Business plan
Executive summary
The mission
The company will offer services that will allow automatic processing of orders for fast foods.
The objective is to offer quality fast food service to the customers. The company believes in the provision of long term substantial fast food services and this will be accomplished by eliminating order processing errors and speeding up time for transaction. To achieve this, strategic resources are necessary and these include financing, support from associated industry services and market research.
Product
Automatic order processing will be made possible by use of the Radio-frequency identification (RFID) tags and RFID readers. The RFID readers will be installed in restaurant while the tags will placed on the windshield of the car of the customer. As the customer drives through a restaurant the tag will be read by the reader and thus their order is processed since they will have registered what they want online.
Target market
Our start up clients will be fast food restaurants. Across the United States, there is an estimate of 195,000 fast food locations. This then shows that our business will have a wide market. The business expects enormous growth. This then will see the market extending to gas stations. Just like food orders will be automatically processed, clients will be ready to pump gas into their cars by the time they step out of their cars.
Competitive position
The business is expected to have a competitive advantage since currently, there is no company that offers this product. However, there are other restaurants who offer online ordering and the application development community. Despite this, our product will be diverse and thus earning its competitive position.
Our services will be provided by teams of trained sales people. These will serve to explain to our product to our clients and the benefits that it presents. However, client participation will be based on their willingness to do so. For our product advertisement, we will initially rely on the word of mouth before adopting a possible strategy for advertisement. These advertisement strategies will include product assembly and product distribution.
Distribution prices
Participants will be able to purchase our product from various locations. We intend to use online ordering, third party distribution and purchasing at the participating business. These locations will have different prices. To purchase online from our website, the price will be $4.75. Third party and purchase from participating establishment will include our offer fee of $3.50 and their selling cost of $4.75. However, every customer will need to register at our website and get an account with us. This will attract a cost of $2.99 which will be charged on a monthly basis. The RFID equipment will be leased at a cost of $85 payable every month.
Goals and objectives
Our goals are as follows
- To have a complete automatic order processing in fast food restaurants by the end of the first year.
- To convert the restaurants who offer online ordering and the application development community to use our diverse product.
- Extend our services from fast food restaurant to gas stations.
- Ensure that all restaurants adopt this fast way of serving their customers.
Production process and costs
The company will need to produce the RFID tags as well as the readers. This will require advanced technology. Therefore, to ensure this, the company will hire IT and engineer professionals to help in the production of these products. The company will thus require funds and resources to ensure the production of these products.
These will include the costs of materials and the process of production taking into account wastes. To obtain these materials, the company has estimated a lead time of two months. Through advanced technology, the company expects the products to be efficient and there will also be the potential for improvement. The company has estimated this to cost $300,000.
Management
The company will have a president who will serve as the chief executive officer. The chief executive officer will be a professional in management with seven years corporate experience in management. The company will also have departments headed by departmental heads. The sales department will be headed by a sales and marketing manager.
They will also be a professional in sales and marketing with five years experience in a similar position. The production manager will head the production department. This person will be responsible for ensuring quality control measures are enforced in our products and that efficient products are produced.
Financing
The company seeks to have $750,000 as its start up capital. This will help in the production and installation of the RFID tags and readers. The amount also is for the establishment of the company offices and payrolls. Further, we will require product sales and marketing. We expect to attract 10% of the target market at start up. Being a long term project, we believe that we will have attained more than 90% of the market by the end of our third year in operation. Thus, we project the generation of over $10,500,000 by the end of these three years.
Is this your assignment or some part of it?
We can do it for you! Click to Order!
