Business Plan for the Proposed Green World Polymer Company (Research Proposal Sample)

Business Plan for the Proposed Green World Polymer Company
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Executive Summary
This document aims to detail a business plan for operating a polymer plant in Saudi Arabia. The startup company will reply on recycled bio-based polyethylene terephthalate (PET) to manufacture plastic beverage bottles, cups, and plates. Reem Al-Yafei, the entrepreneur, proposes the company's name to be the Green World to reflect the global theme of environmental pollution. He will work alongside a team of other specialized individuals who will undertake distinct roles in the company. During its operation lifecycle, the firm will target both wholesale and retail consumers.
Table of Contents
TOC \o "1-3" \h \z \u Company Background PAGEREF _Toc69386444 \h 4
Mission PAGEREF _Toc69386445 \h 5
Vision PAGEREF _Toc69386446 \h 5
Market Research PAGEREF _Toc69386447 \h 5
Marketing Plan PAGEREF _Toc69386448 \h 6
Porter's Five Force Model PAGEREF _Toc69386449 \h 6
The threat of New Entrants PAGEREF _Toc69386450 \h 7
Bargaining Power of Suppliers PAGEREF _Toc69386451 \h 7
Bargaining Power of Buyers PAGEREF _Toc69386452 \h 7
The Threat of Substitute Products PAGEREF _Toc69386453 \h 8
Rivalry among Existing Companies PAGEREF _Toc69386454 \h 8
Organizational Structure and Management PAGEREF _Toc69386455 \h 9
Financial Projections PAGEREF _Toc69386456 \h 11
Risk Analysis PAGEREF _Toc69386457 \h 12
References PAGEREF _Toc69386458 \h 13
Business Plan for the Proposed Green World Polymer Company
Company Background
This manuscript comprises a business plan for the proposed Green World polymer plant. The post-consumer thermoplastic recycling and manufacturing firm will be established in King Abdullah Economic City, Saudi Arabia. It will be a sole proprietorship company-owned and superintended by Reem Al-Yafei with the primary responsibility of developing sustainable polymer products from local plastic wastes. Though the Green World is currently a nascent startup featuring a bootstrapping concept, it has a strong vision of morphing into a regional polymer manufacturing plant. Initially, the company will produce plastic bottles, cups, and plates using bio-based polyethylene terephthalate (PET). Besides this material being light and recyclable, it is biodegradable since it is derived from biomass. Afterward, the company will diversify to other products in response to market behavior.
Equipment required for the venture includes a grinding machine, pilling machine, and injection molders. While the first machine reduces the plastics into smaller pieces for processing, the second takes a plastic powder and compresses it into pellets for further processing. About the injection molders, they will be used to liquefy plastic powders or pellets for subsequent conversion into molds. Green World targets both the Business-to-Business (B2B) and Business-to-Consumer (B2C) demographics. These two forms of enterprises are growing up parallel to each other, with the former and the latter targeting corporates and homeowners, respectively. Above all, the company will make its manufacturing activities public to create awareness on environmental conservation.
Mission. The mission of the company is to create new polymer products using bio-based polyethylene terephthalate waste plastic.
Vision. The company's vision is to nurture a participative zero-plastic waste King Abdullah Economic City that views recycling of plastics as a viable solution to rampant environmental pollution in the region.
Market Research
Industrialists project that the global PET market size will exhibit a significant compound annual growth rate (CAGR) by 2026. The factors contributing to the trend include the material's lightweight, flexibility, and transparency, making it suitable for making packaging containers (The Business Research Company, 2020). Moreover, PET is cheap and has diverse uses acknowledged by health authorities as safe for storing food, medicines, and beverages. Nevertheless, governments' strict anti-pollution regulations pose a significant challenge to the future of the polymer manufacturing industries. Accordingly, other industrial players and scientist groups are actively researching alternative materials that will substitute the plastic packages that dominate the market. Table 1 lists established plastic companies in Saudi Arabia. These are the potential market competitors that the Green World will use to benchmark its local market operations.
Table 1: Major PET companies in Saudi Arabia
Company/Competitor

Sample Products

PPC - Saudi Arabia
https://ppcksa.com/

All kind of plastic products

DOW-Saudi Arabia
https://www.dow.com/en-us/product-technology/pt-polyethylene.html

Low density polyethylene (LDPE) with the flexibility and melt strength for containers and bottles

Tasnee-Saudi Arabia
https://www.tasnee.com/en/products

Plastic packaging material

Sabic-Saudi Arabia
https://www.sabic.com/en/industries/packaging

Plastic packaging material

Marketing Plan
The Green World will own and operate a website to reinforce both online and offline marketing strategies. Regarding local marketing, the company plans to partner with local manufacturers and retailers who rely on plastic packages to avail their merchandise to the end consumer. Additionally, the Green World will distribute freebies in the form of calendars, caps, ball pens, and T-shirts to members of the public as part of the brand awareness campaign.