Busines Plan for Marketing Project. Course code MKTG 3010

1. MARKETING PRINCIPAL
(MKTG 3010)
TOPIC: BUSINESS PLAN
BUSINESS NAME: CHILLAX SHOP
NAME MATRIC NO.
AISYAH NURHUDA BT MOHD NAZRI 1325960
AFIFAH NABILAH BT MOHAMAD SAFEI 1321976
NUR AIYSHAH BT ABD MUNI’M 1324678
NURULAIN HUSNA BT AZMI 1320654
NURFARAHANIM BT MOHD YAHAYA 1324160
MOJEEB RAHMAN WAHAJ 1212465
CHAUDHARY MUHAMMAD QASIM 1317363
Lecturer’s Name : MADAM KALTHOM BT ABDULLAH
Section : 5

2. - 2 -
Session : Semester 2, 2014/2015
TABLE OF CONTENTS
DETAILS PAGES
TABLE OF CONTENTS
1.0 COMPANY OVERVIEW
1.1 NAME OF THE BUSINESS
1.2 EXECUTIVE SUMMARY
1.2.1 LOGO
1.2.2 MOTTO
1.2.3 MISSION
1.2.4 VISION
1.2.5 OBJECTIVES
1.2.6 PRODUCTS
1.2.7 ORGANIZATIONAL STRUCTURE
1.3 COMPANY OWNERSHIP
2.0 MARKETING ANALYSIS
2.1 SWOT ANALYSIS
2.1.1 STRENGTHS
2.1.2 WEAKNESSES
2.1.3 OPPORTUNITIES
2.1.4 TREATS
2.1 MARKETING OBJECTIVES
2.2.1 SPECIFIC
2.2.2 TIMELY
2.3 TARGET MARKET
2.3.1 POTENTIAL BUYERS
2.3.2 TARGET CUSTOMERS
3.0 MARKETING STRATEGY
3.1 MARKETING MIX
3.1.1 PRODUCT
3.1.2 PRICE
3.1.3 PLACE
3.1.4 PROMOTION
4.0 FINANCIAL PLAN
4.1 CAPITAL CONTRIBUTION
4.2 SALES BUDGET
4.3 PRICING ANALYSIS
4.4 STATEMENT OF CASH FLOW
4.5 FINANCIAL STATEMENT
4.5.1 COST OF GOODS MANUFACTURED
4.5.2 COST OF GOODS SOLD
4.5.3 BUDGETED INCOME STATEMENT
4.5.4 BUDGETED BALANCE SHEET
5.0 IMPLEMENTATION AND CONTROL
CONCLUSION
APPENDIX 23 - 24

3. - 3 -
1.0 BUSINESS OVERVIEW
1.1 NAME OF THE COMPANY
The business name is CHILLAX SHOP. The word CHILLAX symbolize the combination of
words “chill” and “relax”. It describes the customers’ feelings of chill and relax when enjoying our
products. CHILLAX SHOP is established on 21st February 2015 by the agreement of 7 members of
board of directors.
1.2 EXECUTIVE SUMMARY
CHILLAX SHOP is a new independent business that will be operated in International Islamic
University Malaysia (IIUM) that serves mouth-watering desserts to the students. Unlike the other
businesses, CHILLAX SHOP focuses on selling a delicious and affordable mouth-watering desserts
that satisfy the customers’ need. CHILLAX SHOP sell delicious melty cheese cake and spaghetti
that are suitable to be eaten throughout all generations regardless of their races and ages. Furthermore,
the prices of the products are equivalent to the quality of the products served since the business aims
to get a high profit as well as providing high quality yet affordable mouth-watering desserts to the
students.
Since CHILLAX SHOP will be operated in IIUM, the potential target customers are students,
lecturers, staffs and also the visitors of IIUM. The products that will be sold are very popular among
the students especially to those who are craving for some sweets, cheesy and western desserts. The
quality is high and the taste is also more delicious than the one that are sold by the other sellers.
CHILLAX SHOP implement the concept where the customer is always right. Therefore, fullfilling the
customers’ needs and satisfactions is the top priority of the business.

4. - 4 -
In addition, nowadays, small markets are continuously evolving and thus, causing the
competition among the sellers and businesses grows day by day. However, in this situation,
CHILLAX SHOP is at advantage where it is a few steps ahead of other businesses since its target
market is an exploitable niche and the service is differentiated since the target market will still have
similar tastes, less disposable income and less sensitivity to price.
1.2.1 LOGO
The figure of a
person holds a knife
and a fork formed
by the combination
of plate, fork, knife,
moustache and
hands shows that
our products are
ready-to-eat food.
The word ‘Shop’
represents the
selling activities of
the business.
CHILLAX is the name of the business
which represents the combination of
words ‘Chill’ and ‘Relax’
This chef hat represents
the chef’s activity to cook
the product.
This sentence represents the business’ slogan/motto
which is ‘Chillax with Spaghetti & Cheese’.

5. - 5 -
1.2.2 MOTTO
Our business’ motto is “Chillax with Spaghetti & Cheese”.
1.2.3 MISSIONS
 To ensure that each of our customers receives professional, friendly and courteous services
from us.
 To make sure that our company provide food at a fair price, nutritional, well prepared meals by
using only quality ingredients.
 We insist to sell all of our products during the Marketing Project Week.
 To ensure the customers’ satisfaction by fulfilling the customers’ demand and their needs.
 To earn the maximum profits and reduce the costs without ignoring the customers’ maximum
satisfactions.
1.2.4 VISIONS
 To widen our business and serve the students with the best service.
 To be a profitable and competitive business in the future.
 To be the best and recognized food business in IIUM.
1.2.5 OBJECTIVES
 To apply the knowledge that we learn in MKTG 3010 in the real world.
 To make profit from the sales and donate a portion of it to the charity organisation.

6. - 6 -
1.2.6 PRODUCTS
CHILLAX SHOP will offer the customers with mouth-watering desserts consist of Spaghetti
Bolognese and Melty Cheese Cake. Spaghetti Bolognese will be made by our own chef while the
Melty Cheese Cake will be ordered from a supplier. We use halal and tasty ingredients to cook the
spaghetti and its sauce. The cakes are also bought from a recognized and halal certified supplier.
1.2.7 ORGANIZATIONAL STRUCTURE
Melty Cheese Cake Spaghetti Bolognese
Aisyah Nurhuda bt Mohd Nazri
(MANAGING DIRECTOR)
Afifah Nabilah bt Mohamad Safei
(ADMINISTRATIVE MANAGER)
Nur Aiyshah bt Muni’m
(FINANCIAL MANAGER)
Nurfarahanim bt Mohd Yahaya
(OPERATIONAL MANAGER)
Mojeeb Rahman Wahaj
(PRODUCTION MANAGER)
Chaudhary Muhammad Qasim
(CUSTOMER SERVICE MANAGER)

7. - 7 -
1.3 COMPANY OWNERSHIP
CHILLAX SHOP is a partnership business which is formed through an agreement between
seven shareholders; Aisyah Nurhuda, Afifah Nabilah, Nur Aiyshah, Nurfarahanim, Nurul Ain Husna,
Mojeeb Rahman and Mohd Qasim. The business will be based in International Islamic University
Malaysia (IIUM) and will start operating during the Marketing Project Week.
2.0 MARKETING ANALYSIS SUMMARY
CHILLAX SHOP aims to be the most leading business that serve foods to the students in
International Islamic University Malaysia (IIUM). We use SWOT analysis to get to know the survival
ability of the business. Then, we make sure that we have marketing objectives that need to be achieved
as soon as the business starts. We find the potential customers to our business and decide who will be
our main target market by doing the market segmentation analysis using some factors.
2.1 SWOT ANALYSIS
We analyse the market using SWOT analysis by identifying and evaluating the business’
strengths, weaknesses, opportunity and threats. This analysis is very important to ensure the survival
of CHILLAX SHOP in todays competitive business world and thus be a successful business in IIUM.
STRENGTHS WEAKNESSES
Nurulain Husna bt Azmi
(MARKETING MANAGER)

8. - 8 -
 Members have knowledge in business.
 Have a good relationship with the
customer.
 High quality of food.
 Too much spending on expenses.
 Products may be expensive to certain
students.
 Financial matters.
OPPORTUNITIES THREATS
 Generate side income to cover daily
expenses.
 Increase in demand for new products.
 High competitions among competitors.
 Changes in consumer’s income.
 Difficulties in dealing with suppliers.
2.1.1 STRENGTH
 Members have knowledge in business.
Some of our members have experience in doing business. So, we can get some advices
and tips from them to ensure that our business will be running smoothly.
 Have a good relationship with the customers.
Our main policy is “customer is always right”. Having a good relationship with the
customers is one of the most important part to fulfill our business’ policy . In addition,
CHILLAX SHOP also applies the marketing concept of customers’ orientation where we take
serious concerns on the needs of the society.
 High quality of food.
We make some researches and surveys to get to know the suppliers who can provide us
with high quality and mouth-watering melty cheese cakes at a lower cost so that we can sell them
to the customers at a cheaper and affordable price. The ingredients of the spaghetti bolognese are
also from high quality and halal ingredients.

9. - 9 -
2.1.2 WEAKNESSES
 Too much spending on expenses
Since all of us are still students and do not have any kind of transports, we will incur
some recurrent transportation expenses (for fuel and rental fees) to go to the supermarket to
buy the ingredients.
 Products might be very expensive to certain students.
As our target market is mainly for the students, the products might be very expensive to
them especially for those who do not have enough money.
 Financial matters.
We cannot simply sell our products without being concern on ones’ welfare. For
instance, we purchase for high quality of food and ingredients at a high cost but after we add
markup to the cost and adjusted the selling price to be an affordable price for all customers, the
profits sometimes is lower and nearly zero. Hence, this situation sometimes would give
financial conflicts to the business.
2.1.3 OPPORTUNITIES
 Increasing demand for the products
After all of the promotion strategies were done, more people will know about our
products and this will increase the demand of our products.

10. - 10 -
2.1.4 THREATS
 High competitions among competitors
CHILLAX SHOP has a quite number of competitors. As we know, CHILLAX SHOP
offers mouth-watering desserts which are very demanded by the customers and also favourable
by the sellers to sell this products.
 Changes in consumer’s income
Consumer income is one of the factors that will influence the consumer’s behaviour
and consumer’s preferences. If the personal income of the consumers decreases, their
purchasing power towards our products will also decreases. This is because, the consumer will
be wiser in spending their money. They will consider between two aspects which are their
income and the benefits or impact of buying the products.
 Difficulties in dealing with suppliers
Miscommunication is always being the most important thing that should be avoid when
dealing with either suppliers or customers. Since we are communication with the suppliers
through phone, there might be some chances for this miscommunication problem to happen
between us. This is the main difficulties that we have to face when making a deal with them.
2.2 MARKETING OBJECTIVES

11. - 11 -
CHILLAX SHOP’s aim is to retain its position as the leading distributor of delicious spaghetti
bolognese and melty cheese cakes in IIUM and to gain more market shares. The marketing objectives
of the company are best described as :
1. To achieve the integrity and image of our products.
2. To provide the highest possible standard of services to our customers.
3. To ensure the business achieves, maintains and grows an adequate level of profitability.
2.2.1 SPECIFIC
Within a month, we are going to set up a stall in IIUM to sell our products during the
Marketing Project Week, in which, it will allow us to get benefits financially from our favorite food.
At the beginning of the period, we will have an inventory of 20 plates of spaghetti bolognese and 20
pieces of melty cheese cakes. As what we have discussed in our meeting, we aims to sell around 20
plates of spaghetti bolognese and 4 pieces of melty cheese cake per day by building customer
relationships through the words of mouth, referrals and also local networking.
Our income per day will be approximately around RM 114. Our capital investment is RM 350.
We will also offer some discounts and promotion price as well to boost our sales. If the business runs
smoothly, we are willing to add more stocks into our inventory.
2.2.2 TIMELY
Our booth will commence on week 13 during the Marketing Project Week and will last for a
week. Each employee is expected to attend the whole week until the end of the Marketing Project
Week. We want to increase our revenue throughout the week. We will try to increase the rate of the
customers who give positive feedback to our customers.
In our marketing plan, we plan to establishe a happy hour time, in which we will give
discounts on our products during the hour which is from 3 pm to 4 pm everyday.

12. - 12 -
2.3 TARGET MARKET
Since we are doing a small business in IIUM, our target market involves two categories of
customers:
1. Potential customers (buyer).
2. Target costumer.
2.3.1 POTENTIAL BUYER
Potential customers are the individual who is capable of becoming a purchaser of our products.By
knowing who are the potential customers of our products, we can determine the target market of our
products. Our potential customers are all the students, lecturers, staffs and the visitors of IIUM and not
to forget, also those who are willing to buy our product.
2.3.2 TARGET COSTUMER (TARGET MARKET)
The key group of potential customers is known as our target customers, the group of people who
are most likely to buy our products. For the segmentation of this category we use the following
factors:
 Geographic
 Demographic
 Psychographics
 Behavioral
GEOGRAPHIC

13. - 13 -
We are doing a small business and our service is just limited to IIUM which is located in Kuala
Lumpur. We cannot offer our products to those people who are living outside the university. However,
if they are able to come to our stall inside IIUM we can also sell to them.
DEMOGRAPHIC
Segmentation according to demography is based on the variables such as age, gender, occupation,
religion, education level and nationality.
 Age: Basically our product is not just for people with a specific range of age, it means that
everyone (teens, child, old men andwomen) can consume it. But our main target is the students
with the age of 18-40 years old.
 Gender: We are selling our products to both male and female students in IIUM.
 Income: Our products are affordable in price, therefore, students in each category (high,
medium, and even low) level of income can buy them.
 Education: We are selling cheese cake to the students of any level of education
(undergraduate, post graduate, PHD, and even to lecturers) who are living in IIUM.
 Religion: Our main target is Muslim consumer, because our product is produced using halal
ingredients and we are selling it in IIUM where the majority of the students are Muslim.
 Nationality: There is no limitation of races and nationality of our costumers. The reason is that
we are doing business in an international and multi-cultural university (IIUM) which have
student from all over the world, Asia, Africa, Europe and America.
PSYCHOGRAPHICS
In this segment, we are trying to collect analysis of consumer lifestyles in order to create a detailed
customer profile. It may be impossible for us to conduct a complete psychographic research just by

14. - 14 -
asking consumers to agree or disagree with activities, interests, opinions statements. But we just
simply put it as follows:
 Lifestyles: We are mostly focusing on individual costumer and students of IIUM.
 Interest: We are attracting most of those customers who are interested in our products.
BEHAVIORAL
This grouping patterns may include such behaviors as spending, occasion, usage, and desired
benefits.
 Usage: we are willing to have all types (light, medium and heavy user groups) of our products
consumer.
 Occasions: We encourage our customers to eat our products whenever and wherever they
want at any occasions because our products is just mouth-watering desserts which are not
related or bound to any specific eating time.
3.0 MARKETING STRATEGY
3.1 MARKETING MIX
3.1.1 PRODUCT STRATEGY
We have done a survey to know which food that students are craving or demanding for. The
result shows that students want food that is affordable yet high quality and quantity that can give them
higher satisfactions. Then, we decided to sell melty cheese cake and spaghetti bolognese. Our product

15. - 15 -
is a consumer product and categorized under convenience product since the products are bought to
satisfy an individual needs, craving and not expensive.
The supplier for melty cheese cake is ZAD Resources Sdn. Bhd. we found this supplier by the
recommendation of our friends. The company only produces melty cheese cakes with 7 different
flavors which give 7 different tastes. And of course all of those flavors are tasty. Meanwhile, spaghetti
bolognese is a manufacturing product where we cook the spaghetti using high quality and halal
ingredients on our own.
Furthermore, our products’ packaging uses persuasive labelling. The label on the packaging
has a very unique design that is very persuasive. The label also promotes our business since we also
put the details of our business in that label.
3.1.2 PRICE STRATEGY
Before we priced our products, we did a research on the current price of the products in the
market. We realized that some sellers sell the products at a very high price but the quality and quantity
of the food cannot satisfy the consumer needs. So, we decided to put a suitable and affordable price on
our products so that all customers can satisfy their needs with a high quality yet affordable products.
The prices are as follows:
 Melty Cheese Cake: RM 6 each
 Spaghetti Bolognese: RM 4.50 each.
3.1.3 PLACE STRATEGY
CHILLAX SHOP will set up a stall in IIUM during the Marketing Project Week in order to
sell the products which are spaghetti bolognese and melty cheese cake. Both potential and target

16. - 16 -
customers can get the products by visiting our stall or by placing their orders on facebook using
hashtag Chillax (#Chillax). Delivery services will also be provided if the demand increases.
3.1.4 PROMOTION STRATEGY
CHILLAX SHOP will advertise the products through posters, flyers, social medias and by the
circle of influence, where each of the members will promote the products to their fellow friends and
families. Besides, we will launch the ‘Hashtag Chillax (#Chillax)’ campaign on facebook, instagram
and twitter to promote our stall and products. Then, we will also provide a happy hour time for the
customers to buy our products at a cheaper price.
4.0 FINANCIAL PLAN
4.1 CAPITAL CONTRIBUTION
To start the business, each of the members will contribute RM 50 as the capital investment. In
total, it will bring in RM 350 amount of cash into the business.
4.2 SALES BUDGET
CHILLAX SHOP
Sales budget for 5 days
(Spagheti)
DAY 1 DAY 2 DAY 3 DAY 4 DAY 5 TOTAL
(WEEK)
Budgeted sales
(packets) 20 20 20 20 20 100
Selling price per
packet 4.50 4.50 4.50 4.50 4.50 4.50
Sales revenue (RM)
90 90 90 90 90 450

17. - 17 -
CHILLAX SHOP
Sales budget for 5 days
(Cheese cake)
DAY 1 DAY 2 DAY 3 DAY 4 DAY 5 TOTAL
(WEEK)
Budgeted sales
(packets) 4 4 4 4 4 20
Selling price per
packet 6.00 6.00 6.00 6.00 6.00 6.00
Sales revenue (RM)
24.00 24.00 24.00 24.00 24.00 120
4.3 PRICING ANALYSIS
The business uses cost-plus pricing method in order to set up the product price. The price is
affordable to cover all the cost incurred in making of the product.
COST-PLUS PRICING
Price = Cost + (Markup percentage x Cost)
Spaghetti = 3.50 + (30% x 3.50)
= RM4.50
Cheese cake = 4.00 + (50% x 4.00)
= RM 6.00
4.4 CASH FLOW STATEMENT
CHILLAX SHOP
Statement of Cash Flow
DAY 1 DAY 2 DAY 3 DAY 4 DAY 5
Starting Cash 350.00 373.00 396.00 419.00 442.00
Cash Receipts:
Sales - spaghetti
-cheese cake
90.00
24.00
90.00
24.00
90.00
24.00
90.00
24.00
90.00
24.00
TOTAL (RM) 114.00 114.00 114.00 114.00 114.00

18. - 18 -
Cash Payments:
Cost of production for
-spaghetti
-cheese cake
Advertising
Transportation
70.00
16.00
2.00
3.00
70.00
16.00
2.00
3.00
70.00
16.00
2.00
3.00
70.00
16.00
2.00
3.00
70.00
16.00
2.00
3.00
TOTAL (RM) (91.00) (91.00) (91.00) (91.00) (91.00)
CASH BALANCE (RM) 373.00 396.00 419.00 442.00 465.00
4.5 FINANCIAL STATEMENT
4.5.1 COST OF GOODS MANUFACTURED
CHILLAX SHOP
Schedule of Cost of Goods Manufactured per day
RM RM
Direct Material: Raw material Inventory,Beginning -
Add: Purchases of raw materials 70.00
Raw materials available for use 70.00
Less: Raw material inventory, Ending -
Raw material used 70.00
Manufacturing Overhead:
Container and spoon 30.00
Total Manufacturing Overhead 30.00
Total Manufacturing Costs 100.00
Add: Work-in-process inventory, Beginning -
Subtotal 100.00
Less: Work-in-process inventory, Ending -
Cost of goods manufactured RM 100.00
4.5.2 COST OF GOODS SOLD
CHILLAX SHOP
Schedule of Cost of Goods Manufactured per day
RM

19. - 19 -
Cost of goods manufactured 100.00
Add: Beginning finished-goods inventory -
Cost of goods available for sale 100.00
Less: Ending finished-goods inventory -
Cost of goods sold RM 100.00
4.5.3 BUDGETED INCOME STATEMENT
CHILLAX SHOP
Budgeted Income Statement for a week
RM RM
Sales Revenue
Spaghetti 450.00
Cheese Cake 120.00
570.00
Less: Cost of Goods Sold
Spaghetti 350.00
Cheese cake 80.00
430.00
Gross Profit 140.00
Less: Operating Expenses
Advertising 10.00
Transportation 15.00
Total Operating Expenses 25.00
Net Income RM115.00
4.5.4 BUDGETED BALANCE SHEET
CHILLAX SHOP
Budgeted Balance Sheet for a week

20. - 20 -
RM RM
Current Assets
Cash 465.00
Total Assets 465.00
Liabilities -
Owner Equity
Capital 350.00
Net Income 115.00
Total Liabilities and Owner Equity 465.00

21. 5.0 IMPLEMENTATION AND CONTROL
WEEK/ACTIVITY
PERSON
IN
CHARGE
(PIC)
2 3 4 5 6 7 8 9 10 11 12 13 14 15
ACTION, IMPLEMENTATION AND CONTROLLING PHASES
1. Collect money from each members for the capital
investment (RM 50 each / RM 350 in total).
Aiyshah
Muni’m
2. Find and make a deal with Melty Cheese Cake
supplier. (Analyze and choose the best supplier
that we can get).
Aisyah
Nurhuda,
Farahanim
3. Find the place to buy Spaghetti Bolognese
ingredients (Choose the least cost but high quality
and halal ingredients).
Afifah
Nabilah,
Ain Husna
4. Starting to promote the upcoming business for
Marketing Project Week (Invite as many students
as we can to come to our booth later on).
Ain Husna,
Mojeeb,
Qasim
5. Order 20 boxes of Melty Cheese Cake from the
suppliers (Products should be received the day
before the Marketing Project Week started).
Aisyah
Nurhuda,
Farahanim
6. Buy ingredients to make Spaghetti Bolognese. Afifah
Nabilah,
Ain Husna,
Aiyshah
MARKETING PROJECT WEEK

22. - 22 -
1. Cook Spaghetti bolognese at 4.30 am everyday
throughout the project week.
Afifah,
Aisyah,
Aiyshah
2. Prepare for the business presentation. Mojeeb,
Qasim,
Farahanim
3. Collecting datas and records for business reports.
(Taking pictures and calculating the cash inflow
and outflow).
Mojeeb,
Qasim,
Aiyshah,
Ain Husna
4. Develop and finish the business report. Farahanim,
Ain Husna,
Mojeeb,
Qasim,
Aiyshah,
Afifah,
Aisyah
Nurhuda
1. Submit business report
(Due date: Monday, 11th May 2015 before 5 pm)
Afifah
•
2. Evaluation Lecturers

23. CONCLUSION
This marketing project proved to be helpful to all of us. We were able to plan and execute a
business in detail even though our business is small and did not get a lot of profit. From the report, we
have learnt a lot about the process of starting up a business. We gained a lot of experience how to
handle the business as well as the operation and what a business has to undergo to become successful
by conducting this report. In addition, we have also learnt about the risk we have to face and how to
overcome the risks. Through perseverance and hard work, we were successful to achieve our budget.
This project also helps to enhance our entrepreneurship skills. In the near future, we are looking
forward to continue our business venture, Insha Allah.

24. - 24 -
APPENDIX

25. - 25 -