ENTREPRENEURSHIP

BUSINESS PLAN
Submitted by:
ANEEZA IQBAL FARAH NAZ MAHE ROO SABA MANSOOR SARA SAEED MUHAMMAD QADEER 07-arid-359 07-arid-364 07-arid-371 07-arid-381 07-arid-384 07-arid-375

Submitted to

Mr. Ali Raza

Submission date: 11, June 2011

8th semester Section B

University Institute of Management Sciences

Arid Agriculture University, Rawalpindi

EXECUTIVE SUMMARY

The business plan is related to Thousand Island Dressing. It is a form of partnership business located at Muree Road Rawalpindi It has been planned to start the business at the small level and for that purpose university cafeteria of Arid Agriculture University is being targeted. The basic purpose of the plan is to provide the consumers with a product that would add a taste to their life. Initial investment involves 60,000 that would be contributed by all of the six members running the business. Our Vision is to bring a nutritious and delicious spread for everyone to change the taste and mission is that we are dedicated to bring a delicious experience like no other, great taste with something for everyone they like. Manufacturing process and its instructions are being termed in the production plan along with the requirements of the physical plant, equipment and raw material. Roles and responsibilities of management are being assigned to all of the partners which are related to recipe, marketing, procurement, financing and sales activities. Its marketing process involves the pricing of the product being made, its penetration pricing, and promotion and distribution activities. Different factors associated with the risk in carrying out the business plan are being assessed. It is easy to cook, inherently healthy; it helps the consumer to maintain the balanced diet. There is no competitor in the market for such product as being devised by our business plan.

Pak dressing manufacturer Muree Road Rawalpindi O314-5112273 www.pdm.com

Description of Business
This business will provide 1000 Island dressing at a small level. First university cafeteria will be targeted. After that bakeries and small retail shops will be considered. Its purpose is basically to provide consumers a product that will add taste in their life.

Financing
The initial investment is nearly 120,000 that are contributed by all six members. This investment will cover space, machinery, equipment, supplies, and advertising. Electricity and gas cost. This report is confidential and property of the partners. Its contents transmission without the investors consents is prohibited.

Introduction
Alexandria Bay, NY (the Heart of The Thousand Islands) for nearly 50 years Vision To bring a nutritious and delicious spread for everyone to change the taste Mission We are dedicated to bring a delicious experience of taste like no other. Great taste with something for everyone they like. Tagline Its all about Taste.

Industry analysis
Future out look and trends
Health and convenience are the buzzwords driving the food industry and the following trend are in the food industry:

Quick Fix
People want to eat at home, but people want less hassle in the kitchen. Easy to prepare and ready to eat are key ingredients for most of us. We should expect to see more ultra-quick foods, bagged salads and side dishes.

Inherently Healthy

Consumers are increasingly choosing naturally healthy foods such as fruit, vegetables, and salads. Low, No, and Less: Low fat what people seek in labels. Demand for low calorie and light products will continue to grow.

Doctoring Through Diet

Nearly two-thirds of shoppers tried to manage or treat a condition through diet. 72% of this effort addressed heart health. These trends are promising, so long as the food industry remains willing to offer convenience without compromising on the demand for healthier food.

Analysis of competition
There is no any company is manufacturing such type of dressing or spread. But in the other spread category the youngs food Pakistan and shungrela are the large threats for our product

Market segmentation
University cafeteria Bakeries situated in Rawalpindi

Description of venture

We are dedicated to bring a delicious experience of taste like no other. Great taste with something for everyone they like. To bring a nutritious and delicious spread for everyone to change the taste. The basic reason of doing this business is that, it is a new in our market context and there is little investment with little equipment required. We, members are equipped with knowledge and professional expertise and we dont have to hire much of the labor initially. This is the good thing to start this business. Moreover from the customer point of view we are going to launch such notorious and delicious dressing which will make the difference and it will ad the taste to the life of consumers.

Production plan
Manufacturing process How to make Thousand Island dressing
One of the most popular salad dressings, Thousand Island is also among the easiest to make. Just mix together half a dozen ingredients and enjoy. This recipe makes about four cups.

Instructions
Things You'll Need 1/3 c. minced onions with juice 2 1/2 c. mayonnaise 1 lemon 1-2 drops Worcestershire sauces (optional)

1/2 c. chopped sweet pickles 1 c. chili sauce Salt and pepper 1/4 c. chopped pimiento (optional) Salt And Pepper
1. Mix up all ingredients except the lemon and salt and pepper in a mixing bowl.

2. Season lightly with salt and pepper and mix together. 3. Cut the lemon in half and squeeze in about a tablespoon or two of juice. 4. Whisk the lemon juice in well and taste. Adjust the seasonings; if the dressing needs more salt and pepper, add it now. 5. Keep in mind that the dressing will likely need more lemon juice for tartness. Continue squeezing in lemon juice and tasting until the dressing is creamy and slightly tangy. 6. Chill until needed. The dressing's flavors will blend and mellow while refrigerated.

Tips & Warnings

Substitute catsup for the chili sauce if desired. Chili sauce has a more pronounced flavor, which stands up well to the other ingredients. Just about any pickle can be substituted for the chopped sweet pickle, like cornichons, dill pickles, even capers or pickle relish.

Don't ignore the raw onion juice in this recipe - a little will give the dressing a pleasant kick. Squeeze some in if the minced onion doesn't come through enough. Nutritional Information Amount per Serving Calories: 436 | Total Fat: 45.2g | Cholesterol: 72mg

Physical plant
No physical plant is required

Equipments
Utensils Packaging machine Refrigerator. We will use the home appliance present already in home. Mixer

Name of the supplier and raw material

M/S Yaqoob sons authorized distributor of Unilever Pakistan foods limited Youngs foods Pakistan

Marketing plan Pricing

The pricing of products will be based on three measurements: competition, cost, and demand. All three of these measures will be important and to realize its greatest profits.

Penetration pricing
We will use initially the penetration pricing which involves the setting of lower prices, rather than higher prices in order to achieve a large, if not dominant market share.

This strategy is most often used businesses wishing to enter a new market or build on a relatively small market share.

Competition based
Setting the price of a product or service based on what the competition is charging. Competitive pricing is used more often by businesses selling similar products, This type of pricing strategy is generally used once a price for a product or service has reached a level of equilibrium, which often occurs when a product has been on the market for a long time and there are many substitutes for the product.

Distribution
We will opt the intensive distribution strategy which is covering as many retailers as possible. As we will start distribution from our university later on we will go for bakeries situated in Rawalpindi and Islamabad and retail shops.

Promotion
With limited resources, the challenge is how to make your advertising dollar get the most bangs for the buck. We will use traditional and nontraditional marketing efforts to promote the product. Traditional marketing efforts will include billboard advertisements, banners, and pamphlets. Nontraditional marketing consists of indirect marketing. The combination of these marketing efforts will be used to create a "buzz" that will generate wordofmouth marketing in the general public.

Initially we will distribute it in caf of our university so we place the banners and hooding in the front of caf. There are currently over 15,000 people in AAUR, which is a major segment. Later on we will target the bakeries and retail shops as well. Moreover, Free sample distribution to the cafeteria to attract the consumer

Organizational plan
Company Name Legal Form of Business
The Thousand Island dressing is partnership business located at the address: Muree Road Rawalpindi

Management Summary
Part of the management team will be the:

Recipe experts
Sara Saeed Aneeza Iqbal

Procurement
Mahe Roo

Marketing
Farah Naz

Finance
Saba Mansoor

Sales
Muhammad Qadeer The above mentioned are experts in the respective fields. The team is equipped with practical knowledge as well as vast experience in their respective fields. Each member will be responsible for:
1. Maintaining the vision, mission, and philosophy of the business 2. Oversees the business as a whole, maintaining the integrity of the operations along with

the marketing and sales through advisors

3. Handles all phases of the business cycle for the all product produced on site

4. Responsible for the investor relations of the company Procurement 1. Handle customers 2. Prepare paperwork, i.e. count inventory and calculate food cost, complete product ordering Recipe Expert
1. Supervise the all matters of kitchen

2. Handle all aspects of food preparation Other Staff

1. Packaging

2. Cleaning Finance

1. Assist in directing the finances for the 1000 Island dressing 2. Manage all budgets, projections, and all statements for the business

3. Assist in preparing financial reports to help make business decisions

Assessment of risk
Obviously, there are many risks entering into this category Competitive reaction. Youngs and shugrela Expected sales volume Price charged for product might not be acceptable Other risks Natural calamities Spoilage Electricity failures Small level Not being able to gaining large market share Small investment Low budget so the marketing planning and implementing the strategies are relatively tough Lack of authenticity etc

Financial plan
PRODUCTION PLAN FOR JULY: quantity 30ml 100ml 200ml 10ml units 1000 500 500 100 cost 8 32 64 4 price 13 38 73 Total cost 8000 16000 32000 400 Total price 13000 19000 36500

total

56400

68500

PRODUCTION PLAN FOR AUGUST: quantity 30ml 100ml 200ml total units 1200 1000 800 cost 7.5 31 62 price 13 38 73 Total cost 9000 31000 49600 89600 Total price 15600 38000 58400 112000

PRODUCTION PLAN FOR SEP: quantity 30ml 100ml 200ml total units 2100 1700 1200 cost 7 30 61 price 13 38 73 Total cost 14700 51000 73200 138900 Total price 27300 64600 87600 239800

OPERATING BUGDET FOR 1ST 3 MONTHS: EXPENSE Salaries Utilities Advertising Selling expense JULY 10,000 4000 5000 2000 AUGUST 10,000 5000 7000 3000 SEPTEMBER 10,000 6000 7000 4000

Office expense Total expense

500 21,500

500 25,500

500 27,500

INCOME STATEMET FOR 1ST 3 MONTHS: July Sales Less: cost of goods sold Gross profit Operating expenses Salaries Utilities Advertising Sales expense Office expense Total operating profit Gross profit 10,000 4000 5000 2000 500 21,500 (9,400) 10,000 5000 7000 3000 500 25,500 (3,100) 10,000 6000 7000 4000 500 27,500 73,400 68500 56400 12,100 august 112000 89600 22,400 September 239800 138900 100,900