STEP-PETS

TABLE OF CONTENTS

Executive Summary 3
Introduction. 3
The Business. 3
Products and Services. 3
The Market. 4
Mission. 4
Keys to Success. 4
Business Summary 5
Business Ownership. 5
Start-up Summary. 5
Products and Services 7
Market Analysis Summary 8
Market Segmentation. 8
Local Residents. 8
Tourists. 9
Target Market Segment Strategy 9
Market Needs. 11
Competition and Buying Patterns. 12
REFERENCE LIST 14
APPENDIX 1 15
APPENDIX 2 16
APPENDIX 3 17

Executive Summary
Introduction.
STEP-PETS is a new pet store in the State of New York. This business is the brainchild of three childhood friends whose friendship will be further strengthened through a partnership that provides a combination of products and services to pet lovers. STEP-PETS is a business that understands why pet owners have a level of affection for their beloved animals almost the same, if not equal, to the love they have for family members.
The Business.
STEP-PETS is the chosen name for the business to reflect the special relationship between individuals and their pets. This is initially organized as a partnership, where three childhood friends will bring together financial resources and skills to open a small-sized pet store in Albany City of the State of New York. As elaborated on the relevant section ahead, the business will initially have a total debt and equity capital of $20 million. See Appendices 1 and 2 for more details.
Products and Services.
The four major categories of products are live animals, pet food, pet supplies, and pet services. As for live animals, fish, birds, small animals, select insects, and spiders will be available for purchase instore. Next, despite the limited species of pets that can be bought from the shop, pet food products will cater to owners who take care of dogs, cats, the group of pets STEP-PETS sells, reptiles, and even exotic animals. Furthermore, pet supplies such as for habitat maintenance, grooming, transport, etc. will be stocked for sale. Lastly, special pet services limited to grooming, training, and boarding/accommodation will be provided to a niche market.
The Market.
The geographic market is the State of New York, specifically the cities near the business location. Thus, residents and domestic tourists in the cities of Albany and New York are the direct or immediate target customers. In terms of demographic segmentation, three age groups (25 – 34, 35 – 44, and 45 – 54 years old) that hold the top four largest market shares of the industry will be served. As shown on Appendix 3, at an assumed market share of 5% for the first year of operations, STEP-PETS can expect to capture $42.32 million of revenues, which will ultimately convert into $1.82 million of net profit.
Mission.
STEP-PETS will strive to become a market leader among small-sized pet stores in the State

1. Discuss in detail the Porter’s five force model in evaluating th...