a business plan - benji bikez
DESCRIPTION
TRANSCRIPT
• Gutierrez Cesar• Ibrahim Samera• Joseph Willymena• Piva Benedetta
Introduction
• Benji Bikez exports used and completely restored motorcycles to Chile.
• Benji Bikez Team Members:– Has experience;– Knowledge; and– Know-how.
Why Chile?
• One of the most prosperous nations within Latin America;
• Government policies encourage foreign direct investments;
• Most progressive retail sector in South America; and
• Strong demand for consumer durables.
Introduction
Human Resources
• Mechanic in Atlanta: a reliable person
• Two key people in Chile:
Management Plan
Cesar Gutierrez
speaks spanish fluently;experience in selling motocycles
He will develop the market and learn the culture and business environment
Alberto Gazzo
knows the local motorcycles industry very well
He will be a representative agent to help us build and manage local marketing relationships in Chile
Location
• Santiago de Chile: the capital and the largest city of Chile• The population of Santiago has seen a steady increase over the
years
• We will rent a place and use it as a dealership
• This place has to be large enough to allow us to create a showroom, an office, and a small warehouse where to keep motorcycles before selling them.
Management Plan
Shipping
• We will purchase motorcycles from local public auctions and sellers and will export them to Chile.
• UPS, FedEx or DHL.
Management Plan
Marketing Objectives
• Target young males in growing affluent middle class segment; and
• Offer high quality product demanded by the target consumers.
Marketing Plan
Marketing Objectives
• Exploit our strength:– a solid foundation in United States; and– prior exporting experience of members of our team.
• Minimize the affects of our weakness: – being a new entrant of a foreign market environment – by aligning ourselves with an importing agent with local market
experience.
Marketing Plan
Marketing Plan
Marketing Objectives
• Take advantage of opportunities:– government incentives (bilateral free-trade agreement);– Access to credit;– ranked 49/183 countries for ease of doing business by the World
Bank.
• Counter threats:– By offering better quality bikes at comparable prices.
Marketing Plan
Marketing Objectives
• Advertising will be done via:– Radio;– The World Wide Web; and – Various forms of guerilla marketing.
• Price determination:– Competitively and strategically set; and– Segmenting and targeting a profitable niche consumer segment.
Marketing Plan
Pricing
• Cost of our Products $2000-$5000
• Selling price $4000-13,000
Investment asking price
$ 150 - 200,000
Income statement• Revenue (in thousands)
– Gross sales $250
– Less sales returns & allowance 200
Net Sales $50
Cost of Sales
Beginning inventory $360
plus goods purchased 165
Total Goods Available $525
Less ending inventory 500
Total Cost of Goods Sold $25
Gross profit $25
Financial Plan
Financial Plan
Balance Sheet - 1st year
• Assets (in thousands)
Current assets
Cash $54
Net accounts receivable $367
Inventory $177
Temporary investment $12
Prepaid expense $ 2
Total Current Assets $612
Financial Plan
• We expect to have a great gain in profit after the first two years after our advertising starts to pay off.
• We plan on building our clients and start having more advanced orders from our customers.
Financial Plan
Comparable tax rates between countries such as Chile’s 18% corporate income tax and the United State’s comparable federal corporate income tax.
However, after totaling the many different tax brackets:
Property + insurance + unemployed + etc
= 25% in Chile’s
= 46% in United State’s
Chile example:http://moto.mercadolibre.cl/MLC-37818909-yamaha-yzf-r6-_JM
US example:
http://nashville.craigslist.org/mcy/2654482167.html
http://atlanta.craigslist.org/atl/mcy/2691028122.html
Summary
• Chile offers the perfect environment for a small exporter to thrive:
– open market economy – well regulated business environment – growing middle class – high demand for products
Summary
Conclusion
• By taking advantage of all that Chile has to offer, we believe that we will be successful.
Thank you!