G r o u p 3
1 . L e T h i B a o T h i
2 . D i e p D u c N g h i a
3 . N g u y e n P h u o n g T h a o
4 . V o T h i N a m A n h
5 . P h a m T h i N g o c C h a u
2
I. Introduction ... 3
II. Special product ... 3
III. Recruit staff problem ... 3
IV. Analyzing competition (SWOT) ... 4
Strength: ... 4
Weaknesses: ... 4
Opportunities: ... 4
Threats: ... 4
V. Marketing campaign (marketing MIX-4P) ... 5
Price: ... 5
Product: ... 5
Place ... 6
Promotion: Marketing campaign ... 7
VI. Financial forecast ... 8
VII. Summary ... 16
3
I.
Introduction
Stress is always a hot topic and gets an attendance of society today. Especially when the country is on the development, the stress becomes hot spots than ever before, and the expression of stress that we can easily realize that, like us, or irritable, scolding, beating more severe destruction, etc., that we can be suppressed psychological, mental restlessness, sometimes we cannot restrain yourself. That the main cause of the phenomenon is we always have to face the work pressure is too large, or the study of stress, or from the relationship is not well in the family, social ,etc., This thing get harm to ourselves and society, making life flute mix, work is not as intend ended . Meanwhile, the society does not have a model that can help us relieve stress and reduce stress effectively.
II.
Special product
According to a recent study, in Vietnam, the rate of tension people, fatigue is 52%. In Hanoi and Ho Chi Minh City, this figure up to 55%. This suggests that stress is almost a disease associated with industrial society.
Stress comes from work, financial, family, study. Everybody is also afraid stress and each person will have a different way to cope with it. Some people will find positive ways to relieve stress such as spa, travel, listen to music. Besides, there are also many people have negative reaction. They are ready to smash the furniture, cursing or very easy to get angry with people around you. If not reduce stress on time, these people will be very vulnerable to psychological inhibition, even lead to depression. Meanwhile, the society has not had a model that can help them relieve stress yet.
From the real and urgent needs of society, we have the idea formed a company to service stress. This will help people be able to relieve stress, regain self-confidence, improve quality of life, not only that but also make a small contribution to society fights off stress.
III.
Recruit staff problem
We have staff forces that are experienced and skilled. Include one manager and eight service personnel. Staff management: an expert in the field of psychology, having many experience and high expertise
The service employees were trained a short-term course of psychology by the counseling centers which connect with the company.
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IV.
Analyzing competition (SWOT)
Strength:
be the pioneer on exploring the domestic market, so the advantage of being monopoly in service is very high.Weaknesses:
The experience is low, so the capabilities to take the chance are not so sharp.Opportunities:
The company’s workforce, with spirits of the “explorers” is dreaming of success and not afraid of difficult. Viet Nam is a country that has high speed growth; the numbers of stressed, tired people countiously increase due to the pressure of works. Therefore, this is a very prominent market, can be treated as gold mine waiting for mining.Threats:
The company doesn’t have a fund of land, so company has tolease land from. This limit the expansion of new projects and upgrade of infrastructure.
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V.
Marketing campaign (marketing MIX-4P)
Price
The cost of our service will be a little high but it appreciates with what customer pay. The average cost is 100,000 VND for a compo of service. Anytime the customer comes here. They will be having 20 bottles of glass and plates. In each room will have effigy. Furthermore, if that thing is not enough for their, they can take more with cost of 3000 VND per piece.
Product
The basic attributes of the service: The unique of service is to create a place where can freely event or do anything that you can reduce stress. We have some service to satisfy customer: “Reduce stress with room’s stress”. The main function room: you can do anything you like. Customer can make anything, ex: shouting, screaming, kicking, crying, autism, without disturbing someone
About the Structure: Soundproof rooms ensure that it does not affect others, as well as make privacy for customer. On the other hand, it is also designed in privacy to help you avoid some problems due to collisions when you're in the mood.
Inside this room, there are many items such as glassware, crockery, cups, sticks, and teddy bears, pillows, papered. Customer can choose your favorite kinds and delight dam. Besides, they are equipped with personal protective equipment to avoid injury.
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Place
7
remove fatigue, stress in daily work, and bring fresh, fun for everyone. The location was chosen is not overlap or too close to other entertainment plaza as Vincom District 1, Parkson. An area is (5x20) square meters, and a price of 40 million one month. This is a good place for opening new service models: tame stress for everyonePromotion: Marketing campaign
1. Advertising on TV
- In VTV3, advertising costs about 50 million VND per block 30s. We decide to do ad 6 times ( which cost total 300 million)
2. Advertising through internet, newspaper
- Create website to introduce company with customers widely
- Create accounts on social networking sites such as Facebook, Twitter, Zing.me, YouTube to post and update information, activities or video clip of the store.
- Connect to the website selling vouchers: Example: muachung.vn, nhommua.com, …
3. Advertising by organizing activities
- Discount 10% in the day open the company, which serves light drinks free - Organize competitions with prizes between customers. Example: throw dishes, .. - Organize of activities on holidays. VD: Halloween, Christmas,
4. Advertising through customers
- Issue customer cards, VIP cards to close customer - Organize intimate meetings between VIP members
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VI.
Financial forecast
Revenue Forecasting
Unit: Thousand VND
Operating Expenses
Unit: Thousand VND
Year 1 Year 2 Year 3 Year 4 Year 5
Material Cost
Protective tools 17,600 17,600 17,600 17,600 17,600
Class bottles 1,752,000 2,044,000 2,628,000 2,920,000 3,358,000
Aid Tools 20,800 20,800 20,800 20,800 20,800
Sub-total 1,790,400 2,082,400 2,666,400 2,958,400 3,396,400
General & Administration
Labor 396,000 396,000 396,000 396,000 396,000
Renting expenses 480,000 480,000 480,000 480,000 480,000
Decorate and design 100,000 0 0 0 0
Maintenance and repair 40,000 40,000 40,000 40,000 40,000
Year 1 Year 2 Year 3 Year 4 Year 5
Turn of customers 43,800 51,100 65,700 73,000 83,950
Prices/Turns 100 100 100 100 100
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Sub-Total 1,016,000 916,000 916,000 916,000 916,000
Marketing
Online Advertising + Paper Advertising
10,000 10,000 10,000 10,000 10,000
TV Advertising 300,000 0 0 0 0
Conference Events
100,000
Sub-Total 420,000 10,000 10,000 10,000 10,000
Others Cost
Telephone + Internet 4,800 4,800 4,800 4,800 4,800
Electronic +Offices 60,000 60,000 60,000 60,000 60,000
Furniture 150,000
Sub-Total 214,800 64,800 64,800 64,800 64,800
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Income Statement
Unit: Thousand VND
Year 1
Year 2
Year 3
Year 4
Year 5
NET REVENUES
4,380,000 5,110,000 6,570,000 7,300,000 8,395,000
COST OF REVENUE
3,441,200 3,073,200 3,657,200 3,949,200 4,387,200
GROSS PROFIT
938,800
2,036,800 2,912,800 3,350,800 4,007,800
OPERATING EXPENSES
Material Cost
1,790,400 2,082,400 2,666,400 2,958,400 3,396,400
General & Administration
1,016,000
916,000
916,000
916,000
916,000
Marketing
420,000
10,000
10,000
10,000
10,000
Others Cost
214,800
64,800
64,800
64,800
64,800
Total Operating Expenses
3,441,200 3,073,200 3,657,200 3,949,200 4,387,200
DEPRECIATION AND AMORTIZATION
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EARNINGS BEFORE INTEREST &
TAXES
870,400
1,968,400 2,844,400 3,282,400 3,939,400
INTEREST PAYMENT
300,000
300,000
300,000
300,000
300,000
NET EARNINGS BEFORE TAXES 570,400 1,668,400 2,544,400 2,982,400 3,939,400
TAXES 142,600 417,100 636,100 745,600 984,850
NET EARNINGS 427,800 1,251,300 1,908,300 2,236,800 2,954,550
Free Cash Flow
Unit: Thousand VND
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Purchased
Revenue 4,380,000 5,110,000 6,570,000 7,300,000 8,395,000 - Operation expenses 3,441,200 3,073,200 3,657,200 3,949,200 4,387,200
EBITDA 938,800 2,036,800 2,912,800 3,350,800 4,007,800
- D&A 68,400 68,400 68,400 68,400 68,400
EBIT 870,400 1,968,400 2,844,400 3,282,400 3,939,400
x (1 - t) 0.75 0.75 0.75 0.75 0.75
NOPAT 652,800 1,476,300 2,133,300 2,461,800 2,954,550
+ D&A 68,400 68,400 68,400 68,400 68,400
CF Opns 721,200 1,544,700 2,201,700 2,530,200 3,022,950
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- Add Working Capital 1,000,000 0 0 0 0 1,000,000
FREE CASH-FLOW 2,940,400 721,200 1,544,700 2,201,700 2,530,200 4,022,950
PV1 638,230
PV2 1,209,727
PV3 1,525,889
PV4 1,551,819
PV5 2,183,496
NPV @ 13% 10,049,560
Cash Flow Statement
Unit: Thousand VND
Year 1
Year 2
Year 3
Year 4
Year 5
OPERATING ACTIVITIES
Net Earnings
427,800
1,251,300 1,908,300
2,236,800
2,954,550
Depreciation
68,400
68,400
68,400
68,400
68,400
FINANCING ACTIVITIES
Increase/(Decrease) Long
Term Debt
(2,000,000)
INCREASE/(DECREASE) IN
CASH
427,800 1,251,300 1,908,300 2,236,800
954,550
CASH AT BEGINNING OF YEAR
1,500,000 1,927,800 3,179,100 5,087,400
7,324,200
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Expected FCFS
Unit: Thousand VND
Year
Outcome
Probability
0
1
2
3
4
5
Game is very
successful
25%
(2,000,000) 427,800 1,251,300 1,908,300 2,236,800
2,954,550
Game sales are
acceptable
50%
(2,000,000) 299,460 875,910 1,335,810 1,565,760 2,068,185
Game sales are
poor
25%
(2,000,000) 128,340 375,390
572,490
671,040
886,365
Expected FCF
(2,000,000) 288,765 844,628 1,288,103 1,509,840 1,994,321
Payback Period
Unit: Thousand VND
YEAR
0
1
2
3
4
5
Net cash flow
(NCF)
(2,000,000)
427,800
1,251,300
1,908,300
2,236,800
2,954,550
Cumulative NCF
(2,000,000) (1,572,200.00) (320,900.00) 1,587,400.00 3,824,200.00 6,778,750.00
Payback Period PB
2.17
Discount NCF at
13%
(2,000,000)
378,584.07
979,951.44 1,322,547.62 1,371,871.33 1,603,611.37
Cumulative
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Payback Period
discounted
2.50
IRR calculation
Unit: Thousand VND
Years
Cash Flow
0
(2,000,000)
1
427,800
2
1,251,300
3
1,908,300
4
2,236,800
5
2,954,550
Cost of capital
13%
15
Return on assets + Return on equity+ Profitability
Unit: Thousand VND
Total Equity
3,627,800
5,979,100
6,887,400
7,824,200
10,278,750
Total Debt
2,000,000
1,700,000
1,300,000
800,000
0
Total assets
5,627,800
7,679,100
8,187,400
8,624,200
10,278,750
Net Earnings
427,800
1,251,300
1,908,300
2,236,800
2,954,550
Profitability
Gross Profit %
21.4% 39.9% 44.3% 45.9% 47.7%
Operating Expenses %
78.6% 60.1% 55.7% 54.1% 52.3%
Net Earnings %
9.8%
24.5% 29.0% 30.6% 35.2%
Returns
Return on Assets
7.6%
16.3% 23.3% 25.9% 28.7%
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VII.
Summary
From the real and urgent needs of society, we have the idea formed a company to service stress. This will help people be able to relieve stress, regain self-confidence, improve quality of life, not only that but also make a small contribution to society fights off stress.
With low start-up expenses and even low operating expenses comparing with the revenues, the potential business plan promises to bring about profit really quick. As can be seen from the predictions and calculations, just less two years and the firm can reach the payback point already. Moreover, the internal rate of return is very high. Based on the calculation of the return on asset and return on equity ratios, by the fifth year, the firm can turn 27.1% of its assets and equity into profit. The more the profit increases, the more it guarantees to bring the best quality to the customers.
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VIII.
References:
BUSINESS IDEAS OF RELEASE STRESS IN LIFE- NGUYEN QUANG LOI ( available on:
http://www.hoclamgiau.vn/home/MyStoryDetail.aspx?memberid=142551&id=11941 )
DO BUSINESS ON STRESS- according to“ Gia Dinh & Tiep Thi”newspaper ( available on http://www.vnexpress.vn ) THE INCOME TAX OF OPERATION ( available on :
http://www.kpmg.com/VN/Vi/Documents/Tax%20alert/Tax%20Changes%20for%202012-VN.pdf )
http://www.vatgia.com , http://www.muabanraovat.com
