Everyone Deserve to be Employed

E-HANDI
Table of Contents
Executive summary.........................................................................................................................1

1. Company Description...............................................................................................................2

2. Products & Services.................................................................................................................4

3. Marketing Plan.............................................................................................................................6

3.1 Market Research....................................................................................................................6

3.2 Barriers to Entry.....................................................................................................................6

3.3 Threats and Opportunities......................................................................................................7

3.4 Product/Service Features and Benefits..................................................................................8

3.4.1 Product Features..............................................................................................................8

3.4.2 Benefits............................................................................................................................8

3.4.3 After-Sale Service...........................................................................................................9

3.5 Target Customer.....................................................................................................................9

3.6 Key Competitors....................................................................................................................9

3.6.1 Competitive Analysis....................................................................................................10

3.6.2 Competitor Data Collection Plan..................................................................................12

3.7 Positioning/Niche.................................................................................................................13

3.8 How Market Product/Service...............................................................................................13

3.9 Promotional Budget.............................................................................................................13

3.10 Pricing................................................................................................................................14

3.11 Distribution Channels........................................................................................................14

4. Operational Plan........................................................................................................................14

4.1 Production............................................................................................................................14

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 4.2 Quality Control....................................................................................................................16

4.3 Location...............................................................................................................................16

5. Management & Organization....................................................................................................16

5.1 Organization Chart...............................................................................................................17

6. Financial Plan............................................................................................................................17

6.1 Projected Income Statement.................................................................................................17

7. References..................................................................................................................................19

List of Figures

Figure 1 Organization Chart..........................................................................................................14

List of Tables

Table 1 Company Description Worksheet.......................................................................................3

Table 2 Product & Service Worksheet............................................................................................5
Table 3 Barriers to Entry & Solutions.............................................................................................6
Table 4 SWOT Analysis Worksheet................................................................................................7
Table 5 Competitor Data Collection Plan......................................................................................11
Table 6 Competitive Analysis Worksheet.....................................................................................13
Table 7 Marketing Strategy Chart.................................................................................................14
Table 8 Price Strategy Worksheet.................................................................................................14
Table 9 Management Worksheet...................................................................................................17
Table 10 Profit and Loss Projection..............................................................................................19

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Executive summary
“Covid-19” is the word which everyone these days listens to every time and everywhere. Covid-
19 is a pandemic spreading day by day, and peoples’ lives are also in a very dangerous situation.
Then unemployment has increased to 5.8% in the third quarter from 5.4% in the second quarter
of 2020. (Cenral Bank, 2020). It shows that people do not have enough money to spend day-to-
day life and have a good mentality because they have stress. Then after conducting primary and
secondary research, it has identified that it is better to create jobs for unemployed people without
going to a workplace, and they need support to do that task. Then it has created an App to
convince this task because it needs a method to collect people, give training, sell products, and
update productions. Then, the Organization name was created as “E- Handi,” and App was also
named “E- Handi.” Throughout this report, it has stated the business plan of this organization.

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 6.1. Company Description

Business Name E-Handi

Company Mission To create an earnable man by reducing unemployment while contributing to the
Statement country’s economy and increase human mental satisfaction even in any
pandemic situation.
 Unemployed people convert into employed
Company
 Contribute to the Economy
Philosophy/

Company Vision To convert unemployed humans as an economic contributor to the country

Long term goals

 To become the highest job providing company in Sri Lanka by

providing 20% new jobs every year
 To become the most significant contributor to the Sri Lankan Economy.
Goals &  To increase market share by 10% every year.
Milestones Short term goals

 To create an excellent human mentality during this covid-19 pandemic

situation
 To provide an income for unemployed people because of the covid-19
pandemic
 To contribute to the Sri Lankan economy in this pandemic situation
The target market in this business is local and western countries like UK, US,
Target Market
Germany, France High and middle-income families with high fancy handicraft
demand.

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 Handicrafts have gained in popularity in recent years as a result of their
socioeconomic and cultural worth. Small-scale industries - including
handicrafts, can play a significant role in developing the economic system of
both developed and developing countries equally (India-Crafts 2018), as cited
in ( Teo, Geat, Ho, Jang, & Li, 2020). Handicrafts in nations like Sri Lanka are
of comparable quality to merchandised goods. Volume is an essential source of
freight revenue for them (Dissanayake, 2018), as cited in ( Teo, Geat, Ho, Jang,
Industry/
& Li, 2020). To enhance the economy, the country is concentrated on
Competitors developing the handicraft industry (Bano, 2016), as cited in ( Teo, Geat, Ho,
Jang, & Li, 2020). This statement shows the growing demand nature of the
handicraft industry with our traditional cultures. Sri Lankan peoples’ culture,
thinking abilities, history can create a competitive tool to compete with
competitors. If this handicraft industry mix with technology, it will succeed.
India is the main competitor, and currently, many people are unemployed
because of this covid-19 pandemic. Finally, it becomes a prosperous future for
the business.

This company will register as a Partnership under the Partnership Act of 1890
in Sri Lanka.
Legal Structure/
Ownership will decide base on the initial capital contribution. 4 partners will
Ownership
equally contribute to the company.

Partner1. 25% Partner 2. 25% Partner 3. 25% Partner 4.25%

Table 1 Company Description Worksheet

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 6.2. Products & Services

Products and It is expected to sell Pottery, Wood, Craving, Brassware, Cutworks, Batik,
Services Handloom textiles, Mat weaving, reed and rush wares, and Wooden masks.
Idea These are created by people who are unemployed because of the Covid-19
pandemic.

Special Benefits when solving problems quickly

Benefits  Customers will create a brand for the products
 It will be easy to inform customers about products
 Customers will retain with the organization, and it will increase sales
 Unemployed people will get a proper salary

This organization’s product is better than other competitors’ products because

this process will happen through the app, and there are many creativities and
lots of choices.
Unique  We have a patent because there is no such kind of app that we use.
Features  Quick response, Accurate response, Timely response, Accurate claim,
better feedback
 “Hidden ability into a fancy handicraft” This theme will create its
marketing strategy. It is different from a competitor and easy to identify
to a customer. This product differs from others because this process is
done through an app and is created through unemployed people in
different rural areas in Sri Lanka.

Limits and It will happen damages to products which export by the company; then the
Liabilities customer will be dissatisfied. So, the organization should claim to that product.
When deals with the app, customers may think that receive products will not
be the same as they appeared on the app. Then to overcome this problem, the
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 organization should include real pictures and sizes of those products in the app.
Production Organizations will sell the products based on how much the customer will
and Delivery value those products. Then it uses a Value-based pricing strategy.

Usually, these Organization products sell differently and create value, creating
innovation with a wide range of creativities. Then should create a high end but
initially should create a competitive price to enter into the market.
Price for a pottery 1500
cost (900)
Profit 600

Profit margin 40%

Suppliers Initially, the organization cannot buy several vehicles to the organization. It is
needed to build an exclusive agreement with an outsourcing company to
distribute and supply products. It should be cautious during transportation
because products will damage.

Intellectual The organization has a license to do this business because the organization
Property uses an app and does export.
Special
Permits
Product/ These are creating a competitive advantage for organization sales.
Service
Description
Table 2 Product & Service Worksheet

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 3. Marketing Plan

3.1 Market Research

 Primary market research - This research has used 20 interviews from several regions
through phone calls because it is the correct method and is the only solution for remote
distance.
 Secondary market research - It has used Journal articles and websites online to collect
the data.
The handicraft industry is a small and medium-scale industry. The handicrafts industry is a fast-
growing industry in Sri Lanka, and the handicrafts kept changing from traditional patterns into
modern handicrafts. ( Teo, Geat, Ho, Jang, & Li, 2020).

The organization’s target market includes Local and Overseas western countries market. Local
market share is realistic to capture. People are going to everyday things by using historical and
cultural things.

3.2 Barriers to Entry

Barriers How overcome
High startup cost, High marketing costs, High Need to get a loan and lease
production costs Take sponsorships
Covid-19 situation (Lockdowns) Keep remote distance procedures
Finding qualified employees Allocate for a capable task.
Brand recognition challenges Increase marketing campaign
Table 3 Barriers to Entry & Solutions

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 3.3 Threats and Opportunities
Some people are lack technological use it will affect app usage

Strengths Weaknesses Opportunities Threats

Product/ Service Wide range of Quality differs Improve Sri Competition
Offering creativity Lankan culture

Brand/ Marketing Use app Cost Use technology Competition

Staff/HR Variety skills Difficult to Professional Misconducts

control support

Finance Partnership High maintains Government Rule and

cost support regulation of
overseas
Operations/ Use app Different region Innovation Pandemic
Management operation tools situations

Market Wide range Difficult to Globalization High competition

control

Can any of your strengths help with improving your weaknesses or combating your threats? If
so, please describe how below.
Variety of creative ideas reduce the risk of lack of quality products production

Based on the information above, what are your immediate goals/next steps?
 Provide proper training to employees

Based on the information above, what are your long-term goals/next steps?
  Locate branches island wide
Table 4 SWOT Analysis Worksheet

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 3.4 Product/Service Features and Benefits

3.4.1 Product Features

Handicrafts which are the product produce in E-Handy Organization. Then, these products are
exceptional than other handicraft products. The following feature can consider as features,

 Use an App for this production procedure- This is the main feature of this E-business. No
one uses this type of app. Customers have many choices from this app, and any skilled
person can connect through this app to produce products. Customers can mention their
delivery address and choices and suggestions to improve products.
 It has connected with Sri Lanka culture and history - When produce products, it has
embedded a value which is Sri Lankan culture, history, thinking ability. When anyone
sees these products, they will identify this product is from Sri Lanka.
 Very creative -These products have combined different skills levels because of different
employees from different regions. They are from multiple abilities and skills. Then
products become creative.
 Quality raw materials - Employees find Raw materials by themselves from their regions.
Then they can find natural raw materials.

3.4.2 Benefits
There are some benefits from these Handicraft products to the customers. Such as,

 Uses as an ornament – In the modern world-historical and cultural things are value than
before. Then, these products can use as an ornament to decorate homes and business
places or any place. Some people can use this product as the luckiest item to the home
and any place. These products will enlighten the place.
 Give a fresh mentality to users - When people see these products, it will give people a
good mentality and relaxation because these products are very creative and reduce the
modern complexity.
 High choices to the customers – It has different choices of products because of this app.
They can find their preferred selection from the multiple choices. It can give suggestions,
and it can even deliver information also.
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  Indirectly increase employment – Unemployed people will get jobs from this task, and
their income will increase and creates value.

3.4.3 After-Sale Service

There should have after-sales services because these products are highly sensitive to damages.
Then it can be beneficial to increase customer satisfaction. The organization has planned the
following services.

 Warranty/guaranty - It can give six months warranty for products, but Brassware
products can give a 1-year warranty.
 Refund policy – If any product will damage the organization is liable to refund their paid
amount.
 Ongoing support – If anyone needs help, use the product and use the app any time ready
to support.

3.5 Target Customer

 For customers- Local and western countries, high and medium-level income families are
the target market.
 For business- To distribute products organization target small and medium retail and
whole sellers in local and western countries because the organization is in the startup
stage and the expected annual sale is Rs. 6,000,000.

3.6 Key Competitors

India handicraft is the biggest competitor, and handicraft students are also learning in Western
countries to get knowledge. They are bear ethical values and highly associate with the heritage of
the country. Then they are selling their products in UK, Germany, and France by capturing their
market.

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3.6.1 Competitive Analysis

Earthly & Co
India Importance to
FACTOR E- Handi Ceylon (PVT)
Handicraft Customer
Ltd

Pottery, Wood, Clothing and

Craving, Apparel,
Coconut-related
Brassware, Jewelry,
products such as Variety of selection
Cutworks, Batik, Artifacts,
Coconut shell for customers based
Products Handloom textiles, Metalcraft,
blows, cutlery, on preferences
Mat weaving, reed Woodcraft,
and Sri Lanka arts
and rush wares, Pottery,
and crafts.
and Wooden Gifts and other
masks. assortments
Pottery-Rs.1500
Pottery-Rs.300
Price Pottery-Rs. 1500 Customers can
Coconut shell
Coconut shell Coconut shell compare and can
(Average bowl-Rs.800
bowl- Rs. 900 bowl- Rs.500 purchase the most
prices) economical one

High-quality
Quality High High High products satisfy
customers
Variety products. Few varieties. Huge variety of
Selection It can do through Variety products. Highly coconut products when
the app. related products select.
Synergy, Add
Selection services, value, Diversification to
It will increase
After-sale services, innovation, the different
Service customer
Transportation. After-sale fields like Export
satisfaction.
App operations. service, cinnamon.
Transport
Customer
satisfaction will
High Reliable with
Reliability High High increase, and the
the App.
customer will retain
in the company.
Stability At the startup High stability New to industry When purchase
stage because long but high stability products, customers

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 Earthly & Co
India Importance to
FACTOR E- Handi Ceylon (PVT)
Handicraft Customer
Ltd

term business do not need to

market reconsider products.
At the startup
stage. Technical High expertise
Quality products to
Expertise expertise support High expertise but not as India
customers
use relating to App Handicraft
operation.
Company At the startup Moderate Customers’ rely on
High Reputation
Reputation stage Reputation will increase.

Location Colombo India Hambanthota Very easy to access

Very creative
Very creative and Add cultural Customer
Appearance and add Indian
add Sri Lankan values satisfaction increase
value
Through the app,
export, Local Online, retail, Online, retail, and Customers can
Sales Method
retail, and and wholesale. wholesale easily access
wholesale shops.
50% Initially 30%
Customers
Credit at receive point
Not Known Not Known purchasing ability
Policies 20% after one
increase
month.
Available. use
Available. The app
online Customers
will feature more Available. Use
Advertising advertising as a awareness will
accessible advertising
competitive increase
advertisements
strategy
At the startup
stage. Customer
Image But with the app, it High High satisfaction will
will get a good increase.
image.

Table 5 Competitive Analysis Worksheet

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3.6.2 Competitor Data Collection Plan
Find information through the internet.

Price Use wooden handicrafts’ average price Sri Lanka price-1500

to compare competitors’ prices.
India price-1000

India has a competitive price.

There are many competitors for any Features

organization. It is beneficial to have
Benefits/Features Competition should identify clearly
competitors because; It will increase
and correct measurement and their
the intention to goal and increase
strategies. Then it will enhance the fair
motivation to innovate.
competition.

I will help to sustain the existing

market.

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 India handicraft is the key competitor, There are several competitors in Sri
and handicraft students also learning Lanka, but “E- Handi” is different
Size/Profitability
in western countries to get knowledge. because it uses the app as a
competitive advantage tool.
Then they are selling their products in
the US, UK, Germany, and France. Another list of competitors are-
They have captured their market.
 Paradise Toys(Pvt)Ltd
India has high profits when compared  DSL(Pvt)Ltd
to low labor costs and value-adding.  Lanka Kade Exports
But I have mainly focused Earthly &
Co Ceylon (Pvt) Ltd of Sri Lanka and
India Handicrafts to compare with “E-
Handi.
Sri Lanka’s handicraft industry has India uses a differentiation strategy
low cost leadership because of low like value-adding strategy but also a
Market strategy
labor cost but that will not success in low-cost strategy. They are bear
Long run. It is good to have ethical values and highly associate
differentiation strategy for handicraft with the heritage of the country.
industry.
Table 6 Competitor Data Collection Plan

3.7 Positioning/Niche
 Demographic-Low and medium level
 Geographic-Local and Western countries

3.8 How Market Product/Service

The online market is best with this pandemic situation, and It will use through the Business
website, Social media marketing, Email marketing, and search engine optimization.

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 3.9 Promotional Budget
Target Market
One-Time 50,000
Expenses

Monthly or 50,000
Annual Expenses

Labor Costs 20,000

Table 7 Marketing Strategy Chart

3.10 Pricing
Business Name E-Handi

Which of the following pricing strategies will you employ?

Cost Plus Other:

Value Based

Plus enough to make a profit, the Based on your competitive

costs of making/obtaining your advantage and brand (perceived
product or providing your service. value)

Explain your pricing model selection.

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Customers look at the value of a product. If it will low price other than competitors’ customers will
think the quality of products is not good.

Table 8 Price Strategy Worksheet

3.11 Distribution Channels

 Retail, direct sale
 E-commerce
 Wholesale

4. Operational Plan

4.1 Production
Pottery, Wood, Craving, Brassware, Cutworks, Batik, Handloom textiles, Mat weaving, reed and
rush wares, and wooden masks are the leading products and labor incentives.

Production Process

Company creates an App to connect all the unemployed people and through that
initially needs to register for that business as a preferable person to do handicraft.

Then there are categories on that app prefer to produce. Then people can select
their prefer category.

Then This category has training session videos for new members for the industry.
Then They can watch these videos.

Then after watching videos they can purchase their need equipment and if anyone
difficult to purchase that equipment organization will deliver under a loan facility. 15

Then people can mix their skills, capacity, and creativity with the products.
 After produce products, creators will update their profile on App which includes
number of productions. Then twice a month organization vehicle will arrive to gets
those products closer to producers. Then will gets the payment through bank and it
will reduce virus spreading risk.

Next, Organization will connect with local and overseas customers through App
because Customers can demand products through app. Other than that,
Organization will directly sell to retail shops to local and export to abroad.

4.2 Quality Control

Make standards by mentioning colors, Sizes, use brands for raw materials for productions

4.3 Location
Colombo is the location but production island-wide people. Medium-scale location, and it is
straightforward to access to any employee. Initially, the building is for rent purposes.

4.4 Legal Environment

The organization has obtained a patent for this app and a license to export and do business and
trademark the business logo.

4.5 Personnel
 If anyone is creative and unemployed due to covid-19, they are invited to do the
production.
 Inventory
 The raw material will hold on employees, and finished goods will hold in stores until
distribution.
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 5. Management & Organization

All the owners are graduators from the management

Bio/s All partners have 5-10-year experiences in the business industry

Initially, hire a management accountant with high experience in this industry

Gaps in Management
to fill the gap.
or Experience

From Attorney and insurance agent gets the advisory support

Advisors

Table 9 Management Worksheet

5.1 Organization Chart

E-HandI

Owner Owner Owner Owner

Management
Accountant

Employees

Figure 2 Organization Chart

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6. Financial Plan

6.1 Projected Income Statement

2022

Revenue (Sales)  6,000,000

Cost of Sales
Raw material 600,000
Transport 240,000
Total Cost of Sales 840,000

Gross Profit 5,160,000

Expenses
Salary expenses 3,000,000
Outside services 200,000
Repairs and maintenance 20,000

Advertising 50,000
Car, delivery, and travel 500,000

Accounting and legal 10,000

Rent & Related Costs 20,000
Telephone 5,000
Utilities 0
Insurance 50,000
Taxes (real estate, etc.) 2,000

Interest
Depreciation 100,000
Other expenses (specify) 50,000

Sub-total Expenses (4,007,000)

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Net Profit Before Taxes 1,153,000

State Income Taxes (172,950)

Net Operating Income 980,050
Table 10 Profit and Loss Projection

Initial cost 1,000,000

7. References

Teo, P.-C., Geat, J. L., Ho, T. C., Jang, Y.-T. J., & Li, A. L. (2020). Analysis on Competitiveness
of the Handicrafts Industry: A Case of Sri Lanka. International Journal of Academic
Reasearch in business and social sciences, 146-163.

Cenral Bank. (2020). Weekly Economic Indicators. Central Bank Sri Lanka.

Dey, M. (2018). Managerial Challenges of Handicraft Industry: An Indian Pedrspective.

International Journal of Sciences: Basic and Applied Research(IJSBAR), 195-200.

Earthy & Co Ceylon (Pvt) Ltd. (2021). go4WorldBusiness. Retrieved from

http://www.earthycoceylon.com

Export Dvelopment Board. (2017). Sri Lanka Craft Sector. Industry Cabability Report, 1-8.

Indiamart. (2021). Indiamart. Retrieved from http://m.indiamart.com

Mobile Development Inteligence. (2013). Country Overview : Sri Lanaka Mobile for
Development. GSMA Inteligence, 1-26.

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Naidu, S., Chand, A., & Southgate, P. (2014). Determinants of innovation in the handicraft
industry of Fiji and Tonga:an empirical analysis from a tourism perspective. Journal of
Enterprising Communities: People and places in the Global Economy,2014.

Navarathne, T., & Rathnayake, R. (2015). Sustainability of Small Scale Traditional Industries In
Sri Lanka - With Specific Refrerence to the Handicraft Industry. Inclusive Growth
towards Economic Transformation Sri Lanka Economics Research Conference 2015,
214-225.

Yang, Y., Shafi, M., Song, X., & Yang, R. (2018). Preservation of Cultural Heritage Embodied
in Traditional Crafts in the Developing Countries. A Case Study of Pakistani Handicraft
Industry. Sustainability, 1-18.

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