should we sell? (Select one )

18
16
14
12
10
8
6
4
2
0
Hoodies T-shirts Jersey Long pants Caps Socks
19 respondents

Merchadise
Our product options

The results show 12 respondents chose hoodies, 2 choose caps, 2 choose t-shirts and 1 long pants and 0
choose jerseys and socks. This means hoodies were most liked and would be the best option to sell as
merchandise. The jersey may have been seen as clothing for cold seasons and not everyday clothing.
Socks may have been seen as clothing that is too important since they are usually under our shoe and
not that visible. For T-shirts and long pants will not be sold to keep our products simple and because of
their numbers though caps may be since their small and can be attractive.

What should we sell? (Select one)

Questionnaire question 2

How much we sell it for (depending on your previous selection)

 How much should we sell it for (depending on your pre-
vious selection)
15
12 9
9
Number of respondents (17)

6
3 10 100 21 21
000 0 0 000
0

Merchandise
Product price options

Price option Price option2 Price option3

The results show that for hoodies respondents 9 voted for the P200 option and 1 voted for the P215
option, for jerseys 1 voted for the P150 , T-shirts got no votes for any prices , long pants got 2 votes for
the P200 and P150 got , Caps got 2 votes for P50 and 1 vote for P60 and socks got no votes for any
prices. These are results around surprising since a fair amount of them show that people would not just
prefer the cheapest price. So to keep things simple we will put the prices between the highest and
lowest price options though we would not be selling T -shirts, Jerseys, long pants and socks due to their
performance.

Question 3

What colour would be best for your selection

 What colour would be the best for your selection

16
14
12
10
10
8
6
4
4 3
2
0 0 0 0
0
Black White GREEN Blue Red Purple Yellow
17 respondents

Merchandise
Product Colour options

The results show that 10 respondents preferred black, 4 preferred white, 3 preferred green and 0 voted
for the rest. We would have preferred the numbers to show more likeness to bright colors but that our
respondents leaned to black and white which don’t give us a lot of options in terms of colourful designs
so we will add the other colours but have majority be lean to black and white design and we might even
add green since it was one of the 3 most picked colours.

Questionnaire question 4

What size do you want?

 What size do you want?
16
14
12
10 9
8
6
4
2 2 2 2
2
0
0
l) l) ) e) e) )
al al iu
m rg rg rg
e
m la la la
sm (s ed (
17 respondents

L Merchandise tra tra

ra S (m
xt M ex
Product Sizes
( ex
(e ra
X5 XL xt
e
L(
XX

The results show that 0 respondents voted for the extra small size, 2 voted for the small sizes, 9 voted
for medium size, 2 voted for the large size, 2 voted for extra-large and 2 voted for extra extra large. The
medium size was most preferred so it be wise to make it the majority size for our product though
6preferred a size bigger than medium (though the numbers are spread between the 3 size choices) this
still shows some prefer a bigger size than medium so we would add large and extra large sizes but not
extra extra large since we would have to make bigger sizes cost more and we feel extra extra large
would be too expensive.

2.2.2 PEST ANAD SWOT ANALLYSIS

Political Economic
 We must be careful when advertising
because just saying merchandise can be a  There is a lot of demand for clothing so
bit miss leading as merchandise has a lot trying to get int the marketing can either
of varieties and is not just clothing. have a positive outcome or a negative
one.
 The merchandise we are trying to sell
would have buy from other distributors,
make ourselves, which would be
complicated which ever way would do it,
or order it online.
 Social
 Young people from little kids to
young adults all like a little style
and design once in a while so our
products would probably grab
the attention of a few possible
buyers.
Technological
 Merchandise is already hard to make,
from getting the material to designing it.
 We have no experience in making
merchandise.

Strengths
 Can be bought months before we
start selling them and if
maintained they will not lose a
lot of value if at all.
 Our merchandise can be seen as
innovative and something a bit
different which could attract
buyers that have interest in
creative and recently developed.
Opportunity
 We can sell around certain
holidays that are usually
celebrated with gifts.
 If our merchandise does is stylish
and attractive enough, we could
really attract a lot of people.
Weaknesses
 When we start to sell we will just
be students that not long ago
started the business so people
will not recognize us as a reliable
place to buy merchandise.
 We lack sufficient funding since
we don’t have jobs and we are
limited to the amount of money
that can be lent to us and we will
most likely have to pay it back.
Threat
 Businesses for merchandise
considerably high and would
have better quality and quantity
products and have been around
longer so the more recognizable.
So it would take a lot of effort to
attract customers.

2.2.3 Advantages and disadvantages of Merchandise

Advantages

1. We are new, so we can reference and analyze what other businesses like ours have done to
succeed.
2. We are flexible in terms of our location and the way we present ourselves since we are a small,
short-lasting business.

Disadvantages

1. We do not have a reliable source of capital as we are just stating out and we are still under
18, so there are a lot of resources unavailable to us.
2. We are still students and for the merchandise idea to be successful we would need to take
a lot of time off our free time at the stand and advertising so we can at least break even.
 3. Making merchandise is a lot of work from the design to the material and for students that
might seem like too much.

2.2.4 Evaluative Comment

Merchandise was not too far from mocktails, so it still has potential. Merchandise can be sold at high
prices and make a profit and if we just lower our prices just enough, we could attract more customers
compared to the high prices of some of our competitors. Though losing or damaging the product would
cost us significantly.

3.0 Conclusion, choice and justification

After close evaluation and analysis me and my group decided to choose Mocktails. For us to sell these
drinks we would just need to get the equipment ingredients and learn the basics for making the drinks
and one of our group members already has some equipment and experience in making these beverage
whereas merchandise we’d be starting from sketch. Merchandise though has been to be successful time
and time again and mocktails is not a familiar thing so it is a risk but it can be success around children
since it’s new (and they usual love something different and unique) cheap (since our mocktails is around
the amount they can earn or get from their parents which) and tasty and children often like sweet
things.

Appendices

Appendix 1: Questionnaire

Appendix 2:

Appendix 3: