Detailed Business Plan: Zabbetta Dry Cleaning and Laundry, Muscat

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This business plan outlines the establishment of Zabbetta Dry Cleaning and Laundry in Muscat, Oman. It details the company's ownership structure as a limited liability store owned by Joseph Langley, and its purpose of evaluating the prospects of a new retail outlet. The plan covers a business overview, including start-up summary, location, services (dry cleaning, laundry, alteration, ironing), and mission and vision. It analyzes the industry and market, identifying competitors and target markets (professionals, housewives). The marketing strategy encompasses product, place, pricing, promotion, advertisement, and growth strategies. An operations plan, management team structure, resource allocation, financing, and financial projections (income statement, cash flow, balance sheet, break-even point) are also included. The plan concludes with risk assessment and key milestones for the business's successful launch and sustainable growth in the Omani market.
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Running head: BUSINESS PLAN OF ZABETTA DRY CLEANING AND
LAUNDRY
Business Plan of Zabetta Dry Cleaning and Laundry
Name of the University:
Name of the Student:
Authors Note:
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1BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
TABLE OF CONTENTS
1. Introduction..............................................................................................................3
1.1 COMPANY OWNERSHIP.........................................................................................3
1.2 PURPOSE OF THE BUSINESS PLAN.......................................................................3
2. Business Overview....................................................................................................4
2.1 START-UP SUMMARY AND CAPITAL INVESTMENTS............................................4
2.2 LOCATION OF THE BUSINESS...............................................................................5
2.1 Product And Services.............................................................................................5
2.2 Mission And Vision Of Zabbetta Dry Cleaners And Laundry..........................6
2.3 Market Entry..........................................................................................................7
3. Industry And Market Analysis...............................................................................7
3.1 COMPETITION AND COMPETITORS.......................................................................7
3.2 MARKET SEGMENTATION AND TARGET MARKET...............................................8
3.4 CUSTOMERS AND VALUE PROPOSITION...............................................................8
4. Marketing Strategy..................................................................................................9
4.1 PRODUCT..............................................................................................................9
4.2 PLACE...................................................................................................................9
4.3 PRICE....................................................................................................................9
4.5 PROMOTION..........................................................................................................9
4.1 ADVERTISEMENT STRATEGIES..............................................................................9
4.2 GROWTH STRATEGY...........................................................................................10
5 Operations Plan.......................................................................................................11
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2BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
6. Management Team & Company Structure.........................................................12
7. Resources................................................................................................................13
8. Financing.................................................................................................................13
9. Financial Projections.............................................................................................14
9.1. INCOME STATEMENT.........................................................................................14
9.2. CASH FLOW.......................................................................................................15
9.3. BALANCE SHEET................................................................................................15
9.4. FINANCIAL ASSUMPTIONS.................................................................................17
9.5. Break Even Point.................................................................................................17
10. Risk & Strategic Options.....................................................................................18
11. Key Milestones......................................................................................................18
References...................................................................................................................20
Appendices..................................................................................................................23
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3BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
1. Introduction
The growth of the commercial laundry industry in Oman is dependent on the
employment opportunities of the Omani communities in the private and the public
sectors. The growth of the laundry industry in the capital city of Oman, Muscat, is
dependent on the employability of the people in the region. The retail store named
Zabbetta Dry cleaners and Laundry aims at opening a new store in the city of
Muscat. The identification of the trends in the Omani markets will be helping
Zabbetta Dry cleaners and Laundry to bring in different levels of improvements in
their line of products based on the evaluation of the needs of the female customers of
the nation.
1.1 Company Ownership
The company is registered to be a limited liability store where the store is not
required to disclose financial settings publicly. The store is owned by Joseph
Langley, the director of the store, and will be undertaking steps to maintain the
recordkeeping activities of the same in the initial stages.
1.2 Purpose of the Business plan
The current study seeks to evaluate the different prospects of establishing a
new retail outlet in the capital city of Oman, Muscat. The different assumptions that
might be undertaken by the retail store, relating to the customer demands and
financial implications, has helped in the successful implementation of the business
idea. The business idea will be facilitated through the decisions that the owner of the
retail store might take after evaluating of the different prospects.
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4BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
2. Business overview
The retail store, Zabbetta Dry cleaners and Laundry, aims at offering the
people in the Omani market with different range of services based on the analysis of
their needs. According to a data by the Ministry of Civil Service, some 38.7% of the
total people in the nation are involved in different job practices. Employability of the
people in the nation has helped in enhancing their standard of living. Situating the
business amongst the competing rivalries will also be helping the store to bring in
innovations in the products or the services that the retail store aims at offering to its
potential customers.
2.1 Start-up summary and capital investments
The retail store, before commencing the business, is required to undertake an
initial investment of $280,000. It will be helping the store to enhance the functioning
of the business while expanding their activities in Muscat. The company is required to
undertake capital investments in the following resources:
1 Washer - 38 lb capacity, high spin, microprocessor control, electric heat
1 Dry cleaning machine - 25 lb
1 Roller Iron 40 x 12 inch, variable speed and vacuum exhauster
On the other hand, the company must also incur costs for buying a van other
amenities that will be helping the business to undertake smooth performance. A
minimum of $232,690 is to be invested by the owner in the initial stages of its
establishment. Additional capital investments might amount to $50,000 which the
owner is required to borrow from a bank.
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5BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
2.2 Location of the business
The retail store will be situated in the cosmopolitan area of the Omani market,
which will be helping the business to exhibit its services to a wide range of potential
urban female customers. It will be helping the business to bring in changes in the
systems of the same in the market. The urban people are more prone to take skin
treatments and other cosmetic supplements.
Figure 1: Business Location of new laundry business
(Source: Zairi 2012)
2.1 Product and services
The products that will be offered by the retail stores will be dependent on the
analysis of the needs of the high- end customers. The services that are provided by the
business are as follows.
Dry cleaning- The business will be utilizing an organic solution for cleaning
and washing the garments without utilizing water. The dry cleaning services
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6BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
that will be offered by the business is dependent on the identification of the
particular needs of the customers and the preferences of the same.
Laundry for personal clothes and large items such as blankets, duvets,
curtains- the business will also be offering laundry and washing services to the
personal clothing and blankets. The business will be offering premium
services to the clients on the basis of the washing attributes at relatively lower
cost.
Alteration service- The business will be providing alteration of the cloths
based on the differences in the size and the texture of the garments that will be
provided to them.
Ironing services- The business will also iron the cloths after washing them and
alteration is done on the basis of the client needs.
2.2 Mission and vision of Zabbetta Dry cleaners and Laundry
The mission of Zabbetta Dry cleaners and Laundry is to offer dry cleaning,
laundry, and clothing alteration services with free home pickup and delivery. On the
other hand, the total quality management of the operations is again a primary mission
of the business to maintain the goodwill of the business in the market.
The vision of the retail store will be comprised of expansion of the business in
the interior parts of the city and thereby expand their scopes while functioning in the
Omani markets. It will be helping the store to make a long stay in the Omani market
through continuous innovation and development of the systems.
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7BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
2.3 Market entry
The market entry mode that will be utilized by the store is Sole proprietorship
(Individual business owner). The sole proprietorship form of business is dependent
on the decision making skills of an individual person and this in of market entry mode
does not discriminate between the business and the person on the basis of separate
legal entities (Zairi 2012). The identification of the market entry mode will be
helping the store to bring in changes in the concurrent activities of the business while
operating in the Omani markets. Here Joseph is the sole owner of the business on
whose decisions the progress of the business rests.
3. Industry and market analysis
3.1 Competition and competitors
The two major competitors of the business in the Omani market are Al
Khalijia Laundry and Snowhite. However, there are chances that the retail store
might bring in changes in the systems of the business through continuous innovation.
The innovation that is provided to the store is dependent on the functioning of the
business in the market.
Al Khalijia Laundry Snowhite
Services Dry cleaning, laundry and alteration
services
Dry cleaning, laundry,
alteration services and Ironing
services
Price The prices will be depending on the
service selected ranging from $ 5 to 27
Different charges depends on
the service selected differs from
$ 7.5 to 60
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8BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
3.2 Market segmentation and target market
The market segmentation of the store is based on the identification of the
needs of the customers in the market and the manner in which the retail store can take
steps to fulfill the demands of the customers (Zairi 2012). The chief customers of the
laundry business are primarily the professional people in Omani markets. The target
market of the retail store is dependent on the improving economic conditions of the
peopl and the change in the buying behavior that encompasses around their increasing
source of income (Afuah 2014). The changes in the economic structure of the nation
and the employability of the female workforce have enhanced the scopes of growth of
Zabbetta Dry cleaners and Laundryin Muscat. The identification of the potential
customer and the target market will be helping the store to bring in different levels of
change in the processes and the product offerings of the business (Nicolò 2015).
3.4 Customers and value proposition
The identification of the needs of the customers in the market will be helping
the store to bring in improvements in the products to resolve the skin related issues
that are faced by the customers (Hiduke and Ryan 2013). Delineation of the issues
will be helping the store to bring in innovation to sustain in the international markets
(Pride, Hughes and Kapoor 2014).
Customer segments Value proposition
Professionals Specifically designed services to suit the
purposes of the professionals who have
no time to lose
Housewives Quality management for suiting the
needs of the homemakers (Bocken et al.
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9BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
2014)
4. Marketing Strategy
4.1 Product
The company aims at offering the high quality dry cleaning, laundry and
alteration services along with free pickup and drop by services to make the services
more viable as per the needs of the customers.
4.2 Place
The business will be dealing directly with the customers of the same. The
owner will be contacting with the potential clients through different medias and
thereby identify the needs of the customers while operating in the Omani markets.
4.3 Price
The company will be undertaking the penetration pricing strategy to enter the
Omani markets and thereby to gain a competitive edge. The lower prices will be
helping the business to take over the market after outstanding the competition in the
market.
4.5 Promotion
The adoption of the digital communication will be helping the store to bring
forth improvements in the systems of the business (Song, Kim and Kim 2016). The
advancement in technology has affected the corporate structure and the manner in
which the technologies can be utilized by the stores to promote their services in the
market.
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10BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
4.1 Advertisement strategies
The retail store will be utilizing social media platforms to promote the
products. It will be helping the store to reach out to majority of the potential
customers in the Omani market. On the other hand, the utilization of the smart apps
will be helping the store to engage the customers through suggestions based on their
individual beauty and care needs (Phillips 2014). The suggestions or beauty tips will
be helping the store to attract the attention of the potential customers. The probability
of the change in the system of the business will be initiated through the identification
of the needs of the customers and the manner in which the retail store can ensure that
the demand for the commodities is fulfilled (Di-scala 2017). Proper circulation of the
products in the respective markets of their operations will be helping the store to bring
forth changes in the systems of the same (Ramli 2015).
4.2 Growth strategy
The growth strategy of the store is dependent on the identification of the
sustainable measures like frequent quality checks to ensure the best quality
products being delivered to the customers. It will be helping the store to bring
in changes in the systems of the business in the market (Fleacă and Fleacă
2016).
On the other hand, the continuous innovation in the products will be helping
the store to sustain in the international markets, most importantly in the Omani
markets. The growth of the store depends on the proper functioning of the
store as per the needs of the customers. On the other hand, the manufacturing
of the quality products will be helping the store to enhance its market position
in Muscat and thereby expand to the other parts of the Omani markets
(Feenstra 2014).
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11BUSINESS PLAN OF ZABETTA DRY CLEANING AND LAUNDRY
5 Operations plan
The key activities that might be planned by the store are based pnm the
identification of the preferences of the customers in the market. Showcasing the
services through catalogues in the retail stores will be helping the store to make the
customers aware of the available products (Hawkey 2017). Installation of the
washing machines and other devices will be helping the business to function freely in
the markets. On the other hand, the identification of the needs of the customers
relating to the different attributes of the change in the market is dependent on the
functioning of the business while operating in the Omani markets (Levy, Weitz and
Grewal 2012). Redesigning the store layout of the retail outlets will be helping the
store to exhibit their value added products, which will be helping to attract the
attention of the potential; buyers as they make their visit in the stores (Jones and
Penaluna 2013). On the other hand, hiring marketing personnel for convincing the
customers and making the sell will be helping the store to ensure the proper
functioning of the business ideas and thereby integrating the same with the functions
(Berger and Myhrer 2012). Enhancement of the functions of the business is
facilitated through the identification of the different strategies that helps the store to
gain a competitive edge while operating in the respective markets. The key elements
of the change in the structure and the functioning of the business is based on the
enhancement of the functions as per the needs of the store to adhere to the
requirements of the customers in the Omani markets (Schutz, Rezg and Léger
2013).
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