B A N G K O K C U I S I N E Business Plan

B A N G K O K C u i s i n e Business Plan 2009

BUSINESS PLAN

ASSIGNMENT

By

Warisa Ketloetpanya

C 05724

Table of Content

Table of content……………………………………………………………….I

1.0  Excusive Summary

1.1 The business profile 1

1.2 The marketing section 1

1.3 The operational plan 2

1.4 The financial plan 3

2.0 Business Profile 4

2.1 Company name: 4

2.1.1 Business name 4

2.1.2 Brand name: 4

2.1.3 Logo: 5

2.1.4 Address: 5

2.1.5 Trading hours 5

2.2 Ownership structure 6

2.3 Business objectives 6

2.4 Mission statement 7

2.5 Location 7

2.6 Products and services 7

2.7 Competitive advantage 8

3.0 Marketing Plan 9

3.1 Situation analysis 9

3.1.1 External environment analysis 9

3.1.2 The Internal environment Analysis 13

3.2 Strategic assessment 16

3.2.1 SWOT Analysis 16

3.3 Product analysis 19

3.3.1 Target market 19

3.3.2 Market Characteristics 19

3.3.3 Marketing Positioning 19

3.4 Competitor analysis 20

3.5 Marketing strategies 22

3.5.1 Market segmentation strategy 22

3.5.2 Marketing Mix and human resource strategies 22

3.6 Marketing budget 29

3.6.1 Expense details 29

3.6.2 Marketing expenses budget 30

3.7 Sales forecasts 30

The variables involved: 31

4.0 Operational Plan 33

4.1 Production plan 33

4.2 People plan 34

4.3 Controls plan 37

5.0 The Financial Plan 41

5.1 The forecast sales 42

5.2 Income and Expenditure budget 43

5.3 Restaurant Trading Statement budget 44

5.4 Balance Sheet Forecast 46

List of referrences 47

Appendixes 48

1.0  EXECUTIVE SUMMARY

1.1 Business Profile

The Bangkok Cuisine Co., Ltd was established in 2007 by a person – Ms.Wiraporn Waew – who experienced in cooking for famous Thai restaurants such as Regent Thai, Mai Thai Pub & Restaurant, and Long grain. Ms Wiraporn also has knowledgeable of cooking Thai food by using the original recipes, which handed down from her relative, who had been working in the Palace’s kitchen for several years. Those recipes were accepted that are the best of the best. The company is based in Melbourne, Australia. At the beginning, the company decided to launch the first restaurant in November 2008; named “Bangkok Cuisine” within CBD (Melbourne). The product is based on the Executive chef specialise capability – Thai food – combined with cosy bar area and available for 120 seats. The style of this restaurant is the combination of Eastern and Western cultures. It serves the original recipe of Thai foods, which used to serve on the King’s dinning table, with the five star service of Western standard, and also charges with the premium price too. The restaurant is located in the Melbourne CBD – Swanton Street, which is the business and superior big brands shopping street. Its location and the surrounding are very appropriate and compassionate

1.2 The marketing section

The marketing plan would be considered from the data collection in the environment analysis. Firstly, the situation analysis is examined, both internal and external environment would be examined about how it could affect to the company and restaurant. Then the strategic assessment which is SWOT analysis will show the strength, weaknesses, opportunities, and threats of the BANGKOK CUISINE. The Product analysis is another important part of marketing section, where the target market, market characteristic, market positioning are involved. The Competitor analysis is analyzed the main competitor (Thai five stars restaurant in Melbourne), and other competitor (Thai restaurants within the area, the five stars restaurants). After collected all the market data, the Marketing strategies are developed including Market segmentation, Marketing Mix and human resource strategies. Lastly for the marketing section, the Marketing budget and the Sales Forecast will be presented

1.3 The operational plan

The operational plan will be discussed separately into three major sectionProduction plan, people plan, and Controls plan. The Production plan will take about the production program stated with the building and then developing the restaurant. In this stage the expertise and outsource professional people are involved. Then the People plan is the plan to prepare employees including their personality, skills and knowledge, manner, educational, and experiences. Lastly the evaluation system is set up in the controls plan in order to ensure that all of the above plans are work effectively and efficiency.

1.4 The financial plan

The financial plan will include the detail of the entire restaurant finance. The financial plan will examine the restaurant Forecast Sales, which can predict as an estimate number (because the restaurant has not been run the business yet). Income and Expenditure budget will show the possibility of how much the restaurant should earn and pay in each month in order to be profited. Restaurant Trading Statement budget would show the bigger picture of the restaurant expense. Balance sheet Statement could show all of the company financial ability and performance.

2.0  BUSINESS PROFILE

Figure 1: Bangkok Cuisine atmosphere from the existent place

2.1  Company Name

“Bangkok Cuisine Co.,Ltd.”

2.1.1  Business Name

“B A N G K O K C u i s i n e”

2.2.1 Brand Name

The name BANGKOK CUISINE carries such meanings as relating to Thai culture and finest food. The name “BANGKOK CUISINE” captures the company spirit as aims to make sure its customers a fine cuisine, deluxe services, enjoyable drinking, elegant atmosphere and tasty source of Thai food, through its wide range of products.

2.1.3 Logo

The BANGKOK CUISINE logo reflects to the illustration of the capital city of Thailand’s name and finest food provider atmosphere with the modern alphabet with gray colour name and the dazzling orange background. The capital letter ‘’B A N G K O K” has a special character that stands for the image of its products (modern and vivid).

2.1.4 Address

Bangkok Cuisine Co., Ltd., BANGKOK CUISINE, 111 Swanton Street, Melbourne, VIC 3000

2.1.5 Trading hours

The restaurant opens at 5:30pm till late, 7 days. The kitchen will be closed at 11pm. The bar section would be extent working time on weekend (including Friday and Sunday) up to 4am in the morning.

2.2  Ownership structure

2.3 Business objectives

BANGKOK CUISINE aims to be the matrix for the future chain restaurants. The company – Bangkok Cuisine Co., Ltd. – attempts to expand its chain restaurant to all of capital cities in Australia at the first place, then moves forward to the big cities around the world such as New York, London, Paris, Milan, and Tokyo. The company also concentrates on being the leadership within the industry (Global fine Thai cuisine). It aims to introduce global Thai food company to the global market. The chain restaurant is going to be the symbol of hanging out, marvellous Thai cuisine, and excellent hospitality services. For the business people or the wealthy travellers, this place is going to be the familia place for them as they could find it everywhere they going to.

2.4 Mission statement

The company and business mission emphasises on enhancing the Thai restaurant standard to meet the international enquiry as well as introducing the original taste for all the customers’ satisfaction.

2.5 Location

BANGKOK CUISINE chooses to be located within the big city where people enable to spend. The first restaurant will be placed on the Swanton Street in order to catch the business people and shoppers on that street. The transportation is the main advantage for this street when the customer could come by car, tram, or even train with five or ten minutes walking.

2.6 Products and services

The products are separated in to two parts: dinning area and bar area. The dinning menu includes the eight units of Entrée, Main cause, and dessert. The main menu consists of stir-fried, curry, steam, and deep-fried with choices of lamb, beet, chicken, fish, or seafood. Dessert menu focuses on presenting traditional Thai dessert, which even harder found in Thailand nowadays. On the other hand, services provide by the professional waitresses and waiters under the operating and managing of the qualify hospitality Restaurant Manager - Ms Tanya Donald. The customers would experience the services that spoil them as equal as they get from five star hotels.

2.7 Competitive advantage

Despite the restaurant is a new business vender, the perfect cooking experience person as Ms. Wiraporn and restaurant management as Ms Tanya should lead the restaurant to be successful easily. Moreover, the new style and idea of being the global Thai restaurant with the distinct atmosphere from the existing could be the major competitive advantage to all competitors within the area.

3.0 Marketing Plan

3.1 Situation analysis

The situation analysis will be discussed in change of the external environment that could affect the restaurant business.

3.1.1 External environment analysis

I. Demographic Environment

According to Australia Bureau of Statistics (ABS, 2005), the Australian population increased by 237,100 reaching 20,328,600 people within 12 months to 30 June 2005. Segmenting the population by aging, separates into three groups; Children (under 15 years of age), Working age (aged 15-64 years), and Older people (over 65 years) (http://www.abs.gov.au). The report shows that the most number of people in Australia was 34 years with 321,250 people. Moreover the Working age (15-64 years) is the largest group of the population. Anther additional information from ABS (2005) states that between 1985 and 2005 the proportion of population aged 15-64 years enlarges form 66 per cent to 67 per cent of the total population. The figure could enable BANGKOK CUISINE in terms of success to launch their restaurant as the majority of population is related to the company target market. The possibility to reach the number of customer is greater than the market that lack of Woking age populations.

Moreover, the figure (see appendix V) shows that more than 60 per cent of Australian people live in capital cities (http://www.abs.gov.au). This data assists the company in order to assess distributions channel and locations to obtain the largest potential customer.

II.  Socioeconomic Environment Analysis

Economy in Australia is growing strong and rapidly with the global economy. Between 1998 and 2004, the GDP in Australia increased to 3.6 per cent. The economic rank of Australia is the twentieth around the world (DFAT, 2005). Moreover, the quality of living in Melbourne is also ranked in the 17th comparing to the world, and is the 1st in Australia (see appendix VI). This information capable the company to be assured that Melbourne consumers has an ability to pay for their foods.

Figure I: Thailand’s GDP and Australian’s GDP

Source: the Centre for International Economics

In addition, the figure 1 (below) shows the association of Thailand and Australia imports and exports with the country’s GDP. The Governments from both countries realised to the connection of this trading and the total GDP, therefore they have made an agreement that enable the business to do their trading freely (more details are discussed in the Trade policy section).

As a member of Asia Pacific Economic Cooperation (APEC), permits Thai and Australian importer and exporter running business with free and open trade and investment. This is an advantage to BANGKOK CUISINE in order to exercise its price strategy (lower cost of tariff) (http://www.dfat.gov.au). As mentioned before that most of BANGKOK CUISINE ingredients are imported from Thailand. This trade policy could allow the company in terms of enable to import easily.

III.  Political and Legal Environment

• Trade policy

Australia is a member of World Trade Organization (WTO), and Asia-Pacific Economic Cooperation (APEC). It results to commitment under the free trade agreements among the memberships in WTO and APEC (http://www.dfat.gov.au). On the top of that Thailand and Australia also have to good connection to each other. The two countries have signed the Thailand-Australia Free Trade Agreement. This agreement is a major market opening agreement, which will result in Thai tariffs on virtually all goods imported from Australia being eliminated by 1 January 2010. It will also substantially improve the environment for bilateral services trade and investment (http://www.dfat.gov.au/trade/negotiations/aust-thai/). Opportunities to reduce the high tariff barriers are opening in Australia for Thai service providers, investors, and manufacturers and processors that included the BANGKOK CUISINE also.

• Political

Australia’s system of government is based on the liberal democratic tradition. Australian Government is considered stable than other countries that it is a safer country for investment (http:// www.cia.gov/). Government is come from a popularly elected Parliament. Australian Laws can be categorized as Statute Law, Common Law, Civil Law, and Criminal Law. The federal government defines as the responsible of foreign relation and trade legislative. The regulations registered by the statute law have an effective to all people. The regulation about import goods to Australia is directly to the Siam Fantasy for the way that company trading. The regulation expresses that all goods import to Australia should be cleared by the Australian Customs Service, whether they are import by air, sea or post (FSANZ, 2003).

As the ingredients of BANGKOK CUISINE foods are possibility included a prohibit stuff. BANGKOK CUISINE has to be awared of the natural policy and regulation (Regulating Wood Packaging Material in International Trade (ISPM 15) in order to import ingredients from Thailand to Australia. Biosecurity Australia under the Australian Government, Department of Foreign Affairs and Trads, provides the details of this policy on its website. For more information can be track in web site “www.gasreform.dpie.gov.au”.

3.1.2 The Internal environment Analysis

I. The corporate sources

The distinctive competencies of the Siam Fantasy lie in the company internal strength. As the company is strong in unique product designed (food), services and atmosphere differentiate, and is trading under the Thailand and Australia Free-trade Agreement (http://www.dfat.gov.au). The company is allowed to develop the marketing strategy based on these competencies. These facilitate the BANGKOK CUISINE to use the product differentiate strategy as a core strategy. And also the company can gain the high profit margin from the low cost of production.

The weakness is not the negative side of the company, contrary, it is where the company has to exercise on it, and changes the weak points to become the strength points. The BANGKOK CUISINE, firstly, can eliminate the weak points of being the new company in the market by building the consumers awareness through the marketing communication and promotional plan. Another weakness is that our company has low capital on investment. This problem can be resolved by several ways such as raising the capital from the external sources, or reducing cost on direct investment in Australia. Finally, the marketing communication is involved again with the purpose of educate the target consumers.