Starting and Managing A Business | PPT

STARTING
AND
MANAGING A
BUSINESS
by

Executive
Summary
• This report provides a detailed analysis of
opening up a Subway franchise in Paya
Lebar Quarter (PLQ) Mall which will be
opening in the fourth quarter of 2019.
• It is one of the most booming locations for
opening up a food chain as it will include
22,000 employees within seven minutes of
walking distance and other consumers
visiting the mall.
• The main goal of the business plan is to
propose the viability of investment in
franchising Subway and the report has been
pitched to Angel Investors.
• The target consumers of Subway will consist
of population between the age of 18-39
having moderate to high disposable income
and willing to leave a healthy lifestyle by

Business
Concept
• Subway is an American restaurant chain franchise
which sells salads and submarine sandwiches to their
consumers. It is one of the largest single brand chain
of restaurant and the largest operator in the global
market.
• It is one of the cheapest fast food chain for
franchising as it requires liquid asset of $30,000 and
net worth of ranging within $80,000 to $300,000
(Peterson, 2015).
• The company has been working diligently to improve
the sustainability of operations and products at
Subway.
• Subway has their unique selling proposition of eat
fresh to entice the consumers to purchase their
sandwiches as it is appealing towards people’s desire
of eating the best quality food. It helps in
differentiating their products from that of the
consumers (Alberts, 2015).

Goals and
Potential of
the
Franchise
• To reach the break-even point and start
earning within the first two years of
operation
• To achieve a return on investment of 20%
within the first two years
• To increase the market share of Subway by
15% within the first three years
• To increase brand awareness on the social
media platform to reach million followers in
Singapore
• To perform 10 event in the first year to
emphasise and promote the concept of fresh
and healthy eating among the consumers
• To expand franchise to increase capacity of
accommodation in Paya Lebar Quarter (PLQ)
Mall

Target
Market and
Needs
• The target consumers of Subway will consist
of population between the age of 18-39
having moderate to high disposable income
and willing to leave a healthy lifestyle by
developing healthy food habits. The
company also target kids and will use the
same menu for kids widely popular in other
countries.

Market Size
and Trends
• The fast food industry is highly booming in Singapore
where the industry generated more than S$1 billion in
terms of operating receipts in the year of 2016.
• The insatiable appetite for fast food among the
population in Singapore has helped the growth of the
food and beverage sector.
• Even though the data from the past two decades
show that there has been 10% decline in the overall
food and beverage sector, the fast food sector has
grown by 29% during this period (Lim & Wei, 2019).
• However, the love for fast food in Singapore is still
high where McDonalds have 135 outlets, KFC has 86
outlets, Burger King has 50 outlets, Texas Chicken has
15 outlets and Long John Silver has 25 outlets.
• McDonalds have 40% share in the market followed by
KFC with 13%. Burger King has 4% share and Long
John Silver has 2% share in the market (Lim & Wei,
2019).