business plan plus feasibility study sale of online best ......business plan plus feasibility study...

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Business Plan plus Feasibility Study

Sale of Online Best Water

Filters In Bahrain


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1. Executive Summary This business plan will target the concept of online marketing for water treatment products in

Bahrain. The vision for this business is to provide one-window services with the help of online

utility. The primary objective is making an online presence of water purification filters and RO

systems which are used on a residential scale at first stage. The location of the business will in

Bahrain. The products will include filters, tanks and membranes for purifying water. The quality

of the product will be related to higher standards of a competitor. The competitor will be ( Puri

Pro ) ? Can you share their website? which has been using the same idea for water filtration

systems marketing. (Here is the websitehttp://puripro.us/)

1.1 Intro

The business is named as the best water filters. Water treatment is an important industry which

has attracted the interest of principal investors. In Bahrain, there is a huge demand present for

this service. This business is related to the online sale of water filtration system and parts which

can help the consumer to have a better experience of purified water without any hassle from

commercial vendors.

1.2 Vision

The vision of this business to become a trusted source for providing single window services to

the customers. The business also stresses on the technological trends and developments which

are essential to provide a high quality of water filtration system. The vision looks for the

development of the company (Abbaspour, et al., 2015). This business will provide an online

platform to the customers where the water treatment system can be easily advertised to people.

1.3 Mission

Providing a complete range of certified & high-quality water filtrations system. These include

spare parts as well as the variety of RO plants.


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1.4 Business Objectives

To develop a one stop online hob for all residential need in regard of the water treatment

industry, systems, filters & all required spare parts

To introduce the online business of water treatment certified & high-quality filters and

spare parts.

To market products to top channels of Bahrain.

To increase the amount of finance for finance department.

An objective is to initiate business operations in Bahrain.

This business will also look to gather human resource for marketing the business product.

The primary objective is to sell water treatment filters and system online in the Bahrain

market.

The business will focus on the online existence as an off-line presence will not be

targeted.

The water treatment filters and spare parts are the most important part of the filtration

system.

The customer requires these services for updating and changing the filters and spare parts

for treatment plants on regular and weekly intervals.

1.5 Strength and Competencies

The major strength for this business is the demand for water treatment in Bahrain. This

business includes the sale of water filters and spare parts (Gude, 2016). What available in

the market is very low quality not tested, not certified, made from plastic and recycled

material. The market has filter system and RO plants which are of low quality and do not

specify the ISO standards. They are made from plastic and recycled material.

Our core competencies are: - Very high-quality supplier

– Very competitive prices

- More than 20 years experienced team which can handle

the customers and promote the business products to all of

the targets places in Bahrain online market.


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1.6 Challenges

The main challenge is to change the client’s habit of regular procedures to buy filters

from low quality suppliers and to direct him to but online, and to have the client change

this filter on his own if possible.

Water management is the basic challenge for the business. In order to make an impact on

the online market, traffic is also a challenge for the business (Zeng & Glaister, 2016).

The amount of finance required for this business also corresponds towards a challenge for

the business.

1.7 Long-Term focus

The long-term focus for the business will be to make a strong online marketplace where all of the

customer needs can be easily satisfied. This business will look to provide all kind of filters and

spare parts for the water filtration system. The main goal for the long-term planning is to

increase the reputation of the business in the market (Chen, 2017). The quality and nature of the

services will also be a long-term focus because in this condition the idea of online presence will

be a good innovation to the water treatment industry.

1.8 Our valued Proposition

The services which are being introduced for the water filtration system are new and there is no

present example of introducing the online platform for the advertising and promotion of water

treatment products as well as spare parts. The proposition also included NSF certified filters &

spare parts for most of the items which is not available in our local market & the free courier

service to the customer. In this way, the time can be reduced for the customer as well as the

seller.


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Table of Contents 1. Executive Summary .................................................................................................................... 2

1.1 Intro ....................................................................................................................................... 2

1.2 Vision .................................................................................................................................... 2

1.3 Mission .................................................................................................................................. 2

1.4 Business Objectives .............................................................................................................. 3

1.5 Strength and Competencies................................................................................................... 3

1.6 Challenges ............................................................................................................................. 4

1.7 Long-Term focus .................................................................................................................. 4

1.8 Our valued Proposition ......................................................................................................... 4

2. Company Description ................................................................................................................. 8

2.1 Business History/Description................................................................................................ 8

2.2 Company Location and Facilities ......................................................................................... 8

2.3 Products and services ....................................................................................................... 8

2.3.1 Products and service description .................................................................................... 8

2.3.2 Features and Competitive Comparison ........................................................................ 10

2.3.3 Quality Concerns ......................................................................................................... 10

2.4Technolgy ............................................................................................................................ 10

3-Market Research & Business Analysis ...................................................................................... 11

3.1. Online water dispensers and filters business in Bahrain .................................................... 11

3.1.1. Statistics of the online market in Bahrain ................................................................... 11

3.1.2. Feasibility of online sale: ............................................................................................ 12

3.1.3. A comparison of the prices: ........................................................................................ 13

3.2 Market Segmentation .......................................................................................................... 15

3.3 Demographics of Customers ............................................................................................... 15

3.4 Target Market Segment Strategy ........................................................................................ 16

3.5 Market Needs, Customer needs, and Customer Analysis ................................................... 16

3.6 Industry needs and trends.................................................................................................... 17

3.7 Market Growth .................................................................................................................... 18

3.8 SWOT analysis ................................................................................................................... 20


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Threats................................................................................................................................... 20

3.8 PESTEL Analysis ............................................................................................................... 21

3.9 Porter 5 Forces analysis ...................................................................................................... 22

4. Marketing Plan .......................................................................................................................... 23

4.1 Products and Services analysis ........................................................................................... 23

4.2 Target Customers ................................................................................................................ 23

4.3 Competition Analysis.......................................................................................................... 23

4.4 4ps of Marketing ................................................................................................................. 25

4.4.1 Product Strategy ........................................................................................................... 25

4.4.2Pricng strategy .............................................................................................................. 25

4.4.3 Promotion Strategy ...................................................................................................... 25

4.4.4 Distribution patterns..................................................................................................... 26

4.5 Sales Strategy ...................................................................................................................... 26

4.5.1Sales Forecast................................................................................................................ 26

4.5.2 Sales Programs ............................................................................................................. 26

4.5.3 Strategic alliances ........................................................................................................ 26

4.5.4Milesotnes ..................................................................................................................... 26

4.6 Marketing& Promotional Strategies ................................................................................... 27

4.6.1 Email marketing strategies ........................................................................................... 27

4.6.2 Social Media marketing strategies ............................................................................... 27

4.6.3Linking strategies .......................................................................................................... 27

4.6.4Paid advertising ............................................................................................................. 28

4.6.6 Online marketing strategies ......................................................................................... 28

5 Operational Plan......................................................................................................................... 29

5.1.1 Production .................................................................................................................... 29

5.1.2 Business Location ........................................................................................................ 29

5.1.3 Legal Environment....................................................................................................... 29

5.1.4 Business Suppliers ....................................................................................................... 29

6 Management and Organization .................................................................................................. 29

6.1 Organization structure ......................................................................................................... 29

6.2 Another HR plan ................................................................................................................. 29

7 Financial Plan: ........................................................................................................................... 30


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7.1 Sales forecast ...................................................................................................................... 30

7.2 Projected Profit &Loss ........................................................................................................ 30

7.3Projected Cash flows............................................................................................................ 31

7.4Projected balance sheet ........................................................................................................ 32

8 Quality management, Risk management, and Environment .............................................. 32

8.1Quality Management ........................................................................................................ 32

8.2 Risk Management ........................................................................................................... 32

8.3Environment ..................................................................................................................... 32

9.References .................................................................................................................................. 33


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2. Company Description

2.1 Business History/Description

The business is an idea of advertising water treatment filters and spare parts with the help of

internet media. The main focus of the chain is to create an online reputation for the company.

This will not only act as a medium between customers but also save time for useless discussion.

The potential users and aspirants which required trusted water treatment filters or spare parts of

the RO system can use the website to view and buy their required product.

2.2 Company Location and Facilities

The company main location will remain in Bahrain. The companyprovides convenience to its

customers in terms of the required product. The product is water filters and spare parts. The

market in Bahrain has no new concept of online marketing. If a new facility is given to

customers then it will provide door service for the water treatment system. One of the most

attracting facility is the courier service which can allow the easy delivery of company products to

all of the customers in Bahrain.

2.3 Products and services

2.3.1 Products and service description

The main products for the business are Water treatment filters set which are specified with the

category of PP, UDF and GAC (Grace, Clifford, & Healy, 2016). The Poly Propylene and

Granular Activated Carbon filters are mostly employed in the domestic water cleaning and

purifying seems. The Reverse Osmosis system is basically the second products which are


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optimized for the industry. This is because the requirement varies from the size of the

organization. The membrane and pressure tanks are also important products for the business.

There are installed in RO plan to remove any foreign particle from the water. The online service

will promote all these products on one platform. This is an application which would be launched

in Bahrain for the business purpose.


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2.3.2 Features and Competitive Comparison

The feature of water treatment filters is related to the process of water purification. The Poly

Propylene has better results but the granular activated carbon enhances the modes of purification.

The UDF feature is also ahead of the remaining two services (Manda, Worrell, & Patel, 2014).

The three different types of reverse osmosis system are classified on the base of their

requirement for the industry and commercial use. The membrane, pressure tanks & other spare

parts are featured with all sizes and they can be a suitable fit for all domestic and commercial

customers.

2.3.3 Quality Concerns

Quality concerns will be present for the business. Water filters will be bought from the trusted

suppliers whose products are fit for the business most of the products are NSF approved. The

reverse osmosis plants will be regulated for the standards because they are difficult to replace

from vendor to customer. The Membranes will be selected for the top quality. The filters &

pressure tank will be regulated by the best brand in the world. The quality concerns can affect the

products and their competitive advantage in the online market of water treatment industry.

2.4Technolgy

The technology which will be used for the business products will be based on the conventional

water filtration system. The online marketing will be made with the help of an internet source.

The products feature and quality will be monitored with the help of quality assurance. The water

test will be accounted for the use of technology. The latest available technology for water

filtration in Bahrain will be the most selected source under this business category.


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3-Market Research & Business Analysis

3.1. Online water filters business in Bahrain

Considering the online retail market in the whole world, one can assume that ecommerce and

online sales are a big opportunity for the growth and upgradation of the business. There are

certain aspects that have to be considered before putting all the thought of buying or investing

anything for the online business.

3.1.1. Statistics of the online market in Bahrain

Considering the situation of Bahrain and its surrounding countries, it has been estimated that

more than a quarter (29 percent) of Middle East consumers including the countries like Bahrain,

KSA, Turkey and Iran now shop online every month. Some more statistics indicate that 36% of

those Middle East shoppers surveyed between ages 18 and 24 shops online monthly compared to

13% of those aged 55 years and above. The trends for the shopping of household appliances have

been on a rise. 31% of the ecommerce shopping is composed of household appliances.

Best Water Filters in Bahrain is one of the first companies who are aiming to sell the water filters

and spare parts through a website. Online market in Bahrain is booming as more and more

people are adapting for online shopping. Online consumer sales, according to some reports have

exceeded BD66.15 million ($175 million) in Bahrain since last year. It was succeeded by a good

800 percent increase in the number of internet users since 2000. Detailing the numbers, 55 out of

every 100 Bahrainis are now online. Bahrain has the highest internet usage levels and penetration

of mobile internet expected, this figure is set to double in the next three years, it added.


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Having a high internet penetration will allow Bests Water Filters to access the consumers easily.

Marketing tools such a social media apps and digital marketing strategies will be beneficial to

access the consumers. The market is feasible and allows startups to penetrate at a much faster

rate than any other countries in the Gulf area. The rate of inflation has increased in the past 20

years in Bahrain. So the online tools of shopping are a healthy approach to get the best product

(ISTIZADA).

3.1.2. Feasibility of online sale:

Best water filters in Bahrain are aiming to make their online sale by the website which they will

be launching soon. As far as the market is concerned, Bahrain has been a part of the MENA

market which has provided a lot more exposure to the industry in the Gulf estates as well as the

Middle East area. Bahrain expects to See Nearly Four Times their 2015 Level of Online Sales in

2020 which is a great boost up. Bahrain has shown a positive change in terms of the rate at

which the online sales have increased (Vaast, 2017).

The friendly environment for the online business will be the pivotal thing to consider in terms of

startups like Best water filters in Bahrain. The consumer as well as investor friendly market

allows the both parties to put their money at stake confidently which is a huge plus point for Best


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water filters in Bahrain. Prices as well as the market completion are the secondary factors in this

case as they are largely dependent upon the competition which is quite low to minimal for Best

water filters in Bahrain as no companied have made their business online. Another important

factor is the sales of the online stores in Bahrain. The following graph is a huge boost up for the

company:

3.1.3. A comparison of the prices:

The major companies which are offering the water dispensers in Bahrain are mostly international

brands like Kenwood and Nestle. As far as the local brands are concerned, most of them are

selling their products on platforms like Wal-Mart, Amazon Inc., Lulu Group, Carrefour,

Spinneys, Choithram, Al Othaim, Al Raya, Al Sadhan, Fu-Com, and Balsharaf etc. Companies

that are working on the local scale like Jalal Sons Ionics, IWS Bahrain, Nikai, Zenet,

Meenumix, Midea, and Aftron have been offering their products on platform discussed above at

variable process. Although, it is a great strategy but they don’t have their own websites for the

clients which is a hurdle since consumers cannot approach them directly. The process pf the

water dispenses of these companies range in the price range of 40-80 BHD (EXTRA, 2018)

which is higher as compared to the package that Best Water filters In Bahrain will be offering.


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Best Water filters In Bahrain has the price range of 40-50 BHD which is feasible. The company

will be making sure that the online purchase comes with the option of installation of the

dispensers as well along with the delivery of the package. The boosting of the sales will have a

huge impact on the consumers due to this factor.

Best Water filters in Bahrain have a high chance of getting the success that they are aiming to

achieve in the market of ecommerce and retail in Bahrain. The major reason is the need of

filtered water in Bahrain. The need is increasing so that there is no way that the company is

going to get into any loss. The quality of the dispensers has to be premium in order to get the

competitors on the ground in the market.

Another factor to consider is the fact the raw material prices of the plastic and resins in the

region is considerable cheap as compared to the markets in the Africa and the USA. So it is a


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better option to stay in Bahrain add get the raw material for the manufacturing at standard

process. Besides that, the consumption and demand of the raw plastic in the world had increased

in the past few decades.

Online sale of residential water treatmentfilters , systems, & spare parts is a feasible idea

considering the market penetration and the exposure that ecommerce has in the area. The

chances of getting a high sale are very evident. The competition of the international brands is a

factor but quality can be used to overcome such factors.

3.2 Market Segmentation

The market in Bahrain has been divided into a different segment. One segment is the use of a

water filtration systems which is used in houses and domestic applications. This area can be

targeted with the help of online promotion of the company product (Abdelbaki, 2016). The

second area is the commercial use where industries and chemical plants required water cleaning

and wastewater management. This area also serves as an important part of the market was the

services of the company can portray the Osmosis plant for the commercial customers.


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3.3 Demographics of Customers

The customers are from Bahrain. The required water treatment solution. The demographics of

Bahrain suggest that there is less purified water present. The most of the raw water is available

with the salination source. This water is not fit for the commercial as well as domestic use. The

lifestyles and water use also predict that there is a scope of online marketing for the company.

3.4 Target Market Segment Strategy

In order to target the Bahrain market with the help of online presence, the segments will be

divided for the nature of products (Alalwan, Mandeel, Al-Laith, & Alkhuzai, 2017). For the

domestic and household purpose, a group where most of the Bahrain citizen rely on will be

targeted with an open introduction of the products with some exciting features and offers. This

would hook the customers and allow the products to be sold to Bahrain market. In order to target

the commercial segment, the links with vendors and suppliers will be made and the company

products will be displayed in the spotlight.

3.5 Market Needs, Customer needs, and Customer Analysis

The Bahrain market needs are related to the water treatment systems which can take the load for

an industry or commercial unit. It requires that efficient and reliable water systems should be

introduced in the market for the customer (Maddigpu, et al., 2018). The needs of Bahrain citizen

are affordable water filtration system which higher access to the spare parts and water filters. The

analysis of customers shows that a higher percentage has installed the water filtration system in

houses and offices. This gives a solid justification that need of water filters and spare parts in this

market is increasing with the increase in population.

3.6 Industry needs and trends


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The Bahrain industry is small. Most of the reverse osmosis plants are imported from Dubai.

There are no competitors present in the industry which are providing solutions for the water

purification system. The demand is higher but the industry needs more players to develop new

machinery and spare parts.

3.7 Market Growth

The Bahrain economics have raised the market growth rate, in the preceding years, the market is

increasing at the rate of ten percent (El Khanji & Hudson, 2016). This market has created room


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for the water purifier systems. The main idea of increasing the market size is to allow more

advancement for the water filtration. This will also control the economy of the country.

Figure 1 the desalinate share of Bahrain with world market

Figure 2 The share of water purification industry of Bahrain in GDP


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This is the share of economic sector in Bahrain for the water purification industry. This shows

that how much amount is spent for the water purification for the country.

3.8 SWOT analysis

SWOT analysis is a business tool which is used to assess the internal as well as the external

environment of the business (Grant, 2016). The SWOT analysis for this business concept is done

in the light of Bahrain as the primary target market

Strengths Weakness The main strength of this business is market

size. As there are fewer competitors present in

the market the business has a vital chance to

make a strong impact on the customers.

Can we add the only source with NSF

certified parts?? Yes

The quality compromise will be a weakness

for the company because water purification

products always focus on the quality.

Opportunities Threats

The new system can be brought into the

market. There is room for innovation. The

business can also create a strong online

presence which can be used for the long-term

planning, we can transfer the idea to other

countries in GCC

The major threat is the competitors from

outside the Bahrain Industry. The supply of

spare parts and filter system can be affected

with the global activities and crisis

The biggest threat is how to change the

customer habit to change to online buyer


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3.8 PESTEL Analysis

This analysis is also linked with a business environment. It targets the country demographics and

social and political conditions for the feasibility of the business.

Political Factors Economic factors

The political factors of Bahrain in relation

with the GCC countries won'taffect the long-

term planning of the business. This concept

will remain an idea in Bahrain.

The economic conditions of Bahrain in terms

of water purification industry is good. It is

feasible for this business. It will also provide

more revenues for the current investment.

As long as there are no sweet water sources

Technological Factors Legal Factors

The technological factors are related to the

RO plants and the type of mechanism which

are used for the water filtration system. This

would be a perfect idea for promoting the

spare parts and membranes to customers

And there is no technology in the world other

than the RO yet can provide sweet water for

residential clients

The legal factors will be related to the

standard policies and business rules. As the

market is offering space for the water

filtration system and its online promotion then

the legal factors will be resolved.

Social Factors Environmental Factors

The society favors the facilities for reverse

osmosis technology. Moreover, the online

concept will be accepted in the demographics

The environment is in full accordance with

the business. The idea is to make an online

presence. The place and demographics ass


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of Bahrain.

towards the business decision.

3.9 Porter 5 Forces analysis

Porter five forces model will be an excellent approach in this business context because it

highlights some of the main elements which prove important for long-term planning

(Almansoori, Al-Khalifa, & Mohamed, 2015).

Threats of New Entrant’s New entrants will decrease the profitability of the business. Yet there is no competitor present for the

business, therefore, the threat is minimized at an absolute level.

Threats of Substitutes Bargaining power of the customer

A substitute product for the RO plant or water

purification filters can become a threat for this

launched business. This can resolve by switching

policies and monitor the number of substitutions

This business provides a high degree of bargaining

power for the customer. This is because, in the

present business concept, the use of online sale and

purchase will give an instrumental priority to the

customers.

Bargaining Power of Suppliers Industry Rivalry

The bargaining power of suppliers in Bahrain will

be kept to a minimum level because in this way

the business value and revenues will remain

feasible

This is a very key point for the business in Bahrain.

As the market and industry is small then the

company have a competitive advantage over the

business rivalry.


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4. Marketing Plan The marketing plan will cover all the activities related to marketing this product in Bahrain

industry.

4.1 Products and Services analysis

There are five to six different products for the business. Their analysis shows that domestic as

well as commercial users will benefit from the products (Dubaifilter.com, 2018). The water

treatment filters set and reverse osmosis plant present in three different volumes (50gallon.75

gallon,100gallon) is the strong justification for the customer. Their services are related to

providing spare parts and system with the help of online marketing. This is a new concept and

it’s proposed to attract more customers.

4.2 Target Customers

The target of the business is all the customers which use the purification system. This will

include people which rely on water purification system for drinking water, this will also rely on

the community which hasneeded to desalinate water and treat the wastewater from industries.

4.3 Competition Analysis

The market competitors in the form of online utility are not present in the Bahrain Market. Pura

Pro is a main competitor for the proposed business. The business will have to face competition

from Dubai market players which have been providing RO systems and membranes to Bahrain at

a discounted price. Puri Pro is the main competitor for our business. This is the main competitor

which is providing reverse osmosis machines on the E- platform.


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FACTOR My Business Strength Weakness Competitor A

Importance to

Customer

Products RO systems, Filters It is economical Variation in supply Puri Pro Selection of system

Price

our price for end

user 120-130$

Much better, NSF

certified Can change 2199.00AED Variety in selection

Quality

Good

A+ Quality

It follows

standards Specification

Good

Not certified Satisfies there need.

Selection On brand On users On user Comparable

Can justify each

requirement

Service

NON, can be done

with third party New No Not free No hassle

Reliability Yes YES NO weakness It is reliable

Focus on use of the

product

Stability Yes Yes

It can have after-

sales issues Not given It is required

Expertise Yes Yes No weakness Yes It is required

Company

Reputation Good Good Good Good It is required

Location Bahrain More customers No Bahrain Bahrain to be suitable

Appearance Attractive Noticeable Good It is required

Sales Method Online Proposed method Offline

Credit Policies Allow credits Yes Yes Do not It is required


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FACTOR My Business Strength Weakness Competitor A

Importance to

Customer

Advertising Electronic Tools Yes Yes Open source It is required

Image Good Image Good Good Good It is required

4.4 4ps of Marketing

4.4.1 Product Strategy

The product strategy is an online presence. The product would be sold through the online media

tools. There will no connection for the offline marketing. This product is important for water

filtration systems.

4.4.2Pricng strategy

The pricing strategy will be based on the discounted rate. The competitors are offering 237 $

dollars for the RO systems (Abbaspour, et al., 2015). This product will offer a range between 598

to 600 dollars including installation. Our price 120 – 130, BUT , main product will be the set of

filters pp, gac, udf, our price with delivery might be 4.49BD where the big volume should be

along with real comparison in previous sectors

4.4.3 Promotion Strategy

The product will be promoted with the groups and channels which have the most connection

with the potential customers. In this regard, the spare parts and filters will be displayed in

filtration industry groups and markets where buyers meet the customer. And will distribute some

brochures and use billboards to advertise, we set a budget of 4000 - 5000$ for the first year to all.


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4.4.4 Distribution patterns

The distribution will be made from the warehouse of the company. When an online order is a

place for the spare part of the water filter, then it will be posted to the specific customer.

4.5 Sales Strategy

The sales strategy will be on the online method. The customer will have the preference to save

time and select the most appropriate product for their use. The industrial, as well as the domestic

customers, will be given the same preference.

4.5.1Sales Forecast

The sales forecast will be made in three years. The long-term planning will include the five years

planning (Abbaspour, et al., 2015). In this forecast, the estimate for the products and RO systems

will be recorded from the present condition of the business. Target is to reach a minimum of

3000-4000 set of filters on yearly basis on third year, and a minimum of 7000-8000 on fifth

4.5.2 Sales Programs

The sales programs will be single and there will be no change adopted in this channel. The

distinction for the business is due to its online innovation. This will be the key purpose behind

the sale program.

4.5.3 Strategic alliances

Strategic alliances will be made with the retailers which wish to advertise business products to

the specific customers. Online sale platforms like Souq.com, noon.com. Amazon and E- bay will

the company for strategic alliance

4.5.4Milesotnes

The business wants to reach a top position like Puri (Royal) Company of Dubai. Our business

will increase the water filtration plants and system. This business will establish a separate online

utility for all the filtration technologies.


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4.6 Marketing& Promotional Strategies

4.6.1 Email marketing strategies

This will be a unique strategy for raising the attention of customer towards the business. Emails

about price and subscription will be sent to the electronic portals.

4.6.2 Social Media marketing strategies

This business will make flyers and brochures for the filter and spare parts of water treatment

plant. The complete information and discounts will be advertised on social media pages and

communicated to Facebook groups (Abdelbaki, 2016). Newspaper ads will also be used for the

social media marketing.

4.6.3Linking strategies

The linking strategy for business will be targeting all the modes of marketing and opening up

chances for the sale of business products.


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4.6.4Paid advertising

Advertising will be carried out to increase the sales. The long and short ads will be directly

transferred to electronic media groups. This will increase the rating of products.

4.6.6 Online marketing strategies

The online marketing strategies are enlisted as

Personal Branding: Personal branding which includes branding the water filtration and

RO plants to the market.

Affiliate and Associate Programs Strategy: This will improve the marketing of your

business. It will answer towards the requirement of the product.

Contest and Giveaways strategy: This strategy will keep the customerinterest for the

product.


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Super remarketing strategy: This will help you reach towards many potential

customers in Bahrain.

5 Operational Plan

5.1.1 Production

The production will be carried out in the separate divisions. These divisions were not located in

Bahrain. The advertisement will be made for the business products.

5.1.2 Business Location

The business location will be Bahrain.

5.1.3 Legal Environment

The legal environment is regulated for the foreign entry. This area will be sorted out from the

Bahrain water treatment industry (Alalwan, Mandeel, Al-Laith, & Alkhuzai, 2017).

5.1.4 Business Suppliers

Business suppliers will be the only factory that has certified filters & trusted spare parts in

Taiwan , . They can also provide a primary asset to this business.

6 Management and Organization

6.1 Organization structure

There will be two employers present in the company. One will post and follow orders for the

business products. The second will have a duty ofstorekeeper in the company.

6.2 Another HR plan

The organization structure is proposed at the beginning. This will remain as the first the first

priority. It will be a one-man role and will progress.


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7 Financial Plan:

7.1 Sales forecast

The start-up investment for the business is 25000-30000$. It would be more than the required

cost. The sales will be forecasted in Bahrain.

7.2 Projected Profit &Loss

The projected profit will be money accounted from the initial investment. The business should

make about 20 to 25 percent profit from the sales of products. The business profit and loss are

assumed from the profit and loss analysis. The initial investment is planned to be in the range of

30000 dollars. The cost for the spare parts will rise as the projected cost will increase up to the

factor of ten percent. The profit and loss are accounted as the earning for the business will be

estimated as two million for the one significant year. The annual contribution will be also in

good amount. The operating expense will be higher for the business. There is a profit present for

about thirty to forty thousand US dollars.

We couldn’t base theall below numbers on any solid source, can you clarify? Please try to send

me excel sheet that I can fill to show real figures please?

Projected Cash Flow

Cash Inflows Year 1 Year 2 Year 3

Cash from operations 40000 70000 100000

cash from receivable 27752 52768 87820

Operating Cash Inflow 67,752 122,768 187,820

Other Cash Inflows

Equity Investment 5000 7000 9000

Borrowing 4000 5000 5000

Sales of Business Assets 5000 6000 10000

Increases of A/P 2000 3000 5000

Total Other Cash Inflows 16000 21000 29000

Total Cash inflows from operations and 83,752 143,768 216,820


30

others

Cash Outflows

Salaries 10000 20000 22000

Sales and Marketing and other Expenses 5000 3500 3000

Web site development and management 5000 500 500

Premises Costs 300 300 500

wages

General Expenses 1000 1000 1200

Insurance

Utilities

Business travel 850 850 850

Miscellaneous 100 100 120

Total Cash Outflows 22250 26250 28170

Net Cash flow 61,502 117,518 188,650

Cash Balance 61,502 117,518 188,650

Projected Income Statement

Periods Year1 Year 2 Year 3

Sales Revenue 67,752 122768 187820

CGS 43700 79185 122082

Gross Profit 24,052 43583 65738

Operating Expenses

Salaries 10000 20000 22000

Sales and Marketing and other Expenses

5000 3500 3500

Web site development and management

5000 500 500


wages 10000 10000 10000


Insurance 500 300 200

Utilities 200 300 500




31

Operating Expenses 32950 37050 39370

Net Profit -8,898 6533 148450

Profit Margin

Projected Income Statement

Periods Year1 Year 2 Year 3

Sales Revenue 67,752 122768 187820

CGS 43700 79185 122082

Gross Profit 24,052 43583 65738

Operating Expenses

Salaries 10000 20000 22000

Sales and Marketing and other Expenses

5000 3500 3500

Web site development and management

5000 500 500


wages 10000 10000 10000


Insurance 500 300 200

Utilities 200 300 500



Operating Expenses 32950 37050 39370

Net Profit -8,898 6533 148450

Profit Margin

Projected

Balance Sheet

Years Year 1 Year 2 Year3

Assets 20000 21000 22000

Current Assets 10000 30000 30000

Cash 5000 7000 9000

Inventory 6000 8000 10000

Current Assets

Others 2000 3000 4000

Total Current 43000 69000 75000


32

Assets

Long Run

Assets 4000 6000 6000

Accum

Depreciation 1000 1000 1000

Total Long

Run Assets 3000 5000 5000

Total Assets 46000 74000 80000

Liabilities &

Capital 14000 29000 15000

Current

Liabilities 1000 1000 1000

Account

Payable/Loan 3000 3000 4000

Current

Borrowings 4000 5000 5000

Total Current

Liabilities 22000 9000 25000

Long Term

Liabilities 5000 7000 9000

Total

Liabilities 27000 54000 59000

Paid In

Capital 10000 10000 10000

Net Profit -8,898 6,533 148,850

Total Capital 19000 20000 21000

Total

Liabilities and

Capital

46000 74000 80000

0

20000

40000

60000

80000

100000

120000

140000

160000

180000

200000

1

Products

Year 1

Year 2

Year 3


33

7.3Projected Cash flows

Cash flows will be regarded as employee figures. This figure is accounted towards 10000$. The

startup expense for the filters and little parts of the water filtration will cost more. The delivery

charges would also be an additional cost to the business (Dubaifilter.com, 2018). Therefore, the

cash flows will be higher than the initial investment. If must be in between 40 to 50 thousand US

dollars.

The projected amount is closer to approximation for the real budgeted figures. First is the initial

amount of the project. Second is the area where expense will account. First of the expense will

the employee which will count as 10000 dollars. The expenses for the transport and spare parts

will also will be a liability for the project. The project has 1.9 factor for liquidity. The supply will

account for 1500 Us dollars.

7.4Projected balance sheet

This will be based on the data of sales

0

20000

40000

60000

80000

100000

120000

140000

1

Periods

Year 1

Year 2

Year 3


34

8 Quality management, Risk management, and Environment

8.1Quality Management

It would be made with the help of a team of experts for quality assurance

8.2 Risk Management

This would be made from the analysis of risky area for the business

8.3Environment

Bahrain environment will be studied for any changes in the business plan.

9.References Abbaspour, K. C., Rouholahnejad, E., Vaghefi, S., Srinivasan, R., Yang, H., & Kløve, B. (2015).

A continental-scale hydrology and water quality model for Europe: Calibration and

uncertainty of a high-resolution large-scale SWAT model. Journal of Hydrology, 10-15.

Abdelbaki, H. H. (2016). Investigation of Determinants of Groundwater in Bahrain. ,. European

Journal of Economics, Finance and Administrative Sciences, 91.

Alalwan, T. A., Mandeel, Q. A., Al-Laith, A. A., & Alkhuzai, J. A. (2017). Complementary

Practices of Herbalists in the Kingdom of Bahrain. Journal of Health Research, 487-499.

Almansoori, T. A., Al-Khalifa, M. A., & Mohamed, A. M. (2015). Date Palm Status and

Perspective in Bahrain. In Date Palm Genetic Resources and Utilization. Springer, 353-

386.

Chen, E. T. (2017). The Internet of Things: Opportunities, Issues, and Challenges. The Internet

of Things in the Modern Business Environment. IGI Global, 167-187.

Dubaifilter.com. (2018, July 5). Dubaifilter.com. Retrieved from Dubai Filter.com:

https://dubaifilter.com/collections/under-sink-reverse-osmosis-ro-water-purifier

El Khanji, S., & Hudson, J. (2016). Water utilization and water quality in endogenous economic

growth. Environment and development economics, 626-648.

ISTIZADA. (n.d.). Bahrain Online Marketing Country Profile. Retrieved 2018, from

http://istizada.com/bahrain-online-marketing-country-profile/


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Grace, M. A., Clifford, E., & Healy, M. G. (2016). The potential for the use of waste products

from a variety of sectors in water treatment processes. Journal of cleaner production,

788-802.

Grant, R. M. (2016). Contemporary strategy analysis: Text and cases edition. Newyork: John

Wiley & Sons.

Gude, V. G. (2016). Desalination and sustainability–an appraisal and current perspective. Water

research, 87-106.

Maddigpu, P. R., Sawant, B., Wanjari, S., Goel, M. D., Vione, D., Dhodapkar, R. S., & Rayalu,

S. (2018). Carbon nanoparticles for solar disinfection of water. Journal of hazardous

materials, 157-165.

Manda, B. K., Worrell, E., & Patel, M. K. (2014). Innovative membrane filtration system for

micropollutant removal from drinking water–prospective environmental LCA and its

integration in business decisions. Journal of cleaner production, 153-166.

Vaast, M. (2017). What Are The Opportunities In The Mena E-Commerce Market. Retrieved

from https://www.ecommerce-nation.com/opportunities-mena-ecommerce-market/

Zeng, J., & Glaister, K. W. (2016). Competitive dynamics between multinational enterprises and

local internet platform companies in the virtual market in China. British Journal of

Management, 479-496.

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