FOUNDATION IN NATURAL AND BUILD ENVIRONMENT

BUSINESS [BUS30104]

CHARITY DRIVE EVENT BUSINESS REPORT

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GROUP LEADER: NG KHENG SOON (0318946)

GROUP MEMBERS: 1. GARY YEOW (0318797)2. TAN WEI ZHEN (0318560)3. RUBEN HOO (0317850)4. TAN JO LYNN (0318518)

CONTENTS

Title Page

EXECUTIVE SUMMARY 3

OBJECTIVES 4

TARGET MARKET 5

COMPETITION ANALYSIS 6

PRODUCT & PACKAGING 7

PRICING 8

PROMOTION 9

SPONSORS 10

DISTRIBUTION 11 - 12

GREEN MEASURES 13

HUMAN RESOURCE PLANNING 14 – 15

INCOME STATEMENT 16

EVALUATION OF RESULTS 18

APPENDIX

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A. EXECUTIVE SUMMARY

The charity organization we have chosen to support and donate our profit is

World Vision Malaysia Children Develop Fund. Our target donation amount is

minimum RM 2500. The target market we have chosen is the crowd in Taylor’s

University Lakeside Campus. The two main competitor are Treat N’ Eat and Nasi

Lemak Ayam Rendang. Our product 1 is ‘Krunchy Cream’ (ice cream) and our

product 2 is Nasi Lemak. The unit-selling price for product 1 is RM4 and for product

2 is RM2. The unit cost price of product 1 is RM1.50 and product 2 is RM0.80. The

two main tools we used for promotion was hand-produced posters and face-to-face

communication. We chose posters as it has very low costs and face-to-face

communication as it is best used for persuasion. We approached our parents and

parents’ company by face-to-face communication, telephone calls and sponsorship

letter. Our sales location is Taylor’s University Lakeside campus.

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B. OBJECTIVES

As for the charity donation, we have decided to support World Vision

Malaysia Children Develop Fund by donating them all of our profits earned. We have

chosen this charity organization, as it is one of the best-known charity organizations.

With its image and reputation, we thought that it could aid us in raising funds and also

increase in our business. It was also by cause of World Vision is a long existing

organization. Hence, we felt that it is more reliable compare to others. Besides that,

we have chosen to give our donation to the Children Develop Fund because we want

to help those who are less fortunate compare to us, especially those who do not have

education. The quantifiable objective we aimed to accomplish is a minimum of

RM2500 profit, with average RM1250 donation and sponsorship and RM1250 profit

earned.

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C. TARGET MARKET

Our targeted market is the crowd in Taylor’s Lakeside University Campus.

The crowd here consists of mainly students, lecturers, staffs, workers and certain

times parents. In the beginning of the charity event, we have chose to sell the

‘Krunchy Cream’, which is made up of scrambled Oreo cookies, flavored ice-cream

and scramble cereals. This was to target more on the students, as we tend to buy

varieties of cold desserts during hot weather, especially ice cream. The adding on of

scrambled Oreo cookies and cereals was to attract the attention of the customers as it

is a new way of eating ice cream instead of cone or just toppings. Unfortunately,

competitor arisen and we lost. The alternate product we sold was ‘Nasi Lemak’.

Target market was the same but instead of mainly on the students, we focused on a

wider range of customers. As ‘Nasi Lemak’ is one of the famous traditional culture

foods, which still trend among Malaysian until today, it was quite popular and easily

be promoted even though there was also a competitor adjacent to our stall.

Additionally, ‘Nasi Lemak’ is classified as a proper meal; it is easily to be brought

around by students and lecturers who are always busy. The price for each package of

‘Nasi Lemak’ was RM2 and therefore, it was affordable for everyone.

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D. COMPETITION ANALYSIS

First competitor: Treat N’ Eat

Group members: (Tang Pei Kei, Ong Jia Hui, Wong Carol, Tang Ju Yi, Rebecca)

Treat N’ Eat is located in front of the Student Life Centre and on the left side of our

stall. They had several products, which are Tea Eggs, Nestle ice cream, Ipoh Kaya

Puff and Floats. They had their advantages in receiving sponsors for carbonated can

drinks Nestle Company’s freezer. Their Tea Eggs were the most popular item to be

sold during the charity drive week. According to my simple interview with Tang Pei

Kei, instead earning more from the Tea Eggs, they gained the most profit from the ice

cream. Based on my observation, the least popular item was their Ipoh Kaya Puff.

Although the cost was quite high for the delivery, they managed to cover it up in the

end and have earned quite an amount of profit. They were our competitors as they

sold the same product as our stall, which is ice cream and they have the freezer

supplied my Nestle Company while we do not. This caused our ice cream to be

molten and we were forced to change strategy for the second day.

Second competitor: Nasi Lemak Ayam Rendang

(Ong Min Junn, Darren Loong, Woo Shirley, Bryan Teh)

Nasi Lemak Ayam Rendang is located next to Treat N’ Eat, right beside the bus

station. They were also selling Famous Amos cookies but mainly focused on their

‘Nasi Lemak’. As we have changed our product to only ‘Nasi Lemak’ due to the

failure of the ice cream business the day before, they became our main and only

competitor for the rest of the event. In our opinion, the advantage they have got was

the packaging and the add-on dishes in their ‘Nasi Lemak’. The vulnerable part was

the mismatching of quantity and price. According to several of our customer, they

have chose to visit and purchase from our stall because our ‘Nasi Lemak’ has larger

quantity and it’s cheaper. Furthermore, quite a number of customers commented that

our ‘Nasi Lemak’ is tastier compare to theirs.

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E. PRODUCT AND PACKAGING

During the Charity Drive Event, we have sold ice cream on the first day and

‘Nasi Lemak’ on the second day. Our ice creams were served by transparent cup. We

added scrambled Oreo cookies at the bottom of the cup and scrambles cereals on the

top. We named it ‘Krunchy Cream’ as the cookies and cereals have caused the

mixture to feel crunchy and smooth at the same time. We believed that it would attract

quite an amount of customers if the ice cream were not in molten form as it is a new

way of eating ice cream today and it would bring up the curiosity of the passer by. We

have chose to use transparent plastic cup to contain the mixture of cookies, ice cream

and cereals to enable our customers to see the different layer of their ‘Krunchy

Cream’.

As for our ‘Nasi Lemak’, it consisted of rice, egg, cucumber, nuts, anchovy

and ‘sambal’. Based on the small survey we have conducted on our own, we found

out that our customers visit us frequently because of our ‘sambal’, a kind of Malay

spicy sauce, has a very good scent and it’s tasty. It was a typical ‘Nasi Lemak’

packaging; it was wrapped with banana leaf and a food packaging paper. We did

provide our customers with plastic spoon and plastic bag for their convenience. We

did not ask for special packaging, as that is the way of eating traditional ‘Nasi

Lemak’. We want to conserve traditional Malaysia culture and it also tasted better as

banana leaf gave special scent to the rice and the ‘sambal’.

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F. PRICING

A. Unit selling price

I. Ice cream: RM4 per unit

II. Nasi Lemak: RM2 per unit

B. Unit cost price

I. Ice cream: RM1.50

II. Nasi Lemak: RM0.80 per unit

C. I. Ice cream:

Before the event, the response was good and everything was on par. But as it

came to the Charity Drive Event Week, our sales drop rapidly due to the

competitor and also the condition of our ice cream. Our competitor found

favor from Nestle Company as Nestle Company supply them with their ice

cream freezer, which over shadowed us, as we do not have one.

II. Nasi Lemak

We started selling Nasi Lemak on the second day. Surprisingly, it was a very

successful business selling it. We can easily sell out 60 units of Nasi Lemak

per day effortlessly.

D. Our strategy plan turns out effectively during the Charity Drive Event. On the 1st

day, selling ice cream as our business failed because of the competitor we faced.

After we realized what is going on, we immediately change our strategy by selling

nasi lemak on the 2nd day. As it was mentioned, it was a successful business. We

did maximize our profit by selling it at a price RM2 per unit, as the cost per unit

was RM 0.80. This means that we earn RM1.20 as our profit per unit, which is 2

times higher than the cost price.

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G. PROMOTION

A. Main tools promoting products

1. Hand produced posters

2. Face-to-face communication

B. We had chosen to use hand-produced posters as it has very low costs. This enable

we to save advertising cost hence increase in our profit. It is also able to increase

our product visibility. Bombarding customers with imagery will ensure

information of our product sits in their mind long to attract them back to our stall.

Besides that, we have chosen to use face-to-face communication. It allows better

communication and hence builds stronger business relationship. It is also easier to

read non-verbal communication signals and it is best use for persuasion.

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H. SPONSORS

A. We have approached each of our parents and their company for sponsorship.

B. We have decided to target them because they are financially generous especially in

charity activity. We also know them personally and they support the cause of this

donation and sponsorship. Few of them are also the supporters of the charity

organization that we have chosen to donate to.

C. All of them have sponsored us in cash form. Average RM 250 from each pair of

parents.

D. We approached them by face-to-face meetings, telephone calls and sponsorship

letters.

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I. DISTRIBUTION

A. - For our Product 1 (Krunchy Ice Cream), we get all the ingredients from a

grocery store. The aim is to lower the cost to the minimum. Fortunately a

member among us has a friend operating a grocery store and we manage to get

a lower price of ingredients compared to anywhere else.

- For Product 2 (Nasi Lemak), we get the product from a hawker stall at Bandar

Kinrara, Puchong.

- We drove to those locations to get the products and sent to our sales location

(in front of Student Life Centre (SLC) in Taylor’s University Lakeside

Campus).

B. - Customers just have to spend less than 1 minute to get our Product 1. Since

our crunchy ice cream was made from 3 layers of ingredients (scrambled Oreo

cookies as base, then ice cream and covered with scrambled cereals), we do

prepare all the container with the cereal, after that the person who in charge of

scooping ice cream, will pass to another person to put on the topping. By this

cooperating way, we save a lot of time rather than a person do all the process.

- Customer can get Nasi Lemak on the spot after they paid for it. No

time consumed to wait for the product. We usually will put some Nasi

Lemak on the table. One, we can display the product as a promotion

purpose. Two, customer can get it faster.

C. - For Product 1, we started our sales since two days before the charity drive.

For the first two days, we got a quite good response from students.

Unfortunately, we don’t get much sales on the first day of charity drive.

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Customers we reached were about 80 people. Majorly we get customer from

the stall, but some from the customers who ordered from Instagram.

- We got a lot of customers who visited our stall to purchase Nasi Lemak. And

there is where we get the major part of profit. We get about 100 customers a

day averagely since the second day of charity drive for Nasi Lemak. Usually,

we will ask two group members to walk around the campus to sell the products.

At the same time, they brought a donation box so we can collect some donation

while selling the products.

D. - Our customer can order our products online. We were using an Instagram

account to promote our products while customers can order by write a

comment on our photos. They just need to comment their contact number,

location (within the campus area), amount and time. We did free delivery to

them.

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J. GREEN MEASURES

The food packaging paper we use for the nasi lemak is extremely recyclable

because is make from a low quality paper material. As you can see every nasi lemak

pack was pack in a form of triangle so it’s more convenient, as it is small and mobile

and at the same time it is ecofriendly. Besides that, as you can see that the paper bag

that we have used for the nasi lemak was just a food packaging bag and a banana leaf.

The reason that we used this paper bag and banana leaf is by the cause of it can be

recycled. This would definitely prevent shortage of tree in the future. Hence, ou r

business would not harm the nature of the world. We can reuse the food packaging

paper by buying them in the shop as they are reproduced from the same product. Food

packaging paper show ecofriendly to the world and it doesn’t cause pollution. Food

packaging papers that we used for nasi lemak have variety use such it can be reuse as

our future nasi lemak packaging, souvenir and etc. Food packaging paper is one of

convenient material for a food packaging and is easy to be used and easy to pack.

Moreover it is good recyclable. In our business, it saved the cost of our expenses for

packaging.

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K. HUMAN RESOURCE PLANNING

A. Organizational structure

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Ng Kheng Soon(Group leader)

Finance

Ruben Ho(Accountant)

Tan Jo Lynn(Sponsorship)

Sales

Gary Yeow(Sales Executive)

Tan Wei Zhen(Marketing executive)

B. Roles and job responsibilities

Ng Kheng Soon was selected as the group leader, as he has a good

leadership skill. His task is to set an organizational structure as every group

members will follow and complete their own task during the charity drive. At

the same time, he ensured all the transactions were going well and smooth. He

also in charge in getting all the ingredients and products for our charity drives.

In the finance part, Ruben was an accountant to record every transaction

throughout the charity drive. He was the person who in charges the

accounting. Tan Jo Lynn lead all the group members to get the sponsorship

and donation money from the group members’ family and friends. Meanwhile,

she also the person who contact the charity organization, World Vision. Gary

was the person who selling the products. He responsible in sending the

products to customers. Tan Wei Zhen was the marketing executive. His job is

to set up Instagram account and start the advertisement of our products so can

attract more customers. He also corporates with Gary to sell products by

walking around the campus for selling the products to the staffs and students.

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INCOME STATEMENT

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L. EVALUATION OF RESULTS

A. At the end of this project, we manage to have a total of RM2950 Revenue, and

by subtracting the cost and expenses; we manage to have a total of RM2015 as

our profit to donate to World Vision Malaysia Children Develop Fund.

B. In this project we acknowledge that, high quantity sales but low profit isn’t

effective as compared to low quantity sales but high profit due to limited

people to sell to. We have to rely on a lot of students because we sell a lot but

low profit. But if we sell with higher price to get higher profit, we will instead

get more sales than what we have now.

C. If we can repeat the event one more time, we would have pick a high profit

low quantity sales than having high quantity low profit sales because that way,

we will manage to get more profit in a shorter period of time.

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YOUTUBE LINK

https://www.youtube.com/watch?v=JICRveRldkQ&feature=youtu.be

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