Dr. Lwanga Martin Mwanje
Soon after graduation Mulungi was eager to launch a personal business in the food industry. During her time at the university she had attended classes offered by the Business incubator that taught students how to establish successful enterprises. In one of the classes she was advised by a lecturer, “Every successful business needs a business plan.”
So what was her business plan going to be like? After researching for a market opportunity, Mulungi noticed there was a lack of sugar free jams and butter on the market. She decided to exploit this gap. “This is a niche market good for business growth.”
So, she came up with a business plan. First, she decided on a business vision. In the entrepreneurship classes offered at the Business School she had been told the vision must be inspirational. After much debate she came up with this: “To be the preferred choice manufacturer of sugar free jams and butter!”
Following that Mulungi came up with a mission statement, clearly defining what her business would be doing. Her business lecturers had advised her a good mission statement should be clearly distinct specifying what the business was going to do aside from any other. Drawing from her vision statement, she decided her mission statement as: “to be the leading producing of sugar free jams and butter.”
Because she was going to work with others Mulungi thought of the behavioral values that would make her enterprise successful. First, it was clear without hard work her business could not thrive. Then she realized team work was critical for business success. Mulungi had heard of many businesses that had collapsed due to fraud. She decided on integrity as a key value. And finally, she concluded her business would be innovative sensing and taking advantage of market trends. In brief her value statement read: hard work, team work, integrity and innovation. Anybody who worked with her had to embrace and adhere to those values.
If her business was to be successful it needed objectives. Mulungi came up with two concrete objectives. First, was to establish presence as a reliable market leader in the production of sugar free jams and butter. Secondly, with the first objective accomplished, make the business profitable. Thirdly, expand the business by adding new product lines.
Mulungi knew for her business to succeed she had to be clear on the customers it was going to target. Her research had indicated that it was the middle to upper class market that would be most keen on her product. This was a highly competitive market which she knew she had to court with the best product. She decided to brand her products in the most appealing way. She would court this market through advertisements largely on socio media streams like Facebook, Instagram and twitter since many were to be found there most of the day.
But how would she access this market? Mulungi decided she would sell directly to retailers – especially super markets. However, because customers were beginning to access products on the internet she would also set up a web page, widening her market reach.
Then for a price for her product she did some calculations and eventually came up with a price that would meet her costs of production, and make her break even after attaining a certain volume of sales.
With all this done, Mulungi came up with a staffing plan. For a start up like hers she had to manage costs. Mulungi decided she would start alone, relying on free-lance support as and when needed. Finally, she came up with a financing plan, clearly showing her profit and loss forecast over a three year cycle.
Her business plan done, she knew it was time to start.
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