January 6, 2009

Business Plan of Yummy Instant Noodles

1. Summary
As our slogan-Yummy Yummy, we hope our customers can just
enjoy eating our noodles; and Yummy Yummy is the first
imagination of eating experience for them. They dont need to worry
about any other troubles in their life when they eat our noodles. How
can we do it? First, we use organic components, which including
organic flour, organic vegetables, to make our noodles, we also use
new technology to reduce the percent of preservatives, and our
concept is to let customers feel safe. People dont want to eat instant
noodles just because they think instant noodles are unhealthy, some
parents warn their child: if you eat too much instant noodles, you
will become a mummy! Because there are lots of preservatives in
instant noodles! But our noodles are absolutely without this
question. In the other hand, our noodles price is also cheap;
customers dont need to worry about economic problems either. Safe
and cheap are our main concepts.
We are a new company, so we dont have good market share yet.
And we cost lots of money on organic food and new technology, so
the content of one cup cant be very much, but our flavors are still
abundant. Our main customers are women, and the market is still on
north Taiwan, we plan to explore our noodles to south Taiwan first,
and then china will be the first station of oversea market. How to add
the content of one cup and let all the people like our noodles, is our
target in the future.
Our company did very good job to appeal adult customers because
our noodles is health and flavors is abundant. The main customers
are child in the traditional instant noodles market, but we have lots
of adult customers today, especially women. We think organic food is
the key success factors; we will keep it and explore our noodles to
the world in the future.
2. Vision
Now the competition on the instant noodle market is very
completely. Since we are still a new brand to the customer, our

product market share is still small. In the future, we will try to

increase our product market share. Our objective of the product
market share is about 25%. There are two main strategy of expand
the product market share. First, our price of the product is very
cheap. Second, we use the Organic noodles and ingredients to break
the tradition concept of instant noodles. And hope it can develop a
new consumer market for those who take care of their health.
Besides the domestic market, we will also export our product
oversea, and the first station is China. We plan that in 2011, our
product market share in china will be 15%.
3. Market analysis
(1)The consumption of instant noodles in Taiwan is very huge, on the
12th in the world.
(2)There are a variety of instant noodles in Taiwan, some of theme
come from Korea, Japan, Thai Land, or Southeast Asian even
Europe. The flavor of Japanese instant noodles is salty, Korean
instant noodles is spicy because of kimchi, Thai and Southeast
Asian instant noodles added lots of spice are also spicy. But the
chief sales volume is Taiwan local instant noodles above 95%, the
reasons include of price and flavor. The imports of instant noodles
have to add the freight and customs duties, in addition to the
flavors are not all accepted by Taiwanese.
(3)The market of instant noodles have been declined for four years in
Taiwan, because there are more and more substitutes for instant
noodles and the high immigration, that lead the total retail sales
volume to the lowest last year about eight hundreds and eighty
million. The domestic market of instant noodles is on the highest
point in 2003, the year retail sales volume almost exceeded 10
billion, compared to last year the market of instant noodles had
been declined 12% in the past four years. Moreover the sales
volume decline 1% to 2% every year effected by the fast and
variety food in convenient stores and the immigration to China. The
medium and high price instant noodles are declined the most
among others, that is the chief cause led the total sales volume to
decline.

(4)Market share rate: 1.Uni-President 45% 2. Wei-Lih Food 20%

3.Vedan 18% 4. 10%
4. Competitive analysis: SWOT analysis
Strength
the price is cheap, flavor is plentiful, the Ingredient is
health, the logo is easy to remember :
First, our noodles is very cheap, we hope let all human eat our
noodles, no matter they are rich or poor. So our design of logo is
easy to remember. And there are too much brand in the market,
some of them are too expensive, we think this is wrong. Some
people eat instant noodles, because they dont have enough money
to buy other food or go to restaurant, we insist to protect those
people, in other hand, we will still keep high quality and variety of
flavors. We use organic to make noodles; we hope people can eat
our noodles, and the most important is let them health, breaking
the traditional concept of instant noodles. Our noodles qualified as
GMP standard, Yummy is absolutely good. Except for hot and spicy
flavor and beef flavor, sea food flavor, we plan to make more china
traditional flavors in the future.
Weakness
Be comparatively late entering the market make our brand lack of
fame. Also it causes less market share which is the lethal
weakness of a brand.
Opportunity
Oversea market, prompt to appeal adult customer,
commercial and poster to advertise
In the future, we will use traditional flavors to explore our noodles
to oversea. The first station is china, and then we will try to design
many different oversea flavors to explore to other countries, like
Japan, America, Australia and Africa. We think organic noodles can
appeal adult, in the past, parents think instant noodles is unhealthy,
we believe our noodles can break their concept and let them love it!
Because we are new brand, so we will try to use interesting
commercial and poster to appeal customer, create our opportunity.
Threat

The same trades which get more famous and more market share
are the main exterior threats. Besides, recently, the globe recession
seriously make our sales going descending and influence our
development.
5. Strategy
The leading opponents in the market have established fame and
more market share which are their main competitive capabilities. In
contrast, they are our fatal competitive weaknesses. However, the
established fame and market share would make them tending to avoid
changing. They are afraid that change may make them losing their
established fame and market share. They just want to hold and share
what established, and reinforce the brand image with their product by
avoid changing because changes are always going along with regular
risk. Compare to that, we dont have that burden. Our opportunities
would be the change. By the variety choices and continuous innovation
in concept and marketing, any kind of change may become our key to
success. Our strategy is: Change, never stop.
6. Product: Yummy instant noodles
A. Flavor:
(1)Hot and spicy curry flavor (NT 30 / per)

(2)Seafood flavor (NT 30 / per)

(3)Beef flavor (NT 30 / per)

B. Ingredient:
The main components of yummy instant noodles are
carbohydrate, fat, and protein.

Yummy instant noodles

(raw)
Nutritional value per 100 g

(3.6 oz)
Energy 430 Kcal 1900 kJ
Carbohydrates
65 g
- Dietary fiber 2.4 g
Fat
17 g
- Saturated
7.6 g
- Monounsaturated 6.5 g
Protein
9g
Thiamin (Vit. B1)
0.7 mg
54 %
Riboflavin (Vit. B2)0.4 mg
27 %
Niacin (Vit. B3) 5.4 mg
36 %
Folate (Vit. B9) 146 g
37 %
Iron
4.2 mg
34 %
Potassium
120 mg
3%
Sodium
1160 mg
77 %
One package is 91 g
Percentages are relative to US
recommendation for adults.
C. Containers and packaging:
(1)Cup-type
(2)Bag-type
Yummy company use containers that are mostly made from plastic
materials such as polyethylene, polypropylene and polystyrene. All
these materials are regulated by Taiwan government standards for
plastic food containers and packaging.
Only containers and packaging that pass strict materials quality
and evaluation tests are permitted by these standards. For bag-type
noodles, pouches are made from materials such as oriented
polypropylene, cast polypropylene, and polyester.
Standards
Heat resistance

There must be no deformation of the empty container 15 minutes

after it has been filled with boiling water.
Thermal insulation
3 minutes after the empty container has been filled with boiling
water, the outside must be cool enough to hold comfortably.
Water resistance
There must be no leakage through the container 60 minutes after it
has been filled with boiling water.
Oil resistance
After 30 minutes immersion of the empty container in a 30% solution
of ethyl alcohol and drying, there must be no trace of corrosion on
the container surface.
Resistance to compression
Containers must be able to resist 25 kg of vertical pressure.
7. Marketing and sales
Sales and Marketing strategy
Place
Our strategy of place is that customer can find our product in
everywhere. So, in every physical store, such as hyper-market,
convenience store, cosmetic and medicine store and grocery
store, all have our product.
Besides the physical store, in the virtual store customer can
find our product, too. Since online-shipping is more and more
convenient and modern people are busier nowadays. In order to
give our customer more convenient and quick service, our
company cooperates with Yahoo, has the virtual stores in 2003. So
the customers dont have to go outside to buy our product. Just
stay in home and shipping online, Yummy instant noodle will
deliver to your home.
And our company plan to have television order in 2010, to give
customer more convenient and verify choice to order our product.
Advertisement and Promotions
Advertisement
A. Commercial Films

B. Newspapers, Direct mails, Magazines

C. Endorsement
-Advertisement of asking the young idol to speak on behalf
Ex: Andy ,Jolin etc.
Promotions
A. Special Offer
- Celebration for the 2009 coming. Now we have a new special
offer-Hot and Spicy curry, Seafood, and Beef flavor all in one
package, only cost you 70 dollars (90 dollars).
B. Special Bonus Points for Great Rewards
-During 2008/12/25~2009/1/25, collect any 5 Yummy Instant
Noodle points on the package and mail back to our company,
then you will get the great chance to win big prizes- ASUS
notebook, Giant bicycle, ipod etc!!! <<Dont hesitate anymore!
Just take actions to rape the chances!! Come on>>
8. Operations
Organizational structure

Yummy Instant Noodles

Partner

Mr.Q

DESIGN

Marketing

Planning

Procurement

business

Advertising

Janno
Tina
Nicky
Sophia
FacilitiesMichael
James
Our company has most professional and clean production, all our
equipment is qualified by the government. You can see the below
picture is our production facilities.

Product/service delivery

Because our vision is to spread our product to all over the world. As
a result, we already set Yummy Instant Noodles in most big
market, convenience store. Thats quite convenient. However to
serve customers in foreign countries and for the trend of onshopping, we have on-line delivery service. When customers
purchase our product over NT$ 500, we add for free express. Our
goal is to serve customers with the best and most convenient way.
Besides, if you have any further requirement, just feel free to call
our service phone number: 0800-090-818
9. Creating the financials of the business plan

Yummy Instant Noodles

Income Statement
For the Month Ended December 31, 2008
Revenues
Service revenue
1,000,000
Expenses
Rent expense
Salaries expense
Utilities expense
Telephone expense
Total expenses
62,000
Net income
938,000

$ 22,000
24,000
15,000
1,000

Yummy Instant Noodles

Balance Sheet
December 31, 2008
Assets
Cash
Accounts receivable

$ 15,000
400

Advertising supplies
Prepaid insurance
Office equipment
Less: Accumulated depreciation
Total assets

1,000
550
$ 5,000
50
$ 21,900

4,950

Liabilities and Owners Equity

Liabilities
Notes payable
Accounts payable
Interest payable
Unearned revenue
Salaries payable
Total liabilities
Owners equity
J. K. Byrd, Capital
Total liabilities and owners equity

$ 5,000
2,000
100
700
1,300
9,550
12,350
$ 21,910

Yummy Instant Noodles

Statement of Cash Flows
For the Year Ended December 31, 2008
Cash flows from operating activities
Net income
$ 245,000
Adjustments to reconcile net income to net cash
Provided by operating activities:
Depreciation expense
$ 33,000
Loss on sale of equipment
1,000
Increase in accounts receivable
(40,000)
Decrease in prepaid expense
2,000
Decrease in accounts payable
(6,000)
(10,000)
Net cash provided by operation activities
235,000
Cash flows from investing activities
Purchase equipment
(100,000)
Net increase in cash
135,000
Cash at beginning of period
20,000

Cash at end of period

$ 155,000