Budu Tok Bali: case study: company analysis / Azyan Abd Rahman … [et al.]

• Main Authors: Abd Rahman, Azyan, Mohd Ikhalan, Sarah Yasmin, Tunku Mahmud Azhan, Tunku Nur Sofia Nabilah, Mior Azhar, Wardina, Ramli, Nur Amira Najdah
• Format: Entrepreneurship Project
• Language: English
• Published: 2021
• Subjects: Entrepreneurship. Risk and uncertainty; Business analysts
• Online Access: https://ir.uitm.edu.my/id/eprint/60931/2/60931.pdf; https://ir.uitm.edu.my/id/eprint/60931/

Budu Tok Bali Enterprise is a business that strives to help the single mothers, fisherman and poor villagers in the Tok Bali Village Kelantan in increasing their standard of life by involving them in the production of the product. As the mission of Budu Tok Bali Enterprise stated, ‘to help provide a better every day to people in need with a life-changing opportunity’. Our business is also targeted to attract people to buy the product and knows that they can contribute to help the organization help more people in need of support. Budu Tok Bali Enterprise vision stated, ‘To always be the ‘Budu’ brand where people know they can contribute in changing people’s lives and lower Malaysia’s poverty rate in the future’. Budu Tok Bali Enterprise is a sole-proprietorship company founded and entirely owned by Tunku Nur Sofia Nabilah Binti Tunku Mahmud Azhan. The company commencement date was on 25th October 2020 and the date registered is on 25th October 2021. This innovative product factory and headquarters is operated at Kg. Tok Bali, Jalan Pasir Putih, 16800, Cherang Ruku, Kelantan. The structure of the organization would be a general manager which is also the founder at the highest top management, below it would be five top management which are Admin and Human Resources Manager, Marketing Manager, Operational Manager, and Finance Manager, and then there would be five direct workers under the operational manager for the production team. Budu Tok Bali Enterprise first and main product would be ‘Budu Tok Bali Cube’, the first Malaysia ‘Budu’ brand in a cube size and the name ‘Tok Bali’ used in the product name is because the originality and the production of the product came from the villagers in Tok Bali Village Kelantan. A total of ten cubes of ‘Budu’ equal to 10g each cube in one box and the product provides excellent aroma, freshness, and maintains a long product shelf life. Ingredients list primarily consist of anchovies and salt. The fact that the ‘Budu’ cube is dry makes it convenient for travel purposes. The uniqueness from other competitors is that our company had compressed it into a cube size ‘Budu’ which no company has done as of now. Our product is primarily targeted nationwide but more focused on Malaysian that reside in Kelantan, Terengganu and Pahang which have the highest demand for ‘Budu’. Our demographics market segment is individuals between the age 20 to 60 years old and income class of low and moderate. Aside from that, our psychographic segmentation is a healthy-conscious consumer as ‘Budu’ has health benefits that most are unaware of. Our products are intended be made simpler for our consumer that travels a lot and also loves to take ‘Budu’ with them, as our product has no risk unlike other products that has risk of spills or broken bottles. There are few competitors that provide ‘Budu’ products also in our chosen marketplace which is a fantastic opportunity for the business to flourish. Budu Tok Bali Enterprise is still a new business but other competitors have already begun operating in the same field since many years back. Therefore, we can learn their strengths and weaknesses to compete against them with this knowledge to make a better company. Our competitors’ name are ‘Budu Cap Ketereh’, ‘Pati Bilis Sejati’, and ‘Budu Kampung’. The market share before ‘Budu Tok Bali Cube’ entered the market are ‘Budu Cap Ketereh’ controls 50% of market share, ‘Pati Bilis Sejati’ controls 25% of market share, and ‘Budu Kampung’ controls 25% of market share. After ‘Budu Tok Bali Cube’ enter the market, ‘Budu Cap Ketereh’ controls 40% of market share, ‘Pati Bilis Sejati’ controls 20% of market share, ‘Budu Kampung’ controls 20% of market share, and ‘Budu Tok Bali Cube’ controls 10% of market share. Our competitive advantage is that there are no companies that had produce ‘Budu’ in a cube sized before hence making Budu Tok Bali Enterprise the first and the demand of the ‘Budu’ cube will be high as it is in a more convenience size to purchase but still has a similar price to other products. Sales and Profit Forecasts are provided to predict the level of performance after 3 years. The total sales forecast for Budu Tok Bali starting from November 2020 until October 2021 after a year is RM1,416,000. The project implementation cost would be a total of RM376,818. The pro-forma income statement for accumulated net profit until the third year would be RM2,393,678. The pro-forma balance sheet calculates a total assets of RM927,640 for first year, RM1,706,171 for second year, and RM2,718,417 for the third year. The pro-forma balance sheet also calculated a total equity and liabilities of RM919,640 for first year, RM1,698,171 for second year, and RM2,710,417 for the third year. The Pro-forma Cash Flow Statement of ending cash balance after three years is RM2,582,365. All of this is provided to help estimate the organization’s future income and expenses. Organizational Plans are also included in the report as it is also crucial in having a good structure and a strategic location for the organization. The Marketing Plan is also designed and strategized to look at potential business opportunities. Production Plans such as raw material requirements, purchasing of machinery and equipment and others are included in the report. The above-mentioned plans are capable of flourishing a better business for Budu Tok Bali Enterprise in the future.