MyDearPC.com is proposing an online business that will allow customers to fully customize assembled desktop PCs. They will analyze the market in Mumbai, India which is currently dominated by local assembled PC vendors with limited reach. MyDearPC plans to use their online platform to access the entire Mumbai market and provide customized assembled PCs while maintaining brand quality. Financial projections estimate sales of 700 PCs in year 1 growing to 3,500 PCs in year 3, with an average selling price of 25,000 INR per PC. The total startup funding required is 20 lakhs INR.

1. MyDearPC.com
Changing the way you
buy desktop PCs

2. • Start-up Cost required for the venture.
• The projections for the first 3 years.
Finances & ProjectionsGlobal Vs Indian PC MARKET
How is the Computer Market
Segmentation different in India
compared to other Global economies?
• The Indian Market Scenario.
• The Assembled PC.
• Branded Vs Assembled – The Dilemma!
The Dilemma Case Study & SWOT Analysis
• Case Analysis for a suburb in Mumbai.
• SWOT.
• The Branded Assembled.
• Let‟s go ONLINE!
• Execution Strategy.
The Solution
Topics Discussed

3. Global Vs Indian - PC MARKET
How is the Computer Market
Segmentation different in India
compared to other Global economies?
The Statistics

4. 15%
13% 12% 12%
5%
44%
Global Vs Indian - PC MARKET
Country-wise Market Segmentation
IndiaUnited States Europe
24% 23%
12% 11% 10%
22%
23%
14% 12% 10% 9%
33%

5. The Indian PC Market
• The Indian Market Scenario.
• The Assembled PC.
• Branded Vs Assembled – The Dilemma!
The Indian Market

6. The Indian Market Scenario
5%
12%
12%
13%
15%
44%
HCL
Acer
HP
Lenovo
Dell
Others
The Indian PC Market
Almost 44% of the Market is still mainly represented by
the unorganized market, i.e. the Assembled PCs
market.
Despite having had a presence of over a decade in
the Indian market, globally established players such
as Dell, HP have been unable to capture any market
leadership in India.
WHY??
An average Indian consumer is
price sensitive. A Branded PC
costs substantially higher than a
similarly configured Assembled
PC in Indian Market.
Price Sensitivity
The local Assembled PC vendors
have cordial relations with the
consumers. Consumers trust the
vendor‟s opinions and are more
comfortable dealing with them.
The Personal Touch
Global players offer only pre-
configured PCs in India. They do
not offer customizations that the
local vendors can offer with
Assembled PCs.
Lack of Options

7. The Indian PC Market
When you buy a typical „branded‟ PC, you
don‟t know what is „inside-the-box‟. For
example, you don‟t know the actual
manufacturer and quality of RAM used. You
are compelled to buy the entire package „as
is‟ even if you don‟t like the quality of
speakers, the design of cabinet or the layout
of the keyboard.
The Assembled PC – Best of All Worlds
iBall (Keyboard & Mouse) Creative (Speakers)
Intex (Cabinet)
Sony (Disk Drive/Burner)Samsung (Monitor)
When you buy an Assembled PC, you EXACTLY
know what you are buying. Assembled PCs allows
you to select the best of all worlds. So you can go
with your favorite pair of speakers from Bose or
you can choose that awesome Logitech gaming
keyboard and mouse you just love. With
Assembled PCs, you are not restricted, you have
plenty of choices. You can buy what YOU
WANT, not what the companies want to sell.

8. Branded Vs Assembled – The Dilemma!!
The Indian PC Market
The Dilemma!!
The Urban India is growing brand conscious. Brand is slowly becoming synonymous with quality and service.
However, high pricing and lack of options have hindered the growth of Brand in the PC industry. There is always a
trade off between quality, service, price and customization for the consumer before buying a PC.
The Changing Scenario
Branded PC
Quality
Service
Assembled PC
Price
Customization
The Trade-off

9. The Solution
• The Branded Assembled.
• Let‟s go ONLINE!
• Execution Strategy.
The Solution

10. The Branded Assembled
• Its about taking advantage of the changing scenario in
India. Corporates and Individuals likewise have started
relying on the Brand value of the products, associating
Brand with Quality and service.
Bridging the Gap
• However, Brands may not be providing to the exact
need and specification of the consumer (They sell pre-
configured PCs). This is where we come in. We bridge
the gap between what is available and what they want.
• So we provide them a good trade-off without any
compromise on quality, service or requirements at a
price comfortable to them.
• The Urban Indian Consumer, on the whole are opting
to shop online.
The Internet
• Basically, we aim to turn the unorganized sector of the
PC Industry to an organized market using innovative
and a never tried before way – Going ONLINE.
• Studies by Google India show that a 3-digit growth
rate is expected in 2013 in the online shopping market.
• Only second to Travel, Electronic Goods contribute
hugely to the online shopping market, because the
consumers get a better deal and trust the online
vendors to provide good quality in electronics.
There is a logical, and a very simple solution to this Dilemma faced by the Indian Consumer, Branded Vs Assembled
A Brand selling Assembled PCs.
Assembled PCBranded PC
Brand Selling Assembled PCs
The Solution

11. Let‟s Go ONLINE!
How? - Let’s Go ONLINE
• A very user friendly and easy to use website.
• Users can COMPLETELY customize their PCs as per their requirements.
• From motherboard to mouse and from cabinet to camera, the user can select every single component exactly
the way they do it when they buy an Assembled PC from a local vendor.
GO
Rs. 25,000/-
“Urban Indian consumers are now confident enough to make online
purchases of up to Rs. 25000, from Rs. 2000-5000 in the recent past “
- First Data Corporation & ICICI Merchant Services.
That‟s exactly what an average Assembled PC costs in India.
The Solution

12. Execution Strategy
• PC components are easily available in the wholesale market.
• We have already tied up with one of the biggest suppliers of Hard Disks and RAMs in Mumbai.
• To match the quality of service provided by big brands, we plan to set up a technical team providing on-call
technical support and if required, on-site support.
The Solution
• Business model based on zero (or very low) inventory.
We receive orders online and on phone
We source the components from our
suppliers
We assemble the PCs in-house
We deliver the PCs to our happy
customers. They refer us to their
friends & relatives.. 

13. Case Study & SWOT Analysis
• Case Analysis for a suburb in Mumbai.
• SWOT.
A Closer Look

14. Case Analysis – A suburb in Mumbai
Analysis
Limited Reach
An Average PC vendor in
Mumbai has a reach of around
2-3 suburbs or say 2-3 miles
within the city. This greatly limits
the scalability of the vendors.
A vendor sells 35-40 (average) assembled PCs/month.
Over 10 shops selling assembled PCs.
Mumbai – Population – 20 million.
Mulund (suburb) – Population – 400,000.
Case Study & SWOT Analysis
Enough Margins
Despite the lack of reach to the
entire city, the vendors sell
around 35-40 PCs/month. The
profit earned is enough to
sustain in the market.
Scalable Opportunity
The market reach is restricted
due to high capital investment
required to set-up shops
throughout the city. Internet
can help overcome this hurdle.

15. THREATSWEAKNESS
• E-commerce space in India is booming.
• India PC shipment is expected to reach
12.5 million units in 2013.
• Multiple revenue streams (banner
space, featured products, etc.)
• Opportunity to scale swiftly in other cities.
STRENGHTS
SWOT Analysis
SWOT
• No fixed cost of owning/renting property
at preferred locations.
• Better bargaining power with the
suppliers. (Better Reach & Quantity)
• Access to the ENTIRE market (Mumbai)
unlike other assembled PC sellers.
• FIRST brand to sell assembled computers.
Case Study & SWOT Analysis
OPPORTUNITIES
• Highly volatile market (Prices of
components are very volatile)
• Initial access to internet required to buy a
PC. (Can provide bookings over phone)
• Indian customers are risk averse and
might desist online payment for high
value transaction
• Local Assembled pc vendor‟s might cut
margins and offer competitive prices(A
big threat for MyDearPC‟s existence in
the Indian price-sensitive market)
• New innovations like tablets and
Smartphones are a big threat to overall
PC industry.
(Counter-view: PC-penetration in India is
much lower compared to most developed
countries and the market is still growing)

16. • Start-up Cost required for the venture.
• The projections for the first 3 years.
Financials & Projections
Finances & Projections

17. Application of Funds Amount (INR)
Salary (Founder) 3,90,000
Website 60,000
Working Capital 4,50,000
Computers 80,000
Legal Charges 20,000
First year Operating Expenses 10,00,000
Marketing Costs 1,00,000
Other Expenses, Unforeseen Costs & Cash Buffer 4,00,000
Total 25,00,000
Sources
Owned Equity 5,00,000
Funding Required 20,00,000
Total 25,00,000
Start-up Costs
Finances & Projections

18. Particulars Year 1 Year 2 Year 3
Sales - B2B 200 nos. 400 nos. 1000 nos.
Sales - B2C 500 nos. 1200 nos. 2500 nos.
Sales – Total number of PCs 700 nos. 1600 nos. 3500 nos.
Average Selling Price 25,000.00 25,000.00 25,000.00
Total Sales (in lakhs) 175.00 400.00 875.00
Projections – 3 years
Finances & Projections
• Above projections are sales estimates for the city of Mumbai.
• We would ideally extend our reach to neighboring districts like Thane and Navi Mumbai during the second year
and to other cities like Pune in the third year.
• Industry Gross Profit margin is 18-20%. MyDearPC will operate at a Gross Profit margin of 15-18%.

19. Thank You For Your Time
People don't know what they
want until you show it to them.“
”- Steve Jobs
Niraj Patadiya
MSc. in Global Management,
Rouen Business School, France.
n_patadiya@yahoo.co.in
+91 (0) 9870 106 537
+33 (0) 6 49 57 32 42