BURAK

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Project By: M u h a m m a d HHumza

Muhammad
((F2017285013)
F2017285013)
u m za

M o a z a n Nadeem
Moazan N adeem
(( F2017285028)
F2017285028)

ZZaheer
a h e e r AAkhter
k h t e r TTufail
u f a il
((F2017285061)
F2017285061)

Submitted To:
Ms. Hira Ijaz
COVER
SHEET:

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Table of Contents
Executive summary 5

Section One: The Business 5

Description 5

Product/ services 6

Market analysis 7

Marketing plan 8

Location…………………………………………………………………………………………………………………………………………… 9

Competition………………………………………………………………………………………………………………………………………9

Management/Personnel………………………………………………………………………………………………………………… 11

Section Two: Financial Data.................................................................................................................11

Fixed Asset/Start-up Expense List…………………………………………………………………………………………………….11

Unit Selling Price and Cost Analysis………………………………………………………………………………………………….12

Income statement……………………………………………………………………………………………………………………………12

Sources and Uses of Funds………………………………………………………………………………………………………………13

BURAK’S Operation during COVID 19………………………………………………………………………………………………14

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Executive Summary

The new launch of “BURAK” Motor Bike will produce the Pakistan's most economical two
wheeler Motor Bikes. The company will introduce new generation motorcycles that set
industry benchmarks for fuel thrift and low emission. A legendary 'Flying Horse' campaign
will capture the imagination of consumers across Pakistan, and BURAK’s sales will be purely
based on the commitment of increased mileage.
BURAK’s mission is to strive for synergy between technology, systems and human resources,
to produce products and services that meet the quality, performance and price aspirations of
customers. At the same time maintain the highest standards of ethics and social
responsibilities.

This mission will drive BURAK to heights of excellence and will help the organization forge
a unique and mutually beneficial relationship with all its stake holders.
BURAK will have modernized company operations by adapting applicable aspects of
research and theory and especially unique philosophy of hard / soft technologies to
the realities of Pakistani conditions. Company management structures, system, and processes
are set in a manner to meet demand of customers’ need and growth.
The Flying Horse is introduced into the market with a motive of providing highly fuel
efficient motor bikes and improved designs and styles for the customer luxuries. Almost more
than 50% people in Pakistan are using two wheelers for their transport and are deprived of
extensive mileage cost and this project intends to quench their needs.
SECTION 1: THE BUSINESS:

DESCRIPTION:

After observing the need for greater fuel efficiency for motor vehicles, our group of
entrepreneurs struggled to reach a conclusive solution in the past five years and have brought
together the idea for a hybrid motor cycle where by achieving better fuel efficiency at a very
economical cost.

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PRODUCT:

We will be the pioneers in Pakistan motor bike industry to provide an innovative solution of
utilizing Hybrid Technology to achieve the dream of least mileage cost for our customers.

Product Specification:

Engine:

 Air-cooled, 4-stroke single cylinder (for speed above 40 Km/h)

 Self-Dynamo Hybrid Engine (up to speed of 40 Km/h )
 Engine Power70 cc.
 Nano-gel batteries, 12 V (Battery Life 5 Years)
 Max. Torque 8.04 N-m @ 4500 RPM
 Compression Ratio 9.0 : 1
 Kick start
 Energy Requirement 20 – 25 Watt-hrs/km

Fuel Tank Steel Plated Brand Logo

Rear Career Side Mirror

Leather Covered Accelator
Back Light Confortable Seat
Head Light
Rear Fender
Front Fender
Rear Shocks
Nano Gel Battery
Emission
Silencer IC Engine

Kick Alu Star Wheel

Safe Guard

Wheels & Tyres:

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 Rim Size Front: 18 x 1.60, Spoke wheel / Cast wheel

 Rim Size Rear: 18 x 1.60, Spoke wheel / Cast wheel
 Tyre Size Front: 2.75 x 18 – 42 P / 4 PR, Unidirectional tyre
 Tyre Size Rear: 2.75 x 18 – 48 P / 6 PR, Unidirectional tyre

Market Analysis:

A market analysis studies the attractiveness and

the dynamics of a special market within a
special industry.

Market Segmentation for BURAK –MARKET

PLAN:
Geographic Segmentation/LOCATION:

Geographically Pakistan’s Market can be

segmented into cities and district out of which
BURAK’s market will be

 Lahore,
 Karachi,
 Quetta,
 Islamabad and
 Peshawar
Initially and later on the distributor network will be expanded to all the major cities of
Pakistan.

Demographic Segmentation:

 Gender: Male = 49% Female = 51%

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 Age: 0-14 years = 36.7% 15-35 years = 35%

36-64-over = 24.1% 65-over = 4.2%

 Religion: Pakistan’s Market majorly comprise of Islamic Population

Whereas other religions exist in minority.
 Occupation: Occupational trend of Pakistan’s market is well diversified.

Targeting:

 As mentioned above,
GEOGRAPHICALY BURAK will
target the capital cities of all the
provinces naming Lahore, Karachi,
Peshawar, Quetta and Islamabad.

 DEMOGRAPHICALY BURAK’s market will only be comprised of Male

Population, age ranging from 15 to 64 years (as per legal obligations we will
encourage 18+). Whereas no religious segmentation is required for BURAK.
 PSYCHOGRAPHICALYBURAK will target the whole range of Middle Class
(upper, average and Lower middle class).

BURAK

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LOCATION:
Target Areas for Display Centres/ LOCATION:

 Lahore - McLeod Road (Lahore Hotel Market)

 Karachi - Akbar Road (Sadder)
 Quetta - - Liaqat Bazar (Sitara Hotel Market)
 Islamabad - Aslam Market (Aabpara)
 Peshawar - Green Hotel (Sadder)

We have targeted major 5 cities of Pakistan.

COMPETITION:

As it is Pakistan’s first Hybrid bike that uses battery power below the speed of 60kmp, so
initially it has no competitor, after some time when Yamaha and Honda takes step into hybrid
bikes then we will consider it as our competitors.
Management and Personnel’s:
Sr. # Name Responsibilities
1 Muhammad Humza Chairman

2 Moazan Nadeem CEO

5 Zaheer Akhter Director Operations

Other Information:
Industry Automotive
Product Hybrid Motor Bikes (70 cc)
Expected Revenue Rs. 500 Million
Website http://www.burak.com.pk

Vision:

BURAK; an Action-oriented company is a leader in its commitment to continuously improve

our mutually beneficial Relationships with other stakeholders (customers, Suppliers,
employees, government, and Society). We believe, the key to success is to balance the other

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stake holders’ interests through the Empowerment of all employees to focus on value-added
activities.

Mission Statement:

We fulfil dreams through the experiences of Motorcycling, by providing to the general public
an innovative fuel efficient line of motorcycles and services decreasing financial burden of
the selected market Segments.
Promotion Strategy of BURAK:

BURAK’s promotion strategies will be as follows:

Advertising:

We have prepared advertisements for The Flying Horse Campaign and dealings with different
media channels are in process. We are targeting the peak time on TVs i-e before Evening
News and during Cricket matches. Ads will be on air on Geo Entertainment, Geo News and
Geo Super.

Hoardings:

Shahid Afridi & Umer Akmal will be shown on hoardings of BURAK. We intend to place 25
hoardings per city (targeted markets) at peak points of the city for our brand and products
advertisement.

Promotion Campaign:

First an ad of our arrival will go on air in which we will tell people that BURAK is coming to
your city and in it for promotional sales and discount price will be offered.

Section Two: Financial Data

Fixed Asset/Start-up Expense List

Fixed Asset Description: Cost:

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Land/Building RS# 200,000,000

Equipment and/or Vehicles RS# 50,000,000

Leasehold Improvements RS# 2,000,000

TOTAL_________________________________ RS# 252,000,000

__

Start-up Expense Description:

Initial Marketing & Promotion RS# 1,000,000

Licenses and Permits RS# 500,000

Beginning Inventory RS# 2,500,000

Total Fixed Asset and Start-up Expenses: _______RS 258,000,000__

Unit Selling Price and Cost Analysis

Price Analysis of BURAK:

Costing based on production of 1500 Nos. units per month. It will decrease with increase in
No. of production units per month.

Description Cost
Production Cost / Unit Rs. 60,000/-
Material Cost / unit Rs.
21,500/-
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Import Cost / unit Rs. 5,000/-

Vendors’ Cost / unit Rs.
12,500/-
Labor Cost / unit Rs. 6,500/-
Bills (electricity, gas etc.) / Rs.
unit 14,500/-
Transportation Cost / Unit Rs. 5,00 – Rs. 1,000/-
Continuous Marketing Cost / Unit* Rs. 500/-
Company Over Heads Rs. 3,500/-
Company’s Profit / Unit Rs. 11,000/-
Distributors Profit / Unit Rs. 4,000/-
Total = Retail Price / Unit Rs. 80,000/-
*Which concludes marketing budget of Rs. 9000,000/- per anum with sales of 1500 units per
month.

BURAQ MOTORS

INCOME STATEMENT

FOR THE YEAR ENDED 31,DEC 2020

Sales 50,000,000
Less Cost of good sold 15,000,000
Gross profit… 35,000,000
Less operating expenses
Salary 5000,000
Rent 2000,000
Fuel expense 1500,000
Admin expense 200,000
NET INCOME 26,300,000

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Sources and uses of Fund

Sources:

Line of Credit 0

Personal Equity 158,000,000

Outside Equity 500,000,000

Other 500,000,000

Total Sources 258,000,000

Uses:

Purchase Building 400,000,000

Purchase Equipment 100,000,000

Renovations 8,000,000

Inventory 500,000,000

Working Capital 150,000,000

TOTAL 258,000,000

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BURAK’S Operation During COVID 19

During COVID 19 imports are off due to which bikes body part are not available and as we know
most of the bikes parts are import from other countries so production of bike cease. So we decided to
make each and every part in Pakistan so that cost of production goes down. Another thing that we
launch during this lockdown is online sale, purchase and delivery of bike, through this we deliver bike
to our customers at their door step. Because it is our new product so it takes some time to be popular
in the market but in this pandemic situation we can fully facilitate to our customers.

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