Indiherbs Business Plan

This business plan details the launch of Indiherbs, a retail store in Malta offering Ayurvedic products imported from India. It covers market research, financial projections, marketing strategies, and potential risks, aiming to establish Indiherbs as a successful player in the Maltese market.

BUSINESS PROPOSAL

EXECUTIVE SUMMARY
The present business proposal is on Indiherbs, which is going to be established their
business in St. Julian's, Malta in Health and care sector. The idea is completely based on herbal
Ayurvedic products which will be offered in the store of Indiherbs, also these products will be
available in the shopping mall and e-commerce sites in St. Julian's, Malta. The place where the
store is going to be launched is covered with a peaceful environment with long green trees, thus
the place is famous for its greenery. This place not only gain the attention of the tourists but it
also influence the peoples who love to sit in the peaceful environment. Sitting in a peaceful
environment is good for the health and is the natural treatment by which an individual can get rid
of their diseases.
The location where Indiherbs has opened its outlet is the place where most people like to
come and visit that peaceful environment, it place will easily gain the attention of various
customers. The estimated profits of Indiherbs in the starting year will going to be €6500, and this
ratio will going to be increases every year. In the starting phase of opening the store, the target of
Indiherbs is to get successful in Malta and attain their desired goals. The company can
accomplish their goals by expanding their business in international market. This has been
analysed by the higher authority of Indiherbs that their profits will be increased by 20% every
year. Also the revenue of the company will increasing in the upcoming years.
Indiherbs has opened their outlet in private sector and registered the firm as private
company in St. Julian's, Malta. This will going to be operated by six shareholders which are
highly skilled and have the safe career and they are going to manage the business activities of
Indiherbs. The company had targeted the peoples of all age as everyone is conscious about their

health. The prices of Ayurvedic products of Indiherbs are moderate so that each individual can
able to afford that. By this, the company can gain the customer base and can also able to satisfy
the needs of customers.
In present context, business opportunity of Indiherbs has been accessed by following
both the primary and secondary sources of data collection in the effective time frame. Various
advertisements sources are also used to advertise their products among huge number of peoples
of St. Julian's in Malta. Therefore, this feasibility test have contributed in accessing the
information through which it can identify that the scope of the Ayurvedic products of Indiherbs
in Malta is large or not. Therefore, it can be said that business opportunity for Ayurvedic product
is very wide and profitable for Indiherbs in St. Julian's, Malta.

Table of Contents
EXECUTIVE SUMMARY ............................................................................................................2
TOPIC- Business plan of importing Ayurvedic Products from India and starting a retail store in
Malta which do sales and distribution of the same on the Maltese market.....................................1
BUSINESS DEVELOPMENT REPORT........................................................................................1
Introduction......................................................................................................................................1
Rationale.....................................................................................................................................1
Vision..........................................................................................................................................2
Mission........................................................................................................................................2
Design and structure of report.....................................................................................................3
Relevant Models and Information sources used.........................................................................4
Assumptions................................................................................................................................4
Timescales for Achievement.......................................................................................................5
BUSINESS CONCEPT...................................................................................................................5
Product and services....................................................................................................................5
Target Market..............................................................................................................................7
Value Added................................................................................................................................8
Specific features..........................................................................................................................8
Who is involved..........................................................................................................................8
Windows of opportunity.............................................................................................................9
FEASIBILITY RESEARCH...........................................................................................................9
The Feasibility Plan...................................................................................................................10
Primary and Secondary data needs...........................................................................................10
Research Methodologies...........................................................................................................11
Secondary Research..................................................................................................................11
PORTER'S FIVE FORCES MODEL OF INDIHERBS................................................................18
Financial feasibility .......................................................................................................................21
Start-up Capital.........................................................................................................................21
Ambition Vs Ability..................................................................................................................25
The Business Model.......................................................................................................................25

The Core Strategy.....................................................................................................................25
Business Canvas Model............................................................................................................26
THE BUSINESS PLAN ...............................................................................................................32
Critical Factor for Success........................................................................................................36
Visibility of the plan..................................................................................................................38
Visibility of budget and investment..........................................................................................39

TOPIC- Business plan of importing Ayurvedic Products from India and
starting a retail store in Malta which do sales and distribution of the same
on the Maltese market.
BUSINESS DEVELOPMENT REPORT
Introduction
Business proposal can be defined as a document that basically consist with a offer that is
being given by a seller so that buyers requirements could easily gets filled (Bainbridge, 2016). In
the same way a new proposal has been developed considering a new business company named as
“Indiherbs” which is going to offer customers with Ayurvedic products in marketplace of Malta.
A retail store where Ayurvedic products are exclusively going to be imported from India which
is famous for its Ayurvedic medicinal herbs. In present time, Ayurveda which is a form of
medicine originated from India which finds out the root of disease and aid in eliminating it in
specific time frame. Another name of Ayurveda is science longevity and here main advantage
that Maltese can have of this new business is that Ayurvedic products basically do not smother
which means it do not disturb components which were the cause of disease. Away with this,
rooted in antiquity, Ayurveda is based on universal principles and is a living, growing body of
knowledge - as useful today as it was in earlier centuries. On the other hand, Malta in present
time is carrying a good potential at international market and has became a country with ample
number of opportunities for people that has unique ideas in their minds for starting a new
business. Ayurveda India has been Ayurvedic products that are built with natural herbs and stays
free from various things that are harmful for human body like synthetic chemicals and more.
This unique idea is going to be highly beneficial for both buyers and sellers as it will deliver
quality life to consumer and high profit margins to Indiherbs.
Rationale
Basic principle behind developing the business idea is that people in all over world are
becoming much more health conscious so that they do not face any sort of problem and live a
happy & healthy life. Thus, opening a retail store consist with Ayurvedic products at Malta is
going to be highly beneficial in both the sense products and services. On the other hand, there are
some basic benefits of Ayurvedic products that targeted people of Malta would need to
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understand and these are: Healthy diet, now a days people are very health conscious and the
Ayurvedic product is made up from natural herbs which helps in glowing skin, weight loss,
maintenance of body (Charter, 2017). So this is the best way of attracting the customers towards
their Ayurvedic products. For the better life and for fitnesses, people will prefer Ayurvedic
product. Products of Ayurveda change the Lifestyle of the people too.
After consumption of Ayurvedic products people see the positive changes in their life, it can be
said that Ayurveda products helps in Reducing stress, depression and anxiety in human beings
which also result in removing physical and mental stress. The Ayurvedic product also helps in
controlling and improving diabetes and blood pressure. Main motive of products of Ayurveda is
that it maintain the overall balance (internally & externally) in human body which helps in
improving the entire body. The mental balance helps in improving or increasing the level of
concentration. Ayurvedic products is a long term approach for boosting up the energy level
because an individual can do various things at a time so it is a very good thing for boosting up
the energy.
From the research, it is found that the people are suffering from health and skin related
issues from the consumption of normal products (Chattaraj, Mazumder and Lahiri, 2018). From
the result it is found that the side effect of artificial product is increases so, its provided an
opportunity to “Indiherbs” for starting the business with Ayurvedic products in Malta. Because
here company has a good transportation facilities, easily availability of raw materials and
resources which are essential for making the Ayurveda products of Indiherbs. The location of
this business is in St. Julian's, Malta because here it will cover the huge number of people which
helps in attracting large number of customers and building brand image in the market for using
good quality of Ayurvedic products.
Vision
In present context, Indiherbs' vision is “To become one of an identical brand in Maltese
market through offering targeted customers with Ayurvedic products”.
Mission
Mission of Indiherbs is “To offer customers with good quality Ayurvedic products so that
their living standards could be raised.”
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Design and structure of report
Basically present business proposal is going to be enclosed with five different sections
and these are given beneath:
Introduction :
Primal section where introduction of the business purpose, rationale and along with
significant brief description is being given by researcher of topic and about business idea
(Cosgrove and Rijsberman, 2014). In present business development plan, it will also cover
rationale of business idea, vision, mission of business company, considering future assumptions
that retail store would help business person in gaining good reputation, high profit margins and
more at Maltese market.
Description about business concept :
In this section we are going to mention proper description of the business which is
offering Ayurvedic Products in Malta by opening a retail store. This includes all the details
relating to the target market, about the products and services offered by them, special features of
the products, and all the information about the people who are going to implement this business
plan (Croce, Tenca and Ughetto, 2017).
Feasibility research :
This section will describe the detail information about the business area, all the
quantitative and qualitative measures which will be taken to run the business. This will help in
analysing the market situation whether this business will sustain in the market or not.
The Business Model :
This section will now provide information regarding business models. It provides the
detailed description about each and every elements by which an organisation is to build. For
gaining competitive advantages in the market various strategies and policies will be used by
“Indiherbs”.
The Business Plan :
This section will discuss about the overall business plan. This will help in getting
overview about the risks, threats and opportunities faced by the business (Cronstedt and
Thompson, 2016). In addition to this, it will also provide a view about the expected budget and
investments which is going to be made in this business.
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Relevant Models and Information sources used
Present business proposal is going to be enclosed with secondary along with the primary
sources which are two different method of data collection. If it is talked about primary data
collection method, researcher will use questionnaire that is going to be enclosed with a range of
questions and will cover targeted customers at Malta. Along with this, if it is talked about
secondary method, which consist with online articles, journals, books and more could effectively
utilised in order to obtain desired views on the same concept from different people (Edwards and
et. al., 2015). On the other hand, different models like Porter's five forces analysis model is also
going to be used which will specifically aid in understanding the competition level at Malta in
same sector i.e. Ayurvedic products industry. Considering these models, it can easily be said that
actual scenario under Maltese market is carrying and through this, overall scope of business
proposal can easily be developed.
Assumptions
At the time of developing BDP for Indiherbs, business person gets the knowledge that not
only in Malta but in all over the world people are becoming health conscious and are well known
for the side effects that allopathy or other synthetic products carries on human body. High
cholesterol has given, high stress level, uncertain weight loss, hormonal imbalance and more are
some of issues that people faces and uses different chemicals based products that could harm
other parts of the body (Ganesan and Choi, 2016). This awareness among targeted customers at
Maltese market could help Indiherbs to bring healthy Ayurvedic products with basically possible
chances of success for organisation in this location. Thus, it is being assumed by the company
that if they will use complete herbs and offer quality products to health conscious people at
Malta, then they will definitely accept it as it will not harm their body.
On the other hand, owner of Indiherbs is expecting a good start because based on the
investigation people in Malta are becoming more health conscious and the way time will pass, it
will definitely get enhanced. As per the estimation, it can be said that in the 1st year of business
Indiherbs it will get around €9,000 as a revenue. It further increases with approximately 15% in
next year. This enhancement of percentage ratio of revenue will going to be raised with the
passing years.
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Timescales for Achievement
The project will be initialize on the date March 25, 2019. The market research will going
to be conducted on this concept before ending of the April month in order to identify potential
risk for Indiherbs company in Malta. The specific place or location for launching the retail outlet
will be finalised in the first week May. Along with this, proposal will be prepared to gain the
attention of the potential investors, who are going to invest in the new launching retail store. The
investors resolve the issues related to fund (Greasley, 2017).
After this, the legal formalities will going to be completed till June. After completing all
these activities, owner of Indiherbs will link to various consultancies firms in order to recruit and
select best suitable candidate with good skills, and should have experienced of working in any
Ayurvedic retail store, so that they could work with this company for long period. The entire
process will going to be concluded till the end of September. As per overall work process, it is
analysed that Indiherbs will going to open its formalized agency and health and care industry in
the starting of next year and their products will be available in all of Ayurvedic retail store of
Malta from 1st of February, as after setting entire process.
BUSINESS CONCEPT
Indiherbs is a retail store belongs to Health and care industry which will offer herbal and
Ayurvedic products in Malta. The company is totally self-dependent and going to start this store
by their own, from initialising to rendering services to their potential customers (Hassen, Turki
and Gargouri, 2016). The team of research and development department will going to work on
analysing the natural herbs, as different herbs have different healing power, the Ayurvedic
products do not contain any harmful ingredients and can be used safely. The scope of these
Ayurvedic products of this company will give opportunity to the peoples of Malta and keep them
safe by taking care of their health with chemical free products.
Product and services
Indiherbs is basically going to offer huge range of products to targeted customers in
Malta. Indiherbs has chosen Planetexim company for importing Ayurvedic products from India
through the medium of sea and it is also going to track shipment activity in order to fulfil
requirements of customers at Malta. They also takes a critical decision on time which enhance
their growth and success (Mohammad Azmin and et. al., 2016). It proffer fastest and precise
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method for maintaining position and level in the market. Indiherbs purchased their products from
Patanjali Ayurvedic company. They make their products from natural herbs and there is no side
effect of them. Its products portfolio is divided into some sub sections, every section contains
many products that are defined as below:
Skin care Body care Hair care Ayurvedic Therapy
Natural neem juice
Rogan almond oil
Noni juice
Althea lotion
Aloe vera gel
Anti aging cream
Rose jasmine face
cleanser
Natural sun protection
Ayurvedic shower gel
Sandalwood & Orange
peel spray
Facial toner pure rose
water
Shampoo
Bhringraj hair oil
Herbal gooseberry
shampoo
vitalizing hair oil
Bio musk root pack
Active herbal tonic
Honey and almond oil
shampoo
Emesis Therapy
Nasyam Therapy
Rakthamoksham
Therapy
Snehana Karma
Shipment details
Booking no. Reference VGM cut off Cut off time
32198651 05/11/19 (16:00) 03/11/19 (15:00)
Export details-
Pre carriage: LCL / PORT
Full container delivery (by customer) at:
Name: MANDVI
Street: Mandvi Port,
Mandvi
Post code: 370640 City: Kutch
Import details-
On carriage: LCL / PORT
Full container pick-up (by customer) at:
Name: FREEPORT CONTAINER
TERMINAL (CTA)
Street: 256 Freeport Street.
Post code: 61032 City: St. Julian's
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Country: INDIA Country: MALTA
LOGISTIC DETAILS
All the Ayurvedic products are moving from Gujrat, India to St. Julian's, Malta by ship
and then after reaching at the Freeport. After reaching Malta Freeport, products are transferred
into the truck and then, distributed to retailing store of Indiherbs. Along with this, Indiherbs is
going to import products from India to Malta by following import procedures. Import formalities
and procedures are similar in all countries. The procedure starts from collection of products from
warehouse to cargo at shipping port of India having bill of lading . After reaching Malta Freeport
products are transferred to warehouse of Malta by agent of consignment. When all formalities
are fulfilled by agent products consignment is loaded on truck to reach at warehouse. From their
products are distributed to retail store of Indiherbs as per their requirements by agent having a
look on letter of credit or purchase order (Nitsenko and et. al., 2016).
Warehouse of Indiherbs:
San Ġorġ which is a zone in St. Julian's is being considered as a place where Indiherbs is
having its warehouse which may aid them in reaching to new heights. Since this town is nearby
retail store, it will directly help company in reaching to new heights in specific time frame.
On the other hand, products are paraben free and are helpful for customers in enhancing
their health effectively without any side effect or infection. These are the most common products
which are used by customers in their regular lifestyle. Apart from these products, Indiherbs also
offers customer services to its customers, where consumers could resolve their queries through
consultancy services, home delivery services, free trial of products before purchasing etc.
Indiherbs will hire some health expertise who can give free suggestion to the visitors of retail
store. Human resource team will finalise these expertise on the basis of their experience in the
same field. These expertises will also give some health improving tips to customers which will
influence them to remain loyal with the company for longer period of time.
Target Market
This is being considered as one of a crucial part for every single business plan where
market segmentation helps in gaining deeper knowledge related to market deviation. This aid in
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selecting the target as per the products that an organisation is offering to its customers. Here,
whole market gets divided into specific groups on the basis of different characteristics of
customers. This kind of segmentation is mainly of four types that is geographic, psycho-graphic,
demographic and behavioural. Customer segmentation for Indiherbs is going to be done on the
basis of demographic type of segmentation (Pathak and Nichter, 2018). In this Indiherbs will
further segments their customer zone on income basis in which they only target medium and
higher class customers who are much conscious about their health and tries to find out pure
natural products for enhancing their immune system, hair oil and so on. The main focus of
Indiherbs will stick to targeted customers of Malta only. With the passing time this company will
also expand its business in other countries too.
Value Added
It has been analysed that there are ample number of Ayurvedic companies that are doing
business in Malta. But, it can be said that Indiherbs is completely different from them as it is also
providing customer service to targeted customers from medical expertise. Therefore, this could
be considered as an effective approach (value added service) that Indiherbs is offering to its
customers and makes them unique from its competitors at Malta.
Specific features
If it is talked about Indiherbs one of the main feature of this retail store is that it imports
Ayurvedic products that has been made in India, the country which is famous for herbs. Now, it
has kept its focus on Malta where people or citizens of this nation are highly conscious towards
their health. On the other hand, business organisation (Indiherbs) are also given value added
services to consumers like customer service where costumer could call directly and have a word
with customer service executive so that their queries could easily be resolved right on time.
Along with this, another special feature of Indiherbs is that it will offer customers with a
good range of therapies as well like Emesis, Nasyam, Rakthamoksham, Snehana Karma and
more which will aid them in grabbing attention of individuals at Malta that are going through
different problems like health, skin or any other. On the other hand, Indiherbs is also going to use
e-commerce business strategy once it will reach to desired goal or objective within two years.
This will aid them in reaching to new heights in specific time frame where they could easily get
unforgettable experiences.
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Who is involved
This is one of a crucial section which is needed to be properly developed by a researcher
at the time of preparing a business proposal (Picciotto and Mayne, 2016). Since, Indiherbs is
going to work at small level at initial level, which means that company will work as a private
entity. In this context, it can be said that CEO, Head of Research and development team of
Ayurveda, Person in India that is performing aiding them in reaching to expand their business,
marketing manager, and family member as well. These responsible individuals will cover a range
of benefits and may carry proper benefits for Indiherbs as well. Along with this, if it is talked
about decisions will take instant decisions related to marketing team as this person owns good
range of experience in this specific zone.
Windows of opportunity
St. Julian's is a northern harbour district in Malta. It is famous for tourism oriented
business like hotels, restaurants and night club which are situated in main centre area that is also
known as Paceville. The city is surrounded with unique and stylish hotels, beaches, parks, street
walks which attracts the tourists in a positive manner with highly designers hotel and beaches in
city. According to the evaluation it has been concluded that its localize people are spending their
precious time in near beaches which also influence in a negative manner because of health
conditions and give them high tanning on their body (Press, 2015).
Apart from this these people are very much educated who knows very well about the
maximising health problems with uses of artificial product. In order to this it makes opportunities
for Indiherbs to start a new venture of business of Ayurvedic product that visitors will accept this
product from the all age group of people. It also attracts the visitors attention towards their good
quality of Ayurvedic product before going to beaches, because these product helps them to
decrease tanning problem from their body. Therefore, business opportunities for Indiherbs is a
very big concept and target local people from St. Julian's city or tourist in giving better
Ayurvedic product to them. So that there is a huge business opportunities for Indiherbs company.
FEASIBILITY RESEARCH
In present time, it can be said that for every single business development plan, feasibility
research plays a crucial role which consist with a plan and basically consist with a good study
which is going to be conducted for a proper analysis of overall business development proposal.
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In present context, there are a range of factors like products/services, financial, market industry
and organisational factors that basically affects a business proposal that has been developed by a
business company.
The Feasibility Plan
Feasibility can be defined as a study of a business concept. On the other hand, feasibility
plan can be defined as a plan which basically carries a formal plan which is specifically proposed
business concept or thought will be successful in future or not. Here, it is being analysed that
every single investigation consist with three different sections and these are collection of data
and a supportive evidence for provided sources.
In present feasibility study for Indiherbs, there are initial stage in depth study will going
to be done about present status of Ayurvedic products at St. Julian's, Malta (Quinlan and et. al.,
2019). It is being analysed that effective feasibility plan, data is specifically is going to be
collected from local people and tourist of St. Julian's, Malta so that to collect data related to
Ayurveda. The overall feasibility study will depict that business proposal of Indiherbs about
herbal beauty product should be carried out in St. Julian's, Malta or not. It also includes certain
step that will going to be followed by the founder of Indiherbs. All of them are represented
below:
Primary and Secondary data needs
When it comes to checking a feasibility of business plan, it important to collected
information from different sources in order to find out actual result. Basically, data collection
methods are classified into two types that is Primary and Secondary method. Both of these
methods are defined as below:
Primary method: In this method of data collection, information is directly collected
from respondents. This information is totally fresh and raw for users. Primary data can be
gathered by using different sources like interview, questionnaire, field trial, observations, focus
groups, surveys etc.
Secondary method: Under this, gathered information is based on work of someone else
or any past research. It can be collected from different sources like books, journals, newspapers,
magazines, online articles etc.
In order to conduct good feasibility research for Indiherbs, both the Primary as well as
secondary sources data collection will going to be adopted so that best results can be obtained
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within available time frame. In primary method, questionnaire will be taken that includes some
basic questions along with their mentionable answers. Whereas, in secondary sources online
articles will going to be chosen in order to find out thoughts of other people on the similar
business concept.
Research Methodologies
Research methodology is a name given to a technique that aims at a number of processes
such as collection, interpretation and analysis of data and information as well. Research
methodologies are quite essential as they provide a better and stable understandability of
information which helps in generating appropriate and effective results. Researches are basically
undertaken so that effective solutions can be derived in context of scientific or analytical issues.
Research methodologies are an important tool which provide a quite step wise and systematic
way of resolving issues in a research (Samyuktha, Priya and Gayathri, 2018). This can further be
helpful in solving a number of issues that may arise while conducting a research. Hence it is
quite essential that researcher chooses the best alternative while conducting research. This will
further be beneficial for researchers in finding solutions for their problems within a specified
time frame.
Secondary Research
For every single business proposal, this section plays a crucial role because due to lack of
knowledge that an entrepreneur carries related to market, conducting the primary research may
not help in pulling out favourable outcomes. Thus, it is necessary for developer to take help of
existing research so that right decisions can be made related to making modifications among
products, adoption of fruitful strategy and so on in order to gain competitive advantages or to
sustain at marketplace for a longer period of time. Considering the information at the time of
developing a business proposal, it can help in reducing all the risks in specific time frame. This
may consist of various things like books, journals, magazines, online sites, television, radio,
podcast and so on. Since, Ayurveda has been a hot topic over the years and can be considered as
a sector which is specifically carrying a short sort opportunity for people that are looking
forward to open a new business for earning huge profit. Their are certain benefits of using
Ayurvedic products because nowadays people are becoming more health conscious. So they are
consume natural product for maintenance of their body. These products are completely safe for
body because it is made up of natural herbs. Also it helps in improving a glowing skin, health
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diseases and so on. Through using natural products it reduces a stress and it makes proper
balance between a physical and mental activity of the body. It create an awareness at market
place which improve a standard of living and also to develop an economy effectively (Sebastian,
Yammiyavar and Jones, 2017).
With the help of above mentioned graph, it can be said that countries that are coming
under European Union like Malta, France, Germany and so on are the areas that consist with full
of opportunities that may aid business organisations like Indiherbs to perform well at
marketplace in Ayurvedic industry. If it is analysed, than it can be said that in the year of 2015,
global Ayurvedic market earned approximately 3.4 billion. Apart from this, in the year of 2016,
4 billion and then in the year of 2018 it reached up-to 5.3 billion. This means, than if Indiherbs
opens store in Malta it will directly help them in reaching to new heights. On the other hand,
Ayurveda can be considered as one of the oldest form of medicine in all over the world, it is
approximately 5,000 years old. Due to allopathy took rise and its instant relief techniques, has
made Ayurvedic products with less resemblance among public. But, over the past few years
where people in all over the world are becoming health conscious has kept their focus on
medicinal form has alternately fallen in and out of favour in correspondence with the progress of
western practices.
Modern medicine has grown at a rapid rate recently, particularly in the European market,
which meant that Ayurveda has been sidelined to a large extent. According to a new report from
Big Four accounting and advisory of various famous organisations, however, the sector has been
resurgent in recent times, brought about by a shift in strategy. Thus, it can easily be said that
Indiherbs will definitely gain a good position in short span in Europe. On the other hand,
according to a recent study, popularity of Ayurveda has also spread to the global market, which
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is apparent from the steady growth in the Ayurveda market worldwide in recent years. Last year,
the value of the global Ayurveda market reached approximately at $4.6 billion. It is specifically
expected to reach $5.3 billion this year and as high as $9.7 billion by 2022 (Sentana and et. al.,
2017).
Along with this, a wide portion of this market is still driven by European consumers.
European's Ayurvedic market stood at a value of $3.5 billion last year, which is not only
expected to jump to $4.1 billion by the end of this year, but also expected to reach $8 billion by
2022. Among other factors, this growth will be driven by the fact that 77% of European
households utilised Ayurvedic products in 2017 (Sharma, Kesharwani and Keservani, 2017).
With the help of above mentioned graph, it can be said that Biotech or Ayurvedic products is
rapidly increasing which means Indiherbs has a good idea of selling Ayurvedic products and
services. Since organisation is also offering customers with different range of therapies like
Emesis Therapy, Nasyam Therapy, Rakthamoksham Therapy, Snehana Karma and more will
directly help in grabbing a good position at European market in specific time frame. Along with
this, it can also be said that Biotech products and services that business organisations are offering
to customers consist with less effective procedures and plans.
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Based on the analysis done on by Traditional and Complementary Medicine, (2019),
Ayurveda and human beings are being considered as part of nature. It is being found that, these
are the two governs the three fundamental energies of inner and outer environment that is
movement, transformation, and structure.
Along with this, it can be said that in Ayurveda, basically there are three forces which
specifically stays involved in it and these are brand and heart at the same time. Ayurveda also
focuses on exercise, yoga, and meditation. Thus, Indiherbs which is looking forward to open a
new retail store, might gain a good position in Malta in specific time frame. As mentioned in a
newspaper, Since the marker is shifting from people’s preference for integration of modern and
traditional medicines, Ayurveda is gaining popularity in many of the European countries
(Thibane and et. al., 2018).
There are many countries like, Germany, India and more which has taken Ayurveda as
main factor and today these nations are being called as the nerve centre of Ayurveda. If it is
talked about leading the change in Europe while other countries like Switzerland, Austria are
joining the bandwagon. At the time of proper analysis took place, around 80 percent of the
people preferred integration of both modern and traditional medicines which means if Indiherbs
basically induce Ayurveda and modern medicine, it will carry a good position. But, this can also
harm because not every single medicine will give benefit and along with this, research and
14
Illustration 1: Traditional and Complementary Medicine. 2019.

development department of organisation may also require a good amount of investment in order
to perform the same at workplace.
A Sanskrit scholar named as Mittweda, due to Ayurvedic industry is taking a charge from
many other medicinal factors, education department has added Ayurveda as one of the most
important subject which will help business organisation in recruiting staff that has good
knowledge or who has good knowledge related to the same (Vaidiyanathan and Anand, 2017). In
past few years, Ayurvedic organisations has also impacted positively upon economic conditions
of a country.
From the above graph it can be analysed that Germany is capturing more than 25%
market share for herbal products. Malta is also near to Germany so, this shows that there are
huge business opportunities available in market for Ayurvedic and herbal medicines. Consumers
of Malta have proper knowledge about benefits of herbal products and have proper availability of
natural and physical resources (Voigt, Buliga and Michl, 2017). Whereas, North America is
capturing only 12% market share so, this can not be a favourable country for business of herbal
medicines market. As, this country don't have proper awareness about benefits of herbal products
but, with the help of different tools and techniques, Indiherbs will specifically gain a good
position at marketplace of Malta in specific time frame.
Result of products and services feasibility
15

As per the results of feasibility research of product and services of “Indiherbs”, studied
that the Ayurveda product is the best concept for the company in St. Julian, Malta. Customers
will purchase their product easily because they know their benefits and it is easily available in
the market which attracts more and more people, which helps to achieve their goal. The
feasibility of Indiherbs in St. Julian Malta is enhanced as the city is surrounded with maximum
youngsters. According to the Brief evaluation of product and services offered by Indiherbs, the
company will attain a good position in St. Julian Malta.
Market Feasibility
For the growth and success of any business market feasibility is the best way to examine,
measuring ability and capacity for the success of the project. For market feasibility it involves
various elements such as market situation, market analysis, industrial description, competitive
factors, sales projects, and futuristic opportunities etc. so, 'Indiherbs” should adopt the market
feasibility study for capturing market share and positioning at St. Julian, Malta which helps in
adopting marketing strategies for futuristic opportunities (Weaver and et. al., 2017). According
to study of market feasibility Indiherbs will helps in fulfilling the demand of customers for
futuristic benefits and it also helps in sales projects as well. It is very important factor for
achieving position in the market by using the various strategies for achieving target and
enhancing the profit. The main purpose of this study is it helps in overall study of the market
which helps in dealing with competition and overcome threats.
Above mentioned graph is particularly showing that, the global herbal medicine market
size was valued at USD 71.19 billion in 2016 and is expected to exhibit profitable growth over
the forecast period. The increase is attributed to the increasing preference of consumers towards
16

traditional medicines (Ayurveda, Unani and Traditional Chinese Medicine) which do not cause
overdose toxicity and have fewer side effects (Industry Insights, 2019). In addition, increasing
substantial research investments and funding will support the market growth in near future. The
global plant-derived products market is expected to gain momentum over the projected period
due to the low cost of herbal medicines compared to allopathy. These drugs are witnessing
significant consideration at a global level. The extracts segment generated a revenue of USD
27.1 billion in 2016 and is expected to reach USD 44.6 billion by 2024. Higher absorption rates
of extracts in comparison with other dosage forms is supposed to drive the market over the
forecast period.
Industry feasibility
Industry analysis can be considered as an effective approach that can be used by business
organisations to identify actual position within the sector. In present context, Indiherbs would
also require to do the same in order to get deeper knowledge of feasibility of Ayurvedic industry
at Malta. In order to get deeper knowledge, secondary data has been used in order to carry out
data for Indiherbs through which effective determinations could be made.
17

Above graph is basically showing overall analysis of beauty industry which includes
(Ayurvedic, herbal and other products). Graph shows that in 2024, this industry will take a rise at
international business market which means, Malta's market is also going to get affected in the
same way, Malta is also going to get affected in positive manner as people of this country
regularly looks forward to improve overall performance level of their health. Along with this, it
has also been analysed that, Maltese people has great knowledge related to Ayurvedic products
and services. Along with this, it can be said that future scope of Malta's Ayurvedic industry is
gleaming as people has became health conscious and are rapidly looking forward to improve
their conditions related to health so that immune system could get stronger. Their expectation
will always increase with the changing time. In 2016, the rate was 11.06 and this will come up
by 21.78 in 2024. Here, it can be said that natural products are having a good range of market
share and it will also improve in near future as well. Through this, it can be said that Indiherbs
will directly cover a good range of benefits and their strategy to import products from India and
this will aid them in filling customers authentic belief. This would directly help Indiherbs in
gaining ample number of competitive advantages.
PORTER'S FIVE FORCES MODEL OF INDIHERBS
Porter's five forces model is a tool which helps in analysing and to identifying the
strengths and weaknesses of the industries. For the success and the growth of any company either
it is big companies or small companies all have to face the competition so, the main motive of
this model is to analysing the competition in the market for their growth or success. These forces
are competition in the industry, threats of new entrants, powers of suppliers, powers of buyers,
threats of substitution. For the success of “Indiherbs” this model is the best suitable for the
company. It involves five forces which helps to identifying the competition in the Ayurveda
industry. It helps and provide information and guidance to “Indiherbs” for their success and
feasibility in Malta. All the five forces are discussed as below:
Threats of new entrants: Threats of new entrants says that when the new firm enter into
an industry and there is an chances of reducing the profit of the firm which are already in the
industry. So, for the success of “Indiherbs” they should create the loyalty with the customers.
The development of new products which fulfilling the need of the customers then it helps to
achieving the customer's loyalty. some of the industries has low threats of new entrants because
of involvement of huge cost at the time of entry in the market like Ayurveda industries, it has
18

low threats of new entrants because of huge cost involved in entry and for developing a new
product which wants number of resources at the time of manufacturing (Wilton, 2012).
Bargaining power of customers: Customer is the king pin of market and in present
context, bargaining power of customers says that the consumers has the power of changing the
price in the industry. Its all depend on the demand and supply of the product. In Malta when the
consumers have the high bargaining power then the sellers don't know about the future. For the
unpredictable demand this may be the reason for not able to achieve the profit. In Ayurveda
industries customers have the high bargaining power because of competition and availability of
variety of different products in the market. Thus, it can be said that Indiherbs has a good chance
of earning higher profits.
Bargaining power of suppliers: Bargaining power of suppliers says that when there is an
strategy of changing of price of their product at that supplier has the power. In Malta, there is a
low bargaining power of suppliers because there is number of competitors are low in the market.
Large and small scale manufacture developed many products so the Ayurveda industry has low
bargaining power of suppliers. This could be considered as a small issue for Indiherbs.
Threats of substitute: threats of substitutes says that when the competitors produce the
similar kind of product which satisfying the customers need and want. If the competitors have
substitute products which satisfying them the suppliers or manufactures loosing their bargaining
power. There are many competitor of Ayurveda industry which creates the high threats of
substitute products for “Indiherbs” industry.
Competitive rivalry: competitive rivalry says that at the time of entering and leaving the
industry firs has to face the many challenges. For the development of new product and research
the huge cost will be involved. Ayurvedic industry maintain the stability in the economic scale
of the Malta so that it create the barriers for the new entry of small and medium scale industries.
For attracting the customers in Malta, company is used good quality of machines and equipments
for developing the new Ayurvedic products for the success of Indiherbs.
Organisational feasibility
Indiherbs has basically owned by five business partners who will be responsible of both
losses and profits equally based on the agreement which has been made by them. On the other
hand, company is also having two manager one at warehouse and one at retail store who will
work on salary basis. On the other hand, Indiherbs is also having 20 employees where 18 are
19

permanent and 2 works on temporary basis. Along with this, as organisation is at its initial stage,
only top level management can take decisions regarding making any sort of changes at
workplace. Here, decision takers are only partners managers that are coming under him can only
take decisions:
Mr. David (20% shareholder): Mr. David is the person who conducts all regular based
research for Indiherbs, and is the head of Research and Development department. He has
conducted many research on herbs and on different plants which are used in the Ayurvedic
products to enhance the beauty of consumers. He is responsible for every formula by which they
produce Indiherbs different products and handle R&D department at Malta. Along with this, past
experience of Mr. David helps him in managing the overall activity of this section of Indiherbs.
For producing better quality of products without rejection and defects, he will also guide and
help production department.
Mr. Jose who is the holder of 20% shareholders of Indiherbs and a successful business
person who has two retail stores at Malta of herbal beauty products. He will be handling the
finance and legal department of Indiherbs. On the other hand, without permission of Mr. Jose
nothing can be changed at Indiherbs regarding finance and legal structure of Indiherbs.
Mr. Davis, a shareholder of 20% in Indiherbs has working in many multinational
companies like TESCO Plc, ZARA and more which basically has a good experience in retail
industry and will play a part of owner manager at Indiherbs and along with this, he will also
handle the marketing department because he has a good knowledge related to promotional
activities. On the other hand, Davis can also develop a range of campaigns related to retaining
individuals at marketplace.
Along with this, Miss Rosemary is also going to be owner of 20% shares and her sister
Valentine will hold 20% shares that will keep focus on ware house, human resource and
operations of Indiherbs as well. Both consist with a great knowledge related to developing
effective policies for human resource, shareholders and may become able to perform well at
marketplace.
Henceforth, it can be said that Indiherbs is basically consist of a strong and stable
shareholders that contains ample number of skills in them. This will directly aid them in reaching
to new heights in Malta.
Financial Feasibility
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In present time, financial feasibility is being considered as a proper analysis to measure
overall performance of a business development proposal (Zaman and Griffith, 2016). Here, it has
been analysed that proper degree to which herbal beauty products will be successful or
economically justifiable or not. In context to Indiherbs, financial feasibility of this new business
proposal can be checked by predicting initial investment, projected profit and Loss, Break even
analysis, etc. in order to check its viability that whether they are economically sustainable in
practical terms or not.
Financial feasibility
Start-up Capital
PARTICULARS
INITIAL
INVESTMENT 1ST YEAR
Rent expenses 10000
Advertising expenses 6000
Machinery 20000
Equipment 42000
Salary to Staff 46000
miscellaneous exp. 1000
Total Cost 62000 63000
Interpretation: It is evaluated that the start-up capital is required as 62000 for the year.
All the required expenses were sum up while analysing the capital needs for the first year.
INCOME STATEMENT
PARTICULARS 1ST YEAR 2ND YEAR 3RD YEAR
Gross sales 100000 150000 180000
Less sales return 2000 5000 1000
Sales Revenue 98000 145000 179000
Less COGS 600 1000 1000
Gross Profit 97400 144000 178000
Operating expenses
Salaries 45000 48000 55000
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Advertising expenses 1000 1500 2000
Commission to workers 2000 2500 3500
Rent 6000 8000 11000
Depriciation 1400 2000 2400
Total operating expenses 55400 62000 73900
Operating Profit (EBIT) 42000 82000 104100
Less interest expenses 500 1000 1100
Earning before tax (EBT) 41500 81000 103000
Less Tax 500 1000 2000
Net Income 41000 80000 101000
The above income statement shows the overall net income of all the three years. Gross
profit are 97400 , 144000 and 178000 respectively. Operating expenses are also incurred during
this years I.e 55400, 62000 and 73900. Operating profit is calculated from Gross profit and
operating expenses . There were some interest as well as tax expenses which were deducted from
operating expenses and shows the net income of three years as 41000 , 80000 and 101000
respectively.
CASH FLOW STATEMENT
PARTICULARS 1ST YEAR 2ND YEAR 3RD YEAR
CASH FLOW FROM OPERATING
ACTIVITIES
NET INCOME 250000 300000 320000
CASH PAID TO EMPLOYEES -30000 -20000 -40000
NET CASH FLOW FROM OPERATING
ACTIVITIES 220000 280000 280000
CASH FLOW FROM INVESTING
ACTIVITIES
PURCHASE OF PROPERTY -80000 -100000 -95000
NET CASH FLOW FROM INVESTING -80000 -100000 -95000
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ACTIVITIES
CASH FLOW FROM FINANCING
ACTIVITIES
PROCEEDS FROM LOAN 25000 28000 32000
PAYMENT FROM LOAN -4800 -6000 -12000
NET CASH FLOW FROM FINANCING
ACTIVITIES 20200 22000 20000
NET INCREASE IN CASH 160200 202000 205000
Interpretation : The cash flow statement shows how company raised money and spend
those fund during a given period. The above cash flow statement show the cash flow from
operating activities in three years i.e. 220000, 280000 and 280000 respectively. On the other
hand it is showing a negative balance from investing activities that is -80000, -100000, -95000
respectively . And lastly cash flow from financing activities are 20200 , 22000 and 20000 .
Overall there is positive cash balance as there is surplus from operating as well as financing
activities. So the net increase in cash is 160200 , 202000 and 205000
Particulars 1st Year 2nd Year 3rd Year
Assets
Current Assets
Cash 1450000 1210000 1680000
Inventories 20000 28000 13600
Prepaid expenses 14000 9800 6000
Total Current Asset 1484000 1247800 1699600
Non Current Assets
Property 25000 28000 17000
Computer 6000 10000 9000
Machinery 12000 8000 6000
Total Non-current Asset 43000 46000 32000
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Total Assets 1527000 1293800 1731600
Liabilities
Current Liabilities
Creditors 900000 750000 980000
Short term loans 42000 38000 57000
Income tax payable 18000 16500 21000
Total current liabilities 960000 804500 1058000
Non current liabilities
Long term loans 400000 280000 560000
Bonds payable 50000 45000 39000
Total non current liabilities 450000 325000 599000
Total liabilities 1410000 1129500 1657000
Equity
Retained earning 117000 164300 74600
Total equity and liability 1527000 1293800 1731600
Interpretation: the above balance sheet shoes the total assets fir the first year 1527000,
1293800 for the year second year and 1731600 for the year 3. Total liability was recorded
as1527000 for the first year, 1293800 for the second year and 1731600 for the third year.
 Set-up-capital: Estimated budget capital of Indiherbs is nearly about €1000k for
manufacturing and launching of herbal products in the market of St. Julian's, Malta. It can
be distributed as €500k for manufacturing and production, €100k for marketing and
promotion, €200k for warehouse, €200k for human resource department. Managers and
employers of Indiherbs can reduce their start-up cost by proper market study, cutting
down advertising cost, and minimize legal representation.
 Revenue: Income that is generated with normal business activities including sales, after
sales services, discounts etc. The revenue of Indiherbs depends on seasonal fluctuations,
marketing strategies, value added services and customer retention of products offered.
For example during winter season demand for herbal body lotions, therapies and value
added services increases directly it helps in generating revenue for Indiherbs.
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 Break-even analysis: It is no profit no loss situation of a company. According to graph
given below which depicts estimated monthly sales for herbal products of Indiherbs in St.
Julian's, Malta. This analysis helps in determining cost structure and number of units to
be produced to earn profit or cover loss. According to financial indicators approximately
30% growth margin is achieved by Indiherbs.
 Return on investment and profit margin: ROI (Return on investment) of Indiherbs'
estimation is approximately 40% and profit margin as 32%.
Return on Investment
Description Year-1(£) Year-2(£) Year-3(£)
Net Profit 46522.8 49543.6 54574.4
Investment 94020 108542.8 111563.6
ROI 0.494818 0.456443 0.489177
Profit Margin
Description Year-1($) Year-2($) Year-3($)
Operating profit 46522.8 49543.6 54574.4
Revenue 105646.8 110677.6 115708.4
Profit Margin 0.440362 0.447639 0.471655
Ambition Vs Ability
Ambition is strong aspiration to achieve a goal facing many complex situations whereas,
ability is person possessing means to achieve goal. Indiherbs is going to target middle and higher
class customer's because herbal products can not be affordable by every section of society. After
overall evaluation Indiherbs is going to establish its market in St. Julian's, Malta dealing with
herbal beauty products. The company will be build it is reputation in market as it will provide
25

remedies for beauty in effective to enhance beauty of customers. Product range of company will
not give any side effect or negative spot so it will give best experience to customers and their
beauty.
As per overall feasibility analysis of Indiherbs on basis of start-up cost, revenue and
break-even analysis, it can analysed that company will achieve great heights in St. Julian's,
Malta. Herbal beauty products of Indiherbs have lot of business opportunities in market if
grabbed and used by effective and efficient marketing strategy. If opportunities prevailing in
markets of St. Julian's, Malta grabbed by management team of Indiherbs will achieve its
ambitions and objectives.
The Business Model
The Core Strategy
Malta is one of the smallest country in the world and it has highest density of population.
So, it is a right place for establishing Indiherbs of herbal Ayurvedic products. The people of this
country are facing many problems related to their beauty, skin and health. For Indiherbs, this is
best way for entering into the market. These products will help to enhance their beauty and
raising quality. Now a days people are very conscious to their skin and beauty related problems.
So, for solving this Indiherbs will target middle class and high class people. For reaching target
customers, marketing department of Indiherbs will be using marketing strategies like promoting
their products on social networking sites, providing Broucher for generating awareness at market
place regarding benefits of their products. They also used marketing approaches such as
discount, offers, free sample testing, and so on to attract customers towards their products. This
type of core strategy helps St. Julian, Malta for achieving their target and earning profit.
Business Canvas Model
BUSINESS CANVAS MODEL
Business canvas model is a tool which helps an organisation for analysing and developing a
documentation of existing business model. In this model many components are involved which
helps for covering key activities, value prepositions, key partners, customer segments, customer
relationship, key resources, cost structure, channels and value stream. Through these elements
the whole process and structure of an organisation works systematically and supports an overall
business. This helps an organisation for achieving their organisational goal and also mange an
26

activities and resources of business. Canvas is used for designing and developing a business
model. This model says that what is being served to customers, about there values which is
offered through channel , and how they makes money. This model is also used for understanding
business and their competitors. Model of Indiherbs are given below:
Key Partners
 Governme
nt of
Malta and
India
 Customers
 Export
Agent
 Investors
 Leaders
and owner
manager
 Ex-
marketing
 Head of
rival
company
Key Activities
 Promotion
 Fund
collection
 Recruiting
best
employees
Value
Propositions
 Free
consultati
on to
customer
with skin
expertise
 Involveme
nt of high
experience
d partners
 Side
effects of
Ayurvedic
products.
Customer
Relationship
 Effective
relations
with
consumers
 No
communic
ation gap
with
customers
Customer
Segments
 Middle-
Higher
class
 Beauty and
skin
conscious
customers
Key Sources
 Financial
Resource
 Human
Resource
 Education
al
Resource
 Physical
Resources
Channels
 Social
sites
 Brochures
 Electronic
Media
 Television
 Live chat
 Website
 Print
Media
Cost Structure
 Fixed
Revenue Streams
 Providing products with long
27

 Variables lasting effects.
 Offering free consultancy to
customers
 Maximize profit
 Using best preservative herbs
which stops them to expired
soon.
Key Partners
key partners are very important persons for an organisations which helps in the growth
and success of their business. Key partners are the persons who run their business in an effective
manner. Key partners of Indiherbs are investors, government and shareholders and they helps
Indiherbs for run their business. Indiherbs get the permission from government of St. Julian
Malta to deliver their Ayurvedic products to their customers. In Indiherbs all the managerial and
operational functions will manage by all five shareholders and also for analysing their employees
performance they conduct meetings on time to time. Shareholders also used these meetings for
designing business strategies which helps them to get best outcomes in a form of profit. All of
these key partners helps an Indiherbs for achieving their business goal.
Key Activities
The main activities of Indiherbs in which it will going to invest is marketing , recruitment
and accumulation of funds which will help in increasing the efficiency and effectiveness. All the
key activities are discussed below:
Accumulation of funds: Finance is the blood of every business so the collection of funds
will help in running the business of Indiherbs smoothly and effectively. It is considered as the
key activity because it would be very difficult for the Ayurvedic Industry to implement its
strategies and achieve its objectives.
Recruitment: Human resource is the very important asset of every organisation.
Indiherbs will organise few seminars and session for recruiting ,attracting and short-listing the
effective and efficient employees for the company.
Marketing: Marketing is the management function of how the product or service move
from the manufacturer to the ultimate user of the product . Employees of Indiherbs will perform
marketing function to create the value of their products among the customers and society.
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Marketing head of Indiherbs will use the best marketing strategy that will be helpful in
influencing the large number of prospective customers of Malta. It includes advertising through
social media , free products , discount coupons, rebates to customer.
Key Resources
For making a business successful in this competitive market there are several key
resources which every organisation need to follow. There are four key resources which helps the
organisation to operate its activities. These are explained below:
Physical Resources: To operate the business activities in an effective manner and
provide standard goods and services to their customers, foremost quality of physical resources is
needed. It includes building, energy, raw material, machinery and so on. For maintaining the
sustainability and profitability in the market, Indiherbs requires best quality of physical
resources.
Human Resources: They are the most valuable assets for a company. They helps in
dealing with people and resolving the issues related to them. Main resource of Indiherbs which
helps in increasing the success and performance of the business is human resource. It is the
necessary resource for the organisation.
Financial Resources: It includes all the factors related to finance. Financial resources of
an organisation includes cash, capital, business funds. All these components are required to make
balance sheet, financial statement of Indiherbs. By analysing all these factors company will be
able to know about their financial position.
Educational Resources: All those resources which are freely accessible by everyone and
helps them in gaining knowledge and information comes under educational resources. R&D is
also the part of this resource and it helps in providing instructions and guidelines to the staff of
Indiherbs.
Customer relationship
Customer relationship is an approach to manage connections with potential and current
customers. Its main focus is on customer retention as it helps in profit maximisation and growth.
In Ayurvedic industry it is difficult for Indiherbs to capture market as there are many small and
large scale industries which influence customer needs. Company should focus on listening
problems and decision making of customers to maintain customer relationship. Customers
satisfaction plays a crucial role in customer relationship for long time period. Customers before
29

buying herbal products want to know experiences of their products and services offered. As per
Costumer Relation manager says “ There is only one boss, the customer. And he can fire
everybody in the company from spending his money somewhere else.” Indiherbs compile data
from different sources such as e-mail, live chat, television, social media, company websites and
marketing strategies which will help in maximising customer relationship with company.
Customer segmentation
Customer segmentation is activity related to dividing customers in group based on age,
interest, gender, income, region, religion, and some shared characteristics. This helps company
to use its resources effectively and gain competitive advantage in market. Customer
segmentation of Indiherbs is done under demographic and psycho-graphic basis. In Ayurvedic
industry segmentation is done on demographic basis as it helps to target only those customers
who are aware about products and their benefits. Indiherbs focuses only on St. Julian's, Malta,
but also focusing on trying to diversify its business in many other countries.
Value Preposition
Value Preposition refers to uniqueness of products or services owned by company which
differentiate it from it's competitors and give reason to customers to buy product or service. It
can be applied either to whole organization or parts of it. This approach is a valuable tool which
act as a guide for marketing efforts. Value preposition for Indiherbs is herbal beauty products
with no side effect, free skin consultation services by skin experts, and highly experienced
partners.
Key Channels
Channel is a medium through which an organisation will transfer their valuable meaning
to their end customers. According to Indiherbs, they share valuable meaning of their products by
using different marketing channels to their customers. Some of them are discussed below:
Social sites: At present context social sites plays an very crucial role in everybody life. It
is a best way of promoting product and services. In context of Indiherbs, they also used different
channels for promoting their products like Facebook, Instagram, twitter and so on. Indiherbs
company makes valuable videos in which they providing information regarding their products
and uploading these videos on you tube, Facebook pages, Instagram pages, and twitter profile
(Nitsenko and et. al., 2016).
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Brouchers: It is also an important way of providing information and promoting products
of Indiherbs. In St. Julian Malta there are many places where they can promote there products by
using Brouchers, pamphlets like beaches, markets, beauty parlours etc. in these places all the
people will be easily available either they are localist or tourists.
Electronic media: Indiherbs used this media for proving information to people.
Electronic media likes audio recordings, video recordings, multimedia or slide presentations.
Electronic media is also an very good way for promoting their natural products. This is the way
through people get more and more information regarding their products.
Television: It is a medium through which people will be aware about Indiherbs product.
Reviews of celebrities and good personalities will be shown in the advertisement. Television
provides real facts about product which helps to build trust people among the society.
Live chat: It helps a customers to talk about products with sales people, specialists,
consultants of the firm directly and it also helps customer to solve their doubt about product.
Live chat also helps them to get extra information regarding their products. Indiherbs also using
live chat for solving customers queries regarding ayurveda products.
Website: If an individuals wants to know about some information regarding company
and their products they all prefer online website. Website is a channel where firm will be
uploaded an information. In context of indiherbs, they also provide information on website
becaue it is a worldwibe web. It helps the customers for knowing and gaining knowledge about
their products and company deeply.
Print media: It is also a best medium of promoting or providing information of product
like newspapers and magazines. Indiherbs used print media for providing information and
knowledge regarding Ayurveda products to end customers.
Revenue Streams
 Providing products with better and longer sustainability: In context of Indiherbs it has
been observed that products are manufactured from medicinal plants and herbs and hence
have quite long lasting effect on skin of consumers. Also the medicinal quality of these
products will be quite beneficial and have no side effects.
 Providing free consultancy services to their customers: Managers of Indiherbs have
decided about providing free doctor's consultation services to their customers so that
they can resolve any sort of skin problems if they have. This will be a quite significant
31

tool in building customer base of Indiherbs. Also customers can easily ask doctors about
how to use a particular product and if there are any precautions to be taken. By doing so,
radiance of skin can be maintained for a quite longer period of time.
 Using preservative herbs which controls the expiry period: Each and every synthetic or
cosmetic product today contains certain amount of chemical based preservatives in them
which increases their sustainability period. In context of Indiherbs, they manufacture
natural herbs based Ayurvedic products and include natural and medicinal preservatives
in them which are safe to use and have no side effects on skin as well. This further
provides a competitive edge to the company in respect of its rival firms.
Cost structure
Cost structure is an important element that is used to define financial resources and funds
that are undertaken by a business concern based on their industrial and work based requirements.
Cost structure of one industry will be different from other due to changes in their overall
operational activities. In context of Indiherbs it has been evaluated that its cost structure will
comprise of various elements or factors such as fixed cost, variable cost, direct and indirect costs.
Variable costs keep changing from time to time depending upon various situations as well as
operational variations as well. Fixed cost on the other hand includes salaries of employees as
well as rent.
THE BUSINESS PLAN
Business plan is a document setted in systematic manner in order to conduct planning for
future. This plan is basically based on achievements and experiences of a company through
which they aims to set effectively realistic objectives for future purpose. It also focuses on
effective style of leadership, financing, staffing, controlling and operating models. Business plan
in an effective manner aid Indiherbs to stimulate their future growth in Ayurvedic products.
Business plans works as an blue print for Indiherbs to segregate their work in step by step
procedure that will effectively help them to convert their business idea in a successful business
venture. It benefits organisation to retain their their long term sustainability and raise their
overall margin of profitability in simultaneous manner. Indiherbs effectively maintain loyal form
of relationship with their consumers as to increase their growth of business venture.
In this modern world, individuals nowadays tend to become more naturalistic and prefer
only natural product. Hence, this industry is one of the fastest and leading growing sector across
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the world. Indiherbs initiated their business venture in Malta with a remarkable concept of
brining Ayurvedic range of product in country. Company include wide range of products that
mainly cover overall requirement of an individual beauty requirements. Concept of bringing
range of herbal beauty products in a market coined due to rapid increase in skin diseases by
using chemical based cosmetic products. From the current prevailing situation it has been seen
that, people are more conscious for their looks which influence them to take advantage of wide
range of cosmetic beauty products (Greasley, 2017). This brings idea of lunching a herbal beauty
product in a market that can not only satisfy beauty needs of individuals but also benefit them by
curing and taking care of their skin diseases. Form the evaluation, it can be said that individuals
nowadays giving more preferences to natural cosmetic products rather than to expend more
money and getting diseased by using synthetic cosmetic products. Form this, it has been assumed
that, individuals will effectively accept herbal and natural products as they are more about
disadvantages of synthetic and advantages of herbal and Ayurvedic beauty products.
Company is looking forward to launch their business operations in Malta along with this
company is planning to expand their services also in different other countries in order to gain
more satisfactory profits. In addition to this, after the effective evaluation of business plan of
Indiherbs, this can be evaluated that company can perform their business operations with other
international countries by the year of 2025 and can gain more advantages and advancements in
effective manner. By the year 2025 Indiherbs can effectively strengthen their financial conditions
and influence investors towards them in easy manner.
For entering within international market, it is essential for Indiherbs to work hard at
initial phase so that they can acquire success within markets of Malta. They are focussing on
potential customers at national level depending on interest of tourist and local people. This
indicates that Indiherbs is focussing on complete population of Malta which varies from middle
to higher class. Their focus is on people who are more conscious about their beauty. After
rendering their services in cosmetic industry of Malta, Indiherbs will improvise their services to
international customers by offering them herbal products with usage of mobile applications and
e-commerce websites. This will enhance their customer base. It will also assist them in providing
information to their potential customers where they are looking forward to expand their business.
It will be effectual for Indiherbs to enter within international market as customers already know
about their services and products. This will assist them to gain higher profits and they will be
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recognised around the world in cosmetic industry. For this, Indiherbs has opted for different
marketing approaches which are mentioned below:
Online marketing:
Nowadays, online marketing is playing a crucial role for promoting products and services
of a business organisation at marketplace. Online marketing helps an organisation for achieving
their organisational goal and overall growth. This is being considered as a form of electronic
commerce where customers can buy goods and services from a seller. On the other hand, online
marketing includes various websites like ShopWired, Magento, PrestaShop, LightSpeed and so
on (Ganesan and Choi, 2016). Along with this, it can be said that online marketing helps an
Ayurveda industry for expanding their business and brand name through using these websites. In
present time, many people at Malta are not aware about these facilities and this could be done
through promoting products and services at online channel. Online marketing also helps
customers to choose a product according based on their needs and requirements. Here, Indiherbs
has opted to expand their brand by usage of these websites. They are offering wide range of
products which will have positive influence on customers. Furthermore, they are providing their
services at reasonable prices with high quality. There are customers who are interested in offers
like buy 2 and get 1 free and others. Now customers can buy these products online which will
save ample of time. Therefore, Indiherbs will opt for online marketing strategies by which
customers can choose products on the basis of their requirements.
In this context, Indiherbs have lots of variety of Ayurvedic products which helps people
and influence them in an effective way. The most important thing of Ayurveda business
organisations is that, they are offering best quality of products at reasonable price. Based on the
analysis, customers always looks for different range of offer such as buy 1 get 1 free, and combo
packs provided by a business organisation. It also attracts customers towards their product and
helps in increasing their sales. Customers mostly visit malls and markets for purchasing products
which is time consuming. Whereas online marketing helps customers to browse different-
different websites and choose best price or offers from Ayurveda products which also saves their
time. So, online marketing is a good strategy for Indiherbs for attracting customers towards their
products and choosing the best one according to their preferences.
Sales promotion: It includes activities which offers great discounts or offers to
customers when they come for shopping. This is referred to as in-store offers which attracts large
34

number of customers. Indiherbs will use different promotional methods such as sales promotion
to ensure that maximum number of customers visit their outlet and use their services.
Free samples: In this free samples are provided to their customers by which they can
evaluate benefits of products which are being offered to them. Indiherbs can do tie-ups with
malls such as Valletta, where can provide their customers with free samples. These samples will
be provided to customers who will buy something. This will make customers aware about
usefulness of herbal beauty products. This will lead to have positive result on Indiherbs as
customers will emphatically go for these products in future.
It is anticipated that Indiherbs will generalize their products in market of Malta and
Valletta by using different marketing techniques which are mentioned above. Initially they will
promote their services and products to targeted customers which will laed to relevant result in
sales. Marketing activities plays crucial role for growth of organisation as it assist in providing
services and products in effective manner. Indiherbs will emphasise on international market once
they have acquired stipulated results. This will result in, enhanced result for Indiherbs and they
will become leader in providing services in herbal beauty products.
Potential risk for Indiherbs
Ayurvedic products offered by Indiherbs formed of medicinal plants, herbs and metal
extractions(gold, silver) which are beneficial for best beauty results to its users. This concept
provides certain benefits to customers and keep them away from skin diseases. Indiherbs will
maintain beauty of customers in St. Julian's, Malta. It has already been discussed above about
benefits to both company and customers of St. Julian's, Malta. Companies can expand their
business by entering markets of St. Julian's having highest population in smallest country. It is
easy for Indiherbs to grab opportunities and customer attention with lessor marketing efforts. As
every coin has two phases, doing business in St. Julian's, Malta is beneficial as well possess
some risks which are defined below:
Increasing competition: Increasing competition in Ayurvedic products is high for
Indiherbs as mostly these products are preferred by customers because has unique USP that they
don't harm the customers in any way. It is major risk for Indiherbs because raise in competitors
will reduce number of its customers. As customers will have wide variety of choices available
for Ayurvedic products and if competitors provide products in less price than customers will
choose those products.
35

Solution: Indiherbs to overcome this risk should focus on maintaing quality standards of
products offered. Along with this, research and development department will focus on
identifying new herbs and extracts which will be helpful in priducing new varieties and better
experience to customers. Further, Indiherbs should also focus on reducing selling price to retain
customers for longer period of time and attract new customers.
Lack of awareness: Ayurvedic products are available in market from last many years but
still people are not having proper knowledge about these products. This can be a kind of risk for
Indiherbs as people of St. Julian's, Malta are not about benefits of these products which can
affect sales to a large extent (Edwards and et. al., 2015).
Solution: to overcome this risk, Indiherbs should use unique marketing strategy which
help in providing knowledge about Ayurvedic products to customers. For this purpose,
marketing team can conduct awareness programmes, seminars in which related information is
provided and discussed including price, benefits, ingredients, etc. as a result, automatically it will
influence and persuade customers to remain loyal to Indiherbs for longer period of time.
Fund raising issues: Another risk faced by Indiherbs is related to Fund availability. As
St. Julian's is a small country only few options are available from which financial needs can be
fulfilled. It will be a cumbersome task for Indiherbs to find out suitable investors for company.
This can leave a negative impact on performance of company when there is non-satisfactory
financial support. Improper availability of funds can discourage employers of Indiherbs.
Solution: In order to overcome this risk, Indiherbs can adopt non-expensive activities to
avoid financial crisis. This will not raise expenses of company so it is not important to approach
new investors. Management team of Indiherbs should formulate strategies to conduct business
operations at less expenditure. Firstly, Indiherbs can influence local investors of St. Julian's,
Malta to be successful. After getting success from local investors company can now approach
foreign investors at time of expansion in international market. So, they will not face any kind of
financial issue during expansion of business (Cronstedt and Thompson, 2016).
Critical Factor for Success
In order to become successful, Every single business organisation looks forward to
improve themselves at marketplace. This helps in pulling out critical factors that may lead a
business company to execute plans and attain desired objectives in specific time frame. It can be
said that, a range of factors like high management team, reliable to products and services, value
36

added services and many more are some of factors that basically helps Indiherbs. These factors
are comprehended beneath:
Reliability of product: If proper analysis is being done of Ayurvedic product, it can
easily be said that they are more reliable rather than synthetic products. This could be considered
as one of the major factor for Indiherbs, as they import products from Indian organisation i.e.
Patanjali Ayurvedic Company which has given authenticity and has worked on finding out new
plants. Thus, it could basically aid Indiherbs in reaching to new heights.
Highly experienced management team: One of the major factor that Indiherbs has kept
its focus on and which is helping Indiherbs in making highly beneficial in a short span as this
company is a new start at Malta. As Indiherbs consist with different range of experienced
partners which specifically impacts upon overall performance level of Indiherbs in a positive
sense.
Value added service: Indiherbs basically giving a range of products and services of
Ayurveda and therapies as well. On the other hand, in order to offer customers with high
experience, Indiherbs has decided to add customer service as well in order to communicate with
customers through which issues could easily be resolved right on time. These services will
increase the demand of company and it can create loyalty on their customer. Therefore, Indiherbs
would require to follow some strategies which can maximise brand's name between the
customers.
Marketing plan
Marketing plan is basically a written document or blueprint which describes overall
marketing strategies including their sales target. It also helps in achieving organisational goal and
objective effectively and efficiently. Marketing plan plays a very crucial role in a company
which helps in analysing market situation, budget, action programmes, sales forecast and
marketing strategies. In the context of Indiherbs, they also used marketing plan. It is a tool or
technique which helps in managing resources for achieving organisational goal and objectives.
On the other hand, Ayurveda industry using marketing plan or marketing strategies for
maximising their growth or maintaining position at marketplace (Croce, Tenca and Ughetto,
2017).
Plan a budget: Budget planning is a very important concept for everyone, either they are
individuals or company. The main motive of a budget plan is they focuses on their product, price
37

and place. In the context of Indiherbs, budget planning is also very important because it helps a
company for analysing income and expenses for their future beneficial. Whereas sometimes it is
time consuming concept because it takes time for analysing data. Therefore, Indiherbs, makes a
proper marketing plan for increasing their growth and managing work.
Marketing functions
Indiherbs is using some marketing functions which helps in performing marketing
activities for their business such as marketing plan, marketing research, development of the
product for maintaining customer relations and customer service. In the context of Indiherbs,
they are using some marketing functions which are given below:
Market information: In the context of Indiherbs, they helps in identifying a customers
need and want including companies internal weaknesses and strength, and also they used
different segments for capturing market like demographic, geographic, social and political.
Mostly, they have kept their focus on demographic marketing segmentation where Indiherbs has
directly targeted individuals with the age in 16 to 70 which likes to stay healthy.
Exchange functions: In context of Indiherbs, trading basically takes place of products
and services that are offered by them. On the other hand, since company is importing Ayurvedic
products from Patanjali Ayurvedic Company, they basically follows all the securities,
commodities, derivatives and other financial instruments so that trade could easily be done.
Physical Distribution: In present context, transportation plays a crucial role for
Indiherbs since it is doing business in Malta and importing products from India, company will
use ship, trucks, delivery cars and more in order to perform all the distribution process from
Indian port to Freeport of Malta through ship. Then from Freeport to warehouse through trucks.
Lastly, from Warehouse to retail store of Indiherbs through delivery cars. Assuring this process
at every single time would lead Indiherbs to perform well at marketplace of Malta.
Customer Support: This is being considered as a factor where Indiherbs basically
allows its targeted customers to improve their experiences. This is specifically done by Indiherbs
through offering customers with helpline number where they can complain or resolve there
queries through asking questions at different levels.
Packaging, Labelling and Branding: It is being considered as one of effective approach
in a marketing plan which Indiherbs needs to focus on as this will help in attracting customers
38

towards their own products and services that are basically being offered by them. It is required
for Indiherbs to use labels and develop brands image as well at marketplace.
Visibility of the plan
It can be said that, a proper business plan of Indiherbs requires a proper concept which
could be developed through visibility, some of its factors are mentioned beneath:
Create a advance plan: This is being considered as one of initial approach which
Indiherbs would require to develop as a written plan, so that proper ideas could be developed
right on time. With the help of a proper plan, founders and co-founders of Indiherbs has kept
their focus on deep descriptions that are linked with the marketing plan, employees, key partners,
key activities, targeted investors, stakeholders, chosen customers zone and number of meeting
that will going to be conducted in a coming year. On the other hand, it can also be said that a
visibility plan of Indiherbs would also cover exceptions as well through which expected results
could easily be pulled out right on time. On the other hand, trends that Ayurvedic industry is
having and the chosen location i.e. St. Julian's would directly cover both goals and objectives at
marketplace.
Adopt clear strategies for business success: It can be said that, Indiherbs would require
proper strategies and it also require proper promotional tools as well for spreading information
related to Ayurvedic products and services related to St. Julian's. Head of marketing department
specifically guiding staff at marketplace for a longer period of time. These are e-mails, online
promotions, campaigns, blogs, and many other promotional techniques. These promotional tools
could directly get affected by Indiherbs.
Enlist business partners: Experienced business partners at workplace of Indiherbs at
Malta basically arranges financial funds at marketplace, where executing business activities
would help Indiherbs in reaching to new heights. Malta a country where individuals basically
consist of a private company i.e. Indiherbs and through this effective plans and procedures at
workplace are basically finalised and experienced with high expertise as well. There are
specifically remaining 2 business partners that are sisters would directly improve overall
performance level at HR department and 3 partners has their own experiences in different fields
(Bainbridge, 2016).
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Visibility of budget and investment
In present context, it can be said that for every single project, finance plays a crucial role
and without this, no activity could take place within an investigation. Along with this, there are a
range of factors every single business model and along with this, Indiherbs may require to invest
around 65,000 Pounds among operational, import activities, 75,000 Pounds for its research and
development department, 15,000 Pound would be needed for taking licence for doing business
and launching the company in the market of Malta. Lastly, 25,000 Pounds will also cover
salaries for staff that will work within Indiherbs.
40

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