Fruit Processing Plant Business Idea in Bangkok, Thailand

This paper discusses the feasibility of a fruit processing plant business idea in Bangkok, Thailand. It covers the market gap, profits, business model, critical success factors, and feasibility of the idea.

Running head: THINK BIG
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Name of the Student
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Abstract
The main purpose of the generation of this business idea will be to get the market share and
implement the plans of developing the business in a good manner. The market gap for the
business has been discussed here with conforming to the legal requirements. The various key
resources have been discussed and the description about the business model has been provided
here. The critical success factors for this business have been discussed here as well. The
business idea generated here is the fruit processing plant in Bangkok. The customer segmentation
market is very much ready and the raw materials are available as well. The internal and external
resources for the development of the business have been highlighted here with market and
economic feasibility. The supply chain management will be responsible for the distribution of the
products and services.

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Table of Contents
Introduction......................................................................................................................................3
The market gap in the industry........................................................................................................3
Profits from the business idea..........................................................................................................4
The business model..........................................................................................................................5
Critical success factors....................................................................................................................7
Feasibility of the business idea........................................................................................................7
Market feasibility.........................................................................................................................7
Economic feasibility....................................................................................................................8
Conclusion.......................................................................................................................................8
References......................................................................................................................................10
Appendix........................................................................................................................................12

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Introduction
The modern business environment is very much competitive and the business owners
have to be very cautious when they deal with the various issues in the contemporary business
management. There are many businesses that are present in the contemporary business
environment that cater to the general needs of the customers. This is why the process of
satisfying the customers is a very important process indeed. This is the very reason for the
business industries to innovate some new processes to bring new things into the mix. The
innovation process should be enhanced due to this need of the customers only.
If the customers get some new things in their pocket, they will be highly glad to receive
it. The requirements should be understood by the companies to provide the best services to the
customers only. The competition is so intense that the business organizations have to innovate
some new ideas and implement them positively. Some of the essential things in the business
process are to decide the kind of product or service that would be sold, the place where the
business should be located, collecting the raw materials for sustainable development and the
meeting the legal guidelines of the business. The idea should be developed in a manner that the
business should be feasible. The business idea that would be generated here in this paper is the
fruit processing plant at Bangkok in Thailand. The justification of this business idea will be
evaluated in this business idea through focusing on the business model canvas and discussing the
critical success factor for this business to be generated.
The market gap in the industry
The market gap is a very important for identifying the problems that are very much
causing the problems for the customers. These gaps should be fulfilled properly so they can

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provide the customers with the needed things. It has been studied and found that Thailand is
considered to be a country whose agricultural products are the main economic resource of the
country. The exporting of the agricultural goods is the main resource for the country to generate
their Gross Domestic Product or GDP.
The increase in the GDP will be helpful for the country to grow financially. It is also a
concern that the most of the fruits that are produced in the country are exported. Thus the
domestic market of Thailand does not have any fruits. The weather plays a very important role
here since the climate of the country is very warm (Wirtz et al., 2016). The people in the country
will need to drink the fruit juices so they can avoid to much heat and keep themselves cool
enough to cope up with the climate change. The justification for this kind of business idea will be
discussed in this paper because the innovation process is very uncertain some of the times and
the business owners have to be very cautious about taking the important steps to make this
business a successful one.
So, a business focusing on the food processing in Thailand would be a great idea indeed.
Two advantages that have been identified here are the companies to begin this process should not
have to find a new target market and they will be able to find the raw materials and labor forces
from the existing local market very easily. So, at the primary phase, the new business idea seems
to be very much customer friendly (Wirtz et al., 2016)
Profits from the business idea
The business idea is a very strong one and the profits that can be generated from this idea
would be discussed here. The gap in the market has been identified and this business will look to
utilize from the idea. It has been found that the customers are not at all happy with the fact that

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the fruits are being exported to several countries. If the customers begin to get the products that
they desired for long will be a good action for attaining the customer satisfaction. If this business
gets a proper kick start, this can work as the channel for the bringing the economic advantages
for the country. The GDP of the country will increase and the people of Thailand will be able to
get a healthier life to live indeed (Egerer, Langmantel & Zimmer, 2016). Besides that many
young people will be able to get jobs in this business. So, this will be beneficial from the
financial perspectives of the youth of the country. Through this increase in the opportunities for
jobs, many people will invest in this business and use the profit shares to upgrade their standard
of living. As the company will have to pay the corporate tax from their share of benefits, this will
be very much important for the government of Thailand to increase their funds in treasury.
The poverty in the country will go on to be reduced as the dependency ratio in the
country will be dropped down. If the young people in the society of Thailand earn more money,
this will improve the picture from the financial aspects. The dependency reduction ratio will be
a very important factor for developing the societal scenario (Hock & Weil, 2012). The
development of this business will also be helpful for getting rid of the social evils like theft,
robbery and others. This will decrease the number of crimes in the country as well.
The business model
One of the most important things in this context is the process of designing the business
model for this fruit plant business. It is evidently justified for the company to prepare the
relationship between the nine building blocks of the business model canvas. The infrastructure of
the company along with the product innovation will be the main issue in this context. It has to be
looked after whether the organization has been able to fulfill the demands of their customer

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segments. The relationship with the customers will have to be looked after as well. The
innovativeness of the products and services will have to be kept so the customers can feel very
close with the brand of the company (Massa & Tucci, 2013). The customer segmentation can be
divided into two classes, one is the group of people who eat sugar and other is the one who do
not. Thus it will help the makers of the product to decide if they will prepare one product only or
two different products based on the sweetness level of the preference of the customers
(Muhtaroglu et al., 2013). The value proposition for this service will be the custom production
and the service delivery. The company has to deliver the products on time and with efficient
quality. They can build goof customer relationships by the help of the various social media
platforms like Facebook, Instagram, Twitter and others. The distribution channels can be the
effective supply chain management for the company (Christopher, 2016). Thus the relationship
between the company and the customers can be strengthened.
The company can apply two revenue streams for the generation of money. These two
streams are transaction revenue and recurring revenue (Massa & Tucci, 2013) The key resources
can be gained from the human, technological, financial and physical ones. The key activities for
the company will be the acquisition of the various raw materials, canning the fruit juice and
delivering it to the customers. The company can build some strategic alliances and develop the
buyer-seller relationship. The ciot structure will depend on paying for the various activities like
raw materials, processing, canning them and finally the delivery to the customers (Jobber &
Ellis-Chadwick, 2012).

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Critical success factors
Some things should be considered properly for making the business a profitable one and
ensure its high profit. One of the most important things is to make sure that the workforce is very
much skillful. They must arrange for training. If the company recruits the best employees in their
business, this will increase the productivity of the company as well. They must form a team of
legal experts who will look after the matter of meeting the legal requirements to make the
company progress towards proper success. They must conform to the general trade policies that
will be helpful for them to get the business permit (Kumar & Reinartz, 2018).
They also have to make sure that they go along with the customers maintaining a healthy
relation. This will ensure that they get more customers by the recommendation by the already
existing ones (Schaltegger & Wagner, 2017). It is because bad customer relationship can be fatal
for the business idea to be implemented. They must take all the steps with much thinking
beforehand so they do not have to face the hazards later on. The technological and human
resources should be utilized properly.
Feasibility of the business idea
Market feasibility
The business idea will be able to get enough customers due to the climate conditions of
the country. The demand for the proposed product through the fruit processing plant will be very
high all the time as extreme heat pervades throughout the country. They will target almost all the
people in the country because the product is healthy for all the products. The two categories for
the products should be the main criteria for targeting most of the population (Goddard et al.,
2012). The distribution of the product will be done effectively by the logistics department. There

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are some other forms who produce natural health drinks can prove to be their competitors. If
those competitor companies produce the low quality products, this chosen business idea can
succeed with much solidarity. The poor relationship with the customers can also be vital for the
failure of the business idea. This new innovative business idea does not have any restraints from
the legal perspective.
Economic feasibility
If the business idea has to be implemented successfully, the initial requirements will be
around $ 5 billion. This amount of money could be gained from selling their shares and taking
loans from the multinational banks (Illiashenko, Shypulina & Illiashenko, 2015). The business
can grow better with gaining the sustainability if they generate good of amount of profit in the
first year. The business will be expected to get its first sales within two months. They are
expected to reach the breakeven point within the first six months. Thus the business will grow up
slowly.
Conclusion
All the business ideas need to have a start at one point of time. Likewise, this business
will need to grow properly by developing the proper blueprint. They must build up the business
with much planning. This will help the business to be a feasible one. The plans will have to be
implemented properly so the idea can generate the revenues within the time. The entrepreneurs
for this business will go on to take the help from the multinational banks to spred their business
properly. The need for identifying the market demand will be very significant indeed. The
benefits to be generated are hereby discussed in this paper. The business model canvas has been

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discussed. Hopefully, the proposed business for the fruit processing plant in Thailand will be
helpful for the food processing industry.

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References
Christopher, M. (2016). Logistics & supply chain management. Pearson UK.
Egerer, M., Langmantel, E., & Zimmer, M. (2016). Gross Domestic Product. In Regional
Assessment of Global Change Impacts (pp. 147-152). Springer, Cham.
Fiske, S. T. (2013). Interdependence and the reduction of prejudice. In Reducing prejudice and
discrimination (pp. 125-146). Psychology Press.
Goddard, M. G. J., Raab, G., Ajami, R. A., & Gargeya, V. B. (2012). Customer relationship
management: a global perspective. Gower Publishing, Ltd..
Hock, H., & Weil, D. N. (2012). On the dynamics of the age structure, dependency, and
consumption. Journal of population economics, 25(3), 1019-1043.
Illiashenko, S. M., Shypulina, Y. S., & Illiashenko, N. S. (2015). Knowledge management as a
basis for innovative development of the company.
Jobber, D., & Ellis-Chadwick, F. (2012). Principles and practice of marketing (No. 7th).
McGraw-Hill Higher Education.
Kumar, V., & Reinartz, W. (2018). Customer relationship management: Concept, strategy, and
tools. Springer.
Massa, L., & Tucci, C. L. (2013). Business model innovation. The Oxford Handbook of
Innovation Management, Oxford University Press, Oxford, 420-441.

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Muhtaroglu, F. C. P., Demir, S., Obali, M., & Girgin, C. (2013, October). Business model canvas
perspective on big data applications. In Big Data, 2013 IEEE International Conference
on (pp. 32-37). IEEE.
Rodrigues, S., & Fernandes, F. A. N. (Eds.). (2012). Advances in fruit processing technologies.
CRC Press.
Schaltegger, S., & Wagner, M. (Eds.). (2017). Managing the business case for sustainability:
The integration of social, environmental and economic performance. Routledge.
Wirtz, B. W., Pistoia, A., Ullrich, S., & Göttel, V. (2016). Business models: Origin, development
and future research perspectives. Long Range Planning, 49(1), 36-54.

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Appendix
Key Partners Key Activities Value
Propositions
Customer
Segments
Key Resources
Multinational
banks, various
insurance
companies,
transport
vehicles for
distribution
Collection of
raw materials,
marketing and
manufacturing
of the products
Fruit juice
delivery and
bonuses for the
employees
People who eat
sugar and people
who do not eat
sugar
Physical,
technological,
technological
and financial
resources
Channels Cost Structure Revenue
Streams
Customer Relationships
Direct sales and
group sales
Raw materials-
550K,
Manufacturing-
2M, Distribution
costs- 80K
Transaction
revenue stream
and recurring
revenue stream
Providing customer support and
building good customer relations
through social media platforms