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Business Plan for Car Kursaal | Entrepreneurship Assignment

Paper Type: Free Essay Subject: Business
Wordcount: 2247 words Published: 14th Jun 2018

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Entrepreneurship Assignment-Business plan

  • Xue Dong


1.0 Executive Summary

Car Kursaal is a local company that will offer auto car wash services for car owners. It will be established in the Christchurch city which will be located on the Riccarton Road and near by Puriri Street. It will has 1500 square meters large which will include two sides of wash bays and four bays will be set up on each side. High quality services will be available to offer not only for location people, but also for travelers who are visiting around the city. The amount of this investment will up to 1 million dollars including rental for place and establishment of materials. Car Kursaal will offer different types of car wash services such as self-clean services, vacuum services, shampoo services and polish services (Midtdal, K., & Jelle, B. P., 2013). Customers are able to choose any type they want even though just use one step of car wash (just use water).

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Car Kursaal has its special characteristic for service sales that customers can choose different models of services for their car wash according to their needs. Absolutely, different types of services have different cost for diverse income of people. Some studies indicate that no one car wash service offer different models of services for car users in Christchurch. There are 300 thousand residents in Christchurch (Love, T., 2011), in addition, there has many international students, workers and visitors in Christchurch. Almost everyone has a car in their daily life. Therefore, the market of this company has highly perspective profits.

1.1 Objectives

  1. The amount of sale reach 50 thousand dollars per month.
  2. Establish one new site after 1 year running of the first car wash shop.
  3. Establish to a concatenate car washing company in Canterbury region in 5 years after the first shop open.

1.2 Mission

Car Kursaal is dedicated to providing customers the whole car-care experience and focusing on the different types of services to customers to satisfy all requirements from customers. In addition, it also to providing both of owners and employees a beautiful reward.

1.3 Key to success

Car Kursaal will be located on the Riccarton Road which is near to the University of Canterbury, Christchurch Boys High School, Bush Inn Centre and Westfield Riccarton Mall. Although this district has more traffic flow than other districts of the city, this car washing site will has a notable denoter in front of the shop that will be convenient to help people to see the sign. In addition, Car Kursaal will use new equipments and systems to support the services such as staple open wash bay (the overhead design with no floor steel) and Smart 360 technology (providing option for flash dry service that takes no additional time for basic dry which is performed by a rinse and dry in one operation). However, some advertisements will be set up both on daily newspaper and road advertising board. The words “The home of your cars” will be used for advertisements.

2. Company Summary

Car Kursaal is a dynamic company in Christchurch and it will provide different types of car wash services which include self-clean and other auto car wash services in Christchurch city. High quality services and new equipments and systems will be provided for customers. It will has eight car-wash bays to offer vacuum services and polishing services. It will also provide some drinks and food for customers. The owner has been a CEO of a car dealer company for around ten years. During those then years, the owner was running some other business such as night club.

3. Product Description

Some different types of services will be provided for customers including Self-clean Car Wash, Shampoo Wash, and Polishing Wash. Self-clean Car Wash will be the simplest service among those services but the price will be the lowest that means customers just cost 8 dollars to wash their cars, but it will limit the wash time they use. It will provide 5 minutes to use the water facilities and 10 minutes to use the cleaning facilities. The second type of car washing ways is Shampoo Wash which is much easier than the first one, the cost of this service will be 12 dollars. Another one is Polishing Wash which will include special step to polish cars. It will be the highest level of those services and the cost will be 16 dollars. On the other hand, the last two ways of auto washing services will provide another option for car drying, just need cost one more dollar to save much time for drying step using flash dry smart system which will be convenient to both of customers and shop owners.

4.1 Market Segmentation

This car washing shop will be established on Riccarton district which is near to the University of Canterbury, Christchurch Boys High School, Bush Inn Centre and Westfield Riccarton Mall. There are several different kinds of customers that will be involved in, that are, university students, high school students and their parents and visiting and shopping customers. The larger groups of the prospective customers that who will do the washing services will be shopping customers and university students. The smaller one should be high school students and their parents. Another prospective group of customers will be from car rental company and car deal company. There are many companies engaged in the hire of cars, car tental is generally for a period of days, and the customer has to fulfill certain formalities and sign forms (Hirshberg, I., 1994). They must keep those cars clean before they return them.

4.2 Target Market Segment Strategy

Due to the location of this shop, three different markets will be considered by us. The first one is shopping and visiting customers who are shopping in the two malls which is described above. This market will be the most important one because they have finance capability to cost some money to wash their cars when they after their shopping. The second market will be the students from Canterbury University. This group has the largest proportion of all customers because the university has more than 20,000 students which include both of domestic students and international students and most of them may have some savings from part-time jobs or other ways which means they will have some finance support to do car maintain services which include car washing services, but they may not have enough finance to support their extra car expenses compare to shopping and visiting customers. The last market should be high school students and their parents. However, not many high school students have their own cars but the prospective customers should be their parents because they have more chances to go car washing shop when they meet their children in high school.

For the customers of car rental company, because of the rules which is from car rental company that customers must keep the car clean, those customers have more chances to go a car washing shop to clean their rent cars.

4.3 Market needs

The advantages of this business that others does not have are we have different types of car wash ways to offer different types of customers that means they can choose different levels of cost to finish car wash. It will be much convenient to the customers that they can spent less money if they are not in good finance conditions but they want to have this service. As we known, almost all auto car washing sites in Christchurch do not have variable choices for customers and the price are not flexible. That is the reason that Car Kursaal will have the most chances to get the prospective customers if we can offer them different prices because Car Kursaal will offer much cheaper prices for different washing ways.

5.0 Strategy and implementation summary

Firstly, the investment will be recorded by management group. The money which is invested will be divided by three, the first part will be used for rental places and decoration, the second part will be used for buy some equipments and system installation, the last part will be used for labor spending. Budgets will be built before the shop establishment and we will prepare additional 10% extra budgets of all the cost in case some emergency during the establishment. Management team also will supervise the whole business when it is running (Yusuf, Y., Gunasekaran, A., & Abthorpe, M. S., 2004). Three teams will charge different part of business operation. One is about daily operation, one for equipments maintain and one for finance supervision. Each group will has one team leader and several staff to charge different things and the team leader will in charge of their team and play a role to communicate the manger and other team leaders. One week team meeting will be hold by team leader and one month management meeting will be hold by manger to track the establishment process.

5.1 Competitive Edge

Some petrol station are the competitors such as BP, Mobile because they also offer auto car wash services for customers and they have opened for a long time that some customers are used to go there to wash their cars. Therefore, the price and the special services will be our unique characteristic which is distinctive from other car washing places. Another unique competitive edge is we also offer pick up and drop off service. We will use a systems for communicating information for both of customers and the shop. This system can provid a confirmation or temporary receipt for customers and also can memory for reference when the customer come to pick up (Danel, A. R., & Lohrey, D. W., 1989). The most problem should be how to make a reputation.

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5.2 Sales strategy

A strong advertisement will be used at firstly stage of running this business such as TV advertisement, newspaper and other ways to let customers know what kind of services we can offer them and what are the advantages we have and how much money they will save if they choose go to our place. Also, we will make a cooperation with AA company to give some discount for AA members and to promote our reputation. For people who are not AA member, we will give another discount that provide 5% off per liter after they done 5 times of car wash services. Also, we will offer customers some long-term contracts that is more convenient for both of the company and customers.

6.0 Management summary

Refer to 5.0, we can see three different team will in charge different kinds of works. Therefore, team leader of the groups will be the important role for the business. Each team leader will be selected by their working experience, education background. They should have at least college certificate and at least 3 years related working experience. Every prospective employee should submit their CV and give a oral representation for their working experience which include customer service skill, communication skill. Team leader will be paid for average salary plus some achievement awards each month that will depends on the amount of sales.

7.1 Projected profit and loss

Thousands of cars are running through Riccarton Road. If 10% of those cars choose our car washing shop to do washing services, the profits will be approximate on 40 thousand to 50 thousand dollars per month. Equipments loss will be the most important one. Also, some long-term staff quit will be another loss for the business.

7.2 Projected cash flow

8.0 Conclusion

Car Kursaal will be a modern company to provide modern ways of car wash services to people who are living in Christchurch and who are visiting and studying in Christchurch. 1 million New Zealand dollars will be invested in this project. This shop will take up 1500 square meters and will be located on the Riccarton Road of Christchurch City. This location is near by some education places and shopping malls which is convenient to customers who are living there and going there for shopping. New equipments and new technology will be used in this project. Some excellent people will participate in this management team. Some advertising and promotion will be used for boost this company reputation and the advantages of this company should be the cheaper price and diverse types of washing services. This business will have a brilliant profits in the future.


Danel, A. R., & Lohrey, D. W. (1989).U.S. Patent No. 4,803,348. Washington, DC: U.S. Patent and Trademark Office.

Hirshberg, I. (1994).U.S. Patent No. 5,289,369. Washington, DC: U.S. Patent and Trademark Office.

Love, T. (2011). Population movement after natural disasters: a literature review and assessment of Christchurch data.Sapere Research Group.

Midtdal, K., & Jelle, B. P. (2013). Self-cleaning glazing products: A state-of-the-art review and future research pathways.Solar Energy Materials and Solar Cells,109, 126-141.

Yusuf, Y., Gunasekaran, A., & Abthorpe, M. S. (2004). Enterprise information systems project implementation:: A case study of ERP in Rolls-Royce.International Journal of Production Economics,87(3), 251-266.


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