SEP Biz Business Plan: Strategic Analysis & Funding for Simple & Co

This business plan outlines the strategy for Simple & Co, a co-working space located in Batu Ferringhi, Penang, Malaysia, targeting remote workers and those seeking work-life balance. The plan details the company's vision, mission, and core values, emphasizing a simple and free work environment. It includes an industry overview, highlighting the growth of greenfield investments in Malaysia, followed by internal and external environmental analyses using tools like Porter’s Five Forces, competitor analysis, and PESTEL analysis. The plan also presents a SWOT analysis, segmentation, targeting, and positioning strategies, marketing growth strategies using the Ansoff matrix, an organizational design, and discusses management, leadership style, and company culture. Financial statements, including profit and loss, balance sheet, and cash flow statement, are provided to support the funding request for the business.

Running head: SEP BIZ BUSINESS PLAN
SEP Biz Business Plan
Name of the University:
Name of the Student:
Authors Note:

1SEP BIZ BUSINESS PLAN
Table of Contents
1. Introduction............................................................................................................................3
1.1. Report Objective.............................................................................................................3
1.2. Report Purpose................................................................................................................3
1.3. Report Scope...................................................................................................................3
2. Business Overview.................................................................................................................3
2.1. Industry Overview...........................................................................................................4
3. Environmental Analysis.........................................................................................................4
3.1. Internal Analysis.............................................................................................................4
4. External Analysis...................................................................................................................7
4.1. Porter’s Five Forces Analysis.........................................................................................7
4.2. Competitor Analysis......................................................................................................10
4.3. PESTEL Analysis..........................................................................................................11
5. SWOT Analysis...................................................................................................................13
6. Segmenting, Targeting and Positioning...............................................................................13
6.1. Segmenting....................................................................................................................13
6.2. Targeting.......................................................................................................................13
6.3. Positioning.....................................................................................................................14
7. Marketing Growth Strategies...............................................................................................14
8. Organizational Design..........................................................................................................15
9. Management, Leadership Style and Culture........................................................................16

2SEP BIZ BUSINESS PLAN
10. Financial Statement............................................................................................................17
10.1. Profit and Loss............................................................................................................17
10.2. Balance Sheet..............................................................................................................20
10.3. Cash Flow Statement...................................................................................................21
11. Conclusion..........................................................................................................................24
References................................................................................................................................25

3SEP BIZ BUSINESS PLAN
1. Introduction
1.1. Report Objective
The objective of the business plan is to attain funding to the Simple & Co business
that is considered to be a co-working space which is situated in Malaysia.
1.2. Report Purpose
The purpose of the report is to develop a business plan for Simple & Co along with
evaluating the feasibility of starting up this business, selected business location, industry
overview along with the target consumers.
1.3. Report Scope
The scope of the report is to attain approval for funding of Simple & Co. The report is
also focused on developing a brief layout of plans for the organization including its
operational, financial and sustainability act.
2. Business Overview
The proposed business date of the business is expected to be quarter 1 of the year
2019. Vision, mission and core values of Simple & Co. includes to serve as a working space
for its consumers those need break from a hectic city (Gabler,Panagopoulos, Vlachos &
Rapp, 2017). The location of the business will be Batu Ferringhi a.k.a Miami Beach, Penang
Malaysia. The type of business for the business will be partnership and the range of the
company is observed to be co-working space along with digital nomad community. Target
market of this business will include employees those like to work in remote places along with
people those look for work-life balance. The positioning statement of the business is “A
simplicity of life” that has the objective of creating an exceptional office spaces in order to
personify the paradigm of freedom regarding work and lifestyle.

4SEP BIZ BUSINESS PLAN
2.1. Industry Overview
The greenfield industry in Malaysia is observed to be increasing and investments
within the industry is increasing internationally by 10% each year (Qureshi, Saeed &
Wasti,2016). Most of the companies these days focus on developing their own facility to
attain competitive advantages along with attracting employees. However, the industry is also
dealing with challenges associated with the fact that greenfield projects are not constrained
by their previous work (Vurro & Perrini, 2018).
3. Environmental Analysis
3.1. Internal Analysis
ACTIVITY STRENGTHS (+ VALUE) WEAKNESSES (- VALUE)
PRIMARY
ACTIVITIES
   
Inbound
Logistics
 Simple & Co will
make regular
investments in
increasing its
economies of
scale.
 10  Improper supplier
management and
poor treatment of
them as they will
be charging high
in supplying to
distant greenfield
locations
 -8

5SEP BIZ BUSINESS PLAN
Operations  Development of
eco-friendly
office spaces
with facilities of
workout and
travel guides
 9  Low productivity of
Malaysian
employees can
impact company’s
operations
 -6
Outbound
Logistics
 The business will
offer free Wi-Fi
services to its
employees
 7  There is a threat of
security reach
because of
overcrowded
office spaces
 -4
Marketing &
Sales
 The business will
offer office
spaces in eco-
friendly
locations in
competitive
prices with high
work-life
balance features
 3  Attaining trust of
Malaysian
employees
through analyzing
their behavior of
“digitalnomadism
” can be difficult
 -1
Service  Creating an
exceptional
office spaces in
order to
personify the
 8  Offering additional
services to
employees
involvesadditional
 -5

6SEP BIZ BUSINESS PLAN
paradigm of
freedom
regarding work
and lifestyle.
expenses
SECONDARY
ACTIVIITES
   
Procurement  The new business
will work on
developing its
planning and
control functions
 4  Increased expenses
are to be
experienced by
the business in
upgrading its anti-
fraud software
 -2
Human
Resource Mgt
 This will include
managing
recruitment to
management
development
 6  Absence of well-
trained staff or
development of
recruitment
programs might
not be effective
 -3
Technology  The business will
focus on
providing new
innovative
services in the
greenfield office
spaces with
 8  Installation and
capital investment
might turn out to
be a long-term
process that needs
total employee
 -5

7SEP BIZ BUSINESS PLAN
value added
facilities
commitment
Firm
Infrastructure
 The infrastructure
of greenfield
office spaces in
Malaysia will
consider
including
recreational
services so that
employees can
enjoy working in
soothing
environment
 7  Increased
competition in this
industry can result
in comparison
among corporate
and other
association
 -1
4. External Analysis
4.1. Porter’s Five Forces Analysis
Activity Opportunities (+ Value) Threats (- value)
Threat of New
Entrants
 Developing
economies of
scale for
minimizing the
fixed cost per unit
 +8  Lower pricing
strategy, cost
reduction and
new value
propositions to
the customers
 -7

8SEP BIZ BUSINESS PLAN
Bargaining
Power of
Customers
 Rapid innovation
of new types of
buildings and
providing
discounts to
customers on one-
time payment
 +6  High
bargaining
power, as
buyers want to
purchase
better quality
products at
lower prices
 -9
Threat of
Substitutes
 It needs to be
service-oriented
rather than just
product-oriented
 +7  The
established
commercial
contractors
and their
buildings
could have
adverse impact
on the
profitability of
the
organization
 -9
Bargaining
Power of
Suppliers
 Developing
effective supply
chain with
numerous
suppliers
 +6  The strong
suppliers in
the industrial
goods industry
utilize their
 -8

9SEP BIZ BUSINESS PLAN
negotiating
power for
extracting
higher prices
leading to
lower profit
margin
Industry
Rivalry
 Collaboration
with the rivals so
that the market
size could be
increased
 +6  The firm
would
experience
cutthroat
competition
from the
reputed
construction
companies
operating in
Malaysia,
which might
have adverse
impact on
revenue
generating
capacity
 -8

10SEP BIZ BUSINESS PLAN

10SEP BIZ BUSINESS PLAN
4.2. Competitor Analysis
Company A Company B
Marketing
Mix
Strengths (+ Value) Weaknesses (- value) Strengths (+ Value) Weaknesses (- value)
Product Product
innovation
depending
on the
varying
taste and
preference
of the
customers
+8 Limited
product
depth and
product
width
-6 Superb
construction
chemical
quality and
customer-
oriented
service
features
+7 Limited
flexibility
-6
Price Mobile
testing labs
+7 Lack of
financing
-9 Catchy
punch line
+6 High expenses
are incurred
-8