ExecutivesummaryWith the growingincidence of medical instruments, people are becoming more health conscious. Peopletry to consume less oily but tasty food. Taking this scope, I intend to set upa momo stall in Oman. The studies have shown that Oman’s fast food market isgrowing rapidly. Moreover, people of Oman are shifting towards western culture.
The price of momo will be kept lower compared to other fast food products andthe stall will be established at the heart of the city. It is found that the businessplan is financially viable. 1.0 Introduction to business planWith the rapid pace ofadvancement, people prefer more of having healthy and tasty food. During thepast few years, various institutions increase the awareness of having balanceddiet for maintain healthy life.
Therefore, I intend to set up a momo stall inthe Sultanate of Oman under the name “More Momo”. The present study prepares abusiness plan by evaluating economic, financial and market aspects of settingup a fast food business. 1.
1 Business descriptionMore Momo will be a newbusiness aiming to deliver oil free and healthy food to people of Sultanate ofOman. The stall will be opened in a crowded place so that it can attract mostof the people. Moreover, momo is prepared with very less oil and it containsmany vegetables which are good for health. As a result, it can attract eachcategory of people. The target population will not be restricted to only youngpopulation.
The stall will have both the sitting arrangements and take awayoptions. Customers can have healthy and tasty food in a pleasant atmosphere (Ukers, 1935).1.2Product offered by business One of the crucial steps of setting up a newbusiness is to decide range of products and services to be offered. This willhelp to identify the target market. More Momo will concentrate on largerdiversified fast food industry by focusing on healthy and delicious food. InMore Momo, people will have options of choosing from varieties of momosstarting from steamed momo, fried momo pan fried momo and Burger with momo. As a desert option, chocolate momo and colddrinks will also be available.
Each type of momo will be available invegetable, panner, chicken, mutton as well as lamb. Various taste of sausagewill be used along with dips to add more taste to momos and make it attractivetowards young generation. With all these variations, people can get wide rangeof healthy and tasty food.Location of the business”More Momo” stall willbe situated primarily at the Muscat city center which is always populated andvery busy shopping mall in the Muscat city. The transportation facility is verygood of this mall. As the Muscat city centre is situated at the heart of thecity, it can attract wide section of upper and middle class people (research, 2014). Moreover, the mallis visited by young school and college students (Anon.
, 2001).The proposed stall will be situated at the top floor just beside the foodcourt. More Momo will involve 100 square feet area for the business purposesand 2000 square feet area to facilitate sitting arrangements for customers. 600square feet area will be allocated for preparing food and delivering to the consumers.2.0 Target segment of the business2.1 Selection of the marketsegmentMore Momo will formulateits marketing strategy in such a manner that it can confine the market ofUniversity and college students.
In addition, it will also capture upper class populationwho like mall culture. The survey reports reveal that mostly female populationof Oman likes to consume less oily and cholesterol free food to keep their skinhealthy (Oshima & Wacker, 2014). As a result, the primarytarget market of More Momo will be students whose age ranging between 15 to 25years. Besides, people who usuallymigrates from one country to another, they are also targeted and they willbelong to the age group of 25 to 37 years (Joshi & Ghosal, 2013).(Kharusi et al., 2012)2. 2 Structure of the marketIn order to promote newbusiness ventures in Oman, Sultanate of Oman has undertaken severalentrepreneurial friendly measures. Oman became fifth country as per theeconomic freedom index (Oxford Business Group, 2015).
The numbers of fastfood centers are increasing by 5.30 percent. In 2015, Oman was the 26thcountry out of 30 countries in terms of global retail development index. Omanwas the $11.70 billion country in retail chain with compounded annual growthrate of 7.
6 percent. It is perceived that the fast food retail market sharewill increase to US $13.2 billion by the end of 2018. A major shift is observedin spending patterns as the citizens winds up noticeably wealthier; anexpanding number of high-total assets people have prompted a development ofextravagance and form brands. Improved state expenditure on framework andhigher salaries has supported buying power, while rising quantities of exilelaborers and outside travelers were likewise driving retail development (Aaron Allen & Associates, 2012).
(Euromonitor International, 2015) 3.0 Value proposition3.1 Benefits obtained from productsMore Momo will be ableto deliver healthy and tasty fast food to the customers. In addition, thecustomers can have their lunch and evening snacks at comparatively cheapercost. To provide ultimate satisfaction to the customers, More Momo will havepleasant store environment.
Customers can spend their quality time havingpreferred food. Price of momo will be kept lower compared to other fast foodlike pizza and crispy chicken (Zimmerman, 2013). Moreover, the customers are also getting chocolate momo and chocolatebrownie and chocolate crusher as desert items. These product values will helpMore Momo to gain competitive advantage over KFC, McDonalds and Pizza Hut (Shahi et al., 2007). Quality of fooditems will be maintained to acquire reputation in the market (Stafford, 2003). 3.
2 Business valuesI will set up uniquemarketing proposition to enhance awareness about quality of food amongcustomers (Hsieh, 2010).More Momo will be opened in the Muscat city centre. The store will have aprimary focus on attracting college and University students who areincreasingly becoming health conscious. Moreover, office goers also can have asmall business talks at store while having their food. As the store will be atconvenient location and have customer friendly approach, it can attract variouspeople (Sair, 2014).4.0 Marketing strategy4.
1 Positioning strategyMore Momo will designits positioning strategy in such a way that it can attract young population whoare influenced by the western culture. Below mentioned strategies will beadopted:1. More Momo will offer fresh prepared foodwith god quality ingredients. 2.
Both the vegetarian and non vegetarianmomos will be available at the store with chicken, mutton, cheese, potato,panner stuffings. 3. The store will concentrate on usingquality of raw materials. Oil used to produce momo should be high quality tofacilitate health conscious customers. 4.
Tohold client base, and increment its ubiquity, the servers and assistants of thestall must be trained to make them more client benevolent and furthermoreprepared to oversee time all the more adequately so clients are happy withtheir quick conveyance. 4.2 BrandingBrand acknowledgmentand fame is one of the important angles to accomplish competitive advantage inthe focused business condition. Consequently it is required to receivelegitimate marking system by representing esteem, scarceness, toughness,propriety, appropriateness and the issue of maintainability (Fuchs & Diamantopoulos, 2010). The ‘More Momo’ namewill replicate the specialization of the shop for various kinds of momos. Thisname likewise connotes that individuals can appreciate heavenly momos and theywill intend to have more momos or they have to visit the place again. Theslogan for the shop will be ‘Heavenly and sound sustenance momo station’. Thisslogan will imply that the momos will be made of quality and tasty things.
Thisproduct excludes any sort of additives and chemicals. Accordingly it can beexpressed that the name and slogan of the slow down can fundamentally improvethe brand picture of the eatery. The logo of the MomoMania will incorporate a picture of toon momo with the word MM behind thepicture written in stylish font.
As Omani individuals are very little knowledgeableabout the momos, this logo will help them to comprehend the shape and look ofthe momo. This can assemble a strong picture over the long term. The shade ofthe logo will be yellow that will mirror the lively shade of the brand. 4.3 Marketing mix strategyAs a marketing mixstrategy, tag line of the company will be “quality products at its best priceat your doorstep”. This tag line explains all elements of marketing mixstrategy, namely, product, price and place.
Firstly, the customers will get varioustypes of momos with different sausages and dips. All momos will be preparedwith good ingredients. Secondly, price of the momos will be cheaper compared toother fast food. Lastly, the shop is established at the heart of the city fromwhere transportation is very easy. 4.4 Entrepreneurial strategyIwill start the business preliminary as a sole entrepreneur with the help of myrelatives and associates who stay in Oman.
However, I will expand my businessat more international locations by adopting effective managerial policies. Entrepreneurialstrategy will be transformed into a managerial policy by taking new ways ofdeveloping and enhancing capabilities to cope up with changes. I will alsoenhance my risk taking capability.
The managerial policy will be developed bydelegating tasks properly, understanding goal clearly, identifying keycompetitors and keeping the ways of communication open and clear. 5.0 Financial planning5.1 Expenditure for promotionalstrategyTotal marketing expensefor the company will be OMR 19954. The amount will be spent on advertisement,publication of pamphlets, printing banners and other programs. OMR 1450 willalso be spent on providing training to the staffs. The detailed marketing costis shown below:1OMR = 1.
92 British Pound 5.2 Sales forecastCompetitivepricing strategy will be done. This will cause different prices for differentitems. Steamed momo will be priced at OMR 4. Fried and pan fried momo price iskept same at OMR 5. Chocolate momo price is kept comparatively higher as theraw material cost is very high. Beverages will be available at OMR 4. Moreover,in the first year, it is assumed that 700 plates of steamed momo will be soldwhile 900 plates of fried momo is assumed to be sold.
Considering this,forecasted yearly income will be 1,47,600 OMR. 1OMR = 1.92 British PoundThe prediction for saleshas been bifurcated in monthly basis. The below chart shows the growth rates ofsales for every type of momo; 5.3 Forecast of revenueBy virtue of thepresumptions, the principal year’s gross benefit has been figured below. Inthis manner, from the above measuring information, one might say that More Momo,will produce a gross benefit of OMR 16,800 in the primary year. In addition, inthe initial five months, More Momo, won’t have the capacity to create apositive benefit, yet as the limited time offers, and notices increment and MoreMomo ends up plainly famous among the youthful group, it will begin bringingabout positive benefit in the after months. This has been delineated in theaccompanying diagram; 1OMR = 1.
92 British Pound5.4 Break even pointTheequal the initial investment investigation of any business is given by theposition which if the organization neglects to achieve, it will close down. Thebreakeven point for More Momo can be figured in the wake of isolating all theobligatory costs of lease, charge installments, interests, and so on, the dayby day costs must be incorporated into the breakeven examination. More Momo’sbreakeven investigation has been directed as takes after;6.0 ConclusionTheabove study presents different economic, financial and market parameters thatcan have a significant impact on momo business. It is found that the unit willbe financially viable in the short run. By breaking down More Momo’s businessforecaste and anticipated incomes, one might say that like all differentbusiness wanders, it will bring about some fortune in the underlying periods ofsetting up, yet will in the long run make benefits and develop, because of highstart up speculations and notice and limited time exercises. Be that as it may,this wide promotion will be important to make More Momo’s objective clients focusof its essence and soon it will accomplish the coveted competitive advantageand productivity.
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(J. Blythe, Ed.) New York: Routledge. Appendix Profitand loss statement Balance sheet for More Momo