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Environment Friendly Products Made of Bamboo For Daily Household Usage
Environment Friendly Products Made of Bamboo For Daily Household Usage
ON
SESSION 2021-2022
DEPARTMENT OF MANAGEMENT
made of bamboo for daily household usage” submitted to the university is a record
(Assistant Professor) (BBD ITM, Lucknow) and this Mini report is submitted in the
information regarding the project & also for their support in completing the project.
I would like to express my gratitude towards my parents & my college mates for their
However, it would not have been possible without the kind support and help of many
individuals and organizations. I would like to extend my sincere thanks to all of them
stressful environment. Although I am student of MBA It is a two year full time degree
courses. So far this training is scheduled for first semester syllabi of AKTU i.e. (Mini
Thus study will provided me a better opportunity to survive in cut throat competition
with a prosperous existence. I have tried my best to gain out of well framed
circumstances & with the help of experienced personnel who helped me out so for
become possible to them. As being a very confidential functioning many things are
there which can’t be known but on the basis of gathered information and certain hints,
the project has been formed. It may have something missing but I have tried to present
all things what I have received. Although this report has been got checked by different
personnel but after that if there is some shortcomings I expect it to be rectified. So the
whole study bifurcated in different parts. Certain observations & suggestions also
1. INTRODUCTION 1
3. NEED OF INNOVATION 15
4. SOURCE OF IDEA 17
6. COMPETITORS ANALYSIS 29
9. LIMITATIONS 47
10. CONCLUSION 49
11. BIBLIOGRAPHY
INTRODUCTION
In China bamboo fiber has been used to make paper since early times, but in recent
years, bamboo has emerged as an important raw material for the pulp and paper
industry due to the shortage of wood resources. Bamboo paper has a high tear index,
similar to that of hardwood paper, and its brightness and optical properties remain
stable, while those of wood derived paper may deteriorate over time. Bamboo can
also be pulped with less power and chemicals than wood which makes it more
environmental friendly.
The total production capacity of bamboo pulp in China reached 2,4 million tons in
2017, of which 80% of the pulp is used for the production of unbleached bamboo pulp
for household paper grades. A few examples of bamboo paper products are coffee
filters, paper cups, paper towels, toilet paper, cardboard, kraft paper, and bond paper.
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Disposable Bamboo Paper Cups
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BAMBOO PULPING AND PAPERMAKING-THE EFFICIENT USE OF
BAMBOO FIBER
Papermaking is one of out country’s four great inventions. In the Eastern Han
Dynasty, Cai Lun used bark, broken fishing nets, rags, hemp, etc. as raw materials to
produce plant fiber paper suitable for writing on the basis of summing up the
from the Jin Dynasty, bamboo was found to be used as a raw material for
papermaking. As a result, China's papermaking history has also turned a new page.
Professor Chen Lihui from the School of Materials Engineering of Fujian Agriculture
and Forestry University has been ―communicating with bamboo‖ for more than ten
years and has devoted himself to research bamboo, especially the research on bamboo
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BAMBOO PAPERMAKING, ENVIRONMENTAL PROTECTION STARTS
protection, bamboo papermaking, a technology that has been passed down for nearly a
thousand years, has once again attracted public attention. Compared with traditional
few days ago, the reporter interviewed Professor Chen Lihui from the School of
According to Chen Lihui, Chinese bamboo fiber papermaking began in the Jin
Dynasty, and Europeans did not master the technology of making paper with non-
linen materials such as bamboo and thatch until the 19th century. Judging from the
time when the craftsmanship was produced, the bamboo papermaking craft in China
was more than a thousand years earlier than in Europe. At first, the ancients could not
divide the bamboo fiber into filaments, so that the paper produced was rough. Later,
with the advancement of technology, the paper produced from bamboo pulp became
Chen Lihui told reporters the main chemical components of bamboo include cellulose,
necessary to remove lignin and retain cellulose and hemifibres. Compared with wood,
bamboo has a higher density. The cooking liquid is more difficult to penetrate and the
removal of lignin is more difficult. In ancient times, tender bamboos were usually
used for pulping and papermaking. The density of tender bamboos was low and the
lignin content was low, which was beneficial to the penetration of the cooking liquid
and the removal of lignin. With the innovation of pulping and papermaking
technology, the use of bamboo to make bleached bamboo pulp can be cooked with
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deep delignification technology and bleached with multi-stage chlorine-free bleaching
technology, with less carbohydrate degradation, high yield and high strength of
For the paper industry, wood is an excellent raw material for papermaking. However,
our country's forest coverage rate is far below the global average of 31%, and the per
The "Thirteenth Five-Year Plan for Forestry Development" pointed out that
vigorously develop forest tourism, under-forest economy and wood and bamboo
bamboo forests, strengthen the construction of key counties for the development of
the bamboo industry, and strengthen the targeted cultivation of bamboo forest
resources. Develop the bamboo processing industry and improve the intensive
management of the bamboo industry. By 2020, the total output value of the bamboo
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Our country's bamboo resources, bamboo forest area and stock volume rank first in
the world, and it is known as the "Bamboo Kingdom". In this context, the
development of bamboo pulp and paper will help alleviate the shortage of wood in our
country's pulp and paper industry and help to protect the ecological environment.
Bamboo has the advantages of fast growth, short cycle, and renewable. Bamboo is an
which will help adjust the bamboo industry structure and promote the economic
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EFFICIENT USE OF BAMBOO FIBER
The morphology of bamboo fiber is between coniferous wood fiber and hardwood
fiber, and the performance of bamboo pulp is between coniferous wood pulp and
hardwood pulp. Using bamboo as raw material can produce pulp and dissolving pulp.
Pulp can be used to make paper, while dissolving pulp can be used as textile material.
To produce dissolving pulp with bamboo as a raw material, it is not only necessary to
remove lignin, but also to remove hemicellulose. Bamboo dissolving pulp is used as
raw material to produce viscose fiber. The traditional process uses carbon disulfide as
the solvent, which has the disadvantages of long production cycle, low fiber strength
and serious pollution in the production process, and the production process will
produce carbon disulfide and hydrogen sulfide and other toxic gas pollution.
solvents instead of carbon disulfide to solve the core key technology of bamboo
spinning and low solvent recovery rate, and developed a pollution-free bamboo
There are two innovations in the key technology and functionalization of bamboo
fiber preparation. One is the development of key technologies for the preparation of
bamboo pulp and dissolving pulp; the other is the development of bamboo pulp short
fiber textile materials to replace the traditional viscose fiber production process with
serious pollution during the production process. The key technology of bamboo fiber
preparation developed by this project can solve the problems of poor performance,
high energy consumption and heavy pollution of traditional bamboo fiber, and realize
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We can offer not only vertical pulper, but also horizontal pulper. Here are the
different specifications of pulpers for bamboo pulp making you can refer to.
Capacity(dry bamboo
180-220kg 220-230kg 110-160kg/min
chips)
alkali charge(sodium
18%-22% 15%-18% 18%-20%
cyanide)
maximum cooking
0.55-0.65 0.65-0.7 0.6-0.7
pressure(MPa)
maximum cooking
– Around 165 165-170
temperature
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OBJECTIVE OF THE INNOVATION
and awareness to the customers. I can fulfill this by ensuring those customers’
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NEED OF INNOVATION
Successful innovation allows you to add value to your business so that you can
increase your profits—if you don't innovate well, your business will plateau.
Innovation helps you stay ahead of the competition. With globalization and a rapidly
changing market, there are more competing businesses than ever before.
Innovation increases your chances to react to changes and discover new opportunities.
It can also help foster competitive advantage as it allows you to build better products
Yes as we all know India followed by China is the largest producer of medicinal
plants, having more than 40% of global diversity. The states which are major
producer of herbal plants having the highest medicinal value include Gujarat,
Innovation isn't just something new, it's something different and useful. Innovation
productivity, create new revenue streams, increase employee loyalty, save costs.
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SOURCE OF IDEA
business, innovation often results when ideas are applied by the company in order to
• Incongruities....
• Process Needs....
• Demographic Changes....
• Changes in Perception....
• New Knowledge.
• Innovation is based upon bright ideas. the human mind thinks of new things
that can better fulfill an existing need. In this process he thinks of filling his needs in
new ways and by devising new products and mechanisms. Demographics: Our
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What Are Pros & Cons Of Bamboo Pulp
Making?
As we all know, the raw material of paper pulp manufacture can be divided into four
types, including wood fiber, non-wood fiber, wastepaper, and non-plant fiber.
Bamboo belongs to the non-wood fibers. For most paper pulp mills, the main source
of paper pulp production is wood fiber. Because the wood resource is short, at the
moment, there are many other non-wood fibers can be used for paper pulp makings,
such as bamboo, bagasse, jute, cotton, and etc. With a variety of advantages, bamboo
is recognized as a trend of the paper pulp industry. What are the pros and cons
The biggest benefit of bamboo pulp making is easy obtainment of the raw material.
There are common kinds of bamboo for paper pulp making, include small diameter
bamboo, moso bamboo, de-greening bamboo and etc. Bamboo is a common plan in
the southern tropics, subtropics area. As a country of origin, China has the richest
bamboo resource.
Bamboo is the fastest growing plant in the world and easy to be planted. Every ton of
paper needs four tons of fresh bamboo and one acre of land produce about 1 to 2 tons
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per year. If the bamboo variety is selected, the yield can reach 3 to 4 tons. After
successful afforestation, the first harvest requires three years, and then, bamboo can
be cut down every year. It does not need to reforest in a few decades with reasonable
management and protection, you can protect the green hills and use them forever. The
growth pattern of bamboo has great positive significance for alleviating the shortage
As the raw material for paper pulp making, the fiber of bamboo should be paid more
attention to. In general, longer fibers produce stronger paper. Bamboo fiber is thin and
long, the average length is 1.5-2.0mm, higher than wood, reed, rice straw and bagasse.
Bamboo also has large length-width ratio and good drainability. Bamboo has fewer
parenchyma cells, about 20-35%, and higher cellulose content, between softwood and
hardwood. The lignin content is between 21-27%. The ash content is 1.0-2.9%, which
is relatively low and is mainly concentrated in the skin and nodes, and the content of
fiber bundles and parenchyma cells is very small. The fiber cavity is larger than that
of wood or grass, and the bamboo can reach 4.55. Taken together, bamboo is second
only to wood and it is most suitable for pulp and paper making. Bamboo pulp paper
and wood pulp paper have little difference. Generally speaking, bamboo pulp paper is
more straight and can be applied to medium and high-grade paper making including
offset printing paper, letterpress printing paper, oil seal paper, kraft paper and match
paper.
The preparation of bamboo generally include dry cut, screened, then washed,
dehydrated, and then sent to pulp cooking, the pulp production is not more
complicated than the processing of other fiber materials. In addition to the cutter-type
and the knife-roller bamboo cutting machine, there is also a drum-type bamboo
cutting machine which is widely used today. The bamboo pieces are generally 2-3 cm.
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The drum washer and the twin roll press used for washing are closed and washed,
but the slag is required to be drained regularly. The cooking process has been
According to statistics from 2010, all pulp mills around the world produces 146
million tons of pulp, including 2 million tons of bamboo pulp. It can be seen that
although bamboo has the above various advantages, the current proportion of bamboo
pulp papermaking is not very high. Presumably, bamboo pulp papermaking also has
certain limitations.
Firstly, due to the growth habit of bamboo, the territorial scope of bamboo pulp
Bamboo grows well in the place where it is warm and humid, so the countries with
more bamboo in the world are concentrated in the tropics, subtropics, especially
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Southeast Asia. In China, the south of the Yangtze River is a tropical monsoon
climate and a subtropical monsoon climate zone. It is warm and rainy enough to
produce bamboo in large quantities. Although the bamboo can be planted in the north
of China, it belongs to the zone of the continental monsoon climate, the bamboo is
used as a landscape bamboo with a small diameter. Growth period is slow, not
suitable for industrial use. From the view of the bamboo source, only the bamboo
forests in the south are suitable for bamboo pulp papermaking, while the north is
greatly limited. Even if the preparation and papermaking can be carried out
separately, the transportation cost will increase, so pulp mill is generally chosen to be
near the place where produce bamboo in large quantities. Therefore, the regional
problem should be the most important factor restricting bamboo pulp and
papermaking.
Secondly, the black liquor of bamboo pulp making is hard to recover, environmental
pollution is large. Although there are some new technical processes, such as low
black liquor, this method has not been well promoted by scientific research and
identification. Many places where water bodies are limited are not suitable for the
Thirdly, from the view of the pulping process, when the bamboo slices are cooked,
the air is trapped inside the bamboo ducts, which hinders the penetration of the liquid.
The sand is mixed with silt and gravel, and it is difficult to remove by screening. As a
result, increase the equipment wear and affect the pulp quality. In order to solve this
problem, some people have proposed the technique and equipment for tearing bamboo
into bamboo filament. After cutting the bamboo into bamboo chips by a cutter-type
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bamboo cutting machine, the bamboo is twisted into bamboo filament by a tearing
machine, the washing machine and the depithing machine separate the relatively
dense debris such as sandstone and iron block, remove the fine bamboo filament and
bamboo pulp while depithing, and dissolve part of the dissolved matter. However, this
method complicates the process and affects production costs. In addition, because the
bamboo pulp fiber is long, it is necessary to beat to properly cut the fiber, and the
wear on the machine during the pulp beating is often very serious.
As a compromise, many paper mills add a certain proportion of bamboo pulp to the
In summary, bamboo pulp papermaking is a non-wood pulp fiber paper with great
production techniques can overcome some of the process and equipment challenges in
bamboo pulping. Coupled with the cultivation of high-quality and high-yield bamboo
forests and the establishment of a bamboo pulp production base integrating forestry
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USES OF THE PRODUCT
The prospect of bamboo pulp and paper making can alleviate the shortage of pulp in
China and conform to the general principle of adjusting the raw material structure of
paper industry. The National Development and Reform Commission issued in 2004
the Tenth Five-Year Plan and the 2010 Special Plan for the National Forestry and
Paper Integration Project, which proposed that the production capacity of pulping
should be increased by 5.55 million tons on the basis of the end of 2005. The capacity
of bamboo pulp is 1.2 million tons, the capacity of bamboo pulp production is 17.6
million tons with paper making forest base after 2010, and the capacity of bamboo
pulp is 3.95 million tons. The development and layout of bamboo pulp is focused on
In terms of cost Comparing bamboo pulp with pine and eucalyptus, the unit cost of
bamboo pulp is lower than wood pulp. Is there no good for cheap? The existing
production practice shows that the performance of bamboo pulp is between coniferous
wood and broad-leaved wood, which is obviously superior to that of grass pulp. It can
replace broad-leaved wood pulp and reduce the amount of softwood pulp. It can be
products.
Bamboo pulping production technology is mature and reliable, and most equipment
can adopt national products, and pollution control technology is mature, "three
wastes" can meet the national emission standards. Ecological effect is another
advantage in developing bamboo pulp and paper. It is worth mentioning that cloud,
expensive In Sichuan, Chongqing, Guangxi, Hunan, Jiangxi and other central and
western regions of natural resources, very suitable for pulp and paper bamboo species
growth. Bamboo pulp paper also faces some problems in China. The further
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development of bamboo pulp paper industry in China is faced with resource
Less powerful enterprises of bamboo pulp and paper, low level of overall technical
equipment and scale benefit, large gap of high quality raw materials, high import
dependence, and so on. The resource consumption is high, the pollution prevention
task is arduous, the equipment research and development ability is poor, the advanced
Bamboo pulp papermaking has a broad prospect from the current actual transportation
Bamboo pulp paper has shown good economic and social benefits. For example,
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Zhongzhu Paper Group Co., Ltd., relying on the mature technology of "bamboo for
wood", began to operate the Ya'an bamboo pulp project, which has already achieved
Center of the Chinese Academy of Sciences, recommended that bamboo forest bases
should be established.
integration; call on the state to focus on supporting existing bamboo pulp enterprises
one or two large international competitive groups in the modern paper industry. In
terms of capital policies, it is suggested that the state give support to key enterprises in
the form of long-term interest-free loans, gratuitous subsidies and national debt
discount, and give them preferential policies. In order to enterprises in the short-term
growth and foreign giants can compete with the paper industry aircraft carrier.
Experts at the meeting believed that the use of bamboo pulp paper, can effectively use
the rich resources in the central and western regions, with the national policy of
returning farmland to forests. The construction of bamboo raw material base not only
solves the problem that farmers can "retreat from farming", but also protects the
Bamboo resources are abundant The process of bamboo, pulp and paper integration in
the central and western regions of China made it the leading leader of local
agricultural industrialization, and they found a way to increase income and become
rich. For example, cultivation of green hybrid bamboo in Guangxi: the investment of
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fertilizer application in the first three years of each mu is about 450 yuan, the third
year can be harvested, and the cutting can be continued for 20 or 30 years. According
to the average fresh bamboo production of 3 to 5 tons per mu, the current purchase
price per ton of bamboo is 300 yuan. After one afforestation, it is not necessary to
increase the annual income for farmers and local finance by 600 to 1000 yuan per mu.
Medium and long-term economic, social and ecological benefits are even more
evident. At the same time, it can also improve and Protecting the ecological
environment in the upper and middle reaches of the Yangtze River is of great practical
significance to the conservation of soil and water, the conservation of water resources
and the protection of forest resources. Some people predict that after joining WTO,
bamboo pulp technology will be our paper industry and foreign struggle. It is
predicted that the demand for wood pulp in China's paper industry will reach 9.25
million tons in 2005 and 17.8 million tons in 2015. If we rely on the development of
wood pulp completely, it is bound to be limited by the long rotation period of wood
and the limited supply of wood raw materials in the short term. According to expert
pulp by 2005 and 8 million tons by 2015. Only with bamboo pulp, can the raw
bamboo pulp papermaking with technical and market advantages is a huge gold mine
waiting to be excavated!
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COMPETITORS
COMPETITORS ANALYSIS
offer.
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SWOT analysis — strengths, weaknesses,
opportunities, threats —
It is something many MBA students learn. Unfortunately, businesses frequently treat
SWOT analysis like geometry — one of those things you have to learn but will never
use again. But SWOT analysis offers a concrete, real-world audit of a company and a
While strengths and weaknesses are internal, they are measured on a comparative
the expense of another company in your industry. Likewise, threats come from the
necessity.
STRENGTH:- No Competitors
Using SWOT analysis on a regular basis, perhaps once or twice a year, will give you a
broad overview of ecommerce industry trends, show you where you stand in relation
to your competitors, and provide insights into mitigating your weaknesses and
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TECHNICAL FEASIBILITY
A technical feasibility study assesses the details of how you intend to deliver a
business will be located, and the technology that will be necessary to bring all this
together. It's the logistical or tactical plan of how your business will produce, store,
A technical feasibility study is an excellent tool for both troubleshooting and long-
term planning. It can serve as a flowchart of how your products and services evolve
It's the logistical or tactical plan of how your business will produce, store, deliver, and
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MARKET ANALYSIS
into the size of the market both in volume and in value, the various customer
segments and buying patterns, the competition, and the economic environment in
The objectives of the market analysis section of a business plan are to show to
investors that:
Segmentation helps marketers to be more efficient in terms of time, money and other
They gain a better understanding of customer's needs and wants and therefore can
One technique used to identify a target market is market segmentation. The five basic
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POSITIONING OF THE BUSINESS IN MARKET
This is created through the use of promotion, price, place and product.
There are five main strategies upon which businesses can base their positioning.
• Positioning based on product characteristics....
• Positioning based on price....
• Positioning based on quality or luxury....
• Positioning based on product use or application....
Positioning based on competition. Types of positioning in marketing
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COSTING AND PRICING OF THE SERVICE
Many service-based businesses struggle to come up with a fair and profitable pricing
strategy. Unlike product pricing, you can’t exactly quantify all the costs that go into
providing a service. The expenses that go into providing a service are more subjective
than the expenses that go into making a product. How much you charge customers
doesn’t always directly correlate with the amount you pay to perform services.
In service industries, finding a target profit margin is not as simple. You don’t have an
original price to reference. Instead, your pricing formula for services should account
for the intangible aspects of running your business, such as time and value.
that is scalable yet flexible enough to solve our customers’ problems. Offering a
scalable, one-size-fits-all price can turn potential customers off because their needs
are typically not like those of your countless other customers. At the same time,
offering 100% custom pricing can limit growth because of the time required to quote
Because there is not a set-in-stone method for pricing services, you have some
flexibility. Use the following six steps to learn how to price a service:
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PRICING STRATEGIES FOR BUSINESSES
There are many different pricing strategies to choose from. Here are 11:
1. Market penetration strategy: Set prices low to grow market share. Then
increase your rates over time as your customer base grows. Admittedly, this isn’t a
common pricing strategy for service businesses, but it can help you grow your
customer base quickly. The big problem with this approach is that some customers
may associate the lower price with an inferior level of service. You will also have to
2. Price skimming: The opposite of a market penetration strategy. Here you set a
high price and lower it over time. Again, this isn’t your typical pricing strategy for a
service business. But it may work if you have something special to offer. The pros are
that you’ll maximize your profits upfront and grow a more sustainable business. The
big drawback, however, is that if you can’t justify the price, you’ll struggle to get your
3. Premium pricing: Charge higher prices because you have something that
makes you unique. For example, do you offer a warranty or service guarantee that
your competitors do not? Do you use exclusive tools or technology that make your
4. Economy pricing: Set low prices because overheads are low. Your costs may
be low for several reasons. Perhaps you use software to org anize and manage your
business instead of hiring an assistant. Or maybe you have a special arrangement with
5. Cost-plus pricing: Calculate the cost to deliver your services and add a margin
for a profit. For example, if you know your time and materials cost $200, and you
want to make a 20% profit margin, simply charge $240. This is a straightforward
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pricing strategy, but it can cost you money because you may end up setting a lower
For example, it’s believed that odd prices like $19.97 are more attractive than round
numbers like$20.00.
competitors can give you a good idea of where to start, remember that your business
is unique. Just because someone is charging a specific price doesn’t mean you should
bundling various services together and charging one price. Bundled services are
usually cheaper than if customers were to purchase each service individually. If done
correctly, this technique is a great way to upsell more services and boost your
―Our house washing package is our most requested and most profitable service. This
Homeowners like this package because it takes care of all services with one detailed
day. Small jobs are okay to slot in, but we like to have a good-size house wash for
each crew for each day. From a profitability perspective, it’s much better.‖
9. Tiered pricing: Offer clients the option of choosing between different levels of
service or packages. In window cleaning, for example, you can offer a basic package
for $99 (outside cleaning only), a standard package for $149 (inside and outside), or a
deluxe package for $199 (inside, outside, tracks and sills). Each package offers
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incrementally more value, and the difference in price gives the consumer a chance to
10. Value-based pricing: Charge a flat fee based on the value (benefits) your
service provides. Value, for example, could mean saving the customer time or giving
them peace of mind. Before quoting a client, make sure you’re clear on the benefits
your service provides and, in turn, what they’re actually paying for.
For example, parents who use house cleaning services are not really paying for the
service itself, but the time it frees up so they can spend with their children. Charging
for your services based on value lets you charge a premium and protects you from the
11. Hourly-based pricing: Estimate how long a job will take and multiply it by
your hourly rate. Although this pricing strategy may be suitable when starting a
You aren’t rewarded for becoming better and faster at what you do
Clients may feel you’re purposefully taking your time on a job so you can earn more
The focus is on the cost of the service rather than the value, which opens you up to
price haggling
Your overheads. If you have lower overheads, you can charge more competitive
prices. Conversely, if your costs are high, then competing on price isn’t viable.
Your goals. If you’re a new business looking to get customers fast, you may opt for
How established you are. If you’ve been operating for a few years and want to
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packages helps you sell more by turning the intangible (your service) into
Pricing services is generally harder than pricing products as each job is different,
and you have to grapple with your own experience, insecurities, and specifics of
each job. On top of that, pricing is complex with many different pricing strategies
to choose from.
Of course, just because something seems difficult, doesn’t mean it is or that you
shouldn’t try. After all, the more jobs you bid for, the more you’ll learn about what
works and what doesn’t. It’ll only be a matter of time before you find a pricing
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FINANCIAL FEASIBILITY OR AVAILABLE SOURCES OF FUNDS
Putting all your eggs in one basket is never a good business strategy. This is
especially true when it comes to financing your new business. Not only will
diversifying your sources of financing allow your start-up to better weather potential
downturns, but it will also improve your chances of getting the appropriate financing
Keep in mind that bankers don't see themselves as your sole source of funds. And
Whether you opt for a bank loan, an angel investor, a government grant or a business
1. Personal investment
When starting a business, your first investor should be yourself—either with your
own cash or with collateral on your assets. This proves to investors and bankers
that you have a long-term commitment to your project and that you are ready to
take risks.
2. Love money
This is money loaned by a spouse, parents, family or friends. Investors and bankers
considers this as "patient capital", which is money that will be repaid later as your
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They may want to have equity in your business
3. Venture capital
The first thing to keep in mind is that venture capital is not necessarily for all
entrepreneurs. Right from the start, you should be aware that venture capitalists are
biotechnology.
Venture capitalists take an equity position in the company to help it carry out a
promising but higher risk project. This involves giving up some ownership or
healthy return on their investment, often generated when the business starts selling
shares to the public. Be sure to look for investors who bring relevant experience
BDC has a venture capital team that supports leading-edge companies strategically
in its market.
4. Angels
Angels are generally wealthy individuals or retired company executives who invest
directly in small firms owned by others. They are often leaders in their own field who
not only contribute their experience and network of contacts but also their technical
and/or management knowledge. Angels tend to finance the early stages of the
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business with investments in the order of $25,000 to $100,000. Institutional venture
In exchange for risking their money, they reserve the right to supervise the company's
management practices. In concrete terms, this often involves a seat on the board of
5. Business incubators
there are also local economic development incubators, which are focused on areas
Commonly, incubators will invite future businesses and other fledgling companies
resources. For example, an incubator might share the use of its laboratories so that
a new business can develop and test its products more cheaply before beginning
production.
Generally, the incubation phase can last up to two years. Once the product is ready,
the business usually leaves the incubator's premises to enter its industrial
Businesses that receive this kind of support often operate within state-of-the-art
technology.
Government agencies provide financing such as grants and subsidies that may be
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comprehensive listing of various government programs at the federal and
provincial level.
Criteria
Getting grants can be tough. There may be strong competition and the criteria for
awards are often stringent. Generally, most grants require you to match the funds
you are being given and this amount varies greatly, depending on the granter. For
example, a research grant may require you to find only 40% of the total cost.
Most reviewers will assess your proposal based on the following criteria:
• Significance
• Approach
• Innovation
• Assessment of expertise
Some of the problem areas where candidates fail to get grants include:
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• There is an unrealistic amount of work
7. Bank loans
Bank loans are the most commonly used source of funding for small and medium-
sized businesses. Consider the fact that all banks offer different advantages,
whether it's personalized service or customized repayment. It's a good idea to shop
around and find the bank that meets your specific needs.
In general, you should know bankers are looking for companies with a sound track
record and that have excellent credit. A good idea is not enough; it has to be
backed up with a solid business plan. Start-up loans will also typically require a
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LIMITATIONS
The following are some of the factors which put a limit on the growth of a business:
If increased supplies of trained labour are not available, the growth of a business will
be automatically checked.
In the same way, if fresh capital cannot be raised, expansion stops. But these are not
insurmountable obstacles.
to increase the size of the business. The nature of demand is the most
importantlimitingfactor.Italmostsettlesthematter.Ifindividualtasteshavetobe satisfied,
the manager. A point is reached in the expansion of a business beyond which it is not
possible for the manager to control it efficiently. There is a limit to what a man can
successfully manage. Beyond that point, supervision will become lax, materials will be
wasted and machinery mishandled. Cost will over take profits, and, in the end, the
profits may vanish. The limit is reached when the marginal revenue is equal to the
marginal cost.
question. They require close personal supervision, e.g., jewellery-making and tailoring.
Or, there are industries where there is not much scope for the use of
Bulky articles like bricks can only be made on a small scale, for it will not pay to carry
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CONCLUSION
The company's management is confident that The Company can achieve its
The Companies' management has carefully considered its market, potential customer
base, and its ability to grow its sales average to capture market share in the E tailoring
industry.
The Company has the potential to become a highly regarded resource in local,
careful development of its products coupled with strategic partnerships with some of
the industry's leaders, and the company's profitable revenue model, The Company has
For The Company to achieve status as an industry leader, it must secure initial capital.
This capital will be used for start-up costs, to establish a reputable storefront, and to
The Company will be able to achieve operational success for many years to come.
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