nang le' nom company

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Nang L NomCompany


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PROJECT FEASIBILITY STUDY AND EVALUATION

Nang L NomCompany


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Nang L Nom Company

Company owner:

Hameeda Sriwichai Accounting/Financial Manager

Nungruthai Totansombut Human Resource Manager

Priyanuch Phongpakdeesakul General Manage

Ruttiya Wonglungka Operation Manager

Sukumal Pattamasevee Marketing Manager

Company:

Pattana Project, Suthep Road, Moo 14Soi Moo Barn Mai Lang More Chore,50200


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I

PrefaceThe main aim of this project is focus on analyzing the methods and techniques

useful in different facts of capital budgeting. Adding about it discusses strategic,

qualitative, and organizational considerations which impinge on capital budgeting

decisions. For during this project, we can improve and apply the knowledge for solving

and analyzing the situation of project to be feasible more that we can evaluate and

analyze the management. So our knowledge on management can enhance to be more the

chance given to us to do this project. That we can get more experiences when we did

this project and we can apply the knowledge for using in the real life.

We would like to express for thanks to this project for giving us the opportunityto do this project. It is the challenge for us to solve and analyze the project problem. In

particular, we have really appreciated the help of Mr. Chaiyawat Thongintr who was

expert on this project that he can be the adviser until our project finished. And we thank

another instructor in School of Management to advise some suggestion for this project.

The project could not have been undertaken without the expensive aid of

member group who attend to do this project for helping and solving the problem

together, so everyone in member group are important force to do the project.

Finally, once again, we want to extend our thanks to all the people who made

this project possible

Kind regards,

February, 18 2010

Hameeda SriwichaiNungruthai Totansombut

Priyanuch Phongpakdeesakul

Ruttiya Wonglungka

Sukumal Pattamasevee


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Management summary

Nowadays, milk shop businesses are growth continuously and also milk a

necessary thing for people who emphasize on their own health and people who love to

drink milk. In other hand, numbers of people who consume milk are increasing every

year, so, this is the reason why we selected to do milk shop business. Our company was

registered to be the company limited under the name of Nang L Nom. The company

was established by five partnerships. Nang L Nom located on Suthep Road, Moo 14

Soi Moo Barn Mai Lang More Chore, Chiang Mai Province. We emphasize on the

location which is easy to access and quite well know location of our target market.

Nang L Nom is not only milk shop but we also adding fish spa business

together within the same shop. The reason why we mixed 2 difference business together

is fish spa is the newest trend of spa that customer have not to pay a lot of money for

this service like other kinds of spa. Another word is customers can use fish spa service

with cheaper than generally massage spa. For product& service, company provides milk

product, refreshment and fish spa that we set the reasonable price to suit with our target

group. We will launch promotion in some period of time to promote and advertise ourshop to increase sales. So, we still create a new menu to be the competitive advantage to

compete with another competitor. About target group, we emphasize on university

students who are our main target market because these group is the most volume who

we want to serve the most. Second, we focus on students who studied on high school.

Worker and others are also our target market. There are 4 main competitors of Nang Le

Nom; Mon nom sod, Milk garden, Milk zone, and Diary farm. Those we must compete

with them because they have opened their business for a long time and people in Chiang

Mai are quite loyalty with them. So, we also have to compete with our indirect

competitors both milk shop and fish spa.

Moreover, company invests milk shop business by loaning money from the bank

for 3,000,000 baht in 3 years, so the investor will get 24.8% of interest. In financial part,

our sale increase every year. It is good news for other people who might interest to

invest in our business and we will be partnership. Finally, we can make sure that our

market share will be increasing every year.


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IV

3.4.3 Calculation .......................................................... ........................................................... .......... 58 3.5 MARKETING EXPENSE ....................................................................................................................... 60

3.5.1 Advertising on local radio ........................................................................................................ 60 3.5.2 Advertising on website ................................................... ........................................................... 60

3.5.3 Advertising on Chiang Mai magazine .......................................................... ............................. 60 3.6 CONCLUSION ..................................................................................................................................... 63

Chapter 4 Technical Feasibility Study .......................................................................64

4.1 PRODUCT AND OPERATION ANALYSIS ........................................................ ....................................... 64 4.1.1 Product Characteristics ........................................................... ................................................. 64 4.1.2 Production/Services Process ..................... ........................................................... .................... 73 4.1.3. Location .................................................................................. ............................................... 105 4.1.4 Facility Layout ..................................................... ........................................................... ........ 106 4.1.5 Facility management............................................ ........................................................... ........ 110 4.1.6 Equipment and tools .................................. ........................................................... .................. 114

4.2 COST OF INVESTMENT ..................................................................................................................... 114 4.2.1 Pre-Operating cost ........................................................ ......................................................... 114

4.3 INVESTMENT COST .......................................................................................................................... 115 4.3.1 Interior decoration ......................................................... ......................................................... 115 4.3.2 Equipment .................................................................................................... ........................... 116 4.3.3 Tool .................................................. ............................................................ ........................... 117

4.4 OPERATING COST ............................................................................................................................ 127 Raw material cost ................................................................... ......................................................... 127 Overhead ......................................................................................................................................... 134

4.5 ADMINISTRATION COST ................................................................................................................... 135 Rent fee ............................................................................................. ............................................... 135 Salary ........................................................ ............................................................ ........................... 135

Electricity......................................................................................................................................... 135 Water supply cost .......................................................... ........................................................... ........ 136 Telephone cost and internet fee ....................................................................................................... 136 Garbage cost ....................................................... ........................................................... .................. 136 Fish spa service fee ....................................................... ........................................................... ........ 136

Label fee .......................................................................................................................................... 136 Insurance against loss ..................................................................................................................... 136 Car act fee ....................................................................................................................................... 136

Automobile tax ...................................................................................................... ........................... 136 Other expense ................................................................................... ............................................... 137

4.7 MANAGEMENT ANALYSIS ................................................................................................................ 143 Organization Chart ....................................................... ........................................................... ........ 143

4.8 CONCLUSION ................................................................................................................................... 145

Chapter 5 Financial Analysis ....................................................................................150

5.1 FIX LOAN STRUCTURE SETTING ........................................................ ............................................... 150 5.2 PROFIT / LOSS STATEMENT ................................................................................................................ 152 5.3 CASH FLOW STATEMENT ................................................................................................................. 157 5.4 BALANCE SHEET ............................................................................................................................. 162 5.5 PAY BACK PERIOD ........................................................................................................................... 167 5.6 NPV AND IRR .................................................... ........................................................... .................. 169


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Chapter 6 Risk Analysis .............................................................................................170

6.1 RISK MANAGEMENT ANALYSIS ......................................................... ............................................... 170 6.1.1Competitor risk ................................................................................... ..................................... 170 6.1.2 External risk............................................................................................................................ 170 6.1.3Internal risk .......................................................... ........................................................... ........ 171

6.2 FINANCIAL RISK .............................................................................................................................. 172 6.2.1 Risk of sale decrease between 10%, 20%, 30%, 40% and 50% ..................................... ........ 172

Chapter 7 Summary ...................................................................................................174

7.1 PROJECT OBJECTIVES ...................................................................................................................... 174 7.2 BENEFITS OF PROJECT ..................................................................................................................... 174 7.3 HISTORY OF BUSINESS .................................................................................................................... 174 7.4 ANALYSIS OF MARKETING MILK ....................................................... ............................................... 175 7.3 ANALYSIS OF MARKETING SPA ......................................................... ............................................... 176 7.4 ANALYSIS OF MARKETING MILK SHOP ........................................................ ..................................... 177

7.4.1 Milk Club ................................................................................. ............................................... 177 7.4.2 Milk shop ................................................................................................................................ 177 7.4.3 Nom R-romdee ..................................................... ........................................................... ........ 177 7.4.4 Mon Nom Sod ......................................................................................................................... 177 7.4.5 Puang sod .................................................. ........................................................... .................. 178 7.4.6 Fremmy Milk & Whipping Cream ..................................................... ..................................... 178

7.5 PROBLEM OF MARKETING ............................................................................................................... 178 7.6 TECHNICAL FEASIBILITY STUDY ...................................................... ............................................... 179

7.6.1 Location ................................................................................... ............................................... 179 7.6.2 Lay out ..................................................................................... ............................................... 179 7.7 Investment cost........................................................................................................................... 180 - Interior decoration .................................................... ........................................................... ........ 180 - Equipment...................................................................................................................................... 181 - Tool ............................................................................................................................................... 182

7.7 MANAGEMENT ANALYSIS ................................................................................................................ 184 Administration cost ............................................................................................... ........................... 184

7.8 FINANCIAL ANALYSIS ...................................................................................................................... 186 7. 9 RISK ANALYSIS SUMMARY ............................................................................................................ 186

Reference ......................................................................................................................187

Appendix ......................................................................................................................189

Internal interior ................................................................................ ............................................... 189 Profit and loss decrease in sale 10% (Year 1-5) .............................. ............................................... 190 Pay back period decrease in sale 10% % (Year 1-5)....................................................................... 191 Profit and loss decrease in sale 20% (Year 1-5) .............................. ............................................... 191 Pay back period decrease in sale 20% (Year 1-5) ......................................................... .................. 191 Profit and loss decrease in sale 30% (Year 1-5) .............................. ............................................... 192 Pay back period decrease in sale 30% (Year 1-5) ......................................................... .................. 192 Profit and loss decrease in sale 40% (Year 1-5) .............................. ............................................... 193 Pay back period decrease in sale 40% (Year 1-5) ......................................................... .................. 193 Profit and loss decrease in sale 50% (Year 1-5) .............................. ............................................... 194 Pay back period decrease in sale 50% (Year 1-5) ......................................................... .................. 194 Profit and loss increase in sale 10% (Year 1-5) .............................................................................. 195 Pay back period increase in sale 10% (Year 1-5) ........................................................................... 195


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Figure 4.11: Fish spa ...................................................................................................... 71

Figure 4.12: Watermelon juice ....................................................................................... 76

Figure 4.13: Banana juice ............................................................................................... 76Figure 4.14: Orange juice ............................................................................................... 77

Figure 4.15: Pineapple juice ........................................................................................... 78

Figure 4.16: Raspberry juice .......................................................................................... 79

Figure 4.17: Watermelon Smoothies .............................................................................. 80

Figure 4.18: Blueberry Smoothies .................................................................................. 81

Figure 4.19: Raspberry Smoothies ................................................................................. 82

Figure 4.20: Strawberry Smoothies ................................................................................ 83

Figure 4.21: Fry Dumpling menu ................................................................................... 84

Figure 4.22: Fry Dumpling menu ................................................................................... 85

Figure 4.23: Tem pura menu .......................................................................................... 85

Figure 4.24: Fry Hot dog menu ...................................................................................... 86

Figure 4.25: Vegetable Sprit roll menu .......................................................................... 87

Figure 4.26: Moo Tod Sa Lonk menu ............................................................................ 88

Figure 4.27: Nong Nang Hum Sabai menu .................................................................... 89

Figure 4.28: Ka num puang nah moo menu ................................................................... 89

Figure 4.29: Kaew Sa menu .......................................................................................... 91

Figure 4.30: French Fries menu ...................................................................................... 92

Figure 4.31: Nacket menu .............................................................................................. 93

Figure 4.32: Brownie menu ............................................................................................ 94

Figure 4.33: Pancake menu ............................................................................................ 95

Figure 4.34: Waffle menu ............................................................................................... 96

Figure 4.35: Bread with yam menu ................................................................................ 97

Figure 4.36: Bread with condensed milk menu .............................................................. 98


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Figure 4.37: Bread with sugar menu .............................................................................. 98

Figure 4.38: Bread with sugar and condensed milk menu ............................................. 99

Figure 4.39 Bread with condensed milk and coco menu .............................................. 100Figure 4.40: Sunk Ka Ya Baitoey menu ....................................................................... 101

Figure 4.41: Sunk Ka Ya Taro menu ............................................................................ 102

Figure 4.42: Sung Ka Ya Pumpkin menu ..................................................................... 103

Figure 4.43: Salad cream-Mayonach menu menu ........................................................ 104

Figure 4.44: location ..................................................................................................... 105

Figure 4.45: First floor format ...................................................................................... 106

Figure 4.46: Second floor format ................................................................................. 107

Figure 4.47: Organization Chart ................................................................................... 143

Figure 4.48: Graph of profit and loss statement Year 1 ............................................... 145





Figure 4.53: Cash Flow statement Year 1-5 ................................................................. 148

Figure 4.54: Balance Sheet Year 1-5 ............................................................................ 149

Figure 7.1: First floor format ........................................................................................ 179

Figure 7.2: Second floor format ................................................................................... 180


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Content of Table

Table 1.1: Time frame work ............................................................................................. 4

Table 2.1: Fresh milk and consumption milk ................................................................. 10

Table 3.1: Fresh milk and consumption milk ................................................................. 30

Table 3.2: Number of population who are at least 15 years old, it can divide by thedegree of graduated education and gender. .................................................................... 41

Table 3.3: Numbers of population divide by labor situation and gender. ...................... 42

Table3.4: Customer analysis matrix ............................................................................... 44

Table 3.5: Selecting target .............................................................................................. 47

Table 3.6: Milk beverage product and Price................................................................... 50

Table 3.7: Price of refreshment ...................................................................................... 51

Table 3.8: Price in the general market ............................................................................ 53

Table 3.9: Forecast Year 1- 5 ......................................................................................... 59

Table 3.10: Advertising Expense Year 1-5 .................................................................... 61Table 4.1: Rate of electricity fee .................................................................................. 110

Table 4.2: Water supply cost ........................................................................................ 112

Table 4.3: Water supply rate......................................................................................... 113

Table4.4: Per-operation cost ......................................................................................... 115

Table 4.5: Interior decoration ....................................................................................... 115

Table 4.6: Equipment ................................................................................................... 116

Table 4.7: Tool ............................................................................................................. 117

Table 4.8: Equipment Depreciation .............................................................................. 120

Table 4.9: Tool Depreciation ........................................................................................ 125

Table 4.10: Cost of raw material of milk product ........................................................ 128

Table 4.11: Cost of fuels .............................................................................................. 134


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PROJECT FEASIBILITY STUDY AND EVALUATION: CHAPTER 1

1

Chapter 1Introduction

Although the economies are good or not, we can observe that food and

beverage business group can be grow continuously. The reason is food and beverage is

the main factors which is necessary for human being to support life. Milk is one kind of

beverage, fresh milk business which is very important and entrepreneur should not be

overlook of the business. Because in the present drink fresh milk trend are quite

popular for Thai people especially for teenager tills beginning of adult age and people

take care more about their healthy. Although, milk which is produce and collect from

Thailand are good quality, so Thai people can believe and be confident that we will get

fresh milk and worth milk that can compare with other countries. Fresh milk that collect

from Thais farm not only have good quality but Thai farmer can collect for very big lot

per day to support Thai people who like fresh milk and take care their health.

There are a lot of farmers who feed a cow in Thailand and also they can collect a

lot of milk per day. Sometimes Thailand have problem about exceed of fresh milk per

day but there are not enough consumers who want that milk. Government still cannot

solve this problem because there are too much of product but lack of customersthen

government engage in a campaign of who is the one you love, let them drink milk

(Rak Krai Hai Deum Nom ). This campaign can help farmers to buy their milk and

facilitate Thai people to take care themselves and concern about their healthy.

Milk consist of calcium and protein and it can help bone to be growth and

stronger. Milk is very important for kids especially children who are age before entered

to teenager and teenager because tat interval of age is the fast growth of humans body.Calcium help children to have more density mass of bone then it help to stretch bone of

teenager. Calcium also help o reduce the risk of caries and about teeth. Pro. Pipop Jirap

inyo said that drinking fresh milk is not strict only children but adult and elder person

should be drink milk because thing that body need in each day with high volume. The

most important source that collects calcium for people is our bone which body can use

calcium form bone. Therefore we can estimate that if people get not enough calcium per

day, the result is our bone will lose calcium for substitute and finally the bone will


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decline especially when people get old. If we usually drink milk, it can help to add up

calcium everyday and our body unnecessary to use calcium forms the bone because we

already have enough calcium to spend each day. In fact, the result form drink mild for

Tai people in this generation is height. We can see that most of children who always

drink milk will be taller than their parent. For adult who usually drink milk, the result is

an illness about bones will decline.

In the present, teenager care much about their health and looking. Mostly

teenagers are student and student needs some value from milk to help their brains and

their group. So, almost students drink milk although they study in high school or

university or wherever. For these reason, Milk is the main factor that we concern and

see the opportunity from it. We decided to do the business about fresh milk to support

need and want of students as a whole and guide some student to drink milk instead of

drink Visky or alcohol or something about these. There are quite a lot of student go to

pub and bar and drink alcohol at least once a week, they not concern about their health.

But also most of student love to drink milk and talk or do some activity with their, some

student ask their sweetheart to drink milk together. The student who drink alcohol also

drink milk follow the trend of their friend but student who are not drink alcohol in

general---still say no to alcohol. So, it is possible that all students who study closely or

not far a way form our fresh milk sop are the customers of our fresh milk business.

Every component of business is equally important for example location, test,

service, atmospheres of shop, decoration, price, and convenient. That is why we chooses

to locate our milk sop in Chiang Mai where is closely with place that have many of

students. There is too much student in Chiang Mai and they are group together when

they go shopping, traveling, and restaurant. The place where group of student go foreating should be have relax atmospheres and the price not so high compare with

students budget. We thing Chiang Mai is most appropriate place for us to locate our

milk shop.


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1.1 Project Objectives

This general objective can be divided to 2 specific objectives that wouldtogether achieve that overall goal of the project as follow;

1. Learn about the feasibility for investing the milk and fish spa shop in ChiangMai.

2. Analyze the feasibility of the milk and fish spa shop such as marketing,processing, and financing.

1.2 Benefits of Project

1. Know the process, plan and structure when doing business in real situation.

2. The project can apply the knowledge to do business in the real life.

3. Be acquainted with the problem of situation and the solution when doing business.

4. Capability to analyze finance in the real situations.

5. In able to analyze marketing situations.


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Chapter 2Industry Profile

2.1 Milk shop in Thailand

2.1.1 Milk Club

Figure 2.1: Milk club

It located on the centre of city that near Changkamworawihans relic of the Buddha or

it opposites Koomjaoratchapud, Nan province. It is famous shop that having relaxed

atmosphere with song for customer feel happiness. About their product is the famous that it is

Prayaojods smoothie milk. The owner of the shop will offer to customer. There are menus to

choose for eating and the price is not expensive. They have adding menu on local foods such

as shrimp paste and chili sauce, pork cracklings, papaya salad, etc. The style shop will bring

architecture and art style to mix together. The shop will sell Art book to attract the customer.

The shop has 2 floors, in 2nd floor it is quite atmosphere. It is own style for everyone who

loves architecture and art style. Milk club serves all target markets which it is all genders and

all ages. So about the song style they provide Indy style and soft rock style for feeling

relaxing when the customer came to serve MilkClub.(http://www.moohin.com/trips/nan/milk-

club/ )


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2.1.2 Milk shop

Figure 2.2: Milk shop

It located near Central Airport Plaza in Chiang Mai province. The atmosphere in this

shop is relaxing that having a big soft sofa consist with a cold air conditioner. This shop will

serve free Wi-Fi for customer. The price of product is not expensive. Milk shop provides the

modern style mix to classic style together have a good atmosphere and relaxing for enjoy the

shop.(http://www.lumlum.com/mambo/index.php?option=com_content&task=view&id=136

&Itemid=47)

2.1.3 Nom R-romdee

Figure 2.3: Nom R-romdee

It located on Aummad Road that near KFC, Baan Pai. It is a good in trend for

everyone whose are families. For it is in trend for the taste and colors of foods and drinking.

The shop offers R-romdees refreshment, yumsaraikeawrosdad, ka-reetaroolbon and for the

drinking they offer raw coco and nomsodpookaofai, etc.( www.khonbanphai.com .html)


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2.1.4 Mon Nom Sod

Figure 2.4: Mon Nom Sod

It located on Dinsor road that live in Bangkok City Hall. It is a famous shop in

Bangkok. It is many branches such as Chiang Mai branch and Pratumwan princess hotel

branch. Mon Nom Sod is the shop that sells fresh milk, coffee, and Bread with Sung Ka Ya

which it has opened for more than 40 years since year 1964 to the present. It began to be

wheel-chair selling fresh milk, coffee, and breads to people who live in Bangkok City Hall.

The famous menu it is fresh milk and bread with chocolate. The special menu of this shop isbread with chocolate. Adding they will have homemade ice-cream to attract the customer that

having many tastes such as coconut cream, taro, durian, ect ( www. Yourheathyguide.com)


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2.1.5 Puang sod

Figure 2.5: Puang sod

It is a new coffee shop that having slogan as following; you can see this notice, it willhave the delicious and every glasses will make from real fresh milk. It can expand the

branches continuously and have more 300 branches in the present. Puang Sod Shop will

cover to find the equipments, supply chain, raw material with being consultant for people

who are looking to do a small business that it can do together with their work. The shop they

provide training for practical about technique to making drinking, technique to selling consist

with preparing the raw material for selling milk.( www.thaifranchisecenter.com )

2.1.6 Fremmy Milk & Whipping Cream

Figure 2.6: Fremmy Milk & Whipping Cream

It is the milk shop to response from market in the high level and having to

expand the branches continuously. The shop will sell fresh milk and bread with Sung Ka Ya.

About the shop,it begin to create a branch by using the nickname of Fremmy. It creates to sell

from a week-end market then change to sell franchise and improve it continuously. About the

product, they have smoothy fresh milk for 23 tastes and coffee have 7 tastes and using

whipping cream to create the delicious for their product and it is the positioning of them.

(www.thaifranchisecenter.com)


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2.1.7 Consuming milk

From all producing the quantity of drinking milk and the number of population in

Thailand can estimate that in year 2005, Thai people consumed milk about 13.36 kg to person

to year. It would higher than in year 2004 that have consuming about 12.36 kg to person or itwas higher be 4.67 percent. The result from Supplement School Project and Program to

engage the people consumed milk more. However, the rate of consuming milk on Thai people

lower than other countries such as USA people had the rate of consuming about 250 kg to

person to year and Asian people had the rate of consuming about 40 kg to person to year, etc.

Addition it would have other drinking that come in to share market such as soy milk, green

tea, vegetable juice, fruit juice, etc. So Thailand accelerated people in the country to consume

milk increasing because milk has a high nutrition. Accordingly Thailand had a lower rate of

consumption milk only 1600 million liters per year; approximate 10 liters person/year in

2007. Therefore, Thai people encounter with Osteoporosis in working age and senior. (Thai

Health Promotion Foundation). Professor assistant, Dr. Surasuk Nidkanuwond said that 1:4 of

Thai people do not know the serious impact of Osteoporosis. Currently, Osteoporosis patients

more than 1 million, patients will definitely bond tissue around 35 years old. It will gradually

defeat bond tissue, but in menopause and man in age 50 will increasingly loss bond tissue.

(www. Thaigoodview.com)

Table 2.1: Fresh milk and consumption milk

Detail 2004 2005 2006 2007Quantity of fresh milk (ton) 842,611 888,220 977,042 1,074,746The Chagne of fresh milk (%) 15.1 5.4 10.0 10.0Consumption milk 775,900 899,365 1,040,973 1,197,120The Chagne in consumption milk (%) 13.5 15.9 15.7 15.0Consumption milk (liter/person/year) 12.0 13.8 15.9 18.4

(Referent: Kasikorn research center)


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2.1.7 Information of fish Spa

Brief history

History of Garra RuFa fish

Science name : Garra rufa

Synonym name : Discognathus dotusus, discognathus crenulatus, discognathus rufus, garra

rufa crenulata, garra rufa gymnothrax, garra rufus

Common name : Gara Rufa, Doctor Garra

Origin sourc e: Turkey, Jordan, Ceria, Israel, Iran, Orantas River, and Tikrisufatiss river

basin, etc. In a natural Garra Rufa will live cold water about 15C - 18C temperature but itbegin to bring Garra Rufa to do fish spa. They will change the temperature to be 38C-40C

for a warm comfortable to customers.

Characteristics of Garra Rufa : this fish will have full-growth size to 14 cm but it

will grow very slowly. It will have short body, big head and round it. Garra Rufa will have a

large black stripe on the root of tail. It has small eyes than Garra Sp.

Garra Rufa fish has origin from Turkey. The story can tell that there are Turkey soldercame back to the war with an injury that dry to be a scrap. They will steep the water fall that

have Garra Rufa fish to nibble their injury then an injury was treated. An injury returns to

usual, after that a reputation of Garra Rufa fish begin to know of Japan. Then there are

establishing fish spa in Tokyo and it will expand Garra Rufa fish and breed Garra Rufa fishs

breed to be popular that can bring it to remedy and relaxing. In Japan is famous to use Garra

Rufa fish in do fish spa that it can relaxing and help to eat death cell of foots. It doesnt to

clean by wiping scurf. Fish saliva of breed has enzyme that help to change a rapid cell and it

can eat bacteria that it is the cause to have smell of foods too. Garra Rufa, it will satirize to

foots that it will feel spark vibration same as feel a little electricity stimulate the end of

instruct of foots that it will feel relaxing.

History of Garra Rufa fish in Thailand

Aof is nickname of Mr. Jiramech Yantaraporn. He met fish spa in Japan. He

interested to open it in Thailand. He studied about fish breed the performance of fish more

than one year by there is Jiratean Songrassame. He is partner that begins a expert in aquatic


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animal to invest a business together. He said that at beginning, he try to trial and error to do

fish spa because fish will bring to remedy that have many breeds. Each breed will have same

behavior that suit to remedy. Sample the fish that have behavior to spring, it will not suit to

do fish spa. And the last Garra Rufa fish suit for using in fish spa that it is same fish using in

Japan when doing this business, you must take care about fish breed to remedy. The owner

must take care into the spa to be clean. Every customer must lower foot into same pit. So, fish

spa must install system to curve the water. The owner must use because 4 filter in pit. When

the customers steeped t feet into pit to finished, the employee will wash the foot to clean and

wash it by using soap water against.

Doctor fish is the name given to two species of fish: Garra rufa and Cyprinion

macrostomus . Other nicknames include nibble fish, kangal fish, little dermatologists and

doctorfishen; in non-medical contexts, Garra rufa is called the reddish log sucker. They live

and breed in the outdoor pools of some Turkish spas, where they feed on the skin of patients

with psoriasis. The fish are like comb fishes in that they only consume the affected and dead

areas of the skin, leaving the healthy skin to grow, with the outdoor location of the treatment

bringing beneficial effects. The spas are not meant as a curative treatment option, only as a

temporary alleviation of symptoms, and patients usually revisit the spas every few months.

Some patients have experienced complete cure of psoriasis after repeated treatments, but dueto the unpredictable nature of the disease, which is strongly influenced by endogenous

factors, this may simply be regression towards the mean.

Garra rufa occurs in the river basins of the Northern and Central Middle East, mainly

in Turkey, Syria, Iraq and Iran. It is legally protected from commercial exploitation in Turkey

due to concerns of over harvesting for export. Garra rufa can be kept in an aquarium at

home; while not strictly a "beginner's fish", it is quite hardy. For treatment of skin diseases,

aquarium specimens are not well suited as the skin-feeding behavior fully manifests only

under conditions where the food supply is somewhat scarce and unpredictable.

On Turkish society, spa with its fish was known since 200 last years. However, fish

therapy this was known at Asia, Europe and United States since year 2006. In the early its

find, this fish is suspected as fish flesh eating. At that time, while a galaxy person is at

Kangal's river, Turkey, this fish flocks at do splits them. However, they do not see to do splits

they hurt even they feel their body feel fresher. That is, early it is beginning so this fish iseventual being made one of therapy to cure disease


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Garra rufa - Fish Garra rufas life live in the river at Middle East state as at Turkey,Syria, Iran and Iraq. It has age 4 until 6 years with longing maximal 12 cm. But, fish that isutilized for therapy is fish out one still little which old 36 months, generally has long 1.5 until2 cm. This fish gets life on water with temperature 0 until 43 Celsius's degrees. These uniquefishes are reported to be useful and effective in curing skin diseases. Some even report of effectiveness in joint diseases, muscle trauma, rheumatic and neuralgic disorders.

The fishes that it can use to do fish spa in Thailan d

1. It must be the fishes that living a large group and doesnt big much or too small group:

The first qualification is important because we must choose the fishes to do fish spa,

we wont use only 1 fish. The group of fish, it will have moderate group and doing

fish spa, fishes arent more than 3-4 inch because if the fishes will full-growth, they

will lazy to find a food by sucking the customers foots. It can provide a big size

because the customer will feel fear the fishes.

2. It must have the mouth that can suck and having the characteristic to suck something:

It must suck the dead cell on the customer foots but it doesnt bite. The sucking is

creating the air by using the mouth. We can observe Garra Rufa easier that it is

sucking mouth; it has some tissue of the lip of them. Adding the characteristic of them

can graze because they can suck and graze something in the same times. The main

work of Garra Rufa is removing the dead cell to change being a new cell.

3. It doesnt have the teeths on the jaw: When we did fish spa, we didnt want the Garra

Rufa will bite customer by using the teeth of them. It will affect some accident to be

some wounds that customer can infected from this fishes. We want to use the fishes

that dont have the teeth on the jaw that we called Order Cypriniformes

4. They have a performance coming to suck organ of human: This fishes have many

performances and many species. It depends on many factors such as type of fish, size

of fish, school of fish, age of fish, and following the appropriate environment of living

of fishes.

5. They have treated qualification to be a famous on the global: The qualification of

Garra Rufa can create the enzyme that called dithronol (anthralin). It can treat

psoriasis disease and Garra Rufa has 4 qualifications on above that ready to do fish

spa.


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How does the Garra Rufa fish do it?

Garra Rufa fish gently suck the dead skin of from the outer layer of the body but leave

the under layer skin a side. During the removal of the dead skin, the fish produce an enzyme

that has a vitalizing effect on the new to grow skin. The new skin feels softer and healthier

than before.

The Benefits

Natural exfoliation of dead skin Smoother and healthy glowing skin

with easy moisturizer absorption

Promote blood circulation Micro massage sensation from these little

masseurs Lightening of minor scars

Easing of psoriasis and minor eczema

Release stress and tension Ticklish sensation causing perpetual

laughter!


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2.2 Situation of Industry

2.2.1 Fresh milk

In 2009, the milk industry is shrinking because of entrepreneur face with high cost of

fresh milk in the country and economic continue drop down that start in half year 2008. This

affect to the price of product, so customers concern on saving. In July 2008, the price of oil

and milk increasing is affected to milk product. Although, agriculturist face with high cost of

raw because price of raw material to produce animal feed is increasing, such as; corn,

soybean and garbage of soybean. So government adjusts the price from 14.5 baht per kilo to

18 baht per kilo, the milk industry also increase the price of products. In other hand, country

which export milk products decrease in their production and the price of powdered milk

increasing, so entrepreneurs turn back to use milk in the country. Meanwhile, Office of Agricultural Economics shows up information that 827,252 tons of quantity of fresh milk in

2008 is close to 822,211 tons of quantity of fresh milk in 2007. In 2009, milk products value

will around 32,500 million baht and growth rate of milk products will minus 0-2% compare

with 2-3% of growth rate in 2008. However, the cost of raw material will decrease, but

entrepreneurs still have risk increasing price of fresh milk in the country. Furthermore, the

price of powdered milk in the world decreases, so entrepreneurs switch to use powdered milk.

This make the fresh milk in market is flooding in beginning of 2009. At the same time,entrepreneurs also confront with economic crisis, so purchasing power is shrinking and

combine with adjusting price of milk. These affect decreasing of consumption of milk in

Thailand. January 28 2009, government had set the budget for 2,030 million baht to solve the

flooding fresh milk in market. The project had start in October until November 2009, but the

government cannot solve the problem immediately. However, the milk industry in Thailand

still growing and fresh milk in industry is not enough to produce milk product in country. In

addition, milk product in Thailand need to open the market to import milk under condition of

world trade agreement and free trade agreement between Thailand with Australia and

Thailand with New Zealand. This agreement makes entrepreneurs in Thailand turn to use

powered milk that import from foreign counties (38% of import powdered milk) because

powdered milk is cheaper than fresh milk that produce in country. In other hand,

entrepreneurs still had opportunity because the consumption still grows in the market. The

growing of milk industry depend on marketing promote about health care trend. Because milk

is a beverage that benefit to the body and consumption of milk in Thailand lower than 20 lit

per person per year. This factor will help to expand the market in Thailand.


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2.2.2 Spa industry

Thai Spa Industry in 2009

Thailands spa industry continues to evolve with the changing needs of spa clientele,

environmental pressures and economic realities to a focus not far removed from the ancientpurpose of traditional Thai massage and herbal healing techniques that of restoring well-

being. Thailands spa industry has certainly matured, according to Andrew Jacka, President

of the Thai Spa Association. There is more mindfulness that while our industry may well be

based on luxury pampering, we are in fact part of a bigger health care industry, he says.

Maintaining well-being through a better balance of the body, mind and spirit, as well as with

the environment, has become the key protocol for Thailands many award-winning spas and

emerging ventures. It is also the major thrust in a government master plan to establish thecountry as a medical hub but one that also prominently features traditional and alternative

treatments. Retreats, alternative therapies, personal consultation, life coaching, meditation,

yoga, pilates and physiotherapy, along with healthy eating and detoxing, have joined the

menus of more standard treatments around the world comprising scrubs, facials, massages

and water treatments. Despite the need to blend with Western practices, the Thai spa

industrys edge is its ancient heritage: the rituals, treatments and massage techniques that

have survived down through the ages. It has an authenticity that spas elsewhere in the world

look to replicate. In fact, Thainess has become a significant selling point. Thainess refers to

both the therapists and the cultural qualities that have made Thailand the spa capital of the

Asia-Pacific region and a must-have component for spas all around the world. While it can

mean different things to different people, when applied to Thai therapists Thainess seems to

encompass ancient healing techniques, folk wisdom in its rituals and, perhaps above all, an

impossible-to-copy graciousness.

Global Trend affecting Thailand

Globally, spa tourists give high priority to achieving a pronounced sense of wellness

and getting good value for money. Many also want to enjoy an authentic cultural dimension

with the rituals, special herbs and oils and natural environments. People generally are placing

greater importance on staying healthy and preventing illness. Going to a spa is no longer

regarded as an indulgence but a necessity part of a prevention regimen, and a way to

rejuvenate and cope with the world. Energy medicine is a world trend embracing Thailand. It

includes reiki, qi gong, chakra balancing, healing touch, acupuncture and magnetic, light andsound therapies, and focuses on clearing imbalances in the bodys energy field to promote


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healing. The growth of Asias spa culture has been quite dramatic, and will continue. The

Thai massage experience, with its techniques for stretching joints and muscles whilst pressing

meridian points, is regarded by some professional Western therapists as the most perfectly

choreographed treatment. With origins dating back 2,500 years, Thai massage is a deep, full-

body natural and holistic treatment that incorporates hatha yoga, acupressure and reflexology

to restore energy flows and sustain good health and well-being. In the true cultural ritual,

Thai massage is accompanied with traditional Thai herbal healing techniques.

Environmentally friendly spa facilities are becoming less of a gimmick in Thailand

and more of a way of business as more spa tourists concentrate on reducing both their stress

and their carbon footprints. Superficial green gestures dont cut it these days. Mindful

spending is another global trend affecting Thailands industry. Spa tourists are looking for

value with tangible results in the form of day-captions and spa-captions to make quality

use of holiday time. A growth in the number of spas to be found in three- and four-star hotels

is expected. People who want to age gracefully without recourse to plastic surgery often view

spa treatments as soft surgery. Customers are pairing up; more couples and groups (mothers

and daughters, fathers and sons, girlfriends and pregnant women) are looking for package

treatments. Emotional counseling is becoming the norm as spa resorts bring in specialists to

help clients learn more about their emotional selves and their relationships. People want theculturally authentic spa experience which Thailand can deliver. This is why it is held in such

high regard around the world even though the Thai industry actually represents only two per

cent of all the worlds spas. Younger consumers the Gen Y are coming to spas. They

are environmentally responsible, ethnically diverse, have no brand loyalty and want high

technology to achieve results. While Thailand remains more personal or high touch, there

will be significant development in the coming years to achieve more of a balance between

high tech and high touch in all types of facilities. For now, high tech equipment is still mostlyfound in medical spas.

Industries statistic

Thai spa industry had been growing at rates in excess of 20 per cent for many years.

As a relatively mature industry, it was therefore expected to slow significantly, and with the

decline in foreign arrivals has actually experienced negative growth. This has been reversing

and recent estimates for 2010 are projecting growth again of about six per cent. New spas areopening, and continued single digit seems likely for some years to come. It is now some 17


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years since the first spa appeared in the kingdom, and according to the Global Spa Summit,

two per cent of all spas in the world are found in Thailand giving it a ranking of 14th. The

Thai spa industry ranks seventh in terms of the numbers employed, and 18th in terms of gross

revenues.

Most of Thailands classic spas, which continue to improve as they age and always

get favorite ratings from readers in the Cond Nast Traveler award lists, date back to the

industrys early years in the 1990s. Thai spas boomed in 2002, when the industry grew by

nearly two-thirds and achieved a top-five world rating. According to the Intelligent Spas 2002

Thailand Spa Report, Thailand was the second-highest ranked spa destination globally in

2002 with 230 operators servicing 2.6 million international clients and generating revenue of

US$85 million.

The situation according to the Thailand Spa Benchmark Report (2002 2010) put out by Intelligent Spas, a Singapore-based research service:

Of the 585 spas operating in Thailand, 51 percent are day spas and 49

percent are destination spas co-located with accommodation.

The spa industry employs 11,240 people, a growth rate of 228 percent

since 2002. In 2007, Thailand received 3,649,000 tourists who visited spas.

Thai spas collectively generated revenue of 8.3 billion baths in 2007, a

more than threefold increase since 2002.

(http://www.tatnews.org/common/print.asp?id=4555#3 )


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2.3 Vision

We want to be the top five milk shop in Chiang Mai province.

2.4 Mission

We are fresh milk business that concern physical and mental health for our customer.We will serve a full service for customer satisfaction and we will have fish spa to attract the

customer who love milk. We create a member card to maintain customer loyalty that our

business will emphasize the taste of milk for everyone who loves healthy. We attract the

customer by create a new menu following trend for gain a profit to business in a long time.

We support the local product for helping local people to distribute income for them. And we

believe that we can create our own style decoration of business to public for customer

awareness.

2.5Strategy

2.5.1 Corporate Level

Horizontal integration

We are fresh milk shop that must compete with competitors. The main competitors

are Milk garden, Mon Nomsod, and Too Nomsod. We will apply menu a same as

competitors. For example Milk garden creates a special menu such as the name menu isMamatarloon. So our shop must create this menu to compete our competitors.

Market penetration

We will have promotion to attract the customer and we use advertising on radio and

website to promote our shop and we use magazine in Chiang Mai entering to direct

customers awareness. We have some service to serve the customer. It is fish spa; we use

promotion of fresh milk to match with fish spa to attract the customer.

Product development

We introduce and create a new menu following the trend. As the same time we will

improve the existing product to be better for serving our customers to increase our sales and

gain a profit.


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2.5.2 Business Level

Type 1and Type 2: Cost Leadership Strategies

Its in conjunction with differentiation. It will use economies or diseconomies of

scale, capacity utilization achieved, and linkages w/ suppliers& distributors.

Type 3: Differentiation Strategies

It will use greater compatibility, lower costs, improved service, greater convenience,

and more features.

Type 4 and Type 5: Focus Strategies

It will use industry segment of sufficient size, good growth potential, and not crucial

to success of major competitors.

In Our business, in functional level strategy that we choose is differentiation

strategies. We are differentiating that it can relate with horizontal integration, market

penetration, and product development. About horizontal integration strategies, we can

compete another competitors because we will add some menu same as competitors that we

will change some ingredient to adapt the better menu to attract the customer for many choices

to test it that we dont do the same menu as competitors everything so we will improve and

change it to be the new menu for our shop. About market penetration strategies, we will use

marketing effort to attract to directly for our customer awareness by using radio and website

and magazine to advertise on local area because the main target of us, mostly it is the mass

communication to easy for reaching our target and they response to quickly for listening

radio, read magazine and enter the website that we can promote our product& service to

customer awareness. Moreover, we use the promotion to match with our service that it is fish

spa to attract the customer that it can mix our promotion for using fish spa in the same time. It

can be the advantage to us because our shop, we have special service (fish spa) to support for

the customer. It is differentiate with other competitors because other competitors dont have

fish spa same as our shop that it can be differentiate from other competitors. For product

development strategies, we must improve our product all the time to compete with other

competitors that we will create the new things; it means that we can have competitive

advantage for another competitors because we emphasize on the customers need and the

customer want to test a new things all the time which it can create the new target for us.


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2.5.3 Functional Level

Marketing

For our marketing department, we emphasize on promotions and mass

communication. We will use promotion to promote our product and services that competitorswill have some promotion to promote their products. We will do promotion same as

competitors but we will have special promotion that customer have many choices for

selecting to serve our product and service. Before our shop will open shop, we will promote

shop by giving a coupon to customer to test the sample of milk product from our shop. After

that we will promote our shop by using promotion for milk product, the customer able to be a

member our shop that we will create member card for our customer and it can benefit for

collecting the point to get the benefits from our shop and promotion about premium thecustomer will get the point from their purchasing products in our shop in term of 30% per on

point that the end of year, the customer can get the gifts from us. For fish spa, we use a

discount which the beginning we are opening the shop, we will discount from 120 baht per

half hours to 99 baht and for student target we will discount 30%. Adding we want to

customer serve our service in the long time, we have the promotion 10 times per one free; if

the customers use fish spa in 10 times, they will have a service of fish spa per one free. We

will promote our shop by using radio, magazine, public respond, website, and leaflet. For

radio, we will advertise this mass communication because the main target would like to listen

to the radio. It can be effective communication to customer can get information very much.

For magazine, we will advertise on local magazine that it is Hip magazine and Compass

magazine because Chiang Mai people are well known and it can attract to teenager and adult

to know the fashion and information about Chiang Mai are the best. For public respond, we

will support the students activities such as Sport Day, Vijisin event, etc. For Website, we

will advertise on local website in Chiang Mai province because website can reach to people

almost it easy to get information from website. For leaflet, we can contract to reach the

customer for easy to know about our shop.


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Production

For our production department, we emphasize on 2 sections; we will do menu as

same as competitors, we will create a new menu to compete with other competitors that we

will add some menu for healthy. We will do menu as same as competitors do, we will adaptsome ingredient of product to be better such as we will do Mamataloon same as Milk Garden

competitors that we will change it for looking more appetizing. And we will create a new

menu for seasonal such as we will use local fruit to produce smoothies to attract the customer

likes for winter season, we will use apple star, strawberry, orange, and star fruits to produce

smoothies, for summer season, we will use mango, watermelon, and melon to produce it, etc.

So it can show that we create a new menu to attract the customer that it can be differentiate

from other competitors and customer can test and serve our service. Some menu we willcreate to customer who loves health that we take care about our products to customer needs

and satisfy that it can increase more customers to increase our sales and to gain market share

too.

Organization management

For our organization management department, we emphasize on employee. We will

train employee for improving skill of the workers to be satisfy the customer needs in full

services that we compare with other competitors having self service. We provide the workers

to have knowledge skill to serve the customers because we want to the customer get the

benefits and a full service for us to customer happy and satisfy with our service for willing to

give our customers. Moreover, we will evaluate the employee (part time worker) for improve

the performance of employee by we will observe their behavior and feed back from

customers who comes to serve our products and services. So it can show that we will look the

workers to work with us that we will choose the person who attends to do the works andattends the customer.

Accounting/Financing

For our accounting/ financing department, we emphasize on promotion and reducing

the advertising budget. We will use promotion from marketing department can relate to this

department that we want to increase 20% profit .We want to increase market share by pulling

the competitors consumer come to use service in our shop and then we can increase the net


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sale so we can increase profit following when customer increased. Another way we want to

control advertising budget by we will advertise our shop on local radio and local website and

local magazine to reduce the expenses cost because our target we emphasize on Chiang Mai

province and people in Chiang Mai have response in this mass communication to effective

for reaching directly to customers.

Management Information System

For our Management Information System department, we emphasize on

communication by sending mail forward to customer for access our consumer directly. We

use mail for sending to consumers that we can get more consumers to serve our services and

the consumer can get information directly from our shop. It s easy way to reach the

consumers and it doesnt use enough money to invest and we send mail that its quick mass

communication for easy to reach directly to customer and the customer can get information

from us as quickly as we send it. Another way, we will advertise our new product into

website to distribute information. We will add new product into website and send information

of new product to member via mail. We will add new product on website the customer can

see new product, description of product, and the location that we located so we will use

website to promote our new product to increase sales and product together.


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Chapter 3Marketing Feasibility Study

3.1 Marketing analysis

3.1.1 General environment analysis

Political analysis

Chiang Mai political is affect directly from political of country especially in first

quadrant of 2009. They were protested their own right. This made Chiang economic

recession, so the governor crated events for increases consumption rate. Although,

government had supported budget to encourage business section, it called Thai Kam Kangproject. On the other hand, the fresh milk was flooded in market, so the government raised

the price of fresh milk in the market to solve the problem of agriculturist. The raising price

policy of fresh could not solve all flooding of milk, but the government was created policies

in term of step by step on basing problem. (Office of Commercial Affairs: Chiang Mai)

Economic analysis

Economic factors include economic growth, interest rates, exchange rates and

the inflation rate. These factors have major impacts on how businesses operate and make

decisions. First, we would like to mention about inflation rate first.

Figure 3.1: Inflation rate 2009

Inflation rate is an economics a general increase in rises and fall in the purchasing

value of money. Inflation rate is a percentage of general pricing in specific period of time not


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the rising in price of specific product. Inflation rate is the process about level of price istending to be increasing continuously but it is not the process about the increase of price in

only one time. The increasing of inflation rate affects capacity about competition ineconomics. Country which have high inflation rate will have low potential to compete with

another country which have higher inflation rate. The reason is the price of product in country

which have quite high inflation rate will more expensive than the country which have no

problem with inflation rate. (Office of Commercial Affairs: Chiang Mai 2009)

Social analysis

Social factors include the cultural aspects and include health consciousness,

population growth rate, age distribution, career attitudes and emphasis on safety. Trends in

social factors affect the demand for a company's products and how that company operates.

For this factor we will talk about the number of target market and the income rate of people

whose are our target market also.

The numbers of university student are increase year by year, it shows that our

target have high growth rate and we can make more profit from the incasing of number of

that group of people. Another criterion is the income per person is also increase. People have

more money to buy product and willing to pay for something which might be luxury goods.The income increase but the inflation rate decrease that means people has more money to buy

product while the price of those products is decrease or constant.

Technology analysis

Technology is factors include ecological and environmental aspects, such as

R&D activity, automation, technology incentives and the rate of technological change. They

can determine barriers to entry, minimum efficient production level and influenceoutsourcing decisions. Furthermore, technological shifts can affect costs, quality, and lead to

innovation.


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3.1.2 Competitor, Customer, Company (3C Analysis)

Competitor analysis

Direct competitor

Milk shop the reason to have competitors to be compete in Milk shop business are

milk shop business just the business which is spend not much of budget in the beginning

another word is the entrepreneurs who open new milk shop no need to spent a lot of budget to

invest in the business. Everyone who has money can be investing to do business. They do not

have to concern about what degree of education they have get but the one who do this

business must be willing to take risk if they just have money and have no education degree

because do the business, every investor have to have many of information about the business

they do. And also they have to do the business plan or some plan to set they objective and

plan for future if the situation will not go along with the plan they have do.

Another reason is the trend of people in the present day, people concern more about

their health. People drink milk increasingly from the past because Thai government also

campaign people to drink milk to help agriculturist about the price of fresh milk. Thai

agriculturist who take care milk cow can produce a lot of fresh milk but the market to support

fresh milk are not enough for fresh milk that have produce each day. So, there are more

people would like to drink milk both fresh milk or another product about milk for example

fresh milk that already past some process like milk shake in any favor. From the reason

which has said at the beginning can show that Thai people at the present day drink more milk,

so, there are more people would like to gain money from milk business.

Our direct competitor are milk shop that open before us as the followingMilk

Garden, Mom Nom Sod, Milk Zone, Dairy Farm.

Mon Nom Sod Background

If we talk about milk and toast shop, many of u might ad ever heard Mon Nom Sod

milk shop. Especially for people who live close to Bangkok City Hall, although the elderly,

teenager, and children every gender and age will be familiar with Mon Nom Sod milk shop.

There is Mr.Mon Wanisornkul was be owner whose were 30 years experience.

Khun Mon started from labor with prepare coffee task, he work at coffee shop that

located at the corner of Bangkok City Hall since B.E. 2507. He was trust by that shops


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owner and work there for 15 years as far as the owner of block of shop ask to get back the

coffee shop from coffee owner whose Khun Mon work with, so, coffee shop have to close

business.

Khun Mon and his children decided to open his new coffee shop on pickup truck at

the old area that he was be the labor of coffee shop. Then he gently expands or adds more

products like custard-bread and fresh milk. But he still have problem with government

officers after that he think to seeking new location to open his own shop.

He starts to open his shop on B.E. 2527 at canal side beside the Bangkok City Hall,

also he adding more menus continuously. For example, toastthere are many flavors to

select like Thai-custard, pave with sugar, pave with condensed milk, pave with fruit jam, and

etc. At the first stage, his business is not run smoothly because of the recession of economies;

Khun Mon decided to run business as moderate. After that many people know about Mon

Nom Sod milk shop, that group of people are student, and employee who work in Bangkok.

Words of mouth are the key equipment of advertisement and also customers who come to

milk shop will invite their friends to try new shop. So, enterprise then going to growth stage

rapidly within 7 years.

After milk shop reach mutuality stage and quite popular for this business, Khun Mon

was asked for return the block of shop by its owner, again Khun Mon have to seeking for

location to open new shop. Finally, Khun Mon can build his own shop by borrow money

from bank for 7 millions baht. He buy block of shop for 2 caverns which locate closely with

the old shop and also he decorate the shop with new style.

Product Development

Menu continue develop and the last he adding bakery menu and beverage that have

milk to be ingredient. About product development, the method is go to test at other milk sop

which quite famous and popular; then it to adaptation of taste and price for suitable with theshop.

Production

Quality of raw material selecting is very important and the shop will not put

preservative on our product. Every menu which they sell must fresh and shops owner will

control every step of production.


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Human Relation

Khun Mon had applied their experience as an administrator his employee to feel like

family member. He teaches every employee to be honest, keep cleaning, and service mind.

Milk Garden

Figure 3.2: Milk Garden shop

There are 3 branches of Milk Garden; in front of Chiang Mai University, Kard Suan

Kaew, Wat U-mong. All of 3 branches have standard taste standard price, and standardconcept of shop decoration. Prominent point of Milk Garden is spacious of area, a lot of table

and chair that offer for customers. They decorate the sop as Indy stylelet customers

relaxing, there is no air condition, and also the shop provide Wi-Fi to customers for free

(customers bring laptop themselves) that customers can enjoy as long as they want without

any pressure.

They have some special menus which create by them self another menu similar with

other milk shop. Some menu which very general but they try to create new name for that

menu to be interesting like boiled instant noodle they put the name is ma-ma-ta-lon.

Also, this shop provide opportunities for students they recruit part time employees

that mostly students. This technique might help customer familiar with employee and they

can understand each other easily because of similar age or similar generation.


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Milk Zone

Figure 3.3: Milk Zone shop

Milk Zone located in front of Chiang Mai University, the shop is not too large or too

narrow area. They decorate the sop quite general style but it is suitable with customers in

every generation since children tills adult. Customers can go to Milk Zone shop wit family.

The prominent point of this sop is about the menu list which is at least 100 menus and differs

from another milk sop. About the taste; it is not much delicious but still not bad at all. They

set a reasonable price for each menu because their main target are student who student in

Chiang Mai University not workers, so, the price not high compare with other milk shop.

Milk Zone will have highest sales rate when Chiang Mai University have invite

freshy activities that senior student will have a party with junior, sophomores, and freshy

student at Milk Zone. The reason might be the price and location.

Dairy Farm

Dairy Farm is not the shops that open on permanent location. It is just

franchisethere are too many branches of this brand and each branch follow the standard of

company. The owner is whoever wants to be invests in this business or people who want

other source of income.

So, Dairy Farm differs from another shop at all fields. Also, they cant catch the same

target and cant compete with Milk Garden, Milk Zone, and Mon Nom Sod at all.


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Competitor Array

Key Success Factors

1. Establish reputation, public image, and brand to hold a position in heart of

customers.

2. Specific ingredient which is delicious and do not similar with others shop

3. Control every step of production quality for stable taste.

4. Often usually develop and improve new product to suitable and relate with

target market need and want.

5. Develop the shop layout to more modern; also improve the production

equipment and packaging.

6. Have own shops brand that will help customer to remember the shop.

-7. Customers satisfy with service from employees.

-8. Successful of public image and brand.

Milk Zone has highest power to compete with our Nang Le Nom Milk Shop.

Table 3.1: Fresh milk and consumption milk

KeySuccessFactors

Weight

Rating

Milk Garden

Mon NomSod Milk Zone Dairy Farm

Nang LeNom

1

2

3

4

5

6

7

8

1. 0.11

2. 0.10

3. 0.12

4. 0.10

5. 0.12

6. 0.12

7. 0.18

8. 0.15

9. 2

10. 2

11. 2

12. 3

13. 2

14. 3

15. 2

16. 2

17. 3

18. 3

19. 2

20. 2

21. 1

22. 3

23. 1

24. 2

25. 2

26. 2

27. 2

28. 3

29. 2

30. 2

31. 3

32. 2

33. 3

34. 3

35. 2

36. 1

37. 1

38. 3

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Fish Spa

At the present day, Fish spa is not the new thing for Thai people. There are many

people known about Fish spa because of media play a prelude present this business until it

can create customer want and need. But there are not enough entrepreneurs who would like to

respond the needs and want of customer. If we talk about the information and news of fish

spa, Thai people already known for something but if we change to talk about the real

businesses that open to service customer it is not enough for requirement. Entrepreneur who

first or earliest stages invest in fish spa business can get money of profit because when new

businesses have entered in Thailand, Thai people would like to try new thing. If they like that

thing or that service, they will come and come again. Furthermore, people who like

something will share the thing they like to the one they love (might be friends, parent, orlover)

About Service

Fish spa can be intervene in many businesses since car care, beauty salon, shoe shop,

coffee shop, golf club, or can be open as single business at nice place. These shop that we

have said combine fish spa business with their own business give the reason to combine it as

for service customer while they waiting for other service (Oak, Siam fish spa, Sep 18,09)Khun Oak From Siam fish spa said that most important for fish spa business is place, good

place good profit. Many people might think that fish spa business have to invest by a lot of

money but if they try to do the business it let to know that fish spa business help investors to

get return of investment for the short time (Teerawut Tanakitkosert, Nov 12, 52) prominent

point of fish spa are strange and about moral which can make customer feel relax.

Teerawut Tanakitoset said that he saw that fish spa in Thailand at the moment are

very popular because it is fail on the growth period stage in product life cycle and he think

that this business will be high racing, sure that you will not be lost from these business.

Our direct competitors are all entrepreneurs who do fish spa business in specifically

and other business which combine with fish spa and located in Chiang Mai province. There

are no fish spa businesses which combine with milk shop yet. So, we select single fish spa

business as our direct competitor such as following below


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Figure 3.4: Fish Spa @ Rin Kham Market

Figure 3.5: Dr. Fish @ Nimmanhemin

Figure 3.6: Fish Spa @ the ring

- Actually Fish Spa @ Sang tawan

- Fish Spa corner @ Central Airport Plaza 3 rd floor


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Indirect competitors

Milk shop : Nang Le` Nom shop do business about milk shop but we not sell only

milk, we sell milk as many taste, toast, waffle, smoothies, and also coffee.

About Product

People who do business about toast, waffle, and coffee shop are our indirect

competitors.

About Location of Indirect Competitors

Mostly toast and waffle business are wheelbarrow franchise and there are a lot of

waffle shop like this. Each shop ju

nang le' nom company

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