entrepreneurship

Topics: Entrepreneurship, Computer software, Supply and demand Pages: 5 (607 words) Published: April 26, 2015
Figure 5.1

Figure5.2

Figure5.3

Figure5.4

Figure5.5

Start-up cost is prepared by an entrepreneur to start up a new business in the market. Therefore, the figure 5.1 shows the E-park company’s start-up cost. Firstly is registration fee of partnership to get a legally license from government to create a new business enter the market. Secondly, registration fee of patent with 20 years to protect this new idea or prevent someone to copy this idea, this is because this idea does not exist in the market. Thirdly is registration fee of trademark, it is a marketing strategic to give something in customer mind. Therefore, when customers heard a slogan or see a symbol and alphabet, customers will know who they are. For example when customers see yellow ‘M’ alphabet or heard ‘I loving it’, then the first thing will come up in customer mine is McDonald. Fourthly, E-park Company rents an office. This is because it can increase the customers trust to E-park Company. Besides, customers can call the office to understand more of the parking application. Furthermore, office provides a professional stage for the employees and entrepreneurs to meet, interact and discuss on the company’s performance and the current market demand. Fifthly, company will invest 4 normal computer and two advance computer. Due to the fact that director and manager can record all the transaction, and communicate with customer or design the brochure by normal computer, it creates less complication on the financial records. Then the 2 advance computer is helping the programmer to design and upgrade the application. The 2 advance computer is increasing efficiency of the programmer performance.

Lastly is Initiate R&D department, company need some to create a new application. According to Rajnish Tiwari, measures taken according to an organized plan or system for the cause of collecting information and knowledge like society and culture so that the knowledge base can be utilized to devise, uncover and enable development of new service, product or application. Company’s R&D department has to go to these 5 phases there are strategy, design, development, marketing and maintenance. Action

Costs (RM)
1 Strategy
Survey on audiences’ demand and preferences
Draft research concept to validate the viability in accordance to technology Assets needed (software and tools)

1,000
2 Design
Prototype the wireframe (mock up)
Develop the brand visuals (logo, color scheme, illustrations)

7,000
3 Development
Involves software engineer to do the coding
Testing the product
8,000
4 Marketing
Publishing on marketing platform (Google Play, Facebook etc) Making partnerships with relevant companies (promotions)
Buying a domain (website) for product
2,000
5 Maintenance
Keeping website alive
Keeping promotion of product on marketing platform
Updating the software
2,000

When does the company can achieve break-even? According to Stephen, et al. (2006) break-even is point that shows the revenue received is equal to cost which is no profit. Therefore, the Figure 5.2 and 5.3 show the cash flow in 2016 year, in the first eleven month, it show the company cost keeps increasing. On the other hand, in December of 2016, the company cost starts decreasing. Then the figure5.4 and 5.5 show the second year cash flow result. It shows that company cost reducing in every month, but in November in second year it show that company is achieve the break-even .

Rajnish Tiwari.,2008. Hamburg University of Technology (TUHH) http://www.global-innovation.net/innovation/Innovation_Definitions.pdf  Alex Grechanowski.,2013. Behind The Scenes: Our Mobile Application Development Process from Concept to release. http://www.facebook.com/l.php?u=http%3A%2F%2Fwww.dbbest.com%2Fblog%2Fmobile-app-development-process%2F&h=jAQHZC-ie Stephen, et al.,2006.Financial Management Fundamentals in Malaysia.
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