Business Entrpeneurship Midterm

BUSINESS PRACTICE AND ENTREPRENEURSHIP BUSI 2010MIDTERM

INTRODUCTIONIntroduction of self and groupBrief description of project

GROUP MEMBERS Leah Gosine Camille Sooknanan

Our project is called ‘Sandwich Delight’. Our business idea stemmed from the fact that on our island of Trinidad there are only a few healthy fast food sandwich outlets which are Subway & Boomers. Also we have noticed that eating healthy is not popular on our island as the cost of healthy food is relatively high and a variety of options are relatively low. We have also incorporated our field of study to our business proposal by introducing a mobile phone application for the means of locating a Sandwich Delight outlet, placing orders and for general information of what we offer (menu) and promotions etc.

WHAT WE THOUGHOur first canvasExplanation of the original business model

OUR FIRST CANVAS

WHAT WE LEARNT

For each element We will state what we thoughtWhat we foundLessons learnt (insight)

WHAT WE LEARNT – VALUE PROPOSITION What we thought – - Sell our sandwiches between $20 - $30, Target average

income makers, Offer great customer service, Offer a wider variety that our competitors do not offer, introduce a mobile application to place orders in advance.

What we found/lessons learnt – Customers are not satisfied with the present sandwich industry and are willing to make a change. Customers are mainly faced with the issue of poor customer service, high prices, and timeliness.Majority agreed that our benefits are great, most selected price and taste as their major benefit.Everyone agreed that opening a sandwich outlet, will be beneficial. Those who owned a phone loved the idea of ordering via their mobile.We also found that not everyone is health conscious and it doesn’t seem as important as the price and taste.

WHAT WE LEARNT – CUSTOMER SEGMENT What we thought – - We would target average income makers, Persons on

the go, persons who detest waiting in long lines to order, Persons who were health conscious, Mobile phone users

What we found/lessons learnt – Our segments were on track/we thought right We found majority of persons were not as health

conscious as they should be Customers were excited about ordering from their

mobile phones and getting better tasting affordable meals

Insights from customers – they want to get their money’s worth, great taste, more choices, fresh meals and lower cost

WHAT WE LEARNT – CHANNEL What we thought – - We will distribute our sales and services via: Physical Channel – Direct Sale via Store OutletMobile Channel - Virtual Sale via Mobile ApplicationWhat we found/lessons learnt – Customers were interested and excited about the mobile applicationThe more people spread a positive response, the more people will buy. Working people like the idea of having food delivered or

basically at their finger tips. Here the idea of introducing a caravan in our business model

comes into mind.Majority of persons interviewed preferred delivery at lunch time to their place of work, we decided to add a caravan unit to our channels

WHAT WE LEARNT – CUSTOMER RELATIONSHIPS What we thought -After sampling our sandwiches, at least 90%

would be potential customers We can get customers via the world wide web which will be

effective as a paid service Customers would be excited to buy and tell others, because of

our friendly service and giving extra for free. Here’s what we Found Word of mouth is an excellent form of free advertisement in order

to get customers Based on a sample of 5 persons only one person will be an actual

sale We need to add more avenues to keep our customers Make use of free web advertising to target our customer persona Insight's We have to Get, Keep and Grow our customers

Aware- Interest- Consider- Sale

WHAT WE LEARNT – REVENUE STREAMS What we thought – - To offer healthy sandwiches which would cost approx. 30%

less than our competitors while also providing convenience via a mobile application, variety, faster service, great taste and guaranteed hunger satisfaction. ($20 - $30)

Generate income through the sale of drinks Generate income through Ads advertising through our app What we found/lessons learnt – From our experiment of creating our product and offering it

to potential customers and allowing them the option to pay us what they thought it was worth. Customers offered to pay $15 - $25 for what we currently offer.

Our other revenue streams seemed to be right on track/we thought right

WHAT WE LEARNT – KEY PARTNERS

We thought our partners were companies/people we needed to buy or obtain services from to operate our business.

What we found/lessons learnt – - Our partners as a start-up would only consist

of the suppliers of the core things we need to create our product and not necessarily to operate our business.

WHAT WE LEARNT – KEY ACTIVITIES, KEY RESOURCES & COST STRUCTURE

What we thought – Our key activities involves the main steps involved in selling a sandwich. The key resources are the physical requirements inorder to establish a food business. This overall cost will be our entire cost structure.

What we found/lessons learnt – We needed to take into consideration

accounting into our key activities Our key resources are Capital, Physical,

Intellectual Property, Human Resources. Our operating cost a month will be

$1,168.00

REVISED BUSINESS MODELOur revised business modelExplanation of the revised business modelStating any achievements or notable progress

REVISED BUSINESS MODEL

CONCLUSIONWhat were the personal lessons learnt?What would you do better the next time?What will you do next?

CONCLUSION

Personal lessons learnt – When wanting to start a business, every belief or hypothesis must be tested and the business model canvas gives an outline of how to break down each belief or hypothesis you may have. Establishing a business comprises of a 9 key elements which are reflected in the business model canvas

What we would do better next time – choose a greater sample size to test our experiments.

What we will do next – continue to test our experiments until we are satisfied with our feedback before we set out to make actual sales.