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Company Description
1. Products and service:
OnGi is a company that distribute variety of food (vegetables, meat,…) through a
network of directly operate store, through restaurants and supermarkets, and through e-
commerce. We guarantee to provide fresh and safe food in a maximum time of 30 minutes.
2. Value Proposition
In Ho Chi Minh City, there is no company that not only distributes high quality food but
also cares about delivery service as well as the wealthy of farmers. So our OnGi’s value
proposition is quite easily to distinguish from other in the market. We offer high quality food,
together with best service for our customers and support for farmers.
3. Vision
By 2020, become one of the most reliable food distributors for restaurants and
households in HCMC.
By the end of 2025, expand the business in nearby areas and southern Vietnam.
Boost “OnGi” to become the most reliable brand in the field of food distributors in
Vietnam and continue to expand the market.
Create a big full house where staffs, customers, and farmers will continue to work
together for the growth of everyone.
4. Mission
Our philosophy is “To bring the superior value to both Vietnamese farmers and food
consumers”.
We provide food that not only meet the demand of our customers but also provide an
opportunity for farmers to grow and live wealthily.
OnGi food distributor is a startup high quality distributor for households, restaurants and
supermarkets in HCMC. Our company dedicates our efforts and resources toward
ensuring high quality products and best service for our customers. OnGi will responds to
the needs of our customers and suppliers with good care giving, variable options and
local community involvement.
OnGi is committed to taking a leadership role in food distributor services, fast delivery
and promoting local farmers.
People today become busier, so they prefer eating out or cooking at home with food that can
be provided fast but is still fresh and clean. Food consumption is an essential need of everyone.
However, nowadays, there are a lot of articles about dirty food, especially the articles about
many large restaurants in HCMC use these dirty food. Therefore, the demand for fresh, clean and
healthy food is increasing. Households are willing to pay a little high price for clean and fresh
food while restaurants are likely to pay for food with a bit lower price.
Recognizing this need, we choose households, restaurants and supermarkets in Ho Chi Minh
city as our target customers.
2. SWOT Analysis
a. Strengths
• High quality: We guarantee the tast, clean and nutrition of our food including meat,
fishes, eggs, vegetables by asking our suppliers or farmers to meet ONGI’s criteria of
safety, health and quality
• Affordable price: we have a lot of pricing strategy to assure that our price is little higher
than the market but still affordable for our customers.
• Location of suppliers: we choose the farmers from nearby areas to reduce the cost of
transportation as well as preserve the quality of food.
• Flexible: we can reach our customers directly through brick-and-mortar stores and
approach quickly with ONGI website and mobiles application, as well as minimizing
waiting time due to delivery service
• Value-added to buyers & suppliers: we offer customers with high quality products , fast
delivery and best customer service. We also provide chance for our suppliers to have
better life with stable income.
• A lot of promotion activities: we have a lot of promotion to make the price become more
affordable, for example, discount 20% or shipping strategy…
• Flat organizational structure: It elevates the employees’ level of responsibility in the
organization, removes excess layers of managements, improves the coordination and
speed of communication between employees, as well as encourages an easier decision-
making process among employees and reduces an organization’s budget costs through
eliminating salaries of middle management
• Wide channel of distribution: direct distribution, stores, website, mobile applications
b. Weaknesses
• No prior experiences (Logistics, IT): Both of OnGi co-founder’s major is Business
Administration, so we lack experience in Logistics and IT while one of our main channel
of distribution is through ecommerce. All of us also lack experience in working in real
industry, so we might face a lot of problems when startup.
• Model easy to imitate: Our business model is quite simple, so other competitors is easy to
immitate and develop based on our business
• No reputation: because we are a startup business, people might doubt the quality of our
products as well as other things.
• Flat organizational structure:, It might create confusion and possible power struggles
among management because employees often lack a specific boss. This type of
organization tends to produce a lot of generalists but no specialists, therefore, the specific
job function of employees may not be clear. Flat structure may also limit long-term
growth of an organization cause management may decide against new opportunities in an
effort to maintain the structure. When we decide to expand our business, large
organization might struggle to adapt the flat structure.
• Lack of strategy for managing inventory: We haven’t had any strategy for managing
inventory when we intend to have stores. So if we don’t manage inventory well, the costs
might increase a lot.
Year 0 1 2 3 4 5 6
Other Assets $0 $0 $0 $0 $0 $0 $0
Total Assets $20,000 $69,888 $158,347 $381,236 $970,814 $2,363,388 $5,548,192
Income Statement
Year 0 1 2 3 4 5 6
Sales $14,061 $31,858 $72,181 $163,544 $370,549 $839,569
Cost of Goods Sold $4,218 $9,557 $21,654 $49,063 $111,165 $251,871
Gross Profit $9,842 $22,300 $50,527 $114,481 $259,385 $587,699
Selling Expenses $703 $1,593 $3,609 $8,177 $18,527 $41,978
Administrative Expenses $4,414 $6,211 $10,262 $19,417 $40,135 $87,056
Lease Expense $500 $500 $500 $500 $500 $500
Operating Expenses $5,617 $8,304 $14,371 $28,094 $59,163 $129,534
Owner's Salary $1,000 $1,900 $3,700 $5,500 $7,300 $9,100
Total Exp. Before Int. and Tax $6,617 $10,204 $18,071 $33,594 $66,463 $138,634
Operating Income $3,226 $12,096 $32,456 $80,887 $192,922 $449,064
Interest Expense $177 $159 $0 $0 $0 $0
Net Taxable Income $3,049 $11,937 $32,456 $80,887 $192,922 $449,064
Income Tax $1,372 $5,372 $14,605 $36,399 $86,815 $202,079
Net Income ($20,000) $1,677 $6,565 $17,851 $44,488 $106,107 $246,985
IRR = 86%
Sources And Uses of Funds
Year 0 1 2 3 4 5 6