Wednesday, March 6, 2019

Diesel Business Plan

BUSINESS PLAN ASSIGNMENT Creating your confess mark jeans We atomic number 18 going to come in a business where we with the attention of recognized jeans flaws either oer the b all pull up stakes give ordinary throng a chance of creating their birth pair of jeans, that still maintaining the quality and the status that the unique(predicate) stigmatise maintain for their customers. We pass on basically be a jeans selling instal but with a niche that we introduce our customers to custom ingest jeans or else of the regular mavens. We exit consumption the existing bran with its cut, bootleg and convention but we allow for give our customers the opportunity to choose well-nigh of the details themselves.For quite a little who for example indispens magnate to live a survive on jeans which taket have any wear from the original reseller we broaden the incident that at an expert level giving a pair of jeans the wear that the customer wants. Also we ordain be subject to give the jeans early(a) wash if the customer is concerned in a light liveliness of the fabric but in that location isnt any available from the track/Brand/maker. If someone wants to have any other colour or size on the main buttons we atomic number 18 able to provide that, if one wants any other kind of back pockets we atomic number 18 as well as able to provide that.Someone might want some additional motives or fabrics on their jeans. We ordain always stress to be as supple as possible and serve our clients in any way that we opera hat faecal matter. Why regulate with diesel motor We have elect to work with the trademark diesel motor, because of many factors. We will work with an pitched brand that has a square(p) customer base here in Sweden. Regarding to the survey grow intoe by ISI Wissing, diesel engine is the number 3 touristy jeans brand in Sweden, in kindred manner it qualifies for the 3rd place when it comes to customer satisfaction.Wh en it comes to using the brand, regarding this survey, it ends on 4th place. And that for us shows that there are opportunities to take this even further. Also there is a mentality among younger pile that they are attractive to the Diesel brand. whizz of the reasons wherefore, are their outstanding and peculiar commercials. They guess to show the brand as very attractive and cool and also with all their different productions they want to make a valid point that Diesel is something else then all the other brands. Its more attractive and aggressive and its there for the people who know what they want.One of their later commercial campaign are the Be Stupid commercial where they address their clothes and products to limited people that want to be something else. An example of their commercial is the following quotes Smart may have the brains, but stupid has the balls. , Stupid might fail. Smart doesnt even try. , Smart may have the answers, but stupid has all the interesting qu estions, Smart has the plans, stupid has the stories. So these are examples that they sincerely try to have their own approach and make something amusing and attractive to their customer base.And we withdraw this is one of the things that make Diesel stand out and be an attractive and popular brand to work with. (Willebrand, P, cc7), (Habitat. se, 2009) This type of product we tolerate is reduceed on a relatively young, between 18 and 35 years as a textile style, young, dynamic, unique and with character. Our tar return is to focus sales in a single product with its own identity, a trend and a reference in the textile merchandise, pay offing products for a demanding consumer sector, where each product ignore be distinguished from the rest.This product is so expensive, its foc employ on one type of consumer with a naughty economic level, but that is why our service is striking, since it is an affordable way to get what the customer as to the characteristics mentioned, facia l gestureing at the food market. We dont think that the segment with low paying jobs will be that particular arouse in our business because we think it will be too much money for them to spend on clothes. So our business is rather enjoin to people who are at the average salary and more.Preferably we take on this customer base in larger urban cities where there are enough to offer for people being interested in special branding clothes. What we merchantman fall upon a connection to might be an independent employee or an entrepreneur that already are going their own path and following their own lifestyle, not bounded to any specific rules or dress figure at their jobs. We also think that people with a specific identity can benefit from this of business venture, if you work at some place where you have a dress code that is suits or jackets for example, you are not able to wear your average sorry jeans, but you still might be a jeans guy.We then offer the possibility to chang e the color on your jeans to make them look as much as suit pants as possible and so they not stand out and look really different and conflicting from what expected. An attractive base product Our service is not unique since there are companies like Indicustom and Somconceptshop that gives the termsumer the chance to customize their own jeans. exclusively our service offers the customer a new feature in the market of customizing jeans. We want to use an attractive base product and let the customer personalize it.We looked at the other companies that were operating in the same market as us. We understood that we needed to concentrate on points of difference the benefits that flummox our product apart from the competition. Such points of differentiation are, in many cases, what consumers commend about a product. No one of the existing companies that we studied used brand/labeled jeans as the product that you could personalize. So we thought that if we use a well-known brand like Diesel as a base product that the customers could customize the way they personally want them to look but still have the quality that Diesel provides.It would unquestioningly clothe our product apart from the competition. About Diesel Diesel is an international brand, place on the clothing persistence market in over 80 comeries with 5500 points of sale, without all 5 continents. In terms of projected-in the population interested in buying clothes and brand accessories is more and more weighty thats why the companies of the clothing industry have to offer vary products to boost their sells and their fame. The brand sells al almost 3000 products from the basic pair of jeans, to the bags, belts and the house furniture.Diesel also owns 200 companies and having partnership with 100 local distributors, such as LOreal, Ford or Adidas. The main goal is to be eachwhere geographically, in different strategic areas, expanding, in that way, their international presence. Concerning th e sales and profits, the caller realized a revenue of 1,2 billions en 2008, 80 billions in France. precisely even with these good results the revenue global of the concourse doesnt really know a huge growth and on the contrary flow of 3. 5% in 2009, whereas there was a abstract of 3% in 2008.Then, even if the friendship has a healthy monetary position as its campaigns, its results and its growth shows there is no extra revenue since 5 years. Thats why we decided to create this personalize service. (Pavarini, M, 2010) shipshape e-commerce in Sweden Tailored e-commerce is on the rise if you ask the CEO of Tailor store. He expects an one-year growth of 30 percent because the aloofness trade is on the rise and growing faster than the regular store trade. Tailor Store had a sales report of 40 million last year and report a profit of 5 million after net financial items.He thinks the reason of the succeeder is because consumers have benefited greatly by including the ability to investigate and compare the products of a larger range of products and services that can be purchased at any time and from anywhere and a great opportunity to get more customized products to satisfy personal needs. And e-commerce is getting popular in the whole of Sweden 28 billion in turnover was from distance trade, e-commerce and mail order, in 2010. If you look at the numbers you can check into that it has been a doubling in sales in the last louver years and today it represents 4. percent of the total retail sales. (Melkersson, E, 2011) Competitors When we look at the fine-lookinggest competitors its hard to say who will be the biggest competitor for our business. manifestly every brand will be a competitor since we will single work with Diesel, also other stores who sell Jeans will also be a competitor to us and in Sweden especially Brothers & Sisters, JC and H&M are big competitors. Also companies who sell other brand that are big will be a competitor for us, such as r esellers for Lee who is number one in Sweden and Levis which is number two. just now if we focus specifically on our distinction from the other resellers, the custom made part, we think that companies like Tailor Store will be a big competitor for us. A troupe that already made themselves a name on the market of custom made clothes, even though they are not only limited to specific brands. If we look in to the sector with custom made clothes a lot of them are not resellers and dealing with bigger worldwide brands. Its often some smaller brand which they import and give people the opportunity to make changes to.Here is where we have a problem identifying any specific fellowship that are selling luxury brand jeans, designer jeans, with the opportunity for the customer to have the jeans custom made after their wishes. If we look at the jeans market here in Sweden it has suffered from a little fallback. About 15 million pair of jeans is sold in Sweden every year. And the competition from companies like H&M, Kappahl and Lindex are getting bigger at the cost of specialized jeans resellers revenue. (Willebrand, P, 2007), (Habitat. se, 2009) out-of-door Factors touch A BusinessThere are a oppose of external factors we are looking into when it comes to how they can affect our business 1. everyday ECONOMIC AND INDUSTRY CONDITIONS Any general economic, business or industry conditions that cause customers or potential customers to reduce or delay their investments in the jeans industry could have a negative effect on the fraternitys attitude and profitability. Currently, the world economic conditions had a bad and considerable impact on every commercial fields of the society, and the jeans industry couldnt escape from that either.Trying to launch this custom made project can be profitable for us, of course, but with that we will also try to help in a way the Diesel confederacy. 2. COMPETITION The jeans industry is super competitive. The intense competition inhe rent in the industry could result in the loss of customers or pricing pressures. 3. LOCAL ACTIVITIES The companys future growth judge and success are in-part dependent on continued growth and success in local market at first, as well try to unaffixed the custom made project worldwide after studying the results in Sweden. (Essays. cc, u. d. ).The Swedish economy emerged from the financial crisis as one of the strongest in Europe. A high-tech local economy and a comprehensive system of eudaimonia benefits allow Sweden to enjoy one of the highest standards of living in the world. Sweden has one of the most globalized and competitive economies today. GDP is expected to increase by 4% in 2010 and by 3. 7% in 2011. The welfare has been able to be kept up(p) because of the high tax levels, even if they recently have begun to decrease. Also, concerning government regulations, Swedens economic freedom score is 71. it appears that the overall regulatory and legal environment, diaphanous and efficient, encourages robust entrepreneurial activity. (Traveldocs. com, u. d. ). 4. SOCIAL FACTORS The profit margins realized by the company vary somewhat among its products and its customer business units. Like we said onwards this custom made opportunity that we are going to submit to Diesel is a product to a narrow customers base (18-35 years), and they maybe dont have the possibility to pay this kind of services. Thats why we are trying to make an arrangement with a company like Diesel who stay affordable. . TECHNOLOGICAL CHANGES AND PRODUCT TRANSITIONS The jeans industry is characterized by continue improvements in fashion and design which result in frequent excogitation of new products, brief product life cycles and continual improvement in product expenditure/design characteristics. 6. INVENTORY MANAGEMENT/SUPPLIES The companys ability to hump its inventory has been enhanced by favorable supply conditions in the industry. The companys manufacturing execute requi res a high volume of quality components that are procured from third party suppliers.The six external factors highlighted in this paper are identified as primary factors in this industry (Essays. cc, u. d. ) Enterprise resource planning and judicature runner of all we have to have our wholesale to buy the jeans from, we simply by our jeans from a supplier since its a specific brand that we will be using. We need a workstation where we do our tweaks on the jeans, since we will do the orient in-house and not outsourced. Meaning we will have a department changing buttons, sawing on new pockets on the back of the jeans, clothing them and washing them.We will buy the raw jeans models from Diesel and all the tailoring we do will be done in-house. This way we get a overview over the whole process and we will be able to cast it and see what works and what does not to be able to make changes and develop our working process and expand. In long term we possibly would like our tailoring t o be outsourced as well but then we have to get a lot of bigger volumes and sales. Our company needs to be of a local medium proportion, after asking wrongs we have chosen an shoes in the center of Linkoping, over 90m2 warehouse 100m2.The rental price 1000 per month. Costs of production / initiation of the company Machines and Computer products manufacturing business Units Euros Sewing Machine 2 1000 Washing machine 1 1000 Mac Pro Apple 1 1200 Jet color laser multifunctional printer Hp 2 750 Textil Studio 8 Macromedia 1 480 Quark Xpress 6. 1 Passport Diseno Quark 1 2. 200 Norton meshwork Security 2007 Antivirus Symantec 1 60 Total 6. 990 Furniture Product fabricater Units Euros Computer table ERISTER IKEA 4 520 Chair STEFANO IKEA 4 320 shelf FJUS IKEA 4 400Chairs IKEA 4 80 filings IKEA 4 180 Ceiling fluorescent bars IKEA 6 180 Total 1. 680 Total computer equipment and furniture company Computer equipment 6. 990 Furniture company 1. 680 Total 8. 670 Telephone rental an d adsl Local callsADSL Internet 10MG 40Per month Production process of our company First Phase In the first instance, we take care of developing the product design, according to the specifications and style that the customer provided to us. We need the measurements of the client to make the computer program design Textile Studio 8.Second Phase Then set the design by computer program, the design is sent to our textile machinery in the warehouse where the design is recreated in the pants, is embroidered, sewn and glued, additional accessories or tweaks that you must(prenominal) do the product. Third Phase. In third phase, the products pass an exhaustive interrogation of tissue and finishes, in order to verify that the product is done with the selected design and has no damage. Distribution Our field is nationwide, with an eye to expanding our international infrastructure over the medium term.As our company turnover grow fence on the market performance will be broader. The distrib ution is provided by our company is an outsourced process by which we have a freight agreement with the company MRW light which provides an optimum distribution at a reasonable price, short and medium term by increasing our relationships grow if our trade with other countries. The cost of distribution affects the final price, so that the customer pays, revenue is record in the product itself. Marketing (advertising)In the field of marketing, the company will open a website with a catalog of examples, price list, contact, and an application through which you can perform orders. We have thought hiring advertising space in newspapers to national newspapers, the expenses are high, we will follow up weekly to see the number of people responding to advertising, if it is positive we will find these services. Also we will do advertising in social networks, starting a group of our company, our website advertising, adding to people that this profile for potential buyers to our profile social. So as include in online media websites such as www. undoanuncio. com. Regarding marketing we will also try to use SEO(Search engine optimization) as much as possible to get more hits when our possible customer base browse the web and chase for companies that does custom made clothes. Implementation Plan We need to contact Diesel / a Wholesale to be able to secure our purchases of the Jeans. We need to establish a workplace where we change the Jeans into the customers wishes. Since our main sales channel will be via the internet we need to establish a homepage with the possibility to tailor your jeans and also a web store on the homepage so our customers can buy the jeans they want.We have to get some it-system that will be able to trace our orders and the specific changes the customer wants so we can make them and then ship them out to our customer. Activity COMPLETED OR UNDERTAKEN in RELEVANT Quarter OF 2011-12 Development Finding investor interested in investing in the business . 2011 Q1 Attaining the site for thebusiness and making any needed sensual developments 2011Q1- Q2 Proof-of-concept development. Need to develop a prototype for the investors to see. 2011Q1- Q4 Marketing Choose our maneuver market, the group of customers we want to target 2011 Q3 Plan how to reach and address your customers, with specific measures coveringproduct design, pricing, distribution and communication 2011 Q3 Q4 Promote the service to potential investors and buyers. 2011 Q42012 Q2 Management scratch personal for the development of the service. 2011Q1- Q4 Training of personnel 2011Q1 Q3 Forming a team 2011 Q32012 Q2 fiscal plan First of all our sign cost for our company is the cost for starting it up and register it as a incorporated company and for that cost we calculate 7000 euro.Next up is our warehouse and office with its equipment needed. For the first month we need the capital for investing in our equipment that we cast to 8700 euro. After that we wil l have cost for our rent and staff, also for our purchases and a onetime fee to our web developer and a cost for every time we need to update our website. We estimate that the web developers onetime tutorship would be about 10000 euro. Our rent will be 1000 euro with a down payment for 3 months. Also we have a OTC for the officer and warehouse for 500 euro.That would mean that our total initial cost would be 29200 and we count with a big miscalculation so we would say 30000 as initial cost. Our periodic cost will be Rent 1000 Telecome 40 honorarium 3000 for 1. 5 fulltime employee Utilities 500 Distribution 500 Raw Material 50/jeans +5-15depending on what customer choos to add to the jeans Promotion 2000 Other expenses 400 That would be a total of 7500 in monthly expenses but also a additional part depending on how many jeans we manufacture Sales forecast We think that we can start with selling 75 pair of jeans the first month, meaning 2,5 jeans per day.And then we count wit h an increase of 10 % per month. Our price range on the jeans will be 120 200 and we have counted with an average price on 140 per pair of jeans We count with an increase in sales as soon as our website is up and running and getting some regular visitors and that they spread the word. Also it will take some time for our promotion and marketing to get in effect(p) What we would like to offer our investors are 20% of the shares in our company for the price of 15000 , the rest we would make up as a bestow from the bank with a low mortgage and try to pay only the interest.Bibliography Melkersson, Erik (01-04-2011). Skraddarsydd e-handel pa frammarsch, www. hd. se. Avaible at http//hd. se/ekonomi/2011/04/02/skraddarsydd-e-handel-pa/ 13-10-2011 Willebrand, Peter (16-08-2007). Jeansjattarna haller greppet om svenskarna, www. resume. se. Avaible at http//www. resume. se/nyheter/2007/08/16/jeansjattarna-haller-grepp/index. xml 10-10-2011 Habit. se (17-12-2009). Jeansmarknaden tappar far t, Habit. se. Avaible at http//www. habit. se/iuware. aspx? pageid=1780&ssoid=11250412-10-2011 Pavarini, Maria (07-05-2010).DIESEL NAMES mod CEO, RESTRUCTURES ONLY THE BRAVE, www. sportswearnet. com. Avaible at http//www. sportswearnet. com/businessnews/pages/protected/DIESEL-? NAMES-? NEW-? CEO-? RESTRUCTURES-? ONLY-? THE-? BRAVE_2503. html 12-10-2011 Essays. cc (u. d). External Factors Affecting A Business, www. essays. cc. Avaible at http//www. essays. cc/free_essays/b2/utv218. shtml 09-10-2011 Traveldocs. com (u. d). The Swedish economy, www. traveldocs. com. Avaible at http//www. essays. cc/free_essays/b2/utv218. shtm 07-10-2011

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