WishListThe Ultimate Place to Shop for

Electronics

Justin Stearns, Richard Covington, Kate Etuk, Killis Marshall, Kevin Seybold

What Is Our Business?What Is Our Business?

• WishList is an electronic retailer located in Blacksburg, Virginia.• We carry low end and high end quality home entertainment

equipment.• We want to provide you with the best possible services that are

imaginable. • Even if you want to have your home wired for your own custom

entertainment system.• We provide in store counseling for the products that you which to purchase

or have purchased, and we also will teach you how to make sure you take care of your entertainment system.

OwnershipOwnership

Installers Installers

Store Manager/Owners Store Manager/Owners Store Manager/Owners Store Manager/Owners Store Manager/Owners

Full-Time Sales People

Full-Time Sales People

Full-Time Sales People

Full-Time Sales People

Full-Time Sales People

Part-Time Sales People Part-Time Sales People Part-Time Sales People

Who Is Our Market?Who Is Our Market?

• Our market consists of the consumers who are enthusiasts about home entertainment equipment.

• Research done by Dr. Norman Herr, from California State University Northridge, shows that 99% of American homes have a television. Also, that the average American owns at least two televisions.

– Further research was conducted by Dr. Herr, and found out that 66% of Americans own three or more televisions.

How Do We Reach Our Market?

• We will spend money on advertising on the radio, television, and newspaper.

– We will spend the most money on the television advertisements.– The times that we want to air our commercials is during the most heavily

watched viewing times for the area.

• We will have an Opening Day event that will attract our market

How Do We Make Profit?How Do We Make Profit?

• We sell our products for a 40% mark up of what we get them from our suppliers……

– For Example: The cost to get the Sony WEGA 60" 1080p Rear-Projection SXRD HDTV… Model: KDS60A202 would be…..

» $1300 per an item» We sell it for $1820 per item

• Also, we perform installation services– e.g. Install your new speaker system or pre-wire your new home to be designed

for your dream entertainment system.

• We plan on making $652,868.67 in revenue

our first year in business.– explained in financial section.

Who Is Our Competition?Who Is Our Competition?

• Our competition will consist or Wal-Mart, Scotty’s Audio and Video, K-Mart, and Target.

– There is a Circuit City and Best Buy located in Roanoke.» Best Buy is coming to Christiansburg in coming years.

• We will also experience competition with online retailers as well.– Top 10 U.S. Retailers of Consumer Electronics

• Best Buy• Wal-Mart (excludes Sam's Club)• Circuit City• Dell Computer Corp.• Target Stores• RadioShack• Staples• CompUSA• Sam's Club• Office Depo

Competition Demand and TrendsCompetition Demand and Trends

Location 1987 1992 1997 % 1987- 97

Virginia $38,960.20 $48,048.60 $68,728.70 76.4%

Montgomery Co.% of Commonwealth

$446.601.10%

$607.101.30%

$830.601.2%

86.00%

BlacksburgAs a % of County

$189.3042.40%

$199.3032.80%

$223.2026.90%

17.9%

ChristiansburgAs a % of County

$211.4047.30%

$346.0057.00%

$472.0056.80%

123.2%

Retail Sales Trends (in $ millions)1987-1997

Source: IS Census Bureau and RKG Associates Inc.

Industry Growth (World Wide)Industry Growth (World Wide)

Financial AnalysisFinancial AnalysisForecasted Earnings for WishList

Year 1 % Year 2 % Year 3 % Total

Sales $ 5,297,517 100 $ 5,649,383 100 $ 5,950,450 100 $ 16,897,350

CGS 4,231,127 79.8 4,156,609 73.5 4,255,608 71.5 12,643,344

Gross Margin 1,066,390 20.2 1,492,774 26.5 1,694,842 28.5 4,254,006

Expenses + Dep

514,571 9.7 435,904 7.71 435,904 7.32

1,386,379

EBIT 551,819 10.4 1,056,870 18.7 1,258,938 21.1 2,867,627

Interest Exp. 25,701 4.65 23,724 .419 23,724 .398 73,149

EBT 906,762 17.1 1,033,146 18.2 1,235,214 20.7 2,794,478

Taxes (28%) 253,893 4.79 295,923 5.23 345,859 5.8

1,294,650

Net Income $ 652,893 12.3 $ 737,223 13.0 889,355 14.9 $ 2,279,471

Come Check Us OutCome Check Us Out

1425 South Main Street, Blacksburg, VA 24060

Store Hours

Monday-Saturday 9am-9pm

Grand Opening: January 3, 2008