Program Supported by Walton International (Hong Kong)
Business Plan
August 20, 2010
I hereby Certify, that this Business Plan(M.S Word format), Business Plan Presentation(M.S PPT format), Business Plan Team Introduction (M.S.PPT format)co-written by Joseph Z. Zheng (Tsinghua University), Selina K. Ma (Fudan University), Stanley C.K. Ho (Yale University), Mark T.P. Choi (Peking University), Sophia Y.Y. Xu (Xiamen University) was filed on 20 June 2010, with perpetual preservation, and that a diligent examination has been made of this Plan index for the authenticity, logicality and integrality of the data, sources of information and structure with organizing committee of BPC for a certificate, and upon such examination, no such certificate, order or record has been found, and that so far as indicated by the records of this Committee, such plan is an existing original Business Plan. .
Confidentiality Agreement
The undersigned reader acknowledges that the information provided by
_________________________ in this business plan is confidential; therefore, reader agrees not to disclose it without the express written permission of _________________________.
It is acknowledged by reader that information to be furnished in this business plan is in all respects confidential in nature, other than
information which is in the public domain through other means and that any disclosure or use of same by reader, may cause serious harm or damage to
_________________________.
Upon request, this document is to be immediately returned to
HCIA & Compony
___________________
Signature
___________________
Name (typed or printed)
___________________
Date
This is a business plan. It does not imply an offering of securities.
目录
Part 1 Executive Summary ................................................................................................................ 4
1.1 Objective: .......................................................................................... 错误！未定义书签。
1.2 Mission: ............................................................................................. 错误！未定义书签。
1.3 Key to success .................................................................................... 错误！未定义书签。 PART 2Company Summary .............................................................................. 错误！未定义书签。
2.1 History ............................................................................................ 错误！未定义书签。
2.2 Target Group .................................................................................. 错误！未定义书签。
2.3 Market Position ................................................................................. 错误！未定义书签。
2.4 Walton today ..................................................................................... 错误！未定义书签。
Part 3 Products ................................................................................................................................. 5
3.2 Product SWOT analyses ..................................................................... 错误！未定义书签。
Strength ........................................................................................... 错误！未定义书签。 Weakness: ....................................................................................... 错误！未定义书签。 Opportunities: ................................................................................. 错误！未定义书签。 Threat: ............................................................................................. 错误！未定义书签。
Part 4 Market Analysis Summary ...................................................................................................... 6
4.1 Market Segmentation.......................................................................................................... 8
4.2.1 Distributing a Service ............................................................................................. 10
4.2.2 Competition and Buying Patterns .......................................................................... 10
4.2.3Main Competitors ................................................................................................... 11
Part 5 Strategy & Implementation Summary .................................................................................. 12
Market Background ................................................................................. 错误！未定义书签。 Market Segmentation ............................................................................. 错误！未定义书签。 Market Opportunities ............................................................................. 错误！未定义书签。 Product strategy ...................................................................................... 错误！未定义书签。 Based on the contribution rate to profit, considering potential clients preferences from survey, we focus on developing our life protection & investment plans or packages.错误！未定义书签。
Positioning Statement ............................................................................................................. 13
Pricing Strategy ....................................................................................................................... 13
Promotion Strategy ................................................................................................................. 12
Part 6 Management summary ........................................................................................................ 14
6.1Organizational structure..................................................................................................... 14
6.2 Structure analysis .............................................................................. 错误！未定义书签。
6.3 Other solution ................................................................................................................... 15
Part 7 Attachment ........................................................................................................................... 16
Part 1 Executive Summary
1.1 Objective:
Non financial goals:
1. Make Walton well-known in big cities such as Beijing and Shanghai in China in the first year
and Establish the basic places of Walton in the main cities in the first five years
2. build up a solid relationship with customers and let them feel our loyalty
3. To provide real estate investment products with good quality
Financial goals:
1. To ensure a return on program investment of at least 12 percent in five years
2. Try to obtain a real(inflation-adjusted)growth in earnings above 14 percent.
Ultimate goals:
1. We aim to be able to stand stably in the mainland market
2. We can establish a reliable sales process which can ensure a return for at least 15 percent
1.2 Mission:
1. Make the questionnaires and do the market survey both through the market directly and on the internet to get the data, then according to the data we get the information about who have the desire to invest our solid.
2. Combine three new ways to attract people to know and invest on our program .
1.3 Key to success
1. Make an efficient business plan ,especially specific promotion .
2. According to the market to make particular products for China.
3. The reputation of Walton must be known in China.
4. Make a good relationship with government and the be loyal to our clients.
5. Ensure the basic skills of our sales team.
PART 2 A Introduction of Walton
2.1 History
Patrick J. Doherty, a Calgary native and distinguished member of the real estate industry, founded Walton International Group Inc., a privately owned family company in Calgary, Alberta in 1979. In 1972, Patrick founded Doherty Brothers Realty, a real estate agency headquartered in Calgary, Sensing greater opportunity in large-scale commercial properties and investments, Patrick
closed the residential division of Doherty Brothers Realty in 1979 and in 1986, Patrick established Walton for the purpose of organizing investors to acquire and hold undeveloped land in and around Calgary and Edmonton. In 1995, Patrick amalgamated the entire group of companies into one full service asset management company – Walton Development Asia Inc. This innovative corporation is known today as Walton International Group Inc.
Mr. Doherty's vision was to enable individual investors to participate in
institutional-style investments in pre-development lands in the path of major urban growth. What began in 1979 with its first acquisition of a fourteen-acre parcel on the outskirts of Calgary is now a multi-national real estate and financial services firm with offices in seven countries with more than
67,000 investors. The Doherty's continue to operate a privately owned, family-based company with the same continuing values of integrity and professionalism.
2.2 Target Group
Walton’s vision was to enable individual investors to participate in institutional-style investments in pre-development lands in the path of major urban growth, with an investment no less than ten thousand dollars.
2.3 Market Position
Our aim is to be the leading land investing company in our chosen markets.
PART 3 Products
Strengths
Stable Profit: Walton promises to achieve a 20% annual return (simple interest) and provide exceptional service to the clients. This data is calculated by Robin Ham Accounting Firm which is quite convinced.
No Liability: Walton has never borrowed funds from any bank. Therefore, an indebted situation will never happen to us. This almost indicates a zero risk guarantee which will be an important factor to attract customers.
Government Support: Investing on lands in either Canada or US is supported by local governments, because our company is in a good relationship with local governments.
Hard Assets: Compared to stock, bonds or any other investing events, land investing is much steadier. Once you buy it, it is permanent.
Weakness
Long-term: Investing on raw land usually takes 4 to 6 years to earn the profits. Time duration is the biggest risk.
Different currency: Investors have to exchange RMB to US dollar and that will cause some extra fees.
Low fame: People from Mainland barely heard the brand before, so it will take some time to build up the reputation in China.
Opportunities
Big Market: China owns the biggest population in the world. There are a lot of potential customers who have the ability to invest.
Potential Value: Once you join the Walton, you can get the expert management and rich experience from the team as well.
Threats
Far From Investors: Compared to North American clients, investors from Asia have less confidence because the lands they buy are too far from them. This makes people panic.
Time-consuming: This is another unsure factor. Maybe investors have to wait more than 6 years to exit.
Language Barrier: Some senior investors from mainland China don’t speak English at all, so it will be hard to communicate with local people.
Part 4 Market Analysis Summary
Firstly, as one of the largest financial services companies in Hong Kong, based on a balanced judgment, BIZ Group focus most on Hong Kong insurance and financial market, although aiming at seeking for global objectives as an international financial group simultaneously, and developing greater China market expanding it to extend of the whole Asia.
Secondly, based on our effective survey covering more than 200 random potential customers through paper based or Internet based practice, that represents most customers with diverse background of education, income and career, we are optimistic about the general market
situation in Hong Kong, which is also supported by alternative relating public survey published by other organizations. And the competitive edge forming by our two core products-D link and W link, convinces us our group is adequacy to gain enough market share.
The age range of customers in our survey:
From the occupation and income survey result we can see ordinary working staff with income of $50,000-$80,000 consist the most part, which offers a good reference for us to cover this group as targets customers.
4.1 Market Segmentation
In Hong Kong market, from a perspective of occupation or income level, our target customers consist of these groups of people: ordinary working staffs (stable-income people), enterprise executives/ entrepreneurs (high-income people), which is also supported by the result of survey, as mentioned before. For instance, teacher, government officer or white collar can all be our effective target customers. And in BIZ group’s long-term blue print, to enter mainland China market will be definitely the next step of development progress, thus once BIZ group get the official permission for participating in insurance industry from the central government in China, the whole strategy of marketing will be in progress in mainland China, and in that case, other groups of people with stable or high income in China, usually containing state-run enterprise staffs and government officers will be focused on by BIZ group.
And in the perspective of age, our target customer covers young working staffs and senior citizens that have good concern about life insurance and next generation. According to our survey result, young working staffs shows great potential to buy long-term/low month pay products, and for those senior citizens, the desire for short-term and high-profits products seem to be more popular among them. This result gives us good reference to classify market and make relevant effective strategies. Simultaneously, from a general perspective based on the survey result, the products with price of $500-$2000, and the arrangements of buying these two kind of insurance products enjoy the most popularity among all survey attendants.
4.2.1 Distributing a Service
(1) The survey indicates we need more public exposure.
To attract youth, we can use new media, especially internet. Advertising online, or cooperate with net firms holding financial consultant service.
To attract other target clients, we can increase the invest on traditional media, focus on high end flat media.
(2) We should find partners.
We can cooperate with collage student union, launching students training program. Sell low price products to the students.
We can cooperate with law firms; provide legal services to our clients. Or give financial consultancy to the clients of our partners.
(3)Play a role of counselor, not a pusher, when facing customers.
4.2.2 Competition and Buying Patterns
The competition in this area, that insurance products combined with multifunctional investment tools, is somehow fierce. Based on our study, many insurance companies, from local ones to international group, has this kind of products or has made such plan, which could be threats to our products. On the other hand, we are convinced that based on special product design and unique advantages supported by BIZ group’s resources, our products have strong distinguishing competitive edge. For instance , our products enable our customers to choose and change freely as many as 10 different kinds of founds, depending on the general founds development trends and individual judgments of our customers, and during this process, the exchange fee is totally free. Simultaneously the competitive edge come from BIZ group’s strong distributing channel and good reputation, after all, the spirit of enduring innovation and core values of centered on customers, of BIZ group, ensure our products have strong competitive edge.
Based on relevant study and survey as listed, the rank is: yearly profit, each term paying, profits making period time, paying period time and the additional services. Depending on comprehensive analysis on customers’ buying patterns and trends, we design and adjust our products to ensure its competitive edge.
4.2.3Main Competitors
Main competitors come from local insurance company and international insurance group. The local insurance company has advantages of know local market better, and international group has
global resources and enduring creativity. For instance, AIA group, HSBC Life, Allianz, etc. But as mentioned before, the spirit of enduring innovation and core values of centered on customers, of BIZ group, ensure our products have strong competitive edge.
Part 5 Strategy & Implementation Summary Product Strategy
We provide a variety of investment plans about raw land in North America and America to our clients. The client can choose from plans according to their personal situation. All the pre-development lands supplied to them are experiencing a 2-4 years research by our professional teams. Lands which have potential to appreciate in the future will be the target of our company.
The product of our company is different plans about raw land /pre-development land in the North America and America
Our plans are classified by the different location of lands and the distinguished holding
period of the land investment.
Features and advantages of the our product:
Product of our company is featured by
(1) One of the main benefits for our investor is that you are not only becoming an owner of the land, but you are also investing in Walton’s entire business model which includes the research, acquisition, planning and exit functions.
(2)low risk ,in the past projects we have provided to our customers, no clients suffer loss
(3)high return, all the lands we invested have got approximately 12% interest to them
(4)no annual fees and commission
(5)holding the land title of North America or America based on capitals you have invested in the projects
(6)it is the real asset compared with investment in securities
(7)existing is available any time 60% customers agree
Pricing Strategy We set up simple and easy-reasonable price system. Clients can choose affordable products at will, which can make them more flexible.
Any customer who would like to be our family member only needs to contribute no less than ten thousand US dollars. It depends on the will of the client to determine how much to put in our project.
There are no sales charges, annual management fees and future cash calls. Local
and/or federal taxes could be payable and would be deducted from the gross returns. Our operating profit is encompassed in this total investment cost. Other nominal charges relate to real estate transactions and can include legal and transfer costs as set out in our agreement.
Positioning Statement
As China is a fasting developing country, there are full of opportunities in the Chinese market. As matter of fact, our target market is China, especially the mainland. Based on the survey, considering our company features, the ideal clients are:
(1) The potential customers who have no idea about the Walton International Group
(2) The potential purchasing power while with too much doubt about the Walton International Group.
Promotion Strategy The survey indicates we need more public exposure., as there are so many potential clients that they still have no idea about Walton International Group. However, because of the difference between two countries., especially the special method by the government, as a result, the public exposure must be applied in a safe , efficient way. Based on our target market, following strategy can be applied：
Traditional Strategy
(1) Our sales man must spend enough to accomplish the marks by contacting the
a namelist of our potential clients. Then just go for it. This is an normal way
(2) It is not good enough to make namelist only. If we give some easy lectures to
the people for free in the free time, it could be much better for them to accept the Walton brand and take buying land in the North into consederation.
New Strategy
(1)To attract youth and relevant adults, we can set up our minds to cooperate with the agency about going abroad such as “TAI SHA”. Nowadays , more and more parents choose to develop and give them more chance to go abroad. The cooperation with the known agency can not only bring great opportunity to the student’s study, but also let them enjoy the money got from the Walton solid
ground, which is really a nice thing. In addition, the cooperation can help promote the the name of Walton International Group.
(2)Cooperating with foreign bank(which have more freedom than the domestic banks) or (信托公司)in mainland especially in Shanghai
In order to get high quality customer resources, it is an effective way to collaborate with foreign banks which can promote our products to clients as one of their finance products. Due to the credit of banks, it will be more convenient to provide our diversified plans to clients.
(3)If we want to promote the land, the trust from the old clients is very important. So there’s a very necessary thing called Internet Technology: to hold the clients tightly, we must give them enough Care , I f would be a better to set a place call ”Walton Club” . Only our client have the rights to register the club on the internet just in the website of the official website of Walton International Group. In the club, clients can get the latest information of the land research and changes, as well as some informs of the opportunities for the clients to have time together for such as a party.
(4)Collaborate with tourist agencies
We plan to establish a relationship with some agencies which have right to provide traveling abroad. During the period of traveling to Canada or America, leading tourists to the investment lands of Walton, introducing the investment strategies of Walton international group to tourists and showing them around Walton company will make more people be aware of the value of investment to these raw lands, which is a effective way to promote of our products to these tourists.
Part 6 Management summary
According this efficient structure, in these 2 years our company will enter the mainland and open a huge market where we can make a lot of momney。
6.1Organizational structure& analysis
Use the market organization structure in the two biggest cities,beijing and shanghai.
Market organization structure
Beijing is the capital city of China.there are too many travel agencies and study aboard agencies over there.So we will set one manager and no more than 10 staff to do the market as cooperating
with the agency.when some people plan to travel to Canada,we add one stop to their vacation.let them know our product more clearly.when they have been there,the trust will be built up.
Shanghai is the other most important city in china,it is the financial center of china.we should make a good relationship with trust companies and private banks.we do need the resource about rich people in china.so we can set one manager and no more than 10 staff to do the market as well.what is more ,the investors from wengzhou have to be mentioned,because they are always interested in land or real estate.
Strength: Each region of a country or area of the world is served by a self-contained division. Responsibility to the regions, each region is a profit center, department heads in each region should be responsible for the region's business profit and loss。Decentralization to the regions, each region has its specific market needs and problems, the headquarters of regional personnel to deal with a free hand, would be more appropriate, the actual。This structure is conducive to coordination within the region. It may help the employee know more customer in this area.the strength of this structure is more than the weakness. We promote our product only in mainland. So these weakness will not have impact on it.
6.2 Other solution
Sometimes we can use the Matrix Structure to do the product. This structure is very flexible and can respond rapidly to the need for change. In this structure professional equipment and expert can be made full use of. Since this structure is not fixed, the employee may not be responsible for the mission. So we can only use it sometimes.
Part 7 Attachment
問卷調查
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二、調查問題
①您未來有無投保計畫？A.有 B.沒有
②在您看來，每年多少的保險資費是最合適的？
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③如果方便的話，能否透露下您的年收入區間（美元）？
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④您比較青睞以下哪種保險公司？
A.知名國際保險集團公司 B.香港本地保險公司 C.中國大陸保險公司 D.其他
⑤您比較青睞以下哪種保險產品和服務？
A.傳統人壽、財產保險 B.結合傳統保險和基金等功能的綜合理財產品 C.其他
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A.分期低投入,長期回報 B.一次性高投入,短期快速回報 C.兩種產品組合購買
⑦如有購買意向，您最關心保險綜合理財產品的（請選擇兩項）：
A.年收益率 B.付款週期 C.付款額度 D.回報週期 E.產品附加服務
⑧若在以下保險公司範圍內選擇，您最青睞（請選擇三項）：
A. Berkshire Hathaway B. 蘇黎世保險 Zurich C. 安聯保險Allianz
D. ING E. China Life F. Metlife G.友邦保險 AIA H. New York Life
⑨您一般通過什麼管道瞭解保險產品（請選擇三項）？
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