Posted: December 9th, 2014

COMPANY SUMMARY The foundation of Holiday Consultancy Company (HCC) arises from the business idea of the group of friends, sharing the same entrepreneur dream together.

COMPANY SUMMARY

The foundation of Holiday Consultancy Company (HCC) arises from the business idea of the group of friends, sharing the same entrepreneur dream together. We have a

common vision of providing the best travel consultant for customers through mobile applications of HCC.
1.    Company Structure
The company has been built based on an employee-owned model, in which:
–    Andy – Nguyen Anh Dung is the CEO of the company and the builder and developer of mobile applications which is key products of HCC.
–    Nguyen Thi Minh Thu manages HCC’s operating activities such as employees, equipment and administration.
–    Le Huynh Thuy Vanis responsible for marketing plans.
–    Both Diego AngkaWiejaya and Andrew Jonathan Chandra are financial experts so that they govern financial concerns.

The organization chart of Holiday Consultancy Company
2.    Ownership
Because of a start-up, HCC is looking for outside investment from angel investors who will own 25% of the company’s share. Meanwhile, the senior management will own

the restas the following: Mr. Andy (23%), Ms. Minh Thu (18%), Ms. Thuy Van (18%), Mr. Andrew (8%) and Mr. Diego (8%).All other financing will come from loans.
3.    Products
As we see, the rapid development of hi-tech allows people to sit at a laptop, ipad or smartphones, using the internet and do everything such as reading newspaper,

learning, playing games or listening to music for relaxing. Certainly, booking a trip or searching travel information is via the internet as well.  So HCC

introducesconvenient softwares for planning customerholiday independently and perfectly.
Key Technology:This is a mobile application which is user-friendly. For everyone from the youth to the elder,everyone can use it to search travel information they need

easily.It mainly operates on devices with IOS: iphone, ipad with social login. It means in order to read the information published on the software, you just have a

nick of any social network such as Facebook, Twitter or Google Plus. No need to waste time for registering a new account.
Costs, procuduces of building our’s HCC Mobile App on IOS:
–    iPhone, iPad universal app
–    New custom interface ($12,000)
–    Social Login  ($3,000)
–    In-app payments ($3,000)
–    User profile ($3,000)
–    Rating/Reviews ($5,000)
–    Integrated with a website ($3,000)
–    Custom icon ($500)
–    At the idea stage ($0)
________________________________________
ESTIMATED:                        US$29,500

(Reference: www.howmuchtomakeanapp.com)
4.    Intellectual Property
Patent registration is an important part of the online company.The procedures to register property owners protection engineering solutions posted product or process,

registration of patent protection must be new, involve an inventive step, to prevent the litigation cases can occur for the company in the future. Once the company

registers a patent, we can prevent other companies from suing and prosecuting.

INDUSTRY ANALYSIS AND MARKET ANALYSIS
According to United National World Tourism Organization, the number of international tourist arrivals goes to 1.087 billion in 2013. Comparing with the data reported

in 2012, the global travellers increased 5 percent. Moreover, the greatest growth in tourist arrivals by region was 6 percent in Asia Pacific in 2013, which had a

total of 248 million international travellers arrived.

In the first 15 countries that HCC’s travel application operated in, Singapore is a good example of the attractive destination in Asia for the travellers visit every

year. The number of international visitor arrivals has increased year by year, until reached 15.6 million people in 2013.

Some statistics mentioned above have shown that people are travelling more and more in the world. The tourist number grows steadily every year and is expected to rise

continuously in future.
In more detail, based on the analysis of travel industry, independent travel is a new trend of tourism that is very popular nowadays. Free independent travellers

mostly are young people, who are enthusiastic and excited to experience a new way of life. They desire to discover the real things, want to enjoy good food,

architecture and heritage of local cultures. The chart below shows that more than half of tourists prefer independently travel rather than booking a package holiday.
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In addition, understanding how the independent travellers garner information for their trips is crucial with the IT companies. In a survey from Independent Travellers’

World, it proves that the Internet continues to be a significant source for independent travellers. They have turned almost to the Internet for information collecting.

Many travel websites such as TripAdvisor.com, Agoda.com, or social networking sites (Facebook, Twitter) provide useful information as well as share the real experience

about the trips. Therefore, the travellers will be more flexible in planning a trip.

HCC business is to provide the travel application for electronic devices. There is also an information have shown the traveller behavior on using mobile phone.
?    Mobile phones are the number one item has to bring on holiday (ETB News).
?    38% of leisure travelers and 57% of business travelers use mobile for travel information (Google).
?    31% of smartphone users claim they research travel on their mobile devices (Mobile Path to Purchase).
?    49% of those using mobile to get prices for travel products do so on aggregators (Mobile Path to Purchase).
The market segmentation can be separated into the following four categories:
?    College students: (Age from 18 – 26). This segmentation is targeted at college students in the age group between 18-26. Students who wish to travel on vacation

between their terms of study/courses of study. In addition to the famous location, they will want to explore the wide range of drinks and bar at night with their

friends ->Can provide Delicious map, Hangover map and Shopping map.
?    Single business man/woman professionals: (Age from 25 – 40). This segmentation is targeted at young entrepreneurs, businessmen traveling frequently between the

ages of 25-40. Businessman/woman professionals need to perform their business transactions, the pair met, meeting with clients, and other social activities. In time

they go, they will need to entertain and will need to provide information for their entertainments. Compared with students, this segment has the potential to spend

more money on entertainment activities at night. -> Can provide Delicious map, Attraction Location map, Hangover map and Shopping map.
?    Married couples (no children), young couples: (Age from 22 – 40). This segmentation is for those in the age 22-40, the group of young people who are fall in

love or married and are interested in having fun outside their home country. Most of this group will spend the weekend at the bars and restaurants, or any of other

public entertainments. – > Can offer Delicious map, Attraction Location map, Hangover map and Shopping map.
?    Families with patients (Children, the elderly in the family need treatment. Children from 2 – 10, the elderly from 55 – 70): This segment focuses on the child

object is infected, the disease is hereditary, and old people want to be treated well in abroad hospitals. -> Can offer Health map.

MARKETING PLAN
1.    Main Competitors.
In the technology development era, HCC Company realizes that our competitors are Map application on electronic devices such as Google map and the tourism companies.
•    Google map has the advantages in showing the direction from one place to another place and users can select the type of travel using when getting to the

destinations. However, it does not suggest any destination for travellers.
•    The tourism companies are the traditional travel which offer the different travel packages but it does not flexible for travellers, they must be fixed in the

schedule of travel companies.
Realizing the industry trend and the need of customer, HCC creates an application that provides the information about attractive destinations combine with the map for

backpacking travellers who prefer low-cost and independent international travel. We have few main competitive advantages can compete with other competitors such as:
?    Suitable for independent travellers.
?    Update latest information about the changing, promotions, or events at any destination.
?    Suggest new and unique locations for travellers.
?    Offer different packages for different customer’s needs.
In conclusion, based on the research related to business that HCC Company involved, HCC’s Miracle Map is a potential product in the market.
2.    Target Market
The primary market of Miracle Map is young adults from 18 to 35 years old, who has the average income, desires to discover new things and wants to experience the life

around by themselves. Based on the customer demographics, psychographics and behavioral, HCC company divided target customers into four main groups that suitable with

our product.
?    College students (18 – 26 years old). This segmentation is targeted at college students in the age group between 18-26. Students who wish to travel on vacation

between their terms of study. In addition to the famous location, they will want to explore the wide range of drinks and bar at night with their friends => prefer

Delicious map, Hangover map and Shopping map.
?    Single businessman or woman professionals (25 – 40 years old). This segmentation is targeted at young entrepreneurs, businessmen frequently traveling between

the ages of 25-40. Businessman/woman professionals need to perform their business transactions, the pair met, meeting with clients, and other social activities. In the

time they go, they will need to entertain and will need to provide information for their entertainments. Compared with students, this segment has the potential to

spend more money on entertainment activities at night => prefer Delicious map, Attraction Location map, Hangover map and Shopping map.
?    Married couples (no children), young couples: (Age from 22 – 40). This segmentation is for those in the age 22-40, the group of young people who are fall in

love or married and are interested in having fun outside their home country. Most of this group will spend the weekend at the bars and restaurants, or any of other

public entertainments => prefer Delicious map, Attraction Location map, Hangover map and Shopping map.
?    Families with patients (children, the elderly in the family need treatment. Children from 2 – 10, the elderly from 55 – 70): This segment focuses on the child

object is infected, the disease is hereditary, and old people want to be treated well in hospitals abroad => prefer Health map.
3.    SMART Objectives
?    Marketing Objectives:
•    Develop brand image and company status through HCC official website, social network, travel agency websites in the first year.
•    Expand the market share to other
?    Financial Objective:
•    To growth constantly 10% of revenue at the end of second year forward.
4.    Promotion:
?    Prepare good reviews about HCC apps and publish them on professional forumsabout tips fortravel, tourism or backpacking travelers or technology for IOS. This

allows people to identify the usage and usefulness of HCC map.
?    Advertising on famous travel & tourism websites such as tripadvisors, booking.com, or agoda is also an effective method for HCC to enhance customer attention.

Reviews on forums usually attract the youth (16 – 36) and males who are interesting in participating in technological or other professional groups or clubs to learn

and share knowledge and experiences together; whereas travel & tourism websites are generally for everyone. Both the elder and female who are not good at surfing

internet or searching information on Google can also see the HCC map advertisements while explore hotels and restaurants on these websites.
?    Offeringtrial versions attached in each reviews or advertisementshelps people not only to hear information about HCC maps but also experience by themselves the

practicality which HCC maps will definitely bring to their trips.By showing their convenience, HCC maps can stimulate customer purchases.
?    HCC also sponsorsfor popular sport or entertainment programs such as Amazing Race. However, programs for school and students are often priority of the company.

It is firstly because the cost of sponsorship for these programs is not as much as popular ones.  Secondly and importantly, students are the ones using mobile phones

and updating technology information most usually. Once seizing their attention, the popularity of HCC map may be increased due to their word of mouth with their

friends and family.
5.    Services:
?    In addition to a user-friendly design, useful and interesting content, we also design a corner for feedback from customers. Customer satisfaction is the most

essential factor for start-ups so that good or bad feedbacks are also valuable experiences to help us to improve and develop our product as well as possible.
?    To win customer heart and build our position in the marketplace, HCC has not only continually endeavored to generate more useful innovation but the information

of HCC map will be also updated regularly which is once 6 months in order to enable customers to receive the best and newest information for their trip.
OPERATIONS PLAN
1.    Personnel:
?The scale of HCC has not been recently too large yet so that the staff mainly includes 1 CEO and 4 managers who are responsible for key activities of the company.
?    CEO – Andy (Nguyen Anh Dung): He is from Vietnam and has been HCC’s Chief Executive Office since 20th May, 2014. Mr. Andy is well organized and excellent at

teamwork, leadership and application of number skills. He is also creative and usually has innovative ideas related technology and software. He is also the builder and

developer of HCC’s key products.
?    Operation Manager – Nguyen Thi Minh Thu: She is Vietnamese and responsible for managing operating activities in the company such as employees, equipment or

administration. She graduated from the University of Economics in Viet Nam and has had many working experiences. Sheused to be an operation manager at Trip Advisors

company for 3 years so that she has many management experiences and transferable skills such as coaching, interpersonal skills and problem-solving. This is HCC’s one

of great advantages because with her experience and networking with Trip Advisors which is also the big partner of HCC; she will probable help the company grow

steadily.
?    Marketing Manager – Le Huynh Thuy Van, who also comes from Vietnam, takes charge of marketing plans. She is young but very talent. She was graduated from ERC

Institute in Singapore. Moreover, she has outstanding soft-skills such as communication, sales and presentation skills. She understands thoroughly the organizational

goals and knows exactly how to direct her department to meet those goals.
?    Both Diego and Andrew govern financial concerns. Diego AngkaWiejaya and Andrew Jonathan Chandra are financial experts, coming from Indonesia. They are very

good at figures, numbers and market analysis. Both of them used to work for Bloomberg, a leading financial news and information company.
?    5 assistants will be employed in order to assist managers in marketing, administration and other activities in the company. They can work as customer service

staff or the ones who write and post good HCC’s products reviews on popular forums to advertise HCC and their products.
?    2 network administrators also play an important role in governing the head website of the company. They are the oneswho directly follow and manage the

information published on the website.Avoid inconvenient errors to affect the organizational business and disturb customers while visiting the web.
?    A team of collaborators is needed for providing and checking the information about hotels, restaurants, other entertainment places as well as promotions of

those places before publishing it. Minimize misleading instructions to customers.

PERSONNEL PLAN
2014    2015    2016
CEO    $ 42 000    $ 54 000    $ 70 000
Operation Manager    $ 36 000    $ 48 000    $ 64 000
Marketing Manager    $ 36 000    $ 48 000    $ 64 000
Financial experts(x2)    $ 36 000     $ 48 000    $ 64 000
Assistants (x5)    $30 000    $ 42 000    $ 58 000
Network Administrators (x2)    $ 34 000    $ 46 000    $ 62 000
Collaborators (x5)    $ 24 000    $ 36 000    $ 52 000
TOTAL PEOPLE    17    17    17
Total payroll    $524 000    $ 728 000    $ 1 000 000

2.    Location of operating office
HCC is an online company with most of transaction implemented through the internet. However, there is also a home-based office for the company’s meeting, brainstorming

or signing contracts when necessary.
3.    Resource requirements
?    HCC conducts e-business mostly; thus, website building and developing, together with its security are the most essential considerations of HCC. This role will

be outsourced from Singapore Web Hosting company (link: http://www.webvisions.com/). Not only does this company support HCC in creatinga professional website for e-

business with and user-friendly payment interface but also offering modern security services to guarantee that every transaction online as well as customer information

will definitely be safe and avoid hacking problems.

FINANCIAL PLAN
Expanded P&L Statements

Expanded Cash Flow Analysis

CRITICAL RISK FACTORS
Operating an online company also involves a lot of risks and adventure, although the company does not lose money on the cost of land rent, land prices increase

per year, other related costs, but the company may have more matters affecting, for example, may have security problems, connection speed, operating system, the

legality:
?    Legality: A risk in online business is the product or services of the company may not be legal in some countries. The lack of product patent or incomplete

documents for that product in the country which company operating could pose a risk to the company or prosecuted. Also, it should be noted that the country required

collecting sales tax; the company should establish procedures to find about valid sales tax in each country to prevent illegal activity might harm of company.
?    Fraud: Fraudulent transactions on the Internet nowadays very popular. The company should have good measures to verify the customer has provided correct

information, bank account information is actually of the owner of the credit card or not. Therefore, network security problems for the newly formed online company are

very important.
?    Start-up costs: The star-up costs are also important, company must calculate the cost as website design, mobile app design, develop and maintain, patent

product and the marketing channel.