Business Plan. Executive Summary:

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1 Executive Summary: Business Plan We strive to maintain our servers on a day to day basis. We work with our customers in order to ensure that when a problem arises, it will not escalate and harm our long term goals. By utilizing strategic acquisition, we will be able to penetrate different regional markets. Our state of the art, high speed servers will transport your data quicker than ever before and provide Internet access to the thousands of people currently living without it. At our competitive price, we provide consumers fast and secure access that exceeds industry standards, for the largest market possible. Where there is high demand for servers and we promise to fulfill the need for high speed data transportation. Current Business Situation/SWOT Analysis: Coriant is a massive company that specializes in all sorts of network operations ranging from mobile networks to fixed line networks to submarine (undersea cables) networks. In addition to creating an infrastructure for networks they sell many Tier 1 networking products. Tier 1 networking products are essentially products that can support a national or global infrastructure in networks. Our plan is to use Coriant s established foothold in the network industry to provide affordable localized cloud storage for faster and more secure access to a person s or company s digital information. We do not foresee much restrictions in the form of political/legal issues since the majority of this project is to build a localized server room and allowing existing ISP to connect them. Since Coriant is not an ISP there should not be many restrictions on creating a server room and possibly outsourcing the service to another company. What we do see as a possible issue is competition from other networking companies like Cisco, Ciena, and Ericsson. All of these companies provide nearly the same services as Coriant, but what sets them apart is that Coriant is a privately owned company while all the others are publicly traded. This mean the Coriant will not have to answer to stock holders and have some more freedom in the decisions being made. Also companies like Cisco are very large and also have a large portfolio of products and services. While that could also mean that companies like Cisco can easily enter the market and do something similar, they all have to answer to shareholders which can cause introduction into the market to be slower. Also their resources are much more spread out in order to adequately service all the different sectors. Coriant on the other hand, while they do have quite a lot of services they do not have nearly as much as Cisco.

2 We have noticed more and more people are opting for cloud based storage and hosting which makes Coriant the ideal candidate for improving and creating new ideas for cloud based infrastructure. A lot of concern from the cloud comes from security and speed. Most of the time these servers are all centralized which can cause problems for people who want to retrieve information that are far away from the server. In addition a security breach in the centralized area could be disastrous. With localized servers people can connect to their information quickly and a security breach would not have as big of an effect. Coriant already has expertise in cloud based connectivity by providing products and services that make cloud networks more efficient and affordable. As for supply all the equipment and finding locations to place these servers; it should be simple. Coriant already sells the majority of the products it needs in order to provide these types of services, so they can essentially buy from their own stock. Also servers rooms usually require large amounts of space to operate so starting off in big cities would be ideal. We would only need to rent out a floor or two in a high rise to provide a localized cloud. Business Plan Objectives and Issues: Our short term business goal on a day to day basis is ensuring that our servers are always up. Before the problem arises, we will already have the solution. For instance, in the event of a power outage in a local community, another server already hosted the files so that your work is not brought down because of using our service. However, with using a server that is geographically farther away, this may bottleneck our services in its intended region. The latency of the connection is less than ideal and if multiple servers go down at the same time, our customers will be unsatisfied with the service. We will also need to be aware of potential concerns that our customers have. Since long term relationships with our customers is necessary for our market share, we will need to offer superb customer service. We plan on having multiple methods of reaching a customer service department, and these staff will be trained to treat our customers with the respect that they need. Unlike Comcast customer service, our customers will leave the line feeling more satisfied. Long term target goals include successful implementation of our services through our proposed phases. Through strategic acquisition, we will be able to penetrate different regional markets. This does not mean that the process will be smooth as butter. If our target market does not respond to our calls, then we will need to shift our focus in order to get a better understanding of their needs. In understanding the differences in the way consumers utilize the service, we continue to improve for the better. Target Market, Customer Analysis, Positioning Target Market is entrepreneurs of start ups, big companies and for individuals who want data storage and hosting for personal purposes.. Coriant promises to deliver quality hardware and software services across the entire globe. As of today, Coriant serves over 100 countries as communication service provider, from business cloud storage to working with government agencies, Coriant offers a wide variety of services that are compatible with the most current devices. Being founded by the organization of which had just nought out Nokia Siemen networks boosted the reliability and reputation of Coriant, at the same time expanding their infrastructure

3 and functionality. Coriant works with companies in many industries, and the natural advantage of Coriant is what it is network service, which, is essential in most established companies. Our target market is any companies that needs a network base infrastructure; it can be as big as a multinational company and as small as a cellphone service provider. We plan to offer premium price bundled with products that comes with quality. Munich being the technologically advanced city it is, has many established companies such as BMW, Allianz, and Siemens. All of which have one thing in common, that is no matter the industry, information transformation and cloud storage and services are always needed. BMW needs to communicate with the retailers and factories. They need could storage to record all the sales information. Allianz need cloud drives to record all patients record and information, and being able to access them at any moment, and Coriant provides that. It seems that companies often stick with Coriant once started using it since it does offer quality services. The trend in the service industry is ever changing and companies must innovate to survive. Companies like Coriant must adapt and keep up with the most current trends because in order to work and provide service for companies, Coriant must be compatible with the most updated system and services. With the premium price we offer, and being located in Munich has expanded Coriant s target market size dramatically due to the natural technological advancement Munich thrives on. Golobally, Coriant faces tough competition however Coriant already has ties with more than 100 countries in six continents. Business Plan/Industry Strategy: Our overall strategy is to create value for customers through a more protected and enhanced way of transporting your data. Just like our motto, your data follows you. With our highly updated state of the art, high speed servers, we are able to transport your data quicker than ever before and give Internet access to thousands of people currently without it. Our first way to creating value for our customers is through the product itself. Our high speed servers provide our clients with localized cloud storage for faster and more secure access to their information. Everyone always wants more data more quickly, and in a growing industry that is exactly what we re providing. The price of our product will be competitive value for what customers are getting. Since we are trying to market to companies and large hubs, we are staying relatively affordable for with three different packages to chose from. Our best deal for large companies is our Large Enterprise Suite for a price of $15,000 for unlimited access per year. The middle valued package we offer is our Entrepreneur Suite priced at $100/year at 30 terabytes and the option to upgrade for an additional $10/year for 10 additional terabytes. Our last plan option is our personal plan which includes 30GB for free and the option to upgrade to 2 terabytes for $9.99/month. With some severs priced at over $1,000 each we have provided servers at a price to provide fast and secure access for the largest market possible. We plan to create value to highly populated dense business hubs. These areas such as Munich, Germany, Dubai, India, London, Pari and others, are highly advanced technological countries with dense populations. Because of this there is a high demand for servers and the need for high speed data transportation.after we have created a presence with our new high speed

4 servers in these densely populated areas, we will have the capability to expand outside our hub and even globally. We plan to promote our localized servers to large companies based in Munich such as Siemens, BMW, and Cirquent. By promoting our value and high speed server technology to consumers online and through sales calls, we are confident our promotion will create a consumer base. Once we have established our base we will move in to phase three of our business plan and expand our reach to the United States. In the US we will target similar high tech densely populated areas such as New York, Los Angeles, San Fransisco, etc. In these areas we have a different demographic and culture to appeal to but we are still selling the same product. By showing what we have done and the potential we have outside of our servers, the market in the US is very favorable. Overall we want to create a package for the customer that will provide a satisfactory daily experience for our consumers. Our product will give access to secure, high speed data, available wherever you go. This is not only great for daily users, but this is exceptionally great for business travelers. Imagine you are in New York one day, and have to be in London the next day for a sales pitch presentation. You struggle to think of a way to save and have your presentation easily ready when you arrive the day of your presentation. With our servers you could save it locally in New York and access it locally in London. Business Programs: In order for us to create a name for ourselves, we will need to be involved with community events. Entrepreneurs that want to bring their ideas into action do not have the time that is necessary to learn how to host their site and manage it. By sponsoring local causes, such as #Oktoberfest2k16, more people will be aware of our service and be willing to use it because we are driven to improve not just everyday life, but also the world in general. Our package will be available anywhere the consumer goes, whenever they need it. As part of our implementation controls, we seek to extend our service through various phases in order to properly set up the infrastructure and micromanage the decisions taking place. We plan to competitively price our product due to the upfront costs of acquiring server space; we do not want to charge our consumer excessively, and their prices will be based on their needs. Since we offering only the best services, there is high anticipation that our customers will refer their friends and family to our services. Financial Plans: Prior to launching the service, we will create special deals for large corporations in Germany. An obstacle that we will face is that people are not aware that we have this type of service available. As such, the funds that we gain from larger deals will go back towards advertising campaigns on social media. We project for our services in Germany alone, that our first year of operation will generate approximately 10,000,000 Euros. These figures are based from other competitors that offer a substantially inferior service to ours. During our second year, we strive to achieve deeper market penetration and launch outside of our innovation hub. By buying out competition in local markets outside of Germany,

5 we can take over their customer base and use our expertise to offer a better service. As we acquire strategic locations to host the servers, we anticipate that our revenue will grow exponentially to 20,000,000 Euros. Our third year will focus on customer retention and gaining more market share. By offering customer loyalty programs, and simple referral systems that are proven to be effective, we will be able to look towards maintaining a solid revenue growth and generation in the long term. Unlike other companies that only invest in the initial infrastructure, we will funnel a majority of the net profits towards focus groups and development of newer services for Coriant. Implementation Controls: The most effective way to do this is to implement the plan in phases in order to test the market that we want to engage in. We will launch phase one of the operation in Munich, where we headquartered in and then launch in the next two biggest cities in France and England which are Paris and London. This will be a way for us to understand the capabilities of the servers and to ensure that we can manage them without have an overload or downtime In phase two, we will cover the rest of Europe and that will take about a 3 4 years as we ensure that servers have been secured and been thoroughly tested. In Phase three, we will head out to the United States and we will places servers in the largest cities New York, Chicago, San Francisco, Los Angeles, and San Jose. The reason that we want to go to California is because of the Silicon Valley and there are new start up being grown all of the time. In Phase four, we will cover the densely populated cites of the United States primarily focusing on the east and west coast and we will centralize a few servers to the mid west. This phase will take 3 4 years to complete. In Phase five, we will head to Asia we will start in the dense cities in Japan like Tokyo, Osaka, Kyoto and then go to South Korea and place servers in Seoul. These are regions that have the fastest Internet speeds in the world and believe that they have great market potential. 2 4 years In Phase Six, we will place servers in Mumbai, India Dubai,United Arab Emirates and Riyadh, Saudi Arabia as a way of establishing a base in east Asia and the middle east. 2 3 years In Phase Seven, we will evenly distribute the servers to the populated cities of India, Japan and South Korea. As well as spreading to other populated cities in Asia like Hong Kong, Singapore, Taiwan, Malaysia. 5 7 years In Phase Eight, We will launch a server in Capetown, South Africa 1 2years This is a long term project that requires a lot of time and planning to insure that servers are placed in the most effective location, however there are many spots we have yet to cover but we believe that we will watch in the way the countries develop before we can begin launching more servers. Many of these phases have overlap as we want to start as soon as possible in the construction of the next phase we begin working on looking for new spots before the previous phase is completed. The way we will be measuring this through the use of profits, but also through measuring bandwidth and usage of storage. There are analytics software we can use or

6 we can build in order help us monitor and understand the performance values of the product. This will tell us where the demands is and we can then pivot our business to cities with similar demographics. We will have a dedicated team of professionals that will monitor the servers constantly watching for problems, they will also continue to watch for expansion and outreach opportunities. These professionals that we will hire will be the ones that are responsible in ensuring that the marketing strategy and implementation strategy continues on point. Our contingency plan is that if we do not get enough clients to sign on to our products that we will begin to sell out our assets and we will fall back until we have reached a small market that we can maintain and upkeep our servers. The worst case scenario is that we sell out all of our servers to new start ups to return on our investment and then licence out our server management software to keep a steady stream of income.