SACHDEVA GIRLS COLLEGE

(Affiliated to Punjabi university Patiala )

A PROJECT REPORT ON ENTREPRENEURSHIP-

Submitted To – Miss Navneet kaur
- (Assistant professor )
-. ( Commerce Department )
Submitted By -Jaspreet kaur
Roll no. – 18301
Course - BBA 4th semester.
 Acknowledgement-
There are several claimants for my gratitude in the task of preparation
of this project .I feel very happy and deep sense of respect towards my
adviser and guiders Mrs. Harpinder kaur , Miss Navneet kaur ,
mrs.Vandana Sharma ,whose timing supervision and guidance has given
me the moral boost in doing this work fine and furnished .I would like
to express my thankful to them for giving me a chance to work in the
field of enterpenuer and line which is interesting and wonderful .
I am greatly indebted to his invaluable advice and support
in almost every aspect of my academic life . I am very much thankful to
Miss Navneet kaur ( coordinator ,professor of our business
administration) for her continuous encouragement and support .My
sincere thanks go to Mrs. Vandana sharma (Head of our department)
for her business suggestions to improve the quality of this project .

Jaspreet kaur .
BBA 4th semester .
Roll no. 18301.
Why we choose this project Fast food: The purpose of measuring that
various factors that effect the choice of fast food outlets by Indian
young consumers .the authors analysed the consumption
pattern,impact of hygiene and nutritionist values and rating of various
attributes of mc Donald .They have high value taste and quality.
INTRODUCTION-
Executive summary-
Fries is a locally owned fast food outlet that will be positioned
as an international franchise through our creative approach to
the company's image and detail presentation. Fries will provide
a combination of excellent food at value pricing, with fun
packaging and atmosphere. Fries is the answer to an increasing
demand for snack-type fast food, to be consumed
while window shopping and walking around inside a shopping
mall.

In today's highly competitive environment, it is becoming

increasingly difficult to differentiate one fast food outlet from
another. Chandigarh, a city state, is now becoming the model
metropolis for Asia's new economic boom.

Our main priority is to establish one outlet in a crowded mall,

preferably in one of prominent shopping malls in Chandigarh.
Later, our effort will be a further development of more retail
outlets in the surrounding area.

This plan is prepared to obtain a location for the initial launch

of this concept. Additional financing will need to be secured for
the two subsequent outlets, anticipated in month 13 and early
in year three. The financing, in addition to the capital
contributions from shareholders, will allow Fries to successfully
open and expand through year .
 The initial capital investment will allow Fries to provide its
customers with a value-driven, entertaining experience through
the creativity of its founders.

Fries will entice youngsters to bring their friends and family

with our innovative environment, fresh-cut fries, and selection
of unique signature dipping sauces.
Mission-

❖ Our main goal is to be one of the most successful fast food

outlets in Punjab , starting with one retail outlet located
inside a major shopping mall as a "market tester."
❖ Fries will strive to be a premier local fast food brand in the
local marketplace.
❖ We want our customers to have the total experience when
visiting our outlet(s) and website as they will learn about
this fascinating new "pop culture."
❖ We will sell merchandise from pre-packaged sauces and t-
shirts, to potato cutters, all with our official brand attached
to them.

❖ Our main focus will be serving high-quality food at a great

value.

Keys to Success-To succeed in this business we must:

❖ Create a unique, innovative, entertaining menu that will
differentiate us from the rest of the competition.
❖ Control costs at all times, in all areas and implement a
conservative approach to growth policy.
❖ Although, we provide more than enough fund to open more
than one outlet, we want to be on the safe side of the
business.
❖ Sell the products that are of the highest quality, as well as
keeping the customers happy with all of our product
categories from food to store merchandising.
❖ Provide 100% satisfaction to our customers and maintaining
the level of excellent services among other competitors.
❖ Encourage the two most important values in fast food
business: brand and image, as these two ingredients are a
couple of main drivers in marketing communications.
❖ Get access to high-traffic shopping malls near the target
market.
❖ Promote good values of company culture and business
philosophy.
Products-
We want to focus only on selling fries. Alcoholic drinks will not
be sold in our outlet, as Fries promotes a healthy and positive
Chandigarh’s lifestyle. Instead, we will offer ISoda to
complement the fries.

In promoting the Fries lifestyle, we will offer various

merchandise with our logo and colors, from hats to t-shirts to
potato cutters to our signature sauces, so that our customers can
enjoy Fries at home. Our signature sauce is exclusively
manufactured by Company Q. They can be also purchased at
selected retailers.

Product Description-

Fries primarily sells fries and our unique dipping sauces. Main
products sold are: fries, sodas and corporate merchandise.

The dips for style fries can also be served with sandwiches;
they are available in more than 20 flavors:

• Pesto Mayo
• Satay Sauce
• Thai Chili Ketchup
• Creamy Wasabi
• Roasted Pepper
• Lava Cheese
• Black Pepper Sauce
• Curry Ketchup
• Traditional Sambal
• Hot Chili Sauce
• Garlic Dip

Sourcing-

✓ Fresh potatoes will be delivered weekly by our distributor directly from the
Restaurant.
 ✓ We also have an agreement with Company Q to exclusively manufacture our
signature sauces, and all of our merchandise will be printed and produced by our
partner's office in different district.

Sales Programs-

Each opening of Fries will have, more or less, the same marketing mix as the others.
Below are the programs that we will develop to open each location.

Grand Opening-
Each new outlet will have outdoor signage as soon as possible. We want the signage to be
supported by banners before the opening.

Point of Purchase-
We will use "tray toppers" to explain the concept and philosophy of Fries. We will also
sell gift certificates, announce future job openings, and possibly mention franchise
opportunities.

Direct Mail Piece

A stand-alone piece, folded, will be produced in full color on heavy weight paper. Inside
will be all the important details of Fries, explanation of our menu, prices, house of
operation and a locator map.
 Future products – we will now focus on selling fries and
signature ,sauces,however as we grow on further ,we will add
new categories to our menu.
In the future, our growth strategy will be offering the franchise of our
brand to food entrepreneurs in the region.

Value Meal-

Sales of Fries will not only generated from the selling of its famous city of Fries,
but also will be generated by the conception of an innovative package menu called
the "value meal." It primarily consists of a combination of our featured as
sandwiches and soda at greater value than selling at individual items. Further
customization could be done by selling a bigger size .

Private Parties-
Brochures and handouts will explain that we can handle banquets and
private parties, in addition to our brochure that will list it.
Market Analysis-
A much broader appeal exists for weekend slots because those
are the days when most of our core target market enjoys the mall
going activities.

• Age - Youngsters, single, currently enrolled in college and

high school.
• Family unit - We will also appeal to families (young families)
with children.
• Gender - We will target both sexes, with a slight skew for
males due to their lower attention to dietary concerns.
• Income - We will appeal to the medium income individuals
and to all in the lower medium income bracket.
Our concept will have very broad appeal. It is our goal to be
the hip destination for fast food cravings.

According to a recent public survey of people 15 - 45 years old,

80% of those interviewed like fast food. 90% of them like fast
food on a regular basis, and 10% of them claimed that they like
fast food "very much," or "love" fast food. The survey also
provided the following particular reasons for the increasing
popularity of fast food:

• People have 52 weekends and three long holidays a year.

Most of people, love to window shop, and when they do
strolling around the shopping district, they need a quick bite
to accommodate their activities.
• White-collar workers in offices have stopped bring lunch,
and enjoy chicken, hamburger, pizza or other fast food joints
in the vicinity.
• Parents give more money to kids and students to buy lunch.
Fast food is naturally their first choice, because of the brand
building effort that heavily targets their age group.
• Eating out still remains as common habit of life. They do not
perceive fast food is a luxury, and they enjoy it by bringing
their family, especially if they have smaller kids, in the
environment of the western fast food outlets.

Market Segmentation-

We are targeting young Punjabis as our primary market. Chandigarh is

the place to meet and hang out after college or job.Due to heavy extra-
curricular activities among youth, it is common for high people to have
lunch inside shopping malls, and not at home. They tend to flock to fast
food joint inside shopping malls Our secondary market segment is the
"Working urbans." With so many shopping malls in the vicinity, 22
market is the haven for shoppers and job seekers alike. In the Shopping
Centre, there are more than 8,00 workers currently working as sales
persons and boutique staff. There are more than 10 major shopping
malls across this Road, including 17’market,thebiggest shopping mall in
the nation, employing more than 50,00 workers.

Target Market Segment Strategy-

• Fries intends to cater to the bulk of teenagers and youngsters in

Chandigarh.

• We have chosen this group for several important reasons. It is our

goal to be "the extraordinary fast food place".

• we believe that the age group from 15 to 25 is the primary age

where brand building efforts could take place.

• They are on limited or fixed incomes and seek a value/price

relationship that will not stretch their budgets.
 ❖ Our secondary target is between the ages of 25 and 37, which are
a heavy lounge/restaurant user group.

❖ They are more flexible in budgets and seek more than a value/price
relationship.

Our lunch strategy is dual purposed. First, we are featuring fresh fries to
fill chandigarh 's craving for fast food as most ideas of lunch is a quick
bite not a heavy meal.

Second, we want to keep the price point at lunch as fair as possible to

keep us in competition with other fast food outlets. At Rs. 50 for a
medium size fries, we are only slightly above the segment, but we offer
much more excitement than the rest of the competiOn.

Fries sees our targeted market group as having (eating) identified the
following needs among our target markets. Our core group:

❖ Wants variety and flavor in its food, preferably something fried

❖ Looks for speed of service
❖ Wants an entertaining and fun experience
❖ Insists upon a clean, friendly, and attractive environment
❖ Adopts a global lifestyle
❖ Is computer literate
❖ Enjoys eating out
❖ Has an active lifestyle
❖ Comes from various ethnic backgrounds
Market Trends-

In the past, chandigarh is preferred Western chain restaurants. This was

the time when KFC, McDonald's, Long John Silver's and Pizza Hut were
dominating most of the chains. But the trend seems to have shifted in the
last decade, with the success of the locally grown brands, such as Bread
Talk .Many of these local brands grew to become giant franchises that
dominate the Southeast Asia region. For instance, Bread Talk controls
55% of Indonesia's bakery market.

The key to success for these foreign chains was mainly due to the
popularity of chandigarh as tourist destination for these countries.
Tourists are the strongest "buzzer." Usually after they went back from
vacationing in chandigarh , they told friends and families about new
things in Chandigarh including new shopping malls, new boutiques, new
restaurants, and new fast food joints. The fascination of Asian tourists
coming to chandigarh has positioned the city itself as an aspiration to
modern life in the region.

Many local entrepreneurs camouflaged their retail stores as an

international brand in accordance to what they sell. For instance, there is
a local entrepreneur who created a Japanese name to sell yakitori
(Japanese BBQ meat skewers), and there is a fashion boutique named
after an old Italian movie.
Industry Analysis-

Despite the prolonged effects of the Asian Economic Crisis followed by

political turmoil up to mid 2001, Singapore's food service industry
witnessed growth over 2000/2001 at 4 - 5% in terms of units and
transaction . Much of this growth was contributed by the cafes/bars, fast
food, and food retail sectors, whose wide appeal amongst a young
population, for whom time is of a premium, led to high levels of growth.
This growth is underpinned by market demand and lifestyle changes,
such as seeing eating out as part of trendy lifestyle.

Entry of major multi-national food service operators into major shopping

destination in the late 1980s until the 1990s led to growth in competition
in the marketplace, mainly from fast food chains. This stimulated the
rise in the number of fast food units, both of international and local
chains, that started in the early 1990s. Although there was a slowdown
during the economic crisis in 1998, the food service industry recovered
faster than others, particularly during 2000 and 2001. Recent bombing
tragedies have also proven that negative effects on this sector are
moderately short-term.
Franchising became popular in the food service industry through the
introduction and entry of multi-national food service brands, primarily
U.S.-owned enterprises, such as KFC, Pizza Hut and McDonald's.
Currently, there are many local chains that have also experienced growth
by applying this system to their operations.

Trends in Food Service Retail-

According to government surveys, chandigarh s spending on "eating

out" is continuing to increase. Spending on cooked food as a percentage
of total average food-spend reached 55% in 1998. The growth in
spending in the food service sector arises from a number of factors:

When they want convenient cooked food, chandigarh have long

turned to the local hawker stalls, rather than prepared ready-
to-cook or ready-to-eat processed convenience foods. As the
numbers and variety of food service outlets has increased in
Chandigarh locals have adopted the convenient products of
other food service outlets, especially the fast food outlets, as
alternative sources of convenient cooked food. Younger middle
and upper income group families and individuals are also
frequent users of the full service restaurants, modern-style
coffee shops and cafés that now exist all across chandigarh .

Over the past 5 years, there has been a general upgrading in

the food service sector which has seen the establishment of
more air conditioned food centers (food courts) that are
considerably cleaner than the traditional hawker markets. At
the same time, increased investment from foreign and local
businesses in the sector has also produced an increase in the
numbers of:

❖ Foreign chains, including chains such as Outback

Steakhouse.
❖ Modern retail bakery/café outlets such as Bread Talk.
❖ Modern coffee shops such as Starbucks.

Health impacts -

Competition and Buying Patterns-

The competition in this arena is the fiercest in all other

metropolitan areas in North . chandigarh is a compact city, but
has a lot to offer. Usually there are a minimum of two of the
same outlets within a radius of less than 300 meters. Shopping
Centre and another just across the street inside the Far East
Plaza Shopping Centre. It is quite common for retailers to
implement this kind of strategy, due to the high volume of
people strolling around the main area..

Another reason is because many retailers do not want to lose

sales opportunity, as the competitors are offering substitutions
and similar product categories. This phenomenon has made
chandigarh are the best place to shop.

Main Competitors-

Our main competitors in this segment are any food outlets

within the 300 meter radius along the panchkula . In our
location, there are Pizza Walker, Starbucks, Bread Talk, and Roti
boy.

Tori-Q:
Tori-Q is locally owned franchise who sells Japanese BBQ
skewers. Established in 1998, Tori-Q had expanded its
operation into neighboring countries.Tori-Q is popular among
local teenagers as it offers fast service to its customers.
Commonly, Tori-Q outlets are rather small, and can only serve a
maximum of 6 guests. It is a choice for those who are in a hurry
and would like to grab a quick lunch on the way.
Pizza Walker-
Pizza Walker is a joint venture positioned as gourmet pizza joint
in chandigarh. Most of its retail outlets are decorated with
welcoming ambience, such as flowers and see-through
kitchens. Pizza Walker is a good place to hang out, and the
place is always full during lunch hour. It has more than enough
tables to serve a maximum of 55 guests. Its specialty is all-you-
can-eat pizza.

Starbucks
Starbucks' strategy entering the lunch market had made some
impact in foreign countries.Usually, a lunch menu in chandigarh
consists of "fried and BBQ stuff" such as roast pork with rice or
the Big Mac. Starbucks is one of the first food retailers that
popularized "light and healthy" alternatives such as salad or
lean sandwich as an options for chandigarh's lunch
accommodations.

Bread Talk-
As the most successful franchiser in chandigarh , Bread Talk is
surely becoming a threat for most food retailers. Bread Talk not
only rented most of the retail space along tribune chonk. but
now they are doing delivery to offices and apartments nearby.
Bread Talk outlets usually consist of a huge see-through
kitchen, and bread trays ready for pick-up by customers, with
three or four cashiers at front, to speed up the queue. Rumor
has it that Bread Talk sold more than 35,000 breads each day in
just one of their retail outlets.
Roti boy-
A Malaysian franchise. Roti boy is quite popular in the region as
it is now expanding into several cities .Roti boy offers simplicity
for quick lunch franchiser, and often considered alternatives for
its long queueing rivals

Competitive Edge-
❖ Our unique dipping sauces blend local taste and
international into one fusion recipe for the signature sauce.
❖ Enthusiastic and friendly staff
❖ Supporting merchandise items that support company's
brand building.
❖ Our fries are made of 100% fresh potatoes, unlike the frozen
fries used by competitors.
❖ Innovative packaging will position us at the same level with
foreign fast food franchises.
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Marketing Strategy-
Our strategy is based on serving our markets well. We will start our first
outlet as a "market tester" that could become a model of the expanding
number of outlets in the future. Concentration will be on maintaining
quality and establishing a strong identity in the local market.

A combination of local media and local store marketing programs will

be utilized at each location. Local store marketing is most effective,
followed by print ad. As soon as a concentration of stores is established
in a market, then broader media will be explored. We believe, however,
that the best form of advertising is still "buzz." By providing a fun and
energetic environment, with unbeatable quality at an acceptable price in
a clean and friendly outlet, we will be the talk of the town. Therefore,
the execution of our concept is the most critical element of our plan. We
will actively build our brand, through the selling of supporting materials,
such as merchandise, promotional items and other marketing gimmicks
similar to those of other fast food franchising Strategy.

Pricing strategy-

Our pricing strategy is positioned as "generic", meaning that Rs 50 and

it is the average consumer spending for a snack or light lunch in
chandigarh. Leveraging the volume of fries, Soda, and signature style
sauces to be sold, we are serving the majority of Chandigarh’s.

Brand Challenges,-

Resin Fries must establish a distinct brand to stand out from the other
Western-style fast food competitors.
• Our logo is distinct as fresh, energetic and playful with color
elements that are eye catching.
• Product names are geared toward the target market (teens), with
items such as "Frenzy fries" and "Uber fries" which are fun and easy
to remember.

• Marketing programs:
We will deploy three different marketing tactics to increase customer
awareness of Fries. Our most important tactic will be "word-of-mouth"
and in-store marketing. This will be by far the cheapest and most
effective of our marketing programs because of the high traffic in
targeted shopping locations.

The second tactic will be local store marketing. These will be low-
budget plans that will provide community support and awareness of our
facility. The last marketing effort will be utilizing local media.
Although, this will be the most costly, this tactic will be used sparingly
as a supplement where necessary.

✓ In-Store Marketing-

o In-store brochures containing our concept and philosophy.

o Wall posters.
o Design concept.
o In-store viewing of making fries process from cutting to frying.
o Standing signage inside malls’ lobby/aisle.
o Outdoor signage (if possible).
 o Grand opening promotion.
o Party catering.
o Merchandising items.

• Local Store Marketing-

o Brochures.
o Free occasional t-shirts at local stores events.

• Local Media-
o Direct mail piece – containing brochures sent to surrounding
addresses.
o Web page – containing company philosophy, history and news.
o Local magazines that target our core customers, such as Free!
Magazine.
Newspaper campaign – placing several large ads throughout the month
to explain our concept to the local area.

Positioning statement-

Focus in marketing will be to increase customer awareness in the

surrounding community. We will direct all of our tactics and programs
toward the goal of explaining who we are and what we are all about. We
will price our products fairly, keep our standards high, and execute the
concept so that “word-of-mouth” will be our main marketing force.
Sales Strategy-

Sales strategy is to build and open new locations in order to increase

revenue. However, this plan will be implemented when the one "market
tester" outlet showed potential growth. As each individual location will
continue to build its local customer base over the first three years of
operation, the goal of each store in annual sales, with the original
flagship store expected to earn almost 1lac year.

Sales Forecast- participate the highest peak on the months of

November and December in our sales forecast, due to the holiday
seasons. In November, there is Ramadan, and for non-muslim , it means
vacation time. Many of tourists come there mostly for shopping and
dining. Then in December, we anticipate more tourists coming into
chandigarh; this explains the jumped of sales in these last two months of
the year.

Financial Plan-

The company is now privately held by Harry Hip, Guy Fry, Carl Cone,
and Sam Sauce. Future shares will be offered after two consecutive
years of operating in Chandigarh.

Start-up Funding-

Currently, the company is owned by the original 4 founders, who each

will contribute 200,000 for the same amount of share, 25%. This will
more than cover start-up requirements, and provide the business with a
cash cushion to use for expansion over the first three years

Break-even Analysis:

Our break-even analysis shows that we need unit sales over 9,700 per
month to break even. We do not expect to begin turning a profit until
year three.

Edit this plan

BREAK-EVEN ANALYSIS
Monthly Units Break-even 9,706
Monthly Revenue Break-even $32,104
Assumptions:
Average Per-Unit Revenue $3.31
Average Per-Unit Variable Cost $0.73
Estimated Monthly Fixed Cost $24,979
 REFERENCES- :

✓ www.research projects .com

✓ Www.fast food business slideshows .com
✓ Www. Project on fast food .net..
✓ Www. Entrepreneurship fast food .com
✓ Some of them we take material by visiting into the
restaurant and by survey of people or customer that
what actually done in real way .
✓ Some of it we find in books of our marketing
management and service marketing which we
further discuss within friends and all the teachers ,
our seniors help us.
✓ We read the business of MC Donald ,and other
foreign hotels,their customer views,by reading
newspaper .
✓ There are many restaurants that who give a
promotion through public services or advertised
their products.