KOZMINSKI UNIVERSITY
Business Plan
Electric vehicles import business
Robert Podleś – 25759
Anna Foth - 30483
05.02.2017
Academic Year 2016/2017
Semester – V
I hereby certify that this paper is the result of my own work and that all sources I used have been reported.
Kozminski University 2017
Table of Contents
Executive Summary
The Business:
Business name: Polish Green Charge
Business structure: Limited liability partnership
Business location: Poland
Date potential establishing date: 05.02.2017
Business owner(s): Robert Podleś
Products/services: Purchase and delivering of electric vehicles
Description of the Business:
The idea and the concept of the business is to create working network that is going to operate on the polish market and import electric vehicles from the United States of America.
The business is going to specialize in affordable electric cars models with a limit of prices up to 50,000$. The average price of the vehicles is going to be 17,000$. The most purchasable brand is considered to be Nissan according to the market demand and statistics of cars purchase.
Also other brands will be taken into consideration. Those brands are going to be BMW electric range and Tesla electric vehicles.
The technological path is developed built in such structure:
The electronic vehicle to be purchased on the auction in the United States (different states would require different payments for the delivery)
Delivering the vehicle to port in New Jersey.
Delivering the vehicle from New Jersey to Bremerhaven (Germany)
Delivering the purchased vehicle from Bremerhaven to Warsaw, Poland
Preparing the vehicle to custom clearance an legislation
Opportunity and Strategy:
Business gives a huge opportunity for the development of the business and development of electric vehicle infrastructure. The strategy is to occupy the certain amount of market segment and create stable mechanism for importing electric vehicles to Poland.
Target Market:
The aimed market segment is considered to be electric vehicle users that are willing to purchase new one model or potential customers that want to purchase electric car.
Competitive advantage:
The competition on such market is considered to be relevantly strong. However, the usage of electric vehicles in the future is expected to raise and in perspective would create more demand. According the European Commission, Germany expects to completely switch the usage of fuel vehicles to electric ones till the year 2030. In addition, according to the European Commission, more than 8 million electric vehicle chargers are going to be created within the European Union.
Taking into the consideration those facts, other European countries could follow the trend and it is expected that in the future the certain amount of supply would be required.
The industry, products and the company
The industry:
The electric car usage has become famous in the beginning of the 21st century. Nowadays, there are a huge amount of different electric cars manufacturer. The majority of them are controlled or are a part of the existing vehicle manufactures around the world. The industry is considered to be ecofriendly, therefore such businesses are positively met by society.
In our case, the company is going to positioning not by the production of vehicles, but from their delivery. However, additionally, the concept is going to be related to the sustainability, ecological development and renewable sourcing of energy.
In such area of activities there are already a certain amount of competitor’s representatives on the market that cooperate with representatives from the United States.
Product/Service:
Basing on the purchasing experience in the industry and electric cars to be sold and the information written before, it is estimated that the average income is going to be obtained on importing Nissan Leaf model of different equipment:
Nissan Leaf SV
Nissan Leaf SL
In the result, the predictions on sales expenses would be reviewed in the calculation section more closely.
The delivery and legislation processes are considered to be the most important for the profitability of the company. There are several important actions concerning legislation of the vehicle. First of all, we should consider whether the client is going to purchase pre-ordered vehicle, ordered for transporting or simply looking for an electric vehicles. In all three cases conditions and the range of services differ. However, legislation process is going to be the same.
We can assume the following cases:
Not previously purchased vehicle
In this case, the role for the company is to provide services and selling vehicles at the same time. Therefore, the mechanism will estimate additional actions.
First of all, the car is going to be purchased from the auction in the United States. Those auctions sell both used and new vehicles. For the company will be extremely important to select the best price for the car and commit the most profitable bid or buy out on the auction.
In case of such business there are going to be selected different auctions within the United States. Many of these auctions differ in the amount of fees. Those fees vary from 350$ to max 1000$ for one entry (meaning the possibility of purchasing several cars for one fee).
Previously purchased vehicle
In this case, the company is going to only provide transporting and legislative actions on the vehicle. The client previously purchases vehicle and then would provide the information on VIN code (the unique code of the vehicle) and the location of the vehicle. For different states and region there are going to be different delivery prices.
Entry and growth strategy:
In case of such business it is significant to commit right entry on the market. It is expected that the entry is going to be only on internet and the website will be the platform for the business. There are going to be available all of the contacts for the furthernegotiations. In addition, the entry strategy is closely related to the advertising campaign. More closely about the marketing campaign will be described in the marketing plan section.
The growth strategy is extremely unexpected due to the unpredictability for the development of the scenario. It is assumed, that the size of this business is going to relate to the market share and the supply/demand relationships. For such business, there no extremely financing required in accordance to the realization price. It is so, because the purchaser is going to cover the operational expenses on his car delivery.
Therefore, the growth is going to be estimated in accordance to the demand and possible market share.