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Students : Ngo Van Tam
              Phạm Thuỳ Dương


Tutorial : 2_BA 06
Tutor : Ms.
Subject : Entrepreneurship
1. General information

 2. Describe products & services

   3. Rationale

     4. Mission

       5. Start-up expense

  ...
 Name:      “LachCach-LachCach”

 Description : Hotpot Conveyor Restaurant

 Location    : Pham Ngoc Thach street

    ...
2. DESCRIBE PRODUCTS &
       SERVICES

        Next few years:
              Cored products: hot pot conveyor
         ...
3. RATIONALE

    New delivery meals ways in
     Vietnam: try and explore.
    “Conveyor restaurant”:
     Potential tr...
4. MISSION OF STAMENT
“LachCach - LachCach” offers fine meals of hotpot
conveyor taste, excellent services and great atmos...
5. STARTUP-EXPENSE
(In thousand VND)
6.1. INDUSTRY ECONOMIC
        FEATURES
           Marketing innovation:
               restaurants invest more to adver...
6.2. DEMOGRAPHICS

      Hanoi Population:    6,448,837 people
      Population density: high but not equally distribute...
6.3. S.T.E.P FACTORS


       Politics:
          Starting a business: takes 50days (2 days longer than
            in t...
6.3. S.T.E.P FACTORS (CONT.)

          Economy:
            Steady economic development 2009
             boosted cosum...
6.3. S.T.E.P FACTORS (CONT.)


          Social Culture:
             Dual working parents
                • higher inco...
6.4. FIVE FORCES ANALYSIS
 Rivalry:
     Competition is fierce
     4 conveyor hotpot restaurants in Hanoi
         • n...
6.4. FIVE FORCES ANALYSIS
                                      (CONT.)


 New Entrants:
     low
     entry-barrier: h...
7.1. KEY SUCCESS FACTORS

   high quality service
   enjoyable atmosphere
   with reasonable price
   at a convenient ...
7.2. S.W.O.T ANALYSIS
                                                                      Helpful                       ...
7.3. COMPETITIVE
           ADVANTAGE ASSESSMENT
                                       KichiKichi                        ...
KICHIKICHI & HOA BINH
       OSAKA
8. COMPETITIVE STRATEGY
              Best cost provider


     Conveyor is implemented to cut costs.
        replace nu...
8. COMPETITIVE STRATEGY
                        (CONT.)
                Best cost provider

     High quality service
   ...
9. ACTION PLAN
 Sep 2010:
     Form the business group
     Raise funds: apply papers to banks
 Nov 2010: Submit busin...
Lach cach finalversion
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Lach cach finalversion

  1. 1. Students : Ngo Van Tam Phạm Thuỳ Dương Tutorial : 2_BA 06 Tutor : Ms. Subject : Entrepreneurship
  2. 2. 1. General information 2. Describe products & services 3. Rationale 4. Mission 5. Start-up expense 6. Macro economic 7. Micro economic 8. Competitive Strategy 9. Action plan
  3. 3.  Name: “LachCach-LachCach”  Description : Hotpot Conveyor Restaurant  Location : Pham Ngoc Thach street - Dong Da district – Ha Noi  Contact: Phone: 0983090710 Fax: Web: http://laulach-cach.com
  4. 4. 2. DESCRIBE PRODUCTS & SERVICES  Next few years:  Cored products: hot pot conveyor dishes.  Additional: Wines, Beer, Soft Drinks.  In long-term: expanded-conveyor dishes: Sushi, fried dishes, others.
  5. 5. 3. RATIONALE  New delivery meals ways in Vietnam: try and explore.  “Conveyor restaurant”: Potential trend in restaurant industry.  6.5 mil ppl in HN(2009): high demand, easy to adapt with new things
  6. 6. 4. MISSION OF STAMENT “LachCach - LachCach” offers fine meals of hotpot conveyor taste, excellent services and great atmosphere. Our goal is to provide our customers with an entire dinning experience that exceeds their expectations on every visit. young and old, male and female in Hanoi and Vietnam market.We provide the great work environment and value the people who work for us. LC-LC wants to be the restaurant of the first choice of the mature and adult crowd, couples and singles, etc.
  7. 7. 5. STARTUP-EXPENSE (In thousand VND)
  8. 8. 6.1. INDUSTRY ECONOMIC FEATURES  Marketing innovation:  restaurants invest more to advertise their images  Changing lifestyles  higher income + busier  customers eating out more frequently  Growing buyers’ preferences for differentiated products & professionalism in services  customers demand higher
  9. 9. 6.2. DEMOGRAPHICS  Hanoi Population: 6,448,837 people  Population density: high but not equally distributed  Average density: 1,979/km2  Dong Da ward: highest density, 35,341/ km²  Average income per capital: 2,600,000 vnd/month favorable condition for service businesses
  10. 10. 6.3. S.T.E.P FACTORS  Politics:  Starting a business: takes 50days (2 days longer than in the world)  Obtaining a business license: easy  Types of taxes: • A license tax • Value- added tax (VAT) • Personal Income tax ( since 2009)
  11. 11. 6.3. S.T.E.P FACTORS (CONT.)  Economy:  Steady economic development 2009 boosted cosumer foodservice.  Howerver • In first two months 2010, CPI increased 3.15% • Mar 2010, SBV pass through Agreed Interest rate policy => higher i/r = 18% • Prices of petrol, electricity& water: increases => business incurs higher costs
  12. 12. 6.3. S.T.E.P FACTORS (CONT.)  Social Culture:  Dual working parents • higher income • busier eating out more often  Technology  Advanced management softwares  Eg: eBizRes, OC Pro, POS software.
  13. 13. 6.4. FIVE FORCES ANALYSIS  Rivalry:  Competition is fierce  4 conveyor hotpot restaurants in Hanoi • namely Kichi Kichi, F1, Genki and Hoa Binh Osaka • financially intensively invested • have already advantaged as the first movers to the market  Substitutes:  Substitutes: individual hotpot, buffet hotpots  Prices : relatively competitive too.  Customers’ perceived level of product differentiation: medium  threat is high
  14. 14. 6.4. FIVE FORCES ANALYSIS (CONT.)  New Entrants:  low  entry-barrier: high (require large fund, expertise& management  Bargaining power of customers  high  substitutes are widely available  buyers’ switching cost: low  customers: price sensitive  Bargaining power of suppliers  medium  degree of differentiation of inputs: high  many suppliers: VISSAN, Dong Phuong Food Com, King Ngu, VIKOTRA.
  15. 15. 7.1. KEY SUCCESS FACTORS  high quality service  enjoyable atmosphere  with reasonable price  at a convenient location
  16. 16. 7.2. S.W.O.T ANALYSIS Helpful Harmful to achieving the objective to achieving the objective Strengths: Weaknesses: attributes of the environment  catch market trend-> excited to  New brand Internal origin customers  Lack experiences  prices: 10% lower than competitor  Financial sources: limited  restaurant exterior: stylish & elegant  items: variable ( over 30 items)  Professional staff Opportunities: Threats:  located in the crowdest ward in  Higher inflation, higher prices of petrol, attributes of the environment Hanoi (Dong Da ward) water, electricity  families cut down External origin spending  A new road nearby ( Xa Dan)  Diseases& food scandals: mad cow disease, => sources of customers: huge foot and mouth disease, H1N1, food poisoning,etc.  Operating costs: increase as the business is at early stage of development
  17. 17. 7.3. COMPETITIVE ADVANTAGE ASSESSMENT KichiKichi HoaBinh Osaka LachCachLachCach Location Convenient Convenient Convenient Parking area Yes Yes Yes Decoration Nice Scenic Stylish, elegant Nice & friendly but in peak time, they usually omit Unprofessional: talkative, curious, Nice, polite, responsive, friendly, Staff quality customers irresponsive creative, well- organized Unorganized, in peak time, they work in a mess Food Normal Delicious Very delicious Expensive Reasonable Lunch: 190,000 VND Price 11 100,000 VND Dinner: 210,000 VND Yes. Customers served w/ free fruit & Waiting place No No drinks when waiting Official website No Yes Yes Marketing strategy Yes Yes, but not much Yes Others Poor conditioners: some customers are hot Good F Internet & Wifi No No Free Wifi
  18. 18. KICHIKICHI & HOA BINH OSAKA
  19. 19. 8. COMPETITIVE STRATEGY Best cost provider  Conveyor is implemented to cut costs.  replace number of waiters/waitress lower HR expenses including salary, compensation and management lower prices price offered 100,000 VND/person, free drinks In holidays and weekends, discounted.
  20. 20. 8. COMPETITIVE STRATEGY (CONT.) Best cost provider  High quality service  Staffs are well educated, friendly, responsive  Customers will be provided with a clear instruction how to have meals  Those who have to wait also can seat at comfortable chairs and are served with free drinks and food  Free WIFI  Use management softwares to control revenue, expense, inventory, customer information and our HR => utilizing the capacity.
  21. 21. 9. ACTION PLAN  Sep 2010:  Form the business group  Raise funds: apply papers to banks  Nov 2010: Submit business start up registration  Jan 2011: Find location  Mar 2011 ( beg):Recruit process  Mar 2011 ( end): marketing campaign  Aprl 2011:  Sign lease contract  Decoration & build equipment  Train staff  Recruit process  30th Aprl 2011: Opening ceremony

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