KANPUR

ENTREPRENEURSHIP PROJECT ON
GAMING ZONE IN UNIVERSITY

SUBMITTED TO:
SUBMITTED BY:
PROF. MUKESH RANGA
RISHIV SINGH
MBA(FC)
3rd SEMESTER
0131032

EXECUTIVE SUMMARY
We have made a business plan of new business idea of Gaming Zone business.
We identified the opportunity in University of Kanpur as there is no Gaming
Zone and after conducting a survey, we got positive response towards gaming
zone business in University of Kanpur. The two things which we can provide to
students through our gaming zone are the entertainment and refreshment
opportunity. We did opportunity analysis and after gathering detailed
information we came to result of opening Gaming Zone in University. We
decided the name of our gaming zone which is “University Gaming Zone”.
Through competitor analysis we get to know the strengths, weaknesses, threats
and opportunity of our business and our competitors as well. We made the
marketing plan for the successful promotion and made marketing budget as
well. In operational and production plan we showed the assets, games and
technology we need for our business to generate services and the number of
employees needed as well. We have also showed our expected suppliers and in

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financial plan we have showed all the related information of sources and usage
of capital and the capital raised through partner’s contribution and loans as well.

INTRODUCTION

We are studying in university and sometimes after long lectures we want to fresh
up ourselves and there are different ways to refresh ourselves.

According to research conducted by us in University of Kanpur 10% students are

spending their idle time in gossips, 15% are wasting sitting idle, 5% are spending
their idle time in doing study and remaining in other activities.

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We took opportunity to refresh them and providing them a good way of
entertainment in their idle time in university and that opportunity can prove a
very healthy business activity for us to earn profit. So we have decided to open a
Gaming Zone in our university. Games are healthy activity of our life. According
to some researches games are good way to refresh mind and body fitness of busy
people.

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After generation of idea, we conducted a survey in university to know about the
thinking of students regarding our business idea (GAMEING ZONE in
University) and we have very positive response. More than 70% students wish to
have a gaming zone in university.

SELECTED ORGANIZATION

CSJM UNIVERSITY:

We selected University of Kanpur (CSJMU) in which we will open a Gaming

Zone. The University of Kanpur is one of the new major public sector
universities in Uttar Pradesh.

Kanpur University was established in 1966 when Agra University split into Agra
and Kanpur universities. Mayawati, as chief minister, changed the name from
Kanpur University to the Chhatrapati Sahu Ji Maharaj University, after the
Maharaja of the Indian princely state of Kolhapur between 1884 and 1922, Shahu
IV of Kolhapur, also known as Chhatrapati Shahu Ji Maharaj.

VISION:

“To establish a market that would promote technical activities in the public and
lead that market with our long term strategies”

MISSION:

“Our mission is to make accessible various games to the customers of various

ages groups, in a sociable environment, even in the smaller cities, by using latest
technology, so as to ensure a stable growth of our business, that would ensure

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that the company’s philosophy and core competencies are aligned with our
vision and eventually, our firm projecting a positive image, not only for its own
employees, but for the University as a Whole”

LOGO:

SOLOGAN:

“THE LAND OF ENTERTAINMENT”

OBJECTIVES

Following are the objectives of our Business.

LONG TERM OBJECTIVES

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  To generate the loyal customer ship.

 To create a positive Image and good will of business

 Encourage the investors to invest in our similar future projects.

 To expand business, by increasing the Product line.

SHORT TERM OBJECTIVES

 To cover the short term expenses

 To reduce the cost, by critically analyzing the operations f the

business

 To provide friendly environment to customers

 To fulfill the need of customers from various classes of the society

COMPETITIVE ADVANTAGE

The competitive advantage for our business is that we are establishing our firm
in that area where no other company providing such type of facilities. So we are

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first advantage taker, create monopoly and earn high profit by providing
services to our customers. The whole setup of our business has the characteristics
of uniqueness in that particular area. So in this way we are facing the no direct
competition in our targeted market, but according to our vision and long term
objective, when we would expand our business, then we might have to face
extensive competition throughout the Region. So our competitive advantages
will be as follow:

 We are going to provide a completely friendly environment to our

customers

 We are going to provide different suitable packages for everyone

 The location is very attractive, so as to facilitate each segment of our target

market

 Another advantage is that we are going to target, relatively, smaller size of

market and obtain the consumers suggestions easily and we can improve
the products as they want.

OPPORTUNITY ASSESSMENT

We found our university is lacking some place where students can refresh and
entertain themselves. As we know games are a healthy activity for mind and
students also like to play games in their idle time. So we can take the benefit of
that opportunity by opening a Gaming Zone in our University. This opportunity
can give us healthy profits and can prove beneficial for us as a long run business.

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CREATION AND LENGTH OF OPPORTUNITY

This opportunity is identified by us through the process of brainstorming. The

opportunity exists yet anybody else identifies this opportunity and take
initiative. The opportunity can be converted into business only when we take
initiative. The idea and opportunity identification is good but it ’s worthless if we
are not talking initiatives for converting that idea into real world business.

RISK AND RETURNS OF OPPORTUNITY

The risk and returns we considered in this opportunity was:

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RISK:

 University will not allow us to open Gaming Zone in University. But

after sharing our idea with the HOD of Our Department this risk has
been reduced.

 We will have to build a building to open Gaming Zone in University.

But luckily university is building shops for cafeteria and for other
activities. We can take these shops on rental basis for our gaming zone.

 Students will not visit our gaming zone. But after conducting survey in
university we found that more than 70% students are willing to have a
Gaming Zone here.

 Someone else takes initiative for opening gaming zone before us and
take advantage of opportunity is also a risk for us.

 Another risk we are considering is availability of finance.

 In this modern world, the technology is rapidly changing because of

that the risk of existing technology becoming outdated is constantly
there.

RETURNS:

We expect to receive return in following ways:

 We can receive membership fee from students.

 We will be able to earn lot of profits because of our monopoly.

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  We can earn by organizing events in our gaming zone.

 Gaming Zone is a passion for us. So internal satisfaction is the highest

return for us.

OPPORTUNITY VERSUS PERSONAL SKILLS & GOALS

The opportunity we are taking and starting business also needs our personal
skills. So it’s very important to have skills regarding that business.

We think we have skills needed for our business. Being a student of Business
Administration we can run promotion activates our self in university. Games
knowledge and skills are also there because of our interest in games and updated
knowledge of new games. The goals are to earn profit and providing students a
platform for gaining refreshment.

So we are sure that our skills are enough for that opportunity and the
deficiencies of skills will be cover up with the passage of time and experience.
This opportunity also matches goals.

COMPETITVE ENVIRONMENT

The environment is not very much competitive for this opportunity.

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But the threats we can have are:

 New technology which will result in outdating of our technology.

 New people with new ideas in the form of Gaming Zone.

 Risk of loss is always there because of doing business first time.

BENEFITS

Followings are the benefits of our business:

 We can earn huge profits because of our monopoly.

 We can be our own boss.

 We can provide employment opportunities through our business not

only to general people but also to our university students.

 Earnings of university will increase.

 Good addition in the university leading towards increase in the

reputation of university.

 Good source of spending idle time for students and refreshing

themselves.

 Psychologically it’s a good way to create good memories in friends.

Where they will be able to spend time and enjoy with each other.

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 ENVIRONMENTAL ANALYSIS

The followings environmental factors will affect our business.

 ECONOMIC CONDITION:

It means the current economic condition of our country and how our business
will affect the economic conditions of the country. And how our business will
affected by economic condition.

The UNIVERSITY GAMING ZONE will play its minor role in the improvement
of economic conditions. This new business will provide the employment
opportunities to the people of Kanpur. In this way the unemployment rate will
reduce in this area. Government will get the taxes as a result of business not only
from our business but also from the other sectors connected with us. Per captia
income of employees will increase and as a result of these the lifestyle of city ’s
people also increases.

The purchasing power of people is increase and demand also. Through this
UNIVERSITY GAMING ZONE will generate income from its own resources that
use in many projects. We need loan for starting business, but the interest rate is
very high due to this our cost will be increase. Inflation rate also increase day by
day due to this our profit margin will be reduces and cost of project increase.

 SOCIAL CONDITION:

For last few years India has rapidly shown a growth in IT sector. Many new IT
domains and startups have evolved and are providing the best services possible.
Many technological trends are being adopted by the youth like freelance web
development, designing, blogging and so on; but the activity that is most loved
by teenagers is gaming.

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These days guys and girls both love to play games especially online multiplayer
games. Gone are the days of playing arcade games on computer – now it ’s the
online networking games’ culture. Groups of friends’ buckshot each other on
MOHAA (Medal of Honor Allied Assault) or dominate each other on WOW
(World of War craft). But to enjoy all these games not everyone has broadband
connection at home. So, teens turn to gaming zones, the breeding place of future
pro-gamers.

Gaming zone is like a paradise for teens. Dimly lit room filled with neon lights is
what teens love. Trance background music and soothing environment, a dream
place to enjoy free time. People want places where they can enjoy and release
their mind from tensions of daily work load. Social condition is favorable for our
business. Our business will also take the Ethical Rules into the considerations.

 LEGAL CONDITIONS:

There are no specific rules and regulations for the gaming zone business in India.
These are same as for the sole proprietorship and partnership business.
Although the legal status of the business tends to play an important role in any
setup, the Gaming Zone business is proposed to be operated on a sole
proprietorship basis which may extend to partnership in case of future
expansion.
The Legal Requirements by the University should be full filled and rule and
regulations should be taken into consideration for our business by us.

 TECHNOLOGICAL CONDITIONS:

Technology is available easily and on high rates now a day. Every day IT Sector
introducing the new technology which is faster and easy to use at high prices.

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Due to the introducing of new technology in games, our business has consistent
threat from changes in technology. It also increases the cost of our business. For
new technology understanding we need skilled and trained persons who are the
expert in IT field. Games companies are introducing new games with good
stories, action, graphics, 3D effects and lot more every day. IN India technology
is introduced step by step. The technological conditions are becoming favorable
for the business of gaming zone. So we should hold up to date technology for
providing good and quality services. Because the university students are well
aware from new technology. The technology which we have for our
UNIVERSITY GAMING ZONE is computers, LCS’s, video games etc.

 POLITICAL CONDITION:

For the starting of any business, the investor should analysis the political
condition of specific country. If the policies of Govt. are stable then it is favorable
for business. The tax rate is reasonable, provide rebate in excise duty, security to
wealth, no chances of war, no tight rules and regulation then a business will
efficiently operate in the country. But unfortunately in India the political
condition is not good so we have threat from the increase rate of tax and
insecurity. And also there is no peace in India.

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 INDUSTRY ANALYSIS

CURRENT DOMESSTIC GAMIING ZONE INDUSTRY

STRUCTURE:
In India, the leading name in gaming zone market is “Wired up Gaming Zone ”.
A recent announcement of 'Electronic Sports World Cup (ESWC) Paris' for the
year 2007 that the winners of ESWC India qualifiers 2007 will be sent to Paris to
participate in the Grand Finals of the ESWC 2007 is a great step for the up
comings of India electronic sports. Different tournaments of LAN gaming are
held all over the world which includes both national and international status.
Internationally “world cyber games (WCG)” & “Electronic Sports World Cup
(ESWC)” acquire the highest names when it comes to international gaming
tournaments.

The major games played in Gaming zones are:

 Counter Strike

 Dota

 Warcraft

 Call of duty 4

 FIFA

 Need for Speed

 Car Racing

 Air Hockey,etc

INDUSTRY OF GAMING ZONE OUTSIDE INDIA

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The Gaming Zone Business is very popular in foreign countries like UK,
Australia, China and America etc. The Gaming Zone Industry is growing in
developed countries. The technology is faster, cheap and affordable in these
countries. Now in developing countries like India and India the Gaming Zone
Businesses are making place in the society and these business are seeking the
attention of new entrepreneurs.

COMPETITOR ANALYSIS

DIRECT COMPETITORS:
As we are starting UNIVERSITY GAMING ZONE in University of Kanpur and
there is no such type of Gaming Zone for the Students in this area. So we don ’t
think we have any direct competitor in that location where our business exists.

INDIRECT COMPETITORS:
The competitors who influence our business indirectly are considered indirect
competitors. In university and outside the university we have many indirect
competitors.

INDIRECT COMPETITORS IN CSJMU:

Followings are the indirect competitors within the university considered by us.

 CANTEENS:

Canteens provide the refreshment opportunity to students. Where they can

spend their idle time and can enjoy. They are not providing the games for

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students for entertainment. So we cannot consider canteens as our direct
competitors. These are our indirect competitors.

 UNIVERSITY GYM:

Students also like to spend their time in gym with friends especially hostel
students. So these are also our indirect competitors.

 INDIRECT COMPETITORS OUTSIDE UNIVERSITY:

 Multiplaya Game Zone:

The MGZ in Kanpur City is our indirect competitor. There is Joy Land where
there are different games for the enjoyment of people. It does not directly target
the CSJMU students but targeting the general people, CSJMU students also
comes to its target market. But the timing of university still exists. Students in the
university can’t go to MGZ.
But in university they can go to UNIVERSITY GAMING ZONE in the time of
gap between their classes.
All other places providing followings games in City Kanpur are our Indirect
Competitors.

 Computer Games

 Snooker

 Hand Ball

 Table Tennis etc

 UFC:

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University food Corner can also our indirect competitor because it target market
is university students.

DEMAND OF OUR PRODUCT

We have conducted a survey for the purpose of checking the interest of students,
their views about the gaming zone in university and their willingness to visit our
gaming zone in the university. We got a very positive response. More than 75%
students are demanding the Gaming Zone. Through this survey we can
understand that the demand for gaming zone exist in the university.

COMPETITORS AND FULLFILMENT OF CUSTOMER

NEEDS

Our expected competitors are not fully satisfying the customer ’s needs. They are
providing good ways of spending student’s idle time and through this earning
money but they are not proving any sort of games to the students with in the
university. So we can say that our competitors not completely fulfilling the
CSJMU students. It is good opportunity for us to target this market by
developing gaming zone.

PRODUCTION TECHINIQUE

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In our UNIVERSITY GAMING ZONE we use different machinery for providing
services to our customers for computer games. The manual games like snooker,
hand ball, Air hockey etc. we use different material.

MARKET RESEARCH PLAN

The marketing research cost is very high but it provides valuable information
about business. It involve gathering of data in order to determine such
information as: who will buy the product or services, what is the size of market,
what price should be charged, what is the most appropriate distribution channel,
and what is the most effective promotion strategy to inform and reach the
potential customers. We conducted market research to collect all information
about business to earn high profit. The marketing research plan consists of four
steps.

 Defining the purpose or objectives

 Gathering of data from Secondary source

 Gathering information from primary source

 Analyzing and Interpreting of Result

DEFINING THE PURPOSE OR OBJECTIVES:

The objectives of our marketing plan with respect to the customers view point.

 What type of benefit they want from our services?

 How many people are willing to buy our products or services?

 How much amount they are willing to pay for using our product or
services?

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  Where would customers prefer to purchase the products or services?

 Where would our customer expect to hear about or learn about our
product or services?

For achieving the objectives of our marketing plans we conduct research and
collect information by using different sources.

GATHERING OF DATA FROM SECONDARY SOURCE:

We search on the net through different websites. We got a lot of data about
gaming zone. We read different article about games. Games are very healthy for
human being. It provides relaxation to human being especially student’s minds,
but it tells us only about industry of I.T, rules and regulation and importance of
games. The IT industry is well developed in India. So there are relevant articles
and data about the Indian people.

According to industry analysis, the games trend emerges in India for last few years.

According to our point of view secondary source of data does not provide us
information that the opening of UNIVERSITY GAMING ZONE in CSJMU is profitable
or not for us. And also not provide information about the needs and wants of our
targeted customers. So for the expansion of our knowledge we go to primary source of
data gathering.

GATHERING INFORMATION FROM PRIMARY SOURCE:

Primary source is most reliable source for gathering information related any
matter for taking decision. But it is more expensive and time consuming process.
There are many ways for data gathering like survey, questioners, face to face
interview, and focus group but we use questioners for conduct research from
CSJMU’s students.

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According to students answer, they feel need of gaming zone in CSJMU for
enjoyment in free hours. There is no facility for students to enjoy their free hours
in games. It is also profitable business for us, because all university students are
interested in gaming zone. It is a healthy and good refreshment opportunity for
CSJMU’s students. This is the good opportunity for university students to get
employment especially IT student and management students.

ANALYZING AND INTERPRETING OF RESULT:

We gather data from both primary and secondary sources for the starting of new
business UNIVERSITY GAMING ZONE in CSJMU.

The games are healthy activity for human mind according to research. It is good
opportunity for us to open gaming zone in CSJMU, because it is ignored market
we can say it is niche market. A niche market is said to be where no person
provide facilities of games to CSJMU students.

So there is no competitor in that place, we can create monopoly and earn high
profit by selling our services. This business is not only profitable for us but also a
source of revenue for University Of Kanpur. This is additional facility for
students which increase the goodwill of university. So by getting all information
relevant to industry and customer analysis so we will start business.

TARGET MARKET:

“A group of people for whom the marketer designs the marketing mix is called
the target market. Our Gaming Zone is a newly established company with
limited resources so we will use concentrated marketing& coverage strategy.

Through this strategy we would be able to achieve a strong market position

because of its greater knowledge of consumer needs in the niches it serves and
the special reputation it acquires.

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We can market more effectively by fine tuning our products, prices and
programs to the needs of carefully defined segments. In using this strategy we
will adopt the pattern of single segmentation i.e., one product for one market to
check its responses.

SWOT ANALYSIS

STRENGTH AND WEAKNESSES OF VENTURE

STRENGHTS:

 We will have following strengths of our business.

 Monopoly in university of Kanpur

 Big Target market (all university students which are approx 12000 in
numbers)

 New Computer Games

 Good Location

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  Interest of students in Games

 Easy Promotion

 Lower Cost than comparable Competitors

WEAKNESS:

We will have following weakness of our business.

 Small Place of Business

 Lack of technical know how

 Lack of skilled and trained employees

 Poor marketing

 Access to Resources

 Expensive Games and Hardware

MARKET OPPORTUNITY AND THREATS

OPPORTUNITY:

We can have following opportunities of our business.

 Expansion of Business

 Adding Conference Room

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  Events Management in University (Parties)

 Adding fast food or mini mart in Gaming zone

 A new emerging or developing market(niche product, place, less

competition)

 New Technology

 Increasing the purchasing power of customer.

THREATS:

We will have following threats of our business.

 Lack of energy resources

 Rapidly changes in technology

 Less business activities in summer

 New competition in the market, possibly with new products or

services

 Availability of resources

 Change in Political and Economic condition

 Taxation

 Price War

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  Loss of Business

COMPETITOR ANALYSIS

STRENGHTS:

Followings are the strengths of our direct and indirect competitors.

 Loyalty of customers

 Good will

 More Resources for expansion

 More experience and knowledge

 Business location

 Quality of products and services

 Motivation to cooperate

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WEAKNESS:

Followings are the weakness of our direct and indirect competitors.

 Direct Competitors are outside university and students don’t go to them

while university hours.

 Lack of Technology

 Expensive Games and hardware

OPPORTUNITY:

Followings are the opportunities for our direct and indirect competitors.

 Using Resources for expansion

 More Promotion

 Using experience for the development of business

 Penetration in new markets due to high resources

THREATS:

Followings are the threats for our direct and indirect competitors.

 Energy breakdown

 Threat of new competitors

 Taxation

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  Economic Condition

 Rapidly change in Technology

MARKETING MIX FOR GAMING ZONE

PRODUCT:

The products which we offer in our business are following:

 Table tennis

 Hand ball

 Snooker

 Computer games

 Shooting

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  Bowling

 Gymnasium

Above are the products or services which we offer to our customers. The strategy
which we use for the production of our services is marketing concept (pull
strategy) firstly we identify the need of our targeted customer, e.g. CSJMU
students feel the need of a place which provide them mind relaxation after the
study in free hour. By identifying their needs and wants we provide them their
desired satisfaction through gaming services better than competitors ’ do.

PRICE:

Price is a component of an exchange or transaction that takes place between two

parties and refers to what must be given up by one party (i.e., buyer) in order to
obtain something offered by another party (i.e., seller).

We will charge fee according to game.

PRICING STRATEGY

The pricing strategy which we will use according to the research and data
gathered and the situation prevailing in our target market is value based pricing
strategy.

VALUE-BASED PRICING:
Pricing a product based on the perceived value and not on any other factor.
Pricing based on the demand for a specific product would have a likely change
in the market place.

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We know that we are the sole authority providing gaming zone facility to
students. So we have our monopoly here. The perceived value of our services is
high. So we can charge according to our will and according to the demand of our
services.

PLACE:

We started our business in University of Gujarat (CSJMU). It is access able for all
university students easily in free hours. Our all products or services are
available in CSJMU.

PROMOTION:

After starting business and providing our product or services in the market and
getting place in the market our next step is to promote our product through thick
or thin. In order to get high market share and loyalty of customers. We use two
types of advertisements in order to promote our services.

 Print Media

 Press Media

 Electronic media

 Other Sources

CONTROLS:

We will monitor our action program on quarterly bases. For this we get
information from our customers by conducting their interview, survey, and ask
question from them about

 Services Qualities

 Advertising Methods

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  Prices of Services

 Placement of services

 Company earn reasonable profit

 Sales level of services

If we will find any weak point and feel we are not achieving desired objects.
Then it is opportunity for us to redirect or modify the existing plan to achieve the
firm’s desired objects and goals.

CAPITAL REQUIRMENT

In our business we can meet our capital requirement through

 Banks loan

 Additional capital contributed to each partner

 New partnership agreement

MANAGEMENT CONTROL

We are four partners of our firm so we are all take part in management of our
business. The environment change day by day so we will not mention who take
active part in decision making so we will not mention sensitive matters on
agreement .It all depend on the condition.

DISTRIBUTION OF PROFIT AND LOSS

We can distribute profit and loss of firm according to

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  50, 50 profit/loss margin

 On the contributed part of capital

 On the base of skills (may be not contribute capital but his skills are
very beneficial for the firm)

HIERARCHY

OPERATIONAL PLAN
The operational plan includes all processes, activities and operations that are
necessary to run a business. The operational plan of our Gaming Zone Business
includes the following activates.
PURCHASING:
We first of all have to purchase the following assets for the operations of our
business from different suppliers and brings it into functional position and
afterwards maintaining it.

Equipment Quantity

Computers with high

5
specifications

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 LCD’s 5

PlayStations 5

Air Hockey
2

Hand Ball Game

2

Table Tannis 1

Carom 2

Chees 2

Shooting 2

OPERATIONS IN GAMING ZONE

Operations will be performed in the following way which is explained in steps.
Whenever customers will come to Gaming Zone:

 Our operation assistant working as front desk office also guide them
about requirements to play games like Computer Games, Hand Ball,
Snooker, Table Tennis, Carom, Shooting, Monopoly, Puzzle and Chess.

 There will always be a IT specialist for handling any faults in games at the
spot.

 We will get proper feedback by our customers with the help of comment
cards and verbally about our products and services regarding the games
operation and about our staff for regularly improving our performance.

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 STAFF FOR OPERATIONS OF BUSINESS
We are four partners and we will also perform our services in our business
saving the cost of extra employees.

 One of us will be on Reception.

 One in the computer games area.

 One on Table Tennis Side

 One will see the snooker, hand ball and shooting game.

NOTE: The duties will be change. Girls will guide girls and boys will guide
girls. If anyone is on leave then other present partners from us will manage and
perform his/ her duty.

Our staff which will be required for operations of business includes:

 One Permanent IT Specialist

 One person working as a sweeper and other extra works

PRODUCTION PLAN
SERVICE CREATION:
This means that how we can produce services and how we will deliver the
services to our customers in business.

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SNOOKER:
We provide an opportunity to students that if they wish to play a snooker game
in safe, calm and cool environment they come and join us and enjoy pleasant
time with their friends in a Gaming Zone.
Our Gaming Zone will provides a splendid environment of snooker area, as it
will includes 2(12x6) size tables prepared with superb material.

TABLE TENNIS:
We will also provide another opportunity for students in the shape of this game
so that they energies their self in a proper way and with positive game. They
spend their leisure time in a way where they learn world class game and enjoy
their gathering.
We provide 1 table tennis tables with choice of single and double players. We
will charge hourly basis for this game and provide a great time to each
individual for playing this game on superb equipment.

CAROM, CHESS, PUZZLE AND MONOPOLY

We will also provide these different games for the students to enjoy their spare
time with friends in a good way by using mind game.
Card board games include monopoly and word puzzle. Word puzzle game is
also a very good mental and IQ game that groom ability of strong thinking and
good judgment.
COMPUTER & PLAYSTATION GAMES
We will also offer the advance computer games, PS2 and PS3 Games like:

 NEED FOR SPEED

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 COUNTER STRIKE

 FIFA 2010

 GOD OF WAR

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These games are attracting and liked by not only kids but also by adult people.
Because due to the technology of LAN we can also conduct competitions among
students. We can also attract them by offering rewards for the winners of
conducted completion. We will take entry fee from all parties involved in
competition. We will charge per hour for these games. The price will be set
according to the demand. We will provide 5 computers and 5 PlayStations for
games.
NOTE: we will expand our gaming zone and games in it day by day after
earning profits.
GUN SHOOTING:
We will also include the area where we will provide the students artificial gun
where they can shoot the targets. To make this game more attractive we will give
the prize (Chocolate or other stuffs) to the individual who will shoot the target
according to our set criteria of game.
HAND BALL:
Hand Ball game is one of the very popular games. We will provide 2 hand ball
games in our gaming zone.
NOTE:
All the above games are our Assets which will produce the services through
which we will generate Sales.

COMPUTERS, PLAYSTATIONS AND LCD’S:

We need advance computers with:

 Fast Processing Speed

 More Ram and Hard Disk Storage Capacity

 Fast Processor

 More importantly high resolution Graphics Card

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  SP2 & PS3 or Xbox 360

 LCD’s

All this technology is available everywhere but we will buy these from Delhi
from the shop of our relative name Mats Computers. He will provide us all the
above technology at minimum cost.

FINANCIAL PLAN

SOURCES AND USES OF FUNDS

The ratio of the partners is as follow:

Partners Contribution Ratio 25%

Our total capital will be Rs. 3000,000 out of this capital the partners will
contribute round about 15,00,000 and the remains will be raised from financial
institutes like : banks and university student loan etc

Capital to be Brought in by Partners = Rs. 15, 00,000

Borrowed Amount (Loan) = Rs. 15, 00,000

Total Initial Investment Rs. 30, 00,000

KEY ASSUMPTIONS

 Revenue is Increased @ 20% per Year

 Cost of Services is Increased @ 15% per Year

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  Salaries are Increased @ 5% each Year

 Repair and Maintenance Expenses are Increased @ 20% each Year

 Fuel and Utilities Expenses are Increased @ 10% per year

 Retained Earnings are 75% of the Net Income

 Interest Rate on Loan is 14%

 Rental value of tender increased annually by 10%.

Other assumptions are further mention in the notes to these projected financial
statements.

UNIVERSITY GAMING ZONE

INCOME STATMENT
FOR THE YEAR ENDED ____.

 DISCRIPTION REF. RS.

NET REVENUE 01 5,896,800
Salaries 02 1452,000
Stationary Expense 1,000
Rent Expense 03 1200,000
Marketing and Promotion 04 16,000
Repairs and Maintenance 250,000
Electricity Expense 500,000
Phone and Internet 96,000
Misc Utilities 50,000
Depreciation Expense 05 195100
Total Expenses 3760100
OPERATING PROFIT 2136700
EBIT 2136700

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Interest on Loan Expense 210000
Profit before Tax 1926700
Tax (5%) of N.I 96335
NET INCOME 1830365
 
Retained Earnings 75% OF 1372774
N.I

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 UNIVERSITY GAMING ZONE
BALANCE SHEET
AT THE YEAR ENDED ____.

ASSETS RS
FIXED ASSETS
Snooker 160,000
Carom 2000
Computers 600,000
Play Stations 125,000
LCD’s 250,000
Sound System 50,000
Furniture & Fixture 300,000
Projectors 75,000
Office Equipment 10,000
Security Cameras 15,000
A.C.s 100,000
Generator 200,000
Lights fans And Décor 50,000
Table Tennis 25,000
Shooting Gun 25,000
NET FIXED ASSETS 19,87,000

CURRENT ASSET
Cash in Hand 3,00,000
Cash at Bank 5,10,000

TOTAL CURRENT ASSETS 8,10,000

TOTAL 27,970,000

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 LIABILITIES RS.
Loan 15,00,000
Profit Payable to Partners 200000

TOTAL LIABILITIES 1700000

EQUITY
Retained Earnings 1372774
Capital 275774
 
TOTAL 2797000
NOTES:
NOTE # 1
TOTAL ANNUAL REVENUE
Year 1 (Rs)
Total Annual Revenue from Games 5,896,800

TOTAL REVENUE 5,896,800

It is assumed that:
 There are 360 working days in a Year.

AVERAGE DAILY REVENUE FROM GAMES

Games Description Rates in Minimum Equipment Available Usage D

Rs. Players Rev

Snooker 6x12 Table 100 2 2 8

Carom 50 2 2 5
Table Tennis Single Player 100 2 1 5

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Shooting Gun 30 1 2 8
Chess 100 2 3 3
Card-Board Monopoly 75 2 2 3
Word Puzzle 50 2 2 5
Computer 100 1 5 7
Games P.hour
Play Stations Single Player 100 1 5 7
P.hour
Total Revenue 1

NOTE # 2
SALARY

Year 1
DESIGNATION SALARY/MONTH RS
(RS.)

General Manager 25,000 300,000

Manager Operations 25,000 300,000
(Computer Games )
Manager Marketing & 25,000 300,000
Promotions
Manager Operations (Manual 25,000 300,000
Games)
IT Specialist 15,000 180,000
Sweeper 3,000 36,000
Security Guard 3,000 36,000

Total 121,000 1452,000

Note # 3
TENDER RENT MONTHLY
The building is acquired on Rent and as per agreement the monthly rent for the
building is Rs. 60,000 for the first 5 years. The Rent for the First year is to be paid
in advance
Monthly Rent = Rs. 100,000
Annual Rent = Rs. 100,000 x 12 = Rs. 1200,000
NOTE # 4

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 MARKETING AND PROMOTIONS

Units Cost/uni Total Annual

t Cost
Rs Rs Rs

Banner (Flex) (i) 1 8,000 8,000 8,000

Brochures 2,000 3 6,000 6,000

Standee 2 1,000 2,000 2,000

Total 16,000

NOTE # 5
DEPRECIATION

ASSETS COST RESIDUAL BOOK VALUE DEPRECIATION ANNUAL

VALUE RATE DEP
Snooker 160,000 20,000 140000 10 14000
Carom 2000 500 1500 10 150
Computers 600,000 75000 525000 10 52500
Play 125,000 15000 105000 10 10500
Stations
LCD’s 250,000 30000 220000 10 22,000
Sound 50,000 5000 45000 10 4500
System
Furniture 300,000 50000 250000 15 37,500
& Fixture
Projectors 75,000 10000 65000 10 6500
Office 10,000 500 9500 10 950
Equipment
Security 15,000 2000 13000 10 1300
Cameras
A.C.s 100,000 20000 80000 15 12000
Generator 200,000 40000 160000 15 24000
Lights fans 50,000 2000 48000 10 4800
And Décor
Table 25,000 3000 22000 10 2200
Tennis
Shooting 25,000 3000 22000 10 2200
Gun

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 Total 2087000 195100

CONCLUSION:

According to research conducted by us in University of Kanpur 10% students are

spending their idle time in gossips, 15% are wasting sitting idle, 5% are spending
their idle time in doing study and remaining in other activities.

We took opportunity to refresh them and providing them a good way of

entertainment in their idle time in university and that opportunity can prove a
very healthy business activity for us to earn profit. So we have decided to open a
Gaming Zone in our university. Games are healthy activity of our life. According
to some researches games are good way to refresh mind and body fitness of busy
people.

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 APENDIX

We the students of MBA 3rd semester at CSJMU are going to conduct a research on the
“making a Gaming Zone in CSJMU”, and we have to collect some data about the
opinions of students of CSJMU. All data will be kept confidentially.

Name______________ Gender_____________

Department__________ AGE :( 18 - 25) / (26-35)

Tick the suitable answer.

 Games are healthy activity for students.

 Strongly Agreed (B) Agreed (C) Neutral

(D) Disagreed (E) Strongly Disagreed

 I did in my spare time in university.

(A) Sit Idle (B) Play Games (C) Gossips

(D) Study (E) Others

 I am interested in playing games.

 Yes (B) No

 Games I like to play.

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  Play Station or Computer Games

 Cards

 Snooker

 Table Tennis

 Hand Ball

 Bowling

 Others

 Time which I spend in playing games.

 Half Hour (B) One Hour (C) Two Hour

(D) More than two hour

 I feel that university must provide the facility of playing games on daily
basis.

 Yes (B) No

 University has the gaming zone facility for students.

 Yes (B) No

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 I want to have gaming zone in university to enjoy various games with my
friends.

 Strongly Agreed (B) Agreed (C) Neutral

(D) Disagreed (E) Strongly Disagreed

 I feel it’s a good way of providing refreshment opportunity for students.

(A) Strongly Agreed (B) Agreed (C) Neutral

(D) Disagreed (E) Strongly Disagreed

 I like to visit gaming zone if it exist in university.

(A) Strongly Agreed (B) Agreed (C) Neutral

(D) Disagreed (E) Strongly Disagreed

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