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Antigua Guatemala Coffee
Antigua Guatemala International (AGI) will be a manufacturer and exporter of Guatemalan coffee to Japan and the global. AGI will use a new system in the food and beverage industry to offer Antigua Guatemala coffee in a time-efficient and convenient way. AGI will provide vendors, retailers, and cafes with the ability to buy freshly brewed Antigua Guatemala coffee. It will be a high quality option to the institutional coffee and fast foods markets. It will give its patrons the finest cold and hot beverages, specializing in Antigua Guatemala coffee and other custom made drinks. Additionally, it will offer fresh-baked pastries, soft drinks and other confections. Seasonally, AGI will add frozen Antigua Guatemala coffee. It will compete with companies such as Wallenford Coffee Company and Blue Mountain Coffee, which have already established a presence in Japan. The business will focus on two major target markets:
Coffee shops and restaurants
The captive consumer: an individual in a restricted environment not allowed conveniently leaving and returning while looking for refreshments
Antigua Guatemala International will penetrate the captive and commuter markets deploying mobile cafes in the most accessible and logical locations within Japan. The mobile facilities will be designed to serve two-sided traffic. In addition, it will handle people who order cups of Antigua Guatemala coffee in less than the required time to visit the national or local chains. Besides providing an extensive menu of delicious items and a quality product to foster customer loyalty and publicity, the business intends to donate at least ten percent of its revenue to local charities determined by customer choices (Abrams, 2010).
Antigua Guatemala International financial picture appears promising. It is already operating a cash business in different cities, it will require less initial costs than many starts up do require. The start up process is labor-intensive; the business is aware that it requires a high level of talent. The greatest differentiation between this business and other players will be the financial investment in its employees. For the purpose of this business plan, the capital expenditures of equipment and facilities have been financed. The company will have minimal inventory at hand in order to take advantage of the price drops and keep the products fresh. Antigua Guatemala International projects the initial combination of long-term financing and investments of $450,000 to conduct it without the need for additional debt or equity investment, beyond the purchase of facilities and equipment (Blackwell, 2011). This means that the company will grow a bit slower than it might be possible. However, it will be a strong and financially sound growth driven by product demand and customer request.
Antigua Guatemala International intends to become a new version of Starbucks by acquiring thousands of millions of dollars via private offerings and an initial public offering. These would enable the company to open more facilities every day in the Northern, Western, and Midwest cities. The company runs a risk as competitors would emerge and create a foothold on the community before or in the process of establishing Antigua Guatemala International (Finch, 2013). This will cause a possibility for a drain on revenues and a dramatic increase in the advertising costs to maintain market share. With the knowledge of the risk and creating plans for them, the company has an edge required to make the business successful.
The mission is to fulfill the needs and wants of customers for delicious nutritious meals, high quality Antigua Guatemala coffee and excellent services.
The vision of the business is to be the supplier of preference in Japan and across the world
2. Nature of business
Antigua Guatemala International will be a manufacturer and supplier, specializing in Antigua Guatemala coffee. It will use a new system, which has never been seen in the food and beverage industry. This system will enable it supply Antigua Guatemala coffee in the most efficient way to Japan retailers.
3. Customer profile
Antigua Guatemala International Company will target tow major market: the everyday commuter and the captive consumer. These people always want a cup of Antigua Guatemala coffee or other custom-made drinks inconvenience. These customers range from students to working professionals. Families are also likely to visit the Antigua Guatemala International in pursuit of refreshments while socializing. The company caters for people of all ages and different incomes (Abrams, 2010).
4. Current market
A trend towards unique coffees has been developing for quite some time now. Specialty coffee like Gloria beans have always been there, but people started buying espresso machines for their offices and homes (Abrams, 2010). This led to the emergence of espresso bars; along came Antigua Guatemala International, which supplies these bars with a special brand of coffee. It is the quintessential bastion of the professional customer who has control over the taste and smell of the beverage he wants to drink. These consumers have helped push Antigua Guatemala International in global sales and have the desire for refreshing, especially freshly brewed Antigua Guatemala coffee. Recently, the introduction of beverage dispensers have spit out traditional cappuccinos in flavors like French vanilla and consumers are paying premium prices for standard beverages. The market is good for Antigua Guatemala coffee, which provides high quality, freshly brewed Antigua Guatemala coffee in a convenient environment. Its prices are also competitive to the national coffee manufactures and suppliers.
Drawing from the industry statistics, the consumption of Antigua Guatemala coffee is growing rapidly. The company anticipates opening more outlets and doubling revenues in the next five years. This is the Antigua Guatemala coffee consumer market. The business targets the consumer segment and metropolitan where coffee shops are concentrated. Over three million commuters drive to work every day in this market. From the statistics, an estimated 50% are drinkers of coffee (Blackwell, 2011). This gives Antigua Guatemala international a substantial daily target for its items. Looking at the statistics, the numbers are increasing every year.
5. Description of product or service
The Guatemala highlands produce several of the world's most distinctive and finest coffees. The mountain basin environment of the beautiful city Guatemala Antigua creates the most distinguished of the world coffees: Antigua Guatemala coffee. This coffee combines complex nuance (spice, smoke, flowers and sometimes chocolate), with acidity varying from austerely powerful to gently bright. The prominent soft Antigua Guatemala coffee is the Coban brand. It is admired for its deep, gentle rounded profile, and full body.
6. Marketing Strategy
The company will place its facilities in high visibility locations and areas that can be easily accessed by retailers. The outlets will be located close to shopping facilities and in the middle of major cities where each coffee shop can access. This will enable them catch a diverse range of customers including coffee shops and individual buyers of the product. Therefore, the Guatemalan coffee is very eye catching and unique that will be a branding attribute of its own (Abrams, 2010). The business will implement a low cost advertising campaign driven by radio. It will depend on establishing relationships with charities, schools, and corporations to offer substantial free publicity because of the community support initiatives. Whilst making charitable contributions to such institutions, the business will obtain word out to the partners, faculty, and students about AGI. Word of mouth has previously demonstrated to be the most useful advertising program that any business can use. Additionally, the media are expected to be extremely willing to promote the charitable components of AGI and offer the opportunity for further exposure every time the company writes a check to another institution.
The Antigua Guatemala coffee market is projected to expand as young Japanese people prefer non-alcoholic drinks and wholesome entertainment. They also seek for healthier eating habits, which credits the company as it has a culture of ensuring minimal levels of calories and fats in its offerings.
Demographic and social changes
Coffee and intake of Antigua Guatemala coffee has changed dramatically over the past few years. Among the largest change in the sector includes the introduction of the system of single serve brewing for home use. Now, customers are able to customize most beverages including coffee by use of machines offering levels of flexibility and variety not experienced in the past. Besides, Japan and the entire global market offer a great market for the company.
This section will use Michael Porters five forces model to highlight macro factors influencing Antigua Guatemala coffee House.
Threat of substitute products: Other substitute beverages include fruit juice, soda, tea, and alcoholic drinks. In the confections, substitutes include doughnuts and muffins from other pastries. Places offering a chat, hang out, or even a relaxation include fast food places, teahouses, sidewalk cafes, pubs, bars, and ice cream parlors. Accordingly, due the large number of substitutes, the company is likely to face high threat, which appears to be increasing day by day.
Threat of new entrants: the company faces the more recent and ongoing threats of new entrants of companies such as Wallenford Coffee Company and Blue Mountain Coffee. In the Japanese…[continue]
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