BUSINESS DEVELOPMENT PLAN FOR DIVERSIFICATION (CASE: QUEENBEE BOUQUET TO EASTER EAR)

• Main Author: Esterina Sidabutar/ 29116215, Desi
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/26511
• Institution: Institut Teknologi Bandung

Queenbee Bouquet is an artificial flower made by acrylic handmade product with online based. However, after running almost one year, Queenbee Bouquet faced an increasingly complex market, increasing of competition among competitors, and decline stage in product life cycle that impacted company in unprofitable condition. This condition left company with unutilized asset. However the company has a strong belief that these unutilized assets have potential to generate profits in others industries. Then, company decided to do diversification based on Ansoff matrix. <br /> <br /> Diversification require to develop new product in new market. Thus, company propose a strategy by entering fashion accessories industry with brand Easter Ear. As a start-up company, Easter Ear faces low product performance and low brand awareness. Thus, this study objective purpose is to scale up Easter Ear existence through Business Development Plan. <br /> <br /> This study is using qualitative research obtained from interview and questionnaire, company personal document, and academic journals. This data will be used to analyze the company's environment through several analytical tools. Company external analysis would be using: 1) 4 PEST, it is found that in this era the competition among competitors is tight and company should compete in smart way; 2) Market Insight, it is found that people are have an exact willingness to pay among acrylic flower bouquet and acrylic earrings; 3) Competitor analysis, it is found that Easter Ear have disadvantages in color combinations, brand and packaging; 4) Porter’s Five Forces, it is found that Easter Ear competitive force is low. While company internal analysis would be using: 1) Business Model Canvas, it is found that company old BMC require a changes of key activities, key resources, value propositions, customer segments, and revenue stream based on “inside-out” open business model by Osterwalder; 2) Value Chain, it is found that in procurement which is a part of support activity, Easter Ear only spent a small cost in production because company still have an unutilized asset, while in primary activity Easter Ear provide a repair and COD services; 3) Resource Based View, it is found that Easter Ear has a strengths in Material which is using unutilized asset, physical which is owning a home studio, camera, laptop, technology which is capability using Canva (photo editor), human capital which is skilled, creative idea, content builder, and relational capital which is a good relationship between customer and supplier, while Easter Ear has weakness in capability of workers to finish the job desk in accordance with the schedule. The result of company external and internal analysis would help company to identify SWOT. <br /> <br /> SWOT will be used to elaborate TOWS Matrix that would contains of several potential strategies to achieve company objective purpose. Easter Ear proposed strategies are create an interest advertising by using Canva and build an emotional descriptions, increase the amount of investment from Rp120,000 to Rp900,000 each months, collaboration with photographer who has a model agency, and endorse an influencer in fashion accessories field. Then, the strategy will be put into actions plan table also consist of the budgeting plan outlined in the end of the research. <br />