The business we like to propose is a café for student studying purpose only. The café is named “Distinct Café”, it mostly serves F.5-F.7 and HKU students. The students can do revisions, interact with peers, eat and drink.
By analyzing the general environment, we found that students are difficult to find a place for their study. Even if they can find a place in the self-study room, there are strict rules applied so that the students are not allowed to communicate, talk, eat or drink, but communicate is very important in today’s studying curriculum, also for most students, they have a habit that they like to eat and drink during revising . As a result, this is an opportunity ...view middle of the document...
The missions of our café are (a) Provide a well-organized environment for studying; (b) Keep the beverage and food in high standard; (c) Maintain a friendly relationship between customers and (d) Provide a customer oriented environment.
The goals of the café will be divided into two parts, (a) Financial goal, (b) Strategic goal. For financial goal: (a) Maintain a long run and profitable business; (b) Stable earning during summer holidays. For Strategic goal: (a) A bigger market share; (b) A stronger reputation among students..
Location & Shop selection
The location of the café is Sai Ying Poon. There are about 10 secondary schools and HKU in the district, that is there are about 3000 potential customers around there. Our target markets are students who are preparing for open exams like HKCEE and HKALE, also the HKU students. For district selection, the specific environment of the district is analyzed. By researches, the number of competitors is not as a threat of the business, there are only three to four cafes in the same district and all of them are not featured in studying purpose. Also there is no public library and there is not much facilities like youth centers for students to study.
For the shop selection, the decision criteria are (1) the number of students nearby, (2) the rent, (3) the area of the flat. After weighted the three criteria, the most important factor is the number of students nearby as our customer base is students. As a result, the café is decided to locate at the centre of the schools area. Also, our café is about 800-1000 ft and equipped with about 60 seats, the maximum capacity is about 50-55 students
Supplier Selection and Employment
For selecting supplier, the decision criteria are (1) The reputation of the supplier; (2) The quality of the goods; (3) The price of the goods. After allocating weighs to these 3 factors, as we are running a small business, the capital is limited. So the most important factor will be the cost, so the supplier with lowest price is being selected.
For hiring employees, there are two decision criteria. Hiring people with low educational level. They can be paid with a lower wage, $25-$30 per hour. Alternatively, hiring people with university level, because they have the technical skills required to help student to solve difficulties in studying, but they need to be paid with a higher wage, $80-$100 per hour. According to a research1 aimed to students who are participating HKCEE and HKALE, the students reflect that it is much more attractive if there are tutors presented in the café. As a result, 3 university students in different subjects (Science, Commerce, Literature) will be hired in peak period and, two normal employees in non-peak period.
According to the research1 mentioned, the students concern most are (1) no smoking area, (2) the environment cannot be too noisy. “You will never get a second chance to make a first impression”2. First impression is...