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Analyse the potential and viability of the success of newly opened store Coffee
Planet (Sam) Mumbai

Analysis of Coffee Planet

Target Market

a. Primary Target Market: The Primary target market for Coffee Planet in Mumbai is
the young generation both female and male students from the ages of 18-34. This
market is well educated and comes from middle class to upper middle class
population. Since the location is close to the Mumbai University customers can have
easy access to stores

b. The Secondary Target Market: The secondary target markets are the, multinational
offices; local people where highly paid consumers work therefore special marketing
strategies will be used to gain their brand loyalty to Coffee Planet.

3. Analysis of the potential location

The coffee shop is located in a highly sophisticated place whereby Mumbai

University, multinational companies and small scale industries are based. The Coffee
Planet will be located in Mumbai Santa Cruz (east). The buildings around the area are
very contemporary and developed. The roads are in good condition to maintain easy
access to our location. (A map of the location can be seen in Appendix.)

IV. Planned Operation of the Proposed Business

A. Proposed Organization

Coffee Planet will be a privately owned business with horizontal organization.

The store will have a manager and three employees that will rotate shifts depending
how busy the store is during the day. Coffee Planet believes in an open and friendly
work environment and all employees of Coffee Planet refer to each other as Baristas
The store will open on 1st November with the legal paper work, licensing, and
government approval should be completed in May of this current year

B. Proposed Product/service

1. The Product

Coffee Planet will sell a variety of coffee and tea beverages along with different
types of pastries, confections, and baked goods, coffee-related accessories and
equipment. The coffee shops provide customers with a pleasant place to come and
relax, study, work, or have business meetings. Both locations will provided wireless
Internet access in the stores so that customers can bring their laptop and continue their
work if they wish.
Coffee Planet will customize the menu to fit the tastes of the local people. A new
menu will be originated after several months of research and development. There are
some common tastes preferences of the Indians known already. For example, Indians
tend to take more cream in their coffee. Also, the skim milk option will not be offered
in India because dieting is not a commonly accepted practice in the country. Indians

will feel that they are being cheated out of their money if skim milk is put in their
beverages. Indians also like spices in their tea and coffee, especially ginger and black
clove. One of India’s favourite fruit flavours in mango, and in fact the mango is
India’s national fruit. The coffee beans and tea will be bought from local Indian
farmers in order to support the local agricultural economy, save money in
transportation and tariffs, and gain tax benefits. Inspections of the crops will be taken
into consideration to ensure the high quality and in maintaining standards. The
inventory policy will be put into practise to keep the stores stocked but not over
stocked to ensure freshness of products.

2. Transportation of goods

The raw materials (coffee beans and tea) will be transported to Mumbai making use of
India’s vast and efficient railway system, and supply trucks.

C. Proposed Strategies

1. Pricing

Competitive pricing is vital for the business to grow and succeed but definitely costs
need to be taken into consideration. Because of the costs involved in start up,
transportation and imported goods, the price will be set to make the coffee affordable
to the target audience. The payment will be done in rupees so the price of coffee
would be about 10 to 15 rupees. The prices for all good will vary from each and every
product with the use of pricing policy, Coffee Planet prices will be 20% lower than
those of the other Barista Company. This use of penetration pricing will ease the
business to slide into the market place. Though it is possible to get a cup of coffee for
15 merely 5 rupees at small stalls on the street, the success of the Barista Coffee
company in India show that the customers are willing to pay for better quality,
service, and environment

2. Promotion

Types of available media for marketing purposes which include everything from
newspaper advertising to television ads. Since this is a test venture and there is only
one location of store being opened, the promotion for the store has to be focused on
our target markets. Billboard advertising on the roads leading to the store locations is
a good way to increase awareness of the locations. Direct mail advertising with
promotional coupons will be used to reach the homes of the target market. Sales
brochures offering delivery services will be sent to the local call centres and big
companies. A large number of people have access to internet therefore a proper
website will be developed to communicate the products and other social networking
Sites. Face book and Orkut will also be used to keep the customer updated with the
latest product and services


Billboards: 1500 rupees per 10ft by 15 ft billboard ad.

Direct Mail: 3000 rupees per 2500 prints plus stamps costs to mail directly to the

Sales Brochures: 3500 rupees per 2500 prints.

Coffee Planet (Mumbai) will sponsor scholarship contests and cricket tournaments for
the local students and make an annual large donation of Rs75, 000 to the local public
school systems to enhance brand loyalty. This environmental campaigning will give
Coffee Planet positive publicity.


The SWOT analysis is a tool which will provide with an opportunity to examine the
strengths, weakness, opportunities and threats of the Coffee Planet.

The strengths of the coffee planet includes an efficient and knowledgeable staff

The weakness of the coffee planet

The strengths of the coffee planet will help to capitalize on the opportunities it
includes a growing daily population of coffee drinking population


The products of Coffee Planet faces competition with its local competitors such as
Barista coffee company and Coffee café day. The competitive advantage is that there
are no local competitors within the desired location


Innovation of a coffee culture in the desired location and its products, services will
differentiate Coffee Planet from its local competitor’s.

The establishment of Coffee Planet as a community hub for socialization and


Coffee Planet will position itself as an educational resource for individuals wishing to
learn about the benefits of the internet has to offer
Great Coffee and bakery products

Critical Issues

The dual product/service of Coffee Planet business faces competition on two levels.
Coffee Planet competes not only with coffee retailers, but also with Internet service
providers. The good news is that it does not currently face any direct competition
from other cyber cafes in the local market. There are a total of three cyber cafes
within the desired area one located two in Kalina and nearby the Mumbai University


Many factors contribute to the large demand for good coffee. The student population
at the University is a main source of demand for coffee retailers. The popularity of the
internet is growing increasingly those who are familiar with the information
technology are well aware of how fun and addicting surfing the internet can be. Those
who have not yet experienced the internet need a convenient relaxed atmosphere
where they can feel comfortable learning about and utilizing the current technologies.
Coffee Planet seeks to provide its customers with affordable internet access in an
innovative and supportive environment


Coffee Planet will position itself as an upscale coffee house and internet service
provider. Students from downtown housing centres will use Coffee Planet as a place
to socialize and discuss the internet sites

Target Marketing:

Target marketing means we are targeting particular audience group in form of small
groups, individuals depending upon their level of interest, desires because they are our
potential customers. However the 6W will help us to decide who is our target market.


Generally students, young generation, contractors, local authority are my potential

customers because the coffee store would be located near the Mumbai University


As the project is about coffee business various products would be sold such as the
Cappuccino, Latte, Mocha, cold coffee, natural juices to fit into the customers taste


Students had to go to west Mumbai to buy coffee. However it is situated nearby

Mumbai University it could grab the attention of the target audience and build a new
market for the products and services offered by the store.

The potential customers will buy products because the product is gaining popularity
and in demand because the changing consumer attitude and taste


Generally, my potential customer will buy the products and it totally depends on the
order of customers


Risk assessment is examination of what factors are going to harm your project in
present and future and by identifying those factors what precaution or steps are taken
to minimize or avoid those risk factors.


1. Supply Chain Medium If there are problems with deliveries there are chances of
Management loosing customers
2. Financial Support High As the business is owned by a sole trader financial support
of Management from the management may lack
3. Pricing Low It is vital to conduct a competitor analysis before prices are
structured because it has to meet the market requirements
failing to do so will have an impact on project and sales

4. Resources High Resources should be properly allocated and all the tasks
should be completed on time otherwise costs will go up
5. Budgets High Budgets should be identified at the start of the project
otherwise have to depend on other sources for availability of
6. Objectives of the High If the objectives are not met the outcome of the project may
project not be achieved

25. Project Monitoring and Controlling

At this stage the Project manager has to make sure that the project meets the level of
quality by regular checks and monitoring the process. On the other hand he has to
make sure that he achieve his goals with in the time limit and with out any add on
costs which are possible due to the delays in the project.

26. Handover & Closure

The project closure report is produced in front of the project board at the end of the
project, its contains review of the whole project and how the project has been
executed and whether or not it has met its objectives.

The owner of the project will need to study the report in detail and ensure that the
project has successfully delivered its objectives, as mentioned in the project definition
document, the project is formally wind-up .The board of the Sify’s spa will review
the overall outcome of the project by identifying the project completion criteria and
listing the outstanding activities or deliverables.

Project closure report should include:

• Final project report should show the original business plan which
includes tasks, schedules etc.
• Description of final deliverables of the project
• Analysis of the external and internal environment of the project-
knowing the strengths and weakness of the project

27. Evaluation
After the handover of the project to the sponsor, a further evaluation can be done in
order to determine the case , which obstruct the Sify’s Spa Project. And also
discussing about the problems and their causes in the project.

The analysis can be done by gathering information through questionnaires or

interviews about the forces obstructing project performance. For individual projects it
is necessary to identify the specific forces – procedures, systems or behaviour and
attitudes of individual and groups that help or hinder the project. All the parties have
to be included in the survey that involved in the project or affected by the project

To conclude, we can say that the project is well designed with all the essential project
management tools like project definition, Gantt chart, network diagram, feasibility,
work breakdown structure etc. Project management plays a vital role for the company
to grow and build its reputation. By making project management a part of the firm it
can give competitive advantage to achieve process, to mitigate risk, to accomplish the
objectives and goals of project.


The overall strategy for the project has been discussed earlier in this case. Thus the
ultimate objective would be to provide good quality products by taking quality
standards into consideration. As we provide the technical guidance and support.
Moreover, we aim to provide first three services free of cost to the customer within
the six months from the purchase date of the product which will add value to my
project and overall business. We have described earlier, to follow the low-cost high
turnover approach to attract the potential customer. If they are getting best quality
with the low prices, will help to gain the market share and sales.