Business Plan: Final Whistle VR - Entrepreneurship and Innovation

This business plan details the launch of Final Whistle VR, a virtual reality soccer game for mobile devices. It includes a market analysis targeting iOS and Android users aged 20-35, highlighting market trends and growth potential. The plan outlines the game's value proposition, competitive edge, marketing strategy, and pricing. Operationally, it describes the organizational structure and management team. The financial plan includes important assumptions, a break-even analysis, a profit and loss account, a projected cash flow, and start-up costs. The document addresses potential management gaps and mitigation strategies, aiming to present a comprehensive overview for potential investors. Desklib offers a variety of similar documents and study tools for students.

Running head: ENTREPRENEURSHIP
Entrepreneurship
Name of the Student
Name of the University
Authors Note
Course ID

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Table of Contents
Business Overview:....................................................................................................................2
Product description:...................................................................................................................2
Marketing Plan:..........................................................................................................................2
Target Market Segmentation:.................................................................................................2
Market needs:.........................................................................................................................3
Market Trends:.......................................................................................................................3
Market growth:.......................................................................................................................3
Industry participants:..............................................................................................................4
Distribution Patterns:.............................................................................................................4
Strategy and Implementation:....................................................................................................5
Value proposition:..................................................................................................................5
Competitive Edge:..................................................................................................................5
Marketing strategy:....................................................................................................................5
Pricing strategy:.....................................................................................................................6
Promotional Strategy:.............................................................................................................6
Operational Plan:........................................................................................................................6
Organizational Structure:.......................................................................................................6
Management Team:................................................................................................................6
Management Team Gaps:......................................................................................................7
Financial Plan.............................................................................................................................7

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Important Assumptions:.........................................................................................................7
Break-Even Analysis:.............................................................................................................7
Profit and Loss Account:........................................................................................................8
Projected Cash Flow:.............................................................................................................8
Start-Up Cost:.........................................................................................................................9
References:...............................................................................................................................10

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Business Overview:
The Final Whistle VR will be formed as the developer and publisher of soccer video
games that will be available in mobile device. The Final Whistle VR will be an innovative,
high quality, fun games for Ios and android users in mobile device that will be feeding from
the gaming industry experience and knowledge. The successful marketing of this games will
be extensively based on the education and extensive amount of marketing.
Product description:
The Final Whistle VR will be an action packed virtual reality soccer game. The
customers that purchase the game will be provided with further access of downloading the
content. The demo will be available with the help of app store which will be free of charge to
the customers. The game would generally comprise of the level that will be having difficulty
level as well where the players will be required to use their fingers to draw the scripted
strokes to shoot the ball.
Marketing Plan:
Target Market Segmentation:
The first segment would be to target the Ios and Android mobile device users. Beside
this it will also target the mobile tab users. The smart phone users continue to be
predominantly male and around 65% of the users are more likely to be game subscribers that
ranges between the age group of 25 to 34 years (Drucker 2014). A wide portion of the market
segment analysis generally includes the large part of smartphone market users. The segment
that the owners are targeting includes the age group of 20 to 35 years, collegiate, male that
has the disposable income, living in the city, playing games on their Xbox, play station or
mobile phone that are familiar with the virtual reality soccer games.

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Market needs:
This group would want to purchase the product due to the themes of the games that it
presents. The Final Whistle VR will be designing its game to look both hip and urban. In
addition to this, it would be set out as pre-release to several game review sites. Good early
reviews will additionally help the gamers in purchasing the game (Kirzner 2015). The owners
believe that creating an early buzz of The Final Whistle VR will help in creating interest for
the game. The demand for games with higher amount of replay will help in driving sales. The
Final Whistle VR will be featuring difficulty, medium and easy level game with the option of
downloading the game as well.
Market Trends:
Games such as Pro Evolution Soccer, Penalty shooter and call of duty are presently
very much popular in the market. The Final Whistle VR will be looking forward to add new
trend in the gaming market. The rising amount of popularity for social networks is presently
the current trend (Baker 2014). Marketing the games on the social network sites is considered
as the important factor in the games overall marketing strategy.
Another important trend is the rise in video games in the mainstream culture. The
hardware as well as software once necessary to create the games has recently become
available to the average customers.
Market growth:
The sale of video games has reached around $74.4 billion by the year 2019. The
report states that Xbox, play station and mobile phone users are further anticipating to
contribute around 22 percent of the total portable sale of games five years from now onwards
(Foxall 2014). The revenue from the ipod touch games is anticipated to increase to USD
2.173.8 million by the year 2023 at a CAGR of 18.61% between the year 2018 and 2023.

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The business thinks that video games, 3D games and Bluetooth games is gaining
audience and the new delivery model would further help in improving the access to the users.
Globally, the Asian market is considered as the largest wireless gaming market and it is
anticipated to increase by further 23 percent in the wireless gaming market with the
compound annual rate of 43 percent during the ten-year analysis period.
The data obtained from the market of gaming industry suggest that the total video
games market would approximately $2,174.8 million by the year 2023 (Kuratko 2016). The
new data that is obtained suggest that the mobile device and android or Ios owners download
at least one game as compared with only 3.8 percent of the average customers prefer other
types of games.
Industry participants:
The industry participants generally include the established game developers in the
form of Jamdat Mobile, EA sports and Gameloft. These developers have established presence
in the game market and also carries reputation of quality as well. Whereas the independent
game developers develop majority of the games that also included in the play store and app
store.
Another important market participant are the creators of operating systems that are
installed on the smart phones (Burns 2016). This include the iphone users and android O/S
and blackberry for all the blackberry phones. When creating any kind of game or application
it must carry certain kind of specification on the specific O/S.
Distribution Patterns:
The games can be either downloaded from the official website of the company when
connected with the computer or from the app store or Google play store. The games store in
the current market is revolutionizing and it is anticipated that the trend is most likely to

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continue in future as well (Storey 2016). The company aims to adopt this facility as well by
distributing its games to the app store or Google play store for easy access of the gamers.
Strategy and Implementation:
Value proposition:
At the time of playing The Final Whistle VR game the players would get to listen a
good music being the part of the game. The customers would also get the quality game that
will have significant replay as well with the option of expanding the game by further
downloading the content.
Competitive Edge:
The Final Whistle VR will feature both the combination of first person soccer video
game and multiplayer option as well. In addition to this, it would also provide an additional
downloadable content that will increase the replay value of game. The Final Whistle VR will
be the motion based game that will also feature finger taps. The Final Whistle VR will be
incorporating both the methods under the standard gameplay.
Marketing strategy:
The Final Whistle VR game is mainly for the college educated players that are in their
late teens and above interest in the first person virtual reality soccer game with better replay
value. The Final Whistle VR game will provide its users with higher calibre game with the
option of expanding the content of games through additional downloads (Barringer 2015).
Unlike the other mobile games that uses the touch screens, The Final Whistle VR will
provide the customers with entire new experience of finger taps shooting.

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Pricing strategy:
The Final Whistle VR will be initially free to download and would only include one
stage of trail version. The further stages of the game can be downloaded by a price of $4.99
for each stage. The customers can buy the entire game by paying an amount of $12.99.
Promotional Strategy:
To promote the Final Whistle VR the owners look forward to brand the company as
one of the cutting edge of the video games technology. All the art of The Final Whistle VR
website and advertisement will be created individually having urban and high tech (Storey
2016). To promote the game you tube demos will be given to portray the game as
comparatively difficult. Advertisement will brand the game as the whole new experience,
something that has never been experienced by the gamers.
Operational Plan:
Organizational Structure:
The team comprises of three employees occupying the management and
administrative position with three technical position.
Management Team:
Michael: Will be serving as the executive director for the business and has several years of
experience in video gaming industry.
Alicia: Will be working as the project coordinator for The Final Whistle VR. She will also be
responsible for numerous media related investment opportunities.
Andrews: Will be serving as marketing and project manager. The main activities will include
the substantial digital marketing of the game.

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Management Team Gaps:
The team has very minimum amount of experience in the financial management area.
This will be compensated by hiring the outside contractors for payroll, accounting and other
administrative functions as well. In addition to this, the accounting software such as
Quickbooks will be used to keep records of accounts.
Financial Plan
Important Assumptions:
a. The owners assume that the economy is slowly recovering from recession, where
people is looking forward for entertainment at the reasonable price.
b. The owners also assume there will be a continuous rise in the number of gamers and
digital gaming tools as well.
Break-Even Analysis:
300000 400000 500000 600000 700000 800000 900000
-200000
-100000
0
100000
200000
300000
400000
500000
-112970
-37970
71992.5
143985
287970 287970 287970 287970
175000
250000
359962.5
431955
Contribution Fixed Cost Profit
Figure 1: Break Even Point
(Source: As Created by Author)

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Profit and Loss Account:
(4) PROFIT AND LOSS FORECAST
Year 2020 2021 2022
Revenue 3,50,000 5,00,000 7,50,000
Consulting 1,50,000 1,95,000 2,92,500
Expenses/overheads
Salaries 2,40,000 2,64,000 2,90,400
Consulting and Directors Fees 1,50,000 1,65,000 1,81,500
Sales and Marketing 45,000 49,500 54,450
Operating Expenses 50,000 55,000 60,500
Total expenses/overheads 4,85,000 5,33,500 5,86,850
Gross profit 15,000 1,61,500 4,55,650
Income Tax Expenses 4500 64950 154845
Net Profit After Tax 10,500 96,550 3,00,805
Projected Cash Flow:
2020 2021 2022 TOTAL
Sales Revenue
Gaming Sales 3,50,000$ 5,00,000$ 7,50,000$ 16,00,000$
Consulting 1,50,000$ 1,95,000$ 2,92,500$ 6,37,500$
GROSS REVENUE 5,00,000$ 6,95,000$ 10,42,500$ 22,37,500$
EXPENSES
Salaries / Wages 2,40,000$ 2,52,000$ 2,72,160$ 7,64,160$
Directors Fees 1,50,000$ 1,57,500$ 1,70,100$ 4,77,600$
Marketing 45,000$ 47,250$ 51,030$ 1,43,280$
Occupancy / Rent 10,000$ 10,000$ 10,000$ 30,000$
Interest 4,500$ 4,500$ 4,500$ 13,500$
TOTAL EXPENSES 4,49,500 4,71,250 5,07,790 14,28,540
TOTAL PROFIT 50,500$ 2,23,750$ 5,34,710$ 8,08,960
As evident from the table the cash flow is dependent on certain assumptions. One
assumption is the 45 day collection period based on the contractual obligation of Apple Inc to
send the payment.

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Start-Up Cost:
Start-up Expenses
Fixed Costs Particulars Amount ($)
Premises (RENT & RATES) $0
Salaries $2,40,000
Accountant Fees $1,50,000
Payroll Tax $1,65,000
Retainer contracts $45,000
Sales and Marketing $50,000
Postage & Telephone $50,000
Market survey $24,000
Working Capital $50,000
Total Fixed Costs $7,74,000
Average Monthly Costs
Postage & Telephone $4,167
Salaries / Wages $20,000
Total Average Monthly Costs $24,167
x Number of Months: 12
Total Monthly Costs $2,90,000
Total Startup Expenses $10,64,000
Start-up Assets
Owner Funding
Owners Fund $2,50,000
Total Owner Funding $2,50,000
Loans
Other
Total Loans $0
Total Start up Funds $2,50,000
Assets
Equipments $25,000
Tools $35,000
Total Fixed Assets $60,000
Total Start-up Assets $3,10,000
Start-up Requirements

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References:
Baker, M.J., 2014. Marketing strategy and management. Macmillan International Higher
Education.
Barringer, B.R., 2015. Entrepreneurship: Successfully launching new ventures. Pearson
Education India.
Burns, P., 2016. Entrepreneurship and small business. Palgrave Macmillan Limited.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Foxall, G., 2014. Corporate Innovation (RLE Marketing): Marketing and Strategy.
Routledge.
Kirzner, I.M., 2015. Competition and entrepreneurship. University of Chicago press.
Kuratko, D.F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.
Storey, D.J., 2016. Entrepreneurship and new firm. Routledge.