Business Plan for opening Wedding Consultant Company in Mirpur

MASTER OF COMMERCE (M.COM)

Name: Raza Ali

Roll No: BI506923

Registration No: 16KMROO683

Department of Commerce

Faculty of Social Sciences and Humanities

Allama Iqbal Open University Islamabad

2018

1
Business Plan for opening Wedding Consultant Company in Mirpur

Name: Raza Ali

Roll No: BI506923

Registration No: 16KMROO683

Name of Supervisor: Mr. Waseem Akram

This Project is submitted to Department of Commerce, Faculty of Social Sciences and

Humanities, Allama Iqbal Open University, Islamabad in partial fulfillment of the requirement

for the degree of M.Com

Department of Commerce

Faculty of Social Sciences and Humanities

Allama Iqbal Open University Islamabad

2018

2
Executive Summary:
Jammu Wedding Consultant firm is the name of quality. It will offer best consultation services to
all people. It is a unique idea which will become our great source of income. We start business of
wedding consultant in Mirpur as there is not such facility there. Jammu wedding consultant firm
well not only provide consultation to clients but also offer complete wedding plan. It is a
registered firm owned by two partners. Our purpose is to make our firm first choice of people.
We will serve people with the zeal which make people to realize the proficiency of our
employees. They will proud to hire our consultants. Jammu wedding consultant firm will
complete its tasks on time. Efficiency and effectiveness of work force will be maintained by
offering them proper incentives. Efficiency of employees will improve the efficiency of sales for
us. Jammu wedding consultant firm will offer a place to people where their dreams come true.

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 APPROVAL SHEET (Viva Voce Committee)

Title of Project: Business Plan for opening Wedding Consultant Company in Mirpur

Name: Raza Ali

Roll No: BI506923

Registration No: 16KMROO683

Accepted by the Viva Voce Committee, Department of Commerce, Faculty of Social Sciences

and Humanities, Allama Iqbal Open University, Islamabad in partial fulfillment of requirements

for the Degree of Master of Commerce (M.Com)

VIVA VOCE COMMITTEE

Chairman_________________________

Member _________________________

Member _________________________

( ___, ____, 2018)

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 CERTIFICATE

The Project entitled “Business Plan for opening Wedding Consultant Company in Mirpur” at

Master of Commerce (M.Com) conducted by Name: Raza Ali, Roll No: BI506923,Registration

No: 16KMROO683 has been completed under my guidance and I am satisfied with the quality of

student’s research work.

Signature Supervisor: _______________

Name: Mr. Waseem Akram

Address: Mirpur AJK

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 ATTESTATION OF AUTHORSHIP

I am Raza Ali, Roll No: BI506923, Registration No: 16KMROO683 student of Master of

Commerce in Allama Iqbal Open University, solemnly declare that my research project entitled

“Business Plan for opening Wedding Consultant Company in Mirpur” is my own work and that,

to the best of my knowledge and belief, it contain no material previously published or written by

another person. This research project is not submitted already and shall not be submitted in

future for obtaining a degree from same or another University or Institution. If it is found to be

copied/plagiarized at later stage of any student enrolled in the same or any other university, I

shall be liable to face legal action before Unfair Mean Committee (UMC), as per AIOU/HEC

Rules and Regulations, and I understand that if I am found guilty, my degree will be cancelled.

Signature ______________________

Name _________________________

Roll No. ________________________

Registration No. __________________

Address: ________________________

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 CONTENTS
1: Opportunity Rational ............................................................................................................................... 8

1.1. Business Description…………………………………………………………………………………..8

2. Mission……………………………………………………………………………………………......9
3. Services……………………………………………………………………………………………….10

4. Critical Success Factor ...............................................................................................................10

5. Management Team…………………………………………………………………………….11
6. Financial Planning…………………………………………………………………………….14
7. Market Analysis……………………………………………………………………………….21
8. Market Segmentation…………………………………………………………………………22
9. Strategies for target market segments .......................................................................................23
10. Strategies for Promotion……………………………………………………………………24
11. Industry Analysis……………………………………………………………………………25
12. PESTEL Analysis ....................................................................................................................25
13. Porter Five Forces ………….. . . . . . . . . … ............................................................................27
14. SWOT Analysis………… . . . . . . . . . .....................................................................................30

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 1. Opportunity Rational:

There are many wedding consultation offices in Pakistan. Many marriage offices are offering
services of searching suitable match for clients. But Azad Kashmir has no such facility.
Although, culture of Azad Kashmir is totally different of Pakistan as people living there plan
their marriages without hiring any consultant. However with the passage of time trend has been
changed. Technology advancement also brings advancement in minds of people. Now they need
any external facility for planning and arrangements of weddings. We selected Mirpur to start
wedding consulting firm because strong demands have been found there. All other districts of
Azad Kashmir have not been found more responsive as compared to Mirpur. People of Mirpur
have high consuming ratio so they spend whole heartedly for making their weddings memorable.
We are opening exclusive wedding consultant firm with the name of Jammu wedding consulting
firm. Name of firm indicates that we aim to serve people of Azad Kashmir. We will open its
subsidiaries in other districts of Azad Kashmir after making it successful in Mirpur.

1.1.Business Description:

Jammu Wedding consulting firm is an exclusive facility which has selected Mirpur for
conducting its operation at regular basis. It strongly concentrates on offering convenient services
to its members in friendly environment. Our consulting firm will offer consulting services to
brides, grooms and other family members to plan wedding and anniversaries. We will not work
like other marriage offices as they search proposals for their clients. In Azad Kashmir we can’t
offer such services because of its culture. We will offer planning services for brides and grooms.
We aim to offer a platform through which people can make their dreams true. We will arrange
halls and all other celebration regarding weddings. Our business is also different from event
management as they are event planners but we are wedding planners. We will offer services
exclusively for brides, grooms and families. We will provide the first class personnel organizing
wedding celebrations’ services and attention to its members. We will select Satellite town for
starting business at regular basis. We selected satellite town because residential colonies are
main source for generating sales quickly. We will offer our services as full bridal consulting
group and our objective is to locate fun into planning a wedding or anniversary. People are

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usually worried about the complete arrangement of wedding. They want to get themselves free
from all responsibilities by hiring services any outsider consultant. We have experienced and
professional consultants to produce memorable and relaxed events for our clients. Our clients can
easily enjoy their events by hiring our services. Our aims are to create events which suits best to
different style of couples and to their relationship and individuality as a coupe. We will the first
movers as no one has planned to start such business ever before. We will focus on middle to
upper level class between the ages of 25 to 50. People round about 25 to 35 come to us for
planning their own weddings as well as people round about age of 50 will visit us for planning
wedding celebrations of their children. Our firm will also be beneficial for generating revenue to
whole industry of event organizers. Industry has been facing many challenges so we will try our
best to reduce challenges of whole industry. Our management team will work by paying special
attention towards the strategic planning to confirm that each client gains the final experience in
organizing of event. People will get all services under one roof. We have beauty parlors both for
brides and groom make up. We will offer services of florists, hair salons and bridal shops.

Objectives:

 Following is the complete list of objectives set by Jammu wedding firm.

 To make marriage celebration memorable.
 To serve brides and grooms with best services.
 To utilize our all efforts for providing maximum satisfaction to clients.
 To make our clients feeling proud after utilizing our services.
 To increase sales every year.
 Key to Success:
 We will prefer to check requirements of clients professionally.

 Our purpose is to retain outstanding effective interaction with sellers such as florists, hair
salons and bridal shops.
 Preserving and building strong relationship with customers.
 Increasing income each year.

2 .Mission:

Jammu consulting service offers services for making wedding and anniversaries outstanding.
Highly experienced and dedicated professionals will be hired for serving clients. We welcome
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people to celebrate their weddings with us. We are serving with motto come and wed with us.
Our clients’ desires are our commands.

3.Services:

Jammu wedding consulting firm will offer following services.

 Consultation about weddings, honeymoons, reception and anniversaries.

 Budget planning and full service referrals to florists also includes in our services.

 Providing parlor services for makeup to brides and grooms.

 Decoration of halls.
 Theme setting of marriage halls.

4.Critical Success Factor:

 Client Retention:

By retaining maximum number of customers Jammu wedding consulting firm become able to
compete with strong competitors easily. Our foremost attention will be our consumers. Their
commands will be our orders. By treating customers like boss maximum retention can be gained.

 Less attrition rate:

Less attrition rate can be achieved by lowering fees of members who don’t want to establish long
term relationship with our business. We can easily pay them be generating more sales.

 Brand Satisfaction:

Jammu wedding consulting firm will become able to gain maximum brand satisfaction by
offering branded services to clients. By introducing people to our brand consistent growth of
sales can be achieved. Our company will act as a leader in whole industry after identification of
our brand.

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  High customer satisfaction:

Success of Jammu consulting firm depends on customer satisfaction. By delivering high

qualitative services, our business will become able to reduce its attrition rate and promoting
business through word to mouth.

 Advanced infrastructure:

We will provide outstanding building with four to five long halls. We have plenty space for car
parking. All matters relating to planning and organizing of weddings will be discussed by sitting
in office. We have effective work force with good communication skills. We will train our
employees for establishing strong and sound relationship with consumers.

5. Management Team:

Jammu Wedding consulting firm is a partnership business owned and controlled by two partners.
Taimoor Azmat and Junaid Sadiq are two partners. Both of them are highly qualified and
experienced. They have worked for many years as event organizers. They will recruit all other
managers for carrying out daily operations. Following is the complete organizational structure
along with the description of roles and responsibilities. Taimoor Azmat and Junaid Sadiq will
recruit finance manger, marketing manager, human resource manager, production manager and
office manager. Human resource manager will recruit all other personnel. There will be a desk
manager who will be the responsible of welcoming and greeting of clients.

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 CEO Co Assistance

Taimoor Azmat Junaid Sadique

HR Manager Finance Manager Marketing Production Office Manager

Manager Manager
Mr. Waleed Mr. Aitzaz Mr. Khalil
Mr. Ebad Mr. Sheraz

Front desk Manager

Mr. Ahmed

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Duties:

 CEO:

Taimoor Azmat is CEO of Jammu wedding consulting firm. He will manage all activities related
to the planning, monitoring and controlling. He will monitor the regular operations. He will
observe all activities of marketing manager and HR manager. Finance manger will also report to
him. Other partner Junaid Sadiq will assist him in completion of his tasks. Junad Sadiq is co
assistance and he is responsible for handling issues relates to purchasing of raw material.

 HR Manager:

Mr. Waleed is responsible for managing whole work force of Jammu consulting firm. He will
assign duties to all workers. He will monitor them during arranging whole wedding celebrations
of clients. Decision about incentives and wages will also decided by him.

 Marketing Manager:

Mr. Ebad is responsible for promotion and advertisement of business. He will display all banners
for making people familiar to our business. He will perform market analysis to identify
requirements of customers.

 Finance Manager:

Mr. Aitzaz is responsible for budget allocation and preparation of budget for all projects. He
will record transactions by preparing journal and ledger. He will prepare cash flows statement to
verify cash inflows from operating and investing activities. He will calculate profit and loss at
the end of year.

 Production Manager:

Mr. Sheraz will monitor all activities relating to production. He is responsible for preparing work
force for complete arrangement of weddings. He will look after all matters relating to
celebrations of weddings.

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  Office Manager:

Mr. Khalil is office manager. He is responsible to manage all office activities and handle
complete layout of office. He will report to CEO for all files. He will handle all files in absence
of CEO.

 Front Desk Officer:

Mr. Ahmed is responsible for greeting and welcoming people. He will receive all clients. He will
brief them about the offered products and services. He will maintain contact list of all clients.

6. Financial Planning:

Balance Sheet:

1 2 3

Assets

Current Assets

Cash 19000 27800 37800

Account Receivables 32000 34000 36000

Inventory 17890 21345 23456

Other current assets 17800 18000 19700

Total current assets 89000 93000 95600

Long term assets

Long term assets 50000 60000 65000

Accumulated Depreciation 500 600 650

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Total long term assets 49500 56400 64450

Total Assets 139400 164500 173560

Liabilities and Capital

Current Liabilities 54321 64321 76543

Accounts Payable 7865 8990 9990

Current Borrowing 34221 37890 39870

Other current Liabilities 15690 18990 19990

Total current liabilities 98765 99887 10550

Long term liabilities 00 0 0

Total Liabilities 98765 99887 10550

Paid-in Capital 20300 26543 28790

Retained Earnings 20500 27890 29870

Earnings 20000 24560 25674

Total Capital 60590 76543 81234

Total Liabilities & Capital 78654 79876 80970

Net Worth 139400 164500 173560

Profit and Loss Statement:

1 2 3

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Sales 16789 17777 23450

Direct Cost of Sales 10200 12345 13245

Production Payroll 15678 16543 8765

Freight 1567 1789 1987

Royalties 12321 5436 6754

TOTAL SALES 55432 67543 78654

Gross Margin 76543 88976 89076

Gross Margin % 5.4% 7.6% 9.8%

Operating Expenses

Sales and Marketing 78900 88765 91234

Expenses

Sales and Marketing 67543 76543 77654

Payroll

Advertising/Promotion 88970 98765 99876

Sales Commissions 1234 670 990

Graphics and Collaterals 18900 21345 23400

Printing 17800 19800 22345

Public Relations 17654 18765 20500

Research 45321 55643 65432

Telephone bills 66541 77654 87960

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Trade Shows and Events 77654 88907 90786

Meals 15000 70000 87654

Travel 24560 25643 27880

Other Sales and 1567 1789 2019

Marketing Expenses

Total sales and 135670 189990 198760

marketing expenses

Sales and Marketing % 5.66% 7.77% 8.76%

General and
Administrative
Expenses

General and 67890 88765 89076

Administrative Payroll

Marketing/Promotion 77654 88976 89000

Depreciation 4566 6788 8999

Online Services 16543 17654 18970

Contributions 17888 18970 19887

Dues and Subscriptions 16543 17654 18765

Maintenance and 40000 45321 47654

Repairs

Office Supplies 12345 15674 17654

Postage 15432 16544 17668

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Professional Fees 10900 18900 19876

Telephone 15441 1788 1876

Rent 5432 6778 7998

Utilities 6543 6785 7789

Insurance 15678 18765 9877

Payroll Taxes 17654 19870 19888

Other General and 14560 15643 16543

Administrative Expenses

Total administrative 150789 160700 178900

Expenses

General and 45678 48765 59786

Administrative %

Other Expenses 76543 77654 78660

Other Payroll 80000 82345 83654

Consultants 9000 10500 11456

Product Development 7890 8876 9990

Total Expenses 99876 102000 105000

Other % 0 0 0

Total Operating 98765 99876 102340

Expenses

Profit Before Interest 98760 106780 123456

and Taxes

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EBITDA 78990 88765 90876

Interest Expense 8890 9980 10200

Taxes Incurred 16700 21345 23456

Net Profit 250670 280970 290870

Net Profit/Sales 290876 296780 298765

Cash Flow Statement:

1 2 3

Cash Received 57890 67765 78906

Cash from Operations 76543 78900 85643

Cash Sales 89765 91234 94567

Cash from Receivables 78654 79870 80789

Total cash generated from 145678 151234 155678

Operations

Additional Cash Received 87650 88976 90876

Sales Tax, VAT, HST/GST 90234 93456 94567

Received

New Current Borrowing 78654 79800 80900

Liabilities 88907 90123 92345

Long term liabilities 90876 91234 95431

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Sales of Other Current Assets 68700 72345 74567

Sales of Long-term Assets 71453 74567 76543

New Investment Received 77886 87654 89765

Total cash 156789 189700 198765

Expenditures 78900 88900 90876

Expenditures from operations 90876 95678 97865

Cash Spending 56432 60897 65432

Total bills paid 7890 9990 10900

Total amount spent on 78900 88765 90876

operations

Extra cash spent 88765 97654 98765

Sales Tax, VAT, HST/GST 50432 55643 65432

Paid Out

Principal Repayment of 76654 78990 80900

Current Borrowing

Other Liabilities Principal 90800 92567 98700

Repayment

Long-term Liabilities 102890 105678 106789

Principal Repayment

Purchase Other Current Assets 28000 32000 34000

Purchase Long-term Assets 55678 67890 69800

Purchase Long-term Assets 78900 88900 97654

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Total cash Spent 75067 78900 88900

Net Cash flow 156432 166543 188970

Cash Balance 199870 203456 250678

7. Market Analysis:

Mirpur is not highly competitive market for Jammu wedding consulting firm. There are very few
event organizers found in Mirpur but they are not enough to satisfy people. They are not offering
highly qualitative services. During past few years demands for wedding consultant firm has
increased. People need a place where they can plan about their marriages, honey moons,
wedding anniversaries etc. The fame of arranging wedding celebrations through proper
consultants has increased. Many event organizers, marriage bureaus are working in different
cities of Pakistan but there is not any single facility working in Azad Kashmir. People have no
familiarity with such services but now they are well aware about wedding consulting firms.
Communities living in Mirpur have been found in great demand for arranging their weddings by
hiring services of external parties so that they can easily enjoy celebrations without any tension.
They just free themselves from burdens and tensions by hiring services of wedding consultants.
It has been found during market analysis of Mirpur that spending capacity of these people also
high. So not only families but brides and grooms also search any consultant for planning their
weddings. Although our business cannot be demanded by every bride and groom neither family
need such services but seventy five percent people demand for any consulting firm. Many people
want to make their marriage memorable. They need everything unique in their weddings. They
demand for superior arrangements for hall decoration, stage decoration etc. They are more
willing to spend money for beautiful display at gate for welcoming guests. Brides want to look
gorgeous so they want to hire services of special beauticians. Grooms need services for hair
style, floral setting etc. We will provide all these facilities under one roof. So we are expecting to
generate maximum revenue by targeting people of Mirpur. Our survey indicates that Mirpur is
highly profit generating market for us. Although there are many factors which can reduce
purchasing power of employees as increasing rate of unemployment can reduce sales. However

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we will pay special attention towards elite class. They are always willing to make weddings
outstanding and memorable. We will also target middle class by offering special packages. By
analyzing all these facts we will divide market in different segments on the basis of age, gender
and income.

8. Market Segmentation:

Market segmentation will be carries out by dividing whole market in different groups on basis of
gender, age and income level. Basically market is segmented to identify needs and wants of
customers. Jammu consulting firm divides market in different segments so that demands can be
analyzed clearly. After diving market in different groups we will become able to measure actual
desires of people. We can only meet satisfaction level of consumers after measuring needs and
wants at true level. Following are all groups in which we will divide market.

 Men 25-45 years of age:

We will target men between ages of 25 to 45. We will target them for providing services directly
to grooms or their families. Twenty five years old grooms will avail our services for making their
weddings highly influence. Forty five years old men come to us for planning of weddings of
their brother, sister or any other family member. Grooms desires are totally different from other
family members so we deal with them separately. Grooms will not only served for wedding
celebrations but also for planning their honey moons etc. Young generation force the market to
accept new trends so it is the most important group to catch attentions of our firm. Although they
have less money as compared to other but we will serve them what they want at less. It will be
the important key for Jammu consulting firm to collect revenue. By targeting them business will
also be promoted. They are the great source for establishing our good will in market. We can
attract their family members by serving them. Our qualitative services and highly skilled work
force will make them loyal to us.

 Women 20-35 years of age:

Females have some dreams about the marriage celebrations. They have special planning about
their bridal dresses, makeup and hair style. Among females we will target especially working
women as they have high spending power on their marriages. Women are more conscious about

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their outlooks. They just want to hire services of those who can make them very special at this
special day. In Mirpur, almost sixty percent women are educated and doing jobs. They need a
place where all their dreams come true. Females are more sensitive about their unique dresses for
Mehndi, Barat etc. We will offer them a unique parlor where they can get dress of their own
choice. Their desire for looking unique and gorgeous can only be fulfilled by us. They are special
group to focus because whole celebration circulated around her. They are group which will drive
Jammu Consulting firm towards Excellency. This target group is accountable for the
enlargement of indoor women's consulting services as we will also hire special parlor for them.
When any conversation is going to be held between brides with their friends, they are most likely
talk about their wedding plans. So, Jammu consulting firm will provide a medium through which
brides can not only plan marriage celebrations but also about their honey moons.

 Families:

We will target families because of cultural limits of Azad Kashmir. Many families do not let
their brides to decide what she wants. They prefer to handle all matters by themselves. We will
target them so that they will also become a great source of income etc. It is difficult to attract old
people because they like to apply their old methods. They will choose their old halls but we will
motivate them for availing our services. We will satisfy them by our high quality services. We
will take their orders as commands and try best to satisfy them. By targeting families we are
hoping to capture maximum market share. Research have captured the general concept that
people are worried, have less time for planning weddings of their children and would commonly
help in analyzing the right center to plan. They search any center with the help of which their
burden can be minimized. We are offering them a place where not only their worries of proper
arrangement will be ended but also they will enjoy wedding. Family is not a single group to
target as it covers all other groups for target. It includes brides and grooms also. So it will be
proved our great source of income.

9. Strategies to target all segmented groups:

After segmentation of market, next step of Jammu consulting firm is to satisfy all segments. By
satisfying all segments firm can convert itself into profitable organization. We will target males,
females. Brides and grooms by offering services according to their desires. We will formulate

23
separate strategies for each segment. Brides will be served by offering her special services of
beautician. We will hire beautician from famous parlor of Islamabad. Mirpur is a good market
for bridal dresses and make up but many outstanding and gorgeous dresses have not been found
in Mirpur. So we will offer special bridal dresses for brides so that they can be targeted
successfully. Grooms will be targeted by offering them services of hair style etc. We will set
halls according to theme set by brides or grooms. We will decorate halls and stage according to
wishes of them. Families will be targeted by discounting them. Parents are more concerned about
guests. Our effective work force will satisfy them by serving their guests. Our courteous staff
members with good communication skills will serve guests. Decoration of halls and stage will be
so attractive that guests will become our consumers.

10.Strategies for promotion of business:

A business can never survive without proper response of people. People can never show positive
response without getting familiarity with business type. For making people familiar to our
business different promotional methods will be used. Different mediums like newspaper,
magazines, radio and television will be used for promoting business but most effective method is
word to mouth. Word to mouth advertisement can be achieved by providing maximum
satisfaction. Our services will be our identification. Practical application of our first wedding
plan will be a symbol of our success. When guests will attend a marriage planned by Jammu
wedding consulting firm, they will become a source for promoting our business. These guests
will discuss about complete arrangement with their friends. So, by concentrating on our services
we can promote business effectively. Word to mouth promotes business with high speed.
Business growth can be maximized by promoting business. By focusing on promotion of a
business through services one pay special attention towards the improvement of services.
Anyone who will impress by wedding arrangement prefers to hire our services in the wedding
ceremony of their family members. They will also suggest our business to others. Their
discussion with friends makes them familiar to our business. Guests in a marriage ceremony can
be the best source of promotion. They are also one of the best medium through which we can
target all communities of Mirpur.

Other mediums of promotion will be television, radio and newspaper etc. Weekly magazines will
also be used for promotion of business at high level. Newspapers have one page fixed for

24
promotion of new business. We will select local newspaper for promoting Jammu wedding
consulting firm. Attractive ads will be designed to advertise business through television. Radio
will also be used to reach the voice of Jammu wedding consultant to villages. We will display
attractive ads in weekly magazines. So by focusing on all these mediums we are hopeful to gain
maximum market share. People want to try new thing and strong demand has also been found for
Jammu wedding consulting firm so we will be the most successful consulting firm in Mirpur.

11. Industry Analysis:

Industry of event organizers has been facing many challenges. There are many event organizers
in Pakistan but they are not generating revenue which would be enough for industry survival. In
Mirpur, there are not any facilities of wedding consulting firm but many marriage halls exist in
markets who are working at very small level. Income received by these marriage halls is not
enough for meeting challenges of industry. Jammu wedding consulting firm will be a
contributing factor for earning maximum revenue for whole industry. It will assist industry for
removing challenges. Analysts recommend that Jammu wedding consulting firm will earn
maximum revenue for whole industry. By overcoming all challenges faced by industry economic
development can be increased.

12. PESTEL Analysis:

PESTEL Analysis is a marketing plan which deals with the investigation of whole environment
in which business is going to operate. There are many factors exists in an environment of a
country which would slow down the progressive growth of a business. The word PESTEL covers
all those factors exist in external environment and whose instabilities would become a cause for
disturbing normal operations of business. PESTEL indicate political, economical, social,
technological, environmental and legal factors. PESTEL analysis is performed to check the
influence of all these factors on business. Political clashes, economical fluctuations, social norms
affect the buying pattern of consumers which would rather decrease the cash inflows or solvent
the business. Technological changes, environmental issues and legal requirement also cause
destruction to whole business. So it is important to measure all instabilities related to politics and
all other factors so that business success can be maximized.

 Political Analysis:

25
Political analysis includes examination of all factors related to the politics of a country. Instable
government will produce such circumstances for a business which is difficult to cope. Stable
government will lead towards the stability of all economic indicators. So, a business can only be
successful in a time period of stable government. Analysis of all political factors is important for
ensuring the survival of business. Political circumstances are checked to verify either they are
suitable for our business or not. Recent political condition is stable in Mirpur. Jammu wedding
consulting will not face any political problem for starting its regular operations at daily basis.

 Economic Analysis:

Economic analysis measures all economic indicators which would disturb the normal growth rate
of business. Economic indicators include all macrocosmic factors. Stability of Macroeconomic
factors is very important for stable growth of business. Volatile inflation rate results in the rises
of prices which would decrease the buying behavior of consumers. Fluctuation in interest rate,
money supply and exchange rate causes bankruptcy to business. It is important to report
volatility in all economic factors so that bankruptcy rate can be reduced. Economic indicators
prevailing in Mirpur are stable so Jammu wedding consulting firm will not face any problem for
starting its operations.

 Social Analysis:

Social analysis is verification of all norms, values, beliefs and culture exists in Market. Social
analysis includes social status and likes and dislikes of all people. Likes and dislikes of
individuals determine the spending capacity of individuals. Particularly in case of our business
investigation of social values is very important because we plan new lives of people. So, it is
very important for us to determine the beliefs of people. Any modern and high income people
will like to avail our business despite of the fact that we will target all social classes. Society of
Mirpur is highly developed and modernized so Jammu wedding consulting firm will not face any
problem for starting its business.

 Technological Analysis:

Technology innovations contribute positively for increasing the business strength regardless of
the fact that it is a service business or offering sales. Highly innovative services will promote

26
business quickly and effectively. Technological advancements in relevant services will be highly
preferred by consumers. We will also offer online services so it is important to know all
technological advancement in Mirpur which relates to the internet facilities etc. Online banking
also included in technological changes. By investing all technological adaptation in Mirpur, it
has been found that all technological facilities are appropriate so Jammu wedding consulting
firm will face no technical problems for starting its online services.

 Environmental Analysis:

Business sales will be affected badly by environmental changes. Environmental analysis includes
the checking of all climatic conditions. Atmosphere and weather affect the sales at daily basis.
Rainy season is not beneficial for our business. It will decrease sales as people want sunny and
good season for arranging weddings. Mirpur has long summer season which is good for our
business. People mostly plan weddings in summer season so we are going to earn maximum
profit by starting business in Mirpur.

 Legal Analysis:

Legal analysis measures all laws and regulations imposed in a country. A business must verify
all laws regarding business sales. For example a business must investigate tax laws either these
rules are acceptable for business or not. Laws for Intellectual property rights must examined so
that it can be ensured that no one else can copy idea and themes. Jammu consulting firm
investigates all legal requirements. All rules regarding tax payment, intellectual property rights
are easy to obey. Rules regarding intellectual property rights are protective so we have no legal
issues for starting our business in Mirpur. Tax laws are also relaxed enough that we can easily
pay tax at time.

13. Porter Five Forces:

Michael Porter introduces the concept of five forces which are very helpful for maximizing
profit. Investigation of all five forces helps Jammu wedding consulting firm to outperform in
market. Analysis of new entrants and bargaining power of suppliers as well as bargaining power
of buyers and threat from substitute products will help us to identify competitors’ strength.

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Investigation of existing competitive rivalry helps us to compete with firms. These forces
concentrate on how wedding consultant firm can establish a consistent competitive advantage in
service industry. Jammu wedding consultant uses five forces to establish strategic position within
industry and also expand profitable opportunities in whole industrial sector.

1. Threat of new entrants

New entrants will enter in market with highly innovative services. Highly innovative product and
services have capacity to attract and retain maximum customers. Adaptation of new methods and
innovation in products put pressure on Jammu consulting firm. People are always in search for
new services. They will attract towards new business trends. New entrants have potential to
capture market easily because of its innovations and newness. Jammu wedding consulting firm
will reduce threat of entry barriers by making its services highly effective. Services can be more
efficient and effective after adaptation of technology. Technology will introduce innovations in
services which will discourage new entrants to enter in market.

2. Bargaining Power of Suppliers.

We will purchase flowers and other decoration material from suppliers who will sell products at
fewer rates. We will select those suppliers who sell highly qualitative material. We wills elect
both local suppliers and Islamabad. We will prefer those who sell qualitative and natural
material. We will also purchase high quality cosmetics for brides and grooms. Although we
select local suppliers but suppliers of Islamabad will be preferred for fulfilling demands of our
customers. Jammu wedding consulting firms will not compromise about quality. We will never
agree on fewer rates for less qualitative products. Suppliers will be convinced to sell products at
fewer rates by offering them free services for their wedding planning and arrangements. We will
plan and arrange their marriages free of cost so that they can sell all decoration material at fewer
rates.

3. Bargaining Power of buyers.

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Consumers are more demanding for best services but at fewer rates. They always try to avail best
services at low rates. High bargaining power of buyers put pressure on Jammu consulting firms
and reduces its profitability in long run. Although our purpose is to get maximum satisfaction of
customers but more discounts can cause loss for us. We want to attract and retain customers.
Without participation of customers we can’t be succeeded in generation of maximum sales. But
offering them more bargaining will decrease our cash flows. We will become unable to pay
debts. Higher bargaining power will increase the discounts and offers. Jammu wedding
consulting firm will reduce bargaining power of employees by establishing large customer base.
It will decrease the discount power of consumers and increase the opportunity to maximize sales.
Bargaining power of buyers can also be controlled by launching many new offers. Offering of
many services will bargaining power can be controlled as they often demand for discounts on
established products. So by offering new services again and again we can keep them busy in
availing of new services at fix rates.

4. Threat from substitute products.

Threat of substitute products always prevails in market. Substitute products in a market attract
customers more easily. Large volume of customers will switch from one product to others. Main
reason behind switching is that highly innovative substitute products are offered. Secondly
human psyche always want to try something new. So substitute products will decrease our
business growth. It is very important to formulate suitable strategies for survival of our business.
Long term returns of Jammu wedding consulting firm will be affected by new products or
services are launched in different manners. The risk of substitute product or service is far above
the level of our estimation. As substitute products are offered with value proposition so it is
difficult for us to estimate risk. Jammu consulting firm will handle such situation by being more
service oriented as compared to product oriented. It means that we should pay more attention
towards quality of our services than products. Our business will focus on services by improving
their quality threat of substitute products can be reduced. Threat can also be reduced by
maximizing customer satisfaction and decreasing switching cost for customers.

5. Existing competitive Rivalry:

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Mirpur is pure market from any competition for Jammu wedding consulting firm. But there are
many marriage halls which are offering decoration services. These halls arrange all facilities for
weddings. They are working in Mirpur for many years. They can be serious threat for us. Their
presence in market will reduce our sales. Tough competition between Jammu wedding
consulting firms and these event organizers will not only drive down the prices but also reduces
the overall cash flows of industry. Local marriage halls will make competition tough for us. We
must built strategies for reducing tough competition among us. All rival firms are our worst
competitors. Jammu wedding consulting firm can overcome this rivalry by establishing a
consistent differentiation as well as by establishing scale to compete better. Cooperating with
competitors to enhance the market size is also a trick to reduce rivalry among competitors.

14. SWOT Analysis:

SWOT Analysis is a technique use to examine all factors in external market which could either
strengthen a business or weaken it. First alphabet “S” will indicate strength of Jammu Wedding
consulting firm. “W” measures all weaknesses. It highlights all weaknesses of Jammu wedding
consulting firm. “O” demonstrates opportunities as it verifies all opportunities for Jammu
consulting firm. T represents threats which highlight threats for our firm. By analyzing all
strengths and weaknesses Jammu consulting firm will become able to avail its opportunities and
overcome its threats. SWOT analysis will provide us true picture of whole environment in which
Jammu wedding consulting firm will start its operations.

Strengths:

Following is the complete list of strength of Jammu wedding consulting firm.

 Offering unique services for planning of weddings.

 Offering a platform for brides and grooms to make their weddings memorable.
 Arranging all celebration with unique theme.
 Arranging weddings and planning honey moons.

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  No tough competition exists in market.
 Offering of services at affordable rates so that everyone can avail them.

Weaknesses:

Weaknesses for Jammu wedding consulting firm are as follows.

 Our business nature will not attract large customers.

 Our business strength depends on spending power of people.
 Only elite class will be more attracted towards our services.
 Cultural values of Azad Kashmir can reduce our sales.

Opportunities:

Along with all above weaknesses there are many opportunities have been identified for Jammu
wedding consulting firm.

 Uniqueness of our business is great opportunity.

 We are first movers as there is not any such facility exists in Mirpur.
 Offering high quality services at reasonable rates.

Threats:

 It is difficult to capture large base customers towards such business.

 Large cost bear on generator facility because of electricity break down.

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