The Asians: A Business Plan for a New Restaurant in the Australian Market

This report discusses a business plan for a new restaurant in the Australian market, serving all types of Asian cuisine. It includes market feasibility, technical feasibility, financial feasibility, and human resource feasibility. The report also covers the target market, competitors, and location for the business.

Running Head: The Asians
the ASIANS
Entrepreneurship

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Executive Summary
This report will discuss a business plan in relevance with a new business idea which will be set
up in the Australian marketplace. The new business idea is a restaurant which will serve all types
of delicious Asian cuisine in the Australia. This business idea has been taken by reviewing the
growing demand for Asian food in the target market. Apart from this, Australian restaurant
industry is full of opportunities and there are not such big threats and barriers to entry for
newcomers.
In this report, business plan will be discussed in relevance with the new business idea for the
restaurant which will be soon established in Australian market. The first phase of the report will
include business model canvas, market feasibility under which size of the market, growth rate of
the industry, competition, targeting and segmentation will be discussed. While the second phase
of the report will focus over technical feasibility under which requirements for technology,
options for sales and distribution and other resources required for the development for the new
business idea will be discussed. Further, report will include financial feasibility under which
start-up cost, revenues and profit and loss statement will be discussed for the first three years
from starting up business. The last phase of the report will focus over the human resource
feasibility under which requirement for technical and management experience along with the
hierarchy of organizational structure will be discussed.

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Table of Contents
Executive Summary.........................................................................................................................1
1.0 Introduction................................................................................................................................4
2.0 Business Model Canvas.............................................................................................................4
3.0 Market Feasibility......................................................................................................................6
3.1 Market size.............................................................................................................................6
3.2 Growth rate............................................................................................................................6
3.3 Positive and negative trends...................................................................................................6
3.4 Market segmentation..............................................................................................................7
3.5 Targeted customers................................................................................................................7
3.6 Competitors............................................................................................................................7
3.7 Location for business.............................................................................................................8
4.0 Technical Feasibility..................................................................................................................8
4.1 Options for developing technology........................................................................................8
4.2 Technological changes...........................................................................................................8
4.3 Options for product................................................................................................................8
4.4 Options for sale and distribution............................................................................................9
4.5 Resources required for development......................................................................................9
4.6 Laws and regulations.............................................................................................................9
4.7 Moral and ethical issues.........................................................................................................9
5.0 Financial Feasibility.................................................................................................................10
5.1 Projected revenues...............................................................................................................10
5.2 Start-up cost.........................................................................................................................10
5.3 Profit and Loss statement.....................................................................................................10

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5.4 Possible sources of financing...............................................................................................10
6.0 Human Resource Feasibility....................................................................................................10
6.1 Requirement of technical and management experience.......................................................10
6.2 Owners and their roles.........................................................................................................10
6.3 Ownership structure.............................................................................................................10
6.4 Manpower requirements......................................................................................................11
6.5 Growth strategy....................................................................................................................11
References......................................................................................................................................11
Appendix........................................................................................................................................14
Start-up cost...............................................................................................................................14
Unit price Table.........................................................................................................................15
Profit and Loss Statement..........................................................................................................15

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1.0 Introduction
Business plan is the collection of various strategies in relevance with performing organizational
functionalities. It is a blueprint and collection of various strategies through which a new business
idea or an existing business could be set up in the target market effectively. This business plan
will focus over a new business plan for a unique restaurant which will serve all types of Asian
cuisine in the Australian market. Rationale for business idea is obtained from reviewing the
growing appeal for the Asian cuisine in Australian market. Asian cuisines have varieties of
attractive dishes which includes both vegetarian as well as non-vegetarian dishes. In relevance
with Asian cuisine, the restaurant will mainly focus over Indian, Chinese, Thai and Pakistani
dishes. This is because dishes from these countries are quite popular across the globe. Name of
the restaurant will be ‘The Asians’ and in order to attract the target audience, restaurant will be
set up at the most busiest place in Australia so that large part of the target audience could be
attracted towards the new restaurant along with gaining desired goals and objectives (Abidi, et.
al., 2015).
2.0 Business Model Canvas
Key Partners Key activities Value
Proposition
Customer
relations
Customer
segments
Suppliers of food
Social media
influencers
Food delivery
partners
Four founders
Customer
relations
Enhancing menu
range
Taking feedback
over food quality
and taste served
from customers
Marketing and
promotion
Delivering
healthy and
qualitative food
Varieties of
delicious Asian
cuisine
Fast delivery
Discount offers
and deals will be
offered to target
audience
Reward and
referral programs
Customer centric
approach
Both male &
female
Age group 18-60
People who prefer
to sit and eat and
people who order
online
All customer
segments
especially those

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(Armstrong, et.
al., 2015).
Market research
who prefer Asian
food
Key Resources Channels
Human resources
Technological
resources
Financial
resources
Distribution:
Restaurant
Mobile application
Website
Marketing and
promotion:
Social media
Event marketing
Television
marketing
Other IMC tools
Cost Structure Revenue Structure
Fixed cost
Rent/lease of building
Cost of interior
Furniture
Customer visits at restaurant
Online orders

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Employees’ salary
Variable Cost:
Promotional & technological expenses
3.0 Market Feasibility
3.1 Market size
Size of restaurant industry in Australia is large and in relation with this, there is much scope for
the new business idea as The Asians have come up with. Asian food industry is not much big in
the Australian, thus, there is a big opportunity for The Asians to set up its effective position in
the target market along with acquiring a large market share in the restaurant industry in
Australia. According to research, demand for Asian cuisine is increasing rapidly and with
regards to fulfilling the demand of Aussies in terms of Asian food, The Asians will easily be able
to attain its desired goals and objectives by establishing their image in the Australian restaurant
industry (IBIS World, 2018).
3.2 Growth rate
With high food penetration in Australian restaurant industry, it is expecting to grow at an annual
rate of 3.5% in next five years from 2017-2018 to approximately $20.1 billion. Although,
revenues for the industry is expecting a fall of 0.5% in the current year due to limited consumer
spending.
Market share of restaurant industry in Australia is characterised by low level of market share
concentration. Mainly, the whole industry is dominated and controlled by small and individual
businesses, thus, barriers to entry are low less significant, thus, there is not such big barrier for
new players to enter into the Australian Restaurant industry (Baker, 2014).
3.3 Positive and negative trends
Aussies have become health conscious in past recent years and this shows the dynamic consumer
behaviour and this has affected Australia food industry in both positive as well as negative

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aspects. Demand for organic, natural and locally sourced food is increased along with the
increase in demand for read-to-eat and Asian cuisine. In relevance with establishing an effective
image in the Australian food industry, The Asians will be required to adopt certain dynamic
strategies through which Aussies’ needs and wants could be fulfilled along with attaining their
desired objectives (Open for Business, 2017).
3.4 Market segmentation
Demographics Male & Female
Geographic In initial stage, The Asians will be set up in
Sydney and afterwards, Melbourne, Perth,
Adelaide, Brisbane and other big cities of
Australia will be targeted.
Age group 18-60
Behavioural People with Asian food preference (Chang,
2016).
3.5 Targeted customers
Asians are situated everywhere across the globe and the same is in Australia. Thus, major target
market segment for The Asians restaurant will be Asians and along with them, Aussies are also
food lovers and Asians cuisine is one of their priorities. So, the new restaurant will focus over
both Asians as well as on Australians with regards to establishing an effective brand image in the
restaurant industry in Australia (Cockill & Merron, 2011).
3.6 Competitors
There are number of restaurants in Australia who are serving Asian cuisine but they all are
limited to an extent. Fortune Village Chinese Restaurant, Mr. Wong, China Lane, etc. are major
Asian cuisine restaurants in Sydney and they have set up their effective image along with
acquiring a decent market share in the restraint industry. But there is much scope left for The
Asians because there is no such restaurant that provides all type of Asian cuisine. Thus,
organization will easily be to acquire a big market share in the target market along with gaining
positive image (Cool & Schendel, 2010).

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3.7 Location for business
Initially, The Asians will be set up at Sydney as it is one of the famous cities in the Australia and
after attaining the desired goals and objectives, it will be expanded to other cities such as
Melbourne, Adelaide, Perth, etc.
4.0 Technical Feasibility
4.1 Options for developing technology
Organization will adopt following methods for development of technology:
 Novice: Prescribed learning
 Discover: Stimulate & Question
 Explorer: Support curiosity & Intrinsic motivation
 Expert: Encourage knowledge sharing and provoke curiosity (Renton, et. al., 2015).
4.2 Technological changes
Rise in technology has been noticed in past few years and slowly and gradually, it has acquired
an effective place in every field. With the adaptation of technological changes, organization
could adopt its desired goals and objectives in an appropriate manner. For example, accounting
was done by manual methods in past and it was time consuming and big process but with the
help of technology, accounting is become an easy task along with assurance of accuracy of
outcomes (Drummond, Ensor & Ashford, 2012).
4.3 Options for product
In house technique will be adopted and in relation with making food items, chefs will be
imported from Asia so that true taste of Asian cuisine could be served to the target audience.
This will act as an effective action for the organization to establish its brand image as the Asian
restaurant. Apart from this, in order to quick results, organization could also collaborate with
local restaurant in order to save their promotional and marketing cost along with analysing the
consumer behaviour and marketing environment of the target market (Scarborough, 2015).
4.4 Options for sale and distribution
The Asians is a restaurant which will serve qualitative and healthy Asian cuisine, thus, their sales
and distribution technique will be in-house where customers would be able to sit and experience

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the delicious food. Along with this, organization could also collaborate with food delivery
partners who could deliver the food to the customers. Digital mediums could be adopted to take
orders from them such as mobile application, website, etc. (Farahmand, 2011).
4.5 Resources required for development
Raw materials, skilled and talented workforce, technology, equipment, funds, etc. carries equal
weightage in terms of development of a business. With regards to The Asians, appropriate
suppliers who could deliver organic as well as fresh quality vegetables and other required
ingredients and highly skilled chefs will be the key resources in terms of the development of the
business in the target market.
4.6 Laws and regulations
 Interpretation and Application
 Food Safety Programs
 Food Safety Practices and General Requirements
 Food Premises and Equipment (Glowik & Smyczek, 2011).
 Food Safety Programs or Food Service to Vulnerable Persons
These are five food safety standards in Australia which needs to be followed by every restaurant,
café and every outlet dealing in food items.
4.7 Moral and ethical issues
Organization is not required to adopt any wrongful practice to attain success and growth as it will
also indignant the ethics and morals for business. The Asians will be required to follow all
decent and fair ways to set up its brand image by serving qualitative food rather mixing up
inferior and superior quality raw materials and other artificial flavours to make good, attractive
and tasty food (Gruca & Rego, 2009).
5.0 Financial Feasibility
5.1 Projected revenues
(Appendix)

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5.2 Start-up cost
(Appendix)
5.3 Profit and Loss statement
(Appendix)
5.4 Possible sources of financing
Approximately AUD 450,000 will be required and in order to raise the funds, organization will
present their business plan to the banks, investors and other financial institutions and some
amount will be contributed by each partner. As the business idea is unique and the chances for
growth and development are huge, thus, it will be easy for the organization to raise money.
6.0 Human Resource Feasibility
6.1 Requirement of technical and management experience
Every new and existing business requires an effective and talented manager so that all the
functionalities could be managed in an appropriate manner. Along with this, it is necessary to
gain appropriate information regarding requirement of the technological sources to cope up with
the marketing environmental needs. External experts will be hired so that appropriate knowledge
could be attained along with learning the skills for effective management of organizational
functionalities (Hill, Jones & Schilling, 2014).
6.2 Owners and their roles
Owners are the four founders of this business and they all have taken their responsibilities and
roles as per their expertise, experience, talent and skill. They all will be accountable for each’s
actions and the outcomes originated from those actions (Hoskisson, 2009).
6.3 Ownership structure
This restaurant will be registered as a partnership firm under which each partner will share
profits and losses in equal proportion.

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6.4 Manpower requirements
Initially, 20 staff members will be required for the first year and for the subsequent years;
number of staff will be increased as per the growth of the restaurant. Thus, for the second and
third year, 20-20 staff members will be required for further expansion in other regions.
Candidates will be invited through social media, LinkedIn, and other job recruitment agencies
and they will be selected as per their knowledge, experience and their efficiency to cope up with
the requirements of the business. Employees will be paid on monthly basis and in terms of
motivation; appropriate incentive policies will be introduced, by treating them as an effective
source for organization and by fulfilling their demands and wants. On the job training method
will be adopted so that employees’ efficiency could be increased so that organizational
performance could get increased (Lam & Harker, 2015).
6.5 Growth strategy
Market penetration, product development, diversification and market development strategies will
be adopted as growth strategies for organization. Selection will be done on the basis of situation
faced by the organization and in terms of managing quality of the food in the restaurant;
appropriate standards will set up so that the quality of the food could be compared with the set
parameters (Lee, Barker & Mouasher, 2013).
As the restaurant will grow and expand, its organizational structure will become wide and large
where management will be divided into three layers i.e. top, middle and lower and organization
will provide appropriate opportunities for its employees to prove themselves for the higher
positions. Apart from this, annual growth will be provided to the employees as per their
performance (Pardalos & Tsitsiringos, 2013).
References
Abidi, H., Shafiq, F., Arshad, R., Pirwani, M. and Hassan, A., 2015. Case Study: Stories of
Entrepreneurship. Market Forces, 10(2).
Armstrong, G., Kotler, P., Harker, M. and Brennan, R., 2015. Marketing: an introduction.
Pearson Education.
Baker, M.J., 2014. Marketing strategy and management. Palgrave Macmillan.

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Chang, J.F., 2016. Business process management systems: strategy and implementation.
CRC Press.
Cockill, J. And Merron, J., 2011. The Hospitable Space an Opportunity for Transitional
Countries. 29th Eurochrie, P.164.
Cool, K., & Schendel, D., 2010. 'Performance differences among strategic group
members', Strategic Management Journal, 9(3) , pp. 207-223
Drummond, G., Ensor, J. & Ashford, R., 2012. Strategic Marketing: Planning and Control,
(4th) London: Palgrave Macmillan
Farahmand, N. F., 2011. Organizational marketing planning by management educated
managers, African Journal of Marketing Management, 3(8), pp. 178-187
Glowik, M. & Smyczek, S., 2011. International Marketing Management: Strategies,
Concepts and Cases in Europe, Page 301, (4th), New York: Physica-Verlag
Gruca, T. S. & Rego, L. L., 2009. “Customer Satisfaction, Cash Flow and Shareholder
Value,” Journal of Marketing, 69, 115–30
Hill, C. W., Jones, G. R., & Schilling, M. A, 2014, Strategic management: theory: an
integrated approach. Cengage Learning.
Hoskisson, R., 2009. Business strategy: theory and cases. (6th), UK: John Murray
IBIS World, 2018. Restaurants - Australia Market Research Report. [Online]. Accessed
from: https://www.ibisworld.com.au/industry-trends/market-research-reports/
accommodation-food-services/restaurants.html. [28th May 2018].
Lam, W. and Harker, M.J., 2015. Marketing and entrepreneurship: An integrated view from
the entrepreneur’s perspective. International Small Business Journal, 33(3), pp.321-348.
Lee, K.H., Barker, M. and Mouasher, A., 2013. Is it even espoused? An exploratory study of
commitment to sustainability as evidenced in vision, mission, and graduate attribute
statements in Australian universities. Journal of Cleaner Production, 48, pp.20-28.

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Open for Business, 2017, Trends and challenges for Australia’s restaurant industry in 2018.
[Online]. Accessed from: http://openforbusiness.opentable.com.au/2018/01/11/trends-and-
challenges-for-australias-restaurant-industry-in-2018/. [28th May 2018].
Pardalos, P.M. and Tsitsiringos, V. eds., 2013. Financial engineering, E-commerce and
supply chain (Vol. 70). Springer Science & Business Media.
Renton, M., Daellenbach, U., Davenport, S. and Richard, J., 2015. Small but sophisticated:
entrepreneurial marketing and SME approaches to brand management. Journal of Research
in Marketing and Entrepreneurship, 17(2), pp.149-164.
Scarborough, N.M., 2015. Entrepreneurship and effective small business management.
Pearson Higher Ed.

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Appendix
Start-up cost
Start-up Costing for The Asians - 2018-2019
START-UP COSTS Cost ($) EQUIPMENT/
CAPITAL COSTS Cost ($)
Registrations Business purchase price 25000
Business name 5000 Franchise fees 15000
Licenses 2000 Start-up capital 150000
Permits 1500 Plant & equipment 100000
Domain names 1200 Vehicles 10000
Trade
marks/designs/patents 500 Computer equipment 25000
Vehicle registration 700 Computer software 12000
Membership fees 1540 Phones 5000
Accountant fees 1700 Fax machine 2000
Solicitor fees 1800 Security system 1000
Rental lease cost (Rent
advance/deposit) 1750 Office equipment 1000
Utility connections & bonds
(Electricity, gas, water) 2000 Furniture 1000
Phone connection 2050 Shop fitout 800
Internet connection 2700
Computer software 2000
Training 750
Wages 760
Stock/raw materials 50000
Insurance

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Building & contents 10000
Vehicle 4500
Public liability 1600
Professional indemnity 2150
Product liability 1800
Workers compensation 500
Business assets 450
Business revenue 800
Printing 750
Stationery & office supplies 900
Marketing & advertising 800
Total start-up costs $102,20
0
Total equipment/capital
costs
$347,80
0
Grand Total $450,00
0
Assumptions:
All figures are GST
exclusive.
Unit price Table
Starters
Main
course Beverages Total
Units 2500 1500 5000 9000
Price per Unit 50 150 30 230
125,000.00 225,000.00 150,000.00 500,000.00
Profit and Loss Statement
Profit & Loss for The Asians

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PROFIT & LOSS Month 1 Year 1 Year 2 Year 3
Sales 41666.6666
7 500000 600000 720000
less cost of goods sold 25000 300000 360000 432000
Gross profit/net sales $16,667 $200,000 $240,000 $288,00
0
Expenses
Accountant fees $833.33 $10,000 $12,000 $14,400
Advertising & marketing $1,000.00 $12,000 $14,400 $17,280
Bank fees & charges $1,166.67 $14,000 $16,800 $16,800
Bank interest $500.00 $6,000 $7,200 $8,640
Credit card fees $333.33 $4,000 $4,800 $5,760
Utilities (electricity, gas,
water) $416.67 $5,000 $6,000 $7,200
Telephone $916.67 $11,000 $13,200 $15,840
Lease/loan payments $750.00 $9,000 $10,800 $12,960
Rent & rates $708.33 $8,500 $10,200 $12,240
Motor vehicle expenses $583.33 $7,000 $8,400 $10,080
Repairs & maintenance $375.00 $4,500 $5,400 $6,480
Stationery & printing $833.33 $10,000 $12,000 $14,400
Insurance $666.67 $8,000 $9,600 $11,520
Superannuation $541.67 $6,500 $7,800 $9,360
Income tax $691.67 $8,300 $9,960 $11,952
Wages (including PAYG) $333.33 $4,000 $4,800 $5,760
More… $875.00 $10,500 $12,600 $15,120
Total expenses $11,525 $138,300 $165,960 $195,792
NET PROFIT (Net
Income) $5,142 $61,700 $74,040 $92,208
Assumptions:

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All figures are GST
inclusive.