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UPB BUCHAREST CRISTIAN MUSTATAMBAE II 2016

AL-MADHEE Dalal Jasim Musheer

Content
Business Description................................................................................................... 2
Business Resources..................................................................................................... 3
Financial Summary...................................................................................................... 4
Market Analysis........................................................................................................... 5
Client Image............................................................................................................. 6
Marketing Strategies................................................................................................ 7
Competition Analysis............................................................................................... 8
Conclusion................................................................................................................... 9

AL-MADHEE Dalal Jasim Musheer

Business Description
IT Technology wants to be a business which provides good Personal Computers (PCs) on
the market for low (domestic consumers) to median consumers (small businesses). I figure it out,
from my business and intercultural experience, that I can use my connections and some of my
friends with IT Hardware background in order to do this Business.
At first I thought that this is hard to be done but having so many IT Hardware products
retailer on the market made our jobs easier and also more fun to do it because when we are
making a PC Configuration we can all bring our knowledge and we can all come with ideas as to
make that configuration more powerful and cheaper.
I also saw, on the current IT Market, that there are also firms which are offering full System
configuration, firms like: Myria, PC Garage, HP, IBM and the list can continue but the products
they are offering are rather pricy and also their products usually do not have additional software
which is needed in order to run the products.
As for us to function we had to make an Agreement with Microsoft as to buy from them
Downloadable Volume Licenses as our configuration PCs will mostly run windows and for
Linux configuration we know that licenses are free.
We decide that our firm will activate on the Bucharest, Ploiesti, Pitesti and Ilfov area because
we want to expand in time and also to have the time to deliver as quick as possible the products
to our clients. Of course being a small firm and having access to local IT Hardware retailers can
be a big advantage to us because we are sticking to a certain product and if a new product can
be made with different costs and configuration we can make it.
The biggest advantage is, based on the saying that our client is our boss, that we can
customize the product as to fulfill client needs and price, of course not disregarding our work and
our desire to make some money. We assume that for every product that we are selling we can
make up from 200-600 Ron in profit and all products will have also Warrantee from our retailers.
In time I am hoping that we will grow and also that we will manage to have differentiate,
lower prices, from our providers as we will but more than one product from them. It is good to
have a business and I think that today the best thing is to invest in IT Hardware because if the
software is developing so the hardware to maintain it will develop itself also.
This is my Business Idea for Technology Entrepreneurship.
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AL-MADHEE Dalal Jasim Musheer

Business Resources
Currently the business has its location in Bucharest area: Str. Petru Poni, Number 6 from
sector 1 in a villa and here we made the IT Technology SRL as to be registered with the CAEN
code 620 - Computer programming, consultancy and related activities on the Romanian market
and also to be well delimited from the other Business which activate in the same area on the
market.
The place where the registered office is located pertains to one of my friends so I have to pay
him an established rent on monthly basis. The best thing is that we have there all the needed place
in order to do our activities and also to do them well.
The following resources were, in my opinion and also to be implemented, needed in order to
make available the IT Technology SRL products and presence on the market:
-

SRL Director and Manager: AL-MADHEE Dalal Jasim Musheer which supervises the
activity and takes care of all the relations with external partners;

Accountant: Panait Gica which is needed in order to establish all accounting


informations with all our providers;

1 IT Consultant One of my friends called Oalib which is to handle the IT Hardware


configurations and see the products final compatibility;

10 friends (we have them but we do not know if all of them approved) which will handle
the IT Hardware assembly line. These ones are employed with a collaborative contract:
meaning based on current workload we can need 1 up to all 10 of them to finish the
current workload faster.

1 Microsoft Partnership Windows Agreement which we can use as to sell windows


licenses with the following price: 100 per OEM and Low consumer and 200 Per Business
Consumer at 1 Pc. We know that currently the Windows technology has developed as to
offer the best updates and bug free programs;

3 PC made by us but bought as for the Director, Accountant and Consultant to perform
their work;

The whole villa where the registered office is as for us to perform our work and also to
perform it well;

AL-MADHEE Dalal Jasim Musheer

3 Desks and 10 chairs and of course 2 professional IT Screwdriver sets and components
needed in the assembly line. More can be bought depending on the demand.

Financial Summary
Of course in order to perform the activity there is always a need for capital and of course I
had to think of the Initial Investment which is needed in order to deliver this on the Romanian
Market. The first thing that I had to do I had to establish a needed value for my resources
(resources which are paid mandatorily) and I estimated the following values:
-

3 PC for the Director, It Consultant and Accountant (or another person) -> value of
10000Ron buying price;

3Offices with the 10 Chairs were at a price of 10000Ron Buying Price;

Rent for the registered office, because is from my friend, is situated at a range of 1300Ron
(250Euro) per month-> Total for a year paid in advanced was 28.600Ron;

Registering the business costs were situated on around: 2000Ron;

Microsoft Partnership Program Initial cost was 1000Euro/Year 45000Ron which we


have to pay to enter the program and based on needed licenses the fee might increase or
decrease over time;

These being the mandatory costs (10000+10000+28600+2000+4500=55.100Ron) I estimated


that the initial investment should be around 15000E with foreign capital, also taking in
consideration that other costs might arise.
Of course, based on our idea and the relations with our clients we must also make our
business well known so I was thinking that, on the first run, a total of about: 2000Euro will be
used in Marketing strategies (which we will discuss in the next chapter) as to make the current
market aware of our presence and of course of the products we will try to offered.
The financial summary can also suffer different changes over time as some of the
collaborators will be made full time employees and of course if we engage ourselves in extending
on the market and take more customers. Of course my desire is to extend the business and to
make more profit but this is possible only with my employees help and of course with some hard
work.
This, I see, is an innovative idea because currently all activities related to a computer are
performed by different firms: selling the pcs, configuring them, installing needed programs,
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AL-MADHEE Dalal Jasim Musheer

making different configurations. So my business will try to cover all up and to become a service
which is needed on the market.
My satisfaction is that I manage to contact some friends who had agree in supporting me.

Market Analysis
So for every business, even the one I am describing here, it is very important to know the
market and its potential before deciding to invest into it and also before deciding in spending
your money. So we have some success stories which made our desire more powerful and one of
them is EMAG development which currently sells the most IT Hardware products so the demand
is there and business and people need them.
Also after careful studies I conclude that usually people tend to hire an external person, after
acquiring their pc, in order to install Windows and other additional products on their computer. A
fixed price for these is not set on the market and freelancers are usually the ones which get the
deal but they take care that that person will surely require in the future their work.
So based on these we will offer, right from IT Technology Office:
-

For Low Consumers individual persons:


o Possibility to acquire a full PC configuration (software + Windows Licence
Installed) with a starting price from 1500Ron with 2-year warrantee and of course
further counseling;
o Possibility, if the PC is already bought to acquire Software configuration for
their PCs at a starting price of 150RON (Windows will be licensed in their name)
with all needed software and with 200RON if full office capabilities are also to be
installed and licensed;
o Hardware changes and upgrades based on the newest technology on the market. If
a client configuration permits then we will make the upgrade and if not we will
propose the best solution in matter of price, services and functionality;
o Consultancy in acquiring other Personal products: Like Adobe and other licenses
and for students possibility to tell them what free software they can obtain with
their student card (50Ron per consultancy).

As an Observation: We do product repair just for our products which are in warrantee.
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AL-MADHEE Dalal Jasim Musheer

For Business Consumers Small and medium Businesses:


o We can do on price /performance demands different configurations and of course
after counseling with that business consultant to choose the best needed
configuration for them;
o We can offer, upon our agreement with Microsoft, Windows and Office Licenses
and if needed other Microsoft Products licenses;
o We can propose to our clients also other software solutions based on our
experience;
o All PCs that will be sold by us will have installed also the needed software as for
the persons which needed them to be able to use them right away.

For business there are several related products which are needed: for enhanced security, for
business and in time I am sure that we will manage to conclude some deals with software owners
as to be able to buy volume licenses which are to be applied, by us, to all computers pertaining to
that business.
It is also very well known that at the current moment different businesses buy different PCs
configurations at a high price which is not advantageous to them but its advantages to the seller,
this is why for businesses which will try to develop we will offer our services.

Client Image
So how we would like our client to be, there are different suggestions for us or different
opinions among my friends but I know that also here most of them will be:
Consumer Client:
-

Person between 20-40 years with an income of over 1500Ron month;

Family person with children ranging from 7years they come with their children to make
a gamming PC for them, or a developer one which is rarely;

Mostly men as they are usually handling these activities;

Persons which live in Bucharest, Pitesti, Ploiesti and near areas as we give our products
just there;

Persons which think that a good computer can improve their lifes;

For Software most of the clients are girls as they are not able to configure their own PC.
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AL-MADHEE Dalal Jasim Musheer

Business Consumer
-

Business with 5-100 employees;

Business which needs computer for some/all of their employees;

Small to medium business which activates on the: software development market,


acquisition market, etc.

Businesses usually need also our software licenses and products as we sell them at a lower
price from our competitors.

Also this is the best potential image for our clients but of course variations based on the area
might appear and for us to be aware of them. Of course for software implementation, currently,
we are giving counselling and licensing also for: Notebook and Tablets because these are
developing and parents want to know what their child are doing on the computer or just to be able
to communicate which them.
The following services are offered for tablets:
-

Software Installation;

Tablet backup and recovery after Installation;

Program Installation and Guidelines;

Block Other applications installations on a certain tablet.

Based on the tablet services for these range from 50Ron to 100Ron.

Marketing Strategies
So we want to be a presence on the market and people to know us. A big risk factor is that our
business idea can be easily replicated but I am thinking that we are good at what we are doing
and we can have success by being the first on the market and also using competitive prices. We
all know that people tend to buy and use the services of a familiar name rather than going to a
new one.
So how we will be making our commercials and how we will be able to attract more people:
-

At first we will rent some advertising space at the following banners, the one at: Unirii
Square in the middle of the Intersection. The One at Victoriei Square and of Course we
will buy space at the Metro at Victoriei Square and Unirii where we all know that a lot of

AL-MADHEE Dalal Jasim Musheer

people are going around them daily. This will be expensive (100e+100e+1000e metro) but
we will make our presence known;
-

The second one is to make an eye catchy website at the address: www.itcounseling.ro
You need it we offer this being our motto for the current business where consumers
will find reviews, a list of services;

Creating a Take and Bring Program meaning at a certain hour we can take (for resofting) customer products and deliver them back at no additional cost and also for
Businesses we can send our consultant to assess the situation and make a sell prospect;

We will also use fliers which will be spread in the city center but in the evening time
because more people are coming there during that period where our services, image and
motto will be printed.

For our customers we will gave them a client card as to make them loyalty customers.

This strategies, used and handle well, cab bring us a lot of customers which will become later
loyal customers and also will promote our image further to other customers.

Competition Analysis
Up to this moment we can say that competition is now spread because all services offered by
us are now spread to different firms which are using a really big price and the ones who are
cheaper are the freelancer which cannot emit a bill of their activity performed.
All activities which will be performed by our business will be legit and we will emit a bill for
all of them because all profits are to be accounted for. Of courses different taxes to the estate will
have to be paid but we will also do that through our accountant.
My biggest fear in this moment is that one of our competitors which is already on the market,
might decide to expand through our services and this will bring competition to our yard but of
course through marketing strategies I am thinking that we can attract more people who in time
will be more satisfied of our services.
Another wat for competition to react is for them to use the same advertising techniques but I
am thinking that they do not have (yet at least) money to invest and of course we know that
people and businesses will collaborate with the business which performs the best.

AL-MADHEE Dalal Jasim Musheer

It is good for me to consider competition reaction but I know also that now competition is
scattered among the city, is scattered in services so we can use that in our advantage.
Also some of my friends have an It Hardware Business so we can collaborate with them to
offer also IT assistance for products which have passed their warrantee period.
It is good to offer the best services possible because in time this could mean a real advantage
to us, advantage that we can surely use and make the most out of it.

Conclusion
In order to develop our Business, it is best to decide to act now as the IT Hardware market is
still growing and many people are buying Hardware and software solution for their home and
also for their businesses.
If we make now a presence, then in time I am sure that we will extend our activities and we
will have the desire success in order to become a bigger and wealthier firm. In time of course I
am sure that different partnerships could be made with different people and businesses and this
will surely be to our advantage.
I am hoping that IT TECHNOLOGY SRL will become a well-known name on the IT
Business market and people will access our services whenever they will think is necessary.