A Business Plan For starting Yummy Chocolate Company Executive Summary We are starting a business of manufacturing chocolates. Name of the company is “Yummy Chocolate”.Our target market is whole Gujarat. The customers to whom our products will be supplied are retailers, wholesalers and traders in Gandhidham, Adipur, Rajkot, Ahmedabad, Surat and Vadodara.The location of our manufacturing plant would be GIDC, Adipur. We would be targeting the consumers of all age groups. The products that we would offer are: Yummy Plain Chocolate Yummy Milk Chocolate Yummy Fruit N Nut Chocolate The core competencies on which our company would be competing are taste and quality of our chocolates. Our comapny would be a partnership firm. There would be 2 finance managers, 2 marketing managers, 1 accountant and 1 general manager as part of the organization. General Company Description Our company will be in the confectionary business. Our company will be involved in manufacturing of chocolates. Vision Our vision is to be the leading manufacturer of chocolates all over India. Mission We seek to produce high quality products at competitive price using modern technology to provide high satisfaction to the consumers. Objectives To manufacture and provide the customers with the quality products to the best interest of the customers. To create Price competitive Products as part of the effect to increase the world access to high quality chocolates. To ensure a hygiene & clean working environment as to continue to produce Safe & Tasty Products To strive to Meet & Exceed Customer's Expectations so as to ensure a sustainable business relationship. Target Market Upper class Middle class Lower middle class All age groups About Chocolate Industry The chocolate market is estimated around 33,000 tonnes valued at approximately Rs. 8 billion. Bars of moulded chocolates like amul, milk chocolate, dairy milk, truffle, nestle premium, and nestle milky bar comprise the largest segment, accounting for 37% of the total market in terms of volume. To push sales chocolate companies have been targeting mainly adult audiences. Chocolates are being presented as snack food for the new target audiences. The chocolate segment is characterized by high volumes, huge expenses on advertising, low margins, and price sensitivity Cadbury is the leading player in the chocolate market industry with the penetration of 70% market share. The company's brands like Five Star, Gems, Éclairs, Perk, and Dairy Milk are leaders in their segments. Nestle &Amul are the other major players in chocolate industry. Chocolate industry is growing at steady growth rate of 25%. Over 70% of the consumption of chocolates takes place in the urban market. It is price sensitive market. Until early 90's, Cadbury had a market share of over 80 %, but its party was spoiled when Nestle appeared on the scene. The other one has introduced its international brands in the country (Kit Kat, Lions), and now commands approximately 15% market share. The two companies operating in the segment are Gujarat Co-operative Milk Marketing Federation (GCMMF) and Central Arecanut and Cocoa Manufactures and Processors Co-operation (CAMPCO). Competition in the segment will soon get keener as overseas chocolate giants Hershey's and Mars consolidate to grab a bite of the Indian chocolate pie. Indian Chocolate Industry’s Margin range between 10 and 20%, depending on the price point at which the product is placed. The input costs in India are under check owing to the 24% decline in the prices of sugar. Core Competencies The core competencies on which our company will compete are: Taste By consuming the “Yummy Chocolates” flavor begins to fill your mouth the moment the chocolate begins to melt on your tongue like butter and it tastes like pure chocolate rather than cocoa powder. At first there is so much pleasure in tasting the chocolate, it may be difficult to focus on the specifics of flavor. First perception the consumer would describe for the chocolate as “chocolaty” and “Yummy”. Quality The raw ingredients are of finest quality and also care is taken of the production process; roasting and crushing the cocoa beans and mixing the cocoa paste with sugar and other ingredients such as milk. Yummy chocolates are high quality chocolates as they are shiny brown, breaks cleanly and is smooth. Yummy chocolates has the sufficient quantities of cocoa butter and vegetable fat so that it does not become greasy or sticky at ambient room temperature. Ownership Our company will be a partnership firm. Competitor Analysis COMPANY FOUNDED IN BRAND PORTFOLIO (confectionery products) Nestle 1860s Kit Kat, Smarties, Wonka Ferrero 1940s Rocher, Raffaello, Kinder, Tic Tac, Mon Cheri, Nutella Mars 1911 Bounty, Galaxy, Mars, Snickers, Milky Way, Wrigley’s, M&M’s etc Amul 1945 Milk chocolate, Fruit & Nut chocolate Hershey’s 1894 Hershey’s milk chocolate, Kisses, Pot of gold, Milk duds, Reese’s, Icebreakers etc Perfetti Van Melle 2001, when Perfetti and Van melle merged Alpenliebe, Chlormint, Centerfresh, Happydent, Mentos ITC Parle 2002(confectionery Minto and segment) Candyman 1929 Melody, mango bite, poppins, kismi toffee, mazelo, xhale, éclair, golgappa, parlelites, orange candy Cadbury 1948 (Indian Market) Dairy Milk, Dairy Milk fruit N nut, Dairy Milk Shots, Dairy Milk Roasted Almond, Dairy Milk Silk Our Products Our company will be dealing in the manufacturing of 3 products. They are: 1. Milk Chocolate 2. Fruit & Nut Chocolate 3. Plain Chocolate Ingredients of Milk Chocolate Sugar, Full Cream Milk Powder, Vegetable Fat, Emulsifiers, Flavors, Whole Cow’s Milk, Cocoa Butter. Recipe for milk chocolate Take one cup of powdered sugar, one cup of milk powder. One heaped table spoon of cocoa powder, about half table spoon of butter, and to this add the minimum quantity of water required to make a thick batter. Place this batter on a stove and bring to a boil on a low flame. When the batter becomes thick (shown in the clip) stop the boiling, cool. Pour into suitable moulds, cut, cool in a fridge and it gets ready. Ingredients of Fruit & Nut Sugar, Full Cream Milk Powder, Raisins, Cocoa Butter, Cocoa Mass, Almonds, Vegetable Fat, Emulsifiers, Flavors. Recipe for fruit & nut chocolate First take whatever moulds you like and grease it with butter. Set this aside for a moment. Melt the chocolate either in double boiler method or in a microwave. Remove it and set aside. Chop up all your nuts and dried fruits. Add it to the chocolate and mix well. Take a spoonful of this and fill your prepared mould and put it in the deep freeze for 1 hour. Unmould it and keep it in the fridge until serving. Ingredients of Plain Chocolate Sugar, Full Cream Milk Powder, Cocoa Butter, Cocoa Mass, Vegetable Fat, Emulsifiers, Flavors. Recipe for plain chocolate Combine cocoa and sugar and blend until all lumps of cocoa are gone. Add water and salt and mix well. Cook over medium heat, bringing it to a boil. Keep boiling until thick, stirring to keep from overflowing. Remove from heat and let cool. When cool, add vanilla. Then put this in your milk, just like the store bought stuff.