ENTREPRENEUR PROFILE

Profile I
Name: AARON ALEXANDER JOY
Father name: ALEXANDER JOY
Specialization: Marketing

Education
I did my schooling X an XII from Our Own English High School, Dubai
University under-graduate degree from Christ University, Bangalore.
Pursued MBA from Indian Institute of Management , Bangalore (IIM-B)

Experience
Done project & training in an NGO called Compassion.
Internships in Tata steel, HSBC.
Worked in the corporate world dealing with marketing, strategy and operations.

Achievements
In achievements I have won many prices in sports events, extra circular activity. Thrice the best
athlete in School level and football University team player.
Part of a Indian Fusion band playing percussion, acoustic drums and back-up vocalist.

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Personal details
Date of Birth

: 23/10/1990

Gender

: Male

Language Known

: English, Malyalam, Tamil, Arabic, French

Marital Status

: Single

Profile II

Name: TARUN SONTHALIA

Father name: G.K SONTHALIA
Specialization: FINANCE

Education
I did my schooling X an XII from my home town Hyderabad,
Now I am pursuing my BBA in Christ university Bangalore.
Done MBA in Liverpool university

Experience
Have an experience of working in an NGO in Bangalore.
Worked in Ernst and Young for an year.

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Achievements
I have also been a part of the national conference held in Christ University.
I like to listen to music due to which I am very much keen in opening up a musical store.

Personal Details
Date of Birth

: 07/01/1994

Gender

: Male

Language Known

: English, Hindi

Marital Status

: Single

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EXECUTIVE SUMMARY

An exciting opportunity currently exists for a full service musical instrument retailer . Although
there are a number of musical instrument retailers in this city of over 500,000 people, there are
currently only three very small school band and orchestral instrument dealers; these stores have
small selections and short hours. At the other end of the spectrum stores with a more guitar and
electrical focus), big chains are competing on prices at the expense of customer service.

Music West will offer the buying public a superior shopping alternative, with a huge selection of
school band and orchestra instruments, plus guitars, keyboards and accessories, at reasonable
prices. Our products will be supported by skilled repair services and a knowledgeable and
friendly staff, as focused on educating the customer as on closing the sale. We will exploit our
competitors' weaknesses by offering ongoing music community events, from free lessons, to
music clubs, to after-sale follow up to turn one-time shoppers into lifelong customers.
Our unique marketing schemes include "You Play, We Pay" (whereby a portion of instrument
sales and rentals are donated to local school band programs) and "100% Money Back" trade up
programs, where customers receive 100% of their purchase price toward upgrading their
instrument within one year.
MusicWest will focus on the novice, hobbyist, and semi-professional musician; these three
groups are seeking value, customer service, and knowledgeable assistance in making what can be
a rather significant purchase. MusicWest will gain a reasonably large percentage of market share

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in a short period by immediately differentiating ourselves from our competitors. We will

establish our branding with our superior service and selection, the excitingly modern look of our
retail environment, our "hands on" merchandising approach, and a series of ads with our
motto: Stop Dreaming, Start Playing. Once in the store, our clients want to come back often for
the special treatment they receive here and nowhere else.
Based on his experience at other local music stores, David Moore conservatively projects sales
of over Rs.500,000 in the first year, increasing to almost Rs.700,000 by year three. We will start
generating a profit in September, and profits will increase steadily thereafter.

Although MusicWest may not become the biggest, our intention is to become a "Must-Shop
Destination" for those looking to buy a new or used musical instrument in Bangalore.

COMPANY PROFILE
MusicWest is a retailer of musical instruments and their accessories, located on Albuquerque's
Westside. MusicWest will differentiate itself from its direct competitors by marketing the
store's educational approach, and one of the most hands-on store layouts of its type in
Albuquerque. In addition, we will offer a wider selection of products, and more services to
reward customer loyalty, than our competitors.

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Mission

MusicWest provides musical instruments to the community. We separate ourselves from our
direct competitors by paying intense personal attention to our customers, and educating our
clients about the products they need or desire before, during, and after the sale. We offer creative
programs to reward customer loyalty, and we provide on-site repair services for the items we
sell. We consider our staff our partners and insist they prosper equitably with the growth and
success of the company. We will have the largest selection of School Band and Orchestral
instruments in

Bangalore, and will use that advantage to separate ourselves from the

competition.

Keys to Success

Establish a well-respected music lesson department and start a rapport early with school
band and church music leaders.

Offer extended hours to serve a larger portion of the buying public than our competitors
do.

Educate the buying public by merchandising our products with informational/tutorial

signage and literature, and by backing that up with knowledgeable salespeople.

Offer the services of a full time repair department to our client base.

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Continually modify the product and service offerings to stay on the leading edge of
technology within our market

Exploit the many weaknesses of our local and national competitors to differentiate
ourselves from them.

Objectives

Gain 25% of the local market share within the first three years.

Maintain a minimum gross profit margin of 40%.

Create a hands-on, educational approach to musical instrument merchandising.

Target the large number of school band instrument customers who currently bypass local
music stores for catalog or internet sales, due to poor service, selection and prices.

Aggressively target the public school system and local religious organizations.

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Company Summary

MusicWest is a retailer of musical instruments and their accessories, located in Briagde Road..
MusicWest will differentiate itself from its direct competitors by marketing the
store's educational approach, and one of the most hands-on store layouts of its type in
Bangalore. In addition, we will offer a wider selection of products, and more services to
reward customer loyalty, than our competitors.

INDUSTRY PROFILE
The music industry or music business consists of the companies and individuals that make
money by creating and selling music. Among the many individuals and organizations that
operate within the industry are: the musicians who compose and perform the music; the
companies

and

professionals

who

create

and

sell

recorded

music

(e.g., music

publishers, producers, recording studios, engineers, record labels, retail and online music
stores, performance rights organizations); those that present live music performances (booking
agents, promoters, music venues, road crew); professionals who assist musicians with their
music careers (talent managers, business managers, entertainment lawyers); those who broadcast
music

(satellite, internet and broadcast

radio);

journalists;

educators; musical

instrument manufacturers; as well as many others.

The current music industry emerged around the middle of the 20th century, when records had
supplanted sheet music as the largest player in the music business: in the commercial world,
people began speaking of "the recording industry" as a loose synonym of "the music industry".

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Along with their numerous subsidiaries, a large majority of this market for recorded music is
controlled by three major corporate labels: the French-owned Universal Music Group, the
Japanese-owned Sony Music Entertainment, and the US-owned Warner Music Group. The
largest portion of the live music market is controlled by Live Nation, the largest promoter
and music venue owner. Live Nation is a former subsidiary of Clear Channel Communications,
which is the largest owner of radio stations in the United States. Creative Artists Agency is a
large a management and booking company.
The music industry has been undergoing drastic changes since the advent of widespread digital
distribution of music. A conspicuous indicator of this is total music sales: since 2000, sales of
recorded music have dropped off substantially while live music has increased in importance The
largest music retailer in the world is now digital: Apple Inc.'s iTunes Store. [5] The 2 largest
companies in the industry are Universal Music Group (recording) and Sony/ATV Music
Publishing . (WIKIPEDIA)

Advent of Recording in Music

At the dawn of the early 20th century, the recording of sound began to function as a disruptive
technology to

the

commercial

interests

publishing

sheet

music.

Commercially

released phonograph records of musical performances starting in the late 1880s, and later the
onset of widespread radio broadcasting starting in the 1920s, forever changed the way music was
heard. Opera houses, concert halls, and clubs continued to produce music and perform live, but
the power of radio allowed obscure bands to become popular on a nationwide and sometimes
worldwide scale.
The "record industry" eventually replaced the sheet music publishers as the industry's largest
force. A multitude of record labels came and went. Some note-worthy labels of the earlier
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decades include the Columbia Records, Crystalate, Decca Records, Edison Bell, The
Gramophone Company, Invicta, Kalliope, Path, Victor Talking Machine Company and many
others.
Many record companies died out as quickly as they had formed, and by the end of the 1980s, the
"Big

6"

EMI, CBS, BMG, PolyGram, WEA and MCA

dominated

the

industry. Sony bought CBS Records in 1987 and changed its name to Sony Music in 1991. In
mid-1998, PolyGram merged into Universal Music Group (formerly MCA), dropping the leaders
down to a "Big 5".
Genre-wise, music entrepreneurs expanded their industry models into areas like folk music, in
which composition and performance had continued for centuries on an ad hoc self-supporting
basis. Forming an independent record label, or "indie" label, continues to be a popular choice for
up-and-coming musicians to have their music heard, despite the financial backing associated
with major labels.

Indian Music Industry

The Indian Music Industry (IMI) is a trust that represents the recording industry distributors
in India. It was founded on February 28, 1936 as Indian Phonographic Industry (IPI). Its the
2nd oldest music industry organization in the world that was involved in protecting
copyrights of music producers and supporting growth of music entertainment industry. In 1994,
it was renamed as Indian Music Industry (IMI) and represented India at the International
Federation of the Phonographic Industry (IFPI). It is also registered with the West Bengal
Societies Registration Act.All major music labels in India are part of this association. Record
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companies like Saregama India Ltd. (HMV),Universal Music (India), Tips, Venus, Sony Music
Entertainment (India), Crescendo, Virgin Records, Magnasound, Milestone, Times Music and
several other prominent national and regional labels are part of the IMI. The IMI represents over
75% of all legal music sales in India.
IMI has its registered office in Kolkata and Administrative office in Mumbai. It also has offices
in New Delhi, Chennai, Bangalore and other major Indian cities working on the protection of
rights of music producers and preventing music piracy.It has also been instrumental in launching
the IMMIES music awards in collaboration with MTV.

PURPOSE OF SELECTING THIS SERVICE

Music industry is still a very nave and most creative industry today. The potential of the
market is very high where demand and supply is concerned. The business involves a lot of hard
work and efforts but the returns in this industry compensate for the efforts. It also requires a lot
of new ideas, creativity, marketing, advertising and more importantly customer relations
building. It comparatively has very less investment & high returns. Another reason for taking
up this plan is the low investment required. Though marketing intensive and often very tedious,
there are more than reasonable returns on investment.

With not many ways to succeed in this market, the only way to stay on the top is to manage
customer relations and emphasize on customer satisfaction and better quality service; to get in
more work and more contracts for music instruments and lovers so as to establish the firm
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firmly in the market; since we both have considerable contacts with some influential people in
the industry, tie ups with major brands like Yamaha, Korg, Casio, Tama, Pearl , Roland etc will
help us establish ourselves in the company from where our only emphasis will be on customer
satisfaction.

Also, having had a keen interest in music and music compositions, this would be the best
possible work line combining the two interests.

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ABOUT SSI/MSI
An industrial undertaking in which the investment in fixed assets in plant and
machinery whether held on ownership terms on lease or on hire purchase does not exceed Rs
10 million. The small scale sector has played a very important role in the socio-economic
development of the country during the past 50 years. It has significantly contributed to the
overall growth in terms of the Gross Domestic Product (GDP), employment generation and
exports. The performance of the small scale sector, therefore, has a direct impact on the
growth of the overall economy.

Worldwide, the micro and small enterprises (MSEs) have been accepted as the engine
of economic growth and for promoting equitable development. The MSEs constitute over
90% of total enterprises in most of the economies and are credited with generating the highest
rates of employment growth and account for a major share of industrial production and
exports. In India too, the MSEs play a pivotal role in the overall industrial economy of the
country. It is estimated that in terms of value, the sector accounts for about 39% of the
manufacturing output and around 33% of the total export of the country. Further, in recent
years the MSE sector has consistently registered higher growth rate compared to the overall
industrial sector. The major advantage of the sector is its employment potential at low capital
cost. As per available statistics, this sector employs an estimated 31 million persons spread
over 12.8 million enterprises and the labour intensity in the MSE sector is estimated to be
almost 4 times higher than the large enterprises.
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Approximate investment
The approximate investment that has been taken in the beginning is Rs 25,00,000.

SOURCES OF FUNDS

PERCENTAGE

PARTICULARS

INVESTMENT

TARUN

12,50,000

50%

AARON

12,50,000

50%

TOTAL

25,00,000

100%

CONTRIBUTION

The promoters are investing 12,50,000 each. It gets invested in our business on the basis of its
feasibility and the returns it is going to get from the business. In the 1 st year we are not giving it
any profit as we are suffering losses. But in the later years we are able to earn profits which help
in the prosperity of our firm.

Start-up Summary

Start up costs will cover all inventory, site modification, website creation, necessary equipment
and the necessary capital to fund operation of the business through the first year. In
particular, we foresee a need for substantial initial working capital with a large purchase
of initial inventory to sufficiently maintain and grow the business. We intend to secure
financing through conventional lending sources or with a (7A) conventional SBA loan
guarantee. The balance of the funds will be covered by owners investment.

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Company Locations and Facilities

We have chosen a site at Brigade road, Near Garuda Mall for several reasons:

Close proximity to Interstate 40.

Safe and plentiful parking area.

Near high-traffic tenants such as Home Depot and Staples, and anchored by a Mall
Garuda where people often come for shopping.

Beneficial demographics: over 150,000 households within a 5-mile radius, 85,000+ cars
per day on the two cross-streets, and no direct competitors within 10 miles.

All of the above qualities are consistent with MusicWest's goal of providing a fresh approach to
musical instrument retailing. We are looking at leasing approximately 3,500 sq.ft. of space,
which will allow sufficient room for up to six lesson studios, a repair area and necessary storage
and office space. We expect usable selling space to end up being around 2,400 sq.ft.

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Company Ownership

MusicWest will be a partnership. The principles of the business are Aaron Alex and Tarun
Sonathalia. Aaron will assume the position of President/Office Manager, while Tarun will
assume the duties of Store Manager and Acting President/ Administration Manager.

Products and Services

MusicWest will sell new and used musical instruments and accessories. Our primary items will
be new band and orchestral instruments, electric and acoustic guitars, amplifiers and electronic
keyboards. In addition we will have a full service, on-site repair and customization department
(band instruments, guitars and electronics).

We will offer a "state of the art" music lesson program featuring top degreed instructors, as part
of our overall focus on educating our customer base. This program will include private and group
lessons, as well as outreach to local schools. We will also develop music clubs geared to children
and seniors, to further serve our local community.

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Although offering school band and orchestral instruments, service and lessons will be our main
competitive advantage, guitars will remain the primary revenue producer for musical instrument
stores for the foreseeable future.

Product and Service Description

MusicWest will offer several name brand instruments such as:

A large selection of band instruments by Selmer/Bach, Yamaha, and Leblanc with an

emphasis on the intermediate level instruments.

Electric and acoustic guitars including Albuquerque exclusive lines by Fernandez,

Suzuki, Wechter and other nationally known brands, such as Takemine, Ovation and
Martin.

Amplifiers by Crate, Kustom, Traynor and Hiwatt to support our guitar sales.

Keyboards by Yamaha, Suzuki and Korg.

Sound reinforcement products will be exclusively Yorkville. We will be the only dealer in
Bangalore, and will offer a rental program for local bands and schools.

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A very well stocked accessory department to support the above items. A recent Music
Trades article found that 80% of the buying public considered this the most important
reason they buy from a musical instrument dealer.

In addition to complete repair services for our products, we will emphasize upgrades and
customization items to develop other income streams our competitors have not considered. When
carrying a brand name item conflicts with giving the customer the best all-around value, we will
always pursue the product that best suits our client's interest.

Competitive Comparison

Music West is different from its competitors in several key areas:

1. Our three largest competitors do not carry band and orchestral instruments, one of our
primary focuses.
2. We offer services to support our products, and most of our competitors sell just the
products themselves.
3. Music West will take full advantage of "name brand recognition," an element that most
dealers overlook and under-advertise.
4. MusicWest will capitalize on our competitors' weakness in the accessory category by
keeping ours well-stocked.

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Musical instruments cannot be fully enjoyed without knowledge and experience. Unfortunately,
we cannot sell these products at a higher price just because we offer repair and instructional
services; the market does not support dealers who have tried this. We must offer varied services
and product mixes and be competitively priced as well, in order to survive in this new
economy. In addition to educating our customer base, we are committed to providing the best
product value.

Accessories are the highest profit center for the store and we have to expose our
competitors' weakness in this area if we wish to expand market share from day one of operations.
Competitors that do not stock the necessary accessories will send their customers to competing
stores, from which customers may not return. We must keep our accessory department wellstocked to take advantage of our competitors' flaws, and avoid this pitfall ourselves.

Fulfillment

When feasible, MusicWest will buy its inventory directly from the manufacturer in order to
obtain the lowest price possible. We will make use of one or two jobbers that sell a large variety
of small goods that would be impractical to obtain directly. We will frequently compare prices of
these distributors to ensure we are getting the very best price possible per item. That said,
MusicWest will always put the quality/value of the product we pass on to the consumer ahead of
price. The majority of our competitors buy by the piece rather than by the box or case lot. We
intend to buy our key, best-selling items in bulk, to obtain a pricing advantage over our direct
competitors. Common discounts in the industry consist of free freight, repayment term

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incentives, additional free merchandise or incremental percentage discounts on quantity

purchases.
Although we will buy key items in bulk when practical, we will also remind ourselves that
sometimes a better deal for the sake of lower prices is not the best move for our bottom line. We
should not risk over-stocking new or unproven merchandise just to get a small advantage in price
over competitors.

Technology

The Music Industry is currently riding a trend toward high-tech electronics in several product
areas, most notably in guitar related effects and multi-track recording hard/software. Sales
increases in these areas are due to the slashing of the price barrier in the home recording market,
and the pace at which new products become obsolete. This high tech boom has increased the M.I.
market substantially.

Digital keyboards are also seeing increased market share as technology becomes more
accessible. These units offer families state-of-the-art sounds and capabilities without a huge
learning curve. For instance, digital piano sales are currently the fastest growing segment of the
total piano market in India ., and sales have increased 450% over the last ten years.

One downside of technological innovations is that prices in this industry are dropping sharply,
lowering revenues per unit. It is therefore essential that the Musical Instrument retailer of today
bundle products together as packages, to increase profits and build sales.

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Future Products and Services

MusicWest will rotate its stock so that new products are always available. The store will balance
what is popular today with what will be popular tomorrow. We will institute the following
programs in order to ensure expansion of the store:

1. We hope to become the only store in Bangalore to institute the "Weekend Warrior"
program, sponsored by the National Association of Music Merchants (N.A.M.M.). This
program is responsible for bringing back into the fold many who had given up on music.
The program has successfully raised income opportunities for the stores who have
implemented it.
2. By the end of the first year of operations, we must place major emphasis on developing
our own school band instrument rental program. This rental program will allow us to
insulate ourselves from any large-scale competitors that might locate here, and generate
consistent year round high profit income opportunities.
3. Music West will take advantage of the internet as a major tool for passing along
information about our store and products to potential and current clients. We will
maintain this site as a local site, geared toward information and service. We believe that
placing a sales engine in our website would only lower our initial profit margin and
limit sales opportunities, so we will avoid this for now.

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4. We hope to start music clubs geared to children and seniors. These will be clubs that we
can support with little cost, but which can generate additional sales not actively targeted
by our competitors.
5. In the long term, there are many avenues we can explore, such as traditional piano sales,
professional sound installations, and service contracts with the public and private school
systems.

SWOT ANALYSIS

STRENGHTS

WEAKNESS

1. One stop shop for all your music needs..

1. Damage to delicate goods.

2. Strong

2. Uncertainty of money.

network

to

offer

various

specifications from different cities in India

3. Too

& abroad.

supervisors which may cause them to

3. Covering

every

aspect

Musical

instruments
4. Hassel free
5. Complete transparency.
6. Investment is small.
7. Round the clock services.
8. Demo instruments and jam rooms

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much

dependence

on

succumb under pressure.

4. Time in instruments that are ordered.

the

OPPORTUNITIES
1.

A market that is growing rapidly and

THREATS
1. Quality of goods used.

one that is relatively untapped.

1.

Mind set of client.

2.

2.

Indecisiveness on the part of the

Increase in the disposable income of

people.

client.

3.

3.

Increase in the music sense among

people.

There are a few standard competitors.

4.Every changing minds/wants of the

clients.

QUESTIONNAIRE
General information
Name:.
Age:
Gender: m/f
Occupation:.

Are you interested in buying musical instruments?

A. Yes
B. No

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Which instruments do you love to play?

A. Guitar
B. Piano
C. Drums
D. Other instruments

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Which genre of music you prefer to listening to?

A. Rock
B. Hip-hop
C. Classics
D. Metal

Do you like the idea of a demo room? Where in you can actually jam with your band,
friends or any music lovers?

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A. Yes
B. No

Do you believe music is a mind soother and helps a person to be relived from
tension?
A. Yes
B. No

INTERPRETATION
The study was conducted on the people residing in Bangalore and majority of them
belonging to the age group of 25-45 years. The outcome of the study was that most of the people
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preferred listening to music and had a keen interest in music as its a mind soother in the busy
life. Many people showed interest in learning music and the study showed that the result of
buying musical instruments is a wise investment.
The study made us realize that the project we have chosen is feasible. Hence we will put in our
best to fulfill our customers expectations and cater to their specifications.

Market Analysis Summary

Consumers spent Rs.6.9 billion on musical instruments nationally in 2003. This was the second
highest yearly total on record. The industry achieved these numbers even with a slow economy
and the stock market in a period of transition. Lower pricing was a factor in the increased sales,
but this also lowered profits and overall industry dollars, decreasing the yearly total from the
industry high of Rs.7.1 billion in 2002.

Key sales areas related to our business model are:

Fretted instruments Rs.90.3 crores.

School Band Instruments Rs.53.22 crores.

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Sound Reinforcement Rs.81.99 crores.

Printed Music Rs.51.1 crores

Electronic Keyboards Rs.20.07 crores.

General accessories up 4.8% in retail dollars shipped, to Rs.36.43 crores.

In the musical instrument industry, consumers are looking for wide selections, prompt and
knowledgeable service, good product value, and music lessons to further their understanding and
enjoyment of the products. They prefer to find stores offering these benefits through word of
mouth.

The musical instrument market has recently been driven by a number of low-cost, high-selection
Internet and mail order companies, which has caused prices to level out, by giving consumers
comparison shopping at their fingertips. In response, various large chains have tried to offer
similarly wide selections in their physical retail spaces, at the expense of staff training and
customer service. However, the high-profile advertising generated by these chains has rippled
down even to small stores, as more and more musicians at all levels start to seek out the missing
elements of these sales model. Music West has the experience, prices, and focus on customer
service to fill these gaps.

Market Segmentation

The following market segmentation table is based on the finding that roughly 46% of the general
population are "musicians" of some form or another. Within that group, there are different
segments, ranging from professionals, to semi-professionals, to hobbyists and novices. It is very

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difficult to make a single demographic profile of the typical consumer for this industry, as within
each instrument or client type, the figures for age and income will vary drastically. The market
analysis numbers show the 46% of the local population around Music West who will serve as our
potential customer base.

THE 7 PS

OUR PRODUCT
MUSIC WEST will provide top quality musical instruments. While researching on an idea, our
market managers sift the grain from the chaff with a know-how that is comparable to the best
in the Indian market. The goal behind initiating this idea is to draw more music lovers in the
most enthusiastic and growing industry these days.

Services we offer:
MUSIC WEST offers musical instruments with quality service and wide customer satisfaction.
Service Description
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MUSIC WEST services include:

Grand pianos

guitars

percussion pads and hand instruments

acoustic drums

amplifiers

music mixer syste

all other music accessories

PRICING
Being a service and our service being subject to the choice and decision of individual
clients, it is very hard to set a standard price. The quantity, type, extent of grandeur varies
from person to person and organization to organization; making price estimation difficult.
Prices are determined by the scope of the project and the specifications of the client.
The pricing will be on the basis on the brand of the instruments.

PROMOTION

The main feature of our promotion strategy will include distribution of brochures and
pamphlets. We will be catering to sponsorship of various concerts which would be held in
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Bangalore, so as to attract more consumers to our musical store. We have a online site i.e
www.musicwest.in. Personnel from MUSIC WEST will be present to provide any
information regarding the services, price etc
We will also put our posters around Bangalore especially in colleges, pubs, clubs and
shopping malls. This would facilitate us promote our business to the maximum extent
because of the frequent visit of many of the masses to these places.
Billboards and Hoardings will be placed at strategic locations promoting the idea of the
perfect place to work in. We will also rely on publicity by word of mouth. We are sure our
clients will be very pleased with our services and will not fail to tell friends and family of the
wonderful experience that is to plan your interior and exterior walls with MUSIC WEST.

PLACE
MUSIC WEST center will be situated in the locality of Brigade, Bangalore. It is a well
developed part of Bangalore. Bangalore is also the hub of many software companies and
most of its population is the working class. Due to time factor & stress factor, we have a huge
scope of getting a large number of clientele. Bangalore has a lot of music lovers and good
band in the country. The city also provides all the resources needed. The cost of living indent
of Bangalore is quite high and the people there tend to spend lavishly when it comes to
setting up their homes/ work places, fill these facts make Bangalore the ideal place to start
our Business.

PHYSICAL EVIDENCE
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Our center at Bangalore will be complemented by a variety of display Instruments. It is

meant to give a prospective client an idea of how our products and service would be. We even
enable people who come to our store to spend time playing our instruments and could get an
idea of the quality and our ambience.

PEOPLE
We are a service and product based organization and customer satisfaction holds prime
importance. Hence we make sure that MUSIC WEST has the best service personnel that would
enable us to fulfill our goal of customer satisfaction. Our service personnel are present at two
levels:

Contact personnel
Contact personnel are those individuals whom the customers meet and whom the
customers judge the service upon when they search for tangible clues as to the quality of
service. They are the ambassadors for MUSIC WEST. 'We train them in communication and
organization skills, patience, efficiency, management, crisis handling and multi-tasking etc.

Support personnel
Our support personnel consist of our marketing personnel office staff', finance
personnel, human resource personnel and the supervisors. We would also have a helper for
the proper maintenance of our office.

PROCESS
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PLANNINGCO-ORDINATION AND IMPLEMENTATION

PLANNING
The process is as follows;
Initial Meeting with the Clients where the clients provide us with their requirements
Matching of Clients' needs with our Services

CO-ORDINATING
Selecting employees/ workers for the various products and Services required

Estimation of Costs and Reports to the Clients

Signing contracts

Detailing the entire plan

Organizing people and establishing

Delegation of work to the Staff

IMPLEMENTATION
Last Minute Details
Final Timings
33 | P a g e

Follow Up
Ensuring that the Clients get what they planned and paid for.
(Bplan)

PRINT ADS

1ST

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2ND

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Market Analysis Summary

MUSIC WEST will focus on various markets within the industry, the residential segment, music
lovers, schools, colleges, top bands in the city. Although the above is also true for the residential
owner, time is not as critical, quality and meeting the needs/wants of the client come first in the
36 | P a g e

music industry. This will help us gain more and more consumers, in turn helping the music
industry to grow and also increase our goodwill. The more the clients, faster is our growth and
we would be able to achieve our break-even-point.

Target Market Segment Strategy

We intend to target musical novices, hobbyists, and semi-professionals. These groups include
the largest percentage of musicians, with the greatest amount of disposable income.
These market segments can generally be approached with the same marketing techniques, and
can be very loyal when treated properly.
We have chosen not to make professional musicians our focus for several reasons. Professional
musicians require a great deal more attention and require much less profitable pricing, and they
prefer a more exclusive shopping environment away from the novice consumers (ego).

Market Needs
Our target clientele, though varied, can be approached in very much the same manner. Their
most important market needs are:

Selection

Value

Service

Lessons

37 | P a g e

Most musicians need support and service. The instruments that we sell can be difficult or
impossible for end users to service. Potential clients tend to seek stores that can fulfill these
services through word of mouth referrals and/or direct shopping experiences. These musicians
come back time after time if they feel they are getting a fair deal.
One of the most common complaints from musicians in our market is the high turnover of sales
staff at other dealers, and the resulting inconsistencies in their shopping experiences from day to
day. Consumers like to see the same faces on each visit and this business is one that thrives with
the personal relationships salespeople develop with their clientele.
In addition, female customers have traditionally been treated poorly by this male dominated
field. By reversing this trend, reinforced by ongoing sales training and with unbiased customer
interaction by our sales staff, we can further exploit the weaknesses of our top local competitors.

Market Trends
The musical instruments market is currently being driven by mail order and internet retailers.
Although such companies are known for low pricing and large selection, their prices
have bottomed out at a level the smaller stores can offer, while still remaining financially sound.
Retail mega-stores such as Guitar Center and Sam Ash are growing at a steady pace, but appear
to be affecting the market in a positive manner. Their high level of advertising drives in more
consumers, who in turn will seek out other music stores for comparison-shopping, and for the
music lessons and personal service not offered by most of the mega-stores.
Consumers increasingly expect the music stores they deal with to offer a clean, high-tech and
comfortable shopping environment, and more personal service to explain the ever-increasing
levels of technology in musical instruments. Consumers generally want all this and expect to see
prices consistent with the mega-stores. In short, they want a one-stop shopping experience. We

38 | P a g e

have shopped these major chain stores, and find that they have poor customer service, and that
their average employee is under-trained in sales and technical aspects unique to this industry.
Another trend that benefits this industry is that as production moves to other nations such as
China (due to lower cost of manufacturing), prices go down and units sold go up, increasing
revenue opportunities.

Market Growth
The musical instrument market has seen steady growth over the last ten years, with revenue
increasing from Rs.4.2 billion in 1995 to Rs.7.1 billion in 2000. 2003 sales were down to Rs.6.9
billion, still the second highest year in industry history. These numbers were reached in spite of
the difficulties with the economy and turmoil on Wall Street. The most dramatically declining
product was acoustic pianos, a product we are not interested in at the present time. The market
had seen steady growth of around 4% over the last few years, despite other key industries being
down (for example, automobiles down 7%, personal computers down 3% and new home
construction down 1.8%). In addition, 10-year growth patterns for the last decade show
incredible gains in key instrument categories. We expect these trends to continue as the economy
strengthens.

Service Business Analysis

Musical instrument retailing is accomplished through a variety of outlets:
1.

Local Musical Instrument retailers: Storefront reseller with less than 10,000 square
feet. These retailers usually carry one to three main brands and offer a mix of instruments and
accessories. Occasionally these will be specialty stores, offering only one type of instrument for
sale (i.e. drums, pianos or band instruments).

39 | P a g e

2.

Chain stores and Superstores: These include major chains such as Guitar Center and
Sam Ash. These stores are always bigger than 10,000 square feet and offer greater selection of
instruments. These stores offer sub-standard walk-in service and generally cater to people
looking for products in boxes with aggressive pricing and little support.
Mail Order: The market is increasingly served by mail order businesses that offer aggressive
pricing of boxed product. For the purely price-driven buyer, who buys boxes and expects no
service, this can be very attractive. These dealers also serve as an educational tool by displaying
items that most local dealers do not stock.

3.

Others: These include direct sales by manufacturers and the increasing number of
Internet sites that are mainly price driven. EBay has also become a player in this category.

Distributing a Service
Musical instrument re-sellers are supplied by a variety of means:
1.

Direct purchases from manufacturers - generally the best price, but higher minimum
orders.

2.

Purchases from national distributors - large selections, good prices.

3.

Purchases from regional distributors - small selection, average pricing.

4.

Specialty distributors/mfg. reps - good to great pricing based on yearly volume.

Competition and Buying Patterns

Consumers expect to walk into a clean, well-stocked shopping environment. The consumers do
shop between stores, as buying a musical instrument is a big purchase for most. Price tends to be
a huge influence on most musical instrument buyers; if they feel your pricing is out of line with
40 | P a g e

the market they will usually walk right out. On the other hand, if they feel your price is in line
with the market they tend to look to what else your store offers, such as lessons, repair facilities,
knowledgeable staff, etc. Growing percentages of customers are price-driven only, and want to
be handled in a direct and efficient manner without lengthy price negotiations. Accessory buyers
tend to find the store closest to their home or place of work for the sake of convenience.

POSITIONING
The company will position itself as an experienced provider of musical instruments. It
combines skill with experience and professionalism to bring to you what it

promises.

Creativity will be the core basis of success. MUSIC WEST' will be offering a full range of
services and thus provide the convenience of one-stop shopping for its clients. This will
significantly reduce the customers time and efforts.

USP
Our USP would be our acceptance to provide all types of musical instruments and its
accessories on the demands of the consumers. Also our clients can call our executives for any
sponsorship programs related to music.

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MUSIC WEST is a one-stop shop encompassing all you will ever need for your own
personalized musical instruments and accessories. Our specialty lies in the way we handle each
of your needs. 'We are unique in the way that we give our clients our undivided attention. 'We
listen to their needs and work with them to create the room of their dreams. Our clients' wishes
become our commands.
An important thing we would like to emphasize on is our intentions while dealing with our
customers. 'We ensure complete transparency in all our dealings. 'We cater to your specific
demands and bring together all the resources required to present you with your own personal
choice.
The clients seeking our services must feel completely carefree once they have entrusted
the work to us.
Our services can successfully meet your demands at any scale that too in a budget that suits
your pocket.
In short we give you:

One-stop shop for musical instruments

Complete transparency.

New style of instruments

Cater to your specific needs.

Main Competitors

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The main competitors for MUSIC WEST include Furtados, brigade music stop, Sound Glitz
and other top brands like Yamaha, Korg and Casio. Each of these competitors is able to achieve a
high degree of profitability through marketing, volume or high-end contracts. They pose a
significant threat to MUSIC WEST because of their deep pockets and their desire to acquire
other competitors. MUSIC WEST will compete with these rivals through the use of greater
marketing and better service. Also the round the clock service will prove to be our biggest asset.

QUALIFICATION & CONDITION FOR THE THREE MANAGERS

The post of the manager in our firm is given to those who are highly creative, dynamic to
change, can handle stress, etc. Following are the few qualifications & conditions required for
these posts.
43 | P a g e

MARKETING MANAGER

Bachelor degree in Business Administration or Business Management or such

business related courses with specialization in Marketing.

A commendable academic record in the High School and Pre University studies.

Work experience in any kind of social work or any other such societies.

Should possess leadership skills and creativity.

Should be physically fit and should be able to handle stress.

Pro active with high degree of self motivation.

Ability to work in a high volume team.

Excellent interpersonal skills and strong written and spoken communication.

Sound music sense

FINANCE MANAGER

Bachelor degree in Business Administration or Business Management or such business

related courses with specialization in finance.

A commendable academic record in the High School and Pre University studies.

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Work experience in any kind of social work or any other such societies.

Should possess leadership skills and creativity.

Should be physically fit and should be able to handle stress.

Pro active with high degree of self motivation.

Ability to work in a high volume team.

Proficient in word processing, database, spreadsheets, and other applications as

required.

HUMAN RESOURCE MANAGER

Bachelor degree in Business Administration or Business Management or such business

related courses with specialization in finance.

A commendable academic record in the High School and Pre University studies.

Work experience in any kind of social work or any other such societies.

Should possess leadership skills and creativity.

Should be physically fit and should be able to handle stress.

Pro active with high degree of self motivation.

Ability to work in a high volume team.

Excellent interpersonal skills and strong written and spoken communication.

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Should be empathetic and also a strong judge of character.

QUALIFICATION AND CONDITION FOR THE SUPERVISORS

Supervisors are basically regional heads who co ordinate all the activities between the clients
and the company. Also the managers report the progress in the respective marketing and HR
department to the respective regional supervisor ( Supervisor 1 Marketing Head, Supervisor 2
HR Head ).
REQUIREMENTS:

Preferable Masters in the respective field Marketing/ Human Resource.

o Work experience of a minimum of 2 years.
o Fluency in English, Kannada, Hindi & other colloquial languages.
o Excellent interpersonal skills and solid oral and written communication skills.
o Experience in social services, education and/or community development is
beneficial.
o Must specifically demonstrate a background and working knowledge in the
musical industry.
o Must be physically fit & should be able to take stress.
o Proactive with high degree of self-direction and motivation to accomplish the
work that is required.
o Ability to work in a high volume team oriented operation with evolving
priorities, and an ability to adapt to varied conditions and work responsibilities.

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o Basic knowledge of education, music industry and social service sectors.

o Proficient in word processing, database, spreadsheets, and other applications as
required.
o Must be very quick in making decisions.
o Should be able to judge between the right & wrong.
DUTIES AND RESPONSIBILITY

Ensures that mandatory supplier requirements are met.

Manages the production and approval of the supplier side of the budget

Makes effective use of supplier resources within the approved budget.

Tracks performance of consultants and takes appropriate action.

Proactively develops a collaborative relationship with the organization to Project Steering

Board level.

Ensures that there are clear communication paths within the project team and the
organization and supplier.

Acts as main point of contact between the supplier and the organization.

Produces and monitors financial reports including entry and maintenance of all actual
time and expense against the master plan.

Day to day management of supplier staff assigned to the project.

Quality Assures the work of supplier staff assigned to the project.

Encourages the transfer of product knowledge and skills to the appropriate staff within
the organization.

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DUTIES OF THE EMPLOYERS

Employers have the most control over the conditions of work and how it is to be done.
They therefore have the greatest legal and moral responsibility for the working of the whole
firm. They have to take care of the minutest details in order to reach the expected level of
services. The following are a few of the duties & responsibilities of the employer i.e. the
partners.

Making policies & procedures in such a way so as to provide welfare to each &

every person related them.

Treating & guiding all the employees equally without any bias.

Providing all the information, training, and education employees need to

efficiently do their jobs. This includes proper orientation, information and training about the
process of providing the product and service.

Training the supervisors to make sure they know and follow the procedure during

emergencies.

Check every now & then to make sure everyone is following workplace policies,

practices and procedures. If the rules are broken, take action to prevent it from happening
again.

Motivate the employees for efficient results.

Good relations with the other customers.

Maintain good relations with the clients & the other people.

48 | P a g e

Establish proper emergency procedures and ensure supervisors follow them when

necessary.

Allotting specific tasks to each employee.

Training all the employees every now & then.

Handling unexpected situations very patiently.

WORKING HOURS
1. Normal Working Hours

The normal office hours of employees are Monday to Friday, between 9:30 a.m. and 8:00 p.m.
with lunch hour from 1:00 p.m. to 2:00 p.m. Employees will work either one of the following
staggered office hours depending on the job requirements and subject to Head of
Division/Department's approval: 8:30 a.m. to 5:00 p.m. or 9:00 a.m. to 6:00 p.m.

2. Lunch Hour

Employees may have lunch, not exceeding one hour, at flexible times.
3. Overtime Work

Employees may be required to work additional hours when operational or contingency needs
arises.

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LEAVE POLICY
1. POLICY
The objectives of providing leave benefits by company are to release its employees from the pressure
of work and to provide them time-off under circumstances such as sickness, marriage and pregnancy
The leave benefits set out is applicable to full- time permanent employees. Application for leave is
subject to the approval of company and must be supported by relevant documents proving the
eligibility of the employee to the satisfaction of employee. Details of the leave policy are set out in
the following paragraphs. The policy shall be subject to change from time to time at the discretion of
company.

The leave policy of our firm mentions that any employee is not permitted to take leave
for more than 20 working days yearly. Also leave will not be granted for more than 10
consecutive days at a stretch. An employee taking approved annual or sick leave during the
week may also be asked to work additional hours during the same week. With the approval of
the employee, the agency may substitute the additional hours worked for the hours of leave,
thus reducing or eliminating the need for the employee to use leave.

We should be cautious when changing the kind of leave requested by an employee and
approved by the supervisor, and should ensure that employees are able to use their leave as
intended within the business demands of the firm. For example, it is not acceptable for an
50 | P a g e

agency to substitute compensatory leave for sick or annual leave without the employees
permission.
Leaves taken for reasons such as marriage, educational purposes will be dealt with accordingly after
there is a documented proof submitted which validates the leave. Leaves that are pre-determined
should be informed to the manager well in advance before the leave is taken. Any breaking of rules
and regulations OR exceed in the number of leaves allowed can lead to disciplinary action.

On the termination of their employment, the employee will be paid in respect of any
accrued but untaken leave. If the employee has exceeded their accrued leave entitlement, they
will thereby be consent to the excess being deducted from any sums due to them by the firm
on termination.

If employee expects to be absent from the job for an approved reason (e.g., paid time
off or a leave of absence), he should notify his supervisor of his upcoming absence as far in
advance as possible. If he unexpectedly needs to be absent from or late to work, he must
notify his supervisor prior to the start of his scheduled workday that he will be late or absent
and provide the reason for that absence or tardiness.

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LOAN GRANT POLICY

Granting loan to the personnel is an add on advantage to the firm because the firms
income is being utilized efficiently. Also the firm reaches a position so as to help its
employees as per the need.

According to the policies of the company, each employee can be provided with a loan
of not more than 5 lakhs. Also, the following conditions are to be adhered to:

The employee must be working with the firm for at least 3 years.

The cause for taking the loan must be mentioned & it should be genuine.

The interest rate for loan is 5% per annum which will be deducted from the

employees monthly salary.

The employee must sign in the letter/ document regarding the borrowing of the

He employee must be able to pay back the amount within 3 years.

Also, the employee must pay back the proportioned part of the principal amount

loan.

every month.

If at any time, the employee is found guilty or has taken loan for totally different reason
than mentioned, the management gets full authority to either ask him to return the amount
52 | P a g e

along with interest & then retain with the firm or to terminate from the employment,
depending on the seriousness of the matter.

RETIREMENT POLICY

Definition
For the purposes of this policy retirement is defined as the situation where an employee
permanently withdraws from the regular paid workforce. When they apply for retirement
leave or a retirement gratuity, staff will be required to declare any planned future
employment.

Purpose
To ensure that staff who are planning their retirement understand the options,
information and support that is available to them as and when it is needed and to establish a
process for discussing and reaching agreement on changes to employment or flexible
working arrangements where appropriate.

53 | P a g e

The types of options available might include, but are not limited to, the following:

Reduced Hours

Re-focusing of Responsibilities

Flexible Hours

Compressed Working Week (within contractual provisions)

Job Sharing

Leave With/Without Pay

Working from Home

The timing of retirement is a matter of individual choice and mutual agreement

between the employer and the staff member. However, the maximum age for retirement is 58
years.
Staff is encouraged to remain with the firm where competence, capacity and position
meet mutual expectations. However, it is recognized that lifestyle preferences, personal stress
levels, health, aspirations and changes to an individual's circumstances can all affect
employment needs. The firm will assist and support staff that are planning their retirement.

54 | P a g e

Recruitment Policies and Sources

Our policy is to ensure that the recruitment process is as objective as possible. All candidates
are assessed against the same criteria, and every effort is made to give them an equal opportunity,
regardless of nationality or ethnic origin, gender, disabilities, sexual orientation, belief or creed,
age or economic status or any other form of unjustified discrimination. All posts have a job
description and person specification:

The job description describes the overall role and responsibilities of the post. It is
expected that staff give a 100% commitment necessary to ensure total delivery of the
responsibilities.

The person specification identifies the minimum skills, experience and qualifications
needed by the post holder to carry out the job effectively.

The Application Form

To be completed in full. It is the first stage of the recruitment process. CVs or other testimonials
will not be considered. The information applicants provide on the application form will be used
for short listing for interview stage.

55 | P a g e

Reference

Applicants must give their present or most recent employer as one of their references. They will
be asked to provide information on their work performance, sickness, attendance and disciplinary
records. A reference from their current employer or most recent employer will be required before
an offer of employment is made.
If they are studying, they should give their tutor as a referee.
Present and Previous Employment
Starting with their current or last employer they will be asked to list all the employers they have
worked for; provide the job title with responsibilities and the period they have worked for them.
This information may be used to assess whether they meet the criteria for the post; they will have
to check that the dates are correct and are in order.

Education and Training

They will be asked to list of all qualifications they possess and training courses they have
attended. Information may be necessary here to assess whether they meet the criteria for the post;
they will be asked to check that the dates are correct and are in order.
Other Conditions of Appointment
The decision of the interview panel is made on the basis of information given during the
recruitment process.

56 | P a g e

All appointments are subject to the receipt of two satisfactory references, medical clearance a
background check and a satisfactory police check.

Sources of Recruitment

Ads in the Newspapers, Radio, Internet and Television

Present Employees

Past Employees

Friends

Rights of Admission (Walk Ins)

Employees Exchanges and Banks

Professional recruitment agencies.

SALARY STRUCTURE
The salary & other benefits provided to our employees are in the form of the following:

Basic Salary

House Rent Allowance

Medical Allowance

Special Allowance

Birthday Allowance

Provident fund

Gratuity

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Medical insurance

Life Insurance

Designation

No of Employees

Year 1

Year 2

Year 3

Regional Supervisors

400000

405000

410000

Managers

580000

585000

590000

Helping Staff

664150

658950

668850

11

1644150

1648950

1668850

The helping staff is basically the MUSIC WEST. They are the reason the company survives in
the market.

58 | P a g e

PROFIT AND LOSS

Sales
Direct Cost of Sales
Other Production Expenses
Total Cost of Sales
Gross Margin

Year 1
Rs.25,14,778
Rs.2,58,011
Rs.0
Rs.2,58,011
Rs.22,56,767

Year 2
Rs26,50,150
Rs.3,26,570
Rs.0
Rs.3,26,570
Rs.23,23,580

Year 3
Rs.26,96,900
Rs.3,50,075
Rs.0
Rs.3,50,075
Rs.23,46,825

Expenses
Payroll
Electricity
Expenses
Internet
Accountant Expense
Utilities
Insurance
Rent
Interior designer
Website Maintenance
Total Operating Expenses

Rs.16,44,150
Rs. 6600
Rs.51,200
Rs. 9600
Rs.5,200
Rs.17,120
Rs.4,800
Rs.2,40,000
Rs. 200000
Rs.2000
Rs.21,80,670

Rs.16,48,950
Rs. 6600
Rs.55,400
Rs. 9888
Rs.5,500
Rs.18,000
Rs.5,200
Rs.2,52,000
Rs. 0
Rs.2000
Rs.20,03,538

Rs.16,68,850
Rs. 6600
Rs.58,900
Rs. 9888
Rs.6,000
Rs.19,000
Rs.5,700
Rs.2,64,600
Rs.0
Rs.2000
Rs.20,41,538

59 | P a g e

Profit Before Interest and Rs.76,097

Taxes
Interest Expense
Rs.11,746
Taxes Incurred
Rs.15000
Net Profit
Rs.49,351

Rs.3,20,042

Rs.58,025

Rs.9,526
Rs.15,204
Rs. 2,95,312

Rs.7,210
Rs.15,244
Rs.2,24,208

Break-even Analysis
Total Investment = Rs. 25,00,000
Selling Price/Unit = Rs. 4190
Variable Cost/Unit = Rs. 1080
Break-even = 25,00,000
4190-1080
=804 units
1st Year Sales = 600 Units
2nd Year Sales = 630 Units
Break even = 1 year 4 months (Approx)
CASH FLOW STATEMENT
PARTICULARS
Cash Received
Cash from Operations
Cash Sales
Subtotal
Cash
from
Operations
Additional Cash Received
Sales Tax, VAT, HST/GST
Received
New Current Borrowing
New Other Liabilities
(interest-free)
New Long-term Liabilities
Sales of Other Current
Assets
Sales of Long-term Assets
New Investment Received
Subtotal Cash Received
Expenditures
Expenditures
from

60 | P a g e

Year 1

Year 2

Year 3

Rs.25,14,778
Rs.25,14,778

Rs.26,50,150
Rs.26,50,150

Rs.26,96,900
Rs.26,96,900

Rs.0

Rs.0

Rs.0

Rs.0
Rs.0

Rs.0
Rs.0

Rs.0
Rs.0

Rs.0
Rs.0

Rs.0
Rs.0

Rs.0850
Rs.0

Rs.0
Rs.0
Rs.25,14,778
Year 1

Rs.0
Rs.0
Rs.26,50,150
Year 2

Rs.0
Rs.0
Rs.26,96,900
Year 3

Operations
Cash Spending
Bill Payments
Subtotal
Spent
on
Operations
Additional Cash Spent
Sales Tax, VAT, HST/GST
Paid Out
Principal Repayment of
Current Borrowing
Other Liabilities Principal
Repayment
Long-term
Liabilities
Principal Repayment
Purchase Other Current
Assets
Purchase Long-term Assets
Dividends
Subtotal Cash Spent
Net Cash Flow
Cash Balance

BALANCE SHEET

61 | P a g e

Rs.16,44,150
Rs.2,29,463
Rs.18,73,613

Rs.16,48,950
Rs.4,54,298
Rs.21,03,248

Rs.16,68,850
Rs.4,92,649
Rs.21,61,499

Rs.0

Rs.0

Rs.0

Rs.0

Rs.0

Rs.0

Rs.0

Rs.0

Rs.0

Rs.35,628

Rs.35,628

Rs.35,628

Rs.0

Rs.0

Rs.0

Rs.0
Rs.0
Rs.19,09,241
Rs.1,05,537
Rs.1,74,037

Rs.0
Rs.0
Rs.21,38,876
Rs.11,274
Rs.1,85,311

Rs.0
Rs.0
Rs.21,97,127
(Rs.227)
Rs.1,85,084

PARTICULARS
Assets
Current Assets
Cash
Inventory
Debtors
Other current assets
Preliminary expenses
Furniture
Long-term Assets
Accumulated Depreciation
Total Assets
Liabilities and Capital
Current Liabilities
Accounts Payable
Current Borrowing
Other Current Liabilities
Subtotal Current Liabilities
Long-term Liabilities
Total Liabilities
Paid-in Capital
Retained Earnings
Earnings
Total Capital

Total Liabilities and Capital

62 | P a g e

Year 1

Year 2

Year 3

Rs.1,74,037
Rs.22,460

Rs.1,85,311
Rs.39,187

Rs.1,85,084
Rs.30,475

Rs.10,00,000
Rs. 5,00,000
Rs. 9,39,971

Rs.10,00,000
Rs. 5,00,000
Rs.9,70,000

Rs.10,00,000
Rs. 5,00,000
Rs. 9,40,000

Rs.77,632
Rs.7,500
Rs.0
Rs.27,21,60
0

Rs46,579.
Rs.1,80,000
Rs.0

Rs37,263
Rs.1,80,000
Rs.0

Rs.29,21,077

Rs. 28,72,822

Year 1

Year 2

Year 3

Rs.21,374
Rs.0
Rs.20,500
Rs.41,874
Rs.1,64,375
Rs.2,06,249
Rs.
25,00,000
(Rs.34,000)

Rs.38,769
Rs.0
Rs.0
Rs.38,769
Rs.128,744
Rs.167,513

Rs.40,646
Rs.0
Rs.21,125
Rs.61,771
Rs.93,116
Rs.1,54,887

Rs.25,00,000
(Rs.41,748)

Rs.25,00,000
(Rs.6,273)

Rs.49,351
Rs.25,15,35
1

Rs2,95,312

Rs.27,21,60
0

Rs.2,24,208

Rs.27,53,564

Rs.27,17,935

Rs.29,21,077

Rs.28,72,822

Its an exciting opportunity currently for all music lovers so that our store is the one stop for all
music needs. Although there are a number of musical instrument retailers in this city of over
500,000 people, there are currently only three very small school band and orchestral instrument
dealers; these stores have small selections and short hours. At the other end of the spectrum
stores with a more guitar and electrical focus), big chains are competing on prices at the expense
of customer service.

Music West will offer the buying public a superior shopping alternative, with a huge selection of
school band and orchestra instruments, plus guitars, keyboards and accessories, at reasonable
prices. Our products will be supported by skilled repair services and a knowledgeable and
friendly staff, as focused on educating the customer as on closing the sale. We will exploit our
competitors' weaknesses by offering ongoing music community events, from free lessons, to
music clubs, to after-sale follow up to turn one-time shoppers into lifelong customers.
Our unique marketing schemes include "You Play, We Pay" (whereby a portion of instrument
sales and rentals are donated to local school band programs) and "100% Money Back" trade up
programs, where customers receive 100% of their purchase price toward upgrading their
Motto: Stop Dreaming, Start Playing. Once in the store, our clients want to come back often for
the special treatment they receive here and nowhere else.

Although Music West may not become the biggest, our intention is to become a "Must-Shop
Destination" for those looking to buy a new or used musical instrument in Bangalore.

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MUSIC WEST is a business venture with a high potential to be successful in the future. The
round the clock services and the demo jam room are the USP of MUSIC WEST which attribute
to its ability of attracting more clients.
The preparation of this B-Plan has taught us a lot about how the practical world works like.
How corporate situations are to be dealt with and how dynamic the real business world is.
Our success depends on our efficiency to satisfy our clients. The success of our work depends
mainly on them. This makes it important that we recruit the most responsible & efficient people.
Also, when the decision to be taken is urgent, either of us will report to the place immediately &
take the best & most appropriate action. We would like to increase the number of music lovers
and interest towards learning music among various and diverse people in the city of Bangalore.

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BIBLIOGRAPHY
(n.d.).
Bplan. (n.d.). Retrieved from bplans.com:
http://www.bplans.com/musical_instrument_store_business_plan/company_summary_fc.
php#.USs2YzAnaSo
Retirment solutions. (n.d.). Retrieved from Bplan.net:
http://insurance.birlasunlife.com/Pages/Individual/Our-Solutions/Retirement.aspx?
cid=psRS_Search_Investment_Plan
sss. (2013). bbb (23 ed.). Bangalore: oxford.
WIKIPEDIA. (n.d.). Music Industry. Retrieved from Wikipedia:
http://en.wikipedia.org/wiki/Music_industry

Cost and Management Accounting, Author SP Jain

Business Enterprise. Philip. K

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