FUNDAMENTAL OF ENTREPRENEURSHIP (ENT 300)

BUSINESS MODEL CANVAS OF CHOCOLICIOUS

Prepared by:
Name: Student No: Class/Group:
MUHAMMAD HAMIZAN 2018444884 EM110 5C
HAKIEMI BIN YUHAIRI

Prepared for: MADAM HASMIDA BINTI MOHD NOOR

Date of submission: 4th DECEMBER 2020
TABLE OF CONTENT

NO. CONTENT PAGE

1. EXECUTIVE SUMMARY 1

2. 1.0 INTRODUCTION 2

4. 2.0 BUSINESS MODEL CANVAS OF CHOCOLICIOUS 3

5. 3.0 DESCRIPTION OF BUSINESS MODEL CANVAS 4

3.1 KEY PARTNERS 4

3.2 VALUE PROPOSITIONS 5

3.3 CUSTOMER SEGMENTS 6

3.4 CHANNELS 7

3.5 CUSTOMER RELATIONSHIPS 8

3.6 KEY RESOURCES 9

3.7 KEY ACTIVITIES 9

3.8 COST STRUCTURE 10

3.9 REVENUE STREAMS 10

6. 4.0 CONCLUSION 11

7. REFERENCES 11
EXECUTIVE SUMMARY

CHOCOLICIOUS by MizanKiemi is a company that produce variety of chocolate mini crunch

as a snack. We produce the crackers in order to fulfil the need of customers that love to have
snacks after meals and also when they have their chilling time. Different types of flavour with
the universal taste would be our priorities in produce the crackers. This business also sells the
product by using online channels and direct selling at our store. Our store is located at strategic
place in Kampung Laut, Kuala Terengganu. We are produce premium chocolates coating with
the highly quality ingredients to fulfil the needs of our customers who love high quality product
with reasonable and affordable price.

We focused on a few important elements in order to make sure that our company
produce the best snacks ever. After all, providing the taste of the food and premium chocolate
coating could be quite challenging for me but with a vast knowledge and experience in taste
many kinds of chocolates and advice from the elders it will be an advantage to start this
business. The biggest aim that I want to achieve by doing this business is to provide excellent
and tasty snacks in Kuala Terengganu. Moreover, I hope in ten years I can expand my company
and build more branches in Terengganu and to be acknowledged not only in Malaysia but also
people around the world.

Based on the strengths that our company have, I firmly believe that my company can
be one of the best chocolate snacks provider. I am using this business model canvas to describe
my business idea because using this tool can be quickly and easily defining and communicate
a business idea. The Business Model Canvas is a strategic management tool to quickly define
a business idea or concept. It is a page document which works through the fundamental
elements of a business or product, structuring an idea in a coherent way. By creating a business
model canvas, it facilitates me to create a good business plan and marketing plan. This business
model canvas consists of nine blocks which are key partners, value propositions, customer
segments, channels, customer relationship, key resources, key activities, and revenue streams.
These all blocks in the business model canvas help me to have a better understanding of the
business model in a straightforward, structured manner. In addition, it gives me a lot of ideas
by creating a possible business opportunity so that I can manage my business well.

1
1.0 INTRODUCTION

My name is Muhammad Hamizan Hakiemi bin Yuhairi who are graduated from diploma of
Mechanical Engineering at UiTM Cawangan Terengganu Kampus Bukit Besi. After the
graduation, I was unemployed and has nothing to do and I was looking for an alternative to
earn some money for living. I am thinking of starting a business after seeing some of my friends
succeed in business even though they are still a student. Then, I was thinking if I was employed
in some firm as a part-time worker would somewhat restrict me from being creative and
innovative because I have to follow the instruction only from the manager. With the strong and
continuous support from my family, I want to start a dream with vision to start the business
and turned it into with huge network.

Therefore, I was thinking to start my very own business that would give me so much
time for my own and mostly being able to make me being more creative and innovative. My
company established on 1st November 2020 and I decided to name my company as
CHOCOLICIOUS by MizanKiemi. I got the idea to start this business when I was eating some
choc jars while watching movie with my family or doing my homework. For an example, my
team and I can order some numbers of my products that I want to produce per month. I also
will use my own recipe and formula for my CHOCOLICIOUS products by the factory. Then,
we can make a delivery service to customer’s houses and also by using online channels. For
me this is a great opportunity to start my small business.

I am using this business model canvas to describe my business idea because using this
tool can be quickly and easily defining and communicate a business idea. The Business Model
Canvas is a strategic management tool to quickly define a business idea or concept. It is a page
document which works through the fundamental elements of a business or product, structuring
an idea in a coherent way. It has 9 building blocks of the business model design template that
consist of value proposition, customer segments, channels, customer relationship, revenue
streams, key resources, partnership, key activities and cost structure. The purpose of preparing
business model canvas of my business is to help me to know what is important and force me
to address key areas. This business model canvas is effective for my business.

2
2.0 BUSINESS MODEL CANVAS OF CHOCOLICIOUS

- Local market
- Influencer - Marketing - Highly - Great service - Adults
- JAKIM - Production quality - Promotion - Low income
- KKM - Brands and - Well-known person
- J&T Express reputation product - Chocolate
- Affordable lover
- Various - Teenagers
flavours to - Kids
choose - Online
- Taste channel
- Skilled staff - Direct
- Manufacture selling
- COD

Manufacturing facilities, store rental, packaging, Promotion, delivery charge and free gift
staff salaries, production and development cost

3
3.0 DESCRIPTION MODEL CANVAS

3.1 KEY PARTNERS

Key partners are the list of other external companies or suppliers or parties that we may
need to achieve our key activities and deliver value to the customers. Key partners play
an important role in our business journey to make it going smoothly. They are key
partner to achieve the value my business promises to the customers.

For the key partners, I state local market as one of my partners because many
local markets in Malaysia easy to get the supplies and I will get different kinds of
flavours for my mini crunch. Other than that, social media influencers also became my
partners because I pay them to promote and influence other people about my products
in social media. I’ll give a sponsor to an influencer such as Iddin Ramli, Furqan Fawwaz
and Ardell Aryana, to make them promote my product to their fans so that my product
will be well-known among their fans and followers.

Besides from that, I will need to have a license from Kementerian Kesihatan
Malaysia or we all know as KKM for a healthy and clean food. Then, our company
need to have a license from Jabatan Kemajuan Islam Malaysia or known as JAKIM for
halal logo for our product. Because JAKIM is important to make sure the society are
buying halal products. Therefore, it became one of my business partners as JAKIM has
certified halal certificates for my snacks products. Lastly, I choose J&T Express as my
another partners because I will use their services to post the products to my customers
around the Malaysia and most of the J&T work very fast. Such as when I want to post
my things to my friend, it took only 24 hours to reach at my friends rather than any
posting services.

4
3.2 VALUE PROPOSITION
The value proposition is foundational to any business or product. It is the fundamental
concept of the exchange of value between your business and your customers. Generally,
value is exchanged from a customer for money when a problem is solved or a pain is
relieved for them by our business. For value proposition, high quality is my choice.
High quality that I mean is come from product and services. I will always make sure
that my team and I will give 100 percent effort to make sure that we produced high
quality products.

Next, brands and reputations. We are taking serious about our brand and
reputations because we believe that good reputations will give a good impact to our
company. For example, we will put the reasonable price for our products to make sure
that our customers are satisfied with our products. We will also will create a good
design to promote our brand so that I will became a popular product and been knowns
by everyone.

We also offer a various flavour of the topping and coating of mini crunch. For
topping, we have milo, Bueno, kitkat and oreo. While for the coating, we have
chocolate, vanilla strawberry and butterscotch. Customers can choose any of their
favourite flavour. Our snacks also affordable to buy it is only RM10 per jar with 12cm
high and 7.5cm wide with any flavour coating and flavours that they want.

5
3.3 CUSTOMER SEGMENT
Customer segmenting is the practice of dividing a customer base into groups of
individuals that are similar in specific ways, such as age, gender, interest and spending
habits. To create the customers’ segments, we need to know the characteristic that I
fulfil on the needs of people.

For customer’s segment, I targeted adults and teenagers as my customers

because my crackers products are suitable for all age of people but less appropriate for
old and baby because this crackers is quite tough. Furthermore, an adult would have
social media so that they may know more about my products. They can enjoy my
crackers while doing work or homework for students.

Then, for family and kids, they can take my crackers as a snack that can be eat
at any time. For teenager they also can eat the mini crunch while watching a movie as
a snacks. This snacks also suitable for the whole family because it comes it a few
different flavour so that can eat them together with the family.

6
3.4 CHANNELS
Channels are defined as the avenues through which the customers come into contact
with our business and becomes part of our cycle. This is generally covered under the
marketing plan for the business. Channels is about how we are going to tell our
customers segment about our value proposition.

For channels, my teams and I would like to use online channel such as social
media as a platform to reach any of my customers. For example, I use Instagram and
Facebook apps to post and promote my cakes and cookies. For a young generation,
most of them have their Instagram accounts and for the older generation, they usually
know how to use Facebook apps better than Instagram apps. Customers can contact our
company through direct messages or by using WhatsApp apps. In addition, I will use
Shopee apps platform to place my product and sell it to whoever wants it. By using
Shopee customer will easily place their order and I can set it become free postage with
condition buy any 2 or more jars.

Other than that, I also picked direct selling as one of my channels. Direct selling
means I will sell my products direct from my home and my store. So, they can self-pick
up the products from my home and my store whenever they wanted to. Next, COD or
cash on delivery, I will make a delivery for those who interested and want to buy my
products to their places.

7
3.5 CUSTOMER RELATIONSHIPS
Customer relationship is defining as how a business interacts with the customers. It is
either we meet them in person or over the phone or maybe we run the online business
so the relationship will be online too. This helps clarify the points of engagement
between you and your customer and the modes used to create to your customers.

Every time our customer buys something for our company, we will make sure
to give them a very good service just to make sure they are satisfied with our company.
By this action, they will tell their friends and family about our company. In addition,
every time there’s a celebration we will make a promotion such as when every culture
festival ceremony in our beloved country, Malaysia. We also make a promotion every
month such as 1.1, 2.2, 3.3 and so on until 12.12.

8
3.6 KEY RESOURCES
Key resources is about the asset that we have to make our business grow. It also means
the resources the business requires to do business. So, for key resources, the taste is
important to our product. I put a very high expectation to the taste because the one who
will get the satisfaction is our customers. It is special because we create variety of
flavours to fulfil the need of all our customers because every person has different types
of appetites.

Next is the skilled staff. We would have our designer to design our products
brand to make sure it looks different form others products. Our design include design
for our store, our logo, and our online channel advertising. Furthermore, the
manufacturing such as the machine, stores stuff, shelves and so on. We would always
high quality of manufacturing facilities to maintain our high quality production of
products.

3.7 KEY ACTIVITIES

For the key activities, I choose the best key activities to make sure the business work
well. I have chosen marketing and production. As we can see, marketing is the most
important thing to keep the business grow. There is a saying goes, the good marketing
is we have not realise that it is automatically asking about our product. The good
marketing skills can increase the sales of product from time to time and keep your
profitability up. The nature of marketing is creativity that the owner wants to show such
as give the artists or influencers my product, then when they go outing with their friends
and eating the mini crunch. Their friends will automatically ask what he or she eaten.

Next, in order to keep the business grow, we need to focused on production. We

will keep on maintaining the production of our product to maintain our productivity so
that our customers will only be serve with high quality products only. We also will
monitor the production process to keeping the operations safe and working out how to
reduce cost and improve our productivity to keep pace with markets changes.

9
3.8 COST STUCTURE
For the cost structure of this business, I will have to pay for manufacturing facilities.
Because we need to buy a good machine to produce our crackers products in a less
period of time and to increase our productivity. We also need to buy a few things to our
store to make our business run efficiently such as refrigerators and big mixer. I also
need to pay for store rental per month. Then, the packaging need to get ready all the
time as I use jars to pack my mini crunch.

Lastly, I also need to pay staff salaries. Staff salaries also include in cost
structure because I need to pay their salaries per month. I will not have more staffs but
I need quality and tolerant staffs to make my business became grower.

3.9 REVENUE STREAMS

For the revenue streams, I decide to choose promotion. Promotion such as buy 2 free 1
will make the customers willing to pay more because most of the people are loved
promotion of any products. Promotion like that will increase our sales and attract more
customers to our store. We also will make sales especially during a special day or
festival ceremony day and they will buy in huge amount of purchase.

Other than that, we also provide free gift to our customers to every special
purchase and to lucky customers. Free gift will make our customers happy to buy our
products because they will get extra give after buying our products. Such as chopsticks
that will long-last usage and they can eat by using these chopsticks.

Last but not least, for the payment. Customers can pay it through online banking
or give cash while delivers it to their houses. For delivers, the customers will have to
pay delivery fees based on the distance of their houses from my house. For an example,
I live in Kampung Paya Resak, Bukit Payung. If the customers within my area, the
delivery fees will be RM1 and if the customers were from another area such as Kuala
Terengganu or Chendering, the delivery fees will be around RM5 to RM8.

10
4.0 CONCLUSION

I can conclude that business model canvas is so important to any kind of business they build
especially to one who wants to start their own business. Thanks to Alexander Osterwalder of
Strategyzer who created business modal canvas formula to help and ease all the entrepreneurs.
Business model canvas also helps me to have better insights on how to attract customers, what
value propositions are offered through what channels, and how my company can make money.
I also can use it to understand my own business model or that of a competitor. This business
model canvas is so important to everyone to apply when they’re about to start their business,
whether in online or offline business. A big thanks to my ENT 300 lecturer, Madam Hasmida
who gives me other students a chance to understand business model canvas guideline and
hopefully use the guideline for a long time.

REFERENCES

i. Belyh, A. (2020, November 29). Key Activities Block in Business Model Canvas.
Retrieved from CLEVERISM: https://cleverism.com/key-activities-block-business-
model-canvas/
ii. Business Model:Key resources. (2020, November 29). Retrieved from
empowerwomen: https://www.empowerwomen.org/en/ilearn/my-courses/business-
developement/business-model/business-model-key-resources
iii. Hasmida. (2020, November 21). Guidelines for Business Model Canvas. Retrieved
from Microsoft Word.
iv. Hasmida. (2020, November 20). Video SWAT & BMC. Retrieved from Telegram.

11
 FACULTY OF BUSINESS AND MANAGEMENT
ASSIGNMENT/ PROJECT DECLARATION FORM

Student’s Name : MUHAMMAD HAMIZAN HAKIEMI BIN YUHAIRI

Student’s ID : 2018444884 Student’s I/C No. : 000405-01-0427

Program Code : EM110 Part : 5 Course Code : ENT 300

Course : FUNDAMENTAL OF ENTREPRENEURSHIP

Name

Assignment/ Due Submission

Project No. : 2 Date : 10/12/20 Date : 10/12/2020

Assignment/ : BUSINESS MODEL CANVAS

Project Title

Lecturer’s Name : MADAM HASMIDA BINTI MOHD NOOR

I hereby declare that the work in this assignment/ project was carried out in accordance with the
regulations of Universiti Teknologi MARA. It is original and is the results of my own work, unless
otherwise indicated or acknowledged as referenced work. This assignment/ project has not been
submitted to any other academic institution or non-academic institution for any degree or qualification.

I acknowledge that I have been supplied with the Academic Rules and Regulations for Universiti
Teknologi MARA’s Diploma/ Bachelor Degree/ Master’s Degree students, regulating the conduct of my
study and exams.

I hereby declare that this assignment/ project is written by me and:

i. is a result of my own work;
ii. has not been used for another assessment at another department/ university/ university college in
Malaysia or another country;
iii. does not refer to/quote works of others or own previous writings without stating it both in the text
and in the reference list;
iv. mentions explicitly all sources of information in the reference list; and
v. will go through similarity check (Turnitin).

I am aware that disciplinary action (which may include the deduction of marks in the assignment/
project) will be taken against me if I am found to be an offender.

10/12/20

Date Student’s Signature

12