1. Welcome
To
Our Presentation

2. Our Group Members Are-
ID Name
150301 Sihanuk Mustafa
150302 Mosammat Fatema Akter
150303 Nusrat Zahan
150305 Bahauddin Ahmed Bahar
150306 Md.Matiur Rahman

3. Introduction

4.  A small video to introduce Mystic Monk Coffee

5. Summery:
 Near the Rocky Mountains in Wyoming, there are 13 Carmelite monks
living in a small house serving as a makeshift rectory in Clark.
 These monks live a cloistered religious life and are dedicated to a life of
prayer, silence and worship; along with following the vows of
obedience, chastity and poverty.
 than 500 inquiries from young men within the community asking to
join the Carmelites

6.  To accommodate those people Father Daniel Mary realized that a larger
more permanent location was needed
 He needs a property that would house a monastery, including a Gothic
Church, 2 retreat centers, a convent and accommodations for approx
30 monks definitely proposed some concerns
 Father Mary found a 496 acre ranch that including some buildings that
could be used for the buildings outlined above, but the $8.9 million
dollar price tag was a financial obstacle.

7.  The Carmelites have a $250 thousand dollar donation that could be
used toward the purchase of property.
 They have also been roasting coffee for the past year. Under the name
of Mystic Monk Coffee the monastery has earned close to $75 thousand
dollars.
 For funding it needs to sell more coffee as it is the main source of
money
 So they plan to replace older roaster with a new one that will booster its
production capacity

8. Vision & Objectives:
 Accommodate more interested Youth in Carmelites
 Buying a nearby ranch that is worth of $8.9 million
 Increasing the Production of coffee
 Selling More Coffee
 Improving The distribution capacity by using different modes
 Using website besides word of mouth to boost selling and Thus earn
more

9. Strategy
 MMC conducts 2 layer business model
 Wholesale selling to Churches and local coffee shops
 Targeting niche or a small group gives it extra room to focus only to
meet the need of that group
 It created a situation where its catholic small group has a
mindset that they are contributing their dollar
to the Christ and his catholic
 Using superior quality coffee beans

10.  Investing to replace older roaster machine with a
new one that will be able to increase production
 Offering Wide Variety of flavor
 Using Word of mouth ,phone order and
website to stimulate selling
 Maintaining a set of loyal customers

11. Pros:
 Their strengths are in the fact that they use high-quality fair
trade/organic Arabica coffee beans.
 They offer a variety of blends, roasts, and flavors and are able to appeal
to wider range of coffee drinker preferences.
 The opportunities that Mystic Monk Coffee has in its unique approach
toward coffee in that they are marketing towards the U.S. Catholic
population who drink coffee and want to support the monastery’s
mission

12.  The other prospect is presented in other coffee drinkers who are not
necessarily Catholic, but are concerned about their health and social
concerns. Since about 30 million coffee drinkers in the United States
preferred premium-quality specialty coffee there is a huge opportunity
for sales there.

13. Cons:
 Their weaknesses include the fact they are limited in production to 540
pounds-a-day until they get the new roaster.
• Another issue is that they are limited by
Time as they devote most of their time to
Prayer, meditation that give only six hours
of work.
 There is basic competition and some people may not want to purchase
Mystic Monk Coffee based on its religious background and meaning.

14.  We do see a lot of problems with its current sales and 11 percent net
profit margin as not being able to generate $8.9 million in earnings
within a reasonable enough time frame in order to purchase the
property that they want.
 The last point implies that Mystic Monk Coffee does have somewhat of
a basic business plan it is severely limited

15. At a glance: Their Profit formula is
Profit=Sales – (total cost of goods sold + operating expenses +
affiliate commissions)
 Currently without the new larger roaster they make an
average net profit margin of $6,215 per month
 The 540 pounds-per-day with using the old roaster

16.  With the purchase of the new roaster this would increase to 780
pounds-per-day based on the 6 hour per day work limit.
 This level of production would allow Mystic Monk Coffee increase its
sales by a factor of 6. that implies the profit would be
$75000*6=$450000
 With this increase in production Mystic Monk Coffee should be able to
negotiate better terms with suppliers, shippers and the coffee broker to
get the costs of goods sold to go down from 52 percent to about 48
percent because of this volume increase.

17.  Further this increased production volume will prove economies of scale
 This economies of scale will cut down operating expense from 37% to
33%
 Current profit margin with old machine is 11%
 An increase in production would cause the net profit margin to increase
from 11 percent to 15-19 percent this improvement in the margins
would result in an annual income for Mystic Monk Coffee of $566,000-
$717,500.

18. Recommendation:RECOMENDATION
 Father Daniel Mary may also utilize the
resources
available to him from the Catholic Church
to find
major donors willing to contribute in the creation
of the New Mount Carmel.
 The 540 pounds-per-day with older roaster
could be put in 12 ounce bag this would average
about 45 bags of coffee per day that could be
sold. These 45 bags could give profits up
to $448 per day.

19.  Affiliated commission is 18%,that is very high
and decrease profit margin , so MMC could
stop doing business through those websites and
look for cheaper alternatives
 Send email to catholic churches to buy from
MMC for there churches
 Mystic Monk Coffee could even obtain
permission to place banner ads or links on
church and parish websites

20.  They can hire outsiders as employee of coffee
production because they have to busy with prayer
and religious work also, that will increase the
working growth.
 They can promote their coffee outside catholic
churches
 Can freelance some jobs such as packaging labeling
etc

21. I describe
myself as a
simple
monk. No
more, no
less.---
Dalai Lama