1.
Title
Business Name: Culture Shack
Team Members:
Course & Instructor’s Name :
2. Problem Statement
a.) What specific problem does the business aim to solve?
Flavor Fatigue
1. Philippine street foods tend to offer similar menu selections such as burgers,
siomai and other common fried snacks. While these foods are popular and
affordable, the lack of variety can lead to repetitive food choices.
2. Along with the monotony of the menu, international food options are
limited and most are sold in expensive restaurants or a cheap processed
replica like ramen cup noodles.
b.) Why is this problem important?
1. Over time, the repetitive menu reduces the excitement in street foods
which leads to a less engaging dining experience for consumers who seek
new tastes.
2. The lack of alternatives then would “force” hungry consumers needing a
quick bite to settle for the current option the market provides.
3. Solution & Business Idea?
a.) What is the product or service?
A multicultural street food stall providing street foods from around the globe at
student-friendly prices.
b.) How does it solve the problem?
1. The business addresses the lack of variety in street food by offering
affordable multicultural dishes like Takoyaki, Tteokbokki, Buldok, Dumplings
and many more, in a single stall. By marketing a unique street food option, it
refreshes the snacking experience and reduces the monotony of previous
dining.
4. Target Market
a.) Who are the potential customers?
Students – usually looks for affordable and convenient meals in between
classes, the primary market for street food stalls.
Office workers – employees may want some quick meals during lunch breaks or
after work hours.
Drivers and Commuters – while waiting for a commute, they may feel hunger
and want to grab a quick bite.
These groups are the most regular consumers of street food items since they
regularly require quick, inexpensive meals during brief breaks or while traveling.
b.) Market size
The target market will mainly be focused on the locality in the initial stage
focusing in areas with high foot traffic like universities and transport hubs expanding
itself to different provinces and regions afterwards.
Rough Estimate Formula:
(Local Student Population + Local Employee Population + Average Daily Commuters) × Market Share × Purchase
Frequency
5. Value Proposition
a.) What makes the business unique?
“Taste the World in a Single Sitting”
The business offers affordable global street foods in a single stall, rather than the
common burger franchises or fried street foods which allows the consumers to
experience a fresh dining experience.
b.) Why would customers choose this over competitor?
It offers a fresh menu, attractive to customers seeking an escape from the
monotonous flavor of the current dominant market.
6. Revenue Model
a.) How will the business generate income?
The business will mainly generate income by selling street foods in its initial
stage. After sufficient recognition is achieved, Culture Shack will be opening itself to
franchising, changing main revenue streams to franchise royalty.
b.) Pricing Strategy and expected revenue streams
The business will be priced according to 2 stages: Initial and Penetrated Stage
Initial Stage: Prices are priced at a price within a few pesos behind local
competitors. This ensures initial attraction in order to penetrate the
market
Penetrated Stage: The prices are based to match the local market. This
price is also used the same throughout different branches.
Rough Estimated Costs
ITEM PRICE ESTIMATED COST GROSS PROFIT G. PROFIT MARGIN
Takoyaki 64 ₱32 ₱32 50%
Tteokbokki cup 80 ₱40 ₱40 50%
Dumpling snack 60 ₱30 ₱30 50%
Buldak rice bowl 120 ₱60 ₱60 50%
M-Bento 108 ₱54 ₱54 50%
Each customer is expected to spendin between 60 and 120 with an average of:
(64+80+60+120+108)/5= ₱86.4
With a daily average customer at 50-60, daily revenue could reach 4,320-5,184, monthly
at 129,600-155,520, and yearly at 1,555,200-1,866,240. A 10-15% Net Profit is expected.
Revenue is expected to be lower than competitors in its initial stage but with higher
growth rates until it reaches a stable market stage.
7. Competitor Analysis
Angels Burger/Franks – Cheap and fast but limited menu to burgers and hotdogs
with some additional sides.
Shawarma Shack/Leylam – filling but also repetitive. Shawarma and Leylam both
offer rice and ad-ons, but shawarma offers in a wrap whilst Leylam in a cup.
Local Street Food vendors – Cheap and fast but also offers a repetitive menu all
over the country.
8. Marketing and Growth Strategy
a.) Marketing Strategy
Culture Shack’s marketing team will focus on social media promotion. Partnering with
local “food trip” hunters and mukbangers, will provide the business enough publicity to
showcase its selection.
The business can also offer seasonal customizations with time-limited flavors to attract
FOMO consumers by using a sense of urgency. These seasonal flavors have an added benefit of
refreshing the taste after continuous previous snacking experience.
b.) Development Stages
The business will launch itself as firstly catering Southeast Asian cuisine, as a safe route
which has an almost familiar taste to the local market, then after a target recognition is
received, Culture Shack will explore Asian foods then worldwide in its final stages. Between the
middle and final stage, the business can expand itself from just a stall to a full-on restaurant in
marketable areas, offering a bigger menu, a fresh environment and all in all, a better experience
for customers.
9. Operations and Technology Plans
a.) Operations
Ingredient Procurement – sourced from local markets or wholesale suppliers.
Partnership initiatives with local restaurants will be secondary target in order to bulk purchase
for steeper discounts. The diverse menu options normally would result to multiple ingredients
needs but Culture Shack addresses this by utilizing an overlapping ingredient recipe where
several menu items use common ingredients.
Food Preparations – strict food hygiene will be trained and observed. Frosted
ingredients are thawed and prepared ahead of time and stored in a sterilized, chilled location
until used. Ingredients are prepared fresh within the day and restocked based on inventory
levels.
Staffing – 2 staff are stationed at all times during shifts. A second pair will be rotated at
2:30pm. Another 2 staff will be hired for night shift after market penetration. Staffs will be
trained to handle multiple roles to reduce idle time.
General Operations – Initially stalls will be open from 7am-10pm. Stall location would be
near schools and universities, transport terminals and office districts. Stall design will be based
on which culture does the stall cater for specialized stalls while for general ones will look like a
mix of airport travel hub and a street food aesthetic.
b.) Technology
Digital Payment System – The world is on the fast track to adapting a cashless market.
Social Media Marketing – Importance is given for digital engagements in order to
promote brand recognition and develop anticipation for future expansions.
10. Call to Action & Next Steps
Culture Shack is looking for investors to purchase capital assets like cooking equipment
such as boiler and deep fryer in order to launch its first multicultural stall.
Next Steps: Finalize Menu – Secure Stall Location - Look for Supplier and Restaurant
Partnerships – Acquire Equipment then Hire Staff – Launch the First Stall