YOLOGURTBusinessFinalProjectCharityDriveFinancialReport

FNBEAugust2014

GroupMembers:CalebSohErWen 0320292ChiaLyVier 0320142ChinVinYan 0320311NgWynJane0319440TehSinYing 0320509

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TableofContent

No. Title PageNumber

1. CoverPage 1

2. TableofContent 2

3. Summary&Objective3.1Summary3.2ChosenOrganization3.3FinancialObjectives

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4. TargetMarket 5

5. CompetitionAnalysis 5

6. Products&Packaging 610

7. Pricing 1112

8. Promotions 1315

9. Distribution 16

10. GreenMeasures 17

11. HumanResourcePlanning 18

12. EvaluationResults 19

13. Appendix 2023

14. Conclusion 24

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Summary&Objectives

3.1Summary

Thisisadetailedreportofourfinalproject,charitydriveforIntroductionToBusinessmodule.Werequiredtoformagroupfor45peopleanddecidedontheproductandservicewewouldliketosellandprovide.Theprofitforthiseventwillbedonatedawaytocharitableorganizationofourchoice.

Wehavedecidetosellfoodandbeverages,specificallyhealthyfood.Weplantosell

fruits,nasilemak,mochi,barleydrinks,herbaleggs,yogurt,currypuff,sandwiches.Thisisbecausewethinkhealthyfoodwillattractmorecustomersasnowadaypeopleencourageandappreciatehealthylifestyle.

ThechoiceofourcharityorganizationareUNICEFNepalEarthquakeChildrensAppeal.

UNICEF(UnitedNationsChildrensFund)initselfservesthefunctionofprovidinghumanitarianaidtobothchildrenandmothersindevelopingcountriesworldwidebutweagreedasacorporationthatwewantedtosowintosomethingmorespecific.HencethedecisiontocontributeexplicitlytotheNepalEarthquakeChildrensAppeal.

WetargetedtoraiseatotalofRM2500frombothsalesrevenueanddonations.Atotalof

RM1900wouldcomefromthesalesrevenuealonewhereastheremainingRM600wouldbeobtainedthroughcorporateandindividualdonations.

Duringthischaritydrive,wegetthesalesrevenueRM1952.40andforthedonation

RM600.00.

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3.2ChosenOrganizationForourbusiness,wechosetocontributeourearningstotheUNICEFNepalEarthquakeChildrensAppeal.UNICEF(UnitedNationsChildrensFund)initselfservesthefunctionofprovidinghumanitarianaidtobothchildrenandmothersindevelopingcountriesworldwidebutweagreedasacorporationthatwewantedtosowintosomethingmorespecific.HencethedecisiontocontributeexplicitlytotheNepalEarthquakeChildrensAppeal.TheNepalEarthquakeChildrensAppealsmainfunctionistoprovideimmediatehumanitarianaidandrelievethedevastatingemotionalimpactthequakeleftonthechildrenofNepalaffectedbythequake.Beingchildrenourselves,albeitfromamoreprivilegedbackground,webelievethatthechildrenofNepalshouldntbeheldbackbythisdisasterandtheydeservebetterthanthat.Thus,wewanttostandtogetherwithUNICEFandsupporttheeffortsbeingmadetorestorethestandardoflivingformanyofthesechildrenthroughthefinancialaidwehaveraised.UNICEFwouldthenutilizethedonationsreceivedinthefollowingareas:

Sheltersforvictimswhosehousehasbeendestroyed Cleanwaterfordrinkingandwashing Healthcare Psychosocialsupportforaffectedchildren Learningcentresandsafespacesforchildren

3.3FinancialObjectivesWetargetedtoraiseatotalofRM2500frombothsalesrevenueanddonations.AtotalofRM1900wouldcomefromthesalesrevenuealonewhereastheremainingRM600wouldbeobtainedthroughcorporateandindividualdonations.

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4.TargetMarketDuetothefactthatourbusinesswaslocatedinTaylorsUniversityLakesideCampus,ourtargetmarketwasfundamentallydividedintotwogroups:students,whichholdsthehigherpercentage,andlecturersorstaffs,whichholdsasmallerpercentageinourlocation.Basedontheanalysiswemade,weobservedthatmostcustomerswouldspendtheirmoneyonfoodratherthanongoods.Wealsofoundthatcustomersprefercheaperfoodasmostofthefoodfoundincampusareexpensive.Smallpackagingfoodlikecurrypuffsisalsoahotsellingproductasitiseasiertobringaroundthecampus.Besides,basedonthefoodsoldincommercialblock,wefoundthatthehighestpricecouldgouptoRM20whichcouldactuallyaffordatleast3yogurtsfromourstall.WetrytokeepthesellingpricebelowRM5exceptfortheyogurt,whichhasahighcostprice,sothatcustomerscouldhaveavarietyofchoicesbyusingthesameamountofRM20.5.CompetitionAnalysisThe2maincompetitorsduringthecharitydrivearelocatedoppositeus(Terence'sgroup)andalsotheonebesidethem(ZiShan'sgroup).

ComparativeInformation Terence'sGroup ZiShan'sGroup

Products Brownies,CoconutDrink,ChickenKebab

SoyaBeancurd,SoyaBeanDrink,SteamedNut,Popiah

Strengths Theyhavegoodcommunicationskillstopromotetheirproductsandgoodadvertisementwhichtheydesigntheirposterinahipsterwaywhichattractsstudents.Theirbrowniestastegoodwhichattractsalotofbrownieslover.

Thefoodtheyaresellingarewhatpeopleusuallycraveforbreakfast,whichistheSoyaBeancurd.Theyhaveattractivepostersandstandboardswhichattractspeopletogototheirstall.

Vulnerabilities Theirproductshavearelativelyhighsellingpricewhichstopspeoplefrombuying,unlesstheyarereallycravingforit.

Theysellgoodsthatareeasilyperishable.

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6.ProductsandPackagingProduct1:FruitsDescription:Grapes,StrawberriesandBananasservesasthedailydoseofvitaminC.Packaging:Theyarepackedinplasticcupswithlids,tomakesurethatitisclean,andcomeswithatoothpickwhichismoreconvenientforcustomers.Wealsoputthefruitsinaniceboxtokeepitfreshandcold.

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Product2:HerbalEggsDescription:Eggscookedintheherbalsoupuntilitfullyabsorbstheessenceoftheherbalsoup.Packaging:Theyareservedinplasticbags.Weprepeeledsomeoftheeggsbecausesomecustomersrequestedforthepeeledoneswhilesomeofthempreferredtheunpeeledones.

Product3:YogurtParfaitDescription:Freshyogurtservedwithfreshfruitsandcereals.Packaging:Theyareservedinaplasticcontainerwhichwewillprepackageitathomeandputitintheiceboxtokeepfresh.Thefruitsandcerealswillbeputontopbeforeitisserved.

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Product4:NasiLemakDescription:AtypicalMalaysiandelight,consistingofcoconutrice,spicychillisambal,roastedpeanuts,friedanchoviesandhardboiledegg.Thisisallwrappedupinabananaleafandbrownpaperpackettogiveitthaticoniclook.Packaging:TheyareboughtinaMalaystallatDamansarawhichispackedwithbananaleavesandwrappingpaper.Prepacked,wrappedinbananaleavesandbrownpaper.Aspoonisaddedforconvenience.

Product5:BarleyDrinkDescription:Thehealthyrefreshingbeveragefreshlyboiled.Servedinbothchoicesofwarmandcold.Packaging:Theyareservedinplasticcupsandclosedlidtokeepitclean.Strawsareprovidedbeforeservedsothatthedrinkiscompletelysealedandclean.Hotwateroriceisthenaddedtothedrinktothecustomersrequestuponpurchase.

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Product6:CurryPuffDescription:AtraditionalMalaysianpastrywhichisfilledwithacurriedpotatofilling.Packaging:Servedinpacketsoftwo,twodifferentpackagingswereused.Weusedplasticbagsatfirstbutthenswitchedtoplasticcontainersafterwerealizedthattherewereasubstantialamountofleftovers.

Product7:ChinesePeanutMochiDescription:Glutinousriceballcoatedwithamixtureofcrushedroastedpeanutsandcastorsugar.Packaging:Themochiiscutintobitesizedchunksandthenplacedintoaplasticcontainertogetherwithatoothpick.Thecrushedroastedpeanutsareaddeduponordertopreventitfromgettingsoggy.

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Product8:AppleEggSandwichesDescription:Breadstuffedwithamixtureofhardboiledeggs,applesandmayonnaise.Packaging:Theyarepackedintheplastictriangularsandwichcontainer.

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7.PricingPricingalsoplaysanimportantroleinasmallbusiness.Thecustomersdecisiontobuytheproductisaffectedbyitspricing.Thepricingshouldnotbetoohighbecausethecustomerswillnotbuytheproductsastheythinkitisnotworthittospendsomuchonit,whereasthepricingshouldalsonotbetoolowastheprofitgainedwouldnotbeenoughtoreachourtarget.Aneffectivepricingstrategywillhelpyou:i.Meetyourprofitobjectivesii.meetorbeatyourcompetitorspricesiii.retainorincreaseyourmarketshareiv.matchtheimageorreputationofbusiness,productorservicev.matchyouroffertomarketdemand

PerUnitCostPrice(RM) PerUnitSellingPrice(RM)

Fruits 2.00 4.00

HerbalEggs 0.60 2.00

YogurtParfait 3.00 7.00

NasiLemak 1.20 3.00

BarleyDrink 0.20 1.00

CurryPuff 0.80 2.00

Mochi 1.50 4.00

AppleEggSandwich 1.00 5.00

Onthefirstday,wefocusedmainlyonsellingyogurtparfaitbuttheresponsewegotfromthecustomerswereunderwhelmingbecausethesellingpricewastoohighforacupofyogurt.Wecouldnotdecreasethesellingprice,RM7,asithasaveryhighcostprice.Thus,wedecidedtochangeoursellingstrategiestoincludemoreproductsinordertoincreasethevarietyofchoicesforthecustomers.WeincludedproductswithcheapercostpricesuchasBarleyDrink,NasiLemak,CurryPuffs,Sandwiches,etc.Duetoitslowcostprice,weareabletosellitatalowerrate,aslowasRM1,whichattractedmorecustomers..

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Wegotourcurrypuffs,RM0.40perpiece,andnasilemak,RM1.20perpacket,fromastallatDamansarawhichreducetheamountworkinvolvedinpreparing.Originally,wetendtosellourcurrypuffsatRM3perpacketbuttheresponsewasveryslowastheythinkthatitistooexpensive.Thus,wedecreasethesellingpricetoRM2whichincreasethesalesandbecamethehotsellingproduct.WeremainthesellingpriceofNasiLemakforRM3asitisapricewhichcouldbeacceptedbycustomers.WintersgrandmotherandmotheralsohelpoutwiththemakingofMochiandBarleyDrinkwhichensuresthequalityofbothproducts.Wintersmothersponsoredthecostofbothproductswhichreducestheouroverallcostprice.WeselltheMochiforRM4anditisalsooneofourbestsellerbecausewearetheonlystallsellingMochi.Originally,wetendtosellitatRM2butitistooexpensiveandnobodywantstobuyitastheyprefertobuytobuyotherdrinkswiththesameamountofmoney.Therefore,wereducethepriceforthedrinks.Afterreducingtheprice,customersresponsearemuchbetterasthedrinksisjustRM1.Fortheappleeggsandwiches,thepriceisRM5.00.Theresponseisnotasgoodasotherproductsbutitstillmeetourdailytarget.However,westillremaintheoriginalpriceaswecanmakemoreprofitwiththispricing.Besides,fortheherbaleggs,ItsjustRM2foreacheggs/Theprofitisquitehighbecausethecostforaherbaleggrelativelylow.Lastly,thefruitsisjustRM4.00andthecostofthefruitsisRM2.00.Webuynewstockseverydayinorderforustoprovidefreshfruitsforthecustomers.

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8.Promotion8.1MainMarketingMessageDuringthecharitydrive,ourgroupsmarketingmessagewasverystraightforwardwhichenabledthemessagetobroughtacrosstoourcustomersclearly.AllofusshoutedandpromotedourproductsbyyellingherbaleggsforRM2orappleeggsandwichforRM5andthesameforotherproductsaswell.WealsoemphasizedthatallofourprofitwillbedonatedtoUNICEFNepalEarthquakeChildrensAppeal.8.2MainToolsofPromotionOurgrouptookadvantageofdifferenttoolstopromoteourproductssuchasposter,standboardandsocialmedia.i.PosterWedesignedaposterwhichincludesalltheinformationneededsuchasmainproducts,pricing,andvenue.Peoplecouldunderstandaboutourproductsclearlybyreferringtotheposter.Thishelpedustopromoteourproductsindirectly.

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ii.StandboardWemadeastandboardwhichincludedourproductsnameandpricing.Oneofourgroupmembershelditandwalkedaroundtopromoteourproducts.Itwasausefultooltoattractcustomersbecausetheycouldgetalltheinformationoftheproductsandpricingeasily.

Thestandboard

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iii.SocialMediaWeusedsocialmedia,suchasFacebookandInstagram,asourmainpromotionaltool.Wedecidedtopromoteaggressivelythroughsocialmediabecauseitisconvenientandfreeofcharge.ItisanewtrendofpromotionalstrategysincetherearealotofpeopleusingFacebookandInstagramnowadaysespeciallytheyoungergeneration.Byutilizingthismedia,thenewestupdatesofourproductscouldbeeasilyspreadtothepeople.

FacebookPageYologurt

Instagramaccountyologurt_tsnc.(left)Wepostedpicturesofoursatisfiedcustomersasa

promotionaltooltoletmorepeopleknowaboutourproducts.(right)

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9.SponsorshipForourgroup,wedecidedagainstlookingfortoomanysponsorsaswebelievedthatthetargetsetisachievablethroughthesalesprofitalone.ThusweonlyapproachedMs.Lim,Wintersmomforsponsorship.Weapproachedherassheexpressedherinterestinsponsoringusthemomentsheheardaboutourassignment.

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10.DistributionFormostpartsofourproducts,wepreparedandstoredtheproductsatourrespectivehousesbeforebringingitalongthenextday.Wearriveatcampuseverymorningat8AMtosetourstallup.Wealsotookthattimetopacksomeofthefoodmadeathome.Productsassuchwouldbethecurrypuffsandsandwiches.Theherbaleggshadtobeplacedintothepottowarmitthrough.Havingpackedeverythingintoconvenient,individualcontainers,theproductscouldbeeasilybroughtaboutafterpurchase.Thisgivesthecustomersanaddedmotivationtopurchasefoodfromusasopposedtothethingsfoundinthecommercialblock.Mostofourproducts,werepackedintocupsorsmallplasticbagwhichisconvenientlysizedtobeheldbyhand.WeplacedmostofourproductsatourboothwhichislocatedalongthecorridoroutsideoftheStudentLifeCenter.Thisenablesourproducttobeseenbythepassingtrafficandgivesusameasureoffreepublicity.Customerswouldbeabletoviewtheproductswehaveupforsalewithoutushavingtopromoteit.Thissavedusthetimeeffortneededtopromoteourproductstothecustomers.Byplacingourherbaleggcookeratourbooth,wealsoutilizedthefragranceoftheeggstoattractmorecustomers.Havingsaidallthat,werealizedthatapproachingcustomerspersonallyisstillthebettersalesmethod.Alongthecorridorwhereourboothislocated,wewouldhavesalesmanstheretopromoteourproductspersonallytothepassingpeople.Wealsosetupamobilestand.Thisconsistsoftwomembersbringingatrayofourproductsaroundcampus.Thismethodofbringingtheproducttoourcustomersgivesusabetterchanceofsalesasthecustomersfinditmoreconvenientthanheadingtotheshopstopurchasefood.

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11.GreenMeasuresAsacompany,wetookcertainmeasurestoimprovetheecofriendlinessofcompany.Firstandforemost,wedecidedtoobtainouringredientsinbulk.Thismeantthatweonlymadetwotripsthroughouttheweektopurchaseouringredients.Aspercomparedtomakingrepeatedtripsdaily,thisapproachedhelpeduscutdownonthegreenhousegasemissionsproducedwhencommutingtoandfroourdestination.Furthermore,weoptedforaiceboxinsteadofafridgeasthatwouldcutdownonourenergyusage.Byusingaicebox,wewouldntneedelectricityandthuswouldbeabletoagaincutdownonourgreenhousegasemissions.Ontopofthat,whenwewereorderingthenasilemakfromthesupplier,theygaveustheoptionbetweenpolystyreneorbananaleafpackaging.Weoptedforthebananaleafpackagingasitisbiodegradableanditalsogivesatraditionalfeeltoit.

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12.HumanResourcePlanningTeamOrganizationalandJobDelegationChart:

Astheweeksprogressedleadinguptobusinesscharityweek,ourteamsplitnecessaryrolesamongstourselves,whichincluded:i.DirectorLedbyCaleb,wedevisedacleardirectionandpathforbothplannedandimpromptusituationstoachieveourobjective.ii.SalesTeamKeptconstantlyactiveandmobile,William,WinterandJaneworkedtogetherinpairsunderseparateshiftseverydayoftheweek.Weimplementedavarietyofmarketingtacticssuchasmobilesalesaroundthecampusandthoughtoutpromotingscripts.iii.ProductionTeamAlthoughledbyCalebandJane,allofuswereinvolvedinpreparingourproductssuchasyogurtsparfaitandfruits.Moreover,CalebwasalsoinchargedofbuyingtheNasiLemakandCurryPuffseverymorning.iv.AccountingandFinanceTeamLyvierwasinchargedofallthecostofingredientsandamountoftargetprofit.Themainreceiptingandmonetaryissueswasalsohandledbyher.Wealsoclearedourexpensescostaftertheendofthedays.v.DocumentationandReportTeamAllthephotos,videoandnonaccountrelatedfactsweredocumentedbyLyvierandCaleb.Everyonetookpartinthefinalbusinessreport.

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13.EvaluationResults

IncomeStatementofTSNC2Co.forCharityDriveEvent

RevenueSalesLess:CostofGoodsSoldCostofGoodsSoldGrossProfitAdd:DonationAdjustedGrossProfitLess:OperatingExpensesStallDecorationTotalOperatingExpensesNetProfit

(RM787.60)

(RM9.40)

RM2740

RM1952.40RM600.00RM2552.40

(RM9.40)

RM2543.00

NasiLemak BarleyDrink Yogurt HerbalEggs

SellingPrice(RM) 3 1 7 2

Units 130 100 96 235

Revenue(RM) 390 100 672 470

CurryPuff Sandwich Mochi Fruits

SellingPrice(RM) 2 5 4 4

Units 160 80 50 47

Revenue(RM) 320 400 200 188

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14.Appendix

TyphoidInjectionCertificates

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Receipts

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Receipts

Preparationforourbusiness.

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Duringthecharitydrive

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15.Conclusion

Asconclusion,manageabusinessisdefinitelynotasimpletask.Weneedtoworkondifferentaspectinordertomakeourbusinessasuccessone.Wealsofaceddifferentdifficultiesandchallengesinthisbusinessasexample,lackofcustomers,lackofproductsandslowresponsetoourproducts.Weneedtoconsideraboutthepackagingoftheproduct,decorationofthestalls,advertisingandpromotingstrategyofthebusiness.Basically,welearntfewthingsthroughthischaritydrive.Firstly,wehavetobesensitivetothethebusinessenvironment.Abusinesswhichdoesnotsensitiveandignoretheenvironmentofthebusinesswillnotbesuccessful.Forourcase,westudiestheenvironmentbeforewedecidewhattosell.Wetrytosellfoodandbeveragewhichishealthyandfreshaspeoplepreferfoodwhichishealthiernowadays.Besides,peoplealwaystendtopreferproductswithhygienicandprofessionalpackaging.Therefore,wehadtrytomakeourpackaginglooksprofessionalandhygienicinordertoattractmorecustomerandbuildupthecustomerstrust.Besides,weshouldkeepimprovingontheproductswearesellingbyobservingtheresponseofthecustomers.Wehavechangeourproductswhenwefoundouttheproductswearesellingdon'thavebigmarket.Wealsoincludedmoreproductstosellinorderforustoattractdifferentcustomers.Specifically,weaddinnewproductslikeNasiLemak,Barleydrinks,Mochiandothers.Thisisbecausewefoundoutyogurtsparfaitandfreshfruitshavesmallermarkets.Moreover,advertisingandpromotingourproductisoneoftheimportantstrategyinorderforourbusinesstobesuccessful.Wehadcomeoutwithofdifferentpromotingstrategyinordertoattractcustomers.Forinstance,createsocialmediapages,verbalpromotingandmakeposters.Wefoundoutthatwehavetotaketheinitiativetoapproachourcustomers.Wehavetopromoteandintroduceourproductstoourcustomertopersuadethembuyourproducts.Asconclusion,wehavetofocusondifferentaspecttomakeourbusinessasuccessone.

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