MIDLANDS STATE UNIVERSITY

FACULTY OF EDUCATION

DEPARTMENT OF EDUCATIONAL FOUNDATIONS, PRIMARY EDUCATION AND

PEDAGOGY

STUDENT’S NAME: NYAMUZUWE ROSELIE

REG. NO. R232930Y

LEVEL: 2:1

MODE OF ENTRY: HARARE WEEKEND CLASS

MODULE: EDGS231

MODULE TITLE: GENDER STUDIES FOR EDUCATORS

PROGRAMME: ECDP

LECTURER: DR MUCHABAIWA
ASSIGNMENT TOPIC:

LECTURER’SCOMMENTS:
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SIGNATURE: ………………............ DATE…………………. MARK…………..

Table of Contents
1. Executive Summary..............................................................................................................1
2. Industry and Market Analysis...............................................................................................1
3. Business Model:.....................................................................................................................2
4. Inputs.......................................................................................................................................3
5. Products..................................................................................................................................3
6. Marketing and Sales Strategy:............................................................................................3
7. Financial Projections:............................................................................................................3
8. Request for Investment/Partnership:..................................................................................4
9. Conclusion:.............................................................................................................................4
I am writing to present a business proposal for a chicken business venture that I believe holds
tremendous potential for success. As an aspiring entrepreneur, I have carefully analyzed the
market and identified a growing demand for quality poultry products in our region. With my
passion for the industry and dedication to delivering top-notch products, I am confident that this
venture will thrive and make a significant impact.

1. Executive Summary
Demand for poultry products as a source of protein is rising due to increasing health
consciousness since poultry has lower fat and calorie content than beef. Zimbabwe is currently
consuming an average 9kgs of chicken meat per individual each year and is projected to witness
a significant increase of up to 32kgs chicken meat consumption per capita as the country moves
towards the middleclass economy.

Our proposed chicken business will seek to respond to this increased demand and will focus on
the production and distribution of high-quality poultry products, including whole chickens,
chicken parts, and value-added chicken products. The project will be located on an agro-
residential plot in the Cold Comfort area of Harare.
We aim to establish a vertically integrated operation encompassing breeding, broiler production,
processing, and distribution. Key highlights of our proposal include:

 Implementation of modern and sustainable farming practices to ensure the welfare of the
chickens and product quality.
 Development of strategic partnerships with local suppliers and retailers to secure the
necessary resources and establish strong distribution channels.
 Emphasis on food safety and adherence to industry regulations to deliver safe and
hygienic products to our customers.
 Implementation of efficient operational processes to ensure cost-effectiveness and
maximize profitability.
 Continuous market research and analysis to identify emerging trends and adapt our
product offerings accordingly.
The project will employ three people (2 general hands and a supervisor). The total investment
required is US$17,140 and it comprises infrastructure development, breeding stock, equipment
and initial working capital. The project promoter has raised US$7,140 and is seeking financing
of US$10,000.
Gross profit margins for the project will average 40% in years 1 to 3 while return on investment
(ROI) will be 58%, 64%, 71% in years 1, 2 and 3 respectively.
2. Industry and Market Analysis

Growing health consciousness is driving demand for poultry as a source of protein compared to
beef. This is because poultry has lower fat and calorie content than beef.

Zimbabwe is currently consuming 9kgs of chicken meat per individual each year. This is
projected to significantly increase in the near future because of the health factors mentioned
above and the economic growth that would give more disposable income to citizens. South
Africa, for example, has high chicken meat consumption statistics of 42kgs per capita each year
and Zimbabwe is projected to witness a significant increase of up to 32kgs chicken meat
consumption per capita as the country moves towards the middleclass economy,

Zimbabwean poultry industry production relies on both indigenous and imported poultry strains
for breeding stock. Chicken production in Zimbabwe comprises both large- and small-scale
producers. Commercial breeding of poultry is based on imported strains, while the indigenous
strains are for small-scale producers. Large-scale production is characterised by intensive
management, mechanisation and specialisation and dominated by large companies, while small-
scale production includes semi-intensive and extensive farming.

The structure of the Zimbabwean poultry industry has evolved substantially over the years,
especially after the country’s economic recession. The harsh macroeconomic environment
between 1999 and 2008 saw traditional chicken-producing firms (Irvine’s and Suncrest) nearly
collapsing and led to increased vertical integration within the value chain as a means of survival.
At the same time, however, new companies entered the sector: Drummonds in 2004, Lunar
Chickens in 2007 (now collapsed) and Surrey Huku, among many other players.

Broiler production in Zimbabwe is broadly undertaken in four categories: large-scale, fully

integrated operations; large-scale, semi-integrated; medium and small-scale. There are four main
large-scale producers of chicken – Irvine’s, Surrey and Drummond. These companies have scale
economies associated with their size. The companies are also highly integrated in the poultry
value chain. This gives them advantages over medium- and small-scale producers, and ensures
the availability of feed and day-old chicks, most likely at lower prices.

Broilers are sold at an average age of 5 to 6 weeks at a live weight of 1.8–2.5 kg/bird. Producers
with reliable marketing arrangements (contract) sell off their birds earlier than those who depend
on the spot market. With the spot market option, birds are grown to a larger size in order to build
goodwill and therefore secure sustainable market competitiveness. The challenge is that the bird
continues to eat feed before it is finally sold, impacting negatively on profits. Generally, prices
are set per bird irrespective of the live weight, except where the contractual market route is used.

Our market research indicates a growing demand for poultry products in our target market.
Factors contributing to this demand include population growth, increasing consumer awareness
of the health benefits of lean proteins, and the versatility of chicken in various cuisines. We have
identified key customer segments, including households, restaurants, hotels, and catering
services, all of whom prioritize quality and reliability when sourcing poultry products.
3. Business Model
Our business model will revolve around the following key components:

 Procurement of high-quality breeding stock to ensure healthy and productive chicken

flocks.
 Implementation of environmentally controlled housing systems to optimize the growth
and well-being of the chickens.
 Collaboration with veterinarians and nutritionists to develop customized feed plans for
optimal nutrition and growth.
 Establishment of a state-of-the-art processing facility adhering to strict quality control
standards.
 Development of an efficient distribution network to ensure timely delivery to our
customers.

4. Location
The project will be located on an agro-residential plot in the Cold Comfort area of Harare.

5. Inputs
 Day old chicks,
 Feed (starter feed, grower and finisher feed),
 Vaccination,
 Bedding,
 Labour (2 general hands, one supervisor)

6. Products
 Whole chickens, chicken parts, and value-added chicken products

7. Marketing and Sales Strategy

We will employ a multi-faceted marketing and sales strategy to raise awareness about our brand
and attract customers. Our approach will include:

 Developing a compelling brand identity and positioning that reflects our commitment to
quality and sustainability.
 Utilizing digital marketing channels, including social media, online advertising, and a
user-friendly website to reach our target audience.
  Partnering with local retailers, restaurants, and hotels to secure long-term contracts and
establish a loyal customer base.
 Participating in community events, trade shows, and farmers' markets to engage directly
with potential customers and showcase our products.

8. Financial Projections
Attached to this proposal, you will find a comprehensive financial projection that outlines the
anticipated costs, revenue, and profitability of our chicken business over the next three years.
The projections are based on thorough market research and conservative estimations, taking into
account potential risks and challenges.

9. Request for Investment/Partnership

To turn this business proposal into a reality, we are seeking an investment/partnership of
US$10,000. The funds/investment will be utilized to cover part of the total startup costs of
US$17,140, such as infrastructure development, purchasing breeding stock, equipment, and
initial working capital. The balance of US$7,140 will be provided by the project promoter
Roselie Nyamuzuwe. We are open to discussing the terms and conditions of the
investment/partnership to ensure a mutually beneficial arrangement.

10. Conclusion
We firmly believe that our chicken business venture aligns with market demands and presents a
lucrative opportunity for growth and success. We are committed to delivering exceptional
products, maintaining high standards of operation, and contributing to the local economy. We
appreciate your consideration of this proposal and would welcome the opportunity to discuss it
further at your convenience.

Financial projections
As a follow-up to our business proposal for the chicken business venture, I am pleased to present
the comprehensive financial projections outlining the anticipated costs, revenue, and profitability
of our business over the next three years. These projections have been carefully prepared based
on market research, industry benchmarks, and conservative estimations. Please find the details
below:
1. Startup Costs
In the initial year, we anticipate the following startup costs:
Infrastructure Development: $5,000
Purchase of Breeding Stock: $2,600
Equipment and Machinery: $1,000
Working Capital: $5,540
Marketing and Advertising: $1,000
Legal and Administrative Expenses: $1,000
Contingency Fund: $1,000
Total Startup Costs: $17,140

2. Revenue Projections:
Our revenue projections are based on anticipated sales volume and pricing. We estimate the
following annual revenue over the next three years:
Year 1: $40,000
Year 2: $44,000
Year 3: $48,400

3. Cost of Goods Sold (COGS):

The cost of goods sold includes expenses directly associated with the production and processing
of chicken products. We estimate the following COGS:
Year 1: $24,000
Year 2: $26,400
Year 3: $29,040

4. Operating Expenses:
Operating expenses cover the day-to-day costs of running the business. We project the following
annual operating expenses:
Year 1: $6,000
Year 2: $6,600
Year 3: $7,260

5. Gross Profit and Gross Margin:

Gross profit is calculated by subtracting the COGS from the revenue. Gross margin represents
the gross profit as a percentage of the revenue. The projected gross profit and margin are as
follows:

Year 1:
Gross Profit: $16,000
Gross Margin: 40%
Year 2:
Gross Profit: $17,600
Gross Margin: 40%
Year 3:
Gross Profit: $19,360
Gross Margin: 40%

6. Net Income
Net income is the profit remaining after deducting all expenses, including COGS and operating
expenses, from the revenue. The projected net income is as follows:

Year 1: $10,000
Year 2: $11,000
Year 3: $12,100

7. Return on Investment (ROI)

To assess the profitability of the business, we have calculated the return on investment. The
projected ROI over the next three years is as follows:

Year 1: 58%
Year 2: 64%
Year 3: 71%

Please note that these financial projections are subject to market conditions, operational
efficiency, and various external factors that may impact the business. We have taken a
conservative approach in estimating the costs and revenue to provide a realistic outlook for our
chicken business venture.

We would be happy to discuss these financial projections in more detail and provide any
additional information you may require. We appreciate your time and consideration, and we look
forward to the possibility of collaborating with you on this exciting venture.