MY DREAM PROJECT:

CHENA ACHAR (YAM PICKLE)

COMPANY NAME:
Tagline: Place of Operation: Company Address: Ph: Email: Company website:

KAY VEES PICKLE

TASTE THE DIFFERENCE..! KANNUR KAY VEES PICKLE, Thalassery, Kannur 9645992190 kayvee87@yahoo.com www.kayveespickle.com (example)

Table of Contents

1.0 Screening of the business plan

2.0 Executive Summary 3.0 Business Description Segment Company summary Start up summary Table start up 4.0 Marketing Segment Market analysis Target market segment Market segmentation 5.0 Strategy and Implementation Summary Summary Competitive Edge Pricing Strategy Advertising and promotion Table: Milestones

6.0 MilestonesSchedule Milestones table 7.0 Personnel/ Management Segment 8.0 Operations Segment

9.0 Financial Analysis 10.0 Critical Risk Segment 11.0 Harvest Strategy Segment 12.0 Bibliography

1.0 Screening of business plan 1. Chena Achar (Yam Pickle) 2. Chena Chips (Yam Chips) 3. Egg White Preservative. The 3 of my business plans are mentioned above. All these three plans are different in various aspects. Chena Achar (Yam Pickle) A traditional pickle recipe with yam,a highly nutrient vegetable, and it contains Protein, Fat Carbohydrate, Fiber, Calcium, Iron, Phosphorus, Vitamin A, etc. In Malayalam,it is chena kizhangu. Chena Chips (Yam Chips) It is the recipe with yam fried chips in coconut oil. Yam can be made in to sweet chips or sour chips. There is a big market for these kind of snacks as demand is never declining for this product.

Egg White Preservative. It is a preservative food for protein lovers. EGG white is a rich source of protein. But this product aims at specific group individuals who is more in to weight training programs. These products are compared on 6 factors to screen the best plan out of these 3 plans.

FACTOR Personal Fit Degree of risk Funding needed Ease of start up Short term Potential Opponents Total

Yam Pickle 9 9 6 4 5 9 42 7 5 7 5 4 4

Yam Chips

Egg White Preservative 6 3 3 4 3 3 22

32

(A HIGHER TOTAL VALUE IN THE ASSESSMENT MEANS IT HAS THE GREATEST POTENTIAL AND THE LOWEST RISK) Hence, the idea of YAM PICKLE is the most suitable Business Idea.

1.0 Executive Summary KAYVEES PICKLE isanew business that emerged as a result of customers varying taste towards food.Present food industry is flooded with different varieties of both vegetarian and non vegetarian items. Their recipe also varies from higher to lower in terms of complexity of making. Even though this industry is so volatile customers always loved tasty foods. Keeping this in mind KAY VEES PICKLE enter here by introducing CHENA ACHAR(YAM PICKLE) a traditional pickle recipe with yam,a highly nutrient vegetable, and it contains Protein, Fat Carbohydrate, Fiber, Calcium, Iron, Phosphorus, Vitamin A, etc. In Malayalam,it is chena kizhangu. We will be the leaders in the market in the coming years. Our continuous effort in identifying peoples need and satisfying it gives an advantage over our competitors. Product we serve is of highest quality in a traditional way. We will control significant market share and increase profit as we grow and expand. We will develop our business conservatively, financing our growth through operational revenue. OBJECTIVES 1. 2. 3. 4. To enter into food industry with quality traditional recipes. To grow and sustain the business for future. To increase the product line by increasing the market share To break even in the second year, and be profitable by the third year.

MISSION The main mission is to serve the taste of tradition to all. Our main focus will be on quality and satisfaction. Serving the customer with what they want.

Keys to Success The initial location will be a small household with minimum workers and resources. Continuously analysing the customer demand and plan for a new product . The business finances will be run in an organized and timely manner.

2.0 Business Description Segment

2.1 Company Summary COMPANYNAME: KAY VEES PICKLE Tagline: Place of Operation: Company Address: Ph: Email: Company website: Taste the difference..! Kannur Kannur, Thalassery, Kannur 9645992190 kayvee87@yahoo.com www.kayveespickle.com (example)

KAY VEES PICKLE will be established as a Private Ltd. company owned by a single owner and founder, Reshin K V In the beginning firm will be concentrating on single product line. Target group will be mainly local people near the firm. This company will start with a very meager capital and will gradually develop through the revenue generated with it. Product will be distributed to all local shops and will be marketed through SHGs like kudumbasree and ayalkoottam.The market is not much competitive in my place. People are more agriculture oriented and their main source of income is agriculture. As elephant yam is not using for preparing pickle business can also become a success if we give the best product.

2.2 Start-up Summary

The start up for KAY VEES PICKLE will be simple and cost efficient. Rent and raw materials will be the main expense, which will consist of a large building space (SPA) and office. A building can be hired on lease purpose for the same.An insurance policy will also be taken to tackle with risk propensities in the business. There will be many advertising expenses in the beginning that will promote the service, and this expense will lessen as months go on and people become aware of our service. The only inventory will be raw materials and finished product. As the raw materials are perishable storage costs will be less. As the business starts in a small scale heavy machineries are not used. All work will be carried manually.

2.3 Table: Start-up

Bank loans will be needed to start up the company, and we will also be investing some of our own funds. An initial investment Rs. 1, 77,000/-would be required. The breakup of costs is shown below:

Start-up Expenses Legal (Documents, Registration etc.) Advertising Insurance Rent/Lease Salaries machineries Total Start-up Expenses Start-up Assets

Rupees 2500 15000 15000 100000 20000 8700 161000 15800 0 0 177000

cash required other current assets long term assets Total cost

3.0 MARKETING SEGMENT

3.1 Market Analysis Summary
The market for KAY VEES pickle is all of the food lovers who look for the traditional quality food. People are less aware about the nutritional qualities of elephant yam. They never expect a pickle from something that they consider itchy. Even though there are several brands that give all kinds of pickle like lime, mango, fish etc elephant yam pickle is not yet introduced. But people always try new things out of curiosity. We have a target of a 20% yearly profit increase as the business continues.

3.2 Target Market Segment Strategy

Market can be segmented according to the eating habits. People who are vegetarians by birth and their culture always have a stronger affinity towards this yam pickle. We cannot segment market according to the income level. Our familiarity with this business indicates that the product we offer is not currently available anywhere within our area. This calls for advertising of the product, it is sure to click with the targeted crowd.

3.4 Market Segmentation

Our target market consists of a large crowd with different eating habit. If the population is vegetarian by birth and 90 percent of this people is like that product can be success in that segment. Rest of the segment is competitive but if proper positioning can be done through advertisement and promotions this will also be a success.

Table: Market Analysis

Year 1 Potential Customers Growth Customers Others 20% 0% 1500 0 1800 0 2160 0 2592 0 3110 0 Year 2 Year 3 Year 4 Year 5 CAGR 20.00% 0.00%

Total

20%

1500

1800

2160

2592

3110

20.00%

5.0 Strategy and Implementation Summary

Marketing will be dominantly achieved through print media, television ads, social media outlets and website promotions. Word of mouth has to date been the strongest form of marketing that has taken place. Currently the following marketing materials are available: Brochures Magazine advertisements Radio advertisement Local television channel advertisement Labels

Discounts and promotions will be given on the company website and promoted accordingly. Sales strategy also includes targeting world events and affairs and capitalizing on news media rich topics and catering to a specific niche under the company brand.

5.1 COMPETITIVE EDGE

ELEPHANT YAM is first time introduced in market. This gives a competitive advantage over upcoming competitors. It takes time to find the recipe and become a competitor by thistime we can become a major market player. So we need to be careful in pricing strategy and quality of the product in the initial stage.

5.2 PRICING STRATEGY

Pricing method used will be cost plus pricing.

Price / Cost Basic Raw Material Making Cost Packing Cost Total Variable Cost Profit Trade Price (TP) *Distributor Margin Retailer Margin Retail Price (RP) Weights (in grams)

For Single Pack (in rupees) 4.00 3.60 1.00 8.65 1.50 10.15 1.60 1.25 Rs. 13 100 Grams

For Double Pack (in rupees) 8.00 7.20 2.00 17.30 3.00 20.30 3.20 2.50 Rs. 26 200 Grams

* Distributor Margin includes a part of carriage expenses to be met by the distributor and a gross profit for the distributor

5.3 ADVERTISING AND PROMOTION

At the beginning stage it is necessary to spend a amount on its promotional activities. As a part of the promotional activities it is intended to Give advertisement through print media, television, small processions. As a part of expansion Place stalls in popular food festivals conducted in district level and sub district level. Distribute notices with many attractive features along with news papers Advertisement in regional television channels

6.0 MILESTONES
The company KAY VEES PICKLE strives to achieve the following milestones in the years to come:

6.1 Table: Milestones

Milestone Lease building Promotional activities Inauguration Commencement of business Opening a new branch in another taluk Expansion and Renovation To be known as a popular brand by Start Date 01/08/2014 15/05/2014 01/09/2014 01/09/2014 01/09/2015 01/10/2015 01/09/2016 End Date 01/08/2015

7.0 Personnel/ Management Segment

The Personnel required for this business initially will only be 3workers who are equal in job role and responsibilities and a manager(which will be the owner himself)The management team will consist only of the owner and founder, Reshin K. V. We expect to grow in the coming years. So outside guidance in the areas of accounting and financial advising is a requirement.

7.1 Personnel Plan

POSITIONS Workers (3 nos.) Administration/Management (1 no.) Total staff Total Payroll

Year 1 20000 0 3 20000

Year 2 22000 0 5 22000

Year 3 26400 0 10 26400

8.0 Operations Segment

The amount of money that will be required for start up operations costs are listed below. In the initial phase a total of Rs. 15,100/- is set apart for the same (Refer to 2.3 Start up cost table)

Operation Costs: Electricity Water Raw Materials Grooming supplies and toiletries Petrol Misc. Expenses Rs. Rs. Rs. Rs. Rs. Rs. 5,000 1,000 5,000 2,000 2,000 1,400

TOTAL

Rs.

15,500

10.0 Financial Analysis

10.1 Break even Analysis Total fixed cost associated with yam pickle (rent +machineries) = 108700

Sales price (100 gram pack) Variable cost per unit Contribution

= 13 Rs = 8.65 Rs = 4.35 Rs

Break even in Units

= = =

TOTAL FIXED COST/CONTRIBUTION 108700/4.35 25000 nos

For break-even sales we need to sell 25000 nos of 100 gram pickle packets. So we need to plan the sales accordingly.

11.0 CRITICAL RISK SEGMENT

The critical risks that one can encounter in the business are: Preference of Self Care for Pets Customers might not be fully satisfied in leaving dogs at an unknown place initially. Some customers tend to treat pets as their own children and so an element of sentiment and emotion may occur. For this a great deal of advertisement and penetration should be done. A mass audience must be made aware of the internal facilities for their pets at PET PALS centre. Targeting the upper class and penetrating the ideology of business is difficult It is difficult to identify and do door to door business awareness campaign unlike with those other income groups. This class of target market is not very easily accessible. Rise in Pet food prices A heavy rise in pet food prices (e.g.: Pedigree for dogs) might impact the business in a large manner.

Harvest Strategy Segment

KAY VEES PICKLE is a single owned and operated business. The ownership will be transferred to the next generation. A portion of the profit will be retained for running the business. The business will be developed only out of profits and not out of capital. Innovations will be always included. It will also consistently maintain high safety standards and cleanliness.

Conclusion
Business plans are decision-making tools. There is no fixed content for a business plan. A business plan represents all aspects of business planning process declaring vision and strategy alongside sub-plans to cover marketing, finance, operations, human resources as well as a legal plan, when required. Elephant yam pickle is entirely a new product to the market. New generation people not yet tasted this. So this product will surely get quick response from the society. Also the cost of production is economical and we are planning an eco-friendly production system. I believe this idea will work with the constraints allocated. Provided all the people do their jobs correctly.

BIBLIOGRAPHY:
1. 2. 3. 4. Small business notes www.smallbusinessnotes.com Business planhttp:www.bplans.com/day_care_business_plan/appendix_fc.php Centre for non profit excellence - www.cfnpe.org What is a business - http://www.smallbizpro.com/Chapter7Businessplans.pdf