Prepared for:

Mr. Faisal Wali (FsW)

Course Instructor

BUS 401

Section: 04

Prepared by:Nishath Quamrul 093 0483 030

Summaiya Barkat 101 0008 030

Kasema Sadeque 101 0154 030

S. M. Sifat Jamil 101 0338 030

PROYOJON SUPER STORE

Date of Resubmission: 29th August, 20132013

i

LETTER OF TRANSMITTAL

To 29th August, 2013Mr. Faisal Wali (FsW)Assistant ProfessorSchool of BusinessNorth South University

Subject: Submission of social business plan of “Proyojon Superstore”

Dear Sir,

This is to inform you that we have completed the social business plan that you hadassigned us for the course BUS 401 for the semester of Summer 2013. For the socialbusiness plan, we selected a Superstore business to work on. We have introduced newfeatures into this existing business and then we have devised a business plan for thecompany.

In writing this report, we have followed the instructions that you have given us in theclass, and we have also applied relevant concepts that we have learnt throughout ourcourse. We have defined our core competencies, strategies in different level,marketing plans and financial calculations. The contents provided in this report are allour own, though some information and references have been taken from differentsources to facilitate our report. However, we will be glad to clarify any discrepancythat may arise.

Finally, we would love to express our gratitude for your supportive thoughts and kindconsideration in and outside of the class.

Yours sincerely,Name:Kasema SadqueID: 101 0154 030

Name: Summaiya BarkatID: 101 0008 030

Name: S.M. Sifat JamilID: 101 0338 030

Name: Nishath QuamrulID: 093 0483 030

ii

ACKNOWLEDGEMENT

Preparing this social business has been a great challenge for all of us. Since the

starting of our social business plan we have come across many confusions and dead-

ends, but nevertheless, we managed at the end. We would like to extend our gratitude

to our faculty, Mr. Faisal Wali for his immense support. We are grateful to him for

guiding us and helping us finish the business plan.

We would also like to thank our loving parents for being so inspiring and

encouraging. We are grateful for their patience during our sleepless nights while

preparing the social business plan.

Finally, we would like to thank each other for the tremendous cooperation we shared

among ourselves as group members. Our dedication and strong teamwork has resulted

in the successful completion of this business plan. We learned extensively in the field

of Strategic Management, Human Resource Management, Marketing, and Finance

from our work.

This business plan has also helped us gain some practical exposure and has exposed

some interesting findings.

Group Members of the Social Business Plan

29th August, 2013

iii

EXECUTIVE SUMMARY

The main purpose of this report is to give a detailed layout of a social business. The

main idea of our social business plan is to address the issue of the low life standard

of the poor people. For this reason we have proposed to establish a superstore

named ‘PROYOJON’ Superstore which will have 2 sections of customer groups. The

first section consists of the BOP people who will be given discount coupon cards

providing 50% flat discount, so that they can come and shop on the specific allocated

three days. The rest four days the shop will remain open to the general public of mid

&high-income group.

This report start with a description of the social business idea along with the

application if the triumvirate framework of social business. Then a detailed market

analysis has been done which includes the Swot Analysis, the Porter’s 5 Forces

Model and a detailed layout of the Competitor analysis.

The next portion consists of the description of the venture. This includes the office

layout, address, location, machineries and Equipment’s etc. This shows a detailed

specification of all the machineries.

The next portion includes the production plan. This has the total layout of the supply

chain management and a detailed layout of the suppliers.

The report then consists of the operational plan, which gives us the idea about the

timeframe when the social business is expected to start operation and all the legal

procedures.

The next portion includes the marketing plan. It discusses the market segmentation,

target and positioning. Then it shows a detailed layout of the marketing mix,

followed by the Market growth strategy, which as identified is the Market

Development.

iv

The organizational plan includes the roles and responsibilities of the investors and

management team. It also has the organizational hierarchy and the entire detailed

layout of the Human Resource Management Planning, Staffing, Recruitment,

Training, Compensation and Appraisal.

Then comes the assessment of risk for the business. After that the financial plan for

the social business for 5 years has been given along with the calculation of ratios.

The sustainability of the business has been calculated and the data shows that within

3.5 years the business will achieve its breakeven and payback period. Hence, the

venture is financially sustainable.

v

Table of Contents

PageNo.

1. Introduction 1

Social Business-An initiative in creating a Poverty Museum 2

Company Overview 5

Proyojon Superstore incorporated into Yunus SocialBusiness Model 9

2. Industry Analysis 14

3. Description of Venture 21

4. Production Plan 37

5. Operational Plan 47

6. Marketing Plan 52

7. Organizational Plan 73

8. Assessment of Risk 82

9. Financial Plan & Sustainability 86

10. Conclusion 100

11. References 101

12. Appendices 103

1

Introduction

2

Social Business: an initiative in creating a Poverty Museum…We live in a world of appalling injustice and pervasive poverty that need to addressedand solved in order to make the world a better place to live in, not only for the rich butalso for every class of people. Though, Governments and charities have come forward toimprove the poverty situation, but they lack the efficiency and innovativeness of theprivate sector. Addressing the issue Nobel laureate Prof. Muhammad Yunus brainchild‘Social Business’- bringing the methods of business to the task of solving socialproblems and driving the existing profit –making organizations to contribute in socialcause through integrating social business into their system.A Social business is a cause-driven business that aims at achieving its social objective aswell as covers all costs through a financially sustainable business model. Unliketraditional business which has always been self-focused with the purpose of makingmoney, social business operates for the benefit of addressing social needs that enablesocieties to function more efficiently. Moreover, social business provides us with anessential framework for tackling social issue by linking business proficiency with theaspiration to improve living standard.

Fig.: Social business vs. Profit maximizing business and not-for-profit organizations

3

There are two kinds of social business. One is a non-loss, non-dividend companycommitted to solving a social dilemma and owned by investors who re-invest all profitsin expanding and improving the business. This is called the Type 1 Social Business.The second kind is a profit making company owned by poor people, either directly orthrough a trust that is devoted to a predefined social cause. This is called Type 2 Social

Business.Prof. Muhammad Yunus along with Hans Reitz, director of the Grameen Creative Lab(GCL) developed and formulated 7 principles of social business. They are:1. Business objective will be toovercome poverty, or one or moreproblems (such as education, health,technology access, and environment)which threaten people and society;not profit maximization2. Financial and economicsustainability3. Investors get back theirinvestment amount only. No dividendis given beyond investment money4. When investment amount is paidback, company profit stays with thecompany for expansion andimprovement5. Environmentally conscious6. Workforce gets market wage withbetter working conditions7. Do it with joy!!!The Seven Principles are the core of social business. So, based on all these notions wecan say that social business indeed combines business know-how and the desire toimprove the quality of life by addressing a social issue. It does not focus on maximizingprofit; rather, its goal is to solve a social problem using proper business methods.

4

Great Examples of Social Business in Bangladesh:

Grameen-Danone Ltd: It is a joint-venture business plan between France’s food giantsand Prof. Yunus, signed in 2006, which has already taken the social business scenario bystorm. Grameen-Danone’s first product ‘ShoktiDoi’ was designed to nourish Bangladeshichildren in an affordable way.Grameen Veolia Water Ltd: Grameen and Veolia joined forces to reduce the effects ofarsenic in Bangladesh’s water by providing clean and safe water that will be accessibleto the villages of the poorest parts of Bangladesh. Its task is to build and operate severalwater production and treatment plants in the poorest villages in the middle and southpart of Bangladesh.Grameen GC EyeCare Hospital: In 2001 Grameen Bank established the Prevention ofCataract Blindness Project, which has now become GrameenGC Eye Care Hospital inBogra as a social business. Prof. Muhammad Yunus and the Green Children opened firstGrameen Eye Hospital in Bangladesh in 2008. It is also structured as a social businessenterprise.JITA Bangladesh: JITA Bangladesh, a Social Enterprise, is a joint venture of CAREInternational & DANONE Communities dedicated to empowering women through anetwork of enterprises creating employment opportunities and improving access tomarkets for BOP consumers.Punoh.com: Punoh is an internet-based store that sells rarely used and unused, quality-assured, high-end clothing and accessories; profits are used to improve the lives of poorand needy women by initiating various income generating projects.

5

Company:

PROYOJON SUPER STORE

Ejab Islam Tower

Road#2, Pallabi, Begum Rokeya Sarani, Mirpur, DhakaBeing members of the more privileged part of the society, a duty falls upon us to helpthe poor in order to ensure the access of facilities and what we generally term as the‘good life’ for the poor. However, due to the lack of important factors such as educationand awareness among the poor about efficient utilization of any sort of monetary helpthat the poor tend to receive, we cannot say for sure exactly how much, our extension offunds to the inexpert hands help them. The main problems that the poor tend to face arethe wrong utilization of the money when in hand, or, in some cases, improper utilizationof it.It was time we came up with an efficient way in which we could help the poor, at thesame time, mitigate all the problems that might arise as mentioned above. The mostbasic use they make of their money is while purchasing the essentials of the daily lives,groceries and other such items.That is how the idea of Proyojon Superstore was conceived. Wherein we tried toeffectively serve the poor by providing them fifty percent discount on items purchasedfrom the store using coupons. The store will be open for the poor three days a week,while the other four days will be used to serve the mid and upper level consumers. Themain idea is to serve the bottom of the pyramid people effectively while making up forthe discounted price effects by attaining money from the mid and upper level people ofthe society who would come to the same store to purchase their own share ofmonthly/weekly/daily groceries. The basic idea was to be able to effectively generatethe spread of good life among the poor from the same hub in the process, creating a costeffective means to give out a hand of help to the poor.

6

Overview:One of the greatest dilemmas of giving money to the poor and underprivileged people isnot being able to control what they spend it on. In our country it is very often seen thatthe poor people upon receiving aid, spend it on drugs or alcohol. As a result, the entireeffort of trying to help the underprivileged people to lead a better life goes in vain.Hence, we have decided to come up with a business idea that will not only beeconomically sustainable but also helpful to the community. The main idea is to open asuper store, which will contain all the daily essentials of life. The superstore will beshelved with products ranging from groceries, homecare, personal care, fashion tostationeries, etc. The name of the superstore will be “PROYOJON SUPERSTORE”. Thisname has a dual meaning, which means that it not only indicates to the fact that it isproviding daily essential items, but also very useful and helpful for the poor people ofthe community. The basic notion is to help the poor and underprivileged and with thispurpose in view, Proyojon Superstore will launch discount coupons. These discountcoupons will be distributed among the poor people of the community which includesrickshaw pullers, slum dwellers, house helps, etc. The coupon will provide them a flatdiscount of 50% on all the daily essential items which includes perishable and non-perishable groceries, fish, meat & poultry, dairy and egg products etc. (See pricing Listfor details). Three days a week (Sunday to Tuesday) will be allocated for the poor andunder privileged to come and shop in Proyojon Superstore at a discount of 50% on allthe daily essentials using their discount coupon cards. The rest four days a week(Wednesday to Friday) the shop will be open for the general public only. This includesmid-level and high-level income group people, who will purchase their everydayessentials at the market price and pay VAT on it. In this way, the business will makeprofit and hence be financially stable. The market research, customer segmentation,supply chain management, Human Resource Management and financial plans for themodels are described throughout the report.Vision:The vision of Proyojon Superstore is to serve the underprivileged people of thecommunity by providing them discount to purchase their daily essentials and establishthe brand and build more outlets within 2020.

7

Mission:Proyojon Superstore will facilitate as a shopping destination where there exists noboundary of social class. It aims at establishing 5 outlets within 2020 in the Dhaka cityin areas as- Dhanmondi, Mirpur, Uttara, and Rampura and in Chittagong outside Dhaka.Proyojon will aim to establish its brand not only among the poor people by providingthem service, but also among the mid-level and high-level income group people. Ourmission is to reinvest the profit generated from the business to serve at least 7%-8% ofthe poor population per year. We thrive to become a trustworthy food supplier of thenation and thus spread our social dimension in all spheres of Bangladesh.Objective:The main objective of this organization is to help the poor and underprivileged peopleof the community by establishing a financially sustainable Superstore. ProyojonSuperstore aims at providing the poor people of Dhaka city with a better chance ofleading a healthier and happier life by addressing the poverty issue. This superstoretargets to deliver to the underprivileged people the daily essential items of life like food,vegetables, dairy products, etc. at a flat discount of 50% compared to the market price.The distribution of discount coupons instead of giving money to the poor isintentionally done to ensure that they use the coupons for shopping, and not waste themoney otherwise given on drugs or alcohol.Applying the triumvirate framework of Social Business, 3P’s:

PEOPLE

PLATFORMPROCESS

8

The 3P’s indicate the basic and the primary grounds of social business. Any socialbusiness should be based upon these three elements and initiate or undertake activitiesthat fulfill the criteria’s element. For our social business store PROYOJON, we haveundertaken our social activities that address these issues or more precisely, the 3P’s.1. People: The people who will be the inspiration for our social business are theslum-dwellers, rickshaw pullers, house helps of Mirpur area. They are living a lifeof underprivileged inhabitants. Our target is to engage them help them alleviatetheir current social condition and livelihood by providing them an opportunity tolead a better life and provide healthy food items. Hence, our main target will beto address the current living situation of those poor people and provide themwith a better health and hygiene situation. This can be accomplished bydelivering them basic needs product at a low cost.2. Platform: The platform of our social business will be addressing the issue of thedeprived living condition of the poor people. We will provide them with anopportunity to come and shop at a Superstore where they can get their entirebasic needs product at a reduced price. The poor people will get a chance tobetter health and hygiene if they can shop at a superstore.3. Process: The process of uplifting the lifestyle of the poor people by providingthem with better basic needs products will go through the following process Initially a research will be conducted to identify the poor & underprivilegedpeople in the Mirpur region The identified target group will then be provided with the discount coupons ofour superstore. The investors as well as the sales representatives will perform the task ofconvincing the poor people and attract their attention.After that, the sales representatives would help the poor people in every step of theirshopping in the superstore.

9

Proyojon Superstore incorporated into Yunus Social Business

Model:

SOCIAL BUSINESS

ENDS

MEA

NS

Social Solution: Providingopportunity for the BOPs to acquirethe daily essential items at a lowerprice to provide better livingstandard.

Self-Sustainable: Revenuegeneration by offering productsand services to the mid-leveland high-level income group.

AngelInvestors,Corporate CSR,and loans.

We are offering a solution to a social issue, which refers our business model to be social.PROYOJON SUPERSTORE walks align with the seven principles of Social Business

defined by Prof. Muhammad Yunus:

1. Business Objective:The main objective of this organization is to help the poor and underprivileged people of the

community by establishing a financially sustainable Superstore. Proyojon Superstore aims at

providing the poor people of Dhaka city with a better chance of leading a healthier and happier life

by addressing the poverty issue. This superstore targets to deliver to the underprivileged people the

daily essential items of life like food, vegetables, dairy products, etc. at a flat discount of 50%

compared to the market price. With this purpose in end, the store will distribute discount coupons

among the poor people. The distribution of discount coupons instead of giving money to the poor is

intentionally done to ensure that they use the coupons for shopping, and not waste the money

otherwise given on drugs or alcohol. Moreover, it is not oriented to profit maximization.

2. Financial & Economic Sustainability:The basic notion is to help the poor and underprivileged and with this purpose in view, Proyojon

Superstore will launch discount coupons. These discount coupons will be distributed among the poor

10

people of the community which includes rickshaw pullers, slum dwellers, house helps, etc. The

coupon will provide them a flat discount of 50% on all the daily essential items which includes

perishable and non-perishable groceries, fish, meat & poultry, dairy and egg products etc. (See

pricing List for details). Three days a week (Sunday to Tuesday) will be allocated for the poor and

under privileged to come and shop in Proyojon Superstore at a discount of 50% on all the daily

essentials using their discount coupon cards. The rest four days a week (Wednesday to Friday) the

shop will be open for the general public only. This includes mid-level and high-level income group

people, who will purchase their everyday essentials at the market price and pay VAT on it. In this

way, the business will make profit and hence be financially and economically sustainable.

3. No dividend Policy:For PROYOJON SUPERSTORE, there are four investors, who invested an equal amount ofmoney in this business, and they will get back their invested amount only as apercentage basis from the third year. The investors cannot withdraw any excess profitother than their invested amount, in order to comply with the basic principles of SocialBusiness4. Profit(excluding the invested amount) retained back for growth:Investors start getting back their invested amount from the third year, and any profitearned before third year will be reinvested in the business. From the third year they canwithdraw a specific percentage of their invested amount from the profit earned, and therest again will be reinvested and so on, in order to achieve our objective of serving theBOP and also to ensure business growth and success.5. Environmentally Conscious:PROYOJON SUPERSTORE contributes in improving the health and nutrition of BOP,which in turn provides with a better living standard with a healthy environment. Ourbusiness is environmentally conscious in the sense that through facilitating the BOP byhaving access to their daily essential items at lower price, we are creating awarenessand need for a healthy living condition among them.6. Market Wage with better working condition:Our organizational hierarchy has been structured in such a way that one will not feellow about their working status, as we will facilitate any employee working with us withstated market wage plus bonuses, and also provide with better working condition. Sothat everyone in the business feel attached to the social objective of the business andthus acquires improved performance.

11

7. …Do it with joy:The main motive behind the work that will be done in this organization will be to buildup the little bricks that will ultimately lead to a better future in a few years of time. We,the investors and any employee related to this organization’s satisfaction will lie inproviding and creating awareness among BOP about their daily essentials at low costand thus building a healthy future of the society.Types of Organization:Our organization will be a private company with four partners and it will operate underretail industry which will mainly focus on nutrition and healthcare sectors of theunderprivileged.Pricing Strategy of PROYOJON SUPERSTORE:

Fig.: Pricing for Social Business versus Not a Social BusinessPROYOJON SUPERSTORE will be a social business and price will be fixed and set at alevel that allows all costs, including salaries and administrative expenses to be coveredi.e. we will be following Standard Pricing. But, we will also provide incentivesaccording to their performance.

12

Investment:

Step1:All four partners will invest a total of BDT 8,000,000 as capital in the business and wewill look for other investors and gather BDT 12,000,000 which is a total of BDT20,000,000.Step2:As our business grows and begins to generate an operational surplus, capital will bereturned to investors. As planned, from the third year the investors can withdraw aspecific percentage of their invested amount from the profit earned, and will continuewithdrawing until invested amount is totally covered. , and the rest again will bereinvested and so on, in order to achieve our objective of serving the BOP and also toensure business growth and success.Step 3:When the investors get back their invested amount then, the rest amount will bereinvested in the business, in order to achieve our objective of serving the BOP and alsoto ensure business growth and success.

13

Type of our Social Business, that is, PROYOJON SUPERSTORE:

TYPE I – Socially benefited products and services to the BOP

• Ensuring support to the BOP foracquiring proper nutrition by providingdaily essentials at low priceSocialBenefit

• Revenue will be generated by offeringthe products & services to the middle &upper class at market priceProfitOrientation

• Owners are not paid any surplus amountother than their investment, ratherreinvest the surplus for businessexpansionFinancialDividend

14

IndustryAnalysis

15

SWOT of Proyojon Superstore:

Social Dimension of our Business: Our Social aspect to help the poorpeople of the community is undoubtedly expected to attract more customersand investors in the business. This is thus our biggest strength. Well-trained employees: Proyojon will provide the customers with well-trained and experienced employees who can provide better customer-employee interaction. This will be of more use from Sunday-Tuesday, whenour employees can help the poor people to use their coupon and thus shop. Car parking: We will provide our customers with basement level car parkingspace, to reduce traffic congestion in-front of our store. Product categories: Our product categories would be higher than any of ourcompetitors, ranging from Convenience and Shopping Products to Luxuryproducts. Just-in-time Inventory: We would maintain just-in-time inventory system toprovide our customers with fresh and quality products.

Promotional Budget: Our main weakness would be our low promotionalbudget. This could restrain us from capturing the majority of our targetmarket. Management: Our lack of managerial depth could lead to in-efficient salesand low profits. Insufficient Funds: It would be difficult for us to obtain funds from banksand other institutions, due to the financial situation of Bangladesh.

STRENGTH(Internal)

WEAKNESS(Internal)

16

Insecure Supply Chain: Lack of proper networks may not provide us with agood supply chain.

Expansion: We would penetrate markets outside Dhaka, such as Chittagongto capture our target market. Also expanding within Dhaka to provide outletthat will serve the poor and underprivileged will also be carried on. Efficient Supply Chain: Better network links in the future would lead us tohaving an efficient supply chain. Economic Boom: The economic situation in Bangladesh would help us toobtain a higher market share, due to the spending spree of our customersleading to better sales revenue. Store Brand: This particular section refers to all our Special Discount combopackages that are available as the exclusive product of our Super Store. Thesediscount packages are discussed in details in the Marketing Section of theBusiness Plan.

Competition: We will be facing high competition from the three big super-stores: Agora, Nandan and Meena Bazar. Political Unrest: The political situation in Bangladesh can create a barrierfor us to do business. Political unrest such as strikes and labor violence canpose threats for Proyojon.

OPPORTUNITY(External)

THREAT(External)

17

Competitors:

As Proyojon Superstore is not entering a new market therefore it has a hugecompetition from superstores that already have captured a part of the market. So, topenetrate the market and create brand awareness it is essential for us to understandand analyze our competitors. Therefore, we have explored the market positioning,market share and ultimately a general SWOT analysis of our competitors.Competitors’ Market PositioningAt present there are 5 core competitors in the market; Agora, Nandan, Meena Bazaar,Shopno and Price Bazaar. All of them are situated in Dhaka. Except Agora which also hasbranches in Chittagong and Sylhet. Agora is the leading superstore in the market and thebrand choice of more than 40% customers. Following it is Nandan, Meena Bazaar,others respectively.These competitors have a competitive advantage over Proyojon as they have been in themarket for more than 8 years and have captured most of the consumer market andgained some brand loyalty. Therefore it will be difficult for Proyojon to penetrate themarket and capture the consumers.Competitors’ Market Share

Fig.: Pie Chart showing market shares of different superstores

Agora37%

Nandan11%

Meena Bazaar22%

Shopno11%

Prince Bazaar4%

Untap Market15%

Market Share of Competitors

18

As the pie chart shows that Agora is the leading superstore in the market. Howeverthere is still a huge market untapped. Hence, our main strategy will be to capture theuntapped market of consumers. Moreover, for Proyojon the main challenge willhowever lie in attracting the poor people and convince them by giving the discountcoupons to come and shop from our store. Hence, compared to our competitors we havea completely different outlook of the market.Competitors’ Swot AnalysisIn order to understand the competitor in depth we have created a SWOT analysis of thecompetitors so that their weaknesses can be our strengths.

Failure to draw the poor people’s attention:This is our biggest concern because; failure to attract the poor people means the entirevision of the organization to help them will be futile, resulting in the demise of theSuperstore.

StrengthsGreater Market ShareSecured Supply Chain

Financial StabilityCustomer Loyalty

Brand Image

WeaknessesPoor of Choice of Location

Lack of Store SpaceParking Accommodation

No Delivery ServiceUntrained Sales Force

Lack of Proper Inventory Management

OpportunitiesExpanding Store Space

Using Better Inventory ManagementSelecting Better Location

Training Sales Force

ThreatsPROYOJON SUPERSTORE & THEIR AIM TO

HELP THE POOR PEOPLE OF THE COMMUNITY

SWOT

19

Intensity ofRivalry

Threat ofNew

Entrants

BargainingPower of

Customers

BargainingPower ofSuppliers

Threat ofSubstitutes

Porter’s 5 forces Model

1. Threat of New Entrants is low for use because barriers to entry

are very high.REASONS:

High capital costs to enter No opportunity for small entry Incumbent economies of scale Incumbent economies of vertical integration Customer loyalty to incumbents Restricted access to distribution channel

20

2. The threat of substitute is low for us.REASONS:

Alternative services provided by competitors do not provide community benefitto the poor people at lower cost. Social dimension of the business makes itunsusceptible against substitutes Customers i.e. the bottom of the pyramid people have high switching cost

3. The customers have moderate bargaining power.REASON: Our service is essential to meet the basic needs of the customers. Customers have other sources of supply. The BOP people can depend upon theservice of the City Corporation, whereas the mid and higher income group canshift to other superstores. BOP have high switching cost, but mid & high income group have low switchingcost The BOP people i.e. our main target group does not have any substitutesavailable.

4. The suppliers have high bargaining power.REASON:

Supplier’s input i.e. the different products and raw materials are essential to ouroutput (service) Suppliers have other customers like Meena Bazaar, Agora, Nandan, Shopno etc. At this point of inception, it is practically impossible for us to integratebackward. Our supplier is larger than us We do not have any substitute products available. Suppliers do not have too many competitors.

5. There is intense rivalry in the industry.REASON:

Low industry growth Low Brand loyalty High Exit Barriers

21

Descriptionof the

Venture

22

Company Locations and FacilitiesInitially we will have only one office in the capital city Dhaka. To capture our targetcustomers and for their convenience we will facilitate out office in Mirpur. The ProyojonSuper Store will be established on the ground floor of the Ejab Islam Tower. We willrent out the ground floor of 5000 sq. feet for the initial start up of our business.Office Location & Details:

Office Address Ejab Islam Tower, Road-2, Pallabi Begum

Rokeya Avenue, Mirpur, Dhaka

Floor Space 5000 Sq. feet

Rent per month 45,000 Taka

Security deposit for generators

& Car parking

200,000 Taka

23

Condition of the building:Ejab Islam Tower is a relatively new building as it washanded over 31st December, 2010. It’s located in theprime area of Mirpur. Ejab Islam Tower has a groundfloor rent space of 5000 sq. feet which is the perfectlocation for starting our business. The tower hassecurity service, 24 hours generator support andspacious car parking facility. This saves us the cost ofpurchasing generators or building car parking. We canrent it using service charge. But above everything else,this particular location is helpful for us to serve thepurpose of both our target customers. We can get the Bottom of the Pyramid poorpeople, as well as attract the mid & high-income group people of Mirpur.Office Equipment and Personnel:

Office Staff

Job Title No. of Employees Salary (BDT) Total (BDT)

Manager 1 20,000 20,000

Sales Representative 5 40,000 40,000

Sales Person 15 1,20,000 1,20,000

Security Guards 2 15,000 15,000

Accountant 2 15,000 15,000

Cleaner 3 6,000 6,000

Cashier 2 (Permanent) 10,000 10,000

Total 211,000

24

Brief Introduction of the investors and management team:The management team is one of the most important elements of our business. The teamwill be the force behind both selling the business idea to the stakeholders and executingthe plan. If the business idea needs to be revised or even completely changed then the

Office Equipment

Equipment Total Number Cost/Equipment (BDT) Total Cost (BDT)

Air Conditioners 6 100,000/= 600,000/=

Computer +

Software +

Bar Code Scanner

2

2

2

50,000/=

50000/=

25000/=

250,000/=

Printer +

Card Machine

2

2

6,000/=

4000/=

20,000/=

Telephone set 3 1,500/= 4,500/=

Telephone Line 3 5,000/= 15,000/=

Mobile Set 10 2,000/= 20,000/=

Freezers 2 120,000/= 240,000/=

Water Purifier 1 4,000/= 4,000/=

Shelves 25 26,000/= 650,000/=

Carts+

Baskets

50

50

3,500/=

2000/=

275,000/=

Decoration 100,000/= 100,000/=

Total 2,178,500/=

25

investors will want to know if the management team has the experience and thecapabilities to “Make Things Happen”.Introduction to the Team

PROYOJON’s management has experience in the field of management, marketing,operational and financial expertise to run a socially driven company.Management Team Bios

The social purpose business needs people who have the skills to pursue both the socialand financial goals. PROYOJON’s management team has skills that include:o Social Business expertiseo Entrepreneurial expertiseo Enthusiasm and understanding of social componento Financial management capabilitieso Understanding of or interest in the non-profit sectoro Knowledge of or familiarity with managing the double bottom line ofsocial and financial purposeo Sales and marketing background

Proyojon Superstore has its primary four investors in charge of the management

Team. The financial structure of the company is shown below:

FINANCIAL STRUCTURE

Equity 8000000

Angel Investors 4500000

Bank Loan 2500000

CSR 5000000

TOTAL 20000000

26

The Equity section includes the following 4 investors, who are also part of the

management team:

S.M. Sifat Jamil BDT 2,000,000 Chief Executive Officer

Summaiya Barkat BDT 2,000,000 Chief Financial Officer

Nishath Quamrul BDT 2,000,000 Chief Marketing Officer

Kasema Sadeque BDT 2,000,000 Chief Operating Officer

S. M. SIFAT JAMIL:

A Co-Founder of PROYOJON Superstore is a charismatic and enthusiastic leader. Expert in the field of

Human Resource Management, it was his long term aspiration to help the underprivileged people of

our society. He looked for ways to create employment opportunities for the less fortunate and

enable them to improve their livelihood and social condition. Mr. Jamil graduated from North South

University and has firsthand experience of social business through participating in many of his family

business activities.

Curriculum Vitae of…

S. M. Sifat Jamil

809/1, West Kazipara, Mirpur, Dhaka-1216

E-mail: sifatjamil@yahoo.com

Mobile: 01713279234, 01672673993

CAREER OBJECTIVE:

To work in an environment with an opportunity of self-assessment and self-improvement both inindividual and group based work which will eventually lead to further development and will help in

27

building a career in the area of Finance & Economics.

PERSONAL INFORMATION:

Father’s Name Md. Showket Is lam

Mother’s Name Zakia Begum

Date of Birth 5th June, 1992

Nationality Bangladeshi

Religion Is lam

Marital Status Single

Mail ing Address 809/1, West Kazipara, Mirpur, Dhaka - 1216

Email sifatjamil@yahoo.com

Cell Phone 017–13279234, 0167-2673993

NSU-ID 101 0338 030

ACADEMIC QUALIFICATIONS

2010 - Onwards

North South University

Dhaka

Bachelor of Business Administration (B.B.A)

7th Semester (Appeared)

CGPA – 3.93 out of 4 (till Fall 2011)

2007-2009Dhaka Residential Model CollegeDhaka, BangladeshHigher Secondary School Examination (H.S.C)Science GroupGPA: 5.00

2005-2007Dhaka Residential Model CollegeDhaka, BangladeshSecondary School Examination (S.S.C)Science GroupGPA: 5.00

28

LANGUAGE SKILLS:

Strong written and oral communication ability in both English and Bengali with goodinterpersonal skill.

English language course from Mentors.

COMPUTER SKILLS:

Microsoft Word Microsoft Excel Microsoft PowerPoint

Interests & Hobbies:

Interacting with people Reading Travelling Playing Games Browsing Internet

I, S.M. Sifat Jamil, hereby declare that the above-furnished information is true to the best of myknowledge and belief.

SUMMAIYA BARKAT:

A Co-Founder of PROYOJON Superstore is an ambitious young woman with solid financial and

economical business acumen. As the Valedictorian of her batch she had the motivation and the

willingness to achieve success through her gained education. She felt the need to contribute to

overcome the current socio-economic conditions of Bangladesh. For this purpose, she became the

part of this social initiative and took the torch of building a better workforce in Bangladesh through

training and capacity building.

Curriculum Vitae of…

Summaiya Barkat

Address: House#213, Road# 10/A (New)

Imperial Symphony, Flat 4B,

West Dhanmondi, Dhaka-1209

E-mail: summaiyabarkat@hotmail.com

29

EMPLOYMENT I am a hard working individual who utilizes her full

OBJECTIVE potentials and capabilities efficiently

EDUCATION

Spring2010-Spring 2013 Bachelors in Business Administration (8th semester)

Department of Business Administration, North South University;Major in Finance and Economics

Credits Completed-117; C.G.P.A-3.88

2007-2008 Higher Secondary Certificate (HSC) Examination

Viqarunnisa Noon College (Science)

G.P.A.-5.00

2005-2006 Secondary School Certificate (SSC) Examination

Viqarunnisa Noon School (Science)

G.P.A. - 5.00

COURSEWORK AND RELEVANT PAPERS DURING UNDERGRADUATE

YEARS:

FIN 435-INVESTMENT Stock simulation using investment theories (including moderninvestment theories and game theory) along with the detailedanalysis of the reasons for Bangladesh stock market crisis and itssolutions

FIN 480-DERIVATIVES Simulation project on option trading in Investopedia and detailedanalysis of the option portfolio using various technical optionanalysis tools such as simple moving average, exponential movingaverage, MACD, Fibonacci Retracement, Binomial Tree and Blackand Scholes model

ECO 372-ECONO- Research Paper on “Concealment of the true income of the

METRICS people of Bangladesh and its dire consequences” usingquestionnaire survey and data from World Bank with the use of E-views software

30

ENG 105-ADVANCED Research paper on “Intensity of women to self-blame in

COMPOSITION abusive relationships”

MGT 351- HUMAN Comprehensive analysis of the faculty evaluation and

RESOURCE promotion process of North South University and

MANAGEMENT prediction of the future job market in Bangladesh

SKILLS 1. Proficient in Microsoft Word, Excel, PowerPoint and Access

2. Basic level knowledge in HTML web page designing and FrontPage

3. Elementary knowledge in using E-Views software.

ACHIEVEMENTS 1. Recipient of the NSU Financial Aid from Spring 2010

2.National Board Scholarship for academic excellence in HSCExamination

3. National Board Scholarship for academic excellence in SSCexamination

4. Recognition by Prothom Alo for Academic Excellence in SSCexamination

5. Winner of 1st position in project display in the 12th science festivalorganized by VNSC (Viqarunnisa Noon Science Club) in 2008

6. Best worker in the Ice Cool- Prothom Alo Viqarunnisa NoonDebating Club 4th Children’s & 14th Inter-school debate festival

7. Best worker in the Ice Cool-Prothom Alo Viqarunnisa NoonDebating Club 4th Inter-college & 12th Inter-club debate competition

8. Winner of 12th position in project display in the 9th science festivalorganized by VNSC in 2005

9. Creative head of Crystal Reflection (Wall Magazine) organized byViqarunnisa Noon School & College

10. Participant in National Science Fair organized by BCSIR

11. Participant in 8th science festival organized by VNSC in 2004

12.Participant in Mondialogo Program organized in year 2005

31

NISHATH QUAMRUL:

Ms. Quamrul is another Co-Founder of PROYOJON Superstore. A marketing genius, she has

nurtured her skills of sales and attracting potential customers through various firsthand

experiences. From a very young age she showcased the ability and the marketing skills to

garner a better position in the professional world. This marketing dexterity has constituted

her ambition to contribute to the societal discrepancies and bring about a new change.

Curriculum Vitae of…

Nishath Quamrul

Plot no.391, Block C, Bashundhara, Dhaka -1229

E-mail: nishath_choudhury@hotmail.com

Date of Birth: 15th October 19

Career Objective:

To start with an entry level job at an organization and learn from them at every stage of my

career to develop myself and grow as the company grows.

Educational Background

08/2013 North South University, Dhaka

Bachelors in Business Administration (BBA)

C. G. P. A: 3.92 on a scale of 4 (as of Spring 2013 )

o Finance and Accounting Major C.G.P.A 3.90/4 (as of Spring 2013)

o Marketing Major C.G.P.A 3.95/4 (as of Spring 2013)

Valuable experiences:

32

1. Worked on simulation derivative projects and provided 1 month of

investment details along with detailed technical analysis and fundamental

analysis for a project on the Options market in New York Stock Exchange.

2. Used detailed technical analysis as well as basic investment indicators for

an investment project on Dhaka Stock Exchange.

3. Completed bank analysis project on companies like City Bank and AB Bank

with and provided risk mitigating tools for them as part of Bank

Management Course.

4. Conducted real time test marketing in a carnival at Dhaka after having

designed the packaging and created communicational tools for Bombay

Sweet’s Slanty Chips as part of a competition created by Bombay Sweets

and IBA.

07/2009 Maple Leaf International School, Dhaka

A Level (EdExcel)

Subjects: Business Studies, Accounting , Mathematics

07/2007 Bangladesh International School, Jeddah, Saudi Arabia

IGCSE (Cambridge International Examination)

Subjects: Accounting, Information Technology, Mathematics, English

Language, Physics, Chemistry Biology

Experience

05/2013 North South University, Dhaka Bangladesh

Undergraduate Teaching Assistant (UGA)

Experience:

1) The job revolved around helping faculty members prepares slides and

students in need with extra bit of help.

2) Helped faculty members at their research work.

33

11/2009 Maple Leaf International School, Dhaka

Grade VI Mathematic Teacher

07/2007 Bangladesh International School, Jeddah

Grade 1 Teacher

Other Relevant Achievements:

07/2013 Brandwitz Inter University Marketing Competition, IBA, DU

2nd Runner Up, (Top 3 out of 45 teams)

04/2013 HSBC International Business Case Competition 2013

Regional Finalists at HSBC Business Case Competition 2013 having won round

1& 2

(Top 6 out of 800 participating teams)

03/2013 Robi Young Talent Program

Semi Finalists

Software Skills

Familiar with SPSS Software.

Worked with Trade XL add inns in MS Excel.

Worked with Binomial and Black and Scholes Add Inns for setting option

prices.

Learnt HTML coding to create websites.

Worked with Anime Studio 5.0 to create amateur animations.

Excellent with the use of MS Office

Other Relevant Skills:

Fluent English and Bengali speaker

Excellent typing speed

Excellent use of language and report writing skills

34

Have very good communicational skills

Have very good team management skills

Personal Information:

Having being born and brought up in Saudi Arabia and then shifting to Bangladesh in 2008, I

have learnt to adjust to almost any sort of environment around me easily. I am very

passionate about whatever I do and see to the safe completion of the work in hand before I

rest.

Reference:

Mr. Varqa Shamsi Bahar Mr. Riyashad Ahmed

Lecturer in Marketing Lecturer in Finance

School of Business, School of Business

North South University North South University

Former Brand Manager Cell: 01716926228

Square Toiletries Limited Email: riyashad.ahmed@gmail.com

Email: varqa.bahar@gmail.com rahmed@northsouth.edu

KASEMA SADEQUE:

The fourth co-founder of PROYOJON Superstore, Ms. Sadeque is an HR expert and has the

broad knowledge of supervising a diverse workforce in the workplace. Ms. Sadeque always

felt the need to go beyond the conventional business paradigms to test her skills and

abilities. Her inner conscience and ethics justified the fact that she needed to contribute to

the society and utilize her human resource skills to alleviate the conditions of the poor

people of Bangladesh. For this purpose, she joined hands with others to initiate the idea of

PROYOJON.

35

Curriculum Vitae of…

Kasema Sadeque

Apt#C2, House#7, Road#7/A, Sector#3,

Uttara, Dhaka-1230

E-mail: kasemasadeque@yahoo.com

Personal Memoranda

Father’s Name Late Zafar Sadeque

Mother’s Name Nasira Iqbal

Date of Birth 22 n d Day of February, 1990

Nationality Bangladeshi

Religion Is lam

Marital Status Single

NSU-ID 101 0154 030

Academic Qual if icat ions

2010 - Onwards

North South University, Dhaka

Bachelor of Business Administration (B.B.A)

CGPA – 3.67 out of 4 (till Fall 2011)

2009

Private Candidate

A Level

Mathematics :A, Accounting:B.

2006

St. Augustine’s School

Darjeeling, India

Indian Certificate of Secondary Education (ICSE)

Science Group: 1st Division

36

Work Experience

Have been worked as a Teacher for Junior Section in Sweden International

School, Uttara Branch .

Language Ski l ls

Bangla (Competent in Oral and Written)

English (Competent in Oral and Written)

Hindi (Competent in Oral)

Computer Ski l ls

Microsoft Office

o Owned a certif icate on completion of Basic Computer course from

National Youth Training Academy (NYTA).

Hobbies and Interests

Cooking

Travell ing

Learning new ski l ls

I, Kasema Sadeque, hereby declare that the above-furnished information is true to the best of my

knowledge and belief.

37

Production

Plan

38

Business Model:In order to make our business more sustainable, our aim is to minimize intermediariesas much as possible. With this purpose, Proyojon Superstore focuses on acquiringexisting products from remote local suppliers, assembling them in regional warehouses,distributing them to local stores, and finally selling the supplier’s products to localcustomers. In an easiest way, Proyojon will buy products from who are producing,manufacturing, importing the products, and then store it in our own warehouses. Fromthere we distribute the products to our stores for the easy accessibility of thecustomers.

Fig: PROYOJON SUPER STORE Business Model

RemoteSuppliers

RegionalWarehouses

Local Stores

LocalCustomers

Product StockFlows fromSuppliers toCustomers

39

Layout Design:

Material flow, process selection technology used, capacity needs, requirement, andcapital will influence the decision for layout design.

40

Machineries N Equipment

Computer:

InspironOne20 (Dell Desktop Computer)

Entertain and inspire with up to 3rd. Gen Intel CoreTM processors and 20 fullDisplayIntegrated WAVES MAXXAudio 3, recipient of a Technical GRAMMY Award.Windows 8Upto1GBgraphicscardforpowerful performanceWireless k e y b o a r d a n d m o u s e c o m e standard for a clutter-freeworkspace.Price: 50,000 BDTPrinter:

HP 2050 Allin One Printer Scanner Copier

GadgetPrice: BDT 6,000/=Specifications:Color: up to 14ppmDimensions (WxDxH): 426 x388x170 mmBlack: Up to 1200 rendered dpi black Color: Up to 4800 optimized dpi colorPRINTER MEM:32 MBLanguage: HP PhotoretIII print languageSCANRES: Optical up to 1200 dpiBlack-up to20ppmPaper handling-Input tray-Up to 100 sheets, up to 10 envelopes; Output tray-Up to50 sheetsScan type –FlatbedSpeed, black-Up to 20 cpm

41

Compatible operating systems - ALL WindowsPrint technology- HP Thermal InkjetColor best-Up to 4800 x1200 optimized dpi color when printing from a computerand 1200 input dpiResolution, enhanced-Up to 19200 dpiColor -48-bitMedia types-Paper (inkjet, photo, plain), envelopes, labels, cards, transparencies,iron-on transfers, Premium mediaGreyscale –256Media size -Paper: A4210 x297 mm, A5 148x 210 mm, B5 176 x250mm,1 Year Warranty BY HPBar Code Scanner:

Motorola DS4208-SBZU0100ZWR Barcode

ScannerPrice: BDT 25,000/=Card Machine:

PDQ Hire London- 0208 550 2095Price: BDT 4,000/=Air Conditioner:Whirlpool Split AC 1.5TonSpecification:Whirlpool Split AC :Model: WASR-18K 30 (1.5 Ton) Country origin: U.S.A

42

Made in Malaysia Warranty: Compressor: 2yearsParts &services: 1yearAccessories: 12 feet copper pipeRemote controlStandard warranty provided by the manufacturer companyPrice: BDT 90,000/=Freezer:Walton FC 1D5Specification:

Type: DECS Performance Climatic Type (SN, N, ST, T): N~ST Volt/Hz : 170~250, 220~240/50 Temperature Control: Mechanical Temperature range: < -25'C Cooling type: Direct Defrosting (Automatic/Manual): Manual Reversible Door: Foaming Door Handle (Recessed/Grip): N/A Lock: Optional Refrigerant: R134a Deodorizer: Optional

43

Supply Chain of Proyojon Superstore:In order to bring the different products from the remote suppliers to the localcustomers, there exist some intermediary entities. Each of these entities provides acritical link to the supply chain management of our Superstore.Business Entities Function Performed

Local customersLocal customers shop at local stores topurchase stock needed to resupply theirhousehold inventories.

Local stores

Local stores organize and display the stockreceived from warehouses for easy accessby their local customers.

Transporters

Transporters deliver quantities ofwarehouse stock to all stores within theregions of the local warehouses.

Regional warehouses

Regional warehouses receive and assemblesupplier stock to distribute among storeswithin their regions.

Transporters

Transporters deliver quantities of eachsuppliers stock to each regional warehouse.

Remote suppliers

Remote suppliers produce and release theirproduct stock to be transported to regionalwarehouses.

44

This is a general outlook of the supply chainmanagement system. Detailed description isgiven henceforth.Suppliers:Proyojon Supermarket is a place wherecustomers get all kind of householdproducts. To make the business financiallysustainable we have divided all the suppliers into four segments.1. Remote village markets2. Whole sale markets3. Manufacturing companies4. Proyojon’s product Offerings

1. Remote village marketsThis includes the fresh vegetables and fruits that are being transported from the poorrural farmers into the urban market. This is the root level of the supplier list. From thisparticular source all the perishable as well as non-perishable food items will bedelivered2. Wholesale marketsWholesale market is the biggest place for Proyojon to get their products like vegetables,fruits, other daily household products. Mostly perishable products are collected fromthe wholesale market. Goods like potatoes, onions, vegetables etc. The main wholesalemarket that we will focus on is -Karwan Bazar, which is the largest whole sale market inDhaka.3. Manufacturing Companies:Products in this category include packaging products like- different types of food items,different types of fashionable products, different types of washing powders etc. These

45

products are mainly targeted towards the mid-level and top-level customers and willnot be on the list of the discounted items.4. Proyojon’s Own product offerings:This particular section includes the different discount packages and combo packagesthat are provided by Proyojon to attract the underprivileged and poor people to comeand shop from our store. Moreover, it also includes the coupons that are being providedby Proyojon to the poor and underprivileged.

Order time:In order to reduce the order time, a proper inventory management control systemshould be implemented. Proyojon Superstore will focus on creating a just-in-timeinventory management system. This will reduce the order time to maximum of 3 days;hence we will be able to provide the customers with the same products they desire for.Moreover, in order to avoid loss of sales we will keep safety stock.Transportation (Supplier to Warehouses):Since it is a new business venture, it makes more sense if we employ any transportationagency to bring the products from the suppliers to the warehouse.Regional Warehouses:Products are being transferred to and kept in warehouses.Objective of the warehouse is to optimize tradeoffs betweenhandling cost and costs associated with warehouse space. Itsfunction is to minimize damage and spoilage. Since, they areregional warehouse, so they are expected to be small in size and with the shops actually.

46

Transportations:In order to transfer the products from the regionalwarehouse into the retail stores, like before we willagain be using transportation service provided by otheragencies. At the inception of the business, it is better notto indulge in purchase of vehicles, rather pay service charge toother agencies.Retail store:In this particular section of the supply chain management, the product ultimatelyreaches our store. The products are then shelved and taken accounts of. Ultimately afterstocking up, the product will be available for sale from our outlet.

Diagram: Supply Chain Management System

Transporters RegionalWarehouse

PROYOJONSuperstore

Whole SaleMarket

VillageMarket

Manufacturers &

Suppliers

Poor & Underprivileged-Discount Coupons

Suppliers

Customers

Mid-level & High LevelCustomers- shop at marketprice with VAT

47

Operational

Plan

48

Description of PROYOJON’s Operation

Operational Plan:

2013

01-Oct-13Make an appointment witha lawyer for the legaldocuments to form aSuperstore.

Start search for theStore site atMirpur. 02-Oct-13

Talk to a few dealers ofoffice site and collectinformation, then takedecision.

03-Oct-13

Meet the lawyer, learn detailsto setup a Superstore. Takenotes of the requiredinformation that lawyer willneed to fulfill the legalprocedures.

Meet the dealer of theselected shop site. Ask forthe detailed information torent an office, agreementdeals, etc. And finalize thedeal.

04-Oct-13/05-Oct-13

Time spent to gather requiredmaterials for both legaldocuments to create theSuperstore and to make finalagreement of the shop. 06-Oct-13

One of us meets the lawyerand gives the required papersand information. Othersmeet the office site ownerand give the required papersand information.09-Oct-13

49

Besides we will start our market research on our target customers of both the BOPpeople and mid & high income group people with the objective to setup our business inan efficient way. Until and unless we are legally associated we will not be able to make aprofessional market research so we need to wait until we are done with our legal paperworks, which is supposed to be prepared within 3 weeks. In the mean time we will builtour personal contacts and look forward to precede our business.

We rent the shop sitesuccessfully paying theadvance of2 years and signingthe deed of agreement, withthe commitment of handingover the space on 31 Oct’13. 09-Oct-13to 15-Oct-13

One of us will start lookingfor furniture, decorative andother stuffs, for shop setuppurpose and make an order.

27-Oct-13

Legal paper works will becompleted and handed over tous.31-Oct-13

We will be handed over theshop space.01-Nov-13to 14-Nov-13

2 weeks will be required forcleaning, decorating andsetting the office.

Besides we will decide our target market and design thediscount coupons. Design flyers for advertising purpose. Talk to web designer Advertise for recruitment of sales representative, computeroperator, sales person, and accountant.

50

By the end of February, our discount coupons, website & flyers will be ready, andrecruitment procedure will start.

Our entire employee will be hired by 1st of January 2014, and we will startfunctioning officially on the respective date. In the mean time we will promote ourproducts and services to the targeted customers through personal communication andthrough online social networking. The discount coupons will be in the meantimedistributed among the poor and underprivileged people of the Mirpur Area with thehelp of our sales representatives.

Receive authorization from City Corporation.03-Dec-13to 10-Dec-13

17-Nov-13

Apply for permission from CityCorporation. The process will take about3 weeks.

10-Dec-13to 31-Dec-13

Build official contacts with the varioussuppliers, manufacturers and rental carsuppliers.01-Jan-14

We will start operating our business.

51

Flow of Orders for Service

CHECK IN

CHECK OUT UNDERGROUND CARPARKING

CARTSBASKETS

CASHCOUNTER CASHCOUNTER

ELECTRONIC

SSTATIO

NARIES

PERSONAL CA

REHOME

CARE

BABY PRODUC

TSCONFE

CTIONARY

FISH & MEAT

GROCERIES

FROZEN FOODS ANDDAIRY PRODUCTS CustomerArrival

Helped bySalesPersonthroughout theShoppingProcess

Customer Pays at anyone of the Counters

Customer Leavesafter shopping

52

Marketing

Plan

53

Size of the Market:

At the inception of the business, the size of the market will be relatively small. This isbecause this type of social business has never been launched before. Hence, our marketsize will include only the poor and underprivileged people of the Mirpur Area.Customers:

This actually is the most important section of the entire supply chain managementsystem. As we are a social business aimed at helping the poor and underprivilegedpeople, our entire customer section will be divided into two different categories.POOR AND UNDERPREVILEGED MID LEVEL & HIGH LEVEL CUTOMERSThis section includes the poor andunderprivileged that will be using thediscount coupons to shop in our store.They will be allocated 3 days (Sunday-Tuesday) for shopping at our store.

This particular section includes the mid-level and high-level customers who willshop on the remaining 4 days(Wednesday-Saturday). They will betreated as customers are treated in anyother superstores. They will be chargedVAT on all the products that they purchaseat the market price.CUSTOMERS2 segments

POOR ANDUNDERPREVILEGEDServing the socialdimension of ourbusinessMID LEVEL & HIGHLEVEL CUTOMERSShop at market pricewith VAT to provideprofitability

54

The whole social business aspect of our superstore is based on serving the poor andunderprivileged. It is our belief that with this coupon they can purchase their dailyessentials at a discounted rate.

Target Market:

Proyojon Superstore aims at serving the entire pyramid of people. Not only will thebottom of the pyramid, but also the upper and mid class people also be benefitted fromour service. Our expected target market size will be 50000-70000 people at inception.

Segmentation Targeting Positioning

HIGH INCOMEPEOPLEMID INCOME PEOPLE

BOTTOM OF THE PYRAMID-MAIN TARGET GROUP

55

Target Market Segmentation:Our target market is segmented in three segmentations: Geographic, Demographic andPsychographic.The following table shows the target market segmentation of Proyojon Superstore:Bases of

Segmentation

Targeted Segment Characteristics Benefits We Offer

Geographic People of Mirpur andNearby Area Underprivilegedpeople & City Dwellers Providing Their BasicEssentialsDemographic Income – 2 sections Discount CouponUsers (BOP) 20,000+/monthGender – Male & Female

Looking for a goodenvironment andquality products at alow priceGood EnvironmentQuality ProductsLow Price

Psychographic Social Class – 2 sections Bottom of Pyramid Middle to UpperClass

Shops at places thatincreases their statusor match with theirstatusLocation of StoreCustomer Services

Marketing Strategy:Proyojon Superstore aims at serving the entire pyramid of people. Not only will thebottom of the pyramid, but also the upper and mid class people also be benefitted fromour service. So we will have two different marketing strategy for two different type ofcustomers i.e. one type of strategy for middle-class and upper-middle-class customers,and for the poor. For middle-class and upper-middle-class we will offer products withvalue added services at a reasonable price. And for the poor, we will offer specialdiscount coupon up to 50% for selected items that is necessary to lead a healthy life.

56

Marketing Mix-4P’s:"Marketing mix" is a general phrase used to describe the different kinds of choicesorganizations have to make in the whole process of bringing a product or service tomarket. The 4 Ps is one way – probably the best-known way – of defining the marketingmix, and was first expressed in 1960 by E J McCarthy.The 4Ps are:

Product (Service) Price Place Promotion

Products and Services:Proyojon will be offering products and services to the poor people as part of our socialcause as well as it will be offering products and services to middle-class and upper-middle-class people to make it a self-sustaining business model. Keeping that in mind,Proyojon will enter the market with an extensive variety of products and customeroriented value added services to serve the needs of every class of people. It is ourstruggle to understand the customer behavior and gain brand preference of our regularcustomers as well as to serve the needs of the poor. With this in mind we have selecteda diversified range of products and differentiated value added services.Products and services that we will be offering are as follows:Groceries:

Proyojon will provide all types of grocery items toserve every class of people – from poor to rich. Whileproviding these items we will also be focusing on thehealth issue of our customers. Many superstores claimthat they provide fresh groceries but they do not. Wehave had many complaints from customers thatsuperstores do not provide fresh vegetables. Thereforeour target would be to provide fresh groceries by usingjust-in-time inventory. Since most of them are perishable we would dump the rottenitems and ensure that our customers get the fresh groceries possible.

57

Fish, Meat, & Poultry:Fish and meat are very common products in everysuperstore yet we will be providing these productsblended with our special services. We will sellboneless meat; sell different parts of chicken and cow,salt water and fresh water fish, exquisite sea fishesetc.Food and confectionery:Food and confectionery products have alwaysbeen an attraction of every superstore. Thereforewe have come up with an extensive category ofproducts which are sure to fulfill our targetcustomers’ needs as well as the needs of the poor.Our food and confectionery category consists of:

Dried & Canned foods: Canned fish, meat, soup, vegetables, dried fish, meat etc.Gourmet foods: Cheese, Truffles, Mushrooms, Oil & Vinegar, Caviar, SmokedSalmon etc.Bread and Butter: Different butters and breads, jam etc.Frozen foods: Cooked and frozen fish, meats, and different items of frozen foods.Dairy Items: Different flavored milk, skimmed milk, soya milk, eggs, etc.Snacks: Chips, biscuits, crackers, different flavored tea etc.

Drinks and Beverages:We would have separate corners for beveragesand drinks which will have variety items ofsoft drinks, artificial juices, fresh juices, energydrinks etc.Spices and culinary herbs:Our spices and culinary herbs section will containspices and herbs imported from India, Portugal,Spain and other countries. We will collect thesespices and herbs directly from the producers andthus keep the price low by cutting ofintermediaries.

58

Kitchen Utensils & Cutleries:Our kitchen utensils section will consist of importedutensils of brand companies such as; Black &Decker, Miyako, Philips. Besides it will containregular kitchen utensils such as; pressure cooker,saucers, non-stick frying pan, spatula, cookers,cutleries etc.Cosmetics and health products:Our store will hold an exclusive line of cosmeticsuch as L’Oreal, Jordan, Clinique, Body Shop,Johnsons & Johnsons, Mother’s Care, Amway etc.these products will be giving the shop anexclusive yet homely environment, as they are allproducts that are useful to our customers.Electronics:We would have strategic alliance with Rangs Ltdthe sole distributor of Sony, the worldwidefamous brand in electronics. They will provideus with their products we will sell them to ourcustomers, creating a brand image and customervalue.Books and stationary:We will offer a diverse collection of booksfrom well-known international publicationslike; Penguin, Peacock, Pearson, Enid Blyton.Moreover, we will also store nationalpublishers books like; Ananda Publications,Annya Prokash. Also we will sell greetingcards from Azad Products and Ideal Products.Fashion wear and accessories:We will have an exclusive line of fashion wearand accessories which would be directlyimported from places like, Kolkata, Mumbai,

59

Bangkok, China, Pakistan etc. Moreover, we will also try to promote local brands likeDandy, Pride, Grameen Check and others to help themKids & Moms section:This section will hold everything a motherneeds for her child. Moreover, we would sellall the possible products that an expectingmothers need. We would also provide homedelivery services for mothers who areexpecting a baby for free so that they do nothave to go through the problems of shoppingfor their households.HardwareOur hardware section would hold differenttypes of hardware including DIY productswhich is completely new in Bangladesh.**Special Discount Combo Pack:We will provide special discount combo packi.e. a special food basket for the poor peoplewhich will consist of all the necessary fooditems that will provide required amount offood energy (2000 kcal) in minimum amountof money. This can also help regarding theproblem of malnutrition in our country. Thisspecial package combo will also be availableat the discount price during the coupon days.Value Added Services:Spacious Parking Space:There would be a two basement level parking system with full security includingguards, CCTV cameras and the capacity for parking cars. There are many superstores inDhaka who do not provide parking space. Therefore customers having cars have to face

60

hassle while parking their cars on the street. But at Proyojon we ensure a safe andconvenient parking space for our customers so that they can easily park their car.Knowing that their car is safely parked they can shop without worrying about the safetyof their car.Future Prospects:

Home Delivery:

Proyojon will be the first superstore in Bangladesh who would enroll in home deliveryservices to achieve maximum customer satisfaction. As Proyojon knows that shoppingcan be a hassle for some people we have come up with the innovative idea of providinghome delivery services. The home delivery will cover a 5km radius from the shop. Thiswould be a value added service and create a greater brand image and ultimately brandpreference.Online Selling:In addition to home delivery Proyojon will create a website giving our product portfolioand a list of our services. The consumers will be able to purchase their desired productsonline and we will deliver it to them using our home delivery service. We will haveagreements with banks like HSBC and Standard Chartered so that our customers will beable to pay online through credit cards and we can receive the payment as fast aspossible.Pricing:We would have two type of pricing strategy for out two different types of customersegments- one for middle-class and upper-middle-class customers, and other for theBottom of the Pyramid (BOP).

Pricing Strategy for middle-class and upper-middle-class customers:We would apply the Value Added Pricing strategy on all of our products at Proyojon.Our main objective here would be to escape pricing competition and charge similar orslightly lower price than our competitors. This would be possible for us as we wouldreduce our intermediaries and directly receive the goods from our collaborators,

61

therefore reducing the extra cost involved. This would do a really good job indifferentiating Proyojon in the mind our customers, as we not only offer lower prices,but also provide value-added services that will make customers shop frequently atProyojon.

Pricing Strategy for the poor & underprivileged:For the poor people, we will provide special discount coupon up to 50% for certain fooditems so that they can afford to buy nutritious food items. Besides, we will also providea special discount combo (50% discount) consisting of a special food basket that willprovide required food energy necessary for a person to lead a healthy life.Projected pricing for some of the items are given in the following chart:PRODUCTS PRICINGGroceries (perishable & non-perishable)

Rice Najir Rice 45 Tk./kg Minicate Rice 50 Tk./kg Kalijira Polaw Rice 120 Tk./kg Basmati Rice 130 Tk./kg

Wheat 45Tk./kg Garlic (local) 95Tk./kg Onion (local) 55 Tk./kg Onion (Indian) 50 Tk./kg Green Turmeric 40 Tk./kg Ginger 145 Tk./kg Carrot 60 Tk./kg Lemon (kagoji) 5 Tk./pc Lemon (Local) 6 Tk./pc Brinjal (Round) 65 Tk./kg Brinjal (Long) 50 Tk./kg Papaya (Ripe) 180 Tk./kg Tomato (Ripe) 110 Tk./kg

62

Tomato (Indian) 155 Tk./kg Snake Gourd (Chichinga) 25 Tk./kg Rib Gourd (Jhinga) 27 Tk./kg Teasel Gourd (Kakrol) 20 Tk./kg Bitter Gourd (Korolla) 35 Tk./kg Ash Gourd (Chal Kumra) 20 Tk./pc Ladies Finger (Vendi) 30 Tk./kg Cabbage (Badhacopy) 730 Tk./kg Long French Bean (Borboti) 50 Tk./kg Potato (local) 20 Tk./kg Bangi (local) 30 Tk./kg Stem Leaf (Data Shak) 10 Tk./pc Bind Weed (Kalmi Shak) 6 Tk./pc Lettuce 400 Tk./kg Spinach 15 Tk./pc Amloki 140 Tk./kg Lotkon 110 Tk./kg Star Fruit (Kamranga) 45 Tk./kg Tamarind (Tetul) 70 Tk./kg Hogplum (Amra) 35 Tk./kg Apples 150 Tk./kg Malta 175 Tk./kg Metula (Anar) 355 Tk./kg Banana (Ripe, Shagor) 10 Tk./pc Banana (Ripe, Sabri) 7 Tk./pc Mango (Himshagar) 140 Tk./kg Mango (Lakhan Bhog) 65 Tk./kg Guava 100 Tk./kg Coconut 40 Tk./pcFish, Meat & Poultry Chicken (Broiler) 255 Tk./kg

63

Duck 370 Tk./kg Pigeon 105 Tk./kg Beef 280 Tk./kg Mutton

Brain Pcs 55 Tk./pc Front Leg 415 Tk./kg Back Leg 490 Tk./kg Head 100 Tk. each Liver 305 Tk./kg Paya Pcs 15 Tk./pc Rib Chop 510 Tk./kg

Different types of fresh fish Loitta Dry Fish 660 Tk./kg Hilsha Lona FIsh 690 Tk./kg Kachki Dry Fish 690 Tk./kg Mola Dry Fish 630 Tk./kg Chingri Dry (Small) 460 Tk./kg Chingri Dry (Big) 565 Tk./kgFood and Confectionary

Dried& canned foods Gourmet Foods Bread and butter

Bread 600 gm. 70 Tk. Bread 350 gm. 35 Tk.

Frozen Foods Snacks Dairy & Egg Products

Sweet Curd (500 ml) 90 Tk. Borhani (500 ml) 45 Tk. Shakti Yogurt (80 gm) 25 Tk. Egg (12 pcs) 95 Tk.

64

Home CarePersonal CareCosmeticsBooks and StationariesFashion Wear and accessoriesKids and Mom’s SectionElectronics & Hardware* The shaded areas represent the products that are more likely to be attracting theunderprivileged people. These products will have a flat discount rate of 50% during thethree free coupon days.**Special Discount combo pack for the underprivileged:

Recommended Minimum Amount of Money for food (2000 Kcalories, balanced

diet)

Items PricingMilk (regular), 0.25 liter Tk. 15.00Loaf of Fresh White Bread (130.00 g) Tk. 15.39Rice (0.13 kg) Tk. 6.50Eggs (3.60) Tk. 32.71Local Cheese (0.15 kg) Tk. 118.40Chicken Breasts (Boneless, Skinless),(0.25 kg) Tk. 59.20Apples (0.34 kg) Tk. 45.90Oranges (0.34 kg) Tk. 49.33Tomato (0.21 kg) Tk. 12.60Potato (0.25 kg) Tk. 5.84Lettuce (0.15 head) Tk. 4.50Daily recommended minimum

amount of money for food per

person

Tk. 365.37Weekly recommended minimum

amount of money for food per

Tk. 2557.59Discounted Rate:

65

person Tk. 1280Monthly recommended minimum

amount of money for food per

person

(Assuming 31 days per month)

Tk. 11,326.50Flat Discount of 50% applied:Tk. 5665

(Source:http://www.numbeo.com/foodprices/country_result.jsp?country=Bangladesh)This special package combo will also be available at the discount price during thecoupon days. This combo will provide helps to provide 2000 calories, which is abalanced diet. This can also help regarding the problem of malnutrition in our country.Place (Distribution Strategy):The above map shows our stores expected location in Mirpur (Our store is highlightedby the red PSS). This would be our only location for distribution for our first threeyears’ of operations. If we can maintain higher profit, first we will use it to payback theinvestors, after all the investment amount is paid back we will use the profit for furtherexpansion in other areas to serve the poor following the same strategy. At first wewould start with one central warehouse to store our goods in bulk, also located inMirpur, in order to shorten time from the warehouse to the store. We will have fivedelivery trucks for delivering goods from the warehouse to the store. We will use theJust-In-Time inventory management system, to reduce wastage. We will have our ownwebsite so that customers can know our available products and their prices from home.Reason for choosing Mirpur:Vast number of poor population in this area.Besides, this area also has ample amount of middle-class and upper-middle-classhouseholds.Less number of superstores compared to other areas in Dhaka city.Promotion:The promotional activities of “PROYOJON” will be based on both push and pull

strategy. As “PROYOJON” will be selling ‘business to consumer’ products ourpromotional strategy would be pull strategy for our middle-class and upper-middle-

class as we will be attracting our target customers through our promotional campaign

66

which will create brand awareness and ultimately brand preference among ourcustomers. On the other hand, we will use push strategy for our BOP customers as itwon’t be effective to promote out presence through electronic or print media. There willbe direct marketing to our target customers. Apart from that there will be word ofmouth referrals, customer relationship management and online initiatives to promoteour services especially the social cause that comprises it.Moreover, “PROYOJON” is a completely new superstore; our main marketing objectivesare to provide information about its services, increasing sales and differentiate itsservices by creating brand awareness and preference in its first year of operation.Our promotional activities will be exciting and designed in a way to attract the targetcustomers and to help us penetrate the market. With a perfect blend of Advertising,Sales Promotion and Public Relations, “PROYOJON” will try to communicate with itstarget market effectively.The Brand Pyramid:The "Brand Pyramid" is a useful tool to identify whether our customers are on thisjourney to loyalty. In this section, we'll explore how we can use it to increase people'sloyalty to PROYOJON.The figure the shows the five key stages that the customer will go through with oursocial service brand, staring with minimal brand awareness and ending with completeloyalty.

67

Level 1: PresenceAt this level, customers are aware of our social business brand, but little else. Since theyhave not tried our products & services and have no idea regarding it, so they have littleor no emotional attachment to them.Level 2: RelevanceAt this level, customers start to think about whether this brand of superstore meetstheir wants and needs. It's here that they begin comparing the cost of your products &services with respect to the value these provide.Customers begin asking questions like:"Does this brand fit my needs?""Is it in the right price bracket for me?""Is it worth it?"Level 3: PerformanceHere, customers begin comparing the superstore brand with others, to see whether itdelivers on its potential. They're also starting to associate the brand with a specificidentity, and they're beginning to recognize it and associate with it. By now, thesuperstore brand is on the customer's "short list" of brands to choose from.Level 4: AdvantageAt this level, customers have determined that there is a distinct advantage to using thebrand, compared with others. They're also beginning to associate the brand with theiremotions and with their sense of self.Level: 5 BondingHere, customers have established a bond with the brand. They've determined that cost,advantage, and performance are all at levels that they're happy with. They've alsoformed a strong emotional attachment to the brand; the brand has become an integralpart of their self-image. This, in turn, encourages them to exclude other brands in favorof this one. Customers at this level are also likely to be vocal advocates of the brand,which helps build further awareness within their family, social, and professional circles.PROYOJON hopes to achieve the bonding level within a few years of time, as our storewould provide good value for money (reasonable price given the quality of the product)

68

and the biggest advantage is the fact that it addresses a social cause which will attractnot only our target customers but also customers from different spectrum.Push and Pull Strategy:A “push” promotional strategy makes use of a company's sales force and tradepromotion activities to create consumer demand for a product. On the other hand a“pull” selling strategy is one that requires high spending on advertising and consumerpromotion to build up consumer demand for a product.PROYOJON will follow a combination of both Push and Pull strategy that will help usattain the target customers to provide their services with. The push strategy will helpthem take their services direct to the poor customers through direct marketing and faceto face communications. We will send our sales representatives to different slums andlow-income level areas to aware them about our cause and to provide them necessaryitems at discounted prices.Pull strategy will help us to attain middle-class and upper-middle-class customerswhere the customers will be our marketers. Our innovative idea along withadvertisement, mass media promotion, word of mouth referrals and customerrelationship management will help us gain a bigger market and obviously enhance ourpurpose of social business. For these strategies to be implemented, the concept of socialbusiness and undertaking initiatives for the purpose of social development should beproperly conveyed to touch the hearts of people.Advertising:Advertising is one of the major promotional strategy if used effectively can create ahealthy brand image and brand awareness among customers. In later it can also be usedto communicate with the customers effectively about products, services, offerings etc.We will use huge advertising to ensure a bright brand image and create brandawareness among our target customers in a short period of time. For “PROYOJON”advertising will be done to attract middle-class and upper-middle-class customers. Dueto low budget and due to serving only in one particular area initially we will use thefollowing the advertisement mediums for communicating with our target customers.

1. Flyers/leaflets: Flyer is a form of paper advertisement intended for widedistribution and typically posted or distributed in a public place or through the

69

mail. Initially, we will heavily depend on this form of advertisement. Due to lackof budget and area-constraint, electronic or print media won’t be a viable optionfor our store. Rather, we will collaborate with local newspaper distributors andprovide our leaflets with newspapers to reach vast number of customers.Moreover, sales representative will be distributing leaflets from importantpoints.2. Website: “PROYOJON” will have its own website through which we will promoteour brand and social cause to the rich customers. This website would also helpour customers to know about the available products in our store and about otheroffers and services.

Picture: Proyojon Super Store websiteIf we can achieve our Mission 2020 i.e. to setup more outlets throughout Bangladeshthen we would use the following the advertisement mediums for communicating withour target customers.1. Billboards: Billboard is the effective way to advertise our brand and services.Therefore we will put up billboards in the prime locations of Dhaka cityattracting our customers to our superstore.

70

2. Newspaper: Newspaper is such a medium that it is accessible for all kind ofpeople. So we would publish informative and persuasive advertisements aboutour services and products that differentiate from us from our competitors in thetop newspapers of the country.3. Television Media: We would produce television commercials to connect withour target customers emotionally and attract them to our brand by creating ahealthy brand image. Moreover, some of our advertisements will also be basedon our tag line which is ‘Buy big, pay small’. We will follow Madison and Vinetheory in all of our advertisements. We would air these advertisements at timeswhen it will be viewable to most of our target customers such as; advertisementin between evening news as most of the urban people follows the evening news.4. Radio: Radio has fast become a popular entertainment media. Therefore wewould also target this media for our advertisement purpose.

Sales promotion:Sales promotion is an effective strategy to increase sales in a short period of time.Though our concept of social business is quite new, still we would face severecompetition from other superstores’ in case of attracting middle-class and upper-middle-class customers and ensure a share in the market. Besides, without proper salespromotion we won’t be able to aware & attract our main target group i.e. the poorhouseholds to shop from out store. Keeping all that in mind we would use the followingsales promotion measures:1. Discounts: For the BOP customers, we will provide a flat 50% discount oncertain food items. For each family we will provide one “Discount Card” withseparate identification number.For our middle-class and upper-middle-class customers we will providediscounts occasionally to increase sales and attract target customers as a methodof sales promotion.2. Membership: Our customers will have the opportunity to purchase membershipcards and receive discounts all-round the year. In the first years of operation we

71

will provide membership cards to our valued customers or the frequentcustomers.3. Coupons: We will provide our customers with various sales coupons and ‘shopup to 2000 tk.’ coupons to increase our sales and create customer values.

Public Relations:

PROYOJON- Super Store will ensure a strong public relation through the internet and atrained management team. This team will ensure that our promotional campaigns andactivities are done without hurting or affecting the sentiments of any group of people,race or religion. They would help us to meet our social cause and work tirelessly tocreate a healthy brand image in people’s mind. Moreover, they will consider publicopinions, suggestions and criticism and work with it to maintain the brand image andmake it a self-sustainable social business.Promotional Budget:As PROYOJON is an upcoming superstore initially serving in one area only, ourpromotional budget will done in the ‘Affordable Method’. Below is the promotionalbudget for the first five years of operation.Description 2014 2015 2016 2017 2018Flyers BDT 40,000 BDT 30,000 BDT 30,000 BDT 25,000 BDT 25,000Coupons BDT 25,000 BDT 25,000 BDT 30,000 BDT 35,000 BDT 35,000Website BDT 15,000 ___ ___ ___ ___Growth Strategies:Growth strategies provide a model that offers suggestion on where to look for growthopportunities in which the firm may already have a basis for a sustainable competitiveadvantage. As “PROYOJON” is a new entrant in the industry, we look to have acompetitive advantage by analyzing the growth strategies by capitalizing on someaspect of the firm’s knowledge base.

72

Figure: Ansoff Growth MatrixMarket Development:A market development strategy focuses on firm’s existing product in its new markets.Initially, PROYOJON will have only one outlet in Mirpur area. It aims at establishing 5outlets within 2020 in the Dhaka city in areas as- Dhanmondi, Mirpur, Uttara, andRampura and in Chittagong outside Dhaka. The main objective of this organization is tohelp the poor and underprivileged people of the country by establishing financiallysustainable Superstore. To achieve this objective, we need to have more outletsthroughout the country to be able to help the poor and underprivileged people allaround the country. Thus, we need to tap into new areas and new markets for futuregrowth of our social business.

73

Organizational

Plan

74

Identification of Investors and Management team

Our Company has four Investors. Identifications of them given below1. S.M. Sifat Jamil2. Summaiya Barkat3. Nishath Quamrul4. Kasema SadequeRoles and responsibilities of Investors

All the investors, who are also part of the management team will be in charge ofconducting of business. They will be in charge of executing the production plan of thebusiness in their respective areas.

Roles of theInvestors

S.M. SIFAT JAMILChief Executing

Officer

SUMMAIYABARKAT

Chief FinancialOfficer

NISHATHQUAMRUL

Chief MarketingOfficer

KASEMASADEQUE

Chief OperatingOfficer

75

Human Resource Strategy:Human Resources Management (HRM) is actually combination of various activities;some of which are- deciding of staffing recruitments, hiring the right and eligibleemployees, recruiting and training the best possible employees. The Human ResourcesManagement (HRM) department of a company deals with finding, screening, recruitingand training job applicants, as well as administering employee-benefit programs. HRMis also responsible for getting the best out of the employees obviously withoutexploiting them.Proyojon Superstore is a service base business. The key success of a service basebusiness is to offer best product to customers and to offer best service the bestemployees is must. For any service business the success of the business basicallydepends on the employees because employee’s way of presentation is most importantto gain or capture the market. Best employees can be maintained only one way: well-planned human resource management of the company. It is also necessary for us tocreate such an environment so that the employees take pleasure in working at ProyojonSuper Store.At Proyojon we will mainly be focusing on the following key aspects of HRM:1. Effectively supervising and operating people.2. Trying performance appraisal and compensation to competencies.3. Developing competencies that enhance individual and organizationalperformance.4. Increasing new and attractive packages and also increasing creativity andflexibility necessary to enhance competitiveness.5. Applying new approaches to work process design, succession planning, careerdevelopment and inter-organizational mobility.6. Managing the implementation and integration of technology through improvedstaffing, training and communication with employees.

76

Staffing Plan & Requirements:We, the four investors are also part of the management team. Since, this is a socialbusiness; we will not be entitled to any profit the business will make. We can obtain ourtotal initial investment in 2 ways. We can either take monthly payment of salary untilthe total investment is realized. Otherwise, we can withdraw the salary in the form ofinvestment refund, which is shown in details in the Owner’s Equity Statement in theFinancial Plan.Along with the investors there are 7 types of employees in.Office Staff

Job Title No. of Employees Salary (BDT) Total (BDT)

Manager 1 20,000 20,000Sales Representative 5 40,000 40,000Sales Person 15 1,20,000 1,20,000Security Guards 2 15,000 15,000Accountant 2 15,000 15,000Cleaner 3 6,000 6,000Cashier 2 (Permanent) 10,000 10,000Total 211,000

77

Cashier

ManagerAccountant

Recruitment

SalesRepresentativ

e

Cashier

Cleaner

Accountant

Sales Person

Organizational Hierarchy

CEO CFO CMO COO

SalesRepresentativ

e

Sales PersonAccountant

78

Selection & Recruitment Process:The success of any business is based on to serve the customers beyond expectation. AtProyojon, we believe in team work. Our key focus will be on building a team of highperforming individuals who will contribute towards our social goal of serving the poor.As a result, Proyojon will also emphasize on the employees’ efficiency in serving theBOP and other customers pleasingly while providing the service. Our BOP customersshould get priority at every stage. This can be ensured only if the employees areproficient and well experienced in their jobs.The HR Planning department will be carrying out the following functions:1. Recruitment2. Training3. Compensation4. Performance AppraisalRecruitment:Since Proyojon is a startup company so we will initially go for employee recruitmentthrough advertisement in internet and newspaper. After receiving job applications frompotential candidates, short listed suitable candidates will be called for interview. Theseshort listed applicants would appear in an interview conducted by all the heads ofdifferent functional departments. The interviews will focus on the candidates’ ability tomeet company requirements and responsibilities. Candidates who pass the interviewwill be appointed at Proyojon for a probationary period. At Proyojon the probationaryperiod for officers will be three months. After the probationary period, the employeegets a permanent contract.Training:In order to serve our purpose as a social business enterprise and serve the poor peopleof the community, it is extremely essential that each and every employee is well-trained.Firstly, the sales representatives will be provided the training to communicateefficiently with the BOP people and how to interact while distributing the discountcoupons. The investors will play the key role while coupon distributions to make surethat the poor people are convinced to come and shop at out store. The sales

79

representatives will be trained to help the investors in this particular area. O0n theother hand, the sales person will be given training on helping the poor people help shopand use their discount coupon when they visit our shop.Compensation:Our compensation package will be the same as other companies offer for the sameposition. However, we will try to add some extra elements to it to make it moreattractive. For examples, for any sales representative, 8,000/= taka is the basic pay.Besides, they will be provided with extra compensation with the use of every couponthey have helped distributing. We will give our employees annual increments but therate will be decided by the top management. In addition to this, we will also give ouremployees festival bonuses. This is another benefit that not many private companiesprovide. Moreover, we will also recognize high performing individuals and give themperformance bonus. Finally, employees will get intrinsic rewards by working atProyojon. We will give them job security so that they can apply their total concentrationon their performance.Leave & Holydays:

Festival Holiday:Every employee of the store shall be allowed at least seven days’ festival holidays withfull wages in a year. The bonus will be given in full on any one of the eids/pujas of theyearCasual Leave:Every employee will be entitled to casual leave with full wages for ten days in a year.However, the employee cannot take more than three days of casual leave at a time. Thisrule only applies to office employees. Driver, security guards, and cleaners &deliveryman will not be given that relaxed casual leave.

80

Sick Leave:Every employee will be entitled to sick leave with full wages for a total period offourteen days in a year. This leave will be permitted only when a doctor certifies it. Allthe above leaves are en-cashable, however only at the completion of one year ofemployment with the firm. The leaves are transferable to the next fiscal year. However,28 or more leaves stocked up over the years will lose the privilege of encashment. Thisis to encourage employees to take leave within two years and not take undue advantageof such bonuses.Clothes:The salespersons have to wear white shirts and black pants with black tie (male) or,black n white saris (female). Security guards have to wear uniform provided by securityguard providing companies.Performance Appraisal:

The evaluation at Proyojon will be based on 360degree performance evaluation.Managers will be motivated by giving certain amount of increment on basis of theirperformance, ability to communicate with BOP buyers, suppliers, informationrecording, and honesty. How they contribute on marketing concepts, which will also bea factor of getting appraisal. Interior designers will get surprise bonus if they couldattract a certain number of customers by their innovative ideas of decorating home.Salespersons will get a certain percentage of profit on sales, if they could sell a givenunit of sales. Assessment of employee performance from every aspect will make themmore responsive to the extent of the responsibilities and requirements to fulfill those.Structural Implications:Proyojon is basically a relatively small superstore that does not require too manyemployees. It is not as huge and big as Meena Bazaar, Agora or Nandan. Hence, we willalso have a simple structure. As a result, our HRM strategies will be very straightforward, focused and simple. As a result, our decision making will be highly centralized.

81

Decisions will be taken at the top levels and disseminated to lower levels. The span ofcontrol is going to be moderate to low in the firm.Expectations:Proyojon being a new company and one of its kinds in the social business arena, hashigh expectations from its employees. The reason is simple - as employee performanceand competence to serve customers will determine sales for the company. Thus, theProyojon employees should be highly efficient at their work. Proyojon expects thewhole staff starting from lower level to the top most level to work sincerely andhonestly for the best interest of serving the underprivileged. They must align theirbehavior, thinking and attitude with the company’s objectives. Otherwise, attaininglonger term goals will become difficult. They must also exhibit respect to peers andmaintain professional relationships with them. They should refrain from internalpolitics and promote cooperation and team work.Finally, the employees should realize the fact that they must share a mutualunderstanding with Proyojon. They must work to the best of their abilities to serve inthe best interest of the company. We depend on them as much as they depend on us.This interdependence relationship should be valued at all times and it will transformthe company into the leading Superstores of Bangladesh as well as serve the poorpeople of the community. Such relationship is the key to make Proyojon Superstorebuild a unique image and market position of its own.

82

Assessment

of Risk

83

Risk Analysis:

1. Unforeseeable risk:

Any instantaneous sudden modification in government plan about thesetypes of business.Uncontrollable natural mishap like- Fire, earthquake or other naturalcalamities may occur and can hamper our operation.Economic recession may occur and hamper overall income level.If there is any instantaneous trend change like- people prefer to shopfrom KACHA BAZAAR instead of superstore, then this can be a greatchallenge for our business.

Creadit risk

Natural orUncontralable risk

Political risk

Risk as a NewEntransce

Lack ofCustomers

RiskMarket

Risk

unforseeable

risk

84

2. Market Risk:

Though it is said that superstore business is booming now-a-days but inthe true sense this business has to struggle a lot to survive because themain target group is the BOP people. So, in that case, if the existingdemand changes tremendously over the time, this can create a great riskfor our business.In addition to that, different external environmental causes like politicaland legal issues may results in highly risky market situation. For example,growing inflation can increase the cost of the Superstore, which is a veryhigh risk for our business.3. Lack of customer risk:To attract and lure the poor people to use the discount coupons will be avery difficult task to accomplish. This is because the poor would ratheraccept money instead of some sort of discount coupons to a superstore.Since the shop will be open to general public for only 4 days, it might limitthe number of customers.4. Risk as a new entrants:For any types of business this risk, the risk as a new entrants exists. So,it’s not different to us.The risk as new entrants is quite high as because this is totally newexperience for us.Those who are new in this type of business are very much prone to face alot of troubles.5. Political risk:It is undoubtedly true that the political situation in this country is verygrimy and that’s why this country’s political environment is veryunpredictable.

85

Any instantaneous sudden modification in government plan about thesetypes of business.6. Natural or Uncontrollable Risk:Uncontrollable natural mishap like- Fire, earthquake or other naturalcalamities may occur and can hamper our operation.7. Credit Risk:For our business purpose will we take loan of 25,00,000 TK on 17% interest rate for 2years. Each year we have to pay TK. 745,577 to the bank. So if we face any loss it will bevery difficult to pay of the debts on time.

86

Financial Plan

&

Sustainability

87

Assumptions

General Assumptions: To initiate PROYOJON Superstore, all four business partners will each invest TK2,000,000(2 crore) totaling TK 8,000,000 (80 lakhs), investment of TK 4,500,000 (45lakhs) from Angel Investors, loan of 2,500,000 from Agrani Bank Limited, andrest 5,000,000 lakh will be collected from CSR Funds of the multinationals forour business. We will rent a 5000 sq. ft. shop space with advance payment of TK 1,200,000 (12lakhs) and monthly rent of TK 50,000, which will be increased by 7% from the year2017. Cost of Sales is 55%, and the gross margin is 35% (Consolidated). Among our other fixed assets will include IPS, ACs, Computer & Equipment, shelves& carts. Our employees will include- Manager, Accountant, Sales Persons, Cleaners, andSales Representatives.

Revenue & Cost Assumptions:

Cost of equity is 11.50% as Bangladesh Govt. Treasury Bonds of 5-years provides aT-bill of 11.50% Cost of Debt is 17%; As SME loan from Agrani Bank Limited requires 17% interest,we have calculated our loan schedule on that basis. Fixed assets will be depreciated using straight line method. Loan amortization is scheduled monthly and calculated for 5 years. Cost of sales will increase by 7% in after first 3 years of business assuming theinflation rate to be 7.22%. Tax rate is assumed to be 0% as our business’s objective fulfills all the aspects ofSocial Business. Value Added Tax is 15% From the 4th year invested amount will be refunded, i.e. 7% of investment will berefunded on 4th year, 10% on 5th Year.

88

Capital Investment Chart:

Financial Structure:

PARTICULARS DESCRIPTION TOTAL COSTPayment in Advance for Office 5000 sq. feet for 2 years 1,200,000Decoration 100000Air Conditioning 6 split A/C Whirlpool 600000Computer Dell Desktop Computer 250000Printer & Card Machines HP-2 20000Telephone 3 4500Telephonhe line 3 15000Mobile Set 10 20000Water Purifier Pure It-1 4000Shelves 25 mid sized shelves 650000Carts & Baskets 50 carts, 50 baskets 275000Freezers 2- Walton- Tk 120000 each 240000Warehouse Lease Tk. 50000 for 2 years 100000Promotion and Advertisement Flyers, Coupons, Internet Advertisement, Website 50000Security Deposit 2000000TOTAL 5,528,500INVENTORY 10,000,000CASH IN HAND 4,471,500

CAPITAL INVESTMENT

Equity 8000000Angel Investors 4500000Bank Loan 2500000CSR 5000000TOTAL 20000000EQUITY COST 11.50%COST OF DEBT 17%

FINANCIAL STRUCTURE

Loan Amount BDT. 2500000Interest Rate 17%Length 5 years

Number of Payments 60Monthly Payments 62131Total Principal Paid 2500000Total Interest Paid 1227886Total Paid 3727886

89

Loan Amortization Schedule:

Beginning Balance Loan Payment Interest Principal Amount of Payment Ending Balance

Jan 2500000 62131 35417 26715 2473285Feb 2473285 62131 35038 27093 2446192Mar 2446192 62131 34654 27477 2418715Apr 2418715 62131 34265 27866 2390849May 2390849 62131 33870 28261 2362588Jun 2362588 62131 33470 28661 2333926Jul 2333926 62131 33064 29067 2304859Aug 2304859 62131 32652 29479 2275379Sep 2275379 62131 32235 29897 2245482Oct 2245482 62131 31811 30320 2215162Nov 2215162 62131 31381 30750 2184412Dec 2184412 62131 30946 31186 2153226Jan 2153226 62131 30504 31627 2121599Feb 2121599 62131 30056 32075 2089524Mar 2089524 62131 29602 32530 2056994Apr 2056994 62131 29141 32991 2024003May 2024003 62131 28673 33458 1990545Jun 1990545 62131 28199 33932 1956613Jul 1956613 62131 27719 34413 1922200Aug 1922200 62131 27231 34900 1887300Sep 1887300 62131 26737 35395 1851905Oct 1851905 62131 26235 35896 1816009Nov 1816009 62131 25727 36405 1779604Dec 1779604 62131 25211 36920 1742684Jan 1742684 62131 24688 37443 1705241Feb 1705241 62131 24158 37974 1667267Mar 1667267 62131 23620 38512 1628755Apr 1628755 62131 23074 39057 1589698May 1589698 62131 22521 39611 1550087Jun 1550087 62131 21960 40172 1509915Jul 1509915 62131 21390 40741 1469174Aug 1469174 62131 20813 41318 1427856Sep 1427856 62131 20228 41903 1385952Oct 1385952 62131 19634 42497 1343455Nov 1343455 62131 19032 43099 1300356Dec 1300356 62131 18422 43710 1256646Jan 1256646 62131 17802 44329 1212317Feb 1212317 62131 17174 44957 1167360Mar 1167360 62131 16538 45594 1121767Apr 1121767 62131 15892 46240 1075527May 1075527 62131 15237 46895 1028632Jun 1028632 62131 14572 47559 981073Jul 981073 62131 13899 48233 932840Aug 932840 62131 13215 48916 883924Sep 883924 62131 12522 49609 834315Oct 834315 62131 11819 50312 784003Nov 784003 62131 11107 51025 732978Dec 732978 62131 10384 51748 681230Jan 681230 62131 9651 52481 628750Feb 628750 62131 8907 53224 575525Mar 575525 62131 8153 53978 521547Apr 521547 62131 7389 54743 466804May 466804 62131 6613 55518 411286Jun 411286 62131 5827 56305 354981Jul 354981 62131 5029 57103 297879Aug 297879 62131 4220 57911 239967Sep 239967 62131 3400 58732 181235Oct 181235 62131 2567 59564 121671Nov 121671 62131 1724 60408 61263Dec 61263 62131 868 61264 0TOTALS 3727886 1227886 2500000

2017

2018

Loan Amortization20

1420

1520

16

90

Fixed Asset and Depreciation:

Expenses:

FIXED ASSET COST YEAR PER MONTH PER YEARDecoration 100000 10 833.3333333 10000Air Conditioning 600000 10 5000 60000Computer 250000 5 4166.666667 50000Printer & Card Machines 20000 5 333.3333333 4000Telephone 4500 5 75 900Telephonhe line 15000 20 62.5 750Mobile Set 20000 5 333.3333333 4000Water Purifier 4000 5 66.66666667 800Shelves 650000 10 5416.666667 65000Carts & Baskets 275000 10 2291.666667 27500Freezers 240000 15 1333.333333 16000TOTAL 2,178,500TOTAL DEPRICIATION 19,913 238,950

FIXED ASSETS AND DEPRECIATION

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5238950 477900 716850 955800 1194750

ACUMULATED DEPRECIATION

Operating Expenses: Monthly Yearly Monthly Yearly Monthly Yearly Monthly Yearly Monthly Yearly

General& Administrative Expenses:

Office Rent 50000 600000 30000 360000 32100 385200 32100 385200 34347 412164

Service Charge 20000 240000 5000 60000 5350 64200 5350 64200 5725 68694

Utilities & Maintenance 10000 120000 12000 144000 12840 154080 13738.8 44940 14701 176406

Electricity Bill 50000 600000 50000 600000 53500 642000 57245 192600 61252 735026

Depreciation 19913 238950 19913 238950 19913 238950 19913 238950 19913 238950Salary Expenses:

Manager 20000 240000 20000 240000 21400 256800 21400 256800 22898 274776

Sales Representative (5) 40000 480000 40000 480000 42800 513600 42800 513600 45796 549552

Sales Person(15) 120000 1440000 120000 1440000 128400 1540800 128400 1540800 137388 1648656

Security Guards(2) 15000 180000 15000 180000 16050 192600 16050 192600 17174 206082

Accountant 15000 180000 15000 180000 16050 192600 16050 192600 17174 206082

Cleaner 2000 24000 2000 24000 2140 25680 2140 25680 2290 27478Total Salary Expense 212000 2544000 212000 2544000 226840 2722080 226840 2722080 242719 2912626Total General& Administrative Expenses: 361913 4342950 328913 3946950 350543 4206510 355186 3647970 378655 4543866Promotional Expense:

Flyers 40000 30000 30000 25000 25000

Coupons 25000 25000 30000 35000 35000

Website Development 15000 0 0 0 0Total Promotional Expense 80000 55000 60000 60000 60000Total Operating Expenses 361913 4422950 328913 4001950 350543 4266510 355186 3707970 378655 4603866

2018Year 3 Year 4 Year 5

2014Year 1

2015Year 2

2016 2017

91

Consolidated Income Statements (5 Years):

Analysis:The Consolidated Income statements reflect our basic expectations, projections andforecasts. We have projected sales (breakdown included in the Excel File). We havebased our forecasts on primary and secondary research.

2014 2015 2016 2017 2018SALES 9500000 10450000 11599500 12991440 14680327VAT(15%) 1425000 1567500 1739925 1948716 2202049NET SALES 8075000 8882500 9859575 11042724 12478278COGS 4441250 4885375 5422766 6073498 6863053GROSS PROFIT 3633750 3997125 4436809 4969226 5615225EXPENSESUtilities & Maintenance 120000 144000 154080 44940 176406.192Electricity Bill 600000 600000 642000 192600 735025.8Depreciation 238950 238950 238950 238950 238950Salary Expense 2544000 2544000 2722080 2722080 2912625.6Total Promotional Expense 80000 55000 60000 60000 60000TOTAL OPERATING EXPENSE 3582950 3581950 3817110 3258570 4123008EBIT 50800 415175 619699 1710656 1492218Interest Expense(17%) 398805 335035 259540 170161 64347

NET INCOME -348005 80140.1031 360159.201 1540494.57 1427870.58

PROYOJON SUPERSTORECONSOLIDATED INCOME STATEMENT

FOR THE YEAR ENDED

92

Consolidated Owner’s Equity Statements (5 Years):

Consolidated Cash Flow Statements (5 Years):

Analysis:The cash flow projections reflect our basic expectations, anticipation and forecasts. Wehave complied with our workings and income statement and were able to project ourcash flows.Our operating profit is calculated by adding depreciation expenses and interestexpenses to the annual net profit. The Cash flow projections are broken down into theuniversal format. It’s divided into Operating activities, financing activities and Financingactivities.Our operating activities are based on the consolidated income statements andconsolidated balance sheet. Our investing activities reflect the primary investmentsregarding the equipment.

2014 2015 2016 2017 2018

Beginning Retained Earnings 0 -348005 -267865 92294 1072789Add: Net Income -348005 80140 360159 1540495 1427870.6

-348005 -267865 92294 1632789 2500659Less: Investment Refund 0 0 0 560000 800000Ending Retained Earnins -348005 -267865 92294 1072789 1700659

PROYOJON SUPERSTOREConsolidated Owner's Equity Statement

For the Year Ended

2014 2015 2016 2017 2018Earnings Before Interest & Tax (EBIT) 3633750 3997125 4436809 4969226 5615225Add: Depreciation 238950 238950 238950 238950 238950EBITDA 3872700 4236075 4675759 5208176 5854175Total Free Cash Flows 3872700 4236075 4675759 5208176 5854175

PROYOJON SUPERSTOREConsolidated Cash Flow Statement

For the Year Ended

93

Consolidated Balance Sheets (5 Years):

Analysis:The consolidated balance sheet reflects our basic expectations, projections andforecasts regarding Assets, Liabilities and Owner Equity. We have complied with theincome statements and the cash flow projections and have constructed consolidatedbalance sheets. We will be operating under general accounting principles andguidelines.

2014 2015 2016 2017 2018

Current AssetsCash in hand 4471500 1276000 2385765 2456005 2234500Inventory 10000000 12395500 13767050 14836500 14997650Other Current Assets 2315337 2882175 987580 591051 841514Total Current Assets 16786837 16553675 17140395 17883556 18073664

Long-Term AssetsFixed Assets 2178500 2178500 2178500 2178500 2178500Less: AccumulatedDepreciation 238950 477900 716850 955800 1194750Total Long-Term Assets 1939550 1700600 1461650 1222700 983750Variations 578834 720544 246895 147763 143245Total Assets 19305221 18974819 18848941 19254019 19200659

Long-Term LiabilitiesBank Loan 2500000 2153226 1742684 1256646 681230Repayment of Loan 346774 410542 486038 575416 681230Total Long-Term Liabilities 2153226 1742684 1256646 681230 0

EquityAngel Investors 4500000 4500000 4500000 4500000 4500000Paid-In Capital 8000000 8000000 8000000 8000000 8000000Retained Earnings -348005 -267865 92294 1072789 1700659Total Equity 12151995 12232135 12592294 13572789 14200659CSR Fund 5000000 5000000 5000000 5000000 5000000Total Liabilities & Equity 19305221 18974819 18848941 19254019 19200659

LIABILITIES & EQUITY

ASSETS

PROYOJON SUPERSTORECONSOLIDATED BALANCE SHEET

AS AT 31ST DECEMBER

94

Break-Even Analysis:

The break-even is expected to be achieved within 3 and half years for this business.

Sustainability Analysis:

**Detailed calculation of all the ratios is available in the Excel Worksheetprovided.

2014 2015 2016 2017 2018 TotalSales 9500000 10450000 11599500 12991440 14680327 59221267Variable Costs 3582950 3581950 3817110 3258570 4123008 18363588Contribution Margin 5917050 6868050 7782390 9732870 10557320 40857680Fixed Costs 2178500 2178500 2178500 2178500 2178500 10892500

31%10892500

35127540Break-Even Point in BDT

BREAK-EVEN ANALYSIS

Contribution Margin RatioTotal Fixed Costs

2014 2015 2016 2017 2018Inventory Turnover Ratio 0.44 0.39 0.39 0.41 0.46Debt-Equity Ratio 0.18 0.14 0.10 0.05 0.00Net Profit Margin -0.04 0.01 0.03 0.12 0.10ROA -0.02 0.00 0.02 0.08 0.07ROE -0.03 0.01 0.03 0.11 0.10

95

Inventory Turnover Ratio: Cost of goods sold/Inventory

Interpretation:

As it can be seen in the above graph, the number of times that the inventory will beneeded to be replaced in a year is decreasing gradually until 2018, where it is expectedto see a rise in the inventory turnover ratio. A plausible reason for that could be the factthat during the beginning of the business, the capacity for the storage of the inventorywill be less, and the sales are expected to be moderate to high in comparison to theinventory that needs to be purchased, however, gradually, with the rise in the sales ofthe business, it is expected that the business will see expansion, in terms of the numberof inventory it purchases at one go, or the number of inventory that it can store in itspremises leading the rise in the regular number of inventories purchased at one go,leading to the fall of the turnover ratio in the middle.

0.360.380.400.420.440.460.48

2014 2015 2016 2017 2018

Inventory Turnover Ratio

Inventory TurnoverRatio

96

Debt-to-Equity ratio = Total Debt / (Total Debt + Total Equity)

This ratio indicates the company’s capital structure.

Interpretation:

As portrayed above, the debt to equity is forecasted to see a fall in the next four years.The obvious reasons behind this fall would be the decrease in the equity pressure overthe following years when the investors will be gradually given back their share ofinvestment at the same time, the business will stop relying on the equity as heavily itwould initially.

-0.020.000.020.040.060.080.100.120.140.160.180.20

2014 2015 2016 2017 2018

Debt-Equity Ratio

Debt-Equity Ratio

97

Net Profit Margin = Net Profit / SalesThis ratio shows how much net profit the company makes due to every unit of sales.

Interpretation:

The beginning of the journey of this business is expected to see negative net profitmargin due to the lack of awareness on the lack of confidence created among the BOP(bottom of the pyramid) people about the benefits of shopping from this superstore,however, gradually, as the years pass by, and so does the implementation of themarketing strategies of the business, sales will see a rise. In addition to that, animprovement of relationship with the suppliers will also enable bulk buying and othersuch advantages which will further cause the rise in the net profit margin.

-0.050.000.050.100.15

2014 2015 2016 2017 2018

Net Profit Margin

Net Profit Margin

98

RETURN ON ASSETS= (Net Income / Total Assets) * 100This ratio shows how much net income the company is earning due toevery 1 Taka worth of total asset.

Interpretation:

The return that the business will expect to earn in the first few years will be lesscompared to the total investment that they will be making on the assets for the startupof the company. However, gradually, with certain level of rise in the efficiency with theuse of the assets as well as the above expected rise in the sales of the business due to thereasons mentioned above, there is a high chance that the returns on assets wouldincrease.

-0.04-0.020.000.020.040.060.080.10

2014 2015 2016 2017 2018

RETURN ON ASSETS (ROA)

ROA

99

RETURN ON EQUITY = (Net Income / Total Equity) * 100The ratio suggests that for each taka of equity how much the owners aregaining as revenue.

Interpretation:

The equity that is applied at the beginning the business will, quite naturally be muchhigher than the amount of returns that the business can expect to receive during thebeginning phase of the business administration. However, gradually, as the returns areexpected to raise, the ratio, or the proportion of it compared to the equity applied intothe business will rise, giving the company a hope for a rise in the curve of return onequity. However, after 2017, there seems to be a fall, in which case, it is expected thatother businesses of similar nature might open up in the marketing giving a goodcompetition to it.

-0.04-0.020.000.020.040.060.080.100.120.14

2014 2015 2016 2017 2018

RETURN ON EQUITY (ROE)

ROE

100

PAYBACK PERIOD:

Interpretation:The Proyojon Superstore has a payback period of 3.6 years.Based on all the above ratios calculated, it can be commented that the social businessventure is financially sustainable in the future.

Conclusion:Given the thorough financial analysis, we can come to the conclusion that if this wholebusiness is set up in the manner in which it has been designed in the plan, it would leadto the creation of a sustainable, yet, efficient means to help not only the poor of thesociety attain a better standard of living, but also the government who often seem to beunable to extend the facilities that are being enjoyed by the upper and middle classpeople of the societies to the poor as well. When the poor become less reliant on therich for monetary benefits, they will tend to be able to find their own means to be ableto effectively utilize what little money they get in earning for themselves, a better way ofliving.

Initial Investment 15528500Avg. Cash Inflows 4769377Payback Period 3.26

PAYBACK PERIOD

101

References

102

ReferencesBangladesh Bank (2012), “Bangladesh Bank Economic Report”, Published bythe Bangladesh Bank, Dhaka, Bangladesh.Rahman, M. & Khan, T. U. (n.d.). Social marketing: A success story in Bangladesh, pp. 4-8.Dhaka, DC: Author.Saunders, J. (2001). “Quantitative methods in marketing”, in Baker, M.J. (Ed.),The IEBM Encyclopaedia of Marketing, Thomson, London, pp. 85-99.Sekaran, U., (2000), “Research Methods for Business-A skill- Business Approach”,Third Edition, Hermitage Publishing Services.Socia Business. (n.d.). Retrieved from Yunus Center website:http://www.muhammadyunus.org/index.php/social-business/social-business.The Social Business Concept. (n.d.). Retrieved from The Grameen Creative Lab website:http://www.grameencreativelab.com/a-concept-to-eradicate-poverty/the-concept.html.The Social-Business Revolution. (2013, January 21). Project Syndicate. Retrieved fromhttp://www.project-syndicate.org/commentary/how-social-business-can-resolve-systemic-problems-by-muhammad-yunusWhat is Social Business. (n.d.). Retrieved from Social Business Earth website:http://socialbusinessearth.org/definition/Online Sources (Bibliography):1. Ryans Computers website for prices of computer accessories(http://www.ryanscomputers.com/)2. Meena Bazaar website (http://www.meenabazar.com.bd/)

103

Appendices

104

Appendix-1

105

FIG: PROYOJON SUPER STORE Discount Coupon for the poor and underprivileged.

FIG: Facebook Fan Page of PROYOJON SUPER STORE

106

FIG: PROYOJON SUPER STORE flyer design.

FIG: PROYOJON SUPER STORE Website Design

107

Appendix-2

108

Pictures of our meeting with some poor and underprivileged people.

109