final report after correction

8/7/2019 Final Report After Correction

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INTRODUCTION

In this capstone report have proposed a business plan for a food retail store BACHAT FOOD STORE

Dharamshala city in Himachal Pradesh. After conducting a survey we found out that there was a go

opporthunity for food retail store.

(Dharamshala) Himachal Pradesh: -

This is a hill station lying on the spur of the Dhauladhar range about 17 kms north- east of Kangra tow

Dharamshala is also the headquarter of the Kangra district.

General information about Dharamshala city.

Languages Spoken: Hindi, Punjabi, English and Pahari are understood and spoken by the peopl

engaged in tourism trade

Shopping centres: Kotwali Bazar, a general shopping area, and McLeod Ganj for Tibeta

handicrafts.

Area:5739 sq. km

Population:13.39 lakh (distt. Kangra) Altitude:Between 1250 m to 1550 m (Dharamshala)

Temperature:Max. 38 C in June; Min. 0 C in Jan.

Annual rainfall:Varies between 290 cm to 380 cm second highest rainfall in the country.

Best season:January to June; September to December. July-August is rainy season.


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FOOD RETAIL STORE

1. Name of the store: - |BACHAT FOOD STORE}2. Address: -- Center point, Kotwali Bazaar. Dhramshala. Distt. Kangra (HP) Pin cod

176215.Near by Degree college Dhramshala or Cricket Stadium and civil line Dhramshala.

3. E-mail : -- [email protected].

BACHAT FOOD STORE VISION

To become a well organized retail food store in Himachal Pradesh and provide good services & fresh

vegetables to the customers.

BACHAT FOOD STORE MISSION

Profitable growth through superior customer service, quality management and commitment and to makewell organized supply chain management of our store.

OBJECTIVE

To provide organized retail food store to customers.

To provide a wide range of product at reasonable prices.

Offer foods without artificial colors, flavors, or additives.


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SURVEY REPORT

Unorganized stores.

Opportunity for organize (classify) store.

Increasing disposal income of customers or people.

Educated group of people.

People are health conscious.

Untapped market.

MARKET SIZE

Population size: - 20,000. Of Dharamshala.

Shopping centers: - Kotwali Bazaar, a general shopping area, and McLeod Ganjh for Tibeta

handicrafts.

Area: - 29km.

Best season: - January to June; September to December. July-August is rainy season.

LOCATION

Center point, kotwali bazaar. Dhramshala. distt. kangra (HP) Pin code: 176215.near by degree

college Dhramshala or cricket stadium and civil line Dhramshala.


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RESOURCES

In Dharamshala city there are so many resources forfood retail store because in Dharamshala there are s

many places from where we can get enough vegetarians or grocery. Places are:-

Bhagsunag, 3 kilometer from Mcleodgunj.

Kunalpathri, 3 kilometers from Dharamshala.

Palumpur, 32 kilometers from Dharamshala.

Kangra, 22 kilometers from Dharamshala

Gaggal, 12 kilometers from Dharamshala etc.

These are some major areas from where we can get the all kinds of vegetables.

COMPETITORS ANALYSIS

Note: - Unorganized retailers are competitors (Thhelewala or Reddiwala.)

Strengths

Easily available.

Pricing.

Low cost.

Movable.


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Weakness

Lesser quantity

No quality checks.

No hygiene.

(Thhelewala or Reddiwala) Bachat Store (Our store)

BUSINESS POTENTIAL

Untapped market.

Initiator in organized store in Dharamshala.

Customer disposable income.

KEYS TO SUCCESS

Sell a broad range of products. Maintain quality standards.

Provide 100% satisfaction to our customers.

Fulfill the customer need.

Commitment.


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MARKETING PLAN

Customers and target markets

1. Local people.

2. Hotel & hostels.

Initial marketing techniques

1. Bill board.

2. Pamphlet marketing.

3. Local cable television.

Fig 1.1: - Special offer

FREE HOME

DELIVERY ON

PURCHASES ABOVE

RUPEES 150.


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Fig 1.2: - Billboard poster (advertisement)


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MARKETING MIX

1. Product: - Vegetables & other food items.

2. Price: - As per market price.

3. Place(also referred to as distribution) :- Displays in-store

4. Promotion: - Marketing. techniques.

MARKETING STRATEGY SAMPLE

Activity Priority Start date

(Months)

Completion date

(Months)

Festivals High Aug. Feb.

Functions High Aug. Feb.

All season Average Jan. to Dec. Jan. to Dec.


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OPERATION PLAN

STRUCTURE OF CHANNEL

FARMERS FARMERS FARMERS

COLLECTION POINT

BACHAT STORE BACHAT STORE BACHAT STORE

1. The vegetables are collected in villages from farmers directly.

2. Payment and quality checks are done in (C.C.) collection centres.

3. If the capacity is not fulfilled by the collection centre then Kangra city Mandi will be used as a source.

4. From the collection centre vegetables are transferred to our Bachat store.


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STRUCTURE OF CHANNEL

Non- vegetarian food items: -

Non-vegetarian food items like eggs, meat etc. will be procured from the local poultry farms

local people. The quality of chicken, fish , mutton etc. will be ensured before processing the sam

for sale.

OUTSOURCING

Places are:-

Bhagsunag, 3 kilometers from Mcleodgunj.

Kunalpathri, 3 kilometers from Dharamshala.

Palumpur, 32 kilometers from Dharamshala.

Kangra, 22 kilometers from Dharamshala

Bachat store (Collection center)

Collection centers

Farmers


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Gaggal, 12 kilometers from Dharamshala etc.

These are some major areas from where we can get the all kinds of vegetables.

MATERIAL HANDLING

Material handling work will be minimized without sacrificing efficiency or the level of service required of the

operation.

Material movement will be fully integrated to form a coordinated, operational system which will be

packaging, unitizing, order selection, transportation.

Food store racks

1. Modular construction stand alone gondola.2. Single side access.3. Box section pillars.4. Plain, perforated, mesh, laminated board.5. Available in various combinations.


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STORAGE SYSTEMS

1. Goods will store on the backside of the store and it will help in minimum of handling.

2. Materials will store in boxes (paity).

Fig 1.4: - Heavy duty pallet racks

3. Goods will stored on wood shelves and fiberboard so that material will be protected from temperature

moisture etc. Material will kept in such a way that material will easy to pick and easy to counting and

easy to checking.

4. Safety and security of the material will be ensured.

5. Medium Duty Racks.

Fig 1.5:- Medium duty rack


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STORE ENVIRONMENT.

Store atmosphere

Store environment or atmosphere will be based upon customer need. Whenever customers will come

to our store he/she will go with good shopping experience as well as services.

Fig 1.3: -Internal environment of store

1.Smell & lightingWe will use light red tubes and white colors tubes in a circle design in our food store. In th

day time we will use less lighting and in the night or evening we will use full lighting as per th

requirement of the weather or situations.

2.ColorIn our food store we will use light red color & less light green color as well as cream color because

these are the most attractable color basically for food retail store.

3.MusicMusic will be play as per the trend & citys customer behavior.

StoreAtmosphere

Smell & LightingColor

Music


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SAFETY & SECURITY

1. Close circuit television (cctv):-

CCTV cameras will be observing the store 24 hours.

Laser beam cameras which is new technological. These cameras can observe in night or without light als

2. Fire alarm will be set in the store.

3. Security guard will stand at the entrance.

4. Unnecessary material will not be allowed to inside the store.

5. Cameras and security guard will help to stop shoplifting.6. There will be fire exit for any kind of emergency.

THE THREE (3) CS OFFOOD SAFETY

The 3 Cs are:--

Clean.

Combat Cross Contamination (also known as Separation).

Chill.

The 3 Cs are the tools that we use to ensure that our food is healthy.


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HUMAN RESOURCE PLAN

MANAGEMENT TEAM

Mukesh Rana and Gurmit Singh will be responsible for staffing and daily operations. Tarun Khat

and Rahul Jaiswal will be responsible for product ordering, stocking.

2 or 3 cashiers.

12 workers.

Hours of operations: 15 hours 6 am to 9 pm.

Education level of employees will be standard 10th or 12th.

Manager

Staff

Labor


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PAY STRUCTURE

Salesperson : - Rs. 3500 /- pm.

Cashier : - Rs. 4500 /- pm.

Security person : - Rs. 3000/- pm.

Sweeper : - Rs. 2500/- pm.

(CUSTOMER RELATIONSHIP MANAGEMENT)

Customer suggestion by mail (bachatstoredharamshala.com).

Grievance box in store.

Quick response.

CORPORATE SOCIAL RESPONSIBILITY

Awareness toward the environment. Save the tree. (Bill boards.)

No polybags will be given special bags of biodegradable material will be used.


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MOTIVATION

Based on the performance of BACHAT STORE.

Appreciation for individual.

FINANCIAL PLAN

Operating and capital budget.

Sources of fund.

Income statement.

Cash flow.

Balance sheet.

Working capital.

SOURCES OFFUND

The initial investment , Rs 20,00,000/-.

We are four partners. Every person invest 2.50/- lakhs.

Remain 10 lakhs we take loan from bank.


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OPERATING AND CAPITALBUDGET

y Initially Rs20,00,000 /- will be invested for the following requirements :

Rent

Wages

Raw materials

Transportation

Miscellaneous

INCOME STATEMENT

An income statement, also called a profit and loss statement, is a financial statement for companies

that indicate how revenue (money received from the sale of products and services before expenses are

taken out) is transformed into net income.

PROF

IT &L

OSSA

CCOUNT OF

BA

CHA

TF

OOD STORE

Rs. In Lakhs

Particular Mar-11 Mar '12 Mar-13 Mar-14 Mar-15

Income

Sales 36 41 46 52 57

Expenditure

Raw materials 10 12.5 13.75 15 20

Employee cost 1.8 1.8 2.1 3 3.5


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Other manufacturing

expenses 4 4.5 0 0 4

Selling and admin

expenses 2 2 4 5.35 4

Miscellaneous expenses 2 2 3.75 5.65 4

Total expenses 19.8 22.8 23.6 29 37.5

Operating profit 16.2 18.2 22.4 23 19.5

Interest 1.44 1.08 0.96 0.72 1.5

PBDT 14.76 17.12 21.44 22.28 18

Depreciation 2 1.5 3 3 3

Profit before tax 12.76 15.62 18.44 19.28 15

Tax 3.3 4 4.7 5 3.3

Reported net profit 9.46 11.62 13.74 14.28 11.7


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BALANCE SHEET OFBACHAT STORE

RS. In Lakhs

Particular. Mar-11 Mar '12 Mar-13 Mar-14 Mar-15

Sources of funds

Reserves 11.5 12.75 14.25 15 13.25

Loans 10 9.25 8.75 9 13.75

Creditors 3.75 4.25 6.1 6.75 7.25

O/s exp. 4.25 6.25 6.1 6.9 7.5

Total liabilities 29.5 32.5 35.2 37.65 41.75

Application of fund

Investment 10 10.5 11.5 11.95 14.65

Sundry debtors 5 6 6.75 6.7 5.45

Cash at bank 4.5 5.25 5.95 6.25 7.4

Current assets 10 10.75 11 12.75 14.25

Total assets 29.5 32.5 35.2 37.65 41.75


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PRO FORMACASH FLOW

Sales = Rs. 36,00,000 /-

Disbursement = Rs. 21,60,000 /-

Opening balance = Rs. 2,50,000 /-

Closing balance = Rs. 17,50,000 /-

WORKING CAPITAL

Working Capital is considered a part of operating capital. It is calculated as current assets minus current

liabilities.

Working capital = current asset current liabilities

Working capital = 10, 00,000-800000= Rs 2, 00,000

LEGALASPECTS

1. We will be registered as organized food retail store.

2. We will take license from Himachal Pradesh government.

3. Registered under sales tax.

4. We will run our food store under ethical codes.


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STORES RECORDS

Retail point of sale software.

Visual payroll (for employees pay scale)

Manual book or records

final report after correction

Documents