1. BIRLA INSTITUTE OF TECHNOLOGY
EXTENSION , LALPUR.
“Establishment of Paper Bag Industry “ PROJECT FEASIBILITY REPORT
Under Supervision Off “AVINASH SINHA”
PREPARED BY-
MUSKAN JAISWAL BBA/40105/18
SUSMITA MAITY BBA/40075/18
Your Name • 09.04.20XX
5. INTRODUCTION
R. K Enterprise introducing biodegradable and eco-friendly products initially,
which varies in sizes and the Unique thing which we are providing an option of
customized message of label on our product as per customers requirements along
with general products offered.
Product Descriptions -
General Newspaper Bags Customised Craft Paper Bags
6. MISSION
Aims to
provide
employment.
To satisfy
customers
needs by
providing
echo-friendly
paper bags.
Make society
pollution free.
VISION
To be a continuously
growing world-class paper
making company
Achieve excellence in
enterprise management.
Be a respected corporate
citizen, ensure clean and
green process environment
and develop vibrant
communities around.
Deliver high quality and
cost competitive products
and be the first choice of
customers
EXCUTIVE SUMMARY
objectives:-
• To diminish the use of
all type of plastic bags
used by public.
• To achieve customer
satisfaction.
• To make our product be
the first choice for
customers.
7. ENTREPRENEURS
ENTREPRENEURS
MUSKAN JAISWAL – Marketing
Expert
SUSMITA MAITY – Technical Expert
AKANSHA SENGUPTA – Financial
Expert
MAJOR TASKS DONE - - -
Financial Planning & control
Marketing analysis
Techincal Analysis
Business Development
Scheduling, paper equipments that
are to be required
Adversting & Promotion
Answer to costomer complaints
8. MARKET ANALYSIS
Industry Analysis -
Due to legislation of ban on plastic bags in various states a hug opportunity for a
substitute has copped up. Such a substitute has to provide minimum features, which
were provided by plastic bags.
Market Place Analysis –
Rising adoption of paper bags in grocery and departmental stores, highly functional
retail market and changing attitude towards protection of the environment.
Customer Analysis -:
We Offer our products to the commercial users i.e. B2B
Retail outlets like Bata, Westside, and Monogynies etc.
Supermarkets,General stores & Pharmacies.
Competitors Analysis -:
Existing smallBeal suppliers of paper bags artisans
Existing plastic bag manufacturers etc.
NGOs who do the manufacturing of paper bags.
9. MARKET POTENTIAL
The introduction of shopping complexes & consumer stores in the semi-urban &
rural areas are creating additional demand for paper bags, paper bags
manufacturer, therefore, may be taken up as a profit able manufacturing activity
in selected areas. Before some time people are using plastic bags. But now a days
people are realize that plastic bags are harmful to the nature. Because we can
produce plastic bags but we cannot destroy it. So, now a day people are moving
toward to use a paper bags rather than plastic bags. So it is highly demanded and
profitable product.
Market Segmentation
1. Retailers
2. Restaurants & Cafes
3. Groceries
4. Governmental Events
We are planning to establish our factory in Ranchi, So we will be targeting Ranchi
markets at the first stage, but later onwe will expand our network to cover all the
other market in the future.
10. MARKET STRATEGY
1) COMPETITIVE EDGE:-
1. Environmentally benefical product
2. Cost competitive products
3. Delivery of high quality products.
2) Marketing Mix (The 4Ps) -:
PRODUCT
V shape paper bags with gusset and without with
window strip application of various sizes and
four different colors.
PRICE-:
Average price for the paper bags depends on
1. GSM (Grams per square meter) of the paper
2. Lamination type
3. Coloring , Size, Any specific demand (die cutting etc…)
PLACE-
1. Accessibility
2. Efficiency of transportation service
3. Availability of water and power
PROMOTION:-
Direct Marketing
Advertising
Relationship Marketing
Online Marketing (Website/SocialMedia)
Personal Selling
11. SWOT ANALYSIS :-
STRENGTH
It is eco-friendly in nature.
Lower price.
Less competitor.
WEAKNESS
It is not useful in monsoon.
Less advertising effort.
OPPORTUNITY
• Increasing awareness of hazards of
plastic.
• Ban imposed on plastic bags in many
states.
• It is opportunity to in a normal market
purchase comes with a packaging & a bag
form a stall on the road to superstore in
big malls,everywhere bags are provided.
THREATS
Increase Of raw materials.
Government policies.
12. Q1. What do u prefer the
most ?
INFERENCE:- The sample
drawn on the basis of
probability shown that
45.7% of people use paper
bag whereas, 34.3% people
use jute bag,14.3% people
use both and 5.7% people
use plastic bag.
Q2. What is the most
convenient source of bags
for you?
INFERENCE:- The sample
drawn on the basis of
probability shown that
48.6% of people use paper
bag whereas, 28.6%
people use jute bag,
11.4% people use both and
11.4% people use plastic
bag.
Q3. The period of
shopping ?
INFERENCE:- The sample
drawn on the basis of
probability shown that
48.6% of people use to do
shopping on a monthly
basis while 40% on weekly
and 11.4% on daily basis.
MARKET SURVEY OBSERVATIONS:-
13. Q6. How much will u give for a paper bag?
INFERENCE:- The sample drawn on the
basis of probability shown that 74.3%
people will give Rs. 0-10 for a paper bag
while 25.7% people will give Rs. 10-20 for a
paper bag and nobody will prefer to pay
more than Rs. 20 for a paper bag.
Q5. Is paper bag capable for carrying heavy
weight?
INFERENCE:- The sample drawn on the basis
of probability shown that 85.7% people tell
that paper bags are not able of carrying
heavy weight while 14.3% people think that
paper bags are capable for carrying heavy
weight.
14. TECHNICAL ANALYSIS :-
A close analysis of technical and engineering aspects of establishing the business was
executed in order to ensure that project is technically feasible in the sense of all
the inputs required to set up the project are available and choose the most optimal
formulation of the project.
LOCATION :-
1. location selected where all the facilities are available
2. Land area 4000 sq.ft
15. HUMAN RESOURCES
A few trends such as growing modernization, increasing individual income, and
rapid changing lifestyles are projected to thrust the growth in the global paper
bags market. Paper bags are fundamental needs of the modern life. Consumers
are choosing paper bags over plastic bags, owing to the environment
consciousness.
16. TECHNOLOGY AND
MANUFACTURING PROCESS
USED :-
Rag chopper
Hydraulic press
Calendaring machine
Cutting machine.
Weighing balance
ORDERING PROCESS
Receive the order
Placing order for the materials.
Material print.
Production is on carried out.
After completion, bags are
despatched
24. 4.6 Break Even Analysis
Break Even Point = Total Cost × 100 ÷ Sales
= 1899656 × 100 ÷ 27000000
= 7.0357 %
25. CONCLUSION :-
1. Planning and development product, its pricing, promotion
are basic aspects of marketing management.
2. Paper bag making B2B business.
3. Simple and easy Machine are used.
4. Reduce manpower work
5. Good feasibility
6. Increase the efficiency
7. High quality products are provided
