Performance Management Project: Fizz-Up Energy Drinks Business Plan

This project focuses on the development of a business plan and performance management strategy for Fizz-Up Energy Drinks, a company operating in the Australian beverage industry. The project includes a detailed analysis of the company's products and services, vision, mission, and market analysis, with a specific focus on the energy drink market. The project delves into the production process, standard production costs, and the creation of a master budget to assess the company's financial feasibility. The analysis covers various aspects, including direct materials, labor, overhead, and selling expenses, providing a comprehensive overview of the costs and revenue streams. Market research highlights the growing demand for energy drinks and the company's strategic positioning within the market. The master budget integrates financial projections, offering insights into the company's potential profitability. The project concludes with a summary of key findings, challenges encountered, and the application of relevant concepts to the business plan's design and implementation. The project aims to provide a clear understanding of the financial and operational aspects of launching and managing Fizz-Up Energy Drinks.

Running head: PERFORMNACE MANAGEMENT AND CONTROL
Performance Management and Control
Name of the Student:
Name of the University:
Author’s Note:

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Table of Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Products and Services..................................................................................................................2
Vision...........................................................................................................................................2
Mission........................................................................................................................................3
Market Analysis...........................................................................................................................3
Production Process.......................................................................................................................4
Standard Production Costs...........................................................................................................4
Master Budget..............................................................................................................................4
Conclusion.......................................................................................................................................5
References........................................................................................................................................6

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Introduction
The business plan that the Start-Up Company will be investing in for the purpose of
carrying of various business activities will be primarily in the field of Beverage Industry where
the company will be serving various types of flavoured energy drinks. The company will be
operating with the Trading Name Fizz-Up Energy Drinks Pvt Ltd where the company will be
operating in the Australian Region and serving various types of demands and needs that is
currently into the beverage industry. In order to assess the cost and associated profitability a full-
fledged financial feasibility analysis will be done in order to better assess the financial
performance of the company (Michael Koziol, 2018).
Discussion
Products and Services
The products and services offered by the company will be in the field of Healthy Energy
Drinks whereby the company will be offering a range of business services in beverage industry.
The product will be offered with the brand name itself in Fizz-up Drinks that will be served in
Orange, Cola and Blue Mint Flavor (Ibisworld.com.au 2019). The product will be served in 500
ml Aluminum Can Drink Pet priced at $1.50 per can. The company will also be serving pet
bottle of juices in 500ml quantity that would be priced at $1.
Vision
The vision of the company will be an anchor point of any strategic business plan
designed for a start-up business (Austrade.gov.au 2019). The organization aims at outlining the
achievement the business focus of growth and overall development in the various business filed

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that the company aims to cover specific market share for the overall development in the business
operations of the company and the overall brand recognition among the customers in Australia.
Mission
The key mission of the company will be to earn consistent profitability in the long-run
business with the help of the overall financial feasibility with the sole aim of creating wealth for
the shareholders of the company (Coca-colacompany.com 2019). The company will be
deploying various business strategy and actions for the purpose of increasing the business
activity and increasing the market penetration of the various business activity and products that
the company will be offering. The mission of the company will be successfully focused by the
management of the company for successfully achieving the vision of the business.
Market Analysis
The key market analysis was done whereby it was found that the Energy Drink Industry
on global basis has reached an overall sales of $49 billion and the same is expected to increase
consistently with the growth and demand of various types of beverage drinks. The level of
technology innovation and the market research is helping the companies in better researching
and analyzing the demands and needs of the various customers (Traveltriangle.com 2019). The
carbonated drink accounts for the largest market share around 43% in the year 2017 and the same
is declining by almost 4% in the year 2017. It is expected that non-carbonated drinks such as
energy drinks are expected to grow their business operations by almost 3.1% on an annual basis
and the same would be a positive boost to the Beverage Industry and the Fizz-Up Company
(Abc.net.au 2019).

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Production Process
The production will be done by the company in the Manufacturing Unit New South
Wales where the company will be having its primary base of operations. Packaging and
distribution of the products in all over the Australian Region will be done by the company itself
(Australian Food and Grocery Council 2017).
Standard Production Costs
The standard production costs that would be involved in the production of the goods and
services primarily would be in the field of Direct Material, Labor, Overhead, Selling Expenses
Budget and Administrative Budget. The allocation of the budgeted expenses would be solely
done based on the total expenses that will be incurred by the company and the associated costs
that would be incurred by the company. The breakdown for various costs and associated revenue
that will be earned by the company will be done both on a sum-up basis and as per the per unit
costs also in order to better analyze and understand the associated costs for the production
activity carried out. The allocation of the various costs that have been involved in the creation of
master budget was done as per the normal industry level standards that is applicable for the
allocation and analysis of the various costs involved.
Master Budget
The master budget would be created with the help of the various business expenses and
sales revenue that the company would be earning with the help of selling various costs and units
of the product quantity (Sethi 2019). The master budget developed all the relevant details
expenses and sources of revenue that the company will be earning. The costs can be classified
under heads like materials, labor, overhead, selling and administrative budget expenses that was

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prepared for the detailed analysis of the various costs and revenue associated. For both the
product segment Energy Drink and Juices Section a detailed cost and revenue analysis was done.
Conclusion
The project was undertaken from me by doing market research and opportunities that are
available to Fizz Up Company both from the rising global needs and Australian Going Beverage
Industry. The key challenges that were faced by the company in the view point of assessing the
financial feasibility and allocating and determining the various costs that are directly associated
with the project were some of the key challenges that were addressed in the business plan
designed. I personally overcame through this problems with the help of gathering various data
and context that were well related to the overall cost allocation and determining of the various
revenues that were applicable for the products sold by the company. The overall cost allocation
was easily done with the help of determination of various variables and factors that are directly
attributable to the production and manufacturing of the product.

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References
Abc.net.au. 2019. [online] Available at: https://www.abc.net.au/cm/lb/5246002/data/australian-
beverages-council-info-graphic-on-sugary-drink-consu-data.pdf [Accessed 2 Sep. 2019].
Austrade.gov.au. 2019. Food and Beverage - Austrade's industry capability information -
Austrade . [online] Available at: https://www.austrade.gov.au/International/Buy/Australian-
industry-capabilities/food-and-beverage [Accessed 2 Sep. 2019].
Australian Food and Grocery Council. 2017. STATE OF THE INDUSTRY 2017 REPORT -
Australian Food and Grocery Council. [online] Available at: https://www.afgc.org.au/news-and-
media/2017/10/state-of-the-industry-2017-report [Accessed 2 Sep. 2019].
Coca-colacompany.com. 2019. Drink to This Latest Research into Australia’s Beverage Habits .
[online] Available at: https://www.coca-colacompany.com/au/news/drink-to-this-latest-research-
into-australia-s-beverage-habits.html [Accessed 2 Sep. 2019].
Ibisworld.com.au. 2019. Soft Drink Manufacturing – Australia Industry Report | IBISWorld .
[online] Available at: https://www.ibisworld.com.au/industry-trends/market-research-reports/
manufacturing/beverage-tobacco-product/soft-drink-manufacturing.html [Accessed 2 Sep. 2019].
Michael Koziol, P. 2018. Australian soft drink industry vows to slash use of sugar by 20 per
cent. [online] The Sydney Morning Herald. Available at:
https://www.smh.com.au/politics/federal/australian-soft-drink-industry-vows-to-slash-use-of-
sugar-by-20-per-cent-20180625-p4znkm.html [Accessed 2 Sep. 2019].

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Sethi, S. 2019. Master Budget (Examples, Parts) | What is Master Budget?. [online]
Wallstreetmojo.com. Available at: https://www.wallstreetmojo.com/master-budget/ [Accessed 2
Sep. 2019].
Traveltriangle.com. 2019. 10 Famous Australian Drinks You Can't Afford To Miss In 2019.
[online] Available at: https://traveltriangle.com/blog/famous-australian-drinks/ [Accessed 2 Sep.
2019].