Business Term Paper

Submitted To :

Leo V. Dewri

Lecturer, Department of Business Administration,

East West University.

Course: BUS-101

Sec: 03

Submitted By :

On behalf of the Group 3,

Taibul Islam (2013-3-10-020)

Page | 2

Leo V. Dewri,

Lecturer, Department of Business Administration,

East West University

Dhaka- 1212.

Subject: The Letter of Transmittal.

Dear Sir,

We have successfully prepared a term paper on “Organization Overview”, which we are

submitting along with this letter. It was a very good experience for us while we are collecting the

information for the preparation of this term paper. We hope that, all the experiences we have got

will help us in our near future. Thank you sir for inspiring us and giving us the opportunity to do

a practical work by submitting this term paper. If we did any mistake in the preparation, please

guide us for correcting all of them and gather more experiences than before.

We hope that this term paper will fulfill your expectations and requirements. Thank you very

much for your kind consideration and guidance. The acknowledgement letter is also included.

Regards,

On behalf of the Group 3,

Taibul Islam (2013-3-10-020)

Page | 3

Acknowledgement Letter

This term paper may not be possible without the supports of some peoples. The term paper

author, “Taibul Islam” wishes to express his gratitude to the group members for providing the

supports, what was necessary during the preparation of this term paper. Author’s another group

member helps the author while selecting the organization and while collecting Trade License

with all the required information for the term paper. The author wishes to express the deepest

gratitude to “Mamun Mia”, the owner of the organization introduced in this term paper, for

helping the author and other group members to complete this term paper. Without the help of

other group members the term paper would not have been successful. The author is thankful to

all his group members for sharing the literature and giving assistance. The author would also like

to convey thanks to “Leo V. Dewri”, the Lecturer of the East West University of Bangladesh for

inspiring and giving the opportunity to research over a business and then submit it with the term

paper. The author also wishes to express his love to his family members for their understanding

and their endless love, through the duration of his research work.

Author:

Taibul Islam

I.D.:2013-3-10-020

(Written on behalf of the members of the Group 3)

Page | 4

Instruction followed

This term paper is written with the instructions given by Leo V. Dewri, the course instructor. So,

below is the list of the instructions followed while this term paper by the Author.

1. The “Times New Roman” font is used as the default font

2. The default font size is 12 for the entire Term Paper

3. The default font size is 14 for the headings of the entire Term Paper

4. The entire Term Paper is highly and perfectly aligned Term paper

5. The spacing between the lings is 1.5 for the entire Term Paper

Background of the Study

The entire Term Paper is prepared by taking direct interviews. The Business Organization is

about to being introduced in this Term Paper is a very remarkable business organization of its

kind or class. The study of over viewing the business was a very wonder practical work and the

practical work involved so many technical works. The study was actually started and end within

the given time. Every single success things learned from the study is included with this Term

Paper and this Presentation over this Business Organization.

Page | 5

Index

Content Sub Content Page Number

About the Group 3 List of the Members of the Group 3 6

Organization

Introduction

Business name and Contact number, Type of the

Business, Entrepreneurs Background

7

Products and Services List of the product, Product Sources, Pricing 8-9

Managerial Functions

Applied

Planning and Organizing, Maintaining and

Stuffing, Directing and Controlling

10

Organizational Chart 11

Resource Management Resource Managing Cost, Personnel Required,

Analysis of Monthly Fixed Cost, Size of Business

12-13

Capital Management Capital Amount, Capital Source, Financial Status,

Financial Reporting and Financial Statement

Management

14

Business Analysis PEST Analysis, SWOT Analysis 15-18

Business plan for the

business

19

Conclusion 20

Trade License 21

Page | 6

About Group 3

The Group 3 is a group of 5(five) members of the third section for the course BUS101

(Introduction to Business) of the “fall” semester of the 2013. The group was formed at

September of the 2013, under the supervision of the section lecturer “Leo v. Dewri”. The Group

is toughly & successfully leading by “Taibul Islam” from the formation of the group.

The Group 3 is called the best group of its section because of its research works. The group 3 is

the first group of its section to submit the first Term Paper in the right time. Additionally, the

members of the Group 3 are the high and top scorers of the section and they are one of the best

hard working students of the class with much more interested in the projects. The Group 3 is the

most creative group of all.

List of the Members of the Group 3:

Fahima Jahan (2013-3-10-205)

Md. Zahid Hassan (2013-3-10-122)

Md. Rokanuzzaman (2013-3-10-118)

Taibul Islam (2013-3-10-020)

Tanvir Ahmad (2013-2-39-033)

Page | 7

Organization Introduction

Business name: Taste o` Flavor

Official Business Address: Road-71, House-9/D, Gulshan-2, Dhaka.

Official Business contact: 01752265446

Date of the Business Establishment: 29th September, 2010

Type of Business: Restaurant

Type of the Business Entity: Sole Proprietorship or Sole Trader Business

Entrepreneur’s/Business owner’s information

Entrepreneur’s/Business owner’s Name: Mamun Mia

Entrepreneur’s Residential Address: Boro Baradia, Badda, word no.6 , Dhaka-1212

Entrepreneur’s Phone Number: 01752265446

Now the Taste o` Flavor is in 3rd

year, maybe they will increase more than their prediction. And

for our loyal customer they’ll take extra care which they supposed to want. For their better and

quick service, they want to develop their technological side and they want to buy more machines

when they invest more capital.

Page | 8

Products And Services

Their Menu:

1) Fast Food

2) Cake

3) Bakery

4) Soups/ Salads

5) Beverage/ Juice

6) Ice-Cream

7) Tea / Coffee

As a fast food & ice-cream shop they provide all kinds of fast food and ice-cream. All foods can

be distinguished for each personal such as heavy spicy or regular flavor and also the children

appetite.

In fast food item there is burger, pizza, Hotdog, patties, noodles, chicken fry, sandwich, salads

and many others with their respective categories.

And their ice-cream items are Vanilla, Strawberry, Black forest, Nuts Fruits, Pistachio, Meringue

Glaces, Stracciatella and etc. For pastry item they serve Vanilla Pastry, Ganache, pishtachid,

mango mousse, fruitetart, Soffiato, white ganache and many others familiar items.

A burger is only as good as the ingredients that make it. Red, ripe tomatoes, fresh lettuce and

onions, crunchy pickles you name it and all the item of burger will made by the machine, no

handmade items.

During the launch time and for dinner time they provide Chinese food. As a greater number of

Muslim community country therefore they serve people only with chicken, beef and fish like

shrimp and prawn but later they will also provide mutton and lamb in the menu.

In each respective product we specially observe the quality and the nutrition fact, so the

customers can easily have their food with satisfaction. The raw material they use for the food as

the best quality which can be compared as any other multinational fast food chain product like

Page | 9

Pizza Hut, KFC and Wendy’s etc. Suppose the quality of bun, oil, meat, fish and vegetables

which they provide from outsource will be taken a special care with extra paid money than any

other. Such as the outsourcer will only get the contract if it is in good quality or not.

Product Sources: The Business has different suppliers as its product sources. Most of the time,

the suppliers deliver products to the business location. But, some of the items are collected

personally because of the quality of the products.

Pricing: Their price level is so affordable for the customers. If anyone buy one particular food

item pricing upper then 600 taka then he/she will get another food item costs about 150 taka free.

Page | 10

Managerial Functions Applied

Planning and Organizing: In the managerial functions, planning means deciding the actual

thing which is best for reaching a particular goal and the organizing means the steps to take for

making plan successfully. It contains descriptions of detailed tactics to be carried to achieve the

objectives and goals established. Bases on plan on this matter, Taste O` Flavor always choose the

right decision. For that this business is very much growing in the area it is now and they keep

their position running almost three years in their reaching goal. Now, they want to turn their

business in Baridhara area to serve their customers needs and choices from them.

Maintaining and Stuffing: In the managerial functions, maintaining means keeping everything

at the same level or rate and the stuffing means the selection, placement, training, development

or compensation of staffs. The profit of the business is rapidly growing and maintaining the

profit ratio. For that, all the staff of Taste O` Flavor get their good compensations and benefits of

their need.

Directing and Controlling: In the managerial functions, directing actually means giving

instructions, initiating, actions, issuing directives or making the assignments and the controlling

means making everything perfect or checking if stuffs are following commends for reaching

goals. The business is directly direct by the business owner or entrepreneur. The business owner

is so good in directing and controlling for that the profit and fame of this business is rapidly

growing. For achieving the planned goal, the business owner already controls stuffs, expenses,

customer’s services and some other thing. They provide excellent customer service and every

year we will try to give reward to our best staffs. They will not compromise with their services

and they’ll try to customer’s heart by providing them best service.

Page | 11

Organizational Chart

In every organization the Chart of a graphic blueprint or map of positions, people, and formal

authority relationships has been done. There is a Chart about Taste o` Flavor is bellow:

CFO/Director

/Store manager

Cook-I

(Fast Food)

Assistent Cook

Cook-II

(Chinese Food)

Assistent Cook

Waiters Sceurity Gard Delivery boy

Page | 12

Resource Management

Resource Managing Cost: The business has sufficient resources for doing their business

profitable. The resources of the office equipments are given bellow:

ITEMS NUMBER

Computers (full sets) 2

Chairs & Sofas 12

Cabinets/ Office staffs 2

Tables 4

Air Conditioner 3

Cleaning Equipments 5

Light 8

Fan 3

Personnel Required: There are two departments working in the 24/7 Shop: Office and Store and

Outlet. Among four of the directors three will be individually responsible for the Finance and

Accounting, Marketing and Sales and Human Resource department. The other two will be

responsible for coordinating the whole process and the security system.

Analysis of Monthly Fixed Cost: For any financial feasibility analysis is very important to a

clear idea about fixed cost because no matter what happens to sale, the amount of fixed cost will

remain same and must be paid as long the particular business continues. That is why they have

done a through analysis of their monthly fixed cost, which will also help us in preparing a correct

income state.

Page | 13

Taste Ó Flavor

Monthly Fixed expenses

SL

no.

Title Description Amount Total

1 Land Rent Monthly 30000 30000

2 Salary Monthly 90000 90000

3 Utilities Water, Gas,

Electricity, Dish

1000+1200+8000+1000

12,000

4 Maintenance Floor and toilet

cleaners, dish cleaning

liquid, detergents, air

fresheners, aerosol etc.

4,000

4,000

5 Generator fuel Diesel 30x2x44

3,420

6 Motorcycle Fuel Petrol .5x30x76

975

7 Motorcycle

maintains.

Lump sum 500 500

8 Miscellaneous

Expenses

Lump sum 2000

2,000

Total 142,895

Size of Business: The business is in Gulshan-2 outlet around 1800 sq feet. They allocate the

space to decorate with the product shelves, freezes, beverage vending machines and cash counter

in a specific manner that portrays the commitment and delicacy of our shop. They also have an

office and a store keep our stock inventories along with their outlet. The total rental expense for

the whole business will be around Tk 1, 80, 000 per month. The prime concern will be the

security because at night in Bangladesh the crime rate is very high. For that, they decided to have

CCTV surveillance and security lock system so that it is possible to identify and catch the

criminals.

Page | 14

Capital Management

Capital Amount: 12,000,000.00 BDT

Capital Source: Personally Managed Finance

Financial Status:

Year Annual Revenue Annual Profit

2011 12,717,038 531,034

2012 17,611,803 4,869,769

2013 25,320,491 7,558,978

After having a clear idea of revenue and cost of goods sold it is possible to come up with an

Income Statement. They first found out monthly salary and all other fixed cost. They use straight

line depreciation method for depreciating the value of the fixed assets. And they calculated that

the depreciation for each year will be BDT 921,676 over the 10 year. They hope in the end of

every year they will be able to reach their estimated daily sales and later also.

Financial Reporting and Financial Statement Management: As the business is not a

partnership or limited liability business, the business owner always maintain a clear and standard

statement. They use computer to keep the record and count all the finance form past to present.

They first record the daily record than count monthly and than yearly, that’s why they able to

know the actual financial process.

Page | 15

BUSINESS ANALYSIS

Bangladesh is experiencing the growth of economy at a constant rate. New business is coming in

the market. The recent political stability is working as a blessing for the entrepreneurs to start

their dream project. This actually gives us the green signal to start a business which is very

unique and which meets the current demand of this fast-paced lifestyle. In Bangladesh, the trend

of ready to serve food store business is increasing day by day Fast food industry is booming in

our country. The people especially the young generation & teenage are getting habituated with

fast food. People are doing lots of fun at fast food shop. Every few day shop is arrival new items.

So people rush to the shop. People all time think about healthy and quality food. There are many

fast food shop which food is tasty people like to go that shop. Every shop has their individual

identical image. These businesses profitable so more and more shops are coming up to open their

business. Therefore, we see a very clear view of a great industry in the making.

For that a clear Analysis on Taste Ó Flavor is given bellow:

PEST Analysis

Political Factor:

In Bangladesh always suffers instable political situation. This is a major drawback to keep a

business in our country. So, keeping a good relation with the government officials. Employment

laws defiantly be favorable in terms of dealing with the staffs. They always try to keep this kind

of factors.

Economical Factor:

Bangladesh is started as newly emerging economical country. Many new ventures are emerging

so high recently. Taste Ó Flavor also try to keep their all financial statement to reach their goal.

Social Factor:

As Bangladesh has turning a very fast paced life style, people wish to have a store around the

corner where they can find anything. The business shop is in that place what people need. And

they always try to keep the social factors as much as possible.

Page | 16

Technological Factor:

In this 21st century, all people use technology as their need and work perfectly. And the sectors

we see all around of as we’ll find them all are use technology as far as possible. That why,

“Taste Ó Flavor” also use technology to manufacture foods and keep financial statements.

SWOT Analysis

Strength

They are the best among in our area

In this area, there are no other food shops so now Taste o` Flavor is best as new food shop.

They provide quality service

So far, they planned for their business, the owner decided to put more emphasis on providing

quality service. They know for a business, it is very important to pay attention to the service

quality as it attracts customer.

Average price

In the shop, food price is average from other shops so people can buy food in less afford.

Extensive marketing strategy

They mostly emphasize on marketing and advertising activities and run promotional campaigns;

advertise on newspapers, banners and many more.

They have tasty food item

They have our own specialty for making food. Which make them different from other shops.

They have impressive decoration

When customers are entering in ours shop, they found homey environment. On the other hand,

the shop used all different furniture. People can feel relax to come this shop because of this type

decoration.

Page | 17

Weakness

Brand unawareness

Unawareness of our brand among customers is our main weakness. But we are able to

overcome this obstacle at the very first stage through extensive advertising and promotion. It is

very tough thing to maintain as well.

They could not be able to train their employees

We all know that trained employees are asset for an organization. So he has fewer amounts of

workers. He doesn’t have any human resource department to train workers.

Lack of knowledge

As they are very new in this business and this is the first time that they have come up with such

idea, it is obvious that will have lack of service knowledge.

Limited capital

He has limited capital. But gradually he makes profit, when he just started business and he

invested little. So,he can’t add more item because of new business it’s tough to handle huge item.

Few employees

Now shop has a small number of employees. When business will increase, he recite more staff.

Opportunities

Expansion in other areas of Bangladesh

They start their shop at nice place. So, they’ll also be able to expand our business in different

parts of our country. Lowly they invest more.

The owner of the business are educated

The business owner is educated and studied in the field of business. In market environment, he

often observes that many business fail due to the lack of education of the founder. But in that

case the situation is different.

Entrepreneurial opportunities

Because of the all time taste are changing and there are need to change products too. He will be

making innovative services for food, as time will change.

Page | 18

Adding new item

They have opportunity for adding continental food items.

Changing customer choice

People are most of the time pick common or regular item. When offering Mexican, Italian,

various type Indian, Thai, Chinese food then people start pick different one.

Create branch

After people knowing they want to open our more shops. At many areas which is very common

place and well known in Dhaka.

Threats

Huge competitors

It is a very profitable business. Though they have few competitor but they think within few

days they face huge amount of competitors like KFC, BFC, Pizza Hut etc.

Political environment

In our country, Political situation is not good at all. It always inhibits the growing of business. In

this case, they can face problems to run our business due to politically unfriendly environment.

Changing price

Now they charging average price but when product price will increase or they recruit more staff

then few amount of price will changing so customer can misunderstood us.

Tax increases

All time tax rates are up downing so its pain full for business.

Increasing land price

In future, they want to rent or buy more shops so if land price increasing day by day it bad for

them then they need more invest and they will taking land in high price.

More health conscious customer

Some customers are become more health conscious they think about fast food it is junk food.

Page | 19

Business plan For the business

Chart1: This chart is about the rate of Annual revenue of “Taste o` Flavor” with the competitors

Chart2: This chart is about the rate of Annual profit of “Taste o` Flavor” with the competitors

Here these two chart is a rate of “Taste o` Flavor” with the competitors in the area it is situated

from 2011 to 2013 by the term of financial statement.

0

50,00,000

1,00,00,000

1,50,00,000

2,00,00,000

2,50,00,000

3,00,00,000

2011 2012 2013

Taste o` Flavor

Competitors

0

10,00,000

20,00,000

30,00,000

40,00,000

50,00,000

60,00,000

70,00,000

80,00,000

2011 2012 2013

Taste o` Flavor

Competitors

Page | 20

Conclusion

The Business Owner showed his pure honesty in the interview, taken for preparing for the term

paper. An honest businessman is a precious asset for a country. The information collected from

the Owner were verified by our Group 3 and found everything correctly and as stated by the

business Owner. In the interview we all were impressed by the Business owner for his kind and

friendly behavior.

At the conclusion it is clear that, the business Organization, what is introduced with this term

paper, is in a good condition by compared there financial status. And the spirits of the Business

Owner is so much helpful for running this business and reach that goal what this is wanted. As

an entrepreneur the owner of the business did a good job by achieving profit continuously. So,

for maintaining the profit and recovering the unexpected losses the business owner should be

more conscious. All businesses will experience ups and downs. So, if the Business can maintain

at least its position till the end of the current situation, the business can be a highly profitable

business and be a leading food corner in the area.

Page | 21

Trade License

The way of getting the Trade License: Direct Application Submission

The business Owner submitted an application for the trade license to the local Trade License

Authority and his application become successful at 29th September, 2010 by approving for

trading.

Documents submitted with the Application:

1. Attested copy of the Rent Receipt or the Rental Agreement

2. Attested copy of the Holding Tax Payment Receipt with 2 passport Size Photo

All of those documents were submitted to the Tax Department of the Dhaka City Corporation.

Area of the tax department of the Dhaka City Corporation: Area 09 (Gulshan-2, Dhaka)

Trade License Authority: Tax Department of the Dhaka City Corporation.

Photocopy of the Trade license: Attached at the end part of this document.

The Photocopy of the Trade license, which is attached with this document, is directly given by

the business owner. The interviewers have seen the main copy of the License and ensuring that,

the Trade License used here is original.