Value Proposition

The business aims at creating value by way of introducing new designs to the product offering every now and then. Based on how most jewelry stores operate in Dubai, they do not update their product offerings frequently. When it comes to luxury products, consumers always want a variety to choose from. Ensuring that everyone also gets what they are looking for will bring satisfaction to consumers and help to cultivate their loyalty. The business also aims at offering reduced prices compared to what the competitors are charging. This aspect is not going to compromise with the quality. The products being offered will still be of high quality. As a result, the store will be accruing reduced profit margins per product. The catch here is that the company will be leveraging on attaining as many consumers as possible. Offering lower prices for high-quality products adds value to consumers as they can save or even purchase more. The low prices will help attract many consumers, something which will compensate for the low-profit margins per product.

Channels

The target audience has been divided into two segments; expatriates between the age of 21 to 35 years and those above 35years. This will result in using different channels while reaching the target audience. People between the ages of 21 to 35 years are avid users of social media. They are likely to be influenced by various trends and products that they view on these platforms such as Facebook, Instagram, and Twitter. They will get intrigued when they see varied products on these platforms. As a result, the business will leverage on this aspect in order to reach this segment of the target audience.

People over 35 years, on the other hand, are more content oriented. They enjoy more while reading blogs, news sites or any other type of write-up that adds values. As a result, the business will reach this audience by advertising on platforms offering such value. This increases chances of conversion, and they can go ahead and read more about the product offerings on these platforms.

Customer Relationships

When it comes to customer relationships, the main motivations are customer acquisition and retention. For this reason, the business aims at enhancing self-service/automated service and co-creation. Automated services make sense given that this is an e-commerce business. The clients will conduct most of their services without the need of assistance. They will have the autonomy to browse through the business’ website and choose what they want while placing it on the cart for check out. However, there will be a support service where the consumers can get answers to some questions that they might have. This service will help those encountering difficulties with the system.

Co-creation on its part is targeted at ensuring that the business retains its existing consumers. This will be attained by way of creating a platform within the website where consumers can interact with the company. Under this platform, consumers will provide their reviews and provide suggestions for the improvements or changes that they would want to see being enacted.

Key Resources

Key resources include physical, human, intellectual and financial resources. Physical assets will include manufacturing facilities, warehouses, transportation vehicles, machines, website and distribution networks among others. Human resources will be utilized in various sectors such as manufacturing, distribution, and maintenance of systems. Intellectual resources, on the other hand, include proprietary knowledge, brand name, copyrights, patents, customer databases and partnerships. These are important components in building a strong and sustainable business. The success of the business will also be dependent on the financial resources within the company. This will include lines of credit, cash and stock option pool that will be used for hiring key employees.

Key Activities

The key activities will include problem-solving, production and network/platform establishment. Production will entail several activities within it like manufacturing, quality control and delivery. The manufacturing plant is expected to be busy based on how the business will be doing since everything will be taking place here. Quality control is an activity that the business aims at taking very serious since there is the objective of providing consumers with high-quality products to ensure that they are retained. Delivery will entail the process of ensuring the product reaches the designated buyer.

Creating the platform will be a key activity for this business. The platform here will be an e-commerce website where potential consumers will be viewing the products and placing their orders.  The platform ought to be desirable and easy to use in order to increase the prospects of conversion. When it comes to problem-solving, this is something any business is likely to encounter. Problems will usually arise in business; be it with consumers, suppliers or legal authorities. How a business handles these problems determines how far the business will go. History shows that some businesses collapse due to the failure of addressing problems as they arise.

Key Partners

Among the key partners there are Paypal, Hostgator, raw material suppliers, and a reliable web developer among others. Paypal will be an integral partner as they will help on issues to do with payments. It is a company with a reliable reputation hence the consumers will be assured of their financial activities being secured. Hostgator has been chosen for hosting activities of the website. It is a highly ranked company when it comes to the hosting industry based on user reviews. It suits the business since there is a need for quality services to ensure that the consumers are not inconvenienced in any way. Raw material suppliers, on the other hand, are critical partners as they will determine the quality of jewelries being produced. A reliable web developer is also integral to ensure that the platform is operating as required. Making routine checks will be mandatory.

Revenue Streams

The business will only have one revenue stream as it starts. This will be the sales derived from the jewelries that will be on offer. The prospect of the products being able to actualize substantial sales will be attributed to the value that they bring to the potential consumers. Among them is the introduction of new designs every now and then in order to keep the consumers coming back. This will be supplemented by offering high-quality products at lower prices in order to make them affordable to most potential consumers.

Cost Structure

As the business commences, there are varied costs that are going to be incurred. Among the costs are those involving human resources, logistics, warehousing, raw materials, marketing, financial institution and accountant fees, business taxes, rent and utilities. Logistics costs will include the hosting costs, the establishment of the website among other activities. Ensuring that the business pays the relevant business taxes is vital to ensure that the business does not fall on the wrong side of the law. This is because it would result in fines that would only bring in extra costs.

Customer Segments

This involves both a niche and segmented market.  The idea of a niche market comes in on the basis that the organization will be targeting expatriates in Dubai. This is a specific group of people with which the business has seen a potential of leveraging to earn the desired revenues. Most expatriates are believed to be earning favorable salaries hence their ability to purchase jewelries is high. The market prices in Dubai are also likely to intrigue them if they are to make a comparison with most of their home countries. This creates the prospects of purchasing jewelry for their friends and families too.

This target audience is then segmented into two categories. This involves people between 21-35 years and people over 35 years. The consumers have been segmented into these two categories due to marketing and preference issues. These categories have different preferences given the stage of life that they are experiencing hence are likely to prefer different sets of designs. When it comes to marketing, it will be prudent to approach each category based on the strategy that is likely to bring desirable conversion.

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