页码 1
Business Plan IFA-A01 Group 1 Sebastian Yu
491725
Franky Lai
484387
Anne la Bèl
474428
Jan-Felix Becker 489436
Birgit Giezenaar
490629
Lena Huelser
Frank Wang
483770
487066
2011-5-16 1
Table of Contents 1.Executive Summary ..................................................................................................................... 1
2.Internal Analysis ........................................................................................................................... 3 2.1 Personal Data ............................................................................................................................... 3 2.2 Company Data………………………………………………………………………….....................10 2.2.1 Hierarchy…………………………………………………………………………………...…….10 2.3 Mission Statement…………………………………………………………………………………..11 2.4 Business Definition..................................................................................................................11 2.4.1 Vision......................................................................................................................................11 2.4.2 Values ………………………………………………………………………………......................11 2.5 Financial position ……………………………………………………………………….................11 2.6 Product introduction …………………………………………………………………..................12 2.7 Product design...........................................................................................................................12
3. External Analysis........................................................................................................................13 3.1 DESTEP Analysis.......................................................................................................................13 3.1.1 Demographic environment...........................................................................................13 3.1.2 Economic Environment..................................................................................................14 3.1.3 Social-cultural Environment........................................................................................16 3.1.4 Technological Environment..........................................................................................17 3.1.5 Ecological Environment..................................................................................................17 3.1.6 Political Environment.....................................................................................................18
3.2 Competitors Analysis..............................................................................................................18
4.Marketing Plan............................................................................................................................21 4.1 Marketing Strategy.................................................................................................................21 4.1.1 Target Groups....................................................................................................................21 4.1.2 Marketing Position...........................................................................................................21 4.1.3 Marketing Objectives......................................................................................................21 4.2 Market Potential......................................................................................................................22 4.3 Sustainability..............................................................................................................................23 4.4 Marketing Mix............................................................................................................................24 4.4.1 Product...................................................................................................................................24 4.4.1.1 Product Layers..............................................................................................................24 4.4.2 Price.........................................................................................................................................26 4.4.3 Promotion.............................................................................................................................26 4.4.4 Place/ Physical Distribution.........................................................................................26 4.4.5 Advertisement Analysis..................................................................................................27 4.4.5.1 Magazines Advertisement......................................................................................27 4.4.5.2 Website Advertisement...........................................................................................30
5. Logistics...........................................................................................................................................34 5.1 Manufacturing...........................................................................................................................34 5.2 Basic information of product..............................................................................................35 5.3 Cost of Product..........................................................................................................................36
5.4 Packaging and Shipping.........................................................................................................36 5.5 Storage .........................................................................................................................................37 5.6 Bill of Material............................................................................................................................38 5.7 Material Requirement Planning.........................................................................................41 5.8 Supply Chain...............................................................................................................................42
6. Financial Plan.............................................................................................................................43 6.1 Sales Forecast............................................................................................................................43 6.2 Opening Balance Sheet...........................................................................................................44 6.2.1 Description of Opening Balance Sheet.....................................................................44 6.3 Income Statement.....................................................................................................................45 6.3.1 Description of Income Statement...............................................................................45 6.4 Cash Flow Statement...............................................................................................................46 6.4.1 Description of Cash Flow Statement.........................................................................47 6.5 Closing Balance Sheet.............................................................................................................47 6.5.1 Description of Closing Balance Sheet........................................................................48 6.6 Ratios.............................................................................................................................................49 6.6.1 Current Ratio.......................................................................................................................49 6.6.2 ROE..........................................................................................................................................49 6.6.3 ROA..........................................................................................................................................50 6.7 Break- Even Analysis..............................................................................................................50
7. Appendix.........................................................................................................................................51 7.1 Questionnaire.............................................................................................................................51 7.1.1 Survey Results....................................................................................................................53 7.2 List of Sources..............................................................................................................................57 7.2.1 External Analysis...............................................................................................................57 7.2.2 Marketing Plan....................................................................................................................58 7.2.3 Logistics.................................................................................................................................58 7.2.4 Financial Plan......................................................................................................................59
1. Executive Summary Light is something precious in our everyday life. It guides us through the day. A day has 24 hours but only a certain amount of hours you can make use of daylight until it gets dark. What we need when this happens, is a lamp, whether you are reading, writing or just sitting in front of your desk. A lamp is there to keep your room bright and you no longer have to sit in the dark at your desk. We as IntelBright want to improve the living environment. We are confident that our lamp is the right choice for our customers since it provides a healthy living habitat. Haven’t you ever been in a situation where you have been so sunk into your work that you did not realize how fast time was passing by? Before you realized it, it was already getting dark outside and you started to get a headache because you did not turn on your light at your desk. Or the fact that your child was sitting in front of the desk with no light and you had to come in to turn on the light. What if you as a parent are not at home? Don´t you think that a lamp which turns on automatically would make things way easier for you and your family? Our lamp will turn on automatically and you no longer have to worry that your child might sit in the dark. IntelBright makes it possible for you! To prevent situations like this, we have created an intelligent lamp. A lamp, that thinks itself, leaving you with the comfort of knowing that someone takes care of you! Our unique lamp has a built-in sensor that automatically turns on the lamp when it is too dark outside to comfortably without artificial light. In addition to this, another sensor is integrated to sensor movement to turn the lamp on if you sit down at your desk. IntelBright keeps the living environment healthy and is saving energy at the same time for you. With our desk lamp, you don´t have to deal with issues likes sore eyes anymore. We make it possible for you to read, write and work in a well-illuminated environment.
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This Business Plan has been written by seven highly motivated students who believe in the vision of developing an unique desk lamp (IntelBright) to brighten your day as soon as it get´s dark outside. We keep our promises.
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2. Internal Analysis 2.1 Personal Data “IntelBright� consists of seven people. Our team is a group of vibrant, young and dynamic people. All of us aim for the success of IntelBright On the following pages, every team member will be introduced.
Name: Jan-Felix Becker Student Number: 489436 Nationality: German Age: 22 Function: CEO E-mail: j.becker@han.student.nl
Do you enjoy working for this company? I enjoy working for this company because it has a very innovative, inspiring and productive working environment. Our product is truly innovative and will improve the comfort in your home and working space.
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Name: Franky Lai Student Number: 484387 Nationality: China Age: 20 Function: Head of the Finance Department E-mail:F.Lai@han.student.nl
Why are you working for this company? I think this company has a great future ahead. We have a very talented and motivated team. Our product is a high technology product and this product can help people to protect their eyes. I really like this function of our lamp.
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Name: Lena Huelser Student Number: 487066 Nationality: German Age: 21 Function: Marketing Manager E-mail: LJ.Hulser@student.han.nl
Why are you working for this company? I really enjoy working for IntelBright because I like the idea of developing an efficient product, which will help people to improve their working environment. I am proud to be a part of this company.
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Name: Birgit Giezenaar Student Number: 490629 Nationality: Dutch Age: 20 Function: Head of the marketing Department E-mail: BGB.Giezenaar@student.han.nl
Why are you working for this company? I love working for IntelBright because we prevent that people from getting health issues by designing and inventing smart thinking lamps.
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Name: ZiHou Wang Student Number: 483770 Nationality: China Age: 19 Function: Finance Manager E-mail: Z.wang1@student.han.nl
Why are you working for this company? I’m here in this company because it is consist of a group of young people who are energetic and motivate, which I always pursue.
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Name: Jianjie Yu Student Number: 491725 Nationality: China Age: 22 Function: Head of Logistics Department E-mail: J.Yu1@student.han.nl
What do you think of our lamp? Our lamp is a fantastic product, especially for business people. It deals with eye issues during your work.
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Name: Anne Miranda Student Number: 474428 Nationality: German Age: 21 Function: Logistics manager E-mail: AD.Miranda@student.han.nl
Why are you working for this company? I really enjoy the work in our company because of my great supportive team who makes it able for me to work in a pleasant atmosphere. I like our product because it reduces eye issues like sore eyes and makes it able for people to obtain a healthy work- and living environment.
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2.2 Company Data 2.2.1 Hierarchy Our company is divided into three divisions. Sebastian Yu is the Head of the Logistics Department. He is being assisted by Anne Miranda. They are responsible for monitoring the whole Supply Chain. The Supply Chain consists of the Purchasing of our Product, the Transportation towards our Office and the Distribution to our customers. Furthermore, they monitor the current and future demand and react of necessary. The financial department is led by our Financial Manager Franky Lai and supported by his financial staff. This staff consists of Frank Wang, who also works as a Sales Research Agent and Jan-Felix Becker. This department is responsible for monitoring all of our financial matters like creating Balance Sheets, Income Statements and Cash Flow Statements. Birgit Giezenaar works as our Marketing Manager. Her sales staff, Lena Huelser and Frank Wang supports her in her daily routine. Together they form our marketing team. The purpose of the marketing team is to focus on future customers and how to address them in the most sufficient way. For this reason, we have to constantly adapt our marketing mix to the current market situation.
CEO Jan-Felix Becker
Logistics Sebastian Yu Anne Miranda
Finance Franky Lai Frank Wang
Marketing Birgit Giezenaar Lena Huelser
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2.3 Mission Statement With our efficient and innovative lamp, we from IntelBright want to brighten up your daily life and also improve your well-being.
2.4 Business Definition 2.4.1 Vision In a world full of workaholics and performance pressure we as a company want to achieve that our future customers are able to improve their work environment and start to enjoy the time they are spending in front of their desk. IntelBright will lighten up a typical day of work – in so many ways.
2.4.2 Values For us as a company it is very important to create a product that suits our customers best; a product that keeps its promises and improves our customers’ daily life. IntelBright is a brand that will provide a great service to the customer and customer’s satisfaction will always be the most important value to us.
2.5 Financial position Our initial investment in our company was €30,000. This equals to a Paid-In-Capital amount of €4,285.71. In addition to this investment, we received a €25,000 bank loan as well. This bank loan has a duration a maximum of one years and an interest rate of 5%. Variable Redemption has been agreed on. Further details can be deduced from the Financial Part.
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2.6 Product introduction The idea was to create a desk lamp that sensors movement nearby and turns on automatically when it gets too dark in the room. This will help the customer to reduce eye issues due to insufficient light conditions. These issues, like sore eyes, can be prevented from reading in a well-illuminated environment. Our lamp will provide a healthy work- and living habitat.
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3. External Analysis 3.1 DESTEP Analysis 3.1.1 Demographic environment In 2010, around 16.6 million people were living in the Netherlands. This number makes the Netherlands one of the most crowded countries in the world. Due to its relatively small size, the population per square kilometre is around 400 people. On the following graph you can see the population development starting in 1950 with the most recent numbers in 2010.
Around half of all inhabitants are living in the so-called Randstad, the western part of the Netherlands with the cities like Amsterdam, The Hague, Rotterdam and Utrecht. Education is available for everybody and mandatory for children. Due to this fact, more than 99% of all habitants are capable of reading and writing. In 2007 almost 560,000 students were enrolled in either a University or Hogeschool. This big number compared to the total number of inhabitants proves that a high number of employees with Diplomas are working in this country. This makes the Netherlands a very attractive country for our company.
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The next graph provides an overview over the age groups in the Netherlands. The largest groups consist of people of the age between 40 and 55 which are in particular our target group.
3.1.2 Economic environment The Netherlands is a well-developed country, which is one of the most prosperous countries within the European Union. In 2008, global financial and economic crisis had erupted and it influenced the Dutch economy. However, the Dutch economy has been recovering in the second half of 2009. In 2010, the GDP per capital (current price) in the Netherlands is US$ 46,418 and this data was the second highest in Europe, the 10 th highest in the world. In recent years, the Dutch GDP per capital for the PPP (purchasing power parity) increased gradually; in 2010 the Dutch PPP is US$40,777, the 8 th in the world.
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Furthermore, the tertiary sector employs the most people. Overall 79% of all workers and employees work in this sector.
Although Dutch GDP increased, the rate of unemployment also increased. In 2008, the rate of unemployment was 2.8%, but in 2010 it increased up to 4.2%, in 2011, the forecast data about unemployment will level to 4.4%.
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3.1.3 Social/Cultural The Netherlands is a small country but also a “Business giant�. The Netherlands, a small country of only 16.6 million of population and 40,000 square kilometres, but creates a GDP of 6,127 billion dollars per year and is the 16th largest economy in the world. The success in business has gone hand in hand with the high labour productivity of Dutch people. And this high labour productivity benefits from the pleasant working environment and the employees' rights. As we know, the Dutch government and companies attach great importance to employees’ working state and health. And it's worth taking a moment to emphasize the holiday and leave system of the Netherlands. Holidays and Leaves is really one of the most important things in the Dutch life. In addition to vacations, the Dutch government has established various laws and regulations to guarantee employees' rights. For example, since 1998, each firm must hire consultants, responsible for the inspection and supervision of providing the employees working environment conformed to requirements and related equipment. Our company is dedicated to create a lamp to reduce eye issues and then keep working state. So we have the same goal with the government and companies.
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3.1.4 Technological environment Nowadays, many high technology things are invented; new products come in to the market very frequent. Especially the lamp, there are many kind of lamps in the market. In the development of science and technology, more and more people begin to use the Internet. Online stores become more popular. This opens a whole new way for selling our product. The chart below gives an overview over the percentage of people in the Netherlands that use the Internet.
3.1.5 Ecological In recent years, as a consequence of rapid economic and population growth, the energy consumption has increased significantly. As we know, this can give rise to too much pollutions and environmental degradation. Companies have to pay attention to the ever-changing environment. Companies are influencing the environment, consciously or unconsciously. The Netherlands contribute a great importance to the environment and the government has established a number of relevant regulations and policies. You can see that the Netherlands is a well-developed country with a well-developed environment. Due to the geographical location of the Netherlands, the changes in nature caused by global warming will have an extraordinary effect. The majority of the Netherlands are
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located under the current sea level. For this reason, a special interest to limit the damages caused by global warming can be detected.
3.1.6 Political environment The European Union’s ambition to reduce carbon dioxide emissions by 20% by 2020 in comparison to 1990 has an effect on the Dutch political environment. EU directives such as the Eco Design Directive were ratified and will have a significant impact on the electronic market in the future. This directive commits producers of electronic devices such as office equipment to reduce their energy consumption to 1 to 2 watts at max of they are in stand-by mode. If they are switched off, an upper limit in consumption of one watt has been established. Those laws and directives have to be obeyed to have a chance to get a foot into the Dutch market. Approval marks like the CE-mark must be obtained. Furthermore, requirements for directives like the EMV have to be fulfilled.
3.2 Competitors Analysis Every company has competitors when entering the market. IntelBright competes with companies offering lighting equipment. Since we will start our business in the Netherlands, we will compete with companies in the Netherlands offering lighting equipment. These are our main competitors: Philips, Ikea and Artemide. Our main competitor is Ikea. The competition we will face with Ikea is that they offer different types of desk lamps for a low price. The cheapest lamp Ikea provides can be bought for â‚Ź9,99.
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Grono Table lamp
IntelBright is offering just one lamp for â‚Ź59, 95. We will solve this problem by designing different lamps in the future. The difference between IKEA and us is that Ikea is not as technologically advanced as we are. They provide only ordinary lamps which the customers have to turn on and off. We from IntelBright offer a desk lamp with two sensors. It turns on automatically it gets dark outside. The other is a movement sensor that turns on the lamp as soon as the customer sits at the desk. We also compete with Artemide who offers desk lamps as well. Those lamps have a high quality and are priced at high prices. These lamps are not made for everyone because of the high price. Nevertheless, their outstanding design and quality makes them one of the first choices among households with a higher income.
Artemide provides this desk lamp for 261â‚Ź
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Compared to Ikea, who offers lamps for everyone, Artemide provides lamps in classical, minimalistic designs. It is often this design, paired with the outstanding quality that leads to a customer’s choice towards Artemide. We compete with Artemide because we offer IntelBright for ₏59.95 which is a high price. In addition the quality they offer is excellent which IntelBright offers as well. We have chosen Artemide because of the fact that they, as well as IntelBright, target high income households. IntelBright targets families in a high social standard. This is the reason why we compete with Artemide.
Philips offers desk lamps with the main idea to improve the living environment. The desk lamp they offer has a remote control with what the customers can decide for how long they want to lighten the room but so far they did not construct a lamp with two sensors which automatically turns on if it gets dark and a sensor for movement. IntelBright and Philips share the idea of an environmentally friendly company. This is the remote controlled lamp, Philips offers.
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4. Marketing Plan 4.1 Marketing Strategy 4.1.1 Target Groups We want to focus on households especially on people who have a home office in their household and parents who want a safe work environment for their children. IntelBright prevents eye damage and is a smart and innovative way of helping you or your children to work safely. We want to target those households because of the academic education of their parents. Those people are highly educated and are willing to buy our product.
4.1.2 Marketing Position During the first year, the IntelBright will be made out of high quality materials and is not meant to be a cheap lamp, but neither really expensive. We believe that people who really care about their health are willing to pay more money for a lamp who regulates the amount of light in the room and in that way prevents permanent eye damage and other health issues that come along with it. But we are a starting company so the price will be reasonable and in a good balance with the materials that are used. We will position ourselves as a small company with a strong product; our goal is to make sure people recognize the lamp as an IntelBright.
4.1.3 Marketing Objectives -
The first year:
The first year will be tough; we need to promote IntelBright at stores and online. We can also advertise in magazines and approach customers on fairs. It is important that we satisfy our customers in the best way we can, so they will tell about the lamp to their friends and colleagues. The best way of promotion is when people tell it to each other. The first year we mainly concentrate on promoting our product. Good promotion is 21
necessary otherwise IntelBright will fail. We need to convince customer that IntelBright is really an improvement. -
The second year:
If the promotion in the first year goes well, we can focus on making profit in the second year. In the first year we will spend a lot of money on advertising. We should continue with approaching customers and try to increase our number of Sales. Our goal is that people know our brand and our product, but promotion is still needed in the second year. If business goes well enough we can start exploring for a new target group. We want to increase our Brand Awareness -
The third year:
In the third year people will know our product and they are familiar with the brand IntelBright. We slightly introduce ourselves to the Business Market. Promotion is still an important task. Our new target groups need a different approach. For this target group we should advertise in business magazines, newspapers and contact office supplies companies. The promotion for the household target group will be smaller because it will be running in the right direction.
4.2 Market Potential Since the Dutch economy is growing at the moment, we as a company will have a high market potential. The economy is growing, salaries are rising and future customers will be willing to spend more money; especially when it comes to a new and innovative product, which will make their work environment more pleasant and improve their general well-being.
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4.3 Sustainability In times of the inevitable global warming it is very important for our company and us to produce as little Carbon as possible. Furthermore we only use our own desk lamps throughout our office. These lamps in combination with energy saving light bulbs help to reduce our energy consumption. All of our boxes used to ship our products were produced only from recycled cardboard. If the customer wishes, he or she can order our lamps online with only a little extra charge to ensure it is transported in a carbon dioxide neutral way. The money collected will be transferred to an organization, which will support projects all over the globe that protect the rain forest, plant new trees or help the environment in many ways. We from IntelBright will double this amount at the end of each year and donate it to various projects that support sustainable projects in South America or Asia for example. When it comes to our Office supplies, we only use recycled paper. Using this kind of paper helps to reduce the deforestation all over the globe.
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4.4 Marketing Mix 4.4.1 Product 4.4.1 Product Layers Core Product Actual Product Augmented Product
Core Product: Provides Light
Actual Product: Two Sensors High-Quality Materials Attractive Price Turns automatically on and off
Augmented Product Fast delivery when purchased online High Satisfaction Guarantee 24
IntelBright will introduce a lamp that is innovative and efficient. The lamp has a modern, minimalistic design and is simple structured. A light and movement sensor provides light as soon as needed. The installed light sensor measures if there is enough light available in the room. The lamp will not turn on automatically unless the movement sensor also notices movement in a radius of 1m. Since both sensors are working together, the lamp will shut down as soon as there is no movement for more than seven minutes. Because our movement sensor is really sensitive, it is able to differentiate between someone reading and no one sitting at the desk at all. Packaging The picture below shows the packaging of our product. It consists out of recycled cardboard and is environmentally friendly. The reason why we preferred a horizontal packaging is that it will provide more stability and it will be easier for the customer to take the lamp out of the box. The size of the package will be 17 x 60 x 17 (cm). The design of the package reflects the simplicity and innovation of our lamp. We chose the colors green and brown for the logo because it shows the environmentally friendly side of our company and lamp. Green reflects the nature and sustainability while brown is a synonym for the earth we live on. The white colored package stresses again the simplicity of the lamp. All together it represents all the aspects of our company.
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4.4.2 Price The price for the lamp will be €59,95 if purchased it in our online store. Retailers would have to pay a price of €45,95 in order to have the lamp in their assortment. The recommended retail price would be €59,95 as well
4.4.3 Promotion To promote our Intelbright lamp we decided to promote it in various ways. For the first year we have a budget of € 60.000 to freely spent on advertisement and promotion, on average we can spend € 5.000 every month. We focus on parents with children. We want to advertise and promote our product at places and in magazines that are related to our target group. We will show our forms of promotion and advertisement on the next pages together with the costs that come a long. The main goal of our promotional strategy is to introduce our product to the families. People need to be aware of the fact that there is a totally new product on the market, which will help to improve their working conditions dramatically. Not only the special technology will convince future customers to buy our product but also all the benefits the lamp provides.
4.4.4 Place/ Physical Distribution Our Product will be manufactured in China. After they have been shipped to Rotterdam and transported to our office in Arnhem, we redirect the product to the stores throughout the Netherlands. We are also selling our Product throughout our own Website to our customers. This enables our customers to order their lamp right from their home. Furthermore we selected the following stores to offer our product:
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Media Market, an electronic supermarket attracts a large number of customers to their stores. Even though their main focus lies on consumer electronics, we believe that our lamp is a good addition to their range of goods. We selected Blokker because this store offers a little bit of everything. You can purchase a lot of different things there and for this reason we believe to find new customers in this store
4.4.5 Advertisement Analysis 4.4.5.1Magazines Why advertise in magazines? We want to advertise our IntelBright lamp in magazines because in that way we can reach the target group we focus on. We focus on highly educated people and there are many magazines available in the Netherlands. Those magazines have a lot of readers every month, so it is interesting for us, the IntelBright Company, to advertise in these magazines. There are different kinds of advertisement so there will be a way that suits us best. Magazines that will fit our advertisement campaign are the Linda, Vtwonen, Margriet and other well read magazines. These magazines will fit our advertisement campaign because they are read by a lot of families and also by a lot of families who can easily pay the price we set for our IntelBright lamp. How are we advertising? The first way of advertising will be a full page in magazines in full color. We will present a design of our lamp and it will also show our company slogan: “IntelBright – Efficient and Innovative”. At the bottom of the advertisement we will place the text: “Available at www.intelbright.jimdo.com and at selected stores.” People can find the selected stores in the back of the magazine and there is an electronic store locater based on an area code search on our website.
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Because of the fact that a whole page advertisement is very cost consuming, our company will also start to concentrate on smaller advertisements. We will only use a Âź (vertical) of a page. This is also in full color. The advertisement will show a design of the lamp and our slogan. Furthermore it will tell the customer “Available at www.intelbright.jimdo.com and selected stores.â€? At the time we start with less and smaller advertisements most of our customers will already recognize the company name and logo. The brand awareness will increase. To make sure that people keep focusing on our lamp we will advertise one more time with a full-page advertisement. This will take place six months after the first advertisement took place. People will be refocusing on the product. In magazine Linda we can only advertise with a full page advertisement, so we choose to do that only two times. The other magazine, VT Wonen provides us a lot of possibilities.
When are we advertising? We will do a lot of advertising in the beginning of the selling process. It is important that business people are aware of the fact that our IntelBright lamp entered the market. Most of the magazines we chose will appear every month and are mostly spread among people with an academic degree and interest in new products like our lamp .
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We want to place an advertisement every third month; we start with a whole page in full color advertisement and then we place a smaller advertisement in the magazine. How much will it cost to advertise? The total cost of the advertisement depends on how we advertise. It is attractive to also advertise in 1/4 V pages together with the full pages and in multiple magazines. The 1/1-page advertisements will be the first advertisement. Over the year we will advertise two more times, only with smaller advertisements placed. On average we spend:
32.640.80 / 12 = 2720.06 € every month.
The total advertisement cost for the magazine vtwonen is showed below in the table. Design Costs Full color 1/1 page vtwonen
120 € incl. Taxes 11.800 € excl. taxes
Full color 1/4 V page vtwonen 6% Taxes over 11.800 € 6% Taxes over 3.540 €
3.540 € excl. taxes 708 € 212,40 €
Appearance full color 1/1 page
2
Appearance full color 1/6 page
2
Total cost advertisement
32.640,80 €
Whom can we reach? Vtwonen is spread under 148.316 people every month, 42.677 people have a contract on the magazine, the rest are mainly individual buys. Together with advertisements in other magazines we can reach a lot of people. Most families have a magazine at home or read magazines at the waiting room at the doctors or dentist. A lot of people will see our advertisement. 29
4.4.5.2 Online Advertisement The online advertisement has increases dramatically over the last years. More and more possible customer can be addressed by advertisement placed on websites for example. We from IntelBright want to use this opportunity. Fairs: Why promote at fairs? An interesting and costs saving way of advertisement is creating a stand on a fair where we can introduce our product. Our target groups are families. The best way to get in contact with them is at a place where they are all together. A lot of families come together at fairs, so it is a perfect opportunity for us as IntelBright to introduce our IntelBright lamp. Fairs for the beginning of the school year are held mainly during the summer months of the year; the advantage is that we can choose which fairs we want to attend and which not. How do we use our stand? It is important that we use our stand in the right way, so the future customers whom visit our stand completely understand the meaning of our product. We do not need a big stand, around 6m²is big enough. We need a place to store the lamps so people can experience the IntelBright lamp themselves. Next to this we need a spot where we can give information about the price and a place to explain how our lamp works. Here we can hand out flyers of our IntelBright lamp with information over the lamp and the costs. Those flyers are ordered online with 50.000 pieces per time, the total cost for 50.000 pieces is ₏ 2.253,85 incl. taxes. When are we promoting on fairs? The time of promotion depends on the dates of the different fairs. To lower the costs it is better if a few of the company owners were to represent our company on the stand. For this reason we do not need to hire any people. Based on this knowledge we have to
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see when we as staff of IntelBright are available. We are willing do as many fairs as possible in a year. How much would it cost? The cost for a stand on a fair is variable, but we can create a guideline by using information of the “Business fair Oss and surrounding area”. There are cost for the rental of the stand, depending on the amount of space you need, costs for the use of energy and your need to eat. The flyers for the fairs are also used for the companies visits, so they are not showed in the individual tables but in the end cost list. The table below shows the total cost for a stand on a fair for two days. Stand 5m² (100 € per m²)
500 €
Energy use (2000 W)
110 €
Food (40 € per day)
80 €
Number of Fairs attended per
6
year Total cost stand business
4140 €
fair
In-Store Promotion: Why promote in stores? An attractive way to address people is to promote and demonstrate our product in retail stores we want to sell our product. People are there to buy something, so their mind is set on buying, if you give a good demonstration people are more willing to buy because they see what the advantage of our product is. How do we promote in stores? 31
We can create a little stand, like we do on the fairs. People can walk to it, look at the lamp and try it out. But because it’s sometimes really busy at stores like the media market we can choose to get people attention by using a microphone. People will look what is going on. We will give the people a short demonstration and provide them of the information they need. We can also hand out flyers we also use for the fairs. When are we promoting in stores? The best days to promote in stores are the Saturday, Thursday nights and the buying Sunday. The buying Sunday is once every month. At those days there are a lot of people in the city to do shopping and it is the perfect opportunity to address people. It’s not necessary to promote the whole day, early in the mornings it will not be so busy as in the midday. In the beginning it is wise to give more demonstrations because we need to create brand awareness. We can create this by showing the product to future customers. How many would it cost? We need to pay for the flyers, but we can share these cost with the fairs. The advantage of this way of promotion is that it is really cheap. We should call the companies in advantage and make appointments with them when we can stand where, in which store. It depends on the store if you need to pay money, mostly it is not needed, because when you give the demonstrations people will buy more, so there is something in advantage for them too.
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Billboards We want to place full color advertisements on billboards among the biggest and most crowded places in the Netherlands. Cities like Amsterdam, Utrecht or Rotterdam are promising markets. The estimated costs for this campaign are approximately €23,219.2 The campaign would last only two weeks but would increase our sales noticeably. Below you can find an overview over our marketing expenses. Overview of all the Marketing activities
Costs
Magazine Advertisements
€ 32.640,80
Fairs
€ 4140
Billboards
€ 23219.3
33
5. Logistics 5.1 Manufacturing We still set up our manufacturing base in China as so many international companies have done. Production costs are very attractive in comparison to other countries. Our Logistics department’s goal is to try our best to cut the cost and increase efficiency and effectiveness. All of our items of products will be manufactured in Shenzhen, Guangdong Province, China.
This picture shows the distribution of the company manufactures lamps in Guangdong Province, China. Guangdong province has a well-developed light industry and is proud of its ports from where goods are shipped to everywhere in the world. All production and assembling process of our lamps will be finished in Shenzhen, Guangdong Province, China. After packaging, they are ready to be shipped to the Netherlands.
34
5.2 Basic information of product Our lamp is a unique product designed for businessmen. The size of our lamp is 223mm x 525mm x 200mm, which is neither too big nor too small. The lamp will meet the need for professional lighting for business people, but will also show the taste and the simple design business people are looking for.
Size Material Color Weight
223 mm x 525 mm x 200 mm Aluminum Silver 1 KG
35
5.3 Cost of Product We have spent a lot of time on research part since the choices are really extensive in China. Our Chinese Manager Sebastian also stays in contact with Chinese companies directly. Although it won’t cost a lot in China, we put a special emphasis on quality. After our research, we got this data. Lamp Body
5€
LED
1.50€
Sensors
2€
Other costs
4€
Total Costs
12.50€
A. As we said before, there are a great number of lamp manufacturing company in Guangdong province, China. Most of them manufacture the primary lamp themself. For this reason, we can purchase the primary lamps at a very low price because of the competition between these companies. B. The LED energy-saving bulb and the sensor are the core part of our lamp. We chose high-quality parts over cheaper and less comparable parts. C. As to the other costs, they include packaging, shipping and the assembly of our product.
5.4 Packaging and Shipping Package Our lamp size is 223mm x 525mm x 200mm. In addition to this, our lamp is detachable. We decide to choose the 170mm x 600mm x 170mm size for the packaging boxes. Our lamps are fragile. For this reason we put soft foam at both sides of the box to minimize the risk of damage during transportation
36
Shipping We choose a standard 20 foot container for shipment. Its capacity is about 29, 03 m³, which is enough to transport 1500 of our lamps.
Package size
17 x 60 x 17 cm
Container size
(20GP) 5.69 x 2.34 x 2.18 m
Batch size
500
Shipping fee
€937
Shipping cost per product
€937/1500= €0,62
We use the “JC Trans Group” in China as our shipping partner. According to the present price, the regular fare for a 20GP container from Shenzhen to Rotterdam is $1350 which equals to €937. This number includes delivery from the harbour of Rotterdam to our office in Arnhem. The following link refers to the website of “JC Trans Group”. http://www.jctrans.cn/English/
5.5 Storage The shipping service from “JC Trans Group” is “door to door”. When the products arrive in Rotterdam, they will be transported to our warehouse address that we give them in advance. Once they arrive at the warehouse, the quantity and the quality of the boxes will be checked. We will rent two rooms in Arnhem, Gelderland 6825BS. The exact address is Ijsselburcht 3, Arnhem, Gelderland, 6825 BS. One room will be used for our office and the other one will serve as a warehouse. The office suites will be supplied with carpeting, power-, telephone- and internet
37
connections and the rent for each room is â‚Ź500 per month. So our rental expenses per month are â‚Ź1,000. The Headquarter of Flexas, the company that owns our offices, is located in the United Kingdom. Our offices and warehouse are located in Arnhem.
38
5.6 Bill of Material Level 0 1
2
3
Part number 101 201 202 203 301 302 303 304 401 402 403
Description IntelBright LED energysaving bulb Primary Lamp Sensor Switch Lighting slab Frame Wire Lamp base Lamp stent Lamp cover
Quantity 1 1 1 2 1 1 1 1 1 1 1
39
Final product 101 IntelBright lamps
Part 201
Part 202
Part 203
LED energy-saving bulb
Primary
Sensor
Lamp bulb
Part 301
Part 302
Part 303
Part 304
Switch
Lighting slab
The frame of IntelBright lamp
Wire
Part 401
Part 402
Part 403
Lamp base
Lamp Stent
Lamp cover
40
5.7 Material Requirement Planning The lead time is four weeks. This time was set after our research had been completed. It will take the manufacturing company around 6 days to get the components, production and assembling process done. The shipping from Shenzhen to Rotterdam takes about 23 days. This brings us to the LT(Lead Time) of four weeks.
Month
July
Gross 510 Requirement Projected 800 290 on Hand Net Requirement Planned order Receipt Planned order 1500 Release
August September October November December 540
610
700
800
865
1250
640
1940
1140
275
250
60
1500
2000 2000
1500
Month
January
February
March April
May
June
Gross Requirement Projected on Hand
830
790
760
690
640
580
945
155
895
205
1065
485
Net Requirement
555
605
435
Planned order Receipt Planned order Release
1500
1500
1500
1500
1500
41
5.8 Supply Chain
42
6. Financial Plan 6.1 Sales Forecast Sales Forecast Month
July August September October November December January February March April May June Total
Number of Sales Online Store 150 160 190 230 270 285 270 250 230 210 200 180 2625
Number of Sales to Retailer 360 380 420 470 530 580 560 540 530 480 440 400 5690
Revenues Online Store
Revenues Retailer
8992.50 9592 11390.50 13788.50 16186.50 17085.75 16186.50 14987.50 13788.50 12589.50 11990 10791 157368.75
16182 17081 18879 21126.50 23823.50 26071 25172 24273 23823.50 21576 19778 237786
COGS
6375 6750 7625 8750 10000 10812.50 10375 9875 9500 8625 8000 7250 105973.50
8315 Units are planned to be sold in the first year. This number was calculated due to our research. Number of inhabitants in the Netherlands Number of Households % of households with an income >€40,000 Number of households with an income >€40,000 Number of households with a couple and children earning > €40,000 a year Market Share in % Number of Lamps sold
16,600,000 7,400,000 28,7% 2123800 766,5200 1,25 8315
43
6.2 Opening Balance Sheet
Opening Balance Sheet July, 1st, 2011
Debit
Credit
Current Assets
Current Liabilities
10,000.00 €
Accounts Payable Cash
44,000.00 € Long-Term Debt
Inventory
10,000.00 €
Prepaid Rent
3,000.00 €
Prepaid Insurance
3,000.00 €
Bank Loan
Owner’s Equity Paid in Capital
Office Supplies Fixed Assets Fixtures & Furniture
Total Assets
25,000.00 €
30,000.00 €
650.00 €
4,350.00 €
65,000.00 €
Total Liabilities
65,000.00 €
6.2.1 Description of Opening Balance Sheet Our company starts business on 1st, July 2011. Our paid in capital is €30,000. In addition to our Paid in Capital, we also received a bank loan of €25,000 We also need the warehouse and insurance for our product, and these two things we need to pay each three months.
44
6.3 Income Statement F.Y. 2011/12
July
August
Gross margin
€ 418,824.25 € 103,937.50 € 314,886.75
€ 25,534.50 € 6,375.00 € 19,159.50
€ 27,053.00 € 6,750.00 € 20,303.00
Operating expenses: Miscelleaneous Expenses
€ 8,400.00
€ 700.00
Prepaid Rent
€ 12,900.00
Office Supplies Wages
€ 3,000.00 € 198,000.00
Marketing Expenses
Sales Revenues Costs of goods sold
September € 30,689.50
October € 35,385.00 € 8,750.00 € 26,635.00
November € 40,540.00 € 10,000.00 € 30,540.00
December € 43,736.75 € 10,812.50 € 32,924.25
January € 41,918.50 € 10,375.00 € 31,543.50
€ 7,625.00 € 23,064.50
€ 700.00
€ 700.00
€ 700.00
€ 700.00
€ 700.00
€ 0.00
€ 0.00
€ 0.00
€ 3,000.00
€ 0.00
€ 250.00 € 16,500.00 € 5,000.00
€ 250.00 € 16,500.00
€ 250.00 € 16,500.00
February € 39,800.50
March
April
May
€ 34,645.50
€ 9,875.00 € 29,925.50
€ 38,142.00 € 9,500.00 € 28,642.00
€ 8,625.00 € 26,020.50
€ 32,208.00 € 8,000.00 € 24,208.00
June
€ 7,250.00 € 21,921.00
€ 700.00
€ 700.00
€ 700.00
€ 700.00
€ 700.00
€ 700.00
€ 0.00
€ 3,000.00
€ 0.00
€ 0.00
€ 3,000.00
€ 0.00
€ 3,900.00
€ 250.00 € 16,500.00
€ 250.00 € 16,500.00
€ 250.00 € 16,500.00
€ 250.00 € 16,500.00
€ 250.00 € 16,500.00
€ 250.00 € 16,500.00 € 5,000.00
€ 29,171.00
€ 60,000.00
€ 250.00 € 16,500.00 € 5,000.00
€ 5,000.00
€ 5,000.00
€ 5,000.00
€ 5,000.00
€ 5,000.00
€ 5,000.00
€ 250.00 € 16,500.00 € 5,000.00
€ 5,000.00
€ 250.00 € 16,500.00 € 5,000.00
Mobile phones
€ 4,200.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
€ 350.00
Transportation Expense
€ 3,600.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
€ 300.00
Depreciation
€ 1,087.50
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 1,087.50
Insurance
€ 12,600.00
€ 0.00
€ 0.00
€ 0.00
€ 3,000.00
€ 0.00
€ 0.00
€ 3,000.00
€ 0.00
€ 0.00
€ 3,000.00
€ 0.00
€ 3,600.00
Kamer Van Koophandel Total Operating expense:
€ 144.00 € 303,931.50
€ 0.00 € 29,100.00 -€ 2,465.00
€ 0.00 € 23,100.00
€ 0.00 € 23,100.00
€ 0.00 € 29,100.00
€ 0.00 € 23,100.00
€ 7,440.00
€ 9,824.25
€ 2,443.50
€ 6,825.50
€ 0.00 € 23,100.00 € 5,542.00
€ 0.00 € 29,100.00 -€ 3,079.50
€ 0.00 € 23,100.00 € 1,108.00
€ 0.00 € 31,687.50
€ 10,955.25
€ 0.00 € 23,100.00 -€ 2,797.00
€ 0.00 € 23,100.00
EBIT
€ 144.00 € 23,244.00 -€ 4,084.50 € 104.17 -€ 4,188.67
€ 95.83 -€ 2,892.83
€ 95.83
€ 95.83
€ 95.83
€ 62.50
€ 29.17
€ 7,344.17
€ 9,728.42
€ 2,381.00
€ 6,796.33
€ 0.00 € 5,542.00
€ 0.00 -€ 3,079.50
€ 0.00 € 1,108.00
-€ 9,766.50
€ 0.00 -€ 4,188.67
€ 0.00 -€ 2,892.83
€ 0.00
€ 0.00
€ 0.00
€ 0.00
€ 7,344.17
€ 9,728.42
€ 2,381.00
€ 6,796.33
€ 0.00 € 5,542.00
€ 0.00 -€ 3,079.50
€ 0.00 € 1,108.00
€ 2,621.46 -€ 12,387.96
Interest EBT
€ 675.00 € 10,280.25
Tax(25.5%)
€ 2,621.46
Net Income
€ 7,658.79
-€ 35.50
-€ 131.33 € 0.00 -€ 131.33
€ 95.83 -€ 2,560.83 € 0.00 -€ 2,560.83
-€ 9,766.50 € 0.00
45
6.3.1 Description of Income Statement On our income statement, at the beginning of our first business year, we need to make investments. For this reason, we have higher expenses in operating. After the first month, everything starts to go more steadily. On the other side, because of the season factors, our sales revenues have some fluctuation throughout the year, with the result that we will have different numbers of products being produced. Because of we have the same operating expense every month, except the first month, , we have a negative EBT and we don’t need to pay tax for those months. In total, at the end of our first business year, our net income is ₏7658.79, it will be the added as retained earnings to our closing balance sheet.
46
6.4 Cash Flow Statement B.O Operating Activities: Inflow: Sales from retailer Sales from online store Collection Total inflows Outflow: Suppliers Paid Miscellaneous Expenses Prepaid Rent Office Supplies Wages Marketing Expenses Utilities Phone &Internet Transportation Expense Insurance Tax (25.5%) Kamer Van Koophandel Total outflows Net cash flow from operating activities
€ 3,000 € 650
€ 3,000
Financing Activities: Net cash flow from financing activities Inflow： Bank Loan Equity Outflow： Bank Loan Interest Bank Loan Payoff Total Outflow Net cash flow Beginning cash End cash
July
August
September
October
November
December
January
February
March
April
May
June
€ 8,993 €0 € 8,993
€ 16,542 € 9,592 € 26,134 € 26,134
€ 17,461 € 11,391 € 28,852 € 28,852
€ 19,299 € 13,789 € 33,088 € 33,088
€ 21,597 € 16,187 € 37,783 € 37,783
€ 24,354 € 17,086 € 41,439 € 41,439
€ 26,651 € 16,187 € 42,838 € 42,838
€ 25,732 € 14,988 € 40,720 € 40,720
€ 24,813 € 13,789 € 38,602 € 38,602
€ 24,354 € 12,590 € 36,943 € 36,943
€ 22,056 € 11,990 € 34,046 € 34,046
€ 20,218 € 10,791 € 31,009 € 31,009
€ 10,000 € 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 € 144 € 33,424
€ 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 €0 € 23,280
€ 18,750 € 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 €0 € 42,030
€ 700 € 3,000 € 250 € 16,500 € 5,000 € 180 € 350 € 300 € 3,000 €0 €0 € 29,280
€ 25,000 € 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 €0 € 48,280
€ 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 €0 € 23,280
€ 700 € 3,000 € 250 € 16,500 € 5,000 € 180 € 350 € 300 € 3,000 €0 €0 € 29,280
€ 18,750 € 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 €0 € 42,030
€ 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 €0 € 23,280
€ 18,750 € 700 € 3,000 € 250 € 16,500 € 5,000 € 180 € 350 € 300 € 3,000 €0 €0 € 48,030
€ 700 €0 € 250 € 16,500 € 5,000 € 180 € 350 € 300 €0 €0 €0 € 23,280
€ 700 € 3,900 € 250 € 16,500 € 5,000 € 180 € 350 € 300 € 3,600 € 2,621 €0 € 33,401
-€ 24,432
€ 2,854
-€ 13,179
€ 3,808
-€ 10,497
€ 18,159
€ 13,558
-€ 1,311
€ 15,322
-€ 11,087
€ 10,766
-€ 2,392
-€ 2,104
-€ 96
-€ 96
-€ 96
-€ 96
-€ 8,096
-€ 8,063
-€ 7,029
€0
€0
€0
€0
€ 104 € 2,000 € 2,104
€ 96 €0 € 96
€ 96 €0 € 96
€ 96 €0 € 96
€ 96 €0 € 96
€ 96 € 8,000 € 8,096
€ 63 € 8,000 € 8,063
€ 29 € 7,000 € 7,029
€0 €0 €0
€0 €0 €0
€0 €0 €0
€0 €0 €0
-€ 26,536 € 44,000 € 17,464
€ 2,758 € 17,464 € 20,223
-€ 13,274 € 20,223 € 6,948
€ 3,712 € 6,948 € 10,660
-€ 10,593 € 10,660 € 67
€ 10,063 € 67 € 10,130
€ 5,495 € 10,130 € 15,625
-€ 8,340 € 15,625 € 7,286
€ 15,322 € 7,286 € 22,607
-€ 11,087 € 22,607 € 11,520
€ 10,766 € 11,520 € 22,286
-€ 2,392 € 22,286 € 19,894
€ 25,000 € 30,000
47
6.4.1 Description of Cash Flow Statement We distribute our Products via two channels. One is our own online store where we receive all revenues directly at the end of the month. No payment on account is possible. Revenues from our retailer partner are recognized in the following month. The only Inflow we receive in July is the revenues from our Online Store. The revenues from the Retailers will be received next month. At the end of June we will invest money in insurance as well as rent. Due to our wellgoing business, we have decided to rent an additional room in our office to the prepaid rent costs have gone up together with the costs for the prepaid insurance. Both assets are for three months.
6.5 Closing Balance Sheet
Closing Balance Sheet June 30th, 2012
Debit
Credit
Current Assets Cash Accounts Receivable Inventory Prepaid Rent Prepaid Insurance Office Supplies Fixed Assets Fixtures & Furniture Accumulated Depreciation
Total Assets
€ €
€ €
19,894 18,380
€ € € €
6,063 3,900 3,600 1,310
4,350 -1,088 €
3,263
€
56,409
Current Liabilities Accounts Payable
€
18,750
Long-Term-Debt Bank Loan
€
-
Owners Equity Paid In Capital
€
30,000
Retained Earnings
€
7,659
Total Liabilities
€
56,409
48
6.5.1 Description of Closing Balance Sheet The Bank loan of €25,000 has been fully paid off. A net income of €7,659 is the result of the first year in business. There is €18,750 on open account. This was the last shipment of 1500 lamps in this business year. 1015 of them have already been sold while 485 are stored as inventory in our office. The last month of sales from retailers is debited as Accounts Receivable. The money will be collected in the first month of the upcoming business year. Fixtures & Furniture have been depreciated by 25%.
6.6 Ratios 6.6.1 Current Ratio Current Ratio is calculated by current assets divided by current liabilities, it is used to evaluate our company’s liquidity. So, for our company: Current Ratio= Current Assets/ Current liabilities= 53,146.29/ 18,750.00=2.83
6.6.2 Return on Common Stockholders’ Equity (ROE) Return on Common Stockholders’ Equity is calculated by net income divided by average common stockholders’ equity. Because of the beginning stockholder’s equity is same with final stockholder’s equity, so our company’s ROE is: ROE= Net Income/ Average Common Stockholders’ Equity = 7,658.79 /30000= 14%
49
6.6.3 Return on Assets (ROA) Return on Assets is calculated by net income divided by average total assets, so our company’s ROA is: ROA=Net Income/ Average Total Assets= 7,658.79 / [( 56,408.79 + 65,000)/2]=12.6% This means our assets generate profits is effectively.
6.7 Break-even Analysis Our fixed costs equal € 324647.5 Our variable costs are € 12.50 Break Even Point: Fixed Costs / (Sale Price-Variable Cost)
324647.5/ (59,95-12,5)= 6842
50
7. Appendix 7.1 Questionnaire Questionnaire for IntelBright
Dear Sir/Madam： Thank you for taking the time to fill in this questionnaire. We are a new lamp company. We will produce a smart lamp in the future, which is able to sense the light conditions in your room. This lamp also notices movement so it will automatically turn itself on as soon as you begin working on your desk. First of all we want to do a market survey and we would really appreciate your participation in this survey. Please choose the answer, which suits best for you. Gender：□Male □Female
Age: ____
Q1. What kind of company are you working for? □ Service □ Not working □ Retail business □ Own company □ Other____________ Q2. How long are you working at your desk at your office per day? □ 0-3hours □3-6hours □6-9hours □Over 9 hours Q3. How long do you work at home per week? □ 0-2hours □2-4hours □4-6hours □Over 6 hours Q4. How often do you use your computer when you are working? □ Never □ 1-2 days a week □ 3-5 days a week □ 7 days a week 51
Q5. Do you have headaches or eye issues when you are working? If so, what do you think causes your issues? □ No □ Sometimes □ Yes, because of
□ Computer
□ Not enough Light □
others ______________ Q6. Do you protect your eyes and if so, with which means? □ Glasses
□ Sufficient Light
□ Others _____________
□ No
Q7. How often do you forget to turn on the light when you are working? □Never □Not often □Sometimes □Always Q8. Would you be interested in a lamp that turns itself on and off automatically? □Yes
□No
Q9. If you have a lamp, what functions for the lamp do you want it to have? (Multiple answers possible) □ Light and Movement Sensor
□ Protect eyes □ Appealing design
□ Energy-friendly
□ No other functions
□ Others
___________________________________________________ Q10. Would you be interested in customizing your lamp? □ Yes
□ No
Q11. How much money would you be willing to pay for a lamp? □Under €30 □€30—€60 □€60—€90 □Over €90 Thank you for your time and your participation.
52
7.1.1 Survey Results Graph We handed out questionnaires on the street to people who have a job and received 200 answered questionnaires. The results are showed below:
Type of company people work for
4% 21% Service Manufacturer 3%
Retail Other 72%
Total amount of time people spend at a desk per day 100.00% 87.50%
90.00% 80.00%
73%
70.00% 60.00% 50.00%
0-3hours 47.50%
3-6hours 6-9hours
40.00% 30.00%
50.00%
33.33%
29.50%
22%
21%
16.67%
20.00% 10.00%
more than 9 hours
2%
12.50% 5% 0
0
0
0
0.00% Service
Manufacturer
Retail
Other
53
We see that most people in service business and about 21% works in retail business. Among those, more than 50% of the people work at a desk for more than three hours a day. The needs of light at their desks is huge. More than 70% of the people said that they have headaches and eye issues while working on the desk, and these problems are mostly caused by long-time working with insufficient lightness. The following figure shows how often people forget to turn on the light when it gets dark outside. 60% 53% 50% 40% 29%
30% 20% 11% 10%
7%
0% never
seldom
sometimes
always
This graph indicates that most people have ever forget to turn on the light. Base on this fact, IntelBright offers a solution with lightness sensor.
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How many people are interested in IntelBright and willing to buy 100% 90%
25%
30%
80% 70%
10% 10%
60%
Others
50%
Unwilling to Buy
40% 30%
Willing to Buy 65%
60%
20% 10% 0% Students
Business People
How much (EUR) at most that people would be willing to pay for an Intelbright
15%
10% under 30 30-60 60-90
30% 45%
over 70
In the beginning of our business, we want to focus on the first target segments (business people), who spend most of their time working on a desk, the majority of them is at such an age that eye issues come easily, caused by poor lighting, etc.
55
Furthermore, once business people are attracted by IntelBright, they will recommend or even directly buy IntelBright for their family, especially their children, who also spend a lot of time studying on a desk, because our product is able to protect their eyes.
Finally, we will be able to build a stable and strong brand image that IntelBright is the symbol of smart lamp, eye-care and eco-friendly.
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7.2 Lists of sources 7.2.1 External Analysis DESTEP： Demographic http://de.wikipedia.org/wiki/Wirtschaftssektor http://www.cbs.nl/enGB/menu/themas/bevolking/publicaties/artikelen/archief/2009/2009-2753-wm.htm DAAD, Studienführer Niederlande http://www.cbs.nl/en-GB/menu/themas/bevolking/cijfers/extra/piramide-fx.htm Ecological http://bj.house.sina.com.cn/decor/bx/2005-05-27/103776579.html http://www.cgwindpower.com http://www.ikzm-d.de/inhalt.php?page=155,3211 Economic: http://www.indexmundi.com/netherlands/gdp_per_capita_(ppp).html http://en.wikipedia.org/wiki/List_of_countries_by_GDP_(nominal)_per_capita http://ec.europa.eu/economy_finance/eu/forecasts/2010_autumn/nl_en.pdf Social/ Cultural http://www.ceua.org/into/country/598/1168411906d23754.html http://en.wikipedia.org/wiki/Holland
57
Technological http://www.internetworldstats.com/eu/nl.htm Political http://www.bpb.de/themen/3HTMB3,0,0,EU_stellt_Klimaziele_vor.html
Competitors Analysis http://www.philips.com/about/company/history/index.page http://www.philips.com.au/c/livingcolors/11647/cat/#tabState=0;filterState0=LIVIN GCOLORS_SU_AU_CONSUMER%3Dtrue
7.2.2 Marketing Plan Marketing Mix http://www.sanoma-adverteren.nl/nl-web-Tarieven_facts-PrintTarieven_Formaten.php?brand=86 http://www.bedrijvenbeurs.nl/downloads/2011/Inschrijfformulier_Oss.pdf http://www.drukland.nl/drukwerk/flyersdrukken.html?gclid=CIPwicu15agCFUcm3goduiATDg
7.2.3 Logistics http://www.clii.com.cn/ http://detail.china.alibaba.com/buyer/offerdetail/911320224.html http://51sole303048.51sole.com/ http://www.jctrans.cn/English/ http://www.tnt.com/express/nl_nl/site/home.html 58
http://office.flexas.com/property_details.vc?propertyId=4582
7.2.4 Financial Plan Sales Forecast http://www.cbs.nl/enGB/menu/themas/bevolking/publicaties/artikelen/archief/2011/2011-3365-wm.htm http://www.cbs.nl/enGB/menu/themas/bevolking/publicaties/artikelen/archief/2011/2011-3365-wm.htm http://www.cbs.nl/enGB/menu/themas/bevolking/publicaties/artikelen/archief/2008/2008-049-pb.htm
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