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1、Ornaments Store ProjectPrepared Expressly forMs. YangDirectorPrepared by Franklyn* Company Submitted on June 5, 2014 In fulfillment of the courseContentsExecutive Summary.5Introduction.6Findings.7 Opportunities.7 Strengths.7 Premises.8 Services.8 Goods.9 Facilities.10 Cost Breakdowns.10 Benefits.12
2、Schedule.12 Risk and Management Plans13Conclusion.13Reference.13Appendixes.15 Analysis of the business15 Customer profile.16 Focus group report.16 SWOT analysis.16 Action plan and activity chart17 Costing.17 Risk analysis and management17 The project framework.18Proposal for Setting up an Ornaments
3、Store Executive Summary The project in this paper is fashionable ornaments trade. The love of beauty is an essential part of all females in nature. The shining bijouterie and pretty dresses have always been the desirability for the women to seek for. As such, the ornaments have been the hotspots in
4、consume market all the while. With the rapid development of the ornaments trade, various ornaments stores mushroomed in recent years. Therefore, the ornaments trade has a prosperous outlook.Considering the main customers are young ladies and students, who pursue fashion and follow the tide, the orna
5、ments stores should be set up in shopping street, the university town or near schools or the university town. In short, the shop should be opened in crowed place. There are various kind of goods that could be selling, such as cosmetic and its tools, headwear, hand wear, ear pendant, rings, gifts and
6、 so on. In addition, this kind of goods can be categorized to low-end products, medium products and top-grade products. We should select the right grade according to the local consumption capability and their appreciations. The cost of such a store is, at most, 100,000 RMB, including rent, decoratin
7、g expenditure, floating money for goods, propaganda expenditure and so on. Before open such a store, a business license should be registered and you should also register your revenue, the cost of which is not more than 500 RMB. By this token, the turnover of everyday will be varying from 1,000 RMB t
8、o 3,000 RMB.Ornaments trade is a newly rising industry, which desperate from bijouterie and craftworks industry. Ornaments, as the rising point of new economy, have become mature in developed countries. The personal share rate of ornaments is very low in our country and the demanding capacity is pro
9、sperous. Therefore the potentiality of this business is great. IntroductionThe project is fashionable ornaments trade. The ornaments have been the hotspots in consume market all the while. With the rapid development of the ornaments trade, various ornaments stores mushroomed in recent years. Therefo
10、re, the ornaments trade has a prosperous outlook. Seen from the history of the development of Chinese ornaments industry, currently, the ornaments industry stays in a steady and fast development stage. In the next three to five years, along with the continuous fast development of civil economy and t
11、he constant improvement of material life, the consumption of ornaments industry will definitely go forward a great step. While every other industry of China is becoming more and more competitive, ornaments industry remains primary stage in competition. There is no leading brand and no brand market c
12、ould take more than 5% market share. The brands that has chain stores all over the nation is very small, not to mention the brands that could promote itself and set up its own agency to improve and develop itself. This industry lacks the ability to build its own brand and the notion of marketing.The
13、 prime customers of this industry are young ladies and the location is near or in the university town or business street. Cosmetic and its tools, headwear, hand wear, ear pendant, rings, gifts, daily commodity and so on are its main products. By knowing about the needs and desire of consumers for or
14、naments and the evaluation of customers for the ornaments, the manufacturer could research new product and retailers could select the appropriate products that fit the market. The project of ornaments store needs a sum of, at most, 10,000 RMB to rent, decorate, and register the store and so on. The
15、store would make it possible that the revenue and profit be increased by 10% annually. And, in the first year when the store is opened, net profits after tax will be increased to nearly 40,000. Besides, the daily sales would reach 1000 RMB to 3000 RMB. FindingsOpportunitiesAs for peoples desire to p
16、ursuing fashion, especially small ornaments, ornaments business is becoming hotter and hotter, the business opportunities of ornaments is huge. In addition, the ornaments upgrade is very fast, there is no need to worry about the prospect. For there will be constant customer. Some products have taken
17、 a certain market share and you could get the most business opportunities. l There are various kinds of goods and the full-scale of category. The advertisement of such products has been entered into the market by the fashion information and you need not to worry about the propagandas.l The ornaments
18、 have their specific style and been keeping up with the fashion elements, which could attract a lot of ladies who seek for beauty. l These products have been under considerate observation and elaborate production. However, the price is moderate. So there are a lot of customers and the customers are
19、constant. l The designer has strong capability. Even if the manufacture cant employ a good designer, they would know what is popular now and that is their occupational acuity. Therefore, they have the ability to update their product to stimulate consumption. StrengthThe strength is very important in
20、 the competitive market. If your strength is not strong enough, you may be defeated by other rivals. Here, our ornaments shop has our own strength to compete with other counterparts. Therefore, we should take good use of the existing strength to make the business become bigger and bigger. These stre
21、ngths can be illustrated as follows:l The price is comparatively low. We could give comparatively lower prices though buying our suppliers in some other places. l The patterns are various and novel. Small ornaments are famous for their diverse styles, this shop products are from all over the world.
22、No doubt the patters are various. l They are keep up with the fashion and tide.PremisesOpening a new ornaments store will definitely attract a lot peoples sight. We could make good use of it to make the store lively. First, the store must have some features and below are such factors.l The appearanc
23、e of the store is attractive and it stands for the shops image. Ladies always buy something because of impulsion, and good outlook could stimulate their desire to go into the store. So the outlook is our first feature.l The display is unique and sightly. Products display is also static marketing, an
24、d handsome display could attract more customers. In this store, we have unique adornments that orderly display. l Products are the core competition, and any marketing couldnt exits without product. We have wonderful product, and after the customers enjoy the display of the store, they will begin to
25、carefully look at the products. ServicesGood services could keep more customers. So we cant ignore the quality of services in ornaments shops. In order to increase the circulation of products, we have planned several items as follows:l We give membership cards to customers who applied for the member
26、 of our shop. For those customers, they could get a discount on some products. And we will send them presents on special days, such as their birthday. In addition, they will be first informed the newest products of our shop and the newest fashion information.l On holidays of weekend, we will hold so
27、me promotion activities. For instance, we provide discount on some products and we give customers presents if they buy some amount of products. l Provide warm and attentive human services by training the staff.l Provide background music to create a pleasant atmosphere.GoodsGoods are the core of a sh
28、op, not to mention an ornament shop. In this kind of shop, it will provide various kinds of goods and the scope of goods is very large. In addition, the goods in this shop should be fit for the consumption level and the age of customers. In order to meet the different needs of different customers, t
29、he shop should store different levels of goods, such as high-end, middle-end and low-end. Nowadays, most of young people pursue for individuality, therefore the goods should be special and unique, too. We could buy our supplies in minority areas or foreign countries. Below are the kinds of goods tha
30、t an ornament should store.l The first kind must be pure ornaments. Firstly, according to the style, there are necklace, pendant, bracelet, ring, brooch, and earring and so on. Secondly, according to the material, there are silver ornament, crystal ornament and emulation ornament and so on. l Anothe
31、r kind is toys and gifts. For example, doll, music box, flowers and adornments and so on.l The third kind is small living goods. Such as gloves or mitten, watch, umbrella, bags, cups, scarf, and perfume and so on.l Many other things could be sold in this kind of shop. There is no specific bound. We
32、could sell stationery, sun glasses, cosmetics and comb and small mirror as well. FacilitiesPlanning to open a new ornament shop, we have to by some must to decorate the shop. In fact, decorating an ornaments shop is not like decorating a hotel which needs to be luxury, in stead; we should grasp one
33、point that is showing the air of fashion. After all, ornaments are a kind of fashion tide. When decorating the shop we should take care of the style and specifications as a whole to make the shop eye-catching. In the end, our style of decoration and fascia will become our free advertisement. Next, w
34、e will talk about the concrete facilities. As for the wall and floor, we could buy some wallpaper and floor tiles according to the style and economic position. Or simply decorate them, such as whitewash or something alike. After that, we should buy the most important facilitiesthat are the display s
35、helf and hangers. Because our goods are put on the shelves and hanged on the hangers, and customers who go into the shop are for them. So the display shelves should be in proper specification to hold our goods. In addition, it is better we may decorate the display shelves as well, because which coul
36、d well match our goods. Anther important facility is the counter. Here, I think there is no need to say the importance of this subject. There are other facilities, like cupboards, lights and so on. If it is necessary we could also buy a video camera or computer. Cost breakdownThe cost of an ornament
37、 shop is varying according to your expectation, for there are many elements that could affect the cost, for example, the level of decoration, the quality of facilities and the dimensions of the shop and so on. In another words, if you want to open a high-level ornament shop, the cost must be higher.
38、 Instead, if you just want a middleclass ornament shop, the cost could be less. Generally speaking, whatever kind of shop, the cost will be no more than 100,000 RMB and no less than 20,000 RMB. Expenses for specific items are listed as follows:Rent: the first thing of opening a shop is to find a pro
39、per front shop and rent it. The cost of renting a shop is also varying from 2000 RMB to 10,000 RMB according to the acre of the shop and region. Standard shop: the acre of the shop is usually 20 square meters and the cost may be varying from 1400 RMB to 1800 RMB. Decoration: the cost of buying decor
40、ating materials and employing interior decorating workers will vary from 6000 RMB to 20,000 RMB. Now we are talking about the standard shop. Labor costs 1,000Lumber 150Paint 400Lighting & pipes 3,000Flooring 1,000Glue & Tools 50Windows & doors 3,000Equipment: according to the shop itself, the equipm
41、ent cost is different. However, the cost of equipment in an ordinary ornament shop is no less than 10,000 RMB.Shelves and latch hook 1,000Counter and chairs 700Computer 5,000Air condition 4,000Camera video 3,000Budget: The monthly increase in the operating budget would beWages 7,000Equipment mainten
42、ance 1,000Electricity cost 300 BenefitsThe benefit of an ornament shop is very good. Generally speaking, one product can make a benefit which is three to eight times than the product itself. However, the benefit varies by the area and seasons. So, we have to well plan that how to get the largest ben
43、efit. As for the fever that young people are pursuing for fashion is becoming hotter and hotter, the industry of ornaments will definitely become more prosperous. Furthermore, as the frequency on the updating of this kind of products is very fast, so people will buy them over and over again to meet
44、their needs. Therefore, there is one point that we should take care of, which is that before we buy our supplies, we should make a survey that which kind of ornaments are populous and make a plan that which products could buy more and which should buy less. Now lets talk about the specific benefit.
45、We keep storing products that worth 30,000 RMB in the shop monthly. Supposing the average daily sales of the products is 1,000 RMB and the monthly vested capital is 30,000 RMB, the monthly benefit will be 30,000 RMB. Besides, we buy our supplies 10,000 RMB every month. Removing the wages of shop ass
46、istants and other fees, the net profit will be 2,000 monthly. Therefore, careful plan is necessary if you want to open an ornament shop. As a matter of fact, the monthly income varies in different seasons. All the above analyses are the average condition. ScheduleThis project will nearly take two months to finish. After you plan to open an ornament shop, you will first select the proper store for your further invest. And this will tak
