Business Plan

Sao Paulo Travel Blog

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Shannon Joiner
Vickie Cherry

Dois Reals Arvore

            Due to lower salaries in Brazil, citizens are often looking for inexpensive, reliable goods that fall into the nonperishable, daily necessity category.  With this market pain in mind, we have proposed a chain of quality goods stores named “Dois Reals Arvore.”  These stores will provide a range of products, including cleaning supplies, hygienic goods, and decorative collectibles.

$       Our target market is the middle and lower class citizens of major metropolitan cities, particularly near the favelas.

$       There are currently locally-owned stores of a similar variety; however, no national chain competitor exists.  In addition, these current stores are not strategically enough placed to interfere with our lower class markets.

$       Also, due to the difficult nature of the Brazilian system, it is very time consuming and complicated to begin new business ventures within any industry.  Thus, there is a significant barrier to entry in all industries which limits competition…

$       The production of the majority of goods will be through partnerships within Asia especially the nation of China.  The goods will be pre-ordered and designed and then imported to Brazil in order to reduce production costs.

$       Each of the items will be of a basic quality to ensure functionality, but not necessarily endurance in life.  The purpose of the goods is to fulfill a basic immediate need outside of the commodity of perishable foods.

$       The extent of our marketing efforts will be word of mouth advertising and radio announcements.  The radio spots will only be played on more affordable frequencies such as station 97.9 Favela FM.

$       The management team will consist of the necessary executive board members, including Vickie Cherry, CEO and Shannon Joiner, CFO.  Also, each store will be run by one manager, two assistant managers, and a determined number of staff personnel.

$       As far as financial projections are concerned, we feel confident that the corporation should break even, if not turn a profit by year three.  This delay in profit can be attributed to me having too much fun in Florianopolis.

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