Competitive Competitive Advantage: A Business Plan Approach

GEMS KINDERGARTEN
Play School
(BUSINESS PLAN)

TABLE OF CONTENTS
Executive summary..............................................................................................................................1
Company Description...........................................................................................................................1
New Product Concept...........................................................................................................................2
Sustainable competitive advantage.......................................................................................................3
Market environment competitor analysis.............................................................................................3
Industry Attractiveness.........................................................................................................................4
Porter’s Five Forces.....................................................................................................................4
Overall Market and Target Segment(S)...............................................................................................5
Size of the current market............................................................................................................5
Target market segment.................................................................................................................6
Competitive positioning.......................................................................................................................7
Customer decision making process..............................................................................................7
Marketing Mix.............................................................................................................................8
Growth strategy............................................................................................................................9
Research & Development...................................................................................................................10
Operations...........................................................................................................................................10
Management Structure........................................................................................................................10
Risk Recognition and Risk Reduction Strategies...............................................................................11
Financial details..................................................................................................................................12
Sensitivity Analysis............................................................................................................................12
Financial Analysis..............................................................................................................................13
References..........................................................................................................................................15
Appendix............................................................................................................................................17
Sales forecast.............................................................................................................................17

Salary structure..........................................................................................................................17
Income statement.......................................................................................................................17
Cash flow statement...................................................................................................................18
Break Even Analysis..................................................................................................................19

LIST OF FIGURES
Figure 1: Number of nursery schools in the United Kingdom (UK) from 2000/2001 to
2014/2015*......................................................................................................................................5
Figure 2: Bayswater Road near Kensington Palace, London, UK..................................................9
Figure 3: Management Structure...................................................................................................11

EXECUTIVE SUMMARY
Gems Kindergarten play school is highly specialized play group school which focuses on
providing three types of programs for the child development grooming i.e. Nuvo, play group and
nursery & kindergarten. Furthermore, the initial investment of business will be 100000 which
will generate positive returns after the one year functioning. On the basis of breakeven analysis,
95 students should help in achieving no profit no loss situation for the firm.
COMPANY DESCRIPTION
Gems Kindergarten is play school group which aims at providing Early Childhood Care
& Education (ECCE) and will follow the standard of Child Development & Education (CDE).
Looking at the competitive environment, every parents wants their child to be skilful and capable
in order to compete in the market. In this regard, childhood development plays significant role to
make them strong and skilful. The main purpose of entrepreneur is to provide early education
facility so that it helps child to groom at early stage and start educational career with a grace and
confidence. Furthermore, owner is planning to offer different programs to varied ages of children
such as:
Programs Age group Duration
Nuvo 1.5-2.5 years 2 Hours/day
Play group 2-3 years 3 Hours/day
Nursery & Kindergarten 3-4.5 years 4 Hours/day
With such attractive service, entrepreneur is planning to attract large number of parents
so that they can be encouraged to make their children join Gems Kindergarten. Furthermore,
cited play school will be located at Bayswater Road near Kensington Palace, London, UK. At the
initial stage, owners are planning to target domestic market around London and on the basis of
demand and responses from clients or customers, management will focus on distribution of
services on national level. The business will be privately owned and consist of two principal
shareholders for executing the business activities.
Mission:
Mission statement of Xyz play group is to develop synergy of skills, knowledge and
values in the children to provide them inner voice for the 21st Century.
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Objectives:
To open a new venture it is important for the entrepreneurs to develop realistic and
achievable objectives for future development. Following are the objectives for Gems
Kindergarten:
 Provide safe and satisfying play school in which parents are also encouraged to
participate for better development of their child.
 To offer attractive educational services that makes children learn without books.
 To attract high amount of families for fulfilling 70% of classes capacity by the end of
first year operations.
NEW PRODUCT CONCEPT
Looking at the current market environment, parents are highly concerned about the
education and learnings of their children. In this regard, the concept of Gems Kindergarten is to
provide attractive, creative and safe environment where child can groom, learn new things, and
enhance his/her attributes before starting their education career. Therefore, to cover all these
aspects, different play school services have been designed by the owners to establish business
within the target market of London. Following are the four different kinds of categories that
Gems Kindergarten will offer to children:
 Nuvo: This category is especially crafted for children of age group 1-2.5 by keeping in
mind about the holistic development of children at this age. The main purpose of this
program is to develop and strengthen the relationship between child and care giver.
However, the program consist of structural learning developmental experience of kids by
rhymes, free play, sensory activities, art and crafts, scrap books activities, sand and water
activities and outdoor and indoor play.
 Play group: This is the category of age group consisting 1.5 to 2.5, where children start to
explore the world around them. Therefore, this program helps them explore world in
more attractive and creative manner with safe environment. This program will focus on
developing skills related to social, aesthetic and motor in young child. Activities included
in this section is water and sand play, creative time, field trips, puppet shows and skits,
celebration of festivals and special days.
 Nursery & Kindergarten: In this section, child will be engaged school readiness activities
such as reading, counting, alphabet and number recognition, problem solving in fun etc.
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