Board Game Company In Singapore Marketing Essay

Published Date: 23 Mar 2015

This business plan is my year 3 third term final project, in fact, has a certain commercial value. It is not allowed to reprint or copy without my consent. Once discover this action, I'll be notified police to dispose.

Number of words: 11,485

Student: Mo Xiaoran (0909005722) Date: 15th OCT 2012

Acknowledgement

This project could not accomplish without my friends support and encourage, very thankful. Especial thanks my lecturer Miss. Canny Chow, thanks for her support my business idea, and continue to give suggestion for this project.

I wish to thank for my parents' support and encourage, thank for their educate me and make me success.

Thank You

Executive Summary

This business plan is described how to start-up a board game company in Singapore. This business project is aim at realize that formal procedures of set up a business in Singapore. Which shows at this project divide into seven part, conception of board game company businesses; company product and services description; industry market and competition analysis; market strategy; funding request; pro-forma sale scale and financial plan.

Goblin Games LLP focus on provide a good board gaming environment for players, providing a perfect game experience for customers. Let people realize the benefit of board game, and eliminate prejudice of board game culture.

According research and analysis, board game industry is an underdevelopment industry in Singapore, thus it is an opportunity for business, this business plan explained how grasp the opportunity and how to use it make a large profit.

In this business plan, Goblin Games LLP provides a comparative reality forecast of sales and investment. As a business plan with S$200,000 investment and can gain profit and second year, it is a worthy business plan.

This article is a good business guide for entrepreneur.

Introduction

A board game is a game that involves counters or pieces moved or placed on a pre-marked surface or "board", according to a set of rules. Many time people have some wrong ideas at the board game, some people think board game is a modern product and will have a negative influence on a certain extent, especially the eldership.

It is different with people think, board game originated in earlier time. Board games are very popular around Egypt, Greece and Roman, who have been playing them for thousands of years. In 3000 BC, Egyptians used mud gaming boards to play the games. The discovery of the oldest board games has been recorded in the history.. Certainly, many different nationalities play board games in different way, such as "Tabula" in Roman Empire, Vikings introduced board game named in 400 AD, and at the follow, in 1100, the popular game "Draughts" was invented in the France, AD. In 1935, the most popular board game was introduced in United States, called "Monopoly", this is most of people know the first board game. In the last few years, board games have gained popularity across the globe. Irrespective of other entertainment means, such as TV and video games, they continue to be popular.

Description of Goblin Games LLP

2.1 Goblin Games LLP's Establish

As we know, Singapore as a country which has the most floating population (in unit area) and the largest population density. It becomes the center of the international tourism in Southeast Asia. It seems that for various reasons, Singapore has a large potential market of entertainment industry (such as board game industry). On the other hand, comparing with the other Southeast Asia countries, Singapore is considered as a business friendly country. Singapore government provides a lot of preferential policy (taxation etc.) for emerging small enterprise, especially the emerging cultural industries likes board game industry.

The rudimentary potential market with government' support, Singapore becomes the best choice of Goblin Games LLP's enterprise development.

2.2 Current Status

Board game industry's characters (emerging industry, not mass production and operation activities, do not need large-scale raise funds) decided Goblin Games is a new limited liability partnership (LLP) in Singapore market. As a LLP company, GG will own many advantages, for example: Separate Legal Identity, Limited personal liability, perpetual succession and Ease of compliance. All of these will help GG's operation more stable. That the reason why GG register to become LLP.

Registration of a new LLP must be submitted online use Biz File, ACRA's electronic filing and information retrieval system. The registration processes are as follow (ACRA):

1) Using the identification number and Singapore pass to login to Biz File and submit your online transaction.

2) Engage the services of a professional firm or a service bureau can help you to submit application online

2.3 Registered Name: Goblin Games limited liability partnership.

2.4 Registered Address: According our fact finding, purchase a company land is unpractical, rent a business place is more suitable. Weighting various factors, Toa Payoh is the best choice of our company. About the reasons, the first, Toa Payoh is a resident activity center which different with Orchard, it is more inclined to populated area. Other industry may prefer to local at commercial center. GG focus on provide a leisure service place and convenient customer consumption. (Registered address: Toa Payoh RMT station, Singapore).

2.5 Vision Statement

Lynch, R (2009) explained that the vision statement is a challenging and imaginative picture of the future role and objective of an organization, significantly going beyond its current environment and competitive position.

Create entertainment, create life

Goblin Games LLP devotes itself to create an unqualified and cleanly game environment, providing a high quality customer services. GG will fight for bring joy for customers. Games are our business and pleasure.

2.6 Mission Statement

Generally, the mission statement as a statement should include succinct representation which the organization' purpose. The mission of an organization outline the broad directions that it should and will follow and briefly summaries the reasoning and values that lie behind it (Lynch, R. 2009)

About Goblin Games LLP, the mission statement is as follow:

Goblin Games LLP wants to become a world-class board game company with professional and innovative staff. GG focus on providing the best service and board game environment for Singapore players, for our staff, GG wants to set up a professional management team with the love of board game. GG hopes people are able to gain something that positive and useful in the game.

2.7 Objective of Short/Long Run

For long term objective, Goblin Games LLP devotes itself to create a better game environment, for people's happiness.

GG's short term objective is aim to realize the long term objective. We strive to recruit professional and innovative staff, provide a high quality customer services and advertise the true board game culture. The main goals of GG company for the first three years of operation are as follows:

First rent a large space about covers an area of 500 square meters nearby Toa Payoh MRT Station, nearby center region Singapore. Require the space is divided into fluctuation two parts. The first floor is designed as board game center, provided for customer play board games and pastime. The second floor will become games workroom, it is designed for our staff work, such as design and transformation board games etc.

Recruiting some professional who love board games and have work ethic. Provide professional service for customer to attract more board game player, certainly, our surpassing client's expectation.

Development and design one or two board games and receive play's favors in center region even whole Singapore.

Absorb 150 members in the first operating year, 400 in the following year and absorb more in the third year.

GG's board games appear in other board game bar at second operating year, make the payback period within three years.

Become one of the best board game service company with the best reputation in Singapore. Planning expansion board game center business in southern part of Singapore.

2.8 Management Team

Jon R. Katzenbach explain that in the best companies, a so-called top team seldom functions as a real team, (Business Leader).

Set up a management team has a large necessity, it is central in the concept of leader effectiveness. The management team is the entire work group as a collective, not an aggregate of individuals, limited without in the area of freedom allowed by its position in the organizational hierarchy.

Nowadays, the management team is used in the enterprise, no matter the enterprise's scale. A smart management team will make some great reward and maximum value. In concrete terms, Thomas,G (2012) expounded that build a management team has many benefits are as follow:

The members of an organization will be more identified with the goals of the organization and consider about its success if they join in making decisions about those goals and how to achieve them.

Set up a management team gives its members a feeling of greater control over their lives; it frees them from the fear of the leader's arbitrary use of power.

When group members join in solving the group's problems, they learn a great deal about the technical complexities of whatever the group's work is; they learn with each other, as well as from the leader. Developing a management team is the best kind of improve staff's abilities.

2.9 Company Director: MR. Mo Xiaoran as the GG's director. ACRA is the only authority of singapore company registered. ACRA rule that the company director must reached the age of 18. Director must be Singapore citizen or Singapore permanent resident or employment pass (EP) holder when the director and shareholder as the same person. The number of director, retirement and reappointment method should be write in to company regulation. Director 's responsibilities include make the company decision and negotiations of external activities.

2.10 Company Secretary: MISS. Fish Leong. After the establishment of the company 6 months, company must appoint a legal secretary, her responsibilities include:

Timely submit the company act specified in the report and form to commercial note.

Take good care of the company's name and meeting record.

Where necessary, sign for official contract and the board of director resolution.

Ensure that company documents properly covered the company seal.

2.11 Current activities brief summary

Basing on the corporation's vision and mission, absorb a large number of professional talents, produce a comfortable working environment for staffs, creat more board game for game player. GG not only meet the needs of existing players, but also vigorously promote board game culture to develop more board game players. Striving to let players to experience the game pleasant sensation at the same time, taste to board game's excitement and fun, divergent thinking and benefit.

Indusrty Analysis

3.1 Board Game Industry

All the game company and entertaining services company are belong to entertainment industry. GG's major products are board games and supporting services (Board game center). We perfer GG belong to board game industry.

European and American board game industry started early, nowaday, there are some strong industry members, such as Fantasy Flight Games (FFG), Z-Man Games and Hasbro, they are efforts of new entrants to gain a market foothold in Europe and America. In China, there are also have a number of rising board game companies, such Yoka Games and QianZhi, they are promoting the development of Chinese board game industry, but they are not mature enough,most of products are base on Chinese culture. That make the products get into international market will be difficult. In Southeast Asia, the board game industry has just strated, it is an undeveloped market, it is beneficial to GG.

3.2 Porter Five Forces

Porter's Five Forces model

The Porter's Five Forces model is defined by David (2009). This model is a widely used approach for developing strategies in many industries. The intensity of competition among firms varies widely across industries. Porter explains there are five forces that impact industry attractiveness and long-term industry profitability. These five forces are:

Rivalry among competitors

Threat of new entrants

Bargaining power of buyers

Bargaining power of suppliers

Threat of substitute products or services

Table 1: GG's Porter's Five Forces

(Source: Create for this enterprise project)

3.2.1 Rivalry among competitors (Strong)

Johnson (2010) explained the strength increases as the number of competitors' increases or they become equal in size. Demand for the industry's products declines or industry growth slows. Fixed costs or barriers to leaving the industry are high. The intensity of rivalry between competitors in an industry will depend on: 1) The structure of competition. 2) The structure of industry cost. 3) Degree of differentiation. 4) Switching costs. 5) Strategic objectives. 6) Exit barriers.

In Singapore board game industry, the case of Goblin games there is less competition, but in the whole game industry, GG face a strong competition, it depends on the board game facing the impact from video games and computer games. Such as the leader of computer games-EA, Blizzard. Some of people prefer to stay at home and play computer games. There are many traditional electronic game centers in Singaporean shopping center. Some kids prefer to play games which can gain prize.

As a new industry, it is obvious that board game industry has a clear market leader. It is an opportunity of GG, but it also let some well-known board game companies' strategic objectives aim at Asian board game market. When competitors are pursuing aggressive growth strategies, rivalry is more intense. Facing the strong competition, GG must be implementing more effective strategy.

3.2.2Threat of new entrants (Ordinary)

It is a factor that indicates the likelihood of entrants coming into an industry and creating competition for existing companies, new entrant to industry will raise the level of competition. Coulter M (2010) describe that the threats of new entrants depend on the barriers of entry. This risk is lower if there are significant barriers to entering the industry, such as regulation, patents or capital requirements. Threat of new entrants is higher if there is an excessive profit to be earned or entrance barriers are lower.

As a matter of fact, set up a board game company is different with banking industry, with no need for too much money like bank, however a good board game company has to allocate a set of equipment. In board game industry, originality is base of work, lots of second class board game company has a few new element when they develop games. Blindly imitation cannot gain the customer groups. Nowadays, the society environments make a lots of people become scholasticism. More and more people do not want to innovate. So if recruit the game designer who has the innovation is the key factor to success. As a company, it is difficult to switch the capital. That means once invest capital into board game industry, it is difficult to switch to another industry, vice versa.

According the industry analysis, it easy to find that board game new entrants will face a strong competition in the international market of global scope, and competition will be weaker in Singapore. However the new entrants will face the impact from video games industry at the same time.

According the Porter Five Forces model, high production-profitability threshold requirement will decrease the threats of new entrant. The most of board game company founders are the hobby board game enthusiast, the companies are difficult to get government financing, once cannot make profit in short term run or has a low profitability ratio, it will be difficult to business. So in board game industry has a relatively high production-profitability threshold requirement. In board game industry, the main products are all kinds of similar games, Arthur A, John E and A J Strickland (2007) described an important barrier of entry is products differentiated or well-known brand names. In Singapore there are not lots of well-known board game corporation.

An overall consideration and rational estimation of GG's "threat of new entrants" are ordinary.

3.2.3 Bargaining power

In a setting where both parties have more or less equal bargaining power, the potential to negotiate a resolution that is acceptable to both parties is usually much easier to accomplish. If the balance of power not be equal, one party will have a decided advantage over the other, and be in a much better position to dictate terms. As a result, the party with less bargaining power often has to settle for less than what he or she desires in order to receive any benefit at all from the transaction.

3.2.4 Bargaining power of buyers (Ordinary)

The buyers affect an industry through their ability, such as force prices down, bargain for higher quality or more services, or even play competitors against each other, described by Wheelen and Hunger (2010).

In the trading market, business profit is low when the bargaining power of buyers is great, and buyer will spend more on the contrary. There are some key factors which affect the bargaining power of buyers. One is the proportion of consumers and supplier (market purchase quantity), the second is the products standard whether has little differentiation between competing products in the industry, sometime the standard is reflected by product price and quality. The third impact factor is whether the industry is key supplying group for buyers. For example, in the case that there are relatively few suppliers of goods or services, and each supplier provides good or services at price are similar to those by his or her competitors. Buyer's power is weak if the industry's products are necessaries.

Board game industry faces different area will get different result by buyer's power. For example, in somewhere that board game into people's life and the board game industry are strong. That means customer has more choice when face different products. They will choose to buy the cheaper one with better services, so the corporations which have no market and popularity need to reduce the products' price and provide better service. In this case, the buyer's bargaining power is strong. As we know, Singapore's board game industry is a fledging industry. Most board game customers are foreign holiday tourists. According to the characteristics of the most visitors, they don't care about the games' expenditure if these games are good enough to attract them. In a general way, people are difficult to impact the products' price in an emerging industry with a few competitors, but the most of older generation do not accept game culture. GG must do some promotion through underselling, provide professional guide the new customers and so on. That means GG's board game industry in Singapore will service for customers with a certain extent bargaining power.

3.2.5 Bargaining power of suppliers (Ordinary)

Coulter, M (2010) explain that industry's suppliers have bargaining power, they can raise prices or reduce the number of services provided or the quality of products that industry purchases.

Except produce board game, GG also operating the game center as a place where gamer play games. It is the main source of income. Most of board game center rely heavily on game company as supplier, the supplier has a lots of stabilized buyer and master the high bargaining power. For Goblin Games, its supplier is not so important in the future. At the present stage, GG's board game center will buy in some famous games for satisfy customers' require, but the key lies in promoting own new games. Because of GG in a fledging period, it will face a certain pressure from suppliers' bargaining power.

3.2.6 Threats of substitute products or services (Ordinary)

The best of way to evaluate this threat is to see whether there are other industries that can satisfy the consumer need that our industry is satisfying (Coulter. M, 2010). The substitute products are few, the threats will be low. It impacts an industry through price competition. Products from one business can be replaced byproducts from another.

Most of board game companies' product are produce and issue all kinds of board game, the products in board game industry are similar, the only distinguish method is game category, such as simulation game (SLG), simulation game (SIM) and role playing game (RPG) and so on. But in Singapore people it is difficult to get some famous board game which produced by board game company. The traditional games' expenditure is higher than board game, it means that end users have high costs in switching to substitutes, in a certain extent, it reduce the threat. There are lots of substitutes in board game industry, but on account of GG board games' special nature, Goblin games avoided the strong threats of substitute products, and the threat is able to further reduce through some special operation.

3.3 SWOT analysis

SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis is a method for analysis organization's business, resource and environment (Riley, J 2009). The SWOT analysis is the foundation for developing organizations' strategies and tactics and that then help the organizations design business operating plan. The key point about SWOT is that:

Strengths and weaknesses

Are internal to the business.

Relate to the present situation.

Opportunities and threats

Are external to the business.

Relate to changes in the environment which will impact the business.

Table 2: GG's SWOT analysis

(Source: created for this business plan)

3.3.1 Strengths

Goblin Games LLP as a new board game company locate in Singapore's residential area. Many people want to play board game to pastime and relax, but do not want to leave far away from home (go to shopping center region). GG board game center is their best choice. GG provide a various services. For our board game products, we offer the online order, and we have professional staff response for customers' question on official forum. In GG board game center, we provide all kinds of board games and drinks, snacks (include free and charge). When you feel uncertain on one game's rule and game method, we have professional staff help grasp the game as soon as possible, help for a perfect game experience with customers. Have a good management team, will gain a good beginning. Goblin Games pay attention to build and train management team. It most important that management team is fill smart people with clear thinkers, understand what needs to be done, and skills of delivering good results.

3.3.2 Weaknesses

Weaknesses are the qualities that prevent us from accomplishing our mission and achieving our full potential. These weaknesses deteriorate influences on the organizational success and growth.

Because of GG is a new company, it very difficult to in a market place. Even though, Southeast Asia is underdevelopment market, because of this the well-known board game company will not give up the opportunity. Meanwhile, the well-known brands are more popular in people's mind. In Singapore, there are several old board game bars. People may prefer to expend in here. People are always habit old things and difficult to accept new one. Apple Inc. is a great company, its products drive some new things appear, such as electronic board game. That true has impact for GG board game center's business, but I believe that people will be more like multiplayer games.

3.3.3 Opportunities

Opportunities are presented by the environment within which our organization operates. These arise when an organization can take benefit of conditions in its environment to plan and execute strategies that enable it to become more profitable.

Obviously, Singapore is a large potential market for board game industry. In this high-speed operation country, many people may be tired of mechanical life. They do not want to face computer, they are care about the health and interpersonal relationship, GG board game center grasp the opportunity and provide a good place for them. Singapore is a business friendly country, and about new culture industry, the government support emerging industry development (taxation, company registry).

3.3.4 Threats

Threats arise when conditions in external environment jeopardize the reliability and profitability of the organization's business. They compound the vulnerability when they relate to the weaknesses. Threats are uncontrollable.

Seem from external environment, the threat not only from the same industry, but also come from all kinds of public place entertainment and holiday resort, such as internet bar, café bar and video arcade. Because of the industry category, the barriers of entry are not high, there may arise some competitors will form a strong competition in initial stage. Once that it easy to cause the board game industry become low side industry, it is against GG's profit.

Products & Services

Considering the scale of GG's business, GG will not provide much products at present. About the GG's means of profit divide into two parts, one is issue and sell the board games, we have professional board game designers provide the most original design, then the art directors and product department will show the design to board game players. The other part is operation the board game center, in the board game center, we offer a unlimited place with complete equipment and all kinds of board game for customer, we have professional game instructor to help you to understand the games' rule as soon as possible. It a good place to relax yourself, make friends and study. Certainlly, we will purchase many board games from other well-know board game companies at present there are many well-know board game companies, such as Yoka Games (Chinese), Fantasy Flight Game (Roseville, MN, America), Z-Man Games (New York, America), etc.

4.1 Description of Products and Services

In this part, we will introduce three board games which offered for customers by Goblin Games LLP Board Game center.

SAN GUO SHA (Killers Of The Three Kingdoms)

This board game include RPG, reasoning, team, hand management factors. It's the most popular board game in China which created by yoka Game. San Guo Sha blend in history and culture of Chinese the three kingdoms and the characteristics of western killer games. According the players' indentity with in a game card form. In the game, the player will act a military commander of three kingdoms, combined with the identity of this round, through round and round of strategy and action, gain the final victory with companions. It is a successful board game which assemble the entertaining, competive, interactive, collaborative as one, and focus on cultural connotations.

Carcassonne

This is a Germen style board game. Carcassonne is suitable for two to five player play together. Carcassonne was designed by Klaus who won in 2001 the Spiel des Jahres prize. This game will take exercise for people's managing strategy. Every time in game will emerge different strategy and alliance relation

The werewolves of Miller's Hollow

In a brief, werewolves of Miller's Hollow is a KillGame with more factors. It has been nominated for the 2003 Spiel des Jahres award. It is suitable for 8 to 18 players play together. The game mainly composed by the werewolf special villagers and ordinary villagers, the werewolf's goal is to devour all the villagers, the goal of the villagers is to find the hidden werewolf villagers and destroy them through a lot testimony which provide by special villagers with special features for the game. This game will exercise people's observation and analysis ability.

About the source of additional revenue, in GG's board game center we provide all kinds of drinks and snacks for customers.

Certainly, GG will self-produce some board games to supply for market. This is GG's second part business, look away from long term profit, it has more market value than board game center. Because of the professional board game developers has in no, result in the technology is immature, we are difficult to issue own board game product at present.

4.2 The Charging Standard of Goblin Games Board Game Center

In general, the GG's product and service pricing is base on our labor force and equipment cost. According the most of board game bar or board game centers' price and make appropriate adjustment. GG try to echo customers' consumption concept, at the same time consider own compitive requirement. Set up the basci charging standard are as follow:

Table 3: Board Game Center charging standard

(*Note: where ph means per hour, all the GG board game center basic charge base on 1 hour. The vip card means membership card which can provide a discount of basic charge in board game center. GG's membership provides ten percent discount, and once the customer's number of consumption to 10 times, the customer will get a luckly chance to gain any one board game product.)

Market & Competition

There are a lot of kinds of methods for analysis market, usually it may take two distinct forms. The first is investors look at the market and decide for make investment decisions, whether it is going down or up. The other is used for marketers, they through analysis the target market of their customer and make decision for improve sales and profitability.

Board Game Market Outlook

Board game industry as a emerging industry, it bring up a market which different with traditional industry. The market are focus on people's spiritual life rather than substance. Seen from the outside, the board game market coverage is may not big, and somebody think the board game only has young people customer groups. In fact, board game is suitable of each age group. Nowadays, most of the middle-aged's cricle is small, increasingly, people are lack of communicate skills' exercise. In board game, player will meet many stranger with same hobby.

Nowadays, people's quality of life has improve. They will be willing to spend for rich leisure life rathan than stay with computer. Board game is a good idea for them.

PESTLE

PESTEL Model

PESTEL is used to find out the current status and position of an organization or individual in relation to external environment and current role. PESTEL can be used as a basis for future planning and strategic management. PESTEL is one analysis mode of external environment. It covers:

Political factor

Economic factor

Social factor

Technological factor

Legal factor

Environment factor

Identifying PESTLE influences is very important in a business plan, it help the manager realize the company's external environment, and adopt some strategy on time.

5.2.1 Political factor

It can be clearly seen that, in recent months, Singapore has run very well on doing business regulatory and tax environment, stable political and economic climate, productive workforce, excellent business support infrastructure, liberal immigration policy and efficient legal system (Singapore Tax report, 2010). Since the day Singapore officially gaining sovereignty in 1965, its politics has been dominated by People's Action Party (PAP) (Guide me Singapore, 2011). By following the guidance of this PAP, Singapore government can maintain the economic growth and political stability. It encourages overseas companies to invest in Singapore as far as give an opportunity for local companies to expand and develop their business in both local and global market..

Singapore as a city-state has no many natural resource, it need some emerging industry and tertiary industry to drive its economic growth. Singapore government greet this industry with low power consumption. Singapore government also pay attention to the quality of life the inhabitants. Board game as a new culture rich people's leisure life, let they stay off the computer. To some extent, government provide some supportive policy. In July 2011, Singapore media development administration officals said Singapore government encourages and China enterprise cooperation, and absorb more games culture (2011). In Singapore, infringement of copyright will face serious legal sanction, citizens will supervise each other. That makes a good board game environment for our company.

5.2.2 Economic factor

According to Channelnewasian.com (February 2011) Singapore's inflation in January rose to its highest level in 25 months, the data showed that:

18.4% higher car & petrol prices- SH has been affected by high delivery and transportation cost.

5.3% higher housing- related cost that influenced SH on rental fees and accommodation cost, electricity tariffs.

2.8% higher food prices such as fresh seafood and vegetables, prepared meals, meanwhile- SH has faced with the raw material cost increased.

Singapore is located the point of intersection between the east and the west. As a financial center which has much of currency circulation, it is easy to impact by financial crisis. According the short term Singapore dollar's variation trend, we can see Singapore has certain inflation which in controllable range. In October 3rd 2012, reflected that Singapore market expect core inflation will decrease (except housing and private transport expend). That means Singapore's economic emerge decline, government must be adopt some method to revival economic.

5.2.3 Social factor

People all live in the society, there are many factors that affect or direct people' life style, these factors are called social factors. Social factor is also affecting board game industry (such as cultural, demographic, buyer habit etc.).

This is an important barrier for board game industry. Game culture as a new culture is difficult to accept by people except children and some young people. Most of Singaporean are busy for work all day, on the weekend, they prefer to shopping for next week's life, this is Singaporean's habit. Most of presents think games will affect children's life and school work (excessive attention to plaything saps the will). Certainly, many foreigners' minds are more open. They are the important customer for GG in Singapore. Age limitation is a frequently asked question, most of board games are not well suited to the old, GG will develop a variety of board games for the old, which is able to exercise their brain and prevent dementia and so on.

For overcome the difficulties, GG need to make up programs to promotion board game culture, let people know board games are able to increase players' reacting ability and thinking diffusion ability.

5.2.4 Technological factor

In board game industry, technological factor main reflect in game's interestingness, novel idea and complete set of service system. For game's interestingness, GG try to improve game's rules and gameplay for old games, it may renewed interest of the play. Actually, there are many games used this method to attracted more players and be succeeded. Such as Go bang, its rules have changed and use new board, that make it appear in many entertainment places.

About GG's services system, GG has own network sales channel to help player buy products easier and consult all problems of GG and product. In GG's board game center, we provide professional help player to grasp games more easily. In the future, GG will develop new production and sales mode to increase GG's profitability ratio.

5.2.5 Legal factor

These are related to the legal environment which firms operate, have both external and internal sides. In recent years in the UK there have been many significant legal changes that have affected firms' behavior. Therefore, there are certain laws that affect the business environment in a certain country while there are certain policies that companies maintain for themselves.

1) Consumer laws

2) Competition laws

3) Employment laws

4) Health and safety legislation

Singapore is pay attention to legal constraint, there are a lot of laws and regulations for protect the interests of others, the laws' covers are broad (such as copyright, consumer rights, competition etc.). GG will strictly abide by the law; at the same time will use the law to protect its own interests.

5.2.6 Environment factor

These factors include all those that influence or are determined by the surrounding environment. It is not limited to climate, weather, geographical location, global changes in climate, environmental offsets. Company need to analysis man-made environment more of the time, such as enterprise development condition. Nowadays, more and more people realize that environment is able to creating business opportunity.

Singapore as the only developed country in South East Asia. Material culture are easily be satisfied and people's life rhythm very fast in here. Because of this, their spiritual culture is difficult to be satisfied. In this environment, GG is focus on people's happiness and reduce pressure, undoubtedly, it is beneficial to the development of GG. On the other hand, Singapore has a large number of floating populations and take up a lot of western culture, Singaporean realize entertainment is important. Therefor Singapore government introduces policies to support emerging culture's development (emerging culture include game, cartoon and music etc.). The development of emerging industry creating many people with innovation, they are able to help board game industry's develop.

5.4 Target Market

For your business to succeed, it must have enough customers to buy the product or service offered. Before you launch your new business, take time to evaluate your potential customer base. Figure out whom you expect to be your most likely customers, in other words, your target customers. Then tailor your marketing efforts, as well as your products and services, to those customers. Defining your target market will not limit the business and help to increase cost efficiency.

Table 4: statistic of Singapore Social Indicators

According the social statistics of social indicators showed at above, and compare with information of year 2010, we can know people's life quality is increase.

In Jun 2012, Singapore total population was 5.31 million, sex ratio was 970 (males per 1000 Female). According the statistics from Department of Statistics Singapore (2011), the overall business receipts of the services sector increased by 4.4% in the year of 2011, indeed, the recreation and personal services takes up 1.4% of all services sectors in the fourth quarter. These statistics are important, is able to help us to analysis our potential customer.

In fact, Goblin Games LLP has targeted the middle class people and a part of upper class which the customers with the range of age from 13 to 30. The Board Game entertainment company just picks up a small portion of whole business. However, the entertainment business receipt index enjoys a rising trend. (The results are from the analysis combine market research and the statistics offered by Department of Statistics Singapore.)

5.5 Competition (Competitors expound and analysis)

This part examines in detail the strengths and weaknesses of the existing competitors among in the board game industry in Singapore. Engaged in every industry will have to face competitors. The competitors' scale determines the living place of new brand. The strength of competition determines the success rate of your new business.

According the market research results about the question 7, we initial decision that the Goblin Games LLP have to face some main competitors are as follow:

Z-Man Games

Fantasy Flight Games

Tradition video/computer game industry

Board game bar/center local Singapore

In business, It is very important to know that our competitors' operation model and idea. As a new business, we must to know the shortage of self and try to improve. There is a old said "to do everything, knowing , can win". That means we should to know competitors' advantage, through the reference and study to improve self. About GG's business, we should exploit advantage and avoid disadvantage. To establish our effective competition ability.

5.5.1 Z-Man Games

Z-Man Games, Inc. is a game publisher which formed in 1999 by Zev Shlasinger in New Yorker,

Z-Man homepage screenshot

Z-man's customer service policy

Z-man provides a perfected set of customer service. In foreign business, all about products quality problems have been solved between two work weeks to five work weeks.

5.5.2 Fantasy Flight Games (FFG)

Fantasy Flight Games Publishing was founded by its CEO, Christian T. Petersen in 1995. Fantasy Flight Games Publishing has been doing business as Fantasy Flight Games (FFG) when the first game product-Twilight Imperium has issued in 1997. After this, Fantasy Flight Games has grown to become one of the biggest companies in games industry, FFG is known for its game components' quality, innovation, and professional ethics, FFG's business is a global one, with the majority of its revenues generated from international sales.

Through viewed FFG's homepage, we found a community, it is provided by FFG work team for player exchange together. More than that, FFG work team use the community to collect customers' comments and suggestions, and if you have some feedback question, may posted to get answer from community manager. It also has some functions such as make friends.

The registered advantages

5.5.3Tradition video/computer game industry

About this competitor, in fact, it comes from people's habits, people may get used to play game on computer or other electronics products. There is good news which people realize board game's advantage relative to video game gradually. Such as board game are suitable for play at party and many people can participate in it. Nowadays, more and more bars and pubs start to offer some simple board game. In general, board game is accepted by people. On the one hand, board game has not too much restrictions (number of party, electric supply), on the other hand, people starts to realize the damage from computer/mobile phone (radiation, eyes influence).

5.5.4 Board game bar/center local Singapore

The competitor will impact GG's board game center business. According our survey, most of Singapore board game bars have no scale. Most of operators are board game fans, do this business for hobby and have no professional operation and management plan, that result some board game bar only can maintain operation, even go bankrupt after few years. These board game bars' source of income is sale incidental products consumption (drink and food), board game just as a pastime tools. Summarizing the reasons as the following three points:

Position is not clear

Un-professional

No advertising plan

Market Research

There will always have difference between theory and reality. That the reason for the simple market research be made as follow:

Informant gender. A. Male B. Female

(Source: created for this business plan)

The graph shows that the gender ratio of informants, male (56%) and Female (44%). Compared with other recreational activities, the gap between male and female ratio is not big. That's means board game has been accepted by all rather than single-sex.

Age. A. under 13 B. 13-20 C. 20-30 D. 30-40 E. above 40

(Source: created for this business plan)

According informants' age cartogram, it shows that youngsters are more interested in board game (shows from be willing accept board game research). The age from 20 to 30 and age from 13 to 20 take the largest and the second largest portion which account for 36% and 27%. They may become GG's largest client group in the future.

*What is your monthly income level (SGD)? (Tick for your choice)

(Note*: In this part, because of some problem, such as many informants do not want to reveal their income level and it is difficult to treat immaturity's pin money as income. This research result reference from "ShowNearby Singapore")

According this monthly income graph, we can easy to see the most of people's monthly income focus on from under 1000 to 1999 (SGD) as relatively low income group and between 2000 with 3999 (SGD) as relatively middle income group. According to the common sense and make initial judgment. GG's main customer group will focus on 1000 to 3999 (SGD) income level.

How often do you play or plan to play board games in board game center or bar? A.Daily B. Weekly C. Monthly D. Quarterly E. Yearly F. Not Sure

(Source: created for this business plan)

As can be seen from the bar chart above, people prefer to play board game in board game center weekly or monthly. We also can find that people choose "Not Sure" accounted for 20%. It shows that many people do not have a specific idea when they face a relative new entertainment way. We predict there will be a lot of changes of this statistics in the future.

How much did/will you spend on board game per week?

A. None B. S$0-25 C. S$25-50 D. S$50-100 F. S$100-150 G. S$ above 150

(Source: created for this business plan)

Obviously, most of people did/will spend S$ 0-25 on board game per week. There are some people willing to spend S$25-50 on board game. The bar chart shows about 20% people did/will spend S$50-100 on board game. To our surprise, there are some people willing to spend more (S$100-150). However, almost no one spend S$ 150 or above on board game per week, this is in our expected. The result is able to use for pricing of GG's board game center charging standard.

About board game center, what price would you expect to pay for one hour? (offer a reasonable price)

(Source: created for this business plan)

From the pie chart, obviously, most of people except board game center basic charging at S$ 8-12 per hour, and some people can accept and think S$12-15 is suitable. This pie chart of expected price statistics is helpful to our GG board game center set up the basic charging standard.

What other board game company have you know?

For this question, most of people cannot provide the answer that I want. They do not have a good idea of board game company, but can talk about some board games. Certainly, also has many people can said the board game companies' name. but it limited to several well-known companies (Such as FFG, Kosmos, Yoka, etc.). All of these well-known board game companies will become our powerful competitors.

What board games have you know or you want to play at board game center?

Most of people talk about a lot of popular board games. We found immaturity people prefer to talk about some simple operation board games, for example, The Deal. Many adults are more inclined to related board games which need analysis and more people to play together, such as San GuoSha, werewolves of Miller's Hollow etc.

The question result will provide a idea about our board game center' s board game offer.

5.5.5 Competitive Profile Matrix (CPM)

In a word, The Competitive Profile Matrix (CPM) is described used to analysis strengths and weaknesses of the major competitor (David, 2009). The best thing about CPM that it includes your firm and also facilitates to add other competitors make easier the comparative analysis.

IFE matrix only internal factors are evaluated and in EFE matrix external factors are evaluated but CPM include both internal and external factors to evaluate overall position of the firm with respective to their major competitors.

Table 5: *Competitive Profile Matrix of GG

(Source: created for this business plan)

(Note*: This table shows competitive comparison about Goblin Game with Z-Man Games and Fantasy Flight Games. Where, the grade of Goblin Games is from reasonable prediction of three operation years later. Its competitors' grade is from analysis their company situation.)

Marketing Strategy

Paul Keetch (2008) described A marketing strategy is a process that can allow an organization to concentrate its limited resources on the greatest opportunities to increase sales and achieve a sustainable competitive advantage. A marketing strategy should be centered around the key concept that customer satisfaction is the main goal.

Usually, marketing strategy includes the coordination of four elements called the 4P's of marketing as follow:

Identification, selection and development of a product.

Determination of its price.

Selection of a distribution channel to reach the customer's place.

Develop and implement a promotion strategy.

6.1 The Marketing Mix

Kamil (2009) has explained that 'the ''Marketing mix'' is a common words that used to describe a various choices which the company must process the procedure of bringing a specific services or products to the market'.

6.1.1 Product

The product actually means that the service or product even an idea or method introduced by the company which offer to the customer of the target market. About this business plan, the Goblin Games products divide into "goods" and "services".

"Service" Goblin Games board game center provide a play place for customer, has a basic fee standards (please check part "product"). Also has fee supporting service, such as games guide.

"Goods" Goblin Games office self-produces board games and sales to market. In the board game center, we purchase other board game companies' game products to satisfy customers' buying demand. Here also provide drinks and snacks counter products.

6.1.2 Price

Board game as an emerging industry, usually, the pricing method is considered as important key point of business success.

GG's pricing method is according the board game industry condition and GG's practical situation, meanwhile consider the customers' expect. In fact, for a new business pricing, the customers' expect has played a significant role. It is shown as "Bargaining power of buyers" which we analysis at Porter five forces. In case pricing high level, the customer will not go for it, and if the price is too low, our company will lose the competitive power and is difficult to survival in long-term. About the specific pricing please check table "Board Game Center charging standard".

About the strategy or price, GG will provide a cheaper charge in the first three business months. The price is as follow:

Table 6: GG board game center charging standard in first three business months

Certainly, after the first three months, the price will increase which shows at Table: "Board Game Center charging standard"

6.1.3 Place

"Place" is concerned with the different kind of the methods that how making a firm's products or services available for the clients. Generally, in the business, buyers will consider the ease of obtaining the product or service once the decision to purchase has been made.

In the part of "registered address", it shows that GG is locate in Singapore, Toa Payoh RMT station. There is a reason, Toa Payoh is seated between the residential area and business area, not only facilitate customer consumption, but also facilitate our staffs work.

Generally, the address choice need consider whether convenient purchase. About our GG's business it seems that not so important. The major goods which we offer are permanent products and can be reuse (except Drink and snack). It will not cause too much transportation cost.

6.1.4 Promotion

Promotion is essentially the means used to reach intended customers. Imagination and creativity can result in a business products or information about them being displayed in places which other competitors are not.

Advertising is an important method of promotion. People in Singapore cannot without newspaper, it helps people keep up on current event or pass time. In the highly development country, the public transportation can be seen everywhere. GG plan to use inserting advertisement in newspaper and traffic tools. This is the most common and effective method.

Nowadays, internet advertising is gradually replacing more traditional form of promotion. GG will try to advertising on online, such as Google provide advertisement for marketer, likes as follow:

Except the advertising method, GG also has other ways to attracting customer. Such as our VIP card which can gain ten percent discount, and gain a lucky chance for prize when consumption achieves every ten times.

Moreover, we plan to hold board game party termly, every GG's member can enjoy food, drink and board game at board game center, exchange and play with other board game enthusiasts, of course, free for all in this party.

6.2 TOWS Matrix

TOWS Matrix is an important matching tool that helps managers develop four types of strategies: SO Strategies, WO Strategies, ST Strategies, and WT Strategies.

Table 7: GG's TOWS Matrix

(Source: created for this business plan)

6.3 Capital request

For GG's business, the capital request may include: rent of location, staff salary, utility bills, equipment (table and chair, air-condition, water refrigerator, counter etc.), games, consumer goods (drink, food) and so on

The start-up particulars are shows at table as follow:

Table 8: GG start-up requirement

(Source: created for this business plan)

(*Note: According ACRA the cost of register includes the name approval fee (S$ 15) and registration fee (S$ 150). Where the rent of location fee include the first 3 month, because GG start the business in third month)

According the preliminary estimate, GG need S$ 196,487.34 project funds, in fact, GG plan to apply the amount of S$ 200,000 as start-up funds.

GG is a Limited liability partnership company, so the half of start-up fund provided from my partner. Another start-up fund (S$ 100,000) loan is come from my family economic support.

6.4 Sales forecasts

GG's business start at the third month, we predict in the first year, we just have income from board game center, every month has 1300 person-times which average expend S$ 31 every time, among 20 customers become our member. Thus forecast gross profit in the first year is S$ 63,140.64. We predict this number will increase 30% annually in the next 3 years.

Business system

7.1 Organization Structure

GG company structure

7.2 The Supplier of Product

Although, GG will produce some board game product for sell or offer to customer in board game center, in the board game center we need more board game to satisfy customers' requirement, especially well-known board game likes the recommend in part "Products & Services" above. Most of well-known board game companies' products will purchased in other boar game manufacturers.

About GG's working chamber's board game design will deliver to manufacturing works to volume production (the manufacturer is our business partner). Next, it shows these manufacturing.

Wood Expressions Inc. is one best game manufacturer which founded in 1997. All the chees games that offer by Goblin Games LLP are purchase at Wood Expressions Inc.

B. dazzle, Inc. founded in 1993 by Kathie Gavin. As an old brand manufacturer, B. dazzle, Inc. has a high profile and influential with their professional ethics. That the reason GG want to establishing cooperative relationship with it.

Two of these manufacturers above will help GG produce board game product. We also have a food manufacturer. GG requires the manufacturer in the near distance, because we will have frequent business. That the reason why we choice the "Leong Chai Kee Food Manufacturer Pte Ltd" which located at 13 Kaki Bukit Road 1Singapore.

Financial plan

8.1 Income Tax Rate

Tax as the main income source of government, it is very important.

Most countries employ a progressive income tax system in which higher income earners pay a higher tax rate compared to their lower earning counterparts. Such as Singapore, shows at follow:

Singapore Corporate Tax Rates

In fact, the income tax calculation is not simply multiply, so in this business plan all the calculation is without regard to tax.