1) Project Brief

Food which is prepared and served within a short span of time is referred to as Fast Food. The
fast food industry in Pakistan is undergoing an escalated boom. Despite brutal competition,
this industry has managed to generate profitability and is well-received by the local masses as
well. Recent statistics have revealed that fast food industry is the second largest in Pakistan,
with approximately 169 million consumers. Not only that, but this sector also accounts for
16% of the total employment in manufacturing sector. An industry with such dynamics has a
great probability of exceptional growth in future as well.
The existence of multinational fast food chains like McDonalds, KFC, Pizza Express, Pizza
Hut, Subway etc. have somewhat catered to the high income segment therefore developing a
niche as upscale fast-food restaurants.
Additionally, worldwide fast-food stores are not the only or even the primary resource of
readymade meals in most places of Pakistan. Many regional stores have developed around in
the main places of Pakistan (for example Khan Broast, KBC, Kabyees, Jans in Karachi) to
contest with worldwide stores and provide selection items that entice the unique regional
preferences and routines at relatively low costs.
In Pakistan, multinational chains are considerably more expensive, they usually are visited by
upper class because they are considered glamorous. However much of the middle-income
segment (which forms a major chunk of fast-food goers) prefers visiting local restaurants that
offer low cost fast food.
The Pakistani economy is becoming increasingly service-oriented, and over the past several
decades, the foodservice industries that offer the highest levels of convenience have been
rewarded with strong sales growth. In the face of rising population, incomes and increasingly
hectic work schedules, a nearly insatiable demand for convenience will continue to drive fast
food sales. Fast Food Outlets will strive to find ways to make their products even more
accessible.

Model FoodCornerwill be Partnership concern partners name are, Ali Arshad, Muhammad
Mujtaba and Faisal Ali, and we capitalized on the growing hospitality industry to create a niche
market for its restaurant

2)

Vision Statement

To be the leading integrated food services group in the Karachi to serve people quality food
on affordable cost with exceptional customer-focused s

3)

Mission Statement

To be Karachis best service restaurant experiencebeing the best means providing

outstanding quality services neatness and value so that we create every costumer in restaurant
Smile

4)

Objective

Our crucial success aspects will be to recognize other local and worldwide readymade meals
restaurant/chain styles and include them into our functions, provide friendly and quality
services, continue to get money in marketing and stand above the "competitor bend." And stay
a head our competitor in the area by providing quality taste and best services.
4.1) Occupancy:
Filling all restaurant 50% seats within the first 30 minutes. Good time management will allow
us a 3-4 table turnover. We are further expecting 50 take-out orders the first night and 80 takeout orders the second night.
4.2) Guest Experience:
Providing flawless and excellent customer service, and creating a unique dining experience
that is enriched with the teams enthusiasm and passion for quality and fresh food.
4.3) Team work and Employee development:
Management will thoroughly train and develop every member of the team to become a
committed and skilled professional. Integrated decision making as well as team building
activities are designed to maximize the team-spirit and to develop a professional competence
among all team members.
4.4) Costs: offer quality food at reasonable price.
2

4.5) Marketing: Impeccable corporate identity (brand communication), aggressive

promotional activities and word of mouth.

5) Guiding Principals
5.1) Being Mindful of our Customers and our Staff
Coinciding with our family values, we will treat both our customers and staff in a manner in
which we ourselves would want to be treated (or better!)
5.2) Gratitude
An attitude of gratitude shown to our customers, employees and vendors because without
their input, service, labor and time, our business would not be here without them!
5.3) Our Service
Provide the warm and friendly service expected from a family-style restaurant creating an
informal, comfortable environment which will make the customers satisfied and want to
return again and again.

6) Key Success Factor

6.1) Conceive the Winning Concept
A well-defined concept stands a much better chance of long term success. To start, it is wise to
first set specific goals and decide on the ways you will measure your restaurants success.
6.2) Consistency
Develop a winning concept requires implementing systems and procedures to ensure
consistency
6.3) Menu Pricing
One of the most important factors in the strategic planning of a restaurant is in the
development of the menu. It involves designing an appealing selection of menu items that are
competitively priced in the marketplace. Menu pricing is a very tricky task because you need
to offer your targeted guests a good price/value relationship.

6.4) Market Research

This is probably the most critical factor for running a successful fast food restaurant.

Visit fast food outlets, franchises and other chains to see

Talk to customers to know their preferences,

Keep in mind that because a concept works in one area does not mean it will be well-received
by customers in other location. Tastes are subject to location preference and more often target
market. In high scale urban areas (like PECHS, KDA etc.) are more likely to be successful
with a niche concept than in a dense middle income areas (like Gulistan e Jauhar, Malir).
6.5) Selecting Prime LOCATION
The specific location within target area also is critical. If restaurant is situated in an
infrequently traveled area no where near complimentary businesses or at the back of a mall, it
will limit earning potential. If the restaurant is right off of a major freeway heavily traveled by
truckers and road trippers restaurant may be highly successful despite a remote location.

7) Legal Status of the Restaurant

Model Food Corner is a Partnership concern of

Ali share holding of 33.33%

Murtaza share holding of 33.33%
Faisal share holding of 33.33%

8) How to Start a Restaurant

Experience

Know Your Target Market

Select a Service Style & Food Concept

Create the Menu

Choose a Location & Layout (Size of restaurant)

Getting the Appropriate Funding

Hiring Employees

Advertise & Market

9) Brief Description of the Business

Model Food Corner will be Partnership concern partners name are Ali, Mujtaba and Faisal,
and we capitalized on the growing hospitality industry to create a niche market for its
restaurant.
Model Food Cornerwill be located at Model ColonyMalir, Main Liaquat Ali Khan
Road,open: 3:30 pm to 12:30 am Monday through Thursday and 4:30 pm to 2:00 am Friday to
Sunday. Model Food Cornerwill range in size from 220 square yard Ground + One (Total
3,960 Sq Feet) building and will seat for 100 to 120 guests, with take away options and free
home delivery within 10 KM area, 10 to 15 cars parking.

%
(Sq.Fe
et)

(Sq.Feet)

Dining

49%

1900

Waiting

6%

250

Kitchen & Preparation

33%

1300

Office

1%

50

Stores

10%

400

Total

100%

3,900

Details

Size

One of the biggest challenges restaurants face is a lack of qualified labor. In order to get and
retain qualified employees, make sure your pay scales relate clearly to the job's duties and
responsibilities. In addition, find out what other restaurants are paying their employees so that
you can be competitive in the job market, without spending too much on payroll. There are
several categories of personnel in the restaurant business: manager, cooks, waiters, helpers,
dishwashers and cleaners and sweeper. When your restaurant is still new, some employees'
duties may cross over from one category to another. For example, your servers may double as
the cleaners. Be sure to hire people who are willing to be flexible in their duties.

Job Title

No of
Employee

Salary

Total Monthly
Salary
5

Head Waiter
Waiter
Cooks
Manager
Counter Person
Presenters
Helper
Guard
Sweeper
Delivery Person
Total Salary Expense

2
3
4
1
1
2
4
1
2
2
22

9,000
6,000
30,000
30,000
15,000
12,500
9,000
10,000
2,500
6,500
130,500

18,000
18,000
120,000
30,000
15,000
25,000
36,000
10,000
5,000
13,000
290,000

9.1) Management Summary

We partners will be operating as the general managers of Model Food Corner. Other key
personnel are the day to day manager, waiter and cooks. There is not expected to be any
shortage of qualified and available staff due to the excellent training by the responsible
manager.
We will practice sound management procedures in order to control costs, insure quality of
product and provide friendly customer service. The following systems will be used by
management
Order Guide:The restaurant will use an item specific order guide to track order history and
maintain designated levels of product in inventory.
Weekly Inventory: Management will conduct a weekly inventory to determine valuation for
use in the preparation of weekly profit and loss reports.
Daily Inventory Tracking: Daily inventory will be taken on specific items. Movement will be
compared to sales data to ensure designated products have been properly accounted for
9.2) Organizational Structure
At that stage, we partners overseeing the entire operation. The front of the house operations,
including all waiters, presenters, helpers and other staff by the manager and the head waiters.
Operations in the kitchen are controlled and overseen by the back of the manager and
presenters.

Marketing, research, and design and Hiring is our responsibility, where as training and
employee development is the responsibility of the manager and senior head waiters.
Forecasting, budgeting and the cashier fall under the responsibility of the partners.
9.2.1) General Manager
We partners are responsible for the overall success of the restaurant. We will oversee the
administrative component to the business as well as restaurant operations. It is crucial for the
managers to have a complete understanding of the business. Cash operations will also be
handle by one of the partner using the system which we will use for cash and credit card
transactions.
We will be responsible for ordering, receiving and maintaining sufficient inventory to meet
production demands. Ordering schedules will be staggered with perishable products being
ordered multiple times per week to preserve freshness. Standard grocery and supply orders
will be ordered less often, according to a predetermined schedule and storage capacity.
9.2.2) Manager
Manager primary role is to accommodate the customers needs to the best of their ability.
Manager need to be well trained and experienced person and know how to provide excellent
customer service, know how to sell the product as well as stand out as the face of the
restaurant. Another job is to train all the jobs that deal with front of the house, because is it
very important to present the restaurant in a positive light in all aspects. Manager is
responsible for the layout of the room as well as keeping the theme of the restaurant alive.
Another primary role for this person is to make sure all Waiters, Helpers, and other staff are
doing their job properly on the floor. They need to be experienced in serving as well as have
some knowledge of the restaurant business. They must have exceptional knowledge of all the
items on the menu.
Manager will rely on operational checklists to verify that each work shift has been properly
prepared for and to insure the operational standards are followed before, during and after work
shifts.

9.2.3) Cooks
Cooking schools can usually provide you with leads to the best in the business, but we look
around and place newspaper ads before hire. Customers will become regulars only if they can
7

expect the best every time they dine at your restaurant. To provide that, you'll need top-notch
cooks and chefs. Cooks will be responsible for the food quality for which they should be in
restaurant on appropriate time to begin organizing for the day.
9.2.4) Presenter
Presenters have the duties to make sure that all orders that come into the kitchen are carried
out in a timely manner but prepared to the best of the chefs ability. Plates that go out are to be
inspected before they go out onto the floor and approved by the presenters. Presenters are
required to have basic knowledge of the equipment and supplies available. Control of the line
is best for a greater result.
9.2.5) Waiters
The Waiters key duties are to properly greet guests upon arrival, escort them to their tables.
Organization is a key attribute to focus on and the waiters will be called upon to multi-task
during busy junctures. The Head Waiters will also expect to inspect for restaurant neatness as
well as control complaints and complements.
Our Head Waiters will be pivotal to the restaurant since they interact with the guests most
frequently. It is crucial for the all waiters to be knowledgeable about the cuisine and beverages
as well as the restaurants framework. Waiters are to greet guests when approaching the table,
take orders and maintain guest satisfaction throughout their meal.
The Junior Waiters are expected to be the prime with serving is to keep the guests table clean
and organized, but must also be prepared to refill drinks and tend to guest inquiries.
9.2.6) Counter Person
To-go operations are one of the most important functions of our restaurant. Hence, our
Counter Person is extremely important staff member. Much of the income gained will come
from to-go orders. This staff member must be organized, detailed and well acquainted with
the cuisine. The food he sends customers home with must be equal quality to that which is
served in the restaurant.

9.2.7) Delivery Person

Delivery persons will be expected to expedite food to customers not desiring to sit down at
our restaurant, but still enjoy our food in the convenience of another location. This person is
expected to be organized and committed
9.2.8) Suppliers
We partners and Manger will establish relationships with qualified suppliers. These suppliers
can provide reasonably priced products, delivered according to the schedule. Our main
suppliers would be

Fresh Vegetable Merchants

Fresh Meat (Chicken/Beef//Mouton) Merchants
PEPSI
General Items (Rice/Sugar/Spices) Wholesalers

Proper labeling and rotation techniques, accompanied by storage facilities will ensure that
high quality prepared product will be sufficiently available to meet the demands during peak
business hours. Replenishment and ongoing preparation will continue during off peak
business hours.

10) Interior Design

We will design our restaurant in a better way as compare to our competitor and market
standings because we will be also look for the customer from posh area like MalirCantt and
Kasmabad.

Our restaurant design will be unique given the color schemes and the symbols that appealing
and attracting, with color full lighting in the top of the roof and slow dim lights with tables
will air conditioner keeping atmosphere calm
The chairs that we will be using within the restaurant are wooden and add a lot of character to
the design. With light music from music systems and TV screen of 40 as well

11)Customer Orientation
Pakistan is country with population over 188 Million people here love to go out and have dine
with their family in restaurants or small cafes usually at night time, where population of our
targeted city Karachi is exceeding from 20 Million, there is a different varieties of food
available in market, people love to eat Fast Food, Chinese Food, Sea Food, Continental,
Pakistani Traditional Food and etc.
Mostly this choice of varieties is depend upon the age group. People having age group of 15 to
24 they prefer Fast Food, age group of 26 to 40 they usually prefer Fast food and Light Food
like Chinese, and people above these age group they usually go for light food and low calorie
food mostly because of less physical activities andan age to stay healthy.
Given below is the age structure chart of Pakistans population
Age Structure Chart (2014 est.):
Marke
t
A

Age Group

Percentage

0-14 years

33.3%

(male

33,595,949/female

15-24 years

31,797,766)
21.5%
(male

21,803,617/female

25-54 years

20,463,184)
35.7%
(male

36,390,119/female

55-64 years

33,632,395)
5.1%
(male

5,008,681/female

65 years and

5,041,434)
4.3%
(male

3,951,190/female

over

4,490,045)

10

Many more table service restaurants, which traditionally focus on full-service in house dining,
will likely try to capture part of this market by offering take-out, and possibly experimenting
with home delivery. The value of consumer time, as well as the demand for consistent, highquality food products, will continue to shape the fast food industry. Fast food, once considered
a novelty, has become an increasingly significant part of the young generations diet, and the
future growth of the rest of the foodservice industry will be driven in large part by its ability to
find new ways to save consumers time.
We will offer fast food and some chines dishes so our target market is of B and some part of
C, if we apply above stats to Karachi population than people of age 15-24 in Karachi might be
4.200 Million 21.5%) and 25-54 is 7.140 Million(35.70%) and if we divide this segment C in
to two parts (50%) than it is 17.80%, and 17.80% of 20.000 Million is 3.160 Million. Our
main focus market in Karachi is of around 7.000 Million, so it shows there is a good market
of our product in the city, and if we only go for our area Model Colony and near by areas such
as MalirCantt, Kasmabad and Airport in the startup, than our target population might be at
least 15% of the city, so our focused market in the start is 1.000 Million customers at-least

12) Competition Analysis

Dynamic Research Consultancy, established the first ever Online Research Panel in
Pakistan, in order to meet the research needs of local and international brands, in October
2013, it conducted a survey to analyze different dynamics of the fast food industry in
Pakistan. The responses verified that a larger proportion of females are visiting fast food
chains than their male counterparts. The results proved that KFC and Pizza Hut have emerged
as the most consumed fast food chains among both the genders and also, across both the age
groups. Another interesting key finding was that McDonalds was more popular in females
than in males. Reportedly, 42 percent females consume McDonalds as compare to only 33
percent of males. Similarly, is the case of Nandos, 21% of the female respondents agreed to
regularly visit it as compared to 12 percent male respondents. Chicken Cottage ranks as the
least preferred among both the gender and also across both age groups.

11

Karachi is a big city with great opportunities for business person; so many local
chains/restaurant like Khan Broast, Mr Burger, KBC and Kaybees arealso operating in the
city, one who can provide good taste with quality and hygienic service can only stay in this
business in the existence of these biggiants.

12

Fast Food outlets tend to focus on the work while you eat philosophy similar to the
McDonald Outlet at Quaid e AzamInternationAiport (Karachi) wherein seating space is also
available for passengers in transition or the KFC outlets in large shopping malls like the
Millenium Shopping Mall in Karachi promoting the concept of Shop While You Eat.
Our restaurant will be located on the main Model Colony Road, it is a busy road with various
markets such as Al-Madina Market, Gusia Market, Liberty Market, and some other markets in
the same locality, people come here for shopping from various areas because of cheaper rate
as compare to Tariq Road and Bahdurabad market, due to which turnover in the market is
good and people come to shopping also visit restaurant available in the area for refreshments
or dinner with family specially in weekend. In Eid Season or other Festival Season people
turnaround is rapidly increased.Lee Broast and The King Broast are the dominating in the area
in food business right now. Our advantage would be of our Restaurant location in the area, it
would be in a middle of market, right between markets, which no other restaurant has. Both
top going restaurants are some away from market area and due to bad law and order situation
we can earn advantage that our restaurant would be more attractive for coming families
because of closer to markets andeasier to approach as compare to Lee Broast and The King
Broast.
Our Direct Competitors in the area are as follow:

Lee Broast
The King Broast
Pizza Polar
Chillies
MashAllahResturant

Food we will offer in our restaurant would be Fast Food, some Chines dishes and some
Pakistani Traditional Food with quality service and better taste compare to our competitor on
the same price, for that propose we will higher a better trained and skilled staff for mantling
the good standard of quality and taste.

13

Model Food Corner

Broast
Chicken Broast(Qtr)
Chicken Broast(Half)
Chicken Broast(Full)

Price
170
330
660

Bar BQ
ChikenTika
ChikenBoti (Plate)
ChikenMalaiBoti
(Plate)
Beef Boti (Plate)
SeekhKaba (Plate)
Beef Boti Roll
Chiekn Roll

Price
160
150
200
130
110
60
70

Paratha

20

Chapati

French Fries(perplate)

50

Cole Slaw (Extra)

30

Ice Cream (Single

Scope)
Ice Cream (Double
Scope)

Burgers
Chicken Burger
Chicken Cheese Burger
Beef Burger
Beef Cheese Burger
Zinger Burger

Price
120
140
110
120
160

Sandwiches
Chicken Sandwich

Price
130

Club Sandwich
Chinese
Hot & Sour Soup (2
Servings)
Chicken Corn Soup (2
Servings)
Chicken Fried Rice
Chicken Chili(w/Rice)
Chicken
Manchurian(w/Rice)

150
Price
150
160
140
220
220

Soft Drinks(Large)

85

Soft Drinks
(Regular250ml)

20

30
60

14

And we would make sure that our restaurant

looks

better as compare to our competitor by

providing

higher

standard

of

hygienic

environment.Following are some of the factors that contribute to a good fast food

experience:

Marketing & Advertisement

Location
Welcome
Skilled Staff
Quality Food.
Environment (parking, lighting).
Smile factor.
Time factor.
Price factor

12.1.1) The Competitive Profile Matrix Analysis of Industry

S.no
1
2
3
4
5
6
7

Key Success
Factor
Marketing &
Advertisement

Location
Welcome
Skilled Staff
Quality Food.
Time factor
Price factor

Weighted

Multinational Brand

Local Chains

Model Food Corner

Rating (1-4)

Score

Rating (1-4)

Score

Rating (1-4)

Score

0.10
0.10
0.05
0.25
0.20
0.10
0.20

3
2
4
4
4
3
2

0.30
0.20
0.20
1.00
0.80
0.30
0.40

2
4
3
3
3
3
4

0.20
0.40
0.15
0.75
0.40
0.30
0.80

3
4
3
3
3
3
3

0.30
0.40
0.15
0.75
0.60
0.30
0.60

1.00

22.00

3.20

22.00

3.20

22.00

3.10

15

12.1.2) The Competitive Profile Matrix Analysis of Direct Competitors

S.n
o
1
2
3
4
5
6
7
8
9

Key Success
Factor
Marketing &
Advertisement
Location
Welcome
Skilled Staff
Food Variety
Quality Food
Time factor
Price factor
Environment

Weighted

Lee Broast
Rating (1-4)
Score

The King Broast

Rating (1-4)
Score

Model Food Corner

Rating (1-4)
Score

0.05
0.10
0.05
0.10
0.10
0.20
0.15
0.15
0.10

2
3
2
3
4
3
3
4
3

0.10
0.30
0.10
0.30
0.40
0.60
0.45
0.60
0.30

2
2
3
4
1
4
4
3
2

0.10
0.20
0.15
0.40
0.10
0.80
0.60
0.45
0.20

3
4
3
4
2
4
3
3
3

0.15
0.40
0.15
0.40
0.20
0.80
0.45
0.45
0.30

1.00

27.00

3.15

25.00

3.00

29.00

3.30

16

Their is no marketing or very little marketing is done by Lee Broast and King Broast

as compare to them we will promote our restaurant from TV cable and Broachers.
Our location is better as compare to both the competitorright in the middle of the

market.
Lee Broast has limited staff One man doing so many things where King Broast has
excess staff, we will higher staff according to our need and requirement no access or

short of staff.
King Broast has limited verity in Food they offer only Fast Food (Broast, Burger and
Sandwiches) and Rolls only ion BBQ, where as Lee Broast offer vide range of verity
in food (Fast Food, BBQ, Chines food, Karhai, Handi, Birynai, Haleem and Fish). We
will offer more verity of food as compare to King Broast but not go wider in range like
Lee Broast, we will be limited in verity but more than King Broast. We will offer Food
which motly people are attracted to like Broast, burger, Sandwich and BBQ with some

Chines Dishes
King Broast has better taste as compare to Lee Broast because there cooks are better as
compare to Lee Broast cooks, for that purpose we will compete King Broast in this
area for better taste we will also higher better cooks (to compete level of King Broast

Cook)
We will offer little higher price as compare to Lee Broat but same as King Broast. for
example Broast at Lee Broast is of Rs. 160/- where King Broast offer Broast at Rs.
170/- we will also offer Broast at Rs. 170/-, which will be better in taste as compare to

Lee Broast and compete the quality of King Broast.

We will offer a better hygienic environment as compare to Lee Broast and King Broast
in our restaurant, Lee Broast offer Open Air Seating but there chairs and tables are not
in vey good conditions and where as king Broast offer sating inside the restaurant
which is to much hot in summer due to no air-condition system with less
seating/dinning area. We will offer seating inside restaurant in air conditioner with
better environment

12.2) The Competitive Analysis through Perceptual Map

A perceptual map is of the visual technique designed to show how the average target market
consumer understands the positioning of the competing products in the marketplace. In other
words, it is a tool that attempts to map the consumers perceptions and understandings in a
diagram

17

Lee Broast
King Broast
Pizza Polar
Chillies
Mashallah Restaurant
Model Food Corner

Location

Food

Total
Benefits
(0-12)
8
9
6
9
4
10

Food

Total
Cost
(0-12)
8
10
8
12
6
8

Environment

Time

Skilled

18

Lee Broast
King Broast
Pizza Polar
Chillies
Mashallah Restaurant
Model Food Corner

(0-2)
2
1
1
1
1
2

Varity
(0-2)
2
1
1
1
1
1

Quality
(0-2)
1
2
1
2
0
2

(0-2)
1
1
1
2
0
2

(0-2)
1
2
1
1
1
1

Staff
(0-2)
1
2
1
2
1
2

13) Current Resources

Financial resources (investors 3 business partners)

Location at porch area of Model Colony Malir
Skills
Experience
Land & Building available for opening restaurant with commercial gas connection

14) Required Resources

Legal license
Staff required
Marketing (advertising)
Dining & Office Furniture
Suppliers (K&NS,Local& PEPSI)
Machinery (Freezers, New Roast Machine, Deep Well Firer, Hot Plate for Burgers,
Kebab, Sandwiches (30 x 22) Bin Marry Soup Container (2 Valve With Steel
Cabinet),Potato Cutter (8mm) ,Pillar (4.5 Kg Potato Peeling Capacity), Microwave

Working Tables , BBQ Chimni, Fryer, Tawa, Keg Racks & Shelves
Loan from the Bank

15) Capabilities

Machinery and equipment used to produce good quality fast food according to

customer need
Skills and experience will led providing tasty quality food to our costumers
19

Appropriate funding will led us to open bossiness by investing the required amount by
business partners

16) Core Competencies

Production and delivery speed.

Providing quality food at same cost
Good Hygienic Environment
We will be neither Cost leader or Differentiator in the are, we will be more focus on
Integration Strategy for our restaurant services

17) External Environment

17.1) Demographic factor:

Total inhabitants is going above

Total Labor force has increased
Energy project for energy crises and reduce cost of electricity.
More individuals are likely towards getting greater education
Rural places are more largely inhabited than the city area
More than 50% of the inhabitants consists of women gender
50% of the inhabitants is younger generation and center age group (18-50)
Migration of the individuals from non-urban to city areas
Emergence of the idea of stylish and municipal societies

17.2) Economic factor:

Present bank rate 8%

Present amount of core inflation rate is 5.9%
GDP amount of development is 4.14%
Unemployment amount is 6%
Present per capita income of Pakistan is about $1,386/Corporate tax is 35%

17.3) Political factor:

Unstable political infrastructure

Governments poor guidelines for the security of Business
Shaken assurance of the traders
Huge impact of political parties
20

Poor law and order situation

Lots of hurdles (corruption favoritism)

17.4) Legal factor:

Public Obligations & Ethics:

Government interventions and barriers
Other legal barriers

17.5) Social cultural factor:

More press influence

People looking for more comfort
People are moving from non-urban to city areas
Concept of personal protection system
People are more technological innovation oriented
Spending routine of the individuals is changing
Concept of operating close relatives is emerging
Evolution of magnificent and magnificent way of life of the people
Concept of time is money

18) SWOT Analysis

18.1) Strengths

Location advantage
Market standing
Legal protection
Monopolistic outlook
Exclusive rights

18.2) Weaknesses

High prices
Time in Service
Lack of focus on R&D
Limited Varity in Food

18.3) Opportunities

Cheap and easy availability of labor

Increase consumption of fast food has increased the market size

21

Consumer prefer All under one roof in order to increase their sales turnover they can
increase or add the served items

Population growth

Life style fast ,work outside

E commerce and technology

People attraction towards offers

18.4) Threats

Entrance of New competitors into the market

High political instability/uncertainty

Tendency to have additional tax on unhealthy food

19) Competitive Rivalry

This element desperately where there is even a little amount of competitors This makes a
restaurant build its restaurant up to the level best and to create new innovation in product
range menus deals technology in Pakistan this has grown like nuts and very year on certain
national holidays and other event these restaurants competitive rivalry is always at peak some
example of how it is created are as follows

Extensive marketing approach

Too much restaurant in a certain regional area
Due to high fixed costs
Strategic levels are tremendous due to catching industry share
Exit barrier are high

All of these and the list go on according to the circumstances available for the investor
Every investor requires an understanding with care to adjust his ideas in relation to these to
make a long term success for his business.

20) Competitive Edge

Model Food Corner competitive edge will be in its people. We truly believe that your business
is not only as good as your products (meals) but the quality of our staff as well. Our staff is a
reflection of us. Our long term goal is to hire team members that are truly hand selected and
have the same honest to goodness family values we do. And unlike our big chain competitors,
22

because of our lean size, we can turn on a dime when economically pushed and make changes
quickly allowing us to be proactive.

21) Marketing Mix

21.1) Price
At Model Food Corner cost accounting is important, since the profitability of individual
dishes can vary significantly and will initially determine the cost of the menu items. In startup
we will go for minimum reasonable profit not to low neither to high, we will offer food
reasonable price to attract the customer, and we will also closely monitor the Prime Cost
Report which focuses on the controllable expenses of Cost of Goods Sold and Labor.

21.2) Positioning Statement

Model Food Corner will be good hygienic dinning place in air-conditioned environment. We
will offer reasonably priced meals, in relaxed and comfortable setting. We have a selection on
our menu. We are open 7 days a week our food will be better in taste and environment as
compare to other retardants in the area, wee offer good place to have fun and dinner with
family and friends
21.3) Promotion

Promotion is the method used to inform and educate the chosen target audience about the
organisation and its products. Our strategy will include a focus on word-of-mouth advertising,
a good public image through community involvement in different events, Using all the
resources of promotion
23

We will use these advertising for our Restaurant.

As part of our promotion for Model Food Corner, we will be designing Flyers, one for
our main event, the opening of Restaurant

We will start running over advertisement on Cable Television before we Open

(coming Soon concept)

Brochures/Flyers distribution through newspaper dealers in the area and near by
areas, and distribution of Brochures/Flyers by our staff or paid person like after Friday

Prayers
We will stay current with industry trends and have a Webpage, Facebook page and

Twitter site. Our menu, map, and hours of operation will be easily accessed.
We will be ordering a Coming soon vinyl Banner that will be located near our

restaurant and it will have our name, slogan, and dates of operation printed.
Free Samples in the staring two days will be offer through various deals
Organize an small Event fro 1st two days of start-up

21.4) Place
Model Food Corner will be located on the Main Model Colony Road in the middle of the
market area. Due to market area we will attract more customer as compare to our competitors
in the area. Potential customers are able to readily find our restaurant.

22) Sales Strategy

Customer service is of the utmost importance. It will be our goal to provide a wonderful and
good taste meal combined with superior customer service. Training programs will include
teaching materials to train our employees about service attitudes, customer perception and
how to handle guest complaints. We will conduct periodic staff meetings intended to review
policy, increase guest satisfaction and to keep a general line of communication between staff
and management. All guest complaints will be acknowledged by the staff and referred to
management. Programs will be in place for all types of guest complaints. More serious
complaints will be documented Customer feedback will be accomplished by customer surveys

24

23) Financials Details

23.1) Initial Investment
Rs. 000

INITIAL INVESTMENT STATEMENT

Assets

Equity and liability

Fixed Assets

Liability

Land/Building
Furniture & Fixture
Vehicles
Generator
kitchen Equipments
Other Fixed Assets
Capital Expenses

Total

8,000
850
900
900
1,200
1,100
1,000
13,950

Current Assets
Cash
Total

Long term loan

4,000

Total Liability

4,000

Partners Capital
3,500
3,500
3,500

Ali Arshad

Mujtaba
Faisal
Total Capital

10,500

Equity & Liability

14,500

550
550
Total Asset

14,500

23.2) Expenses Detail

Avg Daily
Sale
Total Sales (Rs)
98,535
TotalExpense
Cost of Good Sold Monthly80,705
Profit
17,830
Salary (Rs.)
290,000
Electricity Bill
Gas Bill
Petrol Expense
Maintenance
Other Expense
Generator Line
1st year Expenses

50,000
25,000
9,000
20,000
25,000
10,000
10,000

Monthly Sale
2,956,050
2,421,150
Yearly
534,900
3,480,000
600,000
300,000
108,000
240,000
300,000
120,000
120,000

25

23.3) Balance Sheet

RS"000"

Year

2015

2016

2017

ended

Dec
955
1,000
1,955
7,900
680
720
720
1,020
825

Dec
2,701
1,000
3,701
7,805
544
576
576
867
619

Dec
10,401
1,000
11,401
7,715
435
461
461
737
464

10,865

9,987

9,273

13,820

14,688

21,674

ASSETS
Cash & Bank
Other Working Capital
Current Assets
Land/Building
Furniture & Fixture
Vehicles
Generator
Kitchen Equipments
Other Fixed Assets
Fixed Assets
Total Assets

Year

2015

2016

2017

ended

Dec

Dec

Dec

LIABILITES

CURRENT LIABILITIES

Long Term Borrowings

3,55
6

2,89
0

2,12
9

LONG TERM DEBTS

TOTAL DEBTS

3,556
3,556

2,890
2,890

2,129
2,129

Partners Capital

10,50
0

10,26
5

11,79
8
26

Un Appropriate Profit/(Loss)
Total Capital
TOT LIABILITES & CAPITAL

(235)
10,265
13,820

1,534
11,798
14,688

7,746
19,545
21,674

23.4) Income Statement

Rs. In 000

INCOME STATEMENT
2015
Dec
Sales
Cost of Goods Sold
GROSS PROFIT

Salary
Electricity Bill
Gas Bill
Petrol Expense
Maintenance
Other Expense
Generator Line
Depreciation
Financial Charges

OPERATING PROFIT
Other Income
Income Tax
NET PROFIT / (LOSS)

2016
Dec

2017
Dec

35,965
29,457

46,515
37,687

95,042
77,173

6,508

8,828

17,869

3,48
0
60
0
30
0
10
8
24
0
42
0
12
0
1,08
5
39
0

3,78
0
69
0
34
5
12
4
27
6
34
5
13
8
87
8
44
7

4,60
1
79
4
39
7
14
3
31
7
39
7
15
9
71
4
35
3

6,743

7,024

7,874

(235)

1,804

9,995

0
0
(235)

271

2,249

1,534

7,746
27

Distribution of Profit (50%)

Un Appropriate Profit/(Loss)

(235)

1,53
4

7,74
6

Rs in
"000"

FINANCIAL RATIOS
NET PRESENT
VALUE
YEAR
2015

YEAR 2016 YEAR 2017

850
2,412
8,460
-14450

Net Cash flow

CASH OUT FLOW

Present Value

-14,490
LIQUIDITY RATIO

3.886389
current ratio
2
Inventory = Rs . 100,000/=
3.858267
Quick ratio
72

5.0823529
41

10.18037

5.0477508
65

10.1334

ASSET MANAGEMENT RATIO

Inventory turnover
Total Asset
utilization

294.57

376.87

771.73

299.7083
33

337.06521
74

597.7484

PROFITIBILTY RATIOS

Profit margin on
sales
Return on total
assets

0.006534
1
1.958333
3

0.0387831
88

0.105164

13.072463
77

62.86164

28

References

Highlights of Pakistan Economic survey 2013-14 at finance.gov.pk/

Overview of the Economy - Pakistan Economic Survey 2013-14 I- at

business.onepakistan.com.pk
Core Economic Indicators - State Bank of Pakistan at www.sbp.org.pk
Pakistan Economic Indicators - at

http://www.tradingeconomics.com/pakistan/indicators
Population, Socio-economic and Development Profile of Pakistan

Restaurant Business Plan - www.FASTBusinessPlans.com

Competitor analysis Matrix at http://en.wikipedia.org/wiki/Competitor_analysis

Pperceptual mapping at http://en.wikipedia.org/wiki/Perceptual_mapping
Perceptual mapping at http://www.learnmarketing.net/perceptualmaps.htm
Demographics of Pakistan At -

http://en.wikipedia.org/wiki/Demographics_of_Pakistan
Demographics of Pakistan At

http://www.indexmundi.com/pakistan/demographics_profile.html
Fast Food consumption in Pakistan (DRC) - http://www.brandsynario.com/fast-food-

consumption-in-pakistan
https://www.restaurantequipment.com/
http://www.webstaurantstore.com/restaurant-equipment.html
http://www.ebay.com/bhp/used-restaurant-equipment
http://www.equippers.com/public_html/used-equipment.asp
29

30