Business charity drive report final version

INTRO TO BUSINESS (BUS301014)CHARITY DRIVE REPORT | pg. 1
SCHOOL OF ARCHITECTURE, BUILDING AND DESIGN
FOUNDATION IN NATURAL AND BUILT ENVIRONMENT
Title: BusinessCharity DriveEvent
Group member’s names: Adele Lu (0323151)
Dana Kan (0323648)
DanicaGan (0323708)
Darren Leong (0323645)
Kenneth Tan (0322482)
Ng Sheng Zhe (0323830)
ShumLi Sze(0322822)
Intro to Business (BUS30104)
Lecturer: Ms. Tay Shir Men
Submission date: 7TH
February2016

TABLEOF CONTENTS
Title Page Numbers
Cover Page 1
Table of Contents 2
1.0 Key Summary 3
2.0 Objectives 4
3.0 Target Market 5
3.1 Customers andtheir backgrounds
3.2 Customer wants and needs
3.3Customer spending power
4.0 CompetitionAnalysis 7
4.1 Table for the Analysis of Competitors
5.0 Product and Packaging 9
5.1 Products
5.2 Packaging
6.0 Pricing 11
6.1 Unit Selling Price of Products
6.2 Unit Cost Price of Products
6.3 Product Sales
6.4 Sales Strategies
7.0 Promotion 13
7.1 Marketing Message
7.2 Promotional Strategies andTools
8.0 Sponsors 17
9.0 Distribution 18
10.0 GreenMeasures 19
11.0 Human Resource Planning 20
12.0 Evaluationof Results 22
13.0 Appendix 24

1.0 KEY SUMMARY
The final project for Introduction to Business is the Charity Drive Event that was
held from the 26th
of January to the 29th
of January at Taylor’s University Lakeside
Campus. Our booth was located in front of the Student Life Centre. Our group consists
of 7 members; they are Adele Lu, Dana Kan, DanicaGan, Darren Leong, Kenneth Tan, Ng
Sheng Zhe and Shum Li Sze. The purpose of this assignment is to raise funds for our
selected charity organization and all the profits earned goes to this organization.
Throughout this charity week, we managed to gain some experience from running our
own small business, which can be useful for our future.
Our group decided to raise funds by selling some homemade products and soft
drinks. The products that we sold were root beer, waffles, ice-cream, herbal tea and
herbal eggs. Before our charity week, we started a pre-charity week sale by selling soft
drinks. During the charity drive, we sold homemade waffles, herbal tea and herbal eggs.
We prepared the food and drinks the night before. The reason we chose to sell
homemade drinks and food is that they are healthier and easier to prepare.
Furthermore, the budget spent on purchasing the ingredients for the food and drinks is
lower compared to ourother products sold.
To express our gratitude, we would like to thank all who have supported us
throughout this event as our success could not have been possible without you all. We
would also like to thank our lecturer Ms.Tay, for her guidance and support throughout
this project.

2.0 OBJECTIVES
The charity organization that we have chosen is the Grace Community Services. It
is located at No. 7, Jalan Dendang 1, Kawasan 16 Berkeley Town Centre, Selangor, 41300
Klang, Malaysia. It is the head office of the organization and also has a food bank for the
poor. The reason that we are supporting Grace Community Services is that it is a social
service organization that helps people who have problemsregardless of race and religion.
It helps the poor, homeless people, disabled people, orphans, single mothers and many
more. For example, they provide food and daily needs to poor families and homeless
people. They support the disabled and provide education and shelter to orphans.
Considering the fact that they have extended a lot of help towards the community
throughout the years, we decided to help them by donating every amount of profit that
we earned from the Charity Drive event.
We set a target amount of RM2000 for the Charity Drive. The daily target sales
that we set were RM500 a day because the event would last for only4 days. We were
not able to reach RM500 a day as most of the students in the university were still having
their semester break. Although we were not able to reach our daily target, we still
managed to raise a total amount of RM2035.25 as we managed to collect some
donations from our families and friends. Besides that, we managed to sell most of our
food that we had prepared each day and there was no wastage.
YouTube Link: https://www.youtube.com/watch?v=KnbW7oPqbdE&feature=youtu.be

3.0 TARGET MARKET
3.1 Customers and their backgrounds
Our business was mainly targeted at the Taylor’s Lakeside University students as
they are the majority of the population at our business location. In Taylor’s Lakeside
University, most of the students come from the middle to upper income socioeconomic
backgrounds and they have enough pocket money to spendin the campus. Therefore,
we were confident that the students would be willing to buy our products.
The secondary customers of our business were the staff in the university.
However, they were only a minority of the population in the campus and the likelihood
of them buying products from us would be lower than the students. This is because they
arethe working class andare unlikely to purchase products from us.
Apart from that, we also targeted visitors who came to our campus for events
such as Career Talk, Open Day and even the Biotech Exhibition. Most of them were
professionals, parents, students and even lecturers from other universities or colleges.
We thought it would be easier to sell our products to them as they were mostly from
the middle to upper income class.
3.2 Customer wants and needs
Based on the weather forecast, the temperature for Klang Valley during the days
of our charity drive would be around 32 °C to 35 °C. Thiswould be considered as hot
weather and thus would help in our sale of cold drinks. Therefore, we chose cold drinks
such as Chinese Herbal Tea and Root Beer Float as our main products as they would be
more cooling and refreshing on a hot day.
Other than that, we were expecting a cooler weather in the morning; therefore
we provided hot drinks, hot herbal eggs and hot fresh waffles topped with honey as well
to satisfy our customers’ demands. As we know, students and staff sit in air-conditioned
classrooms or offices, and they would be unlikely to buy lots of cold drinks or cold food
from us in the mornings. By preparing both cold refreshing drinks and warm food, we
were confident that we couldmeet the needs of our customers fromthe various groups.
Moreover, the prices of our products ranged from RM 3 to RM 5 which was much
cheaper than the food and beverages from the commercial block, Syopz Mall. We sold
our items at a reasonable and affordable price to make sure our customers were willing
to buy our products and would continue to come back to buy our products again for the
following days.

3.3 Customer spending power
The spending power of our customers, mainly the students is limited as theyare
still dependent on their parents for financial support. Most of the students in the
university come from the middle to upper income class families. After carrying out a
survey, we found that students spend an average of RM20 for their meals everyday. By
selling our products at an affordable price, we believed that more students would come
and buy our products.
On the other hand, the spending power of the staff in the university is higher as
they are earning their own income. Therefore, they could afford to buy our products.
In comparison, visitors to the university have the highest spending power as they
might be coming from the high income class. By setting an affordable price for our
products, they would be attracted to buy from us as our productswould be relatively
cheap for them. They were also more likely to buy moreproducts from us.

4.0 COMPETITION ANALYSIS
Just like any other businesses, we have our own competitors. The main competitors
of our business were Yoshiko’s group and Theresa’s group who were just next to and
opposite our booth respectively throughout the charity drive.
Theresa’s Group
(Their booth was opposite to our booth and they also sold both hot and cold beverages
and food.)
Yoshiko’s group
(It was next to our booth. They too sold cold and chilling beverages and food.)

4.1 Table for the Analysis of Competitors
Group Theresa’s group Yoshiko’s group
Products Food : mashed potato,
spaghetti, curry fish ball
Drinks : longan drink, honey
drink, Coca Cola
Food : onigiri, grapes
Drink : orange, Ribena,green
tea
Strength - Good in promoting as their
group members havebetter
marketing skills.
- Group members
weresociableand outgoing
as they managed to attract
morecustomers.
- Their drinks were sold at
RM 1 per cup so they were
priced cheaper than our
drinks.
-Mashed potato was their
hot selling products as they
were the only team who
sold delicious mashed
potato during thecharity
drive.
- Good in promoting and
advertising their booth as
they were theonly team
who distributed flyers.
Students actually cameto
their booth becausethey
saw their flyers.
- They provided cheap and
refreshing drinks which
were sold at RM1.
Vulnerability - They opened their booth
and started selling their
products at a later part of
themorning.
- Their food was not covered
and left exposed so it was
unhygienic.
- They were weak in
marketing skills as they
were shy to approach
strangers.
Why would/do their
customers buy from them?
- They provided good
services whileselling their
products to their customers.
- Their products weremuch
cheaper than theother
groups which were selling
thesameproducts.

5.0 PRODUCT AND PACKAGING
5.1 Products
The products that we sold included soft drinks, waffles, root beer float, herbal tea
and herbal eggs. We started selling soft drinks such as 100 Plus and Coke a week before
the Charity Drive event soas to test the market as well as to inform our competitors
informally of our products. Customers were buying our soft drinks as the weather was
very hot and a refreshing soft drink wouldmade them feel a lot cooler. As for the root
beer float, customers liked it because they were not just enjoying the soft drink but also
the ice cream on top of the drink as well. With both root beer and ice cream kept cold in
a cooler box, our customers were refreshed by it.
For the customerswho preferred healthy drinks, we prepared herbal tea for them.
Our herbal teas are chrysanthemum tea and “Lo Han Guo”. By drinking our herbal tea,
customers would be able to reduce the heaty feeling because herbal tea is a natural
cooling beverage to balance the yin and yang ofour body. For the customer with healthy
habits but who prefer cold drinks, we provided free ice for their herbal tea.
For the waffle, our customerscould choose their toppings which was butter and
honey or ice cream. Though the portion of the waffle was a little small, it was tasty and
different from the normal selection of food sold at Syopz Mall.
Lastly, the herbal eggs sold were eggs boiled with herbal ingredients. These eggs
absorb the flavour and taste from the natural ingredients and aremore delicious than
hard-boiled eggs. Customers liked them as they are the traditional food of Chinese and
have lots of nutrients namely protein.

5.2 Packaging
For all the drinks, we served them in transparent or opaque plastic cups. We used
the opaqueplastic cups when we ran out of transparent plastic cups. We first decided to
use transparent cups so that we could differentiate our drinks easily. For example, dark
brown colour drinks are“Lo Han Guo”while yellow colour drinks are chrysanthemum tea.
When we ran out of transparent cups, we decided to use the opaque cups that we had
bought earlier. To prevent any mistakes in serving the wrong drink to customers, we
labelled the type of drink on each cup. For example, we marked“C” on cups
withchrysanthemum tea as an indication. We also put a lid on each cup of drink so that
the drink remaineduncontaminated and hygienic. In addition, we provided free straws
for our customers who bought our drinks.
As for the waffle, we packedthem inside a plastic container that could be sealed.
At first we were just serving the waffle on a plastic plate, but then we realized that most
of our customerswould like to take the waffle away. Therefore, we decided to provide
them with a packaging that could be sealed so as to prevent germs and flies from
landing on the waffle. We also provided free plastic forks and spoons along with a piece
of tissue paper for our customers to eat the waffles with.
Finally, the herbal eggs were packed in small plastic bags so that our customers
could take them away, eat and dispose the egg shells easily. Besides, a plastic bag would
prevent the gravy for the egg from spilling as the gravy would be contained inside the
plastic bag. Heat resistant plastic bags were used in order to make sure that our
customers would not be burned by the warmth of the egg. These bags also have handles
for customers to hold the plastic bags when the hot eggswere put inside. We believed
that customers would be attracted to buy when we give the welfare and interest of our
customers’ first priority in the packaging of our products. Lastly, our purpose of using
plastic packaging was because of other various benefits such as customers would be
able to see what was inside, it would be light to carry around, easy to disposeand cheap
to purchase.
Video Links:
https://www.youtube.com/watch?v=gVfRtksFgHU&feature=youtu.be
https://www.facebook.com/savewaterdrinkrootbeer/videos/922361597833611/

6.0 PRICING
6.1 Unit Selling Price of Products
On the first and second day of the charity sales, we had 7 products for sale.
 Root beer at RM 3 per cup
 Root beer Float at RM 5 per cup
 Chrysanthemum Tea at RM 3 per cup
 “Lo Han Guo” at RM 3 per cup
 Waffle with Butter and Honey at RM4 per piece
 Waffle with Ice-Cream at RM 5 per piece
Then on the third day and fourth day, we removed the root beer and root beer
float from our menu because it was not so attractive and we had finished selling our
stock. To increase our sales, we introduced a new product which was the herbal tea egg.
 Herbal Tea Egg at RM 1.50 per egg
6.2 Unit Cost Price of Products
 Root beer at RM 1 per cup
 Root beer Float at RM 1.50 per cup
 Chrysanthemum Tea at RM 1 per cup
 “Lo Han Guo”at RM 1 per cup
 Waffle with Honey at RM 1.50 per piece
 Waffle with Ice-Cream at RM 2 per piece
 Herbal Tea Egg at RM 0.80 per egg
All costprices calculated here are approximations. This is due to some
amounts that wererounded up or someother expenditurethat were not taken
into account.

6.3 Product Sales
Our products were popular and attractive. This is because our food and drinks
have less salt, less oil and were low in sugar. Nowadays, people tend to have a healthier
lifestyle.Therefore they chose to buy our food although it was sold at a higher price.
6.4 Sales Strategies
Towards the end of the day, we felt that our products were selling fast enough so
we decided to have a RM 1 price reduction for our drinks and half price for our food.
Although the decrease in price affected our profit, we were still able to earn some
money. After the first and second day, we also realized that our A&W root beer was not
getting good response. Therefore we decided to change our menu into herbal eggs
which turned out to be a good selling product.
As the day passed and when we realized that our drinks and food were selling out
fast and there were still a few more hours before we closed, we decided to increase our
stock by cooking the food or boiling the herbal teas since they were simple and fast to
make. This increased the sales for that day. When we noticed that a certain product was
more receptive, we decided to increase that stock by cooking more food for the next
day. For example, on the third day when we newly introduced the herbal eggs, we
cooked 60 eggs. It lasted for only half the day. So we decided to cook 100 eggs for the
next day and all the eggs were sold out by the time our stall was going to close.

7.0 PROMOTION
7.1 Marketing Message
SAVE WATER DRINK rootBEER! This was our initial intention for selling root
beerso that people could have a cooling root beer for a refreshing day.
7.2 Promotional Strategies andTools
We decided to create a Facebook page as research showed that there are around
1.8 billion monthly active users and this increases the chances of our page being seen by
our potential customers. Another tool for promoting was creating attractive hand-made
posters. We have a group member who is creative and talented. So we assigned her as
the poster designer and she did an amazing job by making the food and drinks that were
on the poster look so real although it was not in 3D though.
VIDEO LINK:
https://www.facebook.com/savewaterdrinkrootbeer/videos

FACEBOOK PAGE
https://www.facebook.com/savewaterdrinkrootbeer/
HAND-PRODUCED POSTERS

COMPUTER GENERATED POSTERS

-

8.0 SPONSORS
For our charity drive, we were required to seek sponsorships and donations in
order to reach our target of RM2000. Unfortunately for us, we werenot able to seek any
sponsorship as our products needed many different ingredients, basically making it
difficult for us to find sponsorship from any one brand/distributor. After a thorough
discussion, we decided to seek sponsorship/donations from our parents and friends
instead of a company sponsorship. This eventually helped us raise a good sum of money
for us to reach our target.
Moreover, we received some small amounts of donations from students in the
campus as well. In some cases, instead of buying our products, these studentsdonated a
nominal sum instead. We even offered them a complimentary drinkbut they declined
the offer and preferred to donate instead. In addition, there were some students who
also donated their change which they received from their purchases. Together with
personal donations from our parents and friends, we managed to reach our target.

9.0 DISTRIBUTION
As our products involved a lot of preparation, we made sure to produce sufficient
amount of drinks for our daily target. For instance, when we wanted to sell 40 cups of
chrysanthemum tea a day, we prepared it the night beforeso that we wouldnot waste
any time boiling the drink during the day and cooling it down. Our products were
prepared in the homes of our members and prepared daily to ensure freshness.
Danica and Li Sze, who prepared the chrysanthemum and“Lo Han Guo”, brought
them to campus every morning from their homes where all the drinks were stored in
large pots. Then, the drinks were filled into cups in the morning by our team members
as per our packaging method. Adele on the other hand, prepared the waffle mix at DK
Senza and brought it to campus daily.
Because the drinks were packed into plastic cups, we were able to give them to
customers on the spot, whereas for the waffles, we needed approximately 15 minutes
to prepare 2 servings. We solved this problem by pre-cooking 2 pieces of waffles ready
before they were ordered by customers.In doing so, we were able to ensure that the
customers need not wait for the waffles.
We sold our products both at the stall itself and also by our members who carried
the products on the tray and walked around the campus to approach people to buy. The
latter method proved to be more effective than selling at the booth itself. For some of
our close friends, we took phone call orders and delivered to their classes or made
reservations on their orders so that they could pickthem up from our booth later.

10.0 GREEN MEASURES
When we established our food and beverage business, we took measures to
protect the environment during our 4 daysof charity drive. Besides making a profit as
our main priority, we also wanted to fulfill ethical and environment-friendly standards.
Our products were made in an environmentally conscious manner. The canned
drinks sold during our pre-charity drive week were of assured quality as they came from
a trusted supplier – an established supermarket. Waffles, chrysanthemum tea and “Lo
Han Guo”herbal tea were made daily based on popularity and expected target amounts
to avoid wastage. When there was excess food and drinks left at the end of the day, we
did special promotions and sold them at a cheaper price as a treat cum sale to our
lecturers and friends.
As for our packaging, we mostly used paper plates and cups which were fully
biodegradable. We could not avoid using plastic and polystyrene cups given that they
were cheap and convenient. We provided plastic containers only to customers who
requested to take the waffles away. Otherwise, paper plates were used so that it
woulddisintegrate naturally in the landfills. We also encouraged our customers to
recycle the canned drinks and the plastic containers at the recycle bins placed
strategically in the campus.
As our products were prepared at our homes, we were able to reduce the carbon
footprint compared tothe manufacturing in bulk by factories which would release a lot
toxic gasesand create greenhouse effects. We also stored our products in cooler boxes
instead of a fridge to keep them cold and fresh. Only one apparatus needed electricity
to prepare our waffles, which was the waffle iron. To avoid unnecessary electricity
wastage, we made waffles during peak hours such as lunch time from 11pm to 1pm and
tea breaks from 3pm to 4pm. We also made sure to sell them off as fast as we could to
ensure they were fresh and warm so that they tasted better.
At the end of our business operations, all consumed products and packaging
were separated into recyclable and organic wastes. Then, they were disposed into
recycle bins around campus.

11.0 HUMAN RESOURCEPLANNING
To ensure that all members would have a clear guide in carrying out their tasks
accordingly as a team, specific delegation of roles was assigned to each member. These
tasks were given to our members according to personal strengths and abilities. This was
done so that our business could run smoothly and effectively.
TEAM ORGANIZATION CHART:
Job Scopes:
 PROJECT MANAGER
- Plan and organizeresponsibilitiesfor each group member.
- Lead and guide all team members according to plans and tasks to be completed in a
specific time.
- Control the team when faced with impromptu situations so that we can reach our
target and objective in this business.
- Organize meetings and make decisions based on all group members’ ideas.
PROJECT MANAGER
ADELE LU KHAI SYN
PRODUCT MANAGER
DANICA GAN
SHUM LI SZE
SALES & MARKETING
EXECUTIVE
DARREN LEONG
DANA KAN
ACCOUNTING & FINANCE
MANAGER
NG SHENG ZHE
KENNETH TAN

 PRODUCT MANAGER
- Ensure quality of products is maintained.
- Monitor product development and packaging.
- Prepareproducts and source for ingredients.
 SALES & MARKETING EXECUTIVE
(Every member helps in promoting and the sales of our products.)
- Analyze the market and receive direct feedback from customers to know how and
where to improve sales.
- Communicate and strategize marketing skills to keep selling and promoting productsin
spite ofrejections.
- Propose effective promoting and advertising strategies,both hardcopy(posters, fliers)
and through social media.
 ACCOUNTING & FINANCE MANAGER
- Keep track of all expenses and profits gained.
- Manage the budget and ensure all transactions are recorded clearly and all receipts are
kept and documented.
- Prepare profit and loss (P&L) statement.
- Provide financial information to the management so that the management will know
whether the target was reached on time and take follow-up actions.

12.0 EVALUATION OF RESULTS
Statement of income for “Save Water Drink Root Beer” which ended on 29th
January
2016
Sales Revenue....................................................................................RM 2037.05
COGS..................................................................................................RM 591.21
Gross Profit........................................................................................RM 1445.84
Add: Sponsorship and Donations.......................................................RM 840.00
Adjusted Gross Profit.........................................................................RM 2285.84
Less: Operating Expenses
Typhoid Vaccine Injection.................................................................RM 210.00
Plastic Cup Lids Purchase..................................................................RM 14.70
Plastic Cups Purchase........................................................................RM 17.60
Receipt Book Purchase......................................................................RM 8.30
Total Operating Expenses.................................................................RM 250.60
Net Profit..........................................................................................RM2035.24

Throughout the whole charity drive event, the sales of our group can be
considered quite successful when compared to the other groups. Running a business
looks easy but in reality, it is really hard to keep a business running well and successful
as lots of effort is needed. To make sure that your business is making good profit,
choosing the right product to sell is really important. For our group, we actually started
to pre-sell soft drinksfor a few days before the charity drive event actually took place.
The sales werevery good and we managed to sell off 13 cartons of canned drinks within
2 days. However, the profit was relatively low as the cost price of the products was high.
The profit we made from each can of drink was only around 30-35%. We thought of
increasing the price of the canned drinks but after several discussions, we decided not
to do so as it would jeopardize our sales. We made the mistake of not doing a proper
survey of which type of drinks was cheaper. If we had donea more thorough market
analysis, we would have been able to find the cost price of drinks that were cheaper
than the ones which we had bought in order to earn more profit. Besides that, as this
business venture was our first experience, we made a poor estimation of the products
to be made and sold on some days due to the unpredictable influx of customers.On
certain days, we had to give away our leftover drinks to the security guards and janitors.
However, the things that we did right were we actually had several backup plans
to improve our sales and profit. After selling off all the cartons of drink which we did not
make much profit, we quickly switched to our second plan which was selling
chrysanthemum tea, “Lo Han Guo”, herbal egg and waffle with ice cream. The main
products sold during the charity drive event were chrysanthemum tea and “Lo Han Guo”.
The reason why we wanted to sell these drinks was that the cost price waslowerthan
what we had estimated. The cost price of a cup of chrysanthemum tea and “Lo Han
Guo”were only RM1 each and the selling price per cup was RM3. The profit we made
from each cup was approximately 200% which helped boost our profits. In addition, we
also had a good team work as every one of us did our best to sell our products. For
example, we took turns to walk around the campus to promote and sell our products.
We also started preparing our products early so that we were not hard-pressed with
time.
If we are given another opportunity to do this type of event once more, the
things that we would have to improve are to have more advertisementsfor our
productsaround the campus so that more students will be aware of our products and
the duration of the sale together with promotions.We will also prepare a budget before
the event to monitor the costs of goods sold to prevent any over spending and
confusion among group members.We will also make necessary adjustments to fit the
current situation and adapt to unfavorable conditions and propose on-the-spot
solutions to be implemented. Last but not least, we will definitely try to find more
sponsors to increase our profit.

13.0 APPENDIX
i. Typhoid Vaccine Receipts

ii. Official receipt from Grace Community Service (Charity Organization)

iii. Purchases receiptsof our products
iv. Sales receipts of our products

v. Pictures of our products

vi. Our group photograph

vi. A copy of the letter - Requesting Permission to Raise Funds for Grace Community
Service

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