• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Business plan for ceramic company

Business plan for ceramic company



Business plan for starting a new ceramic goods manufacturing company.

Business plan for starting a new ceramic goods manufacturing company.



Total Views
Views on SlideShare
Embed Views



0 Embeds 0

No embeds


Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
Post Comment
Edit your comment

    Business plan for ceramic company Business plan for ceramic company Presentation Transcript

    • Welcome Sandstone Ceramics Entrepreneurs: Yakin Reza Mahbub Muctadir. Sahedul Hoque Ahmed Aman Yousoof.
    • Overview of selected industry 1st Manufacturer: Tajma ceramics in 1958. Monno Ceramic Industries, Shinepukur Ceramic Industries, Bengal Fine Ceramic Industries, Standard Ceramic Industries and Peoples Ceramic Industries.
    • Overview( Cont.)  Estimated growth of 80% in next 2 years.  Exported goods: 2006-07 Tk 219 crore 2007-08 Tk 270 crore 2008-09 Tk 235 crore 2009-10 Tk 273 crore 2010-11 Tk280 crore  More than Tk 3,000 crore has so far been invested in the sector from home and abroad.  Around 20 percent annual growth rate.
    • Overview (Cont.)  RAK Ceramics (Bangladesh) Ltd, a UAE-based company (2003), now grabs one-fourth of the domestic market share producing 6.0 million SQM of tiles every year.  According to the industry people, sales of the locally produced tiles did not go down even in the past two years, the worst time for the country's construction industry.
    • Future outlook and trends  Floor tile( Homogeneous)  Wall tile  Roof tile  Commodes.  Basins.
    • Competitors  RAK ceramics.(polished tile)  Akij ceramics( New rising company).  ATI ceramics.  Fu wang ceramics.
    • Description of venture  Product line:  Tiles  Sanitary ware.  Size of business:  Initial investment around 3.5 billion BDT.  Production goal:  Tile: 816000 units(yearly)  Sanitary ware: 82000 units.
    • Abell’s Framework  What is Customer’s need?  good quality.  durable ceramic wares.  cheap price that fulfils their specific needs.  New and innovative designs.  How that can be fulfilled?  producing enough units.  decreasing the operating costs.
    • Abell’s framework( Cont.)  How my organization can fulfill the need?  Going for huge production.  Getting out from the traditional approach: Shapes and designs.  Selling in lowest possible cost.
    • Political, legal and environmental factors  Vulnerable one with the first two years of a democratic government deemed stable.  The political unrest is creating Hortals, dhoromoghots etc. Stability of Govt. Anti trust regulations: Still not any. Tax laws: Raw materials: 7.5-15%. Special incentives: LDC.
    • Political, legal and environmental factors(Cont.) Foreign trade regulations: Laws on hiring and promotion.  Environmental protection laws:  Poor drainage system.  Embargo on cutting hills.
    • Economic factors GDP US$ 105.56 billion GDP Growth 6.70% Inflation 11.2% Exchange rate 1 US$=Tk 83.75 (average) 15-18% Interest rate
    • Social factors  Lifestyle changes.  Career expectation.  Consumer activism.  Rate of family formation.  Growth rate of population:1.566%  Regional shift of people.  Life expectancy and death rates
    • Technological factors  Excellent designs and patterns.  Unique ambience patterns.  Bone china.  Investment on R&D sector: 5% of NET Income.  Monocuttura technology.
    • Product innovations  Specially printed tiles.  Circle shaped and huge sized tiles.  Material used for innovative production:  New red high efficiency mud.  Imported raw materials like soda feldspar, potash feldspar, clays from India, Indonesia, Malaysia, and Thailand. Fritz & glazes from Spain & other European countries.  Testing: A laboratory of highest standards.
    • Strengths Creativity over another potential market. Less competitors. Spread of housing Business.
    • Weakness Political unrest of the country. Power Shortage. Lack of pressure in Gas.
    • Opportunity Rising Industry: Yearly growth of 6.0% in Bangladesh and a whole growth of 800% In the whole world. Less competitors( Most of the ceramic industries produce tableware) Market leaders are mainly focusing on
    • Threats  Powerful competitors are already penetrating the market.  New rising companies: Akij Ceramics.  Production process is long.
    • Tiles
    • Raw material suppliers Habib Enterprise. 2. Mila Chemicals. 3. Tandem Chemicals. 4. Topflight CO. 1.
    • Machinery  Ball mill B390 D
    •  Pan mixer P15 HD 5000 litre
    •  Tiles machine P15 HD
    •  Economic Air dryer
    •  Ball mill (Glazer)
    •  Glazed tile presser
    •  Firing Machine.
    • Sanitary ware.
    • Machinery and equipment  Powder mixer PM 125D
    •  Sanitary dicer (KT 398J)
    •  Spray glaze maker(SH 343 S)
    • New technologies used in production  SKSZ series high speed rotating Dryer
    •  Water jet cutting( Used by RAK ceramics)
    •  High efficiency red mud( By product can be used as 53% cement)
    • Pricing Homogenous tiles( Only glazed): 48 Tk per square feet. Roof tiles ( Only Glazed): 48 Tk per square feet. Wall tiles ( Only Glazed): 48 Tk per square feet. Basins: 2500TK per Piece.
    • Distribution  Distribution through distributors.  There will be two type of distribution.  Type 01  Type 02
    • Promotion  Promotional activities for our final customers:  TVC  Newspaper, magazine.  Billboard.  Promotional activities regarding our dealers:  Trade incentives  Trade shows and exhibits
    • Form of ownership:  It is now a limited company.  Each one of us will invest 26.25 crore and the distribution of profit will be equal.  Any 1 of our parents as the chairman.  Planning of the company bringing in DSE.(49%).
    • Roles and responsibilities of partners  Yakin reza: Vice president(Finance).  Mahbub Muctadir: Vice president(HR).  Mohammad Sahedul Hoque: Vice president ( Marketing and sales).  Ahmed Aman Yousoof: Vice president ( Production).
    • Assessment of risk  Weaknesses of Business: 1. 2. 3. 4. 5. Lack of domestic suppliers. New Company. New entrepreneurs. Misallocations of funds. Low priced tiles in some other companies.
    • Contingency plans  Loan from IFIC bank in 2019 for 2nd plant.  Every partner has their nominee to perform in case of their absence.  In case of sudden decrease in demand: Tiles only.  Storage of raw materials: 2 years.
    • Forecasted Net Income.
    • Forecasted Break-Even Point.
    • Sources and applications of funds 1. Agrani bank loan. (130 Crore). Based on factory equipment. 2. IFIC Bank. 3. Our own funds.
    •  A big investment in this field of production, is on the way. This ceramic industry emits less waste and the by products are highly usable.  This industry needs enough manufacturers to get a perfect competition.  Traditional designs are about to extinct.  To, setup an industry of average capacity, it may take 100 crore. But the return is much higher.  There are not too many competitors and also, this is not a monopoly. So maybe, this will be the right time to setup a factory.
    • ?