BUSINESS PLAN ON COSMETIC (1) Muskan

EUREKA….
PROJECT REPORT ON
(A BUSINESS PLAN)
Submitted in partial fulfillment of the requirements for the award of the degree of
BACHELOR OF BUSINESS ADMINISTRATION
To
CHHATRAPATI SHAHU JI MAHARAJ UNIVERSITY,
KANPUR
PREPARED BY: MUSKAN SUBMITTED TO: ASCENT COLLEGE
STUDENT:’ BBA IST YEAR
* BEAUTY SHINE ALL… ..*

EUREKA….
DECLARATION
I hereby declare that the Market Survey report entitled “A
BUSINESS PLAN “Submitted to ASCENT COLLEGE, UNNAO

in partial fulfillment of Degree of Bachelor Administration is the
original work conducted by me. The information and data given in the
report is authentic to the best of my knowledge.
This Market Survey Report is not being submitted to any other University for
award of any other degree, Diploma and Fellowship.
PLACE: UNNAO STUDENT: NAUSHEEN
DATE:

EUREKA….
AKNOWLEDGEMENT
“I have searched for the definition of success, In the context of leading A successful
life. It turns out that are as any definition as there are seekers and that success lies
as much as the attempt as in the achievement”. - ROBERT FROST
“Feeling gratitude and not expressing it is like wrapping a present and not giving it ‘’.
-WILLIAM ARTHUR WARD
I have immense pleasure to express my sincere gratitude to Mr. GURUSHARAN

SINGH, Director of ASCENT COLLEGE, UNNAO for providing me a platform to
endorse my practical knowledge and pursue my goals by giving such a project During
our session.
I would like to sincerely thank all those people who gave their constructive input in
the completion of this project and to all those who untiringly guided me. I am
indebted to all those people who have contributed time, encouragement,
information and assistance or in some manner enabled me to learn, to grow in
experience to develop a better understanding.
I would like to politely extend my gratitude to all BBA FACULTIES for their assistance,
able guidance and moral support that influenced me to try put my best efforts in
every task assigned to me.
Last but not the least I would like to thank to my parents for their encouragement
and guidance all throughout the way.

EUREKA….
CONTENTS  DECLARATION ……………………………………………1
 AKNOWLEDGEMEN…………………………………….2
 INTRODUCTION………………………………………….3
 COMPANY AND MANAGEMENT…………………
 DISCRIPTION OF THE MARKET / STRATEGY…
 OVERVIEW OF COMPETETION ……………………
 BUSINESS COMPETATIVE ADVANTAGE……….
 A SNAPSHOT OF GROWTH POTENTIAL……….
 A DETAILED FINANTIAL PLAN…………………….
 REFRENCES……………………………………………….
 ANNEXURES……………………………………………..

EUREKA….
BUSINESS COS
PLAN ON….
--------------
--------/

EUREKA….
CHAPTER 1: INTRODUCTION __________________
Cosmetic products must not only promote healthy skin but also provide a beautiful
tapestry of colors for every complexion. The state of the art in classical cosmetics is
the use of finely crushed minerals and botanicals of the best quality. To suit even the
most sensitive skin, these ingredients should be 100% pure and completely natural.
However, most color additives to mass-produced cosmetic products are synthetic:

indeed, unless specifically approved (such as annatto seed). All, natural color
additives are banned in the United States by the Food and Drug Administration to
avoid irritation and hypoallergenic reactions. Cosmetic-grade color additives, either
inorganic (pigments) or organic (dyes and pigments), are safe for use on humans and
do not contain heavy metals such as lead, cadmium, and hexavalent chromium.
The inorganic pigments include ultramarines, iron oxide, manganese, chromium

oxide, titanium dioxide, and ferric . Both organic and inorganic cosmetic-grade
pigments are insoluble in both water and oil; however, they can be microscopically
dispersed in a liquid host and made to appear as though they are dissolved. Only a few
soluble dyes are used in cosmetic products because of the health hazards they may
pose, especially if used in too high a concentration.
For example, lakes are pigments manufactured by precipitating a soluble dye with a
metallic salt (calcium salt, barium salt, aluminum salt, and sodium salt) because the
different salts provide different colors.
Color additives can be combined with titanium dioxide and mica, bismuth
oxychloride, or guanine. When combined with the titanium-dioxide-coated mica, they

EUREKA….
create very attractive dual-color pearls. Bismuth oxychloride is a soft material used as
the frost in lipsticks. Guanine is derived from herring scales and is used primarily in
nail polishes.
In general, the mineral powders in the commercially available cosmetic products are
based on titanium dioxide and zinc oxide, which, in addition to other technological
reasons for their use, may also provide anti-inflammatory and calming effects.
ABSTRACT
Cosmetic products must not only promote healthy skin but also provide
a beautiful tapestry of colors for every complexion. The state of the art in classical
cosmetics is the use of finely crushed minerals and botanicals of the best quality. To
suit even the most sensitive skin, these ingredients should be 100% pure and
completely natural.
However, most color additives to mass-produced cosmetic products are synthetic:

indeed, unless specifically approved (such as annatto seed), all, natural color additives
are banned in the United States by the Food and Drug Administration to avoid
irritation and hypoallergenic reactions.
Cosmetic-grade color additives, either inorganic (pigments) or organic (dyes and

pigments), are safe for use on humans and do not contain heavy metals such as lead,
cadmium, and hexavalent chromium.
The inorganic pigments include ultramarines, iron oxide, manganese, chromium

oxide, titanium dioxide. Both organic and inorganic cosmetic-grade pigments are

EUREKA….
insoluble in both water and oil; however, they can be microscopically dispersed in a
liquid host and made to appear as though they are dissolved.
Only a few soluble dyes are used in cosmetic products because of the health hazards
they may pose, especially if used in too high a concentration. For example, lakes are
pigments manufactured by precipitating a soluble dye with a metallic salt (calcium
salt, barium salt, aluminum salt and sodium salt) because the different type of salts
provide different colors.
Color additives can be combined with titanium dioxide and mica, bismuth
oxychloride, or guanine. When combined with the titanium-dioxide-coated mica, they

EUREKA….
create very attractive dual-color pearls. Bismuth oxychloride is a soft material used as
the frost in lipsticks.
Guanine is derived from herring scales and is used primarily in nail polishes. In
general, the mineral powders in the commercially available cosmetic products are
based on titanium dioxide and zinc oxide, which, in addition to other technological
reasons for their use, may also provide anti-inflammatory and calming effects.

EUREKA….
OVERVIEW OF PRODUCTS AND SERVICES
Accessori
es
Primer (cosmetics)
There are different kinds of cosmetic primers such as foundation primer, eyelid
primer, under-eye primer, lip primer, mascara primer, and etc.
A foundation primer may work like a moisturizer or it may absorb oil with salicylic
acid to aid in creating a less oily, more matte appearance. Some contain antioxidants
such as A, C, and E, or other ingredients such as grape seed extract and green tea

EUREKA….
extract. There are water-based and silicon-based foundation primers. Some primers do
not contain preservative, oil or fragrance. Some may also have sun protection
factor (SPF).
Some foundation primers are tinted to even out or improve skin tone or color. Others
give a pearlized finish to make the complexion more, light reflective. There are also
foundation primers which are mineral-based primers, which contain mica and silica.
Eyelid or eye shadow primers are similar. But made specifically for use near the eyes.
An eyelid primer may help even the color of the lid and upper eye area, may reduce
oiliness, may add shimmer, or inversely may mattify. Eye primers aid in the smooth
application of eye shadow, prevent it from accumulating in eyelid creases, and
improve its longevity. Eye shadow primers are applied to the eyelid and lower eye
area prior to the application of eye shadow.
They even out the skin tone of the eyelids, hide eyelid veins, and smooth out the skin
of the eyelids. Eye shadow primers help with the application of eye shadows. They
intensify the color of the eye shadows and keep them from smearing or creasing by
reducing the oiliness of the lids. Some eye shadows even state in the instruction sheet,
that they are recommended for usage over the eye shadow primer.
There is a real difference in the eye shadow color and time of wear when it is used
over the primer on bare skin. The effect of eye shadow primers is not limited to eye
shadows. They also work for eye liners and eye shadow bases.
Under-eye primer is designed to be applied before concealer to reduce the appearance

of fine lines and wrinkles. It creates a smooth canvas for the concealer, which helps it
last longer and prevents creasing.

EUREKA….
Under-eye primers are specifically formulated to be gentle on delicate skin, often

containing moisturizing or blurring ingredients.
FOUNDATION….
Foundation is a liquid, cream, or powder makeup applied to the face and neck to
create an even, uniform color to the complexion, cover flaws and, sometimes, to
change the natural skin tone. Some foundations also function as a moisturizer, sun
cream or base layer for more complex cosmetic. Foundation applied to the body is
generally referred to as "body painting" or "body makeup
EYELINER….
Eyeliners are products that apply color to the area around the eyes to accent and
highlight appearance of the eyes. Eyeliners are used to emphasize the eyelids and/or
to change the perceived shape of the eyes.
Eyeliners
which provide
a perfect lining
to your eyes
>>>

EUREKA….
They contain special ingredients that apply color where it is needed in a precise and
controlled manner.
EYESHADOW….
Eye shadow (or eyeshadow) is cosmetic applied primarily to the eyelids to attract
attention to the wearer's eyes, making them stand out or look more attractive. Eye
shadow can also be applied under the eyes, on the cheeks, or to brow bones.
Eye shadow can add depth and dimension to one's eyes, complement one's eye color,
make one's eyes appear larger, or simply draw attention to the eyes. Eye shadow comes
in many different colors and textures. It is usually made from a powder but can also be
found in liquid, pencil, cream, or mousse form. Eye shadow can be applied in a wide

EUREKA….
variety of ways depending upon the desired look and the transformation.
Typically, application is done using fingers or brushes. The most important aspect of
applying eye shadow, and makeup in general, is blending well. However, you must not
forget to include a primer to limit the chances of creases in your eye shadow later.
To remove eye shadow, a commercial makeup remover can be utilized, though a rich
face wash will usually remove all traces of color. Generally, it is easy to remove, and
simple water and soap can be used. Eye shadow, eyeliner, and mascara may also be
removed using baby oil. There are also makeup wipes that can be used.
Mascara….
Mascara is cosmetic commonly used to enhance the upper and lower eyelashes. It is
used to darken, thicken, lengthen, and/or define the eyelashes. Normally in one of
three forms—liquid, powder, or cream—the modern mascara product has various
formulas; however, most contain the same basic components of pigments, oils, waxes,
and preservatives. The most common form of mascara is a liquid in a tube with an
application brush.

EUREKA….
The product that people would recognize as mascara today did not develop until the
19th century. A chemist named EUGENE RIMMEL developed a cosmetic using the
newly invented PETROLEUM JELLY. The name Rimmel became synonymous with
the substance and still translates to "mascara" in the Portuguese, Spanish, Greek,
Turkish, Romanian, and Persian languages today.
Across the Atlantic Ocean and at roughly the same time, in 1915, Williams created a
remarkably similar substance for his sister Mabel. In 1917 he started a mail-order
business from the product that grew to become the company Maybelline.
DIRECTIONS OF USE:
 Put coconut oil, aloe Vera
 gel and grated beeswax in a small saucepan over low heat.
 Stir until the beeswax is completely melted.
 Pour the mixture into the mascara container.
 Now store in a fridge or cool place. ...
 If you need more hold to your mascara, add more beeswax
The mascara developed by these two men consisted of petroleum jelly and coal in a
set ratio. It was undeniably messy, and a better alternative was soon developed. A
dampened brush was rubbed against a cake containing soap and black dye in equal
proportions and applied to the lashes Still it was extremely messy. No significant
improvement occurred until 1957 with an innovation by Helena Rubinstein.
CONCEALER….

EUREKA….
A concealer or color corrector is a type of C that is cosmetic used to mask

imperfections on the skin. These imperfections can include dark circles under the
eyes, blemishes, and hyperpigmentation. Concealer is similar to, and can be used in
conjunction with foundation, a lighter cosmetic that is used to even out the skin tone.
Both concealer and foundation are typically used to make skin appear more uniform
in color. These two types of cosmetics differ in that concealers tend to be more
heavily pigmented, though conc foundation are both available in a wide range of
colors opacities.
To use a concealer, an individual typically applies a small amount of product to the

area of the skin that they want to cover. The concealer is then blended into the
surrounding skin using a brush, sponge, or the fingertips to create a seamless finish.
Concealers can be applied before or after foundation, depending on the desired effect.
Applying concealer before foundation can help to create a more even canvas for the
foundation, while applying concealer after foundation can help to touch up any areas
that still require coverage.

EUREKA….
Concealers comes in different forms such as liquid, cream, stick, pencil, and powder.
The first commercially available concealer was Max Factor’s Erase launched in
1954. Camouflage makeup is a much heavier pigmented form of concealer. It is used
to cover serious skin discolorations such as birthmarks, scars and vitiligo.
Concealer is available in a variety of shades. When picking a concealer, people tend

to choose one or two shades lighter than their skin tone to better hide their blemishes
and dark circles under the eye.
Some colors are intended to look like a natural skin tone, while others are meant to
cancel out the color of a particular type of blemish. Concealers with yellow
undertones are used to hide dark circles. A purple-tinted concealer can make sallow
complexions look brighter….
HIGHLIGHTER….
Highlighter is a type of cosmetic product that reflects light. Often used for contouring it
can be applied to the face or other parts of the body to brighten the skin on a given area,
create the perception of depth and angles. The product can come in a variety of forms,
including powder, liquid, cream, gloss, solid stick and jelly.

EUREKA….
Highlighters became a significant tool among theater and film actors shooting or
performing indoors, where natural light was not available to provide definition of facial
features like cheekbones, nose, and jawline. Highlighter also offers the possibility of
heightening or diminishing a given feature to suit the character portrayed, as well as
aesthetic trends.
Fixer…

EUREKA….
 Description.
 150 ml/5.1 US FL OZ. ...
 Apply to the skin from 15-20 cm distance. ...
 WATER/AQUA, BUTYLENE GLYCOL, AMP-ACRYLATES/ALLYL
METHACRYLATE COPOLYMER, GLYCERIN, PHENOXYETHANOL,
CAPRYLYL GLYCOL, HYDROLYZED PEARL, POTASSIUM SORBATE,
SORBIC ACID.
Say goodbye to faded and melted

make up. keep your foundation, powder,
eyeshadow, & brows in place for up to 18 Eureka
hours. get the maximum matte effect an

enhance your makeup wear with our long -
lasting setting spray. The light, weight
spray controls shine, creates a matte finish,
& lasts all through the day.

EUREKA….
CHAPTER 2: SUMMARY OF OBJECTIVE OF BUSINESS
Executive summary
This plan is to set up a cosmetic shop in the name of “EURAKA COSMETICS

ENTERPRISE “which will be located in Shaheed Path street LUCKNOW. The
cosmetic shop will be a sole proprietorship owned by NAUSHEEN. I will use startup
capital of 5,23,80,000 Indian rupee
The key personnel at the cosmetic enterprise will include Senior manager, buying
inputs and overall supervisory work, operations and production staff, sales and
marketing staff, skin therapy and hair dressing staff, record keeping and accounting,
stock control and direct selling staff.
The key objective of the cosmetic shop will be to provide fresh quality cosmetics to
our clients to enable them improve their general skin beauty, to obtain maximum
customer satisfaction through continued quality production, to obtain continuous
production and supply of our products of the customers, to create customer loyalty to
our products such that they become well pronounced in the customers minds.
To achieve our objective, the cosmetic shop will employ strategies such as: Offering
quality, body skin lotions, oils and herbals cosmetics that help fight the skin diseases
made from fresh fruit and vegetable which are nutritious through adequate research
and proper mixture of the lotions, oils and herbal ointments to meet the standard skin
contents and characteristics of customers in the market through advertisement by use
of sign posts, direct selling and radio stations, offering special incentive to our regular
clients, offering our cosmetics at relatively lower prices for market penetration,
creating a conductive environment for our clients, employing people who understand
the meaning of customer care and meaning of quality by giving them samples for use
as a way of expanding our markets especially among the young children, youth and

EUREKA….
women. All this encompasses our strategies that include, communication, supplier
relationship strategy, marketing strategy, competitive strategy and human resource
strategy.
The vision of the cosmetic shop will be ‘To be the leading suppliers of quality, fresh
and health skin booting cosmetics product’.
Our mission will be, dedicated at improving the skin health and body look and
appearance of our client. “We seek to become the recognized leader in our targeted
local and international market for carrying a diverse line of on demand cosmetics
including perfumes, makeup. And other accessories that will have a competitive edge
towards customer satisfaction and retention at attractive prices.
Our major customers will be corporate employees, students market vendors, tourists
and retailers will be consuming a range of our products including; Perfumes 1st class,
Lemon body lotion, Hair relaxer cream, Avocadoes body cream smoother and Hair
glow.
Our forms/ ways of distribution will include, through Retailers, distributors and
wholesalers who will buy and sell in bulk to our final customers which we cannot sell
to directly we also sell directly to the customers because we have a high customer
traffic at our main outlet in……………….. We shall as well be using a van that will
be leased to distribute to our customers who order in large quantities.
In terms of our legal responsibilities, the following taxes apply to our business, sales
tax, employees, income tax, national social security fund and …………….. Municipal
Council Tax and other licenses like trading license, and ……………. National
……...of Standard license. We shall as we need to the insurance for our business

EUREKA….
and also carry out other social responsibilities like corporate social responsibility,
being environmentally friendly, and ensuring cleanliness of …………….. town.
Our products are costed and priced after comparison with our major competitor’s
prices and costing information acquired through market research. We have as well
carried out cash flow estimates to ensure that our business does not run out of cash.
Our startup capital has been located to what we intend to start our business with that is
renting building for two months , buying machines for mixing the inputs , Machines ,
leasing van , buying furniture and fittings , massage equipment , cloths uniforms and
other necessary things to start with including the employee for the first to months .
This plan will be affecting on 1st January 2018 and that is when my business will
begin in …………….
PROVIDE THE FOLLOWING SERVICES …..
We will also offer the cosmetic product to our esteemed costumers while providing
consultancy advice inform of skills for mixing and using the oils for their own benefit.
We will provide free consultancy services about lotion use making and maintenance
and caring for the skin especially mostly by the ladies and young girls who our major
customers and advise them on maintaining a healthy balanced diet which include
fruits and vegetables.

EUREKA….
THE CUSTOMERS WILL BE
Others business that deal in cosmetics, retail shops, supermarkets all over the
country, in foreign countries like Africa, America, England, and other part of
countries. Other customers will be buying from our company directly and from our
mobile distributors and they will be both the young girls and mostly women.
THE BUSINESS WILL SELL IN THE FOLLOWING WAY
Distribute to our national and international distribution centers, supermarkets, retail

outlets, our agents all over the countries and some customers will buy directly from
our company main outlet in LUCKNOW.
SWOT ANALYSIS
The cosmetic industry iso one of the growing industries in the country with a number
of industries unisex beauty cosmetics, with many branches, and other small business
which have joined the industry. Despite the increase in the cosmetics industries,
customer’s demands are not fully met due to the increasingly growing population and
poor delivery of the cosmetics to the customers, Eureka cosmetics Enterprise is
therefore aiming at filling this gap. The industry has shown a great interest of in
customer requirements like skin colors, hair style by different hair cosmetics and
customer general beauty.
S – Strength
W – Weakness
O – Opportunities
T – Threats

EUREKA….
STRENGHT
 Availability of startup capital,

 Ability to make cosmetic products from local available fruits
 Strategic location in the easy view complex which has high space
 High level of customer care that we shall portray
 We shall operate on a daily basis 24 hours to meet our customer needs which
will ensure constant supply
 We shall do skin therapy to our special customer based on appointments at an
affordable price which will gain fame amongst corporate women.
 High quality and exceptional packaging material which are environment
friendly that we shall offer.
 Operating from the cleanest environment
 Offering free training and consultancy services to our customers.
WEAKNESS
 Limited nature inputs like fruits and vegetables to our business

 Low supply of skilled labor that will assist in mixing the right quantities
for the inputs
 Low level of knowledge about the cosmetic business
 Low capital inputs to startup with in establishing the plant and expanding
the business operations to other regions.
 Do not have enough record keeping mechanism
 Inadequate experience in the market due to few months of operations than
our competitors
 Few workers in company which delays productions
OPPORTUNITIES
 Eureka Cosmetic enterprises is growing, and new cosmetics dealers are setting
up which will market the base.
 The competitors of Eureka Cosmetic Enterprises do not know about the new
emerging ideas in the global market like new product development techniques
to suit customer demand

EUREKA….
 The competitors of Eureka enterprises do not know how to efficiently manage

their supply chain and distribution channels like unisex group of companies
THREATS
 The customers are used to buying from already established cosmetic industries
like …………………… who can easily adopt to rapidly changing techniques
of production and global competition which is hard to adopt to for us
 Constant changes in customer demands which impact on our level of
satisfaction to our customers and changing economic environment.
Evaluate my business idea
Number of strengths……………………………………09
Number of weakness………………………………….07
Are there more strengths than weakness? Yes No
Number of opportunities………………………………03
Number of threats…………………………………….02
Are there more opportunities than threats? Yes No
I therefore decide to continue with my business idea since there are more strength
and opportunities than the weakness and threats.
VISION, MISSION, GOALS AND OBJECTIVE
VISION STATEMENT
The vision of the cosmetic shop will be ‘to be the readings suppliers of quality, fresh
and health skin booting cosmetic product’
MISSION STTEMENT
It will be, dedicated at improving the skin health and body look and appearance of our
client. ‘‘ We seek to become the recognized leader in our targeted local and

EUREKA….
international market for carrying a diverse line of in demand cosmetics including

perfumes, makeup, and other accessories that will have a competitive edge to our
customer satisfaction and retention at attractive prices.
GOALS
 To be leading supplier of quality, fresh and health skin beautifying cosmetics
 To expand to the other markets across ……………………
 To exploit opportunities in the market including the gaps left out by already
established firms like ……………………
OBJECTIVES
The Enterprise is dedicated to achieving maximum customer satisfaction at the lowest

possible cost and therefore has the following objectives.
 To provide high quality products to the clients through use of quality and
standard inputs that is natural inputs.
 To use our experience to operate at lowest costs possible.
 To establish a strong and reputable relationship with the stakeholders of the
enterprise.
 To come up with new products in the cosmetics industry.
CHAPTER 3: COMPANY AND MANAGEMENT
THE BUSINESS WILL OPERATE AS;

 A sole proprietorship
THE REASON FOR CHOOSING THIS BUSINESS ARE;
 Low cost involved in starting the business

 Easy registration process of the business
 Simplicity in starting the business

EUREKA….
 Increased level of control over the business

 Easy decision making in the business
 Easy taxation criteria that is business profit
The owner of the business will be
NAME: NAUSHEEN
Description of skills:
 Business manager and high selling skills

 Marketing skills and customer care skills
 Sales promotion skills
 Motivational skills
 Leadership and management skills
RELEVANT EXPERIENCE
 Experienced with mixing appropriate chemicals and natural fruits in making

the cosmetics and perfumes acquired from the three years Baby Face Organic.
 Experience in managing business that is a retail shop already owned in
previous year.
 Experience in working with and through people (leadership) and motivational
experience to the employee.
STAFF
I don’t know much about running my own business, but I plan but I plan to work hard
and study to learn all I need to know. According to my staff plan, I will be responsible
for buying inputs and assume the senior management role.
The business will be small and so I will need more few employees to assist in
some functions as follows.

EUREKA….
+The operations staff will be responsible for manufacturing and mixing the inputs to
products the cosmetics and all our products and will include three employees with
the relative skills as will be described and one of the three will assume the role of
being a supervisor of production and operations.
Sales and marketing. I will need one employee who will be responsible for marketing
the products and selling at our main outlet in LUCKNOW to our direct customers and
will be responsible for customer services.
Two more employees responsible for offering additional services to our customer
that is skin therapy and hair dressing.
Two more family members will be employed and will assume the roles Of stock
controls, and selling to the market vendors, retailers and distributors and record
keeping role respectively.

EUREKA….
CHAPTER: 4 DISCRIPTION OF THE MARKET AND
MARKETING STRATEGY
The cosmetic industry describes the industry that manufactures and distributes
cosmetic products. These include color cosmetics, like foundation and mascara,
skincare such as moisturizer and cleansers, haircare such as shampoos, conditioners
and hair colors, and toiletries such as bubble bath and soap.

EUREKA….
BUSINESS STRATEGY
This will include the communication strategy, marketing strategy, supplier

relationship strategy, promotion strategy, Human resource strategy and competitive
strategy.
COMMUNICATION STRATEGY
One of the most important aspects of a successful launch is a positive publicity for our
cosmetics products. We will develop awareness campaigns to promote our product
through several avenues. Our management team will fiercely have pursued positive
perception through social endorsement promoting the benefits of our product by
actively seeking local news and media coverage to help on awareness.
COMPETITIVE STRATEGY
Position of the business in the heart of …………. and the whole of ………… and also
being near the high market area makes the product easily accessible by our customers.
An aggressive advertising campaign will be undertaken so that we create much
awareness of our product than our competitors through our highly skilled
management team and employees that will be highly in contact with our customers.
MARKETING STRATEGY
Eureka Cosmetics Enterprises plans to communicate through outdoor advertising and

television advertising to generate sales. This will be spearheaded by our marketing
team to manage the marketing campaign. The key message associated with our
products is high quality beautifying cosmetics and skin care.

EUREKA….
HUMAN RESOURCE MANAGEMENT STRATEGY
Eureka Cosmetics Enterprises will start up with its experienced members in various
fields that are useful in the business to form competent team of trustworthy staff for
efficiency and effective operations and goal oriented. Provision of favorable working
conditions to maintain a high degree of personal development and satisfaction of both
employees and employers and ensuring that our employees are constantly trained
where need arises.
SUPPLIER RELATIONSHIP STRATEGY
Eureka Cosmetics Enterprises will ensure a close working relationship with our
suppliers and where necessary undertake supplier development programs that is
providing improved varieties of agricultural inputs for example: grapes, chew cumber,
palm fruits, avocadoes and lemons and tools that will ensure constant supply of our
core inputs.

EUREKA….
CHAPTER: 5 AN OVERVIEW OF COMPETITION AND

BUSINESS COMPETITIVE ADVANTAGE
THE MARKETING PLAN
 Market research
Eureka Cosmetic Enterprise intends to maintain an extensive marketing campaign that
will ensure maximum visibility for the business in its targeted market. This will be
achieved through market research on our customers, competitor, suppliers, their
product and their pricing.
COMPETITORS
Our major competitors are KK shop, Dan cosmetics and Baby Face organic that sell
the same cosmetics. Below is the analysis of our major competitors’ strength and
weakness.
o Assessment of competitor’s strength and weakness
COMPETITORS NAME STRENGTHS WEAKNESSES
KK shop cosmetic  Extensive research  High prices for their

dealers  Huge capital products
investment  High cost of
 More experience in operations
this business  Weak skills
 Customer loyalty (leadership,
interpersonal,
communication,
teamwork)
Dan cosmetics  Has many  Limited financial
customers who buy resources for start up

EUREKA….
in bulk  Lack of own premises

 High advertising to capitalize the
rates concentrate all
 Strategic location activities in one place
 Creative and  Limited marketing
innovative expertise
management  Poor sanitation
Baby Face Organic  Low operating cost  Un reliable supply

 Wild distributional  Un experienced staff
channels  High labor, intensive
 Dedicated operations
competent and  Limited product and
flexible work force service lines
 Unmotivated staff
 Emphasis is on high
quality and
quantities
The result of the market research summarized below.
I used the information gathered from the potential customer and came up with the
following information

EUREKA….
MARKET RESEARCH
Product Customers Needs and Competitors

preference of
customers
Perfumes in 1st Corporate They need unique Low quality
class employees scent that is perfumes that are
packed in not unique
luxurious
containers and can Does not always
last long. have knowledge of
the latest products
Must be available
in time and in Inconsistent
recognizable supply and so
supermarkets and shortages in the
shopping malls. market
Lemon body lotion Students Wide range of High prices and

differently color limited varieties
and flavored not consistently
lotions offered at supplied.
relatively low
prices. Low quality and
unattractive colors
Different sizes and and shapes
shapes
Hair relaxer cream Market vendors Hair softeners with Unreliable supply
reliable supply in and undefined
all corners of the distribution
country availed to channels that
all vendors in time affects constant
apply
Avocadoes body Tourist High quality Low quality lotion

EUREKA….
cream smoother products availed in with less

recognized moisturizing
shopping centers content
and malls
High level of skin

moisturizing and
smoothening
Retailers Reliable supply at Delays in supply
the right time and and uncoordinated
place in right supply chain and
quantities distribution
channels
PRODUCTION PLAN
We will specialize majorly in cosmetic products and manufacturing of locally made

cosmetic product to treat the skin illness such as fungal disease using locally produced
vegetables and fruits as ingredients in the manufacture of these cosmetics.
We will offer free consultancy services to our clients, free cold water, and warm water
for washing our hands. We will employ people who are easily accessible, customer
oriented, efficient and effective. We will provide customized services like skin
therapy and hair dressing to our most esteemed customers during the weekends when
we are not very busy as to meet their demands and needs by being agile.

EUREKA….
Cosmetic Products Market Analysis
1. The cosmetic products market is projected to register a CAGR of 4.94% during

the forecasted period.
2. The increasing number of working women and rising consciousness regarding

physical appearance among millennial women are the key factors driving the
market growth. In addition, the rising awareness about the harmful effect of
chemical compounds such as paraben and aluminium in the products is
stimulating the growth of natural and organic facial cosmetic products in the
market.
3. Thereby, the manufacturers were focused on innovating facial cosmetics with

natural ingredients. Additionally, Heritage brands are losing their popularity. They
need to be updated as new storytelling brands emphasizing vegan, cruelty-free,
organic, and natural concepts are trying to capture the market by offering a
product that matches evolving consumer preferences.
4. There is an increasing demand for long-lasting and waterproof makeup, sun

protection makeup with SPF, and vitamin enhancement makeup. This, in turn,
offers a lucrative opportunity to the key players in the category to innovate in the
facial make-up market. For instance, in 2021, Coty Inc. expanded the Gucci
beauty product line by launching Gucci Poudre De Beauty Mat Naturel face
powder in Asia-Pacific and European markets.
5. Cosmetic Products Industry Segmentation
6. Any product intended to maintain, enhance, or modify the appearance of the skin,
hair, and nails is referred to as a "cosmetic.

EUREKA….
7. The market studied is segmented by product type, category, distribution channel,

and geography. Based on product type, the market studied is segmented into facial
make-up products, eye make-up products, lip make-up products, and nail make-up
products. Based on category, the market is segmented into mass and premium.
Also, based on distribution channels, the market studied is segmented into
specialty stores, supermarkets/hypermarkets, pharmacy/drug stores, online retail
stores, and other distribution channels. The study also covers the global analysis
of the major regions, such as North America, Europe, Asia-Pacific, South
America, the Middle East, and Africa.
8. For each segment, the market sizing and forecasts have been done on the basis of
value (in RUPEE million).
9. Report scope can be customized per your requirements.
Cosmetic Products Market Trends
10. This section covers the major market trends shaping the Cosmetic Products
Market according to our research experts:
11. Inclination Toward Organic, Vegan and Cruelty-Free Cosmetic Products
12. In recent years organic, cruelty-free (no animal testing), vegetarian (no byproducts
of animal slaughter), and vegan (no animal ingredients at all) cosmetics market
have gained increasing popularity in developed countries, and it has been finding
their space in the growing market such as India, China, Brazil, etc. market.
Moreover, with the advancement of vegan products, consumers are paying extra
attention to a particular shade of lipstick that suits them and its manufacturing
process.

EUREKA….
13. Prolonged use of synthetic cosmetics may cause various health issues, such as
irritation, hormonal imbalance, and toxicity. However, cosmetic products made of
organic ingredients, such as plant extracts and natural oils, do not harm the skin.
Consumers have preferred vegan and organic cosmetics, which drives the market.
14. Animal-free alternatives may lead companies to produce lab-grown human skin
samples for testing cosmetic products. The ability to create samples on demand
reduces costs and increases the accuracy of results. Advancement in techniques
means that samples can replicate different skin ages and colors. The increasing
demand for vegan cosmetics among millennials and technological advancements
drive the market's growth.
15.
16. Increasing Usage of Cosmetic Products in Asia-Pacific
17. The color cosmetics industry (including the eye, facial, and lip makeup categories)
is the most prosperous in India, China, and others. Local companies, such as the
Shahnaz Husain Group from India, are exclusively providing herbal/ayurvedic
cosmetics products due to the prolonged health benefits it offers to the skin.

EUREKA….
18. Also, premium global brands register increased sales as Indian consumers move
from functional items to more advanced and specialized cosmetic products. Many
international brands, like Revlon, Elle18 MAC, Sephora, Loreal, and Ori flame,
are increasing their presence further, by introducing more products in the Indian
market, particularly with convenient and attractive packaging types and vegan
ingredients, to attract the youth in the country.
19. According to the World's Top Exporters, China was the third-largest importer of
cosmetics in the world in 2021, with a total value of about USD 18.5 billion. Hong
Kong, which imported skincare and cosmetics worth over USD 7.3 billion in
2021, was the next-largest cosmetics importer in Asia-Pacific.
20.
21.Cosmetic Products Industry Overview
22. The cosmetics products market studied is highly competitive, with many regional
small- to medium-scale players and key global players such as Loreal SA, Estée
Lauder Inc., LVMH Moët Hennessy Louis Vuitton, etc. Key players differentiate
their offerings and compete on different factors, including product offerings,
ingredients, packaging, price, functionality, and marketing activities, to gain a

EUREKA….
competitive advantage. Companies are increasing their investments in R&D and

marketing, and they are expanding their distribution channels to maintain their
position in the market. Moreover, companies are following strategies that include
providing products through e-commerce (own website and third parties) websites
to facilitate a larger targeted audience.
23. Cosmetic Products Market Leaders
24. The Estée Lauder Companies Inc.

25. L'Oréal S.A.
26. Shiseido Company, Limited
27. LVMH Moët Hennessy Louis Vuitton
28. Revlon, Inc.
29. *Disclaimer: Major Players sorted in no particular order
30. Cosmetic Products Market News
31. May 2022: Estée Lauder with Shoppers Stop opened an exclusive SS Beauty store
in Mumbai. With this establishment, the two companies have strengthened their
partnership in India. The SS beauty store will offer only Estée Lauder brands like
MAC Cosmetics, Clinique, Bobbi Brown, Jo Malone, Estee Lauder, Smash box,
and Tom Ford.
32. May 2022: Estée Lauder's M.A.C Cosmetics and Netflix collaborated to launch an
exclusive Stranger Things makeup collection. The new products have unique
shade names and limited-edition packaging inspired by the iconic Real, World
Hawkins High and The Upside Down.
33. May 2022: L'Oréal's Maybelline New York unveiled its newest product, Super
Stay Vinyl Ink Liquid Lip Color. The no-budge vinyl color lasts up to 16 hours.

EUREKA….
Lippy, peachy, coy, red-hot, unrivaled, cheeky, witty, capricious, wicked, and
royal, are among the ten colors of Super Stay Vinyl Ink Liquid Lip color.
PRODUCT COSTING
Calculate direct material
These are the materials used in production that will become part of the final product.
These include the following. Grapes, chew cumber, palm fruits, avocadoes, lemons,
oranges, and others. These will be included in column one of one form.
Column two will include the buying cost of one unit of each raw material, column
three will include the quantities needed for each of the raw materials, column four
will the cost per item that is the multiplication of buying cost with quantity needed,
and finally we shall get the total direct material cost.
PRODUCT COSTING FORM FOR EUREKA COSMETIC ENTERPRISES
Products: Cosmetics products
Raw materials Buying costs Quantity per item(kg) Costs (Rupee)

Grapes 30 5 150
Chew Cumber 20 4 80
Palm Fruits 30 3 90
Avocadoes 20 3 60
Lemons 30 2 60
Oranges 20 3 60
Total direct cost 500
per item
Calculate Direct labor

EUREKA….
Eureka cosmetics enterprises will have nine employees, three of whom will be in
production full time, one in marketing, ………………… as the manager, an
accountant, sales and marketing assistant and stock control personnel.
Labor costs form for Eureka Cosmetics Enterprises
Direct labor costs Indirect labor costs

Employee Total Total Hours in Pay for Hours in Pay for
working monthly production time in production time not in
hours per pay per month production per month production
month
Brian 220 10,00,000 ……….. ………. 220 10,00,000
manager
Operations 660 10,50,000 ………... 10,50,000 ………. ……..
staff (3
employees)
Sales and 220 4,00,000 ……….. ………… 220 4,00,000
marketing
Skin therapy 440 6,00,000 440 6,00,000 ………… ………..
and
hairdressing
(2
employees)
Record 220 3,50,000 ………. ……….. 220 3,50,000
keeping and
accounting
Stock 220 3,50,0000 …………. …………. 220 3,50,000
control, and
selling
Total 1100 16,50,000 880 21,00,000

EUREKA….
 Direct labor cost per hour = total pay for time in production
total hours in production per month
= 16,50,000/1100
Direct labor cost per hour = 1500 rupees per hour
Calculate direct labor costs per item
We estimate that it takes 5 minutes to make each bottle of lemon body lotion or Hair relaxer
cream or Avocadoes body cream smoother or Hair glow.
 Our production personnel know that it takes 5 minutes to make a bottle of the
cosmetic product which is 0.083 hours
 The direct labor cost per hour is 1500 Rupees
Therefore, by multiplying 0.83 hours rupees, I calculate that the direct labor cost for one
bottle of cosmetic is 124.5 rupees. This is how I fill in the product cost in form.
Direct labor costs per item
Activity Time per item in minutes
Mixing the material 2 min

Preparing for making the product 3 min
Making the product (putting the materials 1 min
in the machines)
Total minutes 5 min or 0.083 * 1500 124.5
Hours
Direct labor cost per item

EUREKA….
*Calculate indirect tax
Indirect costs are the other costs that I have for running business. They are
summarized below in the indirect costs form.
Indirect costs form for Eureka Cosmetics Enterprises
Indirect cost per month Cost (Rupee)

Electricity and water 200,000
Rent 300,000
Insurance 30,000
Interest on loan 150,000
Indirect Labor 2,100,000
Miscellaneous 200,000
Depreciation 40,000
Distribution and marketing costs 300,000
Advertising and sales promotion costs 200,00O
Total indirect costs 3,520,000
NOTE
1. Insurance costs per month= 360,000/12 months

=Rupee 30,000per month
2. Interest on loan= 10%*18,000,000
= 1,800,000/12
= 150,000rupee
3. Depreciation
I will buy machinery worth 4,800,000 rupees, and I expect to use the
machinery for 1o years.
Depreciation per year will be= 4,800,000/10 years
=480,000 rupees
Therefore, depreciation cost per month will be= 480,000/12 months
= 40,000 rupees

EUREKA….
Calculate the indirect cost per item.
Indirect cost per item = total indirect cost per month (from indirect cost form)
Total hours in production per month (from Labor form)
= 3,520,000
1100 Hours
Indirect costs per item = 3,200 rupees
Calculate total costs per item
Total cost per item = direct material + direct Labor + indirect costs. It is shown in the
form below
Total cost form
Types of costs Amount (cost per item)
Direct material 500
Direct labor 124.5
Indirect costs 3200
Total cost per item 3,824.5 rupees

EUREKA….
CHAPTER 7: A DETAILED FINANCIAL PLAN
We shall follow the following steps to plan and monitor the financial situation of Eureka
Cosmetics Enterprises.
1. We make a sales and costs plan

2. We make a cash flow plan
3. Compare records with both places every month
4. And we shall take action if anything goes wrong
I have forecasted my sale and costs for the first year in business and I have been helped by
my productions teams to develop the forecasts.
SALES AND COSTS PLAN 2018(00)
Details Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total
Sales 2000 2500 4000 4000 7000 10000 10000 10000 10000 15000 20000 20000 1,14,500
Direct 1000 1500 2000 2000 3000 4200 4200 4200 4200 4800 5000 5000 36,900
materia
l costs
Direct 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 2000 24,000
labor
costs
Gross (1000) 0 0 0 2000 3800 3800 3800 3800 8200 13000 13000 49,400
profit
Indirect 2500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 19,000
cost
Net (3500) (2500) (1500) (1500) 500 2300 2300 2300 2300 6700 11500 11500 30,400
profit

EUREKA….
Cash flow plan
To make sure that I do not run out of cash, when I start up by cosmetic enterprise, I
make a cash flow plan for the first 12 months and below is a sample for the first seven
months.
Cash flow plan Jan Feb Mar Apr May June July Aug.
(0000
Cash at the start of 7300 23700 19700 12400 11100 7800 25000 26500
the month
Cash in the from 2000 2500 4000 4000 7000 10000 10000 10000
sales
Any other cash in 7000 5000 …… ……... …… …….. …….. ……...
Total cash in 16300 31200 23700 16400 18100 17800 35000 36500
Cash out for direct 1000 1500 2000 2000 3000 4200 4200 4200
material costs
Cash out for direct 2000 2000 2000 2000 2000 2000 2000 2000
labor costs
Cash out for 2000 1500 1500 1500 1500 1500 1500 1500
indirect costs
Cash out for 8000 ……… ……… …….. ……… ……… ……… ……
planned investment
in equip
Loan repayment ……… ……… 150 150 150 150 150 150
Any other cash out 200 ……… ……… ……... …….. ……… ……… ………
Total cash out 16503700 5000 5650 6650 7870 7850 7850 7850
Cash at the end of 2600 26200 18050 10750 11450 9950 27150 28
the day

EUREKA….
Required start up capital
It will include the investments that I need which include equipment, business
premises, and the working capital that I need which will cover stock of raw materials
and finished goods, promotions, wages, rent, insurance and other cost.
The capital investment that I will need will be business premises and the equipment.
The business premises will be rented show there is no need to invest in that. The
whole floor on Easy View complex will be rented and rent for the first two months
will be payed in cash
Decide which premises I need for my business.
I will
Construct my own premises buy premises rent premises work at home
Because
 Renting premises needs less capital investment than buying and building premises
 It is more flexible because it enables me change location in case of unfavorable factors
 Save times spent in looking for the best location to construct my premises.
Decide on which equipment I need
I will require machines for mixing inputs, one, van, office furniture, and fittings
Equipment How to obtain it Cost (rupee)
Machines Buy 8,000,000

Van Lease (2year) 5,00,000
Office furniture Buy 1,500,000
Fittings Buy 1,200,000
Total 15,700,000

EUREKA….
What working capital do I need
I will need working capital that will be used in paying for the expenses that I incur
even before I start production. The working capital will be required to cover for the
first two month since after two months I expect to have started having some
reasonable sales.
The working capital will cover:
 Stock of raw material

 Promotion
 Wages = monthly cost for wages × number of months before sale cover my
costs
 Rent = monthly rent × number of months before sales cover my costs
 Leases
 Insurance
 Other cost = other cost per month × number of months before sales cover my
costs
*I worked so hard to estimate how much startup capital I will need to startup Eureka
Cosmetics Enterprises. I have reviewed every amount in my business plan after
talking to suppliers, landlords, and they think that I will take two months before sales
fully cover the payment costs. This is the estimates of how much startup capital I will
need.
STARTUP CAPITAL FORM

EUREKA….
REQUIRED STARTUP CAPITAL
Investments
 Business premises
Renting of the building/ floor …………………………………12,00,000
 Equipment
Machines buy………………………………83,00,000
Van lease (2 years…………………….50,00,000
Office furniture buy…………………………….15,00,000
Fittings buy……………………………12,00,000
Massage equip buy…………………………….15,00,000
Driers buy……………………………16,00,000
Cloths and uniform buy…………………………….20,00,000
Total equipment startup capital…………………….……….2,08,00,000
 Working capital
Stock of raw material…………………………….……….1,50,00,000
Promotion…….………………………….……………….1,00,00,000
Wages…………………………………………………….7,50,00,000
Rent………….……………………………………………6,00,000
Leasing…….….………………………………………….22,00,000
Insuring……...….…………………………………………80,000
Other costs….….…………………………………………40,00,000
Total working capital…………………………………….3,03,80,000
Total startup capital…...………………………………….5,23,80,000
ANNEXURES

EUREKA….
In my opinion I have successfully completed my project file on
Business Plan on Cosmetics.
I have taken help from the following sites:
BOOKS
 Business & Management part- 1

 Business & Management part- 2
SITES
 Google Scholar
 www.academic.edu
 Wolfram Alpha
PEOPLE
 Our Teacher Mr. Prashant
 Our Parents
 Our Friends
THANK YOU ALL FOR FINALIZING THIS PROJECT

BUSINESS PLAN ON COSMETIC (1) Muskan

Uploaded by

Copyright:

Available Formats

BUSINESS PLAN ON COSMETIC (1) Muskan

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

BUSINESS PLAN ON COSMETIC (1) Muskan

Uploaded by

Copyright:

Available Formats

EUREKA….

BACHELOR OF BUSINESS ADMINISTRATION

CHHATRAPATI SHAHU JI MAHARAJ UNIVERSITY,

PREPARED BY: MUSKAN SUBMITTED TO: ASCENT COLLEGE

STUDENT:’ BBA IST YEAR

* BEAUTY SHINE ALL… ..*

I hereby declare that the Market Survey report entitled “A

BUSINESS PLAN “Submitted to ASCENT COLLEGE, UNNAO

report is authentic to the best of my knowledge.

award of any other degree, Diploma and Fellowship.

PLACE: UNNAO STUDENT: NAUSHEEN

* BEAUTY SHINE ALL… ..*

I have immense pleasure to express my sincere gratitude to Mr. GURUSHARAN

* BEAUTY SHINE ALL… ..*

CONTENTS  DECLARATION ……………………………………………1

 COMPANY AND MANAGEMENT…………………

 DISCRIPTION OF THE MARKET / STRATEGY…

 OVERVIEW OF COMPETETION ……………………

 BUSINESS COMPETATIVE ADVANTAGE……….

 A SNAPSHOT OF GROWTH POTENTIAL……….

 A DETAILED FINANTIAL PLAN…………………….

* BEAUTY SHINE ALL… ..*

* BEAUTY SHINE ALL… ..*

CHAPTER 1: INTRODUCTION __________________

However, most color additives to mass-produced cosmetic products are synthetic:

The inorganic pigments include ultramarines, iron oxide, manganese, chromium

* BEAUTY SHINE ALL… ..*

However, most color additives to mass-produced cosmetic products are synthetic:

Cosmetic-grade color additives, either inorganic (pigments) or organic (dyes and

The inorganic pigments include ultramarines, iron oxide, manganese, chromium

* BEAUTY SHINE ALL… ..*

* BEAUTY SHINE ALL… ..*

* BEAUTY SHINE ALL… ..*

OVERVIEW OF PRODUCTS AND SERVICES

* BEAUTY SHINE ALL… ..*

Under-eye primer is designed to be applied before concealer to reduce the appearance

* BEAUTY SHINE ALL… ..*

Under-eye primers are specifically formulated to be gentle on delicate skin, often

* BEAUTY SHINE ALL… ..*

* BEAUTY SHINE ALL… ..*

* BEAUTY SHINE ALL… ..*

 gel and grated beeswax in a small saucepan over low heat.

 Stir until the beeswax is completely melted.

 Pour the mixture into the mascara container.

 Now store in a fridge or cool place. ...

 If you need more hold to your mascara, add more beeswax

* BEAUTY SHINE ALL… ..*

A concealer or color corrector is a type of C that is cosmetic used to mask

To use a concealer, an individual typically applies a small amount of product to the

* BEAUTY SHINE ALL… ..*

Concealer is available in a variety of shades. When picking a concealer, people tend

* BEAUTY SHINE ALL… ..*

* BEAUTY SHINE ALL… ..*

Say goodbye to faded and melted

hours. get the maximum matte effect an

* BEAUTY SHINE ALL… ..*

CHAPTER 2: SUMMARY OF OBJECTIVE OF BUSINESS

This plan is to set up a cosmetic shop in the name of “EURAKA COSMETICS

* BEAUTY SHINE ALL… ..*