EXECUTIVE SUMMARY

A curbside restaurant wants to sell rice ball and three drinks. Because of the main products are rice balls, we
names the curbside restaurant fun-fun rice balls. Rice balls pronounce in Chinese language is fan tuan. We use the
word fun that sounds like fan, and it can make customers think of happy things.
Despite there are many restaurant sell rice balls, we will try to offer a unique features at a value-added price. In
the initial stage of operation, we are targeting specific segments in engineers and students who work or study in
Hsinchu. The fun-fun rice balls also offers a simple, convenient, healthy, and comfortable rice balls. Through cobrand strategy and some marketing skill, trying to promote its sales and satisfy its customers.
CURRENT MARKETING SITUATION
Market Description
In the rice-food culture, rice ball is one of Taiwan's traditional snacks. There are many restaurant that sale rice
balls in their shop. Therefore, to sell rice balls as the major product, it must have a unique marketing position. Or,
customers can easily find the same productin other restaurants, and easily find a substitute. The fun-fun rice balls
can set up its rice ball in specific segment. In this segment, customers usually eat out and prefer simple, fast, and
convenient. The stores initial development of the market range can around the Hsinchu Science-based Industrial Park,
National Chiao Tung University, and National Tsing Hua University. The target market focuses on engineers and
students. Table 1 is segment needs and features.
Table1 Segment Needs and Feature/ Benefit of the fun-fun rice balls rice balls
Targeted Segment
Engineers
in
Hsinchu

Customer Need
Rapid

Science-based Industrial Park

Corresponding Feature/Benefit
The production process of rice balls is simple and
can quickly to complete one, so that engineers
can save time cost and rapid get meal.
Many Asians feel that only eat some rice-food in

Feel eat enough

a meal, they will feel eat enough. Rice balls

provide this function.
Although the general lunches were usually made
by rice, rice balls can take in hand to eat. That

Students

Convenient

creates more convenient, more efficient to eat

Inexpensive

for engineers
In pricing strategy, a single be priced at NT $25,
a combo be priced at NT $50. This price is not
expensive. Students can afford this price, and is
willing to purchase.
Many Asians feel that only eat some rice-food in

Feel eat enough

a meal, they will feel eat enough. Rice balls

provide this function

Product Review
The fun-fun rice balls sells rice balls and provides tow insistence and three guarantees. It insists on quality of
raw materials and product. The features about guarantees are healthy to eat, hygienic to eat, comfortable to eat.
On quality aspect, it especially cooperates with well-known manufacturers. For example, I-Mei milk, Kenyan home
ground fresh coffee made correctly with a nice machine, good soy bean milk, branded rice, Hsin Dong Yang powdered
meat, and so on. The fun-fun rice balls uses the cooperation with the well-known manufacturers to ensure that it
gets the best quality of raw materials. In quality control of product, it uses the less-variety and standard production to

maintain the quality of the final product.

On three guarantees aspect, the fun-fun rice balls uses higher levels of sanitation and the water is always
produced by reverse osmosis. It also seeks access to safe food certification so that consumers can eat healthy, eat
hygienic, and eat comfort.
Competitive Review
The fun-fun rice balls is a curbside restaurant selling rice balls. But there are some competitors who own
physical store and some other competitors who also operate curbside restaurant. Some physical store, Lai-lai soybean
milk store and Yung-ho soybean milk store for example, not only sell rice balls, but also sell sesame seed cake, fried
fritters, and so on. These kinds of stores offer various foods to customers. Some convenience stores also sell rice balls
to abundant their products. Moreover, there are many mobile curbside restaurants in the market place. They also sell
rice balls. To sum up, fun-fun rice balls faces very fierce competition.
Distribution Review
The fun-fun rice balls distributes its rice balls through it own independent dining car. It shapes the unique brand
image by packaging the dining car. Then, it didnt to choose to mix with other channels.
MARKETING STRATEGY
Positioning
We are positioning the fun-fun rice balls rice balls as simple, convenient, ehealthy, and clean
rice-food. Marketing strategy will focus on how to make the sale and purchase behavior more simple and
efficient. Therefore, we provide the highest quality and healthy food to customers through the
simplification of product select process.
Product Strategy
In the fun-fun rice balls menu, there only two flavors rice balls and three types drinks. The drinks include tea,
coffee, soy bean milk. The fun-fun rice balls use the less-variety and standard production. Although it provides less
choice, it guarantees product quality and health. Its raw materials and equipments all get from brand or well-known
manufacturers, and pass quality control and get the quality assurance.
The fun-fun rice balls create a minimalist and quality new rice balls style. It provides an easy and simple choice
for eating out people.
Pricing Strategy
The fun-fun rice balls provides two flavors rice balls and three drinks. Customers can buy a combo that includes
one rice balls and one drink, also can buy a single that only a rice balls or a cup of drinks. In this pricing strategy, a
single be priced at NT$25, a combo be priced at NT$50. It means any rice balls or drink are priced at NT$25. This is a
popular pricing strategy. Either a drink or a rice balls that price NT$25 are reasonable. The combo price NT$50 that is
simple sum up tow product.
It offers generally acceptable prices to consumers. Under less kind of product selection and simple pricing
strategy, it creates an easy way to trade food for fee. Vendor and customers can be more efficient to checkout. This
way also can enhance the efficient brand impression on customers.
Distribution Strategy
The fun-fun rice balls is a curbside restaurant, and sells its rice balls by its own dining car. In the initial
planning, the market area can near around Hsinchu Science-based Industrial Park, National Chiao Tung University, and
National Tsing Hua University. It can arrange to sell rice balls on different places at different time, and plans rotation
projects to connect different customers. Because of seeming dining car as a business place, it can mobilize easily. We
can refer to the sale of rice balls to understand the actual market situation, and try to adjust the market area.
Marketing Communications Strategy
The first way to promote the fun-fun rice balls rice balls is co-brand marketing. Because of cooperating with

well-known manufacturers to get the best quality of raw materials, we can use this opportunity to implement co-brand
strategy. This strategy can promote fun-fun rice balls brand and make customers trust their product quality.
Co-brand marketing can create the image of high class rice balls, so customers may fell this rice balls is different
between others.
The second way is to decorate the dining car into unique style. We can refit the car to fit our design, devise a special
logo and a pretty menu, arrange equipment location, and add the co-brand. When the dining car drives on the road, it
is a best advertisement
The fun-fun rice balls can hold some promotional activities. For example, customers who buy a combo can get
one point. When customers collect ten points, they can exchange one rice ball and any one drink. This way is try to
stimulate customers buy combo not only buy a single product.
Marketing Research
Before operating, we can do the early market research in the three main market areas to understand consumer
tastes and to know about the most favor of rice balls for consumers. The data can help us do the right decision. This
decision is about which flavor of rice balls will be sold.
After operating, we can do the market research to understand which area and which time will reach the largest
customers. Then, the data can become the basis for the selling plan.
ACTION PROGRAMS
Short-term
First and foremost task in this term is to develop the three mainly market area, and to consolidate the existing
customers. We also need to explore potential consumers. On the other hand, the fun-fun rice balls need to enhance
their promotion. It can deliver advertising sheet, design the company's collective purchase orders, and so on. Try to
promote and stimulate consumption. Finally, we expected to get the break-even, and
Marketing Research
Before operating, we can do the early market research in the three main market areas to understand consumer
tastes and to know about the most favor of rice balls for consumers. The data can help us do the right decision. This
decision is about which flavor of rice balls will be sold.
After operating, we can do the market research to understand which area and which time will reach the largest
customers. Then, the data can become the basis for the selling plan.
ACTION PROGRAMS
Short-term
First and foremost task in this term is to develop the three mainly market area, and to consolidate the existing
customers. We also need to explore potential consumers. On the other hand, the fun-fun rice balls need to enhance
their promotion. It can deliver advertising sheet, design the company's collective purchase orders, and so on. Try to
promote and stimulate consumption. Finally, we expected to get the break-even, and establish the profitable business
model.
Medium-term
The fun-fun rice balls will plan to participate in the food show in Hsinchu, selling rice balls in holiday market
place, and trying to get the opportunity to report by food TV show. In short, we expect to establish brand awareness.
Long-term
In the long term, we will approve others to join our alliances to create a chain of curbside restaurant. And try the
best to make fun-fun rice balls become a strong chain brand, so that other regions can also see the fun-fun rice
balls dining car drive on the streets.
BUDGETS
In this part, I try to calculate how long to beak even and how much profit at end of year one.

Before calculation, I put the information in order. At first, I list and calculate fixed cost and variable cost (Table2).
It indicate that the total fixed cost are NT$25,000 and variable cost are 50% revenue.
Table 2 Fixed Cost & Variable Cost list
Fixed Cost
Road side stands

Variable Cost
NT$10,000

Rice ball material

50% revenue

Signage

1,000

(rice, pickles, egg, ponder

Awning

1,000

meat, fried bread stick)

Gas Bottle/Lighting

2,000

License

2,000

Uniform

4,000

Cooking equipment

5,000

Total

NT$25,000

Total

50% revenue

Now we assume the loan interest rate is 5%. In the bad day, it will sell 20 units that include 50 percent probability
for singles and 50 percent probability for combos. In the good day, it will sell 100 units that include 50 percent
probability for singles and 50 percent probability for combos. It will work 6 days pre week and 24 days per month.
During 24 days, there are 5 days is bad and 19 days is good.
We can calculate how long to beak-even (Figure3). The answer is that when it sells17 days and 1,400 units, it will
get the break-even. The break-even calculation is:
Break even point Total revenue = Total cost
The total fixed costNT$25,0001.05NT$26,250
The variable cost =1/2 revenue

revenue/2NT$26,250 revenueNT$52,500

According to the set before two units comprise a single (price NT$25)
and a combo (price NT$50),
the revenue of two units is 25 plus 50 equal to NT$75.
1 month revenue:
{(20/2)25(20/2)50}5{(100/2)25(100/2)50}19NT$75,000

52,500/75,000=X/24X =16.8 17 (days)

Figure3 Break-even
We can calculate how much profit at end of year one. The profit in one year is NT$ 423,600. The calculation is:
In a month
Revenue:
{(20/2)25(20/2)50}5{(100/2)25(100/2)50}19
NT$75,000 (per month)

Monthly variable cost

revenue
2

75,000
2

NT$37,500

Monthly fixed cost = ($25000 1.05) 12NT$2200

So the profit in a month75,00037,5002,200NT$35,300
The profit in one year35,30012NT$423,600