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Hotel Part 2

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    Table of Contents

    Introduction: .................................................................................................................................... 3

    Formulation of the Topic: ........................................................................................................... 3

    Structure of Part II (TIS) ............................................................................................................. 3

    Environmental Scan ........................................................................................................................ 3

    SWOT Analysis for Holliday Villa Hotels & Suites Subang ..................................................... 4

    Strength .................................................................................................................................... 4

    Weakness ................................................................................................................................. 4

    Opportunity .............................................................................................................................. 4

    Threat ....................................................................................................................................... 5

    Business Concept ............................................................................................................................ 5

    Product and service description................................................................................................... 6

    Various Beverages on offer ......................................................................................................... 7

    Packaging .................................................................................................................................... 7

    Service ......................................................................................................................................... 7

    Value for Money ......................................................................................................................... 7

    Understanding TMS ........................................................................................................................ 8

    The target market and size .......................................................................................................... 8

    Industry analysis and forecast ..................................................................................................... 8

    The Profile of target customers ................................................................................................... 9

    Business Potential ........................................................................................................................... 9

    Why is this great idea? ................................................................................................................ 9

    Competitor Analysis ..................................................................................................................... 11

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    Competitive advantage and competition analysis ..................................................................... 11

    Barriers to entry ......................................................................................................................... 11

    Operation Strategy ........................................................................................................................ 12

    Company description and business model ................................................................................ 12

    Marketing Strategy........................................................................................................................ 13

    Marketing Plan .......................................................................................................................... 13

    Financial Model and business viability......................................................................................... 14

    Exit strategies ................................................................................................................................ 18

    Teams Strengths ............................................................................................................................ 19

    Business Strategy .......................................................................................................................... 20

    Long Term strategy ................................................................................................................... 20

    Short Term Strategy .................................................................................................................. 20

    Logo for the Holliday Villa Hotels & Suites QSR ....................................................................... 21

    TIS Conclusion ............................................................................................................................. 21

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    Introduction:

    After completing my training at Holliday Villa Hotels & Suites Subang, I have realized that they

    can very well expand them self into a separate fast food snacks center chain across the Malaysia.

    As the hotel is a reputed brand but in off season their business is not so attractive at this is a

    strong opportunity to expand into this sector and target the bottom of pyramid with a different

    name and keeping the brand name intact, just extending your brand name to your new venture.

    Formulation of the Topic:

    Our new venture opportunity for the Holiday Villa Hotels & Suites Subang is of the most

    beloved snack in Asia Samosa. The venture is to be a snack food chain centered on Samosa and

    having the brand name of the Holliday Villa Hotels & Suites.

    Structure of Part II (TIS)

    In this report we have covered the following topics for starting a new venture or better to say

    expanding into a new business line by the Holliday Villa Hotels & Suites Subang.

    a. Business Concept and its Uniqueness

    b. Understanding TMS

    c. Business Potential

    d. Competitor Analysis

    e. Operation Strategy

    f. Marketing Strategy

    g. Financial Model and business viability

    h. Exit strategies

    i. Teams Strengths

    j. Long and Short Term Strategy

    Environmental Scan

    At present the Holliday Villa Hotels & Suites Subang is already well reputed and well placed

    hotel in its own market. But their target is mainly the tourists and top level people of the pyramid

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    of the Malaysian society. Many of the renowned hotels in the same industry are already

    diversifying as their business are not active in off season and after the recession the hotel and

    hospitality business have had a big blow to their business in the whole world.

    Diversification into other similar industry and targeting the middle class population to access thebigger mass has become the demand for the hour. After working at the Holliday Villa Hotels &

    Suites Subang I have felt that because of various reasons the hotel have the capacity to diversify

    into the Snacks chain build around samosa. As this will add a uniqueness in their product which

    will be liked by a bigger mass and the brand value attached with the Holliday Villa Hotels &

    Suites Subang will also pass on to the new venture.

    SWOT Analysis for Holliday Villa Hotels & Suites Subang

    Strength

    The Holliday Villa Hotels & Suites Subang have a strong and renowned brand value

    Cost of raising capital will not be much difficult for the Holliday Villa Hotels & Suites

    Subang

    Preparation of the menu items will be easier for the Holliday Villa Hotels & Suites

    Subang as they already have experienced cook for their own menus.

    Governance and management will be easier for the hotel for the new venture

    Operational benefits as the Holliday Villa Hotels & Suites already have presence in

    different cities the provision of central kitchen for preparation of the semi cooked

    materials will be easier to handle

    Weakness

    No experience of diversification till date

    Opportunity

    20 million population to target

    Unique way and product for the Malaysian market

    Low cost and availability at prime locations

    Target market segment is of mass so exposure to that market

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    Diversified products and business ensures better risk adverseness in future from

    recessions

    Threat

    Treat of dissolving the brand value Low cost entry for new players may increase the competition in future

    Other already available snacks in local market

    Business Concept

    The idea centers on samosas, Asias most famous snack, which is enjoyed by millions around the

    world every day. We aim to use the great advantages of a samosa and use it to fulfill an emerging

    and unfulfilled need of our Target Market Segment. The samosa today is a self contained unit of

    food, with various shapes and sizes, prepared in different ways, and filled with an unlimited

    number of mixtures. This makes it not only easily adaptable by various parts of our country but

    also makes it a base for innovative variants. We aim to utilize not only the immediate connect

    that a samosa has with the masses but also the enormous possibilities that it offers. A samosa

    though ubiquitious in our country, is hardly prepared or made in the same manner as is popularly

    thought. Being an extremely versatile snack a Samosa has the following advantages when it

    comes to the Quick food & Service format:

    1. VersatileOne may put as many different types of filling as one can think and cook it in

    many different ways.

    2. Physical form Samosas can be triangular, dumplings or pyramidal and these options

    give different samosas a different identity.

    3. Packaging A samosa is a snack which is easy to pack and is in itself a well packaged

    self contained meal.

    4. Color Depending on the kind of dough one uses colors can also be added to

    differentiate a samosa.

    5. Emotional ConnectAll Indians share an emotional and mental connection with samosas

    due to its ubiquity.

    6. FlexibilityIt can either be treated / consumed as a snack or as a meal.

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    The concept is to sell innovative and established regional variants of samosas as well as

    beverages, in the form of a filling snack, packaged and marketed as a complete meal. This meal

    will be designed specifically for a customers on-the-go food requirements. It looks to fulfill the

    targeted segments need for hygiene, quick service, value for money and convenience in the form

    of a quick bite at any time of the day. The aim is to use this iconic snack of our country, a

    samosa, and fuse it with tastes from all around the world as well as offer regional samosa

    variants, so as to give a contemporary experience to the customer. The choice of variants will be

    a mix of various famous regional samosas, a few international flavours and signature samosas.

    These samosas will be offered to our TMS with an option of salads, chatnis, curds, daals, pickles,

    breads etc. Also combo meals of beverages, dessert, salad and the chosen samosa will be offered

    at discounted rates. All these options will be designed, made, serviced and packaged keeping in

    mind the needs of our TMS of quick service, tasty food, hygiene etc.

    The entire model will work on a hub and spoke model with a central kitchen supplying pre-

    prepared semi-cooked food to the different outlets situated in Mumbai (please see map on page )

    Product and service description

    Some of the few types of samosas which can be put on the menu are

    1. Jumbo aloo Samosa

    2. Chicken and Cheese Samosa

    3. Keema malai Samosa

    4. Grilled English Vegetable Samosa

    5. Four cheese Samosa

    6. Mango Pulp Sweet Samosa

    7. Baked Alaska Samosa (Fried Samosa with cold ice cream in center)

    8. Manchurian Samosa

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    Various Beverages on offer

    1. Chocolate Shakes

    2. Cutting Chai

    3. Fruit milk shakes

    4. Carbonated Soft Drinks

    5. Sweet/Salt Lassi

    Packaging

    Trendy and cool with various catchy colors, the packaging will be designed to be very easy to

    carry and which can hold the samosa in a compact and efficient manner. Packaging will be

    designed to advertise the outlets to those who see the package with someone else. The

    organization will also implement as many green measures as possible for its packaging, like

    using paper bags, no or minimal plastic etc. The packaging will also be designed so that it will

    take minimal time for the staff to pack an order and serve it.

    Service

    All Service times will be between 1 to 8 minutes for all orders. Many fast moving orders will be

    kept pre-prepared in heavy customer traffic hours so that they can be served within a minute if

    required. A McDonalds model of product preparation will be used in this case. With a food

    warmer kept in the middle, the order taker will be able to call for orders and have them packaged

    and ready to t/away within a few minutes and at times within seconds.

    Value for Money

    All items will be priced between 20 100 RM. Also many economy packages, in the form of

    combo meals, special offers, happy hours and discounts on bulk orders will be offered. This price

    band has been chosen as there are very few organized players who operate in this band,

    especially in the take away format. It also allows increased frequency in purchase for our TMS.

    These attractive prices will also spur a lot of word of mouth activity since college and school

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    going students as well as many working professionals has always been attracted to such value in

    the food sector.

    Understanding TMS

    The target market and size

    The Malaysian food market is valued at approximately $87 Billion. Retail food industry in

    (2008) was pegged at $15 Billion. Branded players forms about 5% of about $20 Billion Quick

    Service Restaurant (QSR) market in Malaysia. We actively compare ourselves to the QSR

    market players in Malaysia, not to mention taking them as an input for our model since this is

    one of the fastest growing and volume oriented markets.

    Industry analysis and forecast

    The market for the QSR industry segment is set to grow at 4 to 5% every year with organized

    players contributing 10% of that. Every year, however, organized players are eating into the

    market share of un-organized players. This means a growth percentage which is far higher for the

    organized players than for the un-organized ones. QSR is expected to become a $35 billion

    Industry in a less than a decade.

    There are 20 million middle class Malaysian. They all have at least 3 meals a day. That means a

    total of 300 million meals a day. Samosas looks at this great potential with enthusiasm since it

    means that even if one could successfully target a miniscule percentage of these numbers, it

    could lead to great volumes and revenues.

    This seems an even better indicator in the light of the fact that the average urban Indian meal

    time has been decreasing at an increasing rate, to almost half the time it was 2 decades back for

    lunch. This is due the urbanization of many smaller cities and towns which are now on the same

    trajectory as what the European and American populations were a few decades back in terms of

    total time given to meals by the middle class and the number of meals had by all families had

    together.

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    The Profile of target customers

    GeographicTier 1, 2 and 3 (to be targeted on a case by case basis) cities

    Demographic age 14 to 35, urban, students, graduates, working professionals and young

    families, single working women.

    Socio economic Middle class especially those who do not have the resources to treat other

    QSR brands as a regular meal option.

    Psychographic inspirational, customers looking for an affordable snack / meal, with

    convenience of quick service, which offers value for money, hygiene, variety of tastes and

    association with an urban, cool and contemporary brand yet with the Indian feel and connection.

    Business Potential

    Why is this great idea?

    Samosa is an iconic Asian snack that is loved by the masses of all regions and communities of

    our country, yet it is not explored as an innovative central idea by any organized player. We have

    seen that traditionally Malaysians love to eat their meals slowly. However the present urban life

    demands more time out of all of us and hence we find ourselves cutting down on the time we

    give to our meals. There is millions of urban middle class Malaysian commuting for hours every

    day who needs to grab a quick bite. There is a great opportunity in fulfilling this need which is,

    as of right now, being fulfilled by various established QSR players by default and not by design.

    Along with this is the fact that Malaysian average meal times are reducing the same way the

    European and American meal times did for their middle class a few decades back when their

    economies saw the kind of growth that Malaysia is seeing right now. The culture of all family

    members having meals together is also changing not only in urban India but also Urbanizing

    Malaysia which represents a great opportunity for QSR outlets, especially the ones in the t/away

    format. The more we see the break from the family meal culture, the higher the income levels

    with greater individual independence, the more we expect people to have meal regularly at

    QSRs.

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    The customer today wants variation in their favorite Malaysian snack with the use of different

    fillings, packaging and different ways of it being cooked. He is also growing very health

    conscious and seeks tasty variations along with his need for health oriented snacks.

    All these needs have been identified and we are providing solutions to these with our innovativeproducts.

    So far staple food from all around the world has been experimented with and tested in different

    countries in the form of fast food and later introduced in Malaysia pizzas, pastas, tacos, etc. No

    one has done that for an Malaysian snack, and that too the most loved Malaysian snack.

    With Malaysians eating out much more than before such a product can create a niche for itself in

    a market, like QSR, which is set to become a $20 billion Industry in a few years. To give you an

    idea, people in Bangkok eat out 45 times a month whereas the average middle class Malaysian

    eats out only 8 times a month. This represents great potential for the QSR market.

    Now with the help of the above scenarios and statistics we find that a Samosa is the one of the

    best placed products to offer a solution to the needs of urban middle class Malaysians. In fact,

    thanks to the versatility of the samosa and present technology we can now make health conscious

    samosas which can be baked or steamed instead of being fried. They can have olive oil for the

    crispiness instead of the normal vegetable oil, while those who still prefer the original taste can

    have our deep-fried samosas.

    They can be filled with vegetables to not only give the customer a feeling of fullness but also

    wellness. A similar space has been exploited by Momos in this country but not in a focused or

    organized way towards the concept of health or wellness.

    So in a sense we have the following factors which make this idea feasible

    1. Reduced meal timings

    2. Change in food consumption patterns and culture

    3. High Disposable income

    4. Snack being treated as substitutes to meals

    5. Need for a small, well packaged, hygienic, quick service meal and snack

    6. Increase in the average calorie consumption of Malaysian

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    7. Demand for new innovative tastes while still with an Malaysia feel

    8. Demand for health oriented food choices and variety of tastes

    9. Increase in prevalence of eating out culture

    10.Demand for food convenience

    Competitor Analysis

    Competitive advantage and competition analysis

    1. No branded/organized players which offer samosas as snacks, packages and marketed

    specifically to our Target Market Segment.

    2. No branded/organized players which offer a variety of samosas at the same location.

    3. Very few branded or established players which offer such convenience to a customer

    for on-the-go meals at such low prices (20100 RM)

    4. No national or Urban player selling veg and non-veg samosas in an organized

    fashion/with a focus on samosa as their USP/main product.

    5. No player which has used samosas to fulfill the quick service meal requirements of

    their customers as a strategy.

    6. There are quite a few players who are offering snack and quick meals at the same

    price as us, even though they may be offering different foods. However at our pricing

    strategy we have to differentiate our brand, products, service in such a way that even

    though we will be in a similar price band our offered value will seem higher to our

    TMS

    Barriers to entry

    1. A crowded QSR market where most established players have outlets in almost every

    commercially viable place.

    2. QSR brands need heavy advertising, marketing and need to create many outlets

    before they can become national/regional brands and hence bring in higher revenues

    with more brand recognition.

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    3. High rentals in the commercially important spots which either eat deep into

    profitability or make many areas unviable for a new entrant.

    4. For a product like Samosas, there will be a lot of competition from the local players

    who may be able to give lower prices to the Target Market segment but only without

    many of the other requirements being catered to.

    5. Also research shows that once brands become famous customers are willing to pay

    more for the same value than for other not-so well known brands. Also the ability to

    draw in crowds with an established brand increases exponentially than for new

    entrants especially with limited financial muscle.

    Operation Strategy

    Company description and business model

    Samosas will work on a Hub & Spoke business model where a centralized kitchen will be

    sourcing the semi-cooked raw material needs of the Samosas outlets/kiosks in the form of semi-

    prepared samosas. For this the centralized kitchen will be preparing various mixtures and the

    samosa flour sheets which will be transported to outlets twice a day to maintain freshness and

    reduce wastage as well as make better use of manpower. These will then be used by the outlets

    which will be constructed as takeaway kiosks, ideally 120 sq feet in area, at strategic locations,

    next to commercial areas, close proximity to offices and colleges, BPOs, malls. We will be

    placing these outlets (as shown in the map on page no) so that they may service areas with high

    mobile volumes and moderate residential volumes. We will be looking at this model to help us

    gain volumes for lunches, post lunches, evening snack and dinner timings.

    The final preparation of the food items will take place at the outlet itself with the help of required

    stock of semi prepared materials. These outlets will, prepare the required type of samosas andbeverages as per the order of a customer. The order will be on cash basis unless orders exceed a

    particular level in terms of value. A kot (kitchen order ticket) system based on automated

    ticketing will be used and this will be an inherent part of the overall accounting and billing

    system which will also run on the same software for better accounting and sales measurement.

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    For food production various end stage cooking equipment will be placed in these outlets like

    deep fat fryers, stoves, chest freezers, food warmers etc. With the help of these, the fast order

    taking process and the food stocking process (similar to the one with Mcdonalds) one can

    prepare a samosa within 35 minutes of the order while maintaining freshness. For desserts this

    time can be as low as a minute. Hence, all order taking, final preparation, packaging and sale of

    all products on the menu will be done at these outlets while the kitchen will pre-prepare the

    mixtures and flour sheets for these samosas.

    We aim to open the first such outlet and the central kitchen at the same time, in the vicinity of

    each other though at separate locations. The next 4 outlets will be made in the following year.

    We first aim to target Kuala Lumpur making 11 outlets within the city after which we plan to

    move to other cities using the similar hub and spoke model. Our aim is to target cities around

    Kuala Lumpur and in Malaysia in the first 5 year and gradually keep on expanding.

    Marketing Strategy

    Marketing Plan

    1. A company website will be made which gives the pertinent information regarding the

    stores and the company.

    2. Small hoardings and posters at various locations, especially coffee shops and other such

    joints with high volumes, in the vicinity of the outlet.

    3. Radio and local channels can be used but only after year 2 due to constraints in the

    budget.

    4. Sponsorship, stalls at various food related events in schools, colleges and offices.

    5. Word of mouth is our primary channel of marketing.

    6. Twitter can be used aggressively to market our brand as well as various social networking

    websites.

    7. Newspaper pamphlets in the neighborhood houses.

    8. SMS campaigns can be used for the introduction of new outlets.

    9. Competitions and special offers aimed at our TMS to keep them connected and involved.

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    10.Loyalty programs will be introduced to build a loyal customer base.

    Financial Model and business viabilityTotal number of customers expected on stabilization of unit in 8-10 months 300 per day

    Profitability target per unit per month on stabilization30% to 35%

    Profitability of the company at the end of 3 years 34.35%

    Built up area per unit120 sq feet

    Built up area of centralized kitchen400 sq feet

    Food and Beverage cost25%

    Revenue target per customerRM. 40

    Estimated time of breakeven per outlet/unit 11 months per outlet

    Estimated time of breakeven profitability for company 3 years approx

    (Due to expansion plans that are funded by company profits and loans)

    Seed Capital Requirement RM. 90 Lakhs

    No of months after which cash flows are used for expansion: 19 months

    Total number of outlets opened for 3 years: 11

    3 year end results for outlet 1

    284175 Total Customers11367000 Total Revenues

    4015325 Total Operating Profits

    35.32 Profitability %

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    Number of employees with the salaries

    2apprentices 3 junior chefs 1 main chef 1 sup chef 1 accountant

    2drivers

    4000 6000 15000 8000 10000 10000

    Total 3 years major expenses

    11225500 Total Samosa Spoke/Outlet Capital Cost

    1500000 Marketing Expenses

    9739400 Total Samosa Hub Costs

    1500000 Total Expansion Costs + Miscellaneous

    44964500 Total Outlet Var+Rec costs

    Capital Cost Heads Unit 1/ outlet/spoke

    Rent Advance 120 Sq feet 300 RM sq feet 36000 10 360000

    Construction 120 800 96000

    Deep fat fryer 1 34000

    Chest Freezer 1 30000

    Blender 1 11500

    Steel Tables 3 5000 15000

    LCD television 1 25000

    Baking Oven 1 100000

    Exhaust Hood 1 25000

    Sink Unit 1 12000

    Microwave 1 8000

    Counter units 1 4000Computer 1 20000

    Software 1 4000

    KOT machines 1 8000

    HR consultant 1 20000

    Menus, Stationary and Printing, Menu Hoardings 20000

    Legal & Liscence Costs 100000

    Music System 1 4000Carbonated DrinksMachine 1 10000

    Cooking Utensils 3000

    Uniforms 14 7 employees 600 2 8000

    Installation Costs 1 35,000Food warmers and steelrack 1 40,000

    Steel racks Vertical 1 3000

    Generator 1 15,000

    2 Burner Cooking Stove 1 5,000

    Training 3,000

    DTH service 1 2000

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    Total 1020500

    Capital Cost Heads of the Samosa centralized kitchen

    Rent Advance400 Sqfeet

    1000000

    Construction 200000

    Installation 100000

    Utensils 30000

    Steel Working tables 30000

    Uniforms 11 40000

    Computer 20000

    Delivery Van 200000

    6 range stove 60000

    Fridge 15000

    Legal and Lisence Cost 200000Deep Freeze 60000

    Software 10000

    Dough Mixer 60000

    Exhaust 150000

    Tandoors 3 3000

    Sinks 12000

    Storage 25000

    Total 2215000

    2010-2011 2011-2012 2012-2013 2013-2014

    NET PROFIT -29.84 19.52 23.59 27.60

    -40.00

    -30.00

    -20.00

    -10.00

    0.00

    10.00

    20.00

    30.00

    40.00

    NET PROFIT

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    Breakeven for one samosa outlet

    0

    1,000,000

    2,000,000

    3,000,000

    4,000,000

    5,000,000

    6,000,000

    7,000,000

    1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35

    MONTHLY SALES

    MONTHLY TOTAL COSTS

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    PARTICULARS 2010-2011 2011-2012 2012-2013 2013-2014

    (8 Months) (12 Months) (12 Months) (4 Months)

    INCOME

    REVENUE 31,71,000 1,78,29,000 3,21,22,000 1,33,90,000

    Less: EXPENDITURES

    Food & Beverage 7,92,750 44,57,250 85,20,000 33,47,500

    Packaging material 2,37,825 13,37,175 25,56,000 10,04,250

    Rent 13,04,000 33,24,000 50,52,000 19,84,000

    Maintenance 66,000 2,13,000 3,57,000 1,44,000

    Materials 16,000 24,000 24,000 8,000

    Printing and Stationary 66,000 2,13,000 3,57,000 1,44,000

    Cleaning Supplies 26,400 85,200 1,42,800 57,600

    Fuel 1,52,000 3,80,000 5,72,000 2,24,000

    Electricity 1,98,000 7,10,000 11,90,000 4,80,000

    Water 82,000 2,37,000 3,81,000 1,52,000

    Salary 11,12,000 31,88,000 51,08,000 20,36,000

    Phone and internet 26,400 85,200 1,42,800 57,600

    Insurance 38,000 95,000 1,43,000 56,000

    TOTAL 41,17,375 1,43,48,825 2,45,45,600 96,94,950

    PBT -9,46,375 34,80,175 75,76,400 36,95,050

    Exit strategies

    The Exit strategy of the firm will be based on the following steps:-

    1. Recovery of all the security deposits of the outlets rentals

    2. Individual agreements will be entered into with people who wish to take over individual

    outlets in case they require setups for their own food startups. This will help us also re-

    employ all the staff which will be trained and have a substantial experience in food

    service.

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    3. In case these outlets do not find takers for such agreements we shall then concentrate on

    selling off all assets as soon as possible.

    4. The hub kitchen can then be converted into a take away kitchen which can prepare

    Malaysian food which can cater to various localities in the vicinity.

    5. The hub kitchen may also go through the same process as the outlets, in case we feel that

    it is not feasible to start the t/away kitchen at that time, where we can try and locate

    people who are interested in taking over the hub kitchen for their own food operations.

    6. In case that does not happen we can then sell of all our assets in the central kitchen as

    well.

    7. The vehicles will be sold off and the cash will be used to purchase bikes in case we

    convert the hub kitchen into a take/away kitchen.

    8. The final goal is to sell off the business after it has been established as a quality t/away

    business to anyone who wishes to run it so.

    9. Since we would not invested in immovable assets hence assets liquidation will not be

    such a big issue.

    10.We will actively look at re-employing all employees with the owners of the outlets if and

    incase people are interested in the proposition of taking over these outlets.

    Teams Strengths

    The team that shall be heading this venture will be having expertise in business analysis, hands

    on experience on hospitality and food industry.

    The Holliday Villa Hotels & Suites will be actively participating and helping the two experts in

    formulating the extended business plan and will be constantly assisting and supporting them to

    succeed in their venture. I will be also involved in the business implementation and will be

    handling the operation of the business and especially the food items to be served will be testedby me.

    The team looks at hiring a head chef who will look after quality control and kitchen operations.

    He will also be required to start an R&D kitchen in the future for constant product development

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    and innovation. Since the plan would require an fairly experienced and well versed kitchen

    professional and he can be a partnership in the venture depending on his profile.

    Business Strategy

    Long Term strategy

    The long term strategy includes the following:

    1. To expand across Kuala Lumpur to over 35 outlets in 5 years from 11 in 3 years

    2. To be able to build a brand as an innovative food t/away brand while still delivering value

    to the TMS

    3. To develop an R&D kitchen so as to offer continuous innovation to customers in terms of

    offerings

    4. To breakeven at year 3

    5. To be able to start a franchisee model in various cities after the success of this model in

    Kuala Lumpur.

    6. To be able to foray into tier 3 cities after year 6 once those cities have developed an urban

    culture to create the need for such a product.

    7. To build a national brand by year 7 of start of operation

    8. To have presence in all metropolitan cities in India by year 8

    Short Term Strategy

    1. To start 11 units for year 3

    2. To reach budgeted profits and volumes and revenues for all units

    3. To introduce new and innovative products at regular intervals for the outlets

    4. To have innovative promotional strategies in the first 3 years

    5. To create a strong regional brand by year 2

    6. To create enough public awareness through PR activities and promotions

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    Logo for the Holliday Villa Hotels & Suites QSR

    TIS Conclusion

    This is a very lucrative project for the Holliday Villa Hotels & Suites Subang as it is not only

    giving them an opportunity to earn huge profits but also giving them an opportunity to expand

    into an unexplored new venture and also diversifying their business.

    The Holliday Villa Hotels & Suites will not face any competition in the new venture as it is a

    totally unexplored area. Their operations and other amenities will not cost them much as they are

    already in a similar business.

    One of the very crucial and important part of the supplier for a particular business where

    Holliday Villa Hotels & Suites will have an advantage of already existing supplier for their

    hotels.

    Arranging for finance form the banks or financial institutions will be eaiser for the existing good

    running business into a new similar expansion with such high expected returns in a small period

    of three years only.


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