BUSINESS PLAN

Muhammed

Mughni

EXECUTIVE SUMMARY
We have made a business plan of new business idea of Gaming Zone
business. We identified the opportunity in GIFT UNIVERSITY as there is no
Gaming Zone and after conducting a survey, we got positive response
towards gaming zone business in GIFT UNIVERSITY. The two things which
we

can

provide

to

students

through

our

gaming

zone

are

the

entertainment and refreshment opportunity. We did opportunity analysis

and after gathering detailed information we came to result of opening
Gaming Zone in University. We decided the name of our gaming zone
which is University Fun Land. We then conducted the industry
analysis, environmental analysis and competitor analysis of our business.
So the industry of gaming zone business is not very much famous in
Pakistan but know people are getting awareness about it. Through
competitor analysis we get to know the strengths, weaknesses, threats
and opportunity of our business and our competitors as well. We made the
marketing plan for the successful promotion and made marketing budget
as well. In operational and production plan we showed the assets, games
and technology we need for our business to generate services and the
number of employees needed as well. We have also showed our expected
suppliers and in financial plan we have showed all the related information
of sources and usage of capital and the capital raised through partners
contribution and loans as well.

UNIVERSITY OF GUJRAT (UOG)

BUSINESS PLAN

Muhammed

Mughni

INTRODUCTION
We are studying in university and sometimes after long lectures we want
to fresh up ourselves and there are different ways to refresh ourselves.
According to research conducted by us in GIFT UNIVERSITY 10% students
are spending their idle time in gossips, 15% are wasting sitting idle, 5%
are spending their idle time in doing study and remaining in other
activities.

We took opportunity to refresh them and providing them a good way of

entertainment in their idle time in university and that opportunity can
prove a very healthy business activity for us to earn profit. So we have
decided to open a Gaming Zone in our university. Games are healthy
activity of our life. According to some researches games are good way to
refresh mind and body fitness of busy people.

UNIVERSITY OF GUJRAT (UOG)

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Mughni

After generation of idea, we conducted a survey in university to know

about the thinking of students regarding our business idea (GAMEING
ZONE in University) and we have very positive response. More than 70%
students wish to have a gaming zone in university.
It is our vision that the begging will be from Gaming Zone and it will be
progressed by having fast food caf, conference rooms and a place for
organizing events in future.

SELECTED ORGANIZATION
UOG INTRODUCTION:
We selected GIFT UNIVERSITY in which we will open a Gaming Zone. The
GIFT UNIVERSITY is one of the new major public sector universities in
Punjab.
The university was established under Act IX of 2004 by Government of
Punjab, Pakistan on February 23, 2004 to cater for the higher education
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needs of the population of Central Punjab which includes districts of
Gujrat, Sialkot and Gujranwala in addition to city of Wazirabad.
These districts are popularly known as the Export Triangle of Pakistan due
to various manufacturing industries operating in the area. Sir Syed Ahmad
Khan (18171898) founder of Aligarh Muslim University had named the
region around Gujrat as "Khita-e-Younan", or "territory resembling ancient
Greece", in reference to the high number of educational institutes present
in the area in the 19th century.
The University is promoting research and development culture in the area.
A large number of students from Bhimber Azad Kashmir also study in the
university.The creation of the GIFT UNIVERSITY was the brainchild of
ChaudhryPervaizElahi, who was chief minister of Punjab from 2002 to
2007.[5] Prof. Dr. Muhammad Nizamuddin is the Vice Chancellor of GIFT
UNIVERSITY.

VISION:
To establish a market that would promote technical activities in the public
and lead that market with our long term strategies

MISSION:
Our mission is to make accessible various games to the customers of
various ages groups, in a sociable environment, even in the smaller cities,
by using latest technology, so as to ensure a stable growth of our
business, that would ensure that the companys philosophy and core
competencies are aligned with our vision and eventually, our firm
projecting a positive image, not only for its own employees, but for the
University as a Whole

LOGO:

UNIVERSITY OF GUJRAT (UOG)

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Mughni

SOLOGAN:
THE LAND OF ENTERTAINMENT

OBJECTIVES
Following are the objectives of our Business.

LONG TERM OBJECTIVES

To generate the loyal customer ship.
To create a positive Image and good will of business
Encourage the investors to invest in our similar future
projects.
To expand business, by increasing the Product line.

SHORT TERM OBJECTIVES

To cover the short term expenses
To reduce the cost, by critically analyzing the operations f the
business
To provide friendly environment to customers
To fulfill the need of customers from various classes of the
society

UNIVERSITY OF GUJRAT (UOG)

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Muhammed

Mughni

COMPETITIVE ADVANTAGE
The competitive advantage for our business is that we are establishing our
firm in that area where no other company providing such type of facilities.
So we are first advantage taker, create monopoly and earn high profit by
providing services to our customers. The whole setup of our business has
the characteristics of uniqueness in that particular area. So in this way we
are facing the no direct competition in our targeted market, but according
to our vision and long term objective, when we would expand our
business, then we might have to face extensive competition throughout
the Region. So our competitive advantages will be as follow:
We are going to provide a completely friendly environment to our
customers
We are going to provide different suitable packages for everyone
The location is very attractive, so as to facilitate each segment of
our target
market
Another advantage is that we are going to target, relatively, smaller
size of market and obtain the consumers suggestions easily and we
can improve the products as they want.
The projected cash flows support our idea of expansion.

OPPORTUNITY ASSESSMENT
We found our university is lacking some place where students can refresh
and entertain themselves. As we know games are a healthy activity for
mind and students also like to play games in their idle time. So we can
take the benefit of that opportunity by opening a Gaming Zone in our
University. This opportunity can give us healthy profits and can prove
beneficial for us as a long run business.

UNIVERSITY OF GUJRAT (UOG)

BUSINESS PLAN

Muhammed

Mughni

CREATION AND LENGTH OF OPPORTUNITY

This opportunity is identified by us through the process of brainstorming.
The opportunity exists yet anybody else identifies this opportunity and
take initiative. The opportunity can be converted into business only when
we take initiative. The idea and opportunity identification is good but its
worthless if we are not talking initiatives for converting that idea into real
world business.

REAL AND PERCEIVED VALUE OF

OPPORTUNITY
The real value and perceived value depends upon the size of business we
are going to open and size of business depends upon the availability of
finance.
But as per the nature of opportunity, the environment and the response of
students we perceive that we can easily cover our initial finance in 2 to 3
years.
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The real value of opportunity can be measured after the establishment
and running of business.

RISK AND RETURNS OF OPPORTUNITY

The risk and returns we considered in this opportunity was:

RISK:
University will not allow us to open Gaming Zone in University.
But after sharing our idea with the HOD of Our Department this
risk has been reduced.
We will have to build a building to open Gaming Zone in
University. But luckily university is building shops for cafeteria
and for other activities. We can take these shops on rental basis
for our gaming zone.
Students will not visit our gaming zone. But after conducting
survey in university we found that more than 70% students are
willing to have a Gaming Zone here.
Someone else takes initiative for opening gaming zone before us
and take advantage of opportunity is also a risk for us.
Another risk we are considering is availability of finance.
In this modern world, the technology is rapidly changing because
of that the risk of existing technology becoming outdated is
constantly there.
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Risk of new competitors is always there.

RETURNS:
We expect to receive return in following ways:

We can receive membership fee from students.

We will be able to earn lot of profits because of our monopoly.
We can earn by organizing events in our gaming zone.
Gaming Zone is a passion for us. So internal satisfaction is the
highest return for us.

OPPORTUNITY VERSUS PERSONAL SKILLS &

GOALS
The opportunity we are taking and starting business also needs our
personal skills. So its very important to have skills regarding that
business.
We think we have skills needed for our business. Being a student of
Business Administration we can run promotion activates our self in
university. Games knowledge and skills are also there because of our
interest in games and updated knowledge of new games. The goals are to
earn profit and providing students a platform for gaining refreshment.
So we are sure that our skills are enough for that opportunity and the
deficiencies of skills will be cover up with the passage of time and
experience. This opportunity also matches goals.

COMPETITVE ENVIRONMENT

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The environment is not very much competitive for this opportunity.

But the threats we can have are:
New technology which will result in outdating of our technology.
New people with new ideas in the form of Gaming Zone.
Risk of loss is always there because of doing business first time.

BENEFITS
Followings are the benefits of our business:
We can earn huge profits because of our monopoly.
We can be our own boss.
We can provide employment opportunities through our business
not only to general people but also to our university students.
Earnings of university will increase.
Good addition in the university leading towards increase in the
reputation of university.
Good source of spending idle time for students and refreshing
themselves.
Psychologically its a good way to create good memories in
friends. Where they will be able to spend time and enjoy with
each other.

ENVIRONMENTAL ANALYSIS
The followings environmental factors will affect our business.
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1. ECONOMIC CONDITION:
It means the current economic condition of our country and how our
business will affect the economic conditions of the country. And how our
business will affected by economic condition.
The UFL will play its minor role in the improvement of economic
conditions. This new business will provide the employment opportunities
to the people of Gujrat. In this way the unemployment rate will reduce in
this area. Government will get the taxes as a result of business not only
from our business but also from the other sectors connected with us. Per
captia income of employees will increase and as a result of these the
lifestyle of citys people also increases.
The purchasing power of people is increase and demand also. Through
this UFL will generate income from its own resources that use in many
projects. We need loan for starting business, but the interest rate is very
high due to this our cost will be increase. Inflation rate also increase day
by day due to this our profit margin will be reduces and cost of project
increase.

2. SOCIAL CONDITION:
For last few years Pakistan has rapidly shown a growth in IT sector. Many
new IT domains and startups have evolved and are providing the best
services possible. Many technological trends are being adopted by the
youth like freelance web development, designing, blogging and so on; but
the activity that is most loved by teenagers is gaming.
These days guys and girls both love to play games especially online
multiplayer games. Gone are the days of playing arcade games on
computer now its the online networking games culture. Groups of
friends buckshot each other on MOHAA (Medal of Honor Allied Assault) or
dominate each other on WOW (World of War craft). But to enjoy all these
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games not everyone has broadband connection at home. So, teens turn to
gaming zones, the breeding place of future pro-gamers.
Gaming zone is like a paradise for teens. Dimly lit room filled with neon
lights is what teens love. Trance background music and soothing
environment, a dream place to enjoy free time. People want places where
they can enjoy and release their mind from tensions of daily work load.
Social condition is favorable for our business. Our business will also take
the Ethical Rules into the considerations.

3. LEGAL CONDITIONS:
There are no specific rules and regulations for the gaming zone business
in Pakistan. These are same as for the sole proprietorship and partnership
business.
Although the legal status of the business tends to play an important role
in any setup, the Gaming Zone business is proposed to be operated on a
sole proprietorship basis which may extend to partnership in case of
future expansion.
The Legal Requirements by the University should be full filled and rule and
regulations should be taken into consideration for our business by us.

4. TECHNOLOGICAL CONDITIONS:
Technology is available easily and on high rates now a day. Every day IT
Sector introducing the new technology which is faster and easy to use at
high prices.
Due to the introducing of new technology in games, our business has
consistent threat from changes in technology. It also increases the cost of
our business. For new technology understanding we need skilled and
trained persons who are the expert in IT field. Games companies are
introducing new games with good stories, action, graphics, 3D effects and
lot more every day. IN Pakistan technology is introduced step by step.The
technological conditions are becoming favorable for the business of
gaming zone. So we should hold up to date technology for providing good
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and quality services. Because the university students are well aware from
new technology. The technology which we have for our UFL is computers,
LCSs, video games etc.

5. POLITICAL CONDITION:
For the starting of any business, the investor should analysis the political
condition of specific country. If the policies of Govt. are stable then it is
favorable for business. The tax rate is reasonable, provide rebate in excise
duty, security to wealth, no chances of war, no tight rules and regulation
then a business will efficiently operate in the country. But unfortunately in
Pakistan the political condition is not good so we have threat from the
increase rate of tax and insecurity. And also there is no peace in Pakistan.

INDUSTRY ANALYSIS
CURRENT DOMESSTIC GAMIING ZONE INDUSTRY
STRUCTURE:
In Pakistan, the leading name in gaming zone market is Wired up Gaming
Zone with two major sponsors Wateen and Djuice for establishing of
LAN gaming tournaments at national and international level. A recent
announcement of 'Electronic Sports World Cup (ESWC) Paris' for the year
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2007 that the winners of ESWC Pakistan qualifiers 2007 will be sent to
Paris to participate in the Grand Finals of the ESWC 2007 is a great step
for the up comings of Pakistan electronic sports. Different tournaments of
LAN gaming are held all over the world which includes both national and
international status. Internationally world cyber games (WCG) &
Electronic Sports World Cup (ESWC) acquire the highest names when it
comes to international gaming tournaments.

INDUSTRY OF GAMING ZONE WITH IN PAKISTAN:

There are approximately 20 25 gaming zones only in Quetta City and the
majority are found near Mariabad. The biggest names on the list that
supports LAN gaming at provisional & national level are:

Raider Gaming Zone on Toghi Road

Mega Gaming Zone in Serena Hotel.
Iqra Gaming zone on mission road
Pirana Gaming zone on Samungli road near Shehbaz Town
Universal Gaming zone, Mariabad& etc.

The major games played in Gaming zones in Quetta are:

Counter Strike
Dota
Warcraft
Call of duty 4
FIFA
Need for Speed

INDUSTRY OF GAMING ZONE OUTSIDE PAKISTAN

The Gaming Zone Business is very popular in foreign countries like UK,
Australia, China and America etc. The Gaming Zone Industry is growing in
developed countries. The technology is faster, cheap and affordable in
these countries. Now in developing countries like Pakistan and India the
Gaming Zone Businesses are making place in the society and these
business are seeking the attention of new entrepreneurs.

SUPPORTERS
The supporters of UFL are
IT sector
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Software Companies
Networking Companies
Computer Companies (Dell, Intel, LG)
Furniture and Fixture Factories
Spots Material Providers

COMPETITOR ANALYSIS
DIRECT COMPETITORS:
As we are starting UFL in GIFT UNIVERSITY and there is no such type of
Gaming Zone for the Students in this area. So we dont think we have any
direct competitor in that location where our business exists.
But Outside the university there are few shops of games containing:
Snooker
Hand ball
As our target market is university students. So we can treat then as our
direct competitors because these are attracting the attention of university
students and specially hostel students.

University Gym:
It is in our vision to add up the gym in UFL. So it will become our direct
competitor in near future.

INDIRECT COMPETITORS:
The competitors who influence our business indirectly are considered
indirect competitors. In university and outside the university we have
many indirect competitors.

INDIRECT COMPETITORS IN UOG:

Followings are the indirect competitors within the university considered
by us.
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1. CANTEENS:
Canteens provide the refreshment opportunity to students. Where they
can spend their idle time and can enjoy. They are not providing the games
for students for entertainment. So we cannot consider canteens as our
direct competitors. These are our indirect competitors.

2. UNIVERSITY GYM:
Students also like to spend their time in gym with friends especially hostel
students. So these are also our indirect competitors.
3. INDIRECT COMPETITORS OUTSIDE UNIVERSITY:

i.

PACE:

The Pace in Gujrat City is our indirect competitor. There is Joy Land where
there are different games for the enjoyment of people. It does not directly
target the UOGstudents but targeting the general people, UOG students
also comes to its target market. But the timing of university still exists.
Students in the university cant go to pace.
But in university they can go to UFL in

the time of gap between their

classes.
All other places providing followings games in City Gujrat are our Indirect
Competitors.

ii.

Computer Games
Snooker
Hand Ball
Table Tennis etc

UFC:

University food Corner can also our indirect competitor because it target
market is university students.

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INDUSTRY AND COMPETITION UNDER PORTERS 5

FORCES MODEL

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RIVALRY AMONG EXISTING COMPETITORS

There is not much competition in the market of business because we have
no direct competitors but we have to make strategies to cope with the
indirect competitors. In the industry of gaming zone business there is very
less completion because of introductory stage of Industry of gaming zone
business.
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THREAT OF NEW COMPETITORS AND SUBSTITUTE

PRODUCT
There will always be a threat of Direct and Indirect Competitors for us.
But the chances of direct competitors are less as compared to indirect
competitors. Because any individual can open a gaming zone outside the
university and in near areas.
The threat of substitute product and technology is exist because if rapidly
changing world and continuous advancement in the field of technology.

BARGAINING POWER OF BUYER AND SUPPLIER

In the industry, when we talk about buyers we assume the buyers of raw
material and sellers are the providers of raw material. So in the industry of
this business the bargaining power of buyers is more as compared to the
sellers bargaining power because there are more providers (sellers) of
raw material like games, computers, games etc. as compared to the
buyers.
But in the market, there are very less gaming zones. So they are enjoying
the monopoly. In GIFT UNIVERSITY we will also be a sole business,
providing that type of services (Gaming Zone). So there our (Business)
bargaining power will be more as compared to the barging power of buyer
(Students).

DEMAND OF OUR PRODUCT

We have conducted a survey for the purpose of checking the interest of
students, their views about the gaming zone in university and their
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willingness to visit our gaming zone in the university. We got a very
positive response. More than 75% students are demanding the Gaming
Zone. Through this survey we can understand that the demand for gaming
zone exist in the university.

COMPETITORS AND FULLFILMENT OF CUSTOMER

NEEDS
Our expected competitors are not fully satisfying the customers needs.
They are providing good ways of spending students idle time and through
this earring money but they are not proving any sort of games to the
students with in the university. So we can say that our competitors not
completely fulfilling the UOG students. It is good opportunity for us to
target this market by developing gaming zone.

PRODUCTION TECHINIQUE
In our UFL we use different machinery for providing services to our
customers for computer games. The manual games like snooker, hand ball
etc. we use different material.

MARKET RESEARCH PLAN

The marketing research cost is very high but it provides valuable
information about business. It involve gathering of data in order to
determine such information as: who will buy the product or services, what
is the size of market, what price should be charged, what is the most
appropriate distribution channel, and what is the most effective promotion
strategy to inform and reach the potential customers. We conducted
market research to collect all information about business to earn high
profit. The marketing research plan consists of four steps.
Defining the purpose or objectives
Gathering of data from Secondary source
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Gathering information from primary source
Analyzing and Interpreting of Result

DEFINING THE PURPOSE OR OBJECTIVES:

The objectives of our marketing plan with respect to the customers view
point.
1. What type of benefit they want from our services?
2. How many people are willing to buy our products or services?
3. How much amount they are willing to pay for using our product
or services?
4. Where would customers prefer to purchase the products or
services?
5. Where would our customer expect to hear about or learn about
our product or services?
For achieving the objectives of our marketing plans we conduct research
and collect information by using different sources.

GATHERING OF DATA FROM SECONDARY SOURCE:

We search on the net through different websites. We got a lot of data
about gaming zone. We read different article about games. Games are
very healthy for human being. It provides relaxation to human being
especially students minds, but it tells us only about industry of I.T, rules
and regulation and importance of games. The IT industry is not well
developed in Pakistan in small cities. So there are no relevant articles and
data about the Pakistani people.
According to industry analysis, the games trend emerges in Pakistan for last few
years. It does not provide the reliable information about the customers.
According to our point of view secondary source of data does not provide us
information that the opening of UFL in UOG is profitable or not for us. And also
not provide information about the needs and wants of our targeted customers.
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So for the expansion of our knowledge we go to primary source of data
gathering.

GATHERING INFORMATION FROM PRIMARY SOURCE:

Primary source is most reliable source for gathering information related
any matter for taking decision. But it is more expensive and time
consuming process. There are many ways for data gathering like survey,
questioners, face to face interview, and focus group but we use
questioners for conduct research from UOGs students.
According to students answer, they feel need of gaming zone in UOG for
enjoyment in free hours. There is no facility for students to enjoy their
free hours in games.

It is also profitable business for us, because all

university students are interested in gaming zone.

It is a healthy and

good refreshment opportunity for

UOGs students. This is the good opportunity for university students to get
employment especially IT student and management students.

ANALYZING AND INTERPRETING OF RESULT:

We gather data from both primary and secondary sources for the starting
of new business UFL in UOG.
The games are healthy activity for human mind according to research. It
is good opportunity for us to open gaming zone in UOG, because it is
ignored market we can say it is niche market. A niche market is said to be
where no person provide facilities of games to UOG students.
So there is no competitor in that place, we can create monopoly and earn
high profit by selling our services. This business is not only profitable for
us but also a source of revenue for GIFT UNIVERSITY. This is additional
facility for students which increase the goodwill of university. So by getting
all information relevant to industry and customer analysis so we will start
business.
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MARKET SEGMENTATION
Dividing a market into smaller groups of buyers distinct needs,
characteristics, or behavior that might require separate products or
marketing mixes.
We can decide to select the IT industry for the staring of our new
venture .We start the new UFL in the UOG. We will divide our market into
small groups on the base of our targeted customers characteristics.

GEOGRAPHIC:
Our targeted customers are of different cities of Pakistan, who are
students of UOG. These cities are Gujrat, Gujranwala, Sialkot, Wazirabad,
Kotla and small towns near to GIFT UNIVERSITY.

DEMOGRAPHIC:
Our target customers are youngsters with the age of 16 to 25. There is no
gender differentiation.
We will also divide our targeted market into small segment on the base of
buying situation. Our customers prefer which product or services
features most and like to buy that product or services. The usage rate of
(how many time product or services customers buy). Which time
people prefer to use product e.g. university students use our service or
product in free hours. There is no more awareness of games in Pakistan so
we should use those promotional tools which create awareness about
games in students. Our target location where we start our business is GIFT
UNIVERSITY. It is niche sector because no one provides these facilities to
university students. So we apply niche marketing strategy and create
monopoly in these areas.

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TARGET MARKET:
A group of people for whom the marketer designs the marketing
mix is called the target market. Our Gaming Zone is a newly
established company with limited resources so we will use concentrated
marketing& coverage strategy.
Through this strategy we would be able to achieve a strong market
position because of its greater knowledge of consumer needs in the
niches it serves and the special reputation it acquires.
We can market more effectively by fine tuning our products, prices and
programs to the needs of carefully defined segments. In using this
strategy we will adopt the pattern of single segmentation i.e., one product
for one market to check its responses.

MARKETING PLAN
SITUATION ANALYSIS
BACK GROUND OF VENTURE:
We are the student of UOG as such we have no back ground in business
field and no experience in this field but as a student of business
administration we identify the business opportunity in our university for
gaming zone.
All partners of this business are educated and have degree of MBA in
finance.

AaqibaJaved done MBA in Finance

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Arslan Ali Butt done MBA in Finance

MuneebaNazir done MBA in Finance
IrtazaAnsar done MBA in Finance
We have interest in games and we think through this opportunity we can
apply practically our knowledge.
We also know that we do not have enough recourse and knowledge about
business but our university provide finance assistance for starting new
and beneficial project for UOG students according to our vice chancellor.
This announcement of vice chancellor motivated us for doing something
new.
In Pakistan, the industry of games is not very popular. There is no direct
competitor in UOG. So we can say that it is a niche market for us. We
have indirect competitor like canteens and guest house inside the
university. The gymnasium of UOG is also our competitor in future.
After the analysis of our competitor we identify that we have abilities and
skills to provide better services to our customers by full filling their needs,
because the demand of our customers is not full filled by our competitors.
Our strength and weaknesses are following.

SWOT ANALYSIS

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STRENGTH AND WEAKNESSES OF VENTURE

STRENGHTS:
We will have following strengths of our business.
Monopoly in GIFT UNIVERSITY
Big Target market (all university students which are approx 12000 in

numbers)
New Computer Games
Good Location
Interest of students in Games
Easy Promotion
Lower Cost than comparable Competitors

WEAKNESS:
We will have following weakness of our business.

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Small Place of Business

Lack of technical know how
Lack of skilled and trained employees
Poor marketing
Access to Resources
Expensive Games and Hardware

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MARKET OPPORTUNITY AND THREATS

OPPORTUNITY:
We can have following opportunities of our business.

Expansion of Business
Adding Conference Room
Events Management in University (Parties)
Adding fast food or mini mart in Gaming zone
A new emerging or developing market(niche product, place, less
competition)

New Technology

Increasing the purchasing power of customer.

THREATS:
We will have following threats of our business.

Lack of energy resources

Rapidly changes in technology
Less business activities in summer
New competition in the market, possibly with new products or

services
Availability of resources
Change in Political and Economic condition
Taxation
Price War
Loss of Business

COMPETITOR ANALYSIS

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STRENGHTS:
Followings are the strengths of our direct and indirect competitors.

Loyalty of customers
Good will
More Resources for expansion
More experience and knowledge

Business location
Quality of products and services
Motivation to cooperate

WEAKNESS:
Followings are the weakness of our direct and indirect competitors.
Direct Competitors are outside university and students dont go to
them while university hours.
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Lack of Technology
Expensive Games and hardware

OPPORTUNITY:
Followings are the opportunities for our direct and indirect competitors.

Using Resources for expansion

More Promotion
Using experience for the development of business
Penetration in new markets due to high resources

THREATS:
Followings are the threats for our direct and indirect competitors.

Energy breakdown
Threat of new competitors
Taxation
Economic Condition
Rapidly change in Technology

MARKETING OBJECTIVES AND GOALS

The objectives and goals of our marketing plan are
To increase the sales
To increase the profit margin
To reduce the cost of services

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To charge reasonable prices which is affordable for all level of
students
To use no distribution channels, directly deal to our customers
To establish customers service center for improving our services
quality
To use such type of cheap promotional tools which is promote our
products on wide areas
To maintain and increase the brand image

MARKETING STRATEGIES AND ACTION PROGRAMS

After defining the marketing objectives and goals now we make market
strategies and action programs to achieve these goals. These decision
effects marketing mix of our business.

MARKETING MIX

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UNIVERSITY OF GUJRAT (UOG)

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Mughni
It is a combination of 4ps. Product, price, place, promotion and other
marketing activities needed to meet marketing objectives. We design
marketing mix plan for the marketing of our business gaming zone.

MARKETING MIX FOR GAMING ZONE

PRODUCT:
The products which we offer in our business are following:

Table tennis
Hand ball
Snooker
Computer games
Shooting
Bowling
Gymnasium

Above are the products or services which we offer to our customers. The
strategy which we use for the production of our services is marketing
concept (pull strategy) firstly we identify the need of our targeted
customer, e.g. UOG students feel the need of a place which provide them
mind relaxation after the study in free hour. By identifying their needs and
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UNIVERSITY OF GUJRAT (UOG)

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Mughni
wants we provide them their desired satisfaction through gaming services
better than competitors do.

PRICE:
Price is a component of an exchange or transaction that takes place
between two parties and refers to what must be given up by one party
(i.e., buyer) in order to obtain something offered by another party (i.e.,
seller).
We will chargefee according to game.

PRICING STRATEGY
The pricing strategy which we will use according to the research and data
gathered and the situation prevailing in our target market is value based
pricing strategy.

VALUE-BASED PRICING:
Pricing a product based on the perceived value and not on any other
factor. Pricing based on the demand for a specific product would have a
likely change in the market place.
We know that we are the sole authority providing gaming zone facility to
students. So we have our monopoly here. The perceived value of our
services is high. So we can charge according to our will and according to
the demand of our services.

PLACE:
We started our business in University of Gujarat (UOG). It is access able
for all university students easily in free hours. Our all products or services
are available in UOG.
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Mughni
The distribution channel which we select for our gaming zone services is
one level channel distributions involve company and consumers.

COMPANY

CONSUMER
PROMOTION:
After starting business and providing our product or services in the market
and getting place in the market our next step is to promote our product
through thick or thin. In order to get high market share and loyalty of
customers. We use two types of advertisements in order to promote our
services.

Print Media
Press Media
Electronic media
Other Sources

PROMOTIONAL TOOLS

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We will use promotional tools for the marketing of our services. These are
followings:
Pamphlet
Radio of UOG
Email to UOGs students roll number
UOG official page on Facebook
UOG web site
Banners
Press of UOG
Prospectus
Notice Boards

BUDGETS:
This is our advertising budget. We use two types of media. The allocation
of cost is as follow:

MEDIA

OBJECTIVES

1STYEAR

2NDYEAR

AMOUNT

50%

35%

15%

50000

10%

10%

0%

10000

60%

50%

10%

40000

ELECTRONIC
MEDIA
PRINT MEDIA
OTHER
SOURCES

CONTROLS:
We will monitor our action program on quarterly bases. For this we get
information from our customers by conducting their interview, survey, and
ask question from them about
Services Qualities
Advertising Methods
Prices of Services
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Mughni
Placement of services
Company earn reasonable profit
Sales level of services
If we will find any weak point and feel we are not achieving desired
objects. Then it is opportunity for us to redirect or modify the existing plan
to achieve the firms desired objects and goals.

ORGANIZATIONAL PLAN
LEGAL FORM OF BUSINESS
Our business is partnership of four partners. The partnership is Limited
Liability Partnership (LLP), It is controlled by Partnership Act 1932 0f
Pakistan. According to this act LLC has following features
One or more partners are with limited liability
The firm must be registered
The capital of limited partner is not returned to him till he
remains a partner in the firm
There is at least one partner with unlimited liability
The limited partner can inspect the book of firm any time
A new partner can be admitted to the partnership firm without
the consent of limited partners.
All above are the features of our business.

OWNERSHIP
Our business is partnership business. We are four partners

AaqibaJaved
Arslan Ali Butt
MuneebaNazir
IrtazaAnsar

Our partnership is limited liability partnership. We are all the owners of the
business.

LIABILITY OF OWNER
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UNIVERSITY OF GUJRAT (UOG)

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Mughni
Our partnership is limited liability partnership (LLP). According to limited
liability partnership our partners are liable only that part which they
contribute in business. Their personal property is not liable.

COSTS OF STARTING A BUSINESS:

The cost of starting of our business is as follow

Registration of firm name in industry

Need license for using technology
Agreement with legal advisor
Partnership deed for the conveying responsibilities, rights and

duties of partners
Agreement with supplier

CONTINUITY OF BUSINESS
Continuity of business means business has any effect
Death of owner
Withdrawal of capital of owner from business
There is no effect of above two factors on our business. In LLP firm death
or withdrawal of partner has no effect on the continuity of business.
According to the partnership agreement the limited partner also is
replaced.

TRANSFERABILITY OF INTEREST
This firm is limited liability partnership so all partner are not allowed to
transfer your interest to others. According to Limited Partnership Act
1932 if he transfers his interest to associate or junior partner then the
other partner not earn equal share in profit percentage as full partners.

CAPITAL REQUIRMENT
In our business we can meet our capital requirement through
Banks loan
Additional capital contributed to each partner
New partnership agreement

MANAGEMENT CONTROL
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UNIVERSITY OF GUJRAT (UOG)

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Mughni
We are four partners of our firm so we are all take part in management of
our business. The environment change day by day so we will not mention
who take active part in decision making so we will not mention sensitive
matters on agreement .It all depend on the condition.

DISTRIBUTION OF PROFIT AND LOSS

We can distribute profit and loss of firm according to
50, 50 profit/loss margin
On the contributed part of capital
On the base of skills (may be not contribute capital but his skills
are very beneficial for the firm)

ATTRACTIVENESS FOR RAISING CAPITAL

Mostly in partnership the attracting more capital is very difficult due to
unlimited liability. But in our business the partners are labial for only
contribution of capital. So we can attract more capital by increasing more
number of partners.

TAX ISSUE
According to law LLP is treated as corporation. Because the liability of
partners is limited and they are responsible of only that part which they
contribute in business. So we will pay double tax
On the total income of firm
On the income of individual
This is the disadvantage of the LLP. It increases the cost of business.

37

UNIVERSITY OF GUJRAT (UOG)

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Mughni

HIERARCHY

MIGS T w ae une ea r g a e l r M a r k e t i n g
rOaSpM d ngpe a s dre en s rc ra A ia ag c t leci o s or n u s n t s
t
OPERATIONAL PLAN
The operational plan includes all processes, activities and operations that
are necessary to run a business. The operational plan of our Gaming Zone
Business includes the following activates.
38

UNIVERSITY OF GUJRAT (UOG)

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Mughni

PURCHASING:
We first of all have to purchase the following assets for the operations of
our business from different suppliers and brings it into functional position
and afterwards maintaining it.

Equipment

Quantity

Computers with high

specifications

LCDs

PlayStations

Snooker Table
Hand Ball Game

2
2

Table Tannis

Carom

Chees

Shooting

OPERATIONS IN GAMING ZONE

Operations will be performed in the following way which is explained in
steps. Whenever customers will come to Gaming Zone:
Our operation assistant working as front desk office also guide them
about requirements to play games like Computer Games, Hand Ball,
39

UNIVERSITY OF GUJRAT (UOG)

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Muhammed

Mughni
Snooker, Table Tennis, Carom, Shooting, Monopoly, Puzzle and
Chess.
There will always be a IT specialist for handling any faults in games
at the spot.
We will get proper feedback by our customers with the help of
comment cards and verbally about our products and services
regarding the games operation and about our staff for regularly
improving our performance.

STAFF FOR OPERATIONS OF BUSINESS

We are four partners and we will also perform our services in our business
saving the cost of extra employees.

One
One
One
One

of us will be on Reception.
in the computer games area.
on Table Tennis Side
will see the snooker, hand ball and shooting game.

NOTE: The duties will be change. Girls will guide girls and boys will guide
girls. If anyone is on leave then other present partners from us will
manage and perform his/ her duty.
Our staff which will be required for operations of business includes:
One Permanent IT Specialist
One person working as a sweeper and other extra works
One security guard

PRODUCTION PLAN
SERVICE CREATION:
This means that how we can produce services and how we will deliver the
services to our customers in business.

SNOOKER:
40

UNIVERSITY OF GUJRAT (UOG)

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Mughni
We provide an opportunity to students that if they wish to play a snooker
game in safe, calm and cool environment they come and join us and enjoy
pleasant time with their friends in a Gaming Zone.
Our Gaming Zone will provides a splendid environment of snooker area, as
it will includes 2(12x6) size tables prepared with superb material.

TABLE TENNIS:

We will also provide another opportunity for students in the shape of this
game so that they energies their self in a proper way and with positive
game. They spend their leisure time in a way where they learn world class
game and enjoy their gathering.
We provide 1 table tennis tables with choice of single and double players.
We will charge hourly basis for this game and provide a great time to each
individual for playing this game on superb equipment.

CAROM, CHESS, PUZZLE AND MONOPOLY

We will also provide these different games for the students to enjoy their
spare time with friends in a good way by using mind game.
Card board games include monopoly and word puzzle. Word puzzle game
is also a very good mental and IQ game that groom ability of strong
thinking and good judgment.

COMPUTER & PLAYSTATION GAMES

We will also offer the advance computer games, PS2 and PS3 Games like:

NEED FOR SPEED

COUNTER STRIKE

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UNIVERSITY OF GUJRAT (UOG)

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Mughni

FIFA 2010

GOD OF WAR

These games are attracting and liked by not only kids but also by adult
people. Because due to the technology of LAN we can also conduct
competitions among students. We can also attract them by offering
rewards for the winners of conducted completion. We will take entry fee
from all parties involved in competition. We will charge per hour for these
games. The price will be set according to the demand. We will provide 5
computers and 5 PlayStations for games.
NOTE:we will expand our gaming zone and games in it day by day after
earning profits.

GUN SHOOTING:

We will also include the area where we will provide the students artificial
gun where they can shoot the targets. To make this game more attractive
we will give the prize (Chocolate or other stuffs) to the individual who will
shoot the target according to our set criteria of game.
42

UNIVERSITY OF GUJRAT (UOG)

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Mughni

HAND BALL:
Hand Ball game is one of the very popular games. We will provide 2 hand
ball games in our gaming zone.

NOTE:
All the above games are our Assets which will produce the
services through which we will generate Sales.

SUPPLIER OF GAMING ZONE

Sialkot is very famous for the supports goods. So there is a huge market
from

where we can by:

Snooker
Table Tennis game
Chess, Monopoly, puzzle card and Carom board
Hand Ball

COMPUTERS, PLAYSTATIONS AND LCDS:

We need advance computers with:

Fast Processing Speed

More Ram and Hard Disk Storage Capacity
Fast Processor
More importantly high resolution Graphics Card
SP2 & PS3 or Xbox 360
LCDs

All this technology is available everywhere but we will buy these from
Lahore from the shop of our relative name Talha Computers. He will
provide us all the above technology at minimum cost.

FINANCIAL PLAN
SOURCES AND USES OF FUNDS
The ratio of the partners is as follow:
Partners Contribution Ratio

25%

Our total capital will be Rs. 3000,000 out of this capital the partners will
contribute round about 15,00,000and the remains will be raised from
financial institutes like : smeda, banks and university student loanetc
43

UNIVERSITY OF GUJRAT (UOG)

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Mughni
Capital to be Brought in by Partners =
Borrowed Amount (Loan)
=
Total Initial Investment

Rs. 15, 00,000

Rs. 15, 00,000
Rs. 30, 00,000

KEY ASSUMPTIONS
Revenue is Increased @ 20% per Year
Cost of Services is Increased @ 15% per Year
Salaries are Increased @ 5% each Year
Repair and Maintenance Expenses are Increased @ 20% each Year
Fuel and Utilities Expenses are Increased @ 10% per year
Retained Earnings are 75% of the Net Income
Interest Rate on Loan is 14%
Rental value of tender increased annually by 10%.
Other assumptions are further mention in the notes to these projected
financial statements.

UNIVERSITY FUN LAND

INCOME STATMENT
FOR THE YEAR ENDED ____.

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UNIVERSITY OF GUJRAT (UOG)

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Mughni

DISCRIPTION

REF.

NET REVENUE

01

5,896,800

Salaries
Stationary Expense
Rent Expense
Marketing and
Promotion
Repairs and
Maintenance
Electricity Expense
Phone and Internet
Misc Utilities
Depreciation Expense

02

1452,000
1,000
1200,000
16,000

03
04

250,000

05

Total Expenses
OPERATING PROFIT
EBIT
Interest on Loan
Expense
Profit before Tax
Tax (5%) of N.I

NET INCOME
Retained Earnings 75%
OF N.I

45

RS.

UNIVERSITY OF GUJRAT (UOG)

500,000
96,000
50,000
195100

3760100
2136700

2136700
210000
1926700
96335

1830365
1372774

BUSINESS PLAN

Muhammed

Mughni

UNIVERSITY FUN LAND

BALANCE SHEET
AT THE YEAR ENDED ____.

ASSETS

RS

FIXED ASSETS
Snooker
Carom
Computers
Play Stations
LCDs
Sound System
Furniture & Fixture
Projectors
Office Equipment
Security Cameras
A.C.s
Generator
Lights fans And Dcor
Table Tennis
Shooting Gun

160,000
2000
600,000
125,000
250,000
50,000
300,000
75,000
10,000
15,000
100,000
200,000
50,000
25,000
25,000

NET FIXED ASSETS

19,87,000

CURRENT ASSET
Cash in Hand
Cash at Bank

3,00,000
5,10,000

TOTAL CURRENT ASSETS

8,10,000

TOTAL

27,970,00
0

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UNIVERSITY OF GUJRAT (UOG)

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Mughni

RS.
15,00,000
200000

LIABILITIES
Loan
Profit Payable to Partners

TOTAL LIABILITIES
EQUITY

1700000

Retained Earnings
Capital

1372774
275774

TOTAL

2797000

NOTES:
NOTE # 1
TOTAL ANNUAL REVENUE
Total Annual Revenue from Games

Year 1 (Rs)
5,896,800

TOTAL REVENUE

5,896,800

It is assumed that:
There are 360 working days in a Year.

AVERAGE DAILY REVENUE FROM GAMES

Games

Snooker
Carom
Table Tennis
Shooting
Gun
Chess
Card-Board

Computer
47

Descriptio
n

Rates
in Rs.

Minimu
m
Players

Equipme
nt
Available

6x12
Table

100

50
100

2
2

2
1

30

100
75
50

2
2
2

3
2
2

3
3
5

1,800
900
1,000

100

3,500

Single
Player

Monopoly
Word
Puzzle

UNIVERSITY OF GUJRAT (UOG)

Usage

Daily
Reven
ue

3,200
5
5

1,000
1,000
480

BUSINESS PLAN

Muhammed

Mughni
Games
Play Stations

P.hour
100
P.hour

Single
Player

Total
Revenue

3,500
16,38
0

NOTE # 2
SALARY

DESIGNATION

SALARY/MONT
H (RS.)

General Manager
Manager
Operations
(Computer Games )
Manager
Marketing
&
Promotions
Manager
Operations
(Manual Games)
IT Specialist
Sweeper
Security Guard

Year 1
RS

25,000 300,000
25,000 300,000
25,000 300,000
25,000 300,000
15,000 180,000
3,000
36,000
3,000
36,000

Total

121,000

1452,0
00

Note # 3
TENDER RENT MONTHLY
The building is acquired on Rent and as per agreement the monthly rent
for the building is Rs. 60,000 for the first 5 years. The Rent for the First
year is to be paid in advance
Monthly Rent = Rs. 100,000
Annual Rent = Rs. 100,000 x 12 = Rs. 1200,000

NOTE # 4
MARKETING AND PROMOTIONS
Unit
s

Banner (Flex) (i)

48

Cost/u
nit
Rs

Total

8,000

8,000

Rs

UNIVERSITY OF GUJRAT (UOG)

Annual
Cost
Rs
8,000

BUSINESS PLAN

Muhammed

Mughni

Brochures
Standee

2,00
0
2

6,000

6,000

1,000

2,000

2,000

Total

16,000

NOTE # 5
DEPRECIATION
ASSETS

COST

Snooker

160,00
0
2000
600,00
0
125,00
0
250,00
0
50,000

Carom
Compute
rs
Play
Stations
LCDs
Sound
System
Furniture
& Fixture
Projector
s
Office
Equipme
nt
Security
Cameras
A.C.s
Generato
r
Lights
fans And
Dcor
Table
Tennis
Shooting
Gun
Total
49

RESIDUAL
VALUE
20,000

BOOK VALUE
140000

DEPRECIATIO
N RATE
10

ANNUA
L DEP
14000

500
75000

1500
525000

10
10

150
52500

15000

105000

10

10500

30000

220000

10

22,000

5000

45000

10

4500

300,00
0
75,000

50000

250000

15

37,500

10000

65000

10

6500

10,000

500

9500

10

950

15,000

2000

13000

10

1300

100,00
0
200,00
0
50,000

20000

80000

15

12000

40000

160000

15

24000

2000

48000

10

4800

25,000

3000

22000

10

2200

25,000

3000

22000

10

2200

20870
UNIVERSITY OF GUJRAT (UOG)

195100

BUSINESS PLAN

Muhammed

Mughni
00

APENDIX
We the students of MBA 3rd semester at UOG are going to conduct a research on
the making a Gaming Zone in UOG, and we have to collect some data about
the opinions of students of UOG. All data will be kept confidentially.
Name______________
Gender_____________
Department__________AGE :( 18 - 25) / (26-35)
Tick the suitable answer.
1- Games are healthy activity for students.
(A) Strongly Agreed
(B) Agreed
(D) Disagreed

(E) Strongly Disagreed

2- I did in my spare time in university.

(A) Sit Idle
(D) Study

(B) Play Games

(C) Gossips
(E) Others

3- I am interested in playing games.

(A) Yes
(B) No
4- Games I like to play.
Play Station or Computer Games
50

UNIVERSITY OF GUJRAT (UOG)

(C) Neutral

BUSINESS PLAN

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Mughni
Cards
Snooker
Table Tennis
Hand Ball
Bowling
Others
5- Time which I spend in playing games.
(A) Half Hour
(B) One Hour

(C) Two Hour

(D) More than two hour

6- I feel that university must provide the facility of playing games on daily
basis.
(A) Yes
(B) No
7- University has the gaming zone facility for students.
(A) Yes
(B) No
8- I want to have gaming zone in university to enjoy various games with
my friends.
(A) Strongly Agreed
(D) Disagreed

(B) Agreed

(C) Neutral

(E) Strongly Disagreed

9- I feel its a good way of providing refreshment opportunity for students.

(A) Strongly Agreed
(B) Agreed
(C) Neutral
(D) Disagreed

(E) Strongly Disagreed

10-I like to visit gaming zone if it exist in university.

(A) Strongly Agreed
(B) Agreed
(D) Disagreed

(C) Neutral

(E) Strongly Disagreed

.
.

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UNIVERSITY OF GUJRAT (UOG)