I. EXECUTIVE SUMMARY

Opportunity & the Description of the Business

There are many selections of T-shirts available in the market today. However, does it fulfill

what does young people want in terms of design and style? We believe that some people are

not satisfied with the current selections of design available for T-shirts, That’s why we intend

to create T-shirts that are distinguished from other kind of T-shirts in terms of style and

design.

Competitive Advantage

The advantage of making T-shirt Company is that it’s easy to run and has low set up cost

compared with other business. For instance, you just need to use computer as a media of

transforming your design ideas into production. Besides that, it is very flexible because you

can adjust any design to what the customers’ demands. Besides that, our competitive

Advantage is creative and provocative design in our tee shirt.

Target Market

Our target market is any young people that like to wear T-shirt. When we decide to go with

this idea, we ask ourselves: Does everybody likes to wear T-shirts? Yes, they do! Almost

every university students wear T-shirts when they go to campus. Not only university students,

high school students and older people also like to wears T-shirts. Our priority is to sell T-

shirts to the students of Economics Faculty UI and around UI campus, including Faculty of

Law, Engineering, and FIB.

The Management Team

The management team consist of 4 division, which are design, production,financing, and

marketing. Our group consist of 6 people, there are 2 people in charge of production,

searching suitable printing company that can print our T-shirt designs. Then, there are 2

people in charge of marketing, who spend their times promoting our design to potential

customers and also analyze what kind of T-shirt design that young people like to have and

wear. Another one is design section, consist of 1 person, who in charge of creating good T-

shirt designs and research on target market. The last but not least is the finance division,

consist of 1 person, who set the basic price of the t-shirt and also collect the capital earned

from each individual members. The type of working system we adopt is matrix system or

cross functional division. So, we always share our ideas together and all division are working

not individual, but always together.

Financial Projection

We will raise the capital from each of our members. We forecast that we will sell around 100

T-shirt, that’s why we need around Rp 750,000/ each person for the start-up cost. However,

we might change our financial strategy depending on what the market demands.

Exit strategy

The payback period of investment in this company is occurring when the two-third of the

entire product are sold. If all of the products are sold the company will get the expected profit

that we already figure in financial projection. On the other hand if the product is not sold then

each of members in this company will face the loss.

II. THE BUSINESS

A. The Opportunity

Throughout the 1980s and ever since, T- shirts have flourished as a personal expression. These garments allow consumers to flaunt their taste and expression in an inexpensive way, in addition to being decorative. These cause the product become popular among teenagers and young adult. This opportunity allow us to produce T- Shirt with creative design that can attract our target consumer.

B. The Description on Business

Our business runs on garments industry, especially in Tee Shirt which is a shirt that is pulled on over the head to cover most of a person's torso. These garments allow consumers to flaunt their taste or expressing Political and social statements an inexpensive way, in addition to being decorative. Our team agreed that tee shirt is the most suitable types of garments in our business, thus we decided to use this as our product. For marketing and profit purpose, we also produce Keychain as a package, so

customer will be more interested in buying our product. Our mission is not only to gain profit but also to increase social consciousness in national’s spirit.

C. Competitive Advantage

Our competitive Advantage is the quality of our product’s material and competitive price. We also provide creative, motivational and provocative design that attractive for our target market.

D. Current Status and Requirements

Based on our projected timeline and current status, we are already producing keychain and in a next few days we will start the production of shirt. For further information, you can look in our business timeline. Our requirements for now is collecting capital for shirt production and deeper planning and strategy for marketing.

III.MANAGEMENTTEAM

A. Management Team

The team members has a many kind of background, therefore it may lead to that each member has a different technical expertise which really supporting us in running in this business simulation project.For instance, Mikky as our Project Officer have a speciality in designing object, admitedly he often joined anykind of designing team in anykind of event. In this project, he is the conceptor of the design. Secondly, both Angra and Theo have a numerous partner in t-shirt production which also helping us to compare those stores then select the best quality and price among them.Next is Dhini. She is good at accounting, that is why we choose her to responsible of every money activity including its book keeping during this business simulation.Lastly, the marketing team. Eventhough, all of us are going to do the seabout the marketing activity, marketing concept and strategy are maintained by Asti and Diva as our marketing team.

IV. Company Structure, Intellectual Property, and Ownership

A. Organizational Structure Organizational Chart

Description of organizational structure1. Head company and creative departement

Head of company are responsible as the leader of company and manage the subordinat department of it. Creative department will make a design and idea for product that will be sell by company.

2. Operational DepartementIn operational department they are responsible for the operation of the company, which is inluding the production of the product.

3. Marketing DepartementIntroduce the product to the market are job that assign to marketing department. They will promote the product to the market that hopefully will help the selling of the product.

4. Financial DepartementFinancial departement will manage the financial of company, this is includes the cash flow of company and also the financial report of company.

B. Ownership Structure

Actually in this company the head of company will have 20% share of company. Then the rest member of company wil have 16% of total share. Those percentages is reflected from their contribution in investment. So, the profit and loss will also divided equal to the contribution from each member. Each of us should responsible and perform well in particular departement we assign for.

C. Intellectual Property

The business is in the beginning period and also the production of our product is still on the small scale that is why we have not made the copyright, trademark, or patents for our product.

V. INDUSTRY ANALYSIS

A. Industry description

Our project is in clothing industry, ever since clothing is one of basic needs for every person, then we designed it to be more attractive so that in fulfill our needs and do it in style.

B. Target Market

Actually, our target markets are varies, but our main targets are teenager and youth, ages from 16 to around 26; both female and male. We set a reasonable price for youngsters, compare to many outlets around Jakarta. We offers a good cotton which has the same quality as “distro” and it is also include “Garuda Indonesia” keychain, not only useful for keychain but also for opening the bottle and at the same time we encourage them to proud to our National Logo, so basically our product is available for anyone.

C. Competitive Analysis

Probably competitor will not affecting very much since this design very rare, but the problem is not every people would like our product, since this t-shirt will only have a few design, it is a bit hard to meet the market satisfaction.

VI. MARKETING PLAN

A. Pricing Strategy

We will set up the price with middle price level, around maximum Rp. 70,000,- for each t-shirt including key chain; because our target is a teens and youth, we do not want set up the price too high.

B. Channel of Distribution

We are going to divide the same quantity of our product to our team member, then we use direct marketing as our main strategy. We are planning to give everyone who helping us in introducing the product a Rp. 5.000 as a comission. And all about ordering and delivering are excluded from their responsibilities, it is ours. Hopefully this would stimulate the selling of our product.

C. Promotion and Advertising

The promotion and advertising strategy are :1. Direct marketing2. Mouth to mouth3. Poster in wall magazines4. Website (Facebook, Twitter, Kaskus, Blog)5. Direct message (SMS, e-mail)6. Etc

VII. OPERATIONS PLAN

A. Method of Production

Our method of production is simply by creating a design for products (In this project Tee Shirt and Keychain) and ordering the product from trusted printing business. We are using economic of scale whereby we can cut some cost in production.

B. Quality Control

Our Quality control is by assuring and failure testing the design and production of products to meet or exceed customer requirements. However we also assuring our quality by selected high quality assuring tee shirt printing business.

C. Customer Supports

We provide customer supports by replacing malfunction or broken Keychain or Tee shirt. And we also provide size changing if the size of tee shirt is not suitable for the consumer however it depend on its tee shirt size availability.

VIII. Financial Plan

A. Capital Requirement

Source of fund of this company is came from the members of this company. For the leader of company, he invest 20% of total investment for running business. Then the rest of its member will invest 16% from the tolat of investment. All the source of fund will directly allocate for the production of company.

B. Overview of Financial Projections

The financial projections are prepared in order to know when the breakeven point of this company will happen. Also how much the profit company will get after all the product of company are sold. That is why the the financial projections is made.

C. Payback and Exit StrategyThe payback period of investment in this company is occur when the half of all the product are sold. If all of the product are sold then company will get the expected profit that we already figure in financial projection. On the other hand if the product are not sold the each of member in this company will face the loss.

FINANCIAL PLAN

Balance Sheet

In Beginning Period

ASSET LIABILITIES & OWNER’S EQUITY

Current Asset Liabilities - Cash* 2,100,000 Owner’s equity 2,100,000

Total Asset 2,100,000 Total Liabilities & owner’s equity

2,100,000

Income Statement

For Ending Period

Sales* 3,800,000

Cost of goods sold* 1,955,000

Other expense 145,000

Net Income 1,700,000

For the profit , we divide the net income equally, which is:

= Rp 1,700,000 / 6

= Rp 283,333.33

*assumption in cash

Investment each member = 350,000

*assumption in sales

1 T-shirt = 55,000

1 Key chain = 5000

*assumption in COGS

1 T-shirt = 28,000

1 Key chain = 2750

A. Supplier detail T-Shirt factory

Name : Mr. StefanusAddress : Gedung Mugi Griya Lt.2 Jakarta Timur

Keychain SupplierName : Mr. BasanEmail : tsubasan11@yahoo.com Phone Number : 08197244456Address : Jl. KH Syahdan. gg keluarga no 39s Jakbar 20811, Indonesia

IX. CRITICAL RISK FACTORS

In tee shirt or Keychain business our risk is not too high however our risk factors are including failed in production where the tee printing business failed to printed our desired tee shirt design [Colors or design] and don’t take any responsibility on it. We also need to be careful in sizing area and research on most demanded tee shirt size

Entrepreneurship Timeline

TIME DESCRIPTIONPERSON IN CHARGE

November 09 2009First Revision for Shirt and Keychain Mikky

November 11 2009Second Revision for Shirt and Keychain Mikky

November 9 - 12 2009 Searching for Supplier Anggra and Theo

November 11 2009Keychain Production Finished

November 13 2009Fixed Supplier and DesignStart Selling Pin All

November 16 2009 Production Starts Anggra and Theo

November 17 2009 All Financial Report Conducted

Dhini

November 30 2009 Shirt Production Finished Anggra and Theo

November 30 2009 Start Selling Products Asti and Diva

December 14 2009 Deadline for Selling Products Asti and Diva

December 14 2009Conduct all financial report

All