Entrepreneurship Project: Lean Startup for Children's Education Device

This project report presents a comprehensive business plan for an innovative electronic device targeting children aged 4-12, designed to deliver fairy tale stories with a 3D hologram effect for educational purposes. The report begins with an introduction to the Lean Startup methodology, emphasizing the importance of the build-measure-learn feedback loop. It then details the customer value proposition canvas, analyzing customer jobs, pains, and gains, alongside the product's features and benefits. The lean business model canvas is presented, outlining customer segments, channels, revenue streams, cost structure, value propositions, problem/solution fit, and key metrics. The report further includes a CMO marketing and customer engagement plan, focusing on sales pitches through various channels, and concludes with a financial and financing plan, outlining revenue projections, profit margins, and cost management strategies. The overall objective is to deliver education in an engaging and innovative way, leveraging the novelty of the 3D hologram technology to attract children and facilitate faster learning.

Entrepreneurship Development

Table of Contents
Introduction.................................................................................................................................. 3
Customer value proposition canvas.............................................................................................4
Customer value proposition canvas.............................................................................................5
Lean Business Model Canvas.....................................................................................................7
CMO Marketing and customer engagement plan.......................................................................11
Financial and financing plan......................................................................................................14
Summary................................................................................................................................... 15
Reflection................................................................................................................................... 16
References................................................................................................................................ 18
Appendix II................................................................................................................................. 19

Introduction
The Lean Startup gives a logical way to deal with making and overseeing new businesses and
get an ideal item to clients' hands quicker. The Lean Startup strategy shows you how to drive a
startup-how to control, when to turn, and when to continue on and grow a business with greatest
speeding up. It is a principled way to deal with new item improvement.
A central section of the Follow Startup approach is the circle of insertion of the learning
measure. The first step is to make sense of the problem that should be clarified and then build a
Minimum viable product (MVP) to start the learning path as soon as possible expectation in the
circumstances. Once the MVP is set up, a beginner can take a look at how to tune the engine.
This will involve estimation and learning and should include important steps that show the
question of location and logical results.
This project report consists of lean development plan of business idea of marketing an
electronic device for children age between 4 – 12 for watching fairy tale stories with 3 D
hologram effect for education purpose. The main advantage of this business idea is no one has
taken initiative on this idea; hence, it’s totally new and having innovative way to deliver
education. The 3 D hologram effect of characters makes it interesting and modern, which
attracts children and helps them in fast learning.
Profit, sales revenue and profit margin objective for 3 years:
 Increasing revenue by 20% every year
 Earning £40 on each product as a profit margin
 Save at least 40% as a gross profit out of sales revenue over the year
 The targeted sales revenue for the present year is achieving £1 Million
 Based on this the total sales need to be 5,000 over the year @ £200 per product
 Maintaining variable cost upto 60% of sales revenue
Other than this; the other objectives of company is to pitch product to atleast 100,000 people
and at the rate of 5% conversion rate; 5,000 converted customers could make revenue for firm.

The medium of sales pitch are telemarketing, social media, banners, network marketing, public
campaign, school visiting, promotion on mall especially at kid’s zone and free trial to visitors.
The main aim behind this business idea is to deliver education to students in more interesting
and innovative way.
Customer value proposition canvas
The Value Proposition Canvas is a tool that helps ensure that an item or administration is
around what the customer thinks and needs. The Value Praise Canvas was originally developed
by Dr. Alexander Osterwalder as a structure to ensure that there is a transition between the
object and the market. It is a detailed description of the connection between two pieces of
Osterwalder’s larger body model canvas; customer allowances and offers.
This tool is a basic sheet of paper with a large square on the left and a circle on the right. It is a
geometric collection designed with the customer’s allowance canvas and according to the
inspiration shape. Together they aim to ensure that an understanding of what is featured and
featured an article meets the needs of a specific class of customers.
The value proposition is basically an advertisement that is most commonly used in business to
summarize a desire for respect - because a buyer (or company if your customers are different
organizations) should do something or buy the administration of the group. It is a promise of
great value to be transmitted. Promotion is the promise of an organization for a customer or a
fragment of the market. It’s a simple motivation behind why a customer should buy something or
manage from you. Motivation should be a unique explanation that clarifies how an object
constitutes a point of distress, details its added benefit and explains the reason behind why
which is better than the comparative articles available. The perfect offer is complex and requires
deep customer rooted dynamic drivers.

Customer value proposition canvas
Value Proposition Customer Profile
The circle (Customer Profile)
Typically, the prologue to the canvas begins with the correct part responsible for the client's
image. The circle is divided into three parts where you need to identify mistakes and satisfy your
customers' desire, just like positive and negative things happen to them.
Jobs:
 Get help to children
 Easy way to provide education
 Make quick learning
 Parents voice control with safety to children eyes
Pains:
 Dependency on parents for read out story and comics
 Lack of focus by children while reading books

 Giving mobile to watch stories not secure; due to misuse by children
 Lots of time consuming in telling stories by parents
 Children age between 4 – 6 disturbing parents and avoid studying
 Parents worry about how to engage their kids in study without giving enough time to them
 Tutors are expensive and drain the heavy cash to teach kids
 Did not find a toy which could help in effective learning to kids
 All study materials and medium of education make children quickly bored
Gains:
 Guaranteed low prices
 Quick learning
 Built interest in studies
 Attractive due to 3 D hologram effect of characters
 Good for eyes and parental voice control enabled
The Square (Value Proposition)
The square in which the stimulus direction is known is compared to the circle; the area
belonging to the element is divided into three sections. They compare it to the relevant
messenger image category. Here we manage the article. The emphasis is on the ambitions, the
usefulness and the benefits it can offer to attract customers and satisfy their pre-requisites on
the right side.
Pain Relievers:
 Assist children in telling stories with hologram presentation of characters to make it
interesting
 Save the cost of tutors through providing effective way of education to children age
between 4 to 12 years
 Safe learning for children as like phone there’s no misuse of this product by kids
 Eliminate the dependency of children on their parents for study and comics reading
Gain Creators:
 Save the tutor fees

 Simple and attractive design that is visually appealing
 One time investment and gives benefits every day
 Has make a revolution in the medium of education or put education at different level
Products & Services:
 Alexa like electronic device
 Visualize characters in 3 D hologram
 Clear voice with changing characters effect to make it real like experience
Lean Business Model Canvas
Lean Canvas by Lean Maurya is a 1-page strategy module tested for shape that will inspire you
to integrate your thinking into its key scenarios. It is adapted from Alex Osterwalder Canvas
Business Model and developed for Lean Startups. It replaces market strategies with a single
page action plan.
The Lean Canvas is a variant of the Canvas business model and is specific to the corporate
audience. The canvas is based on cases, arrangements, key sizes and arms.
Lean Canvas includes insights for new businesses to manage vulnerabilities and risks. He
introduced Problem and Solution components just like Key Metrics and a favorable unbalanced
position. Lean Canvas also reflects the standards of the "Lean Startup" production process. The
idea behind Canvas Lean is to brainstorm quickly on the business rather than using some time
to build a field test strategy. The lean canvas is divided into 9 components.

1. Customer segments:
These are collections of people or organizations that you are trying to target and offer your
object or management.
There are a number of client clusters that an action plan can address and they are:
Mass market: A supermarket-focused action plan doesn't take its customers to waste. Instead, it
targets everyone or a large collection of people with similar requirements. For example,
something like a phone.
Niche market: here the focus is on a special meeting of people with special needs and
characteristics. Here incentives, transport channels and messenger links should be modernized
to meet their specific needs. One model would be to buy sneakers.

Segmented: Based on slightly different requirements, there may be several meetings within the
main client segment. Similarly, specific incentives, distribution channels and so on can be
created to meet the different needs of these items.
Diversified: An expanded market segment includes customers with completely different needs.
Multilateral Markets: Includes segments of independent customers. For example, a debit card
group pays attention to both Mastercard holders and dealers who recognize these cards.
2. Channels:
This section serves to show how your organization communicates and connects with your
customers. Channels are at the center of engagement, allowing your customers to interact with
your organization.
Diverts is committed to raising awareness and motivating customers. Channels can also be
used to allow street visitors to purchase items or administrations and offer post-purchase
support.
There are two types of channels
 Owned channels: organizational site, online life destinations, internal contracts and so
on.
 Partner channels: offer sites, discount distribution, sales, etc.
3. Revenue Streams:
Revenue streams are the sources from which an organization generates money by offering its
articles or management to customers. Also, in this square, you should describe how you can
earn revenue from your offers.
A revenue stream can play a role with one of the accompanying revenue models,
 Transaction-based revenue: issued using single-installment customers
 Recurring revenue: earned using continuous allowances to go on with administrations or
post-deal administrations

There are several ways in which you can make an income
 Asset sales: By selling property benefits to a buyer
 Usage charge: Charges the customer for the use of the item or its administration
 Membership Fees: Charges the customer to use their article regularly and reliably
 Borrowing / renting / renting: the customer pays to exercise discretionary rights to use a
fixed term benefit
 Authorization: the customer pays to get permission to use the organization’s defense
innovation
 Business Expenses: Income generated by walking around as a median between at least
two meetings
 Promotion: charges the client for article, administration or brand advertising using
organizational standards
4. Cost structure:
This includes costs of running business like customer acquisition costs, operational costs,
distribution costs, back-end processing costs, etc.
Business need to focus on evaluating the cost of creating and delivering value propositions,
creating revenue streams, and maintaining customer relationships. And this will be easier to do
so once company has decided about its key resources, activities, and partners.
Businesses can either be cost-driven (focuses on minimizing costs whenever possible) and
value-driven (focuses on providing maximum value to the customer).
5. Value propositions:
This is the structural barrier that is at the heart of the canvas's action plan. Also, talk to your
unique solution (article or administration) for a problem encountered by a messaging
department or that represents an incentive for the customer's cookie.
The incentives should be overwhelming or should not amount to motivating your competitors.
Since you're not offering anything else, it should be imaginative and problematic. Furthermore,
with the possibility that you are not offering what is now on the market, it should stand out with
the main buildings and new constructions.

Offers can be quantitative (cost and speed of administration) or personal (experience or
messaging plan).
6. Problem:
This section covers what exactly the problem is? Or what market requires? Without addressing
problem it is difficult for business to address it and fulfill the gap through satisfying customer
needs.
7. Solution:
It solves the problem analyzed through feasible solution and this solution will fill the gap of
market demand. This section also analyzes the USP for business product to make it unique
from other companies.
8. Key Metrics:
This describes the main exercises you will be measuring. Templates are things like new
customer units, number of new clients, potential market size, level of market reach, global
segment, revenue per customer and so on. They relate to the type of information that
speculators and company owners would be interested in.
9. Unfair advantage:
This section shows what can’t be copied from existing product by others like patent right or
trademark.
CMO Marketing and customer engagement plan
As brands strive to remain important and inspire their customers in the information age,
consumer engagement has become the plan's benchmark. Advertisers are currently realizing
that customers are gradually attracting incoming sales, spreading more word of mouth and that
they are becoming more effective and stable. A loyalty driver survey led by Lenati found that
96% of advertisers agree that consumer engagement favors business performance.

Highly engaged customers will be inspired by the contribution of your center and will devote
their time and commitment to motivation for the benefit of your image. Brands that add
resources to a consumer engagement program that largely sees important commercial results
through coordinated articles or administrations, content provided by messengers, advertised
publications, and broad brand reach.
Below are the ways to develop CMO marketing and customer engagement plan:
1. Align the organization:
This “continuum of commitment” requires a cross-functional group of the organization -
promotion, product, customer support and so on - to create and implement a sustainable
customer engagement program with minimal attention given to change or adjustment in the life
cycle of the customer.
Official help is crucial in the early stages: securing resources, selecting people from the inter-
practical group and establishing leadership levels. A strong practice in selecting the support of
the program is to identify an official winner outside the promotion who will support the activity
with the CMO.
2. Designing strategies:
At this stage, an organization considers a "commitment assumption" for several programs: what
types of engagement exercises produce the best results and what emotions these exercises
should entail in order to behave direct users. This way of thinking is an important part of
transforming the organization around the objectives of the commitment program. It is necessary
to agree and update theories using the driver's knowledge, experience and presentation.
The result of the technical stool platform is a customer engagement phase that explains a
customer's path to high levels of commitment to your image. Your stool must be designed to
recognize an extension of motivation for your customers. A committed step stool becomes a
design at the base of strategies and wars.
3. Developing tactics:

The user engagement program needs to work seamlessly across all channels. To raise the
estimate, it should be reliable and relevant, with little regard for where a customer depends.
Since the average customer is always expecting personalized and branded meetings, it is
essential to offer the right engagement openings - created specifically for each customer, on
each channel: multi-active, web, social and physical.
On the web and custom promotion, custom projects, physical domains and customer support
offer similar openings of commitment. They should be tidied up to put customers on the road to
enthusiasm and help them to lift their stools after a while. These projects can be vicious circles
to help customers repeat their commitment to stool over and over again, with little regard for
where they collaborate with the brand.
4. Pilot and scale:
As you prepare to show new episodes of an engagement program, work under control to guide
ideas and test them with messengers to demonstrate value. Testing methods that have been
successful for our customers include flexible pilots, A / B tests and comprehensive tests.
When another program is agreed upon and developed through orientation, it is a good
opportunity for scale. Scale must establish the right methods and structures to offer and
manage each new program for the wider market.
5. Measure and Manage:
The measurement strategy should provide pioneers and organizations with the data that should
be based on knowledgeable business options and develop the commitment program. While I
understand what should be measured, it is essential to identify the key execution indicators
(KPIs) that will spread the most and find ways to smooth the data so that the basic pieces of
knowledge clearly articulate in specific ways.
A difficult but important exercise is to raise the user engagement score by consolidating different
social proportions of participation in KPI. The increases in this score can be attributed to
developed industry and various commercial products, evaluating the ROI and estimating
program commitment. In addition, user engagement scores can increase users ’estimated life
expectancy models.

Financial and financing plan
Cost structure:
The cost structure refers to the different types of expenses incurred by a company and is
constantly made up of fixed and variable costs. Fixed costs are costs that remain unchanged
with little consideration for the amount of output produced by an organization, while variable
costs vary according to the size of the creation.
Cost structure can be divided into two parts; fixed and variable cost
Fixed cost:
These costs are fixed in nature which means it remain same for each month; whether the
business get loss or profit. Therefore business needs to earn minimum income to pay these
expenses for each month.
Variable cost:
This cost varies with production of each unit; it increase and decrease with the production.
In this case; company has fixed cost of £15,750 and variable cost of £120 per unit.
Break even analysis
Breakdown analysis is a useful tool for determining when your organization, or other element or
administration, is fertile. Put another way, it is a calculation related to the amount of money used
to determine the size of items or administrations you need to offer in any situation to divide your
expenses. By the time you make your first deposit, you are not losing money or making money,
but all your expenses have been guaranteed.
This new product has 197 units as a break-even point; below this unit; company will bear
losses, because to run a business in a long run it is necessary to bear atleast fixed cost.
Fund flow statement

This statement shows how much fund has been raised through different sources and where
exactly the fund has been used by business. Here, business has raised the funds through bank
loan, owner’s fund, invested by others and taking short term loan from small institutions for
working capital requirement purposes.
Summary
This project has huge scope in the market due to opportunity based on the concept of first come
and collects all benefits. The business is unique and pitching the right product to right customer
no one has think in this innovative way. Investing in this lean entrepreneurial opportunity will
definitely give higher return in long run to stakeholders or investors.

Reflection
I knew nothing about starting a business. I believed that to start a business, an expert needed a
lot of long-term understanding. For this position, you can name a company visionary for yourself
and start the business. For any time you have a spending plan to buy all your needs and a place
to do your business than you will get a good start. I did not understand that to start a business
depends on the type of business, for example a restaurant you need a special permit to keep a
strategic distance from the problem with the administration. If liquors are sold in this restaurant,
permission must be stated that the sale and sale of spirits are established. Also, I didn't realize
that you need to have the goal of starting a business that will help you get through the early
stages of your business.
I discovered that starting a business is an extraordinary way of making a difference. First of all
the rest started as a speech. Conceptualization requires a lot of specific consideration in certain
subjects. For example: the key is to identify the type of business I need. Here I have to consider
what profits can do for me and more on the net. In this campaign I chose to have my business in
my Washington statues area. This means that I have to do business that the Hispanic network
will support doing what I've always known. After choosing the business I needed, I decided to
consider why I needed this business and how I would raise funds. I needed my vision to
document this initiative, which meant that I needed this business for a later look. At that point I
am recording my mission call which includes a powerful explanation covering my position
regarding my business and helping the network. Towards the end, my business has a tough
cooking class which will benefit the inhabitants of my area. He will be moderate and supportive
for all needs that help change their daily diet. Another important idea is to have a business as a
financial plan, this means what I am willing to spend on an empty space that I can have and in
addition to the tools that I expect to have. proceed with my preparation. The reality of money is
that bank loans must be finalized for these plans. Having a business goes a long way and it is
essential to keep track of everything you do.
My business is about providing electronic device which has artificial intelligence as like Alexa, it
is voice enabled and gives 3 D hologram effects in miniature. The best way to get on this idea
was to take concern of parents regarding what they feel about education system and what
revolution they expecting from the market. I think there is a high demand for my service
because in this community a lot of people are suffering a lot with boring method of learning for

their children. I feel that it is my job to help them. The product pitch plan was based on
advantage a consumer will get from this product.

References
Maurya, A., 2012. Running lean: iterate from plan A to a plan that works. " O'Reilly Media,
Inc.".
Ballard, G., 2008. The Lean Project Delivery System: An Update. Lean Construction Journal.
Paço, A., Ferreira, J. and Raposo, M., 2016. Development of entrepreneurship education
programmes for HEI students: The lean start-up approach. Journal of Entrepreneurship
Education, 19(2), p.39.
Hobbs, D.P., 2011. Applied lean business transformation: a complete project management
approach. J. Ross Publishing.
Bhasin, S., 2012. An appropriate change strategy for lean success. Management Decision.
Husby, P.C. and Hamilton, J., 2017. Make Your Business a Lean Business: How to Create
Enduring Market Leadership. Taylor & Francis.
Ghezzi, A. and Cavallo, A., 2020. Agile business model innovation in digital entrepreneurship:
Lean startup approaches. Journal of business research, 110, pp.519-537.
Burton, T.T. and Boeder, S.M., 2003. The lean extended enterprise: Moving beyond the four
walls to value stream excellence. J. Ross publishing.
Chiarini, A., 2011. Japanese total quality control, TQM, Deming's system of profound
knowledge, BPR, Lean and Six Sigma. International journal of lean six sigma.

Appendix II
Cost Structure (monthly)
Fixed cost: £ £
Salary:
Marketing 5000
Production team 4500
Office team 1750 11250
Rent 3500
Water 500
Electricity 500 4500
Total fixed cost 15750

Variable cost:
Accessories per unit 90
Packaging per unit 10
Assembling 20
120
Break even analysis
Per Unit £
Sales 200
Less: Variable cost @
60% 120
Contribution 80
Fixed cost 15750
Break even point in units
= Fixed cost / Contribution per unit
= 196.875
= 197 Approximate
Fund flow statement
Sources of funds £ Uses of fund £
Bank Loan
50000
0 Plant and Machinery
45000
0
Owners fund
10000
0 Promotion
15000
0
Investment by others 75000 Reserve for Maintenance 55000
Short term loan 16000 Working capital 36000
69100
0
69100
0