Online Retail Store Business Strategies - Example

Entrepreneurship and small business Business plan Group members name: Khaled Delaimej Alhameli H00154898 Falah Al Menhali H00155992 Hamad Ali H00155245 Khaled Jamal Al Breiki H00132802 CLR Table of Contents Table of Contents 2 Executive Summary 4 Business Plan Report: An Online Retail Store 5 Introduction 5 General Company Description 5 Company Vision 6 Company Mission 6 Objectives 6 Location 7 Form of Business Ownership 7 Partners 7 Customers 8 Suppliers 8 General Operational Resources (not costs) 8 The Process of Sales 8 The System of Payment 8 The Mode of Delivery 9 Environmental Analysis 10 Political Factors 10 Economic Factors 10 Social Factors 11 Technological Factors 11 Legal Factors 11 Environmental Factors 11 The SWOT analysis 11 Strengths 11 Weaknesses 12 Opportunities 12 Threats 12 Market Research 12 Population 13 Age 13 Population by Nationality 13 Online Purchasing 13 Factual figures 14 Competitor analysis 15 Green Bird boutique 15 Clientele 15 Structure and Location 16 Online presence 16 Galleria 16 Clientele 16 Structure and location 16 Online presence 16 Weakness 16 Marketing Plan 17 Product Positioning 18 Pricing Strategy 19 Place or Distribution Strategy 19 Promotion Strategy 20 Financial Plan 21 Start-up costs 21 Break-Even analysis 22 Cash flow statement for year 1 22 Appendix 26 Sample Questionnaire 26 Executive Summary Abu Dhabi is the most populated city within the United Arab Emirates (UAE). Its main income comes from sales from oil and gas. Therefore, there is high income within the Abu Dhabi economy. The resulting high purchasing power has led to a thirst for high end products and in particular, retail products. This has been noted through the increase in demand of high end brands of retail products such as Gucci, Calvin Klein and Christian Dior. The success of these sales have been aided by the diverse culture found in Abu Dhabi. Most city residents are expatriates with the local population constituting only about 26% of the entire population. The diversity has created multilateral tastes within the retail sector thereby encouraging sellers to expand their range of sales. With the growth in the demand for specific brands, higher end products are continuously stocked in local markets. There is also a growing increase of online shopping worldwide with a significant number of shoppers in various nations preferring purchases through the internet. Savvy companies have been quick to optimize this rise in online shoppers by posting their products on their websites and inviting reviews and ratings of their products. The online marketing and assessment has encouraged most shoppers who depend on such reviews to make their shopping decisions. The business aims at taking advantage of domestic production and satisfying the need of the middle income, local based earners in the short-run. The primary medium for sales and marketing shall be through the internet, and this shall be done online via the business' website that shall be designed. Products on sale shall be posted on the website including their brief description. The customer shall purchase the product online and shall also be allowed to review and rate the product. Promotion of the store’s products shall also be done through online media such as Facebook, Twitter, Pinterest and google+. Business Plan Report: An Online Retail Store Introduction General Company Description This business shall deal in fashion, majorly clothes and its accompanying accessories. The main store will be located in Khaldia Street, Abu Dhabi and this will host the general manager. This store will be used for general enquiries about the company operations and for the collection of items bought through the online system. Thus the business will use the internet and its various features like cloud computing and social sites to promote, market and sell its products. Photos of these products will be placed on the company’s website, Facebook account, Pinterest or Instagram and customers allowed access through forming user accounts. The customers will then add their desired items to a ‘wish list’ that will later be processed and the items posted to the customer after payments have been made. These items to be sold will be bought from local producers and stored in the company warehouse located in Khaldia Street in close proximity to the store. It will house the sales manager and the warehouse manager. Upon receipt of the proof of payment, the warehouse manager avails the items requested while the sales manager makes an invoice of the purchases made. The company shall offer a variety of clothing to our clientele over the internet. These include both male and female wear. Company Vision To become a leading global company offering different fashion designs for a growing generation. Company Mission Our mission is to serve the apparel needs of people of all sizes with the best fashion selection, service, fit and value. Goals 1. To obtain complete trust of our customers. They need to know that their information given online is secure 2. Adhere to fair competition standards so as to give our customers the lowest prices possible 3. Shift our profits and sales mix to larger operating channels and brands. 4. To conduct business with the aim of generating cash flow so as to maintain appropriate liquidity and financial flexibility. Objectives 1. To establish a sufficient market penetration by selling more products in the current market 2. To ensure a continued online presence though constant dicusions in the company website 3. To sell current products to target markets that usually purchase higher end goods. 4. To be a pioneer in organizing cultural events to promote and market our products. Location The store will be located in Khaldiah Street in Abu Dhabi due to its proximity and centrality to the target population. The company shall also have a warehouse within the same vicinity. However, the company will not engage in any form of production since it will acquire and sell ready-made items from local producers in Abu Dhabi. Once the products are bought from the respective producers, they shall be stored in the warehouse. Here, the inventory manager shall take photos of the products and upload them into the company’s website, Pinterest, Facebook and Instagram account. The store shall not have a physical location for displaying its products. However, there shall be an address availed to customers where they can collect their purchases and make further payment and delivery related enquiries. Form of Business Ownership The business will take the form of a partnership with an initial four member partnership. The start-up capital will be evenly distributed among the partners and thus each partner will have an equal vote on the running of the company activities. Therefore, primary owners of the business will be partners with the secondary owners being its customers and suppliers. Partners For efficient service provision in the company, the four partners will handle key managerial positions of the company. The inventory manager shall be in charge of purchasing products from the local producers and uploading them. The sales manager shall be in charge of sales related services and ensuring a continuous flow of the accumulated sales. The sales coordinator’s role shall include ensuring that there is a functional link between sales, inventory and the quality of the online sites. Customers The local middle class Abu Dhabi population is the primary target for the business. This is because the population’s interest in local attires has been increasing due to the attires’ fair prices and the continual promotion of local products by the local administration. Also, the continued interest in marketing and promotion of local products by the local population makes online shopping lucrative as it saves on awareness campaigns and advertisement costs (Elking 17). Suppliers The company’s primary suppliers shall be local manufacturers. However, the company strategizes in the long run to take into consideration foreign suppliers as local demand and diversity for the products increases. General Operational Resources (not costs) The Process of Sales This process shall involve the customer visiting the store’s website. They shall then proceed to subscribe to the website freely with minimum identification information such as a username, email address and their location. From the accounts created, the customers can then browse the store’s products and add whatever pleases them to a ‘ Wish list’ where they can access their favorite products later. The customer can then make an order for their products of choice. The sales coordinator will then take a note of all products within the wish-list and avail them to the sales manager. Upon receipt of proof of payment, the sales manager will then prepare the required items to be posted to the customer or to be stored awaiting collection by the customer. The System of Payment The payment system to be implemented shall be through the transfer of funds to the company’s bank account. The company shall have an account in most major bank branches so to make it convenient for customers to make payments. On making payments, the company’s account shall be automatically updated. A copy of the transfer document shall then be sent online to the company, and the sales manager shall be notified immediately. The sales manager shall then prepare an invoice order and immediately send it to the inventory manager to prepare the delivery. This method was chosen due to the sensitivity of most customer to sending their credit card details over the internet. Most customers feared online financial fraud. In addition, the electronic system has extra inherent charges that make it an expensive medium of purchases. Finally, the method is beneficial to the local population since transfers done locally are more convenient and carry minimal charges (Elking 18). However, this method of payment may be re-evaluated depending on customer demands. The Mode of Delivery Once the order is received, invoiced and payments made, the product shall be mailed to the owner within a period of 12 hours. Alternatively, the customer can be asked to collect the product physically from the store’s offices. This serves to reduce the cost of delivery to the customer. After the customer receives the product, they shall confirm this by checking a box on the store’s website. Any complaints or comment about the product can also be made directly to the office. Environmental Analysis Abu Dhabi is densely populated (Central Intelligence Agency [CIA]). It is also highly industrialized and has a free market economy. Although its competitive edge comes from the exportation of oil, the city has diversified its economy to include promotion of tourism and development of its financial sector. The city also houses most industrial and political activities and, therefore, acts as a major cultural and commercial hub due to its position as the capital city. Moreover, it is one of UAE’s most expensive cities (CIA). Since it is the headquarters of various multinational corporations, the average income within the city is relatively high and thus this has made the city to become an advanced metropolis. The following is the PESTEL analysis of Abu Dhabi. Factors considered in the analysis include technological, political, social, environmental and legal factors. Political Factors Each Emirate is governed by its own government (CIA). Thus, each government can fully exploit the potential of their Emirate hence boosting their economic potential. This also works to reduce the level of red tape for starting or running a business. The ruling family of each of the Emirates belongs to the Supreme Council that has the mandate of policy making and electing a president and a vice-president (CIA). Therefore, there is adequate representation of each Emirate thus ensuring equitable resource distribution. Economic Factors There is a greater opportunity for investments within the private sector that is attributed to an increase in spending by the government on job creation and infrastructure. The Abu Dhabi wealth is based on gas and oil exports and thus higher incomes among citizens (CIA). Transparent, modern and competitive economy with an effective and vibrant communication technology and information sector. This provides a fertile environment for nurturing a growing business due to the availability of raw materials and adequate communication flow. Social Factors Business is greatly influenced by Islam (CIA). Even though female clothing is defined by Islam as a religion, these clothing come in many shades and designs due to multiculturalism and a free, open market (CIA). Technological Factors Internet, telephone lines, television and radio broadcasting stations. Legal Factors All evidence presented before the courts must be in Arabic. Usually, there is only a single judge who hears the cases and no juries. The court proceedings are time consuming (CIA). Adequate labor laws that govern working conditions within Abu Dhabi such as the prohibition of child labor or using prisoners to obtain cheap labor. Environmental Factors Abu Dhabi has sandy deserts, tropical climates and coastal areas (CIA). The SWOT analysis Strengths Size advantages The size of the economy in Abu Dhabi helps to lower the risks of investment hence the larger the economy the more resources investors have at their disposal. low production costs Lower costs of production translates to higher profits for firms within Abu Dhabi. – Customer loyalty Customers within the apparel industry are loyal to producers who have favorable pricing strategies such as occasional discounts. Weaknesses In order to expand business opportunities, one must have a network of people. Before any business transaction occurs, trust must be gained. Internet security is not air-tight. Expensive delivery services Opportunities A huge export market. Presence of trade missions (CIA). Ease of business startup, free trade zones Presence of new markets with the increase in multinationals. International expansion thus leading to improved markets. Threats Strict, inflexible dress code that may limit diversification (CIA). Stiff competition. Presence of substitutes and cheaper clothing. Strict government regulations governing business start-ups. Market Research Data on the research was collected primarily through the use of questionnaires. These were distributed randomly to shoppers in major stores across Abu Dhabi. In order to obtain accurate results, these questionnaires were handed to shoppers who had just completed their shopping experiences and still had fresh ideas about their shopping preferences. Prototype Facebook, twitter and Instagram accounts were also created and invited respondents were asked to comment on similar questions as appeared in the questionnaire. A wide range of photos of prospective products were also displayed, and the respondents asked to comment on the various ways of online shopping and payment methods. Population Abu Dhabi serves as an ideal business location due to its high population. This high population translates to a high market for the products on sale. Population figures from the CIA’s World Fact Book indicate that the total population of the UAE is at 4.621 million. Out of this 34.4 percent (1.590 million) live in Abu Dhabi. Of these, 1.060 million are males while 530 thousand are females (CIA). Age A large proportion of the population is relatively young, with a median age at 29.4 by 2008 (CIA). The median age of women is relatively lower at 24.6. The largest proportion of females are in the adult category between the ages of 30-34. This is followed by young adults at the ages of 20-29 representing 21 percent of the entire population (CIA). The difference in the population between males and females is, however, caused by the large number of expatriates living within Abu Dhabi. Population by Nationality The UAE strongly relies on the presence of foreigners for its success in business. By 2010, only about 26 percent of the total Abu Dhabi population consisted of locals while the rest were foreigners (CIA). Foreign nationals are, however, not granted citizenship under any condition, and this creates a divide between foreigners and nationals. The foreigners are thus not obliged to adapt to the local culture, tradition or religion (CIA). Online Purchasing 77 percent of online shoppers are believed to rely on ratings and reviews to make their purchasing decisions (Johnson). Thus, brands that sell their products over the internet can take advantage of this and reach out to these shoppers to influence their online conversation patterns and optimize their profitability. This may be achieved through getting the customers perception of products and using the feedback to meet their needs while maximizing sales (Johnson). Furthermore, 10 percent of the world's population has embraced online shopping and is more common in Japan and the US among other developed nations (Johnson). Online shopping has grown significantly in most countries and presently accounts for about 2.0 - 3.0 percent of their aggregate shopping hence becoming a recognizable driving force behind the growth in the retail industry (National US-Arab Chamber of Commerce [NUSACC] 3) Factual figures Of all the respondents questioned: 35% believed that they can be classified as experts in terms of their internet usage; 61% of the respondents were actively utilized the internet; 76% of the respondents acquired more information about a product from the internet after having seen the product being advertised; 64% noted that they always noticed the web page first before looking at the product being advertised signifying how the internet promoted brand awareness among shoppers; 45% of the respondents admitted to responding to an attractive ad for a new product; 81% of the shoppers were more inclined towards a particular brand due to influence from the internet; 83% of the shoppers became aware of a new product over the internet and 68% of them later went ahead and purchased the brand; 59% of the shoppers were influenced to switch brands over the internet; 49% admitted to having ever purchased a product online in the past 12 months and most items purchased ranged from books, electronics, software, gifts and clothing; and 14% of the respondents said they were not contented with their online purchases while 50% said they would consider making online purchases in the future (United nations Conference on Trade and Development [UNCTD] 50). However, some users refrained from making online purchases mainly because: They wanted to first see the product physically before making any purchases. They had genuine security concerns about online purchases. They lacked credit cards. The UAE is the most promising destination for luxury clothes and accessories. Among the top luxury brands for shoppers are the Calvin Klein, Gucci and Christian Dior brands. The UAE is the second largest purchaser of Gucci at 31 percent, Chanel at 21 percent and the third largest purchaser of Giorgio Armani at 19 percent (UNCTD 50). In the global rankings, the UAE and by extension, Abu Dhabi, topped in believing that global brands are better than common standard brands. Piyush Mathur, the regional managing director of Nielsen in the UAE, was quoted as saying, “Consumers here are willing to pay high prices for quality products that they believe will provide instant social status. As future survival depends on brand longevity, it’s no surprise that the world’s leading luxury names have flocked to open stores, restaurants and hotels in the UAE in recent years,” (Butts and Pal 2). UAE’s obsession with luxury brands has led to higher economic growth within the region and helped to portray the region as the ideal tourist destination. Hence, luxury clothing has become embedded in the UAE lifestyle and thus propelled UAE cities including Abu Dhabi to becoming leading international shopping destination. (Butts and Pal 2). Competitor analysis Green Bird boutique This may prove to be the strongest competitor when initiating the business. Green Bird Boutique has been in existence since 1988, and it deals trades in the latest fashion. Due to the boutique’s longevity, they have loyal clientele who are enthusiastic about their products (Engage). Clientele The company boasts of over 35,000 clients from about 50 nations. With the diverse taste and preference that each clientele brings, the store boasts of variety and style to meet each of the client’s needs and has an enormous complex that can accommodate large masses of shoppers (Engage). Structure and Location Green Bird boutique is located in the main shopping district of Abu Dhabi. It occupies two floors and deals mostly in high end fashion products. Among its main range of products are gowns that are suited for functions such as weddings, proms and parties. The retailers also obtain their products mainly from New York, Paris, Milan and London (Engage) Online presence The company has an online presence on Facebook, Twitter, Instagram, Google+ and Pinterest (Engage). Galleria Galleria sits in the new central business district. It has over 130 esteemed brand outlets located in the world (Galleria). It has a variety of designer labels and high end products that are very popular throughout the world. Clientele Clientele ranges from locals to expatriates from Dubai and other UAE countries. Due to its famous reputation for quality and hosting of various brand outlets, it stands tall as a tough competitor (Galleria). Structure and location It is located in the central business district, Galleria’s position is convenient for serving numerous clientele who go about their business in the city (Galleria). Online presence Like Green bird, Galleria has an active online presence with a large number of followers in Facebook, Twitter, Pinterest and its website (Galleria). Weakness The two retailers, however, mainly focus on high end products while targeting a specific clientele. This makes the price range of their products to be expensive for most ordinary buyers who are the main targets of our business. Also, most of their products are imported and thus does not promote local manufacturers. Our company, however, seeks to acquire most of its products from cheaper markets and this will make its products relatively affordable and easily acceptable among the local populations. We will also focus on products that take care of specific tastes ad preferences of the diverse communities that are present in Abu Dhabi. This will enable us to capture the markets of different groups who prefer clothing and apparels indigenous to them but do not fancy designer outfits. Lastly, we plan to organize traditional gala events to promote various cultures which are also our target markets while promoting our clothing lines at the same events. This will be the first event of its kind since it is not practiced by our rivals. Marketing Plan To start a business, marketing analysis helps to establish the customer’ needs and their purchasing behaviors (Lo 18). Table1 Yearly Projected Profit and loss Year 2014 2015 2016 Sales 503538 553892 609261 Operating costs 348237 361092 374542 EBITDA 104947 137411 173811 Taxes, Interest and Depreciation 52725 61365 74786 Net Profit 52222 76046 99025 Figure1 (Adapted from Ferguson’s. EXAMPLE Business Plan) From the above table, the company expects a strong rate of growth at the initial year of operation. The business is expected to expand rapidlyduring the first three years in operation. Thus, the business expects to employ strategies that will target the middle class polpulation within the target market. Product Positioning The company will sell clothing products and their accompanying accessories such as necklaces, women handbags, belts for men or shoes with sizes ranging for all consumers. During the early phase of running the business, the company shall provide free delivery of products for customers situated at mot one hundred kilometers from the supply offices. The shop will also provide warranties for some of its products and 24 hour customer service line for any shopper with inquires or comments on the running of the shop. Our target market shall be majorly middle-class shoppers who demographically are between the ages of 20 to 34. In order to attract this group of shoppers, the shop’s strategy is to develop an attractive website since most shoppers rely on the outlook of the website before paying attention to the product being advertised. The products will be wrapped in disposable bags in support of green products and to portray the ethical awareness of the company. New products will be introduced quarterly into the market but after extensive consultation with shoppers majorly through their views over social sites and through online communities. This ensures their active participation and helps them feel recognized and appreciated in running the business. Pricing Strategy The pricing of the products shall be done on a competitive basis. Thus, the products will be sold at their current market prices. The prices of children-ware will range from Dh250 to Dh2500, depending on the brand. This is because most children have become brand sensitive, and thus prices are bound to fluctuate depending on the brand in season. In 2010, the purchase of children wear spiked by 16% since parents were more willing to acquire designer outfits for their children. The adult wears are more volatile and thus the prices shall range depending on the available brands. The prices shall range from Dh300 to Dh5000. Premium pricing will also be employed depending on the customer, product and place. This is because the price of one product might be considered too high by the consumer without first understanding the quality of the product. Also, the price of another product may be considered too low and thus discouraging. Therefore, the sales person or medium should be at hand to explain to the shopper the rationale behind a given price tag. Place or Distribution Strategy The company shall optimize the use of the online platform for making its sales. Moreover, photos of available products shall be posted online on various platforms such as Facebook, Twitter, Instagram, Pinterest and Google+, managed by the retail store but shared out to the public. Shoppers will be able to form user accounts to enable them access all the features and information concerning the product of their choice. Upon deciding on which product the shopper is interested in, he will be allowed to place an order for the item in question from his account, and this will reflect on the store's database. This will enable the store to start making the product ready for the customer. The customer will then make the necessary payment to the store’s bank account and send the transaction document online to the company’s web account. This will alert the sales manager who will make the necessary arrangement to have the product delivered to the customer. On receipt of the product, the customer will be required to check on the ‘receipt’ box on the company website from his account to confirm delivery of the product. The website shall also allow for the review and rating of the products including complaints and other comments about the product, delivery system or the company in general. While delivery will be done to the customer on the address provided on the online accounts, the customer will be given an option of collecting the items physically from the stores at a reduced price. Promotion Strategy The partners will set up the company website, Facebook, Instagram and Pinterest accounts that will include details of the company vision, mission and description. They will then hire a suitable warehouse and store and then engage local producers. The warehouse and store will be of standard quality in order to entice producers to the company. Upon receiving products from the producer, the inventory manager will take photos of the items and post them on the company website that is linked the company’s social sites. The company will use its online customers as its primary instruments in its promotion campaigns. Customers will be encouraged to send an invite to the store’s website to as many friends as possible. On the store’s website, the new user will be asked how they heard about the store and the customer who invites most other customers will be given a percentage discount on a certain range of products purchased (Talpau and Vierasu 32). Also, the store will reward a minimum number of initial subscribers, possibly the first 100 subscribers with vouchers, for products within the store. This is meant to establish a foundation of customers that the store can use to further its growth. Another strategy to be used by the store is the rewarding of loyal customers. Customers will receive credit points on any item purchased. These points shall accumulate on any purchase made and the customer shall be allowed to redeem them for products of their choice. Different products are worth different amount of points. Lastly, the company’s website will have discussion forums meant to discuss issues concerning the company’s products, distribution, services, and prices among other range of issues. The company can also use this platform to seek the customer opinion before introduction of policies such as price revision or introduction of a new product to the market (Noack 56). Financial Plan Start-up costs Financing Equity Contributions 10000 Total Equity Financing 10000 Banks and Lenders Banks and Lenders 100000 Total Debt Financing 100000 Total Financing 110000 Assumptions Year 1 Short-Term Interest Rate 9.5% Long Term Interest Rate 10.0% Federal Tax Rate 33.0% State Tax Rate 5.0% Personnel Taxes 15.0% Break-Even analysis This analysis is used to calculate the level at which the revenue received by the company is equal to the costs associated with the receipt of that revenue. Below is the break-even analysis of the company in the initial year. Unit sales price $10 Monthly Fixed Expenses: less Cost of Goods Sold Rent 2,000 Material and labor 3 Utilities 1,000 less Other Variable Exp: Salary 3,000 Commissions 1 Other 4,000 Total Fixed Exp. $10,000 Unit Contribution Margin $6 ($10-$3-$1) CM%($6/$10) 60% B/E = Fixed Expense/CM% B/E = $10,000/0.6 Monthly B/E Sales = $16,667 = 61,2167 AED Cash flow statement for year 1 Cash flow statement is a company’s financial statement that shows the amount of cash that has been generated and used by the company in a given period. Below is the company financial statement for the initial year of operation. Month 1 2 3 4 5 6 7 8 Cash from operations 4,072 4,185 4,298 4,411 4,524 4,637 4,751 4,864 Cash from receivables 0 0 0 0 0 0 0 0 Operating Cash Inflow 4,072 4,185 4,298 4,411 4,524 4,637 4,751 4,864 Other cash inflows Equity Investment 10,000 0 0 0 0 0 0 0 Increased Borrowings 100,000 0 0 0 0 0 0 0 Sales of Business Assets 0 0 0 0 0 0 0 0 A/P Increases 3,159 3,159 3,159 3,159 3,159 3,159 3,159 3,159 Total Other Cash Inflows 113,159 3,159 3,159 3,159 3,159 3,159 3,159 3,159 Total Cash Inflow 117,231 7,344 7,457 7,570 7,683 7,796 7,910 8,023 Cash Outflows Repayment of Principal 517 521 525 528 532 536 540 545 A/P decreases 2,075 2,075 2,075 2,075 2,075 2,075 2,075 2,075 A/R increases 0 0 0 0 0 0 0 0 Asset Purchases 57,500 0 0 0 0 0 0 0 Dividends 0 0 0 0 0 0 0 0 Total Cash Outflows 60,092 2,596 2,600 2,603 2,607 2,611 2,615 2,620 Net Cash flow 57,139 4,748 4,857 4,967 5,076 5,185 5,295 5,403 Cash Balance 57,139 61,887 66,744 71,711 76,787 81,972 87,267 92,670 Month 9 10 11 12   Cash from operations 4977 5090 5204 5317 TOTAL Cash from receivables 0 0 0 0 56330 Operating Cash Inflow 4977 5090 5204 5317 56330 Other cash inflows Equity Investment 0 0 0 0   Increased Borrowings 0 0 0 0 10000 Sales of Business Assets 0 0 0 0 100000 A/P Increases 3159 3159 3159 3159 37908 Total Other Cash Inflows 3159 3159 3159 3159 147908 Total Cash Inflow 8136 8249 8363 8476 204238 Cash Outflows Repayment of Principal 549 553 557 561   A/P decreases 2075 2075 2075 2075 6464 A/R increases 0 0 0 0 24900 Asset Purchases 0 0 0 0 0 Dividends 0 0 0 39431 57500 Total Cash Outflows 2624 2628 2632 42067 39431           128295 Net Cash flow 5512 5621 5731 -33591 Cash Balance 98182 103803 109534 75943 75943 983639$ =3,612,845AED (Adapted from Ferguson’s. EXAMPLE Business Plan) Works Cited Butts, Melinda and Akash Pal. Nielsen News Release. Sharjai: Nielsen, 2008. Print. Central Intelligence Agency. The World Factbook. OpenGov, 5 Feb. 2013. Web. 22 May 2014. Elking, Karen. Customer Acceptability for Online Fashion Shopping. Hamburg: Diplomarbeit, 2001, Print. Engage. Green Bird. Green Bird Group, 2013. Web. 22 May 2014. Ferguson, Larry. EXAMPLE Business Plan. Ashland Entrepreneur Center, 2008. Web 24 May 2014. Galleria. Galleria Beautiful Clothing & Accessories. n.p., 2014. Web. 23 May 2014. Johnson, Nathania. Local.com Launches Ratings and Reviews Engine. Search Engine Watch, 18 June 2008. Web. 23 May 2014. Lo, Y. Comparing Fashion Innovators and Non-innovators' Characteristics and Perceptions of Online Shopping: The Case of Taiwan. New York: ProQuest. 2008. Print. National U.S.-Arab Chamber of Commerce. “Investment: Flowing in, Flowing out.” US-Arab Trade Line, 15.3 (2007): 3-38. Web. 24 May 2014. Noack, Sascha. Business Guide: Doing Business in Dubai & the United Arab Emirates. Norderstedt: Books on Demand, 2009. Print. Swiss Business Hub GCC. United Arab Emirates at a glance. Switzerland Global Enterprise, 2013. Web. 23 May 2014. Talpau, Alexa and Traian Vierasu. Online Marketing Strategies – UK and Romania. Bulletin of the Transylvania University of Brasov, 5.54 (2012): 32-34. Print. United Nations Conference on Trade and Development. World Investment Report 2006. FDI from Developing and Transition Economies: Implications for Development. Geneva: United Nations Publications, 2006. Print. Appendix Sample Questionnaire 1. Please indicate your age bracket a) Below 18 b) Above 18 but below 40 c) Above 40 2. How often do you use the internet? a) Rarely b) Daily c) Twice a week d) Never 3. Have you heard about online shopping? a) Yes b) No 4. If your answer is (a) for 3 above, have often do you do online shopping? a) Always b) Twice a month c) Never 5. How do you agree with the statement? Online shopping is risk. a) Agree b) Strongly agree c) Disagree d) Strongly disagree 6. Selection of goods available on the internet is very broad. Do you agree with the statement? a) I agree b) I strongly agree c) I disagree d) I strongly disagree 7. Do you disagree with the statement? The information given about the products and services on the internet is sufficient. a) I agree b) I disagree 8. Online shopping provides proper and accurate product description. a) I agree b) I strongly agree c) I disagree d) I strongly disagree 9. Have you used any online payment system? a) Yes b) No 10. Please write any other comments. Read More