INTRODUCTION TO CYBERPRENEURSHIP CYBERPRENEURSHIP BEN 2014
Mohd. Nor Ismail
Imogyzstan Group members Name
Sainbayar Anthony Alge S. Ari Astrid Berlian Gulzhan Mitta Uddy Enkhtsatsral Hafidz Dewi Andi Eka F.D. Angeline Chandra Leo
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List of Contents
List of Contents
Section 1: Executive Summary
Section 2: Business Description A. General Description of the Business
B. Industry Background
C. Goals and Potentials of the Business
D. Uniqueness of Product and Service
Section 3: Marketing A. Research and Analysis
B. Marketing Plan
Section 4: Operations A. Identify Location
B. Proximity of Supplies
C. Access to Transportation Transportation
Section 5: Management Structure
Section 6: Finance 10 Section 7: Critical Risks
Section 8: Milestone Schedule
Section 1: Executive Summary Introduction to Cyberpreneurship is one of the subjects offered this trimester. In this subject we learn how to become and be a successful successful entrepreneur entrepreneur both in the real and in the “cyber” worlds. The group’s name which is “Imogyzstan” represents the diversity of the group. It stands for Indonesia Indonesia Mongolia Mongolia Kyrgyzsta Kyrgyzstan. n. Imogyzstan Imogyzstan have learned and applied the theories learnt in the lectures. Imogyzstan have decided to try the food business. business. They decided on a variety of unique unique products products which will attract attract the customers customers and have a relative advantage over other competitors.
The group is sure that through learning and applying all the things they have learnt they will be able to become successful people in the future in the fields of entrepreneurship, Information Technology and economics.
Section2: Business Description A. General General descripti description on of the business business (ImogYzs (ImogYzstan) tan)
There are many types of businesses that Imogyzstan has considered to carry out, such as holding a concert, event organizing or selling football T-shirts. After a couple of meetings the group decided to sell foods and drinks instead. The kinds of food Imogyzstan wants to sell to their customers have been discussed during the meetings. meetings. In the end the group chose to sell 2 types of food; huushuur huushuur (a Mongolian Mongolian snack), toasted bread and 2 types of drinks: Magic Fruit Juice and Pop Ice.
B. Indust Industry ry Backgr Backgroun ound d
The food industry is a common type of business to perform in. Businesses such as McDonalds and KFC have started from humble beginnings and now are giants of the industry. Imogyzstan is interested in this industry not only because of the success stories of these kinds of companies but also because food is a human being’s primary need. These and some other reasons make Imogyzstan eager to start up a business of foods and drinks.
C. Goals and potentials of the business
The group has many goals in this business. First of all, is to get the highest grade in Introduction to Cyberpreneurship subject. In achieving this Imogyzstan have to put their maximum effort and apply the theories learnt in the lectures in order to become a successful entrepreneur. Another Another import important ant goal goal is to make make a profit profit.. Imogy Imogyzst zstan an has started started this this business on their own money, so they will yearn for a high profit. If the maximum amount of profit is achieved, their capital will return back and Imogyzstan will feel the impact of its i ts initial efforts. Lastly another important goal that the group must achieve is to fulfill the cust custom omer ers’ s’ dema demand nds. s. The The cust custom omer erss are are an inva invalu luabl ablee asse assett as they they prov provid idee Imogyzstan with its profit. The customers need to be served wit the best service. The potential of food selling is excellent in achie ving all of the set above goals.
Imogyzstan hopes to finish the business by week 7. They will have to achieve all the objectives put before them.
D. Uniqueness of Product and Service
An important aspect of the food and drinks business is the uniqueness factor. A product that is unique will catch the customer’s eyes and will make the customer attracted to it. This uniqueness factor led Imogyzstan to come up with food and drinks that will interest the customer. The group members have come up with several unique products. Their most unique product is the huushuur. This is a Mongolian cuisine snack made from flour, meat, onions and rice. Other than Mongolians, almost no one knows of this product thus making it unique. The group also made toasted bread which may not sound rare but the process in which they make it is different from the usual one. They do not toast the bread, they fry it instead, and then the customers can choose from a range of fillings such as chocolate rice, strawberry, cheese and milk. The drinks that the group came up with are also distinctive. One drink is the Magic Fruit Juice. This juice is made from fresh orange, jellies and other ingredients. The taste is very pleasant and refreshing. Another drink is the Pop Ice. These is a drink made from ice, powdered milk of chocolate, chocolate, melon, vanilla etc. which they then add condensed milk into. During a hot day, especially in Cyberjaya where everyday is a hot day, Imogyzstan hopes that the drinks will be inviting to the thirsty students of MMU.
Section 3: Marketing A. Resear esearch ch and Analy Analysis sis
1. Target market (customers) (customers) In the MMU society there are a lot of potential target markets. Imogyzstan’s main target target is of course the MMU students. students. The Cyberjaya Cyberjaya campus is always always full of students from from the morning morning until until the evening. evening. These These student students, s, as all normal normal people people do, have have primary primary needs which which are to eat and to drink. Another target target is of course the general general
population around the Cyberjaya campus (individuals such as lecturers, university admin staff, security officers and others).
2. Market Size Size and Trends Trends The market size in MMU Cyberjaya campus is quite large as there are many students, lecturers, admin managers and other elements of the campus population. There are certain trends in the campus that have to be taken into consideration. The population tends to buy food that is clean, of excellent service and well promoted.
3. Compet Competiti ition on Imogyzstan will definitely face some tough competition. The reason for this is they are placed in Misri Plaza with 5 other businesses that also sell foods. The competitors are also selling a variety of interesting products. This can also benefit Imogyzstan as the population around MMU will be attracted to see all the stalls. The group aims to overcome this competition competition by providing the best service and superior superior advertising. advertising. They also hope that the uniqueness factor of their products will help them in getting over the competitors.
B. Mark Market etin ing g Plan Plan
1. Market Market Strateg Strategy y Imogyzstan applies many types of marketing strategies. The most obvious one is of course to give out brochures (flyers) to the MMU population. They also plan to have some dress codes. The dress codes are different from one d ay to another. One example is the group will use football shirts on Monday and on Tuesday they will use the yellow T-shirts. This will visually attract the customers to come to their stall. Imogizstan will also carry out a delivery service to those who want the products to be delivered to them. This type of service will be free of charge.
2. Pric Pricin ing g Imogyzstan have set the prices for their products taking into account several factors. The price will be inexpensive but will also give them maximum gains. For the huushuur they have set the price to be 1 huushuur for RM 1.20 and 2 huushuurs for RM 2.00. This will benefit both the group and the customers. customers. The customers customers will be interested to buy 2 because the total utility will be more. The toasted bread is priced RM 1.30 for 2 fillings such as cheese and chocolate and RM 2.00 for all. The drinks that Imogyzstan sells are also of a cheap price. The Magic Fruit Juice which is made of 100% pure orange only costs RM 2.00, the normal price of fruit juice in Malaysia. The second drink, Pop Ice is sold for RM 1.50. Imogyzstan feels this is cheap as Pop Ice is a limited edition Indonesian Indone sian drink.
3. Advertisin Advertising g and promotions promotions The advertising is one of the most important parts of marketing. Imogizstan will promote their products through brochures, flyers and of course the internet. Online presence is also an important aspect. The group will advertise and promote online through Friendster, Yahoo Messenger, MSN and their website, www.unitypreneurship.blogspot.com www.unitypreneurship.blogspot.com..
Section 4: Operations A. Identi Identify fy Locat Location ion
The stall Imogyzstan are going to operate in is located at Misri Plaza in between the FIT building, and the Grand Hall. This location is quite strategic as many students from FIT pass by and the location is also near ne ar to the library.
B. Prox Proximi imity ty to suppli supplies es
The supplies that are needed for the group to conduct the business have been bought from the local supermarket supermarketss such as Carrefour Carrefour and Tesco Tesco at the very beginning beginning of the selling process. The ready supplies are light to carry and bring to the booth every morning. The main problems are the water and electricity supplies. This has been solved though as they have talked to the Facilities Management Division (FMD) and the FMD has explained where they can get these needs.
C. Access Access to to Transpo Transportati rtation on
Misri Plaza is located near the parking lot so it is quite easy for Imogyzstan to reach the venue. However, as it has been mentioned before the group has decided to buy the supplies for their business at one time as to save up the capital used for the transportation expenses.
Section 5: Management Structure Uddy Hadyawan will be the group leader. He will make sure everything is in
order, dividing jobs to everyone equally and basically guiding everyone. Astrid Pratiwi and Mitta Mahardhika Rachman will be the secretaries. They
will record every activity done inside the group. Guljan Musaeva and Andy Eka F.D. will be the treasures. They will hold all
the capital and keep track on the income income and costs. Also Also they will develop the financial accounts. Chandra Leo , Hafi Hafidz dz Hasr Hasra a and Antho Anthony ny Nur Hasan Hasan wil will be in the Chandra
Mark Market etin ing g Depar Departm tment ent.. They They will will handl handlee any prom promot otio ions ns and and rese resear arch ch developments for the project.
, Enkhtsatsral Enkhtsatsral Ulzii-Orshik Ulzii-Orshikh h and Angeline will be Sainbayar Ikhagvasuren
in the Production Department. They will make sure that the supply of foods and drinks are enough to satisfy the existing demand. Dewi Anggrai Anggraini ni Winat Winata a and Berlia Berlian n Karlin Karlina a wil will be in the the Onli nline Dewi
Department. They will hold the online orders and online presence on the net as well. Alge Septriono and Ari Wibowo will be in The Logistics Department. Its main
objective is to deliver the customers’ orders in a precise time and handle the utilities that are required by any departments during the project.
Section 6: Finance
Cash Flow , Profit and Loss
Cash Received Cash Sales
125*RM1.00=RM125 20*RM1.7=RM34 *5days=RM625 *5days=RM170
Magic Fruit Juice
Total Cash Received
Huushuur Expenditure Direct Cost: Production
Magic Fruit Juice
Toasted Bread RM79.18
Indirect Cost: Utilities
Total Cash Spent
The group’s break-even Analysis is based on the average of the five-day total sales sales figures figures by units, units, and by operatin operating g expense expenses. s.
These These are presente presented d as per-uni per-unitt
revenue, per-unit cost, and fixed costs. These assumptions will make for a more accurate esti estima mate te of real real risk risk.. The grou group p shou should ld brea break k even even by the the second second-t -thi hird rd day day of its its operation as it steadily increases its daily sales. Break-even Analysis
Units Break-even Revenue Break-even
900 units RM475.87
Average Per-Unit Revenue
Average Per-Unit Variable Cost
Estimated Fixed Cost
Cost controls and Budgeting Plans
The main objective of the group is to gain as much profit as possible incurring the minimu minimum m possib possible le expense expenses. s. Such Such reduced reduced expense expensess may include include transp transport ortati ation, on, marketing, utilities. For example, the marketing-advertising expenses can be minimized by the use of the potential of the internet facilities (messenger, online blogs, etc.). For this reason the most part of the collected capital is going to be spent on the purchase of the raw materials for the production of food and drinks. In the end of the project, each group member should get his/her money invested initially (RM30 each); then by subtracting this money and total expenses from the amount of the Total Revenue the Net Profit is to be calculated.
Section 7: Critical Risks A. Potent Potential ial probl problems ems and risks risks
There are many problems that this type of business can create. The most serious one is not attracting enough customers. Another problem is the customers not being interested in the produc products ts offer offered ed for sale. Lastly Lastly, weathe weatherr is one of the factors factors that that should should be considered.
Alternative courses of action B. Alternative
If Imogyzstan cannot attract the customers to their stall alternative courses of action must be upheld. upheld. Imogyz Imogyzsta stan n can overcom overcomee this this by carry carrying ing out effec effectiv tivee adverti advertisi sing ng and promotion. promotion. The group plans to overcome this by giving giving out free samples, so that people can try out the tasting tasting first. One alternative thing is to come to the customers customers instead of them coming to the stall. As for the weather factor, factor, Imogyzstan Imogyzstan has got a canopy for the booth and some umbrellas, which can be used both when it’s sunny and hot and when it’s raining.
Section 8: Milestone Schedule A. Timi Timing ng and Obje Objecti ctives ves Week 3
Tuesday 20 November 2007: 1 st meeting. Collecting Collecting ideas on the kind of business business to conduct: food and drinks, services, services, trip, trip, selling T-shirts, etc.
Wednesday 21 November 2007: 2 nd meeting. Gathering ideas and potential information on 1. T-shirts; T-shirts; 2. Food and drinks.
Sunday, 25 November 2007: 3 rd meeting Sampled product Huushuur and decided the price of huushuur.
Monday, 26 November 2007: 4 th meeting Decided Decided prod product uctss to sell sell : Huushuu Huushuur r Toast bread Fruit juice Pop ice Cancelled T-shirt T-shirt selling (supply problems; high costs) Filled up “booking details” form in FMD.
Wednesday, 28 November 2007: 5 th meeting Treas Treasurer urer
: Capital Capital agree agreemen mentt (RM30 (RM30 from from each group group member member))
: Bought ice cube : Bought raw materials (from Tesco Tesco supermarket) : Submission of the booking form.
Asking for signature from Mr.Omar (STAD).
Thursday, 29 November 2007: 6 th meeting Capital submission: RM 450 “Booking form” front of the library; however, however, the new problem in booking a place; desired location - in front policy accepted by which students are not allowed to sell in the library foyer in week 5. Canopy. New problem: Canopy.
Saturday, 1 December 2007: 7 th Meeting Bought materials for products in Tesco and Carrefour. Carrefour. Found the canopy for the booth.
Monday, 3 December 2007 Started selling the products successfully. successfully.
Appendix Example of our flyers also a satisfied customer