BEIJING NORMAL UNIVERSITY –HONGKONG BAPTIST UNIVERSITY UNITED INTERNATIONAL COLLEGE Tangjiawan, Zhuhai City, Guangdong, PR.
China
Visionary Book Bar
BUSINESS PLAN
Jason
MAY 17, 2013
Contents
1. Executive Summary------------------------- 3
2. Business Description-------------------------3
3. Industry and Market Analysis-------------4
4. Competitive Analysis-------------------------5
5. Marketing Strategy---------------------------8
6. Operations Issues ---------------------------10
7. Human Resource Requirement ----------12
8. Finance Projections ------------------------13 Appendix-----------------------------------------15 Reference----------------------------------------17
1. Executive Summary
We will run a book bar business named Visionary Book Bar. We sell books, magazines, some special designs, food and drinks. It will be located in Block12, Haihua Student Dormitory, Beijing Normal University Zhuhai. Our target customers are students and staffs of BNUZ and United International College
.
After hard studying in class, some students want to find a quiet place to relax and read where exactly our store can offer. When you come into our store, the beautiful design of the gate appears in your eyes, then the light music come to your ears, the aroma of tea and coffee come into your nose, you will feel very vivacity, finally, find a favorite book to read and end the busy day with content and relief feeling. This is our store’s vision, our purpose is to satisfy the student’s need and relax their mind which is tired through a whole day’s study.
With the quickening pace of modern life, most people are under tremendous stress. Unfortunately, some of them don’t have enough time to enjoy a holiday and some of them don’t know the significance of relaxing. Therefore, our store has the absolute advantage to get success.
2. BUSSINESS DESCRIPTION
2.1 About us
There are three members work in this business project: Gabrielle, Jose and Kelly. We are planning to run a book bar--a bar offering books and place to read in UIC and BNUZ campus. The books bar is named Visionary Books Bar and the main production is offering books for reading, as the payment is that the customers need to cost at least 18 RMB on drinks or snacks, than they can read the books we offered freely and without time limitation. And we chose partnership as our ownership
structure.
2.2 Start-up costs
We have 153,560 RMB as start-up capital.
Long term assets: 43,600rmb
3. Industry and Market Analysis.
●Consumer trends
Under the influence of Chin ese economy’s rapid developmen t, there are lots of new industries have expanded and quickly developed in recent years. There is one noticeable consumer trend that social consumption need and ability has increased especially on spirit consumption. Customers are seeking for spiritual products and service.
●Emerging industries—Cultural Leisure Industry and Cultural Creative Industry With the demand, emerging industries rose abruptly in the market. The growth rate of cultural creative industry in Chinese city is 6.6 percentage points higher than overall GDP growth.New consumer trend also directs the business development to spiritual consumption. China has entered the era of phenomenal development of the culture leisure industry.
●Campus economy
To focus on local business environment, campus economy is fast developing. The huge amount of Chinese college students is a large consumer market. College students’ are easily adapted to newfangled and fashionable products and their consumption level is upgrading.
Visionary Book Bar is one of the new businesses. Basically, a book store belongs to traditional cultural industry. Sinc e the consumers’ demand has improved, people are seeking for a place more than just reading and buying books. The modern industrial trend is to create multi-dimensional business. Visionary Book Bar concept is such a combination of traditional cultural industry, new cultural leisure industry and creative industry.
Visionary Book Bar is a book store, a bar and a design product shop. Students can spend time in the bar enjoying an interesting book and delicious drinks. Excellent design products of college students can be commissioned to sell in the well-decorated book bar. Visionary Book Bar is not only a special area for students to read and achieve spiral enjoyment with drinks and snacks, it also provides a platform inside campus for design lovers to exhibit, communicate, and promote themselves.
4. Competitive analysis:
4.1 SWOT Analysis
4.2 Competitor analysis
Through the analysis, we can see that our store has a bright future. Stores like SAN REN SHU WU and LI YUN Book Store just sell books without offering space for customer to read. HE YI Book Store is better, but their products are expensive. So comparing with them, our store has the advantages to get into the market. Specially, we will exhibit the designs by the excellent students, this is a platform to communicate with other excellent students, and it will help us get more and more consumers.
5. Marketing Strategy
5.1 Product:
●Books
To meet the needs of customers, we offer both popular Chinese and English books as well as magazines. After we discussed, the books that offered in the bar are major in: newspaper and magazines, literature books and design books. Besides, we also will offer some English books to attract customers who are interested in reading English books including students and hundreds of foreigner teachers in UIC and BNUZ.
●Special drinks and snacks
The book bar will offer coffee and a few snacks for consumers. We will choose the good raw materials to guarantee high quality of our food and drinks.
●Creative design products
Creative products designed by excellent college students are also provided in the bar. We will carefully display the products by different designers and series. The concept and information of different design products would be presented for design lovers to buy and communicate with designers. And we just extract thirty percent of the profits. It can help us keep our consumers. Actually, the price of our products are not expensive, we will make an acceptable price to get a win-win situation.
5.2 Price
Inside BNUZ and UIC campus, there are a lot of snack and drinks shops which offer food and drinks with a price at a market. Visionary Book Bar provides more comfortable environment, artist atmosphere and higher quality products. But for the drinks and snacks, we will still set the unit price at a market as our competitors. Our pricing strategy is to set minimum charge of RMB18, and then customers can comfortably read books freely without time limitation and have taste enjoyment at a reasonable cost. Therefore, we still have advantage to attract and maintain customers. On the other hand, the price of design products is mainly determined by designers. We will negotiate with designers and keep it at an affordable and reasonable price level in campus.
5.4 Promotion
5.4.1 Advertising
●We will use social media to gain more popularity online. At the beginning, we
will set up an account on Sina Weibo and Renren which are most commonly used among Chinese college students. And then we persuade friends in both BNU and UIC to spread the shop information. Next, we will launch series of promotion functions to attract followers. Social media platform is also used to upload pictures, deliver newest information and build up communication with customers.
●School newspaper and distribution of leaflets for advertising are needed.
Distribution of leaflets is important part of our propaganda. We plan to distribute 600 leaflets to both UIC and BNU students to introduce our shop’s information and products in detail.
●We can post advertising on students forum. For example, Yangtai net is an
informative web site for BNU students to share campus information, we can reach to many target customers by advertising on the web site.
●Designing concept is the highlight of our book bar. We will launch promotion on
design and creativity website to attract designer customers from in and out the campus. Visionary Book Bar can turn out to be a basement and platform for young designers to communicate.
5.4.2 Preferential Function
We can hold preferential functions on different holidays or special days like Christmas. For example, we can send each couple of customers a unique designing gift on Valentine’s Day. College students do not have many options on celebrating holidays, we can seize the opportunity to attract more customers and brand our bar. 5.4.3 Discount Policy
According to different levels of consumption, we can distribute the VIP card and discount coupon to stimulate consumption.
5.4.4 Seasonal Marketing Policy
Depending on different seasons, we will create various drinks and food to meet consuming need. For example, we invent special cool drinks in summer to relieve customers thirst. In winter we will supply warm drinks to increase customers’ consumption desire.
5.5Place
Visionary book bar will be located in Block12, Haihua Student Dormitory in BNU. Our bar covers 30 square meters. Students can come by on walk or by bicycles. We choose the location with several considerations:
●Haihua Student Dormitory area is a student community where campus business is
bustling. Students are looking for new shop and new place to go.
●The book bar is located in a quiet spot but is easy to find.
●Bicycles parking lot is near our bar.
●Visitor flow rate is high because it is next to the main street.
●The location is just about fifteen-minute walk from UIC.
All placing considerations above are for our target customers’ convenience. With the best spot, Visionary book bar is at the advantage to gain customers.
6. Operational Issues
1. License
We will get the following licenses before Visionary Book Bar starting up.
●Business License
●Hygiene License
●Tax Registration Certificate.
About 200RMB will be spent on the licenses.
2. Operation Hours
We
hours will be based on students’ dormitory guard system.
3. Suppliers
●Books are the main attraction of out book bar. Before opening the bar, we will
purchase about 500 books from book wholesaling market in Guangzhou since there is no such supplier in Zhuhai. After we began to run the business, the book suppliers can be book wholesaling market and online book market such as Dangdang website. We can bargain for discount with the book suppliers.
●About the food and drink, the resources of the products are very important
because it will determine the quality. In order to make sure we can have a continually supply source, we will find more than one food company as our suppliers.
●Design products are supplied from college student designers. We will deliver
recruiting information and choose the creative products to sell.
4. Facility:
Facility Requirements Table for Book Bar(per year)
Categories Subjects
Construction Decoration
Book shelves
Tables and chairs
Lights
Safety Equipment
Kitchen equipment Cookers
Drinks makers
Refrigerators
Service Equipment Tableware
Entertainment
Operation Equipment Computer
Scanner
Telephone
Fax machine
Cashier
Packing
counterfeit detector
Stationary
Tools Cleaning tools
Other tools
7. Human Resource Requirement
To run this book bar, we need four employees. As we are running a small business, we have to control the budget strictly. Besides, the main function of our books bar is offering a place to read, therefore, there is needless for many waiters. And we three (Gabrielle, Jose and Kelly) will take the responsibility as both managers and employees.
7.1 Management System
Since we chose partnership as the ownership structure, we share the responsibility of the business equally, and we form the management together: Gabrielle will take the responsibility on marketing and advertising; Jose needs to communicate with the suppliers and buy the books and food materials; and Kelly will manage on financial portion.
7.2 Employee System
Besides acting as management, all three of us will work as waiter/waitress and cashier in rotation, for the waiter's mission in the books bar is simple. However, none of us have professional skill of making coffee; therefore, we will hire a barista who could make at least three kinds of coffee including cappuccino, espresso and latte. We prefer to hire a student from BNUZ or UIC who have learnt making coffee as dilettantism so we need not to offer the training. Although we do sell the snacks like cakes and cookies in our bar, we prefer buying ready-made food from other bakery company. In
this case, we need not to hire a backer which not only helps us to decrease the cost for an employee's salary, but also save the space and enlarge the place for customer to read.
8. Finance Projection
VISIONARY BOOKS STORE
Statement of Cash Flow
For year ended December, 31,2013
Cash Flow from operating activities
Cash received from customers ￥405,300
Cash paid for rent and
electricity and water fee (118,500) Cash paid for supplies (20,413)
Cash paid for wages (144,000)
Cash paid for decoration (62,000)
Cash paid for taxes (9,418)
Net cash provided by operating activities ￥50,968 Cash flow from investment activities
Investment by owner 153,560
Withdraw by owner (0)
Net cash provided by investment activities 153,560
Net increase in cash ￥204,928 Cash balance at prior year end 0 Cash balance at current year-end ￥204.928
Appendix
Survey On Book Bar
We did a survey about our book bar, One hundred sheets of paper were used in this survey, and here are the results:
We did a survey about our book bar, One hundred sheets of paper were used in this survey, and here are the results:
1. Have you ever hear about Book Bar?
2. How do you think about Book Bar?
3. How many do you want to spend on this field?
200
300400500600700800
4. Where do you want to spend your space time after a daily study?
5.
6. What kind of book do you like best?
From the chart, we can see most of student like to relax in library and shop than other places, our store can offer the place to read, drink and relax, it is the best choice for the student to choose.
center shop
1122334
Reference
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https://www.doczj.com/doc/8f10185192.html,/business_plan_template/,
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