1. James Barone Hyesil Cho Peter Nantawisarakul Aashni Shah

2. W HAT IS BUBBLE TEA? A tasty tea-based drink mixed with fruit or milk Most bubble tea come with small chewy tapioca or boba. Very popular in Taiwan and gaining popularity in the United States

3. O UR MISSION IS TO PROVIDE THE V ILLANOVA AND M AIN L INE COMMUNITIES WITH A UNIQUE CAFÉ EXPERIENCE THAT OFFERS A VARIETY OF HIGH QUALITY, FRESH B UBBLE T EAS AND PASTRIES IN A QUICK AND TIMELY MANNER.

4. C ORE C OMPETENCIES Workforce Hire competent students Well developed training Location & Facility Near Villanova campus Comfortable and welcoming feel Technology Mobile application Use of technology for all orders

5. C OMPETITIVE P RIORITIES Fresh, high quality products Only use fresh fruits with no added preservatives High flexibility We will encourage criticism with comment cards and surveys and change whatever is not wanted We want the customers opinions on flavors of the drinks Strong customer relationship Friendly and welcoming treatment towards all customers Specials and discounts for holidays and birthdays and reward systems

6. Strengths According to our competitive priorities and mission statement: - Fresh, high quality food - High quality service and strong customer relationships - Flexibility Weaknesses Lack of reputation Potential slow period in the winter months Opportunities Great location Current emerging, new market in bubble tea Threats Competition: - Surrounding bubble tea providers - Well-known competition (i.e. Starbucks, Dunkin Donuts, etc.) - Cheaper options and alternatives from competition

7. T ARGET A UDIENCE College students and young adults ages 18 to 29 Household incomes between $50,000 and $74,999 Those who enjoy a healthier and fruit based drink opposed to the soft drinks and artificially flavored beverages Local residents

8. T ARGET M ARKET Economic Characteristics for Bryn Mawr

9. T ARGET M ARKET ( CONT.)

10. P ROCESS S TRUCTURES Manufacturing Structure: Make-to-Order, Seasonal Will offer different flavored drinks with the changing seasons

11. P ROCESS S TRUCTURES Customer Contact: Friendly and open environment Customer contact is a BIG part of Bubble Tea Cafés strategy

12. P ROCESS S TRUCTURES Service Structure: Open flow of communication; hybrid office Mix between customized and standardized drinks allow customers to order variations of the normal drinks offered by Bubble Tea Café

13. P ROCESS S TRUCTURES Capital Intensity Café needs standard machines to operate Blenders, refrigerators, freezers, etc. Employees consist of 2 drink-makers, 2 cashiers, and 1 manager Salaries:

14. S UPPLY C HAIN I NVENTORY M ANAGEMENT Suppler Inputs: Highest quality, lowest price Perishable foods will come from local suppliers in Philadelphia Non-Perishable equipment will come from other Philly Suppliers Philadelphia Wholesale Produce Market: Philadelphia Restaurant Equipment:

15. S UPPLY C HAIN I NVENTORY M ANAGEMENT Order Accuracy: We will use proper sales forecasting methods to accurately predict future demand. Bubble Tea Café must constantly be stocked with fresh food.

16. E XPECTATIONS Amount of Expected Customers on Average: Compared to Tea Do Monday to Thursday: 120-160 Friday to Sunday: 170-220

17. F ORECASTING Techniques: Exponential Smoothing Trend Projection with Regression Time Series Forecasting Market Research Delphi Method

18. O UR Q UALITY S TRATEGY Our quality strategy will align with our competitive priorities: We will use implement both Lean System Controls and Total Quality Management controls. Top quality products and servicesFlexibility in servicesStrong customer relationships

19. Q UALITY C ONTROLS – L EAN S YSTEM Lean System Controls Employee training Multifunctional machines Cleanliness and hygiene Motion and defects Inventory

20. Q UALITY C ONTROLS - TQM TQM Controls Customer suggestions and reviews Social media and Website

21. A NNUAL E XPENSES : $142,300 PER YEAR ($4.07 PER DRINK ) Input Costs: $18,200/year Fresh fruits: $13,305 Toppings: $3480 Cups and Straws: $400 Other: $1000 SG&A: $122,000/year Salaries and Wages: $82,000 Rent: $40,000 per year One-Off Costs $2100 total Furniture: $600 Machines and Equipment: $1500

22. Fresh variety Hot and cold drinks With or without toppings Baked good specials Prices based on Bubble Tea Cafés costs, and competitor pricing and costs

23. QUESTIONS?