Automotive Business Plan

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2.0 Company Summary

Jun Racing Technology is a newfound company, we seek to provide and supply entry-level track racers with reasonable priced products for their cars and premium service upon our operations initiation.

2.1 Company Ownership

Jun Racing Technology is a subchapter S corporation located in Petaling Jaya, owned entirely by Jun and Tyng Chew.

2.2 Start-up Summary

Our primary establishment costs include components of computer hardware, professional industry software and setup substantial support facilities. Such as field rent, telephone line, basic office tools, tables and chairs, parts storage shelving units, various warehouse equipment, and a company pick-up truck and tow truck.

We will commence with approximately three months' of accessible inventory. A vast majority of our assets are consist of current inventory and the initial available cash balance will not be as momentous and limited. Thus, the underlying objective of this business plan is to assure further financing for additional funding.

Start-up Chart (Adepted):

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2.3 Company Locations and Facilities

We plan to locate our garage at 692 Jalan 17/22, Petaling Jaya. This strategic location grants us high brand name penetration rate because of its exposure to high traffic area along with convenient access for touring race teams that need to stop at our garage for extensive services.

As for demographic analysis, our targeted consumers will be mostly 25 – 45 years old men of any race (Malay, Chinese, Indian, natives and so on) with stable financial resources and monthly income of RM 5,000 and above. We also target the children (futuristic planning), relatives, siblings and peers of the people employed within the industry that took racing as a hobby.

Our garage is also located in the central of the state and city. It is easy and convenient for customers that want drop by as our banner will be showing up in the “hotspot”, which is difficult to miss out while driving around.

The Facility

For start-up, we will be renting over 5,000 square feet of commercial unit, spacious enough to fit all the facilities and equipment. Next, we will expand another 2,000 square feet into the field for our office.

Overall, there will be a showroom, office space, and warehousing. Loading and unloading of shipments will be carried out at this location, so do servicing and tuning. Sufficient parking space will be provided necessarily.

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3.0 Products

Jun Racing Technology will sell any racing related products to the entry-level/ rookie racer. These products range from engine and chassis parts as well as refined safety and set-up equipment. We also provide specific service such as car scaling service intended for track-based race cars.

3.1 Product Description

We will assist our customers in choosing the parts that fit best for their application and usage at a very competitive and reasonable price. We provide customer service to assist and counsel the customer to solve their difficulties or questions.

Although our primary target market is the entry-level racer, but our overall product mix will be thoughtful enough to fulfil most of the needs of higher-end racers. To solidify availability, our operation will start from Monday to Saturday with more than 10 hours per day.

Entry-level and rookie racers' prefer low prices and that is indeed, our strength and advantage. We offer products in lower price and maintain the performance figures and safety concerns at the same time.

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4.0 Market Segmentation

Jun Racing Technology operates as a specialty retailer, a reliable supplier of parts and services to the entry-level and rookie racers.

We expect our target customer in this field or segment will have a certain level of both racing skills and automotive knowledge, we are to serve them in a good manner not only by offering parts at an reasonable price, but also by providing them practical and friendly advice that assures their improvements when it comes to track performance.

On the other hand, we seek to offer a helping hand to those who are just about to start out and struggling to keep up. We save their time and money by appraising what they need and guide them toward the proper product with our past experience in this field. We will build and maintain customer loyalty by dealing in an honest and ethical manner at all times.

Availability is very crucial perspective in which customers tends to want immediacy, local solutions to their difficulties, problems and needs. We are positioned at the lower end of the market, we will mainly help consumers just getting into racing, and to help them grow so that we can grow with together at some turning point.

4.1 Potential Competitors Attributes

Some of our potential competitors’ prices are high, and they do not have much interest in the entry-level market. According to analysis, some local consumers buy from our distant competitors for their price because of a lacking of local suppliers, in which we can counter with hasty delivery

In contrast, we have a respectable amount of reliable knowledge and experience combined to fulfil our consumers’ needs. Some of our competitors sell used parts and sell a minimal amount of new parts, which is definitely out of our concern.

Our strategic location also boosts our confidence comparing to other competitors. We found that some of them do not even have a catalogue, whereas we will have a feasible professional catalogue printed in full colour.

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5.0 Marketing Strategy

The following strategies