SUPERSTORE social Business

8/14/2019 SUPERSTORE social Business

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PROYOJON SUPER

STORE

GROUP MEMBERS: ID:

SUMMAIYABARKAT 101 0008 030

NISHATH QUAMRUL 093 0483 030

S.M. SIFAT JAMIL 101 0338 530

KASEMA SADEQUE 101 0154 030

PREPARED FOR: MR. FA ISAL

WALI

BUS 401.4

NORTH SOUTH UNIVERSITY

BBA DEPARTMENT


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THE BIG IDEA:

Establish a Superstore

Provide discount coupons to the BOP people (50% discount on

basic essential food items) BOP people can shop from Sunday-Tuesday

Mid & High Income people shop from Wednesday-Saturday

PROYOJON SUPER STORE


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Vision:

Serve the underprivileged people of the community by providing

them discount to purchase their daily essentials and establish the

brand


Mission:Facilitate as a shopping destination where there exists no

boundary of social class. Thrive to become a trustworthy food

supplier of the nation and thus spread our social dimension in

all spheres of Bangladesh.


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Apply ing th e tr ium virate framework o f Socia l Business,

3Ps:

PEOPLE-poor people in

Mirpur Area

PROCESS- convincethe poor to shop from

Proyojon

PLATFORM- improvingthe quality of life: health

& hygiene


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INDUSTRY ANALYSIS- SWOT

STRENGTH

Social DimensionWell trainedEmployeesJust-in-timeInventory

WEAKNESS

PromotionalBudget

Insufficient Funds

OPPORTUNITIES

Untapped MarketStore Brand

THREAT

CompetitionPolitical Unrest


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AGORA

NANDAN

MEENA BAZAAR

SHOPNO

PRINCE BAZAAR

OTHERS

INDUSTRY ANALYSIS-COMPETITORS

Agora37%

Nandan11%

Meena

Bazaar22%

Shopno11%

Prince

Bazaar4%

Untap Market15%

Market Share of Competitors


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INDUSTRY ANALYSIS-PORTERS 5 FORCES

Threat of NewEntrants-LOWHigh entry cost

Threat ofSubstitutes-LOWSocial dimension

Bargainingpower of

Suppliers-HIGHOther

Customers

Bargaining Powerof Customers-MODERATE

Other suppliers

Intensity ofRivalry-HIGH

High Exit Barriers


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COMPANY LOCATION


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PRODUCTION PLAN

Needs to be sustainableas well as

effective, serving rightfully to thevision of the business.

Strategy: Reduce intermediariesas muchas possible.


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PRODUCT STOCK FLOWS FROMSUPPLIERS TO CUSTOMERS


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SUPPLY CHAIN MANAGEMENT

IN DETAIL


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WHO ARE OUR SUPPLIERS?

Offer to customers assortedtypes of products starting

from basic home necessities like saltand riceto high end

premium brand luxury goods.

Strategy:

Diversifyand provide more choices for the regular customers tomake up for discounts provided on necessities to the poor.


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WHO ARE OUR SUPPLIERS?CONTD

1. Remote village markets

2. Whole sale markets

3. Manufacturing companies

4. Proyojons product Offerings


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ULTIMATE SUPPLY CHAINMANAGEMENT PICTURE


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HOW WILL THE RETAILSTORES LOOK?


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COLOR INDICATORS


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MACHINERIES ANDEQUIPMENTS


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OPERATIONAL PLAN 2013


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FLOW ORDER OF SERVICES


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MARKETING PLAN-CUSTOMERS

CUSTOMERS

2 segments

POOR ANDUNDERPREVILEGED

Serving the socialdimension of our

business

MID LEVEL & HIGHLEVEL CUTOMERS

Shop at market pricewith VAT to provide

profitability


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MARKETING PLAN- STP

Segmentation Targeting Positioning


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STP- SEGMENTATION

People of Mirpur area andnearbyGeographic

Discount coupon users(BOP)

20,000+/monthDemographic

(Income)

Bottom of Pyramid

Middle to upper class

Psychographic

(Social Class)


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STP- TARGETING

HIGH INCOMEPEOPLE

MID INCOME PEOPLE

BOTTOM OF THE PYRAMID

-MAIN TARGET GROUP


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STP- POSITIONING

A shopping destination where there

exists no boundary of social class.

Our slogan: Apnar proyojone amra


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MARKETING MIX- 4PS

Extensive variety& value added

services

Special discountcombo pack

ProductMiddle to upperclass- Valueadded pricing

strategy

Poor &underprivileged-flat 50% discounton certain items

Price


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SPECIAL DISCOUNTCOMBO PACK

Items PricingMilk (regular), 0.25 liter Tk. 15.00Loaf of Fresh White Bread (130.00 g) Tk. 15.39

Rice (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. 59.20

Apples (0.34 kg) Tk. 45.90Oranges (0.34 kg) Tk. 49.33Tomato (0.21 kg)

Tk. 12.60

Potato (0.25 kg) Tk. 5.84Lettuce (0.15 head) Tk. 4.50Daily recommended minimum amount of

money for food per personTk. 365.37

Weekly recommended minimum amount of

money for food per personTk. 2557.59

Discounted Rate:

Tk. 1280Monthly recommended minimum amount

of money for food per person

(Assuming 31 days per month)

Tk. 11,326.50

Flat Discount of 50% applied:

Tk. 5665

Balanced diet(2000 kcal)

Market price:11,326.50Tk.

Discounted

price: 5665Tk.


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MARKETING MIX- 4PS

MirpurPlace

Push & PullStrategy

Push: poor &underprivilege

d Pull: middle to

upper class

Advertising

Flyers

Website

SalesPromotion

Discount

Membership

Coupon

PublicRelation

Promotesocial cause

Ensuresuccessfulpromotionalcampaign

Promotion


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FLYERS


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COUPON


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FACEBOOK FAN PAGE


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GROWTH STRATEGIES


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ORGANIZATIONAL PLAN-HIERARCY

Ca shier

Ma na gerAccounta nt

R e c ru i t me n t

Sa les

Representativ

e

Ca shier

Clea ner

Accounta nt

S a l e s P e rs o n

O rgan izat i o n al Hi erarc h y

C EO C FO C M O C OO

Sa les

Representa tiv

e

Sa les PersonAccounta nt


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ORGANIZATIONAL PLAN (CONTD.)

HumanResourceStrategy

Staffing Plan&

Requirements

Selection &Recruitment

Process

Leave &Holidays


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ASSESSMENTS OF RISK

Credit risk

Natural orIncontrolable risk

Political risk

Risk as a NewEntrant

Lack ofCustomers

Risk

MarketRisk

Unforeseeable risk


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FINANCIAL PLAN

GENERAL ASSUMPTIONS:

To initiate PROYOJON Superstore, well require a total of BDT 2

Crore.

Rent a 5000sq.ft. store for BDT.50,000 monthly rent with a

advance of BDT. 12 Lakhs.


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FINANCIAL PLAN (CONTD.)

COST & REVENUE ASSUMPTIONS:

Cost of Equity = 11.50%

Cost of Debt = 17%

VAT = 15%

Cost of Sales = 55%

Margin = 35%

No TAX

Straight-line Depreciation Method


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FINANCIAL STRUCTURE:

Equity 8000000

Angel Investors 4500000

Bank Loan 2500000

CSR 5000000

TOTAL 20000000

EQUITY COST 11.50%

COST OF DEBT 17%

FINANCIAL STRUCTURE


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FINANCIAL STATEMENT FOR FURTHER ANALYSIS:

Loan Amortization Schedule

Income Statements

Owners Equity Balance Sheet

Cash Flow Projection

Break-even Analysis


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SUSTAINABILITY ANALYSIS

RATIO ANALYSIS BASED ON PREVIOUS PROJECTIONS:

2014 2015 2016 2017 2018

Inventory Turnover Ratio 0.44 0.39 0.39 0.41 0.46

Debt-Equity Ratio 0.18 0.14 0.10 0.05 0.00

Net Profit Margin -0.04 0.01 0.03 0.12 0.10

ROA -0.02 0.00 0.02 0.08 0.07

ROE -0.03 0.01 0.03 0.11 0.10


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SUSTAINABILITY ANALYSIS(CONT.)

Inventory Turnover Ratio: Cost of goods

sold/Inventory

0.36

0.38

0.40

0.42

0.44

0.46

0.48

2014 2015 2016 2017 2018

Inventory Turnover Ratio

Inventory Turnover Ratio


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

-0.02

0.00

0.02

0.04

0.06

0.08

0.10

0.12

0.14

0.16

0.18

0.20

2014 2015 2016 2017 2018

Debt-Equity Ratio

Debt-Equity Ratio



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Net Profit Margin = Net Profit / Sales

-0.06

-0.04

-0.02

0.00

0.02

0.04

0.06

0.08

0.10

0.12

0.14

2014 2015 2016 2017 2018

Net Profit Margin

Net Profit Margin



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RETURN

ON ASSETS = (Net Income / Total Assets)

-0.04

-0.02

0.00

0.02

0.04

0.06

0.08

0.10

2014 2015 2016 2017 2018

RETURN ON ASSETS (ROA)

ROA



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RETURN ON EQUITY = (Net Income / Total Equity) * 100

-0.04

-0.02

0.00

0.02

0.04

0.06

0.08

0.10

0.12

0.14

2014 2015 2016 2017 2018

RETURN ON EQUITY (ROE)

ROE



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PAYBACK PERIOD = Initial Investment/Avg. Cash Inflows

Initial Investment 15528500Avg. Cash Inflows 4769377

Payback Period 3.26

PAYBACK PERIOD


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CONCLUSION

Sustainable

Purpose Served


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THANK YOU

ANY QUESTIONS?

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SUPERSTORE social Business