First Part of the Final Project

Diana Carolina Páez Puerta

María Paula Carrascal Serrezuela
Nicole Sifuentes Alvarado
Laura Carolina Muñoz Arias
Juan Andrés Monsalve Hernández

Universidad Pontificia Bolivariana

Seccional Bucaramanga
Facultad de Economía, Administración y Negocios
Diana Milena López García
Business Building Seminar

March 3rd of 2022

Creative Process
Source: QUALITATIVE ASSESSMENT OF BUSINESS IDEAS (Varela V, Reyes G and Fernández,
2014)

Justification
As can be seen in the previous tables of the qualitative evaluation of the business ideas of the
Varela model (Varela V, Reyes G and Fernández, 2014), the winning ideas according to the
first evaluation made by each member of the group were: Forensic Spray, Fresh Bga Market
Food and Fashion On Wheels in Santander. With respect to this last evaluation, it can be
concluded that the three ideas are categorized as entrepreneurial hits, since according to the
scores, they are in the range (60-120) and (12-20). The Fashion On Wheels idea was the
winner since it had the highest scores (99.35 and 16.8); that is, this new concept is the most
interesting, viable, visionary, with positive impact, where the members would invest time in
it, has the facility of alliances and access to financing; where these characteristics make the
project attractive.
Business Model Canvas
Source: Elaboración propia

Segmentation

● Psychography

-Social class: medium-high middle

-Strata: 3 and 4
-Lifestyle: People who are aware of fashion trends and are uncomplicated when shopping,
they like to look, buy innovative clothes and accessories.
Personality: Active, cheerful, dynamic, uncomplicated and up-to-date people.

● Geography
-Country: Colombia
-City: Bucaramanga and its metropolitan area.

● Demographics
-Age: 20-35 years old
-Gender: Female and Male
-Income: $1,000,000 and up.
-Occupation: Economically active college students, professionals and/or employed.

● Behavior
-Frequency of use: Generally 2-3 times per month
-Periodicity of purchase: 1 time every 2 months
-Behavior towards the product: Impulsive

Customer Relationship

Close contact and personalized assistance for customers at the time of their visit to the
mobile store, follow-up through social networks and website, sending surveys after purchase
to obtain feedback and thus improve processes. Customers will be involved in company
events such as fairs and festivals, where they will enjoy discounts and prizes. Excellent pre
and post-sales service.
Distribution Channels
Direct distribution channel since there are no intermediate levels because the
company will provide customer service at the points of sale where the Moda sobre Ruedas
cart is located.
The media that will also be used for online purchases will be social networks and the website.

Value Proposition
Fashion On Wheels will be the first mobile store that will be operating in Santander,
initially in Bucaramanga and its metropolitan area. The boutique is characterized by being
mobile and located in different strategic points of Bucaramanga and its metropolitan area,
thus providing the best customer experience, as it is a personalized way of shopping for its
close and fast customer service. In addition, Fashion on Wheels stands out for its affinity with
the city's designers, because it supports local entrepreneurship, also marketing exclusive
clothing and accessories from different brands of entrepreneurs focused on fashion.
Additionally, the company has a detailed online catalog with all the specifications of the
garments and accessories in order to provide the consumer with the greatest security when
buying.

Key Activities

★ Marketing: Sale and marketing of exclusive garments and accessories from local
ventures and companies.
★ Social networks/website: Advertising marketing in which the communication
channels (social networks and website) are detailed, where the online catalog with all
the detailed descriptions of each product will be offered. In addition, the respective
purchase can be made through the website.
★ Designs: Adaptation of the design of the cart inside and outside, and of the garments
with respect to each season; that is, there will constantly be new collections.

Key Resources
● Human Resources
 ● Physical resources such as property, plant and equipment
● Financial resources such as cash, equity, loans and investments.
● Technological resources such as software and security servers for the website, and
innovation resources such as the adaptation and interior design of the trailer with a
modern concept.

Key Partners
● Suppliers of clothing and accessories (entrepreneurs and businesses in Bucaramanga
AM to which the company will distribute).
● Investors
● Social media influencers
● Bucaramanga Chamber of Commerce

Cost Structure
● Employee payroll
● Cost of carts
● Company infrastructure
● Truck maintenance
● Gasoline expenses
● Utilities
● Taxes

Source of income
● Income from the sale of garments and accessories
● Paid collaborations
● Paid advertising
● Commissions

Company’s Name
Fashion On Wheels
Our logo is our essence and what we represent as a company, the value proposition:
our truck and based on the psychology of color and studying the effects of color on
perception and on human perception and behavior, violet is of the human being, purple is
associated with royalty, wealth, success
and wisdom, it is also used in kings' suits
and that is what we would like to transmit,
they are exclusive and unique garments for
lucky people like those who live in
Bucaramanga and have a local talent
capable of innovating and creating
garments as unique as the ones you will find in Fashion on Wheels, in addition, it represents a
creative, imaginative and wise brand.

Economic Activity Code

ISIC Code: 4771 - Retail sale of clothing and clothing accessories (including leather
goods) in specialized stores.

Mission
To boost local businesses in Bucaramanga and its metropolitan area by promoting
their products, in order to contribute to the union, development and competitiveness of the
fashion sector, focusing on the adaptation and creation of new trends linked to consumer
tastes.

Vision
By 2026 after positioning ourselves as a promoter company with a diversified model
at regional level, we will realize the emergence of our model in the different regions of the
country where there is a sophisticated consumer. By 2030 Fashion On Wheels will expand to
Latin America.

Core Values
● Quality: To offer our customers top quality products made by craftsmen of the sector
and of great trajectory, experience acquired during the time of work of haute couture
in production.
● Customer orientation: The most important thing is the customer, so all our work is
oriented to give the best possible customer service.
 ● Responsibility: To carry out the activities of both the physical and virtual store with
diligence, seriousness and prudence doing things right from the beginning to the end,
acting in a way that contributes to the achievement of the objectives of the company.
● Commitment: To keep in mind the importance of fulfilling the development of a job
within the stipulated deadline, assuming professionalism, responsibility and loyalty,
putting the greatest effort to achieve a product with a high standard of quality.

Internal Company Structure

Source: Elaboración propia

Stakeholders
Source: Elaboración propia

Análisis de Stakeholders (matriz poderes e intereses)

Description of Business
It is a proposal of retail fashion stores or contemporary mobile boutiques that take
clothes and accessories to the different corners of Bucaramanga and its metropolitan area,
from neighborhoods to urban spaces. Their style is like the well-known Food Trucks, but
instead of carrying food, they carry clothing.
The idea is to market clothing and accessories made by local designers, where the
offer is different, unique, modern and eye-catching, since it is difficult to find this variety in
conventional establishments. During each season new collections will be launched that
correspond to current trends, where the trucks will adapt their exterior and interior design. In
addition, these mobile boutiques have their own dressing room or fitting room so that
customers can make a more accurate purchase decision.
The company will have a website and social networks, where those interested can
consult available catalogs, locations and store hours. In addition, online purchases can also be
made through these networks.
One of its main added values is the customer experience, since they are different ways
to buy and acquire garments in a more personalized way, because there is more approach
with consumers.
Fashion On Wheels will be part of public and private events, fairs, festivals,
exhibitions, bazaars and other places where people gather to look for new acquisitions. The
good thing about these stores is that if they are located in a place that does not generate sales,
they can move through the streets to find their best spots.
This idea began in the United States in 2011, but in times of pandemic it spread to
countries like Thailand and Spain as a solution to the temporary closure of stores.

Interest

This company satisfies a desire and/or preference for the consumer, since it is a
service that will be provided easily and conveniently to customers, where many times the
preferred clothing stores are far away and sometimes people do not have time to go to them,
so it is intended that customers prefer to buy clothes no longer in front of their homes, thanks
to the Fashion On Wheels cart that travels through the neighborhoods and urban spaces of
Bucaramanga and its metropolitan area.

Industry Analysis

Products such as clothing and accessories that the company will market are part of the
fashion or textile sector and clothing.
Taking into account information provided by the Colombian Chamber of Clothing
and Related Industries, the fashion market has been reactivated despite high inflation, where
many confectioners say that the high cost of raw materials and inputs and their importation in
some cases, has caused them to have to increase prices to obtain profitability; this generates
that demand decreases. However, there are companies such as Grupo Éxito that could
mitigate this effect because 93% of their products are domestic, and in the import part they
could anticipate buying products before the wave of inflation arrived (Portfolio, 2021).

According to the newspaper "La Opinión", in the period from January to December
2021, exports of the textile sector were 810 million dollars, while imports were 2,457 million
dollars. Although the trade balance is negative, we see a growth in the percentage of exports
since there were 41% more than in 2020 and 11% more than in 2019, that is, before the
pandemic.

Taking into account the positive projection of growth, Inexmoda, which is a private
non-profit institute that seeks to connect the fashion system, proposes that by 2022 the market
size will be valued for 29 billion dollars, 5% more than in 2021 (La Opinión, 2022).

It is a sector that can easily adapt to trends and constant changes. For example, in the
case of the pandemic, many textile companies changed their production line to manufacture
caps and biosecurity garments. Another example is sustainable consumer trends, for this
many companies are already opting for sustainable fashion allied to the circular economy.

The textile sector contributes 9.6 percent to the national GDP, with 6,500 enterprises
contributing 21 per cent of the industrial employment of approximately one million people,
accounting for 9 percent of manufacturing exports. According to official figures, the
newspaper Portafolio mentions that in 2019 alone the sales of clothing and footwear in the
country reached a value of 8 billion dollars and more than 1,200 Colombian companies
exported their garments to more than 100 countries.

Specifically, the clothing and fashion industry calls our attention because it is a sector
with a lot of dynamism, attraction in the region, generates many sources of employment, has
many opportunities due to its constant change, and has good projections, as it is expected to
grow this year because more and more entrepreneurs are enrolling in the sector and thanks to
the return of face-to-face activities are beginning to order the manufacture of work clothes.
Garments are a basic need of the human being, their daily use allows the protection and
concealment of the body, these can catalog a person within select groups and allow him to
express his personality.

Taking into account the Departmental Competitiveness Index, we can see that one of
the best pillars for Santander is the adoption of ICT where it occupies the second place, in
this respect this industry can apply these tools to strengthen innovation and digital
technology, as it can be very beneficial for companies because it helps improve their
productivity, where they can produce in greater quantity and better quality, thus achieving
greater competitiveness and optimal management of the company’s resources.

According to the newspaper "La Opinión", if we speak internationally, we can say

that Colombia ranks third in fashion in Latin America after Brazil and Mexico and is the fifth
exporter of clothing in Latin America behind Mexico, Salvador, Guatemala and Peru.

According to the Chamber of Commerce of Bucaramanga, the fashion system is part

of the strategic lines of the Global Plan Santander (GPS), which is one of the most ambitious
plans Santander has to boost internationalization to increase exports. To achieve this goal,
training must be provided through training that allows entrepreneurs to develop marketing
plans, promote innovation, productivity and competitiveness.

On the other hand, the Chamber of Commerce of Bucaramanga, has been training for
free in the last 2 years approximately 2 thousand entrepreneurs in the textile sector in areas of
marketing, vitrinism, finance, business management and fashion trends, with programs such
as Productivity Factories, Ecco Women and Business Centers. In addition, funding has been
provided so that more than 400 companies can easily access national and international fairs
such as Colombiamoda, Expoartesanías, International Footwear and Leather Show (IFLS),
Colombiatex, Expohogar, among others.

Through an investment of 2,184 million pesos (with international cooperation

resources from the Abu Dhabi Development Fund), Alliances for Reactivation, which is a
program of the Ministry of Trade, Industry and Tourism, Productive Colombia and
Bancoldex, accompanied by Colombiatex, Inexmoda and Colombiamoda; seeks to boost the
productivity of supply chains and value of MSMEs and increase their participation in
international trade (Mincit, 2021)

According to ProColombia, the country has great regional opportunities, as it has the
wide capacity to produce products such as jeans, underwear, belts and control clothing,
swimwear, among others.

Bibliography:

Portafolio. (2021, December 14). Mercado de ropa se reactiva en medio de la alta inflación
del sector. https://www.portafolio.co/negocios/empresas/mercado-de-ropa-se-reactiva-en-
medio-de-la-alta-inflacion-del-sector-559636

La Opinión. (2022, January 27). Sector textil, optimista, pese a la inflación y alza del
dólar.https://www.laopinion.com.co/sectores-empresariales/sector-textil-optimista-pese-la-
inflacion-y-alza-del-dolar

La Cámara de Comercio de Bucaramanga fortalece a los empresarios del Sistema Moda

Santandereano . (2020, June 9). Cámara de Comercio.
https://www.camaradirecta.com/noticias//la-camara-de-comercio-de-bucaramanga-fortalece-
a-los-empresarios-del-sistema-moda-santandereano/

El sistema moda en Colombia se recuperará en 2022. (2020, December). Cámara de

Comercio de Bogotá.
https://www.ccb.org.co/Clusters/Cluster-de-Prendas-de-Vestir/Noticias/2020/Diciembre-
2020/El-sistema-moda-en-Colombia-se-recuperara-en-2022

Con inversión de $2.184 millones, se lanza capítulo Moda del programa Alianzas para la
Reactivación . (2021, July 29). Ministerio de Comercio, Industria y Turismo.
https://www.mincit.gov.co/prensa/noticias/industria/lanzan-capitulo-moda-de-alianzas-para-
reactivacion

Industria de la moda . (2022). Procolombia.

https://investincolombia.com.co/es/sectores/manufacturas/industria-de-la-moda

Gonzalez Litman Tamara. (2020, December 23). El Sistema Moda en Colombia se

recuperará en 2022. Fashion Network. https://pe.fashionnetwork.com/news/El-sistema-
moda-en-colombia-se-recuperara-en-2022,1269234.html