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Prepared for: Course Instructor Introduction to Marketing (MKT 202) Section # 3 School of Business Administration North South University, Dhaka.

Mr. Bashir Hossain

Prepared By:

Hossain Ashraf Mehdee

051. 486. 030

Sami Rahman
051. 490. 030

Kazi Atiqur Rahman

051. 476. 030

Tahsin Ahammad
051. 530. 030

Shahriar Ahmed
051. 310. 030

April 25, 2006 Mr. Bashir Hossain Course Instructor Introduction to Marketing (MKT 202.3) School of Business Administration North South University, Dhaka. Sub: Submission of project report. Dear Sir, For us, it is a great pleasure to submit the project report on Marketing plans for Perkins Restaurant & Bakery in Bangladesh. The Report was assigned for better understanding of all the essential parts of the Marketing functions & strategy. We admit that it would contribute a lot to have better understanding of our classroom experience with a practical exposure in the real working arena. However, we have faced a number of limitations to prepare the report due to scarcity of organized data, time limitation and little knowledge about marketing sector. Yet, we have tried our best of ability to complete the project properly and to produce a meaningful report within the constraints. Still, if you need any elaboration on any issue, that seems to be inadequately explained in the report, we shall be glad to oblige. We, sincerely hope that the report will obtain your approval. Yours truly, Hossain Ashraf Mehdee (051. 486. 030) Sami Rahman (051. 490. 030) Kazi Atiqur Rahman (051. 476. 030) Tahsin Ahammad (051. 530. 030) Shahriar Ahmed (051. 310. 030)

TABLE OF CONTENT
Executive Summary Introduction Perkins At A Glance Current Market Situation SWOT Analysis Objectives & Issues Marketing Strategy Bibliography 1 2 3 7 16 18 19 24

EXECUTIVE SUMMARY
Penetrating in a new geographic market for Perkins Restaurant & Bakery, we The E Company are going to launch as a franchisee of Perkins Restaurant & Bakery in the bakery marketplace of Bangladesh. Being one the proud entrepreneurs to launch as a franchisee bakery in Bangladesh, we expect to compete successively with the local competitors in Bakery market with our wide variety of high quality delicious assortment of fresh-baked treats, sparkling clean restaurants, personalized service and unsurpassed values featured at reasonable prices. Our primary marketing objectives of this plan are to achieve the 5% of the bakery product market of the Dhaka city. Meanwhile, we will target to occupy the leader position in Bakery manufacturer market & to set a new branch in the Chittagong city of Bangladesh as well.

INTRODUCTION
Origin of the Report: This general report of Marketing is prepared to fulfill the requirements of the introduction to marketing course, instructed by our honorable faculty Mr. Bashir Hossain. Objectives of the Report: To find out the application of the concept of marketing in practical situations; To franchise a bakery in our country; To describe the overall marketing plan of our bakery. Limitations of the Report: Scarcity of pertinent information. Time Constraint. Lack of experience. Lack of knowledge about the functional aspect of Marketing planning. Methodology of the Report: Search information through the internet; Gathered and stored data that were relevant; Made necessary assumptions to explain scenarios; Made recommendation.

PERKINS AT A GLANCE
Perkins At A Glance: Since 1958 Perkins Restaurants have gained a solid reputation for high quality personalized dining. The Restaurant Company currently owns and franchises approximately 500 full service Perkins Restaurants and Bakeries in all around the world. The Perkins system includes 156 company-owned and operated restaurants and 338 franchised units. More than 50% of Perkins Restaurants are located in Minnesota, Pennsylvania, Ohio, Florida and Wisconsin and rest 50% around the world. In 2003, the company and its franchisees opened 8 new restaurants. System wide restaurant sales were $811,000,000. The Company and its franchisees employ approximately 25,000, encompassing both full and part time positions all around the world. Perkins prototype buildings offer flexible development alternatives for traditional as well as non-traditional sites. The design incorporates a central kitchen and bakery with separate dining wings for increased efficiency and guest satisfaction. Prototype buildings can accommodate 150 to 220 seats depending on market needs and can be easily expanded when necessary. Core menu items at Perkins include its famous pancakes, unique premium omelets, juicy USDA choice steaks, and Bread Bowl salads. Perkins menu development & innovation ensures that all product offerings recognize & address consumers changing tastes & preferences. Perkins in-store bakeries provide a unique point of difference for the restaurant chain, serving a mouth-watering selection of premium freshly baked Mammoth Muffins, cookies, cakes, pies, cheesecakes and specialty pastries each and every day.
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Perkins Promise of 100% guest satisfaction is the company's commitment to providing superior service to all customers each and every day. By analyzing our environment and the great satisfaction from the Perkins made us happy to decide and contribute our money in franchising the Perkins Bakery in our country.

Franchising Perkins: "Perkins" has always meant comfortable, familyoriented restaurants. For the franchise owners, "Perkins" represents a great opportunity to grow and prosper. The soundness of their basic concept and the ability to adapt to current consumer trends have made the Perkins brand dominant for more than 40 years. All franchisees receive personal attention at every levels. Perkins is always closely involved with their franchisees, providing a network of support systems they feel are necessary for a successful business. Franchisee always receives help in site selection and construction management. They provide a complete on-site opening team, followed by on-going business consulting, marketing, training and purchasing. In addition, their research and development efforts are second to none, ensuring the franchisees the best menu in the business, including signature items the franchisees can trust. And they do everything they can to make sure their franchisees are well prepared for changes in the marketplace. Perkins franchisees share in the benefits of PRISM Management Software, a computer package used by all Perkins restaurants. This software provides administrative conveniences from labor scheduling and management to simplified purchasing and inventory control. For Perkins Restaurants, today's picture is bright and the long-term outlook is even better and so we decided to franchise Perkins Bakery and Restaurant and the steps
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we followed to franchise it is given below: Steps taken to Franchise Perkins Step 1: We submitted the Personal and Financial Questionnaire included in this packet evidencing that net worth and liquidity qualifications have been met. No money was required at this time. Step 2: Attended a Pre-Application Seminar held at one of Perkins corporate offices. During this one-day meeting, they provide more detailed information about services, identify the business relationship and outline their application process. Step 3: Based on their preliminary review of our qualifications and the geographic area in which we are interested, they invited us to submit an application along with the $5,000 (U.S.) deposit. Step 4: Our completed application along with all necessary supporting documents was reviewed. Our proposed site was evaluated and approved. Step 5: Following approval of our application, a Commitment Agreement was issued. Upon execution, the balance of the license fee was paid. Step 6: Prior to commencement of construction, a pre-development meeting was held. Company representatives at the meeting include individuals from their Construction and Operations Departments. Step 7: After our store open, they will execute our License Agreement. One of their
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experienced New Store Opening (NSO) Teams will be available then to assist our management teams during the pre- and post-opening periods. Their NSO Teams will be sent in three waves to ensure effective training and assistance throughout the entire opening process. Step 8: After final construction costs is identified, we will provide them with a final cost analysis of our project. They will use the information to assist franchisees in estimating costs incurred with opening future Perkins Restaurant & Bakeries.

CURRENT MARKET SITUATION

Market Description: For bakery business it is a monopolistic competition market in Bangladesh. Perkinss market planning is to keep the current customers and also to attract the new customers by providing them different options. Perkins target customers are the final consumers. Along with bakery items we also provide different food option such as lunch and dinner package. From these, customers can get every kind of food items according to their need. Product review: Perkins always tries to offer foods, which are supreme in quality, tasty, hygienic and attractive looking. They divide their food section in 4 assortments: Breakfast: Perkins love the sizzle of smoked ham, the cracking of farm fresh eggs, and Mammoth Muffins rising in the oven. We love the secret-recipe buttermilk pancakes that were first made us famous back in 1958 by the Perkins. Whipping them up right here in our kitchen with only the freshest ingredients like real buttermilk and farm fresh eggs. We love bringing a stack to your table, served with our own specialty syrups. We serve them with a smile because we know these are the finest pancakes you cant get anywhere. Same goes for all our breakfast selections like our Potato Pancakes, our elegant Perkins Eggs Benedicts, and our Tremendous Twelve platter. We're proud everything we serve you is the finest robust coffee, 100% Grade A juices, lean ham, real sausage gravy, fresh eggs prepared to order, and, of course, fresh-baked muffins and goodies. Pancakes Plus Our world-famous pancakes are made-from-scratch with our own secret recipe batter and served with our Perkins brand syrups (Maple, Apricot, Twinberry and Sugar Free Maple).
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The Buttermilk Five Five of our light, fluffy secret recipe buttermilk pancakes. Short Stack A lighter portion of three buttermilk pancakes. Add fruit topping for a nominal charge. Strawberry Pancakes Five secret recipe buttermilk pancakes smothered with strawberry topping, sprinkled with powdered sugar and a dollop of whipped topping. 55 Plus Fruit Pancakes Three secret recipe pancakes smothered with warm Blueberry or Strawberry topping and a dollop of whipped topping, sprinkled with powdered sugar. Egg Beaters no fat, no cholesterol alternative, available upon request for any of our omelets or scrambled egg entrees Egg Classics Served with hash browns or breakfast potatoes and choice of: three buttermilk pancakes fresh-baked Mammoth Muffin white, rye or whole wheat toast Granny's Country Omelette An American food made up with diced ham, onions, American cheese, celery and green peppers, topped with a savory cheese sauce. With hashed browns tucked inside and out. Build Your Own Omelette Start off with any two ingredients. Want more? Add additional ingredients: Diced Ham Sausage Mushrooms Tomatoes American Cheese Swiss Cheese Cheddar Cheese Monterey Jack Cheese Pepper Jack Cheese Bacon pieces Garden mix of onion, celery, green peppers Egg Beaters no fat, no cholesterol alternative, available upon request for any of our omelets or scrambled egg entrees.
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Classic Egg Favorites Two farm-fresh Grade AA eggs cooked to order and choice of: Hickory-smoked Bacon, Sausage Links, Sausage Patties, and Canadian bacon. Perkins Steak and Eggs A tender 7 oz. top sirloin steak, seasoned and grilled to order, served with two fresh large eggs cooked to order. Tremendous Twelve Our hearty breakfast of three large eggs cooked to order, four pancakes, crispy hash browns or breakfast potatoes and four bacon strips or sausage links. No accompaniments. Mammoth Muffins Blueberry Apple Cinnamon Carrot Raisin Nut Bran or Oat Bran Cinnamon Streusel Lemon Poppy seed Banana Nut Boston Cream Raspberry Sour Cream Chocolate Chip Chocolate Chip Bavarian Cream Reduced Fat Muffin Specialty of the Day The Cookie Jar Chocolate Chip Oatmeal Raisin Walnut Peanut Butter Chocolate Chip White Chocolate Macadamia Nut
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Pies Home style Apple Lattice Apple, reduced fat Banana Cream Home style Blueberry Lattice (seasonal) Caramel Apple Home style Cherry Lattice (seasonal) Chocolate French Silk Coconut Cream Heath Crunch Lemon Meringue Peanut Butter Silk Southern Pecan Wild berry, reduced fat Lunch and dinner items: We offer our customers two kind of lunch and dinner package. Traditional Bengali lunch package with beverage: This package we introduce boiled rice with beef, chicken, mutton, dal, prown curry and beverage. Chinese lunch and dinner: Here people can get pure Chinese lunch and dinner, which contains Chinese rice, vegetables, soup, and salad. Deserts: Blue Ribbon pies Pie Shoppe Specialties Sweet Touches Scoop of different flavored Ice Cream

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Kids meal: Perky Bear Pancakes Three pancakes served with a sprinkling of chocolate chips and whipped butter. Rainbow Pancakes Breakfast Colorful sprinkles and whipped topping on two pancakes with two strips of bacon. French Toast Two yummy slices of French bread, coated in a batter of cinnamon and grilled to perfection. Served with two strips of bacon. City Slicker One fresh egg with two crispy bacon strips or sausage links, hash browns and choice of toast or pancakes. There are more specials items for the kids. Grilled Cheese Sandwich* Kid's Cheeseburger Kid's Cheese Pizza Crispy Tenders Basket Mac & Cheese* We also offer different types of wedding, birthday, children and picture cakes. Along with the special items in breakfast, deserts we also offer different kind of sandwiches, pizzas, rolls, burgers, patties and other special items.

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Targeted Food Section Segments Kids Kids Meal Teenagers & others Breakfast Aged Peoples Any of the Breakfast Item 1. Egg Classic 2. Grannys Country 3. Sugar free muffins and pies 4. Diet sweets, Diet Kids Names Features The meal is healthy, designed specially for kids and attractively served. All foods are healthy, hygienic and delicious. Our breakfasts for aged people are cholesterol less calorie. And there are also sugar free items along with diet cookies,

Omelet free. They are made with

Kids Meal The lunch is healthy, designed specially for kids and attractively served.

Lunch

Teenagers & Any of the Lunch Item others Aged Peoples Item named Build your own lunch Kids Kids Meal

All foods are healthy, hygienic and delicious. You can choose any items you want with plain rice or Chinese The dinner is healthy, designed specially for kids and attractively served.

Dinner Teenagers & Any of the Dinner Item others Aged Peoples Item named Build your own Dinner

All foods are healthy, hygienic and delicious. You can choose any items you want with

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Targeted Food Section Segments Kids Names Kids Meal Features The meal is healthy, designed specially for kids and attractively served. Teenagers & Any of the Desert Item Deserts others Aged Peoples 1.Special sugar and calorie less ice creams cookies and sweets. All foods are healthy, hygienic and delicious. Our special desserts for aged people are choleswith less calorie. And there are also sugar free items along with diet cookies, sweets and

2.Suger free pies, diet terol free. They are made

Competitive review: As it is a monopolistic competition market, there are many competitors. Key competitors are: SHUMIS HOT CAKE: Hot cake is a very well known bakery. But they have some limitations. Their main highlighted area in business is to make pastries and cakes. They are also very able to make different kinds birthday cakes. They follow modern design and ingredients to make their cakes and pastries. They use new machinery and they made all of their products without hand touch. DECENT PASTRY SHOP: Decent pastry shop was established in 1982. Though they have some branches in the city, their quality of cake and other food items are not fully market winning product. KINGS CONFECTIONARY: One of the most famous confectionary in the city and also in the country. They are
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famous for making breads, doughnuts, cakes etc. They also have heavy financial support and by this they are trying to capture the market. But recently they are struggling to maintain their quality as the mobile court fined them for their bad environment in their kitchen. HOT BREAD: One of the franchised bakeries in the city. The have the reputation and are doing well with modern marketing system. They are famous for making breads, doughnuts, cakes etc. MR. BAKERS: One of the franchised bakeries in the city. They are new in our countrys market and they are doing very good. They are trying to capture the market by their attractive and innovative products. Competitors Price Reviews of their different items (in Taka): Product Wedding Cake (per Birthday/ Picture/ Children cake (per kg) English Cake 70(small) 110(med) 160(big) Cookies (per packet) Baby sweet 25-100 25-100 25-100 25-100 25-100 250-600 70(small) 110(med) 160(big) 200-500 70(small) 70(small) 70(small) 110(med) 160(big) 250-700 1100 1000 1100 1200 1200
Shumis Hot Cake Decent Pastry Shop Kings Confectionary Hot Bread Mr. Bakers

600

550

600

650

700

110(med) 110(med) 160(big) 200-600 160(big) 300-700

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Product Name Lunch & Dinner items Breakfast items Pancakes Muffins (per piece) Desert Items Pastries

Shumis Hot Cake

Decent Pastry Shop

Kings Confectionary

Hot Bread

Mr. Bakers

None 20-150 60-300 25-70 40-250 10-30

None 20-100 60-300 20-80 20-200 10-30

75-250 20-150 60-300 25-80 40-250 10-30

None 20-250 60-300 20-90 40-350 10-30

None 20-300 60-300 20 - 90 40-400 10-30

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SWOT ANALYSIS
Strength: Since 1958 Perkins Restaurants have gained a worldwide solid reputation for high quality personalized dining. Perkins menu offers consumers a comprehensive breakfast, lunch and dinner selection ranging from the traditional to the innovative. Early in the morning, while many of others are still sleeping, our bakers are busy baking up the delicious assortment of fresh-baked treats that have helped make Perkins a most popular restaurant and a great local bakery. Perkins will introduce the in-house bake shops in Bangladesh where customers can either order or take out a wide array of delectable, freshly baked Mammoth Muffins, cookies, cakes, pies, cheesecakes and specialty pastries each and every day. High quality food, sparkling clean restaurants, personalized service and unsurpassed values promises a memorable dining experience. Consistently serving a wide variety of quality foods in a family-oriented environment with genuine care and attention to detail is the foundation of our business. Core menu items at Perkins include its famous pancakes, unique premium omelettes, juicy USDA choice steaks, Bread Bowl salads, and signature melt sandwiches. Perkins menu development and innovation ensures that all product offerings recognize and address consumers changing tastes and preferences. Seniors and children also are special at Perkins. The chain offers its "Fifty-Five Plus" collection with breakfast, lunch and dinner entrees at special value prices for guests 55 years of age or older. Its Kids' Menu has fun foods like bear pancakes, chicken nuggets and pizza wheels. The Company operates or franchises 494 full-service restaurants.

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Weakness: Prices of different items are relatively higher compared to that of the domestic competitors. Starting with only 1 (one) outlet in the whole Bangladesh which may not bring convenience for the consumers. As a result, target market can not be very large. Opportunities: Perkins restaurants have a new "KidPerks" program with free cookie and beverage with the purchase of a kid's meal, as well as toys and interactive games to make Perkins restaurants an even more fun place for children and families. Perkins Guest Experience Program offers monthly draw on sales receipt with exciting gifts in cash or in gift cards. Perkins gift card which offers much in the similar way a debit card works, starts from US$ 10 with which, a customer can buy items from any Perkins outlet in the world. Effective Marketing in the Target Market can lead to the milestone of Success. Promotion of different occasions like: Fathers Day, Mothers Day, Family Day, Teachers Dayetc. in the local society can promote the demand of our bakery products specially cakes. Threats: Most product are all bakery oriented. But, the main food of target market is not such items. Competitors lower price in the local market may cause obstacle to allure enough customers. Launching of other Franchise Bakery in the local market.

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OBJECTIVES & ISSUES

Objectives: First-year Objectives In the first year of our operation, our prime objective is to achieve the 5% of the bakery product market of the Dhaka city. Meanwhile, by our effective marketing & promotional efforts, we will target to occupy the leader position in Bakery manufacturer market. Second-year Objectives In the second year of our operation, our objectives are to penetrate our business into new geographic market inside Bangladesh. Doing so, we plan to set a new branch in the Chittagong city of Bangladesh & also to earn break-even by the end of our second operating year. Issues: In recent times, major discrepancy had flashed into publics eyes regarding manufacturing food items commercially in Bangladesh. Such mal-practitioners used to manufacture products in unhygienic environment, adding impure or rotten raw materials, poisonous colors, chemicals and marketing products without manufacturing & expiry dates. Perkins in Bangladesh will bring a new aspect for reliability in Bakery products with its high quality food, sparkling clean restaurants, personalized service and unsurpassed values which is our major issue. Besides, we will be putting our innovative & devoted marketing efforts to achieve awareness & response.

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MARKETING STRATEGY
Perkins marketing strategy is normally based on target marketing, market segmentation and market positioning. Perkins tries each and every passerby and food lovers to attract by their lovely features and outstanding quality. We will try to segment carefully and efficiently. However since we will retain in our high quality their prices of foods would be a little cit higher then other food vendors but not beyond people reach. Perkins arranges their food basically on time wise (breakfast, lunch, dinner), age wise (kids, teenagers, aged people and others), and season wise (Summer, Rainy, Winter). Positioning: Perkins tries to position themselves as an attractive bakery. We will serve the meal according to the order instantly. However, the most powerful attribute of Perkins is they would not like to hear any complain about their food quality. We will always serve the most fresh and hygienic food and ofcourse instantly. Product Strategy: Perkins positions their product as nutritious, tasty, hygienic and fresh. We will provide the kids the Kid Meal; very healthy, vitamins and protein providing meals with attractively decorated and served. Aged people will find foods they need with less calories, sugar, diet cookies, diet sweets and many more healthy foods. Teenagers and others will find almost everything they want from a restaurant and bakery. Pricing Strategy: At first the price of all the items will be a little bit more than normal in order to cover the cost which we have spend to establish the franchised company. However slowly we will be getting down to cheaper and stable price. The pricing strategies of some of our products are given below: Product Names Breakfast items 1. Pancakes 2. Egg Classics 90 450 100 250
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Prices (in Taka)

Product Names 3. Mammoth Muffins 4. Cookies 5. Pies 6. Breakfast Packages Lunch and Dinner items 1. Chinese Foods 2. Biryanis 3. Lunch and Dinner Packages Desserts 1. Different Kinds of sweets 2. Sweet Touches 3. Ice-creams (per scoop) Kids Meal 1. Perky Bear Pancakes 2. Rainbow Pancakes Breakfast 3. French Toast 4. Kids Lunch and Dinner packages Others Wedding Cakes (per kg) Birthday/Picture/Children Cakes Cakes Sandwiches Burgers Pastries Distribution Strategy:

Prices (in Taka) 40 90 10 550 45- 90 80 250

110 175 75 100 80 155 15 150 30 100 80 55 60 50 50 80 750 1300 400 - 800 35 60 45 90 15 - 40

As far as Perkins is a click and mortar company, our distribution channel will be divided into two parts. First part serve in the store and second part will be serving online. However online distribution is a bit restricted since we will keep one store
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only in the first year, customers can order through telephones only because order through internet requires a credit card and also is a bit complicated process for our home customers. Of course Perkins will be available through the Internet later. At the recent time our suppliers will supply foods to the final consumers from the store and through the telephone ordering. Obviously we are very much careful about the hygiene of the food. Marketing Communication Strategy: We will be advising and announcing our messages through some important medias, like televisions, channels, billboards, radios, and by sponsoring concerts. People will have a very distinctive idea what Perkins is and what are their characteristics, which will make them different from other bakeries. At the beginning we will show an informative advertisement then we will move onto reminder adds to tick consumers mind that we exist. Marketing Organizing: We will maintain a smooth hierarchy that will reveal our strong structure of our organization.
Chief Marketing Officer Perkins Restaurant & Bakery

Sami Rahman
Sales Manager

Hossain Ashraf Mehdee

Promotion Manager

Tahsin Ahammad
Advertising Manager

Shahriar Ahmed
Production Manager

Atiqur Rahman
Supply & Quality Control Manager

Regional Sales

Promotion Analyst

Advertising Analyst

Production Analyst

Supply & Quality Control Analyst

Figure 1: Perkins marketing Organization

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Promotional Strategy: The market is now a day full of promotional activities. Every Company is giving promotions infect very cautiously. Too much promotion will make customers habituated. For example we will give a concession to coffee in summer so that we can earn a marginal profit from that or we may make the cold beverage cheaper in winter. Special days will contain special offers for peoples. Place Scheme: We are expecting to open our Perkins outlet at Gulshan Residential area, an aristocrat location in Dhaka city, in between Gulshan 1 and 2, which is very much attractive and reachable for our target market. The total floor area of our outlet will be 10,000 SFT; including our inventory, kitchen and in house bake serve, display and restaurant and obviously the kids corner! Actions Plan: We are expecting that Perkins will be introduced in Bangladesh on July of 2006. We will start showing informative advertisements in papers from the middle of June. We will launch some special packages (limited) in the starting to attract the new customers. Perkins will arrange their product variety according to the seasons. We will divide the year in three seasons. Summer: We would like to have a collection of additional juice and beverage in order to make the sweated customer fill a cool touch in their throat. There will be lemonade and fruit juices like mango, orange, litchi, water-melon etc. We will give a concession on hot drinks; e.g. coffee. Rainy: The price of hot drinks; e.g. coffee will be a little higher in the rainy season than the summer. Some additional juice items of summer will not be available in this part of year. Many traditional items will be also available at this time.

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Winter: We will add some traditional pies and cakes in this part of year. The price of hot drinks will be higher than their usual price in winter season. We will give concession on fruit juices and lemonade.

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BIBLIOGRAPHY
Principles of Marketing, 1oth Edition, Philip Kotler & Gary Armstrong. http://google.com.bd http://perkinsrestaurant.com http://bakeries.com http://franchise.com http://franchisegator.com Mahbub Alam, Sales Manager, Kings Confectionary, Dhanmondi Branch. Shayan Shafi, Sales Man, Mr. Bakers, Panthapath Branch. Rafiqul Islam, Sales Man, Hot Breads, Baily Road Branch. Shumis Hot Cake, Panthapath Branch. Decent Pastry Shop, Shatmasjid Road Branch.