Uploaded by Tanusia Arumugam

Feasibility Study example NU

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FEASIBILITY
STUDY
Background of
case
The NULearning Resource Centre
(LRC)
• 5th floor of the Resource Centre
• 10-15-minute walking distance –
canteen
• rules prohibiting food and beverages
in the library space
• Hindrance factors: lack of
convenience, accessibility and a
unique selling point (USP)
Problem
Statement
Despite spaces allocated in the LRC for self-study
and group discussions, most of these spaces are
often overlooked by students and have undiscovered
potential.
• either poorly managed or have dull tasteless
settings
Students often make visits to cafes outside of
campus- creates additional costs for students who are
trying to live on a budget.
• sensitive to the ambience and quality of their
learning environments in augmenting their
efficiency of studying.
Entrepreneuria
l Opportunity
Imperial College UK.
• a library coffee bar and themed co-working spaces
Library cafes:
International School of Beijing.
• incorporate foodservice elements into a modern
library setting, which creates a more immersive
experience for students looking for a place to
engage in researching or networking activities.
Co-working spaces with designated themes:
• Individual study pods or specially segregated areas
• to discuss assignments and hold meetings, and at
the same time an on-site campus attraction for
students.
Komune Co-working, Bangsar.
Market segmentation and targeting
Geographic and
demographic
Behavioral and
psychographic
Library Users
Student and staff of
Nilai University
Mass market
Coffee Enthusiasts
Students from
surrounding
universities, Residents
of Nilai Town (Visitors)
Undifferentiated marketing
Niche marketing
Richiamo, Taylors University Library
STRENGTHS
On-campus
Affordable prices
Moderated environment
Conducive studying environment
Privacy for users and student exclusivity
OPPORTUNITIES
Unfilled niche in campus
Limited threat of new entrants
Rarity of co-working spaces in Nilai area
Engagement with Hospitality students
Trends of minimalistic modern architecture
Emerging urban contemporary lifestyle
Readily available business model
WEAKNESSES
Slightly distant from student activity route
Paid service
THREATS
Low consumer switching cost
High bargaining power by buyers
Limited spending power of students
High bargaining power by suppliers
Changing governance and policies by
University management
SWOT
ANALYSIS
PESTE Analysis
Politico-legal
• the rules and policies stipulated by the University
management - influences and limitations on the
operating hours, prices, market availability, etc.
• statutory bodies for food safety and sanitation compliance with measures, such as hazard analysis
critical control points (HACCP) and COVID-19 pandemic
standard operating procedures
Economic
• purchasing power of the university - width of the potential
is dependent on the consumer spending power and
purchasing habits of students and staff
• the general Malaysian economy- influences the
readiness of youths to enter university and the allowance
PESTE
Analysis
Sociocultural
• popularity in urban contemporary
lifestyles - lifestyles of younger
generations and city dwellers who are
sensitive to the ambience and
experience
• Social media-conscious individuals also
seek opportunities for social media
exposure.
• emergence of modern design-inspired
campuses around the world - demand
for better architecture and design
Technological
• cashless payments - automated billing
via student accounts in universities
• minimal resistance- information
technology (IT) literate
Environmental
• setting and ambience, rather than the
natural environment - popularity of
minimalism in coffee houses can results
savings.
• location of the library and its distance
from the main route of the student
activity - marketability
Competitive Analysis – Strength-Weakness
analysis
Proposed venture
Library Coffee Bar and
Co-working Space
Competitors
Location
Product attributes
Price point
Coffee houses and beverage shops
On-campus, library
Midscale caffeinated and
noncaffeinated beverages,
co-working space,
refreshments
Midscale
Nilai University staff and
students
Target market




Strengths



Weakenesses

On-campus
Affordable prices
Moderated
environment
Conducive studying
environment
Privacy for users and
student exclusivity
Similarity with
Starbucks and
Borders model
Slightly distant from
student activity routes
Paid service
Canteen Beverage Stall
Starbucks, Mesa Mall
On-campus, canteen
5 minute drive from campus
Budget caffeinated and
noncaffeinated beverages
Premium quality affeinated
and noncaffeinated
beverages
Public use space for
students
Co-working space,
refreshments
Budget
Premium
Free
Nilai University staff and
students
Mesa Mall visitors and
residents
Nilai University students
Midscale
Freelance and selfemployed individuals in Nilai
area








Co-working spaces
Student Activity Room /
Kotak Kita – Coworking
Space and Cube Shop
Common Room
10 minute drive from
On-campus
campus
On-campus

Highly affordable by

students
Open-air environment
Close to student traffic 
Well-known among
exisiting markets
Strong brand loyalty
High quality and wide
assortment of
beverages
Conducive
environment for
studying
Inconsistent product
quality
Questionable hygiene
Inconducive
environment for
studying
Off-campus
Unaffordable for most
university students
Lack of privacy











On-campus

Close proximity to
student acitivity routes
Free-of-cost
Available 24 hours a

day
High student traffic
Unmoderated
environment
Poor architecture and
design



Affordable prices
Conducive
environment tailored
for working and
studying
Set meals and menus
provided
Off-campus
Lack of media
exposure
Lack of exclusive
privacy
Competitive Analysis - Porter’s Five
Forces
Porter’s Five Forces
Industry rivalry of existing competitors
Threat of new entrants
Threat of substitute
Bargaining power of buyers
Barganing power of suppliers
Intensity
Strategies – Marketing Mix
7P Strategies
Tactics
Offer ample menu options ranging caffeinated and non-caffeinated
beverage
Rotate seasonal items or special menus
Product
Offer simple and easy-to-eat treats in menu
Ambience and amenities of the working space
Complimentary free-flow simple refreshments
Campus advertising
Social media and intranet advertising
Promotion
Price
Co-branding packages with the library
Collaborative workshops and events with Hospitality and Tourism
students
Midscale price positioning
Price-bundling with co-working space
Delivery services and takeaway
Place
Food delivery services for external customers
Workshops and events venue for university activities
On-campus delivery and pickup.
Complimentary refreshments
for co-working space users.
Co-working space and
coffee bar as workshop
avenues.
Simple but ample menu with
seasonal rotations.
Strategies – Marketing Mix (cont.)
7P Strategies
Tactics
Adapt service model of Starbucks
Offer sophisticated brewing methods
Process
Automated payment and check-in process
Semi-self-service system
Hire competent and skilled staff
People
Hire part-time staff from School of Hospitality and Tourism
Integrate design elements into branding
Physical Evidence
Investing in capital expenditure that matches color scheme and theme
Create an environment resembling modern cafés and bookstore
Auto-billing and cashless
payment systems.
Rustic and minimal design.
Sophisticated brewing experience.
Hospitality students as parttime workers.
Q&A
End of presentation
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