A Constructions Mall

Emerging Markets White Paper Woxsen Business School

1. Elevator Pitch: India is poised to be worlds 3rd largest construction market by 2025 by Global Construction Perspectives and Global Construction 2025 Report. A one stop solution for all kinds of construction activity involving creative designs along with high quality expertise from various builders, vendors, interior designers, labours, engineers at your service under one roof. A specialized virtual 3 D model designing for all our customers to look and feel their product outcome before implementation. It also provides health, fitness, entertainments services for our daily household living and Creates value for customers by considering Vasthu, Feng shui etc. 50% of the demand for construction activities in India comes from the Infrastructure sector, while the rest comes from Industrial activities, residential and commercial development etc. Indian Construction Industry value is estimated to be more than US$ 126 billion.2. Vision and Mission:Our vision is to increase the standard of living and become a world leader in supply chain of construction material in India. Our mission is to collect database of suppliers and services available in each and every city in India by providing true value for money. It is a win win situation for both suppliers and stakeholders. We ensure to give quality for customers and gaining trust. 3. Market & Industry Environment: Urban areas NRIS Corporate people Professionals Retired/ old age people4. Value Proposition: 3 D model designing services and virtual prototype Time saving Samples Convenience from your own place Quality with commitment Delivery and transportation Rating , feedback, database, expertise, testimonials5. Key products: Complete home and lifestyle furniture Construction material Living services Step by step solution

6. Differentiation: Including services Quality and top class levels of builders, architects, engineers, designers etc.7. Competitive scenario/ Entry Barriers: Existing home living malls Customer base Investments Vendor base Labor management8. Business Model: Construction is all about people and managing them, so the business model is developed into network effect. To run the business we can target our customers with our large database of vendors and inversely vendors are attracted through our potential high value customers. Basically we are focusing on NRIS designing their projects at the convenience of their homes without actually coming down to India. We have two models in generating revenues, firstly it will be freemium model for providing contacts, Vasthu services, virtual 3d etc and then we have our premium model for our various services and products. 9. Market Traction:The GDP of India is increasing rapidly every year, Real estate is one of the fastest growing sectors of the Indian economy and contributes about 5 per cent to India's gross domestic product (GDP).The country's economic growth is driving the demand for real estate in India. Demand for residential space is expected to grow at a compound annual growth rate (CAGR) of 19 per cent between 2010 and 2014 - Tier 1 metropolitan cities are expected to account for about 40 per cent of this.

All most all constructions are involved with cement, the utilization of cement in India is increasing in every year. This implies that the constructions in India is increasing. The demand for the construction materials and for labour services is increasing day by day. Time is the most important constraint for people in the urban areas, so need for the one stop solution for their constructions is increasing. The following data shows the utilization of cement in India:

The construction Industry Value and Infrastructure share is shown below:

It shows clearly that the Indian construction market is becoming huge, our strategy to penetrate this huge market is to create a website initially and increase the data base of both customers and vendors.This data base creates a network effect that is the as customer base increases the vendor base also increases and vice versa. So, to increase the customer data base freemium model is adopted where few services like Vasthu, 3D model design. Similarly vendors are also encouraged to register in the website by providing free registration initially.

A small survey has been conducted on vendors and customers to know whether they are interested in this kind of business model. The following are the results obtained in the survey:

10. Management Team & Organization: Marketing HR IT Finance & Accounting Logistics Customer Support Maintenance11. Business Plan/High level FinancialsInvestments in website designing, market research, labour training, mall constructions, legal approvals and registrations. We expect the return on investment according by time value of money and capital budgeting process.12. Capital: Angel investors VCS Advertisements Tie up with vendors exhibition13. Risks & Gaps: Heavy capital investment Labor maintenance Market penetration Local government Delivery chain delay Right location Scalability8