1.0 Executive Summary

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1.

EXECUTIVE SUMMARY

2.0

INTRODUCTION TO THE COMPANY

2.1

Company Background

Name of the company


Nature of the business
Industry profile

Location of the business


Factors in selecting the proposed
business

Future prospects of the business

2.2

MoMOs tyre specialist


Automotive Services
Selecting industry is automotive
services which specialize in tyres,
sport rims and suspension system.
Provide new parts and workshop
services.
Taman Melati, Gombak
High demand in automotive sectors
especially in tyres and suspension
system. Good skills, knowledge and
experience to be contributed in this
business.
To be the top dealers and leading
tyres specialize in this country,
Malaysia.

Business Intent

Our business started when we, a gang of four, shares the same passion
and interest in motorcycle and cars. We came from different historical
background, two of us are professional drag racers, one of us are an
extremely powerful talented mechanics, and the other one was a wellknown business guy in this sector. So we create this company to live our
dreams of becoming the top tyres and suspension sytem specialize in
Malaysia.

2.3

Growth Strategies
2.3.1 Financial Strategies

For starter we gather stake-holders who are willing to invest in our


company, in the same time we search for sponsers. The money are used
to rent a place which are strategic for our workshop , all business and
mechanical activities took place at the workshop. All new parts and tyres
are bought using the money from our own revenues and some taken from
the holders. From our deep research and experient the company will runs
perfectly, we can gain more then we expected, tyres and suspension
industries has become very impressive and demanding. Our dreams are to
be able to pay more workers and expanding our business to many places.
For starter we set a target to open more of our workshop in other region in
the future . The company will manage to sell more stuff such as sport rims
and car accessories. We gain more then what we spent and that is very
good. We have seen many other tyres and sparepart company going out
of business because they failed to maintain good work quality, their work
sometimes are very good and sometimes very poor and unexceptable .
Other vital problem that we analyse are unconsistent price for some item
and charge more and over the par while other store can offer them much
more satisficing services at a lower price. In addition , customers are more
bonded

to the store that can offer more to them, as example open

everyday in a week and offer 24 hours towing services in specific region in


cas their cars breakdown at the middle of the night. We believe that as
long as we avoid all of this problem we will no face any problem and grow
as time passes.
If we are successful and able to grab a larger market share in the
future, we can increase our annual profit and become the top tyres
company in Malaysia.

*Software Application*

2.3.2 Technology and Product Development Strategies


2.3.3 Marketing Strategies

The technological revolution in computers has enhanced our abilities to diagnose and repair
our clients vehicles. MoMOs will remain on the cutting edge by instituting the use of
computer diagnostic equipment in its shop. The company will continue to seek new ways to
provide a better service through technology. The following table shows the market analysis
for MoMOs tyres specialist.

Market Analysis
Year 1
Potential Customers
Number of cars in
Gombak
Other
Total

Year 2

Year 3

Year 4

145,833

150,208

154,714

159,355

164,136

0%
3.00%

0
145,833

0
150,208

0
154,714

0
159,355

0
164,136

Marketing Strategy :
The company has a modest program of marketing its services that include the following:
1. Flyers.
2. Direct mailers.

Year 5

Growth
3%

3. Discounts.
4. Newspaper ads.
5. Yellow pages.
6. Referrals through other local businesses.
Each of these marketing approaches has the advantage of being low cost and creating service
awareness. The company's long-term marketing goals are to use local radio and TV ads
similar to the other big companies ads such as Michelin and Bridgestone.
The company is also investigating the possibility of having a grand opening program that
would feature discounts, food, a local radio disc jockey, and other promotional ideas.

Promotion Strategy :
The principal owners of MoMOs tyres specialist expect that a significant number of their
previous individual customer from their past. This will provide a sufficient income until
MoMOs tyres specialist can build up a reputation and see its marketing program take effect.
This promotion strategy will take the form of flyers, direct mailers, price discounts, and
advertisements in newspapers and yellow pages. MoMOs tyres specialist does not desire to
spend a large amount on marketing until the firm is ready to expand either into new facilities
or open up new ones. It is estimated this will occur sometime after year five.

Pricing Strategy :
MoMOs tyres specialist exists in a purely competitive environment where each firm must be
a price taker. In other words, the firm has no ability to affect the market price of its services,
regardless of how many automobiles it repairs. In this case, therefore, marginal revenue (the
revenue incurred by producing or servicing one more unit) is equal to the price charged.
Furthermore, because the demand curve is essentially horizontal, MoMOs Tyres specialist
can service automobiles at total capacity without effecting the price.

What all of this means for MoMOs tyres specialist is that the company must seek to charge
its clients at the market price (or lower).

2.4 Target Markets

MoMOs tyres specialist has identified several target market


segments that will be pursued. We will divide the total market by
demographic, geographic or the combination of both as geodemographic
to find our target market or potential customers. Our business will be all
located among the community living in Taman Melati and any customer
that stop by our workshop seeking our service. We are here to help ! :D.
we also provide towing services for any cars needed in arrange of 15km.

2.4

Location and Facilities

2.4.1 Strategic Location

1.

Premise location: workshop beside mr2 highway Taman Melati, Gombak.

Our location is far the most easiest and most superb place to build a workshop that a men can
ever thinked off. Our shop are located exactly beside the mrr2 highway between esso and
petronas. As we know there are tons of vehicles using the highway everyday and the chances
to get more customer are very high indeed. The location is also very wide and got a lot of free
spaces, very compatible for workshop activities and customers comfort.

2.4.2

Facilities

As our objective to cut cost and saving for future of the business. But this aspect cannot be
neglected plus, were trying to realistic and trying not to go overboard on the techs and
equipment but we try to get the best tools and equipment in the market without going of
budget. The answer to the problem is purchasing used equipment. It buying refurbished
equipment that cost lower but still can achieved same performance of today tools and
equipment.

1) GDS garage software application

In order to manage every document files , customers detals, invoices ,


suppliers and etc,we
purchased the GDS garage software application to fulfill all of the above
requirement.
The GDS is not just powerful but also can be purchased in a very
affordable price. With
Just rm799 a month, we can control all our debit and credit, stock check,
customer files and
history just at the tips of our finger. The GDS database provides services
such as :

Stores all Customer, Vehicle and Supplier Details

Jobsheets, Estimates, and Sales Invoices

Create documents using menu priced jobs

Invoices can be split into Insurance/Excess Invoices

Internal billing / cost tracking facilities

Purchase Invoices and Stock Control

Diary/Booking Planner

MOT and Service Reminders

VRM Vehicle Lookup facility

Sales Reports and Graphs

Ledger Reports and Daybook

Customer and Supplier Statements

Top Customers & Lapsed Customers

VAT Figures for any period

Unpaid Invoices Reports

Stock Used / Stock Level Reports

Vehicle History Report

Invoices Letter Headed Paper option.

Other workshop basic facilities :


2) Car Jig :

A jig is a type of custom-made tool used to control the location and/or motion of another tool.
A jig's primary purpose is to provide repeatability, accuracy, and interchangeability in
the manufacturing of products. A jig is often confused with a fixture; a fixture holds the work
in a fixed location. A device that does both functions (holding the work and guiding a tool) is
called a jig.

3) Floor jack and lift :

A jack is a mechanical device used as a lifting device to lift heavy loads or apply great
forces. A mechanical jack employs a screw thread for lifting heavy equipment. The
most common form is a car jack, floor jack or garage jack which lifts vehicles so that
maintenance can be performed. Mechanical jacks are usually rated for a maximum
lifting capacity (for example, 1.5 tons or 3 tons). More powerful jacks use hydraulic
power to provide more lift over greater distances and can be rated for many tons of
load.

4) Car tools :

2.5)

Market and Competitors Information

Market share can be referred as the market that the business controls.
The market share is determined by assumptions based on merely
observation and interviews. The table below shows the percentage of the
market.
Before MoMOs tyres specialist enters the market share:

Name of
competitors
F&R autoparts
Dyno service centre
EuroGear
Total

Percentage of
market share
35%
35%
30%
100%

Market share before entry

30%

35%

F&R autoparts
Dyno Service centre
EuroGear

35%

After MoMOs tyres specialis enters the market share:

Name of
competitors
F&R autoparts
Dyno service centre
EuroGear
MoMOs tyres
specialis

Percentage of
market share
30%
25%
25%
20%%

Market share after entry

20%
30%

F&R autoparts
Dyno service centre
EuroGear
MoMOs tyres specialis

25%
25%

After analyzing competitors strengths and weaknesses, now we can


easily know our opportunities and detecting our threats. We confident
that our business can take control 20% of the total market. We have
analyst completely the dos and dont in this business sector. As long as
we stick together and stick with the business plan , everything will be
according as plan. And if something happen , we will find the other way
to overcome any substances that is on our way from achieving our
dreams of becoming the top cars specialize in the coutry. As one smart
person spoken you will always have plan B.

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