BMC Report 2 PDF

Preview

Summary

bmc report for ent300...

Description

FUNDAMENTALS OF ENTREPRENEURSHIP ENT 300

BUSINESS MODEL CANVAS (BREADFRUIT CHIPS)

PREPARED BY: (NURUL AFIQAH BINTI RAHIMI,2018214326, AS1205_K)

PREPARED FOR: PUAN ZAKIAH BINTI MOHAMED FACULTY OF BUSINESS MANAGEMENT

DATE OF SUBMISSION: 11 DECEMBER 2020

ACKNOWLEDGEMENT

Assalamualaikum w.b.t.

Firstly, I am grateful and would like to thank to ALLAH S.WT. because finally I was able to finish this assignment. I would also like to express my gratitude and appreciation to all those who gave me the possibility to complete this assignment. I hope all the time spent to finish up this assignment were worth my effort and time.

Secondly, I would like to thank to my Entrepreneurship lecturer, Pn Zakiah binti Mohamed, whose help, gave me suggestion how to this assignment and encouragement, guided, and giving information about this assignment until I managed to completed it on time.

Lastly, I would also like to thanks to all my friends who had helped me with sharing information, supports, and advices me throughout the time to finish up my assignment. I would not be able to do this assignment without their helps. Besides, I want to thank my parents who always prayed the best for me, giving their fully supports, and advices me during my online classes. I hope this assignment will be accepted as I had put so much effort to search for information and ideas to complete this assignment.

Thank you,

TABLE OF CONTENTS

PAGE 1.0

EXECUTIVE SUMMARY

i

2.0

INTRODUCTION

1

3.0

BUSINESS MODEL CANVAS (BMC)

2-10

KEY PARTNERS KEY ACTIVITIES KEY RESOURCES COST STRUCTURE VALUE PROPOSITION CUSTOMER RELATIONSHIP CUSTOMER SEGMENT DISTRIBUTION CHANNEL REVENUE STREAM

1.0

EXECUTIVE SUMMARY From my case study, I would like to summarize my AR Crunchies Enterprise.The

location of AR Crunchies Enterprise business t at Lorong Cendana 3, Taman Cendana,08000 Sungai Petani,Kedah.I maked a loan from Maybank about RM 30,000 to started a business to buy machines, paid a rent of place and so on. Our business concept is about chips from breadfruit. The uniqueness of my breadfruit chips is serves with different flavour which are cheese primo,Korean bbq,salted egg and chocolate supreme. Our business mission is to serve quality breadfruit chips with affordable price, to be able to satisfy ourcustomer’s wants and demands, and to provide good quality of services to our customers.Our target market for the business are student, family, people on facebook and instagram and people aroundthe area. The populations there quite high because it one of the place that produce industries and around Sungai Petani and nearest to Uitm Merbok. With this, the population more increasing because of students that lives there can buy our products. By the demographic segmentation, we aiming for the all people which is from kids to adults. All the flavours that chosen is suitable either for kids and adults to be serve .This can attract more customers to come and buy our product. As a new company,we have to go through the more experience to make our business more succeful . In business, they might have some weaknesses. Therefore, our company AR Crunchies Enterprise have to take the opportunities to take their weakness to become better. Our product is easy to get and eat anywhere while in working,spend time with family and when student do an assignment, Our company is at high populations as we are using internet to develop our product such as Facebook, Instagram and Shopee.

2.0

INTRODUCTION Business Model Canvas is strategic management tool that visualize and assess the

business idea or concept. It’s a one-page document containing nine boxes that represent different fundamental elements of a business. It is a visual chart with elements describing a firm's or product's value proposition, infrastructure, customers, and finances. AR Crunchies Enterprise established on this year of 2020 as to provide our best services towards people especially people in Sungai Petani at Kedah which known due to highly demand in population around. The name of my product is “AR Crunchies”, and my product is “Kerepek Sukun” or “Breadfruit chips”. Breadfruit (Artocarpus altilis) under family Moraceae and locally known as ‘Sukun’ in Malaysia. I chose AR Crunchies from my name Afiqah and my father’s name Rahimi.Our breadfruit chips is produce from fresh breadfruit that I got from my grandmother’s garden at Kota Kuala Muda. The location that I chose to start my company at Lorong Cendana 3, Taman Cendana,08000 Sungai Petani,Kedah. I chose this place because its strategic place and easy to find it. The rent for this place is not expensive and this is starting platform for me before my business grow up. I also sell and promoted it through online platform like Shopee, Facebook and Instagram. The reason why I start this business is because I want to show what is unique in my breadfruit chips because it hard to find it in night market, grocery store and so on.. Rarely we hear about breadfruit chips because people would like to sell banana chips and potatoes chips. At the same time, I want to persuade other people that no interested and do not eat to try it.

3.0

BUSINESS MODEL CANVAS (BMC)

1) KEY PARTNERS

Key partners are the relationship with other business, governmental, or non-consumer entities that help the business model work. These can be relationship that the company has with the suppliers, manufacturers, business partners, and other. The importance of key partners to add the value to company and to make the network of suppliers and partners that make the business model work. These collaborations would help the organization thrive in place where it would be impractical to do so on its own.

Therefore, there are four elements of my key partners in AR Crunchies Enterprise which are breadfruit supplier,Companies Commission of Malaysia (SSM), powder flavour and packaging labelling supply and maybank. For the breadfruit supplier, I chose my grandmother’s garden. I register my “Crunchyz frutti” business on Companies Commision of Malaysia(SSM).

2) KEY ACTIVITIES Key activities are defined as any activities that the business is engaged in for the primary purpose of making a profit. The importance of key activities is to maintain activities and uphold to bring value proposition to the customers.

Our main activities in AR Crunchies is selection of product and design. That is important to choose a best product and design to attract the customer to buy it. Breadfruit that I chose must from fresh breadfruit to maintain the quality of breadfruit chips. In the AR Crunchies, we are making the breadfruit chips that we provide in our plastic jar and packaging in plastic bag that easy to our customer to bring anywhere. That is the main activities that we are focus on in our business to make a profit in the same time to satisfied the customers’ needs and wants. Second activities are marketing. Marketing is important to promote our business and to make people know about our business. Therefore, we used the brochure, flyers,banner and internet to promote our business. Third activities are marketing strategy. When there is a products and customers, selling activities is needed. This is where we earn the profit, from the selling of our products to our customers.

3) KEY RESOURCES Key resources is the building block describing the most important assets needed to make the business model work. Every business model requires them, and it is only through them that companies generatevalue propositions and revenues.

There are three key resources that our company currently applied which are cut the breadfruit by machines,workers and ingredients.We cut the breadfruit by machines that easily for my workers and save time. Next, I have three workers which helps me process all the ingredients from scratch. Lastly, ingredients. Ingredients of our breadfruit chips are basically from our own recipes. We have four different flavours which are cheese suprimo, spicy Korean bbq, salted egg and chocolate supreme. That is the special thing about our chips that other chip seller’s cannot easily duplicate

4) COST STRUCTURE Cost structure defines all the costs and expenses that the company willincur while operating the business model. This final step in the process is important, because it will help the team to decide whether to pivot orproceed. There are two main categories of cost structure which is value-driven and cost-driven. Value-driven cost structures is to createmore value in the product itself, not necessarily producing the productat the lowest possible cost. While cost-driven cost structures focus onminimizing the costs of the product or service as much as possible.

The AR Crunchies cost structures focus on marketing cost,administration cost, operation cost, salaries cost,raw materials cost, promotions cost, and license, permit and regulation cost. This is all the important cost that our company focus more to run our breadfruit chips business

5) VALUE PROPOSITION Value proposition are the product and services that create value for a specific customer segment. Value proposition is an innovation, service, or feature intended to make a company or product attractive to customers. The value proposition is a powerful tool to drive sales and build a customer base. Additionally, a perfect and compelling value proposition can advance the effectiveness of the company’s marketing strategies. Generally, it is regarded as the most effective and wide-reaching marketing activity.

My product is “Kerepek Sukun” or “Breadfruit chips”. Breadfruit are peel into sliced, then special method will be use which is vacuum fried to maintain the nutrient inside the breadfruit and to minimize oil used.There a a lot of nutrient inside breadfruit such as vitamin C,potassium that help regulate heart rate and blood pressure and prevents oxidative stress. The taste is unique because it feels like eating the real breadfruit. Therefore instead has the original flavour, what make it more special from the others is, it also has different various type of flavour that we offer which are special flavours such as cheese primo,sated egg, spicy Korean bbq and chocolate supreme It also has HALAL certification from Jakim Malaysia. Based on my survey, many people did not eat breadfruit because it can make bloated stomach. So as a solution I comeout with an idea to make breadfruit chips to change people perspective toward breadfruit and make them become more interested with our local fruit. It is been made by fresh breadfruit that is high quality. Then, the packaging on our breadfruit chips are in plastic jar and plastic bag that easy to my customer to bring anywhere. They can enjoy it at anytime and also it helps to replace the addiction to fastfood that is not good for our health.

6) CUSTOMER RELATIONSHIP Customer relationship is the ways in which your company communicates and deals with existing customers. When it comes in increasing profits, it's tempting to concentrate on making new sales or pursuing bigger accounts. Its important to cultivate and nurture customer relationships. When organizations develop strong relationships with their customers, it can lead to loyal clients, positive word of mouth and increased sales.

Personal Assistant Relationship Personal Assistant relationship is based on human interaction. The customer can communicate with a real customer representative to get help during the sales process or after the purchase is complete.This may happen onsite at the point of sale, through call centres, by e-mail, or through other means.The AR Crunchies apply personal assistant relationship by serving our customer on site at the point of our sale, or the customer can order through call and our online channel which they can make their order through our Facebook and Instagram.

Direct Selling Direct selling is also based on human interaction in person. We sell our chips from house to house every evening. Sometimes we used food panda when customer order online from our online stores, customer also comes to my store to buy chips directly.

7) CUSTOMER SEGMENT

Customer segments are the community of customers or businesses that you are aiming to sell your product or services to. Customer segments is one of the most important building blocks in the business model canvas for business.

Our target market is a community of customer with expectations and preferences that can be fulfilled by the organisation through the supply of products. The business has decided to aim its marketing effort and ultimately its merchandise. Target market is the first element to a marketing strategy.The focus of our business is to accurately identify the most preferable customer that enjoy to buy our product. Our target for the business are students, family,friend on facebook and instagram and people around the area.It is very important to know who will be our target market because we cannarrow down which customer that should focus on.

8) DISTRIBUTION CHANEL Distribution chanel is defined as the most efficient and effective manner in which to place a product into the hands of the customer. The importance of distribution chanel is allow for the smooth delivery of goods or services to a customer. If a business does not source the best collection of businesses for this purpose, it can lead to unhappy customers and an inadequate provision of services.

Physical store We open the physical store to get easy for customer to walk in. More shopping is facilitated by showing objects. Due to the way they are shown, consumers are likely to buy more products than expected. Besides that, our workers can guide where products are located.

Dropship We also use dropship as distribution to promote our breadfruit chips. Dropship will promote the breadfruit chip without keep the product.

Social media We also using internet to tell our potential customers about promotion and to update the customers about our product in social media. We manage to update our social media about twice a week and during special festival. We already sign up for Facebook page ,Instagram and Shopee to be our medium of communication to people. Facebook and Instagram is the best and efficient ways to deliver massage as mostly each person have account of these both social websites while Shopee is the easy websites for people nowdays to get free delivery.

9) REVENUE STREAM Revenue stream is a a distinct source of income that can come from either be recurring revenue, transaction-based or service revenue.The importance of revenue stream is it will help you identify if there are opportunities for your business to service your customers better and generate more revenue.

Cash payment A cash payment is bills or coins paid by the recipient of goods or services to the provider. We also received cash from our customer.Customer usually pay by cash when they buy chips from our shop directly.

Payment by online banking Online banking means accessing your bank account and making financial transactions on your smartphone, tablet or computer through the Internet. It's fast, typically free, and allows you to perform a variety of tasks without having to visit or call your bank, such as paying bills and transferring money.Customer from others state usually buy from through online store.They buy our breadfruit chips through online store. Then they will transfer online to our bank account after they chose our product through online store

APPENDIX

Key partners

Key activities

-

-

-

-

-

-

Breadfruit suppliers Powder flavour supply Companies Commission of Malaysia (SSM) Packaging and labelling supply Maybank

-

Selection of product and design Market research

Value proposition

Customer relationship

- Has different various type of flavour.

-

Direct selling

-

Students

-

Personal assistance

-

Family

-

People on facebook and instagram

-

People around the area

Marketing strategy Key resources

- Let the people trying something new like breadfruit

-

- Easy to bring

-

Machines

-

Workers

-

Ingrediants

Distribution Channels -

Physical store

-

Social media

-

Dropship

Customer segment

Cost structure

Revenue stream

-

-

Cash payment

-

Payment by online banking

Startup cost Marketing cost Administration cost Operation cost Salaries cost Raw materials cost, Promotions cost License, permit and regulation cost...