Business Development Proposal (Kiddo Watch) Dr. Robert Suban 31/01/2019

Anglia Ruskin University
LM0038KEAKEA1017
Ulker Begum Ishchy
MBA Full –Time
Final Project
Business Development Proposal
(Kiddo Watch)
Dr. Robert Suban
31/01/2019

Executive Summary
This business development proposal encompasses a proposed idea of opening up a new
business of kid’s GPS-enabled watches in the electronics sector of Malta. The report contains
the details of the market feasibility analysis, the business model, marketing strategies and an
array of other policies that have reflected opportunities of growth, success and profitability of
the business. The name of the business is coined “KiddoWatch” which will manufacture and
sale the highly advanced and unique GPS-enabled watches for the children such that their
parents are able to track them all the time. The idea is to provide the working parents
facilities of monitoring their children when they are away in their workplace. The parents
would be able to track the movements of their children and would also be able to take
precautionary and active measures in times of emergency. This watch will be manufactured
with high quality ingredients so as to take care of the tender skin of the children. The watch
will also be able to track the footsteps and pulse rate of the children and the information will
be notified to the synchronized smart device application. The parents could download a
mobile application and install them in their smart phones or any other Android and iOS
enabled smart devices. The analysis of the contextual factors in Malta has shown positive
prospects for the business to achieve fruition. The watch will be exclusively for the children
and the company wants to target working parents of Malta. There will be different channels
of distribution to reach the products to the target customers. The company is going to provide
unique features to the target customers and hence, it is quite feasible for the company to gain
success. The market and the industry have ample potentials for a startup like KiddoWatch.
The smart watch segment of Malta market and industry is growing and there is scope to
revolutionize. The proposal is quite feasible and it is expected that the company will be able

to make money with its highly differentiated and unique deliverable. The report has entailed
an effective feasibility analysis along with intricate analysis of the vital areas which have
indicated the potential success of the business proposal.

Table of Contents
Executive Summary...................................................................................................................2
1 Chapter 1: Introduction ...................................................................................................10
1.1 Rationale....................................................................................................................10
1.2 Design and structure of the report.............................................................................11
1.3 Relevant models and Information Sources Used.......................................................12
1.4 Assumptions..............................................................................................................12
1.5 Timescale for achievement........................................................................................13
2 Chapter 2: The Business Concept....................................................................................14
2.1 Products and services................................................................................................14
2.2 Target Market............................................................................................................14
2.2.1 Market Segmentation.........................................................................................14
2.2.2 Positioning..........................................................................................................15
2.3 Value Added..............................................................................................................16
2.4 Specific Features.......................................................................................................16
2.5 Involved Entities........................................................................................................16
2.6 Window of Opportunity............................................................................................16
3 Chapter 3: Feasibility Research.......................................................................................18
3.1 Feasibility Research Plan..........................................................................................18
3.2 Research Methodology..............................................................................................19
3.2.1 Secondary Research...........................................................................................19

3.2.2 Data Collection...................................................................................................19
3.2.3 Data Analysis.....................................................................................................20
3.3 5 Key Areas of Feasibility Research.........................................................................20
3.3.1 Industry..............................................................................................................31
3.3.2 Market................................................................................................................33
3.3.3 Organizational....................................................................................................37
3.3.4 Financial.............................................................................................................38
3.3.5 Breakeven Analysis............................................................................................39
3.3.6 Return on Investment and Profit Margin...........................................................40
3.4 Results of the Research in terms of Ambition Vs Ability.........................................41
4 Chapter 4: The Business Model.......................................................................................42
4.1 Introduction to Business Model.................................................................................42
4.2 The Core Strategy......................................................................................................43
4.3 Business Model Canvas revise title of section Business...........................................43
4.3.1 Value Proposition...............................................................................................45
4.3.2 Customer Segmentation.....................................................................................46
4.3.3 Channel..............................................................................................................47
4.3.4 Customer Relationship.......................................................................................48
4.3.5 Revenue Stream.................................................................................................49
4.3.6 Key Activities.....................................................................................................50
4.3.7 Key Resources....................................................................................................51

4.3.8 Key Partners.......................................................................................................51
4.3.9 Cost Structure.....................................................................................................52
5 Chapter 5: The Business Plan..........................................................................................53
5.1 The Watch Industry in Malta.....................................................................................53
5.2 Project Planning and Development Stages................................................................54
5.3 Product Design..........................................................................................................56
5.4 Marketing Plan..........................................................................................................57
5.4.1 Retail Outlet Marketing Strategies.....................................................................57
5.4.2 Online Marketing Strategies..............................................................................58
5.5 Management Structure...............................................................................................58
5.6 Operating Process......................................................................................................59
5.7 Financial Plan............................................................................................................60
5.7.1 Start-up Cost.......................................................................................................60
5.7.2 Projected Profit & Loss......................................................................................61
5.7.3 Projected Cash Flow..........................................................................................63
5.8 Critical Success Factors.............................................................................................65
5.9 Risk analysis with risk matrix – impact/probability..................................................65
5.10 Exit Strategy..........................................................................................................69
5.11 Viability.................................................................................................................69
6 Reference list....................................................................................................................71
7 Appendix..........................................................................................................................75

List of Acronyms & Abbreviations:
GPS- Global Positioning System
PESTLE- Political, Economic, Social, Technological, Legal, Environmental
iOS- iPhone Operating System
UK- The United Kingdom
US- The United States of America
CEO- Chief Executive Officer
CFO- Chief Financial Officer
MDC- Malta Development Corporation
ROI- Return on Investment