2. Built computer for friends and family for the
past few years.
Currently working for another company.
Start up capital of £20,000
Live in the heart of Manchester in a housing
estate.
Drive Citroen Berlingo van.
3. New customers will have of Computer crazy
from word of mouth
Newspaper Advert in Manchester Evening
Newspaper, after ringing them about an advert
in the paper the overall cost was £50.00.
Customers around Manchester will be varied,
however I have chosen to build the simple
computer, for beginners which are cheap and
easy to use.
4. 2 main local competitors, after reviewing the
competitors business plan Computer crazy looks
set to concentrate on home repairs and restoring
computers.
Building computers will be a difficult market due
to the likes of P.C world and Currys that offer
computers for discount prices and brilliant after
sales support.
My two competitors employ staff for marketing
and mechanics whereas I will be working alone, so
it is important that I advertise in local papers.
5. I have found that the majority of readers for the
MEN are the older persons, aged 65+ years.
After carrying out a survey around locals i have
found that the older segment very rarely use their
computer, let alone have one, and so regular check
ups on the computers could also be a market to
exploit. 75% of the people surveyed had a
computer, those that didn't were aged over 65
years.
Basic computers start at around £350.00 (Dell,
2012) with a monitor. However extra charges
apply with speakers and antivirus systems.
6. My set price for a basic computer will be £375,
with after sales support being vital. The price
will however differ on specification.
1 year warranty will be available at no extra
cost, however with an extra cost of £25 there is
a 4 year warranty available.
Charges will be £8 per hour for customers,
however a slight increase will be charged for
irregular customers.
7. Standard motherboard, case, hard drive,
processor, 4gb ram and power - £120
CD Drive-£15
Windows 7home premium- £80.00
19” monitor- £70
Mouse and Keyboard and speakers-£15
Overall cost to build computer is £300
Prices approx to Novatech 2012.
8. Keep the same supplier throughout the lifetime
of my business and keep good relationships
with the buyer
Buy the parts in bulk to receive customer
discount of 10% throughout the order, so i will
try to only order parts in bulk
Bulk orders should be allowed 2 weeks worth
of waiting time, assembly will take
approximately 4 hours.
9. Firstly I will produce 5 units at one time, and
hope to sell those units within 3 days
Parts ordered on demand
RAMs and Hardrives are very popular because
evry computer needs them.
Will buy parts in bulk to ensure discount,
however there needs to be a certain market for
these parts.
The products will be batch produced
10. To expand i would start to rent office space and
possibly shed spave in order to produce lots of
colmputers providing there is a market for
them.
The company could also start to choose more
due to deicated customers who rely on
Computer Crazy
A larger workforce would also be required
11. Delivery will be entirely relied on the currier
and relationships with them.
Delivery will also be reduced due to the bulk
orders.
Delivery to customers will be relied on the
Citroen Berlingo van.
12. Products will be checked twice through
production, midway and three quarters of the
way through production
A deepened check of the products will then
take place when it is finished. E.g. running
installation updates and programme
installations depending on customer
requirements.
Load testing software will also be used to test
the computer, these cost approx £50.
13. Finance to be raised will come from family and
friends providing that my business is due to
make profit.
Banks may also be interested in providing a
loan due to my credit history.
Venture capitalists could also provide come
finance in order to expand.
I will gain the funds from family to secure the
offer on the computer parts
14. My friend will be entitled to 52 weeks maternity leave.
(NHS, 2012). If she was to work within the company
for 6 months then she would have paid maternity
leave, if not i will not have to pay her.
However she could be a strong candidate for the job
providing she can find a nanny which is highly
unlikely.
I feel that the other candidates would fit the position
better because they will gain undertsanding about the
business as they will not be on maternity leave for half
of the year.
