1. SCHOOL OF ARCHITECTURE, BUILDING AND DESIGN
FOUNDATION IN NATURAL AND BUILT ENVIRONMENTS (FNBE)
INTRODUCTION TO BUSINESS [BUS30104]
FINAL PROJECT: CHARITY DRIVE EVENT
Lecturer: Mr Chang Jau Ho
Roles Name & ID
Leader
Erica Chin Ching
0320460
Accountant
Chong Chin Pin
0319595
Members
Esther Chuah Ning Sie
0321422
Tan Jing Wei
0320137
2. TABLE OF CONTENTS
TITLE PAGES
1.0 EXECUTIVE SUMMARY 3
2.0 OBJECTIVES 4
3.0 TARGET MARKET
4.0 COMPETITION ANALYSIS
5.0 PRODUCT AND PACKAGING
6.0 PRICING
7.0 PROMOTION
8.0 SPONSOR
9.0 DISTRIBUTION
10.0 HUMAN RESOURCE PLANNING
11.0 GREEN MEASURES
12.0 EVALUATION OF RESULTS
13.0 APPENDIX
3. 1.0 EXECUTIVE SUMMARY
The purpose of this assignment is to raise funds for a charity organization. This
project gives us an opportunity to run a business venture and also to gain experiences
about how a business is ran throughout a week.
After group discussions, our team decided to raise funds by selling some fashion
accessories and henna. The reasons that we chose to sell fashion accessories are, easy
to carry, do not expire, low production cost and easy to achieve our target in a week.
Besides selling the accessories, we also provided another services, drawing Henna. This
service was not designated to any specific group and they can actually choose their
favourite designs. This eventually increased our market range. However, our main target
was still Taylor’s University students. The pricing range of the accessories was from RM
2 to RM10 and the Henna-drawing service was from RM 3 to RM 10.
Our booth was set up in front of the Student Life Centre (SLC) in Taylor’s
University Lakeside Campus (TULC) from 8th of June to 12th of June 2015. The net profit
from this charity drive was directed to an orphanage, Good Samaritan Home (GSH)
which has about 30 orphans. It was established in 1999 and is located at 2, Jalan
Jelutong, Taman Selatan, 41200 Klang, Selangor. We decided to donate the money to
this organization because they are facing land ownership and some financial issues.
A total of RM 2500 was raised by our team.
Figure 1: Flow of Cash
4. 2.0 OBJECTIVES
Create a public awareness towards orphanage.
To produce and execute a substantial business proposal and plan.
To obtain new skills such as marketing techniques, accounting skills, production
methods and planning strategies.
Raise a minimum of RM2500 and donate to GOOD SAMARITAN HOME by selling
fashion accessories and henna-drawing service.
Gain a minimum of RM 550 from selling the accessories in order to cover the
original cost of the accessories.
Gain a minimum of RM 200 per day from henna-drawing service to achieve our
target.
We chose to support Good Samaritan Home (GSH) by donating all of our profit to
them. It is because GSH is currently facing a financial crisis and lacking of
volunteers.
For more information, you can search this link:
http://www.youtube.com/watch?v=NSZoDEc902U
5. 3.0 TARGET MARKET
3.1 CUSTOMERS AND THEIR BACKGROUNDS
3.1.1 University Students and Staffs
University students and staffs are the main target of our sales. They are expected to
provide the highest percentage of our income. After research, it was found that many
university students, especially female students, love to do henna with flowers pattern
and buy necklaces, while the male students are most likely love to have henna-tattooing
with notable sayings and buy pendants. Customers are also more likely to visit our
booth when they were informed that all profits will go to charity. Despite the fact that
most students do not generate their own source of income, they still have sufficient
money in a way that they are willing to buy our products.
6. 3.1.2 Family and Friends
Before we start this business, our targeted customers were mostly family and friends. It
was the easiest target since they are someone who we are close to and they will more
likely to help us during the time like this. We’ll ask those close friends to bring more
friends to come to our booth. At this rate, we are not only targeting our family and
friends but others too.
3.2 CUSTOMERS’ WANTS AND NEEDS
3.2.1 Designs of the pendants and necklace
We bought 6 designs of the pendant so that customers have more choices to
make. The necklace can be customized for them if they request to make it longer
or shorter. Also, the necklace strings can make into bracelets or anklets. Our
pendants and necklace pricing is very reasonable which increase our targeting
market.
3.2.2 Designs of Henna
For henna, we let the customers to choose their own designs and we’ll do it for
them. This can increase the market since the customers will be satisfied with the
“free-to-choose” services we give. We also found a few friends to help us out in
the booth. This will lower the waiting time for henna drawing. and our pricing for
henna is quite reasonable too.
3.3 CUSTOMERS’ SPENDING POWER
We gave them the freedom to choose their own favourite designs for the pendants
and necklace strings. Since our targeting market is university students, our prices for
the pendants and necklaces will be cheaper compare to the outside market. Hence,
their spending power will increase.
Our other targeting markets are family and friends. They’ll tend to buy more as
they’ll know that it was for the charity and it can help us to hit our target.
7. 4.0 COMPETITION ANALYSIS
Our competitors included the other 15 groups from our class that were doing charity
sales from 8th of June to 12th of June 2015. However, our two main competitors
would be:
1. Erica Lo’s group
Erica Lo’s group was selling fashion accessories and DIY T-shirts. Their booth was
located on the opposite left of our booth and was the nearest booth to the stairs
and staff rooms.
Advantages:
Their strategic location near the stairs and staff rooms allows them to approach
potential customers first. Their group would be the first sellers to persuade people
coming down from the stairs to buy their products or at least collect some
donations. It was also found that customers tend to donate more money to them
than our team, which affects our income. Their strategies included customize the
length of the bracelet for customers and also cheaper prices compare to market
outside campus.
Disadvantages:
They do not have a variety of products to be sold (only DIY T-shirts and a photo
booth). A lot of their income was relied on the donations collected from passer-
byers.
8. 2. Itemize(Taylor’s commercial area)
They were selling fashion accessories in Taylor’s commercial area.
Advantages:
They have more choices of fashion accessories. They have more than one kind of
products selling. Place at a strategic area in Taylor’s University Lakeside Campus.
Targeting market would be students of Taylor’s too. They were there for years which
allow to them regular customers.
Disadvantages:
Their product is more expensive. They have high operating expenses compare to us.
9. 5.0 PRODUCT AND PACKAGING
5.1 PRODUCT
We are selling some fashion accessories such as necklaces, bracelets, pendants,
keychains and henna ink for the charity drive. We have seven different designs of
pendants.Our customers can choose their favourite design of the pendants and combine
with black strings to form a necklace.
The provided designs are cross, key, lock, ring, owl, anchor, Eiffel Tower and owl
Features:
The pendants can be attached onto any strings to form a necklace or bracelet. Besides,
pendants connect with a ring could make a keychains. Customers can clip it on their
bags, pencil cases and clothes.
Benefits:
The pendants can act as a form of collection, decoration or accessory. Clipping it on
items can act as a form of customization and expression of individual identity.
Our Advertising Video Link:
https://www.facebook.com/charityGSH/videos/1590924074513783/
5.2 PACKAGING
In order to reduce cost and decrease wastage, no packaging was done to our products.
Our products were given to customers by hand.
The absence of packaging does not affect the attractiveness of our products. This is due
to the fact that our customers can straight away wears the fashion accessories
10. 6.0 PRICING
Items Cost per unit(RM) Sales per unit(RM)
Necklace strings 0.60 2.00
Pendants 1.00 3.00
Henna paste 4.50 10.00
The selling price is more than double of the cost pricing if they are sold in unit,
guaranteeing good profit when sold.
11. 7.0 PROMOTION
7.1 SOCIAL NETWORK
A Facebook page was created to promote our business before the charity drive.
Customers can inbox us if they have any enquiries or if they would like to place an order.
Posts were done on Instagram to increase publicity.
7.2 POSTERS
An A4 poster was designed using Adobe Photoshop and printed. This is to allow passer-
byes to have a quick glance of what we were selling and hoping that they would stop
just to have enough time for us to approach them. An additional poster with the words
“Last day promotion, Buy one free one” was placed at the booth on Friday to attract
more people to approach us on the last day of our charity drive.
12. 7.3 FACE-TO-FACE CONVERSATION
This is the most effective way of promotion. It is applied when we approach potential
customers to explain further about our products and the reason why we were selling
them. We realized that face-to-face conversation works best when people are sitting
down where they are not in a rush or just taking a break. This allows us extra time to
explain briefly to them. Usually, people will either donate or buy our products.
Video Link:
13. 8.0 SPONSOR
Through this project from the beginning of preparations to sales week to accounting, we
have not approached any individual or organization for any form of sponsorship. Reason
being, we decided as a team to break through independently.
However, we did accept contributions in form of cash to be included directly as
donations to the charity. Parties that donated:-
i. Family members
ii. Friends
iii. Fellow students in Taylor’s University Campus
Total donations amount: RM 173.00
14. 9.0 DISTRIBUTION
We bought our fashion accessories from one of the wholesale supplier near in Petaling
Street, Kuala Lumpur. Besides that, we bought the henna paste from the night market
in Sri Kembangan. As all the stuffs small and easy to carry, it was not a problem for us to
bring it to our booth in front of SLC.
As for our henna drawing service, we found a few partners to help us with it. This can
minimize the waiting time. We have three persons who drew henna, hence, we can
serve three persons in a time.
We reached out to a few people around the area and introduce them the orphanage.
Some of them do donate some money to our booth.
15. 10.0 GREEN MEASURES
Our products are produced in an environmentally conscious manner. The products were
made by Stainless steel which is not really environmental friendly but long lasting. Our
aim is to provide cheap and quality fashion accessories to all consumers so that they
won’t dispose it quickly. No waste was produced in the process of producing and selling
our products.
Besides that, we did not use any packaging for our product. This allows us to earn
maximum profit by cutting costs and reduce waste. Our necklaces look attractive even
they do not require any forms of packaging as we pinned up some design on popsicles
board to make it more visually-appealing.
During our business drive, we reduce the carbon footprints by carpooling when we
move to multiple locations to buy our pendants and henna ink. We do not provide
plastic bags for customers. As the majority of distribution is done on foot (throughout
campus) therefore the carbon footprint is low.
Electronic gadgets and social media was utilized instead of printing many brochures
while promoting our business and thus we really decreasing the carbon footprint by
reducing consumption of resources.
16. 11.0 HUMAN RESOURCE PLANNING
A clear job scope is important to direct and guide each member to do their respective
tasks and workload evenly. The tasks were given to each member according to personal
strengths and abilities.
Distribution of Tasks:
Organizational Chart:
17. 12.0 EVALUATION OF RESULTS
12.1 PROFIT & LOSS REPORT
Income Statement for Selling Fashion Accessories and Henna-drawing for the Business
Charity Event (8.6.2015~12.6.2015)
Revenue RM
Sales Revenue
Less: Cost of Goods Sold
Gross profit
Add:- Sponsorships
- Donations
Adjusted Gross Profit
1707.00
344.70
1362.30
1000.00
173.00
2535.30
Less: Operating Expenses.
Receipt books
Pens
Printing
19.60
3.00
12.70
Net profit 2500.00
12.2 DECISION MAKING
We made a right choice by choosing henna-drawing as part of our business
service. It was low cost and attracted a lot of people to come to our booth.
Besides, our fashion accessories were hot selling products too. However, the
only decision that we’ve done wrong was the poster. It was not stand out
enough. Some of the customers could not even find our booth.
If this event is repeated in the future, we have to make a stand out or bigger
poster so that people can see what’s our booth about.