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A Business Plan On Edmialem Cinema: 1. Executive Summery

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A Business

Plan on

dmialem

Cinema

1.EXECUTIVE SUMMERY

The cinema will offer the domestic and foreign movies in each day of the week.Simultaneously Ethio-
wood cinema will offer soft drinks and fast foods for thecustomers.The 100-seat cinema hall is expected
to provide service twice per day for working daysand three times per day for weekend time. In each of
the cinema programs an average of 0 customers will show the movie. The average expenditure of the
customer for fast foodand soft drink is estimated to !e  !irr and the entrance fee or the price of ticket
for each person.

The film shown will !e second run release of the most popular movies in two targets "familiesand young
adults.

#ll movies in the cinema will !e segmented !y the customer age and preference. $or example% in each of
the week the morning movies especially cartoon and animationmovies will !e presented for children%s%
the afternoon and the evening program newarrival foreign movies and new domestic movies will !e
present respectively for thosecustomers a!ove the age of 1& years.In addition to the a!ove% the source
of movies is #lem cinema for domestic movies andEthiopia cinema for foreign movies !y paying '0( of the
total receipt from ticketing or entrance fee.

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A Business

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E
dmialem

Cinema

1.Introduction

1.1 )ame of the !usiness* Edmialem cinema #ddress* +e!re !erhan E-mail* edmi,#!e!egmail.comeTell*
1'0///

1. )ame and address of the principal )#E #+2ESS

Edmialem 3elay....................................................+e!re !erhan universityelke

solomon4444444444444...+e!re !erhan universityEshetu olla444444444444444+e!re !erhan
university3iniam Tesema44444444444444+e!re !erhan university+esta #!e!e444444444444444.+e!re !
erhan university

Edmialem cinema hall will run a

s a pa

rtnership !etween% 5iru!el Endale % #!e!e Taye%6irma Shiwang7aw% Edmialem 3elay and ikias
3elhu.The cinema hall will offer !oth domestic and foreign movies for its customer withadditional
services of a fast foods and soft drinks which include donant% !urger% sandwitch% and reed !ull and
coca cola8s% other drinks.The !usiness will !e esta!lished in order to generate profit !y providing
satisfactoryservices for the people of +e!re !erhan town.

1.3 Objective

The main o!9ective of the Edmialem :inema is to generate profit.

Specific objective:.

-To satisfy its customer -To expand its !usiness.

1.'

Miion


The mission of Edmialem cinema is to give a delighted service to its customer andadding value for the !
usinesses.

To give customers a !est in entertainment experience.

The customer will relax comfort and with high ;uality presentation of popularlatest movies.

They will also provide their customer with satisfying and reasona!ly priced snakefoods and !everages

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A Business

Plan on

dmialem

Cinema

1.'

viion

commitment to customer* showcasing of the highest exhi!ition standardat its multiplier.<ur hope is that
they can !ring people together a community meeting place to en9oycinema experience that not only
matches that found in commercial town cinema% !ut alsoin terms of ;uality% en9oyment% and
convenience exceeds it.

1." #e$ to ucce



It uses difference types of incentives% promotional or inducement mechanismto attract other customer.

1.% St&te'ent of fin&ncin( needed

This !usiness is esta!lished in order to get the re;uired level of profit !y deliveringsatisfactory and
ade;uate services for the people of +e!re !erhan town which include !oth cinema program and fast foods
and soft drinks.The customers are !enefited in terms of the following things*-

#vaila!ility of foreign and domestic movies on time%

=ell-cooked fast foods and soft drinks%

Entertain themselves

They protect themselves from unfruitful activity...etc

). I*+USTRI,- ,*,-YSIS

).1 uture out/oo0 &nd trend

$irstly they intend to start up and run a cinema in +e!re !erhan area !y providing fastfood and movies.
Simultaneously to ward good recreation purpose for local young%couple and married people with
sophisticated atmosphere.$urthermore to find and convert suita!le preemies to 100-seat cinema with
desira!le typeof movies% fast food and car parking facility. To !uild up a regular clientele and
achieveforecasted Sales !y advertising and promotion and !y the product and service itself.additionally%
to !e a!le to employee full time staff mem!er to !uild up a relia!le andconscientious team working in the
cinema% esta!lishing the owners to concentrate on theday to day pro!lems% to meet the customer
demand% mounting promotions andsupervising the general running of the cinema in order to !uilding
and expand the !usiness future. $inally our future outlook is to purchase a second premise in
differentarea and set up a similar operation after five year.

).) ,n&/$i of co'petitor

There are only two cinema hall in +e!re !erhan town >I.e.%

I2OT CI*EM, ,*++ERERE,* CI*EM,4

The ma9or difference !eing that lack of fast food and softdrinks% car parking facility% specified time
schedule with the type of movies. In additionto the a!ove% the strengths and weakness of the cinema
are listed !elow"

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A Business

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Cinema

Stren(t5

They have experience in this area throughout their operation time

They also have a good capital as compared with others % due to their income thatis generated !efore

The cinemas are known !y the people of +e!re !erhan town !ecause of their seniority


They know the consumer preference and wants !y their experience

They facilitate strong connection with financial institutions and investors

2e&0ne

There is no fast food and soft drink service as the customer demanded

Their services do not include or consider children need and want

?ow advertising and sales promotion

)o parking facility

There is no facility layout for those who are physically disa!led

low sophisticated atmosphere for the customer

?imitation in terms of on time movies

).3 Indutri&/ forec&t

The cinema customer has estimated in +e!re !erhan town is a!out /( of the whole population and the
growth of the customer is increasingly% due to the existence of newtechnological improved domestic
and foreign movies. 3efore starting this !usiness plan% they conduct some opinion of +e!re !erhan town
people a!out their attitudetoward the demand of movies% most of them said that the num!er of
customer isincreased time to time. @owever% the num!ers and service of cinema whole cannotmatch
with the customer in +e!re !erhan" due to their forecasts a!out the industry isthe market or demand
increase in the future.

3. +ESCRI6TIO* O VE*TURE


6roduct

#n average prices with desira!le ;uality and standard this Includes fast food likedonat% !urger%
sandwich and soft drink like 2ed 3ull% coca cola and Aepsi.

Service

Their most power full service is the movies itself" which are new% technicallyimproved% desired and
ethical for foreign and domestic sources. #nd also providing a good situation in parking facility with
security% easy ticketingsystem and satisfactory delivery of fast food and soft drink.

Si7e of buine

The si7e of !usiness is a small !usiness" its initial capital is around 100%000 andthe capital structure is
0(-'0( i.e.% 0( of the total capital is covered !y the

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'

A Business

Plan on

dmialem

Cinema

mem!ers and the remaining '0( is comes from loan. It has five >B part timeworkers in security%
weightier% kitchen worker% casher and technical personrespectively. # cinema hall has 100 seats to the
maximum% have a parkingfacility pace.

Office e8uip'ent9 0itc5en &re &nd peronne/


Office e8uip'ent

<ffice ta!le% chair% computer and shelves.

#itc5en &re

2efrigerator% Stove% cans% and related material to cook fast food and for presentation of soft drinks

&c0(round of t5e entrepreneur

#irube/ End&/e

=ho is a third year student of +e!re !erhan Cniversity in tourism department and havean experience in
cinema service organi7ation for two years

Ed'i&/e' e/&$

=ho have 3# +egree in information technology and have good relationship with many people in +e!re !
erhan town.

Mi0i& e/5u

=ho have good experience in maintaining electronic materials such as +D+ player%Television%
Aro9ector% screen and others.

,bebe T&$e

@ave good knowledge in purchasing e;uipment8s% sales management and

have Exposureto the outside marketing environment.

;ir'& S5i&n(7e
@ave a good experience as financial manager on the !usiness.

<. 6RO+UCTIO* 6-,*

#s their product is !oth tangi!le and intangi!le means that it is product and service. Inorder to operate or
run their production they procure or !uy some necessary movies fromlocal supplier Ethiopia
cinema.Those tangi!le products like fast food and soft drink will !e purchase from local retailers to
produce or cook fast foods. $or soft drink their responsi!ilities is only presenting and keep refrigerated.

<.1 65$ic&/ p/&nt

There some e;uipments and physical plant those have to !e purchased or rent inorder to operate their
production. The following are the ma9or one.

1. 6rojector

To display the movies a !igger large si7e

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dmialem

Cinema

). +V+ p/&$er

In order to play the movies

3. Spe&0er $te','p/ip5&$ier

To transform the sound from +D+ player to speakers

Spe&0er
To magnify the sound in order to provide good sound that can !e heard !yany customers.

<. &//T$pe:

prefera!le a free hold premise to rent from another !usiness people.

-oc&tion:

around the entrance of +e!re 3erhan town from #ddis #!a!a which is prefera!le to attract more
customers and get a good transportation service for thecustomer.

Si7e:

100-seat hall with three !y three meter kitchen

".;ener&tor

To safeguard when there is no electric power.

". *&'e of upp/ier of r& '&teri&/

Soft drin0

:oca :ola and oha company8s wholesalers

&t food

They are will procure a raw material like !red and <ther  like meat% oil%!etter%cake powder% vegeta!
le and etc are for concerned supplier in order to cook fast food.

%. M,R#ETI*; 6-,*

%.1. 6ricin(

The sensitivity of the customer due to price change is less !ecause there is no alternativeor no many
competitors in the market and the price of ticket and fast food are relativelylow and it can !e afford !y
any socio economic group of the people.They use these pricing strategies in order to operate their !
usiness%to gain attractive profitand delivery service in a most afforda!le way.

Ite'Me&ure'ent ,'ount 6rice1. tic0et

)um!er11 !irr

). oft drin0

Fuantity1' !irr

3. bur(er
Fuantity10 !irr

<. &ndic5

Fuantity11 !irr

". +on&t

Fuantity1!irr

Page

A Business

Plan on

dmialem

Cinema

.

+itribution

Edmialem cinema distri!utes its product and services for the customer in its premiseor cinema hall.
3ecause it is impossi!le to provide door-to-door service due to thenature of their service cinema.

%.3 6ro'otion

#s they mention earlier those competitors lack promotion and advertising techni;ue inorder !enefit from
these their Edmialem cinema use !ill!oards% pamphlets% TD and radiostation working in +e!re !erhan
town%face !ook%e-mail% newspaper and maga7ines inorder to promote the cinema program to its
customer. The reasons !ehind to select these promotion system are*-

Their competitors does not familiar with this kinds of promotinal techni;ues


The cost of these promotional system are less cost than other promotion system

The value or contri!ution of these promotion is higher to the company

ost of the people are familiar with this entertainments

These promotion mechanisms are effective to introduce as well as to promotethe company8s service.

These promotion mechanisms are availa!le in +e!re !erhan town

%.<6roduct forec&t

#s their customers increases the products and services of the cinema hall in the futuretime will growth
increasingly in terms of the following factors*-

=u&/it$

* - The type of movies% technology of e;uipments like /+ technology% pro9ector system techni;ues used
the cinema hall.

re8uenc$

* - :urrently the company plan to provide 1 movies per week. @owever% it isnot large enough% so in
the future the num!er of movies and the fre;uency of the programwill increase.

%.". Contro/

In order to control the ;uality% nature and type of movies all movies must !e seeninitially to evaluate
each movies in terms of their cultures% norms and perceptions !efore presenting for their customer. If
there is any defect >i.e.% sound% image andethicsB the movie does not present to the customer rather
returned to their suppliers.<n the other hand to control the ;uality of fast foods the company conducts
thecustomer8s advice% coments% and suggestion a!out the products to avoid the pro!lemrelated with
the product.

Page

&
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A Business

Plan on

dmialem

Cinema

>. OR;,*I?,TIO*,- 6-,*

>.1. or' of oner5ip

Edmialem cinema will !e run their partnership !etween Edmialem 3elay% 5iru!elEndale%

Abebe Taye,Mikias Belhu and Girma Shwangzew

. Each of partners shares theincome depending on the amount of contri!ution to esta!lish the !usiness.
I.e. each of partners contri!utes

12000

!irr e;ually. So they share will !e e;ual.

&. ,ut5orit$ of princip&/

3ecause of the nature of partnership all principals of the !usiness have e;ualauthority to decide related
with the following factors

To procure or purchase material or e;uipment for the !usiness.

To hire employees or fire from the !usiness.

To make a contract with supplier or others.

>.). Ro/e &nd reponibi/it$ of 'e'ber of or(&ni7&tion

Securit$

To protect the material or e;uipments from damage% theft and other ha7ard.

To protect the property of customers like !icycle% car% or motors%taxi 4etc.

To keep the security of cinema hall from distur!ance customers.

2ei(5tier

To give seat for customer

To deliver fast food and soft drinks for the customer.

To treat customers in a suita!le way

#itc5en or0er

To cook fast foods%

To keep soft drink refrigerated%

To give for the weight if any order is availa!le and%

To protect the cleanness of the kitchen ware.

C&5er


2eceiving any cash flow and to make a payment.

Tec5nic&/ peron

:ontrol noises%lightning system%

#rrange the schedule of movies%

:heck the sound and image ;uality%

#void unnecessary voice which interrupts the customer%

:ontrol electric supplies.

@. ,SSESSME*T O RIS#

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