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COMSATS Institute of information Technology

Business Plan: (Libaas-e-Khas Boutique)

Submitted to: Group Members:

Awais Malik Safia Naz Aneela Kanwal

Sir Ahsan Qamar

FA08-MBA-022 FA08-MBA-024 FA08-MBA-040




Every praise is due to Allah alone the merciful and teachings of His Prophet (Peace and blessings be upon him) who, for ever, a torch of guidance and knowledge of humanity as a whole. We would like to thank: Almighty Allah whose blessings are always with us. To our teachers at all our stages of study who always guided us in right direction and developed our personality as a useful citizen for the society To all our friends from whom we learned much and Specially Mr. Ahhsan Qammar who fully cooperated with us in the completion of our tasks.


Who have been a great source of love, affection and encouragement throughout our academic career and their matchless sacrifices in the process of our upbringing make us respectful to all human talk. Thank you.

Table of content
01 02 03 04 05 06 07 08 09 10 11 12 Introduction Abstract Executive summary Goal of Style inn Business Model Description of business Marketing Plan Financial Plan Production Plan Business structure Plan Operation Plan SWOT Analysis 05 06 07 08 09 11 12 15 18 23 26 29

We intend to run brick and click business on the name of through

online, seeing our home expertise for fulfilling local demand in making ladies and gents garments of different designs and varieties etc. Our business is offering different clothes design to fulfill local needs and nationwide demands. No other business currently exist in the area to provide online home delivery services and that is first to offer home delivery. The locality of business is 26 Area near utility store Gadwal Tehsil Taxila District Rawalpindi. It will be operated as partnership, the partners names are Miss Safia Naz and Miss Aneela Kanwal. Our third partner Miss Sadia, Mr Ikram has been a senior fashion designers for the past fifteen years. As for as financing for business concern it will be supported by our personal savings and from family contributions, which amounts Rs.1 million, initially to start business. The other source of capital for business will be 50 % its profit utilization in its running operations. Initially financing will be done through personal source. We will take loan by banks in order for long term growth and for future expansion. We will initially avoid taking loan from bank within two years. While in long run the other interested stake holders can be involved.

Executive Summary:
We want Libaas-e-Khas will be a full-service brick and click boutique which will deal in all types of fashion designing for quality, innovative products at affordable prices for young generation. Our business will provide 24 hrs online services. We will run the business our self full-time, and will hire the programmer, sales assistance, and technician. The store has the potential of employing up to two hundred full-time employees, estimating a minimum of one hundred to start. The working hours will be 24 hrs. Appointments only available in evening for brides and, Brides and bride groom can give ideas about their weeding dresses.

Vision To be first and final choice of customer

Our goal is to build a long term personal relationship with our customers by providing satisfaction so that they can become our loyal customers. We will provide high quality products with innovative and traditional design at the reasonable price possible according to customer need. We will provide our customers new look, trendy and fashionable clothing design. To provide the online superior home delivery services by taking online order in order to save time.

Goal of Libaas-e-Khas:
Our goal is to satisfy our customers through our operational excellence.

To achieve break even of 1million within six month To generate 1million 500 thousand sale within one year To increase customers base locally and internationally by providing online services To increase online order delivery of home country within 1 day

Description of Business:

Style inn will be a full-service boutique which will be based on brick and click, which will deal in all types of clothing including bride groom and bridal salon, casual dresses for men and women, for the local customer and also for nationally who is searching for quality products at affordable prices. We have broad variety of garments like Shalwer kameez, Lehnga, Kurta, Saarhi Sherwani, Jeans, T-shirt, Ladies stylish clothes, Trouser Set with traditional and modern outlook. We will run the business our self full-time and hire sales assistance, technician and programmer having 5 years experience in programming. The store has the potential of employing up to one hundred full-time employees to start. Evening appointments will be available for brides and their parties locally. Our designers are well train to make items to fit your unique body size. Our business will always be ambitious to work with the community and helping others become more interested in the fashion world. The business does not depend heavily on the physical store but it will also depend on the online. Style inn is a start-up retail establishment that will sell fashionable clothing to women and men of young generation. While our initial goal is to open one boutique, In turn, we would hope to penetrate a sizable portion of the online retail market. We will maintain the inventory and will produce sufficient product to meet the planned demand. Confidentiality of business lies in our partners family skills in making ladies and having experience twenty years. And we will hire the other skill full and experience full employees for designing the dress of gents and their background with this type of business must be for last 5 years.


The style inn have web site of that has a beautiful design

that only allows for the beauty of their clothing to be admired. They communicate with their customers and offering exceptional customer service using features such as the blog, photo, gallery, and shopping cart. People can view their chosen garments on 4.5 mega pixel , this can help to view even minute embroidered designs. Our site navigation is very easy. From catalogue customers can get information about prices, design, colors, sizes, and get other guidelines. Customers after choosing their favorite collection the can easily add into shopping carts. And can pay online through PayPal, VISA, and Master card. And the can also provide feedback about how great our site looks and how professional it is.

The web designer has experience to boost business by desisigning the website in attractive way. People will use more seriously and will shop our site. Our creative web design & development team have 5 years of experience helping to translate our client's passion.


Business Model


Revenue Model

Location base advantage Market Segment Growth Strategy



Online Business Model

Transaction fees
We receive appropriate transaction fees through customers. We will offer 20% discount to our regular customers and 25% for bulk purchasers.

Affiliate model:
Affiliate marketing is defined as a revenue sharing relationship between advertisers or merchants and online publishers or affiliates. Affiliate marketing is a revenue-model tool that can be utilized to establish a successful business while creating outstanding wealth. Affiliate Marketing guarantees a fast ROI (Return of Investment)


We do online advertising sale by affiliation of Google. We have many affiliated sites whose add we affiliate on our websites. We will pay 30 % affiliations fees to Google by revenue of affiliation on our website. We will offer other new business to affiliate our own website. We will give them opportunity to start business online. The will give us affiliation fees of 20,000 per adds.

Market Survey
We surveyed Gadwal locality and we conducted interview from local ladies and gents and also through personal contacts, they responded that there is no boutique in this whole area. The demanded the stylish look in their dressing, but the have to go Basti, Aslam Market and Nawababad, the have to incur travel expenses and also they have to devote the separate time to shop there. This response gave us opportunity to launch Boutique business there. By getting information through Google that I n Pakistan a large number of Boutiques is working to provide the up to date and latest fashion clothes through online for fashion loving Pakistani. A large number of fashion designers are working online in Pakistan. The increasing trend in technology, and using online shopping this give us opportunity to operate online business. We will initially launch business online to meet the demand of


Pakistani customers. After establishment then we will target the different nations worldwide. Lots of boutiques are providing their services online on Internet for Pakistani people who lives abroad or for other people who are interested in Pakistani fashion and cloths. These websites are offering online shopping of Pakistani fashion cloths. The popular most Pakistani boutiques are:

Tee Jays Threadz Cotton Collection Resham and Revaj Junaid Jamshed Humayun Saed Aijaz Aslam Amir Adnan Xclusive Hang Ten Kurta Corner and others.

By making competitors analysis then we decided to operate through online. Market Segment We segment market geographically and demographically on the basis of age and gender. And will serve male, female for age range of 15 to 35 years old. Target Market Firstly from our brick business model of Gadwal and surroundings, and for click we targeted the whole Pakistani market. Market Size


The market size of our Pakistan is approximately 8 Koror. Internal Financing We will finance this business through personal saving and from family and relatives contributions. Sewing machines, computers, lands, building are physical assets. Building is our forefathers property. Competitive Positioning There is location base Strong competitive advantage on our brick business because no competitors exist in our niche market, and we have experienced family members which have 20 years background of such kind of business. On click business we have many competitors but we will try to defend ,maintain and exceed our market share than competitors. Capabilities We have good managerial skill so we have ability to make good decision to control our business and we will hire the talented, good managerial skill and experience full sale managers, programmers, technication and other required staff . CRM (Customer Relationship Management) Happy customer is our priority so to make them happy we have to develop relationship on personal basis.


Marketing Plan:


We segment market geographically and demographically on the basis of age and gender. And will serve male, female for age range of 15 to 35 years old. The basic purpose is we want to identify the customers need, to develop relationship in order to make the loyal customers.


Target Customer:
Our product incorporates local, traditional and modern stuff which lead to price differentiation. On same grounds the nature of work will differ keeping in view the band width of income levels. We have targeted our customer in broadly two divisions:

Superior/Elite Class Middle Class


Promotional Activities:

Encouragement and Prize Contest For Best Design among the school girls Distribution of Brochures Festival Discounts Pamphlets and banners. Banner placement on net Ads in famous Magazines


Where we want to go? In next five years, our aim is to target the customers worldwide for the sake of increasing sales and gain maximum profit.

Marketing Strategy

Market development Focus based strategy Our marketing strategy is to develop the market, this is new market for us because

there is no any competitors exist in that location, so there is potential of growth in the future , the 100% chance of success ,because in present condition, no any chance of threat is exist. The market is niche and our focus is to develop that niche market in more attractive way.

Future Marketing Strategy:

Market expansion

In the future our strategy is to expand the business in different location in Rawalpindi, Attock and Peshawar so that brick business can grow .After such expansion our further plan is presence of our outlets in all big cities and wherever we can manage. We want to


operate business in different market in local and in global. Our future strategy is based to attract the customers through matchless quality & discount: I.e. if two suits are purchased then a 20 % discount is granted to ur regular customers and 25% for bulk purchasers. PRESENT PROMOTIONAL STRATEGY

As it is a newly boutique setup so our promotional strategy is through Banners, Pamphlet and through sale scheme as based on the Introductory Prices for the dresses to welfare our customers and to increase our repute in the market. The method of our promotion strategy is that we have firstly launched a sale scheme which is based on the introductory pricing strategy for the dresses to welfare and to facilitate our customers and to increase our repute in the market. We placed banner advertisement on the popular site with help from Google for our online business..


As the Internet has become a staple world life and retail merchandising, Style inn Boutique will have a viable Web site. We will have secured the domain name Style inn and will begin site development as funds become available. Further, we have hired an experienced Web designer .Foremost, we intend to showcase our brand, our clothing and provide customers with the ability to purchase items online. As the site progresses, we will include features such as fashion advice, designer interviews, newsletters, and Internet-only specials. Eventually, we hope to establish and nurture an online social community where women can gather and discuss topics of the day, network and share clothing secrets.



Financial Plan:

SOURCES & USE OF FUNDS Style inn requires one million to launch business successfully; weve already risen through personal investments. We will seek additional funding from banks for future growth, Start-up funds will be used for renovations and inventory and operating expenses such as rent, utilities and payroll. Further, our initial investment will also be used to purchase retail equipment and inventory software - all of which will produce future benefits for the company.



As our introductory prices is based on reasonable prices so it will increases our sales which ultimately leads to profit earning setup. As long term benefits are also achieved through such technique. Our dresses covering about every sort of stuff, so a new variety is launched at this specific area which also increases our sales. We will offer promotional discounts and seasonal throughout the year. We will also implement a referral program rewarding customers who refer new customers with discount coupons. For our online business we will conduct a direct-mail campaign to targeted consumers that we have signed up through our in-store mailing program. The direct mailers will be comprised of 5,000 full-color postcard mailers. Each will include at 10% coupon. We will offer promotional discounts and seasonal throughout the year. Style inn Boutique will accept cash and payment via major credit and debit cards. Returns and exchanges must take place within 30 days of purchase and receipts are mandatory.

Revenue Model


Projected sales and GP Profit &Loss account Y 2010 Sales Direct Costs of Goods Other Costs of Goods 1500000 1,000,000 100,000 -----------Cost of Goods Sold 1,100,000 Y 2011 3,000,000 2,001,000 100,000 -----------$2,101,000

Gross Margin Gross Margin % Expenses Payroll Marketing/Promotion Depreciation Web Design and Maintenance Payroll Taxes Other

400000 27%

$899,000 30%

58,000.00 180,000.00 0.00 36,000.00 8,700.00 24,000.00

86,000.00 189,000.00 0.00 39,600.00 12,900.00 0.00

Total Operating Expenses



Profit Before Interest and Taxes


571,500.00 23

Interest Expense Taxes Incurred (30%)

0.00 27,990.00

0.00 171,450.00

Net Profit Net Profit/Sales

65,310.00 4.35%

400,050.00 13.34%

Pro Forma Balance Sheet:


Pro Forma Balance Sheet

FY 2010 FY 2011

Assets Current Assets Cash Inventory Other Current Assets Total Current Assets Long-term Assets Long-term Assets Accumulated Depreciation Total Long-term Assets Total Assets Liabilities and Capital Current Liabilities Accounts Payable Current Borrowing Other Current Liabilities Subtotal Current Liabilities Long-term Liabilities Total Liabilities Paid-in Capital Retained Earnings Earnings Total Capital Total Liabilities and Capital

$90,000 $22,493 $0 $411,895

$80,000 $23,617 $0 $785,045

$0 $0 $0 $524,388

$500,000 $5,000 $0 $1,393,662

$0 $0 $0 $0 $0 $0 $0 $500,000 65,310.00 $565,310 $565,310

$0 $90,000 $0 $90,000 $1,000,000 $1,090,000 $63,750 $294,243 400,050.00 $758,043 $1,848,043


Production Plan:
Flexible Product Options allow you to create drop down menus which can be shared among many products, like size, or for choices specific to one item such as colors, design, or pattern. Libaas-e-Khas s powerful Brand & Attribute system will facilitate to promote your online apparel. The fashion trendsetter of the decade will love eCommerce website because they will find the perfect garment to fit their body and style. In Libaas-e-Khas boutique we would like to introduce following products and services. Shalwer kameez. Lehnga. Kurta. Sherwani. Jeans and T-shirt. Ladies stylish clothes. Trouser Set. Fancy dress Sahri Shawls Chunri Gents suits


Product features Casual dresses Party dresses Bridal dresses Mehndi dresses

Value added features We are providing dresses according to seasons. In summer season we are providing: Machine embodied Cotton dresses Hand made embroidery Doriya dresses Dimonties on Shiffon dresses Block printing on Jorjat dresses Embroidery on Cotton kathan dresses Beads work on Khadur cotton dresses Zuri work on valvet dresses Coatray Shawls Other embroidery dresses on winter stuff

In winter season:

BRIDAL, MEHNDI and PARTY DRESSES: Ghota work on chundri stuff Muqaish work on double jorjat colored dupka used on JAMAWAR, KATHAN SILK AND BROSHA S

Mens Wear


This is the young generation style with bold self expression. Taylor cut and rich style makes this garment an element of value in the wardrobe of a man who loves the quality and the originality.

Mens young generation cotton jacket Peak lapel 48% cotton, 52% viscose High tech fabric, stain and wrinkle resistant New with tags, hanger, plastic bag, carton Single breasted, two button Flap pocket Center back vent Jacket is fully lined

Traditional sherwani for grooms bases on silk

DI White & Maroon Price :Rs.1200 white & black cotton Shalwar kameez Price 500 Cotton Silk fraq Price :Rs 1500


Trendy wear
price :Rs. 950

Boutique Formal Kameez


Golden & Red Kurta Mehndi dress Price: 1000 Party wear wir\th chunar dupata price 1750

Bridal Dress & Groom Sherwani Price 35000

Price :10,000 DI Red Katan Bridal Dress Price :15000


Sherwani Price:17500

Sherwani Price:19000

Elegant White Groom Sherwani Men's Single Breasted 3 with Intense Design Work Button Super 150s Extra Price: Rs.14,995.00 Mens 3 Button Dacron Micro Fiber Dress Suit Fine Dress Suit


This is the young generation style with bold self expression. Taylor cut and rich style makes this garment an element of value in the wardrobe of a man who loves the quality and the originality.

Mens young generation cotton jacket Peak lapel 48% cotton, 52% viscose High tech fabric, stain and wrinkle resistant New with tags, hanger, plastic bag, carton Single breasted, two button Flap pocket Center back vent Jacket is fully lined Traditional sherwani for grooms bases on silk


Our services is fast delivery, if it is urgent then it will send the product to the customers what time he want. Free name labeling. Credit card is also accepted.


Raw material required for Libaas-e-Khas

We require an enormous range of fabrics and Sewing accessories.

1) Cotton 2) Wool 3) Linen 4) Silk

2. Sewing accessories

Appliqus Batting Beads & Crystals Bindings Bobbins Boning Buckles Buttons Cording Cutting Boards Drapery findings Elastic Embroidery Floss

Fabric glue Fasteners Feathers Fringe Fusible tape Gripper tape Interfacing Lace Lingerie findings Marking tools Needles Pillow forms & filling Piping

Ribbon Rulers/measuring tools Scissors Sewing Baskets Sewing Books & Magazines Shoulder pads Stain removers Tassels Thread Trim Veiling Zippers Purse finding


Management Summary:

By examining the above business structure, thee are three top level GM, and after this the different functional level manager are the middle level and in 3rld level the AM are in front line manager . The AM will control their respective staff and will responsible f their task .All level will accountable and responsible of their own task. This business is form of partnership. Three partners are equally responsible at top level to control and run the business because 50% the have share in the business. The top level GM will develop the strategy, develop the vision and mission, and objectives are derived by proper utilizing of resources they will control the functional level, and will delegate he authority too functional level manager of HR, Marketing, Finance, and Operation departments. They will control the staff. Their will there GM and four functional level manager, eight are AM these will be hired, and each AM will control the four employee. The 26 employees will have our family relationship but other six will be hired.

Personnel Plan:
We expect the only full-time employee will be the owner for the first year. One part-time (30 hours/week) employee will be hired initially, followed by a second part-time employee in month three as business is expected to increase due to seasonality. If projections for October through December are correct, temporary seasonal help will need to be hired to assist in fulfilling the order processing.


Operational plan

As we know that operational plans are one-year plans, based on a financial year, that outline an agency, office, division, sub-output, branch or work area direction. So the operational plan of our boutique will deal specifically with the internal operations and equipment necessary to produce different boutique products or services. The areas under the operational plan are as under.



Presently, Libaas-e-Khas Boutique does not have a bricks-and-mortar location.

We hope that every time customers deal with us, their experience reflects our vision: We do what we say we will do - when we say we will do it - for the price we said We are pro-active and easy to do business with; we care if we don't keep our promises, we make recovery our number one priority.

Our goal is to make to provide best quality to over customers in the clothing accessories. We will provide high quality products and services at the most reasonable price possible. We will provide our customers daily new look daily updates of the clothing

Our shared values will be as under. We speak well of ourselves and of our partners We do what we say and honor our commitments We acknowledge people as our most valuable asset We look for solutions not excuses 36

The Main business of Syleinn is situated in 26 areas near utility sore Gadwal Wah Cant while our show rooms and outlet there. We will also provide sale and support service to our potential customers so they feel free to become our loyal customers.

We are using state of the art and modern equipments to produce our different boutique products we have different fully automated sewing, stitching and embroidery machines to fulfill our customer needs.

Our team will be gradually augmented to facilitate our ever growing business the proposed personnel will be offered a good salary package with fringe benefits, so that they can live their lives without any trouble. Workers Our workers will be the backbone of our boutique project. At the start I need at least 32 tailors and craftsman. Promotions Promotions to the labor will base for their good performances and good result. Programmer We need a programmer to launch a comprehensive campaign and update on daily bases design and who is also expert in making good design and contrast of clothes in way to attract customer , and fulfill the customize design according to the customers need. Accountant:


To keep the account section functional we need an accountant who will check accounts of the boutique and deal with banks.

Manufacturing & Service Process

We will use best quality cloths and other materials used in producing different boutique items. We will try our best to import raw materials used in our boutique products. Our key suppliers will be Pakistani fabrics companies and well reputed fabric firms in Pakistan. We will store the raw materials in especially prepared go downs inside our boutique area. The finished products will be stored in a separate showroom and will be sold as and when required basis. We will use state of the art technology equipment and machinery for our manufacturing process.


SWOT Analysis


LOW PRICING STRATEGY As it is a newly established business so our pricing regarding products are quite low which introductory prices are. It is quite favorable for us at this time to achieve the market grip LOCATION The location selected for opening the boutique is 26 areas near utility sore Gadwal WAH CANTT.AS here is no competitor exists there, so it is the best site which attracts the customers to come up with confidence of purchasing items.


NO COMPETITION In Gadwal no competitors are there, so as we have launched a new business and to avail location base distinctiveness over this region so it helps us to maintain our position at this market. QUALITY DIFFERENCE We have made this boutique with the motto QUALITY IS OUR STRENGTH. A new variety with the unique style helps us in growth of our business in future.


As it is a newly established business so it is quite difficult for us in initial phases to capture the market share instead of no competitors are, but too grab attention of customers, and due to lack ness f our workers education this makes difficulty, to grab share.

First mover advantage As there is no competitor exist in the market so it is more attractive opportunity to attract customer, to increase loyal customers, to grab and increase market share. Increase of department in boutique It is another sort of opportunity for us to introduce a new department regarding, 1. bags 40

2. 3. 4.

Matching shoes children toys Accessories

THREATS NEW ENTRANTS/RIVALS The new establishment of any boutique in this sector may cause in disruption of our repute, as they will come with the new idea of price and other related factors in future.