MBE3163

Business Plan
Development
REPORT 2

Prepared By:
NURUL ALIYAHNA ZAKIYYAH
BINTI INDATOH
( BEN15041068)

Prepared For:
DR. ALAN LIM

Date of Submission:
DECEMBER 2016

Ratu Collection
 Style. Elegant .Quality

BUSINESS PLAN

Table of Contents

Table of contents Pages

Table of Content
1.0 Executive Summary
2.0 Introduction
3.0 Competitive Analysis
4.0 Business Strategy
5.0 Marketing Plan
6.0 Operational Plan
7.0 Strategy for Scaling
8.0 Financial Forecast
Conclusion and
Recommendation
References (Bibliography)
Appendix
Executive summary
Ratu Collection, as the name implies, wWill carry Ready-to-Wear (RTW)
designer and cCustomized hijab, bag, pants, dress, palazzo pants and skirts,
this include picking your colors and patterns, and makinge them truly
yours.Ratu Collection main proposition is to sell goods makde or in your own
design based on according to customer ideas demand. This business will
leverage on is conducted byITIt platform and further boosted by the
presence of a shop. As part of its sales strategy, Ratu Collection will be
made by renting one of the places frequented by adult women and
adolescents in Kota Kinabalu, i.e.the for any targetted market is teenagers
and women(based on data collected). Ratu Collection is a boutique that is
perfect for teens / women who are crazy about shopping and love hijab
fashion.

The major elements of Ratu Collections offering and strategy will be based
on: offered distinguish between boutiques that have been there in
general is:

i. Customization
ii. Products that fit our culture and not westernized
iii. Marketing method is unique and interesting.
iv. Cities comfortable and convenient stores.
v. Quality product at Price of affordable price. but quality does not
degrade.
vi.
Introduction

RatuCollection is an exclusive ??????.Ratu Collection will begin

operation on February 29, 2017. Our clothing selections and exclusive
personal style services, which include a detailed Style Assessment, will
ensure that our customers are well dressed. It is a woman-owned business
currently organized as a Sole Proprietorship. Ratu Collection will carry Ready-
to-Wear (RTW) designer and casual/contemporary apparel and& accessories
for women, scarf and handbag and will be the exclusive in Malaysia. Most of
the Ratu Collection stock fabrics imported from Indonesia and compassion
have been fixed with a piece of cloth wholesaler of quality.
RatuCollection also, is the first in Malaysia boutique that customer can
design own clothes, hijab, bag, pants and skirt online by you on
creativity. Custom since before that was a thing. Today, with Ratu Collection
the creativity is still in your hands. Pick your Clothes, hijab, bag, pants and
skirt, pick your colors and patterns, and make them yours. To further
enhance the experience of the customer, and to boost the elegance
and values, we will provide customer with high quality fabrics
whichcustomer can Customizeandeventailor-makdefor you from the highest
quality fabrics. By giving the customers a free-hand, they canCombine high-
quality fabrics with modern styles for thousands of
combinations.Customisationze can requested from plain to
patternpatterned.It will be hand-cCrafted by Humans, so every product will
be unique and different, and-is cut from high-quality fabric and custom-made
to fit you perfectly. This is the variety and uniqueness if you buy in Ratu
Collection.
This business will beis conducted through the use of ITby It platform
as well asand shop.Ratu Collection work also done through online via a blog,
website, instagram and "facebook" and so on. Ratu Collection will first is
designed strategise its for business in bigger town like a well-positioned
locations in Kota Kinabalu, Sabah. In addition, we will provide extra services,
wcich is to provide tutorial the services provided to theand information on
head scarf fashion
tutorial customer. In Malaysia, scarves, clothing and bags are a
necessity formuslim women to wear Islamic. There are about 16 million
Muslims in Malaysia and half of them wear it was covered by hijab. As it is
turning into a fashion, we believe tThis market will be growing healthily in
the next few years and beyond, i.e. situation will be more robust and has the
potential ofto growth is great.
In addition, we can take the success of There are many reasons why
thise industry, where it has produced millionaires (in many caseswith
silently) or otherwise.
A stable political situation, a multi-racial unity and a stable economic
situation in Malaysia will boost consumer spending and encourage the
community to shopespecially, when. They do not doubt on to spending more,
driven by while they getwanting to be the most modern and fashion.
Ratu Collection is athe world of fashion while not limiting it to a
modern contemporary style, but now demand for clothing is even higher and
will also be sold in Ratu collection. Clothing is now a choice every day
whether when fashion is at rest or in formal clothes to the gathering. The
pursuit for elegance, uniqueness and fashion, creates a Hhigh demand
atmosphere which we believe can further be enhanced by moving on a step
further by fusing makes Ratu Collection also wants to start producing
clothing, located in East and West blended design, and that meets the dress
is on at the same time promote the local fashion industrydesigner by
working with them. Scarves and clothes are also designed with diversity in
line with fashion apparel wearers. When observing, forming a scarf too many
changes.
Market facts on the Muslim Fashion Industry

Fashion & clothing industry is often associated with beauty, glamour

and popularity. But not many people know behind the popularity, beauty and
luxury that is, the industry has played an important and significant role in the
economic development of a country. Although many critics prefer the fashion
label as promotion hedonism,, ironically, this industry also contributed to the
growth in gross domestic product (GDP). Fashion and clothing industry is one
of the sub-networks of economic interdependence between each other,
including logistics, manufacturing, retail and many others.
Besides the glamour and full of charm, fashion stage medium was also
testify in finalizing contracts worth millions of ringgits fashion. Looking at the
current development and regional economic stability, it is not surprising that
more countries now have the opportunity and justification
significantly to the fashion and clothing industry of each country. Muslim
fashion business in Malaysia is growing with the increase in sales
companiesventuring into this industry and the outlets are seen that opened
like mushrooming,just like sprouting s that grow after the rain. Muslim
fashion business is actually promising huge market and high capital returns
to growers.
Malaysia, where about 60% of the population is Muslim, is not the only
country experiencing an increase in demand for what has become known as
-fashion simple fashion for Muslim women. Islam inspired modest clothing is
taking off from Indonesia to the United States. This market for Muslims is
very much part of the vast global clothing and accessories industry and
value-chain. Today, according to the 2015-2016 State of the Global Islamic
Economy Report,Muslim populations extending from the far West to the Far
East, are estimated to have spent a total of $230 billion on clothing &
footwear in 2014.This expenditure represents 11% of global expenditure and
is estimated to reach $327 billion by 2020. The demand for head scars, or
lid, increase as more Muslim women decided to cover their heads.
 In ???countries, other Muslim majority, many women also wear the
hijab, or head scarf, bouncing called in the Quran for both men and women
to "cover and moderate". Scarf while making a religious statement, it has
also become a fashion accessory and the growing demand for fashion
scarves flow has created a booming industry globally.
Competitive Analysis

According to market size in Kota Kinabalu, there are few direct

competitors with RC. Among the contenders include it, Naelofar, Susy
Collection, Jovian Mandagie, Applegreen Hijab, Dubai Collection, Tamma,
Mardhiyah Hijab, Ariani, Aidijuma and so on.
With the expectation of the chain, all the shops are local boutiques that
cater to the same demographics as Flourish. The following chart lists some
competitors, citing their strengths and weaknesses compared to grow. To
assess the cost, a rough estimate of the average clothing prices in each
organization (obtained through personal research) is listed. Although this
measure is rather subjective, considering Ratu Collection the target
consumer,price less than RM 100 are considered reasonable and prices
more than 100 are considered high.

Competitor analysis
Comparison of Ratu Collection product with related competitors.

Ratu Hijab Naelofar Hijab

Uniqueness Custom made Instant shawl
Product Readymade, instant and Instant shawl
custom made hijab
Pricing Rm 30-250 Rm 50-130
Material Average and high High
Strengths Trendy apparel and Up to date hijab that
unique apparel strongly reflect celebrity
fashion
Weaknesses New lack ofbusiness Styles can sees as TOO
 experience trendy and lacking
uniqueness

As information from the chart above, there are no boutiques currently

existing exactly as Ratu Collection, Ratu Collection would offer a hijab,
clothing and accessories larger selection of Naelofar Hijab, the price is
cheaper than Elle Boutique, pieces more unique than Naelofar Hijab, and
better layout and intimate friend of Naelofar Hijab.
Ratu Collection will also compete with online retailers so much. Many
retailers will offer some similar products like boutique brand to another, and
they can also offer them at a lower price. However, acexcessibility toRatu
Collection is that customers will actually see, touch and try on items before
making a purchase decision. They will also be able to work with one sales
partner and avoid shipping costs and fees are added.
Operational Plan

To create a design that can be run properly and organized, planned

surgeryis one of the most important plans as the power to generate the
plan.

With the design of this operation enables us how operations can be

run. Therefore, the operational plan should be focused on the point, it is
because through this operational plan to determine the profit or loss for a
business that will be earned.

Research should be fully taken into account in order to achieve

maximum profit levels with the use of minimal cost. In addition, this
operation is also planned a series of activities to design, use and control of
resources to produce a product and service. It is based on the resources in
terms of labor, raw materials, machinery and equipment, processing
methods and information technology capital.

Organizational structure, Ratu Collection is small and therefore requires

a simple organizational structure. Owners will act manager. All decisions
made by the company's objectives. Employee tasks are delegated by the
level of expertise, creativity, strength and weakness.

Platform that using by Ratu Collection is IT and shops. Ratu Collection

Opens Online Store (online) is easier than in a physical store .No much rent
should be removed, do not have large capital, do not have many worker, but
thousands of people can stop in the store at one time. Before making
business to this relatively new field, it also requires research and planning
early so you step more organized many important aspects that should be
considered before you build your online store.Ratu Collection also open
physical store to looks grand, professional, customers can grasp and feel our
products and much more. In addition, can pull traffic passing around the
premises we are.
 Ratu Collection, hours of operation will be Monday - Sunday 10 a.m. - 9
p.m.Customers also will be able to purchase directly from our website. There
will be extended special hours designated during festival holiday shopping
season.

Operational Plan: An approach based on the sequence of:

Key Activities Key Resources Key Channels

Products

R
B
H
a
a
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g
t
j
u
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b
Figure 1

Based on the Figure 1above, the following are the products that are
sold by the Ratu Collection.

Ratu Collection Will carry Ready-to-Wear (RTW) designer and Customize

hijab, bag, pants, dress, palazzo pants and skirt, pick your colors and
patterns, with the aim of and make them yours.Ratu Collectionand will be the
exclusive in Malaysia. Customers can design their own items purchased from
this boutique, by . They can choosing the requirede patterns and styles that
they like.They can also dDesign their Your Own Clothes, hijab, bag, dress,
pants and skirt oOnline by being by you on creative. And what will you
do> my question is, do you use a pick-and-match approach or they
can actually go into the technicality of designing a dress like how should
the fabric be cut, what buttons etc. I think you need to make this clear
what do you mean by customization and designing your own.

ity. Custom since before that was a thing. Today, the creativity is still in
your hands. Pick your Clothes, hijab, bag, dress, pants and skirt, pick your
colors and patterns, and make them yours. Customize Your Perfect. Tailor-
made for you from the highest quality fabrics. Combine high-quality fabrics
with modern styles for thousands of combinations. Crafted by Humans,
-isand cut from high-quality fabric and custom-made to fit you perfectly.Too
all the above products items, Ratu Collection will get a profit margin of 30%
from every per item sold.
 Products and Services

Ratu collection is product is Customize hijab, bag, pants,

dress, palazzo pants, skirts and accessories. Ratu Collection is
preparing outfits readymade and also customize. All products high
quality and the price are very affordable.

Services provided Ratu Collection is customized, customers

can choose according to that pattern fabric and so they prefer.
Customers can choose the style, pattern, color and so on. This is to
provide variety and uniqueness of the services and products at our
boutique than other boutique. We will ensure that customers are
satisfied with in the services we provide.
Brand Penetration

Market penetration is one of four alternative growth strategies in the

Ansoff Matrix. A market penetration strategy involves a focus on selling
existing products or services in existing markets you get a higher market
share. This is the first strategy of most organizations will consider as it
brought the lowest risk (ansoffmatrix).

One of the strategy considered in performing competitively and

higher which Ratu Collection an adopt is:

Market facts about direct sales is Direct selling industry sales in

Malaysia targeted increased to RM20 billion this year compared to RM17
billion years ago, saidMinistry of Domestic Trade, Co-operatives and
Consumerism, Datuk Seri HamzahZainudin (Salian, 2016). Industry direct
selling in this country already reached mature level until witness now
Malaysia emerge ninth largest market global and fourth largest direct selling
in Asia Pacific.
The following contains the ranking for the 2016 DSN Global 100 (based on
2015 revenues), Amway and Avon is one of top two global direct sales
company in the world (DSN Global 100, 2016).

Direct selling business use Network Marketing Business (Network Marketing).

Direct selling is a business that is easy, low risk return high.Strategy
marketing of a product through direct selling very popular recently. Strategic
sales like this indeed give interest to manufacturer. Namely direct sales
business also enabled progress quickly. Manufacturer receives interest
business expansion through pyramid system. Manufacturer representative
will increase all along state borders without limitation and social position. In
a sense,Sale and promotion of goods can be carried out is broadly. Added on
the other hand, sale by cash to every supplier in total that many to be
circulated on the other hand direct to distributors as selling agent.

Ratu Collection is my own brand, hereupon I decide to penetrating

market by using strategic selling direct. This is easy way and effective for
me penetrating market easily and quickly. Because nowadays have many big
brand and small that will compete with marketingRatu Collection. Strategic
that Ratu Collection uses is sales direct and collect membership. The
objective to penetrating market. Representative not only introduced Ratu
Collection but carrying our products also. Representative which selling goods
will get commission from each sale carried out. Therefore every
representative automatically becomesguaranteecontinuouses customer.
Direct sellingadvantages is market penetration and brand building.
Key Partners

A business partnership is when two commercial entities formed an

alliance, which may either be a relationship really loose where both entities
maintain their independence and stay in the freedom to form more
partnerships or an exclusive contract that restricts the two companies for
only one relationship. Partners and partnerships can be categorized into four
different types. Four types are strategic alliances, coo petition, joint-
ventures, and buyer-supplier relationships(Anastasia, 2015).
To run with either, Ratu Collection commerce must maintain good
relations with its partners. With partners it easier for commerce to run easily.
Assistance and cooperation with partners is very much needed by, Ratu
Collection.

Ratu Collection key partners are shipping company. This is tofor facilitate the
online sales business is well run. If customers are ordering the goods, the
delivery shall be done through selected shipping company that will work
cooperatively on with Ratu Collection.
Ratu Collection will work with partners through Smart Partnership
Approach. Smart partners is partners cooperate with RatuCollection is a
sideline where he was not full-time. Using smart partners will reduce cost,
because Ratu Collection will only pay if the smart partners do work offered.
For example if a customer order a dress custom made, Ratu Collection just
need to find a tailor that (smart partners) will sew dress according to
customer wishes in terms of fabrics, colors, styles and patterns. Here
presumably Ratu Collection central people who are taking customers
reservations.
Motif pattern designer also is smart partners Ratu Collection. It
will work with a reputable painters and designers (of motifs). This will
facilitate and reduce the cost than Ratu Collection hire painter cloth take that
work full time, and have to invest and buy printinger machine which could be
costly and heavy financially. fabric very expensive.
Other key partners are the suppliers who will work with the Ratu
Collection. Supplier is a firm or individual that is supplying the resources
needed by the Ratu Collection to release products and services. Supplier as a
critical link between buyers and reputable in the delivery system of values. It
affects in terms of price. Supplier is responsible for supplying the resources
required by Ratu Collection to produce the product, such as ..
Examples of suppliers who will work with the supplier Ratu Collection is
supplier hijab, materials, accessories, fabrics and so on.
Key Resources or Activities

A key activity is reliance activities are to ensure that a business is

operating. Such activities are generating money to find out whether
Incentives the purpose of the main activities that bring revenue streams in
the business. Key Resources is the most important element in the company.
Key Resources is what it takes to run the business. Easier is the "Key
Resources- KR" for "Value Propositions-VP" for something that business.
Ratu Collection key resources or activities through online sales, direct
sales product outlets and relationships.

Online Sales& Promotion

 1. By online sales, Ratu Collection using IT Platform to provide
convenience and to make customer easy to sshopping easier. In
other words, online provide 24 x 7 sales, i.e. every day, every
time and anywhere.

2. Social Platform (or in another term languages - channel

marketing) which can be used by RC is Website, Facebook,
Instagram and blogs.

Here are some Pros and Online Business Advantages, why Ratu
Collection decided to make sales online business online because RC
can move 24 hours a day, 7 days a week and 365 days a year.

In other words Ratu Collection business can operate without

interruption. With the latest technology that is now available to do
all this with the advantages of online business.

Online approach also allows for Global Business Opportunities Ratu

Collection allows online business to expand worldwide. There is no
longer a matter of geography notwithstanding the business that you
want to do business as long as you comply with them, Ratu
Collection can promote them to the world. These are the advantages
of online business, it's no limits and boundaries, Ratu Collection can
connect with customers in Singapore, Brunei, Indonesia, Thailand,
US, Canada, Asia, Europe and even to go.

Direct Marketing& Sales

Other than that, direct sales using memberships with the direct sales it
will generate a good income .Customer or potential distributors earn
unlimited business. Unlimited income is possible and it builds according to
the efforts and revenue earned is based on thehard work done. The more
sales, the higher the bonuses or commissions earned. So, anyone can get it,
if they "really" want it.
 As a result, it is strategic that a Then, Ratu Collection key resourcesis
the or activities through outlet (shop), or stall, so that it is easier for
customers to see for themselves that they want to buy. This provides an
avenue where Be sure to seek the store it can will be to convince customers
to buy because the customer can and hold and inspect the item and a. Also
see the quality of our products, as we are sure our guarantee of quality wil
entice the customers to adapt our their products and to buy. Customers can
also visit the store at the time of store operations hours.

Lastly based on relationships with suppliers, tailors and motif hijab

patterns designers, . What sentence not complete! . In the modern
business, in particularly business can be global and bug, involvement within
various collaboratorsions, partnerships, sourcing and outsourcing deals
cannot be avoided. This alliance is the basis for Ratu Collection operational
processes to achieve maximum efficiency in operations, manage
relationships with suppliers who often interact with Ratu Collection. Effective
communication with the supplier will make better inventory management
and improve the overall process of acquiring goods.

Sources of Revenue
 Ratu Collection source of revenue, the first is through online sales that
can be done Ratu Collection. Through this online sales, the main benefits for
customers is convenience, time saving, quick information and other prices
are often more competitive. In terms of online sales there are different
models such as the market as a common entrance for a variety of products
from various vendors. Platform using by Ratu Collection is it to get online
sales.

Secondly, is using direct sales. RatuCollection chooses direct sales

business as it provides opportunities and a bright future to the user. Method
of business if done seriously and earnestly able to provide a decent income.
In fact, it is recognized as one of the industries up to its total sales could
reach billions. Direct Selling Association of Malaysia (DSAM) reported
earnings that were recorded for the direct selling industry in 2008 amounted
to RM5.6 billion to RM3.15 billion being contributed by members of DSAM
comprising 55 multinational and local companies. This success is due to the
concept of direct sales and service ensures that lighting up directly to
consumers. Clear explanations and information, also satisfied them.
 Brand Penetration is a measure of the popularity of the brand. It is
defined as the number of people who buy a certain brand in a certain time
period divided by the population size of the market concerned. It is
calculated as a percentage. Brand penetration is very important to Ratu
Collection because it helps us to fight for the most important thing in the
retail space - The Shelf Space. Penetration brand gives to Ratu Collection a
clear picture of how the brand we carry than other brands on the market.
According to a recent study by Bain & Company, the largest contributor to
the growth of the brand growing household penetration. He said Brand
especially prominent when more people buy them. Loyalty is a factor, but it
has not changed much in all brands and other countries are the home
penetration, which is a very important metric that just break your brand.

Ratu Collection also open physical store to looks grand, professional,

customers can grasp and feel our products and much more. In addition, can
pull traffic passing around the premises we are. To customers who prefer to
use traditional way to shop than online, consider some of the same benefits.
shop can save on transportation costs, receive instant gratification, the
supervision of the goods before making your purchase and do not have to
worry about getting lost in the mail package. With Ratu Collection have store
can also can help customer questions answered immediately by the staff
helpful, rather than have to rely on e-mail messages and phone calls.

Lastly Ratu Collection source of revenue is by membership. With

membership customer there in the Ratu Collection, this will create customer
loyalty with our boutique as Ratu Collection will offer many facilities to the
members of Ratu Collection as the discount to members, lifetime discounts,
discounts during the celebration of anniversaries, birthdays and so on. For
business, cost to get new customers, is much higher than getting existing
customers. That is, to get new customers, we need to make a new
promotion, which is costly. But, to attract existing customers to buy our
products or services again, the cost is lower.
 Ratu Collection is focused on sales outlets by 43% and 33% of direct
sales. In addition, online sales of 22% and 2% membership. Ratu Collection is
more concentrate with outlet sales and direct sales because it the same can
be done with places and one times

Conclusion
A report should always have a conclusion.

If you have and intend to provide a reflection, and recommendation, that is

even better!
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Edsa.ee. (2016). Companies and Products | Estonian Direct Selling

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[Accessed 18 Dec. 2016].

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https://en.wikipedia.org/wiki/Direct_selling
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Salian, S. (2016, July 12). Jualan langsung dijangka jana RM20b tahun ini.
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[Accessed19Dec.2016].