GAC012 Assessment Event 2: Project-Written Report
Business Plan:
Juicy Juicy
Student’s Name:
Kim Hyun Jung
Student ID #:
Teacher:
Mr. Choi
Due Date:
23 July 2012
Word Count:
2176
Table of Contents
Executive Summary ...................................................................................................................................... 1
1.0
Introduction ....................................................................................................................................... 2
1.1
The objectives of the research ....................................................................................................... 2
1.2
The context.................................................................................................................................... 2
1.2.1
Prime function ....................................................................................................................... 2
1.2.2
Key competitors .................................................................................................................... 2
1.2.3
Legal structure...................................................................................................................... 2
1.2.4
Choice of Business ................................................................................................................ 2
1.3
Background knowledge................................................................................................................. 3
1.4
Thesis Statement ........................................................................................................................... 3
2.0
Method .............................................................................................................................................. 4
2.1
Data collection .............................................................................................................................. 4
2.2
Research objectives from data collection ...................................................................................... 4
3.0
Findings............................................................................................................................................. 5
3.1
Key success factors ....................................................................................................................... 5
3.2
SWOT analysis of the business and an alternative ....................................................................... 5
3.3
Summarization .............................................................................................................................. 6
4.0
Discussion ....................................................................................... Error! Bookmark not defined.
4.1
Interpretation ................................................................................................................................. 7
4.2
Assess the effectiveness of the research........................................................................................ 9
5.0
Conclusion and recommendation ...................................................................................................... 9
5.1
Identification and Justification ...................................................................................................... 9
5.2
Competitive edge ........................................................................................................................ 10
Reference List ............................................................................................................................................. 11
Appendices.................................................................................................................................................. 12
GAC012 AE2
Kim Hyun Jung
Executive Summary

Purpose: To prepare for the successful starting in the business by planning my business
environments.

Thesis statement: To succeed in my business, the key factors were the proper location for the
store and the reasonable price which depends on the freshness of fruits because of their supply.

Method: I used the Internet to research other competitors’ websites and interviewed other two
main competitors of my business. Through this method, I got lots of important information by
asking questions.

Findings: I found some SWOT analysis of my business which led me to get key success factors
and also got plenty of information from the interviews.

Key conclusions: I chose plan A, which is located in the Hanyang University.

Recommendations: I would like to consider external factors such as the price of juice. It is one of
important matters to think about. If the supply of the fruits is not enough to handle the number of
customers, it might give a lot of difficulties to my business.
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1.0
Kim Hyun Jung
Introduction
1.1
The objectives of the research
To create a successful business selling smoothies and juices and become popular enough
store to do franchise within 10 months.
1.2
The context
1.2.1
Prime function
To sell smoothies and juices to the customers.
1.2.2
Key competitors

Jamba Juice: Making the smoothie with fruits, soybean milk, and yogurt.

Smoothie King: Mostly selling functionally healthy drinks, especially
smoothies.

1.2.3
Mangosix: Most of the juices are based on the mango fruit.
Legal structure
I would like to start in partnership because opening the store might cost a lot of
money. In that case, my father will be my partner because he can support me financially when I need to
buy lots of fruits or other ingredients. Since he likes to drink organic fruit juices or healthy drinks, I think
he will be interested in my business and give me some advices too.
1.2.4
Choice of Business
The reason why I chose this business is that there are not enough juice stores in
Korea. These days, many people live a busy life and they don’t have enough time to take care of
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Kim Hyun Jung
themselves. To solve this matter, this store will help people to stay healthy by freshly squeezed fruit
juices without putting any artificial sweeteners. In addition, unlike other stores, it has a specific time zone
that the price of the juice will go down, depending on the freshness of fruits.
1.3
Background knowledge
1.3.1
SWOT analysis is important to the business. By thinking about the Strengths, Weaknesses,
Opportunities, and Threats of your business plan, you can predict some pro and cons of your plan,
In addition, by scanning your business environments, you will be sure about your business and
will be able to prepare for it too based on the research you did on your business.
1.3.2
Before you open your own business, making the business plan is important because it might give
you a success in business. When you plan your business, mostly you are setting the goal and
strategy which is about your business and it affects your business mind too. If you were writing
the business plan specifically, there is a lot of possibility that you are going to achieve that goal. .
1.4
Thesis Statement
The Key factors of my business will be the location to open the store, freshness of fruits,
and a reasonable price. After doing this research, I expect that I will be able to find a proper location for
my juice store and hope that it gives lots of information for setting the price of the juices and smoothies
which depends on the freshness of fruits.
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2.0
Kim Hyun Jung
Method
2.1


Data collection
Internet

www.mangosix.co.kr

www.jambajuice.com

www.smoothieking.com
Interview

Ahn Dong Woon, Manager/ Mangosix in Hanyang University/ 010-9173-8213/
zddalgiz@naver.com

2.2

Ahn Seoung Young, Staff/ Jamba Juice in Gangnam Station/ 02-2051-8944
Research objectives from data collection
Internet

www.jambajuice.com – provided information about what kinds of juices and smoothies
are on the menu and what other ingredients or fruits they make a juices or smoothies
with.

www.mangosix.co.kr – provided information about the membership cards.

www.smoothieking.com –provided information about other ingredients except the fruits
that go in to the smoothies such as cereals, nuts or other things.

Interview

Mangosix in Hanyang University Manager – provided detailed information about the
Mangosix from the concept of the brand to how much do the profit for now.
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Kim Hyun Jung

3.0
Jamba Juice in Gangnam Station –provided basic information of Jamba Juice.
Findings
3.1
Key success factors
The key success factor of my business is the location, which is Hanyang University and
Gangnam Station where lots of students and people pass through. In addition, freshness of fruits and
reasonable price are another important key success factors. If I sell the juice, based on the limited fruit
supply, because of the freshness of fruits, the customers will think it is unique than other juice store and it
will make them feel special. In addition, the price will change, depending on the freshness of the fruits too.
3.2
SWOT analysis of the business and an alternative
Plan A – Hanyang University
Strength Weakness



Provide differentiation strategy
such as selling limited amount of
fruit juice so that it makes
customers to feel more special than
other people.
The price of the juice should be as
cheap as possible.
Partnership structure can access
more capital, so that I can buy
more fruits or other things that
need.



Do not have enough experience.
Might have some conflicts between
the partners when deciding
important matters.
There is a university regulation
before and after opening the store
in the university.
Opportunities Threats


Most of the famous juices and
smoothies store do not have good
customer services such as
membership card.
Many university students can be a
customer.
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



Other café or market which sells
the juice in competitive prices.
Famous juice and smoothie store.
Poor financial condition of
university students.
Price fluctuation depending on the
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Kim Hyun Jung

fruits supply(bad weather, high
demands, or economic problem)
Marketing: Using social network
site like Facebook, Twitter, or
university notice board to promote
the store.
Plan B – Gangnam Station
Strength Weakness



Provide differentiation strategy
such as selling the limited fruit
juice so that it makes customers to
feel more special than other people.
USP: Changing the price of juice
depends on the freshness of fruits
(the cost of the juice will go down
as time goes by).
Partnership structure can access
more capital, so that I can buy
more fruits or other things that
need.


Too expensive building rental
around Gangnam Station.
There are many stores which have
similar selling points and strategy
as mine.
Opportunities Threats



3.3
Marketing: Using the subway
station advertisement board.
Most of the famous juices and
smoothies store do not have good
customer services such as
membership card.
Many people are using Gangnam
Station and those people can be a
customer.




Famous juices and smoothies store.
The awareness of my store is weak,
compared to the other stores in
Gangnam Station.
Global financial problem.
Price fluctuation depending on the
fruits supply(bad weather, high
demands, or economic problem)
Summarization
Question
#1 Crowded time
#2 Best product
#3 Preparing time
#4 Place preference
#5 Reason why choose
this place
#6 Reason why choose
this brand
Interview 1
Question
12:30p.m~2p.m
#1 Crowded time
Blue lemonade,
Mango coconut
7:30a.m~8a.m
No (Hanyang
University)
Has acquainted with
Hanyang University
Brand founder’s
qualification
#2 Best product
#3 Preparing time
#4 Place preference
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Interview 2
12p.m~1p.m,
Evening
Strawberries wild
6:40a.m
Yes (Gangnam Station)
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GAC012 AE2
#7 Ingredient
4.1
Kim Hyun Jung
From Philippines,
Vietnam, Thailand
Interpretation
Firstly, two different interviews show that, one of the most important key factors for
successes in business is the proper location for the store. When you see the Interview 2,
which was conducted in a juice station which is located in the Gangnam Station called
Jamba Juice, a staff said she likes the store location.
The reason why she is satisfied with that place is that there are lots of people walking
around, especially near the Gangnam Station and Shinbundang Line. In addition, many
commercial buildings such as Samsung Electronic Building and Meritz Tower are located
in the Gangnam area and many employees will come by my store particularly in the
lunch and dinner time. In addition, there is some famous English Academy called YBM,
near the subway station and I am sure that many students will visit my store to buy fruit
juices if I open it near the Gangnam Station (The red arrow one).
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Let’s move to the interview 1 which is located in the Hanyang University, the Mangosix
manager said he hates the location of the store, because the current Mangosix place is
located in the place without people and that’s the reason why there are not many people
including the university students visiting to the Mangosix. Considering these matters, I
decided to build my store between the main buildings of Hanyang University, so that
many students will stop by my store and buy drinks. To be specific, the reason why I will
open my store in the red arrow place is that near that place, there are Social Science and
Living Science buildings, Cyber University, and Administration Graduate school where
lots of students listen to the lectures every time. In addition, there is a Library and many
students who are studying will drop at least once to buy a juice in my store.
Secondly, another factor to consider is the reasonable price of the juice menu. Based on
the original fruits cost, the price of the juice should at least 4500won. In the case of the
Gangnam Station, I can start the juice price in 6000won, because many juice stores
around the subway station have similar prices as this and I could discount the cost of the
juice as time goes by depending on the freshness of fruits. However, based on the
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Kim Hyun Jung
analysis of the Hanyang University environment, I have to start the juice price in
4300won, due to the customers’ financial condition and their student status. Since I set
the price very low contrary to the Gangnam Station, I have to think about more on
changing the juice price in Hanyang University.
4.2
Assess the effectiveness of the research
In the case of opening the juice store in Hanyang University, students’ poor financial condition
might give unexpected situation to my juice store. Even if I set the price of the juice cheaper than
other similar store, if Hanyang University students do not have enough money or do not want to
spend their money in buying any juice, my juice store will get hard time in selling juices. Other
factors to consider are that the price of the juice will be change often, if there were some hard
time in harvesting the fruits due to the bad weather or any other unexpected matters. This
situation should not be happen, because if the customers did not buy the juices, because of the
raised price, I cannot pay my high rent fee of store in Gangnam Station.
However, there are some good ways in my business that using the school notice board to promote
my store to students will be a great opportunity. In addition, since there are lots of people walking
around both Hanyang University and Gangnam Station, I think I secure many customers.
5.0 Conclusion and recommendation
5.1 Identification and Justification
Based on the information of these researches, it is better to start the juice store in the Hanyang
University. The main reason why I chose this location is that opening the first store in the
Gangnam Station where rental fee is more expensive than other places and there are many similar
juice stores already, resulting in a lot of risk. Even if I open my juice store there, there is a high
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Kim Hyun Jung
possibility that I cannot handle the expensive rental fee and survive among many popular juice
stores which have high awareness from people. It is much better to start in the Hanyang
University to raise the recognition of my store and sell the juices in cheap price as much as
possible, targeting the Hanyang University students and professors.
5.2
Competitive edge
One of the best business factors in my business is that I can use Hanyang University notice board
to advertise my juice store. By using the University board, many students will see the sign and
they might come to my store. In addition, since I decided to make the cost of the juice cheaper
than other competitive juice stores, I think many students will buy my store’s juice because of
their financial and student’s position. In addition, opening the store inside of the University gives
lot of advantages than other outside of school stores such as retaining the school student
customers. If the juice store which sell the cheaper price of juice than other brand juice store,
most of the students will choose my stores.
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Reference List
Ahn, Dong Woon. Personal interview. 8 July 2012.
Ahn, Seoung Young. Personal interview. 9 July 2012.
Jamba Juice of Sites. Jamba Juice Company, n.d. Web. 9 July. 2012.
Smoothieking of Sites. Smoothieking Franchises Inc, n.d. Web. 11 July 2012
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Appendices
Interview 1
Q: 손님이 많은 시간대는?
Mr. Ahn: 손님이 많을 때는 12 시 반에서 2 시 사이.
Q: 보통 학생들이 많이 이용하나요?
Mr. Ahn: 학생들도 굉장히 많이 이용하지만 12 시 반에서 2 시 사이에는 교직원들이 위에 청킹에서
밥을 먹고 내려와서 디저트로 먹는 시간이거든요. 그래서 12 시 반에서 2 시 사이에 학생들하고
겹치니까 가장 많고요. 장사하면서 가장사람이 많은 건 GAC 쉬는 시간이에요.
Q: 인기 많은 메뉴는?
Mr. Ahn: 두 가지에요. 새로 출시한 블루레몬에이드하고 망고코코넛.
Q: 재료가 언제 들어오나요? 아침에 일찍 문을 여는 것 같던데.
Mr. Ahn: 7 시 반에서 8 시 사이에 문을 열거든요. 재료는 오전에 들어오고 망고 같은 경우는
냉장보관 했다가 집에 가져가서 집에 서 까서 통에 담아서 와요. 여기가 수도시설이 안 좋아서
집에서 다 까가지고 통에 담아와서 망고주스를 아침마다 만들어요. 그리고 중간중간에
망고주스가 떨어지면 또 재료를 가지고 또 만들고 이런 식이에요.
Q: 망고는 보통 어디서 오나요?
Mr. Ahn: 우리본사가 필리핀, 베트남, 태국에 망고농장과 계약을 맺어서 본사에서 직접 수입을
하고요, 본사는 그걸 받아서 창고에 가지고 있다가 저희가 요청을 할 때 마다 보내주죠.
Q: 한양대에 지점을 연 이유?
Mr. Ahn: 저는 이미 한양사이버대학교에서 카페를 하고 있고, 그리고 나는 한양대 출신이고.
한양대가 아는 사람도 많고 하다 보니까. 그리고 한양대에 오픈을 하면 장사가 항상 잘되니까.
근데 여기는 좀……장사 안 되는 편이죠.
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Q: 이 장소 지점이요?
Mr. Ahn: 예. 이유는 GAC 때문이에요. GAC 가 학생들이 여기에 강의실을 만들어서 500 명 이상
상주하기로 했는데 저쪽 병원 사무실이 안 나가면서……그래서 다음학기나 아마 나가게 되면
학생들이 늘어날 것이라 보고 그 때 매출이 더 늘어나겠죠. 그것 때문에 그래요. 들어왔을 때
처음에 얘기를 들은 게 GAC 학생들이 500 명 이상이다. 500 명을 대상으로 장사하는 것이 충분히
되겠다 해서 하게 된 거에요. 한양대는 뭐 특별히 뭐 내가 예전에 장사하던 곳이 한양대니까
선택을 한 것이고. 지점장소가 마음에 드나요? 마음에 들지는 않지만 그냥 괜찮아요 그럭저럭.
불편한 점? 학교가 너무 규제가 심해요. 상수도 시설 같은 거나 협조 같은 거, 냉장고 하나를
두어도 보고체계를 복잡하고. 망고식스를 선택한 이유? 보통사람들이 물건을 살 때 누가
만들었는지 보잖아요, 망고식스라는 브랜드를 만든 사람이 이 커피프랜차이즈 계에 마이더스
라는 강훈이라는 사람이. 그 강훈이라는 사람을 보고 이 프랜차이즈를 하게 된 거죠. 그 사람이 한
것 중에 실패한 적이 한번도 없으니까. 그 사람은 간단히 얘기를 하자면, 신세계를 다니다가
스타벅스 코리아를 런칭하려고 했지만 IMF 때문에 실패했고, 그 대신 할리스를 만들었어요.
그래서 할리스커피를 200 점호까지 늘렸고 다른 사람에게 매각하고 다시 스타벅스를 들여왔죠. 그
다음에는 카페베네를 창업을 했죠. 카페베네를 600 호점까지 만든 다음에 만든 게 망고식스에요.
Q: 이미 드라마에서도 홍보가 많이 났던데?
Mr. Ahn: 강훈이라는 사람이 개인 자산도 많다 보니까 연예계 쪽에 친구들이 많아요. 신사의
품격을 촬영하면서 장동건 출연료를 안 줬어요. 출연료 대신에 망고식스 도산사거리점을
장동건한테 줬어요. 조건은 일주일에 한번씩 고소영이 와서 일하는 거 2 시간 동안. 제가 어제께
도산사거리 점을 방문했는데 정말 사람이 너무 많아서 앉아있지 못할 정도로 신사의 품격의
인기가 같이 동반상승 하고 있는 거죠. 우리가 이렇게 외진 곳에 있지 않고 앞에 조금만
나가있었더라면 훨씬 달라졌을 거에요 상황이. 지금 오픈 한 지 3 개월째 되고 있는데 굉장히
망고식스 전체 매장 중에 매출이 꼴지 에요. 콘셉자체가 아무래도 학생들이 먹기에는 좀
비싼가격인데 밖에 나가서 다른 망고식스를 가보면 알겠지만 여기는 4800 원인데 거기는
6200 원이에요. 나는 최대한의 출혈을 감수하고 학생들에게 싼 가격으로 맞춘 건데 그래도 매출이
별로 없어요.
Q: 임대료?
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Mr. Ahn: 지금 한달에 한 3 백만 원정도 마이너스를 내고 있는데 임대료는 2 백만 원씩 내고 있어요.
Translate Interview 1
Q: When is the busy time?
Mr. Ahn: It is about between12:30p.m to 2p.m.
Q: Do students usually come by?
Mr. Ahn: Many students are using it, but around 12:30p.m to 2p.m, professors go up to Chungking to eat
and visit here to eat desert. So the time 12:30p.m to 2p.m, it is busy because the students coincide with
professors. Among them, GAC break time works business well.
Q: What is the popular menu?
Mr. Ahn: There are two, Blue lemonade and Mango coconut.
Q: When do ingredients come? I think you open the store early.
Mr. Ahn: From 7a.m to 8a.m, we open the store. The ingredients come in the morning and in case of the
mango, we do cold storage, take them to the home and pill them all and bring to the store. Since this place
do not have good water supply plant, we do these stuff at home and make the mango juice in here in every
morning. When the ingredients went out, we bring the ingredients and make it again.
Q: Where does mango come from?
Mr. Ahn: Our Company had a contract with mango farms which are located in Philippines, Vietnam, and
Thailand and import the fruits. The Company headquarters send the mango to each branch every time as
we order.
Q: Why did you open the store in Hanyang University?
Mr. Ahn: I already managing the café in Hanyang Cyber University, graduated from Hanyang University,
and I knew many people related to the Hanyang University. Also opening the store in Hanyang University
is always good place to run the business. However, in this place, it is not.
Q: You mean this place?
Mr. Ahn: Yes, the reason is because of the GAC. GAC supposed to make more classrooms so that they
reside more than 500 students but since the hospital did not go out this place… So I think the sales will
increase in the next term when there are more students. Before I opened the store, I heard that there are
500 students in GAC program and I thought it could be a good place to start the business. Choosing the
Hanyang University is that I used to do the business in here. Do you like this place? Well I don’t like it
but so-so. It’s okay. What is the inconvenience? The university regulation is heavy. Even if putting one
refrigerator, the procedure is complicated. Why did you choose Mangosix? Mostly when people buy
product we look at the person who made it. The person who makes this brand is a Midas in coffee
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Kim Hyun Jung
franchise called, Ganghun. He never failed his business. To speak briefly, he made Hollys and franchised
over 200branches and brought Starbucks in Korea and then, he made Cafebene, opening 600 branches
and after that he made the Mangosix.
Q: I have heard that it’s already promoted in drama.
Mr. Ahn: The person, Ganghun has already has lot of personal assets, he has lot of friends who working
in the entertainment business. While filming “The Gentleman dignity”, they didn’t paid Jangdongun, but
they gave one of the Mangosix Dosan branch and the condition was that Kosoyoung should work there
for 2hours per week. Once I visited the Dosan branch, because of so many crowded people, I couldn’t sit
there. If we located in the better place, I think we had a big improvement than now. It’s the time we
opened the store for 3months but we still didn’t show any good sales than other branches. The cost of the
Mangosix is 4800won in here, but at Dosan branch the lowest price is starting in 6200won. It is quite
expensive but I made enough risk by lowering the juice price.
Q: What about the rental fee?
Mr. Ahn: It is 2million won, but we loss about 3million won every month.
Interview 2
Q: 아침에 재료가 몃시쯤 들어오나요?
Miss Ahn: 아침에 6 시 40 분 즈음에
Q: 손님이 많은 시간대는?
Miss Ahn: 12 시에서 1 시 사이에 많고요 저녁시간 때는 항상 많아요.
Q: 가장 인기 많은 메뉴는?
Miss Ahn: 스트로베리와일드
Q: 강남점에 오픈한 것이 마음에 드나요?
Miss Ahn: 네
Translate Interview 2
Q: When do the ingredients come?
Miss Ahn: Around 6:40 a.m.
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GAC012 AE2
Kim Hyun Jung
Q: When is the busy time?
Miss Ahn: There are lots of people between 12p.m to 1p.m and dinner time is always busy.
Q: What is the popular menu?
Miss Ahn: Strawberries Wild.
Q: Do you like that the store opened in Gangnam?
Miss Ahn: Yes.
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