Business plan Report

For: Ms Isma Khan

Lecturer
(General Management)
Independent University Bangladesh
Course Name: Introduction to Business(Bus-201)
Summer ‘18
Date of Submission:

By:
Md Samiul Barat (1430435)
Sameeha Saiful (1710268)
Md. Rasheduzzaman Rakib (1820097)
Tasnim Nahar Ruhee (1820679)

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30th July 2018
Ms Isma Khan,
Lecturer
Independent University Bangladesh
Bashundhara R/A
Dhaka, Bangladesh
Subject: Submission of Business Plan on KFC
Dear Madam,

It is indeed a great pleasure for us to be able to hand over the result of our hardship of
the Business Plan report on Pustok. This report is the result of the knowledge which has
been acquired from the respective course.

We tried our level best for preparing this report. The information of this report is mainly
based on Internet information.

We, fervently hope that you will find this plan worth reading. Please feel free for any query
or clarification that you would like us to explain. Hope you will appreciate our hard.

Thankfully
Team”Alpha”

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Acknoweldgement:

In completing our assignment, we had to take the help and guideline from our respected
faculty who deserve our greatest gratitude. The completion of this assignment gives us
much pleasure.

We would like to show our gratitude to Ms Isma Khan, Lecturer, Independent

University, Bangladesh, for giving us a solid guideline for the assignment throughout
numerous consultations. We would also like to expand our deepest gratitude to all those
who have guided us directly and indirectly in writing this report. Many people, especially
our team members themselves, have made valuable comments and suggestions on this
proposal which gave us an inspiration to improve our task by a large margin. We thank
all the people for their contribution to our assignment.

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Executive Summery

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Business operations

Mission: Pustok Want to create a huge library on everyone’s pocket via mobile
application, where Anyone can lend, sell & buy their books at cheap cost.

Vision: Pustok will Spreading knowledge to whole Bangladesh & create a platform for
Booklover people.

Identification of operating industry

Legal form of your business

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 Strength:

 First mover advantage: Pustok is the first mover of lending book. In

Bangladesh there are no company which have a book lending business.
There are Rokomari.com, Daraz.com who are selling their books via online,
But Our key business is lend book. We also selling book via online. Lend,
Buy &Sell is our features of our business. So, we are the first mover to
combine all the service in one platform which name is pustok. Though we
are the first mover so there is a chance to be the market leader for long
time.

 Lend, buy & sell book: Book lover people can easily lend, buy & sell their books via pustok.

 No Direct Competitor: In Bangladeshi market still there is not any direct competitor to us.
Our main features book lend is not available by any company.

 Huge library on pocket: Everyone can create their own online library & sharing it with others
so people who want to buy or lend book they can easily access to library, so people will get a
huge library in their mobile.

 An Online library with hard book: People now a day only get pdf format of books in online
but Pustok will bring them the hard book which taste is thousands of times better than any pdf.

 Online platform of book lovers: Book lover people will find the people who have a huge
collection of books & they can easily increase their knowledge by that books. They also know
each other’s which is very positive to our society because who doesn’t know knowledgeable
people have huge knowledge to share with the other people.

 People want to read hard copy of a book: Day by day people who loves to read hard copy is
increasing. That type people are our target customer. Reading taste is increasing a lot when the
book is hard copy, so our customer will be increasing day by day undoubtedly.

 Cost advantage: We deliver the books at a cheap rate so people will love that feature because
the price of a book is huge, but our customer can lend it.

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 Weakness:

 Internal Problem: It’s an online base business so anytime different types problem might come
like employee problem, agent problem so it’s a weakness for us.
 People want to read e-book: Now a day the type of people who love to read via online or pdf
form are increasing so it’s tough to creating demand for us.
 Lack of managerial experience: Our business is fully new & the management also new. So,
we have a lack of experience which is our weakness.
 Narrow product line: We only lend books which is very narrow product and our target
customers are also specific so it’s a weakness for us.
 Timely delivery: On time Delivery is our promise to customer. Many things may happen to
delay this process (Bad weather/delivery man problem etc).

Opportunity:

 Creating a huge demand of book: We can create a huge demand of books to the people who
want to read different books.
 Financially benefit: People are Financially benefitted by lending book instead of buying.
 Being a market leader: ‘Pustok’ will be the market leader because we are the first mover &
it’s easy for first mover to be a market leader.
 Market demand: Pustok have the Ability to grow due to increases in market demand.

Threat:

 Second mover challenge: In Bangladesh it’s very common to getting competitor so it’s very
tough when new competitor come.
 Political issues: Political issues of Bangladesh are very ups and down so it’s very tough for us
to control it.
 Costly regulatory requirements: Maintaining cost of pustok app is high and the other costs
are also high so it’s difficult for us.
 Slower market growth: The market is already developed but there is a very slow growth rate
which is a threat for us.

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 Entry of lower cost foreign/local competitor: Anytime a foreign/local company came with
same strategy but low price than us which is threat for us.
 Bad People might theft the book., Transaction might be late: This two are also threat for
us.

Management Body

Md. Samiul Barat

Mr. Samiul Barat has completed BBA and MBA with double major in marketing and management
from Stanford University and has two years working experience with Omnicom Group, New York.
He will be in charge of the business. He will set goals, objectives and effective decisions will be
taken by him. He will own most of the share of the business and major decision making is binding
on him.

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Tasnim N. Ruhee

Ms. Ruhee conducted her BBA in International Business from Independent University,
Bangladesh and MBA in Management from McGill University, Canada. She will provide the
employees with their resources and enough guidance, direction, leadership, and support
necessary to ensure that they are able to accomplish their goals. She will also organize the
production of the work, the workforce, training, and resources necessary. She will develop our
product line.

Sameeha Saiful -Ms. Sameeha completed her BBA in Marketing from Dhaka University and
MBA in Marketing and Finance from Harvard School of Business. She is the head of marketing
and will be working with sales and marketing teams to prepare presentations and sales pitches,
design marketing strategies and media proposals. She will also handle client communications and
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write client reports and communicate client agendas to other staff members.

Md. Rasheduzzaman Rakib

Mr. Rakib has completed his BBA and MBA on accounting and finance from Independent
University, Bangladesh and has worked as an Accounting manager for Unilever Bangladesh. He
is responsible for evaluating the financial performance of the company’s profits, gross profit
margin, and how to minimize the cost of production in the long run.

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 Management Hierarchy

Competitive Environment Analysis

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We have decided to choose PESTLE analysis to identify our competitive environment.

Political

Political situation of the country has a lot of effect on businesses. For which, businesses might
occur some benefits but, in most cases, incur some loses. But it is a good thing that the current
political situation of our country is stable, for which we are hoping for a good start of our business.
However, if there are strikes, blockades or any other sort of political calamities occurs in the
country, our business campaign of PUSTOK might get hampered

Economic

The economic factors tend to have direct impact on sales and profits. These factors include
changes in inflation, changes in interest rates, economic growth etc. For example, economic
growth will tend to increase consumer confidence in the economy and it also increases consumer
buying power and demand. Based on our economy we tried to keep an affordable price to use our
PUSTOK book rental app. Rental of one book will cost of 50% per 5 days of the original price of
the book.

Social

Analyzing the social environment is one the most important factors for any business. If the
business is socially acceptable, it has a good future. But if, the business is not socially accepted,
no matter how much money is invested, the business can do no good. PUSTOK app will be socially
accepted. Our App will do social goods, after-all our business plan will bless anyone in need of a
book.

Technological

Our business is totally based on technology. If any technological problems arise we will face
many difficulties. In this competitive world, technology changes every day. We have a yearly
budget of 300,000 (three lacs) BDT to upgrade and develop our app in every 3 months. Based on
latest technologies we will include or add features and attributes in our PUSTOK app.

Legal

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 Government rules and regulation actions will have an impact on our online App. To launch the
PUSTOK books app, we have to strictly follow the given rules and regulation of the Government
on the base of running an Online operation. We will maintain all the legal rules and regulation to
sustain in the market.

Environmental

Environment and sustainability are one of the main concerns nowadays. Environment is important
for everyone, as a sustainable environment is necessary for a sustainable living. So, to run our
business, we will keep in mind the environment surroundings might not get affected by any of our
business activity.

How the product fit in the industry?

As a book rental service, PUSTOK is the first in Bangladesh to bring this opportunity for every
age group to reach their desired book by just a click. From reading story books to taking reference
for studies, Bangladeshis’ highly rely on hard copy. But sadly, most of the people face trouble
when searching for a particular book. Students or researchers often come across information that
they need a book to study from but does not have the availability. Or sometimes, one may need a
book for only a particular time but buying it may seem like a loss of money. Local libraries often
lack uncommon books and going to places like New market or kalabagan to achieve it isn’t always
an easy option.

From that point we came up with an idea to launch the PUSTOK app where people with large
collection of books can register as a librarian and share the books with people in need of them.
Once registered as a reader, you can borrow or buy all the books available through our librarians.

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 Market analysis

Market segmentation

Our customer base will be segmented according to the quantity of books and the amount of time
ordered by them. We will heavily utilize our marketing resources to capture the purchasers. We
are targeting all the major cities and particular group of people who can Our target market includes:

 Students

 Corporate employers/employees

 Authors

 Casual book lovers

Major competition

As a book rental app, PUSTOK is the first to introduce such an idea in the book industry. PUSTOK
is a startup business plan. We have the first mover advantage in the market. After introducing our
service, we will penetrate our existing market providing more benefits, discounts, in app purchase,
sponsorship and premium services to retain our customers. We do have competitors, but in the
mass market - not in our segment. Our competitors are www.rokomari.com , www.daraz.com.bd
, www.shoparu.com and many others.

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 Marketing Plan

Pricing strategies:

At first the lender must pay the full amount of any book he/she wants to read. When the reader
finally decides to return the book, the app will cut down the 50% as charge of the book and refund
the rest. This process will help us to keep an eye on the customers to avoid any hitches. By any
chance if the book gets stolen, we will have the books original price money as a backup/fine.

Each book will be given on rent for at least a minimum of 3 days or more. If the reader crosses
his/her given deadline, then the individual will have to pay 50% more as extra fee per day.
Overall, if the reader causes any harm to the book then he/she will face penalty.

Distributional strategy:

Distributional strategy is mainly decided by keeping the top management in loop because it
affects overall operations. This strategy can be summarized with 3 main points.

 How to get the product from the manufacturing point to the end customer.

 How to control costs and save time while executing the distributional strategy.

 How to build a competitive advantage through distribution.

There are1 types of distribution in our business which is. Direct distribution

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 Our book renting service is a direct distribution.

Owner

PUSTOK

Agent,
Courier

Customer

Promotional distribution:

Our targeted audience will be of every age, so according to that we will conduct our promotions.
In the present generation people of all age watch the TV and browse on Facebook, so TVC,
Facebook, RDC, e-mail, text message, small banners, and YouTube will be highly effective.

Fix assets:

We will need spacious office premises, qualified and experienced workers - technical team and
management to work efficiently for our App.

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Research and development: work more for improving the service that will be user-easy and
attractive as costumers wants. We will improve the features of the app and add some interesting
promotional offers. We will expand the office and hire more qualified staff members so that they
can constantly work on improving.

Customer service:

Making the customer feel secure is very important in every business. And we shall take this very
seriously. To use/register on PUSTOK, NID or other legal identification with picture, valid
contact number and address will be needed, and vice-versa.

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 Finance

*For this business plan we need money for starting this. Total amount we
need –

*At first, we need to manage this fund. How this funds to be managed –
Bank Loan (50%), Personal Savings (20%), Parents (30%)
*When someone will rent from us, so we need to deliver it through Pathao /
Agent / Courier. We must pay Pathao / Agent / Courier services.

* For App making we have to pay at least 3 lakhs to a Engineer and for its
developing and maintaining we have to hire a company and we need to pay
them 1 lakhs per month.

*When we prepare our Apps, so we need to show it to people. So, we need

advertisement for this. For this advertisement we need:
*We must rent an Office, it is 30000 per month

*Office set up cost – We need some table, Chairs, Fan etc. Here we need
1lakh.

*Employee: 1st class employee – we five people

2nd class employee – Manager, we will pay him 25000 per
month

3rd class employee – Peon, Guard etc. we will pay them 15000
per month

*Bonus: Every company gives bonus to their employee. So, we need to give
our employees bonus twice a year.

*Bills: We need to pay Electricity bill... water bill and guard bill per month. So,
we need 5000 here.
* We will keep 5 lakhs for our emergency needs.

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Income statement of 1 year

We do not know how much books people will rent from us. We just can do
an approximate statement.
It’s a daily process. We will give rent average 100 books per day and their
average price is 320. So out one day income is 32000. So, our one-year
Income is 11680000 taka.
We will pay Pathao 40 taka per each delivery. So, we will pay them 4000 a
day. Than suppose one customer rent a book for 7 days. But he/she complete
it, or he/she will go somewhere. So, he/she need to give it to our agent. So,
for this kind of situation, we will give 25tk for each received book to this
agent. So here we will pay him 500 per day.

 Details Amount
Net Revenue 11680000
Gross Profit 11680000
 Expenses
App Making 300000
App Development (per month 1 1200000
lakh)
Office Rent (per month 30000) 360000
Employee (per month 40000) 480000
Bills (per month 5000) 60000

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Delivery Charge (per day 4500) 1642500
Advertisement 100000
*Emergency money 500000
Total 4218500
Remaining 7361500

‘Share your knowledge. It’s a way to achieve immortality’.

Dalai Lama
(1357 – 1419, high lama of Tibetan Buddhism)

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