Enterpenure finalproject 2015 ppt
Studio Description:We are starting a new venture that will attract the youth of Pakistan. Main aim of out studio is to provide quality music recording to young aspiring musician and those who are probably unable to afford the regular studio secession fees.The name of Our Studio is Beats we are providing artificial and live music recording with best of its quality and targeting every musician specially youth because they have urge to demonstrate their talent. Beats is in its start-up stage we are going to mix music with technology and live secession and bring up the hidden talent which can boost up the confidence to provide self-expression and style in the life of our customersBest recording and quality services is our first priority and for this purpose our main focus is to provide live secession rather then artificial music and we are also giving choice to our customer of selecting to whom they wanted to play for them, this is also our competitive advantage Studio History: The idea to start it as a business came from a problem which we were observing from a very long time like there are a lot studios which provide quality services in this field but their cost is very high and only rich people can afford it. Now a days everyone has urge to record their own track whether they can afford it or not, but there are no such music studios which can fulfill their desire of becoming a singer. Mostly student are interested in showing their talents but they dont have that much money to spend on this.There are no such studios which can fulfill the desires of those who have urge to show their talent just because the studios which are right now available in Pakistan, they are really expensive and they are not facilitating these people who have this aptitude. By visualizing the whole scenario given above makes us to think that this discrimination must be terminated so we decided to start it as a business because mostly people are interested in this. Our basic motive is to provide best services to young aspiring musician and those who are probably unable to afford the regular studio secession feesCore strategy1. Mission Vision Statement:Mission statementBeat studios mission is to provide youngster with a reasonable platform upon which they can build and pursue their musical careers and get known in the world of music art.Vision StatementWe aim to provide our customers with the best quality of music and services ensuring customer satisfaction by encouraging two factors: HONOR AND VERACITY.2. Differentiating Point:Our differentiating point is that we are cost leader which mean we are giving low cost to our customers so that they can easily pay for their desires. Our prices are relatively low then our competitors. We have variety of packages which starts from Rs.10000/- to onward where our competitors are charging Rs.30000/- per recording.3. Product /market scope:As mentioned earlier, we would be targeting the youth of Pakistan. The youth comprises of 60.3% of the total population so it will provide us the opportunity to attract a large number of consumers that could avail our services. It would be up to us to create an image in the minds of the consumer to influence them to facilitate themselves with our services. Industry Attractiveness:The industry of music industry is in its maturity stage already but the innovation that we are bringing-up in the form of technology is providing an opportunity for us to customize existing product will help us to prosper, flourish and gain a significant market share. Industry structure:The industry structure helps in determining the profit potential of a particular music industry. The average rate of return can be affected by the structure of the music industry. The profit potential in the music studio is quite high as this sector is quite active in Pakistan that ensures the availability of our required product in good quality at quite a reasonable rate. Secondly, the manufacturing costs are not too high; these low costs can help us secure a reasonable profit by offering the recording music to our consumers at affordable prices this will help us attain a good position in the market with a significant profit.PEST Analysis1. Political Analysis: Taxation: The most important factor could be taxation for political which is controlled by government, it will affect music industrys incomes, as well as consumer preferences as the more the VAT on music the more the price of music. Public expenditure controls:When Peoples expenditure being controlled which lead to CD sales decline, and it will affect the whole music industry profit at the same time. Government stabilityGovernment stability is positive to music industry, as for any business it will harm the total business procedure and policies, if there is no stable platform for business.2. Economical Analysis: Interest and inflation ratesInflation can affect consumer spending, though based on demographic but it also can influence greater performance to music industry if targeted to specifically to the generation who gained from change of Interest and inflation rates Consumer confidenceIf the consumers confidence is high it means they are ready to buy and actually make lot of purchases. Music is always one of the things that they will keep among their first priority list for that spending. Economic growth prospectsWhen the countrys economy increases, the whole business environment expands as a whole. So more choice of suppliers as well as increased consumer base.3. Social-cultural Analysis: Values in societyThe different culture can enjoy different music, so the musical industry should change their music style by different values in society. Changing lifestylesThe most dramatic recent change in buying behavior has been found to be among the younger generation. There is also the issue of increasing substitute goods from different industries, such as video games and DVD that compete against the music industry as a whole.4. Technological Analysis New product potentialNew product has potential, creating new competition, also new way of reaching customers and delivering product Changing technologyThe future of the music industry is unclear as new technology is changing the way in which consumers search for and obtain new and old favorite music. As older methods of music exploitation prove to be increasingly ineffective, major entertainment companies are changing their platform for finding, growing, and ultimately selling artists.Feasibility Analysis1. Product/service feasibilityMusic is passion for most of the people and it is a trend now to become a part of this field. Now days every single person wants to become a singer or composer, we have taken this trend into our account and launched a music studio with the latest musical technology and brought a new level of entertainment to the interested people. Especially student will get thrilled about this music studio as it will give them a platform to get them self recognized in the music industry and it will also solve the problems that are related to finance because our prices are very low as compare to other music studio. Now a days most of talented singer is looking for such platform so, there an immense chance for the acceptability of our music studio in the music industry. Music studios are very expensive thats why a lot of people can not afford it specially students but we are launching this studio to give them the same services at lower prices which they can get in any of this expensive studios. It is also a platform for the talented musician who can play their musical instruments and get them self renowned.We will launch our music studio next month because for this we dont have to wait for some specific time as music is a trend forever. Several of people are interested in making their own songs or to sing the covers but they can not afford the high price of studio thats why we are giving them an opportunity to fulfill their dreams because are prices are comparatively low and we give them best quality. We have also carried out a survey in different universities just taking a view from student about our studio. We also asked that how much they can pay for the recording. Most of the students said that they are willing to pay 10000rs for this so; we have started our range from 10000rs to onward. Through this survey we identify that student will happily pay at least 10000rs for their recordings.2. Industry feasibility:The music industry in Pakistan is at its growth stage already but because of our low rates and innovative sound system we will soon achieve this maturity level and will retain our place in the music industry gain a major market share.The minimum price of lowest quality recording is 30000rs but we will provide the best quality to our customer in just 10000rs.Our studio is for those who can not pay that much for the recordings. Mostly those people who cannot afford to pay that much prices are welcome in our studio where they can get best quality with comparatively lower rates. It is also a platform for the talented musician who can play their musical instruments and get them self famous Target Market:Target market was the most important thing in launching our studio. We are basically targeting university and college students as interested and talented youngsters have urge to do something in music field thats why our main focus is youth3. Organizational feasibility:We are 4 equal partners:Hasina Sadiq Khan CEO(Management)Asad SiddiqueMarketing ManagerSaad AliOperations Manager (Audio engineer) Anam Mustafa Finance ManagerHsina sadiq khan is an MBA student and has experience in managing the affairs and scheduling the things. She will be responsible for the scheduling the jamming and recoding secession of our customers.Asad Siddique is an MBA student and has experience of marketing. Being a marketing manager he will try to promote our studio through online advertising, Face book, and radio and by word of mouth. He will also approach those customers who are not aware of such cost effective studio in their locality which gives them best quality of sound with comparatively low rates. Saad Ali is also an MBA student and will be responsible for operations i.e. how we can minimize cost, which locations and customer will best suits us and how to facilitate them with our innovative sound recordings. Anum Mustafa is also an MBA student and has experience of 1.5 years in ideas a society of UCP as a president. She is responsible for all the financials of our business and also fined investors who can finance us so we can expand our business and will try to bring investors.Porters Five Forces Model:A complete analysis of the profit potential of a particular industry can be determined by conducting a Competitive Forces Model analysis:.1. Bargaining power of Suppliers:Music producer for artists and internet services providers including website management companies are the suppliers for Electric and Music Industries. For signing of Artists case, the bargaining power can be high as it is very difficult to sell for a record label. In contrast, Web developer case, the bargaining power can be low as the competition in the market is growing promptly.2. Bargaining power of Customers:The bargaining power of customers is getting higher due to the fact that competition and online piracy is increasing. To cope with this force, the studio has to use promotions such as discounts and draws in order to attract customers.3. Threat of New Entrants:Amid the digital music market era, the threat of new entrants always remains at a high level which can provide similar services like us. To consider the entrance into the digital music market of the high ranking online brands such as Amazon and eBay with the reputable brands such as Walmart, the competitive field is increasingly being threatened.4. Threat of Substitutes:The substitute for music industry is pirated music which offer free of charge music. Due to the fact that the choice of a customer to purchase and to download music is remaining; the threat of substitutes is very high.5. Industry Rivalry:It is high competitive in digital music industry as there are a huge number of competitors. Each player in the market tries to attract customers by offering various promotions; therefore, there is high threat for EMI.After using the five forces analysis for EMI, it found that the ability to generate high profits in the digital music industry is difficult. Alternatively, there is the probability to penetrate the market by lower margins in order to generate scale based profits.Key success factorsThe key success factors in the EMI are the: Price Service differentiationWe will be focusing on each one of them to sustain in the market.1) Price:When people will feel that they are having better and quality services than what they are actually paying then they will feel satisfied.2) Service differentiation:We are providing a unique service which is not present in the market at the moment that is we have demos of all the registered musicians and we give choice to our customer to choose whoever they want for them to play.Competitor analysisThere are several music studios in Pakistan but the studios in Lahore are our competitors such as SACHAL MUSIC, GM STUDIOS, MAANN STUDIOS, XS STUDIOS, WALNUT STUDIOS. These are our main competitor which are also providing good services but in high prices and they are not giving any choice to the customer to facilitate them. When we will enter in the market we will provide low cost recording to our customer with best quality which is our competitive advantage and also we have demos of all the registered musicians and we give choice to our customer to choose whoever they want for them to play which will provide a reasonable platform upon which they can build and pursue their musical careers and get known in the world of music art.PositioningTagline of CompanyBeat the stringsThe tagline of our studio is beat the strings, it show the passion for the music. It will create an urge for the in the mind of customers who are interested in making their dreams come true in the world of music art.Market Analysis1. Product/ServiceWe have introduced a music studio which is a platform for the musicians where we will be recording sound tracks for our customers. We have different packages regarding sound recording and we also providing freedom of choice to our customer for selecting the musician they want. Musician are registered and we have their demos in which they had played different instruments so when a customer wants to record a track, he or she have choice to select the musician to whom they want for them to play. Aim of our studio is not to gather money its just providing customer with quality services.2. PriceWe have different packages for recordings as I said earlier that our focus is not to earn profit its just to facilitate our customer with quality services. The price starts from R.S. 10000, which is affordable for every person who have urge to record their covers or sound tracks. We are going to charge a reasonable price in the rest of the packages so that everyone would be tempted to record the music. 3. PlacementWe will start our studio in Johar Town as it is the main hub for the universities. We have chosen this location because we are also targeting student s and they will have an easy access to our studio 4. Promotion:We will promote our studio through e-marketing and will make our page on Facebook, and will also promote our studio by pasting information regarding studio in different universities. Customer feedback is really important for us that are why we will also ask for their feedbacks from our customers so that we may know how we are doing our work.Target marketTarget market is the most important thing in launching a new product. There are a lot of studios but their prices are really expensive and students and most of the people cannot afford it. We are basically targeting young generation as they are very much in to music now days and also comprised of 60.3% of the population and youth are music lovers, thats why our main focus is on solving their problem. Value chaina) Human Resource Management:In HRM department we have four young and energetic people who are fully devoted to their assigned duties. Hsina sadiq khan has experience in managing the affairs and scheduling the things. Asad Siddique has experience of marketing. Being a marketing manager he will try to promote our studio through online advertising, Facebook, radio and by word of mouth. Saad Ali will be responsible for operations i.e. how we can minimize cost, which locations and customer will best suits us and how to facilitate them with our innovative sound recordings. Anam Mustafa has experience of 1.5 years in ideas a society of UCP as a president. She is responsible for all the financials of our business.b) InfrastructureThe Infrastructure of Beats studio is fascinating and charming. Our studio is located in H3, Johar town, Lahore. Ideal colour schemes, pleasurable lighting , comfortable sitting arrangement, trained staff and their proper division of work, art interior beautiful and wooden rooms for the jamming and recording sessions.Strategic process :Input Process Output Word of mouth Social media Monday-Thursday Final product Jamming sessions In form of CD, DVD, USB or Social media Friday-Saturday Advertisement Customer Recording daysStrategic Assets1. Strategic Resources:We are using best quality of mixer and sound recorder so that we can facilitate our customer with the maximum range. Infrastructure of our business is versatile as each recording session i.e. jamming and sound recording is scheduled so there will be no ambiguity regarding jamming or recordings. Musicians have their own musical instruments with whom we made contact per recordings so basically we are using musicians musical instruments it will also reduce our cost and can increase the productivity and passion in the mind of musician because most of the musician have attachment to their instruments2. Competitive advantage:Beats studios competitive advantage relies in our ability to position as a strategic ally with our customers. The companys reputation of being trustworthy and reliable will be a key factor by building a business based on long standing relationship with our clients. The longer the relationship, the more we will help our clients understand what we offer them and why they need it. Our audio engineer will establish strong relationships with clients to ensure that they are satisfied because it aids us in generating future business. Our organization operates under a business philosophy that specialized customer service is the best way to attract more clients. We are also giving choice to our customer of selecting to whom they wanted to play for them; this is also our competitive advantage.Beats studios also recognize the opportunity to provide jamming sessions to young aspiring adults. This approach tends to get the attention of local young aspiring musicians which is the best way to satisfy our customers in the long term and bring the best out of clients. 3. Core competencyStudio which are our competitors, providing good services but in high prices i.e Rs.30000/- per recording and they are not giving any choice to the customer to facilitate them. When we will enter in the market we will provide low cost recording to our customers that starts from Rs.10000/- but with best quality which is our competitive advantage and also we have demos of all the registered musicians and we give choice to our customer to choose whoever they want for them to play which will provide a reasonable platform upon which they can build and pursue their musical careers and get known in the world of music art.Partnership network Outsourcing/ Insourcing : We are outsourcing musician who can play any kind of musical instrument. We are providing a unique service which is not present in the market at the moment that is we have demos of all the registered musicians and we give choice to our customer to choose whoever they want for them to play. In this way we are giving value proposition for two customer first one is the singer who wants to sing and the other one are the musician who are offering their services for a priceCustomer interface Support: Beats studio has a healthy relationship with the customers. One of the most important elements of customer interface is the target market that who exactly are the customers of the studio. We are basically targeting university and college students as interested and talented youngsters have urge to do something in music field thats why our main focus is youth this is the only reason for a studio to exist is its customers. Our musician are very important source for conveying the information to others, it also include the channel we are using for interacting to our customers i.e. social media and pamphlets and word of mouth. Our studio generally get benefit from having a clear target market because of the specifically of the targeted customers, it can focuses on its marketing and promotional campaign and it can build up profound core competencies pertaining to its specific market place. Pricing: We have set low prices to gain a large maker segment. Our competitor which are also providing good services but in high prices and they are not giving any choice to the customer to facilitate them. We are giving value proposition for two customer first one is the singer who wants to sing and the other one are the musician who are offering their services for a price. Musicians who are playing instruments are hired on contract basis are getting Rs2000/- per recording and there are 4 recordings a week that means that they can possibly earn Rs32000/- per month from us.Pricing PackagesWe have variety of pricing packages for our customers so they can avail and choose according to their budget, which is convenient for them. We are offering 5 different packages to our customers. Packages which we are offering are as follows.PackagePriceInstrumentStarterRs7000/-The person will play for itselfEconomical Rs10000/-Guitar Terbuka/DrumBronze Rs15000/-GuitarDrumViolin/PianoSilverRs20000/-GuitarDrumPianoBass guitar/ViolinPlatinum Rs25000/-GuitarBass guitarViolinPianoDrum/TerbukaTornadoRs30000Rs/-GuitarBass guitarElectric guitarPianoCelloDrum/TerbukaVRIOValuableBeats studio has strong relationships between singers and its musicians that are the most valuable resources of Beats studio. No large amount of investment is required for this purpose but it needs efforts to build up the brand name for a positive impression in its potential customers mind, so do the relationship with the musician is very important. Procuring the resources is time consuming and these resources cannot be purchased they are earned through devotion, dedication and determination. RareThe differentiate services that are available in Beats studio are not easy to be found in its competitors which make a rare resource for the studio. We are also giving choice to our customer of selecting to whom they wanted to play for them, this is also our competitive advantage However, and the resources can only help the studio outperform the local competitors that doing the business in the same. Costly to ImitateBeats studio is doing their business on two differentiated points i.e. low cost and giving choice to our customer of selecting to whom they wanted to play for them. It is a very costly process for the other competitors but the our studio is based on these two factors which are imitable. If someone tries to copy our points it will take a longer period for them to do so.Organizing Beats studio reputation of being trustworthy and reliable will be a key factor by building a business based on long standing relationship with our clients. All the departments which are HR department, marketing department, finance department and audio engineer are low cost and performing their assigned duties very effectively.Core competency: Studio which are our competitors, providing good services but in high prices i.e Rs.30000/- per recording and they are not giving any choice to the customer to facilitate them. When we will enter in the market we will provide low cost recording to our customers that starts from Rs.10000/- but with best quality which is our competitive advantage and also we have demos of all the registered musicians and we give choice to our customer to choose whoever they want for them to play which will provide a reasonable platform upon which they can build and pursue their musical careers and get known in the world of music art.