Food Truck Business Plan Assignment Example | Topics and Well Written Essays - 2500 words

Food Truck Business Plan - Assignment Example intends to expand its operations and purchase a second wagon to operate in different regions. The company also plans to do a considerable expanse of sales through cookery, delivery of arepas, and having the wagon located near and in military bases, port of savannah during weekends and local festivals. An estimate of ? of the total sales revenue is expected to come from these truck operations. In order to avoid and reduce inventory spoilage, the company plans to offer delivery services of food and beverages to third party cafes, restaurants and other food serving points for the period of intemperate conditions. Arepa Food Truck will stay true to its name by offering different arepa varieties. The hallmark of the unique style of the organization is the combination of arepa with cheese, avocado, jam, egg, and jelly. The different varieties offered by the company include the basic grilled arepas (arepa Valluna), arepa de queso, arepa Choclo (with cheese), arepa de huevo (with egg), and a repas rellenas (sandwich arepas). 2: Market Feasibility Currently, the United States economy is still recovering from the 2010 economic recession. Though this recession affected many businesses, Arepa Truck Food Inc. is anticipated to make profits. The company will sustain its profitability from the high sales margins from the sale of its products. Moreover, the business is mobile and can be shifted to regions where it can make considerable sales. Presently, there are no high quality, Latin American cuisines being offered in both Savannah and Beaufort. Arepas Truck Food Inc. will offer freshly prepared arepas with a diverse organic menu that will permit the patrons to customize their arepas as according to their preferences. Every customer order will be expected to take not more than three minutes. One of the significant concerns for the business is how to price its products affordably during seasons of thorns of oil prices (Martins, 2013). The food and beverage retail industry has experienced an enthusiastic level of growth over the past few years. The United States Economic Census indicates that there are more than 22 cafeterias, mobile food services and specialty restaurants in Savannah and Beaufort. This number is, however, anticipated to augment over the next few years. Additionally, this industry seems to experience a 10% increase in sales per year. Reports also indicate that the food and beverage industry is worth more than 30 million US dollars and experiences an average sales income of 21 million US dollars annually (Elmore, 2010). 3: Market Size Statistics indicate that there are currently more than 250, 000 people living in both Savannah and Beaufort. There are approximately five military bases in both areas with a population of approximately 10, 000 people. Furthermore, the port of Savannah has an approximate of 4, 000 people in a day. On the other hand, the local festivities such as the St. Patric’s Day celebrations, Home Water Festival, an d the Shrimp Festival attract more than 5, 000 tourists per year (Elmore, 2010). These are the company’s principal target market segments. The average income of residents in both areas is estimated to be between 6, 000$ to 10, 000$. On the other hand, it is estimated that tourists spend more than 3 million US dollars during the festivities. The positions and locations of the food trucks to make stops were selected based on the amount of food vendors that those regions receive and the number of prospective patrons in the regions. Savannah and Beau