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Entrprenureship (Group Business Plan)
Entrprenureship (Group Business Plan)
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Course:
Entrepreneurship
Group leader:
Rabia Mateen
Semester and Class:
MBA 3.5 Morning (3rd)
Submitted to:
Ma’am Javeria Abbas
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TABLE OF CONTENT
Executive Summary……………………………………………………………….6
1. Introduction…………………………………………………………………8
2. Vision, Mission & Core Competencies……………………………………..8
3. Industry, Customer & Competitor Analysis……………………………….9
3.1 Industry………………………………………………………………..............9
3.3 Customer………………………………………………………………………10
5. Market Plan………………………………………………………………………..15
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6. Operational Strategies………………………………………………………………19
6.1 Timings………………………………………………………………………….19
6.2 Location…………………………………………………………………………20
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EXECUTIVE SUMMARY
Product / Service
The food truck/cart business has grown in strength in the past few years in Pakistan.
The industries remarkable rise has been largely attributable to changing consumer preferences in
favor of unique, gourmet cuisine at budget conscious prices.
We want to setup a mobile dessert shop/cart to provide various desserts i.e, ice creams, hot
chocolate drink, Chocolate lava cake, Brownies, Donuts, Mousse cake, Pies etc.
Hygienic food
Easy to access
Competitive price
Innovative idea
Target Market
Annually earning $1 billion, the food truck industry's target market is middle-class millennials.
According to an IBISWorld Inc. report, 43% of food truck spending each month is made by 25-to 44-
year-olds, with an additional 20% coming from those under the age of 25.
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Competitive Advantage
Competitive advantage is something that puts a business in a favorable position.
Some fundamental aspects and processes, such as quality food and excellent service,
when implemented and executed correctly, should give a food truck competitive advantage. You
should have recipes for all menu items and maintain standards for portion size and presentation in
order uphold consistency. This way customers get what they expect every time they visit your truck.
These and other seemingly essential aspects of a mobile food business can add up to more sales
and more profit, or give your truck competitive advantage over others that are unable to provide
the same quality of service, food, and experience to customers.
Future Plan
Our future plan would be to expand our business and operate in several other parts of the city
or even can operate in other cities as well. As an entrepreneur, we will be very optimistic about
the success of this business.
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1. INTRODUCTION
For some of us with a sweet tooth, a meal is incomplete if does not end with a dessert. Nowadays
dessert is complimentary after having food. Our business idea is of a mobile dessert cart/truck. It
will be a setup on the streets to facilitate the sale and marketing of street food.
Mission statement
To provide customers a unique experience to ordering food at a convenient area with the
affordability to everyone. We will be accommodating all interests with a large scale of menu
options that everyone can relate to with an infusion of our own creativity that sets us apart from
other truck stands. Our food truck will be available at the most convenient times for travelers as
well as locals.
Vision Statement:
We want to setup a mobile dessert shop/cart to provide various desserts i.e, ice creams, hot
chocolate drink, Chocolate lava cake, Brownies, Donuts, Mousse cake, Pies etc.
We want to provide hygienic and quality dessert for people who love desserts.
Core competencies:
Hygienic food
Easy to access
Competitive price
Innovative idea
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3.1) Industry
Although mobile food truck business has already been introduced USA, UK and other continents
but it is less popular in our country. Food trucks and carts have been around for a very long time
but have recently begun to increase in popularity due to the low overhead costs of running the
business. The food truck industry is primarily engaged in preparing and serving meals from a
mobile truck. Food is prepared, stored and cooked on the food truck. The food truck/cart may or
may not use the same location every day. Food trucks also offer the advantage of low investment
and ease of entering in the restaurant industry to the entrants- makes it easy for them to compete
with big fancy restaurants in the market and gain profits to some extent.
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protein options grows. Food industry experts have taken note of the success of the Impossible
Burger and are moving to meet this new demand. Additionally, meat-plant blends are also
becoming popular with omnivores who want healthier options. Food trucks are looking into
burgers that include mushrooms, beans, and chickpeas.
The general guidelines outlined in the Codex Code of Hygienic Practice for the Transport of Food
in Bulk and Semi-Packed Food.1 should be followed, in addition to ensuring that employees
delivering foods are free from COVID-19, coughing/sneezing etiquette is practiced by all involved
in food transport and that frequent hand washing/sanitizing is practiced and staff practice physical
distancing.
3.3) Customers
Better-educated, upper and middle class population is most likely to be attracted towards our
business concept. With our affordable price range, our products generally target the youngsters
having a free choice to spend for that interest.
We can find many convenient spots for dining in and dining our around us. But in Multan there
are only 2 percent of the places offering solely sweet-tooth products. Moreover, considering
the concept of food trucks, people now-a-days are very much engaged in their busy schedules
so they prefer going to places which are easy to access and free from rush. Our concept of
sweet products in food trucks brings you the ultimate high quality services you expect.
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The rise of the food truck industry has major cities across the US rethinking public spaces, creating
new culinary communities and transforming the mobile food industry, yet an IBISWorld research
report shows a slowing down in the industry. Where growth was at 7.3% up to 2017, it is now
expected to stay at about 3% through 2022 due to increased competition and enforced municipal
regulations.
This has not stopped entrepreneurs from investing in food trucks and expanding their businesses.
Here are the latest trends for the mobile food industry in 2019:
In the world of fierce competition, standing out from the pack is key. To achieve long-term success
and maintain alpha wolf status, a food truck must be unique in every aspect, including design,
branding, food preparation, and presentation. Since customers have choices, you need to hold their
interest, so your food truck remains their top choice.
Even a truck that finds initial success could soon be yesterday’s trend if unable to
continuously please, excite, and entice its patrons.
Beneath the personality and pizazz, there are underlying facets that will make or break a food truck
business. A unique concept will mean nothing without structure, efficiency, and consistency.
There are some essential and necessary characteristics that every food truck should have if it
wishes to compete in the mobile food market, such as incredible food and friendly service. With
these standards in place and originality added to the mix, a food truck will be ready to tough out
the lunch crowd with the best of them.
However, other food trucks are not food trucks’ only competitors.
Brick and mortar restaurants also pose a threat to food trucks, especially in locations where
legislation tends to favor the more temporally and physically established businesses.
While having a competitive advantage over other food trucks is important, it is also important to
see the bigger picture.
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Food trucks stay competitive in the larger food and beverage industry because their owners work
together to create an industry for food trucks and a thriving market that customers can depend on
and enjoy.
Advantages:
Cheap advertising:
Food trucks are moving billboards. Whenever they drive the food truck around town, they’re
getting free advertising.
Catering options:
It’s a lot easier for food trucks to transport food around town, so food trucks can get more
business if they offer catering options.
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With a rise in youth spending, middle-class expenditure, conscious consumerism, mobile lifestyle
and requirement of food on the go, the Food Truck model has become quite a rage among the
Indian population. The future of the food truck industry seems bright with its projected revenue
growth at a rate of 3.7% in the next five years. If things work out this way, the industry total will
climb to $1.7 billion, which is massive growth for a newly introduced industry. Find out how to
open your own Food Truck Business here.
With low investments and minimal risks involved, Food Trucks are now becoming the popular
choice for opening a restaurant business, especially for first-time restaurateurs. We can still help
you understand the pros and cons of a food truck or a regular restaurant. Read on to find more
about the same.
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PRODUCT PRICES
Brownies 150/piece
Chocolate lava cake 200/piece
Cream donuts 150/donut
Mousse cakes 200/slice
Fruit pies 150/slice
Hot chocolate drink 200/cup
Gelato ice cream 70/scoop
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5. MARKETING PLAN
To grab the attention of people who are always ready to have dessert, youngsters, families and
school and college students.
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3) Make It Fun
The best way to improve a consumer’s time at your truck is to offer unusual items as specials mesh
with your food truck brand. These unique and fun specials will help to draw attention to your
truck’s standard menu items, and in turn will increase your sales. Special items will help your food
truck get noticed, and possibly draw positive attention in local media as well as social media.
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relationship
marketing
getting direct
feedback marketing
market give
expansion something
strategy extra
Relationship Marketing:
In this strategy we will focus on long term customer relationships to enhance reputation.
Direct Marketing:
Advertising to communicate directly to the consumers through messaging, email, websites etc.
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Getting Feedback:
We will get suggestions and feedback from customers using face to face communication.
Strength Weakness
Location Lack of expertise
Hygienic food Weather conditions
Quick service
No rent expenses
Opportunity Threats
PRODUCT
Our Food Truck will specialize in creating a variety of food for our customers. We will focus on
quality because we believe is essential for our customers. We believe that quality is critical to
satisfying our customers and retaining their loyalty so they continue to buy from us. Product
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PRICE
After reviewing other prices for entree items of similar quality from other food trucks, we found
that our prices were $2-$3 lower than other food truck competitors. Maintaining low prices will
help us build a market share. Price
PLACE
Our business's location is key to successful operations and overall growth. One of our competing
advantages is that we are able to deliver our service to the customer. We have to be able to target
our customer base and keep in mind licensing and restrictions that come along with the truck.
PROMOTION
According to a report made in 2011, Americans spend nearly a quarter of their online time on
social networks and blogs. This means that chances are much of our target market are already
using social media.
6. Operational Strategies
6.1) Timing:
Arrive and Set up: 3:00PM
Business Hours: 3:30PM – 11:00PM
Departure: 11:30PM
Vehicle Staffing:
There would be one driver for food truck, one chef and a helper to help the chef and serve as well.
Customer Queuing:
Two lines – one for ordering and one for pickup on sidewalk.
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Trash Plan:
Two trash Barrels with lids and bags on site. Trash will be removed at end of shift and disposed
of at Commissary.
6.2) Location:
Some experts venture to say location is even more important than your menu. Our target audience
will be youngsters who always look for places to satisfy their sweet tooth. So the location for our
dessert cart will be near other restaurants so that people can enjoy dessert after having dinner and
lunch.
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7. FINANCIAL PLAN
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7.2) Assumptions:
Cost:
In food truck business food truck is the only major cost for the business otherwise all the
other required items are not so costly. The person starting this business can invest his/her own
finance or can also take loan if required. It is not necessary that the food truck should be new an
old/used food truck can also be modified into the required design. Menu will be printed,
advertisement on social platforms, panaflex, food ingredients required to prepare dessert will be
required. In the income statement all the expenses are estimated just to give an idea about the cost.
Revenues:
While many factors affect how much money the average food truck makes per year, the
consensus appears to be around $100,000 total income.
The projected revenue for the business will be assumed on the basis of the following menu
PRODUCT PRICES
Brownies 150/piece
Chocolate lava cake 200/piece
Cream donuts 150/donut
Mousse cakes 200/slice
Fruit pies 150/slice
Hot chocolate drink 200/cup
Gelato ice cream 70/scoop
As due to covid-19 people are more concerned about their health these days so there is a chance
that in beginning the sale would be less but with time it is expected that it will increase. We have
assumed that the sale for first year will be equal to 6 lac. As it is a small setup in the starting but
with increased performance this setup can be placed at several other locations in Multan as well.
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Expenses:
Salary 180000 192000
License 30000 -
Depreciation - 16000
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Current assets:
Cash & equivalents 240000 476000
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Road accidents:
Road safety applies to all, but food trucks are more susceptible for these kinds of accidents
than a typical car.
Other competitors:
Other competitive ventures.
Restroom Laws:
That's right, some places require that if you are going to operate your food truck business over a
certain time period, there must be a bathroom nearby.
Parking Issues:
You are probably aware that you cannot just drive up in your food truck, park it anywhere, and
start your operations. Most of the time you will have to rent a space, whether permanent or
temporary. If you plan on operating at special events you will need to pay a vendor fee and sign a
contract. Be aware of what you agree to in those contracts as well.
Repairs:
Since your business is solely dependent on an operating food truck, being able to get repairs done
quickly is essential. If you know how to fix it or have a close relationship with someone who does
that could be really beneficial to the success of your business. Time is money, as they say.
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