BUSINESS PLAN PROJECT
Group Assignment : V-cigs
Section : 8T5
Lecturer’s name : Marcus
Program : Diploma in Business
Date of submission : 30/010/2013 (Wednesday)
BUSINESS PLAN PROJECT TEMPLATE
PART 1: THE CONTEMPORARY BUSINESS ENVIRONMENT
V-cigs. The V stands for vapor and victory. Vapor is the substance identical to smoke while Victory is the victory that all the heavy smokers out there will get when they manage to quit smoking.
DESCRIPTION OF BUSINESS
Our business will be a distributor of Electronic cigarettes where we get the item shipped straight from US. An electronic cigarette is a battery powered device that provides inhaled doses of nicotine or non-nicotine vaporized solution. It is an alternative to smoked tobacco products such as, cigarettes, cigars or pipes. In addition to purported nicotine delivery, this vapor also provides a flavor and physical sensation similar to that of inhaled tobacco smoke, while no smoke or combustion is actually involved in its operation. An electronic cigarette takes the form of some manner of elongated tube, though many are designed to resemble the outward appearance of real smoking products. Another common design is the “pen-style”, so named for its visual resemblance to a ballpoint pen. Most electronic cigarettes are reusable devices with replaceable and refillable parts.
FORM OF BUSINESS OWNERSHIP
It will be a sole proprietorship because it’s a startup company and we’re planning to lay low and go small at first and see how it goes, so it’s easier to form by one owner and it doesn’t need high startup costs and we’ll get tax benefits. IDEAL CUSTOMER
We try to target on adults and teenagers in the range of age from 18 to 55 years old. Not just males but females too because in this century now the population of females who smokes is slightly equal to males who smokes. But our priority is the ones who have health problem, a pregnant lady and ones who have basic desire to quit smoking.
V-cigs carries some of the finest electronic cigarettes and supplies on the market. Our selection of kits and accessories for both new & advanced vapers truly offer a unique alternative to smoking in an incredibly lower price. It is designed for the people who want the freedom to smoke anywhere without having to put it out. Apparently it is more eco-friendly because it does not emit the same toxins as a traditional cigarettes. It provides nicotine while not producing carbon dioxide and other harmful fumes and chemicals.
We don’t have any direct competition but we do have indirect competitors and they are;
All the companies that make cigarette locally and internationally like Dunhill, Winston, Marlboro, Salem and etc.
THE EXTERNAL ENVIRONMENT
Key impacting factors
Trend of anti-smoker have wide-spread
BUSINESS PLAN PROJECT TEMPLATE
PART 2: THE BUSINESS OF MANAGING
MISSION STATEMENT “To protect the environment and provide a complete freedom to smoke anywhere, anytime without any harmful effects to the body and environment as well and also to give the same real taste of traditional cigarette but with style”. We strive to maintain that type of customer service at V-cigs. We want to be available to our customers to answer your questions as you continue to vamping. We want to be approachable and helpful and ready to help you with all of your vamping needs and desires. Our main reason for being a vendor is so that we can help people when and where they need it. Though our customers come from all walks of life and several parts of the country, we hope to continue to have a local atmosphere.
Every company has its goals while ours are;
Our short-term goal is a target of 400 customers by the end of the first year, where each customer spends a minimum of RM150 per purchase.
Our intermediate goal is to open few branches when net profits reach RM20 000.
The purpose of the SWOT analysis is to know the V-cigs strengths, weaknesses, opportunities and threats that are internal and external.
Good quality of products
The product proven success
High cost of capital
Increased pressure form anti-smoking agencies and groups
Taxes & duty increase
Number of smokers continued to increase among females and the urban population
Electronic Cigarettes and vaping are the cornerstones of a lifestyle movement that has proven a threat to the traditional cigarette and smoking market.
There will be three levels of management with four different types of managers. They are:
Finance & Admin Manager
Here is our company’s organization chart which is quite simple because we are just the distributors.