CAREER PROJECT GG RESTAURANT a new outdoor dining spot in binh duong

Hoa Sen University Vatel International Business School Hotel & Tourism Management CAREER PROJECT GG RESTAURANT A new outdoor dining spot in Binh Duong Submitted by : Ly Dai Dung Date : 1

Hoa Sen University Vatel International Business School Hotel & Tourism Management

CAREER PROJECT

GG RESTAURANT

A new outdoor dining spot in Binh Duong

Submitted by : Ly Dai Dung

Date : 18 August 2021

Academic tutor : Le Hoai An

CERTIFICATE OF MY OWN WORK

I certify that this dissertation was written and completed by myself, based on my own studyand research and with the guidance of my tutor I have duly acknowledged all the sourcesfrom which the ideas and extracts have been taken

Ly Dai Dung

CAREER PROJECT JOURNAL

Career Project Tutor: MR LE HOAI AN Date of Submission: 18 August 2021

Title of Dissertation: GG RESTAURANT

* To be filled in by the student and acquire feedback, signature from his/her tutor at each

Assessment Feedback Form

Career Project Tutor: MR LE HOAI AN

Title of Dissertation: GG RESTAURANT

Date of Submission: 18 August 2021

Assessment Criteria

EXCELLENT

4 GOOD 3 AVERAGE 2 INSUFFICIENT 1

1) Breadth and depth of research/ market and products

understanding and engagement with source material

2) Scope, definition and relevance of topic and career

project aims

3) Methodological coherence, structure and

persuasiveness of argument

4) Level of intellectual ambition and accomplishment

5) Effective employment of academic/business skills,

including quality of writing, referencing, use of images

Hoa Sen University Vatel International Business School Hotel & Tourism Management

BUSINESS PLAN - MARKING SHEET

PART A

Cover of the following formatting:

1 Title page included

2 Printed on one side of A4

Hoa Sen University Vatel International Business School Hotel & Tourism Management

BUSINESS PLAN - MARKING SHEET

2 Introduction

(5%)

1 The introduction should provide sufficient background on the proposed business and previews major points, where relevant,including:

2 Business concept, products & services, business context (vision, mission, value), major technologies, and facilities required, and key value customer & stakeholder groups

3 Plus, any other points that may be considered appropriate for inclusion

2 Identify any critical points that may favour, or adversely affect, the proposed business, such as rules and regulations that needs to be followed

2 Literature reviews will be needed to identify similar market research methods used by others for similar businesses

Student will need to describe and justify their own research methodology for not only identifying prospective customers but also giving insight into their profiles, expected behavioursand satisfactions of needs/wants

3 Business strategies (identify key strategic factors, key measures -3 years)

Hoa Sen University Vatel International Business School Hotel & Tourism Management

BUSINESS PLAN - MARKING SHEET

2 Five years of revenue forecasts

3 Cash flow forecasts for such period until the business starts toshow positive cash flows

4 ROI – return on investment calculations

5 Breakeven analysis and

6 Payback analysisBased on these the student is expected to rationally analyze the business as to whether or not it is feasible, identifying any critical points, or caveats that would contribute to such analysis

7 Evaluation of

proposal (5%)

A critical evaluation of the business plan identifying critical points, whether these be assumptions made, business environment issues, or key performance indices, and briefly suggest an alternative

(contingency) plans if these critical points are not met

8 References,

citations and

appendices

(5%)

The references are cited using APA style

Proper formatting is used throughout the reference list

Each reference has a matching citation(s)

Citations are formatted correctly

Appendices are included

Final grade awarded

Assessor’s feedback and comments

Assessor’s name

EXECUTIVE SUMMARY

Binh Duong province today is one of the most developed provinces in Vietnam with quality industrial parks famous throughout the country With such development, people's living standards and needs are increasing day by day However, this area is lacking a place that can meet their needs, a place that can help them date, dine and relax after a tiring day of work Besides, with the development of social networks along with the trend of globalization, young people need places that can help them access different cultures and cuisines in the world

high-Realizing this, we had an idea for a European-style restaurant specializing in Western cuisine, a place that not only helps them to enjoy delicious food from other cultures but also brings comfort and relaxation after a hard-working day at company.

The target customers of the restaurant are young people in Binh Duong Province, especially office worker from 23 to 30 years old who have income from 10 to 15 million VND and have interest in Western Cuisine This is a group of customers with a very high demand for quality products and services, so we need to focus on sales and marketing strategies as well as operating of business in order to get customer satisfaction

Besides, the restaurant will have 1 manager, 1 captain, 3 chefs, 2 baristas, 6 servers, 1 cleaner and 2 security guards All staff will be carefully recruited and trained regularly to be able to bring the best products and services to customers.

The total investment will be 1,745,225,000 VND and with the Breakeven Occupancy is around 19 percent, the restaurant will have the Annualized ROI around 27 percent and the payback period is 2.62 years

Table of Contents

List of Tables

List of Figures

PART I: BUSINESS INTRODUCTION

1 Business Concept

1.1 Business Idea Origination

Nowadays, eating habits of Vietnamese people are changing over time Most of them areincreasingly busy with their jobs and consider cooking 3 meals at home as a time-consuming

or even impossible task According to Decision Lab (2016), Vietnamese people who are from

13 to 35 years old tend to eat Out-Of-Home most and men have more frequent eating out thanwomen Besides, 75 percent of Out-Of-Home visits are by consumers who have monthlyhousehold income from 3 million VND to 30 million VND per month On the other hand,Western restaurants are becoming popular with Vietnamese people Specially, they tend to eat

at a fast casual than fine dining restaurant and others (with 35 percent) Instead of usingtraditional menus like previous generations, pizza, pasta, and burgers are being favored bythem With more than 340 million Out-Of-House visits in quarter two of 2016, Westernrestaurants are accounting for about 7 percent of the market But in fact, the Decision Labreport found Western restaurants three times more likely to be selected than Asiancompetitors Besides, compared with Asian restaurants, the majority of respondents said thatWestern restaurants have higher hygiene standards, higher quality of foods and drinks, higherservice speed and they enjoy the atmosphere there with friendly service and promotionsmore Noticing the current trend of the market, we decided to open a Western style restaurantwhich will serve Pasta and Burger

GG, means Green Garden, is the name of the

restaurant and it shows the main style of thebusiness The place will be designed with theconcept of European garden restaurant In natureinspired harmony, there will be no air conditioner inmost of the property's space Despite that, thetemperature will always be kept below 28 degrees

in the afternoon with a misting cooling system Inaddition, with a spacious space decorated with

Furthermore, to enhance the customer experience, the kitchen area will have a glass windowfor customers to observe how their dishes are being prepared by our well-trained chefs.Besides, the bar is also designed to be open, which also helps to increase the specialty in thedesign to create the unique point when compared to other restaurants in the area.

Figure 2: Business Concept

1.2 Business Location

The restaurant will be located at land 113, 30 thang 4 street, Phu Hoa ward, Thu Dau Motcity, Binh Duong province 30 thang 4 street is one of the main streets in Thu Dau Mot citywhich can be easy to move to Becamex tower (the tallest building in Thu Dau Mot city), GoDau stadium, Happy One Central residence, Thu Dau Mot University and Thu Dau Motmarket The whole area of the land is 500 m2 with the rent of 40 million VND per month Thecapacity will be 80 seats because we want customers to have private space and it will besuited to the concept of the restaurant

This area has a lot of office workers from real estate companies or banks as well as studentsfrom nearby universities Moreover, people around here also live in high-class apartments or

business households with high income Besides, the rental price of 40 million VND permonth is reasonable for a land of 500 m2 in a spacious area, with convenient transportationand close to potential customers of our restaurant

Figure 3: Business Location

1.3 Architecture Design

2 Products and Services

2.1 Products

GG will serve most of the popular Pasta and also some signature of restaurant with suitable

tastes for Vietnamese people The main product is Pasta with varieties of types, such asSpaghetti, Lasagna, Macaroni, Tagliatelle or Penne In addition, with many different saucesand cooking methods, customers will have a lot of choices every time they come to therestaurant Moreover, the restaurant also has different side dishes to increase the variety forcustomers

Bringing the best quality in every dish to customers is our responsibility We will focus oncreating value with an affordable price which can bring the best product value, deliveringpersonalized services for customers in the well-designed space and promising to alwayscreate new experiences for customers

2.1.1 Ingredients

Food safety and hygiene are always our top priority For agricultural products, we will findfarmers who specialize in producing clean products to always have a stable source ofmaterials as well as ensure the quality As for processed products, we will prioritizepartnering with large enterprises because their reputation will be a strength for us to attractcustomers to use our products All of our suppliers must have a Full Certificate of FoodSafety (for food business facilities) from the Ministry of Industry and Trade to ensure thevalue we promised

2.1.2 Production Process

All ingredients when brought into the restaurant must be guaranteed to be fresh and inaccordance with our requirements All receiving operations must be performed in therestaurant and under the supervision of the chef or supervisor After that, all materials will bepreserved in the most appropriate way according to each product type All products that are

no longer qualified will have to be discarded The people in each department are responsiblefor checking the quality of the product and its expiry date to ensure that the best dishes can bedelivered to the guests Each of the chefs and baristas are required to wear all protective

2.1.3 Pasta

GG will give customers a variety of pasta choices and help them get more knowledge about

all kinds of pasta in the world Most of the Vietnamese people, when it comes to pasta, theyonly know Spaghetti with Tomato sauce or Cream sauce Therefore, disseminating customersabout this type of Western cuisine is our goal to help local people have variety in their meals

In addition, to ensure that it can be suitable for diners, all dishes at GG will be cookedaccording to the taste of Vietnamese people so that everyone can be satisfied with theproducts that we bring to them

about weight but still want to have agreat meal at the restaurant

2.1.5 Menu

The main products of GG are Pasta.

Every year, depending on the situation atthat time, we will have some specialdishes to make our menu more diverse, so we did not put it in menu because it is notpermanent For example, from May to June is avocado season in Da Lat, at that time thequality of avocado is very good, so we will add some special avocado dishes to the menu andremove them when the season is over Below is our menu

Figure 8: Green Spaghetti

2.2 Services

p.m The operating hours are based on the type of food we servedand our target market Western-style dishes like Pasta will be suitable for Vietnamese people

to eat at noon and especially in the evening because according to Vietnamese culture, peopleoften eat traditional dishes like Pho, Broken rice or Bread In addition, our target customersare 23 to 30 years old and they will have more time for lunch and dinner than breakfast Noonwill be the time when they take a break to have lunch and the evening will be the time theyspend on their own life after a tiring period of work However, the restaurant will focus more

on the evening because at this time, it will make the special space of the restaurant morebeautiful and sparkling, which is true to what we promise to our customers When coming to

GG, with an airy, peaceful space with a warm and intimate atmosphere, we will helpcustomers relax and give them the best experience after a tiring working day

3 Major Technologies, Equipment and Facilities

Inox shelves (4 floors) 1

Double Stainless-Steel

Stainless Steel Cabinet 2

Ice maker 1

Table 1: Equipment and Facilities

Customer-oriented: The success of business comes from our customers, so we are committed

to always listening and actively responding to their needs

Conscientious: We prioritize the experience of our customers by constantly improving the

taste of food as well as the quality of service by regularly testing and training our employees

so that they are always equipped with the best knowledge and skills Thanks to that, we haveopportunity to gain trust and create reputation to the customers

Creativity: We are always trying to learn, develop and absorb social trends to bring the best

services compared to the market for customers

5 Key Value to Customers & Stakeholder Group

5.1 Key Value to Customers

Key value customers of GG are young people from 18 to 30 years old who have middleincome from 10 to 15 million dong per month that seeking for Western cuisine At this agegroup, people will spend a lot of time in their relationships and be more interested in cuisinefrom other countries around the world In addition, these are customers who not only enjoytaste of the food but also the surrounding space and atmosphere are extremely important tothem Besides, with a reasonable price compared to other restaurants serving Western dishes

in the area, GG is confident to bring customers satisfaction in both quality and services whenthey join with us

Investor: We always focus on managing operation to ensure the highest return for investors

and paid interest for them according to the profit of restaurant

Manager: Management will always be guaranteed their wages and jobs In addition, we will

consider increasing their benefits if the restaurant grows more because it deserves their effortand responsibility

Employee: In GG, we are team in which each team members need to take responsibility to

support each other Not only stop at paying salary for the employee but also training themabout soft and hard skills Moreover, in the professional working environment the employeecan gain experience in solving problem

5.1.2 External Stakeholders

Customer: Our responsibility is to satisfy their needs and wants by trying to make customers

feel valued and satisfy with what they paid

Supplier: Maintaining supporting relationships with suppliers to ensure quality materials and

products are always available To ensure the sustainable of business, the relationship withsupplier is essential to maintain the quality, price and delivery time of the materials

Local Community: GG ensures to keep the area clean and peaceful as well as not affect the

lives of surrounding residents Moreover, we will create more jobs for people in the area tohelp them have a better life

Government: Our obligation is to pay all taxes and fully comply with government regulations Environmental: Our responsibility is always to protect the environment, not to pollute the

environment and together with the people to protect natural resources

Figure 10: Summary of Project’s Financial Information

PART II: ECONOMIC ENVIRONMENT

import and export situation had many difficulties, but it quickly improved as well as achievedpositive growth, and the trade surplus was maintained

Binh Duong province has attracted approximately 12 billion USD in Foreign DirectInvestment (FDI) and nearly 253 trillion VND in domestic investment from 2016 to 2020

Figure 11: Economic structure of Binh Duong in 2020

(Thanh, 2021)

economy and assisting in the expansion of the average annual budget revenue reached 11.2percent By 2020, the province as a whole will no longer have poor households with perindividual income reaching 155.7 million VND The Covid-19 pandemic has had a strongimpact on export markets in 2020, according to the Binh Duong Provincial People'sCommittee, and the province's economic growth has been at its lowest level since 2016.However, this is still a solid gain because Binh Duong has attracted over 1.7 billion USD inthe first ten months of the plan in 2020 and has 59.493 billion VND in domestic capitalinvestment, which increased 20.6 percent compared to the same period last year (Minh,2020)

With such strong economic development, according to the results of a survey by the GeneralStatistics Office in 2020, the income per capita in Binh Duong is the highest in Vietnam,reaching more than 7 million VND per month With higher income, human needs will alsoincrease They not only need a place to eat but also a place that can help them relax, givethem great experiences

1.2 Social

Binh Duong is the province with the 6th largest population of 63 provinces and also aprovince with a very high rate of mechanical population growth and more than 50 percent ofBinh Duong's population are immigrants According to 2019 data from the General StatisticsOffice, Binh Duong has an urban population, accounting for 79.87 percent of the province'spopulation (Nguyen T , 2021) In addition, 75.6 percent of Binh Duong's population is inworking age (15 - 64), accounting for the majority of the total population structure of theprovince has been gradually shifting towards urbanization with the highest urbanization rate

in the country at 82 percent (2020) (Nguyen H , n.d.) With such a young and largepopulation, our restaurant will have a large number of potential customers as well as a young,dynamic and abundant human resource for the operation

1.3 Technology

With the current development of technology, it directly affects and plays an important role inthe development of businesses According to WeAreSocial statistics in January 2021, up to

their social media investment has increased their company's exposure and customerawareness about the brand With 79 percent reporting favorable results, increased traffic wasthe second most important advantage For the past seven years, these two benefits have been

at the top of the list (Stelzner, 2021, p 7) Therefore, GG will focus on marketing on socialnetworks to be able to promote the restaurant, interact more with customers as well asestablish relationships with a large number of target customers

2 Competitive Environment Analysis

Although Western restaurant concept is not very popular in Thu Dau Mot area, there are still

a few businesses that have implemented this type of restaurant and are considered ourcompetitors

2.1 Indirect Competitors

2.1.1 Ong Tay Restaurant

Figure 12: Ong Tay Restaurant

This restaurant is located on Hoang Van Thu Street, Chanh Nghia Ward, Thu Dau Mot City,Binh Duong Province Ong Tay Restaurant was established in 2017 and is one of the mostfamous Western restaurants with delicious beefsteak in Binh Duong With a restaurant space

However, on apps like Foody or TripAdvisor, there are a lot of customers complaining aboutthe service quality of this restaurant Most of them complain about the service attitude fromthe servers to the security guards are very bad, they are not polite, have negative attitude aswell as often make noise This is the reason why many customers do not come back here eventhough the food is delicious because they feel what they get is not worth the money they payfor In addition, with a quite high price compared to others in the area, the number ofcustomers choosing this restaurant is not much because there are not too many people whoafford that cost for a meal with cuisine that is quite new to the local people.

2.1.2 Burger Tien Loi

Figure 13: Burger Tien Loi

about 45,000 VND per person and the quality of the food is good In addition, this restaurantalso received many compliments about the friendliness and enthusiasm of the staff as well asthe warm and cozy atmosphere However, because the space is quite small, the restaurantreceives a lot of complaints about not having seats when customers go in groups and thequality of the dishes when the restaurant is crowded is not guaranteed.

Overall, Burger Tien Loi meets the needs and demands of their target customers, studentswith low income and has maintained for a long time with a number of loyal customers.However, with the living standards of the people in the area getting higher and higher, theyneed more than that, so Burger Tien Loi cannot attract other types of customers to come anduse their services

2.2 Direct Competitors

Figure 14: Thao Local Kitchen

Thao Local Kitchen is a vintage-style restaurant that specializes in pasta and pizza, which islocated in a small alley on Ngo Gia Tu Street, Chanh Nghia Ward, Thu Dau Mot City, BinhDuong Province and was established in early 2017 This restaurant is one of the most popularrestaurants of young people in Binh Duong because of its products and services quality Customers always commend this restaurant because of the courteous service and friendlyattitude of the staff Moreover, the proprietor - Thao - is the one who creates her own recipefor the restaurant's dishes and is also the head chef, ensuring that the dishes are always kept

to the standard of the highest quality and taste Besides, with the affordable price, therestaurant attracts a large number of young people here

On the other hand, with the space presented at the owner's house, including the yard, it is notbeautiful, neat and suitable for a Western restaurant Many visitors come here solely to pick asupper dish, not because the restaurant is a great destination to unwind and spend time withfriends and family Many clients say that they merely come here for a short bite to eat andthen go about their daily lives In addition, the restaurant's lack of human resources has asignificant impact on the quality of its customers' meals; many updated comments on theFoody app state that they must wait 20 - 25 minutes for each dish Moreover, the restaurant's

competitors in the market, this will be a perfectly ideal and successful business GG offers awide selection of Western meals prepared by well-trained employees in a vast and breezygreen setting, making it a fantastic place for guests to come with family and friends Thereare both open kitchen and open bar highlights to boost the meal value for customers.Furthermore, the promotions and happy hours will provide consumers with extra incentivesand opportunities to savor GG Restaurant's delectable cuisine.

3 Suppliers

3.1 Ingredient Suppliers

Food hygiene and safety is always our priority, so we always try to find ingredients that canensure quality as well as reasonable prices to be able to bring the best products to ourcustomers Suppliers need to have the following general criteria:

• Suppliers must have a certificate of food hygiene and safety by the Ministry ofIndustry and Trade or the Ministry of Health All materials have clear, transparent andgenuine origins from manufacturers and importers Moreover, all vegetables, meatsand seafood must meet VietGAP standards and be fresh when entering the restaurant

• Ensuring the quantity of products that the supplier can meet if the restaurant's demandincreases two or three times higher than normal

• Delivery time must be guaranteed because if the supplier delays, the restaurant willlack of ingredients, resulting in a shortage of items on the menu and affect theoperation of restaurant Suppliers need to have clear regulations on delivery time andallowable deviations

• The price offered by the supplier must be equal or lower than the average price in themarket and must have stability over time

With the above requirements, we have found some suppliers in Binh Duong who can meetthose criteria However, for pastas and beverage products, there is no supplier in the area thatcould meet our requirements, so we choose a one in Ho Chi Minh City to supply theseproducts

Ba Tu Foods Vegetables, Fruits andSeafood

Ong Dien Food Meat and Spices

Beemart Pastas and Beverageproducts

Table 2: Ingredient Suppliers

Ba Tu Foods is located in Thu Dau Mot City and specializes in providing clean vegetables

from Da Lat as well as fresh seafood from Nha Trang All vegetables and fruits here areguaranteed according to VIETGAP standards as well as fully certified for food hygiene andsafety

Ong Dien Food is a famous food store in Thu Dau Mot City about all kinds of meat with

clear origins as well as certificates of food hygiene and safety issued by the Ministry ofIndustry and Trade This is also the unit that supplies ingredients for many big restaurants inBinh Duong because of its quality and prestige

Beemart is a chain store specializing in providing ingredients and tools for cooking and

bartending in Ho Chi Minh City since 2015 This is a very reputable supplier and is trusted bymany people around the country In addition, Beemart also has a policy of refunding 100percent of the value of sold goods if the goods sold are not in accordance with the