business plan: salon

8/10/2019 Business Plan: Salon

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Trend Castle

Part 1: Introduction

1. Name & address of the business:

The Trend Castle or TC in short, plans to operate in partnership form.

The project intends to commence at the most happening location of the city, the GEC

Circle.

2. Nature of Business:

It will basically be service intensive as well as capitalintensive b!siness, as its profit

relies on "!ality service, s#illed employees, and c!stomeroriented environment and also

on the modern saloon technologies. The core theme of Trend Castle lies in enhancing

the inner sense of bea!ty and personal wellbeing, event!ally awarding o!r c!stomers

with a strong believe in their o!ter loo#s.

3. Total Investment: T#. $, %&, &&&&&

4. Financial Indicators:T#. %&, &&, &&& will be collected thro!gh ban# loan and the rest

of the f!nd will be raised form the partners personal f!nd.

5. Payback period: 'e will able to achieve o!r investment within (.(( years.

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Trend Castle

Part 2: Executive Summary

Trend Castle is a diferent kind o shop providing both hair styling

saloon (or men) and Beauty parlor (or women). The ombination othis kind o servie onept is new or Chittagonian. Beause none o

the e!isting servie provider provide this kind o servie together. The

main goal o Trend Castle" is to provide world#lass servie in the

$elds o barbering% hair styling and osmetology to the ashion

onsious people o all ages. Trend Castle has the goal to grab &'

in terms o market share within years. Customers% employees%

suppliers% government unions% loal ommunities all o them are our

stakeholders and they have a vital ontribution in the establishment o

Trend Castle.

The main theme o Trend Castle lies in enhaning the inner sense o

beauty and personal well#being. Trend Castle plans to operate in

partnership rom% we are the Three partners investor o Trend

Castle intends to establish the pro*et at the most important loation

o the ity% the +,C Cirle. -ur Trend Castle omple! is inorporated

with two oors with ully air#onditioned and parking ailities or at

least &' vehiles.

/ost o the employees o Trend Castle% that is the barbers% hair

stylist% beautiian has ompleted a diploma on hair styling 0

osmetology rom 12air 3ademy Beauty 4nstitute o Cosmetology%

5elhi% 4ndia".

The ob*etive o Trend Castle is to provide high 6uality treatment

and it believes in total ustomi7ation. Trend Castle ollows ous

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Trend Castle

strategy% as it is providing some new types o servie or Chittagonion

people% like 2air Transplantation% 2air styling% /assaging.

The $nal onlusion an be drawn that% Trend Castle is a

ombination o hair styling saloon and beauty parlor or the style

onsious people% and people aing problem with their hair% Trend

Castle is the shop that solves those problem and proposes better then

any other beause Trend Castle has the tehnologial advanement

and ability to serve the onsumer with the best possible manner.

Part 3: Industry Analysis

A) Existing Scenario of the Industry &

om!etitor Analysis:

"ist of urrent om!etitors:

)s Trend Castle is offering several services in a single comple*, there are no direct

competitors offering e*actly the same way as o!rs. 'e are the first in Chittagong of

introd!cing both +arber shop and +ea!ty parlor to the cons!mer Chittagong. . 'e are the

pioneers of introd!cing air -tyling and air Transplantation in Chittagong. o one in

Chittagong is offering a vario!s n!mber of services li#e !s. 'e have some indirect

competitors who are offering o!r services separately. /n the basis of service they offer,

we have identified o!r indirect competitors that meanswe can sort o!t the following and

indirect competitors in barbering and cosmetology.

1. Agrabad Hotel Saloon

2. Saint Martin Hotel Saloon

3. Head & Shoulders

4. Hair Line

5. Lucy Beauty Parlor

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Trend Castle

. !air "ouch Beauty Parlor.

Till now no one in Chittagong has offered vast varieties of service li#e Trend Castle.

-ome of the firms are offering those services separately. -o c!rrently there are no direct

competitors for Trend castle in Chittagong. 1ifferent competitors are offering different

services. They have different service line also. )fter analy2ing all of them, we have made

a list of the services that o!r indirect competitors are offering. There are even not any

indirect competitors in some sectors of o!r offerings 34assage, air transplantation, air

designing, etc5. ere we are the pioneers in that b!siness.5

#uality of the com!etitors$ !roducts and services

8ervie 6uality is the ability o the servie to perorm its untions9 it

inludes overall durability% reliability% preision and new eatures and

other valued attributes o the given servies. 5iferent servie

provider provides diferent 6ualities to their oferings. 8o our indiret

ompetitors also provide diferent 6uality and eatures to their

respetive oferings.

&. The 13grabad 2otel 8aloon" provides posh environment% 3ir#onditioned room and skilled barber (But they didnt omplete anyourse on 2air utting or designing. 18aint /artin 8aloon" ofers

:remium prie% skilled barber% and they targeted only those onsumerwho stay in the 3grabad hotel et.

;. The 18aint /artin 8aloon" ofers :remium prie% skilled barber(in terms o their e!periene)% and they targeted all standard opeople.

. The 12air


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Trend Castle

Fair Touch is 6uite air with its 6uality with a low prie strategy%targeting all standard o people.

Service level of the com!etitors

8ervie is any ativity or bene$t that one party an ofer to another is

essentially intangible and does not result in ownership o anything.

/ost o our ompetitors in various setors try to serve 6uality servie

to their ustomer. They try to ofer suitable environment% lower prie%

onveniene% et.

%se of middleman

4ost of the competitors do not e*ploit any middleman in their b!siness. There is a major

!se of middleman in air c!tting, designing, transplant, etc of man and as well as in the

bea!ty parlor sector. They b!y the Cosmetics which is needed in the bea!ty parlor and in

the hair c!tting saloon li#e 7ace wash, -hampoo, +leach, -cr!b, etc for both men and

women and )fter shave, lotion, antiseptic cream, etc specially for men, those are s!pplied

from the s!perior 1epartmental -tore of Chittagong. ead 8 -ho!lder air -hop has a

relationship with the ead 8 -ho!lder shampoo company. ead 8 -ho!lders and air

line hair shop, they both b!y the basic materials of c!tting hair, hair color, bea!ty cream,

powder etc all those things from 9ea2!ddin ba2aar. +eside those competitors no one !ses

the middleman in this b!siness. They always concern on spot selling of their service

"ocation & A!!earance of outlets of the com!etitors

&. 3grabad 2otel 8aloon?3grabad 2otel% 3grabad Commerial 3rea%

Badamtoli% Chittagong

;. 8aint /artin 2otel 8aloon?/ehdibag% Chittagong

. 2air line ########## /ehdibag% Chittagong

=. 2ead 0 8houlder 8aloon?/ehdibag% Chittagong.

'. air Touh Beauty parlor########/ehdibag% Chittagong.

om!etitor Em!hasis:

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Trend Castle

In the above we show the strategic analysis between Trend Castle and other competitors.

1ifferent competitors adopt different strategies. In 4ens barber shop sector, )grabad

otel -aloon is offering "!ality services with a premier price level. ead 8 -ho!lders,

and -aint 4artin -aloon, both of them are offering low price and reasonable "!ality to

their c!stomer. They targeted all classes of people and set s!ch a price level that is easily

affordable by different income level of c!stomer. air :ine -aloon is following the foc!s

strategy. They are offering "!ality service at a reasonable price. :!cy +ea!ty parlor has

adopted the foc!s strategy. They are offering good "!ality service and also they are

charging premier price. 7air To!ch +ea!ty ;arlor has adopted low cost strategy. +!t they

are providing a decent "!ality service with ta#ing low price from c!stomer. +eca!se of its

cost of operation is lower than any other parlor, thats why this parlor has adopted this

strategy.

Strategic Agrabad Saint H S Hair !"cy Fair Trend

T#r"st !ine parlor To"c# $astle

Foc"s

!o% cost

&i''erentia(

(tion


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Trend Castle

he om!etitive advantages of the om!etitors:

1. Low Pricing:It is the main competitive advantage for o!r competitors. /!r

indirect competitors are providing the service at a lower price. It happens beca!se they do

not thin# abo!t better or high "!ality service. They j!st provide service at a lower price.

2. ustomer !ttitude towards the "er#ice:To the cons!mers

overview, they thin# that Trend Castle is only for the !pper classes of people. They

always bear 3?%@ of total c!stomer5 a negative impression abo!t Trend Castle before

visiting here. -o this physiological thin# also incl!des a pl!s point for o!r competitors.

/n the other hand the competitors too# this chance by giving low price to their c!stomer.

They are able to do this beca!se they are not concern abo!t the "!ality and also do not

believe in change.

$. %na#aiabiit' of "(eciai)ed *uman +ecourse: It is

very diffic!lt to retain s#illedand trained employees. -ome of o!r services are very new

in Chittagong. -o to find s#illed employees on those sector are very diffic!lt. )nd the

salary of those employees is also high.

,. -aturit' in the ndustr': the indirect competitors enjoy a great

advantage to offer the services before Trend Castle. It is a pl!s point for them of

becoming the introd!cer of the service. That means they got the advantage of 7irst mover.

They have already made a positive position in their c!stomer mind while Trend Castle is

j!st introd!cing them in the mar#et.

om!etitors Analysis 'similarities and di(erences ith

rend astle):

Business Plan ?

$ompetitors Similarities &i''erences

)arber S#op

Agrabad Saloon *. Pos# +nvironment *. Skilled employees

,. $#arge relatively ,. -elatively #ig#

Hig# price Promotion.

3. "ality service.

4. Tec#nological

Advancement

Head S#o"lder 5. Parking Facility

Hair !ine "ick service /. Attractive !ocation

)ea"ty Parlor

!"cy )ea"ty Parlor *. "ality Service. *. Skilled +mployees 0got diploma1

,. Parking Facility ,. Hig# Promotion

3. Hig# price 3. 2ell decoration

4. Pos# +nvironment 4. &ont #ave to %ait

5. ario"s ot#er services


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Trend Castle

*) +ar,et Segmentation:

+y e*amining demographic, psychographics, and behavioral differences among the

b!yers, we can identify mar#et segment. The mar#eters then decide which segments

present the greatest opport!nity that is its target mar#et. 'e ma#e o!t o!r target mar#et

by analy2ing the segments, the potential b!yers, their income, n!mber of competitors etc.

Trend Castle target !pper class people whose income ranges from ann!ally T# %&&&& to

Business Plan A


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Trend Castle

T# $&&&&& and !pper middle class people whose income ranges from T# (&&&& to T#

%&&&&.

'e describe o!r mar#et segment on the basis of present and f!t!re mar#et analysis.

Those areB

$. +efore entering the mar#et

(. )fter entering the mar#et 3;rojected5

Before entering the mar/et for Barber sho(s

Business Plan

Size of segment

68%

18%

5%9% Agrabad

saloon

SaintMartin

Head &

Shoulder

Others

75%

5%

!%

"u#$

air ou#h

Others


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65%1!%

1!%

15%

rend

'astleAgrabadsaloon

Head &Shoulder

Others

6!%

5%

15%

!%

rend'astle

"u#$

airou#h

Others

Trend Castle

"i)e of the segment before entering the mar/et

for Beaut' (aror

'e do not have any direct competitors. )ll of o!r offerings are separately provided in

Chittagong. /!r competitors are providing those services while we are providing those

!nder the same roof.

"i)e of the segment after entering the mar/et

for Barber sho(s

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6!%

(!%)**+, Middle

#lass

)--er #lass

Trend Castle

"i)e of the segment after entering the mar/et

for Beaut' Paror

ere we find that when Trend castle will introd!ce itself in the mar#et, it will manage to

earn abo!t $%@ in barber department and (&@ in bea!ty parlor department of the total

c!stomers. The competitors of Trend castle are not direct. They provide the offerings

from different places, in different price, with in different facilities. -o it is a pl!s point for

Trend castle that they are offering different needs !nder the same roof. It will definitely

lessen the physic, time and energy cost of the c!stomer and they will come here

fre"!ently. -o, we can achieve $%@ in barber department and (&@ in bea!ty parlor

department.

"i)e of the "egments

Ae divided our segments into two soial lasses. They are upper and

upper middle lasses o people. Ae divide our oferings to those

lasses with the help o perentage.

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Trend Castle

4ar#et segmentation is important for any b!siness. It ma#es a mar#et and adopts its offer

to more closely match the needs of one and more segmentation. 'e #now two brand

gro!ps of variables are !sed to segment cons!mer mar#ets. /ne is a cons!mer

characteristic and another one is cons!mer responses. -o there are no single ways to

segment the mar#et. )s a mar#eter we have to try different segmentation variables to find

the variables alone and in combination, to find the best way to view the mar#et str!ct!re.

7or this reason, we follow three steps proced!re for identifying mar#et segmentation.

These areB

$. Going to s!rvey

(. )nalysis the factor

0. )t last profiling the stage.

Than we define major segmentation variable li#e geographical, demographical,

psychological, behavioral segmentation.

ere we emphasi2e some of the major areas of Chittagong from where most of o!r

c!stomer will come. )nd those areB

1. 0eogra(hica "egmentation:

) geographic segment divides a mar#et in to different geographical !nits s!ch as nation,

co!ntry, region, cities etc. 'e serve entertainment to the c!stomer. -o as a service

provider, we decided to differentiate Chittagong region and try to pay attention to the

difference needs and wants of the c!stomer. 'e are locali2ing o!r service, advertising,

promotion and sales efforts that are fit for the cons!mers of chittagong. 'e also foc!s to

the developed area of Chittagong li#e Dh!lshi, )grabad, ;anchlaish, asirabad, and we

try to segment o!r c!stomer mar#et among these areas. 7or these reason we established

o!r b!siness in GEC Circle on the basis of o!r target c!stomer. /!r geographicsegmentation isB

*. $o"ntry region:Chittagong.

,. $itien o' metro sie:)bo!t 0 crores.

3. &ensity:rban

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Trend Castle

4. !ocal area: ;anchlaish, 4ehedibag 3Incl!ding )mirabag, asirabad, Dh!lshi,

)grabad, ill view, G.E.C Circle, etc.

2. emogra(hica "egmentation:

In demographic segmentation, we dissect the age, se*, income and other incentives of o!r

target c!stomers. 'e divided the mar#et in to some gro!ps based on demographic

variables s!ch as age, gender, family si2e, income, occ!pation etc. Cons!mer needs wants

and !sage rate often varies closely with demographic variables. ere we analyses the

demographic segmentation of o!r service lineB

AgeB 'e define o!r offerings on the basis of different age peoples want and desire. -!ch

asB

Barber sho(

Beaut' (aror

0ender: 4ale and female.

ncome:

1ifferent people want different type of services. It can be happened beca!se of their

income level. The c!stomers will find his needs on those services that are reasonable for

them. 'e find their, the level of service differs with the income range of the c!stomers.

Business Plan $0

air c!tting -having -hampoo air -tyling 4assaging air transplant

People o'

All age *6 Above *6 Above $A )bove $A )bove (% )bove

7acial air C!tting 8 1eigning air Color air Treatment 4a#e !p

*5(47 All age *5(45 37 above *5 Above


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Trend Castle

-o we ma#e a research on income of o!r target c!stomers and basically we are targeting

ad!lt mar#et incl!ding a portion of teen mar#et.

ccu(ation:

-ervice holder, +!sinessman and woman, Teenagers 8 children.

Life 'ce:Fo!ng and middleaged people.

$. Ps'chogra(hica3Beha#iora "egmentation:

"ocia ass:pper class and ppermiddle class people.

-entait':'ho wants to get services comfortably and in favorable place.

Personait':Gentle, smart and well behaved.

'e have segregated o!r segments in to two major classes. 'e provide benefits on the

basis of the c!rrent mar#et demand. )s we #now, everyone does not demand the same

services. It differs from individ!al to individ!al. -o we ma#e analysis c!stomers demand

and try to serve them as m!ch benefitservice as we can. 'e also e*amine C!stomers

psychological socio c!lt!ral and political behaviors to e*amine what type of benefits

they act!ally wants from this type of service. ere we made a fig!re abo!t the segment 8

the benefits that we offerB

Business Plan $6

$lass 8o. 9' Segment Income range )ene'it So"g#ed

pper * 57;777(*; 77;777 Total


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Trend Castle

) Industry "I-E ."E

In the ;:C, the position of


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Trend Castle

Nurturing Your Personality

The vision of Trend Castleis to establish the rst

and biggest Institute of Barbering, Hairstyling and

Cosetologyin Chittagong fa!ilitating !o"lete

hair and s#in solutionsto the residents$ both lo!al

and national%

The ission of Trend Castleis to "rovide &orld$!lass

servi!e in the elds of barbering, hairstyling and

!osetology to the fashion !ons!ious "o"ula!e of all

ages% 'e believe in our "otentials and energy in the

art of "resenting ea!h individual a ne& and "ositive

diension to their "ersonality%

To "eo"le, &ho are style !ons!ious and fa!ing "roble

&ith their hair, Trend Castle is the hair styling saloon (for

)ents* and beauty "arlor (for ladies* &hi!h solves those

"ur"oses better than any other, be!ause Trend !astle is

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Trend Castle

the only one hair styling saloon and beauty "arlor in

Chittagong, &hi!h "rovides hair trans"lantation and hair

styling fa!ilities for the rst tie and it has the ability to

fulll the latent deand of the !ustoer%

'e loo# for&ard to "rogress at a gro&th rate of +- in

ters of ar#et share in ne.t / years% The ob0e!tive of

Trend Castle &ould be to "rovide &orld$!lass treatent

and all "ossible solutions in the elds of barbering,

hairstyling and !osetology%

In TC, &e believe in total !ustoi1ation% 'ell be

treating and s"e!i!ally tailoring our servi!es shar"ly

a!!ording to our diverse !ustoer re2uireent%

1. Product & "er#ice

Service idth for rend castle

4idth 5Barber "ho(6:

T#e %idt#s in t#is sector are:

a1 Hair $"tting

b1 S#aving

c1 S#ampoo

d1 Hair dye

e1 =assaging

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Trend Castle

'1 8ail treatment>care

g1 Hair &esigning>Styling;

#1 ?room make "p

A) air cutting:A) air cutting:

ormal air C!t, ltra 4odern air C!t, 9o!nd C!t, Children C!t, Children C!t 3Girls5,

and -pecial Trend castle c!t 'ith -hampoo5.

*) Shaving:*) Shaving:

Cream -have 3Gillette Cream and after shave5, 7oam -have 3Gillette foam and after

shave5, 7oam -have 3/ld -pice foam and after shave5 Gel -have 3Gillette Gel and )fter

-have5, Edge ;ro Gel with )loe Hera.

c) Sham!oo:c) Sham!oo:

-t. :!is erbal, +oost E*tra Glare, ead 8 -ho!lders 3ormal air5, ead 8 -ho!lder

4enthol 37or 1andr!ff5, i2oral 3for wea# hair5, ;antene ;ro H with Conditioner, -!n

sil# 3ormal air5, -!n sil#3 for dandr!ff with conditioner5, -!nsil# +l!e37or C!rly

hair5, -els!n +l!e 3Treatment for 1andr!ff5, ;amela erbal , +ryl Cream, air -pray,

air Gel.

0) air 0ye:0) air 0ye:

:oreal 3+lac#5, +egin 3+lac#5 i speedy, ;oly color 3+lac#5, ;eacoc# 3+lac#5, Dali

mehendi, Godrej 3+lac#5, Tr! tone 3Gel +lac#5, Godrej +lac# 37or 4o!stache5, ;eacoc#

+lac# 37or 4o!stache5, :oreal 3+l!e, 9ed, ;in#, Gold, +rown5, Elegane3+lac#, +l!e and

+rown5 .

E) +assaging:E) +assaging:

+ody massage 3normal man!al5, +ody massage 3machine5, ead massage, ead

massage with shampoo.

-) 4ail reatment:-) 4ail reatment:;edic!re and 4anic!re.

g)air styling:g)air styling: C!rly, -traight, -pi#e, 9ah!l, 9o!nd etc.

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Trend Castle

idth '*eauty Parlor)idth '*eauty Parlor)

:i#e +arber shop, +ea!ty parlors are also available in every areas of Chittagong. +!t we

consider :!cy +ea!ty parlor and 7air To!ch +ea!ty parlor as o!r competitor.

T#e %idt#s in t#is sector are:

a1 Facial

b1 Hair $"tting> &esigning

c1 Hair $olor and Treatment> $are

d1 =ake "p

e1 8ail treatment>care

)readt#: The service line depth for o!r different bea!ty parlor competitors are projected

hereB

A) -acial:A) -acial:

ormal 7acial 3bleach and facial5 , erbal 7acial3 with herbal accessories , -pecial

7acial3 facial with the mi*t!re of C!c!mber, egg and other fr!its5 -hehna2 7acial, +iotic

7acial, -hiny 7acial, erbal 7acial.

*) air utting5 0esigning:*) air utting5 0esigning:

ormal c!t, -tep c!t, -haggy c!t, 9ah!l c!t, :ayer c!t, 1yana c!t, ormal

C!t3 C!stomers choice5.

)air olor and reatment5 are:)air olor and reatment5 are:

:oreal +lac#, :oreal +rown, :oreal Gold, Garnier +lac#, Garnier +rown, Garnier Gold,

Garnier 9ed, -hehna2 4ehendi , Elegane37rance)ll colors5.

0) +a,e u!:0) +a,e u!:+ridal 4a#e !p, ;arty 4a#e !p, ormal 4a#e !p, Evening 4a#e !p.

E) 4ail treatment5care:E) 4ail treatment5care: ;edic!re and 4anic!re.

2. 7uait'2. 7uait'

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Trend Castle

!ality is the totality of feat!res and characteristics of a prod!ct that bear on its ability

stated or implied needs.

JThe comple* is centrally air conditioned, with violet par#ing facilities. -ec!rity

monitors are on everywhere and special attendance assigned for children. -tep inside to

Trend castle yo! will definitely feel better.

J The cons!mer doesnt have to wait here, as we are providing the biggest saloon in

Chittagong. In o!r +arber shop at a time fifteen employees can serve c!stomers and ten

in the bea!ty parlor. Trend castle also has the s#ill barbers and bea!ticians.

J 'e have ta#en and appointed five barbers and 0 bea!ticians from Chittagongs well

#nown barber shop and saloon and who are also well #nown and very e*perienced in

their field of job.

J In +arber -hop we are providing a waiting room where more than thirty people can sit

and can watch television and newspaper. 'e are also providing a smo#ing room.

J 'e are providing the best bea!ty parlor in Chittagong. Its environment is totally

different from other bea!ty parlor. In bea!ty parlor sector we are providing a Dids Corner

so that #ids can play there and dont dist!rb their parents. 'e have trained employees and

bea!tician who is e*pert in this sector.

JTrend castle is the only barber shop where styling hair is possible. 'e have two e*pert

in hair styling who had done one years co!rse on hair styling from +angalore.

. Service level

. Service level

-ervice is any activity or benefit that one party can offer to another is essentially

intangible and doesnt res!lt in ownership of anything. )nd -ervice level is the e*tent to

which a s!pplying reso!rce satisfies c!stomer re"!irements, often e*pressed in terms of

error rate, reso!rce availability or acc!racy in meeting re"!ested dates.

Trend castle offers s#ill barbers and bea!tician. 4ost of the barbers and bea!tician

completed a si* month diploma from air )cademy +ea!ty Instit!te of Cosmetology,

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Trend Castle

1elhi, India. 3who too# three months degree from India5, s#illed hair stylist 3who too#

one year degree from India5, s#illed bea!tician, better technology, "!ality service, posh

environment, good par#ing facilities, wee#ly disco!nt for their cons!mers.

Part 6: Production Plan:

8m(o'ee "/i +e9uirements:


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Trend Castle

Trend castle gives higher effort on employee motivation. It believes employee

satisfaction leads to higher "!ality service, higher cons!mer satisfaction, higher growth

and profits and overall leads to more repeat b!siness. 7or employee satisfaction, it

follows a provision period for seven days 3in every month5. In those seven days, the

4anager observes the activities of the employees and analy2es the basic re"!irement of

the employees.

Part 6: Marketing Plan

1. PricingB +asically Trend Castle will charge a premi!m price to its cons!mers.

+eca!se of delivering s!perior service "!ality, offering highclass environment does not

come in a cheep way. Cons!mer will feel s!mpt!o!s and s!mpt!o!s whenever they

enco!nter o!r service. The s!perior service "!ality is the competitive advantage for Trend

Castle. ;rice is the only factor in 6;s of mar#eting 3;rod!ct, ;rice, ;lace and

;romotion5 which generate reven!e. Trend Castle will charge higher price to deliver

s!perior services and to cope !p with the other fi*ed and variable costs as well as to gain

profit. ere is the price list for the different types of services Trend Castle will offer as

well as price list of the competitors are also incl!ded for complete !nderstanding.

Business Plan ((


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Trend Castle

$#arging price o' Trend castle ot#er competitor

+arber -hop

Jair C!tting

Business Plan (0

Items Trend Agrabad Hair Head Saint =$astle0Tk1 Saloon !ine0Tk1 S#o"lder Saloon0Tk1

8ormal Hair $"t *,7 *77 47 37 37

ltra =odern Hair $"t *37 **7 57 37 47

-o"nd $"t *77 B7 47 ,5 37

-a#"l $"t C. C 35 37 37

$#ildren $"t *,7 *77 57 47 45

Special Trend castle $"t *57 C C C C

+Dec"tive Hair $"t *47 C. C. C. ....


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Trend Castle


J-having

Business Plan (6

Items Trend Agrabad Hair Head Saint =

$astle0Tk1 Saloon !ine0Tk1 S#o"lder Saloon0Tk1

$ream S#ave 08ormal1 C C C ,7 ,7

$ream S#ave 09ld spice 57 47 ,5 ,7 ,5

$ream A'ter S#ave1

Foam S#ave 0?illette1 67 /7 45 35 35

Foam S#ave 09ld Spice1 E5 C C C. C.

?el S#ave 0?illette1 B7 E7 57 47 47

+dge Pro ?el %it# Aloe era *,7 C. C 57 C.

Special Trend castle S#ave

0sing ?illette one time raor1 *57 C C. C C


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Trend Castle


J7acial 37or men5

Pool and Snooker

JHair Styling > &esigning

)at#

Business Plan (?

Items Trend $astle Agrabad Hair !ine H S Saint0Tk1 Saloon 0Tk1 0Tk1 =artin

St. !"is Herbal

0S%iss 'orm"la1 477 377 ,57 ,77 ,,7

?lare Facial 02it# ?el1 ,57 ,77 *E5 *57 C.

8ormal Facial ,77 *E5 *37 *,7 *37

S#iny Facial 477 C. CC. C.. C.

0 8ivea Face %as#; Scr"b

and +ver yo"t# mask1

Party Facial 0 PH 5.5 Face

2as#; Steves Scr"b; ="d 577 C.. C. C C.

Pack mask and Fairness

$ream

Trend castle

Any kind o' Styling 02it#o"t $olor1 577 Tk

08o competitors in t#is event1


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Trend Castle

Hair transplantation


Beaut' Paror

J7acial

Pool and Snooker

Business Plan (A

Items Trend castle !"cy )ea"ty Fair To"c#0Tk1 Parlor )ea"ty Parlor

Special Facial 0)leac# Facial1 577 457 477

S#e#na Facial 677 E77 /77

8ormal Facial 0Ponds 8ivea1 477 357 377

)iotic Facial 0?arnier1 /77 577 457

!"cy Special Facial C E77 C

Fair To"c# Special Facial C.. CC. /77

S#iny Facial E57 C. C

Herbal Facial 0Herbal Accessories1 577 457 457

Tk. *7777 'or $"rly #air

Tk. E777 'or Straig#t or Silky #air


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Trend Castle


)ea"ty Parlor

Jair -tyling and C!tting

-tep

Pool and Snooker

Business Plan (


Step $"t ,57 ,77 *57

S#aggy $"t ,57 ,77 *67

-a#"l $"t *67 *,7 *77

!ayer $"t ,57 ,77 *57

&yana $"t */7 C. *77

8ormal $"t 0$"stomers $#oice1 377 C. C.


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Trend Castle


)ea"ty Parlor J/ther -ervices

-tep

Pool and Snooker

Business Plan 0&


Hair Treatment > $are /77 *777 377(E77 377 577

Hair $olor 0!oreal1 )lack *577 *,77 *777

)ro%n

Hair $olor 0 !oreal1 Pink; )l"e; -ed ,777 *577 *477

Hair $olor 0 ?arnier1 )lack */77 *477 *,57

)ro%n

Hair $olor 0?arnier1 )l"e -ed ,,77 *E77 *577

Hair $olor 0+legane( France1 ,577 C. C..

All $olors

Hair Styling 0$"rling1 *777 677 E77

Hair Styling 0Straig#t1 *,77 *777 B77

Party =ake p 677 ( ,777 577 ( *577 377(*,77

)ride =ake p 3777 ( 5777 ,777(3577 ,777(3777

8ormal =ake p ,577 C. C.

Pedic"re 577 477 377

=anic"re 577 477 377


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Trend Castle

2. istribution

+asically, we want to establish o!r image as


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Trend Castle

o!tdoor promotion 3leaf lets, banner5 for developing its image. -ide by side we will give

o!r )dvertisement into the Internet. +eca!se at present internet is less e*pensive to

comm!nicate with the target c!stomer. )nother reason for giving more emphasi2e on

Internet )dvertisement beca!se of o!r target c!stomer is mostly ed!cated and high

income gro!p people. )nd these people by some means enco!nter with the internet for

different p!rpose.

ncreasing awareness:

Trend castle has come !p totally new #ind of b!siness in Chittagong. Tho!gh they are

introd!ctory stage, they have to ma#e large promotion for draw the attention of the

c!stomers towards them. )ccording to the characteristics of introd!ction stage, there are

fights for mar#et share among the competitors thro!gh ma#ing the target c!stomers are

well aware of the prod!cts. -o Trend castle sho!ld spend more money in the media in

order to attracting and retain the c!stomers towards them

"chedue for !d#ertisement

16 T 5abe T Networ/6:


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Trend Castle

)ll Cable etwor# company charges same rate, they charge T#. $A&&3)ppro*imately5

per telecast and we telecast % times in month. -o the media cost of first year isB

$A&& * % * $( K $,&A,&&& T#.

8e%s Paper :1aini# p!rba#an K0&& 3cost5 * (3time5 * $( 3yearly5

K ?,(&& 3)pp.5 T#.

1aini# )2aadi K %0&* ( * $(

K $(,?(&3)pp.5 T#.

9"tdoor 0lea' lets; banner1

$(&& * $( K T#. (A,A&&3)pp.5 )nn!ally.

P"blicity:

'e have arranged an opening ceremony for the p!blicity of o!r firm. 'e have invited the

famo!s hair stylist Laved abib and some well #nown b!sinessmen, social wor#er also.

'e have inc!rred an amo!nt of /7;777ta#a for the opening ceremony.

9t#ers:

-everal trades fair too# place every year in Chittagong. )nd we provide leaf lets to the

people who visit there. It is act!ally nothing b!t ma#ing the potential cons!mer

aware. )nd it costs 47777ta#a ann!ally.

Total $ost o' Promotion

Business Plan 00

$osts Amo"nt 0Tk1

4edia cost $, &A,&&&

4edia ;rod!ction (&,&&&

;!blicity >&,&&&

/thers 6&,&&&

Total ;romotional Cost (, (A,&&&


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Trend Castle

$. +oes and +es(onsibiities of the Partners:

"he o)erall res*onsibilities o+ all the $e$bers are described co$*letely in the

Partnership deed,hich is attached in the a**endi- o+ this Business Plan.

,. +esearch and e#eo(ment e(artment:

Trend Castles management gives more importance abo!t the needs and wants of the

c!stomer. 'e have arranged a department for c!stomer complaints and s!ggestions.

+eca!se +arber -hop is a #ind of service where each and every employee has the

responsibilities to deliver a consistent service, as a res!lt to ens!re that every employee

has the "!alification and e*pertise, Trend Castle will maintain a 981 department. This

department is also re"!ired to ascertain that, every employee is getting the right benefit

form Trend Castle.

;. "aar' and ther Bene


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Trend Castle

+arber

Training Instit!te in this field

E*perience and -C 3passed5 0,&&&

Part S/'" Analysis

+asically, the overall eval!ation of a companys strengths, wea#nesses, opport!nities and

threats is called -'/T analysis. ere, it is necessary to maintain that both the strength

and wea#ness are the internal factors while opport!nities and threats are e*ternal factors

for a company.

)s we have mentioned earlier, o!r shop which is the combination of


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Trend Castle

7irst of all, now a day, people become more conscio!s abo!t their hair. -o that they

re"!ire a hygienic environment for c!tting of their hair and other necessary services. )nd

we serve that in o!r environment. -econdly we had highly trained and good s#illed

employees for serving the c!stomer. -o for that reason c!stomer will fre"!ently come to

o!r shop and will become more loyal. Thirdly, thro!gh o!r observation and research, we

find that o!r competitors in this partic!lar segment have failed to reach the latent demand

of their target c!stomer, b!t we are able to meet !p those demands. -o it is also an

opport!nity.

Threat in terms of 0ents "aoon:

'e are charging a premi!m price for hair c!tting, shaving and facial b!t only in this

sector o!r competitors charging lower then !s, so there is a possibility for o!r competitorsgrabbing o!r mar#et share. -o we can lose o!r mar#et share.

"trengths in terms Beaut' (aror 54oman6:

7or bea!ty parlor we have another department and for that department we have s#illed

and well #nown bea!tician who ta#e over the whole process. This is the first bea!ty

parlor in Chittagong that is going to offer s#in care treatment.

4ea/ness "trengths in terms Beaut' (aror54oman6:

7or technology and maintenance cost we are bo!nd to charge premi!m price. ere it is

necessary to maintain that we are targeting the people who are able and willing to pay the

premi!m price for the premi!m service.

((ortunit' "trengths in terms Beaut' (aror54oman6:

'e are the first shop in Chittagong that is providing both +arber shop 3gents5 and +ea!ty

parlor 3ladies5 together. /n the other hand o!r competitors offering j!st for the ladies.

Threat "trengths in terms Beaut' (aror 54oman6:

Business Plan 0?


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Trend Castle

'e have many competitors in this sector they can grab the c!stomer from !s beca!se we

are charging higher price.

S"mmary o' S29T analysis

Strengt#:

!ocation:

'e havedecided that o!r barber shop and bea!ty parlor is located in the heart of the city

which is G.E.C Circle. 4ost of the higher class people 3indicating higher income gro!p5

live in that place or may be near of that place and come there for different reasons.

+eca!se most of the posh areas li#e asirbad ho!sing society, Dh!lshi 9), /.9 ni2am

road, are sit!ated near G.E.C circle. -o it is easy for them to come to !s fre"!ently.

Skilled +mployees:

'e have hired the most s#illed and trained employees 3i.e. +arbers, hair stylist and

bea!tician5 to deliver service, and we have hired a specialist for every department and

most of o!r emplyees has got a diploma from Indias well #nown !niversity of hair

styling and cosmetology. )nd those e*perts can help o!r local employees to deliver

"!ality service.

Tec#nology:

'e have imported the instr!ments which can #eep pace the new technology. )nd we !se

this for hair dying, air transplantation, hair styling, hair c!tting. -o that we will be able

to meet all the demands3incl!ding latent demand5 of o!r target c!stomers.

Storing - & &epartment:

Business Plan 0A


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Trend Castle

/!r management gives more importance abo!t the needs and wants of the c!stomer. 'e

have arranged a department for c!stomer complaints and s!ggestions. )nd this indicates

that we have a strong 9 8 1 department.

$"stomer service:

1!ring the r!sh ho!r we are also able to provide the same "!ality of service beca!se we

have a good n!mber of trained employees. 'e have also arrange TH, news paper,

maga2ine and m!sic for the c!stomer so that the c!stomer do not feel bored if they have

to wait for some time.

2eakness:

)rand recognition:

In o!r c!lt!re people really dont care abo!t the brand recognition of barber shop and

bea!ty parlor. There are some people who are loyal to some saloon and bea!ty parlor b!t

not in a sense of a brand.

=aintenance cost:

)s we have mentioned that we have new instr!ment so the maintenance cost of this

instr!ment is very high.

9pport"nityB

8o direct competitors:

In Chittagong we have no direct competitors in the mar#et so we can easily grab the

mar#et share in both departments.

$#ange in c"lt"reB

)s a standard of living is increasing day by day and changes in c!lt!re is ta#ing place and

it is more li#ely that people will consider brand even for barber shop and bea!ty parlor.

-o it indicates that the c!stomer will come to !s fre"!ently.

T#reat:

Business Plan 0


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Trend Castle

8e% competitors: -ervice can be easily copied. )nd as there are no entry barriers in

entering the mar#et, the potential competitors can easily access to the mar#et and grab the

mar#et share of !s.

+conomy &epression: 1!ring the time of inflation o!r b!siness will face problembeca!se we are charging high price. +eca!se in time of inflation the cons!mers

p!rchasing power will decrease. )nd then it will be diffic!lt for !s to s!rvive.

Part 9 Risk Analysis

Trend Castle is a service oriented b!siness. )nd its diffic!lt to protect the prod!cts and

services from the competitors. )s there is low entry barriers, potential and e*isting

competitors can easily copy the offered the services. )s a res!lt Trend Castle will looseits c!stomer. There are also related ris#s associated with this b!siness. )ll the estimated

ris#s are described below.

*. T#reat 'orm t#e competitors:It is diffic!lt to protect anyones offered services

from its direct and indirect competitors. )s Trend Castle is a combination of both

barber shop and bea!ty parlor. Its offered services can be copied and offered by

any competitors. )nd most of all in +angladesh, following s!ccessf!l b!siness is

a great problem. -o when the competitors find that d!e to its innovative offering

of Trend Castle is boosting its sales, they can easily offer those services in the

ne*t day to cope !p with the competition as well as to capt!re new c!stomer

gro!p.

,. !o% +ntry )arriers:it is another ris# which is associated with Trend Castle. )s

Trend Castle is considered as a small b!siness. The entry barrier is low. )s a

res!lt new competitors can enter the mar#et any time with better services and it

will heat !p the competition in to this ind!stry. This will drive Trend Castle to

lower its price or contin!o!s innovation to cope !p with the competition.

3. !ack o' "ali'ied )arber and )ea"tician: In +angladesh there are lots of

e*perienced barber and bea!tician, b!t it is diffic!lt to find s!itable amo!nt of

Business Plan 6&


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Trend Castle

barber who has eno!gh ed!cational bac#gro!nd in this field. )s well as they hold

vary less amo!nt of information abo!t r!nning trend and fashion. Trend Castle is

charging a premi!m price for its services, so obvio!sly the cons!mer will desire a

higher val!e with the services they get. -o Trend Castle need to different its

employees form others. +eca!se these e*pected services of the cons!mer will be

delivered by these barber and bea!tician.

S"ggested Strategies to 9vercome t#ese -ISS

*. Service &evelopment:It is the creation of new or improved prod!cts to replace

e*isting ones. Trend Castle can develop its offered services after a specific time

period. The help of technological improvement can give a better advantage to

Trend Castle to innovate or develop its services. )s a res!lt the imitation from the

competitors will have less effect on the b!siness.

,. Prod"ct or Service Proli'eration:4any companies seldom !se j!st one prod!ct.

4ost commonly, they prod!ce a range of prod!cts aimed at different mar#et

segments so that they have broad prod!ct lines. +!t to diminish the threat of entry,

Trend Castle can e*pand the range of prod!cts it ma#es to fill a wide variety of

niches. -!ch e*pansion creates a barrier to entry beca!se potential competitors

find it harder to brea# into an ind!stry in which all the niches are filled.

3. $"stomer -esponsiveness:To achieve s!perior c!stomer responsiveness, Trend

Castle needs to do better job than competitors of identifying and satisfying the

needs of its c!stomers. C!stomers then place more val!e on its services, which

will lead to create a differentiation based competitive advantage. In other words,

achieving s!perior "!ality and innovation are an integral part of achieving

s!perior c!stomer responsiveness. )nother factor Trend Castle need to consider

achieving s!perior c!stomer responsiveness is to c!stomi2e services to the !ni"!e

demands of individ!al c!stomers or c!stomers gro!p. +esides "!ality and

c!stomi2ation another so!rces of enhanced c!stomer responsiveness are s!perior

design, after sales service and s!pport. These entire factors enhance c!stomer

Business Plan 6$


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Trend Castle

responsiveness and allow Trend Castle to differentiate itself from its competitors.

In t!rn differentiation enables Trend Castle to b!ild brand loyalty and to charge a

premi!m price for its services.

4. Improve +mployee Prod"ctivity: Trend Castle might improve the prod!ctivityof its employee which enables the b!siness to achieve costbased competitive

advantage.

5. &etermining t#e 8eed 'or $#ange: when the competitors of Trend Castle

introd!ce a service that is clearly s!perior, Trend Castle then need to change there

strategy. The managers of Trend Castle also need to identify the gap between

desired company performance and act!al company performance. sing meas!res

s!ch as a decline in profitability, 9/I or mar#et share ass indicators that change is

neededM managers can start loo#ing for the so!rce of the problem. To discover it,

they can cond!ct a -'/T analysis.

/. ie% t#e +mployee as a $"stomer: The c!stomer will loo# the employee as the

company. -o if the employees of Trend Castle fail to deliver a "!ality services

then the c!stomer will blame the company. -o the first job of Trend Castle is to

treat the employees as its c!stomer, beca!se when the employee can find that the

company is satisfying their needs and wants then they will also try to satisfy the

c!stomer needs and wants.

E. Train t#e +mployees:7inding a "!alified employee 3barber and bea!tician5 is a

great problem for Trend Castle. /n the other hand hiring barber form o!tside

+angladesh will also increase the cost. -o to overcome this problem Trend Castle

can train the barbers tho!gh an e*pert person. 'hich will improve the ability of

the barbers and bea!tician and it will also develop a sense of belongings among

the employees.

Business Plan 6(


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Trend Castle

Part 10 Financial Plan

Trend $astle

Income StatementFor t#e year ended 37 J"ne; ,774.

Partic"lars Amo"nt

-ales

0(19perating +DpanseB-elling E*panseB

-ales promotion

0(1 Administrative eDpanseB

/ffice salary

Ins!rance premi!m

tilities/fficer salary

-tationary and s!pplies

35 /thers e*pansesB

Interest on ban# loan

$(>&&&

(6&&& (&&&&

(&&&&&

$$0>&&&

$A&&&&

%&&&&&

et income before income ta*

35 Income ta*

$&?&A&&&

6(A0(&

Business Plan 60


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Trend Castle

et income after income ta* *7,EB/67

Trend $astle

)alance S#eetFor t#e year ended 3* &ecember; ,775

Partic"lars Amo"nt

$"rrent Assets:

Cash 8 cash e"!ivalent

Inventories

0$&&&&&

%&&&&

Total c"rrent Assets

!ong Term Investment:

1eposited in ban# for % years

Property plant and eA&

Business Plan 66


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Trend Castle

Income ta* payable 6(A0(&

Total c"rrent liabilities *7*57777

$apital )"dgeting

E*pected ret!rnK et Income N 1epreciation

ear 8et income &eprecation +- $+-

$ $&(?>A& $&&&&& $&0?>A& $&0?>A&

( $&0?>A& $&&&&& $&6?>A& (&A%0>&

Payback period K ear be'ore '"ll recovery L n(recovered

K , L 4/,73,7 > ,765B3/7

K ,.,, ears

Business Plan 6%


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Trend Castle

Part 11 Conclusion

'e have prepared this report for introd!cing a new firm called Trend Castle. This is the

report assigned to !s by o!r co!rse instr!ctor. It has helped !s to #now and !nderstand

what we will do when we are going to establish a new firm or company. )nd this analysis

aided !s to learn the indepth of +!siness.

/n completing o!r report we can concl!de that o!r firm will change the attit!de towards

the concept of +arber shop and +ea!ty parlor. owever the company is performing on

average good.

/!r firm sho!ld try to enhance the economic health of the organi2ation for its overall

betterment.

Business Plan 6>


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Trend Castle

Part 12 Appendix

+oo#B

business plan: salon

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