Arab Open University, BUS115: High Five Gifts and Flowers Shop Plan

This report presents a detailed business plan for a gift and flower shop named "High Five" in Kuwait. The plan outlines the business description, including the unique value proposition of offering seeds for indoor and outdoor planting. It identifies the target market as individuals aged 18-40 with a propensity for gift-giving. The report analyzes competitors like Q8eGifts and Bleems, and proposes market penetration strategies using social media and television advertisements. The management structure is described as a flat organization. The marketing goal is to capture 10% of the market within three years, utilizing social media tools. Sales will be made through physical shops, with advertising via print media and sales promotions offering discounts. Financial analysis includes sources of funds from personal contributions and loans. The report concludes by summarizing the new venture, business strategies, product analysis, management structure, and financial elements. References include works by Ansoff, David & David, Ekanem, and Bleems.

INTRODUCTION
 The business idea that is considered for this
plan is about Gifts and flower shop.
 This shop will provide different types of gifts
for different occasions and also fresh flowers
to the customers.
 The plan is presented below which include
the description of the business, target market
to whom the products will be offered, the
competitors who are present in the market
and also the strategies that the business will
adopt are presented below.

DESCRIPTION OF THE BUSINESS
 The business will be offering the products
and services which include gift and flower
shop.
 The name of the business will be “High Five”
gifts and flowers shop. This “High Five” shop
will be present in Kuwait local market.
 The unique value that this shop is offering to
their customer is awareness and motivation
about the indoor and outdoor planting by
offering them seeds.

TARGET MARKET
 The business will target based on the
age group which will include more of the
people that fall within the age group of
18-25 years and 25-40 years people.
 The primary target of the High Five shop
include the people with the personality
traits and have an attitude of buying
gifts and flowers for the loved ones
which include the family and friends
members.
 The business will focus on the
behavioural segmentation that focuses
on the purchasing and spending habits
of the customers.

ANALYSIS OF COMPETITORS
 In Kuwait, the business will find online stores
like Q8eGifts who are offering online gift
services to the customers.
 Another competitor which is present in the
market is Bleems. Bleems Company is
working to complete its mission which is to
celebrate life and making every moment as a
special, happy, and memorable one.

BUSINESS STRATEGIES
 The market penetration strategy is
considered as the product market where all
the company seeks with the motive to get a
higher dominance within the market.
 The business will make use social media
platform and television advertisement which
will help them to generate awareness in the
market about the products and services that
will be an offer by the business in the
market.

MANAGEMENT STRUCTURE
 The company will maintain a flat organisation
structure as it is a new business. One of the
owners of the business will have the
experience of working with the gift and
flower shops for more than 5 years.
 On the other hand, another owner who will
partner of the business has the work
experience of the 3 years in the gift shop
from where he learnt all the work.

GOALS/OBJECTIVES/STRATEGY
 Revenue Forecasts
Revenue forecast Year 1 Year 2 Year 3
Kuwait
Dinar
Kuwait
Dinar
Kuwait
Dinar
Sales (Revenue)* 83,000.00 91,300.00 100,430.00
Cost of Goods Sold
Opening inventory 20,500.00 22,550.00 24,805.00
(plus) purchases 9,500.00 9,975.00 10,473.75
(minus) closing Inventory
Total Cost of Goods Sold 30,000.00 32,525.00 35,278.75
Gross Profit 53,000.00 58,775.00 65,151.25
Operating Expenses
Materials and Supplies 1,440.00 1,497.60 1,557.50
Wages: Employees’ Salaries 12,000.00 12,480.00 12,979.20
Packaging expenses 2,000.00 2,080.00 2,163.20
Bank Charges 1,080.00 1,123.20 1,168.13
Rent 10,500.00 11,025.00 11,576.25
Maintenance expenses 4,020.00 4,180.80 4,348.03
Total Operating Expenses 31,040.00 32,386.60 33,792.31
Earnings Before Interest and Taxes 21,960.00 26,388.40 31,358.94
Less Interest 5000 5000 5000
Net income 16,960.00 21,388.40 26,358.94

CONTINUE…
Marketing Plans
 The marketing goal of the High Five business
grabs the 10% market in the coming 3 years
for which they need to promote.
 The marketing goal of the business is to
make use of the different social media tools
for promoting products and services.

CONTINUE…
How Sales Are To Be Made
 High Five Shop will sell their products through
shops in which they allow the customer to visit
and select the best as per their needs.
Advertising and Sales Promotion
 In the advertisement, the business will make use
of the print media in which they will print the
pamphlets, broachers and others to distribute
the same in the nearby area to get the attention
of the customers.
 In sales promotion, the first 50 customers will
get the benefit of the 40% off on the products
which will grab the attention of customers.

CONTINUE…
Financial Analysis
 The sources of funds will be possible from the
personal amount and also for the loan that
will be gathered for running the operations of
the business.
SOURCES OF FUNDS Amount
Personal amount 85,000.00
Loan/debt
115,000.0
0
200,000.0

CONCLUSION
 At the end of the report, this is summarized
that the business of flower and gift shop is a
new venture that is introduced in Kuwait.
 The business strategies, product analysis and
management structure that will be applied
by the company are discussed in the report.
The goals, objectives, and strategies for the
High Five shop will be mentioned with the
analysis of the financial elements.