mali shellin shop co.,ltd

8/7/2019 Mali Shellin Shop Co.,Ltd.

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Mae Fah Luang University

Mali Shellin Shop

Prepared by

Jamjuree Chaisoda 5131205007

Bodin Techanan 5131205028

Krittawit Muangsakul 5131205090

Jeerawas Yantadilok 5131205101

Chaowarit Wankprakobkul 5131205028

Submit to

Aj. Chaiyawat Thongintr

Project Feasibility Study and Evaluation, 1203302

2nd semester; Academic year 2010


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Preface

This Business project conducted from Mali Shellin Shop to perform the small-

business enterprises for proposes by use in operation system and find Co-investor in business.

For this report talks about business information that investor should know about operator in

business of Mali Shellin Shop as well as Introduction, Industry profile, Market feasibility

Study, technical feasibility study, financial analysis, risk management, and summary of

project.

This report present about problem analysis and resolvable include of

recommendations benefit for investors to invest. Mali Shellin Shop hopes this business

project can be build confidence and create a great profit return for the investor.


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Acknowledgement

We would like to acknowledge and extend my heartfelt gratitude to the

following persons who have made the completion of this report possible. For their many

helpful suggestions, we would like to thank Aj. Chaiyawat Thongintr the lecturer in School of

Management Business Administration Program, Project Feasibility Study and Evaluation,

1203302. Thank you for being a teacher, consultant and information giver. We also would

like to acknowledge the unique and invaluable contribution for the internet that allows many

specialist accesses to write very useful information on the website, and we can pick some of

them to be rewrite in this report. Special thanks are due to the website that provide about

cloths information. Thanks for all member in our group. Most especially to other group

friends who answer our question and give the advise when we face with problem. We deeply

grateful thank to Mae Fah Luang University for giving us this opportunity. Finally, for their

support and encouragement, a note of thanks goes to all people who involve with this project.


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Executive Summary

This project is the study the feasibility of the sea product that will operate at

Hua Hin in names Mali shallin shop. This project study about the background and situation ofthe sea product, the market feasibility study that analyzes on the general market, competitors,

customer and competitions, the technicals feasibility study that including the management

analysis. The financial analysis and the risk management analysis

From the analysis of market, we found that the purchasing of the people in the

Hua Hin is more include the tourist cover all of our targets. And we understand more about

the customer demand, also marketing needs. The core competency of the Mali shallin shop is

can sell the goods that lower than the competitor but still high quality because we will

selective the suppler that offers the low price of product as much as possible. We also provide

the variety ways of purchasing product to the customers, really we advert about the customer

satisfaction. From analyzing the financial analysis, Mali shallin shop has strong in financial

statement which represent in the income statement, cash flow statement, and the balance

sheet statement. From study the risk management in both business and financial risk, there is

low level of risk for Mali shallin shop. We are already prepares for them in the easy way to

consumption and the customer can understand easily.

From study all about this project we confident that this project must be feasible

and we will gain more profits for sure.


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3.2 STEEP Analysis.......................................................................................................................... 21

3.2.1 Social.................................................................................................................................... 21

3.2.2 Technology .......................................................................................................................... 21

3.2.3 Economy .............................................................................................................................. 23

Thailand Economic Monitor 2010 ..................................................................................................... 24

Graph changed in period 3 years( January 2549-October 2551)........................................... 25

3.2.4 Environment......................................................................................................................... 30

3.2.5 Politic ................................................................................................................................... 32

3.3 Competitor Analysis (3C Analysis) ............................................................................................ 34

3.3.1 Competitor Analysis ............................................................................................................ 34

3.3.2 Customer Analysis ............................................................................................................... 34

3.3.3Competitive Analysis ............................................................................................................ 35

3.4 Marketing strategy (STP analysis ............................................................................................... 35

3.4.1 Segmentation........................................................................................................................ 35

3.4.2 Target market ....................................................................................................................... 36

3.4.3 Position ................................................................................................................................ 37

3.5 Marketing Mix Strategy .............................................................................................................. 38

3.5.1 Product ................................................................................................................................. 38

3.5.2 Place (distribution channel) ................................................................................................. 38

3.5.3 Price ..................................................................................................................................... 39

3.5.4 Promotion............................................................................................................................. 39

3.6 Sale Forecast ............................................................................................................................... 41

Table 3.6.1 Sale Forecast in 1st year ............................................................................................. 54

Table 3.6.2 Sale Forecast in 2nd year............................................................................................. 55

Table 3.6.3 Sale Forecast in 3rd year ............................................................................................. 56

Table 3.6.4 Sale Forecast in 4th year ............................................................................................. 57

Table 3.6.5 Sale Forecast in 5th year ............................................................................................. 58


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Figure 3.6.1 Sales forecast ............................................................................................................ 59

3.7 Marketing Expense ..................................................................................................................... 60

Table 3.7.1 Marketing Expense in 1st year.................................................................................... 60

Table 3.7.2 Marketing Expense 2nd year ....................................................................................... 61

Table 3.7.3 Marketing Expense in 3rd year ................................................................................... 62

Table 3.7.4 Marketing Expense in 4th year ................................................................................... 63

Table 3.7.5 Marketing Expense in 5th year ................................................................................... 64

3.8 Conclusion .................................................................................................................................. 65

Chapter 4............................................................................................................................................... 66

4. Technical Feasibility Study............................................................................................................... 67

4.1Production and Operations Analysis............................................................................................ 67

4.1.1 Product Characteristics ........................................................................................................ 67

4.1.2 Production/Services Process ................................................................................................ 69

4.1.3 Location ............................................................................................................................... 70

4.1.4 Facility Layout ..................................................................................................................... 71

4.1.5 Mali shellin shops equipment ............................................................................................. 72

4.1.6 Logistic Management........................................................................................................... 78

4.1.7 Facility Management............................................................................................................ 78

4.1.8 The Mali Shellin Shop logo ................................................................................................. 82

4.2 Cost of investment ...................................................................................................................... 83

4.2.1 Pre operating cost................................................................................................................. 83

4.2.2 Source of Fund ..................................................................................................................... 84

4.3 Investment Cost .......................................................................................................................... 84

4.3.1 Building, Equipments, Tools ............................................................................................... 84

4.3.2 Depreciation ......................................................................................................................... 85

4.3.3 Management Analysis.......................................................................................................... 90

Conclusion ...................................................................................................................................... 101


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Chapter 5............................................................................................................................................. 103

5. Financial Analysis........................................................................................................................... 104

5.1 Profit/ Loss Statement ............................................................................................................... 104

5.1.1 Table of Profit statement in 1st year ................................................................................... 104

5.1.2 Table of Profit statement in 2nd year .................................................................................. 105

5.1.2 Table of Profit statement in 3rd year................................................................................... 106

5.1.4 Table of Profit statement in 4th year ................................................................................... 107

5.1.5 Table of Profit statement in 5th year ................................................................................... 108

Figure 5.1.1 Profit ...................................................................................................................... 109

5.2 Cash Flow ................................................................................................................................. 110

5.2.1 Table of Statement of Cash Flow in 1st year ...................................................................... 110

5.2.2 Table of Statement of Cash Flow in 2nd year ..................................................................... 112

5.2.3 Table of Statement of Cash Flow in 3rd year...................................................................... 114

5.2.4 Table of Statement of Cash Flow in 4th year...................................................................... 116

5.2.5 Table of Statement of Cash Flow in 5th year...................................................................... 118

5.3 Income Statement.................................................................................................................. 120

5.3.3 Table of Income Statement in 3rd year ............................................................................... 122

5.3.4 Table of Income Statement in 4th year ............................................................................... 123

5.3.5 Table of Income Statement in 5th year ............................................................................... 124

5.4 Balance Sheet............................................................................................................................ 125

5.4.1 Table of Balance Sheet in 1st year...................................................................................... 125

5.4.2 Table of Balance Sheet in 2nd year ..................................................................................... 127

5.4.3 Table of Balance Sheet in 3rd year ..................................................................................... 129

5.4.4 Table of Balance Sheet in 4th year...................................................................................... 131

5.4.5 Table of Balance Sheet in 5th year...................................................................................... 133

5.5 NPV and IRR ............................................................................................................................ 135

5.6 Break Even Point ...................................................................................................................... 135


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Chapter 6............................................................................................................................................. 137

6. Risk management............................................................................................................................ 138

6.1 Business risk............................................................................................................................. 138

6.2 Malt Shellin Shop risk.............................................................................................................. 138

6.2.1 Economic risk.................................................................................................................... 138

6.2.2 Environment risk................................................................................................................ 138

6.2.3 Competition........................................................................................................................ 139

6.3 Measuring the impact and likelihood of risk............................................................................. 139

6.3.1 Identify Threats .................................................................................................................. 139

6.3.2 Estimate Risk..................................................................................................................... 140

6.3.3 Manage Risk...................................................................................................................... 140

6.4 Appropriate action for risks ...................................................................................................... 140

6.4.1 Risk of purchasing stolen things ........................................................................................ 141

6.4.2 Risk of robbery .................................................................................................................. 141

6.4.2.1 FUJIKO cameras............................................................................................................. 141

6.4.3 Risk of health and safety of employee and Risk of accident by work............................... 141

6.4.4 Risk of flood-waters........................................................................................................... 141

6.4.5 Risk of fire ......................................................................................................................... 142

6.4.6 Risk of accident by logistic ................................................................................................ 144

6.5 Financial risk............................................................................................................................. 144

6.5.1 Expense and cost analysis .................................................................................................. 144

6.6 Conclusion ................................................................................................................................ 150

Chapter 7............................................................................................................................................. 151

7. Summary ......................................................................................................................................... 152

Reference ............................................................................................................................................ 154

7. World Bank, n.d. Thailand economic monitor December 2010 (online) .................................... 154

http://www.worldbank.or.th ............................................................................................................ 154


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8. Bank of Thailand, n.d. GDP growth rate December 2010 (online) ............................................ 154

http://www.bot.or.th/Thai/Statistics/Pages/graph.aspx ................................................................... 154


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Chapter 1

Introduction

Mali Shellin Shop

Project Feasibility Study and Evaluation 1203302

Mae Fah Luang Universi


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1. Introduction

1.1 Background of the project

The project is under the name of Mali Shells Shop. This project is businesses about

selling the sea products are include pearls, shark fins, and shells. The teams of projects

creators are decided to do business at Hua Hin, because Hua Hin is located in a good

atmosphere. Hua Hin Town is on the coast of Hua Hin District. With an area around

86.36 km, the town has 50,169 inhabitants. It is a popular beach resort getaway for Bangkok

residents.Hua Hin is a popular place for shopping including contemporary art handicrafts,

hand-woven printed cotton, silk fabric silk weaving, embroidery, basket making, pottery,

wood carving, gemstones and jewelry (including sapphires and rubies). There is also a large

shopping mall called Market Village.

There are many parts such as Thai Royal Government, local government support Hua

Hin as the city of travelling by created three important festivals are included Thailands

International Kite Festival ,Hua Hin Jazz Festival and Hua Hin Vintage Car Rally. These

three festival can lead the tourists both Thai and foreigners to visit all year round. (1) From the

supporting by the government can lead the tourists visit there and created the tourists

expenditure around 8,000 billion baht.(2)

Moreover the World Bank forecast the economy of

Thailand growth 6.2% for 2010. It can be benefit for the opportunity to invest to do the

business, because the popular of Hua Hin is not decrease (Hua Hin is Top 5 of tourist

attraction of Thailand), people have ability to pay. So, the growth of opportunity to do

business will grow as well.

Furthermore, Hua Hin is the great business areas. So, there many companies are set in

there. It creates many jobs, many positions, many working person such as tour companies,

hotel, food industries, sport and willingness industries, Information Technology companies

and also the school (teachers). That is the great opportunity for our business, because the

employees are one of the targets of our product especially for women. Hua Hin also is the

area of Thai- Chinese people as we know that this group very cares their health. So, our

business tries to response them by giving a great product to them.

All the best support from the Thai Royal government to promote tourism, the good

atmosphere of Hua Hin by itself, the great area of business, and the growing of economy can


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be the good opportunity for Mali Shellin Shop to do business in the term of selling sea

products (as a souvenir) by standing with the luxury products.

Sources:

http://en.wikipedia.org/wiki/Hua_Hin#Location (1)

http://thai.tourismthailand.org/where-to-go/cities-guide/destination/hua-hin/ (2)

1.2 Project Objectives

1. In order to study the possibility in establishing a new souvenirs (sea products) shop at

Hua Hin.

2. In order to study the trend of sea products business growth especially pearl, shark fin

and shell.

3. In order to study the trend of profit /return on investment for getting highly and

rapidly profit.

4. In order to study sea products (shark fin, pearl, and shell) competitors stores or

distribute channels at the area.

5. To study size of sea products (shark fin, pearl, and shell)\ market demand supporting

around the West and Thailand.

1.3 Benefits of Project

1. Able to apply the knowledge into sea products business under the business rapidly

growing.

2. Able to apply the plan for getting high profit/return on investment.

3. The plan is most feasible and high success in real business that able to guide career in

the future.

4. Know the methods for making high volume in sale.

5. Able to plan and manage the business to success.

6. To be a quality businessman.

7. High ability to apply communication skills to business.

8. Able to be the interesting of sea product shop in the Hua Hin (the west of Thailand).
http://en.wikipedia.org/wiki/Hua_Hin#Locationhttp://thai.tourismthailand.org/where-to-go/cities-guide/destination/hua-hin/http://thai.tourismthailand.org/where-to-go/cities-guide/destination/hua-hin/http://en.wikipedia.org/wiki/Hua_Hin#Location


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1.4 Activities/Time Frame

Acitities Implementation (week)

November December January February

Group matching and select group

name

Discussion for select business

project and Set a company name

Submit topic to teacher

Chapter 1 Introduction

Background and Significance

of the Project

Project Objective(s)

Benefits of Project

Activities/Time Frame

Chapter 2 Industry Profile

Nature of Industry

Situation of Industry

Product/Service (in General)

Vision of your Organization

Mission

Business Strategy

Chapter 3 Market Feasibility

Study

Market Analysis

STP Analysis

Marketing Mix Strategy

Sales Forecast/Profit

Estimation

Marketing Expenses

Conclusion

Chapter 4: Technical

Feasibility Study

Production andOperations Analysis-Product

Characteristics (in Detail)- Specification, Feathers,

Dimension, Life Time, etc.- Production/Services

Process- Location

- Facility Layout-Machine/Tools/

Equipments


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- Logistics Management- Facility Management

- Machine/Tools/Equipments

Cost of Investment- Pre-Operating Cost

Investment Cost- Land- Buildings- Equipments- Tools- Depreciation

Operating Cost- Raw material Cost- Direct Labor Cost- Overhead

Management AnalysisAdministration Cost(Electricity, Telephone,Fax Salary, etc.)-Conclusion

Chapter 5: Financial Analysis

Profit/ Loss Statement

Cash Flow

Balance Sheet

Income statement

Balance Sheet

IRR

NPV Break Even point

All financial Statements are in

monthly base. Minimum 5 year

statements are requiredChapter 6: Risk Management

Chapter7 : Summary


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Chapter 2

Industry Profile

Mali Shellin Shop




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2. Industry Profile

2.1 Nature of industry

Nowadays, shell business has many companies. Shell business has domestic market

and international market. Each country has more competitive and continue to trend in

markets demand which most shell use the useless to bring as a benefit by making as a

products for add value with natural resource which shell business not separate in Thailand,

because it happen many problem from bad economy, shell have expensive cost. Someone is

no important of shell.

In Asia made more export market which some country have high power buy, so

company have change in production for respond of consumers, exporting of market often

make to know a way of countries market more.

Many company have many competitive which many companies want to think new

idea including material not repetition, so educating method of shell is more important for

changing is many products but education method of shell not easily. Sometimes use a long

term. Nowadays become export product continues because foreign have markets demand.

Shells a product that can use with other products it can decorate in resort, hotel, food

shop which give important with equipment of a dining-table such as spoon. Chopsticks,

plants, picture frame, lamp. These can integrate with nature, then it increase sale with brand

which each product has variety to make happen attraction with consumers. So, first make the

business shell to accept in market are maintaining a good quality of product and has variety

of form for choice with consumers. Moreover, friend or important person suggest new thing

and give helping that make own business growth.

Shell business can growth continues and separate of society. In Thailand receive a

shell from other countries which have a good quality and cheap price which shell can make

many products. Its popular for consumers to bring these product used in daily life. These

product is thing as a necessary of consumers. So, bring shell create to products not destroy

the environment because shell can breed in nature as quickly which make not happen

problem to lack a material.


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2.2 Situation of industry

The sea product industry play role in the Thailands economy. It can create the

income to the local communities who are suppliers of these kinds of sea products. Mali

shellin Shop provides high quality of sea shell product in variety kinds of shell and product

from the sea. The situations of industry--- nowadays the industry continue growth and plan

for expand branch cover all country and international. Mali Shellin Shopdo business legally

by learns law of every countries which do business and avoid the illegal. Also, concern the

life cycle of sea life; Mali supported fisher industry department to breeding shell, fish, crab,

etc. Moreover, almost every pieces of shell come from restaurant and hunting of fish man by

collect the growth shell and release baby shell. Mali Shellin Shop establish factory

located near capital where can easy to import and export and hire local communities to

purchase products for us. Product must be perfect as it should be and give the standard price.

This ways help for local communities get the job and better life.

Value of shell someone said when shellfish die they left shell for make world more

beautiful, how about human what we left for the world Shell has value more than someone!

Mali Shellin Shop is located in Hua-Hin,Thailand, every product have pass quality

check before sale. Company also sale to many shell shop and export to the America, Europe,

and Asia. Mali has plan to expand shop in many countries to serve service to customer and

expand market for more benefits.

2.3 Mission

Our company is MALI SHELLIN which we consider about to make customer satisfy

by offer quality of sale products. Our company has many shells, and design as a product for

respond of consumers by improvement color of product has bright. We divided staff in

working as a team for facility. Each person has responsible in local communities where we

live in working. Then, Leader help corporate or team goal by helps staff themselves. We

focus improvement, progress and achievement of company and suggest creativity and

innovation of product for wide range of markets which have educate method of shell. Our

company has contact to buy and selling between countries. So, company has many kind of

shell in produce is products.


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We commit to work with area business, community, and neighbors by working

together that support a sustainable future and lead social and economic that improvement in

the community we do business.

Our company has trend to maintain the natural resource for people that important of

environment. We worked together with neighbors to improve local environment quality.

2.4 Vision

Go forward strongly to be number one in Hua Hin

2.5 Products and services

2.5.1 Products

Mali Shellin shop is the company that sale the sea product Shell Shark fin and pearl

.So the place that company settle is in the Hua hin, so its far from the beach just only 500

meters. The Mali shellin shop is decorate to be the sea vintage style to make the customer

interesting our shop and believe about the quality of the product and the shop separate to be 3

floors the first floor is the Shell products , the second floor , is the Shark fin and the last floor

is pearl .

Product of the Mali Shellin shop sale about the product of the sea . Mali Shellin Mali

company product has guarantee about the quality and our product come from the deep south

sea .

For the Shell products we have provide the good quality conch shell and we guarantee

about the beautiful of shape and color of the shell. Customer can buy for bring it to be

souvenir or worship. Who have cumulative or believe in the myth of conch They believe the

line of the conch is the line of god finger and the conch will give the good luck for the people

who be owner and they use it in many sacred ceremony for the example married ceremony.


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2.5.1.1 Example of Conch


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Second is the pearl .The pearl of our shop is come from the south sea and come from

natural 100 percent and the color of pearl is very beautiful. Mali shellin shop have the

guarantee paper about the quality of the pearl.

2.5.1.2 Example of pearl product


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The third product is the Shake fin product. This products customer buy it for bring it

to be the ingredient of the food such as fish maw soup , shake fin soup or the herb medical

for treatment some disease.

2.5.1.3 Example of Shark fin product


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2.5.2 Service

Mali Shellin shop sales the sea products such as shell shark fin and pearl .So the place

settle is in the Huahin. So, it is far from the beach just only 500 meters. The Mali shell shop

is decorated to be the sea vintage style to make the customer interesting our shop and believe

about the quality of the product and the shop separate to be 3 floors the first floor is the Shell

product , and the next is the second floor ,so for the second floor is the Shark fin and the last

floor is the pearl .

At the Mali shellin shop we provide relaxation corner for customers such as the

internet for the customers to find the information about our products and there have sofa for

the customer for chill out.

2.5.3 Uniform of employee

For employee, the shop provides them the

uniform 3 set per each. Male and female are the same

from of uniform, because we want to show the unique

of the shop and fluent. Black trousers and yellow shirt

with blue sleeve are the uniform pattern. The day ofweekend can wear the proper dress with whatever dress

they want, because we want them to feel relax during

the day working.

2.6 Business Strategy

This strategy include the following four keys strategies

1.Cost of leadership

The competitive strategies, we are the shop with the specific target market. Our shop has

three kinds of sea products to serve for customer. In the same time leader has to strict cost

control. And try to avoid bad customer that will affect to our feeling. Our shop always

concern about reducing costs to a minimum, such as products, development, marketing and

management. To save the money that we will invests.

2.Differentiation


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As a competitive of the shop aimed at a wide target market, and try to focus on wide

target market to attract more customer come to our shop. We have to add some value to our

product for price increase and produce different value the distinctive above the competition.

After our product became the distinctive it can make loyalty customer that good for makemore benefit from the word of different. The principle that our used to produce different

product include the following 6 things such as features should to different from other, next

performance quality we will do it after we finish plan yet, Conformance Quality mean

something that different should match to target market, Durability mean new products will

better than the old one, next repair ability mean when the product have some problem or

cannot work you can repair it, and the last important thing to attract the customer and

motivate them to purchase it is Style. Additional, we have the service about after-sale service

and also used technological innovation to improve our product.

3.Cost focus

We are has ability to reduce costs at the level of production. And also focus on the

narrow market with product quality standards and reliability at a price cheaper than the

competition. Low cost of inventories is one of benefit, because we import from Ranong,

Thailand.

4.Differentiation focus

We are focus on specific group of customer with the kind of product. Find something

that different from center market. However customer service is a special group.

2.7 Corporate Strategy

Mali Shellin Shop expects to gain profit or success in the business. Therefore, we

designed to set three main of strategies which are growth strategies, diversification grow

strategy and stability strategy in the corporate level.

1. Growth strategies

1.1 Concentration growth strategybecause our company see that the shells shop has

good opportunity to grow in the market both internal and global market. The products are

different from each other competitors by itself, but however we have to create the way to

maintain our market share as much as possible. The concentration growth strategy is very suit

with the environment of the selling shells at present and also future. The market is growing


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rapidly, our business see that the demand of our products more. We will continue to maintain

our market share by; doing the marketing research, develop the quality of products,

marketing, and emphasis on the specific market.

1.1.1 Marketing research; the Mali Shellin Shop focus on two kinds of marketing

research which are quantitative and qualitative. For quantitative, we will random the

representative of customers such as sex, age and behavior. For the qualitative, questionnaire

is one of good way to know about the attitude of customers to our products. We are strong

believe that if we exactly know what is the target group, what are they want, so we will able

to offer them the right ones to them.

1.1.2 Develop the quality of products; many of customers always thought about

shells quality is low because of they might think the shells products easy to broke. So, our

shop tries to show the high quality of our products to warranty that we offered good quality

products as we advertised. We using new technology with environment friendly to test the

quality of shells before we order the shell products. We try to make the customers satisfy or

delight with our products under the name Mali Shellin Shop.

1.1.3 Marketing plan; Mali Shelling Shop uses 4 Ps to do marketing plan for maintain

old customers and attract new one. Products, we also ready warranty in our quality of ourproducts and also the different characteristics by itself from other competitors. We are strong

in the products image. Place or distribution channel, we concern about the comfortable of

customers to order or purchase our products. So, we open many ways to contact with us such

as personal to personal, internet via e-mail address; [email protected], mobile

phone; 083-3017555. Price as we known the price of shells are expensive because it has

some good characteristic by nature and also effect to Thais belief but we are setting price

suit with the quality of products. Promotion is one of the important things to make the

customers know our products. We will advertise products through web site, leaflet, bill board,

giving souvenirs, thanks party and brochures to attract the customer especially foreigners

Thai people who believe in shell, women who love pearl, old people, hotel and restaurant and

high class people who consume shark fin. Not only that we are also launch the sales

promotion to the customers to make them feel like satisfy with our shop.

1.1.4 Emphasis on the specific market; We set the specific market because we need to

reduce cost of advertising.


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2. Diversification Growth Strategies

2.1 Concentric diversification; the Mali Shellin Shop will launch the new products

into market because we want to offer the choices of marine products to the customers to

choose with right with their need. Our shop know that making more choices to customers can

reduce cost of advertising, because when customers come to buy shell products and that

moment they will see other marine products. It can make them know our shop not sell only

shells product but also other interesting marine products. The reason why we design to launch

new marine products is selling all of these products no need the new shop because the natures

of products are the same. It can benefit to our shop.

3. Stability strategy; Mali Shellin Shop try to make our business stable in the market

by still run business in the way we are. We concern for two kinds of stable strategy which are

no change strategy and profit strategy.

3.1 No change Strategy, Mali Shellin Shop no need to waste time with rethink about

new strategy because it can create the high cost of edit the strategy often. So, we try to run

business under our strong good strategy, but if there is some new situation that impact to our

shop, we have to set new strategy to up to date.

3.2 Profit strategy, our shop try to cut off the cost of doing marketing research and

also research for developing of product, because will maintain our standard of products. We

want to make the products as the original one to attracts customers under the name Mali

Shellin Shop.


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2.8 Functional strategy

Functional strategy consist of 5 levels

1. Marketing is the process of performing market research, selling products and

services to customers and promoting them advertising to further enhance sales. It generates

the strategy that underlies sales techniques, business communication, and business

developments. Marketing is used to identify the customer, to satisfy the customer, and to

keep the customer. With the customer as the focus of its activities, it can be concluded that

marketing management is one of the major components of business management. For our

company used marketing researched to serve consist of observation, interview, and behavior

for customer

2. Logistic

Logistics is the management of the flow of the goods, information and other resources

in a repair cycle between the point of origin and the point of consumption in order to meet the

requirements of customers. Logistics involves the integration of information, transportation,

inventory, and occasionally security. Logistics is a channel of the supply chain which adds

the value of time and place utility.

3. Finance

Finance is the science of funds management. The general areas of finance are business

finance, personal finance, and public finance. Finance includes saving money and often

includes lending money. The field of finance deals with the concepts of time, money, risk and

how they are interrelated. It also deals with how money is spent and budgeted.

4. Human resource

Human resources is term used to describe the individuals who comprise the workforce

of an organization, although it is also applied in labor economics to, for example, business

sectors or even whole nations. Human resources is also the name of the function within an

organization charged with the overall responsibility for implementing strategies and policies

relating to the management of individuals for example the human resources. Manager should

take care all of employee equally.


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5. General management

The General Management is concerned with the leadership and management of the

corporation as a whole. This concern about the personal values and qualities of effective

general managers and enterprise leaders, the philosophies, values, and strategies that inform

successful enterprises, and the relation of enterprise to the broader community and other

external constituencies.


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Chapter 3

Market Feasibility Study

Mali Shellin Shop



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3. Market Feasibility Study (Marketing Analysis)

3.1 General Information of Hua Hin

281 kilometers south of Bangkok, Hua Hin, which literally means stone head in Thai,

is the oldest beach resort of the country and is still very popular. Clean white sand, crystal

clear water and a tranquil atmosphere has continued to attract tourists in search of peaceful

and relaxing holidays.

The town was originally known as Ban Samoe Rieng, or Ban Laem Hin (Stony Point

Village). The construction of a railway station in the city as part of the Southern Railroad in

the reign of King Rama VI resulted in making Hua Hin stand out from many quite fishing

villages. In addition, the construction of a Summer Palace of King Rama VII totally

transformed the village into a high-society resort town for royalty. Even today, the Royal

Family continues to reside at the Palace for part of the year.

Hua Hin's consequence came with the opening of the Railway Hotel (known today as

the Sofitel Central Hotel), an elegant Victorian-style resort hotel, and also the countries first

standard golf course. A cluster of royal and high-society residences gradually became more

visible resulting in the transformation of the whole village into the first seaside resort of the

country, where visitors could enjoy swimming, fishing, and golfing in the country's first

standard golf course.

Hua Hin is a well-established beach destination with word-class facilities coupled

with a true sense of Thai hospitality. Despite its expansive growth and development as a

luxurious destination, the splendor of Hua Hin remains intact. Remaining content in itself,

Thailand's oldest seaside resort has never sought international recognition. It has continued to

provide a peaceful and relaxed sanctuary in a picturesque environment that comes with a true

sense of historical identity.

How To Go to Hua Hin

By car

Drive along Highway No. 35 (Thon Buri-Pak Tho)passing Samut Sakhon and Samut

Songkhram Provinces and then take Highway No. 4 to Hua Hin Total distance is 123


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kilometers. Alternatively, it is possible to travel via Nakhon Pathom andRatchaburi

Provinces.

By Air

SGA Airlines provides 3 -4 flights daily to Hua Hin (45 minutes). For more

information, please contact SGA Airport office Bangkok (662) 664 6099 or Hua Hin (6632)

522300. Website : www.sga.co.th

By Bus

Buses from Bangkok's Southern Bus Terminal cost 110 baht for 1st class (air-

conditioned), 85 baht for 2nd class (air-conditioned) and 61bahts (ordinary). The trip takes

about 3 1/2 to 4 hours. Various agencies on Khao San Road in Bangkok operate minivans to

Hua Hin for150 baht per person. The bus leaves for Bangkok from a station next to

Siripetchkasem Hotel. In addition, there are air-conditioned buse sleaving for Chumpon

Province (125 baht, 4 hours), Surat Thani Province(210 baht, 7hours), Phuket Province (305

baht, 10 hours) and KrabiProvince (280 baht, 9 hours)

By Train

The trip takes about 3-3/4 hours from Bangkok; 1st class fare is 202 baht (rapid and

express only), 2nd class is 102 baht (rapid and express only) and 3rdclass is 44 baht. Call

1690 for more details.

Getting Around

Localbuses/ songthaews from Hua Hin to the Hat (beach) of Khao Takiap, KhaoTam and

Suan Son cost 7-10 baht / person. These buses run from around 6a.m. until 5.50 p.m.

Buses to Pranburi are 10 baht and leave from the same area of Chomsin Road.

Samlors may cost 40 baht / trip in to town.

Motorcycle sand bicycles can be rented from a couple of places on Damnoen Kasem

Road near the Jed Pee Nong Hotel. Motorcycle rates are from 150 baht to200 baht per day for

100cc and 250 baht to 300 baht for 125cc.Occasionally larger bikes - 400 to 750cc - are

available for 500 bahtto 600 baht a day. Bicycles are 30 baht to 70 baht per day.


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At the fishing pier visitors can charter boats to Ko Singtoh for 800 baht aday. On Hat

Takiap it is possible to get cheaper fares for 700 baht.

3.2 STEEP Analysis

3.2.1 Social

Social changed quickly by having network on modern and expand country by

changing economy more involve changing education, public health. Nowadays, people want

to greed. Neither be continues business or using life in society. Nowadays, improving quality

of life, people take care morality. Each person have enough spend income and opportunity in

education which social have stable and participation to help neighbor as well which make

happen doing business together. Now doing business cooperate with foreign country. Most

emphasis developed economy between country and characteristic of culture, so generate

relationship as well. Thailand is able to communicate with many neighbor countries such as

for contact selling and buying between country. Now Thailand developed on modern.

However, the believable that still stable with Thai people is the believable of conch

shell. Some groups of Thais still believe that conch shell can help them do business

successfully. Moreover they are always with the important ceremony such marry ceremony,

new house ceremony and use for doing some activities that related to the Buddhism. (2) So,

conch shell is one of product that can be penetration for this group of customer.

Source: http://web.nso.go.th/eng/en/stat/ict/pre_south-n.pdf (1)

http://www.amulet.in.th/forums/view_topic.php?t=1158 (2)

3.2.2 Technology

Nowadays, Technology developed as a modern, it can be helped working that quickly

facility and help to solve problem more involve variety process, many system. All of these

help people can be live that facility. Technology have role in development industry such as

computer, communication, medical, building etc, have radio station, television through

satellite, so technology give facility with everyone. Human initial to develop technology

continues.(1)

Doing shell business have contact through franchise, All the world contact by throughnetwork systems that makes quickly coordinate. Nowadays, we use technology increase
http://web.nso.go.th/eng/en/stat/ict/pre_south-n.pdfhttp://www.amulet.in.th/forums/view_topic.php?t=1158http://www.amulet.in.th/forums/view_topic.php?t=1158http://web.nso.go.th/eng/en/stat/ict/pre_south-n.pdf


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communication or sent message radio way, telephone and buying and selling through internet

, so technologys most important doing business, technology bring knowledge from sciences

to be used produce product. We use these integrate with our products for effective and

efficient, generate as more benefits of consumers. Technology depended on only factor ofeconomy about trading, technology help many society that be developing economy involve

economy in present too.(2) Technology and science have more relation, We develop the both

together. These generate as a benefit of people, we can bring many shell to invent product for

benefit of consumers who must to choice suitable equipment for all. This business develop

continues growth for wide range of market. Shell Business have more separate, its target

market demands, Technology have quickly development that made import and export facility.

Bring technology to be production made that increase effective, help save labor, reduced

capital, save time, can quickly separate product other regions.

Nowadays, Technology developed as a modern, it can be helped working that quickly

facility and help to solve problem more involve variety process, many system. All of these

help people can be live that facility. Technology have role in development industry such as

computer, communication, medical, building etc, have radio station, television through

satellite, so technology give facility with everyone. Human initial to develop technology

continues.

Mali Shellin Shop use technology to help do marketing by using

www.facebook.com/Mali Shellin Shop and the customer can order products via

[email protected] for mobile phone: 083-3017555. We design to do marketing

trough internet because now we found that many businesses can be success by using of

internet for marketing, purchasing and selling is not much. The major findings are as follow

1) Number of Establishments, there were totally 105,083 establishments. Most of

them were engaged in business trade and services activity, which was about 86.1 percent.

Followed by those engaged in manufacturing activity was about 10.8 percent. Those engaged

in the other land transport and activities of travel agencies, construction and hospital activities

were about 2.0, 0.9 and 0.2 percent respectively. (1)

2) Website used, there was about 3.2 percent. The purposes of using of web site were

marketing the establishment products of about 76.3 percent. The followings were inquiry or

contact facility and receiving purchased order of about 65.3 and 32.0 percent respectively. (1)
http://www.facebook.com/Malimailto:[email protected]:[email protected]://www.facebook.com/Mali


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Doing sea products business has contact with customers especially for marketing. All

the world contact by through network systems that makes quickly coordinate. Nowadays, we

use technology increase communication or sent message vie internet, telephone. This

business has domestic market, but however technology is most important for doing business,technology bring knowledge from sciences to be used produce product. We use these

integrate with our products for effective and efficient; generate as more benefits of

consumers. Technology depended on only factor of economy about trading, technology help

many society that be developing economy involve economy in present too. Sometimes,

technology generated much pollution such as destroying environment. Technology and

science have more relation. We develop the both together. These generate as a benefit of

people, we can bring many shell to invent product for benefit of consumers who must to

choice suitable equipment for all. This business develop continues growth for wide range of

market. Sea products Business have more separate, it is target market demands, technology

has quickly development of advertisement to penetration the group of customers. Bring

technology to be production made that increase effective, help save labor, reduced capital,

save time, can quickly separate product other regions.

Sources:

http://th.wikipedia.org/wiki/%E0%B9%80%E0%B8%97%E0%B8%84%E0%B9%82%E0%B8%99%E0%B9%82%E0%B8%A5%E0%B8%A2%E0%B8%B5(1)

http://www.rmutphysics.com/charud/specialnews/6/science/unit4_12.html (2)

3.2.3 Economy

Nowadays, economy had good growth. We offer opinion in developing economy

growth by using management system and increase process as a modern. Our shells business

improved market strategy because This business have wide range of market and high

competition.(1) We improved innovation of products to be made a various. Shell business

developed increase production involved create different of product for increase also value of

product which can respond markets demand. Economy of Thailand rely trading and

investment because domestic country have increase investment that made high value of

money and have import and export of products that affect value of money strongly, so it

generate profits.(2)In Thailand, many people required shells because everyone began to see

important of natural resource. We focus on market strategy for distribution such as promote
http://th.wikipedia.org/wiki/%E0%B9%80%E0%B8%97%E0%B8%84%E0%B9%82http://th.wikipedia.org/wiki/%E0%B9%80%E0%B8%97%E0%B8%84%E0%B9%82


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product, advertising. Economy bring concept of tradition, belief, custom, want maintain

environment.

Thailand Economic Monitor 2010

- Despite the slowdown in the advanced economies, political unrest leading to street

battles, and two earlier quarters of robust growth, the Thai economy in the second and third

quarter of 2010 still did not contract by as much as had been expected.

- In the second quarter, the decline was driven largely by a sharp drop in tourism,

which offset growing exports and robust private consumption. Although tourism rebounded

strongly in the third quarter, the overall GDP still contracted due to slowing exports and the

decline in consumption, caused by the loss of farm income during a severe drought.

- The World Bank has revised its 2010 GDP forecasts for Thailand to 7.5% from an

earlier estimate of 6.1%.

- For 2011, growth is expected to slow to 3.2% due to both high base as well as

lackluster demand for Thai exports as the rich countries still grapple with the consequences of

the global financial crisis.

- The medium-term global outlook will be marked by an extended period of slower

but less volatile growth in the advanced economies. Emerging economies will continue to

grow, albeit more slowly as many of them are still highly dependent on demand from the

U.S., Europe, and Japan. For Thailand, exports to emerging markets and domestic

consumption can only offset some of the weaknesses in demand from developed countries.

- The immediate focus of economic policy will be on managing the large influx of

foreign capital arising from interest rates differential with advanced economies and from the

regions better growth prospects. Despite all the measures taken by the Thai authorities, the

baht has continued its appreciation, raising concerns over Thailands export competitiveness.

- In the long-term, however, structural reforms rather than the exchange rate will be

most important in determining the countrys competitiveness.

- Boosting the services sector through regulatory reforms, developing the skills of

Thai workers through improvement of the quality of education, raising agricultural

productivity, and promoting innovation-led growth are each highly recommended.

- Along with these options, strengthening social safety nets to cover informal workers


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and those in the agricultural sector could help the government ensure that growth is more

equitable in the long run.(3)

Graph changed in period 3 years( January 2549-October 2551)

From graph of each year will be different, in 2549 value of money will be highest

about 39 baht. In beginning of years to ending of years about 36 baht. In 2550 about 34 baht

and value of money will decrease 31 baht. In March 2551 will increase about 34 baht which itchange in period 3 years.


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Economy of Thailand

The economy of Thailand is an newly industrialized economy together with BRIC

,which is heavily export-dependent, with exports accounting for more than two thirds ofgross

domestic product (GDP) The exchange rate is Baht 29.00/USD.

GDP growth by 8.0% in year 2010 which was among the highest in Asia.Thailand has a GDP

worth 9.5 trillion Baht (on a purchasing power parity (PPP) basis), or US$584 billion (PPP)

which ranks 24th in world..This classifies Thailand as the 2nd largest economy in Southeast

Asia after Indonesia. Despite this, Thailand ranks midway in the wealth spread in Southeast

Asia as it is the 4th richest nation according to GDP per capita, after Singapore, Brunei and

Malaysia. Thailand's nominal economic output as of June 2010 is $313.8 billion USD, while

holding some $172 billion in foreign exchange assets which ranks 11th in world.Thailand

have strong automobile industry which rose by 63% in year 2010 to 1.6 million produced cars

which ranks 13th in world. By the year 2015 Thailand will be in top 10 automobile

producers.(4)

It functions as an anchor economy for the neighboring developing economies of Laos,

Burma, and Cambodia. Thailand's recovery from the 19971998 Asian financial crisis

depended mainly on exports, among various other factors. Thailand ranks high among theworld's automotive export industries along with manufacturing of electronic goods.
http://en.wikipedia.org/wiki/Economic_systemhttp://en.wikipedia.org/wiki/Thailandhttp://en.wikipedia.org/wiki/Newly_industrialized_economyhttp://en.wikipedia.org/wiki/BRIChttp://en.wikipedia.org/wiki/Exporthttp://en.wikipedia.org/wiki/Gross_domestic_producthttp://en.wikipedia.org/wiki/Gross_domestic_producthttp://en.wikipedia.org/wiki/Purchasing_power_parityhttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Bruneihttp://en.wikipedia.org/wiki/Malaysiahttp://en.wikipedia.org/wiki/Anchor_economyhttp://en.wikipedia.org/wiki/Developing_economieshttp://en.wikipedia.org/wiki/Laoshttp://en.wikipedia.org/wiki/Burmahttp://en.wikipedia.org/wiki/Cambodiahttp://en.wikipedia.org/wiki/Asian_financial_crisishttp://en.wikipedia.org/wiki/Asian_financial_crisishttp://en.wikipedia.org/wiki/Cambodiahttp://en.wikipedia.org/wiki/Burmahttp://en.wikipedia.org/wiki/Laoshttp://en.wikipedia.org/wiki/Developing_economieshttp://en.wikipedia.org/wiki/Anchor_economyhttp://en.wikipedia.org/wiki/Malaysiahttp://en.wikipedia.org/wiki/Bruneihttp://en.wikipedia.org/wiki/Singaporehttp://en.wikipedia.org/wiki/Purchasing_power_parityhttp://en.wikipedia.org/wiki/Gross_domestic_producthttp://en.wikipedia.org/wiki/Gross_domestic_producthttp://en.wikipedia.org/wiki/Gross_domestic_producthttp://en.wikipedia.org/wiki/Exporthttp://en.wikipedia.org/wiki/BRIChttp://en.wikipedia.org/wiki/Newly_industrialized_economyhttp://en.wikipedia.org/wiki/Thailandhttp://en.wikipedia.org/wiki/Economic_system


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Economy of Hua Hin

Although it is generally believed that Hua Hin is coping better with the global

economic crisis than other Thai resorts, it has not totally escaped its brutal impact. The large

Boathouse Hua Hin project has seen a 30 to 40% drop in foreign buyers since the airport

closures in December.

Managing director Praphaisith Tankeyura believes that it will be at least a few years

before foreign buying gets back on track at the huge estate because many buyers have lost 40

to 50% of their investment and they are also seeing their home country currencies

depreciating.

However, there are exceptions. Mr Praphaisith noted that an American-Indian with a

jewellery business recently bought a house at the site for 85 million baht. Some of his friends

have also bought a few condominium units for investment.

While the construction of this huge estate is continuing, with some condominium

towers and several houses and townhouses and facilities completed, Mr Praphaisith remarked

that some developers are suffering right now because banks are not releasing loans after

expected sales targets were not reached.

Generally developers get the first installment of a project loan when they buy the

land, but the second one is released only after 40 to 60% of the units have been sold. With

foreigners unable to buy in difficult times, some developers cannot meet this criterion.

Mr Praphaisith, as a former banker, said he understands the difficulty banks face

because they have to work within acceptable risk levels.

"For new developers it will be very, very difficult, but we have been developing this

project for more than three years now and most everything has already been completed. We

have very low leveraging so it's quite safe."

Hoteliers in Hua Hin are also are heavily affected by the economic storm. Puranee

Chaiyawat, manager of Baan Bayan Hotel, said the occupancy level at her boutique hotel had

dropped from 80 to 90% to just 50%. Because her company also owns hotels in Bangkok and

Chiang Mai, she knows the markets are bad there as well.


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Ms Puranee criticised Thai authorities for constantly focusing on short-term gains

when promoting tourism and not creating long-term plans to maintain the industry's strength

and ensure growth. The big fear is that property prices could drop if the economy does not

improve by the fourth quarter of this year as generally hoped.

"Of course the price will drop further, there will be 'hot sales' as those who need cash

will have to sell," said Ms Puranee.

However, Scandinavians with developments up in Hua Hin's hills might not be

affected at all because they generally sell only to their own countrymen. "They don't

advertise, but I heard that houses with swimming pools up on the hills costing around five

million baht are selling well," she said.

These Scandinavian developers are also still buying land a little farther south of Hua

Hin, in the Pran Buri area. "There might be some new launches, but it's only for their

countrymen so we don't hear anything."

While some property players are struggling in these dismal times, landowners are

sitting pretty because the price of land in Hua Hin town itself has not dropped. Prices are

lower in Pran Buri, however.

Boathouse Hua Hin is a special case because the almost 80-rai plot changed hands at

only 3.2 million baht a rai since it was formerly a non-performing asset that Mr Praphaisith

managed to acquire. "That is why we dare to inject 520 million baht to build the

infrastructure and increase the value of the community," he said.

An interesting change in Hua Hin is that Russians are now making their presence felt

after entrenching themselves in Pattaya. Mr Praphaisith mentioned that a Russian restaurant

and a travel agency recently opened in the seaside town.

As the foreign market continues to be weak, Boathouse Hua Hin is going all out to

court Thai buyers, with the current best sellers being condominiums and townhouses. The

starting price of a one-bedroom unit is three million baht, with studios beginning at 2.7

million baht and townhouses going for 5.4 million baht upwards.


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The three million baht one-bedroom units are around 50 square metres and on lower

floors, but this does not seem to bother some buyers, especially golfers who don't really care

about the view because they are here to play golf at Hua Hin's numerous fine courses.

Current low bank interest rates of around 1% per year and attractive housing loan

terms offered by some banks could draw buyers to invest in property for the long term.

Mr Praphaisith warned potential buyers to check whether a project they are interested

in has obtained approval of its environmental impact assessment (EIA), because if not it

could lead to a lot of problems.

"On our condos, we spent an extra two to three months to finish the environment

impact study because these are tougher requirements."

Designed by famed architect ML Tridosyuth Devakula, the Boathouse Hua Hin

features some special touches, among them Chinese-themed sculptures placed in two areas of

the spacious landscaped grounds. The sculptures, crafted by award-winning Thai artist Wasin

Buri, portray a teapot, teacups and vases that bring luck because they are constantly filled

with either tea or water.

Growth Oriented Economy

The country with its 64 million people has been characterized by constant and steady

growth. Blessed with plenty of natural resources and skilled, yet cost-effective labor,

industries in Thailand are prospering and growing from strength to strength. One of the most

sought after sectors of growth is Thai property. (7)With beach towns such as Phuket and Hua

Hin, Thailand property investment is a unique offering for both high net worth locals and

foreigners to possess their own slice of paradise in this geographically diverse nation.

Sources:

http://cpe.kmutt.ac.th/wiki/index.php/Currency_exchange_rate_between_Thai_Baht_and_US

dollar_(by_CPE21_Group9) (1)

http://www.oknation.net/blog/print.php?id=318914 (2)

http://www.worldbank.or.th
http://www.oknation.net/blog/print.php?id=318914(2)http://www.oknation.net/blog/print.php?id=318914(2)http://www.oknation.net/blog/print.php?id=318914(2)


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http://www.bot.or.th/Thai/Statistics/Pages/graph.aspx

www.ryt9.com/economy/tag

http://www.bangkokpost.com/news/investigation/15718/(6)

http://thai-real-estate.info/read/thai_property/02_jun_09/if2y9-q/thai_political_stability.htm (7)

3.2.4 Environment

Nowadays, natural resource have more benefit. Many people begin to see important

of environment and develop environment continues. Now, environment in sea have more

clean who help solve problem water pollution. We maintain the environment to revive

environment and protection by giving information about arranging value of resources and

environment in sea as well. Shell product can be produced many products such as spoon,

plant, picture frame, lamp. Many people prefer shell products because shell is useless to bring

more benefits. Fisherman keep the variety of shells for bring that do commercial in the

country and foreigner country which domestic market and international market more demand.

Hua Hin Environment

Hua Hin Environment Day coincides with His Majesty the King's 80th birthday

anniversary on December 5th 2007 and aim to preserve Hua Hin environment and prevent

pollution. Hua Hin beach is a four start beach and Hua Hin Municipality together with Hua

Hin residents with advice of Dr. Somchai Pielsathapornfrom are determined to keep clean

and beautiful.

Dr. Supatana Wangwongwatana and his staff came to Hua Hin to check Hua Hin's air

quality and spot any potential sources of pollution. They have checked many hotels and

restaurants. The results are very encouraging. Hua Hin area is 90% free of pollution.

Hua Hin hotels and restaurants have played their part in preserving Hua Hin

environment. They took part in contest 'Hotel and Restaurant pollution free'.

This year, in the hotel category Wora Bura Resort won 1st prize of 100,000 baht.

Second prize of 70,000 baht was won is Baan Bayan Hotel. Third prize and 50,000 baht was

won by Ussara Hotel.
http://www.bot.or.th/Thai/Statistics/Pages/graph.aspxhttp://www.bot.or.th/Thai/Statistics/Pages/graph.aspxhttp://www.bangkokpost.com/news/investigation/15718/(6)http://www.bangkokpost.com/news/investigation/15718/(6)http://www.bangkokpost.com/news/investigation/15718/(6)http://www.bot.or.th/Thai/Statistics/Pages/graph.aspx


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In the restaurant category Mini Farm won 1st prize of 50,000 baht. Second prize of

30,000 baht was won is Papa John Restaurant. Third prize and 10,000 baht was won by Three

Girls Restaurant.

Governor of Prachuab Khiri Khan Khun Prasong Pitulkitja said in his speed that Hua

Hin Municipality and residents work hard to protect Hua Hin's environment and prevent

pollution. However more still needs to be done if we want to ensure that Hua Hin is a top

tourist destination. One of the top priorities is to build designated parking areas. Province has

a new Police Chief Commander, Pol Maj General Wirat Watcharakajorn. He is a young man

and he knows how to make Hua Hin a safe a pleasant place to visit. (5)

Protection of Hua Hin Environment

There was very interesting exchange of opinion at the seminar on how to protect Hua

Hin environment. This will help the Ministry of Natural Resources & Environment make

adjustments to Environment Act from 2547 (Thai calendar). The necessary changes will be

carried by a working group lead by Dr. Suwaluk Satumanaspanthu who is very experienced

environmentalist. He will be helped by project manager Khun Piset Senawong, training

expert Khun Korbkul Samakki and Khun Oranoot Silpamanipan who will coordinator.

Chief District Officer Khun Prasit Boonlikit has opened the seminar. He has

expressed his gratitude to the Ministry of Natural Resources and Environment for taking part

in the seminar on Protecting Hua Hin Environment. Hua Hin is a famous worldwide

tourist destination and in order to maintain its status it is essential to protect Hua Hins and

surrounding provinces of Phetchaburi and Prachuapkhiruikhan environment.

A lot of work will concentrate on the Hua Hin - Pranburi area and the 13 villages

located there. Khun Piset Senawong has spoken about the background of this project and the

criteria how to control the environment and prevent pollution as the villages are located along

the bank, close to the beach where many resorts and hotels are located. Close by there is a

factory supplying building materials.The seminar was very fruitful and many good ideas very

voiced and the working group will study them carefully. (4)

Sources:

www.school.net.th/library/create-web/.../10000-12065.html (1)


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http://www.oknation.net/blog/print.php?id=152423 (2)

prdnorth.in.th/The_King/conservesea.php (3)

http://www.huahinnews.net/news-2008-08/huahin-environment-seminar.htm (4)

http://www.huahinnews.net/news-2007-12/huahin-environment-day.htm (5)

3.2.5 Politic

Thailand Real-Estate and Political Stability

It has been globally recognized that Thailand is a politically stable country. Why else

would it be such a hot favorite with foreign investors from world over? The real estate

development in any country is directly proportional to the political stability of a country.

Hence, it is not surprising that Thailand property investment in the new developments such as

luxury condominiums, villas, and high rise apartments are the most sought after, especially in

beach resort towns(1) such as Phuket, Samui, Pattaya etc. But a much better investment

opportunity lies in the esteemed town of Hua Hin, which is also the official residence of the

monarchy and the Thai elite. The prices of properties are reasonable while providing the

same infrastructure and facilities as other more tourist friendly and larger sea side resort town

in Thailand.

Hua Hin Property has seen a sales plummet after the political crisis in Thailand. Many

estate agents in Hua Hin state that once the Thai election is over at year end the market will

pick up again as buyers return.(2)

Colliers International in Thailand has stated that the April period in Thailand has

always been the slower part of the year when it comes to property sales. One could also note

that the political turmoil could not have been at a better time as it came at a time when the

market was traditionally slow in any event. With the politics now out of the way one has to

note that still the general elections at year end however this should not affect the property

market. The market even though still soft many say that the bottom end or local market has

not changed as Thais view the political situation as having the ability to blow over and to be

gone. The local market or small low end units have still sold well as the government had also

added an incentive to the market by lowering transfer taxes on all properties. One could view

this as the government attempt to keep the lower end of the market up and hence not affecting

the majority of property developers. The high end market is currently the only real downside


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to the market. Most of these purchases tend to be foreigners who buy large high end

properties for investment purposes. Many in Hua Hin see this picking up at year end and right

now they say it is bargain basement time as many developers try and move the property at

lower prices. This for the Bangkok Post:CBRE said some projects under its salesmanagement in Hua Hin concluded a few transactions for residential units in the past week.

Sales offices in Bangkok resumed operation on Sunday, fielding enquiries without making

sales.Ms Aliwassa said the price of condominium units in Thailand will remain stable for a

while after recovering from the 2008/09 crisis. However, developers launching new projects

in the near future are unlikely to set high prices. "Buyers will continue to have the upper hand

in residential markets. Although developers may not lower prices, they are likely to have

strong promotional campaigns to stimulate sales," she said.Many are waiting to see what the

government offers as part of its recovery plan for the year and many expect to see the reduced

transfer fees extended. This will help the market however many believe that the government

will not give the reduced rates once it expires at month end. If you are looking at buying real

estate in Hua Hin then speak to us at Siam Legal. With offices in Bangkok, Chiang Mai, Hua

Hin, Samui, Phuket and Pattaya we are best able to serve your needs.

Sources:

http://thai-real-estate.info/read/thai_property/02_jun_09/if2y9-q/thai_political_stability.htm (1)

http://www.huahin-

realestatelawyer.com/index2.php?option=com_content&do_pdf=1&id=13 (2)


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3.3 Competitor Analysis (3C Analysis)

3.3.1 Competitor Analysis

Shellin has three direct competitors include with; Beauty shell and Shell Shell and

Hua-Hin shell shop

Beauty shell shop is not good management. Some of their staff cannot give the

information about their product to the customer and also lack of training for staffs. On

another hand our shop has quite good management and work as team. All of member can

teach each other to work easily. Beauty shell shop set very high price of products so that why

they cannot get customer brand loyalty. They get short time profit

Shell Shell is good management but their product have no quality lowest quality andhigh price, every product of them not concern the environment, healthy, clean, and customer.

Pearl was making from plastic and other technique

Hua-Hin shell shop provides sea shell with high quality and low price. Hua-Hin shell

shop provides whole seller prices for many shop around there. Also Hua-Hin shell shop

provide sale to general customer, but the price for general is higher than whole sale. Hua-Hin

shell shop is old company which established in 1992 with famous for local shop around Hua-

Hin and other areas. Other they import and export to many countries in Asia and

So, for the main competitor which concern about the benefits they got the benefits just

short term. From the information competitor can attract our customer just 10% of our

customer. For our company concern about the customer and other so Mali shellin is run on.

3.3.2 Customer Analysis

Nowadays, people concern about the environment and care the sea and the life of

shell. Mali was concern about that too by support the fisher industry department to spreadshell and other marine life, dont hunt shell fish and other sea product in spawning season,

buy the shell from restaurant and some from fisher only, dont purchase baby shell. So, mali

show concern to customer and lets customer know.

Life and quality of people is better they has power to purchase goods every goods

now people love good or best quality money is not the big problem. We provide the greater

quality with acceptable price for this quality.


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Customer of company almost is tourist want to buy some souvenir to their friend or

other. For the fish maw we has strong market in China town of Thailand and export to the

China. Pearl was not big market for us but we try to promote and guarantee quality buyer is

our old customer who knew.

3.3.3Competitive Analysis

Sea shell market now is not famous Mali plan to do advertise make people remember

the productions from Mali. Promotions will help to promote shop make Mali shellin be well-

know. Price will decrease to open new market no high market only, Mali plan to hits middle

market.

Mali will create new products from shell; customer can should variety of product and

price. We will contact village to be employee produce the product to reduce costs of produce

and create career for local communities.

3.4 Marketing strategy (STP analysis)

3.4.1 Segmentation

Mali shellin shop used demography segmentation to divide the customer. We are

concern more about age, income, behavior for analyst the customer because our shop sale

shells of rare and expensive. All most of customer focus on hotel, restaurant, women, Thais

and foreigner who love and believe in shell. And some tourist want can buy it as souvenir.

And nowadays there a lot of tourists come to travel in Hua Hin. It means that we can make

sure the number of customer. The important thing our shop have three kinds of sea products

to response their need. We will get long term benefit from them. And also the customer will

be satisfied on product. For timely we concern more in high season because have a lot of

tourist but we are not rely on seasoning, because we can sale for all year round.


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3.4.2 Target market

For target market our shop evaluate from age, sex of tourist between that we choose

from demography segmentation to target market.

Shark fin; target is hotels are 84.13 percent, Thai and foreign tourists are 15.87

percent

Sales

hotel

thai and foreigner

Figure 3.4.2.1 target of shark fins

Pearl; target is women, who work in industrial, Pra Chuap Kiri Khun. Age average is

16 years old to 60 years up are 36.36 percent

Thai and foreign tourists are 63.64 percent


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Figure 3.4.2.2 target markets of pearls

Shell, conch: target is Thai and foreign tourist. (100 percent for tourist)

Sales

Thai and Foreign tourist who

love shells

Figure 3.4.2.3 target markets of shell

3.4.3 Position

The position of Mali shelline shop after compare between other shops such as shell

shells shop and beauty shell our shop has highest quality and service to serve for customer

that mean better than the other shops.

High quality high price High quality, low price

Mali shelline

Beauty shell

Shell shells

Low quality, high price Low quality, low price


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3.5 Marketing Mix Strategy

3.5.1 Product

The product of Mali shellin shop is the product form the deep south sea.We provide

many kind of products for customer to choose . Products in the Mali shellin shop is Shell,

Pearl, Shark fin.

The product of company is the pearl, shark fin and shell .So our products is come from

deep south sea in Ranong, Thailand and it natural.

For the Shell products we have many kind of shell and various prices ,so we

guarantee about the beautiful of shape and color of the shell. Customer can buy for bring it to

be souvenir because lower price is around 30 bath ,so it just a beautiful small shell and theshell bundle and have the shell to bring to decorate the house of customer ,and about Conch

.In our shop the conch we have kind of on conch and many kind of price ,so for the lower

price is 1000 bate .For the low price ,our product is the small souvenir .For about the high

price in the shop is upper one million bath. This prices is the rare item of conch , The conch

of Mali shellin shop is very popular product because it have a myth .They believe that if they

be the owner of the conch ,they will lucky .

The pearl of Mali shop is come from the south sea and we have many color of pearls.

So, the color and the pearl come from the natural 100 percent and they bring it to produce

many kind of accessories such as necklace earring and rings ,so the customer can design by

yourself.

Shark fin we provide to response the customers with many grades of shark fin,

because of shark fin has high price. That is the reason why we provide many grade of

products.

3.5.2 Place (distribution channel)

Shop

We distribute products through our shop .It around 500 meters from the beach. So the

shop will have many kinds of products. So, customer can come to see the real product at the

shop.


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Brochure We will give the customers a brochure after them buy our products.

the customers will bring it back to their home. So, it can lead

mali shellin shop co.,ltd

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