Group name: Group-6

Group Members:

1)

2)

3)

4)

5)

6)

Course Title: Introduction to Business

Course Id: BUS201

Section: 08

Semester: Autumn 2017

Name of University: Independent University Bangladesh

Date of report submission: 16th November 2017

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Name of the business:

Laundry King
Quick & Clean
Logo

2
Letter of Transmittal:
20th July 2017

Ms.Nusrat Jahan

Faculty

BUS201,BBA

Independent University Bangladesh

Subject: Submission of Business Plan

Dear Miss,

With due respect, we the students of BUS201, section 08 have presented our business plan
based on service of Laundry Business.

This plan has helped us gain sufficient knowledge on running a business and having proper
financial, marketing, HR and operational knowledge. It is indeed a challenging and
interesting experience. We thank you whole-heartedly for your supportive nature and
consideration.

Lastly, we would be thankful once again if you please give your valuable advice on our
effort.

Yours sincerely,

Group members of team “Group 6”

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Acknowledgement:
We wish to express our sincere gratitude to Nusrat Jahan for
providing us with an opportunity to write a business plan on selling
healthy food product (milk). This project has enriched our skills
based on practical life business start up.

We sincerely thank all the faculty members and organizers of the

BUS201 business plan competition since it helped us as an incentive
to work hard for this project. We also wish to express our gratitude
towards the team members of the “Group 06” team for helping us
with innovative ideas and information for constructing this project.

We finally thank all of the people who made contribution for our
research methods, informative procedures and analysis.

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Table of contents:
Page No Topics Covered Page No Topics Covered

1 Cover page 17 Sales Strategy

2 Title page 18 HRM

3 Letter of Transmittal 19 Financial plan

4 Acknowledgement 21 Break-even point

5 Table of contents 22 Risk managment

6 Executive Summary 23 References

7 Company Overview

8 Product/Service
description

9 Industry analysis

11 Market Analysis

13 SWOT Analysis

12 Industry Analysis
continued

13 Market Analysis

14 Marketing Plan

15 Marketing Strategy

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1.Executive Summary:
1) Business name: ‘Laundry Bucket’. Location: Bashundhara r/a

2) Problem that gave rise to investigation: Over use of Detergent Damages Cloth Fabric and
Color, Sometimes face problem gathering clean water, Electricity problem.

3) Business Concept: Its is a laundry business. We wash dry and deliver cloth and also make
transaction through online.

4) Businesses competitive advantage: The Service has the following competitive advantage:
1) Can be done online 2)100% Clean 3) Home Delivery 4) Money back guaranty. 5) On Time

5) Targeted market: Our service is applicable for all sorts of people but our main focus is on
people who don’t have enough time to clean their cloth.

6) Management team: All the members having one goal “Ensure better Service.”

7) Stages of development the business is in: Introductory phase. Currently we are using test
marketing strategies to analyze future demand for our Service.

8) Financial Analysis: The financial analysis shows the project will be profitable.

2.Company Overview:
Business Type: Service

Company’s mission statement:

1) To help local society by providing various jobs in our company.

2) To be the leading Laundry Server in our country

3) To attract various investors by developing an unique business idea.

4) To be socially responsible towards the environment.

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Business Industry Identification: Laundry Service

Target customers: Our target market is Middle and Upper Middle class, also people with
busy daily life Specially Bachelors. We will do B2C model. We would follow a penetration
pricing strategy to enter the market, so that we can attract customers and inform our
customers about our product.

Business Values:

Our product is based on the following set of business values:

1) Commitment to sustainability, acting in an environmentally friendly way.

2) Commitment to Use the best product and with a reasonable price for the service

3) Commitment to do Good as a whole. No unfair policies will be adopted.

Legal form of ownership:

Partnership
Reasons for choosing a partnership business:

1) Sharing of Capital: This project requires a heavy investment. Start-up capital is high.
Partnership encourages the introduction of more capital by each partner.

2) Sharing of skills: Partnership reflects the skill of each partner. Each partner utilizes the
skills to the fullest level because of the money invested. Diversification is required in this
project which will be achieved through the sharing of skills.

3) Sharing of risk: Investment is high, if the risk is shared, there will be less burden on each
of the partner.

4) Learning: Each of the partner’s skill can be learnt which would help to enrich other
partners with multi-skills.

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4.Service description:
SERVICES(Laundry Store)

1) Wash Clothes
2) Dray Clothes
3) Iron Clothes
4) Home Delivery
5) Online Service
6) Regular Maintenance
7) Using new Technology

Features that will give the service a competitive advantage:

1) We do home delivery, which other companies does not do.

2) If Clothes are somehow damaged or lost in that case Money back guarantee

3) Exclusive Gifts regular customers.

4) Package deal such as if people are washing more than 10 clothes items we will do home
delivery for free.

5)

All of the above will give us a competitive advantage since no other business use such
methods.

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5.INDUSTRY ANALYSIS
In Bangladesh, there are already many Laundry Stores. So that our company experiencing a
slow growth. There are other Laundry Service in this area so we will also face competition.
Although there are other Laundry Store, but out service is very different from those other
store because they don’t have- home delivery, online Payment, exclusive offers etc. So we
have much more advantage.

Impact of company on the following environment:

Economic: The Company will have impact on the following factors

1) Unemployment rate:

Positive impact-Employment is generated since the company requires workers to take

management responsibilities.

2) Economic Growth

Positive: Jobless person will get jobs and will earn money, so their financial status will
improve, GDP will increase and hence economic growth is achieved.

Demographic Factors: Bangladesh is highly populated country, there are lot of people
who don’t have enough time to wash their clothes. So the more densely populated an area,
the higher the need for laundry facilities.

Legal and Political factors: Our product promises to abide by legal issues to maintain its
Service. Pay regular Taxes

Natural/Geographic Environment: Our Service is environment friendly. Our Service

focuses on making the best use of resources. It does not put any harmful effect to our
environment.

Competitive environment: Competitors such as other Laundry store are rivals but our
Service quality is different and new from the rivals and gives us a competitive strength.

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Market Analysis
Market Segmentation: Market Segmentation helps marketers define customer needs and
wants precisely.Our product uses geographic,demographic, psychographic and behavioral
segmentation to locate the target market.

Geographic Segmentation: Separating a market into different geographical boundaries

which can impact the marketing mix of the product.Our theme focuses to target the urban
population because of the effect on the marketing mix.

Price:People residing in urban areas,can focus more on recreational activities because of a

good standard of living, as a result they are prepared to pay a good price for recreational
activity.Rural people would not be able to pay a good price for our product.

Promotion:Promotional campaign and offers will only be understood well by the urban
residents compared to the rural residents.Sufficient knowledge and education is necessary
to understand promotional offers.

Channel to market:The only way our product will be able to make a boom is by convincing
the target population.People interested in leisure activity is the target population and
convincing them in the most effective way will act as a channel for our product to enter the
market.

Demographic Segmentation: Separating a market by demographic indicators include

Gender, Age, Household type, Education level and income.

Gender:Both male and female youth are considered to be our target market,and segmented
population because our product follows the strategy of equality

Age: Our product is mainly segmented for all kinds of people.This is because people of this
age group promotes education.

Household type:People using proportion of their disposable income for leisure purpose is
our segmented market.

Education level:People having good education background and general knowledge are our
segmented population.Some of our wax characters are built on regard to famous historical
personalities so people having historical knowledge are also our segmented market.

Income:People having income range from average to high are considered to be our
segmented market,this is because our theme park tickets are priced at a moderate rate.

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Psychographic Segmentation:
Personality/Traits: Nowadays people are very much conscious about their health as our
product is nutritious to health.

Target Market size: Our target market is Bashundhara r/a. There are approximately
28000 apartments. Our research shows that there are 19600 families lives in Bashundhara.
And we target those families for our product.

Product Positioning:
Product positioning is an important element of marketing plan.It is the process marketers
use to determine how to best communicate the products. Our dairy milk following
attributes help in proper product positioning

1)Service attributes: Our product promises the best quality and if somehow if it became
contaminated we will replace it as soon as possible.

2)Consumer expectations:Our dairy milk product is as good as consumer expects.Consumers

only wants best quality product and we are giving it regularly which gives us competitive
advantages.

3)Competitor attributes: our products quality differentiates from other providing company
and persons. They are also supplying good quality milk but that is not 100% good quality.

4)Price: Our dairy milk’s pricing strategy is designed to attract the middle class of our
country’s population.The price per liter milk paid for is similar or less compared to the rivals.

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SWOT analysis:
SWOT analysis is a planning tool used to analyze an organization’s
STRENGTHS,WEAKNESSES, OPPORTUNITIES and THREATS.Strength and Weaknesses are
internal factors while Opportunities and Threats are external factors.A happiness caterer is
awell-placed organization which focuses on its internal and external factors of an
organization.

STRENGTHS

 The managing members are committed and dedicated

 Applicants have good communication skills

 The applicants have a good understanding of the market and the processes involved
in dry cleaning and laundry services

 Different and Modern

WEAKNESSES

 We are creating a new business so the cost would be higher and there will be no
profit making for several months.

 At first people may not consider this servise.

OPPORTUNITIES

 Many new investors

 The availability of advanced technology in the form of industrial washing machines

and dryers will be an opportunity for the business

 People who don’t do their Laundry

THREATS

 The threat from well-established competitors

 There is a threat from new entrants as there are relatively low barriers of entry

 There is a threat from customers as a majority prefer to do their own laundry

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6.Marketing Plan
Marketing Objectives

Goal Timeframe Desired Response

To increase market Over the next 1 Market share is necessary for a business to survive.Our
share year company promises to increase sales by 5% of the product
available to gain a competitive advantage, and hence gain a
greater market share.

Increase customer Over the next 1 Attracting the customer’s is the only way a business can
retention year make a go.Our mission is to hold onto existing customers
and also welcome new customers by designing exceptional
promotional offers.

Reduce Costs By the Startup cost is high since it is a capital intensive project.The
timeframe of 5 success of the theme park depends on cost control
years measures. Our product promotes efficient utilization of
resources and other cost controlling measures

Improve brand Timeframe of Brand generation is necessary for new business. Our
awareness 5-7 years product will undergo steps of branding once the product
matches the consumer expectations.This branding will be
achieved by means of brand research methods such as
brand screening etc.

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Marketing Strategies:
1) All theming,all time: Every attraction, starting from the wax staues,3D movie theatre,
Goodies, Disney puppet show features, Café interior are themed on famous movie
personalities, ancient personalities, Disney characters. The whole park supports the use of
theme work all around to build a competitive marketing trend.

2) Our theme park supports the motto happiest place to land: This statement acts as a
powerful incentive to attract customers towards our park. The park always keeps some
special attraction so that the customers don’t leave unsatisfied such as the Disney parade,
Happy puppet show.

3) Wax statues used for movie premieres: The wax statues can be used for movie
premieres in movie halls. This makes the movie hall an attracting site which would
encourage customers to watch movie and have photographs with the wax figures. Our wax
dinosaurs can be used in movie premieres of Jurassic world which would cause an increase
in sales of movie ticket and also give a boom business to the photographers.

4)Games such as “Make your own wax dolls” are an important part of our theme park’s
marketing strategy. The wax dolls made can be purchased which would become a profitable
business for us and would also promote the theme of our park.

5) Goodies designed under Disney vibe, Wax statues printed with our theme park’s logo will
give us a profitable recognition.

All of the above are our main marketing strategies which are designed to give our company
a competitive advantage in the marketing sector. Brochures, pamphlets all will be printed
and supplied to help our theme park gain recognition.

Pricing Strategy:

Our theme park plans to use markup pricing strategy. Mark-up is the difference between
the cost of a good/service and its selling price. A markup is added onto the total cost
incurred by the producer of a good/service in order to make a profit. Total cost represents
the total amount of fixed cost and variable cost incurred in making the product/service. Our
theme park is mostly a product sector business and it uses markup pricing. A markup of 25%
is used for making profit. The business is a new capital intensive startup and we follow less
profit making objective to make a go.

Benefits of markup pricing

1) This strategy has many benefits in terms of calculation2) Throughout periods of

increasing costs this strategy helps to fight inflation.3) When costs decline, this method
reflects cost reduction

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4) Business using markup pricing assumes that it can pass on all the costs to customer with
the hope of making a profit.

Promotional Strategies

Our theme Park uses the following promotional strategies:

1.Internet: Social media is the most effective form of promotion. Individuals proficient in
social media proper usage will be given a commission to promote the park to its highest
achievable level. Fb , Twitter, myspace all needs to be up-to-date for efficient promotion

2.Mail order marketing: Customers are valuable promotional assets for our theme park.
Personal records of the customers can be saved and free gifts can be provided during
customer’s birthday .It’s our theme company’s responsibility to hold on existing customers
and also attract new ones.

3.Customer referral program: A customer referral program will be held in which customers
will get an opportunity to refer the highest number of acquaintances and win an exclusive
prize .The one who would refer the highest number of acquaintances will get a discount as a
prize.

4.

Distribution Of Service

We will do home delivery by Bikes. Customers can also pick up their clothes directly from
the store.

Order fulfillment

Customers will place their order by our website also at the store. Then we will fulfill their
order in our estimated time. They can also request emergency early delivery of product.

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Sales Strategy:
Our product’s sales strategy is based on the following elements.

1) Customer Segmentation: Customer segmentation is very important for our company’s

sales strategy to be effective. Our sales strategy is mainly designed towards the middle and
upper-middle class families. Which is our segmented customer.

2) Customer prioritization: Our company should decide who our prior customers are and
design effective sales strategy to meet their needs. Busy people who are our important
customers and proper sales strategies are designed towards them.

3) Formulation of sales management program: A sales management program is designed

by our company to enrich sales strategic skills and implement proper sales strategies.

4) Better Service: We are ensuring our customers a better and fast service, also using
modern technology and equipment.

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 Human Resource Management
Organogram: A drawing/plan that gives the names,job titles and description of all the staffs
in an organization or department,showing how they are connected to each other.

CEO-

Looks into all

management
functions and
responsibilities of all
departments

XXXXXXX XXXXXXX
xxxxxx
Head of finance. Head of marketing
Head of HR department.
Looks after the department and focused on
Responsible for
financial operation all marketing
workforce planning,
,cash-flow and responsibilities.
recruitment and
income statement Promotional campaign
selection process
analysis. arrangements, Marketing
research methods,
innovative marketing
xxxxxxxxx strategies designing.
Chief executive sales
officer having excellent
communication and
persuasive skills
especially for café and
goodies section

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7.Financial Plan:We will start our business with 40,00,000 Tk (approximatly) as capital.
After starting business 1st month’s income statemant

Income statement
16 November 2017

Name of transaction Taka Taka

Sell 1200000
Minus:
Purchase 825000
Production team salary 36000
Total= 861000
COGS= 339000
Minus:
Rent 25000
Salary 156000
Supplies 1000
Electricity bill 1200
Transport 6000
Bottling cost 30000
Interest 20000
Promotion 80000
Deprecation 12083
Total= 331283
Profit before tax= 7717
Minus:
Tax 1930
Net profit= 5787(approximation)

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After 1st month next six month’s income statement

Income statement
From 01 December 2017 to 30 June 2018

Name of transaction Taka Taka

Sell 10080000
Minus:
Replace 80000
Purchase 6930000
Production team salary 216000
Total= 7226000
COGS= 2854000
Minus:
Rent 150000
Salary 936000
Supplies 6000
Electricity bill 7000
Transport 30000
Bottling cost 250000
Interest 120000
Deprecation 72500
Total= 1346500
Profit before tax= 1507500
Minus:
Tax 376875
Net profit= 1130625(approximation)

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Risk management plan:

Every business incurs risk. Our company is already insured with ALICO(American life
insuarance company) We have subscribed to first party insuarance and a contract is made in
which our company pays out a significant portion of the profit to the insuarance company.It
means the insuarance company will be liable for any damages incurred.One of the partners
have sold a land for 50lakh tk in a reputed area of dhaka and have kept in the bank for
business purposes. He mainly is a venture capitalist who is entitled to a higher share of
profit the business makes.

References:

Web pages:

www.smallbusiness.chron.com

www.hermeslaundry.weebly.com

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