ACKNOWLEDGEMENTS

First of all, we would like to thank Almighty Allah, the OMNIPOTENT, OMNIPRESENT and SUSTAINER of the universe, who gave us the strength, ability, courage, endless patience and dauntless determination to work on this report. Secondly, we would like to thank Sir Ather Qadeer Quraishi, who provided us the opportunity to work on such a business oriented and instructive report. The preparation of this report was an enlightening experience for us. The study conducted for the preparation of this report has enhanced our learning of the coursecontent and has increased understanding. We would also like to thank friends for their moral support and assistance.

S.NO 1

CONTENTS INTRODUCTION OF PROJECT

PG NO

1.1 Executive summary 05-06 1.2 Profile of the group 1.3 Purpose of project and brief 1.4 Current scenario in Karachi 2ORGANIZATION MOTTO & BUSINESS PROFILE 2.1 Business logo and description 11-12 2.2 Mission and vision 13-14 2.3 Short term and long term strategy 15-16 3 PROJECT CAPACITY AND DETAILS 3.1 Project capacity and investment 3.2 Proposed product mix 4 CURRENT INDUSTRY STRUCTURE

07 08-09 10

17-18 18-20

4.1 Current structure of industry 4.2 Competitors 23 4.3 Analysis of competitors 5 MARKET INFORMATION AND SEGMENTATION

21-22 24

5.1 Target market 25 5.2 Market segmentation 5.3 Market potential 6 MARKETING TOOLS 6.1 7PS 6.2 Planning assumptions 6.3 Marketing Objectives 6.4 SWOT Analysis 7 PROJECT PARAMETER 7.1 Staffing requirements 7.2Key Success Factors 8 PROJECT REQUIREMENTS 8.1 Day care requirements 8.2Equipment Details Qty Cost 8.3 Furniture & Fixture Details 8.4 Human resources requirements

25-26 27

28-31 32 33 34-35

36 37

38 39 40 41 2

8.5 Building requirements and location 42

FINANCIAL ANALYSIS 9.1 Project cost 9.2 Balance sheet 9.3 Forecasted sales 9.4 Income statement 9.5 Cost and benefit analysis 43 44 45 46 47

10 11 12

CONCLUSION48 RECOMMENDATIONS49 REFERENCES50

CHAPTER 01 INTODUCTION OF THE PROJECT

1.1Executive Summary
Pakistan is a country that faces many difficulties including a weak economy, low income, illiteracy, caste discrimination, and a lack of understanding of the importance of education. The Child Daycare and Early Childhood Education and Development Project were developed in response to these issues, and hope to decrease the vulnerable situation of children in the Karachi city. The project provides a safe and educational environment where the skills and potential of every child is nurtured, while parents go out to work. Parents can drop their children under the age of 5, off in the morning and pick them up again at the end of their workday. While at the daycare, children will engage in a number of educational activities that will provide them with a head start for primary school. A reasonable fee per month is charged to the parents, to offset operating costs.

The following goals and objectives are outlined for the project
To ensure all the children of Karachi are provided with safe and quality childcare To prepare children for primary school To improve the health of the children by providing a healthy meal and/or snack each day To provide a loving, responsive and nurturing environment for the children To engage the children in activities that fosters their natural curiosity, initiative and hunger to learn To increase awareness of the importance of education To increase self-confidence, self-respect and self-esteem amongst the children To alleviate the anxiety amongst parents associated with leaving their children inadequately attended to To reduce poverty levels by freeing up both parents to engage in economic activities To empower women to increase their earnings

The evaluation of the program will be conducted primarily by the Project Coordinator and will consist of informal interviews, observation, and ongoing monitoring and data collection, a yearly survey and through progress reports.

1.2 PROFILE OF THE GROUP

The team of the business plan consists of five members. These members are going to start the business. We will share the ownership of the business equally. The share of the ownership will be based on the investment of the owners. All of the owners are going to invest equally- for the establishment of the business. These owners will take every major decision for the business and they will share the profit or loss of the business equally. We will appoint the management of the business and will closely supervise them. Initially, the five partners or entrepreneurs will hold all the managerial post. However, as we grow bigger then we can consider hiring any professional manager to take care of matters. For any decisions to be approved all of our owners must agree. Otherwise, the decision will not be accepted. For the better management of the businesses well as for the communication and decision-making process to be flexible enough, the owners will possess the power to nominate a single owner to supervise overall activities of the business. Overall, the proposed business will be a simple partnership with equal authority of the partners in every aspect of the business. Among these members, Qamber Abbas has extensive knowledge in marketing and sales. Soma Shahid Mirza, knowledge of the human resource management, Syeda Zarlaish Hassan in the area of finance and accounting. Aisha Ehtasham has experience in the field of marketing and in designing. Ghulam Abbas He has knowledge of the management and technical Skills. We, the five members have used our extensive knowledge and ideas to generate the business plan that we think can be very feasible with the conditions in Pakistan and can be very profitable for the investors. Therefore, we hope this business plan will make others feel the same as we do.

1.3 PURPOSE OF THE PROJECT REPORT

The project pre-feasibility may form the basis of an important investment decision and in order to serve this objective, the study covers various aspects of project concept development, start-up, and production, finance and business management.

PROJECT PROFILE
The project is about starting a Day Care Center for infants and children of age up to 5. The proposed plan is to offer programs ranging from Infant Care for infants of more than 6 months of age to preschool playgroup for children of age up to 5 years.

Project Brief
The study provides information regarding investment opportunity for setting up a Day Care Center in KARACHI city. However, such a project could also be feasible for other metropolitan cities of Pakistan i.e. Lahore, Islamabad, Peshawar, Quetta and smaller cities but initial market research/survey would be required to identify its need.

Opportunity Rationale
Day Care Center is the place where learning and fun become one and the primary place where children learn social and pre-academic skills necessary for success in school. The Day Cares infant program is centered on the natural curiosity and energy of very young children. Childcare programs and pre-school curriculums integrate a wealth of intriguing and engaging learning activities that stimulate brain development in children. The fast paced life of the cities is significantly influencing the life style of its inhabitants. Economic pressures are compelling both parents to work towards achieving and sustaining quality life standards. This has further added to complexity and competition of any Metropolitan city. As a result of these social changes, the trend of sending children to Day Care Centers at a much earlier age is gaining rapid grounds. The working women will prefer a day care center to a nanny at home because a day care center can provide proper grooming and prepare the youngsters for admission at school in coming years. Secondly the Female education ratio is on a rapid increase so there are more chances of higher female employment in future a sign of higher opportunity for day care centre. Also, the whole institution is responsible for the child rather than a single nanny. Parents are very much worried as there are few institutes, which can help children blossom intellectually and emotionally, while having a lot of purposeful fun along the way.

Market Entry Timing

In Karachi, the admissions in all the educational institutions start right after the summer vacations. Therefore it is recommended that the admissions/registrations of the Day Care center should be started at least one week prior to the start of regular schools to make the process easy both for parents and centers registration staff. This will also ensure that students complete this program at appropriate timing for getting further admission in regular schools.

1.4 Current Scenario in Karachi

Currently there are Day Care Centers in KARACHI with lack of facilities and area with improper management. Children of age 6 months to 3 years are admitted in this center, which clearly indicates the demand for such a project proposed for Infants of more than 6 months of age to children of age up to 5 years. According to population of KARACHI, almost 60% of families have children of pre-school age, and 56% of the parents have their children at home as no proper day care centers facility is available. According to our research about 78 % of the workingwomen were in favor of establishing such an institution in KARACHI. 55% of the working women suggested that such facility should be located near their home, 30% said it should be near to workplace and 15% said it should be near school. The present location of our first daycare center is at P.E.C.H.S. P.E.C.H.S is a posh area, where many major business and residential routes link up. And its an active area for a new thriving day care center.

*ZAralish said source

CHAPTER 02
INTRODUCTION OF THE DAY CARE SERVICE
2.1 Name of the Organization
NEST DAYCARE CENTRE

Description of Logo
The logo for the DAY CARE center had been developed considering the children with a proper care and give the proper behavioral task and knowledge that will help the children to grown up. It consists of a picture of sun which gives an impression of todays children are the future of the nation. The color combinations of the NEST DAY CARE logo are very much impressive and attractive with a view to forward.

Motto of the Business

The motto of the NEST DAY CARE center is going to realize. Every Child is Special; we will focus on our customers expectation mostly by providing quality service.

BUSINESS PROFILE
The NEST DAY CARE center planning is directed to day care providers and facility managers. The name was chosen because of it symbolic meaning and the logo has been developed according to that. It is intended to provide assistance in meeting the planning requirements necessary to protect working mothers and children within the facility. Because of the differences in size and complexity between different day care facilities, our planning guide is intentionally generic in nature and in larger facilities for a larger personnel and make the surrounding environment more comfortable, healthy, flexible, and also reliable for the children. The procedures and principles of our day care center are more easy and acceptable than other day care center. The youth of today are the children of tomorrow, a time when they were not given the right direction, not taught the right values. However, a little attention and substantial time can give the working parents who are out of the house for a major part of the day. It is well established scientifically, that the early years of a child's life are critical in the formation of intelligence, personality and social behavior, and that the effects of early neglect can be cumulative. Day-care centers make child rearing easy, by sharing a mother's responsibility in bringing up her children, and at the same time is a source of income to the teachers and staff of the centre. Since the importance of early childhood care and education has become indispensable, A few day-care centers have been mushrooming all over the country in various forms. A good day care centre helps children learn and grow in many ways and is fun, as well. Children gain independence as they explore a world outside the home and choose from among many activities

tailored to their interests and abilities, which let them experience many successes that build up their confidence and self-image. Day-care centre management can be a super way for to earn money. In addition, it is a good way to learn a lot about children, about families, about having a job, about managing money. Our Day Care center is not in this business just to make money. This career will be often chosen because we love working with children and we are socially responsible. Day care center usually work long hours for minimal pay, if we consider what other professionals would get paid for putting in a 12 hour day with little to no breaks. These days are made longer and harder if there are problems with the families they work with. With that in mind, it might be easier to understand the reasons for not accepting a family only as a client.

2.2 Mission
NEST DAY CARE center will attain a position where it will be known for not only its business but also for its contribution to the health and education sector, the society, the environment and the country. NEST DAY CARE center will try its best to contribute significantly to guarantee the children access to knowledge and get quality service to ensure better physical and mental development. NEST DAY CARE center wants to be the choice for everyone especially for the Middle class families. All will be treated fairly with the utmost respect. NEST DAY CARE center wants its employee to feel a part of its success. Happy employees make happy customers. NEST DAY CARE center will that not only met our child care needs, but also provided an opportunity to learning environment. A Curriculum tailored specifically for children, taught in a fun, nurturing care-giving environment. With a low cost, that of the combination of conventional day care and specific interest children based programs. It is a start-up for kids ages zero to five years. NEST DAY CARE center dedicates its efforts and resources toward ensuring top-rated care giving services with a high quality based learning environment tailored for children in these age groups. NEST DAY CARE center will respond to the needs of its parents and children with excellent care giving and instruction, an advanced curriculum, flexible programs, and local community involvement. This day care has a strong commitment to accessibility and diversity. Its open door policy embraces all who desire to provide a better quality of care, awareness and basic knowledge for their children. It works to provide affordable, first-class care giving and a broad range of integrated programs and services and innovative learning approaches. NEST DAY CARE center will be committed to taking a leadership role in child care services.

Vision
NEST DAY CARE center will be aimed at achieving an enormous success in KARACHI. It would be an enormous care center to hang out for the children. Within ten years of its establishment, NEST DAY CARE center will be the leading care center in KARACHI city in PAKISTAN. The customers will be provided with quality and reliability of our services and that we expect to lead to our own development and prosperity. We will grow fast and our diversity will be our identity. We hope to contribute to the welfare of our investors as well as to the welfare of our valued customers and to the welfare of the economy of PAKISTAN. One of our most important goals is to establish long-term relationships with our clients. Our Child Care Program had made Business Centers as a robust and flexible child management program where we can listen to the needs and desires of our child care providers and child care centers, and also the customers. This step will help us to grab a considerable share of the competitive market.

2.3 SHORT-TERM STRATEGY

We will give extra care for providing quality services to our clients. Both children and parents would be treated with equal importance and their preferences would be considered with proper attention for the benefit of our business. Although we are very new in this industry with very few competitors, we will focus on attracting more and more parents to admit their children in day cares for their sound and healthy development. All these services would be provided at competitive rate to meet the income level of the population of our society. Diversified services for children of various ages will be adopted by us for business expansion. We will divide kid group into two categories mainly the kids (infants) and Pre-school, and will provide them different services as per requirements. Our care givers would be highly experienced and trained. We will appoint care givers according to the ratio of workers to children. Even proper training and instruction would-be provided to new care givers by senior care givers to maintain quality services. We will regularly interact with our clients for their kind suggestion and recommendation as well as for any complaint regarding our services. This will help us to know the market demand and customer desires and we would be able to increase our service quality. We would be aimed to provide better quality at a competitive rate than the other day cares in our country. We will start our campaign before six months of starting our operation on air and it would be continued after the opening of our business for keeping in touch with the people and developing demand of our services. Thus, we would be able to grab the market more easily.

We have focused four target customers depending in the economic condition of our nation. But we can change our pricing policy depending on the income level of our target market. We would provide diversified services for different segment of our market at a different ratio.

LONG TERM STRATEGY

In future, we would expand our business by providing various diversified services for children including play-group and kinder-garden school facilities. After meeting the demand of our area we would expand our business in other area within the city in near future and it will depend upon the success of our business. In the long run with greater customers base we would focus on achieving more cost effectiveness in our business operation with diversified services. Efficiency of employees would be ensured by various training programs by inside and outside instructors. Customer responses would value with more interaction with them and their suggestion would be implemented for the benefit of our business. Our pricing strategy would be change according to the income level of our customers and economic condition of our country and the demand of our customers. Vast marketing strategy would be adopted by us to make our business more popular among the customers. We would try to provide more diversified services for different target population of our market in the long run. Our pricing strategy would also vary among various market segments depending on their income level. Customer would be treated with respect throughout the business operation with proper care and respect. More improved and intellectual activities would be introduced in our day care center for the physical and psychological development of children. Even modern technologies and outdoor activities could be introduced for improving their knowledge. We would try to diversify our services by providing services to children up to 10 years old. For this purpose various cultural and educational program would be introduced by NEST DAYCARE center.

Zarlaish said target branches

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CHAPTER 3
PROJECT CAPACITY AND DETAILS
3.1Project Capacity
It is proposed that infants of more than 6 months of age to children of 5 years of age be admitted in the center. There are five (5) proposed classrooms for the Day Care Center. Two classrooms would be for Infant Care program, one for two year olds, one for Play Group for children of age between 34 years, and one for Kindergarten for children of age 4-5 years old. Each classroom has capacity of 10 children. The project would have total capacity of 50 children. However, this capacity may not be achieved in the initial years of operations. Year wise number of children (expected)

Programs Offered Infant Care Program Two Year Olds

Year 1 Year 2 Year 3 Year 4 Year 5 5 6 7 3 9 7 26 8 7 11 8 34 12 8 10 6 36 15 10 9 7 41

Play Group (3-4 years old) 3 playgroup (4-5 years old) Total 6 20

Project Investment The total investment required for this project is 1.3 million. The investment mainly covers capital costs of 1.1 million and working capital requirement of 0.2 million.

3.2Proposed Product Mix

The Day Care Center will offer different programs for different age groups. The details are described as follows:

Infant Care Program

The infant care program is centered on the natural curiosity and energy of very young children. It will provide infants with lots of attention, a variety of appropriate activities, and abundant conversation and nurturing to make the world for a baby fun, interesting, safe, and loving. Children

will be with his/her caregiver (nanny) in one of the centers special nook areas where he/she will experience an array of experiences especially designed to meet an infant's needs.
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SLEEPING NOOK This would be the area of the classroom where infants sleep during the day. As infants are all on different schedules, this nook is used throughout the day for sleeping infants FEEDING NOOK The Feeding Nook would be used for baby feeding. MOVEMENT NOOK Infants would be able to practice their motor skills such as rolling over, sitting up, crawling, pulling up, climbing and walking in the Movement Nook. CURIOSITY NOOK Infants would be given opportunities for multi-sensory plays where Infants would begin to explore different materials and begin to understand them. DIAPERING NOOK The Diapering Nook will be used for diaper changing. Extra clothing and materials would also be stored. It would also offer opportunities to interact individually with babies. OUTDOOR PLAY NOOK When weather conditions would be appropriate, this open-air play nook would provide a safe and interesting place for babies. COMFORT NOOK The Comfort Nook would be soft and cozy place that would provide a sense of security and a place to rest before babies move on to a more active nook.

For two-year-olds
The curriculum for two-year-olds will provide an enriching environment with activities that are designed to enhance child's total development in a quality early childhood education environment. The daycare curriculum will allow two-year-old children to spend busy and fulfilled days engaged in activities that would promote learning. Teachers assigned for the two-year-old student group will be trained to incorporate appropriate literature, educational materials, music, and other specially selected materials and resources, all with the goal of enhancing the rapid changes that occur in a child's brain development in the earliest stages of life.

Play Group (3 and young 4-years-old)

Studies have found that learning improves when children are engaged in enjoyable and meaningful activities. That is why every curriculum will include a variety of intriguing activities that can stimulate early brain development with a focus on creative plays. This will be a better place where learning with activities will be focused.

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Nursery school (4 and young 5-year-olds)

Nursery school Program will be filled with fun and educational activities that will be carefully designed to help bring out a child's natural curiosity and encourage a lifelong joy of learning. The curriculum will use themed learning units that incorporate reading, writing, mathematics, science, social studies and more.

13

CHAPTER 4
CURRENT INDUSTRY STRUCTURE
4.1 Current structure of industry
A comprehensive service that enhances the productivity of working parents by attending to the development needs of their children. The intention of high quality childcare is allow employees to respond to their dual work and family responsibilities effectively to the benefit of both families and nation. A childcare center is a facility, other Than a private residence, other than relative or guardian, is compensated to provide care and supervision for children for less than 24hours a day. The daycare centers are reliable and affordable compared to some other kinds of care such as governess. Some accept babies as young as six weeks old, and many allow children to stay until they enter pre-school playgroup. Do not have to negotiate pay as with governess and daycare centers are more secure. Someone other than an immediate family member today cares for approximately one-half of the children in PAKISTAN during some portion of each day. In two-thirds of two-parent homes, both parents work, providing a large and ever growing consumer base for the day-care industry. In addition, there are some children live with single parents who need child care in order to work. Many of the small child day-care businesses are home-based, or operated out of privately owned home. Employed mothers use center-based day care for their preschool children as their primary source of childcare. An additional some of working mothers use center-based care as their secondary source and use a baby-sitter or family member as their first choice. Surveys show that more affluent, better-educated families rely more on paid care and center-based care than lower income families, who rely primarily on relatives. The market demand for childcare has also led to the development of chains of day-care facilities. The daycare industry is increasing and becoming an important contributor to the gross national product (GNP) of PAKISTAN. The reasons for this trend have been identified as: Change in lifestyle of population Avoidance of responsibility Increase of product variety in the market.

NEST DAYCARE center will offer services, which are vitally important in today's fast paced, dualincome world. As an increasing number of families have become dependent on two incomes, the need for quality childcare has skyrocketed. The lifestyle changes created by modern living continue to fuel its steady growth Trends are very important and the Sunnyside would be well positioned to satisfy the current and growing interest and will provide qualitative service at moderate prices. There are few daycare centers now a day but their services are not satisfactory.

14

CHANGE IN LIFE STYLE Some of the evolving trends are associated with life that is becoming busy, and hectic. People find it difficult to provide better training/attention to their children at home as they have to go to offices/work. As most of the people have started living separately (opposed to the joint-family system) therefore, many of them face financial problems and women have started working in order to support their families. A facility that could provide day care during office/working hours would make their hectic lives easy. AVOIDANCE OF RESPONSIBILITIES Todays parents could not find enough time to give proper attention to their children because of their daily busy and hectic office/working routines. Most of the high-income family women are involved in other social and extracurricular activities such as clubs and gymnasiums therefore, find it very difficult to take out time for their children. A day care facility would give ease of mind to such parents. DAY CARE CENTER PROVIDE BETTER TRAINING Today many people are of the view that day care centers and pre-schools can provide children better training and education because they have trained and educated staff, better training equipment, and toys. This is why they have decided to start early schooling for their children.

4.2COMPETITIORS
Though we are not operating in the industry currently, we will have some core competencies when we start the operations. In the very first stage, for the whole business, we will have a competency that is the advantage of first mover as a non-profit day care center. We will have some core competencies over our competitors as most of the services provided by them is not that much satisfactory, there are a few day care centers in PAKISTAN and they usually take preschool babies to look after not the infants or kid. Therefore, in this case we would be able to grab the market with our diversity and quality services. We will adopt vast marketing strategy through advertising before the opening of our business and it will continue throughout the business operation. It will be our competency to attract more customers than other existing day care centers. Our caregivers, teachers, kitchen staff would be very much experienced and trained to deal with child needs and psychology. Most important fact is that, all our managerial posts will be held by our five owners, so more care would be taken for the success of our business through efficient management. Our base is our quality and uniqueness in providing services to our customers with care.

15

4.3ANALYSIS OF COMPETITEROS
Main Competitors 1. GREEN FIELD DAY CARE STRENGTHS: ALREADY ESTABLISHED IN MARKET. WEAKNESSES: MAY NOT APPEAL TO CUSTOMERS OF MIDDLE CLASS. 2. KID DAYCARE: STRENGTHS: ALREADY ESTABLISHED. GIVE TUITIONS WITH CHILDCARE SERVICES. WEAKNESSES: LOCATION - OUTSIDE OF MIDDLE-INCOME MARKET. 3. FAMILY CHILD CARE HOMES: STRENGTHS: ESTABLISHED IN MARKET. PERSONAL SERV ICE, WEAKNESSES: NO PROPER ROOMS AND PLAY SETUP

16

CHAPTER 5
MARKET INFORMATIONAND SEGMENTATION
5.1 TARGETMARKET
Like in all other industries, segment marketing will allow the daycare center to fine tune its service offerings and price it appropriately for the target segment. And it will also allow a daycare center to have a clear picture of its competitors.

5.2 SEGMENTATION GEOGRAPHIC SEGMENTATION

Geographic Segmentation calls for dividing the market into different geographic units. In the meantime, and at least for five years, NEST would operate solely in Karachi. Within the first two years, it would establish other branches in other areas of Karachi. The next step would be to expand in other city.

DEMOGRAPHIC SEGMENTATION
In the demographic segmentation, the market is divided into groups on the basis of variables such as age, family size, family lifestyle, income occupation, generation and social class. In the family if the parents are working couple then someone other than an immediate family member cares the children during some portion of each day. Single parents who need child care center in order to work. Parents spend most of their income on their children in order to give a comfortable life. Now a days most of the families are nuclear family. These people usually have a family size from 3 to 4. The NEST is located at P.E.C.H.S which is a residential area containing a large number of nuclear families. The market has been segmented basing on the level of income of customers. Middle class Middle class people, the largest part of our society are always in a move to change their life style. Today most of the middle class couple in a family work outside and nuclear families cannot arrange proper care and security for their child to earn their livelihood With the increase in income level, these people are demanding quality child care services in our country and NEST Daycare center would be committed to fulfill the desire of parents through proper care and share with their children in their physical and mental development. Upper middle class Upper- middle class population of our nation can easily afford our daycare services for their child. Even with the growth of various industries and enrollment in higher education, it became very hard to manage maid servant at home to look after the baby. Even parents are also concerned about the security of their child. Nest daycare would provide secured baby care facilities to the children of these parents with proper observation.

17

Upper class Upper class section of our society is very much concerned to get quality services and to provide best guidance to their children. Nest daycare center would be established to scientifically develop the early years of a child's life by helping in the critical in the formation of intelligence, personality and social behavior. Clients demographic profile
Age Gender Occupation Education Marital Status Expenditure Income Location 25 and above Female working class Educated and aware married Rs.20 ,000 and above Rs.25, 000 and above

Karachi: Middle class areas: K.D.A, Mohd. Ali Society, Karsaz and Sindhi Muslim.P.E.C.H.S, Gulshan-e-Iqbal and Nazimabad.

5.3 Market Potential

The normal school going age of children is around 3 years. Many families having children of age between 3-5 years in age and have not admitted their children in Pre-schools. One reason is as they think it is too early to send them to schools and is also wastage of time and money. The daycare aims to provide such an environment in which new ways of learning would be introduced. Children are more likely to retain information learned when they are engaged in enjoyable and meaningful activities. The childcare programs and pre-school curriculums integrate a wealth of intriguing and engaging learning activities that stimulate brain development in children at pre-school stages.

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CHAPTER 6
MARKETING TOOLS 6.1 7 PS
1) PRODUCT
Basic service: Provide care for infants of 6 months till child of 5 yearswith safe and quality childcare.The daycare aims to provide such an environment in which new ways of learning will be introduced by offering intriguing and engaging learning activities that stimulate brain development in children at pre-school stages.

Feature: Continuous teacher parent interactions should be a regular feature of our day care center. Accessories: The accessories include TV set, DVD PLAYER, movies and cartoons for childrens.
Service Warranty: If our customers will not satisfied than we will refund 15 days money. Quality: The quality of our day care center is known by the qualified teachers and the highly qualified doctor (pediatrician). Teachers assigned for the two-year-old student group will be trained to incorporate appropriate literature, educational materials, music, and other specially selected materials and resources, all with the goal of enhancing the rapid changes that occur in a child's brain development in the earliest stages of life. The maids should be qualified females of age range from 22 to 30 to ensure the parents about their childs proper care and safety. The maids should be at least matriculates and should go from a proper child care training program before having the job responsibilities. Product lines: The Nest day care center is offering 4 different programs Infant care program Two year old program Play group (3-4year old) program Play group (4-5 years old) program

2) PLACE
Outlet location: As the main purpose of Nest day care center is to provide facilities to the working womens so the P.E.C.H.S area is suitable for day care center. The location plays an important role so that all the required facilities could be provided without facing complexity.

3) PROMOTION
Sales promotion: we are offering 3 day free trial Advertising: Advertising will be carried out through print ad on DAWN newspaper and brochures will distributed in schools and offices.

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Publicity: can be done through creating good relations with parents. Provide friendly environment to staff and as well as our customers so they can easily discuss their problems. We consider our employees very much because they are internal customers of our day care center. The customer satisfaction is very important in the success of our business. Through providing such environment we will gain positive word-of-mouth publicity and also the interaction between us (service provider) and employee will turn into a strong long term relation. Sampling: The sampling of our day care center will done in such a way that we will allow our potential clients to let their kids attend three sessions free of cost. So, if they are satisfy they can continue.

4) PRICING
Competition Based Pricing: we are using competition based pricing as our pricing strategy. We have set prices according to the day care center located in P.E.C.H.S. The main competitors of Nest day care center are green field day care center, kid day care and family child care homes. As our target market is middle class working women and nuclear families. The target areas are P.E.C.Hs, Nazimabad, Gulshan and K.D.A. we are not targeting areas like defense and Clifton where the day care centers like mamas day care center have very high prices. Price discounts: we are offering 15% discounts for the people who will come early within 15 days. 5) PEOPLE Recruitment:The recruitment of a supervisor of the Nest day care center is based on experience, interpersonal skill, extrovert attitude, well trained and he or she must speak Urdu and English. The selection of nurses is also based on their 6 months training and their education. The hiring of teacher is also based on their 6 month experience along with their bachelor degree. Training:Teachers assigned for the two-year-old student group will be trained to incorporate appropriate literature, educational materials, music, and other specially selected materials and resources. And training will also give to supervisor how to interact with the parents and persuade them.Further, teachers, kitchen staff will be trained to deal with child needs and psychology. Motivation: All the staff including teachers, nurses, and supervisor is continuously motivated to ensure good performance.15% bonus per year will be given for good performance per year. Teamwork: All the teachers, nurses and maids support each other.Because team working is an important aspect of total service delivery. So the team of Nest day care center works in a highly collaborative environment. Customer education: The customer education is very important aspect in case of day care center. Because mostly parent Contemplate that day care service provider will not look after their children as a mother and father can andParents are always conscious about the well being and safety of their children at school So, for that purpose parents will be informed about the facilities and satisfy them. Thus providing them booklets, brochures containing information of day care and give them feeling of confidence and ensure security.

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6) PHYSICAL EVIDENCE
Aesthetics of the service: the dcor of the administrative room, class room, entertainment room and the equipments for the physical activities of kids like slide, monkey bar etc Signage: The signage provides information that where is class room, entertainment room, administrative room and kitchen Ambient conditions:Sun exposure in childhood is one of the risk factors for developing skin

cancer, yet little is known about levels of exposure at this age. This is particularly important in countries with high levels of ultraviolet radiation (UVR). 3 to 5 years of age attending Nest day care center, teachers will give instruction to stay in the shade, and a health professional instruction to guide children to wear caps, socks. And proper air conditioning in sunny days provided to the kids.
Employee appearance: The maids, nurses and cook should be in their proper uniform. Equipment: Equipments include chairs, tables, shelves, cupboard and other equipments for the physical activities of kids Tangible elements: Books, notepad, pencils, markers and food serve to provide tangible element of the service

7) PROCESS OF SERVICE DELVERY

Flow of activities: Filling the form, submission of admission form and payment of admission and monthly fees, Registration of child represents vital steps in the delivery of day care service Level of customer involvement: In case of day care center service, the customers are highly involved in the service delivery .The parents very much involved in the selection of day care. After selection of day care the customer visits the day care center, meet with the staff over there. Then ask certain questions from the service provider. After checking of everything like security, teachers, maid they are satisfied.

6.2PLANNING ASSUMPTION
MARKET POTENTIAL
Total Population Karachi total population Working womens Our Target Population Affordable Income Group =18000000 =12% =2.5%of total pop i.e. (12%) =18000000 * 2.5 % = 450000 =25% out of 450000 = 25% * 450000 = 112500 Total Market Potential in Karachi Is = 112500

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6.3 Marketing Objectives

NEST DAY CARE center targets a new and growing market. However, our target market did not have a loud and strong voice in society. However, their roles in the society are gradually evolving and changing. We hope to achieve the following objectives, through our marketing plan. Identify the correct market for the business Determine what they look for in the daycare center Communicate our value proposition to this market Assess the daycares position in the market Assess the effectiveness of promotional strategy Attract other closer market segments Increase equity of customers

SUPPORTING MARKETING PROGRAMS

We will target our audience through Print media Print ad Brochures

We will give an ad on DAWN Newspaper on Sunday only Brochures will be distributed to the offices & schools. Another Approach of ads can be used by using Radio to target parents who use their personal conveyance for office the ads can be play on the time When they Drive to office and leave the office.i.e. 8 am and 5 pm

6.4 S.W.O.T. ANALYSIS

Strengths A sophisticated and effective learning system for childs. The owners possess a strong educational and background, with solid marketing knowhow. Another benefit, the largest strength of the existing centre is financial support and funding from the family. Teacher student relationships. Teacher parent relationships. Weaknesses Too many people trying to make a decision, Committee approach harder to make decisions slower. Too limited involvement poor decisions. Fear of doing something new. Unwillingness to take a risk for potential gain in the future. Poor communication can be a weakness. Internal conflict (need for resolution process). 22

Some of us are involved too much and others are not stepping up.

Opportunities
Gain corporate support through fund/grant raising Any outside sponsorship with companies. This could mean sharing resources Business interest in innovative education Community education and outreach Provide for better health and safety environment Larger Playground, Room to grow , Bigger classrooms Better flow in class rooms Create better learning environment

Threats
Another daycare may open the same location or area on the reserve. This is not a large obstacle as there are many children in the local native communities. Lack of funding Lack of resources Legal liability issues, either one large suit against The Toddler Warehouse, or significant increases in premiums due to changes within the operating environment of the industry. Excellent training programs that all employees must participate in. An educated customer base that recognize the benefits that The Toddler Warehouse offers.

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CHAPTER 7
PROJECT PARAMETERS
7.1 Staffing Needs
In charge of day care center Because of the small numbers of children the center would be servicing, the in charge could serve in two capacities, as in charge and as a member of the childcare staff. However, the in charge must be on-site at all times during the day. Staff members/teachersDepending on the maximum number of children serviced, the center will need two to three teachers. State - Certified Food Server serving food requires an on-site person certified in food service sanitation to manage the preparation and/or service of food. Maids an additional full-time 5 maids would be needed. Doctora child specialist would be needed to meet the emergency.

Capacity 50 children

Human Resource 1 doctor, 2 nurses, 5 maids, 3 teachers, 1 food server/cook, Total 12people. Financial Summary

Project Cost 1.3 million Project Location

Working capital 0.2 million

Cost of Capital 1.1 million

It is recommended that the proposed project be installed in area of P.E.C.H.S and capacity would be increased after construction of required number of rooms.

7.2 Key Success Factors/Practical Tips for Success

The location plays an important role so that all the required facilities could be provided without facing complexity. The center should target mainly working womens and single parent because they are the ones who are potential customers for such a facility. Parents are always conscious about the well being and safety of their children at schools, therefore, it is suggested that the centers environment should ensure security and should be free from any apparent hazard. The center should preferably not be located in a highly populated area of students or at a location with high noise. 24

Continuous teacher parent interactions should also be a regular feature of the centers day care. It is suggested that visual and other teaching tools should be used. A well-trained/experienced supervisor of the center would teach the new staff and well manage the daily affairs of center.

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CHAPTER 8
PROJECT REQUIREMENTS
8.1Day Care Center Requirement
The basic requirements for a daycare center includes Staff, Educational Tools for children, Class Rooms, Teachers Room, Entertainment Room, Administration Room, Washrooms & Kitchen, Grounds, furniture, seesaw, toys and other such items for physical activities, white boards etc. These materials are readily available in the local market.

Equipment Details
The details of the different equipment required for the project are given as below.

Educational Tool
The proposed educational tool for the center includes TV set, DVD PLAYER, movies and other Montessori equipments (toys, puzzles, colored blocks and colored cylinders etc). All these equipments are easily available in the local market.

Machinery Requirement Details (educational tools)

Description

Total Amount (Rs.)

Equipment (Educational Tools) 200,000

8.2 Other Equipment Details Qty Cost/Unit Total Cost

Other Equipment Details Qty Cost/Unit Total Cost Seesaw (6 feet) Slide 4 Feet Monkey Bar (6x6) Monkey Bar (4x4) Games Total Equipment Cost 1 1 1 2 20 25 3,000 6,000 5,000 3,000 500 3,000 6,000 5,000 6,000 10,000 30,000

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8.3 Furniture & Fixture Details

Description Round Tables for Play Group Chairs for Play Group Round Tables for KG Chairs for KG Teacher Chairs for KG Qty 3 10 3 10 1 Cost/Unit Total Cost 2,000 325 2,000 325 650 650 650 7,000 6,000 3,250 6,000 3,250 650 12,100 12,100 35,000 90,000 29,000 20,000 15,000

Student Chair & Table for Younger Pre-schoolers 20 Student Chair & Table for Older Pre-schoolers Cupboards & Book shelves Carpet Furniture for supervisor Beds (storey beds) Cots 2 3 20 5

2250 sq .Ft 40/sq.Ft 29,000 10,000 5,000

Furniture and Equipment Maintenance

The furniture and equipment maintenance process will be conducted on yearly basis.

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8.4 HUMAN RESOURCE REQUIREMENT

The manpower required for operating the Day Care Center is as follows Human Resource Requirement Details Description Qty Salary Total Monthly Salary Doctor Nurses Maid Teacher Cook Total cost 1 1 3 5 1 12 10,000 4,500 3,000 6,500 3,500 10,000 4500 9,000 32,500 3,500 61000

It is highly recommended that the maids should be qualified females of age range from 22 to 30 to ensure the parents about their childs proper care and safety. The maids should be at least matriculates and should go from a proper child care training program before having the job responsibilities.

8.5 BUILDING REQUIREMENT

Covered Area Requirement The covered area details for the proposed project are given in the table below Covered Area Requirement Details

Description Class Rooms Entertainment Room Administration Room Washrooms & Kitchen Grounds

Sq .ft Required 1500 500 250 180 5,500

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Suitable Location As the main purpose of our project is to provide facilities to the working womens the P.E.C.H.S area is suitable for day care center. Utilities and Infrastructure Requirement Basic utilities like electricity, gas and water are required for operating the daycare center.

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CHAPTER 9 FINANCIAL ANALYSIS 9.1 Project Cost

Description Amount in (Rs.) Machinery & Equipment 30,000 Furniture & Fixtures Educational Tools Building cost Total Capital Cost Working Capital Total Working Capital Total Project Cost 200,000 1,262,350 232, 350 200,000 600,000 1,062,350

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9.2 BALANCE SHEET

BALANCE SHEET Nest day care center As of 1st Jan 2012 Assets Current assets cash Accounts receivable Prepaid expenses Total current assets Fixed assets Machinery and Educational equipments Furniture and fixture Building Other equipments Total fixed Assets 200,000 232,350 600,000 30,000 Long term loans payable 1,062,350 Total liabilities Owners equity(Qamber, Abbas, Aisha, Zarlaish, Soma) Abbas A/c Qamber A/c Aisha A/c Zarlaish A/c Soma A/c Total Total Assets 1300,000 Total liabilities and owners equity 50000 200,000 Rs 200,000 30000 7,650 237,650 Liabilities Current liabilities Bank loan(short term)P/A Accounts payable Expenses payable Salaries payable Tax payable Utility bill payable Total short term liabilities Long term liabilities 15000 10000 50000 61000 4000 10000 150000

220000 220000 220000 220000 22000 1100,000 1300,000

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9.2 Forecasting sales for the first year of the business Programs Offered Infant Care Program Two Year Olds Play Group (3-4 years old) playgroup (4-5 years old) Total Admission fees Year 1 5 6 4 7 22 22x4000 Amount Rs 30000 RS 30000 RS 20000 RS 38500 Rs 118500 RS 88000

1) The admission fee of all program offered will be 4000 per child

2) For infant care Nest day care charges is RS 6000 per month. 3) For Two year old kids the charges will be RS 5000 per month. 4) For Play group (3-4 Years old) the the charges will b RS 5000 per month 5) For Play group (4-5 Years old) the charges will b RS 5500 per month 6) The forecasted total sales per month of first year will be RS 206,500

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9.3 INCOME STATEMENT

INCOME STATEMENT Nest Day care center For the year ended Dec 2012 Net sales Cost of sales Gross profit Operating expenses Salaries and wages exp Advertising exp Utility exp Tax exp Equipment cost Total expenses Net Income Rs 1,510,000 (50000) Rs 1460,000 Rs 732000 400,000 120000 4000 30000 (1286000) Rs 174,000

9.4 Cost and benefit analysis

Total cost of our project is 1.3 millions. Out of this1 million will be total capital cost and 0.3 million will be working capital for the project. The major share of total capital cost is building cost, as this project requires construction of new rooms. Other capital cost is comprised of machinery and equipment, furniture and fixtures and educational tools. Different baby care products manufacturers will sponsor cost of the project. The rest of the cost will be bear by the owners. Though a fee will be charged from the users of the services but revenue will be used for the benefit of the staff of the day care center.

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CHAPTER 10
10.1Conclusion
Traditionally in Pakistani culture childcare responsibilities fall on the extended family. Yet with new social mobility women are increasingly moving away from their families. With inflation continuing to rise each year, the family now requires dual or supplemental incomes to cope up with the situation and to have a better life. This trend has created a need for quality childcare services. NEST DAY CARE center exists to provide the childcare services that would be beneficial for the working parents. NEST DAY CARE value proposition is quite clear and quite easily distinguished from others in the market. We offer uniquely premium childcare services to our customers. The business provides very high profit opportunity for us and there is a scope for helping the economy and society as well. Very few industries have all these sides. But the day care center is not yet popular in PAKISTAN as it is in western countries. However, the situation is changing and along with the upcoming private investment in the sector, the energy is increasing day by day. The investment requirement is low comparative too their business. Therefore, we hope we will be able to draw a profitable margin from the very first year of our operations while we will be able to contribute to the development of the society and the economy. That is why, we think that the NEST DAY CARE center will be a good prospect and we are looking forward for every possible support from all the people involved in the industry.

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CHAPTER 11
11.1Recommendations
Concentrate on employees attitude to make parents satisfied. All employees should be well trained, so they should be acquainted with children needs. Improve the quality and capacity of day care center with the passage of time to cover customer other than working womens and make day care center increase in future. Proper sanitary system should be maintained.

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CHAPTER 12 12.1REFRENCES Book:Services Marketing by Govind APTE

Reader, Unit for Child and Youth Research, Institute of Social Sciences In Proceedings of the 7th Early Childhood Convention, Volume 2, pp.99-108.Nelson. Swaminathan, M. 1985: Who Cares? A Study of Child Care Facilities for Low-Income Working Women; Centre for Women Development Studies Financing A Child Daycare Business Article By: SaimaJabeen Carolina Abecedarian Project. (1999). early learning, later success: The Abecedarian study. Executive summary [Online]. Available: http://www.fpg.unc.edu/~abc/ National Institute of Child Health and Human Development Early Child Care Research Network (NICHD).(1998). The NICHD study of early child care [Online]. Available: http://www.nichd.nih.gov/publications/pubs/early_child_care.htm

http://www.dailytimes.com.pk/default.asp?page=story_9-6-2004_pg7_39 http://www.nation.com.pk/pakistan-news-newspaper-daily-english-online/Islamabad/10-Apr2009/Day-care-centres-lack-basic-facilities/1/1
http://www.scribd.com/doc/48687/Day-care-marketing http://www.bplans.com/child_day_care_services_business_plan/strategy_and_implementation_summ ary_fc.cfm#ixzz159aCnvjS

http://ezinearticles.com/?Starting-A-Day-Care-Center-Can-Be-Profitable-When-FollowingThese-Five-Ingredients-Of-Success&id=475501 http://www.child-psych.org/2010/10/day-care-and-school-readiness-closing-the.html

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