Sunshine Stationery Shop Foundation Project
-
Upload
kdevkishin -
Category
Documents
-
view
56 -
download
0
description
Transcript of Sunshine Stationery Shop Foundation Project
Sunshine stationery shop foundation project
Prepared expressly for
Mr. Ming li
Director
Huayuan Branch Office
Bank of Communication
Table of contents
Part 1 Finding Problem(s) . . . . . . . . . . . . . . . 1
Unit 1 Current Business Analysis . . . . . . . . . . . . . . . . 1
Unit 2 Focus Group Report . . . . . . . . . . . . . . . . . . . . . 3
1
Unit 3 SWOT Analysis . . . . . . . . . . . . . . . . . . . . . . . . . S
Part 11 Deciding the Project objective(s) . . . . 7
Unit 1 objective SMART Analysis . . . . . . . . . . . . . . . . . 7
Part 111 Planning the activities . . . . . . . . . . . . . 8
Unit 1 Action plan & Activity Chart . . . . . . . . . : . . . . . 8
Unit 2 Cost Breakdown . . . . . . . . . . . . . . . . . . . . . . . . 12
Unit 3 Risk Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Unit 4 Project Framework . . . . . . . . . . . . . . . . . . . . . . 16
Part IV Presenting Proposal for Project . . . . . . 18
Unit 1 Executive Summary . . . . . . . . . . . . 18
Unit 2 Proposal for the Project . . . . . . . . . . . . . . . . . . . 22
Part 1 Finding Problems
Unit 1 Current business analysis
Sunshine stationery shop, it is a new business project exists in
Ruawen Road, where there are several schools, including one
primary school, one middle school and a vocational school. It is
the only stationery shop 'in this street .It mainly carries ball
pens, pens, pencils, pencil-boxes, erasers, notebooks, backpacks
and other kinds of stationery for different ages of the students.
2
The main business of the Sunshine stationery shop is going to
sell stationery covering all kinds of pens, pencils, ball pens,
rulers, pencil-boxes, notebooks, envelops, etc. It also carries
things for albums and letter papers, sharpeners.
It usually has a stock of 18,000 stationery which increases
when. a semester starts and decreases by the end of school year.
The different ball pens with colorful designs and advanced
functions, various size of the notebooks, all kinds of smell of
erasers always enjoy a high rate.
Customer profiles
The majority of the customers of the stationery shop are
students:
The primary school pupils, who are a some percentage of
the amount. They need more pencils, rulers, erasers, and
exercise books than other groups of customers. Also they
need white paper a lot because of their age stage.
According to their age character
Middle school students, who are the main power of selling
account. The number of the middle school students needs
a lot of ball pens, notebooks, and cute pencil-cases, etc.
3
They are keen on beautiful and fashionable covers of the
notebooks. These smart things will attract students
greatly. Meanwhile, they have more pocket money than
pupils.
Vocational school students, who carry heavier burden of
studying than middle school students. That means they
need more ball pens, pens and notebooks. With the
increase of the age, they would like to use individual
things which can show their individuality greatly.
Non-student customers Include:
School teachers, who also need to buy some useful and
helpful stationery for their teaching, such as red ball pens,
rulers, red ink and medals.
Residents living near to the street also need to consume
stationery.
Clerks in some corporations of this street.
Some passerby.
Unit2 Focus groups report
To get a clearer idea of the views and opinions of customers,
4
three groups were organized; the focus groups were as follows:
10 primary school pupils.
8 middle school students.
8 vocational school students
A basic list of questions were prepared, but the discussion
with each focus groups were allowed to be free and open:
Questions:
What do you need in the stationery shop?
What do you want to buy most?
How often do you visit the stationery shop?
What most often disappoints you when you come to the
shop?
What do you think of the price s the stationery shop
offers?
Do you think the shop assistants are helpful?
What do you think of the business hours at present?
What do you do when you can't find the thing you are
looking for?
Do you usually find the stationery you need?
What kinds of stationery are not available now, but which
you or your friends would like to buy?
What additional services would you like to see?
5
What kind of stationery do you want to buy most?
Complaints:
The size of the shop is not big enough to hold more than
fifteen customers.
The shop assistants, lacking experience of working in a
stationery shop, cannot give appropriate help when asked
to do so.
The color and style of the stationery can not satisfy the
need of the various customers.
The present business hours are rather short. Students
would prefer to visit the shop after evening class.
The Sunshine stationery shop lack the convenient
equipments for residents, such as photocopier, a printer, a
fax machine and a IC telephone.
There is no place to sell popular superstars souvenirs for
students' fans.
Suggestions:
The stationery shop should add working hours to fit the
need of the marketing.
6
The stationery shop should install a photocopier, a printer,
a fax machine and a IC telephone.
Stock some the most popular superstars' sonvenirs to
satisfy the students' need
The management should often do some surveys to get the
newest the tendency of the goods
The layout of the stationery shop should be comfortable
and bright.
The management should often do some surveys to get the
newest tendency of the current stationery and the favor of
the students.
The stationery shop should put a recorder to play the hit
songs to attract the students.
Unit3 SWOT Analysis
Strengths:
The stationery shop is the only one to serve the pupils and
the students who need ball pens, rulers, erasers,
notebooks and pencil-cases for their study.
The cost of the new shop is low, this allows the Sunshine
stationery shop to have lower prices. It is more
7
competitive.
The fashionable decoration meets the students' need.
The stationery shop purchases directly from wholesale, so
it can offer larger discounts to the customers than the
retail's outlet.
The salary of the assistants and the rent of the shop are
low, this allows the stationery shop has lower price.
It is the only place to sell the popular, superstars
souvenirs, which are the students' favorite things.
Weaknesses:
It is impossible to expand the stationery shop at the
present location, because companies and firms are
occupying all the houses around.
The prices of the stationery are not low enough so that
some customers may choose another stationery shop to
buy something what they want.
The space of the stationery shop is not large enough to
contain more customers.
The assistants facial is not vivid .It is hard to attract the
students.
The working hours are shorter than other stationery shop.
8
There are no advertisements for the Sunshine stationery
shop, so no more people know about it. The numbers of
the customers are fixed. It is hard to add the new
customers.
Opportunities
The students of three different schools are the steady
customers of consuming.
More and more companies appear nearby, they also need
vast stationery.
There are three schools in this area, but there is no decent
stationery shop around
Sunshine stationery shop can supply the demand of
different levels of customers.
It is difficult to find a place to copy files and fax files.
The students cannot find a place to telephone when they
are in trouble or something urgent.
It is a good place for students to communicate each other.
Threats:
High qualified ball pens and pencil-cases cost a lot, so the
price of these stationery are not low. This will encourage
9
people to use recycled pens rather than to use ball pens.
There is going to be a new department store in the next
street. I t Will supply all kinds of goods, including
stationery. Maybe the prices of the stationery in this
department store are lower than Sunshine stationery
shop.
On-line stationery shop that offer discount stationery are
attracting more and more customers.
Other convenient shops will sell stationery as their by
work in order to increase the business volume.
Part II Deciding the project objectives
Unit I Objective SMART Analysis
Smart stands for five words: Specific, Measurable, Agreed,
Realistic and Time-bound
Specific
I set up this stationery shop to supply convenient services for the
students nearby: There are three different schools in the street,
so the aim of the shop is very clear: to serve the students whom
are the main customers. The shop will offer the best services to
10
meet the customers' need.
Measurable:
The Sunshine stationery shop is expected to increase the revenue
by 30,000yuan the first year and by 40,000 to 45,000 in the
following year.
Agreed:
To establish a stationery shop is a promising job, so I my partner
and, I have the agreement. We realize that to run a stationery
shop is our own enterprise.
Realistic:
Because of the good commercial environment,' there are three
different schools and over 2000 students, this is the only
stationery shop in this area as well, so the prospect is very
optimistic. My partner is very familiar to the management and
good at accounting. The stationery shop will solve the problem of
consumption.
Time-bound:
I set up this stationery shop borrowing money from Bank of
11
China. I loan 20,000 Yuan from the bank. According to the profit
every year, in ten years I can pay back all the loan and interests.
Part III Planning the activities
Unit 1 action plan and activity chart
By the end of Week one
Identify and negotiate the rental of the new premises.
Sign the contract to use it.
By the end of Week Two
Design the new stationery shop layout.
By the end of Week Three
Sign the contract with the decorating company to decorate
the new shop
Order new counters and equipment.
By the end of Week Four
Start decorating the shop
Select consultants.
By the end of Week Five
Have the first consultant meeting
By the end of Week Six
Hire the new shop the assistants
12
Order new stationery based on the decision made at the
consultant meeting
By the end of Week Seven
Start training the new shop assistants
By the end of Week Ten
Check and accept the decorating projects
Publicize in the street the Sunshine stationery shop open
By the end of Week Eleven
Get the new equipment delivered and installed
Install the new counters and shelves in the new shop
Clean the new shop
By the end of Week Twelve
Get the new stock delivered and put on the selves
In Week Thirteen
Hold the opening ceremony
In Week Fourteen
Get ready for selling
Unit 2 Cost breakdown
Rental cost: the new premises would cost RMB40, 000 to rent
each year.
13
Decorating: the purchase of building materials and the labor
cost for the new shop would be RMB120, 000.
FLOORING 20,000
LABOUR COST 60,000
CEILING 7,000
LIGHTING 95,000
LUMBER 5,500
PAINT 51000
CEMENT &PUTTY 2,500
WONDOWS - 9,500
GLUE&TOOLS 1,000
EQUIPMENT: The cost of equipment in the new stationery shop
would be RMB71,000
GOODS SHELVES40,000
AIR CONDITIONERS 10,000
OFFICE SUPPLIES 1,000
OFFICE FURNITURE 2,000
BUDGET: The annual increase in the operating budget would be
RMB 16,000
WAGES 12,000
UTILITIES 2,000
14
EQUIPMENT MAINTENANCE 1,000
CONSULTANTS FEES 1,000
TOTAL COST OF PROJECT
INITIAL COSTS: DECORATING 120,000
EQUIPMENT 71,000
SUB-TOTAL 191, 000
RECURRENT COSTS: RENTAL40,000
OPERATING 16,000
BUDGET
SUB-TOTAL 56,000
TOTAL COST 247,000
Unit 3 Risk analysis
People-related:
The new assistants may not good at selling goods at all.
Some customers may pilfer from the stationery shop.
Some customers may not satisfy with the environment of the
shop.
15
Time-related
The newly ordered shelves may not arrive in time , causing
delay in the opening of the new shop.
Three different schools may open their own convenient shops
in the campuses in future.
The assistants may not be trained well until the eve of the
opening ceremony.
The working hours of the Sunshine stationery shop are
similar to the time of school, the most working hours face no
students, when the school time is over, the stationery shop
will be closed.
Product-related:
The loan may not be obtained from the bank.
The new stock may not cater to the interests of the customers.
The whole decoration cannot reach the standard of the
management.
Three measures:
Try to avoid the risks, i.e. to prevent the dangers from
happening, e.g.: carry out market research among target
customers to improve the popularity of the stock
16
Prepare alternatives beforehand in case the dangers actually
happen, e.g.: contact more clerk candidates as substitutes in
case the employed are not qualified.
Set aside a certain percentage of the total budget as
contingency allowance to take account of the unexpected
risks, for example:
To cover the pilferage loss
To cover the re-decorating expense
Three more Items should be added to the total costs:
Public relations 2,500 Yuan per year
Market research 1,500 Yuan per year
Contingency allowance 2% of the annual profit
Unit 4 Project Framework
Narrative Objectively Sources of Assumptions
Summary verifiable information and risk
indicators
Goal or Aim To establish a Student and Opinion survey
new stationery staf opinion two years after
and meet project
student implementation
demands for
better and wider
services
Purpose or 1.To increase Revenue and Stationery
17
Objectives revenues and profit figures financial
profits by records
20%and 30%
respectively
within 2 years
2.To raise the Increased Stationery
profile and number of records
improve student.
competitiveness
of the stationery
shop within 2
years.
Outputs 1.Large enough Existence of Observation 1.That the
new
premises new shop stationery shop sales staff are
2.Additional new services records competent and
services on operational honest
offer, these and in regular 2.The new
include: use department
"Comfortable store appears
sofas 3.That the
*Photocopying advice on new
stationery to
3.A functioning Regular Minutes of stock is correct
group of staff advice on consultant
and student stock and group meeting
consultants services
Narrative Objectively Sources of Assumptions
verifiable
summary indicators Information And risks
ACTIVITIES 1.Identifdy and 1.Rental Project 1.That there
are I
negotiate agreement
implementation no
rental of new signed diary interruptions
premises and delays to
2.Design new 2.Design given the decorating
stationery to contractors of the shop
shop layout 2.That the
3.Order 3.Orders contractor uses
equipment and placed good quality
furniture materials
18
4.Install
equipment in
new shop
5.Order new
stock
6.Train new 4.Job offers
staff made and
7.Hold contracts
opening signed
ceremony
8.Identify 5.Consultants
consultant accept
group of staff appointment
and students
9. Hold initial
consultants
group meeting
INPUTS Human Equipment Financial That the bank
Additional Photocopier 247,OOORMB will be willing
to
sales staff Computer new as a loan from
lend the money
display the industrial
shelving and
Additional till commercial
bank
Part IV Presenting Proposal For Project
Unit 1 Executive summary
I want to establish a new stationery shop (Sunshine stationery
shop), because there is not any stationery shop in Huawen Road.
The new stationery shop `s site is that about 140square meters
and all will offer new services demanded by customers.
19
The project will bring increases in revenue and profit by 40%
and 50%respectively in the first year and will do more in the
years to come.
The shop need 247,000yuan to establish and decorate the new
bookshop, purchase new equipment, stock with new stationery
and offer new services.
The new stationery shop will surely satisfy the customers' needs,
increase the revenue and profit, and improve the financial
statements.
Sunshine stationery shop, a privately owned, mainly carries all
kinds of pens, pencils, ball pens, rulers, pencil-boxes, notebooks,
envelops, etc, and various best sellers for students, teachers,
clerks in nearby companies, and local residents. It is located next
to three schools, and attracts a lame number of customers.
The new stationery shop would allow us to increase the revenue
and profit by 40%and 50% respectively one year after the plan
is accomplished and increase more in the years to come.
Unit 2 proposal for the project
20
New promises:
The new stationery shop, located in Huawen Road, will occupy
an area of about 140 square meters, and have the following
features:
1. The wide space make the customers comfortable, they do not
have to disturb other customers when walling along the aisles.
2. The interior decorating is simple but comfortable.
3. Lighting and ventilation of the stationery shop are of the first
class.
New services:
The Sunshine stationery shop will offer the best new services
those are followed:
The stationery shop will offer new services based on customers
'requests and suggestions, expanded services are as following:
1. Stock with more stationery, so that customers will have more
choices.
2. Provide printing services by installing a photocopy machine
and a computer with a high quality printer.
3. Set up new counters selling greeting cards, phone cards, us
passes.
21
4. It is a place where the customers can change their monthly
tickets.
New facilities:
The stationery shop will order new goods shelves and purchase
additional office furniture, a photocopy machine, and a
computer with a laser printer. The shop will install some
comfortable sofas for customers.
Cost breakdown:
Rental cost: the new premises would cost40, 000yuan to rent
each year.
Decorating: the purchase of building materials and the labor
costs for the new shop would be RM11120, 000.
FLOORING 20,000
LABOUR COST 60,000
CEILING 7,000
LIGHTING 95,000
LUMBER 5,500
PAINT 5,000
22
CEMENT &PUTTY 2,500
WINDOWS 9,500
GLUE&TOOLS 1,000
EQUIPMENT: The cost of equipment in the new stationery shop
would be RMB71, 000
GOODS SHELVES40,000
AIR CONDITIONERS 10,000
OFFICE SUPPLIES 1,000
OFFICE FURNITURE 2,000
BUDGET: The annual increase in the operating budget would be
RMB 16,000
WAGES 12,000
UTILITIES 2,000
EQUIPMENT MAINTENANCE 1,000
CONSULTANTS FEES 1,000
Benefits:
The sunshine stationery shop is expected to increase the revenue
by 40,000 yuan the first year when the project has been
completed and by 50,000 yuan in the following year.
The stationery shop will offer various services to the students
23
who then do not have to go out of the Huawen Road to get things
what they want. They will also find it enjoyable to browse there,
they will find that in the stationery shop, they can get the lately
information from the assistants.
Schedule:
The project will start one week after it is approved and budget is
made available. It will take approximately three months to
finish, with two and a half months needed to decorate the new
stationery shop, and one week to make the final preparation.
I believe that this stationery shop project would enable us not
only to meet the demands and needs of the students, but also of
those in this areas. There is also no decent stationery shop
around Huawen Road. A well-equipped stationery shop like this
one would attract customers from three schools and local
residents areas.
To: Lili Chen, President
From: Jie Zhang, Sunshine stationery shop manager
Date: March 22,2002
Subject: Sunshine stationery shop Project
24
Location:
The management has chosen a good location in Huawen Road
where there are three different schools nearby. They are a
middle school, a primary school and a vocational school. Also,
many firms and companies are around here.
Services:
The stationery shop will offer good services to meet customers'
needs. To supply additional and convenient services, the shop
installs a photocopier, a fax machine, an IC telephone .We also
supply comfortable shopping environment foe the customers.
The assistants show their high-qualified services to the
customers.
Benefits:
The new project will increase the revenues by 20%and 30%
respectively. To raise the profile and improve competitiveness of
the stationery shop within two years.
Costs:
The total cost o the project is estimated to be 200,000 yuan.
Schedule:
The project will start one week after it is approved.
25