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Vietnam General Confederation of Labour, TON DUC THANG UNIVERSITY Faculty of business administration Food and beverage management Final report BAMGE BOX CAFÉ A COFFEE IN BED CONCEPT Lecturer: MSC Nguyen Hai Nam Group members: Mai Thúy Vy Lê Hoàng Phương Liên Trần Thanh Vy Nguyễn Hoàng Anh Nguyễn Ngọc Như Thúy Phạm Thủy Tiên Sơn Hà Mỹ Tú 718H1814 718H0156 718H1819 718H1588 718H1772 718H0769 718H1800 Major: Hospitality Management HCMC, May 2021 Vietnam General Confederation of Labour, TON DUC THANG UNIVERSITY Faculty of business administration Food and beverage management Final report BAMGE BOX CAFÉ A COFFEE IN BED CONCEPT Lecturer: MSC Nguyen Hai Nam Group members: Mai Thúy Vy Lê Hoàng Phương Liên Trần Thanh Vy Nguyễn Hoàng Anh Nguyễn Ngọc Như Thúy Phạm Thủy Tiên Sơn Hà Mỹ Tú 718H1814 718H0156 718H1819 718H1588 718H1772 718H0769 718H1800 Major: Hospitality Management HCMC, May 2021 GROUP MEMBER LIST No Name Mai Thúy Vy Student ID 718H1814 (leader) CONTENT HAS BEEN IMPLEMENT Concept refinement EVALUATE% SIGNATURE Product selling price Purchase and storage Hazard analysis and Critical control point (HACCP) Design and analyse 97% signed 97% signed 97% signed HACCP processes Customer service process Compare with opponent Analyze STP strategy (Positioning, 4P) Lê Hoàng Phương 718H0156 Conclusion Menu design - Menu Liên pricing Designing 3D Bamge Box Café Theme and design Purchasing and storage Hazard analysis and Critical control points (HACCP) Analyze STP strategy (Positioning) Trần Thanh Vy 718H1819 Touch up and editing Location and Local Market Area Product selling price Local Market area Analyze STP Strategy (Positioning, 4P) Service process Process of cooperation between staff, cashier, bartender Nguyễn Hoàng 718H1588 Anh Compare with opponent Strength and weakness of competitor Unique selling point Analyzing the import cycle Step 2, 3, 12 HACCP 97% signed 100% signed 97% signed Targetting Standard recipes FBO menu recipes Nguyễn Ngọc 718H1772 Như Thúy Raw material preservation Finance project Pricing of drinks Engineering graph model Portion control chart HACCP processes with 12 steps Phạm Thủy Tiên 718H0769 Segmentation Business topic + survey Finance projection Pricing of drinks Portion control chart Step 11 of HACCP process Human resource Sơn Hà Mỹ Tú 718H1800 Segmentation Standard recipes Industry trend Competitor STP (Targetting) Definition and explanation perishable and non-perishable food Allocating items in two perishable and non perishable groups Analyze the number of items need to buy 95% signed TABLE OF CONTENTS GROUP MEMBER LIST TABLE OF CONTENTS NAME-TYPE OF BUSINESS FEASIBILITY OF THE TOPIC .11 2.1 LOCATION AND LOCAL MARKET AREA 11 2.2 COMPETITOR .13 2.2.1 Overview of Chidori Coffee in bed 13 2.2.2 Strength and Weakness .16 2.2.2.1 Strength: 16 2.2.2.2 Weakness: 16 2.3 INDUSTRY TRENDS 17 2.4 FINANCE PROJECTION 19 2.4.1 Initial investment 19 2.4.2 Expected revenue .20 2.4.3 Expected profit margin .23 2.5 CONCEPT REFINEMENT 24 MENU DESIGN – MENU PRICING 28 3.1 MENU DESIGN .28 3.2 MENU PRICING 30 DESIGN AN EXAMPLE OF A COFFEE SHOP ENGINEERING GRAPH MODEL 31 4.1 PRODUCTS’ SELLING PRICE IN BAMGE BOX CAFÉ 31 4.2 ENGINEERING GRAPH MODEL 31 PURCHASING AND STORAGE 37 5.1 ANALYZING THE IMPORT CYCLE OF OUR MODEL .37 5.2 ALLOCATING ITEMS TO BUY IN TWO PERISHABLE AND NON PERISHABLE GROUPS 47 5.3 BASED ON A RECIPE TO ANALYZE THE NUMBER OF ITEMS YOU NEED TO BUY 50 DESIGN AND ANALYSIS OF APPROPRIATE COOKING PROCEDURES .53 6.1 ESTABLISHING A HAACP PROCESS IN ACCORDANCE WITH THE GROUP'S BUSINESS MODEL 53 6.1.1 Hazard Analysis and Critical Control Points (HACCP) 53 6.1.1.1 principles of the HACCP system 53 6.1.1.2 Benefits of HACCP program .55 6.1.2 Design and analyze HACCP processes with 12 steps .56 6.2 DESCRIBE THE SERVICE PROCESS IN ACCORDANCE WITH THE BUSINESS MODEL, MENU OF THE GROUP .72 6.2.1 Customer service process 72 6.2.2 Process of cooperation between staff, casher, and bartender 74 HUMAN RESOURCE 76 7.1 DESIGNING A SUITABLE ORGANIZATION STRUCTURE CHART FOR YOUR RESTAURANT MODEL 76 7.2 DESIGN EXAMPLE WORK SCHEDULE FOR ALL EMPLOYEES 82 7.3 SOME COMMON PROBLEMS WHEN DEVELOPING HUMAN RESOURCES .84 ANALYZE S.T.P STRATEGY OF OUR BUSINESS MODEL .87 8.1 Segmentation 87 8.1.1 Demographics and Geographic 87 8.1.2 Psychographics 87 8.1.3 Behavioral 88 8.1.4 Marketing strategy 88 8.2 Targeting 89 8.3 Positioning 90 8.3.1 Marketing mix 4P: 90 8.3.2 Functional Positioning (Positioning on the use of product): .92 8.3.3 Symbolic Positioning: 93 8.3.4 Experiential Positioning: 94 8.3.5 Types of positioning strategies 94 CONCLUSION 97 REFERENCES: 103 8.3.3 Symbolic Positioning: Coming to Bamge, you can enjoy coffee/drinks and a very comfortable rest space - the interior in Bamge is decorated in Vietnamese and Korean style Country, with the model of a box cafe with a bed and decoration The key color is beige, which provides a cozy, close, and traditional atmosphere - without too many decorations, it creates an airy, but not monotonous, room with bamboo furniture Bamge Box Cafe is split into three floors, each with a cozy seating area These rooms are both curtained and soundproof, with new mattresses and pillows that are cleaned on a daily basis Everyone is ready to have a warm and calming spot to sit Simple wood materials and soft colors provide consumers with greater peace of mind by using water or Bamge's facilities When customers use the service here, Bamge still has the greatest experience and feeling Drinks range from caffeinated to organic, and are designed to meet the demands of consumers and have a variety of options Bamge also sells savory/sweet cakes with a broader range of menus Bamge often guarantees that consumers get high-quality beverages and meals, that food is nutritious and healthy, and that the goods are of the highest possible quality When guests visit Bamgi, they will always enjoy the finest services and utter appreciation for consumers in order to offer them pleasure Employees will still put themselves in the shoes of the client to try the right solution to the situation Bamgi is constantly striving to evolve in order to properly reach and serve clients, resolve shortcomings, and provide the most comprehensive service possible Bamge is an excellent option for customers looking for a spot to stay, relax, and have a quiet room Bamge is more than just a place to stay; it still offers consumers a cozy, quiet, and welcoming atmosphere, as if they were at home Customers will enjoy periods of intense calm, private space, and wellbeing at all times 8.3.4 Experiential Positioning: This is to understand how experience in Bamge affects customers’ feelings and emotions on our products From that, managers can define a strategy that aims at customers' desires, needs to provide them better experience in future and make a difference between Bamge Box Cafe and other bed coffee shops In other words, at Bamge, managers focus on a calm, peaceful atmosphere to create a healthy, rebonding environment for customers to be as productive as possible with their work and study So as a customer, when he or she arrives at Bamge, he or she already has staff that helps park the bike, helps them store shoes and heavy luggage, then helps them order food and drink and serve them All they have to is move to their bed and focus on their work 8.3.5 Types of positioning strategies Customer needs (Knowing Bamge target market and how you will fulfill their specific needs): Customers in Bamge need a peaceful, calm environment to concentrate on their work, a place that they can lay down but still have enough privacy, a place that serve food and drink to their beds and Bamge Box Cafe can provide all of those things The combination between coffee shop and bed is what customers need because they not have to move between hotels and coffee shops, or work less productive after 3-4 hours The strategy is to put this idea on customers’ minds day by day in social media posts and recommend them to try boxes if they are new to it through free first hours coupons for new customers Product price (Positioning Bamge brand/product as competitively priced): To compare with Bamge’s opponent, the prices are quite high, so strategy for this is showing the value of Bamge’s products is higher than the prices that customers pay, because included in the prices is a lot of hidden services and managers need to provide clear vision about that for customers in marketing activities Product quality (Positioning Bamge brand/product as high quality): Focus on the quality of each product by choosing high quality ingredients, maintain the cleanliness in the working environment to prevent spoiled products, bad odor or strange objects in served products Boxes in Bamge are stably made with wood and maintained periodically to ensure the safety for customers The pillows and blankets in boxes are washed everyday Product use and application (Associating Bamge brand/product with a specific use): The report already mentioned benefits of taking a nap/ resting eyes in middle of the day, and in Bamge that is the main product besides food and drinks, boxes are special due to their function and use for customers and managers develop that in order to keep customers coming back just in case they get used to the view and concept and stop checking in at Bamge So the strategy is updating, posting images about boxes and mentioning their benefits and use of them along with the posts Competitors (Positioning your as better than your competitors): Prime spot in the heart of District - next to high schools, colleges, etc Next to it is an English centre, a hotel, a drug store, a fashion store, a convenience store, offices, and so on Customers would find it easier to travel and find the store if it is centrally located 8m 2-way lane, strong traffic flow but no vehicles, not flooded For motorcycles, the sidewalk is 3m deep The nucleus of a car works in both directions Furthermore, Bamge has a parking spot at the café, making it easy for consumers to park their motorcycle At Chidori, the room is already cramped, and some areas have an odd odor Bamge is built on the shop's shortcomings and provides its advantages Chidori also has noise, and the soundproofing is insufficient to keep the Boxes Bamgi has increased the sound isolation between the boxes and has kept the noise level in the café room under check In addition, Bamge still checks the scent and cleans the places frequented by visitors on a daily basis Chidori employees are often subjected to customer complaints; however, Bamgi employees are still well-trained and have feedback during each service CONCLUSION Box Cafe is a concept where people can have their coffee in a box, that can bring a private and comfy feeling to customers It contains a bed, some pillows, a blanket and a good cup of coffee People can work, study or take a nap but they also have snacks and drinks served to their beds This concept fixes the problem of modern, fast lifestyle, it is created to improve and make life more convenient Besides two benefits are boosting productivity and study ability, it is also time saving for people who use it Moreover, Vietnamese taking naps in the middle of the day is a daily routine, so it makes sense when we decide to create this project in Vietnam To sum up, because of its profits and benefits, now the team created a project called Bamge Box Cafe which has the same activities, server and uses with the concept mentioned above A thing that is confirmed firmly through this report is the feasibility of the project It is feasible because this project is a “Coffee shop rely on high-margin” model To explain it, it is about the prices and sales Even our decisions based on firmed information and research, they are also estimated at some points, but surely we are 90% approximate In other words, the real estate we chose has a reasonable rent price and large space, which is great and potential to expense the business Moreover, the prices are also the price of materials, ingredients, decoration, repairing works, labor costs and more On the other hand, the target customers that we chose theoretically are very big, so is the quantity of daily products sold The menu is designed with common items but also has new items that make guests curious, want to try and come back The ingredients and formulas are considered carefully so it may be extremely exciting and promising to try them on real business The numbers and information in this report are approximated, they could be higher, or lower but based on sources the team has found, we believe they all are as feasible as real business at least 90% Another important information that needs mentioning is issues which are not solved yet in the project, it is the labor aspect and financial problem if there is sudden lockdown in near future due to pandemic And lastly, answer a big question: how to deal with customers who often visit and stay a long time at the coffee shop but not harm the profit of the coffee shop Another point worth noting is difficulties encountered in the homework process to achieve this report First of all, this report has been through unpredictable lockdowns and it brought several problems when the team worked online in that few weeks Being taught online and holding meetings, discussions online seem convenient but sometimes bring some unnecessary misunderstanding and arguments Secondly, most members have their own points of views and personalities so conflicts are unavoidable during this stage Furthermore, inequality in dividing work due to different abilities of each member is a reason that leads to a consequence that some work harder, some work less and some have not taken the initiative in helping other members to complete this report well Thirdly is about practicality, since this course requires us to create an F&B business model that is as realistic as possible, we have to search for realistic information from small things such as prices, ingredients purchasing, labor costs, real estate, to big things like payback time, problem solving in pandemic The goal is accuracy and reality for the report, so counting everything well, making things close to scale and finding, creating clear vision about the model were a bit hard, especially in two lockdowns that we only can work online Last but not least, time and intensity to finish this report are limited, because we have very little time but a lot of reports and projects during this time, so we had to pay attention and work hard for this if we wanted it to be as required However, in this report we want to include some difficulties that we have known and informed about the F & B industry Firstly, it is about food safety F&B services have access to guests’ health directly through serving food and beverages to them The working staff handles food and drink items closely that each guest is going to eat Consequently, if those services not follow proper practices/perform hygiene and sanitation, the guests might get food borne diseases (some may lead to death) When food safety does not go as expected, F&B businesses try to avoid containing food contamination as well as the public firestorms that frequently can be seen in social media Even a single area of weakness can compromise food safety and result in significant brand and reputational damage That can explain how dangerous and serious it is to both consumers’ health and companies' images Moreover, we also need to mention a bit about the rise of health-consciousness among consumers, since customers have increased their demands when choosing daily foods, they also start for products that carry the ‘healthy’ “organic” label It has some effects, firstly the green industry can grow better and secondly, customers may have a clear reaction and stop consuming any F&B businesses that lie or harm customers’ health through their products Due to the dangers to both the public and a company’s reputation, food safety will continue to be priority number one for F&B companies However, food safety is not a hulking area of concern, but rather has many aspects and stages to it The sourcing of products from the supply chain, hazards encountered during production processes (addressed by implementing the HACCP preventive approach), quality control, packaging, and other factors all have an impact on food safety Some of these concerns can be reduced or avoided through improved working performances Secondly is about product packaging Packages have a large contribution for the industry For example: reducing weights for transportation, maintaining good condition and helping some ingredients last longer However, not just the product that will be consumed, but also the packaging and the materials that go in the packaging The packaging can substantially increase the carbon footprint of the whole product and after unpackaging, food packaging can also be wasted, not reused Moreover, if there are harmful or toxic chemicals in food packaging, they can come out and soak in the food, with the right conditions like temperature, and potentially cause a health hazard or diseases for consumers or any person exposed So the consequences of this aspect are pretty similar with information above which leads us to some preventions/solutions and results: In this scenario, a product that is tagged as ‘eco-friendly’ or “not made from plastic”, has more of a consumer connection and is likely to increase sales than a product that is popularized and more likely to harm the environment, obviously this only happens when consumers are aware of what they are going to buy Food and beverage manufacturers and retailers are now striving toward making the food manufacturing process highly conducive to the environment through the adoption of numerous recycling practices Although, there are some situations where a few companies try to “trick” their consumers with packaging that is not actually recyclable or substance as they advertise, just to boost their sales However, the formation and distribution of green business practices – right from the production to the packaging and supply chain management is an essential solution to engage in the current issues in the F&B industry According to "Food And Beverages Global Market Report 2021: COVID 19 Impact and Recovery to 2030" - billion in 2020 to $6196.15 billion in 2021 at a growth rate (CAGR) of 6.1% compounded annually The growth is primarily due to the companies reconstructing their operations and recovering from the COVID-19 impact, which had earlier led to abridging containment measures involving social distancing, working from home, and the closure of economic activities that ended in practical challenges The market is expected to have the ability to reach $8163.61 billion in 2025 at a CAGR of 7% To overview the situation, counting today, there are over 164 million infected cases worldwide and 4.512 cases have been found in Vietnam, which also cause more than 34 million deaths over the world This pandemic has so many bad effects on normal life and F&B industry: many businesses have to stop working, people lose their jobs, students cannot go to school, and a large amount of medical waste However, there are actually also some good parts: people start adapting and creating a “new normal” term, so many businesses have closed but the economy is not extremely damaged and lastly for the first time after a long time, nature can heal after years suffering from human activities And that is how F&B industry rebounded at some points in 2020 and predicted to grow through hard times Food & beverage managers will need to keep these issues in mind and come out with strategic initiatives to keep their business afloat, or adapt and create new business ideas to explode in pandemic years To sum up, we cannot deny the good aspects during this period, this can be considered as a thing that we can keep hoping and 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The role of daytime naps in healthy adults Current opinion in pulmonary medicine, 12(6), 379-382 ...HCMC, May 2021 Vietnam General Confederation of Labour, TON DUC THANG UNIVERSITY Faculty of business administration Food and beverage management Final report BAMGE BOX CAFÉ A COFFEE IN BED CONCEPT. .. any drinks and food they like and the items in A la carte menu can be easily updated Bamge Box Café has a large board menu which placed on the wall at the bar counter and a small one placed in. .. are many markets in this are In particular, the location of Bamge Box Café is close to major wholesale markets, typically Binh Tay Market (Lon Market) This is a famous market in Saigon, the area