Unit 2 Individual Project - Coursework Example

The of the business is “Special Occasions”. I intend to sell special occasion gift baskets. I would like to locate the store in the midst of activity that is where individuals must observe in their trip to the gas station or on their way to the train station. My major purpose for writing this letter is to entice you to invest in this venture not only because I am your relative but because I have a winning strategy for the success of this venture. The main purpose of this business will be to improve the quality of life of individuals within my community and to maximize profit.

My first short term goal involves offsetting the initial cost of the gift baskets. Secondly, I intend to obtain a clientele which is part of a niche market. Thirdly, I intend to be strategically located in midst of the hum of the community. Three intermediate goals include maintaining the competitive edge in the niche market; having enough cash/profit on hand to begin to repay my relatives and other financers and thirdly, employing more personnel because of the expansion of the business. My long term goals invovle: continuation of the advertising campaign, expanding the business to two other locations, online marketing is one such location and finally, developing products to the specific needs of client.

The market opportunity for selling this product in my area is fantastic in that there are many individuals between the ages of 16 to 55 On analysis of the market I have discovered that there is a market niche in this age group because of the survey I conducted by randomly choosing every 10th individual on different days of the week. In addition, an online survey was conducted and the results indicate that there is indeed a need for this type of store in my area. For the customers targeted the store would be located within easy access to their daily errands of the grocery store and the train station.

These individuals are so busy that they prefer to utilize a gift bag rather than the traditional wrapping of gifts. My strategy is to embark upon aggressive marketing strategies in the first year to allow these young people to know of my product and my location. I expect to gain at least a 10 percent profit in the first year of operation. The personnel employed would be young, attractive individuals who would persuade with their looks and their marketing skills which would be provided by me initially and later a marketing expert.

My suppliers have already been contacted. They are willing to offer me a large discount on the initial purchase of their products. They are also willing to create a line exclusively for my taste and therefore my customers’ needs. In terms of my competitors, I will eventually be creating gift baskets to the specific needs of my customers, therefore customers will receive custom-made bags at Special Occasions where everyone is special and unique. I expect other competitors to jump on the success trail that I would be leaving.

However, this would be after I have developed my niche of one hundred percent satisfied customers. Thus, new comers to the market would have to literally bring flames to the establishment in order to shift my loyal customers. However, where there to be a shifting I intend to again adopt a strategy of aggressive marketing to override the input of the newcomers. Funds are still required to acquire the specific store front that is strategically located in the target population area. I intend to be financially viable within the first three months of opening thus, defying traditional theory of no profit until after a certain lifespan of the business.

To maintain competitive advantage the initial price of the product will be slightly below the market price of gift baskets. Initially, the baskets would be delivered to individuals who are within five to ten minutes walking distance from the location of the establishment. In the intermediate and long term this delivery service would include customers who are located in different parts of the world. This delivery system would be propelled by the use of marketing strategy across the World Wide Web.

In the short term brochures, newspapers, radio and television advertisement would be utilized. My three sisters are not only volunteering their services to manage the marketing plan free of charge in the short term, but they also have direct contact with personnel in the radio and television media.ReferencesKoteinkov, Vadim. (2008) Startup Business Plan. Retrueved January, 24 2008, from http://www.1000ventures.com/business_guide/bp_startup_byvk.html