ft12 4 a n.ankhtur proposal

САНХҮҮ ЭДИЙН ЗАСГИЙН ДЭЭД СУРГУУЛЬХАМТАРСАН БОЛОН СОЛИЛЦООНЫ ХӨТӨЛБӨР

Proposal

Сэдэв: Outsourcing Proposal

Хичээлийн нэр: EnglishХичээлийн код: ENG214W

Анги групп: FT12-4

Гүйцэтгэсэн: ........................................................Н. Анхтөр /FT12B002/

Шалгасан: ............................................................ Н. Оюунцэцэг /Ph.D/

Улаанбаатар.2014

2014 оны 4 сарын 22

Outsourcing Proposal

Н. Анхтөр /FT12B002/

Contents

1. Executive Summary

2. Company History

3. Intention

4. Benefits

5. Summary

6. Appendix 1

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Executive Summary

The goal of this proposal is to outsource our brand “Darui Cafe” to Japan

with your helping hand. Since Japan has a freshly developed business market our

company members are expecting high-anticipation which later can tighten our

relations. Darui Café has been operating for 20 years which led us to a highly

respected organization among public. Currently our organization has a branch

located in Korea which has been operated for 5 years without any issue.

Furthermore, we’re hoping a same result in Japan due to a research made by our

research manager in Japan for 1 year.

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1. Company history

Darui Café was founded by John Lockheart (CEO of the company) which grew

into a popular chain of 1500 cafes that owns $10 billion business from a small

Denver soup, salad, and sandwich restaurant. Our company can be defined as a

Multi-Unit restaurant business in the US.

In 2009, the U.S restaurant and contract foodservice industry was a $500billion

industry with 960 locations. Multi-unit restaurant concepts represented

approximately 25% of the industry by units, with independent operators as the

balance. The restaurant and foodservice industry in the US is highly fragmented.

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2. Intention

As our research we find that most of the people in Japan go to quick service cafe because they

are busy. Mostly teenagers living in Japan, they usually like to go quick service restaurant with

their friends to spend time more efficient. There is good chance to increase our profit by

outsourcing. We can give you a guarantee that if you franchise a quick service restaurant you

will gain more benefits and profits. We all want to gain a more profits. That’s why we researched

about this business and chosen to open a quick service cafe in Japan.

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3. Benefits

All of quick service cafe have got lower risk and lower return. But with this kind of opportunity

if you are outsourcing our quick service restaurant in Japan you can get more profit. Teenagers

are coming to our restaurant because our restaurant is very nice place to spend time with friends.

It means you will get more profit with more lower risk. That’s why we are going to open a new

quick service cafe in Japan.

With a population of over 1.4 billion people and annual GDP growth of 14.5%

over the past decade, Japan is ripe for investment. Two additional trends attracted

US restaurants: Japan’s urban population rose from 36.2% of the total in 2000 to

46.6% in 2009, and a strong middle class emerged whose per capita income surged

from RMB 6282 to 17175.(RMB 1=USD 0.15)

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4. Summary

Outsourcing our restaurant will offer you many benefits. First one is lower risk because our

restaurant is quick service restaurant. Once you started your cafe in Japan you can run smoothly

without oversight. Second one is quick service cafe is very simple and easy to control all profits

and loss. The last and biggest one is our royalty is $46,800. You will pay us only $46,800 and

you can run your business. Weekly sales is $15,000 in Los Angeles you can get more profit in

Japan because new fashioned quick service cafe will be very big opportunity in Japan. Also

Capital requirement is lower than other restaurants except Papa John’s Int`l Inc. But they are old

fashioned and having debt.

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5. Appendix 1

Darui Cafe Estimated Income Statement in Japan

6.7. Revenues

8. Sales

9.248.134

9. Roylaties 603.365

10. Ingredients 945.924

11. Total

10.797.423

12. Costs and Expenses

13. Food & Paper

2.623.712

14. Labor

2.933.980

15. Occupancy 706.790

16. Total

6.264.482

17. Food and paper good inventory 776.902

18. Depreciation and amortization 480.711

19. G&A 710.458

20. Marketing

1.239.413

21. Pre-opening expenses 29.974

22. Total Costs and expenses

3.237.458

23. Operating profit

1.295.483

24. Interest expense 4.725

25. Other Expense 29.624

26. Income before tax 1.261.134

27. Income tax 480.571

28. Net Income 780.563

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