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Executive Summary:
NAME OF THE COMPANY Luxury
DATE OF ESTABLISHMENT January 2008
STATUS OF THE COMPANY New company
HEAD OFFICES Sargodha
We are starting a new business. This business is related about new product. This new
product is drinking product, which is not present in the market in packing form. This
new product is Sugarcane juice. We seen and drinks lot of flours of juice in the market
like Mango, Apple, Orange, Milk, and Mix juice but no any company provides sugarcane
juice. So we decided to provide this juice in packing form.

Some features of this juice are following.

It should be in packing form like other juices.
Its quantity should be 250 ML.
It should be fresh and original juice of sugarcane,
It should be chemical free product.
It should be available in everywhere.
It should be health full for every age people.
It should be Natural.

We performed following procedure to complete

this Business Plan:
Marketing Research:
We made three types of questionnaires for consumers, Retailers, and whole sellers and
collect the information from them with the help of these questionnaires.
Sampling Used:
We used quota sampling for this research.
Applicability of Law of Leadership:
We apply the law of leadership to lunch this new product which is To be first in market
rather than unique or best in market.
So we introduce sugarcane juice first time in market in packing form.
Brand category:
Juice

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Extension Program
After the fist operation year
I will make differentiation in my core product by introducing the following flour of
sugarcane juice
Lemon sugarcane juice
Orange sugarcane juice
After second operating year
I will enter the new product line which is to the related paper industry. We efficiently
disposed of our wastage material by making the new product, so in this way our expenses
on disposed of wastage will decrease and the burden of our main product will decreased
and our revenues will increases and the risk of the business will decreased.
After third operating year
I will enter the another by product related to sugarcane wastage is alcohol in this way our
revenue of using optimal input will become maximum and burden of cost on our main
product become minimum.
We apply all the strategy of business development marketing strategies and management
stratifies in our business plans.
Name Of Company
LUXURY
Brand Name
Sugarcane Juice
How I Perceived This idea:
In 2002 when I was the student of F.Sc my mother becomes ill with disease of Hepatitis
and doctor advised her to drink cold drinks. Doctor advised his specially advised to drink
sugarcane Juice. But we have felt very difficulty to find and obtain it be cause this was no
avail in packing form. Till this time this idea was in my mind when I started study about
business this was growing and now I starting to apply this idea to resolve those people
who want it.
Marketing Organization:
Imran general manager chiefly is responsible for the marketing activities. This is in
addition to her other responsibilities. Imran will rely on outside help for graphic design
and general creativity.
Mission:
Our mission is to protect your health.

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Vision:
To continuous and step by step improvements and devolvement in the business with
diversification and new product line.
Philosophy:
To provide product and quality to the consumers.
Work heard for the success of business and maximize profits.
Products:
Sugarcane Juice
Limon Sugarcane Juice
Orange Sugarcane Juice
Markets:
Initially local market of my business
Legal Planning
Patent Registration:
Before starting my business I registered patent of business and agreement of ten year with
the government of Pakistan.
Trade Mark Registration:
Before started my business I registered the trade mark of business so the no one can
illegally use it. Our logo is the sign of Sugarcane and map of Pakistan.
Copy right:
I also protect my copyright before application of the idea in the market place so that no
one can attempt to reproduce the same idea with his or her on name.
Opportunity Analysis And Environmental Factors
Situation Analysis:
Luxury Catering is a start-up company. Marketing is critical to its success and future
profitability. Luxury offers creative new product has brand name sugarcane juice.
The basic market need is a high quality, pure catering company servicing the target
market population.
Market Summary:
Luxury possesses good information about the market and knows a great deal about the
common attributes of our most prized and loyal customers Luxury will leverage this
information to better understand who is served, their specific needs, and how Luxury can
better communicate

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Market Analysis:

Market Analysis

2007 2008 2009 2010 2011

Potential
Growth
Customers

Young class
9% 120,547 131,396 143,222 156,112 170,162
customers

Children class
8% 80,457 86,894 93,846 101,354 109,462 8.00%
customers

Old class
0% 0 0 0 0 0 0.00%
customer

Total 8.60% 201,004 218,290 237,068 257,466 279,624 8.60%

Market Demographics
Geographic:
The immediate geographic target is the province of Punjab with a population of 3million.
The total targeted population is estimated at 3 Millions.
Demographics:
Families.
A household with any income.
Every age class childrens, youngs, old.
Whole province of Punjab.
Behavior Factors:
Use sugarcane juice a minimum of 50 to 60times a year.
Do not drink out much because of the difficulty of finding at restaurants.
Appreciate high quality, innovative drink offerings.
Users enjoy fitness activities not as a means for a healthy life, but as an intrinsically
enjoyable activities in it self.
Users spent money on eating elements.

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Market Needs:
Luxury is providing its customers with a progressive offering of sugarcane juice.
Typically luxury products are bland, traditional, and far from innovative. Luxury is
meeting the market need of a wider menu offering for events. Luxury seeks to fulfill the
following benefits that are important to their customers.
Selection:
A good selection of item.
Accessibility:
Easy arability every where.
Customer Service:
Customers will be impressed with the level of attention that they receive.
Competitive Pricing:
All of the offerings will be competitive relative to the true competitors found in market.
Market Trends:
The market trend for Luxury catering is headed toward a more discriminating customer.
The catering patron today is more sophisticated in a number of different ways:
Juice quality:
The preference for higher-quality ingredients is increasing as customers are being
subjected to better sugarcane juice.
Innovative creations:
More innovative items are being demanded as people .The reason for this trend is that
within the last few years there have been progressive caterers and juice brands in larger
cities that have begun to apply their culinary skill to Luxury offerings, recognizing that
market demand could be developed. Now that people are trying this fare, they are
recognizing there is no need to be complacent with the status quo.
Marketing Research:
During the initial phase of the marketing plan development, several focus groups were
held to gain insight into a variety of people that observe sugarcane juice. These focus
groups provided helpful insight into the decision making processes of potential
customers.
IndustryAnalysis:
I analyze the whole industry trend in the industry, consumers behaviors to take decision
about the starting venture.
Environment Assessment:
I analyze the following items to the environment to start to venture.

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General Economic Environment:

I analyze the economic condition of the area in which I am going to starting my business
I find following results,
Most consumers are middle class
People want investments
Lone are available
Government Regulations:
Government gives benefits in the fields of taxes
Government encourage new business
Barriers to entry:
According to my analysis nearly a barrier to entry in every industry but in the area in
which I am going to starting nearly small barrier to entry because in every year lot of new
business enter in this field.
Resources Analysis:
It is our competitive advantage tat our raw material is every where is available and very
cheap we can sue the wastage of the to making by product (paper) with it.
Market Forecast:

Market Growth
In 2008, the Luxury has a small part but future expectedgrowthis 25%

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Target Market Growth

Competitive Advantages:
The following will be the competitive advantages of our business
Cheap and everywhere available
Market leader
Making buy product opportunities
Minimum level of wastage and ability to use this wastage into by product

Business Strategies:
Technology strategies:
Conduct a research of local industry of juice and I found that nearly all of those are using
simple technology for production of juice there processing and packing so I will also
make a plan to use a simple technology for extortion of juice and there processing in
packing carefully.
Operation Strategies:
I will use line process for production and processing and packing.
Financial Analysis:
Pricing and Sales Forecasts:
Competitive Pricing:
All of the offerings will be competitive relative to the true competitors found in market.
Price Forecasting:
As on going in industry Rs. 10 per unit for consumers and Rs 8 per unit for wholesalers
and retailers.

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Regression Analysis For Sales:

Firms Y(Sales) X(Advertisement) XY X*X Y*Y Y1 e*e

Millions/Year Thousand/year

1 4 2 8 4 16 3.603 0.158

2 3 3 9 9 9 3.889 0.79

3 3 5 15 25 9 4.66 2.139

4 5 5 25 25 25 4.43 0.3249

5 4 7 28 49 16 5.035 1.072

6 6 7 42 49 36 5.035 0.93

7 7 7 49 49 49 5.055 3.86

8 5 8 40 64 25 5.322 0.14

9 6 9 54 81 36 5.61 0.153

10 8 9 72 81 64 5.61 5.72

51 62 342 436 285 48.249 15.2869

Y= +X+U

= nXY-XY
nX-(X)
= 10(342)-(62)(51)
10(436) (62)
= 3420 3162
4360 3844
= 258
516
= 0.5
Simple linear sale Equation
Y= 106250+ (0.5) X+U

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Interpretation:-
If in the industry the advertisement increase one unit sales increase by 0.5 units. And if no
extra advertisement than the sale in the 1st year must be Rs.106250 which is our constant
amount of sales in 1st year.
Financials, Budgets, and Forecasts
Sales Forecast:
The first month will be used to set up the inventory and delivery net work. There will be
no sales activity during the first month. The second month will see a few catering jobs,
but still will not be a significant source of income. Months three and four will see a
steady increase in sales. Word will have gotten out from the advertising .Throughout the
year it is forecasted that sales will incrementally grow in size until profitability is reached
toward the end of year one.
Sales Forecast:

Sales Volume Forecasting

Description 2008 2009 2010
Retailers 62,500 125,000 187,500
Wholesaler 37,500 37,500 187,500
Consumers 6250 12,500 1250

Total 106,250 175,000 387,500

Expense Forecast:
The expense forecast will be used as a tool to kept the departments on target and provide
indicators when correction and modification are needed for proper implementation of the
marketing plan. So we will forecast the expenses of sugarcane juice new product which
includes all types of marketing, operation , and other activities.
Seed Capital:
Plant Rs 100,000
Packing Machine Rs 25,000
Small Equipment 10,000
Building Rent 30,000

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Capital Cost:

Capital costs
2008 2009 2010
Wages 132,000 216,000 250,000
FOH 20,000 25,000 40,000
Transport Exp 15,000 30,000 55,000
Total 167,000 271,000 345,000

Direct Cost:

Costs Forecasting(Direct)
Description 2008 2009 2010
Retailers 100,000 200,000 300,000
Wholesaler 60,000 100,000 300,000
Consumers 12,500 20,000 20,000

Total 172,500 320,000 620,000

Operating Cost:

operating Costs
Description 2008 2009 2010
Wages Expense 132,00 216,0 250,000
FOH 20,000 25,000 40,000
Transport
Expense 15,000 30,000 55,000
Selling Exp 30,000 40,000 60,000

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Depreciation 27,000 27,000 27,000

Rent Exp 30,000 30,000 30,000

Total 254,000 368,000 462,000

Break Even:

Break even
2008 2009 2010
Units 53,312 85,000 130,000
Sales 426,500 680,000 1,040,000
Per unit
Revenue 8 8 8
cost 426,500 680,000 1,040,000

Milestones:

Milestones

Advertising Start Date End Date Budget Manager Department

Product awareness
1/1/2008 25/1/2008 10000 Imran Marketing
campaign

Advertising campaign 1/1/2008 12/2/2008 30,000 Imran Marketing

Other

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Direct Marketing Start Date End Date Budget Manager Department

Marketing plan completion 1/1/2008 10/1/2001 5000 Imran Marketing

Other

Total Direct Marketing

$0
Budget

Web Development Not yet

Marketing Expense Budget:

Marketing Expense Budget

2008 2009 2010

Advertising 30,000 40,000 60,000

Other 27000 27000 27000

Total ------57000------ -----67000------- ---87000---------

SWOT Analysis
The following SWOT analysis captures key strengths and weaknesses within the
company and describes the threats facing sugarcane juice.
Strengths:
First time in packing.
Excellent staff who are highly trained and very customer attentive.
Superior quality offerings.

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High customer satisfaction.

Market leader.
Pure and natural juice.
Health falls every user.

Weaknesses:
The struggle to build brand equity.
A limited marketing budget to develop brand awareness.
New enter in market.
Shortage of capital.
Dependence of out side business to maintain and grow business.
The lack of retailers who can work face to face with customer to generate
product and brand awareness.
The difficulty to developing brand awareness at start up the company.
Opportunities:
Growing market with a significant percentage of the target market still not
aware of sugar cane juice in packing.
Participation with growing industry.
Decrease product cost by increasing sales.
The ability to develop many long-term customers because of health full.
Threats:
Competition from similar products.
Local, established competitors that wake up and realize that there is a huge
market in juice.
The initial high cost of production.
Other companies strategies against its.
Competition:
There are many other brands that serve the low to middle end of the market. These
caterers compete to some degree on price (due to budget constraints of some clients),
more so on service. The quality of the sugarcane cane juice and the serving of the
company are the main areas of service that the caterers compete on.
The follow type of juices is the main competitor of sugarcane juice.
1) Mango juice

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2) Apple juice
3) Orange Juice
4) Mix Juices

Product offering:
First the product offer natural and pure juice.
2nd it offer health fullness.
Third it offers easy arability.
Fourth it offers free from any chemical.

Marketing Plan:
Target Markets:

Marketing Strategy:
The companys marketing strategies is focusing on speed, health, fitness and recreational
skaters. Company can cover about 90% of the skating market because it produced
products grated toward each segment. Luxury is able is able to address all the different
segments with in the market, although each segment is distinct in term of its users. Our
new product is useful to all different segments.
Mission:
Our mission is to protect your health.
Marketing Objectives:
Maintain positive, steady growth each month and increase seasonal sales.
Experience an increase in new customers who are turned into long-term customers.
Decrease the market expenses as a percentage of sales.

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Achieve a steady increase in market penetration.

Decrease customer acquisition cost by 5% each year.

Financial Objectives:
A double digit growth rate for each future year.
Reduce the variable operating costs.
Increase the profit margin per event.
Increase profit margin by 5%each year by efficiency and economy of sales gain.
Maintain a significant research and development for future product development.
Positioning:
Sugarcane juice will position itself as an innovative, high-quality kosher caterer. This
positioning will achieved by leveraging sugarcane juice competitive edge.
Luxury will leverage their competitive edge:
Luxury Catering's competitive edge is based in their customer attention and inventive
approach to sugarcane juice.
Industry expansion.
The use purity and neutrality as a competitive edge.
Marketing Mix:
Luxurys marketing mix is comprised of the following approaches to pricing, distribution,
advertising and promotion, and customer service.
Pricing: sugarcane juice pricing scheme is based on marketing penetration strategy. to
pricing sugar cane juice we look all the target market and pricing our product to capture
whole market. we use initial low pricing strategy.
Distribution: Initially the company use direct consumer and retailer distribution
model. Over the time it will changed in to wholesaler model.
Advertising and Promotion: This will be done through ads in various newsletters
as well as a networking campaign. Company also uses the following Medias.
1: Banners advertisement
2: Radio advertisement
3: TV advertisement
4: Personal selling is using as a promotional tool to aware the customers about new
product.
Place decisions:

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We will arrange our distribution channel in such a place that every retailer, whole seller
and consumer has an easy eases.

Customer Service:
Obsessive customer service is the mantra. Luxurys philosophy is whatever needs to be
done to make the customer happy must occur, even at the expense of short-term profits.
In the long term, this investment will pay off with a fierily loyal customer base that is
extremely vocal to their friends with referrals.
Keys to Success:
Generate repeat business.
Increase transaction amount per person.
Designing and producing product that meets market demand.
Pure, natural, and health full and total satisfaction.
Controls:
Revenue: monthly and annual.
Expenses: monthly and annual.
Repeat business.
Customer satisfaction.
Contingency Planning:
Difficulties and risks:
Problems generating visibility.
Lower than forecasted demand.
The entry of another already established competitor that recognizes the market potential.
Conclusion
Finally we concluded that our business will running well as the financial and operating
analysis shown. There is a lot opportunities for this business in the market place and there
is a lot of opportunities to growing it and increasing product line.

Annexes

Financial Data:
Cash Flow Statement:

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Luxury Pvt. Ltd

Cash Flow Statement
For The Period Ended December
31,2008
Description Amount (Rs.)
Operating Cash Flow
Received from customers 365,150
Paid Expenses 254,000

Investing Cash Flow

Purchase Of Plant 50,000
Purchase Of Packing Machine 10,000
purchase of Small equipments 5000

Financing Cash Flow 565,000

Capital

Net Cash in Flow 611,150

Profit and Loss Account:

Luxury Pvt Ltd

Income Statement
For The Period Ended December
31,2008
Description Dr(Rs) Cr(Rs)
sales Revenue 850,000

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Less: Direct Cost 172,500

G.P 677,500
Operating expense 254,000
operating Income 423,500
Income Tax 42,350
Net Income 381,150

Income Per Unit Of

sale 3.587294118

Balance Sheets:

Luxury Pvt. Ltd

Balance Sheet
As On January 1,2008
Liabilities+ Owner
Assets Amount equity Amount
Rs Account/P Rs
Cash 500,000 Notes/R 100,000
A/R 0 50,000
Inventory 500,000
Prepaid 30,000 Capital 565,000
Packing
Machine 25000 Retained earnings 0
Small
Equipment 100,000
Plant 100,000
Total 715,000 Total 715,000

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Luxury Pvt. Ltd

Balance Sheet
As On December 31,2008
Liabilities+ Owner
Assets Amount equity Amount
Rs Rs
Cash 611,150 Account/P 93,000
A/R 150,000 Notes/R 0
Inventory 170,000
Prepaid 0 Capital 565,000
Packing
Machine 20,000 Retained earnings 381,150
Small
Equipment 8,000
Plant 80,000
Total 1,039,150 Total 1,039,150

Financial Analysis:
Gross Profit Margin = 79.71
Net Profit Margin = 44.84
Total Assets Turnover = 1.22
Account Receivable Turnover = 5.66
Inventory Turnover = 1.014
Current Ratio = 10
Cash Ratio = 5.38
Working Capital = 838,150

It shows best position of our business.

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